012900 Payment Procedures.pdf

Robert C Weaver Federal Building, Granite Façade Repairs, Phase 2 Washington, DC Project Number # VDC00213

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SECTION 012900 - PAYMENT PROCEDURES

PART 1 - GENERAL

1.1 SUMMARY

A. This Section specifies administrative and procedural requirements necessary to prepare and to process Requests for Payment.

1.2 RELATED DOCUMENTS AND SECTIONS

A. Section 013000 - ELECTRONIC PROJECT MANAGEMENT (ePM) SYSTEM

B. Section 013110 - CRITICAL PATH METHOD (CPM) SCHEDULING

1.3 DEFINITIONS

A. Schedule of Values (SOV): A detailed, written Masterformat statement, furnished by the Contractor and outlining the portions of the Contract sum, which allocates values (price & percentage) of the various discrete elements of the Work. It is used as the basis of all of the Contractor’s Requests for Payment (including all initial, progress, and final Requests). The Agreement (Section III.H.2 and IV.A.12.f) provides further details.

B. Request for Payment: A Contractor’s invoice and request for progress payment with substantiating information consistent with an approved schedule of values.

1.4 SCHEDULE OF VALUES

A. Coordination: All SOVs shall find their basis in the Contractor’s awarded, final Contract price proposal. Line items within the SOV shall include a separate SOV for each awarded modification and Alternative. The Contractor shall also coordinate SOV line item formatting and values with other project documentation and schedules, including:

1. Request for Payment forms (and substantiating information)

2. Design submission and construction submittal schedules

3. Cost-Loaded Schedule

B. Schedules for Phased Work: The Contractor shall submit its initial SOV, with a complete design SOV, no later than 14 calendar days prior to scheduled date of initial Request for Payment.

The Contractor shall submit its final, detailed SOV, including a final construction SOV, with its Issue for Construction design package to the Government for review. The final SOV shall be submitted no later than 14 calendar days prior to the first anticipated Request for Payment following the Government’s acceptance of the Contractor’s completed design.

C. Format and Content: The Contractor shall be responsible for entering its approved SOVs into the electronic Project Management (ePM) System and for submitting an associated electronic copy to the Contracting Officer for record.

1. Identification: Include the following in each SOV:

a. Project Name

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b. Project Number (PCN)

c. Date of submittal

d. Building Name

e. Building Number

f. Project Location, City, State

g. Contract Number

h. Modification and change order number

i. GSA Project Manager

j. Contractor's name and contact information

2. In each SOV, the Contractor shall provide a breakdown of the Contract Sum in enough detail to facilitate the Government’s review of initial, progress, and final Requests for Payment. The Contractor shall arrange the SOV in tabular form with separate columns to indicate the following for each work branch and subordinate line item listed:

a. Work activity – by Specification Division or specific work activity

b. Dollar value of each specific work activity – both with an amount in dollars and whole cents, and as a percentage of the Contract Sum to nearest one-hundredth percent.

Adjust the amounts such that the sum total of values equals the total of the Contract Sum and so that percentages total 100 percent.

c. Name of the work activity’s anticipated installing / warrantying subcontractor

d. Line item(s) for each exercised Option and awarded Alternate

e. Line item(s) for mobilization and de-mobilization

f. Line item(s) for close out (% to be negotiated with the GSA CO)

g. Line items(s) for the anticipated value of stored materials under associated work activities.

h. Modifications that affect value, to a level of detail commensurate with other base

Contract work activities.

3. Each item in each SOV and Request for Payment shall be complete. Temporary facilities and other major cost items that are not direct cost of actual work-in-place may be shown either as separate line items in the SOV or distributed as general overhead expense, subject to the Government's approval. The Contractor shall include the total cost and proportionate share of general overhead and profit for each item (i.e. no standalone item for overhead and/or profit).

4. The Contractor shall, when Modifications result in a change in the Contract Sum, update affected work branches and subordinate line items and resubmit the SOV before the next Request for Payment.

1.5 REQUESTS FOR PAYMENT

A. Requirements for Requests for Payment are in the Agreement (Section III.H.2 and IV.A.12.f).

B. Each progress Request for Payment following the initial Request for Payment shall be consistent with previous Requests. Note that the initial Request for Payment, the Request for Payment at time of Substantial Completion, and the final Request for Payment involve requirements above those described for typical progress Requests for Payment.

C. Payment Request Times: Submit each final Request for Payment to GSA no later than the last day of the month for which work is being billed. The period covered by each Request for Payment is one month, ending on the last day of each month.

The Contractor shall submit one draft or pencil copy of each Request for Payment to the GSA CO along with its construction progress report no fewer than ten calendar days prior to the deadline for the final Request for Payment. The Contractor shall, with its initial pencil copy, provide all documentation necessary to demonstrate the cost of work that has been performed and included in the associated Request for Payment. The Contractor shall resolve all comments and questions resulting from the GSA review of the draft Request for Payment and construction progress report prior to submitting a final Request for Payment.

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Upon Government review and approval of the pencil copy, the D/B Contractor shall submit a final notarized invoice to the GSA and shall upload the final notarized invoice to the website https://finance.ocfo.gsa.gov/.

D. Request Preparation: All Requests for Payment must be executed by a person authorized to legally bind the Contractor. The Contractor shall ensure that forms and documentation are complete. The Government will return incomplete Requests for Payment.

1. Entries shall match data on the latest, Government-approved SOV and Contractor's project schedule. Use updated schedules if revisions have been made since the last Request for Payment (reference also Section 013110 for schedule submission requirements).

2. Include amounts for work completed following effective date of previous Request for Payment, whether or not payment has been received. Include only amounts for work completed as of effective date of current Request for Payment.

3. Include amounts of Modifications issued before last day of construction period covered by Request.

E. Stored Materials: Differentiate between items stored on-site and items stored off-site.

1. Provide certificate of insurance, and consent of surety to payment, for stored materials.

2. Provide supporting documentation that verifies amount requested, such as paid invoices.

Match amount requested with amounts indicated on documentation.

3. Provide summary documentation for stored materials indicating the following:

a. Value of materials previously stored and remaining stored as of effective date of previous Request for Payment.

b. Value of previously stored materials put in place after effective date of previous Request for Payment and on or before effective date of current Request for Payment.

c. Value of materials stored since effective date of previous Request for Payment and remaining stored as of effective date of current Request for Payment.

F. Initial Request for Payment: Administrative actions and submittals that must precede or coincide with submittal of first Request for Payment include the following:

1. List of subcontractors.

2. Schedule of values.

3. Contractor's project schedule (initial if not final).

4. Products list (initial if not final).

5. Sustainable design submittal for project materials cost data.

6. Sustainable design action plans.

7. Schedule of unit prices.

8. Submittal schedule (initial if not final).

9. List of Contractor's staff assignments.

10. List of Contractor's principal consultants.

11. Contractor’s Emergency Contact List.

12. Copies of building permits.

13. Copies of authorizations and licenses from authorities having jurisdiction for performance of the

Work.

14. Initial progress report.

15. Report of preconstruction conference.

16. Contractor’s site plan (ref. Section 015000 for additional detail)

G. Request for Payment at Substantial Completion: After GSA issues the Notice of Substantial Completion, submit a Request for Payment less previous payments made for portion of the Work that is being claimed with this Request for Payment as substantially complete.

1. Include documentation supporting claim that the Work is substantially complete and a statement showing an accounting of changes to the Contract Sum.

2. This Request shall reflect Notices of Substantial Completion issued previously for GSA occupancy of designated portions of the Work.

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H. Final Payment Request: Upon completion of all remaining work, submit final Application for Payment for the contract scope of work with releases and supporting documentation not previously submitted accepted, including but not limited to the below items. The Contractor shall reference the Agreement for additional details.

1. Evidence of completion of Project Closeout procedures (ref. Section 017700).

2. Insurance certificates for products and completed operations, where required, in addition to proof that taxes, fees, and similar obligations were paid.

3. Updated final statement, accounting for changes to the Contract Sum.

4. Contractor’s Affidavit of Payment of Claims (Agreement, IV.A.9.d).

5. Contractor’s Affidavit of Release of Claims (Agreement, IV.A.9.f).

6. Evidence that claims have been settled.

7. Final liquidated damages settlement statement (Agreement, IV.A.6).

8. Written list and Notice of Disposal for all documents related to design documents and/or electronic, live building drawings and models (Agreement, II.H.5.d, g).

PART 2 - PRODUCTS (Not Used)

PART 3 - EXECUTION (Not Used)

END OF SECTION 012900