Change Orders

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Change Order Standard Clauses

The following are examples of standard clauses for specific situations found in various types of change orders. Customize the standard clauses to read what is appropriate for the change order being written. NOTE: Any [items in brackets] are not part of the clause, but are instructions for using the clause.

  • Adjustment Deferred for Increase in Quantities in Excess of 25 Percent of the Quantities Shown on the Bid Item List

    Any adjustment due in accordance with Section 9-1.06B, "Increases of More Than 25 Percent," of the Standard Specifications for bid item(s) No. _______ is deferred.

  • Adjustment for Increase in Quantities in Excess of 25 Percent of the Quantities Shown on the Bid Item List

    Payment adjustment in accordance with Section 9-1.06B, "Increases of More Than 25 Percent," of the Standard Specifications:

    The following adjustment(s) will be made for units of work in excess of 125 percent of the quantities shown on the bid item list:

    [List the bid(s), unit adjustments, quantities, and total item adjustment(s).]

    Or, for a single bid item:

    In accordance with Section 9-1.06B, "Increases of More Than 25 Percent," of the Standard Specifications, the adjustment of the bid item unit price for the quantity in excess of 125 percent of the quantities shown on the bid item list for bid item No. _____ [item description] will be $____ per _____ increase [or decrease].

    [When you know the total pay quantity, you may apply the unit adjustment to a fixed quantity for an exact total adjustment. When the total pay quantity has not yet been determined, you may apply the unit adjustment to an estimated quantity for an estimated total adjustment.]

  • Adjustment Deferred for Decrease of More Than 25 Percent of the Quantities Shown on the Bid Item List

    Any adjustment due in accordance with Section 9-1.06C, "Decreases of More Than 25 Percent," of the Standard Specifications for bid item(s) No. _____, [item title] is deferred.

  • Adjustment for Decrease of More Than 25 Percent

    Adjustment in accordance with Section 9-1.06C, "Decreases of More Than 25 Percent," of the Standard Specifications:

    The following adjustments will be made for bid items that underran the quantities shown on the bid item list by more than 25 percent:

    Or [for a single bid item]

    In accordance with Section 9-1.06C, "Decreases of More Than 25 Percent," of the Standard Specifications, the adjustment of the bid item unit price for bid item No. _____ [item description] will be $_____ increase.

    [Normally, in the case of an underrun, you must know the total pay quantity before determining the adjustment. It is usually more efficient to show the adjustment as a lump sum amount because of the specified limit of 75 percent of the quantities shown on the bid item list for total compensation.]

  • No Adjustment Due to Increases or Decreases of More Than 25 Percent of the Quantities Shown on the Bid Item List

    No adjustment(s) to the bid item unit price of item(s), No.____ [item title], will be made in accordance with Section 9-1.06B, "Increases of More Than 25 Percent," of the Standard Specifications. [Or, for decreases, use Section 9-1.06C, "Decreases of More Than 25 Percent," of the Standard Specifications.]

    Or [when waiving adjustments for both increases and decreases]

    There will be no adjustment for items No. _____ and No. _____ [item titles] in accordance with Section 9-1.06, "Changed Quantity Payment Adjustments," of the Standard Specifications by reason of this change order.

    [The contractor must be in agreement and execute the change order before a payment adjustment for increased or decreased quantities is waived.]

  • Adjustment Deferred Due to Possible Work-Character Change

    Any adjustment due in the bid item unit price(s) of item(s) No. ___, [item title] in accordance with the provisions in Section 4-1.05B, "Work-Character Changes," of the Standard Specifications, is deferred.

  • Eliminated Item, Adjustment Deferred

    Any adjustment due in accordance with Section 9-1.06D, "Eliminated Items," of the Standard Specifications of bid item No._____ will be deferred until all incurred or unavoidable costs can be determined.

  • Eliminated Item, Adjustment Determined

    In accordance with Section 9-1.06D, "Eliminated Items," of the Standard Specifications, the adjustment due to the elimination of item(s) No. _____, [item title] is zero. [Or replace zero with whatever costs the contractor has incurred.]

  • Revised Final Pay Item Quantities

    The quantity increase shown for bid item No. ____, [item title] when combined with the quantity shown in the bid item list, and as modified by any previous change orders or revisions to dimensions made by the engineer, shall be the final quantity for which payment will be made.

  • Extra Work or Payment Adjustment at Agreed Unit Price

    For this work, the contractor shall receive and accept $ __ per [unit] of [pipe, fence, among other items]. This sum constitutes full and complete compensation for furnishing all labor, material, equipment, tools, and incidentals including all markups by reason of this change.

  • Extra Work or Payment Adjustment at Agreed Lump Sum Price

    For this work, the contractor will be paid the sum of $ ___. This sum constitutes full and complete compensation, including all markups for this change.

    Or

    For this work, the contractor shall receive and accept the agreed lump sum of $ ____. This sum constitutes full and complete compensation for providing all labor, material, equipment, tools and incidentals, and includes all markups by reason of this change.

    Or

    For this reduction, the contractor agrees to [or will] credit [or pay] the state a lump sum of $ ___. This sum constitutes full and complete compensation, including all markups for this change.

    Or

    The state will accept a lump sum payment of $ ___ as full compensation for this change.

    Or

    The contractor shall credit the state $ ___ for each [unit] of item(s) No. ____ [item title]. This sum constitutes full and complete compensation for this change.

    Or

    There shall be no cost or credit to the state by reason of this change.

  • Time Adjustment

    Consideration of a time adjustment will be deferred until completion of the work specified in this change order. A determination of a time adjustment will be made in accordance with Section 8-1.07, "Delays," of the Standard Specifications.

    Or

    A determination of the delay in completion of the contract due to the work specified by change order No. ____ has been made in accordance with the provisions of Section 8-1.07, "Delays," of the Standard Specifications. [Add either of the following sentences to this clause.]

    Change order No. _____ included the controlling activity for the following dates: [list dates—mm/dd/yy]. The contractor shall be granted [number] working days for the following dates: [list dates—mm/dd/yy].

    Or

    A determination of the delay in completion of the contract due to work specified by change order no. ___ for work performed from [mm/dd/yy] to [mm/dd/yy] [or on mm/dd/yy] has been made. Consideration of a time adjustment for the remaining work continues to be deferred.

    Refer to Example 5-3.13, "Resolution of Deferred Time Adjustment," of this manual.

  • Deferred Adjustment for Delay

    Any payment adjustment due to possible delays to the work resulting from this change is deferred until completion of the work. The adjustment will be made in accordance with Section 8-1.07, "Delays," of the Standard Specifications.

  • Payment Adjustment for Overhead Costs

    In accordance with Section 9-1.17C, "Proposed Final Estimate," of the Standard Specifications, the contractor shall receive the total sum of $ ___ to compensate adjusted overhead costs.

  • Dispute/Claim Entitlement/Claim Settlement

    Payment indicated in this change order provides for full settlement of all claims on this contract [or the contractor’s claim No. ____.]

    Or

    Grant the contractor [number] working days, reducing the overrun in contract time by [number] calendar days, which provides for full settlement of all claims on this contract.

    Or

    This change order resolves notice of potential claim No. ____, dated [date].

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California Department of Transportation
Division of Construction
1120 N Street Room 2500
Sacramento, CA 95814

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California Department of Transportation
Division of Construction
MS 44
1120 N Street Room 2500
Sacramento, CA 95814

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