I am the Project Manager on the construction of a new asset for a client. The contract is ECC option A with secondary options X15 and Y(UK)2 being incorporated. The Contractor has submitted his first programme for acceptance in accordance with the contract timescales but now realises he has not priced a 30m length of security fencing, nor is it shown on the programme. Can the Contractor be paid for this fencing.
What happens to the accepted programme now that both the Project Manager and Contractor realise there is an error on it.
A month later the Contractor has sent out some inquiries for some subcontracting piling works, which is Contractor designed to meet a performance specification in the Works Information provided by the employer. The price is 30% more than he has allowed for in his tender. The Contractor is advised by one tendering subcontractor that some alternative piling could be provided at half the quotated price and which meets the performance specification for the piling in the works information.
Can the contractor change the piling method he has priced upon and shown in the accepted programme?
On what grounds can the contractor submit a revision of the activity schedule to the project manager for acceptance?
OK three questions in one, so here goes:
- Contractor is paid in line with completed items on their activity schedule. Fact it is or is not on their programme is kind of irrelevant. If the activity schedule does not include for that stretch of fencing then they will not be paid specifically for it, yet have to provide it if it was in the Works Information at tender stage.
2)If the alternative piling solution meets the Works Information then there is no reason not to go with that and the Contractor would benefit from the value engineering if it is an idea they have come up with for something that is their design responsibility (see exception within 60.1(1)). If however it may be a bit subjective if it complies with Works Information I would get Project Manager buy in that this solution everyone is happy with.
- and finally, Contractor can provide a revised activity schedule for acceptance if the Contractor changes a planned method of working that means the activity schedule no longer reflects the operations on the Accepted Programme(54.2). The PM should accept that revised activity schedule, unless it is not in line with accepted programme, or does not reflect the total of prices, or costs are not evenly distributed.
Hi Glenn,
Please help:
Could you help Q2 - What happens to the accepted programme now that both the Project Manager and Contractor realise there is an error on it.? (did I miss your answer). Please elaborate. Appreciate.
Please note that our reply 1), 2) & 3) are answers to Q1, Q3 & Q4.
The Contractor should revise the programme at that point or at least before the next programme gets issued for acceptance, otherwise it will be rejected. Contractor can revise and issue a revised programme at any stage (see clause 32.2).
Hi Glenn,
Can the Contractor be paid for this fencing if it was an Option C contract? How would the answer to Option A differ?
Many thanks
Is that a genuine question or are you also doing the NEC PM test?
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