92437 Request for Construction changes on Project Mortgages

OMB Approval No. 2502-0011 (exp. 9/30/2013)

U.S. Department of Housing
and Urban Development
Office of Housing
Federal Housing Commissioner

Request for Construction
Changes on Project Mortgages

No changes in the drawings and specifications may be effected unless a completed request for construction changes has been file d and
approved by HUD in accordance with the Construction Contract.
Read the instructions & Public Burden statement on the back of this form.
Name and location of this project
Name of Contractor

Request No.(HUD use only) Project Number
Name of Mortgagor

Name of Mortgagee

To the Federal Housing Commissioner: You are requested to consider the following proposed
changes in the project. The changes are satisfactory to the parties hereto, as indicated by the
signatures below.
Description of Changes
a.
b.
c.
d.
e.
f.
g.
h.
i.
j.
k.
l.
m.
Amount on deposit with mortgagee to cover
increased cost of changes pursuant to conditions $
of Request No.____________.

Mortgagor
Estimated
Effect on Cost
+ or -

Total
$

HUD
Estimated
Effect on Cost
+ or -

Initial & Date

I certify that I have no financial interest in this project beyond the fee for my professional services, and that I
have no interest with the mortgagor, contractor, or any subcontractor or supplier. The changes set forth in
this request conform to the intent of the contract documents and I recommend that the changes be approved.

Architect (signature)

Contractor (signature)

Mortgagee (signature)

Mortgagor (signature)

V = Acceptable
O = Unacceptable
Arch.

Val.

Initial&Date Initial&Date

The following is required on requests involving cooperatives and non-profit mortgagors with respect to any increase or decrease
in cost resulting from acceptable
changes: (check appropriate box.)
The abovesigned contractor agrees to assume any additional costs and agrees that he will not assert any claim against the Mortgagor in connection therewith.
The abovesigned Mortgagor, acting pursuant to a resolution adopted at a meeting of its stockholders or members, and the abovesi
gned Contractor, agree to the
above described construction changes and agree that the construction contract executed by them (date) ________________is amende d by increasing the
contract price of $________________ set forth in Article 3 thereof to $_________________ all other provisions of the Construct
ion Contract remain unchanged.
The abovesigned Mortgagor and the above signed Contractor agree to the construction changes described above and agree that the
construction contract
executed by them (date) ________________ is amended by decreasing the contract price of $___________________ set forth in Artic
le 3 thereof to
$____________________ ; all other provisions of the construction contract remain unchanged.
Federal Housing Commissioner Findings: 1. Mortgagor's Estimate
a. Effect on cost of previously b. Effect on cost to date
c. Percent
accepted changes
of all changes
$
$
%

2. Net effect on Construction Costs
a. Present changes
b. Previous changes
$
$
Increase

Decrease

Increase

Decrease

c. Total
$

d. Percent

Increase

Decrease

%

3. Changes __________________ are acceptable and the drawings and specifications amended, provided:
a. That a total sum of $_____________________is on deposit with the mortgage to cover net increase in cost resulting from present
and previous construction changes.
This supersedes any previous requirements. The money will not be released without written consent of HUD prior to final comple tion and acceptance of the project
construction. No further advances of the mortgage proceeds under the Building Loan Agreement will be approved unless the total sum is on deposit with you.
b. That in order to reflect the net decrease in cost or reduction in mortgage based on net income or number of family units, resul ting from acceptable present
and previous construction changes, the amount of $_______________________ shall be deducted from the amount entered on the line entitled "Sum of Cost
Breakdown Items Plus Inventories of Materials", form HUD-92448. This amount may be modified by later changes.
c. Consent of surety to these changes is obtained in writing and a signed copy sent to this office prior to effecting the change.
d. There is compliance with the conditions stated on the back of this form.
4.

Changes _______________ are not acceptable. See "Reasons for Unacceptability" on the back of this form.

HUD analysis and findings reviewed and approved:
Director, Housing Development Division (signature)

Date

Mortgage Credit
Initial & Date

Federal Housing Commissioner
Signature of authorized agent

Page 1 of 2

form HUD-92437 (11/00)
ref. Handbook 4480.1

Public Reporting Burden for this collection is estimated to average 2 hours per response, including the time for reviewing, searching existing data
sources, gathering and maintaining the data needed, and compiling and reviewing the collection of information. Send comments r egarding this burden
estimate or any other aspect of this collection of information, including suggestions for reducing this burden to the Reports M anagement Officer, Paperwork
Reduction Project (2502-0011), U.S. Department of Housing and Urban Development, 451 7 th Street SW, Washington, DC 20410-3600.
The Department of Housing and Urban Development (HUD) is authorized to collect this information by provisions set forth in Sec tion 5 of the
United States Housing Act of 1937, as amended. It is provided by contractors, mortgagors and mortgagees to obtain the FHA Co mmissioner’s approval of
changes in contract drawings and specifications, and this information is used to ensure that viable projects are developed. Th is information is used by HUD
to ensure that viable projects are being developed. Furnishing of this information is mandatory, and failure to provide it ma y result in your not receiving your
benefits.
Privacy Act Notice. The United States Department of Housing and Urban Development, Federal Housing Administration, is authorized to solicit
the information requested in this form by virtue of Title 12, United States Code, Section 1701 et seq., and regulations promulg ated thereunder at Title 12,
Code of Federal Regulations. While no assurances of confidentiality is pledged to respondents, HUD generally discloses this da ta only in response to a
Freedom of Information request. This agency may not conduct or sponsor, and a person is not required to respond to, a collecti on of information unless that
collection displays a valid OMB control number.

Instructions
Send the original and six copies to HUD through the mortgagee.
Under "Description of Changes" describe each proposed change
and enter the amount by which the construction cost will be
increased or decreased as the net result of each proposed
change. Attach documentation including (1) reason for each
change, (2) general scope, (3) full detailed description of work to
be omitted and/or added and the cost for each trade affected, and
(4) reference any attachments showing proposed revisions.
Estimate the cost of each change on the basis of the current cost
of items omitted, substituted or added. Estimates include job
overhead and builder's fee, or job overhead and general overhead, as applied in the HUD estimate of the project. No allowance
for "Builder's and Sponsor's Profit and Risk" is included. No
architect's or engineer's fee is included.
This form is not used for off-site changes. Such changes must be
submitted in writing, using this form as a guide.
To be acceptable to HUD a proposed change must be due to
necessity, or be an appropriate betterment, or qualify as an
equivalent. In accepting any changes, it is assumed that they will
be executed. If an accepted change is not executed, it must be
nullified by substituting a Request for Construction Changes
amending the drawings and specifications so as to restore the
drawings and specifications to prior status or to a status acceptable to HUD.

Send requests for a time extension on a separate form.
Conditions of Acceptance or Reasons for Unacceptability
When the HUD estimated cost of all accepted changes results in
a net decrease in the total construction cost, the insurable mortgage will be similarly decreased; but if the net effect is an increase,
the additional costs will be defrayed by the mortgagor. The
acceptance of any change or changes involving a net increase
does not increase the mortgage amount.

Page 2 of 2

form HUD-92437 (11/00)
ref. Handbook 4480.1