Bid Package 08 North Well Field - Garney Construction

ARTICLE 7 – PAYMENT PROCEDURES
7.01 Submittal and Processing of Payment
A. Seller shall submit Applications for Payment in accordance with Article 10 of the
General Conditions. Applications for Payment will be processed by Engineer as
provided in the General Conditions.
A.B. Seller shall submit Applications for Payment for items covering insurance, bonds,
and related costs at 100 percent of the Contract Price upon delivery of the first written
order for Goods placed by the Engineer.
7.02 Progress Payments; Retainage
A. Buyer shall make progress payments on a ccount of the Contract Price on t he basis of
Seller’s Applications for Payment as follows:
7.03 Final Payment
1. Upon receipt of the first Application for Payment submitted in accordance with
Paragraph 10.01.A.1 of the General Conditions, as modified by the Supplemental
Conditions, a Purchase Order will be issued to Seller. Statutory requirements prevent
Buyer from making initial progress payments.and accompanied by Engineer’s
recommendation of payment in accordance with Paragraph 10.02.A of the General
Conditions, an amount equal to 30 percent of the Contract Price, less such amounts as
Engineer may determine in accordance with Paragraph 10.02.A.3 of the General
Conditions.
2. Upon receipt of the second such Application for Payment accompanied by Engineer’s
recommendation of payment in accordance with Paragraph 10.01.A.2 of the General
Conditions, an amount sufficient to increase total payments to Seller to 90 percent of
the Contract Price, less such amounts as Engineer may determine in accordance with
Paragraph 10.02.A.3 of the General Conditions.
A. Upon receipt of the final Application for Payment accompanied by Engineer’s
recommendation of payment, Buyer shall pay Seller the amount recommended by
Engineer, less any sum Buyer is entitled to set off against Engineer's recommendation,
including but not limited to liquidated damages.
EJCDC P-520, Agreement Between Buyer and Seller for Procurement Contracts.
Copyright © 2010 National Society of Professional Engineers, American Council of Engineering Companies,
American Society of Civil Engineers, and Associated General Contractors of America. All rights reserved.
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