THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700


S U M M A R Y


DIARY: September 14, 1988 10:00 AM .......; Rod Welch

Progress meeting BPP with Sletten and Voith.

1...Summary/Objective
2...Scope of Notes
3...Sletten Can Mobilize Office Trailor for Welch, $2K Cost
4...Gracon Access across U/S Cofferdam Being Reviewed
5...Sletten Begins Removing 96" Culvert OA 881003
6...Union Pickets Gracon Access Road to Project Area
7...CPM Schedule Updated Schedule Reviewed
...DTL As-built Activity Duration Shown Incorrectly
...Winter Preparation Activities Will Be Added to Schedule
...Sletten will Add Start of Voith Work on 881015 to Schedule
...Removing 96" Culvert by Swan will be Added to Schedule
...Engineer Concurs with Sletten's Proposed Changes to Schedule
8...Curb Ring May Delay Schedule, Start of Voith Work
9...DTL Pour Delayed 3 Days by Voith Fixing Alignment Problems
10...Time Extension Requests will be Submitted by Sletten
11...Voith Planning to Begin on 881015; Sletten Reports Possible Delays
12...Voith Plans Mobilization Wee of 881010
13...Engineer Advises that Sletten will Install Curb Ring
14...Sletten Requests Manufacturer's Instructions
...Tolerances - Sletten May File Claim on Stringent Requirements
...Manufacturer's Instructions - Sletten Will Not Consult with Voith
15...Draft Tube Liner Time for Submitting Claim
16...Engineer Accepts Sletten's Report of Extra Hours as Valid
17...Sletten will Notify Engineer When It Requires Approval of Extra Time
18...Sletten Provides Support for Claim on Backfill Concrete


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CONTACTS 
0201 - O-0395 0201 Department of Natural      406 444 6699
020101 - Mr. Wayne Wetzel, Project Manager
020102 - Mr. Norman Barnard, Hydropower Engineer
0202 - O-0389 0101 Tudor Engineering Company  406 266 3728     800
020201 - Mr. Jeff Ghilardi, Resident Engineer
020202 - Mr. Rod Welch, Office Engineer
0203 - O-0392 0103 Sletten Construction       406 761 7920   406 761 0923 FAX
020301 - Mr. Bill Merriman, Vice President
020302 - Mr. Paul Robinson, Project Coordinator
020303 - Mr. Kieth Fergeson, Superintendent
020304 - Mr. Dave Marsh, Field Project Coordinator
0204 -

SUBJECTS
Weekly Schedule
& Progress Meeting

0404 -    ..
0405 - Summary/Objective
0406 -
040601 - Meeting Notes Procedures
040602 -
040603 - The Engineer accepted as generally correct the Notes offered by
040604 - Sletten for the Meeting of 880907, ref 4.  Rod Welch mentioned a few
040605 - minor differences (e.g. line 1114 to 1115 Voith has not stated it
040606 - wants relief on contract dates.)
040607 -
040608 - The Engineer accepted the procedure offered by Sletten for providing
040609 - copies of tape recordings it makes of Progress Meetings.  Sletten
040610 - will make copies within two days of the Meetings using tapes supplied
040611 - by Tudor, or will furnish the tapes to Tudor for copying by Tudor.
040612 -
040613 -
040614 -
040615 -  ..
040616 - Scope of Notes
040617 -
040618 - Rod Welch noted that the characterization of his comments cited by
040619 - Sletten's Notes ref 4 line 1040 to 1042 as "personal opinion" is not
040620 - accepted, subject to review.  [Upon review of the citation, ref 2
040621 - lines 0605-0609, the Engineer accepts Sletten's comment as accurate].
040622 -
040623 - Rod further advised that the Engineer reserves the right to comment as
040624 - necessary in accordance with discussions last week. ref SDS 3 9491
040625 -
040626 -
0407 -

SUBJECTS
Office Space
GC furnish additional

0505 -
050501 -  ..
050502 - Sletten Can Mobilize Office Trailor for Welch, $2K Cost
050503 -
050504 - Bill said Sletten has a large trailer that could be made available --
050505 - it is 12' x 55' -- under the terms discussed last week, ref 4 line
050506 - 1003 to 1006.
050507 -
050508 - The unit is now on a job in Reno, NV.  Mobilization costs would be
050509 - approximately $2,000.
050510 -
050511 -
0506 -

SUBJECTS
Coordination with
Gracon Contract

0705 -
070501 -  ..
070502 - Gracon Access across U/S Cofferdam Being Reviewed
070503 -
070504 - Jeff advised he is still considering his decision with respect to
070505 - this matter.
070506 -
070507 -
070508 -
070509 -
0706 -

SUBJECTS
96" Culvert Remove

0804 -
080401 -  ..
080402 - Sletten Begins Removing 96" Culvert OA 881003
080403 -
080404 - Sletten advised that its subcontractor, Swan Construction  intends
080405 - to begin work on removing the 96" culvert on 881003.
080406 -
080407 -
080408 -
080409 -
0805 -

SUBJECTS
Union Strike

1004 -
100401 -  ..
100402 - Union Pickets Gracon Access Road to Project Area
100403 -
100404 - Bill Merriman explained Union difficulties that may impact Sletten, if
100405 - the Gracon contract is struck, citing Sletten's letter, ref 5.
100406 -
100407 - Jeff pointed out that the Engineer has directed Gracon to establish
100408 - its site access in accordance with the recommendations made by
100409 - Sletten in its 880903 letter, ref 5, including attachments.
100410 -
100411 -
1005 -

SUBJECTS
Schedule
Time Extensions

140401 -  ..
140402 - CPM Schedule Updated Schedule Reviewed
140403 -
140404 -
140405 -   DTL As-built Activity Duration Shown Incorrectly
140406 -
140407 -   Rod Welch asked if the symbol used to show the "as-built" duration
140408 -   of the DTL was intended to show continuous work?
140409 -
140410 -   Dave Marsh said that was not the intent.  The continuous line merely
140411 -   shows the entire period during which work was performed  and does
140412 -   not indicate actual dates of performance.  Dave explained that the
140413 -   activities showing "as-built" durations for concrete pours show a
140414 -   different symbol in order to highlight the dates of actual pours as
140415 -   distinct from the period of constructing forms and other support
140416 -   work.
140417 -
140418 -
140419 -    ..
140420 -   Winter Preparation Activities Will Be Added to Schedule
140421 -
140422 -   Bill Merriman noted that Sletten needs to perform certain work in
140423 -   advance of difficult winter weather conditions occurring.
140424 -
140425 -   He said Sletten will revise its Updated Schedule to show these
140426 -   activities, many of which will be expanded detail of activities
140427 -   already shown, but which need clarification of sequencing relative
140428 -   to the winter work constraints.  The revision should be available
140429 -   tomorrow, 880915, for review by the Engineer.
140430 -
140431 -    ..
140432 -   Sletten will Add Start of Voith Work on 881015 to Schedule
140433 -
140434 -   Bill Merriam feels the Schedule should show the interface with the
140435 -   Voith contract, including installation of the Curb Ring needed in
140436 -   order for Voith to begin on 881015.
140437 -
140438 -
140439 -   Removing 96" Culvert by Swan will be Added to Schedule
140440 -
140441 -   There was also discussion of earthwork sequencing.  Sletten intends
140442 -   to show work to be performed by its subcontractor  Swan  which is to
140443 -   commence 881003, per above. ref SDS 0 8381
140444 -
140445 -
140446 -    ..
140447 -   Engineer Concurs with Sletten's Proposed Changes to Schedule
140448 -
140449 -   Rod Welch pointed out that the Schedule should be revised to reflect
140450 -   the actual tasks and sequence Sletten intends to pursue, and any
140451 -   constraints that are known, so that the State and the Contractor
140452 -   will have a common basis to manage their respective interests.
140453 -
140454 -
140455 -  ..
140456 - Curb Ring May Delay Schedule, Start of Voith Work
140457 - DTL Pour Delayed 3 Days by Voith Fixing Alignment Problems
140458 -
140459 - Bill Merriman advised that Sletten experienced a 3 day delay in
140460 - pouring the DTL from 880907 to 880910, due to work by Voith in fixing
140461 - alignment problems of the DTL, which had been caused by Sletten.
140462 -
140463 - Rod Welch pointed out prior understandings that the 881015 date for
140464 - Voith start were predicated on a pour date of 880910, and in fact the
140465 - Engineer was notified that this pour would be delayed to 880912 due to
140466 - unavailability of Ironworkers to install rebar.  Since that delay did
140467 - not occur, it appears that Sletten is on schedule despite not making
140468 - the DTL pour until 880910.
140469 - ..
140470 - Rod cited Dave Marsh on 880908 explained that impacts cited by
140471 - Bill Merriman today as causing further delay, are actually recognized
140472 - in the Schedule showing Voith to start on 881015. ref SDS 4 0301
140473 -
140474 - The DTL was poured 880910 rather than 880912.
140475 - ..
140476 - Rod Welch asked about other possible impacts that could delay
140477 - the work, such as unavailability of craftsmen.
140478 -
140479 - Bill Merriman advised that the only other thing that can delay the
140480 - work needed in order for Voith to begin, is difficulty setting the
140481 - Curb Ring.
140482 -
140483 - Rod asked if there are any other concerns Sletten has about meeting
140484 - the target date for Voith to start?
140485 -
140486 - Bill feels there is no basis to believe that anything else known or
140487 - anticipated at the present time can influence work completion.
140488 -
140489 -     [On 880920 information schedule is not feasible. ref SDS 5 9501]
140490 -
140491 -     [On 880921 submitted recommendations on the schedule. ref SDS 6
140492 -     8391]
140493 -
140494 -     [Obviously, a strike as discussed above could cause delays, if it
140495 -     occurs. ref SDS 0 8010]
140496 -
140497 -
140498 -  ..
140499 - Time Extension Requests will be Submitted by Sletten
140500 -
140501 - Bill said there are a number of time extension requests that have not
140502 - been decided.  Sletten will submit a summary of such requests it feels
140503 - are still pending.
140504 -
140505 - The Engineer will expedite response.
140506 -
140507 - Rod Welch asked about what was intended by Sletten's 880909 letter,
140508 - ref 10, which gives notice that...
140509 -
140510 -         "...Sletten will be seeking additional time in preparation of
140511 -         disputed item claims,"
140512 -
140513 - ...since there are no specifics set out in the Notice.
140514 - ..
140515 - Bill Merriman explained that the letter is self explanatory and
140516 - that if the Engineer requires clarification, it should submit a
140517 - written request for same.
140518 -
140519 -
140520 -
140521 -

SUBJECTS
Schedule
Voith Contract
Coordination

1606 -
160601 -  ..
160602 - Voith Planning to Begin on 881015; Sletten Reports Possible Delays
160603 -
160604 - Bill Merriman said the 991015 date has slipped by 3 days due to delays
160605 - in completing alignment of DTL and installation of the "Spacer Beam
160606 - Assembly," per discussion above on the Schedule. ref SDS 0 0026
160607 -
160608 - Based on representations by Dave Marsh on 880908, the Engineer finds
160609 - that despite the alleged 3 day delay, Sletten will be held to meet the
160610 - 881015 date unless a valid basis arises that justifies additional time
160611 - relative to Sletten's CPM schedule, per above. ref SDS 0 2805
160612 -
160613 -
160614 -  ..
160615 - Voith Plans Mobilization Wee of 881010
160616 -
160617 - Jeff advised that Voith plans to mobilize on site the week of 881010
160618 - and intends to commence work in the structure Turbine Pit on 881017
160619 - based on the Schedule Update furnished by Sletten (ref 6).
160620 -
160621 - Voith intends to receive equipment the week of 881010 and set up the
160622 - crane beginning on 881015 as previously agreed, ref 4 line 1095  ref
160623 - 3 line 270703 and 271117.
160624 -
160625 - Voith will be storing equipment offsite until it is needed on site.
160626 -
160627 - Jeff advised that Voith has been offered extra payment for delayed
160628 - start from 880925 to 881017.  The amount is being discussed with
160629 - Voith.
160630 -
160631 -
1607 -

SUBJECTS
Curb Ring

2004 -
200401 -  ..
200402 - Engineer Advises that Sletten will Install Curb Ring
200403 - Sletten Requests Manufacturer's Instructions
200404 -
200405 - Bill Merriman requested that the Engineer submit the supplemental
200406 - detailed instructions from the manufacturer by COB Friday  880916.
200407 -
200408 -
200409 -   Tolerances - Sletten May File Claim on Stringent Requirements
200410 -
200411 -   Bill advised that Sletten intends to install the Curb Ring to the
200412 -   tolerances it believes are required by the contract and then request
200413 -   extra payment if the condition does not conform with the tolerances
200414 -   directed by the Engineer, ref 7.
200415 -
200416 -   Dave Marsh pointed out that Sletten does not intend to deliberately
200417 -   avoid meeting the Directed tolerances.  Sletten will request that
200418 -   the Engineer acknowledge the resource expenditure by signing daily
200419 -   reports after Sletten reaches the tolerances it feels are required
200420 -   by contract.
200421 -   ..
200422 -   It is intended that such reports would be agreed as the
200423 -   necessary additional work needed to accomplish the incremental
200424 -   tolerance (see Engineer's Decision, ref 8 paragraph 2).
200425 -
200426 -
200427 -    ..
200428 -   Manufacturer's Instructions - Sletten Will Not Consult with Voith
200429 -
200430 -   Rod Welch asked if Sletten intended to follow the Manufacturer's
200431 -   (Voith) reasonable instructions in performing the work, as required
200432 -   by the contract.
200433 -
200434 -   Bill Merriman said Sletten holds the contract requires Sletten to
200435 -   follow only written instructions.
200436 -
200437 -   Rod asked what application Sletten intends to make concerning the
200438 -   provision that the Manufacturer's Field Representative is to be
200439 -   present on site during performance of the work?
200440 -
200441 -   Bill explained that Sletten feels the Representative is to report to
200442 -   the Engineer when it observes work being performed contrary to its
200443 -   written instructions.
200444 -
200445 -   Rod asked how Sletten intended to incorporate matters of personal
200446 -   expertise with respect to installation, which the Field
200447 -   Representative might have that are not in the written instructions,
200448 -   but could be readily conveyed through consultations.
200449 -
200450 -   Bill Merriman indicated Sletten is not required to consult with
200451 -   the manufacturer's Field Representative, except through written
200452 -   instructions.
200453 -
200454 -   Rod Welch asked whether Sletten would be willing to follow the
200455 -   Manufacturer's Field Representative's verbal recommendations, if
200456 -   the cost of doing so were no more than would be incurred by
200457 -   following Sletten's own procedures; or, alternatively that Sletten
200458 -   could be compensated for procedures that were not reasonably
200459 -   anticipated in bidding the work?
200460 -
200461 -   Bill said he did not understand this question.
200462 -
200463 -
200464 -  ..
200465 - Draft Tube Liner Time for Submitting Claim
200466 -
200467 - Bill Merriman asked what grounds were applied in setting the 15 day
200468 - period for Sletten to submit its claim for extra cost recognized by
200469 - the Engineer in the 880906 Decision, ref 8 para 2 on page 1 and the
200470 - closing paragraph on page 2.
200471 -
200472 - It was pointed out that GC Article 11.2 does not specify the 15 day
200473 - period.
200474 -
200475 -
200476 -
2005 -

SUBJECTS
Extra Work Daily Reports
Procedures

2105 -
210501 -  ..
210502 - Engineer Accepts Sletten's Report of Extra Hours as Valid
210503 - Sletten will Notify Engineer When It Requires Approval of Extra Time
210504 -
210505 - Sletten is concerned that Jeff did not sign its DTR, ref 9.
210506 -
210507 - Jeff pointed out that the report was submitted well after there was an
210508 - opportunity for him to investigate to adequately verify that the work
210509 - hours cited were actually performed, or necessary.
210510 -
210511 - Jeff requested that Sletten notify him in advance of performing extra
210512 - work of the kind reported in ref 9.
210513 -
210514 - Keith pointed out that sometimes this work is performed in the evening
210515 - and on the weekends.
210516 -
210517 - Jeff said that Sletten can try to contact him at home, if they are
210518 - unable to reach him, leave a note on the Engineer's office door of the
210519 - conditions requiring the extra work and the anticipated forces needed
210520 - to perform it.
210521 -
210522 - Sletten will do this.
210523 -
210524 - The Engineer determined that the work covered by Sletten's letter of
210525 - 880913, ref 9, could reasonably have required the forces reported by
210526 - Sletten.  This is not an agreement as to entitlement; but is intended
210527 - to facilitate a determination of the cost for extra payment due in the
210528 - event Sletten makes a valid claim under the contract.
210529 -
210530 - This resolves the issues presented by Sletten's letter, ref 9.
210531 -
210532 -
2106 -

SUBJECTS
Backfill Concrete
Pay Item #24

2205 -
220501 -  ..
220502 - Sletten Provides Support for Claim on Backfill Concrete
220503 -
220504 - Bill Merriman submitted a series of drawings.
220505 -
220506 - He asked the Engineer to examine the drawings to determine the
220507 - quantities of backfill concrete required for the project based upon
220508 - the submitted drawings.
220509 -
220510 - Bill indicated that Sletten believes excavation beyond the plan lines
220511 - was required in part due to "fractured rock," which would be
220512 - compensable under Jeff's interpretation of the contract. ref SDS 2
220513 - 0381
220514 -
220515 - Jeff said that some overexcavation was due to the blasting procedures
220516 - used by Sletten (evidently performed by a subcontractor, Swan).  He
220517 - explained that the "lines," "spacing," and "batter" of the blasting
220518 - drill holes may have led to overexcavation for the contractor's
220519 - convenience which would not be compensable. ref SDS 2 6281
220520 -
220521 - Bill proposed a joint survey of drill hole lines to determine
220522 - quantities due to causes cited by Jeff.  Procedures for performing
220523 - measurements were discussed.
220524 -
220525 - Bill asked how the amount of "fractured rock" encountered under the
220526 - structure slab which is now poured, can be determined.  He pointed out
220527 - that considerable backfill concrete was needed in this area.
220528 -
220529 - Rod Welch asked whether someone on the scene at the time maintained a
220530 - log of material encountered during excavation?
220531 -
220532 - Sletten will try to obtain this information to support its claim for
220533 - payment of backfill concrete.
220534 -
220535 -     Alternatively Sletten may submit statements from those present
220536 -     during the excavation and the Engineer will consider such
220537 -     statements, subject to direct questioning of such individuals by
220538 -     the Engineer, to determine the facts relative to Sletten's
220539 -     entitlement.  The Engineer intends to approve payment for all
220540 -     backfill concrete required under the contract.
220541 -
220542 - Bill Merriman asked that the Engineer write a letter to define the
220543 - basis under which the Engineer will approve payment for backfill
220544 - concrete.
220545 -
220546 - Jeff indicated he would do this, however upon consideration, this
220547 - information has already been presented in the Meeting of 880831. see
220548 - ref SDS 2 0027
220549 -
220550 - Since the parties are operating under these guidelines, there is no
220551 - basis to duplicate this information.  If Sletten believes the position
220552 - is incorrect, it may submit its position citing the contract and other
220553 - authority it believes leads to a different position.  The Engineer
220554 - will promptly consider the Contractor's position and issue a decision.
220555 -
220556 -
220557 -
220558 -
220559 -
220560 -
220561 -
220562 -
220563 -
220564 -
2206 -
Distribution. . . . See "CONTACTS"