Chapter 31: Contract Admin

Question 1

what are some examples of contract documents that a contractor would submit

Answer 1

shop drawings from subcontractors, samples and product data

Question 2

who reviews the shop drawings

Answer 2

the contractor first, then sends it to the designer. Designer should not review the shop drawing if the contractor has not signed it

Question 3

what is the designer looking for when reviewing shop drawings

Answer 3

checking for conformance with the info given and to see if they follow the design intent.

Question 4

who is responsible for the shop drawing’s accuracy of measurements and completness of details and fabrication procedures

Answer 4

the contractor

Question 5

how long does the designer have to review shop drawings

Answer 5

not a specific time but it should be within reasonable promptness so that it doesn’t delay the work

Question 6

if the designer wants to refine the design in a shop drawing review, what would the contractor do

Answer 6

if the new refined design costs more or takes more time, the contractor would request a change order

Question 7

what is the purpose of site visits

Answer 7

to become generally familiar with the progress and quality of the work and keep the owner inofrmed
to gurad the owner against defects in the work
to determine in general if the work is progressing that when it’s completed, it will be in accordance with the contract documents

Question 8

how often should a designer do site visits

Answer 8

up to the judement of the designer based on the size and complexity of the project

Question 9

what should a designer do after a site visit

Answer 9

write up a field report and send it to the ownder and the contractor

Question 10

who pays for work the contractor has done that does not conform to the contract documents

Answer 10

the contractor pays for the extra time and expense and must quickly correct the rejected work

Question 11

who has the authority to reject work not conforming to the contract documents- the owner or designer

Answer 11

the designer

Question 12

if the designer sees a safety issue on site, what should they do

Answer 12

tell the contractor and owner about what they saw and send a notice in writing as well

Question 13

what phase of the project do disputes and claims usually hapen

Answer 13

during the construction phase

Question 14

what is a claim

Answer 14

demand by the contractor or owner seeking payment, extention of time or adjustment of the contract terms

Question 15

how long does the person have to make a claim from when the incident occured

Answer 15

21 days

Question 16

how long does the designer have to review the claim and take preliminary action (what is prelim action?)

Answer 16

10 days after they get the claim.

prelim action- requesting additional data, suggesting compromise, accepting or rejecting the claim or say they can’t do anything due to lack of info. This decision is final and binding but is subject to mediation and arbitration

Question 17

what are two types of common construction claims

Answer 17

1. claims for additional time– must submit the reasons and an estimate of the cost
2. claims for concealed or unknown conditions- contractor might need additional time or money. but to meet this claim, the problem must have been physically concealed or be unusual. you have 21 days for these two types

Question 18

what is mediation

Answer 18

neutral third party assists the disputing parties to negotiate a settlement.

Question 19

what is arbitration

Answer 19

legally binding process for resolving disputes with out having to go to court. a person with experience in the construction industries hears the disputing parties’ arguments and then comes to a decision on their own and that is the final decision

Question 20

what is the process for claims

Answer 20

contractor files a claim, gives it to the designer, designer may approve or reject eventually. If the contractor doesn’t agree, then they can go to mediation to get a third party’s opinion. If they are still not satisfied, then you go to arbitration

Question 21

after the contract has been awarded, how do you deal with changes to the design during construction (don’t describe)

Answer 21

1. minor changes in the work
2. Construction change directive
3. Formal change order

Question 22

what is a minor change in work

Answer 22

a change that doesn’t make the contract sum more or less, the designer can issue a written order directing the contractor to make a minor change. like moving a door opening over 6” before it’s framed. do not need owner approval

Question 23

what is a construction change directive

Answer 23

a change needs to be made right away but the owner and contractor can’t agree on a price or time revision.

gives the owner a way to unilaterally order changes to the contract with out changing the terms of the contract. may involve additions, deletions or other revisions. signed by ID and owner

Question 24

what is a change order

Answer 24

variation from the original contract documents that involves a change in price or time or both. must be approved by designer, owner and contractor once they all agree to the change in cost or time.

Question 25

what is a progress payment

Answer 25

contractor requests period payments against the contract sum. it’s the designer’s responsibility to make sure the amount requested makes sense with what work has been done and material stored. if designer approves, sends it to the client

Question 26

who is responsible for the inspection of items that are delivered

Answer 26

the owner

Question 27

what is a project closestout

Answer 27

after the building work is completed and everything is installed (including furniture) and it’s ready for occupancy. the contractor notifies the designer in writing with a list of things to be completed prior to final payment. the designer then inspects

Question 28

what is a certificate of substantial completion

Answer 28

once the designer if confident the corrections have been made by the contractor, the designer then says that the work is sufficiently complete in accordance with the contract documents so the owner can use the space for its intended purpose. has legal implications. warranties usually start on the day of substantial completion.

Question 29

when does the designer issue a final certificate for payment

Answer 29

after the certificate of substantial completion is issued

Question 30

when is a punch list made

Answer 30

during the project close out before the substantial completion.

Question 31

who takes care of the final cleaning of the project

Answer 31

contractor

Question 32

when does the designer’s services terminate

Answer 32

when the certificate of final payment is issued

Question 33

what is a tennant work letter

Answer 33

an agreement btwn the landlord and the tennant that details the initial tennant imporvments

construction manager, arch, designer and contractors and lendor all review the tenant work order

includes:
who pays for it
who is handling the construction
the schedule
cost
design quality
construction quality
construction allowance from the landlord so there are no misunderstandings

Question 34

who pays for the improvements in a tenant space

Answer 34

trhe tenant usually but sometimes the landlord will pay

Question 35

who is responsible for the construction of a leased space

Answer 35

either the landlord or the tenant

Question 36

what is a construction allowance in a tenant space

Answer 36

the part that the landlord has agreed to fund. Usually done by square feet like they’ll pay $32/sf

Question 37

what are some things a landlord might pay for in a reno

Answer 37

consultant's fees (arch, eng, ID)
cost of labour and materials
site inspections
filing of the process
taxes
utility connections

Question 38

what are the landlord’s goals typically in renovating a space

Answer 38

minimize expenditures
reduce liabilty
achieve uniform construction
do as many projects in the building as once because cheaper since you already have the ppl there
control scheduling
protect other tenants from the construction interference

Question 39

what are the tenant’s goals when renovating a space

Answer 39

meet their business needs
complete by the date necessary 
minimize disruption of their operations
contain costs
avoid responsibility for base building improvements