RÉSUMÉ DIGEST
ACT 329 (SB 83) 2023 Regular Session Womack
Prior law provided when a change order is negotiated, the public entity shall require that the
change order be fully documented and itemized as to costs, including material quantities,
material costs, taxes, insurance, employee benefits, other related costs, profit, and overhead.
New law adds equipment use and labor to fully documented itemized costs.
Prior law provided where certain unit prices are contained in the initial contract, no
deviations shall be allowed in computing the negotiated change order. New law provides for
an exception allowing unit price change orders submitted to the designer or public entity
within 30 days from the date of discovery of the work to be performed by the change order,
or change orders requiring new pricing be submitted within 30 days from the date of
discovery of the work to be performed by the change order.
New law provides for any change orders requiring redesign, provided the redesign shall not
take more than 90 days from notification by the contractor to the designer of record, or in the
absence of the designer, the public entity, of the discovery of work to be performed by the
change order. New law further provides extensions of time may be granted if necessary for
redesign. New law further provides once the redesign is complete, the contractor shall submit
the cost estimate to the designer or the public entity for the change order within 45 days for
the redesigned work under the change order.
New law provides for any change order, the public entity shall have 30 days from the
submittal of the change order to negotiate, approve, or reject the contractor's proposed cost
estimate of the work. New law further provides extensions of time may be granted by mutual
agreement or shall be granted as necessary for the public entity to obtain governmental
approval.
New law provides the contractor shall not be required to provide any schedule updates
incorporating a change order until that change order is executed, unless the schedule is
needed for evaluation of the proposed change order.
New law provides the exceptions established in new law shall not be waived by contract.
Effective August 1, 2023.
(Amends R.S. 38:2212(M)(5))