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I am performing work on a T&M basis for a municipal corporation (i.e. counties, cities, towns, port districts, water-sewer districts, school districts, metropolitan park districts, or such other units of local government which are authorized to issue obligations).

Different portions of the work require different technical skill sets, and these labor category qualifications are specified in the contract along with the associated labor rate.

If a single employee has or exceeds the required qualifications for two or more categories, can their time be billed for their time spent performing each category and should the hourly rate be used for the category being performed?

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So long as this is not inconsistent with the clear language of the contract, it is allowed.

If you have a role in drafting the contract you should seek to clarify that point in contract language.

If the contract is in place, you should disclose this fact, ideally in writing, so you are not later accused of fraud and so that if the municipal corporation does not object, you can assert a defense of waiver to any claim of breach of express contract.

  • Thank you ohwilleke, It is not inconsistent, however, often when people don't know whether something is acceptable, they will default to the negative. Do you have any references? – user1032531 Sep 12 '17 at 21:34
  • There isn't anything really specific. This is just a matter of general contract law principals and some experience knowing what will work. Ultimately, it boils down to the exact language of the contract in question and the intent of the parties regarding what that language means. – ohwilleke Sep 12 '17 at 21:35
  • Thanks again ohwilleke, Often in my world, it doesn't get to these parties, and I just need to get the construction project manager to feel it is reasonable. Some precedent I can show them will help them not feel they are the first. I will also clearly document what we are doing to mitigate any risks that it will be interpreted as fraud. – user1032531 Sep 12 '17 at 22:25

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