Change Orders Block 3 - How to Execute a Change Order

In Change Orders Block 3 - How to Execute a Change Order , you'll learn ...

• Determining a change order format
• Preparing a request for a change order proposal
• Determining the engineer's and architect's fees for change order processing
• The components of a change order proposal

Overview

Credit: 2 PDH

Length: 29 pages

In this course - the third in a 3-part series on Change Orders - we examine how to execute a change order. Once a change is identified and is found to really be a change, not just a clarification, then a change order will need to be processed. Before a project is initiated, the format for change orders should be defined. The engineer and architect should also identify in the contract documents the method that will be used to compensate the engineer and architect for their efforts in the change order process.

When a change is identified, a request for a change order is sent to the Owner. Once the Owner approves the effort to process the change order, it is sent to the Contractor for pricing. The Contractor's change order proposal consists of a cover letter, summary sheet, and detailed "breakdown" sheets which itemize the material and labor costs for each item associated with the change.

Although a diligent Contractor may wish to get started immediately, it is imperative that the Contractor wait for approval of the change order before commencing material orders and work associated with the change. It is the job of the engineer and the architect to evaluate change orders quickly and forward them to the Owner immediately to preclude claims of "delay" by the Contractor.

This course will show you, as the engineer or architect, how to execute change orders, from initiation until the change order is approved and work commences. You will also learn how to track change orders in a log throughout the life of the project.