Burchick Construction Co. v. United States

83 Fed. Cl. 12, 2008 U.S. Claims LEXIS 216, 2008 WL 3334088
CourtUnited States Court of Federal Claims
DecidedAugust 6, 2008
DocketNo. 08-15C
StatusPublished
Cited by7 cases

This text of 83 Fed. Cl. 12 (Burchick Construction Co. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Burchick Construction Co. v. United States, 83 Fed. Cl. 12, 2008 U.S. Claims LEXIS 216, 2008 WL 3334088 (uscfc 2008).

Opinion

[13]*13OPINION

HORN, J.

FINDINGS OF FACT

The United States Department of Veterans Affairs (VA) issued a solicitation for Phase I work at the Cemetery of the Alleghenies in Bridgeville, Pennsylvania on March 15, 2006. Plaintiff, Burchick Construction Company, Inc., submitted a bid in response to the solicitation and, according to the parties’ joint stipulation of facts, “[o]n July 17, 2006, the VA accepted Burchick’s offer and on or about July 28, 2006, Burchick was awarded Contract, No. VA786A-C0021.” The solicitation, which was incorporated into the contract, estimated that 100 cubic yards of rock would be removed from the construction site. The two terms of the solicitation which are at the center of the dispute dictate the method of adjusting the contract price should any excess rock need to be removed. The parties have stated the issue of law in this case as:

Whether contract no. VA786A-C-0021 (the “Contract”) requires defendant, the United States, to pay plaintiff, Burchick Construction Company, Inc. (“Burchick”), $45 per cubic yard for all extra “rock removal” performed upon the project, or whether the Contract entitles Burchick to an equitable adjustment of the contract price for rock removal performed in excess of the 100 cubic yard estimate provided by the Government in the solicitation.

The solicitation provisions in question will be referred to as “Term I” and “Term II.” The words of Term I are located following an apparent worksheet with blanks for the contractor to fill in dollar amounts. Term I is included on the worksheet as a direction and requirement to the contractor, as follows:

As outlined [sic] Section 02200 1.6 the Contractor must provide a price for rock removal so that if quantities vary from the base amount [100 cubic yards], a basis for future adjustments has been established. The total cost requested below must be included in Base Bid Item No. 1[.]

Immediately below this language in Term I is a line for the contractor to fill in the unit cost and total cost for rock removal for the 100 cubic yards estimated in the solicitation, which appears as follows:

ESTIMATED COST TOTAL QUANTITY PER CY COST

ROCK REMOVAL 100 CY $_ $_

Apparently, “Base Bid Item No. 1” included the estimated 100 CY (cubic yards) of rock removal. Term I required the contractor to break out its price for the rock removal from “Base Bid Item No. I” and to list it as the “total cost” for the estimated 100 cubic yards of rock to be removed along with the unit price per cubic yard of rock removal. In response to this requirement, plaintiff stated in its proposal that it would charge $45.00 per cubic yard of rock removal.

Term II, Section 02200, Part 1.6, subpart B is cited to in Term I above and falls under the heading “MEASUREMENT AND PAYMENT FOR ROCK EXCAVATION.” Term II states:

Payment: No separate payment shall be made for rock excavation quantities shown. Contract price and time will be adjusted for overruns or underruns in accordance with Articles, DIFFERING SITE CONDITIONS, CHANGES and CHANGES-SUPPLEMENT of the GENERAL CONDITIONS as applicable.

(emphasis in original). The “Articles” referred to in Term II immediately above are Federal Acquisition Regulation (FAR) clauses, FAR 52.236-2 (“Differing Site Conditions”), FAR 52.243-4 (“Changes”), and Veterans Affairs Acquisition Regulation (VAAR) 852.236-88 (“Contract Changes—Supplement”), which were incorporated into the contract. The construction contract variation in quantity clause, at 48 C.F.R. § 52.211-18, ‘Variation in Estimated Quantity (Apr 1984),” was not incorporated into the contract (see 48 C.F.R. § 11.702 (2007)).

While excavating the site, plaintiff removed thousands of cubic yards of rock in excess of the 100 cubic yard estimate. During performance, the government issued two Central Office Change Orders (COCO) to adjust the contract price for a differing site condition to reflect the additional rock removed. The first, COCO A, addresses the [14]*14removal of “yellow/orange material” not previously identified, and instructs plaintiff to “provide a detailed cost proposal for this additional work ... in order to negotiate a supplemental agreement for this change order.” COCO A specified that any price adjustment was not to exceed $150,000.00. The second, COCO B, deals with the removal of gray “Claystone material” and states that “the matter of contract price and time will be subject to equitable adjustment____” The government allocated up to $212,796.00 for this second adjustment. Plaintiff has not billed any of its work to the two change orders.

Plaintiff has consistently asserted that the contract requires excess rock removal to be paid at $45.00 per cubic yard. The VA has consistently maintained that pursuant to the contract, additional compensation to plaintiff for rock removal in excess of 100 cubic yards should be determined as an equitable adjustment to the contract price.

Plaintiff sent claims to the VA requesting compensation in addition to that authorized by COCO A and COCO B. On August 3, 2007, the contracting officer responded to plaintiffs claim stating, “The VA disagrees that the contractor is entitled to $45 per Cubic Yard (45/CY) for all volumes of rock in excess of the 100 CY.” The contracting officer then outlined the VA’s reasoning for its decision, indicating that the parties should negotiate to determine an equitable price that is “closer in line with costs incurred” for the excess rock removal. The contracting officer also indicated that this was not a contracting officer’s final decision because she needed more information “in order to make an informed decision.” Plaintiff, however, considered the contracting officer’s letter as a final decision and subsequently filed a complaint in this court.

The parties have filed cross-motions for partial summary judgment. Plaintiff claims that “[i]t is undisputed that the Contract provides for payment of $45 per cubic yard of additional Rock Excavation.” Defendant, on the other hand, claims that the “plain language” of the contract dictates that any additional price adjustment to account for excess rock excavation be made by equitable determination.

DISCUSSION

Rule 56 of the Rules of the United States Court of Federal Claims (RCFC) provides that summary judgment “shall be rendered forthwith if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.” RCFC 56(c); see also Fed.R.Civ.P. 56(c) (which is similar both in language and effect); Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 247-48, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); Adickes v. S.H. Kress & Co., 398 U.S. 144, 157, 90 S.Ct. 1598, 26 L.Ed.2d 142 (1970); Moden v. United States, 404 F.3d 1335, 1342 (Fed.Cir.), reh’g and reh’g en banc denied (Fed.Cir.2005); Am. Pelagic Fishing Co.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Shaw v. United States
131 Fed. Cl. 181 (Federal Claims, 2017)
Northrop Grumman Computing Systems, Inc. v. United States
93 Fed. Cl. 144 (Federal Claims, 2010)
West Bay Builders, Inc. v. United States
85 Fed. Cl. 1 (Federal Claims, 2008)

Cite This Page — Counsel Stack

Bluebook (online)
83 Fed. Cl. 12, 2008 U.S. Claims LEXIS 216, 2008 WL 3334088, Counsel Stack Legal Research, https://law.counselstack.com/opinion/burchick-construction-co-v-united-states-uscfc-2008.