Change Orders

Change Orders 5. Change orders are allowable provided the costs are: A. Necessary and reasonable. B. Within the scope of the project. C. Not caused by the Grant recipient's mismanagement. D. Not caused by the Grant recipient's vicarious liability for the improper actions of others. E. In conformance with the ARPA RWAIG regulations. F. Asset management plan for constructed components of the funded project. 6. Provided the above requirements are met, the following are examples of allowable change orders. A. Construction costs resulting from defects in the plans, design drawings and specifications, or other contract documents only to the extent that the costs would have been incurred if the contract documents on which the bids were based had been free of the defects, and excluding the costs of any rework, delay, acceleration, or disruption caused by such defects. If the defect is realized after substantial construction work has been completed, and therefore requires rework, delay, or additional work beyond that which would have been required by defect-free drawings, the cost would still be allowable, but the additional cost of rework or delay is unallowable. The additional cost is measured as the difference between the cost which would have been included in the bid based on defect free drawings and the actual cost of the change order. B. Equitable adjustments for differing site conditions.