ECL Software Blog

Simple Tips for Tracking Increased Construction Costs When You Need to Prove Claims

Every construction managers knows the difficulties that come along with increased construction costs – not the least of which is proving those claims. At ECL Software we have created innovative construction software that can handle everything from fund control to daily operations. Read on for tips on how to track your increased construction costs and then reach out to us so we can be of assistance.

Keep a correspondence file with all related information

You should have a correspondence file with all correspondence that relates to a specific claim. This should include things like letters and memos, but to and from the DOT, subcontractors, and anyone else involved in the claim. You will also want all meeting minutes as well as internal memos so that the claim can be documented in case there are issues with the DOT and / or its representatives.

All plans, changes, and work orders

You need every plan and specifications, including your amendments, clarifications, details, and the options for the owner regarding their plans and specs. You also need any change orders or work orders that show what the changes were, who requested them, and other details. They should show the aspect of the work that was the reason for the claim.

Scheduling information and evidence

You should have copies of all schedules created, both initial and amended. You also want the as-planned and all updates. Remember that you are trying to ensure you have actual evidence, so also include photos and video of the job site. This shows the status at various times on the schedule and can also act as evidence of the conditions that resulted in the change requirement.

Files from others involved

It is common for a construction manager to think of most of their own documents that need to be kept but they can sometimes not think of the documents that belong to others. For example, the dealings that go between the contractor and the subcontractor about the claim are equally important. If you have miscellaneous evidence with additional evidence that can support your claim, keep that too – no matter who it is from. It may include inspection reports, projections, work progress, accident reports, etc.

Records of all job-related costs

Of course, one of the most important things to have on hand is proof of the costs associated with the job. If you are looking for additional compensation for an unexpected condition, then you should show that by adding a new job cost category with just the additional costs. Then created daily reports with this information and submit it as you go. This covers you with costs and ensures that no one is surprised when the final bill arrives.

At ECL Software, we create custom software specifically for the construction industry. We understand your needs and we know how to create intuitive solutions. Reach out to us today to find out more about how our software can improve the way you do business.