SECTION 1090 - MEASUREMENT AND PAYMENT
The determination of
quantities of work performed under the contract will be made by the Engineer,
based upon the lines and grades as shown on the plans and as given during the
progress of the work or as evidenced by approved tickets for weight or liquid measure
or by measurements made by the Engineer.
All items will be computed in the units shown in the contract.
A. The
Contractor shall receive and accept the compensation provided in the contract
at unit prices, if it be a unit price contract; or at the lump sum price, if it
be a lump sum price contract, except as may be modified by change orders. The compensation provided for in the contract
shall constitute full payment for furnishing all labor, equipment, tools, and
materials and for performing all work contemplated and embraced under the
contract; for all loss or damage arising out of the nature of the work or from
the action of the elements; for all expenses incurred by, or in consequence of,
the suspension or discontinuance of the said prosecution of the work or from
any unforeseen difficulties or obstructions that may arise or be encountered
during the prosecution of the work; and for all risks of every description
connected with the prosecution of the work until the final acceptance of the
work by the Jurisdiction.
B. Neither
the payment of any progress payment nor of any retained percentage shall
relieve the Contractor of any obligation to make good any defective work or
material. Payment will be made only for
materials actually incorporated in the work, except as provided in Section 1090,
1.05 - Progress Payments.
C. The contract price for any item shall be full compensation for all
labor, materials, supplies, equipment, tools, and all things of whatsoever
nature required for the complete incorporation of the item into the work the
same as though the item were to read "in place," unless the contract
documents shall provide otherwise.
A. If the
contract is based on a lump sum bid price, or contains one or more lump sum
items for which progress payments are to be made, the Contractor shall prepare
and submit a breakdown estimate covering each lump sum item to the Engineer for
approval. The breakdown estimate shall
show the estimated value of each kind or item of work. The sum of the lump sum items listed in the
breakdown estimates shall equal the contract lump sum. Overhead and profit shall not be listed as
separate items.
B. The
breakdown estimate shall be approved by the Engineer before any progress
payments are prepared. An unbalanced
breakdown estimate providing for overpayment to the Contractor for items of
work to be performed first will not be approved but shall be revised by the
Contractor and resubmitted until acceptable to the Engineer.
1.04 PAYMENT FOR CHANGE ORDERS
A. The
Contractor's claims for extra work will not be paid unless the extra work
covered by such claims was authorized by a change order as specified in Section
1040, 1.07 - Change Orders.
B. Payment
for extra work shall be made in one or more of the following ways as determined
by the agreement between the parties to the contract prior to the starting of
the work.
1. Unit Prices:
By unit prices contained in the Contractor's original proposal and
incorporated in the construction contract, so far as the same may apply.
2. Supplemental Schedule: By supplemental schedule of prices to include
costs of all equipment, material, labor, supervision, management, insurance,
overhead, and incidentals, said schedule to be submitted by the Contractor upon
request of the Engineer and to be accepted by the Jurisdiction.
3. Lump Sum:
By an acceptable lump sum proposal from the Contractor.
A. Limits:
Progress payments made under the contract, unless provided otherwise by
law, shall be made according to Iowa Code Chapter 573, and shall be made on the
basis of monthly estimates of labor performed and material delivered and
incorporated in to the work, as determined by the Engineer. Payment may be made for materials not
incorporated into the project if they can be specifically identified and cost
verified by invoice. Progress payment
requests shall be accompanied by the documentation required in Section 1090, 1.07,
B - Sales Tax and Use Tax.
B. Retainage:
The Jurisdiction shall retain from each monthly progress payment 5% of
the amount determined to be due according to the estimate of the Engineer.
C. Quantities:
Quantities used for progress payments shall be considered as only
approximate and provisional and shall be subject to recalculation, adjustment,
and correction by the Engineer in subsequent partial payments and in the final
payment. Inclusion of any quantities in
a progress payment, or failure to disapprove the work at the time of any
progress payment, shall not be construed as acceptance of the corresponding
work or materials.
A. Retained
funds shall be retained by the Jurisdiction for a period of 30 calendar days
after the completion and final acceptance of the improvement by the
Jurisdiction. If at the end of the 30 calendar
day period claims are on file as provided, the Jurisdiction shall continue to
retain from the unpaid funds, a sum equal to double the total amount of all
claims on file. The remaining balance of
the unpaid fund, or if no claims are on file, the entire unpaid fund, shall be
released and paid to the Contractor.
B. The
Jurisdiction, the Contractor, any claimant for labor or material who has filed
a claim, or the surety on any bond given for the performance of the contract,
may, at any time after the expiration of 30 calendar days, and not later than 60
calendar days, following the completion and final acceptance of said
improvement, bring action in equity in the county where the improvement is
located to adjudicate all rights to said fund, or to enforce liability on said
bond, pursuant to Iowa Code Chapter 573.
Upon written demand of the Contractor, served in the manner prescribed
for original notices, on the person filing a claim, requiring the claimant to
commence action in court to enforce the claim, an action shall be commenced
within 30 calendar days, otherwise the retained and unpaid funds due the
Contractor shall be released to the Contractor.
1.07 SALES AND USE TAX STATEMENT
A. At the completion of the contract and before final
payment can be made thereon, the Contractor and all subcontractors shall file
with the Engineer in triplicate, with original signatures on all three sets, a
statement under oath on forms provided by the Iowa Department of Revenue and
Finance showing the data with reference to sales, use, and service taxes
required by Iowa Code Section 423.4, as amended. On projects with a total contract cost
greater than $1 million or with supplies and materials in excess of 50% of the
contract price and when directed by the Engineer, the Contractor shall submit
with each progress pay estimate completed sales and use tax forms from the Iowa
Department of Revenue listing all supplies and materials purchased since the
previous progress payment.
B. If a Sales Tax Exemption Certificate(s) is issued by the
Jurisdiction according to Section 1020, 1.08, no sales, use, or service
statement is required.
1.08 ACCEPTANCE
AND FINAL PAYMENT
A. Final payment will be based on the actual
final total amount of the work accomplished and finally accepted by the
Jurisdiction under the contract. Under
no circumstances or conditions will the Contractor be paid anything for anticipated
profits for the work, nor will it be paid for any work not actually included in
the improvement. The Jurisdiction will
not give final acceptance of the work until the Contractor has submitted all
documentation required by the contract documents.
B. The Engineer shall, after determining the
work has been finally and fully completed according to the contract documents,
make a final estimate of the amount of work done and the value thereof.
C. Final acceptance of construction shall be
defined as final approval of the project only in the sense that it has been
constructed, cleaned up, and completed in apparent substantial compliance with
the contract documents. Said final
acceptance is stipulated to mean a written acceptance by the Jurisdiction.
D. It is mutually agreed between the parties to
the contract that a certificate of completion of the project, submitted by the
Engineer and approved by the Jurisdiction, shall constitute final acceptance of
the work and materials included in the contract on the date of such approval,
subject to the provision any such approval, acceptance, or payment as herein
provided shall not constitute an acceptance of any unauthorized or defective
work, or of any improper material.
END OF SECTION