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NEC ECS: Option B - pricing up new works on day rate

0 votes
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We have a BoQ in the subcontract where one type of marker post is missing. We have asked to price up the missing posts and subcontractor priced it all up using subcontract day rates (labour, plant and materials), which turns out that cost per post is 5 times higher than a similar type post cost in the BoQs.

Can the subcontractor do that and do we have any leg to stand on in asking to revise the quotation as the cost is excessive in comparison to similar types of posts? What are my options in trying to bring the cost down?
asked Oct 5 in Compensation Events by cmantas (140 points)  

1 Answer

+1 vote
If it is a bill omission then the subcontractor is within its rights to request a CE under 60.6 for correction of the BoQ.

Since it is a CE the default assessment is Defined Cost + Fee. The assessment needs to be based on realistic resources and durations/outputs.  The fact that this may come to more (or less) then similar bill items is the Employer’s risk since it prepared the bills.

If the omission is due to a change in Works Information eg type A (in the BoQ) changed to type B (not in BoQ) then the assessment of the CE would be the change in Defined Cost + fee between the type B and type A and any increase (or decrease) would be added. The assessment would not be Defined Cost + fee of type B less BoQ rate for type A.
answered Oct 7 by dave bates Panel Member (14,180 points)