Bathroom And Kitchen Pods
This document was uploaded by user and they confirmed that they have the permission to share it. If you are author or own the copyright of this book, please report to us by using this DMCA report form. Report DMCA
Overview
Download & View Bathroom And Kitchen Pods as PDF for free.
More details
- Words: 4,282
- Pages: 24
Loading documents preview...
QATAR AIRWAYS CREW ACCOMODATION
Final Cost Valuation No. 1 (Prefabricated Bathroom & Kitchen Pods) May 2014
Table of Contents CONTRACT PARTICULARS........................................................................................................................ 3 SECTION – 1
INTRODUCTION & BACKGROUND ............................................................................... 5
1.1
Introduction: ........................................................................................................................... 5
1.2
Purpose of this Document: ..................................................................................................... 6
SECTION – 2:
Contractor’s Claim....................................................................................................... 8
2.1
Claim Statement: .................................................................................................................... 8
2.2
Entitling Provisions:................................................................................................................. 9
SECTION – 3:
The Facts ................................................................................................................... 10
3.1
Pre-Fabricated Bathroom and Kitchen Pods: ........................................................................ 10
3.2
Central Water Heating System:............................................................................................. 16
3.3
Kitchen Ventilation System: .................................................................................................. 16
3.4
Kitchen Appliances: ............................................................................................................... 16
3.5
Glass Shower Door: ............................................................................................................... 17
3.6
Omission of Insulation to Pods: ............................................................................................ 17
3.7
New Provisions of Washing Machine:................................................................................... 18
3.8
Conclusions: .......................................................................................................................... 19
SECTION - 4:
VALUATION OF VARIED WORKS: ........................................................................... 21
4.1
An Overview: ......................................................................................................................... 21
4.2
Approach of Valuation: ......................................................................................................... 22
List of attachments ............................................................................................................................... 24
Page |2
CONTRACT PARTICULARS The Employer: Qatar Airways, P.O Box 22550, Doha, State of Qatar Employer’s Representative: Vice President – Capital Projects Qatar Airways, P.O Box 22550, Doha, State of Qatar The Engineer: Arab Engineering Bureau Building No. 100, Ibn-e-Sina Street 950, Zone-24, Al Muntaza, P.O Box No. 1148, Doha, Qatar. The Contractor: Redco International Trading and Contracting W.L.L PO Box 16750, Doha, State of Qatar Contract price: QAR 451,796,152.72. Lump Sum. Construction Phase: QAR 421,900,000.00 – Construction Price QAR 6,208,922.72 – Facade Redesign VO No. 1 to xx QAR Maintenance Service Phase: QAR 23,687,230.00 Key dates: Commencement Date 01st February 2011 Scheduled Completion Date 21st November 2012 Time for completion of Construction Phase – 660 days Form of Contract: Public Works Authority Standard Conditions of the Contract – (As modified)
Page |3
SECTION – 1 INTRODUCTION & BACKGROUND
Page |4
SECTION – 1 1.1
INTRODUCTION & BACKGROUND
Introduction:
1. The Parties to the Contract entered into an agreement for construction of works forming Construction – Qatar Airways Crew Accommodation reference QTRCNT-2011-0087
and
Maintenance
Services
–
Qatar
Airways
Crew
Accommodation reference QTR-CNT-2011-0091 by the endorsement of the Letter of Acceptance1 dated 20th January 2011 with a commencement date of 01st February 2011 for a combined value of QAR 451,796,152.72 with a completion date of 21st November 2012. 2. Prior the award of the Project, the Contractor by way of Post tender clarification2 dated 6th September 2010 conveyed its consent to be part of the value engineering. 3. The Employer prior award of the Project undertook Design review of the Project through ARUP and developed a review report3. The Employer awarded the Project without incorporating those Design issues. The ARUP Design report was recently handed over to the Contractor unofficially; which reveals that the Employer awarded the Project with Design deficiencies and with the intent that the Scope of Works shall be varied to a significant extent during the execution of the Project. Such intent was never incorporated in the Contract. This report has presented around 92 items. 4. At the time of writing of this document around 56 numbers of variations orders are issued by the Employer/ the Engineer in line with the ARUP Design Report. Out of these 56 variations orders, 7 variation orders are related to the works in Bathroom and Kitchen, which constitutes significant portion of the works such varied works were formalised by way of issuing Variation Orders as detailed hereunder:1
th
QA Letter of Acceptance reference QTR-CNT-2001-0088 dated 20 January 2011. th The Contractor’s letter reference no. RT/T/09-23/SRK/AS/L/010 dated: 6 September 2010 3 ARUP Peer review report. 2
Page |5
Table 1
Variation Order
Dates
Sr.N o.
No.
Description
1
09
Pre-Fabricated Bathroom & Kitchen Pods
31-10-2011
31-10-2011
2
18
Change from Individual water heaters to Centralized Water Heating System
29-03-2012
11-04-2012
3 4 5 6 7
20 31 45 51 56
Kitchen Ventilation System Kitchen Appliances and Spare parts Addition of Glass Shower doors Omission of Insulation to Pods New Provisions for Washing Machine
19-04-2012 04-10-2012 20-06-2013 26-01-2014 20-02-2014
15-05-2012 04-11-2012 24-07-2013 11-03-2014 24-04-2014
Issue
Approval
5. The Contractor is of the opinion that in all the above mentioned Variation Order, procedure laid down in the Contract was not adopted due to lack of Design, Specifications and clear scope of works and hence it was not possible to ascertain pre-performance cost of the above named variations. Since the Design, Specifications and scope of Works are now finalized hence cost reimbursement is requested on the basis of actual after-the-fact basis. 1.2
Purpose of this Document:
The purpose of this document is to:i.
Reimburse actual costs incurred on the varied works related to Bathrooms and Kitchens and to agree on the revised Contract Price.
ii.
Substantiate that the Contractor is entitled for such reimbursement from the Employer.
Page |6
SECTION – 2
Contractor’s Claim (Facts, Reasons and Justifications)
Page |7
SECTION – 2:
Contractor’s Claim
2.1
Claim Statement:
1.
The Contractor is of the opinion the Engineer/ Employer, for the purpose of varied works tabled at Table-1, exercised their power to amend the Works in accordance with Sub-Clause 51.1 & 51.2 of the General Conditions of Contract.
2.
The Engineer/ Employer, for the purpose of interim payment and formalization of the changes to the Works issued Contract Variation Form in accordance with Sub-Clause 2.1 Part-5 of the Supplemental Conditions of Contract with budget price.
3.
The Contractor has now performed the varied works.
4.
For revising the Contract Price, the Engineer/ the Employer did not follow the procedure set out in Sub-Clause 4.1 & 4.2 of Part -5 of Supplemental Conditions of Contract.
5.
It was impossible for the Employer, the Engineer and the Contractor to follow up the procedure as the Design, Scope of Works and Specifications for varied works were not finalized at the time of issuance of Variation Order Form.
6.
The provision of Design, Scope of Works and Specification is the sole responsibility of the Engineer/ Employer.
7.
The Design, Scope of Works and Specifications for the varied works is now finalized after issuance of VO 56 on 24th April 2014 and hence the Contractor is now in a position to request for the reimbursement of the actual cost incurred for these varied works on an “After-the-fact” basis in the sum of QAR _______________________
Page |8
2.2 1.
Entitling Provisions: The extent of the Contract, in accordance with Clause-5 of General Conditions of Contract, is limited to Construction only where the Design is the responsibility of the Employer/ the Engineer. The Design of the Works and/or varied works is the “Expected Risk” in accordance with Sub-Clause 20.2 of the General Conditions of the Contract.
2.
The Design of varied works, as is evident from the issued Variation Order Forms4, is the responsibility of the Engineer, in accordance with Sub-Clause 4.2 of the Supplemental Conditions of the Contract.
3.
The procedure for selecting the Subcontractor(s), the revision to the Contract Price and issuance of Contract Variation Form is stipulated in the Sub-clause 4.2 of the Supplemental Conditions of Contract. Such procedure was never adopted by the Engineer/ Employer.
4.
The Design, Scope of Works and Specifications were never provided by the Engineer/ the Employer at the time of issuance of the Variation Orders as is evident from the records detailed at Section – 3 of this document.
5.
The As-Built Design is now finalized and final Variation Order No. 56 is issued.
6.
In accordance with Second Paragraph of Sub-Clause 51.4, it is not practicable to for the Contractor to claim for the reimbursements of the costs as the Design, Scope and Specifications of the Varied Works is finalized and actual cost is known.
4
Variation Order Forms no. ___________
Page |9
SECTION – 3:
The Facts
As illustrated in Section - 2 of this document:i.
The Varied Works were ordered with due consultation of the Employer.
ii.
At the time of issuance of order(s) for undertaking Varied Works the Design, Scope of Works and Specification of varied works were not provided by the Engineer/ Employer.
iii.
The specialist Subcontractor/ Supplier was selected by the Engineer/ the Employer.
iv.
In the event of absence of Design, Scope of Works and Specification it was impossible for all the parties involved in the Contract to calculate the projected direct and associated costs with the Varied Works.
This Section of the document is therefore put together with the view to substantiate the above statement of the Contractor from the records of the Project as under:3.1
Pre-Fabricated Bathroom and Kitchen Pods:
1.
Immediately after award of the Project:a. The Engineer, through his email5 dated: 7th December 2010, introduced Modular to the Contractor for preparing a proposal for the Project. b. M/s Modular (the selected supplier/subcontractor) confirmed to the Contractor by way of email6 date: 18th December 2010 that they are in the preliminary discussion directly with the Engineer for introduction of pods into the Project.
2.
In Design meeting No. 37 on 27th January 2011, the Engineer confirmed that they visited three (3) Pods manufacturers in UAE and wanted the Contractor to get information from them.
5
th
Email dated 7 Dec'2010 th Email dated 18 Dec'2010 7 Design Meeting Minutes No. 3 6
P a g e | 10
3.
In the Design meeting No. 88, the Engineer insisted on the use of pre-fabricated bathroom and kitchen pods. It was informed by the Contractor that M/s Modular is ready to present their solution on 29th March 2011.
4.
On 5th April 2011, the Engineer instructed AEB (the then Designer and now the current Engineer) to expedite and initiate the layout in view of the parameter wall of the toilets.
5.
During Design meeting No 199, The Engineer advised the Contractor to arrange Presentation by M/S Modular for QA on or before 22nd May' 11.
6.
During Design meeting No. 2410 the Engineer confirmed that the Employer has No Objection with Modular and that they should provide proposal with different options and different colours.
7.
During Design meeting No. 2711, the Engineer confirmed the receipt of two proposals from the Contractor and its discussions with the Employer. The Contractor during the meeting also informed that planned date for Modular presentation is 7th July'11.
8.
The Contractor formally submitted Prefabricated Bathroom pods submission from Modular on 18th July'11.
9.
The Engineer informed during Design Meeting No. 3512 that AEB (Designer) is doing a comprehensive report on Pods and based on this GTI (Cost Consultant) will assess the cost.
10.
On 31st Aug'11, the Engineer issued an interim VO13 with a Budget savings of QAR 500,000, which principally should have been issued after fulfilling the entire procedure.
11.
The Engineer’s representative along with Modular finalized the dimensional details of Pods in their Dubai office and Modular Emailed14 these layouts to the Contractor on 14th Nov'11.
8
Design Meeting Minutes No. 8 Design Meeting Minutes No. 19 10 Design Meeting Minutes No. 24 11 Design Meeting Minutes No. 27 12 Design Meeting Minutes No. 35 13 Variation Order No. 9 9
P a g e | 11
12.
The Engineer Signed off one Type of Bathroom Pod drawing on 14th Nov'1115 and instructed the Contractor to proceed with Mock-up of these Pods for Client's inspection.
13.
Meanwhile, the Contractor formalized material submissions16 for the different items in the Pods like Sanitary wares, fixtures etc.
14.
On 12th of Dec'11, the Chief Executive of Qatar Airways (the Employer) visited the Pods Mock-up and approved the Pods in principle with a number of changes to the pods as communicated by the Engineer.
The following facts shall prove that the Engineer could not finalize the Design of the prefabricated bathroom and kitchen pods even years after issuance of the Variation Order form:15.
During the architecture coordination meeting No. 517 on 14th Dec' 11 detailed discussion happened along with the Engineer his designer and the Contractor on the Design of Bathroom and Kitchen Pods.
16.
The Engineer confirmed through letter18 dated 15th Dec'11 that Pods have been formally approved by Qatar Airways.
17.
On 19th Dec'11, the Engineer issued a detailed report19 and highlighted different design changes required on Pods.
18.
During architecture coordination meeting No. 920, the Engineer instructed for a full Apartment Mock-up along with Pods as per new design and the Contractor confirmed that such Mock up will be ready by 1st week of Feb'12.
19.
On 10th Jan'12, the Engineer issued a Change Order21 for the different Specifications and hence requested changes to the Mock up.
14
Modular Email Email dated 14th Nov'11 16 Material Submittals 17 Arch. Coordination Meeting Minutes No. 5 18 1101-00-OL-CC/SK-0297 19 Arch. Coordination Meeting Minutes No. 06 20 Arch. Coordination Meeting Minutes No. 16 21 th 1101-00-OL-1710-CC/CV-0358 dated 10 Jan'12 15
P a g e | 12
20.
During architectural coordination meeting No.1022, the Engineer instructed the Contractor to proceed with the Coordinated Shop drawing for Pods and also informed that Basic design has been finalized by Engineer.
21.
During architectural coordination meeting No. 1223, the Engineer informed the Contractor that Mock up Shop drawing has been approved and further asked the Contractor to arrange a separate type of Basin (Semi Recess type) for the Employer review and approval.
22.
During architectural coordination meeting No. 1424, the Engineer confirmed that mirror light in the Pods will be from Astro U.K.
23.
On 7th Mar'12, the Contractor submitted25 General Arrangement drawings for the Pods.
24.
The Contractor submitted26 breakdown for the QAR 500,000 savings for the Interim payments processing upon repeatedly requests of the Engineer.
25.
The Engineer27 on 27th Mar'12 instructed the Contractor that the Pods inspection to be done by AEB through their Abu Dhabi office and informed that such costs will be borne by the Contractor.
26.
The Employer’s inspection28 for the Full Mock up apartment Mock up along with New Pods happened on 4th April'12.
27.
Immediately after Mock up inspection, the Employer instructed29 the Contractor to lock the Mock up apartment and not to allow any one enter it till further instructions.
28.
On 11th April'12, the Engineer issued a Variation Order No 1830 for the Changes in the Water Heating System in the Pods.
22
Arch. Coordination Meeting Minutes No. 10 Arch. Coordination Meeting Minutes No. 12 24 Arch. Coordination Meeting Minutes No. 14 25 th RED-1101-0207-PD-191 dated 7 Mar'12 26 th RED-1101-0232-PD-219 dated 25 Mar'12 27 th 1101-00-OL-1710-CC/SK-0543 dated 27 Mar' 12 28 th 1101-00-OL-1710-CC/SK-0658 dated 04 April' 12 29 th RED-1101-290-PD-290 dated 04 April'12 30 Variation Order No. 18 23
P a g e | 13
29.
During the Progress Meeting No. 6331, the Employer once again confirmed that Mock up done is on Hold.
30.
On 15th May'12, the Engineer issued another Variation Order NO. 2032 for the changes in the Kitchen Ventilation System.
31.
On 15th May'12, the Engineer issued33 New Design drawing for new Mock up apartment and instructed Redco to proceed with its Shop drawings with immediate effect.
32.
On 23rd May'12, the Engineer through a formal letter34 instructed cancellation of Pods concept with immediate effect.
33.
The Contractor immediately forwarded35 the cancellation instructions to Modular upon receipt.
34.
On 11th June '12, the Engineer instructed36 the Contractor to resume works on 1st Mock up and rectify comments raised by the Engineer in order to offer inspection to the Employer.
35.
On 12th June'12, the Engineer instructed37 the Contractor to resume the Pods on the Project with immediate effect.
36.
On 13th June '12, the Contractor confirmed38 receipt of the Engineer instructions and informed that the varied works have been recommenced on Mock up 1 and informed that Mock up 2 works are also on going.
37.
On 20th July'12, the Contractor attached minutes of Design Meeting and requested39 the Engineer to finalize the Design of the varied works at earliest in order to proceed with the Production of Pods through selected subcontractor.
31
Progress Meeting Minutes No. 63 Variation Order No. 28 33 th 1101-00-OL-1710-CC/MN-0734 dated 15 May' 12 34 rh 1101-00-OL-1710-CC/SK-0544 dated 23 May' 12 35 rd RED-1101-0362-MOD-0004-PD-0352 dated 23 May'12 36 th 1101-00-OL-1710-CC/SK-0840 dated 11 June' 12 37 th 1101-00-OL-1710-CC/SK-0544 dated 12 June' 12 38 th RED-1101-0396-AEB-036-PD-386 dated 13 June' 12 39 th RED-1101-0524-AEB-017-PD-513 dated 20 July' 12 32
P a g e | 14
38.
On 16th Aug'12, the Contractor further updated40 on the pending design items related to the varied works and requested the Engineer to finalize the Design at earliest.
39.
On 22nd Aug'12, the Engineer acknowledged41 the Contractor’s concerns on the pending design items and assured that they will finalize at earliest and further requested that a Mock up should be done reflecting new changes in Modular Dubai Office's.
40.
On 25th Aug'12, the Contractor further updated42 on the design issues and also forwarded design proposal on demountable ceiling and confirmed agreement on Mock up in Dubai upon finalization of current design issues (Ceiling and Shaft).
41.
On 4th Nov'12, the Engineer issued VO 3143 for the Kitchen Appliances and Spare Parts to be installed in Kitchen Pods.
42.
On 12th Nov'12, the Engineer through letter44 confirmed approval of the Logistic Plan of Pods and asked the Contractor to submit the planned delivery/installation dates and also to raise formal request for inspection of Mock up based on agreed Design Changes till date.
43.
On 6th Aug'13, the Contractor submitted45 a Variation Order for the additional Dual Socket outlet and Shaver Socket in Pods.
44.
On 24th July'13, the Engineer issued New Variation Order 4546 for the Glass Shower door to be installed in the varied works
45.
On 11th Mar'13, the Engineer issued New Variation Order 5147 for the omission of Insulation from Bathroom and Kitchen Pods.
40
th
RED-1101-0520-AEB-014-PD-510 dated 16 Aug' 12 nd AEB/878/RS/01/L000378/389 dated 22 Aug'12 42 th RED-1101-0532-AEB-0024-PD-520 dated 25 Aug' 12 43 Variation Order No. 31 44 th AEB/878/RS/01/L000621/632 dated 12 Nov' 12 45 th RED-1101-0893-AEB-0293-PD-883 dated 06 Aug' 13 46 Variation Order No. 42 47 Variation Order No. 51 41
P a g e | 15
On 30th April'13, the Engineer issued New Variation Order 5648 for the
46.
Washing Machine Provisions to be made in 37 numbers Kitchen Pods and hence finally completed the Design of Bathroom and Kitchen Pods. 3.2
Central Water Heating System:
1.
Central Water Heating system was introduced as Value Engineering Item49.
2.
On 10th January 2012, the Engineer issued Design Drawings50 showing solar panels.
3.
On 29th January 2012, the Engineer issued revised Design showing multifunctional pumps51 for central water heating system.
4.
On 14th April 2012, the Engineer issued Variation Order Form52.
5.
On 21st May 2012, the Engineer again issued revised Design53.
3.3 1.
Kitchen Ventilation System: The Engineer, through his letter54 dated: 26th February 2012, instructed to for the cost impact of the varied works, so that the Engineer may present the case to the Employer.
2.
On 26th March'12 Redco submitted55 revised Commercial Submission as instructed.
3.
3.4 1.
On 15th May'12 Variation Order56 is finally issued.
Kitchen Appliances: The Engineer, vide his letter dated: 4th January 2012 issued instruction to procure and install Kitchen Appliances57.
48
Variation Order No. 56 Design and VE meeting No.31 50 IFC issuance transmittal 1101/QA/0046 51 IFC issuance transmittal AEB/878/RS/01/LOOO97/108 52 The Engineer's letter 1101-00-OL-1710-CC/CV-0591 53 Revised IFC Transmittal . 1101/QA/0056 54 Engineer's letter Ref 1101-00-OL-1710-CL/MCC-0473 55 th RED-1101-GEN-MEC-TR-0032_01 dated 26 March'12 56 Variation Order No. 20 49
P a g e | 16
2.
The Engineer58 forwarded the Employer’s letter requesting for additional requirements (spare parts etc) of the Employer vide letter dated: 26 th April 2012.
3.
Additional requirements were communicated by the Engineer59 vide his letter reference no. 9th May 2012.
4.
Proposal was submitted by the Contractor60 vide his letter dated: 14th May 2012.
5.
Again the Engineer61 forwarded the Employer letter asking some additional details vide his letter dated: 14th June 2012.
6.
After a number of discussions the Engineer62 issued Variation on 4th October 2012.
3.5 1.
Glass Shower Door: On 15th August 2012, the Engineer63 issued instruction to proceed with Glass Shower Doors in Bathrooms without any Design and Specifications.
2.
The quotation64 from the supplier/ the Subcontractor was submitted 30th September 2012.
3.
After nine months of the submission of the proposal Variation Order65 was approved and communicated on 25th June 2013.
3.6 1.
Omission of Insulation to Pods: On 02nd Sep'13 Engineer Instructed66 the Contractor to analyze cost for the Pods insulation.
57
Engineer's letter Ref 1101-00-OL-1710-CC/CV-0326 Engineer's letter Ref 1101-00-OL-1710-CC/CV-0661 59 Engineer's letter Ref 1101-00-OL-1710-CC/CV-0716 60 Redco's letter Ref RED-1101-350-RPM-350-PD-340 61 Engineer's letter Ref 1101-00-OL-1710-np/CV-0875 62 Engineer's letter Ref AEB/878/RS/01/LOOO555/566 63 Engineer's letter Ref AEB/878/RS/01/LOOO355/366 64 Redco's letter Ref RED-1101-596-AEB-0068-PD-582 65 Variation Order No. 45 66 Commercial meeting No. 70 58
P a g e | 17
2.
On 30th Sep'12 Engineer confirmed67 that they have received cost from the Contractor and a joint review is on-going.
3.
On 10th Nov'12 Engineer has issued VO
68
which is immediately signed off
by the Contractor. 4. 3.7 1.
On 11th March'14 Variation Order69 has been formally issued. New Provisions of Washing Machine: The Project Manager of M/s RPM (Engineer’s Representative) requested by way of sending email70 dated 1st May 2012 for incorporation of Washing Machines in some pods.
2.
The Contractor requested71 on 6th November 2012 that written confirmation of the request is required along with the Design drawings specification.
3.
The Engineer, vide his letter72 dated: 24th December 2012 confirm that changes are required.
4.
The Engineer changed his Design of the varied works by considering frame and granite by way of sending letter73 dated: 16th June 2013.
5.
The Engineer vide his letter74 dated: 26th June 2013 requested for the approved drawings to be provided with PPR pipes.
6.
The Engineer by way of letter75 dated: 30th October 2013 forwarded the Employer letter stating the concept approval but certain details were requested from the Employer.
7.
The Engineer finally issued a Contract Variation Form76 on 30th April 2014.
67
Commercial meeting No. 74 Commercial meeting No. 79 69 Variation Order No. 51 70 Engineer’s Representative Mr. Claudio's email dated 1st Nov'12 71 The Contractor’s letter Ref RED-1101-634-RPM-0094-PD-0620 72 The Engineer's letter Ref AEB/878/RS/01/L000727/738 73 Email dated 16th June'2013 74 The Engineer's letter Ref AEB/878/RS/01/L001026/1037 75 The Engineer's letter Ref AEB/878/RS/01/L001181/1246 76 Variation Order No 56 68
P a g e | 18
3.8
Conclusions: -
The Engineer/ Employer instructed the desired changes to the Works in accordance with Sub-Clause 51.1 of the General Conditions of the Contract.
-
The Engineer/ Employer for the purpose of confirmation of his instructions and interim payments confirmed his instructions in compliance with SubClause 2.1 by way of issuing a Variation Order Form.
-
The procedure for processing Variations of this nature is defined in SubClause 4.2 was not adopted due to the fact that the scope of works, specifications and Design was not finalized at the time.
-
The Scope of varied works, its specification and Design is now finalized and hence the costs associated duly incurred by the Contractor is submitted for the final review of the Engineer and release of payment by the Employer.
P a g e | 19
SECTION - 4.
VALUATION OF VARIED WORKS
P a g e | 20
SECTION - 4: 4.1
VALUATION OF VARIED WORKS:
An Overview:
The details of the Varied Works which is subject of this document are as under:-
Sr. No.
Variation Order No.
Date
Description Pre-Fabricated Bathroom & Kitchen Pods Change from Individual water heaters to Centralized Water Heating System
Interim Budget effect Cost (Add/Omit) (QAR)
Issue
Approval
31-10-2011
31-10-2011
500,000
Omit
29-03-2012
11-04-2012
4,660,407
Add
79,493 3,273,693.5 3,018,074.2 5 413,558.52 126,202.35
Omit Add
1
09
2
18
3 4
20 31
Kitchen Ventilation System Kitchen Appliances and Spare parts
19-04-2012 04-10-2012
15-05-2012 04-11-2012
5
45
Addition of Glass Shower doors
20-06-2013
24-07-2013
6 7
51 56
Omission of Insulation to Pods New Provisions for Washing Machine
26-01-2014 20-02-2014
11-03-2014 24-04-2014
Add Omit Add
As described earlier, the cost impact of the above varied works could not be ascertained prior performance due to lack of Design, Specifications and Scope of work as established from the records described in detail in Section-2 of this document. The Contract stipulates that the provision of Design, Specification and Scope of Work is the responsibility of the Employer. The Engineer issued the above named Variation Order in accordance with the provisions of Sub-Clause 51.3 & 51.4 of the General Conditions of the Contract. The process stipulated in the Supplemental Conditions of the Contract (Sub Clause 4.2 of Part-5) was not adopted due to lack of Design, Specification and Scope of works. The Variation Orders were, therefore, issued with budget cost to the Contract Price and agreed by the Contractor as an interim mechanism for the Engineer to recommend the progress payment.
Now that the varied works are completed to the satisfaction and requirements of the Engineer/ the Employer and the Design, Specification and scope of works is finalized
P a g e | 21
hence final cost is submitted i.e. after-the-performance for the release of payment and agreement on the revised Contract Price. 4.2
Approach of Valuation:
Following approach is adopted for calculating after the perform cost of the Varied Works:i.
Omission: The Works which are varied and/or amended by way of issuing Variation Orders are calculating from the Contract Drawings and its cost is calculating on the basis of Bill of Quantities.
ii.
Addition: The additional/ varied works actual cost is calculated as under:a. Direct Cost of the selected Supplier/ Subcontractor, duly substantiated with payments made to respective party (ies). b. The actual costs incurred on the exclusions including but not limited to the works and General and particular attendances, works etc.
P a g e | 22
ATTACHEMENTS:
P a g e | 23
List of attachments
P a g e | 24
Final Cost Valuation No. 1 (Prefabricated Bathroom & Kitchen Pods) May 2014
Table of Contents CONTRACT PARTICULARS........................................................................................................................ 3 SECTION – 1
INTRODUCTION & BACKGROUND ............................................................................... 5
1.1
Introduction: ........................................................................................................................... 5
1.2
Purpose of this Document: ..................................................................................................... 6
SECTION – 2:
Contractor’s Claim....................................................................................................... 8
2.1
Claim Statement: .................................................................................................................... 8
2.2
Entitling Provisions:................................................................................................................. 9
SECTION – 3:
The Facts ................................................................................................................... 10
3.1
Pre-Fabricated Bathroom and Kitchen Pods: ........................................................................ 10
3.2
Central Water Heating System:............................................................................................. 16
3.3
Kitchen Ventilation System: .................................................................................................. 16
3.4
Kitchen Appliances: ............................................................................................................... 16
3.5
Glass Shower Door: ............................................................................................................... 17
3.6
Omission of Insulation to Pods: ............................................................................................ 17
3.7
New Provisions of Washing Machine:................................................................................... 18
3.8
Conclusions: .......................................................................................................................... 19
SECTION - 4:
VALUATION OF VARIED WORKS: ........................................................................... 21
4.1
An Overview: ......................................................................................................................... 21
4.2
Approach of Valuation: ......................................................................................................... 22
List of attachments ............................................................................................................................... 24
Page |2
CONTRACT PARTICULARS The Employer: Qatar Airways, P.O Box 22550, Doha, State of Qatar Employer’s Representative: Vice President – Capital Projects Qatar Airways, P.O Box 22550, Doha, State of Qatar The Engineer: Arab Engineering Bureau Building No. 100, Ibn-e-Sina Street 950, Zone-24, Al Muntaza, P.O Box No. 1148, Doha, Qatar. The Contractor: Redco International Trading and Contracting W.L.L PO Box 16750, Doha, State of Qatar Contract price: QAR 451,796,152.72. Lump Sum. Construction Phase: QAR 421,900,000.00 – Construction Price QAR 6,208,922.72 – Facade Redesign VO No. 1 to xx QAR Maintenance Service Phase: QAR 23,687,230.00 Key dates: Commencement Date 01st February 2011 Scheduled Completion Date 21st November 2012 Time for completion of Construction Phase – 660 days Form of Contract: Public Works Authority Standard Conditions of the Contract – (As modified)
Page |3
SECTION – 1 INTRODUCTION & BACKGROUND
Page |4
SECTION – 1 1.1
INTRODUCTION & BACKGROUND
Introduction:
1. The Parties to the Contract entered into an agreement for construction of works forming Construction – Qatar Airways Crew Accommodation reference QTRCNT-2011-0087
and
Maintenance
Services
–
Qatar
Airways
Crew
Accommodation reference QTR-CNT-2011-0091 by the endorsement of the Letter of Acceptance1 dated 20th January 2011 with a commencement date of 01st February 2011 for a combined value of QAR 451,796,152.72 with a completion date of 21st November 2012. 2. Prior the award of the Project, the Contractor by way of Post tender clarification2 dated 6th September 2010 conveyed its consent to be part of the value engineering. 3. The Employer prior award of the Project undertook Design review of the Project through ARUP and developed a review report3. The Employer awarded the Project without incorporating those Design issues. The ARUP Design report was recently handed over to the Contractor unofficially; which reveals that the Employer awarded the Project with Design deficiencies and with the intent that the Scope of Works shall be varied to a significant extent during the execution of the Project. Such intent was never incorporated in the Contract. This report has presented around 92 items. 4. At the time of writing of this document around 56 numbers of variations orders are issued by the Employer/ the Engineer in line with the ARUP Design Report. Out of these 56 variations orders, 7 variation orders are related to the works in Bathroom and Kitchen, which constitutes significant portion of the works such varied works were formalised by way of issuing Variation Orders as detailed hereunder:1
th
QA Letter of Acceptance reference QTR-CNT-2001-0088 dated 20 January 2011. th The Contractor’s letter reference no. RT/T/09-23/SRK/AS/L/010 dated: 6 September 2010 3 ARUP Peer review report. 2
Page |5
Table 1
Variation Order
Dates
Sr.N o.
No.
Description
1
09
Pre-Fabricated Bathroom & Kitchen Pods
31-10-2011
31-10-2011
2
18
Change from Individual water heaters to Centralized Water Heating System
29-03-2012
11-04-2012
3 4 5 6 7
20 31 45 51 56
Kitchen Ventilation System Kitchen Appliances and Spare parts Addition of Glass Shower doors Omission of Insulation to Pods New Provisions for Washing Machine
19-04-2012 04-10-2012 20-06-2013 26-01-2014 20-02-2014
15-05-2012 04-11-2012 24-07-2013 11-03-2014 24-04-2014
Issue
Approval
5. The Contractor is of the opinion that in all the above mentioned Variation Order, procedure laid down in the Contract was not adopted due to lack of Design, Specifications and clear scope of works and hence it was not possible to ascertain pre-performance cost of the above named variations. Since the Design, Specifications and scope of Works are now finalized hence cost reimbursement is requested on the basis of actual after-the-fact basis. 1.2
Purpose of this Document:
The purpose of this document is to:i.
Reimburse actual costs incurred on the varied works related to Bathrooms and Kitchens and to agree on the revised Contract Price.
ii.
Substantiate that the Contractor is entitled for such reimbursement from the Employer.
Page |6
SECTION – 2
Contractor’s Claim (Facts, Reasons and Justifications)
Page |7
SECTION – 2:
Contractor’s Claim
2.1
Claim Statement:
1.
The Contractor is of the opinion the Engineer/ Employer, for the purpose of varied works tabled at Table-1, exercised their power to amend the Works in accordance with Sub-Clause 51.1 & 51.2 of the General Conditions of Contract.
2.
The Engineer/ Employer, for the purpose of interim payment and formalization of the changes to the Works issued Contract Variation Form in accordance with Sub-Clause 2.1 Part-5 of the Supplemental Conditions of Contract with budget price.
3.
The Contractor has now performed the varied works.
4.
For revising the Contract Price, the Engineer/ the Employer did not follow the procedure set out in Sub-Clause 4.1 & 4.2 of Part -5 of Supplemental Conditions of Contract.
5.
It was impossible for the Employer, the Engineer and the Contractor to follow up the procedure as the Design, Scope of Works and Specifications for varied works were not finalized at the time of issuance of Variation Order Form.
6.
The provision of Design, Scope of Works and Specification is the sole responsibility of the Engineer/ Employer.
7.
The Design, Scope of Works and Specifications for the varied works is now finalized after issuance of VO 56 on 24th April 2014 and hence the Contractor is now in a position to request for the reimbursement of the actual cost incurred for these varied works on an “After-the-fact” basis in the sum of QAR _______________________
Page |8
2.2 1.
Entitling Provisions: The extent of the Contract, in accordance with Clause-5 of General Conditions of Contract, is limited to Construction only where the Design is the responsibility of the Employer/ the Engineer. The Design of the Works and/or varied works is the “Expected Risk” in accordance with Sub-Clause 20.2 of the General Conditions of the Contract.
2.
The Design of varied works, as is evident from the issued Variation Order Forms4, is the responsibility of the Engineer, in accordance with Sub-Clause 4.2 of the Supplemental Conditions of the Contract.
3.
The procedure for selecting the Subcontractor(s), the revision to the Contract Price and issuance of Contract Variation Form is stipulated in the Sub-clause 4.2 of the Supplemental Conditions of Contract. Such procedure was never adopted by the Engineer/ Employer.
4.
The Design, Scope of Works and Specifications were never provided by the Engineer/ the Employer at the time of issuance of the Variation Orders as is evident from the records detailed at Section – 3 of this document.
5.
The As-Built Design is now finalized and final Variation Order No. 56 is issued.
6.
In accordance with Second Paragraph of Sub-Clause 51.4, it is not practicable to for the Contractor to claim for the reimbursements of the costs as the Design, Scope and Specifications of the Varied Works is finalized and actual cost is known.
4
Variation Order Forms no. ___________
Page |9
SECTION – 3:
The Facts
As illustrated in Section - 2 of this document:i.
The Varied Works were ordered with due consultation of the Employer.
ii.
At the time of issuance of order(s) for undertaking Varied Works the Design, Scope of Works and Specification of varied works were not provided by the Engineer/ Employer.
iii.
The specialist Subcontractor/ Supplier was selected by the Engineer/ the Employer.
iv.
In the event of absence of Design, Scope of Works and Specification it was impossible for all the parties involved in the Contract to calculate the projected direct and associated costs with the Varied Works.
This Section of the document is therefore put together with the view to substantiate the above statement of the Contractor from the records of the Project as under:3.1
Pre-Fabricated Bathroom and Kitchen Pods:
1.
Immediately after award of the Project:a. The Engineer, through his email5 dated: 7th December 2010, introduced Modular to the Contractor for preparing a proposal for the Project. b. M/s Modular (the selected supplier/subcontractor) confirmed to the Contractor by way of email6 date: 18th December 2010 that they are in the preliminary discussion directly with the Engineer for introduction of pods into the Project.
2.
In Design meeting No. 37 on 27th January 2011, the Engineer confirmed that they visited three (3) Pods manufacturers in UAE and wanted the Contractor to get information from them.
5
th
Email dated 7 Dec'2010 th Email dated 18 Dec'2010 7 Design Meeting Minutes No. 3 6
P a g e | 10
3.
In the Design meeting No. 88, the Engineer insisted on the use of pre-fabricated bathroom and kitchen pods. It was informed by the Contractor that M/s Modular is ready to present their solution on 29th March 2011.
4.
On 5th April 2011, the Engineer instructed AEB (the then Designer and now the current Engineer) to expedite and initiate the layout in view of the parameter wall of the toilets.
5.
During Design meeting No 199, The Engineer advised the Contractor to arrange Presentation by M/S Modular for QA on or before 22nd May' 11.
6.
During Design meeting No. 2410 the Engineer confirmed that the Employer has No Objection with Modular and that they should provide proposal with different options and different colours.
7.
During Design meeting No. 2711, the Engineer confirmed the receipt of two proposals from the Contractor and its discussions with the Employer. The Contractor during the meeting also informed that planned date for Modular presentation is 7th July'11.
8.
The Contractor formally submitted Prefabricated Bathroom pods submission from Modular on 18th July'11.
9.
The Engineer informed during Design Meeting No. 3512 that AEB (Designer) is doing a comprehensive report on Pods and based on this GTI (Cost Consultant) will assess the cost.
10.
On 31st Aug'11, the Engineer issued an interim VO13 with a Budget savings of QAR 500,000, which principally should have been issued after fulfilling the entire procedure.
11.
The Engineer’s representative along with Modular finalized the dimensional details of Pods in their Dubai office and Modular Emailed14 these layouts to the Contractor on 14th Nov'11.
8
Design Meeting Minutes No. 8 Design Meeting Minutes No. 19 10 Design Meeting Minutes No. 24 11 Design Meeting Minutes No. 27 12 Design Meeting Minutes No. 35 13 Variation Order No. 9 9
P a g e | 11
12.
The Engineer Signed off one Type of Bathroom Pod drawing on 14th Nov'1115 and instructed the Contractor to proceed with Mock-up of these Pods for Client's inspection.
13.
Meanwhile, the Contractor formalized material submissions16 for the different items in the Pods like Sanitary wares, fixtures etc.
14.
On 12th of Dec'11, the Chief Executive of Qatar Airways (the Employer) visited the Pods Mock-up and approved the Pods in principle with a number of changes to the pods as communicated by the Engineer.
The following facts shall prove that the Engineer could not finalize the Design of the prefabricated bathroom and kitchen pods even years after issuance of the Variation Order form:15.
During the architecture coordination meeting No. 517 on 14th Dec' 11 detailed discussion happened along with the Engineer his designer and the Contractor on the Design of Bathroom and Kitchen Pods.
16.
The Engineer confirmed through letter18 dated 15th Dec'11 that Pods have been formally approved by Qatar Airways.
17.
On 19th Dec'11, the Engineer issued a detailed report19 and highlighted different design changes required on Pods.
18.
During architecture coordination meeting No. 920, the Engineer instructed for a full Apartment Mock-up along with Pods as per new design and the Contractor confirmed that such Mock up will be ready by 1st week of Feb'12.
19.
On 10th Jan'12, the Engineer issued a Change Order21 for the different Specifications and hence requested changes to the Mock up.
14
Modular Email Email dated 14th Nov'11 16 Material Submittals 17 Arch. Coordination Meeting Minutes No. 5 18 1101-00-OL-CC/SK-0297 19 Arch. Coordination Meeting Minutes No. 06 20 Arch. Coordination Meeting Minutes No. 16 21 th 1101-00-OL-1710-CC/CV-0358 dated 10 Jan'12 15
P a g e | 12
20.
During architectural coordination meeting No.1022, the Engineer instructed the Contractor to proceed with the Coordinated Shop drawing for Pods and also informed that Basic design has been finalized by Engineer.
21.
During architectural coordination meeting No. 1223, the Engineer informed the Contractor that Mock up Shop drawing has been approved and further asked the Contractor to arrange a separate type of Basin (Semi Recess type) for the Employer review and approval.
22.
During architectural coordination meeting No. 1424, the Engineer confirmed that mirror light in the Pods will be from Astro U.K.
23.
On 7th Mar'12, the Contractor submitted25 General Arrangement drawings for the Pods.
24.
The Contractor submitted26 breakdown for the QAR 500,000 savings for the Interim payments processing upon repeatedly requests of the Engineer.
25.
The Engineer27 on 27th Mar'12 instructed the Contractor that the Pods inspection to be done by AEB through their Abu Dhabi office and informed that such costs will be borne by the Contractor.
26.
The Employer’s inspection28 for the Full Mock up apartment Mock up along with New Pods happened on 4th April'12.
27.
Immediately after Mock up inspection, the Employer instructed29 the Contractor to lock the Mock up apartment and not to allow any one enter it till further instructions.
28.
On 11th April'12, the Engineer issued a Variation Order No 1830 for the Changes in the Water Heating System in the Pods.
22
Arch. Coordination Meeting Minutes No. 10 Arch. Coordination Meeting Minutes No. 12 24 Arch. Coordination Meeting Minutes No. 14 25 th RED-1101-0207-PD-191 dated 7 Mar'12 26 th RED-1101-0232-PD-219 dated 25 Mar'12 27 th 1101-00-OL-1710-CC/SK-0543 dated 27 Mar' 12 28 th 1101-00-OL-1710-CC/SK-0658 dated 04 April' 12 29 th RED-1101-290-PD-290 dated 04 April'12 30 Variation Order No. 18 23
P a g e | 13
29.
During the Progress Meeting No. 6331, the Employer once again confirmed that Mock up done is on Hold.
30.
On 15th May'12, the Engineer issued another Variation Order NO. 2032 for the changes in the Kitchen Ventilation System.
31.
On 15th May'12, the Engineer issued33 New Design drawing for new Mock up apartment and instructed Redco to proceed with its Shop drawings with immediate effect.
32.
On 23rd May'12, the Engineer through a formal letter34 instructed cancellation of Pods concept with immediate effect.
33.
The Contractor immediately forwarded35 the cancellation instructions to Modular upon receipt.
34.
On 11th June '12, the Engineer instructed36 the Contractor to resume works on 1st Mock up and rectify comments raised by the Engineer in order to offer inspection to the Employer.
35.
On 12th June'12, the Engineer instructed37 the Contractor to resume the Pods on the Project with immediate effect.
36.
On 13th June '12, the Contractor confirmed38 receipt of the Engineer instructions and informed that the varied works have been recommenced on Mock up 1 and informed that Mock up 2 works are also on going.
37.
On 20th July'12, the Contractor attached minutes of Design Meeting and requested39 the Engineer to finalize the Design of the varied works at earliest in order to proceed with the Production of Pods through selected subcontractor.
31
Progress Meeting Minutes No. 63 Variation Order No. 28 33 th 1101-00-OL-1710-CC/MN-0734 dated 15 May' 12 34 rh 1101-00-OL-1710-CC/SK-0544 dated 23 May' 12 35 rd RED-1101-0362-MOD-0004-PD-0352 dated 23 May'12 36 th 1101-00-OL-1710-CC/SK-0840 dated 11 June' 12 37 th 1101-00-OL-1710-CC/SK-0544 dated 12 June' 12 38 th RED-1101-0396-AEB-036-PD-386 dated 13 June' 12 39 th RED-1101-0524-AEB-017-PD-513 dated 20 July' 12 32
P a g e | 14
38.
On 16th Aug'12, the Contractor further updated40 on the pending design items related to the varied works and requested the Engineer to finalize the Design at earliest.
39.
On 22nd Aug'12, the Engineer acknowledged41 the Contractor’s concerns on the pending design items and assured that they will finalize at earliest and further requested that a Mock up should be done reflecting new changes in Modular Dubai Office's.
40.
On 25th Aug'12, the Contractor further updated42 on the design issues and also forwarded design proposal on demountable ceiling and confirmed agreement on Mock up in Dubai upon finalization of current design issues (Ceiling and Shaft).
41.
On 4th Nov'12, the Engineer issued VO 3143 for the Kitchen Appliances and Spare Parts to be installed in Kitchen Pods.
42.
On 12th Nov'12, the Engineer through letter44 confirmed approval of the Logistic Plan of Pods and asked the Contractor to submit the planned delivery/installation dates and also to raise formal request for inspection of Mock up based on agreed Design Changes till date.
43.
On 6th Aug'13, the Contractor submitted45 a Variation Order for the additional Dual Socket outlet and Shaver Socket in Pods.
44.
On 24th July'13, the Engineer issued New Variation Order 4546 for the Glass Shower door to be installed in the varied works
45.
On 11th Mar'13, the Engineer issued New Variation Order 5147 for the omission of Insulation from Bathroom and Kitchen Pods.
40
th
RED-1101-0520-AEB-014-PD-510 dated 16 Aug' 12 nd AEB/878/RS/01/L000378/389 dated 22 Aug'12 42 th RED-1101-0532-AEB-0024-PD-520 dated 25 Aug' 12 43 Variation Order No. 31 44 th AEB/878/RS/01/L000621/632 dated 12 Nov' 12 45 th RED-1101-0893-AEB-0293-PD-883 dated 06 Aug' 13 46 Variation Order No. 42 47 Variation Order No. 51 41
P a g e | 15
On 30th April'13, the Engineer issued New Variation Order 5648 for the
46.
Washing Machine Provisions to be made in 37 numbers Kitchen Pods and hence finally completed the Design of Bathroom and Kitchen Pods. 3.2
Central Water Heating System:
1.
Central Water Heating system was introduced as Value Engineering Item49.
2.
On 10th January 2012, the Engineer issued Design Drawings50 showing solar panels.
3.
On 29th January 2012, the Engineer issued revised Design showing multifunctional pumps51 for central water heating system.
4.
On 14th April 2012, the Engineer issued Variation Order Form52.
5.
On 21st May 2012, the Engineer again issued revised Design53.
3.3 1.
Kitchen Ventilation System: The Engineer, through his letter54 dated: 26th February 2012, instructed to for the cost impact of the varied works, so that the Engineer may present the case to the Employer.
2.
On 26th March'12 Redco submitted55 revised Commercial Submission as instructed.
3.
3.4 1.
On 15th May'12 Variation Order56 is finally issued.
Kitchen Appliances: The Engineer, vide his letter dated: 4th January 2012 issued instruction to procure and install Kitchen Appliances57.
48
Variation Order No. 56 Design and VE meeting No.31 50 IFC issuance transmittal 1101/QA/0046 51 IFC issuance transmittal AEB/878/RS/01/LOOO97/108 52 The Engineer's letter 1101-00-OL-1710-CC/CV-0591 53 Revised IFC Transmittal . 1101/QA/0056 54 Engineer's letter Ref 1101-00-OL-1710-CL/MCC-0473 55 th RED-1101-GEN-MEC-TR-0032_01 dated 26 March'12 56 Variation Order No. 20 49
P a g e | 16
2.
The Engineer58 forwarded the Employer’s letter requesting for additional requirements (spare parts etc) of the Employer vide letter dated: 26 th April 2012.
3.
Additional requirements were communicated by the Engineer59 vide his letter reference no. 9th May 2012.
4.
Proposal was submitted by the Contractor60 vide his letter dated: 14th May 2012.
5.
Again the Engineer61 forwarded the Employer letter asking some additional details vide his letter dated: 14th June 2012.
6.
After a number of discussions the Engineer62 issued Variation on 4th October 2012.
3.5 1.
Glass Shower Door: On 15th August 2012, the Engineer63 issued instruction to proceed with Glass Shower Doors in Bathrooms without any Design and Specifications.
2.
The quotation64 from the supplier/ the Subcontractor was submitted 30th September 2012.
3.
After nine months of the submission of the proposal Variation Order65 was approved and communicated on 25th June 2013.
3.6 1.
Omission of Insulation to Pods: On 02nd Sep'13 Engineer Instructed66 the Contractor to analyze cost for the Pods insulation.
57
Engineer's letter Ref 1101-00-OL-1710-CC/CV-0326 Engineer's letter Ref 1101-00-OL-1710-CC/CV-0661 59 Engineer's letter Ref 1101-00-OL-1710-CC/CV-0716 60 Redco's letter Ref RED-1101-350-RPM-350-PD-340 61 Engineer's letter Ref 1101-00-OL-1710-np/CV-0875 62 Engineer's letter Ref AEB/878/RS/01/LOOO555/566 63 Engineer's letter Ref AEB/878/RS/01/LOOO355/366 64 Redco's letter Ref RED-1101-596-AEB-0068-PD-582 65 Variation Order No. 45 66 Commercial meeting No. 70 58
P a g e | 17
2.
On 30th Sep'12 Engineer confirmed67 that they have received cost from the Contractor and a joint review is on-going.
3.
On 10th Nov'12 Engineer has issued VO
68
which is immediately signed off
by the Contractor. 4. 3.7 1.
On 11th March'14 Variation Order69 has been formally issued. New Provisions of Washing Machine: The Project Manager of M/s RPM (Engineer’s Representative) requested by way of sending email70 dated 1st May 2012 for incorporation of Washing Machines in some pods.
2.
The Contractor requested71 on 6th November 2012 that written confirmation of the request is required along with the Design drawings specification.
3.
The Engineer, vide his letter72 dated: 24th December 2012 confirm that changes are required.
4.
The Engineer changed his Design of the varied works by considering frame and granite by way of sending letter73 dated: 16th June 2013.
5.
The Engineer vide his letter74 dated: 26th June 2013 requested for the approved drawings to be provided with PPR pipes.
6.
The Engineer by way of letter75 dated: 30th October 2013 forwarded the Employer letter stating the concept approval but certain details were requested from the Employer.
7.
The Engineer finally issued a Contract Variation Form76 on 30th April 2014.
67
Commercial meeting No. 74 Commercial meeting No. 79 69 Variation Order No. 51 70 Engineer’s Representative Mr. Claudio's email dated 1st Nov'12 71 The Contractor’s letter Ref RED-1101-634-RPM-0094-PD-0620 72 The Engineer's letter Ref AEB/878/RS/01/L000727/738 73 Email dated 16th June'2013 74 The Engineer's letter Ref AEB/878/RS/01/L001026/1037 75 The Engineer's letter Ref AEB/878/RS/01/L001181/1246 76 Variation Order No 56 68
P a g e | 18
3.8
Conclusions: -
The Engineer/ Employer instructed the desired changes to the Works in accordance with Sub-Clause 51.1 of the General Conditions of the Contract.
-
The Engineer/ Employer for the purpose of confirmation of his instructions and interim payments confirmed his instructions in compliance with SubClause 2.1 by way of issuing a Variation Order Form.
-
The procedure for processing Variations of this nature is defined in SubClause 4.2 was not adopted due to the fact that the scope of works, specifications and Design was not finalized at the time.
-
The Scope of varied works, its specification and Design is now finalized and hence the costs associated duly incurred by the Contractor is submitted for the final review of the Engineer and release of payment by the Employer.
P a g e | 19
SECTION - 4.
VALUATION OF VARIED WORKS
P a g e | 20
SECTION - 4: 4.1
VALUATION OF VARIED WORKS:
An Overview:
The details of the Varied Works which is subject of this document are as under:-
Sr. No.
Variation Order No.
Date
Description Pre-Fabricated Bathroom & Kitchen Pods Change from Individual water heaters to Centralized Water Heating System
Interim Budget effect Cost (Add/Omit) (QAR)
Issue
Approval
31-10-2011
31-10-2011
500,000
Omit
29-03-2012
11-04-2012
4,660,407
Add
79,493 3,273,693.5 3,018,074.2 5 413,558.52 126,202.35
Omit Add
1
09
2
18
3 4
20 31
Kitchen Ventilation System Kitchen Appliances and Spare parts
19-04-2012 04-10-2012
15-05-2012 04-11-2012
5
45
Addition of Glass Shower doors
20-06-2013
24-07-2013
6 7
51 56
Omission of Insulation to Pods New Provisions for Washing Machine
26-01-2014 20-02-2014
11-03-2014 24-04-2014
Add Omit Add
As described earlier, the cost impact of the above varied works could not be ascertained prior performance due to lack of Design, Specifications and Scope of work as established from the records described in detail in Section-2 of this document. The Contract stipulates that the provision of Design, Specification and Scope of Work is the responsibility of the Employer. The Engineer issued the above named Variation Order in accordance with the provisions of Sub-Clause 51.3 & 51.4 of the General Conditions of the Contract. The process stipulated in the Supplemental Conditions of the Contract (Sub Clause 4.2 of Part-5) was not adopted due to lack of Design, Specification and Scope of works. The Variation Orders were, therefore, issued with budget cost to the Contract Price and agreed by the Contractor as an interim mechanism for the Engineer to recommend the progress payment.
Now that the varied works are completed to the satisfaction and requirements of the Engineer/ the Employer and the Design, Specification and scope of works is finalized
P a g e | 21
hence final cost is submitted i.e. after-the-performance for the release of payment and agreement on the revised Contract Price. 4.2
Approach of Valuation:
Following approach is adopted for calculating after the perform cost of the Varied Works:i.
Omission: The Works which are varied and/or amended by way of issuing Variation Orders are calculating from the Contract Drawings and its cost is calculating on the basis of Bill of Quantities.
ii.
Addition: The additional/ varied works actual cost is calculated as under:a. Direct Cost of the selected Supplier/ Subcontractor, duly substantiated with payments made to respective party (ies). b. The actual costs incurred on the exclusions including but not limited to the works and General and particular attendances, works etc.
P a g e | 22
ATTACHEMENTS:
P a g e | 23
List of attachments
P a g e | 24
Related Documents
Bathroom And Kitchen Pods
January 2021 1
Terrapin Bathroom Pods
January 2021 0
Kitchen
January 2021 2
Cabinet Bathroom
February 2021 0
Cloud Kitchen
January 2021 1
Kitchen Chemistry.pdf
March 2021 0More Documents from "inspagint"