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; and
" During the course of the project, additional features or options are perceived and requested.
Broward Florida Compensation for Change Orders and Builder Allowance Underage: A Comprehensive Guide Keywords: Broward Florida, compensation, change orders, builder allowance, underage Introduction: Broward County, Florida, offers a set of regulations and policies regarding compensation for change orders and builder allowances, particularly in the case of underage individuals. This detailed description aims to provide a comprehensive guide to understanding the different types of compensation available under such circumstances. 1. Compensation for Change Orders: Change orders refer to modifications or alterations made to an existing construction contract after its initial approval or signing. In Broward County, Florida, compensation for change orders is governed by specific guidelines. The types of compensation available for change orders can include: a. Time Compensation: In Broward County, if a change order leads to a delay in the project timeline, compensation may be provided to the builder or contractor for the extra time incurred due to the change. This compensation ensures that the contractor is not financially burdened by the additional work required. b. Cost Compensation: When change orders result in increased material, labor, or administrative costs, the builder is entitled to compensation. Such compensation covers the additional expenses incurred by accommodating the changes specified in the order. c. Scope Compensation: If a change order requires additional work or services beyond the initial scope of the contract, compensation may be provided to the builder. This compensation ensures that the builder is adequately reimbursed for the expanded scope of their services. 2. Builder Allowance Underage: Builder allowances provide flexibility to the underage homeowners or individuals who are legally restricted in entering into construction contracts. It allows them to make decisions and changes within a predefined budget. Broward County, Florida, recognizes the need for such allowances and provides different types, including: a. Design Allowance: Underage homeowners are granted a design allowance within a specified budget. This allows them to select the materials, finishes, and other design elements as per their preference, providing them a sense of ownership in the construction process. b. Change Allowance: Any changes exceeding the initial design are addressed through a change allowance, ensuring that underage individuals have the freedom to modify certain aspects of the project according to their evolving needs or preferences. This allowance protects the builder from unforeseen expenses arising from constant alterations. c. Selection Allowance: To enhance the underage homeowners' involvement, a selection allowance is provided. It allows them to personally choose specific items such as appliances, fixtures, and fittings, within a predetermined budget. This allowance empowers underage individuals to have a direct say in the construction process. Conclusion: Broward County, Florida, recognizes the importance of compensation for change orders and provides various types of allowances for underage individuals. By offering compensation for change orders and granting builder allowances underage, Broward County ensures fair treatment for builders and allows homeowners to actively participate in the construction process. It is crucial to familiarize oneself with the specific guidelines and regulations in Broward County to ensure a smooth construction experience.