Friday, February 17, 2012

Change orders vs. soft costs

Still learning about change orders and soft costs. I just approved a comment under Change Orders Under $30,000???

Is the $120,520 "Asbestos sampling and testing" contract being awarded at Monday's meeting a "change order"? Shouldn't such asbestos sampling and testing have been part of the project's budget?
I am so confused, as is this person reveals in his email.
I am a tad confused by the "Asbestos sampling and testing" contract being awarded at Monday's meeting (Feb 20). I've listened to the Discussion meeting twice on Channel 19 and the dancing shed no light. Are "soft costs" costs that get put off until the project starts?

3 comments:

Anonymous said...

Was the $120,000 testing contract put out for 3 competitive bids as required by law?
According to the PDE:
"The following definition applies to supplemental contracts:
A supplemental contract is for work substantially different in scope from that originally specified and approved under the original project. Supplemental contacts are subject to the requirements for solicitation of bids from at least three responsible bidders for work costing up to $10,000, or for proper advertisement and competitive bidding for work greater than $10,000."
Andy Bradford

Pam Scott said...

Yes, Andy. There were three bids that were opened on 18 January, according to the 13 February 2012 school board meeting agenda that is on the school district's website.

Anonymous said...

This will be a project cost likely placed under the "Permit costs/abatement/insurance/owners contingency" category in the project cost buildup model. The construction contracts plus this category equal what is termed project hard costs, I believe.

Wonder why it was not arranged earlier, say around or shortly after bid opening & construction contract awards ?

Bill Lewis