Construction Contract Durations

Abstract

This report examines the factors which affect construction contract durations from an owner's viewpoint. Current methods used by public owners and their agents to develop contract durations are also examined. The major hypothesis is that there exists an optimum contract duration for which the owner receives an optimum price. If the facility is desired in less than the optimum duration, the owner pays a premium for acceleration. If the owner allows the contractor more than the optimum duration, he pays additional costs for the facility in terms of lost revenue, denial of use of the facility, and possibly additional costs to the contractor. The report offers conclusions so that owners can understand the tradeoffs between time and price. Keywords: Management engineering. (sdw)

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Document Details

Document Type
Technical Report
Publication Date
Jan 01, 1988
Accession Number
ADA196586

Entities

People

  • Michael D. Thornton

Organizations

  • University of Florida

Tags

Communities of Interest

  • Air Platforms
  • Biomedical
  • C4I
  • Energy and Power Technologies

DTIC Thesaurus Topics

  • Acquisition
  • Business Administration
  • Civil Engineering
  • Concrete
  • Construction
  • Construction Materials
  • Contract Administration
  • Contracts
  • Engineering
  • Engineers
  • Governments
  • Industrial Plants
  • Management Engineering
  • New York
  • Procurement
  • Reinforced Concrete
  • United States

Readers

  • Government Contracting/Procurement.
  • Systems Analysis and Design