CORB EXAM STUDY GUIDE
7 Clauses in which ACO may modify construction contracts - Answers :1. Variation in
Estimate Quantity
2. Differing Site Conditions
3. Suspension of Work
4. Changes
5. Value Engineering - Construction
6. Default
7. Changes and Changed Conditions (purchase orders)
4 checks for ACO to issue a mod - Answers :1. Is the absolute value of the change
within warrant threshold of $500K?
2. Is the change for a construction contract?
3. Is the change within the scope of the contract?
4. Is the change governed by any of the 7 authorized clauses?
ACO Appointment Letter - Answers :Letter from the Contracting Officer that authorizes
the ACO to obligate the government only within the monetary and other limitations
delegated to them for a specific contract.
Variation in Estimated Quantity Defined - Answers :If the quantity of a unit-priced item in
this contract is an estimated quantity and the actual quantity of the unit-priced item
varies more than 15 percent above or below the estimated quantity, an equitable
adjustment in the contract price shall be made upon demand of either party.
Variation in Estimated Quantity Clause - Answers :When a fixed-price construction
contract is contemplated that authorizes a variation in the estimated quantity of unit-
priced items
Variation in Estimated Quantity Rule of Thumb - Answers :Consider economy of scale
rule of thumb when evaluating variation in estimated quantity proposals. Increase in
quantity should decrease unit price
Differing Site Conditions - Answers :Clause which allows contractor to seek equitable
adjustment if conditions are found to differ materially from what is indicated in the
contract or normally encountered
Differing Site Conditions Type 1 - Answers :(1) Subsurface or latent physical conditions
at the site which differ materially from those indicated in this contract
Differing Site Conditions Type 2 - Answers :(2) Unknown physical conditions at the site,
of an unusual nature, which differ materially from those ordinarily encountered and
generally recognized as inhering in work of the character provided for in the contract.
, Differing Site Conditions Contractor Responsibilities - Answers :(a) The Contractor shall
promptly, and before the conditions are disturbed, give a written notice to the
Contracting Officer
(d) No request by the Contractor for an equitable adjustment to the contract for differing
site conditions shall be allowed if made after final payment under this contract.
Differing Site Conditions Government Responsibilities - Answers :(b) The Contracting
Officer shall investigate the site conditions promptly after receiving the notice. If the
conditions do materially so differ and cause an increase or decrease in the Contractor's
cost of, or the time required for, performing any part of the work under this contract,
whether or not changed as a result of the conditions, an equitable adjustment shall be
made under this clause and the contract modified in writing accordingly.
Suspension of Work - Answers :The Contracting Officer may order the Contractor, in
writing, to suspend, delay, or interrupt all or any part of the work of this contract for the
period of time that the Contracting Officer determines appropriate for the convenience of
the Government.
What type of modifications do not include profit? - Answers :Suspension of work clause
- (b) If the performance of all or any part of the work is, for an unreasonable period of
time, suspended, delayed, or interrupted (1)by an act of the Contracting Officer in the
administration of this contract, or (2)by the Contracting Officer's failure to act within the
time specified in this contract (or within a reasonable time if not specified), an
adjustment shall be made for any increase in the cost of performance of this contract
(excluding profit) necessarily caused by the unreasonable suspension, delay, or
interruption, and the contract modified in writing accordingly.
A claim under the Suspension of Work clause shall not be allowed- - Answers :(1) For
any costs incurred more than 20 days before the Contractor shall have notified the
Contracting Officer in writing of the act or failure to act involved
What 4 things can be modified under the Changes Clause - Answers :Changes can be
made to the following:
(1) In the specifications (including drawings and designs);
(2) In the method or manner of performance of the work;
(3) In the Government-furnished property or services; or
(4) Directing acceleration in the performance of the work.
What is considered a change order under the Changes Clause? - Answers :Any other
written or oral order (which, as used in this paragraph (b), includes direction, instruction,
interpretation, or determination) from the Contracting Officer that causes a change shall
be treated as a change order under this clause; Provided, that the Contractor gives the
Contracting Officer written notice stating-
(1) The date, circumstances, and source of the order; and
(2) That the Contractor regards the order as a change order.
7 Clauses in which ACO may modify construction contracts - Answers :1. Variation in
Estimate Quantity
2. Differing Site Conditions
3. Suspension of Work
4. Changes
5. Value Engineering - Construction
6. Default
7. Changes and Changed Conditions (purchase orders)
4 checks for ACO to issue a mod - Answers :1. Is the absolute value of the change
within warrant threshold of $500K?
2. Is the change for a construction contract?
3. Is the change within the scope of the contract?
4. Is the change governed by any of the 7 authorized clauses?
ACO Appointment Letter - Answers :Letter from the Contracting Officer that authorizes
the ACO to obligate the government only within the monetary and other limitations
delegated to them for a specific contract.
Variation in Estimated Quantity Defined - Answers :If the quantity of a unit-priced item in
this contract is an estimated quantity and the actual quantity of the unit-priced item
varies more than 15 percent above or below the estimated quantity, an equitable
adjustment in the contract price shall be made upon demand of either party.
Variation in Estimated Quantity Clause - Answers :When a fixed-price construction
contract is contemplated that authorizes a variation in the estimated quantity of unit-
priced items
Variation in Estimated Quantity Rule of Thumb - Answers :Consider economy of scale
rule of thumb when evaluating variation in estimated quantity proposals. Increase in
quantity should decrease unit price
Differing Site Conditions - Answers :Clause which allows contractor to seek equitable
adjustment if conditions are found to differ materially from what is indicated in the
contract or normally encountered
Differing Site Conditions Type 1 - Answers :(1) Subsurface or latent physical conditions
at the site which differ materially from those indicated in this contract
Differing Site Conditions Type 2 - Answers :(2) Unknown physical conditions at the site,
of an unusual nature, which differ materially from those ordinarily encountered and
generally recognized as inhering in work of the character provided for in the contract.
, Differing Site Conditions Contractor Responsibilities - Answers :(a) The Contractor shall
promptly, and before the conditions are disturbed, give a written notice to the
Contracting Officer
(d) No request by the Contractor for an equitable adjustment to the contract for differing
site conditions shall be allowed if made after final payment under this contract.
Differing Site Conditions Government Responsibilities - Answers :(b) The Contracting
Officer shall investigate the site conditions promptly after receiving the notice. If the
conditions do materially so differ and cause an increase or decrease in the Contractor's
cost of, or the time required for, performing any part of the work under this contract,
whether or not changed as a result of the conditions, an equitable adjustment shall be
made under this clause and the contract modified in writing accordingly.
Suspension of Work - Answers :The Contracting Officer may order the Contractor, in
writing, to suspend, delay, or interrupt all or any part of the work of this contract for the
period of time that the Contracting Officer determines appropriate for the convenience of
the Government.
What type of modifications do not include profit? - Answers :Suspension of work clause
- (b) If the performance of all or any part of the work is, for an unreasonable period of
time, suspended, delayed, or interrupted (1)by an act of the Contracting Officer in the
administration of this contract, or (2)by the Contracting Officer's failure to act within the
time specified in this contract (or within a reasonable time if not specified), an
adjustment shall be made for any increase in the cost of performance of this contract
(excluding profit) necessarily caused by the unreasonable suspension, delay, or
interruption, and the contract modified in writing accordingly.
A claim under the Suspension of Work clause shall not be allowed- - Answers :(1) For
any costs incurred more than 20 days before the Contractor shall have notified the
Contracting Officer in writing of the act or failure to act involved
What 4 things can be modified under the Changes Clause - Answers :Changes can be
made to the following:
(1) In the specifications (including drawings and designs);
(2) In the method or manner of performance of the work;
(3) In the Government-furnished property or services; or
(4) Directing acceleration in the performance of the work.
What is considered a change order under the Changes Clause? - Answers :Any other
written or oral order (which, as used in this paragraph (b), includes direction, instruction,
interpretation, or determination) from the Contracting Officer that causes a change shall
be treated as a change order under this clause; Provided, that the Contractor gives the
Contracting Officer written notice stating-
(1) The date, circumstances, and source of the order; and
(2) That the Contractor regards the order as a change order.
