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Audit Reports Affecting Multiple Agencies

An Audit Report on Improving the Construction Process

Report Number 95-031

Construction costs can be more effectively controlled by ensuring that constructability review programs are in place, that there is an effective and thorough change order review process, that certificates of insurance are carefully reviewed, and that alternative disputes resolution measures are used in all contracts for construction.

Quality control and quality assurance in the construction process can be enhanced by ensuring that inspectors are adequately trained and that architects/engineers are held accountable for their design errors and omissions.

Aggressive schedules can result in projects that are more expensive than anticipated, are not completed on time, and increase the costs of long-term maintenance. Agencies should prepare attainable schedules, determine realistic liquidated damages, and resolve quality control issues immediately.

Agencies should conduct post-construction reviews that include contract audits and written assessments of completed projects. Contract audits should be periodically conducted to ensure that all contract changes align with the contract terms. Completed projects should be assessed to determine whether design objectives were met.

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