8:55AM The show has yet to start this morning. DWSD employee Daniel Edwards should be first to take the stand this morning to continue with his cross-examination by Victor Mercado defense lawyer John Minock. Next up should be Thomas Hardiman, a former Executive Vice President with Lakeshore Engineering, who will hopefully testify about Bobby Ferguson visiting him at his home and asking to get cut into a water contract deal. 

9:00AM Judge Edmunds enters courtroom. Taking up evidentiary issues on hearsay before jury comes in. 

9:00AM Jennifer Blackwell for government discussing a  Mr. and Mrs Phillips, and her recollection of certification being pulled many years ago.

9:02AM Judge asking if government needs Mrs. Phillips to impeach herself in testimony.

9:02AM According to Blackwell, Mr. Phillips is no longer alive.

9:03AM Jim Thomas says discussion that Mrs. Phillips, an upcoming possible witness, heard about in 2006 about DLZ would be total hearsay. She was not married at the time. Asking court not to allow her to testify.

9:04AM Judge agrees with the defense.

9:06AM John Minock continues cross of Daniel Edwards.

Who initiates change order? The field engineers in the project.

What necessitates a change order? For a variety of reasons. Amongst them, differing site conditions. Conditions that need to be looked at more closely and thus require greater compensation for doing so.

When contractors excavate they can find unexpected things? Yes.

Because the streets are so old? Yes.

Until you get to the pipes you are working on you have no idea what you're facing? That is true.

Until a contractor digs out a pipe and can examine it, there is really no certainty? True.

These contractors are multi million dollar businesses, Inland, Walbridge? Yes.

Run by shrewd people? I would think so.

Is one method to get a bid low-balling? For some individuals yes. Low-balling is when contractor deliberately under-bids contract. After they get contract, will try to get remuneration for different things they had not anticipated.

Then after low-balling, rely on change orders to get price back up? Yes.

And some contractors had a reputation for doing this? Some, yes.

Change order for CM 2014, to increase contract from $40 million to $55million and asks to extend for a year? Yes.

Whose signature on it? Anthony Adams. Victor Mercado's successor.

Now looking at a Lakeshore Engineering contract? Can't find it. Oh it's right here in front of me, hello.

To add 40,000 feet of linear mains on the change order. That's about 9 feet, quite a lot? Yes.

Yesterday you said it might look as if there was impropriety even if there wasn't any? Yes.

Read second to last sentence please. Witness reads it.