Common use of Final Payment Audit Clause in Contracts

Final Payment Audit. The Owner reserves the right, prior to making final payment to the CM, to conduct audits or a final audit of the expenditures by the CM on the Project for assurances that the final payment to the CM does not exceed the amounts properly payable to the CM for the Cost of the Work, General Conditions, any special allowances, and CM Contingency savings. If the Owner decides to exercise its right to a final payment audit, the Owner will notify the CM in writing of its decision to conduct the audit within thirty (30) days after issuance of the Certificate of Final Completion by the Project Designer. The CM shall then promptly provide all accounting records reasonably requested by the Owner that relate to the Cost of the Work, CM General Conditions and CM Contingency on the Project. Once the CM has provided all accounting records reasonably requested by the Owner to complete such an audit, the Owner agrees to complete the audit within ninety (90) calendar days. In the event an audit determines that the CM has been paid more than it is entitled to be paid under the Contract, the CM will refund the overpayment to the Owner. With the express written consent of the CM surety on the CM performance bond and the CM payment bond, the Owner may elect to make final payment to the CM prior to completion of the audit.