CHANGE ORDER
No. 1
PROJECT: 2018 Paving Program
OWNER’S CONTRACT NO:
EXECUTED CONTRACT DATE: May 14, 2018
DATE OF ISSUANCE: EFFECTIVE DATE: Upon City Approval
OWNER: City of Nashua, NH
OWNER’s Purchase Order NO.: 141290
CONTRACTOR: Newport Construction Corp.
ENGINEER: DPW Engineering
You are directed to make the following changes in the Contract Documents:
Description:
As the City is paving numerous residential, collector, and arterial streets, the City’s paving contractor Newport
Construction has to furnish qualified flaggers to direct traffic through or around the work zones. The flagger
rates have gone up drastically since the March 15, 2018 bid submittal. In the bid request, the City carried an
allowance of $100,000 and specified flagger rates as $22 per hour for straight time work, $33 per hour for
overtime work, and $44 per hour for double time work, based on the contract from last year. Since construction
began in May, Newport has been billed by the flagger company at elevated rates. Currently, there is an
extremely high demand for flaggers on utility contracts and construction projects throughout the State and
flagging companies are having difficulty recruiting qualified staff. The regular flagger rate is now $28.50 per
hour. Therefore, Engineering is requesting a change order for an additional $50,000 to Newport’s contract to
cover charges associated with increases in flagger rates.
Justification:
Total number of additional Flagger hours needed = 1,754.39 hrs.
Hourly rate of Flagger = $28.50/hour
Total cost = 1,754.39 hrs. x $28.50/hr. = $50,000
Change Order # 1 of 2
