A university with campuses throughout the world built a $22 million, 53,000 square foot STEM laboratory and classroom, which overran the planned project budget. Change orders had been poorly documented and cost per square foot had escalated. The university needed to uncover if the increased cost was due to their own design changes, contractor performance, or poor construction management controls.
The university had never previously completed a construction contract audit or reviewed their construction project controls. Due to Baker Tilly’s experience with STEM projects and construction project controls, Baker Tilly was brought in to design and execute an audit program. The objectives of this closeout audit were to determine the source of the change orders, if they were priced using the contract terms and if circumstances around the change order management process should be changed.
After the audit and controls review, Baker Tilly came to the following findings:
For more information on this topic, or to learn how Baker Tilly specialists can help, contact our team.