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Implementation of warranties in state contracts for highway construction.
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2012-04-01
[PDF-25.00 MB]
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Edition:Final report; July 2000-Feb. 2012.
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Abstract:In 1997, The Louisiana House of Representatives passed Bill Number 1698, which addresses warranties in state
contracts for highway construction. This bill stated that every contract for the construction of or improvements to
highways will include a warranty by the contractor as to the quality of materials and workmanship for duration of
three years. The House has asked the Louisiana Department of Transportation and Development (DOTD) to
promulgate rules and regulations to effectuate the purpose of warranties and submit such to the Joint Legislative
Committee on Transportation, Highways, and Public Works for approval.
In response, DOTD formed a committee to supervise the development of warranties made up of representatives from
DOTD, FHWA, and contractor organizations so as to conduct a comprehensive evaluation of warranties and to look
at its impact on contracts and construction for highways in Louisiana. The purpose of the warranty is principally to
ensure that DOTD has an assurance from the contractor on highway projects that constructed items shall be free of
defects in materials and workmanship for a three-year period from the project initial acceptance date. But, there is
also an obligation on the part of DOTD to ensure that contractors are treated fairly. This paper summarizes the efforts
taken by the Department to meet the legislative directive to develop a warranties program for Louisiana that fulfills
the legislative requirement and which also obeys federal regulations put in-place to ensure that contractors are treated
fairly.
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