2. Subcontractor services including ground penetrating radar and installation of the Unistrut
system.
3. Self-performed labor including staging delivery of material, material pickup, exploratory
drilling in the ceiling, and conducting pull tests of test anchors.
The table below summarizes the total value of the work.
Claimed Cost Fair Market Value of Allowable Mark-up** Total Value
of Work Work scope Assessment
$19,000.87 $15,891.00 (includes 15% on MC Work $13,104.00 to
materials & equipment)* 10% on Subs (<$50k) $19,656.00
7-1/2% on Subs ($50-100k)
5% on Subs (>100k)
*Market Value Assessment=$1 1,913 to $17,869 (+/- 20%)
** This review assumes all labor performed by subcontractors. See below.
Note that Methuen’s summary page identifies a credit of $4,232.40. This credit is intended to
account for the cost of the original pipe support system. It is incorrectly labelled as “Bond (1%)
and General Liability (1%)”. Waldron evaluated the cost claim on the basis of the incremental
cost increase associated with the addition of the Unistrut system only. Thus no credit is
considered in our evaluation, but since Methuen’s final claim amount falls within the fair value of
the incremental scope of work we take no exception.
Note that some of the material costs were added between the original version and revision 1. This
occurred because some materials were delivered after the original version of the PCO.
Note that after revision | Methuen was asked to clarify GPR charges between this and PCO-008.
As a result, revision 2 was issued with an increase in claimed cost based on these revisions.
Detailed Review-Superintendent Labor Hours
The General Contractor’s superintendent labor hours can only be charged to the project when he
self-performs work. Supervisory duties of GC labor or his subcontractor’s labor are not
chargeable as they are included in the General Contractor’s markup. As noted above, Methuen
has provided a description of work performed directly by the project superintendent. To the best
of our knowledge this information is accurate and we recommend they are compensated.
Including this cost, the Methuen claim still falls within the assessed cost of this scope of work.
Detailed Review-General Contractor Markup
The general Contractor is permitted to mark-up his sub’s work in accordance with the contract
general conditions section 17.3. The schedule of permitted mark-up is shown in the summary
table above. In this PCO, Methuen applied markup correctly, we take no exception.
Detailed Review-Schedule
Methuen reserves their right to claim schedule impacts under separate cover. Methuen PCO-004
is designated to account for delays.
Original Schedule Schedule Direct Schedule Schedule Claim
Adjustment claim Impact Assessment Recommended
None na n/a n/a
