How to Review Construction Change Order Pricing | Contractor Extras
February 09, 202500:24:47

How to Review Construction Change Order Pricing | Contractor Extras

How do you review construction change order pricing and determine whether a contractor's extra is actually justified?

In this episode of What the RFI?, I break down how architects and Construction Administrators can review contractor pricing, proposed changes, extras and change orders during construction.

Receiving a price from the contractor doesn't mean you simply pass it along to the owner.

Pricing needs to be reviewed against the scope of the change, quantities, labour, materials, consultant requirements, contract requirements and the work actually required on site.

We start with how pricing typically reaches the consultant team — through Proposed Changes, Site Instructions, Supplemental Instructions, contractor requests for extras and Change Directives — and then work through what happens once that pricing lands on your desk.

Topics covered include:

• How to review construction change order pricing
• Contractor extras and requests for additional costs
• Proposed Changes and pricing requests
• Site Instructions and Supplemental Instructions
• Change Directives and final pricing
• Tracking outstanding contractor pricing
• Reviewing contractor quotations
• Checking labour and material costs
• Verifying quantities
• Reviewing subcontractor pricing
• Consultant review of construction pricing
• Architectural, mechanical, electrical and structural coordination
• Contractor markups and project costs
• Comparing pricing against the actual scope of work
• Identifying inflated or unsupported extras
• Cash allowances
• Finalizing Change Orders
• Keeping owners informed about construction costs

One of the most important parts of reviewing an extra is asking a simple question:

Does the price actually match the work being performed?

That means looking beyond the total at the bottom of the page.

Check the quantities. Review the labour. Understand the material costs. Compare the pricing to the drawings and proposed change. Get the appropriate consultants involved and make sure the owner understands what they're paying for.

Construction Administration isn't simply processing paperwork. Part of the role is helping the owner understand changes to the Contract Price and making sure proposed costs are properly reviewed before they become Change Orders.

Whether you're an architect, engineer, consultant, contractor, project coordinator or Construction Administrator, understanding how to review construction pricing is an essential CA skill.

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What the RFI? — The Construction Administration Podcast
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change order pricing, construction change order, change orders, change order review, how to review change orders,

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