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• Unanticipated work is encountered by the contractor that is not
part of the specifications, which, according to the contractor, constitutes
a change order
• The owner acknowledges that the work needs to be done, but neither
accepts nor rejects the contractor’s position regarding a change
order
• The contractor submits a request for change order to the owner
• The owner rejects the change order, but requires the work be done
under a written directive to proceed signed by both the owner and contractor
• The contractor applies to Surety Bridge Fund to finance the unfunded
directive
• Surety Bridge Fund reviews the situation, determines if it meets
the program’s guidelines
• Surety Bridge Fund provides funding to the project specifically
for the unfunded directive(s), under a structure to be developed
• The owner acknowledges the assignment and subrogation of the directive’s
liability, with consent of surety
• The contractor performs the work
• The contract and owner work to resolve the dispute with the assistance
of the construction experts hired by the Surety Bridge Fund
• Surety Bridge Fund issues its opinion of the responsibility or
allocates responsibility to both owner and contractor for the directive
• Upon resolution the Surety Bridge Funds loan is repaid
• If the public entity is obligated for the repayment, Surety Bridge
Fund works with the entity to assist in securing necessary funds
• If the contractor is obligated for the repayment, Surety Bridge
Fund works with the contractor and/or the surety for repayment
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