ABSTRACT
Pay requests are typically submitted once monthly first by the subcontractors to the general contractor (GC) and in turn from the GC to the project owner. The formats and times are specified in the special conditions of the contract. Regardless of the type of contract, many of the procedures are similar, but there are some pay request differences associated with different types of contracts. Receipt of timely payment is one of the most important responsibilities of the project manager. The exact format for submitting pay requests will vary depending on the type of contract. Payment on a lump sum contract is based on a schedule of values and percentage completion. Front-loading and overbilling can occur on this type of contract. Understanding liens and lien releases and retention are crucial project success measures for contractors. GC records are rarely audited in a lump sum contract. A unit price contract allows for payment based upon quantities actually installed.
