I’m working on an Option C contract.
Our Subcontractor has submitted an EW proposing the use a different type of hoarding surrounding the building works in lieu to what was stated within the Works Information.
We’ve reviewed their proposition with our client and against our H&S policy and proposed that they use a different form of hoarding which would be quicker to erect and cheaper to procure & purchase. We have stated the specification / design of that hoarding.
A CE was then instructed by us; The Contractor, to change the Works Information (60.1). The Subcontractor has assessed as zero change to the Target Cost as this in their opinion s an example of Value Engineering thus a reduction to the Defined cost.
My questions are;
Is this correct assessment by the Subcontractor?
Has the Subcontractor notified us correctly of a Value Engineering exercise and,
Is simply making a suggestion considered Value Engineering according to the contract?