Common use of Construction Cost Adjustment Clause in Contracts

Construction Cost Adjustment. Con- tracting Officer, as provided in B5.21, B5.212, B5.251, B5.252, and B5.253, shall adjust Specified Road con- struction cost estimates in the Schedule of Items and show the adjustments as credits or debits to Integrated Resource Account in the month when the road segment is accepted. B5.251 Variation in Quantities. (a) This Item applies only to differences between quantities shown in the Schedule of Items and measured quanti- ties actually constructed and accepted that are not cov- ered under B5.252 or B5.253. Only changes in quanti- ties where other than contract quantities or lump sum is specified in the Schedule of Items are subject to this Item. (b) Adjustments to the Specified Road construction cost for variation in quantities shall be computed at unit rates established in the Schedule of Items for units of work actually constructed and measured in accordance with specified method of measurement shown in the Schedule of Items and described in the specifications identified in A7, except that: (i) When quantity of authorized work per- formed or material furnished by Contractor, under any item shown in the Schedule of Items and cov- ered by this Item, is more than 115 percent of orig- inal quantity, use Current Unit Rates to calculate the adjustment for that portion of work above 115 percent of original quantity. (ii) When quantity of authorized work per- formed or material furnished by Contractor, under any item shown in the Schedule of Items and cov- ered by this Item, is less than 85 percent of original quantity, Forest Service shall make a revised esti- mate of cost for such work. Any revised estimate shall use the same procedures as those used in original estimates using rates comparable to those used in computing the most recent cost estimate for the contract. The revised cost estimate shall take into account any increase or decrease in unit rates that results from a reduction in quantity of work.