As part of our (Subcontractor) CE to recover the time and costs caused by COVID-19 we have been prompted by the Contractor to provide some risk allowance and assumptions. We have Sectional Completions on the contract with 2 remaining to be complete.
I think the best place to put this risk allowance would be as an activity between the last sectional completion and planned Completion. If there were further delays to any of the sectional completions then I can use this risk allowance as float?
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The best way to show time risk allowance is as a separate column with a stated number of days which are included in the activity. The ECS describes float and time risk allowance as separate and distinct things. Some people describe a time risk allowance as a type of float however I don’t agree with this this personally. A time risk allowance is for something, a risk you perceive may affect that activity (often a productivity risk but not always), whereas float is for nothing, it’s a gap, an absence of activity if you like. Historically we haven’t had to make this distinction or been used to having to show time risk allowance on our programmes so may have either just included it in the activity duration or used float in the same way.
Terminal float i.e. the difference between planned sectional Completion and the sectional Completion Date belongs to the Subcontractor and cannot be used by the Contractor to absorb their delays / CEs. Activity float means the activity is not on the critical path and as such this can be used by the Contractor to absorb their delays / CEs.
On activities that have both time risk allowance and float, if you are delayed you would first use up the time risk allowance, then the float would be absorbed, however if there was a Contractor delay / CE then this may use up the float before the Subcontractor gets to it and as such would have been better off showing this as time risk allowance within the activity duration.
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