A LIST OF TOPICS WE’LL SPEAK TO IN OUR 2021 MONTHLY NACA ROUNDTABLE DISCUSSIONS.
NACA Roundtables to discuss issues of interest to members, gather input from various industry experts, share best practices and common experiences. Some topics that can be addressed include:
1. Allowance or Contingency? Is there a difference?
2. What is the purpose of each?
3. How should estimated contingencies and allowances ceiling amount be determined?
4. What are some of the possible fraud schemes related to contingencies?
5. A good contingency clause should include…?
(note, the highlighted comments below are just some possible responses to question # 5, not to be included with promo questions)
• Clarifies whether the contingency is an owner’s reserve or a contractor’s contingency.
• Describes the types of costs (risks) for which the contingency is to be used.
• Sets out the process by which contingency is accessed during the project.
• Describes the paperwork and approvals needed to use contingency.
• Describes the supplemental funding of contingency and sharing of unspent contingency at project closeout.
• Construction contract terms and their effect on auditing? For example, identifying incentives or penalties for meeting or failing to meet certain project milestones.
• Scope of a construction audit
• Assessing audit risks
• Assessing project risks
• Auditing labor rates to search for double counting such as OCIP insurance
• Auditing the CM’s site safety procedures