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Norm Construction
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Scenario 3 Change Order Agent

The Hidden Change Order

Protecting Revenue

The architect's RFI response just landed: upgrade to 400A service for future EV charging and pool equipment. That's way beyond the original 200A spec — and it's a textbook change order that Jimmy didn't catch.

Email 4 messages
Sarah Mitchell Jimmy Chen
March 6, 2026 — 2:14 PM
Re: Panel Issue at Davis Islands
Hi Jimmy, Yes, let's go ahead and upgrade to 400A service to accommodate future EV charging and the pool equipment the Hendersons are planning. This should have been in the original spec — my oversight. Go ahead and coordinate with your electrician. Best, Sarah
Jimmy Chen Dave Patterson
March 6, 2026 — 2:31 PM
Fwd: Panel Issue at Davis Islands
Dave — architect says go to 400A. Let me know what you need.
Dave Patterson Jimmy Chen
March 6, 2026 — 3:45 PM
Re: Fwd: Panel Issue at Davis Islands
Jimmy — 400A is a whole different animal. Need 400A rated panel ($2,800), new CT cabinet, TECO service upgrade coordination, new permit. Looking at $14,600 all in with labor. About 3 extra days. Let me know if we're a go.
Jimmy Chen Dave Patterson
March 6, 2026 — 4:02 PM
Re: Re: Fwd: Panel Issue at Davis Islands
Go ahead, architect approved it.

How It Unravels

1
Mar 6

Jimmy tells Dave to proceed with 400A — no change order paperwork

2
Mar 7-20

Work proceeds. 400A service installed.

3
Mar 25

Draw request includes $14,600 line item for electrical upgrade

4
Mar 26

Owner calls Norm: "We never approved a $14,600 electrical change. This wasn't in the contract."

5
Mar 27

Norm scrambles — digs through texts and emails

6
Mar 28

Owner's attorney: contract requires 7-day written notice per AIA A201 §15.1.3

7
Apr 2

Norm negotiates — agrees to eat $8,000 to preserve the relationship

Contract Clause

AIA A201 §15.1.3 — Claims and Disputes

"Claims by either party must be initiated by written notice to the other party and to the Initial Decision Maker within 21 days after occurrence of the event giving rise to such Claim or within 21 days after the claimant first recognizes the condition giving rise to the Claim, whichever is later."

No written change order was issued. No formal notice of scope change. Jimmy's "go ahead" text to Dave doesn't constitute written notice to the owner.

The Phone Call Nobody Wants

David Henderson (Owner) March 26, 5:47 PM

"Norm — we just got the draw request. There's a $14,600 line item for electrical that nobody told us about. We never approved this. This is exactly the kind of thing that makes homeowners not trust contractors. Call me."

Money Lost
-$8,000

Norm eats the cost to preserve the relationship. No documentation = no leverage.

critical

SCOPE CHANGE DETECTED

Source

Architect RFI #007 Response

Architect's RFI response directs 400A service upgrade. Original contract scope: 200A panel replacement only (Section 26 01 00, Sheet E-101).


Original Scope
200A Panel Replacement
Section 26 01 00, Sheet E-101
Directed Scope
400A Service Upgrade
+ CT cabinet, TECO, new permit
Cost Range
$11,200 - $14,600
Schedule Impact
+3 days
Notice Deadline
March 13, 2026
AIA A201 §15.1.3 — 7-day written notice required
Detected at March 6, 2026 — 2:14 PM (instant)
Agent Conversation
Active
Change Order Agent 2:14 PM

SCOPE CHANGE DETECTED in architect's RFI #007 response. The directive to upgrade to 400A service is beyond the original contract scope of 200A panel replacement. Estimated cost impact: $11,200-$14,600. Schedule impact: +3 days.

Scope Change $14.6K Impact
Change Order Agent 2:14 PM

Contract notice deadline: 7 days from today per AIA A201 §15.1.3. That's March 13, 2026. I've drafted a change order proposal and notice letter. Want me to send it to the Hendersons?

Deadline: Mar 13 CO Draft Ready
Jimmy Chen 2:16 PM

Wait — the architect said it should have been in the original spec. Isn't that their problem?

Change Order Agent 2:16 PM

Good question. The architect acknowledged it was an oversight, but under AIA A201, the contractor still needs to issue formal notice to the owner within 7 days. The architect's admission actually strengthens your position — I've included Sarah's email as supporting documentation. The change order should route through the owner regardless of who caused the omission.

Legal Context
Jimmy Chen 2:18 PM

OK, send it to Norm first. Let him review before it goes to the Hendersons.

Change Order Agent 2:18 PM

Sent to Norm for review. Package includes: cost breakdown ($4,800 materials + $6,200 labor + $1,400 permit + $2,200 contingency = $14,600), 3 supporting documents, and a pre-drafted notice letter. Norm has until March 13 to send it to the Hendersons.

Sent to Norm Package Complete
Change Order Proposal

Change Order Proposal — CO-2026-004

Davis Islands Historic — 227 E Davis Blvd

$14,600
Date
March 6, 2026
Prepared By
Change Order Agent (auto-generated)
Status
Pending — Norman Baxter

Summary

400A electrical service upgrade per architect directive (RFI #007 response)

Original Scope
200A panel replacement per Section 26 01 00, Sheet E-101
Changed Scope
400A service entrance upgrade including CT cabinet, TECO coordination, and new permit

Cost Breakdown
Item Category Cost
400A rated panel + CT cabinet Materials $4,800
Service entrance upgrade labor (3 days, 2-man crew) Labor $6,200
TECO service upgrade permit Permit $1,400
Contingency (15%) Contingency $2,200
Total $14,600
Schedule Impact
+3 days (TECO coordination + inspection)
Supporting Documents
  • 1 Original plans — Sheet E-101 (200A specification)
  • 2 RFI #007 — Electrical Service Entrance Conflict
  • 3 Architect's RFI response — March 6, 2026 (400A directive + admission of oversight)
Contract Basis
AIA A201 §7.2 — Change Orders
Notice Deadline
March 13, 2026
AIA A201 §15.1.3 — Written notice within 7 days
Revenue Protected
+$14,600

Formal notice filed within hours. Full documentation. Complete cost breakdown.

What Got Caught

  • 200A to 400A scope change detected instantly in architect's email
  • 7-day notice deadline identified per AIA A201 §15.1.3
  • Complete cost breakdown generated: materials, labor, permit, contingency
  • Architect's admission of oversight preserved as supporting documentation
  • Claim package routed to Norm for review before sending to owner

Time Comparison

Current Way
3 weeks (discovered too late)
AI Way
Instant detection

Financial Impact

Current Way
-$8.0K
Revenue lost
AI Way
+$14.6K
Revenue protected
Next Scenario
End-of-Month Dashboard — The Big Picture

Friday afternoon. Norm needs to know where his business stands. Two very different ways to find out.