Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Owner, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Price or the Substantial Completion Date, or both. The Owner may, by Construction Change Directive, without invalidating this Contract, order changes in the Work consisting of additions, deletions or other revisions. (b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment. (c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods: (1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or (2) Unit prices stated in the Contract Documents or subsequently agreed upon; or (3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or (4) As provided in paragraph (f) of this Section 9.02. (d) Upon receipt of a Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the Owner of the Contractor’s agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Price or the Substantial Completion Date. (e) A Construction Change Directive signed by the Contractor indicates the agreement of the Contractor therewith, including adjustment in the Contract Price, the Substantial Completion Date or the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment. (f) If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Price, the method and the adjustment shall be determined by the Owner on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following: (1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or (2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or (3) The actual cost of subcontractors and sub-subcontractors; and/or (4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or (5) The actual additional costs of supervision and field office personnel, if any, directly attributable to the change. (g) Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 2 contracts
Samples: Construction Contract, Construction Contract
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Owner, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Lump Sum Price or the Substantial Completion Date, or both. The Owner may, by Construction Change Directive, without invalidating this Contract, order changes in the Work consisting of additions, deletions deletions, or other revisions.
(b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.02.
(d) Upon receipt of a Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the Owner of the Contractor’s agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Lump Sum Price or the Substantial Completion Date.
(e) A Construction Change Directive signed by the Contractor indicates the agreement of the Contractor therewith, including adjustment in the Contract Lump Sum Price, the Substantial Completion Date Date, or the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
(f) If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Lump Sum Price, the method and the adjustment shall be determined by the Owner on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Lump Sum Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personnel, if any, directly attributable to the change.
(g) Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Lump Sum Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 2 contracts
Samples: Lump Sum Construction Contract, Lump Sum Construction Contract
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Owner, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Price or the Substantial Completion Date, or both. The 3.2.1 Owner may, by Construction Change Directive, without invalidating this or breaching the Contract, order changes a Change in the Work consisting of additions, deletions or other revisions.
(b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.02.
(d) Work. Upon receipt of a Construction Change DirectiveDirective from Owner, the Contractor shall promptly proceed with the change Change in the Work involved (including implementing any reductions in the Work) and advise the Owner of the Contractor’s 's agreement (in which case Contractor shall sign and return the Construction Change Directive) or disagreement with the method, if any, provided in the Construction Change Directive for determining the proper adjustment, if any, in the Contract Sum and/or the Scheduled Completion Date.
3.2.2 A Construction Change Directive signed and unmodified by Contractor indicates the agreement of Contractor therewith, including the method, if any, provided in the Construction Change Directive for determining the adjustment, if any, in the Contract Sum and/or the Scheduled Completion Date. Upon Contractor's written acceptance and delivery thereof to Owner of the unmodified Construction Change Directive, that Construction Change Directive shall become a Change Order. If Contractor fails to advise Owner of its agreement or disagreement with the proposed adjustment in the Contract Price or Sum and/or the Substantial Scheduled Completion Date.
Date within ten (e10) A calendar days after the delivery of the Construction Change Directive signed to Contractor, then the Construction Change Directive shall be deemed approved by Contractor and shall become a Change Order, and Contractor shall have no right to any adjustment to the Contractor indicates Contract Sum and/or the agreement Scheduled Completion Date in excess of the adjustments, if any, provided in the Construction Change Directive.
3.2.3 If Contractor therewith, including disagrees with the method or adjustment in the Contract Price, Sum and/or the Substantial Scheduled Completion Date or within the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
ten (f) If the Contractor does not respond promptly or disagrees with the method 10)-calendar day time period provided for adjustment in the Contract PriceSection 3.2.2 above, the method and the adjustment shall be submitted to an appropriate consultant for a recommendation or binding resolution as Owner may elect. If the parties are unable within a reasonable period of time (as determined by Owner) to reach an agreement or binding resolution by the consultant (if Owner on elects) under the basis prior sentence or otherwise, the matter shall be resolved after Completion of reasonable expenditures and savings of those performing the Work attributable to the change, includingWork, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together accordance with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose Section 15.11 of this paragraph shall be limited to Agreement.
3.2.4 After Owner has issued a Construction Change Directive and pending final determination of the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personneladjustment, if any, directly attributable to in the change.
(g) Pending final determination of cost to the OwnerContract Sum, amounts any amount not in dispute may be included in Certificates and Payment Applications for Payment. The amount of credit to be allowed paid by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 1 contract
Construction Change Directive. (a) 6.5.1. A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Ownerrepresentative of the Owner authorized to sign Change Orders and Change Directives, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the GMP or Contract Price or the Substantial Completion DateTime, or both. The Owner may, by Construction Change Directive, without invalidating this Contractthe Agreement, order changes in the Work within the general scope of the Agreement consisting of additions, deletions or other revisions, the GMP and the Contract Time being adjusted accordingly.
(b) 6.5.2. A Construction Change Directive shall be used in the absence of an agreement by the Owner and Design-Builder on the terms of a Contract AmendmentChange Order; provided, however, that Construction Change Directives may not be utilized by Owner to direct changes to the Work following the rejection by Design- Builder of a proposed Change Order for such Work.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.02.
(d) 6.5.3. Upon receipt of a Construction Change Directive, the Contractor Design- Builder shall promptly proceed with the change in the Work involved and advise the Owner in writing of the Contractor’s Design-Builder's agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the GMP or Contract Price or Time. Design-Builder shall be entitled to payment for work performed pursuant to a Construction Change Directive, for the Substantial Completion DateCost of the Work of that Change Directive, not to exceed the amount of Design- Builder’s proposal, made pursuant to Paragraph 6.3, less applicable retainage; provided further, Contractors and Subcontractors shall likewise be reimbursed their Cost of the Work not to exceed the amounts of their respective proposals, less applicable retainage.
(e) A Construction 6.5.4. In the event the Owner and Design-Builder shall reach agreement as to the appropriate adjustments in the GMP and the Contract Time due by reason of Work performed or to be performed pursuant to a Change Directive, such Change Directive shall be replaced by a Change Order and thereafter be of no further force or consequence.
6.5.5. Design-Builder shall maintain at the job site of the Work copies of all Change Directives together with a log of all Change Directives issued by Owner, identifying the Number of the Change Directive, the date signed by Owner, whether the Contractor indicates Change Directive has been replaced by a Change Order, and the agreement number of such Change Order, and identifying any proposals of Design-Builder incorporated in whole or in part into the Change Directive. Design-Builder shall deliver copies of such log to Owner and to Architect on request during the progress of the Contractor therewith, including adjustment in the Contract Price, the Substantial Completion Date or the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract AmendmentWork.
(f) If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Price, the method and the adjustment shall be determined by the Owner on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personnel, if any, directly attributable to the change.
(g) Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 1 contract
Samples: Owner Design Builder Agreement
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Owner, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Lump Sum Price or the Substantial Completion Date, or both. The Owner may, by Construction Change Directive, without invalidating this Contract, order changes in the Work consisting of additions, deletions or other revisions.
(b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.02.
(d) Upon receipt of a Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the Owner of the Contractor’s agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Lump Sum Price or the Substantial Completion Date.
(e) A Construction Change Directive signed by the Contractor indicates the agreement of the Contractor therewith, including adjustment in the Contract Lump Sum Price, the Substantial Completion Date or the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
(f) If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Lump Sum Price, the method and the adjustment shall be determined by the Owner on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Lump Sum Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personnel, if any, directly attributable to the change.
(g) Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Lump Sum Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 1 contract
Samples: Lump Sum Construction Contract
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer and signed by the Owner, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Price or the Substantial Completion Date, or both. The 3.2.1 Owner may, by Construction Change Directive, without invalidating this or breaching the Contract, order changes a Change in the Work consisting of additions, deletions or other revisions.
(b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.02.
(d) Work. Upon receipt of a Construction Change DirectiveDirective from Owner, the Contractor shall promptly proceed with the change Change in the Work involved (including implementing any reductions in the Work) and advise the Owner of the Contractor’s agreement (in which case Contractor shall sign and return the Construction Change Directive) or disagreement with the method, if any, provided in the Construction Change Directive for determining the proper adjustment, if any, in the Contract Sum and/or the Scheduled Completion Date.
3.2.2 A Construction Change Directive signed and unmodified by Contractor indicates the agreement of Contractor therewith, including the method, if any, provided in the Construction Change Directive for determining the adjustment, if any, in the Contract Sum and/or the Scheduled Completion Date. Upon Contractor’s written acceptance and delivery thereof to Owner of the unmodified Construction Change Directive, that Construction Change Directive shall become a Change Order. If Contractor fails to advise Owner of its agreement or disagreement with the proposed adjustment in the Contract Price or Sum and/or the Substantial Scheduled Completion Date.
Date within ten (e10) A calendar days after the delivery of the Construction Change Directive signed to Contractor, then the Construction Change Directive shall be deemed approved by Contractor and shall become a Change Order, and Contractor shall have no right to any adjustment to the Contractor indicates Contract Sum and/or the agreement Scheduled Completion Date in excess of the adjustments, if any, provided in the Construction Change Directive.
3.2.3 If Contractor therewith, including disagrees with the method or adjustment in the Contract Price, Sum and/or the Substantial Scheduled Completion Date or within the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
ten (f) If the Contractor does not respond promptly or disagrees with the method 10)-calendar day time period provided for adjustment in the Contract PriceSection 3.2.2 above, the method and the adjustment shall be submitted to an appropriate consultant for a recommendation or binding resolution as Owner may elect. If the parties are unable within a reasonable period of time (as determined by Owner) to reach an agreement or binding resolution by the consultant (if Owner on elects) under the basis prior sentence or otherwise, the matter shall be resolved after Completion of reasonable expenditures and savings of those performing the Work attributable to the change, includingWork, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner may prescribe, an itemized accounting together accordance with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose Section 15.11 of this paragraph shall be limited to Agreement.
3.2.4 After Owner has issued a Construction Change Directive and pending final determination of the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personneladjustment, if any, directly attributable to in the change.
(g) Pending final determination of cost to the OwnerContract Sum, amounts any amount not in dispute may be included in Certificates and Payment Applications for Payment. The amount of credit to be allowed paid by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Price shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 1 contract
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Program Manager, or Engineer Architect and signed by the OwnerOwner and Architect, Engineer or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Lump Sum Price or of the Substantial Completion Datesubstantial completion date, or both. The Owner may, may by Construction Change Directive, without invalidating this ContractAgreement, order changes in the Work consisting of additions, deletions or other revisions.
(b) . A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) Change Order. If the Construction Change Directive provides for an adjustment to the Lump Sum Price, the adjustment shall be based on one of the following methods:
(1) : Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation substantiating data to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties parties and a mutually acceptable fixed or percentage fee; or
(4) and As provided in paragraph subparagraph (f) of this Section 9.02.
(d) ). Upon receipt of a Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the Owner Architect of the Contractor’s agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Lump Sum Price or the Substantial Completion Date.
(e) substantial completion date. A Construction Change Directive signed by the Contractor indicates the agreement of the Contractor therewith, including adjustment in Lump Sum Price and the Contract Price, the Substantial Completion Date substantial completion date or the method of determining the adjustmentthem. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
(f) Change Order. If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Lump Sum Price, the method and the adjustment shall be determined by the Owner Architect on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor shall keep and present, in such form as the Owner Architect may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following:
(1) : The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, agreement and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, supplies and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) and The actual additional costs of supervision and field office personnel, if any, any directly attributable to the change.
(g) . Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor to the Owner for a deletion or change which results in a net decrease in the Contract Price of work shall be actual net cost, as confirmed by the Ownersum of the costs the Contractor would have incurred to perform the deleted work and a reasonable allowance for profit and overhead on the deleted work. When both additions and credits covering related Work or substitutions are involved in a change, the allowance Lump Sum Price shall be adjusted by the net costs of the change and an amount for overhead and profit shall be calculated on the basis of net increase, if any, increase or decrease with respect to that change. Change Order Procedure. Upon receipt of a request from the Owner for extra Work or changes in the Work, the Contractor shall furnish to the Owner and the Architect a statement setting forth in detail the proposal of the Contractor for performing the extra Work or changes and the effect of the extra Work or changes, if any, in the Lump Sum Price and the substantial completion date attributable to the extra Work or changes set forth in the request of the Owner. If the Owner approves in writing the proposal of the Contractor, a Change Order in the form provided by the Architect shall be executed by the parties and the Lump Sum Price and the substantial completion date shall be adjusted accordingly.
Appears in 1 contract
Samples: Lump Sum Construction Agreement
Construction Change Directive. (a) A Construction Change Directive is a written order prepared by the Owner, Owner or Program Manager, or Engineer and signed by the Owner, Engineer Owner or Program Manager directing a change in the Work and stating a proposed basis for adjustment, if any, in the Contract Price GMP or the Substantial Completion Date, or both. The Owner may, by Construction Change Directive, without invalidating this Contract, order changes in the Work consisting of additions, deletions or other revisions.
(b) A Construction Change Directive shall be used in the absence of an agreement on the terms of a Contract Amendment.
(c) If the Construction Change Directive provides for an adjustment to the Lump Sum PriceGMP, the adjustment shall be based on one of the following methods:
(1) Mutual acceptance of a lump sum properly itemized and supported by sufficient documentation to permit evaluation; or
(2) Unit prices stated in the Contract Documents or subsequently agreed upon; or
(3) Cost to be determined in a manner agreed upon by the Parties and a mutually acceptable fixed or percentage fee; or
(4) As provided in paragraph (f) of this Section 9.0211.2.
(d) Upon receipt of a Construction Change Directive, the Contractor XXXX shall promptly proceed with the change in the Work involved and advise the Owner of the Contractor’s XXXX’x agreement or disagreement with the method, if any, provided in the Construction Change Directive for determining the proposed adjustment in the Contract Price GMP or the Substantial Completion Date.
(e) A Construction Change Directive signed by the Contractor XXXX indicates the agreement of the Contractor XXXX therewith, including adjustment in the Contract PriceGMP, the Substantial Completion Date or the method of determining the adjustment. Such agreement shall be effective immediately and shall be recorded as a Contract Amendment.
(f) If the Contractor XXXX does not respond promptly or disagrees with the method for adjustment in the Contract PriceGMP, the method and the adjustment shall be determined by the Owner on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in case of an increase in the Contract Price, a reasonable allowance for overhead and profit. In such case, the Contractor XXXX shall keep and present, in such form as the Owner may prescribe, an itemized accounting together with appropriate supporting data. Unless otherwise provided in the Contract Documents, costs for the purpose of this paragraph shall be limited to the following:
(1) The actual cost for labor, including social security and unemployment insurance, fringe benefits required by agreement, and workers’ or workmen’s compensation insurance; and/or
(2) The actual cost of materials, supplies, machinery, and equipment, including cost of transportation, whether incorporated or consumed; and/or
(3) The actual cost of subcontractors and sub-subcontractors; and/or
(4) The actual cost of premiums for all bonds and insurance, permit fees and sales, use or similar taxes related to the Work; and/or
(5) The actual additional costs of supervision and field office personnel, if any, directly attributable to the change.
(g) in accordance with Section 6.4 Pending final determination of cost to the Owner, amounts not in dispute may be included in Certificates and Applications for Payment. The amount of credit to be allowed by the Contractor XXXX to the Owner for a deletion or change which results in a net decrease in the Contract Price GMP shall be actual net cost, as confirmed by the Owner. When both additions and credits covering related Work or substitutions are involved in a change, the allowance for overhead and profit shall be calculated on the basis of net increase, if any, with respect to that change.
Appears in 1 contract
Samples: Construction Management Agreement