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Appendix B - Summary of I/D Provisions
Pages 48-54

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From page 48...
... These specifications represent a wide cross section of STAs and their differing approaches to time-related I/Ds. A P P E N D I X B Summary of I/D Provisions
From page 49...
... set by the agency o No-excuse, except for catastrophic events and appeals to the Chief Engineer for impacts that exceed 15% of the remaining time o The contractor waives all rights to any claims if incentive payments are accepted o Incentive payments are capped o Disincentives are capped Incentive-Disincentive for A+B o All of the same features as above except the contractor determines contract time Liquidated Savings for Early Completion o Payment for early completion is not considered an incentive, but liquidated savings related to Construction Engineering Inspection and Contract Administration costs o Contract time includes all adjustments in accordance with standard specifications Incentive-Disincentive for Lane Rental Days o Maximum lane rental days is set by the agency o Lane rental days are measured in ½ day increments o The difference between allowable lane rental days established by the agency and the actual lane rental days used by the contractor is paid to the contractor or deducted from contractor earnings o Recovery costs are assessed for every 30 minutes that all lanes are not open in accordance with the traffic control plans
From page 50...
... o Bidder determines time (A+B) o Calendar days bid should not include holidays o Maximum B is set by the agency o 5% maximum incentive and disincentive o Additional liquidated damages begin to accrue 30 days after the completion date set by the contractor o Time extensions based on CPM analysis o Time extensions allowed for overruns, changes, differing site conditions, utilities, owner delays in approving submittals, any day when weather prevents work on the critical path for more than ½ of the day Indiana Incentive for Opening Project to Traffic Ahead of Schedule o Fixed date set by the agency o Daily incentive rate with a cap o Time extension granted for agency delay in issuing the notice to proceed and if the work is materially changed Iowa Incentive/Disincentive for Early Completion o Closure days is defined as a calendar day occurring during a critical closure activity o Allowable closure days are set by the agency and include normal adverse weather o Time is adjusted for non-weather related items: overruns, strikes, legal stoppages, material shortages, and natural disaster o Time extensions are based on CPM analysis o Weather delays must exceed 5 consecutive days to be considered for time extension o Incentive/Disincentive based on actual closure days compared with allowable closure days -- incentive is capped A+B Bidding o Daily RUC defined as average daily cost of interference and inconvenience to the road user o No I/D associated with this specification
From page 51...
... o $25,000 incentive for completing before the B time established by the contractor o $25,000 disincentive is increased to $35,000 per day after 90 days elapse o Time and I/D adjustments are made based on standard specifications Time o CPM schedule must be submitted with the bid o Detailed CPM requirements o Pay items for initial schedule and bi-weekly updates Michigan Extension of Time and Extra Cost for Incentive/Disincentive Projects o No time extensions except for labor disputes and material shortages o Cost increases related to keeping the project on schedule may be considered for no access to right-of-way, utility conflicts, interference from related contracts, suspension of the work, increased quantities and extra work Lane Rental o Contractor bids estimated lane rental o Lane rental is measured in hours o Lane rental is charged against the contractor's estimated amount -- any balance remaining is paid to the contractor, if lane rental exceeds the estimate, it is deducted from earnings due on other items o Lane rental may be adjusted for increased work Minnesota A+B Calendar Day and A+B Working Day o Agency sets both a Minimum B and a Maximum B -- contractor time bids outside this range will be rejected o Incentive is capped o If B encompasses the entire project, liquidated damages are added to daily RUCs Incentive-Disincentive o Fixed completion date set by the agency o Daily incentive rate o Capped incentive
From page 52...
... o Limitations on when work may commence o Interim milestones with disincentive only: $2,500 per day o No extension for changes, increased quantities or delays; but, the incentive date may be moved up if quantities underrun or the scope of work is decreased o Incentive capped o Time extensions may be considered for adjustment to the disincentive only o No work on Sundays Ohio Incentive/Disincentive Contract o Fixed date(s) set by the agency -- multiple I/D periods may be specified o Incentive capped at 5% of contract o Incentive does not have to be equal to the disincentive o Daily I/D accrual o No time extensions for weather, except flooding, blizzard, tornado, etc.
From page 53...
... set by the agency o Lump sum incentive paid if milestone dates are met o Daily disincentive accrual if milestones are not met o Time is extended for weather A+B Bidding o Maximum B set by the agency o Time extensions considered in accordance with agency policy o Incentive is capped o Agency sets maximum days to finish the entire project after the B milestone has been met Lane Value Contract o Disincentive for lane closures o Contractor must estimate lane closure charges and be included in other items of work Unauthorized Lane Use o Disincentive for lane closures o Contractor must estimate lane closure charges and be included in other items of work Window Contract o Interim milestones have maximum calendar days set by the agency o The contractor has the flexibility to schedule the milestones at any time during the project Oklahoma A+B Bidding o Maximum B set by the agency o Incentive is capped o The B time sets a complete-by-date that the contractor is expected to "overcome all" to reach o Incentive is not adjusted for any reason o Disincentive may be reduced due to delays caused by unforeseen subsurface utilities o Unusually severe weather impacts are only considered for liquidated damages which are separate from I/D Oregon Multiple Project I/D Specifications (11) o Many project specifications include capped disincentives o Many combinations of calendar day and fixed date completion times set by the agency o Multiple interim milestones all subject to I/Ds Tennessee Project Completion and Incentive/Disincentive Payments: Davidson Co.
From page 54...
... 54 State/Province I/D Specifications Obtained Title and Key Features Utah Bidding Contract Time o A+B can be used with multiple milestones o Agency sets: start milestone, finish milestone, I/D rate, minimum and maximum calendar days allowed o Incentives are capped o Agency sets maximum calendar days for the contractor to achieve final completion after substantial completion has been accepted o Time extensions are in accordance with standard specifications Lane Rental o Bidder estimates lane rental -- incentive or disincentive is based on actual lane rental charges o Lane closure outside the allowable times are assessed a liquidated damage 1.5 times the highest lane rental rate for that day of the week o Lane rental measured to the nearest ¼ hour Ontario, Canada Operational Constraint -- Incentive/Disincentive o I/D tied to very specific milestone -- all surface course completed within xx days of the start of pavement milling operations o Lump sum incentive of $30,000 for meeting calendar day requirement set by the agency o Also daily incentive of $2,000 per day for early completion -- capped at $30,000 o Disincentive is lump sum and daily, too


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