Change order

A documented modification to the construction contract that adjusts scope, price, time, or another agreed term. Approval status is essential to understanding its effect on the project.

Why it matters

Approved changes, pending proposals, disputed changes, and potential changes should not be combined into one unexplained total. A cost forecast may need to recognize likely exposure before a formal change order is executed, with that assumption clearly identified.

In practice

A project example

A field condition has generated a contractor proposal, but the owner has not accepted its price. The report should distinguish the proposed exposure from an approved contract increase.

General educational guidance from KOW Building Consultants. Examples are illustrative, not project records. The applicable contract, standard, program, and jurisdiction control the requirements for a specific assignment.