What constitutes a 'Change Order'?

Study for the San Francisco Housing Portal Contractor Agreement Exam. Engage with flashcards and multiple-choice questions, each question has hints and explanations. Prepare for your certification!

A 'Change Order' is defined as a written instrument signed by the City's Project Manager that modifies the existing Agreement. This instrument can include changes to the scope of work, adjustments to contract terms, or modifications regarding pricing. The significance of a Change Order lies in its formal nature; it must be documented and agreed upon by the parties involved, ensuring that all changes are officially recognized and recorded.

By requiring a signature from the Project Manager, it maintains accountability and clarity for both the contractor and the city, establishing a legal framework for any modifications. This process ensures that both parties have a mutual understanding of the changes being implemented, which is crucial for maintaining project integrity and avoiding disputes.

In contrast, the other options present scenarios that do not fit the formal definition of a Change Order. A request for additional funding from the Contractor does not necessarily indicate a change to the contractual terms or scope, and a notice to terminate the contract early refers to ending the agreement rather than modifying it. Lastly, a suggestion for improving project workflow lacks the formal documentation and agreement characteristic of a Change Order.

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