RATED A+
✔✔. For this question, select the entity which is generally assigned the following duties
and responsibilities by the Conditions of the Contract: Furnishing property insurance for
the work under construction:
A - Architect/Engineer
B - Owner
C - Contractor
D - Varies, as stated in the Supplementary Conditions
E - None of the above
Reference: PDPG 12.5.2; AIA A201 Section 11.2.2; AIA A101 Insurance Exhibit Section
A.2.3 (AIA A101 and its related insurance exhibit document are not source materials for
the CDT exam). Also see CSPG 17.4, which is a comprehensive introduction to
property insurance.
-------------------------------------- - ✔✔Answer: B - Owner. Construction property insurance
is a separate policy from the Contractor's and Owner's own general liability policies;
property insurance covers losses to the Work and other property at the Site. There are
two broad types of property insurance: (1) "normal" property insurance, maintain by the
property's owner, and (2) construction stage property insurance covering the materials
and equipment to be incorporated into the construction, typically called, "builder's risk"
insurance. Builder's risk insurance is typically in effect only through Substantial
Completion of the construction, after which property insurance coverage should be
transitioned to the Owner's regular property insurance policy.
Builder's risk insurance is typically desirable when the Project includes construction of
or modifications to some type of structure or building. A special form of builder's risk
insurance—called an "installation floater"—can be obtained to cover materials to be
installed into construction that is not in a building or structure; for example, for protection
against loss to waterline pipe stored trench-side.
PDPG 12.5.2 presents a basic overview of property insurance, and indicates that the
Owner "typically" obtains the builder's risk insurance. AIA A201 implies, and AIA A101-
Insurance Exhibit states that the Owner furnishes the builder's risk insurance unless
expressly indicated otherwise in the Contract. In private work, it is perhaps most-
common for the Owner to furnish the builder's risk insurance, and thus the best answer
choice is "B - Owner".
That said, many projects, including most public works projects, require that the
Contractor furnish the builder's risk insurance. In fact, this is the default requirement of
EJCDC C-700 Para. 6.05.
The reality is that public owners typically desire to not procure bu
,✔✔1. What establishes the relationship between the Contractor and the
Architect/Engineer (A/E)?
A - National laws
B - Signed agreements
C - Third-party obligations
D - Special conditions
Reference: See PDPG Section 5.2 ("PDPG 5.2") and PDPG Figure 5.1.
-------------------------------------- - ✔✔Answer: C - Third-party obligations. The Contractor
and the A/E do not have any signed agreements, the general terms and conditions of
their respective contracts with the Owner provide them with third party obligations to
each other.
✔✔5. Which of the following would be included in the Information Available to Bidders?
A - Bid Security information
B - Environmental Impact Statement
C - Time of completion to construct the Project
D - Description of the Work
Reference: PDPG 12.2.3, and CSI MasterFormat 00 03 00.
-------------------------------------- - ✔✔Answer: B - Environmental Impact Statement. The
information available to Bidders is the place to provide reference information that does
not belong in the "Contract Documents".
Bid security information is included in the Instructions to Bidders.
Time of completion ("Contract Times" in EJCDC, "Contract Time" in AIA documents) is
an important contractual obligation—where would you think it should go? (Hint: in
neither the Instructions to Bidders nor the information available to Bidders). Okay...we'll
tell you. It's in the Owner-Contractor Agreement.
Description of the Work is included throughout the construction Contract Documents,
and is summarized in a Division 01 Specifications can you name the Division 01
Section? (Hint: It's in a section called, "Summary of Work").
What constitutes the "Contract Documents" is a very important concept, and we'll share
some supplemental information on that very soon. Also important is the concept of
"information available to bidders"—such as information on subsurface conditions (like
soil borings), information on the presence of hazardous substances at the Site, and use
of existing record documents. We will also distribute some supplemental information on
this important topic as well.
✔✔6. The contractual relationship governed by the Conditions of the Contract is
between:
,A - Owner and Contractor
B - Architect/Engineer and Contractor
C - Owner and Subcontractors
D - Architect/Engineer and Subcontractors
Reference: PDPG 12.3.3. Also see CSPG Chapter 6 and CCAPG 1.3. - ✔✔Answer: A -
The Owner and the Contractor. The Owner and the Contractor are the parties to the
construction Contract, and hence are the principal subjects of the "Conditions of the
Contract". "Conditions of the Contract" is AIA's and CSI's term for the "General
Conditions and Supplementary Conditions". Yes, the duties of the A/E are described to
a large (but not necessarily full) extent in the "Conditions of the Contract", but the A/E's
responsibilities are fully and properly set forth in the Owner-A/E Agreement. The Owner-
A/E Agreement does not have General Conditions or Supplementary Conditions.
EJCDC's standard "Conditions of the Contract" (note: the term "Conditions of the
Contract" is not used in EJCDC standard contract documents and, hence, should not be
used in association with Arcadis U.S. Water's Standard Construction Documents; but
you will see the term on CSI's exams; "Conditions of the Contract" is an AIA term) are
EJCDC C-700, Standard General Conditions of the Construction Contract, and EJCDC
C-800, Guide to the Preparation of Supplementary Conditions. AIA's corresponding
standard Conditions of the Contract are AIA A201, Standard General Conditions of the
Contract for Construction, and AIA A503, Guide for Supplementary Conditions.
EJCDC C-700 is the standard general conditions used by Arcadis U.S. Water for
construction contracts. Arcadis U.S. Water's Standard Supplementary Conditions are
very-closely based on EJCDC C-800. EJCDC C-700 and EJCDC C-800 are the most
widely-used "Conditions of the Contract" for engineer-led projects (especially for public
work) in the United States for design-bid-build delivery. AIA A201 and AIA A503 are the
most-widely used "Conditions of the Contract" for vertical (architect-led) construction
(design-bid-build) in the United States.
Other nations have their own, popular s
✔✔7. A unit price contract is used when:
A - Extent of the Work cannot be fully determined or where actual quantities cannot be
accurately calculated prior to construction
B - Extent of the Work is known, but the Owner desires a unit cost for portions of the
Work
C - It is anticipated that Bidders will not examine soil bearing reports prior to submitting
their Bid
D - Bidding quantities of equipment
Reference: PDPG 13.10.5; PDPG 13.8.3; also PDPG 12.2.4 (procurement forms). Also
see CCAPG 11.3 and 11.5. Also see CSPG 7.8; and CSPG 7.5.2.
, -------------------------------------- - ✔✔Answer: A - Extent of the Work cannot be fully
determined or where actual quantities cannot be accurately calculated prior to
construction. Use of unit prices, allowances, or alternates should always be limited to
those items required for accurate bidding/pricing, to keep the Bidding Documents and
processes as simple as possible.
✔✔. An addendum cannot be used to change the:
A - Contract Sum
B - Date and time for receipt of Bids
C - Quality of the Work
D - Quantity of the Work
Reference: and PDPG 13.4.2.8 and 15.11.2.3, and EJCDC C-700 Paragraph 1.01.A.1;
AIA A201 Section 1.1.1. Also see CCAPG 8.3. Also see CSPG 9.4.
-------------------------------------- - ✔✔Answer: A - Contract Sum. Why, you ask? Because
Addenda are issued during the bidding (procurement) stage (see Question No. 8),
before there is a signed Contract between the Owner and Contractor, and therefore, are
issued before there is a Contract Sum. When issued prior to the receipt of Bids (or, with
AIA documents, prior to the signature of the Owner-Contractor Agreement), an
Addendum can be used to change the date for receipt of Bids, the required quality of
the Work, and the scope or extent of the Work.
.
What would one use to change the Contract Price (Contract Sum in AIA documents)?
Hint: It's not an Addendum. For more on how the Contract Price/Contract Sum is
modified, see PDPG 15.11.2.3, CCAPG 8.3, CSPG 9.4; EJCDC C-700 Paras. 11.02,
11.04, and 11.05; and AIA A201 Sections 7.1 and 7.2.
✔✔10. Which of the following is a true statement about addenda?
A - They typically arise from a change order
B - They are part of the contract documents
C - They are listed in Division 01 - General Requirements
D - They can be issued at any time during the contract period
Reference: PDPG 13.4.2.8; EJCDC C-700 Para 1.01.A.13 and EJCDC C-520 Para.
9.01; AIA A201 Section 1.1.1 and AIA A101 Section 9.1; and "The Diagram". Also see
CCAPG 1.3.1.
-------------------------------------- - ✔✔Answer: B - They are part of the contract documents.
This one is a little tricky. During the procurement (bidding) stage, there is no Contract,
and because Addenda are issued during the procurement (bidding) stage, how can they
be part of the Contract Documents? Well, they BECOME part of the Contract
Documents when the Owner-Contractor Agreement is signed. While the answer says
they "ARE" part of the Contract Documents, they are at a point in time after signing the
Owner-Contractor Agreement. All of the other choices to this question are
COMPLETELY wrong, so Answer "B" is the best answer out of the choices available.