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Scope Creep and Budget Overrun Controls

13 minPRO
2/6

Key Takeaways

  • Scope creep originates from four sources: discovery, investor decisions, contractor suggestions, and code requirements.
  • Formal change order documentation with cost and schedule impact must precede any changed work.
  • Change orders exceeding 10% of contract value should trigger a comprehensive project feasibility review.
  • Retainage holdback (5-10%), material price locks, and separately managed contingency reserves protect the budget.
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Test Your Knowledge

1.What are the four sources of scope creep in renovation projects?