4-Policy for Payment.pdf

This document is a policy document from the Harris County Engineering Department in Texas, dated December 6, 2005, detailing the procedures for Payment of Material on Hand. The policy provides guidelines for contractors seeking compensation for nonperishable materials delivered to work locations or acceptable storage places that have not yet been incorporated into the project. Eligible materials include concrete traffic barriers, precast concrete box culverts, concrete piling, deck panels, beams, reinforced concrete pipes, steel girders, steel bridge rail, illumination poles, and other items deemed reasonable by the Engineer.

The policy specifies that payment for materials on hand will only be made for multiple work order contracts that are authorized by purchase order or written Engineer approval. Payment is limited to the actual invoice cost, with a minimum invoice requirement of $1,000, and will not exceed the associated placement costs. Materials without a paid invoice within 60 days will be ineligible for payment. Contractors must submit monthly material on hand forms until the total material value reaches zero, and by submitting these forms, they authorize Harris County Engineering Department to audit records and perform process reviews. The Engineer retains the right to exclude payment for materials on hand for the contract's duration if any requirements are not met.