109 ACCEPTANCE, MEASUREMENT, AND PAYMENT
109.01 Measurement
of Quantities.
The Department will measure the quantities of Work and calculate payments based
on the method of measurement and basis of payment provisions provided in these
Specifications. When the following units of measure are specified, the
Department will measure quantities as described below unless otherwise
specified in the Contract Documents. The accuracy of individual pay item
estimate payments will be one decimal more accurate than the unit of measure
denoted for the pay item.
Lump
Sum. Not measured.
Describes payment as reimbursement for all resources
necessary to complete the Work. When a complete structure or
structural unit is specified as the unit of measurement, the unit will include
all necessary fittings and accessories.
Each. Measured by the number of
individual items of Work completed.
Foot (Meter). Measured parallel to the longitudinal base or
foundation upon which items are placed, or along the longitudinal surface of
the item. Measured vertically to the nearest 0.1 foot (0.01
m), with a minimum vertical measurement of 1 foot (0.10 m), at each unit.
Square
Yard or Square Foot (Square Meter). Measured by a two-dimensional area method on
the surface of the item.
M Square
Feet. One
thousand square feet.
Cubic
Yard (Cubic Meter). Measured by a three-dimensional volume method. Measure all “loose material” or material “measured in the vehicle”
by the cubic yard (cubic meter). Haul material “measured in the
vehicle” in approved vehicles and measure in the vehicle at the point of
delivery. For this purpose, use approved vehicles of any type or size
satisfactory to the Engineer, provided the vehicle’s bed is of such type that
the actual contents are readily and accurately determined. Unless all
approved vehicles on a job are of uniform capacity, each approved vehicle must
bear a legible identification mark indicating the specific approved
capacity. The Inspector may reject all loads not hauled in such approved vehicles.
Cubic Yard
(Cubic Meter) for Asphalt Concrete.
Measure as specified in 401.21.
Acre (Hectare). Measured by a two-dimensional area method on
the surface to the nearest 0.1 acre (0.05 ha).
Pound (Kilogram). Measured by actual item net
weight avoirdupois (mass).
Ton
(Metric Ton). The term
“ton” means the short ton consisting of 2000 pounds avoirdupois. The term
“metric ton” means 1000 kilograms. Weigh all materials that are
proportioned by weight on accurate and approved scales that are operated by
competent, qualified personnel at locations approved by the Engineer.
However, car weights will not be acceptable for materials to be passed through
mixing plants. If trucks are used to haul material being paid for by
weight, weigh the empty truck at least once daily and as the Engineer directs
and only if the weight of the truck is used in determining the ticket
weight. Place a plainly legible identification mark on each truck bearing
the weight of the truck.
For Work on a tonnage basis,
file with the Engineer receipted freight bills for railroad shipments and
certified weight-bills when materials are received by any other method, showing
the actual tonnage used. For Work on a volume basis, itemize evidence of
the volume used.
Gallon
(Liter). Measured by actual item liquid volume. The Department
will measure the following materials by the gallon (liter) at the following
temperatures:
Temperatures |
Items |
60 °F (16 °C) |
Creosote for Priming Coat, Creosote Oil, Creosote Solutions
for Timber Preservatives, Asphalt Primer for Water-proofing, and Liquefier |
100 °F (38 °C) |
RC, MC Asphalt Emulsions, CBAE,
Primer 20, and Primer 100 |
300 °F (149 °C) |
Asphalt Binder |
Measure tank car outage of
asphalt material at its destination before any material has been removed from
the tank car according to Supplement
1060.
Convert the net weight of asphalt
material shipments to gallons (liters) at the specified pay temperature
according to Supplement
1060.
Convert the gallons (liters)
at the measured temperature to gallons (liters) of asphalt material at the
specified pay temperature according to Supplement
1060.
M
Gallon. One thousand gallons.
Thousand
Board Feet, MBF (Cubic Meter). Measure timber by MBF
(cubic meter) actually incorporated in the structure. Base the
measurement on nominal widths, thicknesses, and the extreme length of each
piece.
Standard
Manufactured Items. When
standard manufactured items are specified such as fence, wire, plates, rolled
shapes, pipe conduit, etc., and these items are identified by size, unit weight,
section dimensions, etc., such identification will be to nominal weights or
dimensions set by the industry.
109.02 Measurement
Units.
The Department will measure using either English or metric units as indicated
in the Contract Documents. Use the Tables 109.02-1
and 109.02-2 to convert units when
required. If Tables 109.02-1 and 109.02-2 do not provide a required factor, then use
the appropriate factor provided in the IEEE/ASTM SI 10.
Table 109.02-1 English to SI (Metric) Conversion Factors
Symbol |
When You Know |
Multiply By |
To Find |
Symbol |
Length |
||||
mil |
mils |
25.4 |
micrometers |
µm |
in |
inches |
25.4 |
millimeters |
mm |
ft |
feet |
0.3048 |
meters |
m |
yd |
yards |
0.9144 |
meters |
m |
mi |
miles |
1.609347 |
kilometers |
km |
Area |
||||
in² |
square inches |
645.16 |
square millimeters |
mm² |
ft² |
square feet |
0.09290304 |
square meters |
m² |
yd² |
square yards |
0.8361274 |
square meters |
m² |
ac |
acres |
0.4046873 |
hectares |
ha |
ac |
acres |
4046.873 |
square meters |
m² |
mi² |
square miles |
2.589998 |
square kilometers |
km² |
Volume |
||||
fl oz |
fluid ounces |
29.57353 |
milliliters |
mL |
gal |
gallons |
3.785412 |
liters |
L |
ft³ |
cubic feet |
0.02831685 |
cubic meters |
m³ |
yd³ |
cubic yards |
0.7645549 |
cubic meters |
m³ |
Mass |
||||
oz |
ounces |
28.34952 |
grams |
g |
lb |
pounds |
0.4535924 |
kilograms |
kg |
T |
2000 pounds |
0.9071847 |
metric tons |
t |
Temperature |
||||
°F |
Fahrenheit |
C = (F-32)/1.8 |
Celsius |
°C |
Illumination |
||||
fc |
foot-candles |
10.76391 |
lux |
lx |
fl |
foot-lamberts |
3.426259 |
candelas per |
cd/m² |
Force and Pressure or Stress |
||||
lbf×ft |
pounds-force foot |
1.355818 |
newton meter |
N×m |
lbf |
pounds force |
4.448222 |
newtons |
N |
lbf/ft² |
pounds force per |
47.88026 |
pascals |
Pa |
lbf/in² |
pounds force per |
0.006894757 |
megapascals |
MPa |
Table 109.02-2 SI (Metric) to English Conversion Factors
Symbol |
When You Know |
Multiply By |
To Find |
Symbol |
Length |
||||
µm |
micrometers |
0.03937 |
mils |
mil |
mm |
millimeters |
0.03937 |
inches |
in |
m |
meters |
3.28084 |
feet |
ft |
m |
meters |
1.093613 |
yards |
yd |
km |
kilometers |
0.62137 |
miles |
mi |
Area |
||||
mm² |
square millimeters |
0.00155 |
square inches |
in² |
m² |
square meters |
10.76391 |
square feet |
ft² |
m² |
square meters |
1.19599 |
square yards |
yd² |
ha |
hectares |
2.4710437 |
acres |
ac |
m² |
square meters |
0.000247 |
acres |
ac |
km² |
square kilometers |
0.3861 |
square miles |
mi² |
Volume |
||||
mL |
milliliters |
0.033814 |
fluid ounces |
fl oz |
L |
liters |
0.264172 |
gallons |
gal |
m³ |
cubic meters |
35.31466 |
cubic feet |
ft³ |
m³ |
cubic meters |
1.30795 |
cubic yard |
yd³ |
Mass |
||||
g |
grams |
0.035274 |
ounces |
oz |
kg |
kilograms |
2.204622 |
pounds |
lb |
t |
metric tons |
1.1023114 |
2000 pounds |
T |
Temperature |
||||
°C |
Celsius |
F = 1.8C + 32 |
Fahrenheit |
°F |
Illumination |
||||
lx |
lux |
0.09290304 |
foot-candles |
fc |
cd/m² |
candelas per |
0.29186352 |
foot-lamberts |
fl |
Force and Pressure or Stress |
||||
N×m |
newton meters |
0.7375621 |
pounds-foot force |
lbf ft |
N |
newtons |
0.22480892 |
pound force |
lbf |
Pa |
pascals |
0.02088543 |
pounds force per |
lbf/ft² |
MPa |
megapascals |
145.03774 |
pounds force per |
lbf/in² |
109.03 Scope
of Payment.
Payment of the Contract Price is full compensation for all resources
necessary to complete the Contract Item and maintain the Work. Assume liability
for risk, loss, damage, or expense resulting from the Work. The Contract
Price and Contract Time shall only be changed by written Change Order or as
determined by the Department in writing in accordance with the contract
documents.
109.04 Compensation
for Altered Quantities, Eliminated Items or Termination of the Contract for
Convenience of the Department. If the agreed quantities of
contract items vary from the quantities in the Contract, the Department will
make payment at the original Contract unit prices for the agreed quantities of
Work.
A.
If an item is eliminated in accordance with 104.02.E
or the contract is terminated in accordance with 108.09
the Department will pay the following in addition to that provided by 104.02.D:
1.
Restocking charges supported by paid invoices and an additional 5 percent
markup on the compensation for overhead and profit.
2.
The cost of material transferred to the Department or a local government agency
in lieu of restocking or disposal. The allowed compensation is the paid
invoice cost plus 15 percent markup, but no more than the unit bid price for
the reference number involved.
3.
Hauling costs, if not included in restocking charges, for returned material and
for material delivered to the Department.
B.
If the project is terminated for convenience of the Department, the Department
will negotiate compensation with the Contractor for actual costs incurred as a
result of the termination. The Department will pay for Extra Work as stipulated
in approved Extra Work Change Orders or written authorizations subject to the
limitations set forth in ORC
5525.14. Such authorizations for emergencies and to avoid Project
delays are in advance of an approved Extra Work Change Order and commit the
Department only to the terms of the authorizations. The Department will
pay for Extra Work after the approval of the subsequent Change Order.
109.05 Changes
and Extra Work.
A. General. If the Department revises the Contract under: 104.02, 105.07, 105.10, 105.13, 107.10, 107.14, 107.15, 108.09, 109.06, or 109.07, the
Department will pay for changes and Extra Work with a Change Order using the
sequence specified in 109.05.B through 109.05.E.
In establishing the
method of payment for contract changes or extra work orders, force account
procedures shall only be used when strictly necessary, such as when agreement
cannot be reached with the contractor on the price of a new work item, or when
the extent of work is unknown or is of such character that a price cannot be
determined to a reasonable degree of accuracy. The reason or reasons for using
force account procedures shall be documented.
Unless otherwise
stated in 109.05, the compensation provided in 109.05.B through 109.05.E
constitutes payment in full for all changes and Extra Work completed by
original Contract Price, agreed unit price, agreed lump sum price, and for work
performed on a force account basis, including:
1.
Administration.
2.
Superintendence.
3.
Project and field office overhead.
4.
Home office overhead.
5.
Use of tools and equipment for which no rental is allowed.
6.
Profit.
7.
Taxes other than sales tax.
8.
Premiums on insurance including additional premiums for Commercial General
Liability Insurance required by 107.12.B and any
additional coverage carried by the Contractor or subcontractor, excluding
pollution and railroad General Liability Insurance. The Department will
pay the Contractor’s pollution and railroad liability insurance premiums, if
required by the contract, by a separate Change Order for the cost of the
premium without any markup. When the Contractors or subcontractors basic
rate for General Commercial Liability Insurance required by 107.12.B is greater than 5 percent of payroll, the
Department will pay directly without markup the portion of the premium in
excess of 5 percent and provide copies of paid premiums.
Sales tax will not be
allowed on any item for which tax exemption was obtained.
B. Negotiated Prices. Negotiated prices for changes and Extra Work
shall be comparable to prices that would have resulted from a competitive bid
contract. The Engineer and Contractor will negotiate agreed unit or lump
sum prices using one or more of the following methods:
1.
Original Contract prices for similar work but adjusted for:
a. increased or decreased
material costs specified in 109.05.C.3.
b. increased or decreased
labor costs specified in 109.05.C.2
c. increased or decreased
equipment costs specified in 109.05.C.4
Adjustments
of these prices for inflation or markup for subcontractor work is not allowed.
2.
State-wide average unit price awarded for the item or items as listed in the
Department’s annual “Summary
of Contracts Awarded.” These prices may be adjusted for inflation
using factors issued by the Office
of Construction Administration. No markup for subcontractor work is
allowed.
3.
Average price awarded on three different projects of similar work and
quantity. These prices may be adjusted for inflation using factors issued
by the Office
of Construction Administration. No markup for subcontractor work is
allowed.
4.
Prices computed by the Office
of Estimating.
5.
Cost analysis of labor, material, equipment, and markups as allowed in 109.05.C.
6.
For the cost of compensable delays as defined in 108.06,
prepare a cost analysis as allowed by 109.05.D.
Provide proposed
pricing and cost justification for changes or Extra Work within 5 business days
after the Department’s request. The Department will respond within 5
business days after receipt of the Contractor’s proposal. The Department
and the Contractor can mutually agree to extend these 5-day time limits.
If the Department
negotiates with the Contractor but does not agree on a price adjustment, the
Engineer may direct the Contractor to perform all or part of the revised Work
under force account.
C.
Force Account.
1.
General. The Engineer may
direct the Contractor to perform the revised Work under force account.
Submit a written proposal and estimated costs for the Work, including the
planned equipment, materials, labor, a work schedule.
The Department will
pay the Contractor as specified in 109.05.C as
full compensation for performing the force account Work. The Project and
Contractor personnel will document the labor and equipment used on the force
account work on a Daily
Force Account Record. At the end of each Workday, the Project and
Contractor personnel will compare and sign the Daily Force Account Record. The
Department will make no force account payment before the Contractor submits an
itemized statement of the costs for that work.
The Engineer will
examine and, if found to be acceptable, approve all rates and costs submitted
by the Contractor.
Provide the following
content in itemized statements for all force account work:
a.
Name, classification, date, daily hours, total hours, rate, and amount for all
labor.
b.
Designation, dates, daily hours, total hours of actual operation and idle time,
Blue Book rate with reference or category, and amount for each unit of
equipment and the applicable Blue Book hourly operating cost for each unit of
equipment and invoices for all rental equipment. The designation includes
the manufacturer’s name or trademark, model number, and year of manufacture.
c.
Quantities of materials and prices.
d.
Transportation charges on materials, free on board (F.O.B.) at the job site.
e.
Cost of workers’ compensation insurance premiums, all applicable insurance
premiums, unemployment insurance contributions, and social security tax and
fees or dues required by a collective bargaining agreement. Express each
of these items of cost as a percentage of payroll,
except fees or dues, which should be expressed as a cost per hour.
f.
Documentation showing payment for all surveying, professional, or similar
specialized Work not normally a part of a Department contract.
g.
If materials are taken from Contractor’s stock and original receipted invoices
for the materials and transportation charges do not exist, provide an affidavit
and certify all of the following:
(1) The materials were taken from the
Contractor’s stock.
(2) The quantity shown was actually used for
the force account work.
(3) The price and transportation costs
represent the actual cost to the Contractor.
h.
Documentation showing payment to trucking firms and owner-operators.
Submit documentation showing owner-operations status. When the trucking
is subject to prevailing wage, submit payroll and equipment usage records
according to 109.05.C.1.a, 109.05.C.1.b, and 109.05.C.1.e.
i.
Provide “receipted invoices” for all costs
substantiated by an invoice.
If only part of the
expenditure represented by an invoice is applicable to force account work, or
if the invoice represents expenditure for more than one item of work, clearly
indicate the actual amount of expenditure applicable to each item of
work.
2. Labor. The Department will pay the wages and fringe
benefits currently in effect for each hour the Work is performed by all labor
employed in the Work and all foremen in direct charge of the specific
operation. The Department will pay an additional 38 percent markup on
these wages and benefits. “Fringe benefits” are the actual costs paid to,
or on behalf of, workmen by reason of health and welfare benefits, pension fund
benefits, or other benefits, when such amounts are required by prevailing wage
laws or by a collective bargaining agreement or other employment contracts
generally applicable to the classes of labor employed on the Project.
The Department will pay the actual itemized cost, without markup, of
the following payroll taxes and legally required insurances:
a.
Social Security Tax.
b.
Medicare Tax.
c.
Ohio Workers’ Compensation Premiums.
d.
State and Federal Unemployment Insurance.
e. Longshore and Harborworkers’
Compensation Insurance for work from a barge or ship, or unloading material
from a barge or ship.
Provide itemized
statements in addition to the documentation requirements for all labor
including the name, classification, date, daily hours, total hours, rate, and
amount. If any person is paid more than the one rate, a separate listing
shall be made for that person for each rate paid. Provide itemized
statements for Ohio Workers’ Compensation
insurance premiums, all applicable insurance premiums, State and Federal
Unemployment Insurance contributions, and Social Security Tax and fees or dues
required by a collective bargaining agreement. Express each of these
items of cost as a percentage of payroll, except fees
or dues, which shall be expressed as a cost per hour.
Instead of itemizing the cost of Social Security Tax, Ohio Workers’
Compensation, and State and Federal Unemployment Insurance, the Contractor may
elect to receive as compensation for these payroll taxes and premiums, an
amount equal to 22 percent of the paid wages. If the Contractor pays
fringes directly to the worker in lieu of paying into a fringe benefit program,
then the Department will treat these fringe payments as paid wages when
calculating the allowed 22 percent compensation.
The Department will
pay, without markup, the actual itemized cost of fees and dues paid to labor
unions or to business associations when they are based on payroll hours and
required by a collective bargaining agreement.
The Department will
not pay for wages or benefits for personnel connected with the Contractor’s
forces above the classification of foreman that have only general supervisory
responsibility for the force account work.
If the foreman or
timekeeper is employed partly on force account work and partly on other work,
the Contractor shall prorate the number of hours between the force and
non-force account work according to the number of people on each task as shown
on payrolls.
The Department will
pay the prevailing wage and fringe rates that apply to the Project for the
classifications required for Extra Work. The Contractor must provide
payroll records for pay rates higher than the prevailing wages and establish
that the higher than prevailing rates are paid for
original Contract Work. The Department will pay for foremen and time
keepers not covered by prevailing wages not more than the salaried rate they
receive when engaged in original Contract Work.
The Department will
pay actual costs for subsistence and travel allowances when such payments are
required by the collective bargaining agreement or other employment contracts
applicable to the classes of labor employed on the Project. The
Department will not pay a percent markup on these costs.
3.
Materials. The Department will
pay the Contractor’s actual invoice costs, including applicable taxes and
actual freight charges, for Engineer approved materials the Contractor uses in
force account Work. The Department will pay an additional 15 percent
markup on these costs.
Freight or hauling
costs charged to the Contractor and not included in unit prices shall be
itemized and supported by invoices. The cost of owned or rented equipment
used to haul materials to the project is not part of the materials cost.
Such equipment, when used for hauling materials, shall be listed under cost of
equipment.
Provide itemized
statements in addition to the documentation requirements for all equipment
including the quantity and price of each material and transportation charges
free on board (F.O.B.) at the job site. Attach invoices to support the
quantities of materials used, unit prices paid and transportation
charges. If the Contractor uses materials from the Contractor’s
stock and original receipted invoices for the materials and transportation
charges do not exist, the Department and the Contractor will agree on a price
that represents the actual cost to the Contractor. Provide an affidavit
and certify all of the following:
a.
The materials were taken from the Contractor’s stock.
b.
The quantity shown was actually used for the force account work.
c.
The price and transportation costs represent the actual cost to the Contractor.
Do not incorporate
materials into the Work without a price agreement.
4.
Equipment.
a.
General.
The Department will pay the Contractor’s costs for equipment the Engineer deems
necessary to perform the force account work for the time directed by the Engineer
or until the Contractor completes the force account Work, whichever happens
first. The Department will pay the Contractor the established rates for
equipment only during the hours that it is operated, except as otherwise
allowed elsewhere in these Specifications. The Department will pay for
non-operating hours at the idle equipment rate as specified in 109.05.C.4.c. Report equipment hours to the
nearest 1/2 hour. The established equipment rates in these Specifications
include compensation for overhead and profit except as otherwise specified.
The Department will
pay for use of Contractor-owned equipment the Engineer approves for force
account Work at established rates. The Department will pay the rates, as
modified in 109.05.C.4.b, given in the Rental
Rate Blue Book for Construction Equipment (Blue Book) published by
Equipment Watch, a unit of Interec Publishing, a
PRIMEDIA Company.
Provide, and the
Engineer will confirm, the manufacturer’s ratings and manufacturer-approved
modifications required to classify equipment for rental rate
determination. For equipment with no direct power unit, use a unit of at
least the minimum recommended manufacturer’s rating.
The Department will
not pay rental for small tools or equipment that show a daily rate less than
$5.00 or for unlisted equipment that has a value of less than $400.
Tool trucks will be
allowed for compensation if they are used at the force account site. Only
the tools used from the tool truck will be allowed for compensation.
Tools in the tool truck that are not used in the force account work will not be
compensated. A tool trailer that remains at the Contractor’s office or
yard will not be allowed on the force account work. Tool trailers that
are taken to the force account site will be allowed for compensation along with
the tools used on the force account work that were taken from the trailer.
Treat traffic control
devices used in Maintaining Traffic and owned by the Contractor as owned
equipment. Allowed rates for common traffic control devices and concrete
barrier that are not listed in the Blue
Book will be as determined by the Department.
Use Engineer approved
equipment in good working condition and providing normal output or
production. The Engineer may reject equipment not in good working
condition or not properly sized for efficient performance of the Work.
For each piece of
equipment used, whether owned or rented, provide the Engineer with the
following information:
(1)
Manufacturer’s name or trademark.
(2)
Equipment type.
(3)
Year of manufacture.
(4)
Model number.
(5)
Type of fuel used.
(6)
Horsepower rating.
(7)
Attachments required, together with their size or capacity.
(8)
All further information necessary to determine the proper rate.
(9)
Dates, daily hours, total hours of actual operation and idle time,
(10) Blue
Book rate with reference or category,
(11) Amount
(12) Applicable Blue
Book hourly operating cost
(13) Invoices for all
rental equipment.
b.
Hourly Owned Equipment Rates. The base rate for the machine and
attachments represent the major cost of equipment ownership, such as
depreciation, interest, taxes, insurance, storage, and major repairs. The
hourly operating rate represents the major costs of equipment operation, such
as fuel and oil lubrication, field repairs, tires, expendable parts, and
supplies.
For all equipment
used on force account work, determine, and have the Department confirm, the
hourly owned equipment rates as follows:
HOER
= [RAF * ARA * (R / 176)] + HOC
Where:
HOER = hourly owned equipment rate
RAF = regional adjustment factor shown in the Blue
Book
ARA = age rate
adjustment factor shown in the Blue
Book
R = current Blue Book monthly rate
HOC = estimated hourly operating cost shown in
the Blue
Book
However, compensation
for equipment normally used on a 24 hours per day basis will not exceed the
monthly rate plus adjustments and operating costs.
The rate adjustment
factor assigned to any attachment will be the yearly factor as determined for
the base equipment.
When multiple
attachments are included with the rental equipment, only the attachment having
the highest rental rate will be eligible for payment, provided that the
attachment has been approved by the Engineer as being necessary to the force
account Work.
When a piece of owned
equipment is not listed in the Blue
Book, use the rate for similar equipment found in the Blue
Book or use 6 percent of the purchase price as the monthly rate (R)
and add the hourly operating rate found in the Blue
Book for similar equipment of the same horsepower.
For equipment brought
to the Project exclusively for force account work and on the Project for less
than a month, multiply the monthly rate (R) by the factor listed below:
Table 109.05-1
Working Hours |
Factor |
Less than or equal to 8.0 |
2.00 |
8.1 to 175.9 |
2.048 - (hours/168) |
176 or greater |
1.00 |
The term “WORKING HOURS,”
as used in Table 109.05-1, includes only those
hours the equipment is actually in operation performing force account work;
apply the factor, as determined above, to these actual working hours
only. Calculate compensation for any idle time according to 109.05.C.4.c without application of the factor.
The Department will
pay as working equipment for the entire Workday equipment used intermittently
during the Workday. The following criteria qualify for intermittently
used equipment:
(1)
Equipment dedicated to the force account exclusively all day and not used on
bid work.
(2)
Equipment works before and after the intermittent idle period and its total
working time during the Workday is at least 2 hours.
Equipment that is
captive to the force account work (i.e. it must
remain at the force account site), but does not qualify for
intermittently used owned equipment, is paid as idle equipment according to
C&MS Section 109.05.C.4.c. for the time it
is not working.
c.
Hourly Idle Equipment Rate. For equipment that is in operational
condition, on site, and necessary for force account Work, but is idle, the
Department will pay an hourly idle equipment rate. The procedure to
determine the hourly idle equipment rate for Contractor owned equipment is as
follows:
HIER = RAF * ARA ´ (R / 176) ´ (1/2)
Where:
HIER = Hourly idle
equipment rate.
RAF = Regional adjustment factor shown in the Blue
Book.
ARA = Age rate
adjustment factor shown in the Blue
Book.
R = Current Blue
Book monthly rate.
If rented equipment
necessary for force account work is idle, the Department will pay the
Contractor for the actual invoiced rates prorated for the duration of the idle
period. The actual invoiced rates must be reasonably in line with the Blue
Book rates and approved by the Engineer. The Department will pay a 15
percent markup for overhead and profit for the actual invoiced rates during the
idle period.
The Department will
not pay idle owned equipment costs for more than 8 hours in a 24-hour day or 40
hours in a week.
The Department will
not pay for inoperable equipment.
The Engineer may
order specific equipment to the site up to 5 days before its planned
usage. If this equipment is not used for other work, the Department will
pay for it as idle equipment until used.
The Department will
pay for the cost of idle owned or rented equipment when the Work was suspended
for the convenience of the State. The Department will not pay the cost of
idle equipment when the Work was suspended by the Contractor for the
Contractor’s own reasons.
The Department will
only pay for the number of Calendar Days during the existence of the
suspension. The Department will not compensate the Contractor for days
that the Engineer determined were lost to weather.
The Department will
only pay for equipment physically located at the Project site that was received
to prosecute the scheduled work during the delay.
Compensation for idle
equipment will stop at the completion of the force account Work or at the end
of the suspension of Work.
d.
Rented Equipment.
The Department will pay a 15 percent markup for overhead and profit for all
rented equipment, its corresponding Blue
Book hourly operating costs, and State and Local sales taxes.
(1)
Equipment Rented Solely for Force Account Work. If the Contractor rents or leases equipment from
a third party exclusively for force account Work, the Department will pay the
actual invoiced amount. The actual invoiced rates must be reasonably in
line with the Blue
Book and approved by the Engineer. The Department will pay a 15
percent markup for overhead and profit for all rented equipment paid for by the
actual invoices. Add the Blue
Book hourly operating cost to the marked up actual invoiced rates.
(2)
Equipment Rented for Original Contract Work, but Used for Force Account Work. If the Contractor uses rented equipment
currently on the Project for original Contract Work to perform force account
Work, then determine the hourly outside-rented equipment rate as follows:
HRER = (HRI * 115%) + HOC
Where:
HRER = hourly rented
equipment rate
HRI = hourly rental invoice costs prorated for
the actual number of hours that rented equipment is operated solely on force
account work. Use a monthly invoice rate divided by 176, a weekly invoice
rate divided by 40, or a daily invoice rate divided by 8.
HOC = hourly operating cost shown in the Blue
Book
The Department will
not compensate for rental rates that exceed the Blue
Book rates unless approved in advance of the Work by the Engineer.
e.
Moving of Equipment.
The Department will also pay for the time required to move needed equipment to
the location of the force account work and to return it to its original
location. The Department will pay for loading and transportation costs
instead of moving time if equipment is moved by means other than its own power.
Moving time back to the original location or loading and transportation costs
will not be allowed if the equipment is used at the site of the force account
work on contract items or related work.
The Department will
consider the actual cost of transferring the equipment to the Project and
returning it to the original location as an additional expense and pay for it
as specified, for equipment moved on the Project exclusively for force account
work.
The Engineer will
confirm the original location of the equipment before the Contractor moves and
uses it for force account work.
If the equipment is
transported by a common carrier, the allowance is the invoiced amount paid for
the freight plus 15 percent. However, if the Contractor’s forces
transport the equipment, the allowable compensation will be Blue
Book rate of the hauling unit and hourly Blue
Book operating cost plus the driver’s wages and the cost of loading and
unloading the equipment calculated according to 109.05.C.2.
5.
Foreman’s Transportation. The
Department will pay the Blue
Book rate for every hour the foreman’s truck is on the force account site
or moving to or from the site. This rate includes equipment cost, fuel
and lubricants, overhead, profit, and mobile phone or two-way radios.
6.
Subcontract Work. For Work
performed by an approved subcontractor, the Department will pay an amount to
cover administrative costs pursuant to Table
109.05-2. No additional mark-up is allowed for work of a sub-subcontractor
or trucking services employed by a subcontractor.
Table 109.05-2
Subcontractor Force Account Costs |
Mark-up Amount |
(109.05.C.2 through 109.05.C.5) |
|
Up to $10,000 |
$500 |
$10,001 to $500,000 |
5% of Subcontractor Force
Account Costs |
Over $500,000 |
$25,000 + 2.5% of Subcontractor
Force Account amount over $500,000 to a maximum of $37,500 |
7.
Final Adjustment to Premium for Contract Bonds. The final bond premium amount for the payment and
performance bonds will be computed based on the actual final contract
value. For the purpose of computing a bond premium adjustment the actual
final contract value is defined as the whole sum of money, excluding any bond
premium adjustment, which is passed from the department to the contractor as a
result of the completion of the Work. If the actual final contract value
is different from the original contract value, the premium shall be adjusted
accordingly; either by refund of part of the original bond premium by the
contractor if the original contract value is larger than the actual final
contract value; or by payment of additional bond premium by the department if
the original contract value is smaller than the actual final contract
value. Additional payment by the department or refund by the contractor
will be based on the difference between the invoiced bond premium for the
original contract value and the invoiced bond premium for the actual final
contract value without any markup. A final bond premium adjustment will
not be made when the actual final contract value differs from the original
contract value by less than $ 40,000.00.
8. Trucking.
a.
Trucking that is not subject to prevailing wage will be paid at the invoiced
cost plus administrative costs pursuant to Table
109.05-3.
Table 109.05-3
Trucking Invoice Costs |
Mark-up Amount |
Up to $10,000 |
$500 |
$10,001 to $500,000 |
5% of Invoice Costs |
Over $500,000 |
$25,000 + 2.5% of invoice amount
over $500,000 to a maximum of $37,500 |
b.
Trucking that is subject to the prevailing wage law will be compensated
according to 109.05.C.1, 109.05.C.2, 109.05.C.4,
109.05.C.6, 109.05.C.10,
and 109.05.C.11.
Provide documentation
showing payment to trucking firms and owner-operators and owner-operations
status. When the trucking is subject to prevailing wage, submit payroll
and equipment usage records according to 109.05.C.2
and 109.05.C.4.
9.
Professional and Specialized Work.
The following work, when performed by a firm hired by the
Contractor, is paid at the reasonable and fair market invoiced cost plus
a 5 percent markup. The markup is limited to $10,000 for all the work
performed by the firm.
a.
Surveying.
b.
Engineering design.
c.
Specialized work that is not normally part of a Department Contract and is not normally
subject to prevailing wage.
d.
Installation, periodic maintenance, and removal of traffic control devices
under Item 614 performed by a traffic control service or rental company,
provided the workers are not on the Project full-time. Maintenance
of Traffic services performed by LEO.
e.
Other professional or specialized work not contemplated at the time of Bid.
Provide documentation
showing payment for professional and specialized Work.
10.
Payment for Force Account Work.
Submit an analysis of estimated cost prepared in accordance with 109.05.C for work that will be performed on a
force account basis. Attach an original affidavit to the analysis
stating:
“Labor
rates shown are the actual rates paid for labor, unit prices for materials and
rates for owned and rented equipment have been estimated on the basis they are
not in excess of those charged in the area in which the work will be
performed.”
The Engineer will
process an Estimated Cost of Force Account (ECFA) if
the amount of the force account work is likely to be greater than $100,000 and
is expected to take more than two weeks to complete. The Engineer will
process an Actual Cost of Force Account (ACFA) to
make any necessary adjustment between the ECFA and
the final itemized costs for the force account work.
For force account
work estimated to be less than $100,000 and anticipated to require less than
two weeks to perform, the Engineer will process an Actual Cost of Force Account
(ACFA) at the conclusion of the
work.
Submit biweekly
itemized statement of costs prepared from the Daily Force Account Records to
the Engineer as the work is being performed. The Engineer will process
estimates as the force account work is performed. Payment will only be
made upon receipt of the Contractor’s itemized statement of costs.
Upon conclusion of
the work performed by an ECFA or work performed by an
ACFA submit an itemized statement of the actual costs
prepared from the Daily Force Account Record and utilizing the Department’s
electronic template titled “Electronic Force Account.” Submit a
compact disk (CD), labeled with the contractor’s name and the project number,
and a hard copy of the “Electronic Force Account.” The “Electronic Force
Account” template can be downloaded from the following website:
www.dot.state.oh.us/divisions/constructionmgt/admin/pages/default.aspx
The Engineer may
approve an alternative electronic template provided all calculations and
printouts are equivalent to those generated by the “Electronic Force Account”
template.
Attach an original
affidavit to the hard copy stating:
“The
name, classification, total hours worked and rates paid each person listed on
the Summary of Actual Cost are substantiated by actual records of persons
employed on the force account work. All unit prices for materials and rates for
owned and rented equipment listed on the Summary of Actual Costs are
substantiated by actual records of materials and equipment actually used in
performance of the force account work and the price of any owned equipment not
previously agreed upon does not exceed prices charged for similar equipment in
the area in which the work was performed.”
Daily Force Account
Records signed by both the Department and Contractor will govern over other
Department and Contractor records subject to the following:
a.
When the Contractor is subject to a Union Contract that requires a minimum
number of paid hours, the compensation will be for the verified contract
minimum hours.
b.
Material quantity disagreements will be resolved by field measurements of the
installed quantities or the Engineer’s estimate of the amount of temporary or
un-measurable material used. The Engineer may also review and consider
the Contractor’s material invoices and material certifications to make the
final determination.
In the event the
Contractor declines to sign the Daily Force Account Record, the Department’s
records shall govern. Any resulting dispute must be pursued in accordance
with 108.06.G.
D.
Delay Costs.
1.
General. If the Department
agrees that it has caused a delay, the Department will pay for the costs
specified in 109.05.D as allowed by 108.06.D, unless these costs have been previously
paid as listed in 109.05.B or 109.05.C. Such payment constitutes full
compensation for any and all delay costs
The Department will make no payment for delays occurring during the
period from December 1 to April 30 unless the Contractor’s approved progress
schedule depicts critical Work occurring throughout this period.
The Department will not pay for delay costs until the Contractor
submits an itemized statement of those costs. Provide the content
specified in 109.05.C.1, for the applicable
items in this statement and as follows:
a.
Proof of cost of Superintendent, or other project staff salaries, wages, and
payroll taxes and insurance.
b.
Proof of cost of office rent, utilities, land rent, and office supplies.
c.
Proof of escalated cost for labor and material.
d.
Proof of material storage costs.
2. Allowable Delay Costs
a.
Extended Labor.
Compute labor costs during delays as specified in 109.05.C.2
for all non-salaried personnel remaining on the Project as required under
collective bargaining agreements or for other Engineer-approved reasons.
b.
Escalated Labor.
To receive payment for escalated labor costs, demonstrate that the
Department-caused delay forced the Work to be performed during a period when
labor costs were higher than planned at the time of Bid. Provide adequate
support documentation for the costs, allowances, and benefits specified in 109.05.C.2. The Department will pay
wages and fringes with a 20 percent mark-up to cover administrative costs.
c.
Idle Equipment or Equipment Demobilization. The Department will pay
the Contractor according to 109.05.C.4.c for
idle equipment, other than small tools, that must remain on the Project during
the delays. The Department will pay the Contractor’s transportation costs
to remove and return equipment not required on the Project during the
delays. No other equipment costs are recoverable as a result of delay.
d.
Material Escalation or Material Storage. The Department will pay the
Contractor for increased material costs or material storage costs due to the
delay. Obtain the Engineer’s approval before storing materials due to a delay.
Payment will be based upon the accepted quantity of work performed during the
period for which escalated costs have been approved. The Department will pay
increased material costs with an 8 percent mark-up to cover administrative
costs and any material waste inherent to the Work.
e.
Field Overhead.
The Department will pay any Contractor or subcontractor for field overhead
costs which include the cost of supervision, field office and office supplies,
and utilities for which payment is not provided for in 109.05.D.2.f, during a delay period provided all
of the following criteria are met:
(1)
The Contractor or subcontractor has incurred an excusable, compensable delay
that delays the Work at least 10 Calendar Days beyond the original Completion
Date. These days are cumulative throughout the project.
(2)
The delay for which
payment of field overhead is sought is only due to delays defined in 108.06.D.2, 108.06.D.3,
108.06.D.5 or for delays due to revised Work as
specified in 104.02.B or 104.02.F.
The Department will pay the salary and fringes plus a 5 percent markup
for field personnel identified in Table 109.05-4.
Table 109.05-4
Original Contract Amount |
Field Personnel |
Up to $5,000,000 |
One Superintendent |
$5,000,001 to $50,000,000 |
One Superintendent, One Assistant Superintendent or One
Engineer, One Clerk |
Over $50,000,000 |
One Superintendent, One Assistant Superintendent, One Engineer, One Clerk |
Superintendent’s transportation is compensable at the same rate allowed
for foreman’s transportation in Section 109.05.C.5,
which includes the cost of mobile communication devices. The allowed hours are
when the superintendent is at the project site.
Superintendent’s subsistence, provided this is the company’s terms of
compensation to such employees, as documented by the Contractor’s written
company policy or contracts with their employees.
The Contractor’s or subcontractor’s field office costs include field
office trailers, tool trailers, office equipment rental, temporary toilets, and
other incidental facilities and supplies. Compute these costs on a
Calendar Day basis. Owned trailers are paid at the Blue Book rate.
Rented trailers are paid at the invoiced cost plus a 15 percent markup.
Rented office space, toilets, and office equipment are allowed a 5 percent
markup. Purchased office supplies are allowed a 5 percent markup.
Office utilities include, but are not limited to, telephone, electric,
water, and natural gas. Compute these costs on a Calendar Day basis and
allow a 5 percent markup.
f.
Home Office Overhead.
The Department will pay the Contractor for home office overhead, unabsorbed
home office overhead, extended home office overhead, and all other overhead
costs for which payment is not provided for in 109.05.D.2.e,
including overhead costs that would otherwise be calculated using the Eichleay formula or some other apportionment formula,
provided all of the following criteria are met:
(1) The Contractor has incurred an excusable,
compensable delay that delays the Work at least 10 Calendar Days beyond the
original Completion Date. These days are cumulative throughout the
project.
(2) The delay for which payment of home office
overhead is sought is only due to delays defined in 108.06.D.2,
108.06.D.3 and 108.06.D.5.
Any subcontractor
that has approved C-92’s for subcontracted work totaling $4,000,000 or more is
eligible for reimbursement of home office overhead provided the criteria set
forth in 109.05.D.2.f.(1) and 109.05.D.2.f.(2) are met.
Payment will be made
for every eligible day beyond the original contract completion date at the rate
determined by 109.05.D.2.f.i. Payment
for eligible days occurring during an unanticipated construction period will be
calculated in accordance with 109.05.D.2.f.ii.
Payment for eligible days occurring during an unanticipated winter period will
be calculated in accordance with 109.05.D.2.f.iii.
(i) Home Office Overhead
Daily Rate
Calculate the home
office overhead daily rate using the following formula:
Daily
HOOP = (A * C)/B
Where:
A = original contract amount
B = contract duration in Calendar Days
C = value from Table 109.05-5
Table 109.05-5
Original Contract Amount |
C |
Up to $5,000,000 |
0.08 |
$5,000,001 to $25,000,000 |
0.06 |
Over $25,000,000 |
0.05 |
Daily HOOP =
home office overhead daily rate
Contract duration term,
B, includes every Calendar Day from the execution of the Contract, unless
otherwise specified by the Director, to the original Contract Completion Date.
When the Contractor
requests home office overhead compensation for a subcontractor, use the above
formula to calculate the subcontractor’s Daily HOOP; however, in the
subcontractor calculation, A is equal to the subcontractor’s portion of the
original contract amount as determined by the sum of all approved C-92’s issued
for the subcontracted work.
(ii) Home Office Overhead Payment
for an Unanticipated Construction Period
Calculate the home
office overhead payment for an unanticipated construction period occurring
between May 1 and November 30 using the following formula:
CP HOOP = Daily HOOP × D
Where:
D = sum of all excusable,
compensable delays in Calendar Days minus the sum of all delays due to 108.06.D.1 and 108.06.D.4
in Calendar Days
Daily HOOP = daily
home office overhead rate
CP
HOOP = home office overhead payment for an unanticipated construction
period occurring between May 1 and November 30
The excusable,
compensable delay term, D, is the additional, unanticipated extended period for
work performed between May 1 and November 30 in Calendar Days.
(iii) Home Office Overhead Payment for an
Unanticipated Winter Period
Calculate the payment
for home office overhead for an unanticipated winter period occurring between
December 1 and April 30 using the following formula:
WP
HOOP = Daily HOOP × F × D/E
Where:
D = sum
of all excusable, compensable delays in Calendar Days minus the sum of all
delays due to 108.06.D.1 and 108.06.D.4 in Calendar Days
E = sum
of all excusable, compensable delays in Calendar Days plus the sum of all
excusable, non-compensable delays in Calendar Days
F = 151 for a non leap year or 152 for a
leap year
Daily HOOP = daily home
office overhead rate
WP HOOP = home office
overhead payment for an unanticipated winter period occurring between December
1 and April 30
Payment for Home
Office Overhead for an unanticipated winter period will not be made when the
value of the remaining work is below the lesser of $500,000.00 or 10 percent of
the estimated final contract value.
(iv) Total Home Office Overhead Payment
Calculate the total
home office overhead payment using the following formula:
Total
HOOP = CP HOOP + WP HOOP
Where:
CP HOOP = home office overhead payment for an
unanticipated construction period occurring between May 1 and November 30
WP HOOP = home office overhead payment for an unanticipated winter period
occurring between December 1 and April 30
Total HOOP =
total home office overhead payment
E.
Changes in Materials. Changes
in material specifications that result in increased cost to the Contractor are
compensated by lump sum adjustment to the reference number. The allowed
compensation is equal to the invoice supported material cost increase plus 15
percent markup for profit and overhead.
Material cost savings
resulting from a specification change shall be credited to the project by a
lump sum adjustment to the reference number plus a 15 percent markup if the
originally specified material has not been ordered.
If the original
material was ordered before the Contractor was informed of the change, the
savings markup allowed is 2.5 percent in order to exclude profit on the
original bid price and pay only for incurred overhead.
109.06 Directed
Acceleration.
The Engineer may order the Contractor to accelerate the Work to avoid delay
costs or to complete the Project early. The Director and the Contractor
will negotiate acceleration costs.
109.07
Inefficiency. The
Department will compensate the Contractor for inefficiency or loss of
productivity resulting from 104.02 Revisions to
the Contract Documents. Use the Measured Mile analysis comparing the
productivity of work impacted by a change to the productivity of similar work
performed under un-impacted conditions to prove and quantify the inefficiency.
109.08 Unrecoverable
Costs.
The Contractor is not entitled to additional compensation for costs not
specifically allowed or provided for in 109.05
including, but not limited to, the following:
A.
Loss of anticipated profit.
B.
Consequential damages, including loss of bonding capacity, loss of bidding
opportunities, insolvency, and the effects of force account work on other
projects, or business interruption.
C.
Indirect costs.
D.
Attorney’s fees, claim preparation expenses, and the costs of litigation.
109.09 Estimates. If
satisfactory progress is being made, the Contractor will receive monthly
payments equaling the Work and materials in place. The monthly payment is
approximate, and all partial estimates and payments are subject to correction
in the Final Estimate and payment. Payment for Work and materials shall not, in
any way, prevent later rejection when defective Work or material is discovered,
or constitute acceptance under 109.11 or 109.12.
Except
for estimates generated during Project finalization, the Department will not
pay an estimate until the Contractor certifies to the Engineer that the work for
which payment is being made was performed in accordance with the contract.
Certification will be made on forms provided by the Department.
The
Department may pay estimates twice each month if the Engineer concludes the
amount of work performed is sufficient.
No
estimate or payment shall be construed as acceptance of defective Work or
improper materials.
The
Department will not pay the adjusted final estimate until the Contractor
remedies all defective Work and accepted Work damaged by the Contractor’s operations.
Interest
will be paid in accordance with ORC
126.30 when warranted.
109.10 Payment
for Delivered Materials. The Department will pay, up to 75 percent of
the applicable contract item, for the invoiced cost of the delivered and
approved materials before they are incorporated in the Work, if the approved
materials are delivered, accepted, and properly stored on the project or stored
in acceptable storage places in the vicinity of the Project.
The
Department will pay for the cost of approved materials before they are
incorporated in the Work when asked by the Contractor, if the Engineer
determines that it is not practical to deliver the material to the Project
site. This provision applies only to bulky materials that are durable in
nature and represent a significant portion of the project cost, such as
aggregates, steel, and precast concrete. The Department will not pay
delivered materials on small warehouse items or for plant materials.
109.11 Partial
Acceptance.
Upon completion of a portion of the Work, the Contractor may request
acceptance of a completed portion of the
Work.
A.
An inspection may be performed on a completed portion of the project roadway
section provided:
1.
All safety items are in place including permanent pavement markings.
2.
Traffic is in its final pattern.
3.
A completed portion of the project constitutes a completed geographic section
of the project or a direction of traffic on a divided highway.
4.
Is in accordance with other contract provisions.
B.
An inspection may be performed on a completed bridge provided:
1.
All work on the bridge and approaches are complete, including all safety items
and permanent pavement markings.
2.
The Contractor will not return to the bridge for any work except as allowed in
4.
3.
Traffic is in its final pattern.
4.
Painting of structural steel is either completed or scheduled to be performed.
5.
Is in accordance with other contract provisions.
The
Final Inspector will grant written partial acceptance for that portion of the
Work or reject the Contractor’s request. Such written partial acceptance
will designate what portion of the Work is accepted, the date of acceptance,
and the warranty provisions started by the partial acceptance.
Partial
acceptance will relieve the Contractor of maintenance responsibility for the
designated portion of the Work. This does not relieve the Contractor of
responsibility to correct defective Work or repair damage caused by the
Contractor or waive any other remedy to which the Department is entitled at law
or in equity.
109.12 Final Acceptance..
A. Final Inspection. The Department will perform a Final Inspection
for the sole purpose of relieving the Contractor of maintenance responsibility
for the Work.
The Final Inspection
shall be a limited visual review of the Work and shall only serve as the
Department’s verification that the Work appears substantially complete.
Final Inspection does not waive any available rights or remedies of the
Department, nor divest the Contractor of any responsibility for compliance with
the contract or liability for damages.
Notify the Engineer when
the Project is complete and all of the Engineer’s punch list items are
complete. If the Engineer agrees the Project is complete, then within 10
business days the District Final Inspector will inspect the Work and categorize
it as one of the following:
1.
Unacceptable or not complete.
2.
Substantially complete with punch list items found by the Final Inspector.
3.
Substantially complete.
If the Final
Inspector finds the Work substantially complete or substantially complete with
punch list items, then the Contractor’s maintenance responsibilities end on the
day of the Final Inspection, except for any maintenance related to unfinished
punch list items. This does not relieve the Contractor of responsibility
to correct defective Work or repair damage caused by the Contractor or waive
any other remedy to which the Department is entitled at law or in equity.
The Final Inspector will issue a Final Inspection Report that will document the
findings of the inspection and start any warranty period.
B. Punch List. The Final Inspector will issue to the
Contractor a written punch list of work required as a condition of
acceptance. The Final Inspector’s punch list will stipulate a reasonable
time to complete the required Work. Failure of the Contractor to complete
the punch list items by the stipulated time will result in the assessment of
fifty percent of the Liquidated Damages according to 108.07
for each Calendar Day for every day beyond the stipulated time the punch list
work remains incomplete and beyond the revised Completion Date.
C. Finalization. The Contractor shall accept the final
quantities as determined by the Engineer or provide a written notice indicating
the reason for disagreement within 30 Calendar Days of receiving the Engineer’s
list of final quantities. The prescribed 30 Calendar Day period can be modified
by mutual agreement of the Contractor and the District Construction Engineer.
If no notice of disagreement is received, then the final payment will be based
on the Engineer’s list of final quantities.
Supply all documents
necessary for Project finalization within 60 Calendar Days from the date that
the Work is physically complete. These documents include:
1.
Delinquent material certifications.
2.
Delinquent certified payrolls or required revised payrolls.
3.
Wage affidavit required by ORC Chapter
4115 on projects without any Federal funding.
4.
Delinquent force account records.
5.
If applicable, DBE affidavits.
6.
Any other document required to complete finalization of the project.
Failure to submit
these acceptably completed documents will result in an administrative fee of
$100 per Calendar Day for every day that any of the required documents remain
delinquent, starting 30 Calendar Days after receipt of written notification
from the Engineer of a document deficiency.
D. Final Payment. Final payment is based on:
1.
The agreed final quantities or as determined by the Engineer if agreement is
not possible, no compensation for unauthorized work is allowed.
2.
Finding of substantial completion by the Final
Inspector.
3.
Receipt of acceptable finalization documents.
4.
Contractor certification that the Work was performed in accordance with the
contract.
E. Completion of Contract
and Continuation of Contractor’s Responsibility. The Contract is complete, except for items
covered by the required bonds, when the Contractor receives final payment.
The DCA will issue a letter confirming completion of
the contract, noting any exception as provided in Items 659
and 661 and any warranty. The date
the final payment is approved by the District constitutes acceptance for the
purpose of ORC 5525.16.
Neither Completion of the Contract nor substantial completion relieves
the Contractor of any responsibilities to properly perform or correct the Work
or to repair damage or waives any remedies to which the Department is entitled
at law or in equity.