CONSTRUCTION DIVISION MEMORANDUM

GENERAL SUBJECT: CONTRACTOR'S PROGRESS NUMBER: CD-96-7
SPECIFIC SUBJECT: RETAINAGE DATE: MARCH 27, 1996
  Original w/Signature on file in Construction Division
  C. F. GEE
  CONSTRUCTION ENGINEER
DIRECTED TO - DISTRICT ADMINISTRATORS  
Section 109.07 of the Specifications addresses how retainageis to be deducted when a contractor's actual progress falls morethan 10% behind the latest approved schedule. Currently, thecontractor's retainage is routinely withheld upon beingdetermined more than 10% behind schedule.
When the contractor's progress falls more than 10% below thelatest approved schedule, the District Construction Engineer, orhis designee, should make contact with the contractor and advisehim of the apparent lack of progress. The District ConstructionEngineer, or his designee, should also advise the Contractor thaton the subsequent monthly progress estimate, retainage will bewithheld in accordance with Section 109.07. The contractor shouldbe afforded the opportunity to state his assessment of the actualprogress and provide reasons for the apparent lack of progress.If the contractor does not respond or fails to give satisfactoryreasons for the apparent lack of progress and is still more than10% behind schedule at the time of the next monthly progressestimate, retainage will be withheld. If progress continues toremain behind schedule, the contractor shall be notified, inwriting, that he may be removed from the bidders list inaccordance with Section 102.01.
   
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