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(CDR-3178) Overhead Costs in Delay and Productivity Claims

Level: Basic
Venue: 2019 AACE International Conference & Expo, June 16-19, 2019, New Orleans, LA, USA

Abstract: Project overhead cost claims are often submitted when construction projects experience delays and productivity impacts. The claimed costs often include both home and field overhead costs and is the contractor’s attempt to recover damages. This paper will discuss methodologies to calculate and evaluate these costs, including identification of common pitfalls and mistakes, and advantages and disadvantages of each method. It will also explain how a contractor’s accounting system and bid documents can be used for evaluation of these claims. This paper will provide the reader with a better understanding of various overhead calculations and evaluations for delay and productivity claims.