Difference between revisions of "109.08 Prompt Payment"

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(→‎Prompt Payment: Updated MERS User Guide)
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Additional information on prompt payment:  
Additional information on prompt payment:  
* [https://mdotcf.state.mi.us/public/dessssp/spss_source/12SP-109A-03.pdf MDOT Prompt Payment Special Provision]
* [//{{SERVERNAME}}/images_construction/7/7c/MERS_2020_User_Guide.pdf MERS 2020 User Guide]
* [//{{SERVERNAME}}/images_construction/7/7c/MERS_2020_User_Guide.pdf MERS 2020 User Guide]

Revision as of 11:57, 22 March 2021

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Prompt Payment

Federally funded contracts are required to follow federal requirements for prompt payment of subcontractors under CFR 49 26.29 For MDOT let projects the prompt pay requirements and procedures are detailed in 12SP-109A-03.

Once subcontracted work is accepted by the Engineer and the work has been paid for, the Contractor is required to make downline payments to all subcontractors and suppliers within the timeframes set by the special provision.

If a subcontractor makes a claim to the engineer that they have not been paid within the required timeframes, then the Engineer shall follow the procedures for Alleged Prompt Payment Complaints.

Additional information on prompt payment:

Alleged Prompt Payment Complaints

The following flow chart should be used to resolve alleged prompt payment complaints. Alleged complaints can come to the engineer’s attention by means of a lien notice to a bond company, email, discussion at a progress meeting, or other channels. The engineer is to request the complainant follow up with a detailed written notice (correspondence or email) to the alleged party. The written notice is to include the engineer and the prime contractor if the prime contractor is not the alleged party. Additional support is available by contacting the Construction Field Services Prompt Payment Specialist at 517-202-3716.

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Process for Alleged Prompt Payment Violation

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