CLAIMS AND DOCUMENTATION

WHAT IS A CLAIM? A demand or request for something considered one's due.

WHY IS THERE A CLAIM? The contractor feels deprived of something—usually time or money or both. The contractor believes it is someone’s fault, usually the Department, but it may be an outside entity (utility or railroad). A contract stipulation has been violated.

How could a contractor have a basis for a claim? We have the following: Standard Specifications Supplement Specifications Standard Drawings Plans Proposal Questions and Answers

Error in the contract documents

Project is unable to proceed due to utilities in the way

Communication

Interpretation

Getting started on the right track Communication (from the start of the project.) Clear, and if not, ask questions Document— or letter Follow up if no response

Getting started on the right track Schedule. Must be checked and verified before work commences. Updates must be made if something changes.

But if things don’t go well… Standard Specification Must file the Notice of Changed Condition/Disagreement. Must be done within 10 days that the contractor knew or should have known of the events causing the claim. IMPORTANT—Notice and Acceptance of the Notice does not: Validate the claim. Cause the work to stop. The contractor must complete the work.

Typical Claim Costs Direct cost Indirect cost (OH & Profit) Overhead cost

Documentation No such thing as too much. Examples Weather on the site Equipment-types, models, working or idle Personnel-work performed Type of work conducted daily on the project Document why a decision was made Pictures are great

Every project delay is different; There is no standard delay Very hard to standardize the process. Must review all the facts and make a decision that is in the best interest of the Department. Obviously, the best solution is to wait until the projects are clear and ready to be constructed. Is this going to happen? Not likely.

Questions?