01Application for Payment: General Form
The applications for payment forms that are most often used are:
- AIA Forms: G702 Application and Certificate for Payment
- ConsensusDOCS 291 Application for Payment (GMP): Facilitates the calculation and documentation of progress payments where the basis of payment is a guaranteed maximum price.
- ConsensusDOCS 292 Application for Payment (Lump Sum): Facilitates the calculation and documentation of progress payments where the contract price is a lump sum.
- ConsensusDOCS 293 Schedule of Values: Provides a breakdown of the cost of elements of the work and should be used with the ConsensusDOCS application for payment forms ConsensusDOCS 291 and ConsensusDOCS 292.
02Application for Payment: Schedule of Values
The Schedule of Values is a sheet on which items are listed along with their unit prices, quantities, and summaries of what has been paid and what is being certified for payment. It provides a general overview of the project status. Depending on how the contract is written, it can be a lump sum value or an itemized list that will provide a better understanding of the work being billed.
Be sure to provide a sample sheet during the negotiation process and the RFP and bid processes. You can later use these as your schedule of values, ensuring a smoother process.
03Application for Payment: Schedule #2
Schedule #2 provides a comprehensive list of the subcontractors that took part during the respective period and performed works under the specified contract. It's required to justify the amounts being certified under the schedule of values. It is very specific in some contracts and might require additional documentation, such as payrolls, certifications, and lien waivers to make sure that all subs have been paid.
04Application for Payment: Schedule 3
Schedule #3 under the application for payment is a document that releases and presents waivers of claims and stop notices from all subcontractors who are furnishing labor, services, or materials covered by the certificate for payment. You acknowledge and guarantee the client in this document that there will not be any claim by the subcontractors due to payment, performance, or any other possible claim.
05Application for Payment: Schedule 4
Some contracts require that you submit the latest and most up-to-date project schedule so they can make sure the project is moving along as expected. The customer might also ask for photos or videos documenting the project's progress.
An Explanation of Application for Payment Forms Used in Construction
Understand these application for payment basic forms
An application for payment is a construction document that identifies and presents how a contractor will be paid. The application for payment includes the services or materials that are being incorporated or jobs that are being executed under a contract agreement.
This document is usually presented as a list with the unit price of each item and the quantities of the product or material being furnished. Although the types of backup information asked by every contract vary, you can probably count on being asked for these documents.