1. Senate Transportation Committee
Statewide Suspension Claims
Jon Chiglo
Engineering Services Division Director
January 26, 2012

2. Statewide Suspension Claims
165 Projects Impacted
117 have been completed
36 projects have work moved to 2012 or beyond
12 projects did not start and will start work in 2012

3. Statewide Suspension Claims
MnDOT contracts provide for:
Suspension of work
Standard Contract Specification B
Provides entitlement for Prime Contractor to submit a claim associated with Suspension of Work
Protects against breach of contract
Federal requirement

4. Statewide Suspension Claims
MnDOT contracts provide for:
Claims for Compensation Adjustment
Standard Contract Specification 1517
Provides entitlement for Prime Contractor to submit claims for materials or work not covered in the contract

5. Statewide Suspension Claims
Reimbursement of certain expenses
Pre (1517)
Acceleration,
traffic control,
site prep
During (1402.2B)
Idle equipment,
extended field overhead,
traffic control and erosion control
Post (1517)
unabsorbed home office overhead,
material escalation

6. Statewide Suspension Claims
Each Project can have multiple claims
52 Projects have settled for time extension only
113 Impacted Projects remaining
48 Projects have settled for time and reserved right to cost claims at later date
Each of the remaining impacted projects may have multiple claims
29 claims resolved for cost to date
Approximately $2,044,000

7. Statewide Suspension Claims
Significant Factors to Settle Claims
Idle Equipment
Schedule delays
Material and labor escalation
Structural Steel
Home Office Overhead
Developing rate
Audit requirement
False Claims Act

8. Statewide Suspension Claims
For Further Question Contact:
Jon Chiglo
(651)
Kevin Gutknecht
(651)

9. Senate Transportation Committee
Statewide Suspension Claims
Jon Chiglo
Engineering Services Division Director
January 26, 2012