Previous to the first payment under the Contract, the Contractor shall submit to the Authority a schedule of prices covering the various divisions of the Work to be done under this Contract. The schedule of prices shall aggregate the total Contract Price and, when approved by the Authority, shall be used as a basis for determining amount of payments. The schedule of prices shall be on forms furnished by the Authority, entitled "Contractor's Breakdown".
Payments will be made on the basis of the actual Work completed under the Contract as approved by the Authority's Engineer. Payments will be made in accordance with Act No. 524, Michigan Public Acts 1980 (Public Agency Construction Contracts Act).
fewer payments, progress payments to the Contractor will be made monthly on the basis of a duly certified and approved estimate of the Work performed less ten percent (10%) which will be retained by the Authority until final completion and acceptance of the entire Work under the Contract.
For a Contract having a dollar value of Thirty Thousand Dollars ($30,000.00) or more or a Contract with more than 3 payments, progress payments to the Contractor will be made monthly on the basis of a duly certified and approved estimate of the Work performed less a retainage. The retained funds will be deposited in an interest bearing account in accordance with the provisions of Act 524, Michigan Public Acts 1980. Retainage and interest earned on retainage will be released to the Contractor together with the final progress payment except as provided in Section 4 (7) and (8) of Act 524, Michigan Public Acts 1980. At any time after ninety four percent (94%) of the Work under the contract is in place, the Authority will release the retainage plus interest upon request of the original Contractor in accordance with the provisions of Section 3 (5) of Act 524, Michigan Public Acts 1980. The retainage shall be determined as follows:
A. Ten percent (10%) of the dollar value of all Work in place until the entire Work under the Contract is fifty percent (50%) in place.
B. After the entire Work under the Contract is fifty percent (50%) in place, additional retainage will not be withheld unless the Authority determines that the Contractor is not making satisfactory progress, or for other specific cause relating to the Contractor's performance under the Contract. If the Authority so determines, the Authority may retain not more than ten percent (10%) of the dollar value of Work more than
Estimates will be prepared by the Engineer in 4 copies on the standard estimate form of the Authority. The Authority reserves the right to require the Contractor to submit satisfactory evidence (in the form of partial waiver of lien or similar affidavit) that indebtedness to any or all subcontractors or suppliers arising under the Contract has been paid, as a condition precedent to making partial or periodic payments.
After completion of the Work and after the Engineer has ascertained that each and every part of the Work has been performed in accordance with the Drawings, Specifications and approved Change Orders, the same will be accepted and the Engineer will make a final estimate as soon as practicable.
The Final Payment will not be made until the Contractor has filed with the Authority: (1) the written consent of the Surety to payment of the final estimate, and (2) satisfactory evidence by affidavit, in the form given hereinafter, that all indebtedness by reason of the Contract has been fully paid. In cases where the Authority has notice (whether or not complying with the requirements of applicable statutes) of unpaid claims of subcontractors, laborers, and suppliers, the Authority reserves the right in its discretion to require, in addition to the written consent of the Surety and the aforesaid affidavit, evidence satisfactory to it of the payment of such claims by the Contractor as a condition precedent to final payment. In case such evidence is not furnished by the Contractor, the Authority may in its discretion (1) withhold the entire amount of the final payment until such evidence is furnished by the Contractor, or (2) pay to the Contractor the amount of the final payment less the amounts as to which the Authority has notice of claims by subcontractors, laborers or suppliers, and withhold payment of such amounts until such evidence of
The acceptance by the Contractor of the final payment shall constitute the Contractor's acceptance and approval of payment estimates, accounting, additions and deductions. Acceptance of final payment further constitutes the Contractor's acceptance and approval of full payment by the Authority for all work, labor, materials, supplies and services provided hereunder, and of the satisfaction, release and/or waiver of all claims or demands of or on behalf of the Contractor against the Authority arising from this Contract and the performance thereof.
(SAMPLE FORM)
CONTRACTOR'S AFFIDAVIT and RELEASE OF ALL CLAIMS
The undersigned, ___________________________, hereby represents that on __________________ it was awarded a Contract by the HURON-CLINTON METROPOLITAN AUTHORITY to _______ _______________________ in accordance with the terms and conditions of Contract No. ________; and the undersigned further represents that the subject Work has now been accomplished and the said Contract has now been completed, in accordance with its terms.
The undersigned hereby warrants and certifies that all of its indebtedness arising by reason of the said Contract has been fully paid; and that all claims from subcontractors and others for labor and material used in accomplishing the said Project, as well as all other claims arising from the performance of the said Contract, have been fully paid. The undersigned further agrees that, if any such claim should hereafter arise, it shall assume responsibility for the same immediately upon request to do so by the Huron- Clinton Metropolitan Authority.
The undersigned, for a valuable consideration, the
claims or right of lien which the undersigned now has or may hereafter acquire against the Huron-Clinton Metropolitan Authority or upon the subject premises for labor and material used in accomplishing said Project, or for any other matter or thing arising out of or connected with the Work on said Project.
This affidavit is freely and voluntarily given with full knowledge of the facts, on this ____ day of _______. _________________________________________ Contractor
By _______________________________________ Title ______ _______________________________ Subscribed and sworn to before me, a Notary Public in and for __________________________ County, Michigan, on this ______ day of _____. _________________________________________ Notary Public, __________ County, Michigan
My Commission expires __________________ NOTE: The above italicized Contractor’s Affidavit is a sample. The Contractor’s Affidavit is to be submitted by the Contractor prior to final payment and shall be prepared on the printed form furnished by the Authority.