C.F.R. » Title 23 » CHAPTER I—FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION › SUBCHAPTER G—ENGINEERING AND TRAFFIC OPERATIONS › PART 635—CONSTRUCTION AND MAINTENANCE › Subpart A—Contract Procedures

23 C.F.R. § 635.120

Changes and extra work

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(a) Following authorization to proceed with a project, all major changes in the plans and contract provisions and all major extra work shall have formal approval by the Division Administrator in advance of their effective dates. However, when emergency or unusual conditions justify, the Division Administrator may give tentative advance approval orally to such changes or extra work and ratify such approval with formal approval as soon thereafter as practicable.

(b) For non-major changes and non-major extra work, formal approval is necessary but such approval may be given retroactively at the discretion of the Division Administrator. The State DOT should establish and document with the Division Administrator's concurrence specific parameters as to what constitutes a non-major change and non-major extra work.

(c) Changes in contract time, as related to contract changes or extra work, should be submitted at the same time as the respective work change for approval by the Division Administrator.

(d) In establishing the method of payment for contract changes or extra work orders, force account procedures shall only be used when strictly necessary, such as when agreement cannot be reached with the contractor on the price of a new work item, or when the extent of work is unknown or is of such character that a price cannot be determined to a reasonable degree of accuracy. The reason or reasons for using force account procedures shall be documented.

(e) The State DOT shall perform and adequately document a cost analysis of each negotiated contract change or negotiated extra work order. The method and degree of the cost analysis shall be subject to the approval of the Division Administrator.

(f) Proposed changes and extra work involved in nonparticipating operations that may affect the design or participating construction features of a project, shall be subject to review and concurrence by the Division Administrator.

Notes of Decisions
Cited in 4 cases (2 in the last 5 years), 1979–2021 · leading case: Commonwealth of Pennsylvania v. United States, 226 Ct. Cl. 444 (Ct. Cl. 1981).
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Commonwealth of Pennsylvania v. United States, 226 Ct. Cl. 444 (Ct. Cl. 1981). “The court’s own research discloses that the FHWA had issued at least one formulation of this policy prior to the date of this Project Agreement, Paragraph 19 of Policy and Procedure Manual 21-6.”
Louisiana Dep't of Highways v. United States, 221 Ct. Cl. 229 (Ct. Cl. 1979). · cites it 2× “3, now 23 C.F.R. § 635.120 (1978). 2 *231 The language particularly pertinent to this case is: "the extent to which such settlements are grounded in contract provisions and specifications and actual costs incurred.”
Lyons v. Granite Constr. Co. Inc (N.D. Ala. 2021). · cites it 2× “114) Approve changes and extra work (23 CFR 635.120) Approve contract time extensions (23 CFR 635.”
Hammell v. Granite Constr. Co. Inc (N.D. Ala. 2021). · cites it 2× “114) Approve changes and extra work (23 CFR 635.120) Approve contract time extensions (23 CFR 635.”
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