We inspected Perini Management Services, Inc.’s billings for Task Order No. P14PD00557 with the National Park Service (NPS) between March 20, 2014, and May 31, 2016. The contract was awarded to repair damage from Hurricane Sandy to park buildings and landscaping at the Statue of Liberty and Ellis Island National Monument.
Our objectives were to determine whether: (1) Perini invoiced for unperformed work, (2) Perini’s schedule of values (SOV) reflected reductions for work Perini never performed, and (3) modifications properly reflected changes in the scope of the work.
We found that Perini did not invoice for unperformed work. We also found, however, that Perini did not properly reflect reductions resulting from unperformed work in its SOV, and did not properly reflect changes to the scope of work in two modifications.
We offered one recommendation to make the change order process more transparent and help prevent overpayment of contract amounts.