There are approximately 100 people on site on my current project. 60% of the staff
are employed by the Contractor (either directly or via agency). The remaining 40% are 3rd parties - consultants and the like.
The Contractor is adamant that the cost of any items which would ordinarily fall under WAOH (for which the Contractor is being reimbursed via his fee % - e.g. items related to sanitation, copying etc) which are used by ALL the staff must be split accordingly. In other words, he believes he is entitled to 40% of the communal-use items as a result of them being used by 3rd parties.
Is this correct? How does the NEC deal with such a scenario? Surely the Contractor must have envisaged 3rd parties also being based on site and should therefore have accounted for such an expense in his fee.
I should also add that there is no cost component listed in the SOCC that allows the Contractor to allocate such a cost. The only potential component states “payments for all consumables and equipment provided by the Contractor for the Project Manager’s and Supervisor’s offices.” Even if we were to accept this component, it, strictly speaking, only results in paying for 2 people – the PM and Supervisor.