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1 Florida Department of TRANSPORTATION 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
2 Module Content Importance of Contract Time Liquidated Damages Contract Time Documentation File Federal Participation Time Extensions Temporary Suspension of Contractor s Operations Calculating Contract Time Examples 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
3 Why is Contract Time important? It affects each day pay items It affects Retainage, Liquidated Damages and Liquidated Savings It affects bonuses, incentives, disincentives, etc. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 3 Refer to Standard Specifications, Section 8-7 for the Contract time definition. What is an example of an each day pay item that may be affected by contract time? Signs, barricades, etc What if contract time expires, does the Contractor still keep a log for each day pay items? YES, It s the Contractor s responsibility to track these Contractor Certified quantities. Why? If the Contractor was granted a time extension on this project, the quantity of each day pay items on the jobsite for the amount of days contract time was extended, must be known. For In-House and CEI perform spot checks only, meet with the Contractor s Work Site Supervisor for consensus and continue to receive the Contractor s Certification of Quantities for each day pay items until the job has been final accepted. Read your contract to find out about Mobilization and all the affected pay items. 7-3
4 Liquidated Damages Liquidated Damages (LDs) are assessed when Contract time overruns. No weather days are granted during time periods when LDs apply. The LD daily rate is in the contract. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 4 Liquidated Damages (LDs) should be reflected on a progress estimate as soon as the time overrun occurs. Refer to the Standard Specification, Section Keep track of possible weather days during periods when LDs apply because days may be granted based upon a time extension. If a time extension is granted, LDs can be refunded on a later progress estimate. Do not wait until the last progress estimate to assess LDs. This may put the final estimate in overpayment. SiteManager can automatically calculate LDs, but verify with your District to ensure manual calculation and entry is not required. Ensure the LD rate entered in SiteManager matches the LD rate in the contract too. Standard Specification Sub-section provides the applicable daily charge rates based on original contract amount. 7-4
5 Contract Time Documentation Project time documentation includes, but is not limited to: Contract time file Contractor s accepted schedule Progress meetings Site Manager Daily Work Report (DWR) 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 5 It is very important to discuss contract time issues with the contractor and document how contract time is being utilized. Contractor s schedule is a tool to identify critical and controlling items. Discuss Contract time at progress meetings including allowable days, weather days, work order days, supplemental agreement (SA) days and time extensions. Daily diaries are a tool to document the effect of weather on the project. 7-5
6 Contract Time Documentation Contract Time File: Project Administrator s Contract Time Summary (Form ) Notice to of Beginning and Completion Notice of Final Acceptance Time extension letter(s) Any correspondence related to time Time Calendar Bonus time calendar Liquidated Savings report Liquidated Damages report Check with the DFEO for documents required in the contract 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 6 Reference to the Executed bid blank, the Notice To Proceed (NTP), Supplemental Agreements, Work Orders, and other time related documents may be necessary. Also see: CPAM
7 7-7
8 STATE OF FLORIDA DEPARTMENT OF TRANSPORTATION NOTICE OF BEGINNING AND COMPLETION OF CONSTRUCTION CONTRACTS Date: State Job No.: W.P.I. No.: N/A Contract No.: T1234 FAP No.: N/A County: Okaloosa Road No. SR 30 (US98) Description: The improvements under this contract consist of cleaning the existing pre-stressed concrete piles and furnishing and installing the sacrificial protection systems as detailed in the plans and according to Specifications on Bridge No over ICWW and Brooks Street in Okaloosa County. Contractor Name: L & S Concrete Restoration, Inc. Address: 8445 Lone Eagle Way, Sarasota, FL Construction Engineer: Harold Jasons Operations Engineer Consultant Engineer: Bill Kendrick Senior Project Engineer, OTIS Date Time Began: 12/08/2015 Date Final Acceptance: 1/29/2016 Date Work Began: 12/11/2015 Recommendation for Maintenance: DISTRIBUTION: DCA Director of Transportation Operations Copy 1 - Project Engineer Copy 2 - Contractor Copy 3 - District Final Estimates Office Copy 4 - District Maintenance Engineer Copy 5 - District Materials Engineer Copy 6 - District Contracts Administrator Copy 7 - District Production Management Engineer Copy 8 - District Planning Engineer Copy 9 - District Traffic Operations Engineer Copy 10 - Consultant Engineer Original - File 7-8
9 Time Extension Letter 7-9
10 Contract Time Documentation It important to separate between Federal & Non Federal Participating Time on all contract changes and time extensions Federal funds are reduced for time overrun. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
11 Time Extensions The Department will grant a time extension for any delay to a controlling item of work due to the suspension of work for reasons other than the fault of the contractor. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 11 Section of the Standard Specifications says that if the Engineer suspends work as provided in Section 8-6 of the Standard Specifications for reasons other than the fault of the Contractor, the Engineer will grant a time extension for any delay to a controlling item of work due to the suspension. What that means is if work is suspended for the convenience of the Department, contract time will still be charged. A time extension will be granted for the days the Contractor s operations were suspended (weather, holiday, special events, etc). It is the Resident Office s responsibility to issue a weather letter each month to grant applicable time for delays due to weather. (See slide 16) It is the Resident Office s responsibility to request holiday time each month, as necessary. (See slides 20-26) The Contractor can NOT work during times where work is suspended without a written request submitted at least 10 days in advance and approved by the Engineer. NOTE: Contract time will be charged during these times regardless of whether or not the Contractor s operations have been suspended. FDOT no longer suspends contract time; however, FDOT can grant time extensions. 7-11
12 Time Extensions The Contractor must have written permission to work during automatic work suspensions (holidays and special events). 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 12 The Contractor must request in writing (at least 10 days in advance) to work during these times. Refer to the Standard Specifications, Section The letter will be forwarded to the FDOT Engineer/Project Manager for approval or disapproval. 7-12
13 Form Time Extension Request Page 1 of 2 The contractor may use the form or submit a letter with the information to request a time extension. The contractor may use the form or submit a letter with the information to request a time extension. 7-13
14 Form Time Extension Request Page 2 of
15 Time Extensions Weather Supplemental Agreements Unilateral Payment Work Order Holiday Time 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 15 All of these categories effect contract time and they are all addressed in the contract. Refer to Specification Extensions are based on the delay of the controlling item of work. Weather delay: 1. Unable to work at least 50% of work day due to inclement weather affecting controlling item(s) of work 2. Unable to work at least 50% of work day due to repairing of major work damaged by weather Time is granted via a Weather Letter from the Project Administrator or Resident Office on a monthly basis. Supplemental Agreements, Unilateral Payments, and Work Orders may grant time for work added to the contract or necessary unforeseen work. Time is granted via a holiday letter prepared by the Project Administrator or Resident Office. The Contractor is not required to request this in order to obtain it. 7-15
16 Weather Extension Letter 7-16
17 The Department and the Contractor agree on the contract time and sum. 7-17
18 Issued when the Department and the Contractor can t agree on the contract time and/or sum. 7-18
19 The Department and the Contractor agree on the contract time and sum. 7-19
20 Time Extensions Holiday Time Extensions: See the Standard Specifications, Section 8 6.4, (Suspension of Contractor's Operations Holidays). DCE Memorandum Allows contract time for Holiday & Special Events to be granted on the Contractor s non work days The following slides present scenarios for granting holiday time and appropriate interpretations of the specification. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 20 Specification Suspension of Contractor s Operations-Holidays: Unless the Contractor submits a written request to work during one or more days of a Holiday or Special Event at least ten calendar days in advance of the beginning date of the Holiday or Special Event and receives written approval from the Engineer, the Contractor shall not work on the following days: Martin Luther King, Jr. Day; Memorial Day; the Saturday and Sunday immediately preceding Memorial Day; Independence Day; Independence Day (Observed); Labor Day; the Friday, Saturday, and Sunday immediately preceding Labor Day; Veterans Day; Veterans Day (Observed); the Wednesday immediately preceding Thanksgiving Day; Thanksgiving Day; the Friday, Saturday and Sunday immediately following Thanksgiving Day; December 24 through January 2, inclusive; and Special Events noted in the Plans. Contract Time will be charged during these Holiday and Special Event periods. Contract Time will be adjusted in accordance with The Contractor is not entitled to any additional compensation beyond any allowed Contract Time adjustment for suspension of operations during such Holiday and Special Event periods. During such suspensions, remove all equipment and materials from the clear zone, except those required for the safety of the traveling public and retain sufficient personnel at the job site to properly meet the requirements of Sections 102 and 104. The Contractor is not entitled to any additional compensation for removal of equipment from clear zones or for compliance with Section 102 and Section 104 during such Holiday and Special Event periods. 7-20
21 Holiday Time Extension Example 1 The Contractor s normal work schedule is Monday thru Friday. Thanksgiving falls on Wednesday, Thursday, Friday, Saturday and Sunday. How many days should be granted? 5 Holiday Days will be granted for Wednesday thru Sunday For the following reasons: The Contractor's normal work week is Monday thru Friday. However, DCE Memo allows for the contract time to be granted for the non work days (i.e. Saturday and Sunday). 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
22 Holiday Time Extension Example 2 The Contractor s normal work schedule is Monday thru Friday. Thanksgiving Holiday falls on Wednesday, Thursday, Friday, Saturday and Sunday. The Contractor asks to work Friday and Saturday, and we approved it. He worked Friday, but it rained all day Saturday. How many days should be granted? 3 Holiday Days for Wednesday, Thursday & Sunday; 1 Weather Day for Saturday will be granted. For the following reasons: Wednesday & Thursday is granted due to being Contractor's normal work week schedule. Friday has no extension because of Regular Work Saturday is granted a weather day for weather impacting critical activities more than 50% Sunday is granted due to a Holiday on a non work day 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
23 Holiday Time Extension Example 3 The Contractor s normal work schedule is Monday thru Friday. Thanksgiving Holiday falls on Wednesday, Thursday, Friday, Saturday and Sunday. The Contractor asks to work Friday, Saturday and Sunday, and we approved it with the stipulation of no lane closures. The contractor can not do any of the controlling items of work, because the inability to close lanes impacts the critical activities more than 50%. How many days should be granted? 5 Holiday Days will be granted for Wednesday thru Sunday. For the following reasons: Wednesday & Thursday is granted due to being Contractor's normal work week schedule. Friday, Saturday, and Sunday are granted due to the Standard Specifications, Section which states "The Department will grant time extensions, on a day for day basis, for delays caused...from productively performing controlling items of work resulting in: (1) The Contractor being unable to work at least 50% of the normal work /1/2017 FDOT Final Estimates Level 2 Release 11, Module
24 Holiday Time Extension Example 4 The Christmas and New Year Holiday period extends from December 24 through January 2, per Specification Weekends are not normally in the Contractor s schedule. How many days should be granted? (use calendar in the notes) 6 days will be granted: 12/26, 12/27, 12/28, 12/29, 12/30, 12/31, 1/1 & 1/2 For the following reasons: If the Contractor does not request to work in any of this period, we will adhere to Section of the Standard Specifications "Contract Time will be charged during these Holiday and Special Event periods. Contract Time will be adjusted in accordance with /1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 24 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY DECEMBER JANUARY
25 Holiday Time Extension Example 5 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 25 Per Specification , the Department will grant time extensions for holidays as defined in Specification
26 Holiday Time Extension Example 6 If a Contractor requests to work, FDOT grants permission to work, and Contractor fails to show up, do we still grant a Holiday Extension? Yes, if the holiday falls within his normal work week schedule, he is entitled to an extension. 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
27 Temporary Suspension of Contractor s Operations The Engineer has the authority to suspend the Contractor s operations due to fault of the contractor: The Contractor fails to comply with the Contract documents. The Contractor fails to carry out orders given by the Engineer. The Contractor causes conditions considered unfavorable for continuing the work. Review your Contract Be familiar with the Special Provisions & Supplemental Specifications, specifically Section /1/2017 FDOT Final Estimates Level 2 Release 11, Module
28 Calculating Contract Time When does contract time begin on a project? When the Contractor actually begins work or The date specified in the contract (whichever is earlier) 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 28 Remember to check the: Contract for the original allowable Contract time and any specific lead-in time. Notice To Proceed (NTP) letter for correctness vs. the Contract. Notice To Proceed (NTP) for Contract days deducted due to late submittal of documents prior to Contract execution. Specification Section Failure by Contractor to Execute Contract and Furnish Bond: In the event that the Contractor fails to execute the awarded Contract and to submit an acceptable Contract Bond, as prescribed in 3-5 and 3-6, within 10 calendar days, excluding Saturdays, Sundays, and State holidays, of receipt of the Contract award, the Department may annul the award, causing the Contractor to forfeit the Proposal Guaranty to the Department as liquidation of damages sustained. The Department may then award the Contract to the next lowest responsible Bidder, re-advertise, or accomplish the Work using alternate resources. 7-28
29 Contract Time Example 1 The Contract specifies contract time begins 16 days from the NTP The NTP is dated May 15, 2016 The contractor began work on June 3rd Find the date Contract Time Begins using: Calendar Method (use calendar in notes) Spreadsheet Method (use spreadsheet in notes) 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 29 SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY MAY DATE DAY COUNT CONTRACT DAY JUNE /15/2016 5/16/2016 5/17/2016 5/18/2016 5/19/2016 5/20/2016 5/21/2016 5/22/2016 5/23/2016 5/24/2016 5/25/2016 5/26/2016 5/27/2016 5/28/2016 5/29/2016 5/30/2016 5/31/2016 6/1/2016 6/2/2016 6/3/2016 6/4/
30 Contract Time Example 1(a): Calendar Method May 2016 Sun Mon Tue Wed Thu Fri Sat NTP Contract Day 1 June Work 4 Contract Day 2 Contract Day 3 Started Contract Day 4 Contract Day 5 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 30 For conventional projects, begin the 16 day count the day after the NTP is dated. For Design Build Projects, the contract time begins the day the NTP is issued. Did work start before or after the 16th day? After! Then contract time starts on the 16th day. NOTE: All examples and homework contract time calculations will be based on Conventional projects. 7-30
31 Contract Time Example 1(b): Contract Time Example 1(b): Spreadsheet Method DAY OF WEEK DATE DAY COUNT CONTRACT DAY SUNDAY 5/15/2016 NTP MONDAY 5/16/ TUESDAY 5/17/ WEDNESDAY 5/18/ THURSDAY 5/19/ FRIDAY 5/20/ SATURDAY 5/21/ SUNDAY 5/22/ MONDAY 5/23/ TUESDAY 5/24/ WEDNESDAY 5/25/ THURSDAY 5/26/ FRIDAY 5/27/ SATURDAY 5/28/ SUNDAY 5/29/ MONDAY 5/30/ TUESDAY 5/31/ WEDNESDAY 6/1/ THURSDAY 6/2/ FRIDAY 6/3/ SATURDAY 6/4/ *Date Work Started 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 31 You may make a spreadsheet in any form and submit in the time file in EDMS. 7-31
32 Contract Time Example 2 The Contract specifies contract time begins 16 days from the NTP The NTP is dated October 9, 2016 The contractor began work on October 24th Find the date Contract Time Begins Calendar Method (use calendar in notes) Spreadsheet Method (use spreadsheet in notes) 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
33 Contract Time Example 2(a): Calendar Method October 2016 Sun Mon Tue Wed Thu Fri Sat NTP Work Started Contract Day 1 Contract Day 2 Contract Day 3 Contract Day 4 Contract Day 5 Contract Day 6 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 33 Begin the 16 day count the day after the NTP is dated. Did work start before or after the 16th day? Before! Then the contract time starts on the day the work started. 7-33
34 Contract Time Example 2(b): Spreadsheet Method DAY OF WEEK DATE DAY COUNT CONTRACT DAY SUNDAY 10/9/2016 NTP MONDAY 10/10/ TUESDAY 10/11/ WEDNESDAY 10/12/ THURSDAY 10/13/ FRIDAY 10/14/ SATURDAY 10/15/ SUNDAY 10/16/ MONDAY 10/17/ TUESDAY 10/18/ WEDNESDAY 10/19/ THURSDAY 10/20/ FRIDAY 10/21/ SATURDAY 10/22/ SUNDAY 10/23/ MONDAY 10/24/ TUESDAY 10/25/ WEDNESDAY 10/26/ THURSDAY 10/27/ FRIDAY 10/28/ SATURDAY 10/29/ *Date Work Started 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
35 Contract Time Example 3 Given the Record of Final Plans and Documents on the right, find the following: a) Contract Time Begin b) Calendar Days Allowed c) Calendar Days Elapsed d) Calendar Days Overrun/Underrun e) Liquidated Damages Penalty (Days and Amount) 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 35 Reminder: The format of the participating time is: (Number of State Participating Days / Number of FHWA Participating days) 7-35
36 Contract Time Example 3(a) From the Record of Final Plans and Documents, we know: January 2012 Sun Mon Tue Wed Thu Fri Sat Notice to Proceed First Chargeable Day /1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 36 Begin the 16 day count the day after the NTP is dated. Did work start before or after the 16th day? After! Then the contract time starts on the 16th day. 7-36
37 Contract Time Example 3(b) From the Record of Final Plans and Documents, we know: Calendar Days Allowed: State: FHWA: /1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 37 Add the days Approved by the Original Contract, Supplemental Agreements, Weather and Other Time Extensions to determine Contract Time Allowed. 7-37
38 Contract Time Example 3(c) Calendar Days Elapsed Month No of Days worked 01/12 1 First chargeable 1/31/ / / / / / / / / / / / / /13 4 Final Acceptance 2/04/ Total Days Elapsed 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 38 Add up the number of days from the First Chargeable Day to the date of Final Acceptance to determine the Elapsed Time. 7-38
39 Contract Time Example 3(d) and (e) Did Contract Time Overrun or Underrun? State: FHWA: How much are the LD s? Liquidated Damages = $1,099 day 7 days = $7,693 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module 7 39 Subtract the Calendar Days Charged from the Total Calendar Days Allowable to determine the Days Underrun or Overrun for both State and FHWA. Positive indicates overrun and Negative indicates underrun. When contract time overruns, liquidated damages apply. 7-39
40 Module Review Begin time and begin work End time and end work Allowable Contract time and adjustments Liquidated Damages Time file Alternate type Contracts 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
41 Florida Department of TRANSPORTATION ANY QUESTIONS? 11/1/2017 FDOT Final Estimates Level 2 Release 11, Module
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