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NEC ECC: Option A vs Option B for Earthworks Scheme

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There is a desire from the client to use Option B for a predominantly earthworks scheme, with some outfall structures etc.  I have suggested Option A for the scheme and can provide indicative earthwork quantities if necessary. Please can somebody provide feedback on using Option A for earthworks type schemes and whether it would be good practice to issue indicative quantities with the skeleton activity schedule?
asked Sep 26 in NEC3 Main options by Greg (120 points)  
   
Agree with Glenn (mainly) but would add a couple of things :
- for option B, where rate x FINAL quantity is greater than 0.5% of the Prices, the CHANGE in quantities is NOT re-measured, but assessed as change in Defined Cost + Fee. Therefore, for the larger quantities, option B is a part re-measurement contract in that you re-measure to establish the change which is assessed at DC + Fee. That means its complicated to administrate !
- under option A, if you don't give indicative quantities, then all the contractors have to take off their own which is expensive and makes the contract unattractive. Even if you do them, they will do a rough & ready check ! However, if you do give single figure, then it will almost certainly be wrong which could and you could be accused of misrepresentation. So give a central figure with a generous, but not excessive plus/minus variance.

1 Answer

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Choice between option A and B is more about how well the items/quantities can be defined and where the Employer wants the risk to sit. The works are re-measured, so the Contractor gets paid for the amount they do, and given the Employer produces the BofQ any errors/omissions in the B of Q will be a compensation event.

Option A it is down to the Contractor to produce the Activity Schedule and therefore any errors in quantities or omissions altogether will be Contractor risk. If as an Employer you issue an indicative activity schedule, this is fine, but you just need to emphasize that you want that filled in for tender comparison purposes, but they are free to add more detail as submit/reference in data part 2 as their activity schedule to be used to assess Price for Work Done to Date.
answered Sep 26 by Glenn Hide (31,030 points)