Subpart 543.2 - Change Orders
543.202 Authority to issue change orders.
This section applies to construction contracts.
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(a) COR authority. The contracting officer may authorize a warranted COR to issue change orders. Authorization must be in writing, on a contract-by-contract basis, and must identify any limitations. For example, identify dollar limitations or specify that authority is only valid in emergency situations.
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(b) Additional restrictions. The Contracting Officer should provide the following instruction to the COR as part of the written authorization:
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(1) For any single change order, the COR may perform some or all of these actions:
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(i) Determining the need for a change.
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(ii) Preparing the Government’s cost estimate.
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(iii) Conducting negotiations.
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(iv) Issuing the change order.
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(v) Inspecting the work.
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(2) For an unpriced change order, if the COR personally performs all the actions in paragraph (1) of this section, the change order must be reviewed by a designated official before issuance or definitization.
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(c) Review change orders. For unpriced change orders when the COR personally performs all actions, the contracting officer must either personally review each change order or designate a capable official to perform the review. Consider designating the COR’s immediate supervisor or a higher-level official within the organization. Avoid designating more than one official to review change orders issued under an individual contract.
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(d) Coordination of change orders. Issue change orders only after coordination, as appropriate, with quality control, finance, audit or other technical personnel.
543.205 Contract clauses.
The contracting officer shall insert 552.243-71, Equitable Adjustments, in solicitations and contracts containing FAR 52.243-4, Changes, FAR 52.243-5, Changes and Changed Conditions, or FAR 52.236-2, Differing Site Conditions.