Notice
Protest
Determination
Dispute
Hearing

1. Executive Summary

Decision Requested

Prepare for Disputes Review Board (DRB) referral on Protest 011. WSDOT’s position is that the Design-Builder is responsible for the PSE power routing design to the SR-522 Transit Hub under the contract and that no additional compensation or Contract Days are warranted. The dispute is awaiting Skanska’s written Dispute Referral per RFP Section 1-04.5(1).18.

  • Recommendation: Deny all claims — proceed to DRB upon Dispute Referral
  • Cost Exposure: $1,112,424 claimed (Skanska $598,750 + AECOM $513,674)
  • Risk Level: Analysis in progress — position paper and internal memo not yet complete

Core Question

Did the revised PSE power routing to the SR-522 Transit Hub constitute a WSDOT-directed change entitling the Design-Builder to additional compensation and Contract Days, or was the power routing design the Design-Builder’s contractual responsibility?

In November 2025, Skanska notified WSDOT via LTR 273 that changes to the PSE power routing to the SR-522 Transit Hub had caused design delays and additional AECOM costs of approximately $340,362. WSDOT responded via SL 9727-203 (November 21, 2025), finding no merit for extra cost on temporary signal power design.

Skanska protested via LTR 289 (December 5, 2025) and requested a 60-day extension to submit supplemental information. WSDOT denied the extension via SL 9727-211 (December 8, 2025), setting the supplemental deadline at December 19. Skanska’s supplemental (LTR 300, December 19, 2025) increased the claim to $1,112,423.95 and stated no additional Contract Days would be required if RFC design was complete by February 20, 2026. WSDOT again determined no merit via SL 9727-238 (January 9, 2026).

Skanska filed a Dispute Notification via LTR 328 (January 23, 2026). WSDOT acknowledged via SL 9727-251 (January 26, 2026) and requested a written Dispute Referral per Section 1-04.5(1).18. The dispute referral is pending. DRB preparation is in progress.

Issue ID
ISS-230
Amount Claimed
$1,112,424
Time Impact
0 days (conditional)
Status
Deny

2. Skanska Assertions and WSDOT Position

A Revised PSE Routing Was a WSDOT-Directed Change Moderate

Skanska Assertion

The revised PSE power routing to the SR-522 Transit Hub required AECOM to redesign the temporary power approach and caused additional design costs and delays. Skanska characterizes the routing revision as a WSDOT-directed change that triggered additional scope outside the contract. LTR 273 notified WSDOT of an estimated $340,362 impact; supplemental LTR 300 increased this to $1,112,424.

WSDOT Position

The Design-Builder is responsible for the power routing design to the Transit Hub under the contract. WSDOT determined via SL 9727-203 that no extra cost for temporary signal power design is warranted. The Design-Builder accepted the contract with knowledge of the PSE coordination requirements. Changes in PSE routing are part of the Design-Builder’s design coordination responsibility. Analysis of the contract basis for this position is in progress for DRB preparation.

GP 1-04.4(1) · GP 1-04.1 · SL 9727-203 · SL 9727-238
B $1,112,424 in Additional Design Costs Attributable to Routing Change Moderate

Skanska Assertion

Skanska’s supplemental (LTR 300, December 19, 2025) documents $1,112,423.95 in additional costs: Skanska direct costs of $598,750 and AECOM redesign costs of $513,673.95. The costs are attributable to the revised PSE routing requiring a new temporary power design approach for the Transit Hub.

WSDOT Position

WSDOT determined no merit for the cost claim. The claimed costs represent the DB’s design effort to meet its contractual obligations, not costs caused by a WSDOT-directed change. Under GP 1-04.4(5)(b), design changes required to achieve contract compliance are the DB’s responsibility. Detailed cost entitlement analysis is in progress for DRB. No Change Order was issued.

GP 1-04.4(5)(b) · GP 1-04.1 · SL 9727-238
C No Schedule Days if RFC Design Complete by February 20, 2026 Available

Skanska Assertion

Skanska’s supplemental (LTR 300) states that no additional Contract Days are requested if RFC design is complete by February 20, 2026. This conditional schedule waiver reduces the near-term schedule exposure but preserves Skanska’s right to claim delay if the RFC target date is not met.

WSDOT Position

WSDOT’s no-merit determination addresses the cost claim. The conditional schedule waiver does not affect the cost analysis. If RFC design was completed by February 20, 2026, the schedule entitlement is waived per Skanska’s own submission. WSDOT’s position is that no schedule entitlement exists regardless, as the power routing design is the DB’s contractual responsibility.

GP 1-04.5 · GP 1-08.8

3. Risk

Analysis Status

Full internal analysis and position paper are in progress for DRB preparation. This section will be updated as the DRB submission is developed. Key risk factors are noted below based on available information.

Initial Strengths

  • WSDOT issued two consistent no-merit determinations: SL 9727-203 and SL 9727-238
  • Skanska itself conditioned the schedule claim on RFC completion by February 20, 2026, suggesting limited schedule exposure
  • No Change Order was issued for the PSE routing change; without an OIC, there is no contractual basis for an equitable adjustment under GP 1-04.4(1)
  • PSE coordination for utility routing is typically within DB’s scope on design-build projects

Potential Weaknesses

  • Position paper not yet developed; detailed contract basis needs to be documented before DRB
  • AECOM’s initial estimate ($340,362) versus supplemental ($513,674) suggests evolving cost analysis that may generate DRB questions
  • If PSE routing was driven by WSDOT-controlled right-of-way or utility coordination constraints, the DB may have a colorable change argument

Defense Layering

LayerDefenseUse In
1. No OIC was issued. GP 1-04.4(1) requires WSDOT to “authorize and require changes” via a Change Order. Without an OIC, no equitable adjustment is owed. PSE coordination is a DB design responsibility. DRB Referral / Primary
2. GP 1-04.4(5)(b): Design changes required to achieve contract compliance are the DB’s exclusive responsibility and are not eligible for change orders. DRB Referral / Secondary
3. Skanska’s conditional schedule waiver (0 days if RFC by 2/20/26) limits the schedule exposure to the cost claim only. Schedule Defense

Fallback Position

If DRB finds that PSE routing involved WSDOT-driven constraints outside the DB’s control, WSDOT should be prepared to limit any relief to direct AECOM redesign costs that are clearly attributable to the specific routing change, excluding Skanska’s overhead and management markup. Schedule entitlement should remain denied given Skanska’s own conditional waiver.

4. Chronology

WSDOT
Skanska
Milestone
Nov 2025 – Feb 2026 Full timeline →
Date Event
2025-11-07 Skanska LTR 273 — Notifies WSDOT of design impacts from temporary power routing at SR-522 Transit Hub; AECOM estimate $340,362
2025-11-21 WSDOT SL 9727-203 — No merit for extra cost on temporary signal power design
2025-12-05 Skanska LTR 289 — Notice of Protest 011; requests 60-day extension for supplemental
2025-12-08 WSDOT SL 9727-211 — Denies 60-day extension; sets supplemental deadline December 19
2025-12-19 Skanska LTR 300 — Supplemental information; claim increased to $1,112,424; no additional days if RFC design complete by 2/20/26
2026-01-09 WSDOT SL 9727-238 — Responds to supplemental; no merit determination
2026-01-23 Skanska LTR 328 — Dispute Notification per Section 1-04.5(1)
2026-01-26 WSDOT SL 9727-251 — Acknowledges DRB request; requests written Dispute Referral per Section 1-04.5(1).18
2026-01-26 Dispute filed. Awaiting written Dispute Referral from Skanska. DRB preparation in progress.

5. Cost & Time

Skanska’s Claim (from LTR 300)

ComponentAmount
Skanska (direct costs)$598,750.00
AECOM (redesign costs)$513,673.95
Total $1,112,423.95
Schedule Extension0 days (if RFC complete by 2/20/26)

WSDOT Exposure Scenarios

ScenarioCostTime
WSDOT position — deny all claims$0None
DRB partial — AECOM direct redesign only$200K–$400K (est.)None
Worst case — DRB finds full entitlement$1,112,424TBD

Relief Requests and Disposition

#Relief RequestedWSDOT Disposition
1 Cost adjustment of $1,112,424 for PSE power routing redesign Denied — No OIC; PSE coordination is DB’s design responsibility; GP 1-04.4(5)(b)
2 Schedule extension (reserved / conditional on RFC date) Denied — No schedule entitlement; DB waived days if RFC by 2/20/26