When contractors seek additional compensation for changes, differing site conditions or other delays, they must convince the DOT or court of the amount they are entitled to be paid. Today’s post discusses one approach to recovery.
Continue Reading Measured Mile: How Contractors Can Recover for Lost Productivity
Federal Construction
Dear Contractor, Here is a List of Common Scheduling Mistakes
Many delay, disruption, and loss of productivity claims are lost or substantially reduced in value because mistakes, errors and carelessness are reflected in the original schedule and plan of operations. The original schedule is often the first piece of documentation that the owner receives demonstrating the contractor’s professionalism in planning and management.
Contractors should pay…
End of the Road for One Highway Contractor’s Claim
Words matter. Yesterday, the Supreme Court of Tennessee released its decision in a construction dispute between Ray Bell Construction Company and the Tennessee Department of Transportation. Where the contractor won the first two rounds at the trial court and intermediate appellate court levels, TDOT prevailed in the final appeal.
The Dispute. The primary issue in…
New Rules on Joint Ventures Between Section 8(a) and Large Contractors
Some of the most frequent public contracting questions I receive are about the permissible activities for joint ventures between a minority contractor and a larger contractor. In February 2011, the Small Business Administration made some significant changes to its Section 8(a) business development program, which helped me answer many of those questions.
One major category…
Spearin and Luria Bros: Two Cases Every Federal Contractor Should Know
Where is the best place to start when you have been away from work for a family emergency? Naturally, you go back to the basics. In my next few posts, I review some of the "basic building block" or "essential" construction cases every contractor should know. The first two are Spearin and Luria Bros.
U.S. …
Transportation Contractors: What Is an Unbalanced Bid and Why Should You Care?
Last week, contractors and subcontractors bidding on Tennessee Department of Transportation projects received an alert from Brian Egan, TDOT Director of Construction, warning of a noticeable increase in unbalance bids [pdf]. While the rules differ among each state, you should take Egan’s warning to heart since the consequence of submitting of an unbalanced bid can…
What Happens When Parties Are “Unclear” in Their Construction Contracts?
Last week I wrote a post about what is considered timely acceptance of a subcontractor’s quote. My friend and former colleague, Brian Waagner, submitted a comment to that post, focusing on the importance of a written contract. Brian also blogs at The Contractor’s Perspective. Brian’s comments are on-point, so I have included…
How Do Courts Treat Unbalanced Bids in Public Contracts?
It’s a story you have heard many times: There is an invitation for bids. There are numerous bidders … more than usual. The lowest two or three bids simply don’t make mathematical sense. On paper, it must be an unbalanced bid or an unreasonably low offer. What can you do?
Although a few…
New Report: FHWA’s Oversight of Federal-Aid and Federal Recovery Act Projects
On July 15, 2011, the USDOT’s Office of Inspector General (DOT-OIG) issued a final report on the Federal Highway Administration’s (FHWA) oversight of federal-aid and Recovery Act projects administered by Local Public Agencies (LPA). You can download a copy of the report here [pdf].
The DOT-OIG initiated the audit because the FHWA previously acknowledged that LPAs…
A Federal Lien? Bill Would Require Repayment of Federal $$ in Privatization of Projects
There’s a debate in Congress. There’s a debate in Congress between Chicago’s two senators. There’s a debate in Congress between Chicago’s two senators about privatization.
Last week, Bob Sechler of the Wall Street Journal described newly introduced legislation from Senator Dick Durbin (D-Ill) called “The Protecting Taxpayers in Transportation Asset Transfers Act.” The bill seeks…