Kelly Business Consultants, Inc
Construction Auditors
Construction Auditors
Recoveries: Hospital
This project cost $62 million based upon a GMP contract having general conditions and mechanical contracting at cost.
AUDIT SCOPE:
Review and analyze construction contracts with the Construction Manager and mechanical subcontractor; thoroughly review payment applications and cost documentation at the offices of the Construction manager and mechanical subcontractor.
| Major over-billed costs were | |
| “In-house store” material charges | $455,492.00 |
| Sub-subcontractor sheet metal fees | $101,304.00 |
| Duplicated small tool charges | $151,079.00 |
| Machine rentals more than cost | $351,248.00 |
| Excessive Liability Insurance billings | $100,855.00 |
| Various payroll over billings | $388,000.00 |
Our client performed negotiations to recover $1,130,000.