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Section 9 – Changes and Claims

pricing data. Additional requirements for cost and pricing data may also be included in the

Special Provisions. The Agency shall have access to the records supporting such cost and

pricing data in accordance with the following Section (Section 9-7, “Access to Records”).

9-7 ACCESS TO RECORDS

Upon reasonable notice and during normal business hours, the Agency shall have access to

the Contractor’s and Subcontractors’ records for the purpose of verifying and evaluating the

accuracy of cost and pricing data submitted by the Contractor. “Records” as used in this

Section shall include, but not be limited to: original estimates, subcontract agreements,

purchase orders, books, documents, accounting records, papers, project correspondence,

project files, and scheduling information necessary to determine the direct and indirect costs,

job site, area and home office overhead, delay and impact costs. Records shall include the

original Bid and all documents related to the Bid and its preparation, the as-planned

construction schedule and all related documents. Such access shall include the right to

examine and audit such records and make excerpts, transcriptions, and photocopies at the

9-8 PAYMENT FOR CHANGES

The method of payment agreed upon by the Contractor and the Agency, or selected by the

Agency in the absence of agreement, shall be set forth in the order for change.

The three methods of payment are as follows:

9-8.01 Lump Sum Price

The Contractor shall submit a lump sum price proposal. The proposal shall include an

estimate of labor, material, equipment, Subcontractor, and material supplier costs.

The proposal shall include labor surcharges of twenty-six percent (26%), sales tax, and

markups as stipulated in Section 9-9, “Markups for Changed Work”, in this Section of these

If payment for Contract work is based on unit prices, payment for changed work will be

made based on actual quantities of work done at the unit prices contained in the Contract or unit

prices otherwise agreed upon by the Agency and Contractor if none are contained in the

Contract. Payment for changed work based on Contract or agreed upon unit prices includes the

full cost of the item of work including profit and overhead; and no additional payment or

adjustment will be allowed. If the final quantity of any item of work required under the Contract

varies from the Engineer’s Estimate by twenty-five percent (25%) or more, compensation will be

adjusted in accordance with State Specification Section 4-1.03B, “Increased or Decreased

9-8.03 Force Account

In the absence of either an agreed lump sum price or unit prices for the change, the Agency

may direct the Contractor to proceed with the changed work on a force account basis. The

Contractor shall keep and present, in a form acceptable to the Agency, a complete and correct

accounting of all costs associated with the change, including all pay records, vouchers,

invoices, etc. The Contractor will be paid for labor, materials, and equipment actually used

during the performance of the changed work as specified in this Section of these Specifications

in Sections 9-8.03.A, “Labor”, 9-8.03.B, “Materials”, and 9-8.03.C, “Equipment”; plus the

percentages stipulated in Section 9-9, “Markups for Changed Work”.

To facilitate agreement on direct craft labor hours, construction equipment hours, and

material quantities, the Contractor shall notify the Agency not less than four (4) hours prior to