Skip to main content

(CDR-3968) Validating Change Order Requests for Forensic Analysis

Presentation Icon
Level: Basic
TCM Section(s):
6.4. Forensic Performance Assessment
10.3. Change Management
Venue: 2023 AACE International Conference & Expo

Abstract: Due to the dynamic and complex nature of construction projects, it is difficult to anticipate every variable or challenge from the outset. Errors or ambiguities in the plans and specifications and the owner's desire to make certain changes to the project can be addressed by means of a change order request.

AACE Recommended Practice No. 120R-21 (RP 120R-21) Demonstrating Entitlement for Contract Change Order or Claims – As Applied in EPC, provides a guideline concerning the key elements to demonstrate technical support of a change order request on a capital construction project. From a forensic perspective, it is important to analyze change order requests to determine if the scope of work is a valid change and verify that the amount and/or time requested is reasonable. The key elements outlined in RP 120R-21 can be used forensically to determine if all aspects of the change order request are supported and to determine if the change order request is valid. Analyzing change order requests forensically relies heavily upon the accuracy of contemporaneous project source data, thus ensuring the validity of the data is one of the most important steps in the process.

The purpose of this paper is to describe a methodology for validating change order requests using AACE RP 120R-21 guidelines in a forensic application with respect to scope of work, time, and cost. This paper will also include a case study that shows how to implement a forensic change order analysis.