CON103

Ver: A2.0
A SSESSMENT

3 CON103 Contract Administration for

Valuing Building Works
Assessment 3

Weighting
40%

Learning outcomes
3 Evaluate progress claims.
4 Adjust included sums in accordance with contract documentation.
5 Collect and present post-contract ancillary documentation.

Instructions
Complete and submit your assessment according to the Open Polytechnic's
Assessments webpage. This includes information on academic integrity, formatting,
word limits and referencing.

• Include your name, student number and the assessment number.

• Number your pages.

Submission
• Submit your assessment in one file.
• Submit your work through your iQualify course.
• Emailed assessments will not be accepted.
• You will receive an automated notice advising you of your successful submission.

By submitting your assessment, you confirm that it is your own, original work.

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Scenario
We continue with the scenario from Assessments 1 and 2. The project is to construct a new
manufacturing plant for Fastform Fabricators Ltd. The contract is worth $7.75m. The head
conditions of contract are NZS3910:2013 without any amendments to the standard
conditions. The site is at 110 Ocean View Road, Timaru.
You have been busy with the valuation of variations, and prepared and submitted pricing for
all variations to date, including instructions for expenditure of the provisional and pc sums.
Tomorrow is the last day of the month and you have completed a site visit and returned to
the office with marked up drawings of the works completed to date. You are getting ready
to prepare and submit the project progress claim.

Task 1: Monetary allowance and EOT

1. Calculate the extension of time that your company is allowed under the Assessment
1 scenario. Use the daily rate you calculated in Assessment 2 Task 4d.
Explain why this amount should not be claimed until the very last progress claim.
(5 marks)
2. Prepare variation pricings for each of the following situations (a-d), ready for
submission to the engineer and inclusion in your progress claim.
Note: the overheads and margin as per Assessment 2 are 7.5%.
a. Contract Instruction #4: Provisional Sum Mechanical Compound

You are instructed to proceed with the construction of the mechanical compound (slab
and fencing only) using the drawing and detail provided at time of tender with the
following amendments. Note, no excavation required and the DPM has been laid.
The platform is a 150mm thick 30mpa concrete slab on the ground (assume 665 mesh at
$18.50/m2).
Compound is three sided, open to the external wall cladding, not four sided as shown on
drawing (no gate).
One bay has been deleted. Overall dimensions are confirmed as 1800 wide x 3257 long.

(15 marks)

b. Contract Instruction #5: Provisional Sum Metal Handrails

We confirm our earlier written advice to proceed with installation of a handrail as per
drawing D1, along Gridline A (between grid 2-6), Gridline F (between grids 6 8), and
Gridline 8 (between grids B-C).
The agreed rate per metre for the supply and installation of barriers is $25.27.

(5 marks)

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c. Contract Instruction #6: PC Sum for Floor Tiles

With reference to your RFI #14, the client has approved the recommended floor tiles to
the Mechanical Plant Enclosure with a unit rate of $112.50/ m2 plus GST.

(5 marks)

d. Contract Instruction #7: Provisional Sum Carpark

Scope of car park area is confirmed as the Service Yard Enclosure. 30mm asphalt over
125mm thick base course of GAP7, over 350mm thick compacted GAP40 hardfill.
The site has previously been cleared of vegetation. Allow stripping of topsoil, etc. to
400mm deep.

(10 marks)

[Task 1 Total: 40 marks]

Task 2: Progress claims

For the tasks in this section:
• Use any suitable template (you may download one from the course).
• Use the:
o drawings
o P&G spreadsheet
o scheduled rates
o trade summary.

1. Prepare progress claim #1, ready for submission to the client.

Key details:
a. You submitted your tender on 9th June 2022.

b. You are five weeks into the programme.

c. Standard NZS3910:2013 retentions (12.3.1a) and fluctuations (in accordance with
Appendix A) apply.

d. Assume that the June indices have been published.

e. To accurately submit your progress claim you must first prepare a P&G
breakdown. Base this on a 12-month project (this is to be submitted with your
first progress claim).

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f. The following work has now been completed:

• Bulk excavation works to the underside of the slab. This is estimated at 50%
of the trade total from the trade summary.

• 25% of the piling.

• Foundation works (concrete and reinforcing):

o 65% of the concrete trade
o 100% of Phase 1 of the reinforcing trade.
g. The following are stored on-site:

• 1,500m of 190 x 45 framing and 2,500m of 140 x 45 framing (assume that the
labour/material split is 45/55).

h. Work to variations 2 and 3 have been completed.

(35 marks)

2. Prepare progress claim #2, ready for submission to the client.

Key details:

a. You have just completed your second month on site.

b. The following work has now been completed:

• 100% of both Excavation and Piling.

• 90% of both Concrete and Reinforcing Steel.
• 55% of both Precast Concrete and Structural Steel.
• 24% of Carpentry.
• 33% of the Metal Windows & Doors are manufactured and are being stored
off-site. This is allowed under the contract and all the necessary
administrative steps have previously been taken and agreed. It is agreed that
to install the items equates to 15% of the trade total.
c. The following are stored on-site:
• 1,000m of 190 x 45 framing and 2,000m of 140 x 45 framing (assume that the
labour/material split is 45/55).
• 50% of the timber doors and frames (say 15% of the overall cost to install).
• Tiles to variation 6.
d. Work to variation 4 has been completed.
(15 marks)

(Task 2 Total: 50 marks)

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Task 3: Final Payment Claim

Prepare your final payment claim for submission to the client.
Assume that:
• the project has achieved practical completion
• there have been no other variations (other than those identified from the tasks in
Assessment 2 and Assessment 3)
• the project was brought in on time so there is no EOT claim to submit
• the contingency sum has not been used
(10 marks)

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Marking schedule
Task 1: Monetary allowance and EOT
1. Calculate the extension of time
that your company is allowed
under the Assessment 1 scenario.
Explain why this amount should
not be claimed until the very last
progress claim.
2. Prepare variation pricings for each
of the situations (a-d), ready for
submission to the engineer and
inclusion in your progress claim.
© The Open Polytechnic of New Zealand Ltd
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4 –5 3.5 2.5 – 3 2 1 – 1.5
Correctly calculates the Correctly calculates the Correctly calculates the Correctly calculates the Fails to calculate or
extension of time. extension of time. extension of time. extension of time. incorrectly calculates
Provides a Provides an adequate Provides a brief Provides an incomplete the extension of time.
comprehensive explanation why this explanation why this in inaccurate Fails to provide or
explanation why this amount should not be amount should not be explanation why this provides an
amount should not be claimed until the very claimed until the very amount should not be inadequate
claimed until the very last progress claim. last progress claim. claimed until the very explanation why this
last progress claim. last progress claim. amount should not be
claimed until the very
last progress claim.
Prepares accurate Prepares variation Prepares variation Prepares variation Does not prepare or
variation pricing and pricing with more than pricing with more than pricing with more than prepares variation
includes where 90% of calculations 75% of calculations 50% of calculations pricing with incorrect
appropriate, for correct and includes correct and includes correct. quantities and rates
example: where appropriate, for where appropriate, for Critical line items are included.
• each item listed example: example: missing, and some The layout is
with quantity and • each item listed • each item listed quantities are inaccurately formatted
rate with quantity and with quantity and incorrectly calculated. with critical line items
• offsite overheads rate rate missing and there is
and margins • offsite overheads • offsite overheads insufficient
and margins and margins information to identify
• offsite overheads
the full scope or where
and margin before • offsite overheads • offsite overheads
errors have occurred.
provisional sum and margin before and margin before
deduction provisional sum provisional sum
• buildups deduction deduction
The layout and items • buildups • buildups
fully demonstrate an The layout and items The layout and items
understanding of how clearly demonstrate an demonstrate an
understanding of how adequate
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to professionally price to professionally price understanding of how

a commercial variation. a commercial variation. to professionally price
a commercial variation.
12 – 15 10 – 11.5 7.5 – 9.5 6 –7 1 – 5.5
a. Contract Instruction #4: As detailed in #2 above As above As above As above As above
Provisional Sum Mechanical
Compound
4 –5 3.5 – 3.5 2.5 – 3 2 –2 1 – 1.5
b. Contract Instruction #5: As above As above As above As above As above
Provisional Sum Metal Handrails
4 –5 3.5 – 3.5 2.5 – 3 2 –2 1 – 1.5
c. Contract Instruction #6: PC Sum As above As above As above As above As above
for Floor Tiles
8 – 10 6.5 – 7.5 5 –6 4 – 4.5 1 – 3.5
d. Contract Instruction #7: As above As above As above As above As above
Provisional Sum Carpark
Task 2: Progress claims 28 – 35 22.5 – 27.5 17.5 – 22 14 – 17 1 – 13.5
1. Prepare progress claim #1, ready All items on the trade All items on the trade All items on the trade Claims have been Claims have not been
for submission to the client. summary included in summary included in summary included in prepared, with all the prepared or claims
the progress claims the progress claims the progress claims correct trade items have been prepared,
have been correctly have been correctly have been correctly identified but values but only some of the
identified. identified. identified. are incorrect. items have been
Detailed supporting Detailed supporting Detailed supporting Supporting information identified.
information provided information provided information provided provided with There is limited or no
for each item, showing for each item, showing for each item, showing sufficient detail that supporting information
how the value in the how the value in the how the value in the errors in calculations to show how the
claims have been claims has been claims has been can be identified but values have been
calculated with all of calculated with the calculated with most of the overall total of the calculated and there is
the quantities and majority of the the quantities and claim is different by information missing
values correctly shown. quantities and values values correctly shown. more than 10%. from the claims.
The claims have been correctly shown. The claims have been Layout of the claims
fully prepared ready prepared ready for meet most of the

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for submission and The claims have been submission and include relevant legal Layout of the claims do
include all information clearly prepared ready most of the relevant requirements. not meet relevant legal
for it to comply with for submission and legal requirements. requirements.
relevant legal include a majority of
requirements. the relevant legal
requirements.
12 – 15 10 – 11.5 7.5 – 9.5 6 –7 1 – 5.5
2. Prepare progress claim #2, ready As above As above As above As above As above
for submission to the client.
Task 3: Final Payment Claim 8 – 10 6.5 – 7.5 5 –6 4 – 4.5 1 – 3.5
Prepare your final payment claim for Claim has been Claim has been Claim has been Claim has been Claim has not been
submission to the client. prepared that provides prepared that provides prepared that provides prepared that provides prepared or claim has
a full reconciliation of a reconciliation of the a reconciliation of the a reconciliation of the been prepared but is
the contract that has contract that has been contract that has been contract that has been missing three or more
been undertaken. undertaken with minor undertaken with minor undertaken with critical items and
The final claim value, errors in the errors in the numerous errors in the layout does not meet
including any calculations. calculations. calculations. legal requirements.
adjustments, has been The final claim value, The final claim value, The final claim value,
correctly calculated including any including any including any
and is ready for adjustments, has been adjustments, has been adjustments, has been
submission to the calculated with minor calculated with minor calculated with
client. errors. errors but is missing a significant errors and is
critical item. missing two critical
items.

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