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What Is Included in a Change Order? A description of the requested change and a comparison to what the original agreement contains. ... An itemized summary of all contractor and, if required, subcontractor costs resulting from the change. A tally of the total cost of the change.
6 things every change order should include Project and contact information. The change order form should include: ... Dates of the change. The change order form should include the date that you complete the change order. ... Details of the work. ... Updated schedule. ... Cost of the change. ... Updated contract value.
Classic examples of change orders include the owner's desire to move the location of a wall to accommodate some other design element, adding a window where there was none in the original plans, or changing the finish of the floors from tile to terrazzo.
Change orders need to have a breakdown of the scope with ideally labor and materials broken out. In some cases, the client wants to see backup of the costs as well and even labor rates. Be prepared to provide the support documentation that will be needed to justify the change order.
The contractor prepares a "change order proposal" quoting a price for the extra work. Once the owner and contractor have agreed on scope, price, and schedule, a formal, written change order is prepared and signed by all parties. Then, the contractor proceeds to perform the changed work.