CONSTRUCTION DIVISION MEMORANDUM
GENERAL SUBJECT: PAY ITEMS NUMBER: CD-94-9
SPECIFIC SUBJECT: INCLUDED ITEMS OF WORK DATE: JUNE 20, 1994
Original w/Signature on file in Construction Division
C. F. GEE
CONSTRUCTION ENGINEER
DIRECTED TO - DISTRICT ADMINISTRATORS
This Division has noticed an increase in projects with various items of work being included in a single pay item when they should be separated into individual pay items as set forth in the Road and Bridge Specifications. In addition, pay items are being placed on the computer estimate forms as non-standard items even though these items have a standard item code number. The practice of including items of work together or miscoding pay items skews the Division's data files for estimating construction cost and may result in erroneous contract estimates.
Examples of this are: using special aggregate backfills with a smaller aggregate cover layer included in one pay item; grading and reshaping of roadway shoulders included in the price bid for guardrail; including the cost for removal of various items in the cost of other items of work; renaming standard pay items and setting them up as non-standard.
Designers need to be aware that these practices must discontinue if the Department is to develop accurate estimates and if Contractors are to produce competitive bid proposals. In addition, the above practices also increase the possibility of a Contractor submitting an irregular bid, which may be rejected in accordance with Section 102 of the Specifications or may result in the Department unintentionally engaging in constructive fraud.
Designers are encouraged to contact this Division when non-standard item codes are being used if an item of work is not covered in the Road and Bridge Specifications or supplemental Specifications; or if the unit price generated by the computer does not reflect a reasonable price for the work. You are also reminded that various Divisions publish instructional memoranda and other guidelines to assist in plan and contract development which are good source documents to answer questions.
Your assistance is greatly appreciated in assuring all designers and contract coordinators are aware the practices noted above need to be discontinued.
DWR/rg