PAYMENTS AND COST OF THE WORK Clause Samples
The "Payments and Cost of the Work" clause defines how and when the contractor will be compensated for the work performed under the contract. It typically outlines the schedule of payments, the method for determining allowable costs, and any documentation required to support payment requests, such as invoices or receipts. This clause ensures that both parties have a clear understanding of financial obligations and helps prevent disputes over payment by establishing transparent procedures for compensation.
PAYMENTS AND COST OF THE WORK. 8.1 In full consideration of the full and complete performance of the Work and all other obligations of the CONTRACTOR hereunder, the CITY shall pay to the CONTRACTOR a sum of money not to exceed the contract price which is defined to be the total of: (i) the CONTRACTOR’s Direct Construction Cost, (ii) so much of the CONTRACTOR’s General Conditions as may have been expended, (iii) so much of the approved amount of the Construction Contingency as may have been expended, and (iv) the CONTRACTORS’s construction management fee. The contract price shall not exceed the sum shown in Article 1.0 as the Guaranteed Maximum Price, adjusted to take into account any approved Change Orders, which shall mean those costs necessarily incurred and paid by the CONTRACTOR in connection with the performance of all the work.
8.2 After completion and acceptance of the work, in the event that the Cost of the Work plus the CONTRACTOR’s fee are less than the Guaranteed Maximum Price after giving effect to adjustments to the GMP made in accordance with this Contract then the difference between the Cost of the Work plus the CONTRACTOR’s Fee on the one hand and the GMP on the other hand is the “savings”. Savings as described above shall be equally divided between CITY and CONTRACTOR. In the event that the CONTRACTOR’s total approved expenditures for the project shall exceed the Guaranteed Maximum Price, the CONTRACTOR shall pay such excess from its own funds, and the CITY shall not be required to pay any amount that exceeds the GMP; and the CONTRACTOR shall have no claim against the CITY on account thereof.
PAYMENTS AND COST OF THE WORK. 5.1 In full consideration of the full and complete performance of the Work and all other obligations of the CONTRACTOR hereunder, the CITY shall pay to the CONTRACTOR a sum of money not to exceed the contract price which is defined to be the total of: (i) the CONTRACTOR’s Cost of the Work, (ii) so much of the CONTRACTOR’s General Conditions as may have been expended, (iii) so much of the approved amount of the Contingency as may have been expended, (iv) the CONTRACTORS’s Construction Management Fee, and
PAYMENTS AND COST OF THE WORK. 8.1 When the Pricing Documents are complete, CONTRACTOR, PMO, CPM and CA shall convene a Contract Price meeting to negotiate the GMP. CONTRACTOR will thereafter submit to the CA a completed Exhibit 1, CONTRACTOR’s Direct Construction Cost, Schedule of Values, and any other revised elements within the GMP. Based upon such mutually agreed modifications, the CA will issue a CPEAM to reallocate amounts within the GMP; or, if a change to the GMP is required, the CA will initiate a Change Order through the CPM.
8.2 In full consideration of the full and complete performance of the Work and all other obligations of the CONTRACTOR hereunder, the COUNTY shall pay to the CONTRACTOR a sum of money not to exceed the GMP. The GMP shall be as set forth in Article 9 as adjusted by any approved Change Orders. In the event that the CONTRACTOR’s expenditures for the Project exceeds the GMP, the CONTRACTOR shall pay such excess from its own funds, and the COUNTY shall not be required to pay any amount that exceeds the GMP; and the CONTRACTOR shall have no claim against the COUNTY on account thereof.
8.3 After Final Completion and acceptance of the Work, CONTRACTOR, PMO, CPM and the CA shall determine any “savings” achieved during the progress of the Work.
8.3.1 Prior to calculating the “savings,” the remaining amounts in the Document Completion Contingency shall be transferred to the COUNTY’s Contingency and shall not be used to determine “savings.”
8.3.2 The “Savings” shall be determined by performing the following calculation: Add all unused amounts from the CONTRACTOR’s Direct Construction Cost, CONTRACTOR’s General Conditions, CONTRACTOR’s Management Services CONTRACTOR Fixed Fee, and CONTRACTOR'S Construction Contingency, and divide in half. The CONTRACTOR will share in half and the COUNTY will share in half. The COUNTY’s half shall be placed into the COUNTY’s Contingency using the CPEAM. The CONTRACTOR may submit a complete and proper invoice for its half of the savings.
PAYMENTS AND COST OF THE WORK. 5.1 In full consideration of the full and complete performance of the Work and all other obligations of the Construction Manager hereunder, the CITY shall pay to the Construction Manager a sum of money not to exceed the contract price which is defined to be the total of: (i) the Construction Manager’s Cost of the Work, (ii) an amount equal to the total General Conditions and Construction Management Fee line items, divided by the number of months in the Construction Schedule plus any additional General Conditions and Per Diem Construction Manager’s Fee, as provided herein (iii) so much of the approved amount of the Contingency as may have been expended, (iv) Construction Manager’s Fee. The contract price shall not exceed the sum shown in Article 1.0 as the Guaranteed Maximum Price, adjusted to take into account any approved Change Orders, and shall mean those costs necessarily incurred and paid by the CONTRACTOR in connection with the performance of all the work.
5.2 In the event that the Construction Manager’s total approved expenditures for the Project shall exceed the Guaranteed Maximum Price, the Construction Manager shall pay such excess from its own funds, and the CITY shall not be required to pay any amount that exceeds the GMP; and the Construction Manager shall have no claim against the CITY on account thereof.
PAYMENTS AND COST OF THE WORK