5-Policy for Payment.pdf

This document is a Policy for Payment of Material on Hand issued by the Harris County Engineering Department in Texas, dated December 6, 2005. The policy outlines the procedures for contractors to request compensation for nonperishable materials that have been delivered to the work location or acceptable storage places but have not yet been incorporated into the project. Eligible materials must be sampled, tested, approved, certified, and ready for incorporation, with specific examples including concrete traffic barriers, precast concrete box culverts, concrete piling, deck panels, beams, reinforced concrete pipe, steel girders, and illumination poles.

The policy requires that materials have an individual or collective invoice cost of at least $1,000 to be considered for payment, and payment will not exceed the actual cost as established by invoice. For multiple work order contracts, payment will only be made for materials authorized by the work order or by written approval of the Engineer. The contractor must submit monthly material on hand forms until the total value reaches zero, and by submitting the request, the contractor authorizes Harris County Engineering Department to audit material on hand records. The Engineer reserves the right to exclude payment for any materials if the documentation does not meet the specified requirements.