Change Orders are instructions to revise construction plans after they have been completed. Change orders are common to most projects, and very common with large projects. After the original scope (or contract) is formed, complete with the total price to be paid and the specific work to be completed, a client may decide that the original plans do not best represent his definition for the finished project. Accordingly, the client will suggest an alternate approach.
Common causes for change orders to be created are:
" The project's work was incorrectly estimated
" The customer or project team discovers obstacles or possible efficiencies that require them to deviate from the original plan
" The customer or project team are inefficient or incapable of completing their required deliverables within budget, and additional money, time, or resources must be added to the project
" During the course of the project, additional features or options are perceived and requested.
Nebraska Construction Contract Change Order refers to a written agreement or document involving modifications or alterations made to an existing construction contract in the state of Nebraska. This change order is crucial in construction projects as it allows the parties involved to establish new terms, adjust project scope, and define additional work or variations to the original agreement. The Nebraska Construction Contract Change Order is typically utilized when unforeseen circumstances or changes in project requirements arise, necessitating adjustments to the contract. Contractors, subcontractors, or owners may initiate a change order to address factors such as design alterations, material substitutions, unforeseen site conditions, or even budget modifications. It is important to note that Nebraska recognizes various types of Construction Contract Change Orders, which can be specifically tailored to meet the requirements of each unique situation. Some notable types are: 1. Scope Change Order: This type of change order is issued when modifications are required to the initial scope of the construction project. It may involve adding or removing certain tasks, altering project deadlines, or adjusting the overall project objectives. 2. Design Change Order: When changes are needed in the original design or blueprints, a design change order is utilized. This could involve revising the structure's layout, altering the architectural elements, or modifying the aesthetic aspects to align with updated design preferences or updated building codes. 3. Time Extension Change Order: This change order is utilized when there is a need to adjust the project timeline due to causes like delays caused by inclement weather, unforeseen circumstances, or changes in the scope. The time extension change order allows for the modification of project deadlines to accommodate these factors. 4. Cost Change Order: In situations where there are budgetary adjustments required, a cost change order is utilized. This change order permits modification to the project's financial aspects, such as material price increases, labor cost alterations, or additional expenses resulting from new work orders. The Nebraska Construction Contract Change Order aims to maintain transparency, clarity, and legal compliance throughout the construction project. By utilizing these change orders, all parties involved can effectively address modifications, eliminate misunderstandings, and ensure the project progresses smoothly while adhering to the original contract terms and conditions.