Chapter 1: Introduction

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Section 1: Overview

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Contract Administration

Contract administration is one of the most important jobs related to construction projects and involves numerous tasks occurring before and after contract execution and work order issuance. All work must be administered in accordance with the contract specifications, terms and conditions, state and federal laws and regulations, and department policy.

Proper contract administration includes:

  • developing proper and accurate bid and contract documents
  • complying with contract documents and specifications
  • enforcing state and federal regulations
  • ensuring quality control by overseeing, inspecting and reviewing sampling and testing of all materials and work
  • keeping and maintaining accurate project records
  • recording, verifying and preparing monthly pay estimates
  • negotiating and processing of change orders, supplemental agreements and other contract modifications in a timely manner
  • promoting good public relations and
  • setting and maintaining a high professional standard.

The department conducts its primary activities in 25 geographical districts.Differing local conditions make decentralization necessary. Each district, managed by a district engineer (DE) is responsible for the design, location, construction and maintenance of its district transportation system. Local field offices within the district are known as area offices. The area office is managed by an area engineer (AE).

Divisions and special offices headquartered in Austin provide administrative and technical support to the districts. The Construction Division (CST) provides general oversight of the letting management and administration of highway construction contracts including:

  • district construction management support
  • pre-qualification of construction contractors
  • construction letting management
  • claims analysis and processing
  • materials and testing specifications
  • Business Opportunity Programs (BOP) administration
  • subcontractor policy development and program administration and
  • contractor workforce issues.
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