Completing payment applications in the online service

ACD Guide Author

Updated November 11, 2024 14:56

Summary

A detailed guide on completing the G702®–1992 Application and Certificate for Payment and G703®–1992 Continuation Sheet, including instructions for using the online editor, creating new Payment Application drafts, and incorporating change orders. For additional support, contact the document support line or email for assistance (800-942-7732 option 2 or docinfo@aiacontracts.com).

The G702® –1992, Application and Certificate for Payment and G703®–1992, Continuation Sheet to the G702 are the most common Payment Applications, though you can choose from several variations. To complete these forms, follow the instructions below. For additional help, contact our document support line at 800-942-7732 option 2 or docinfo@aiacontracts.com.

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Start with the Continuation Sheet

To complete a Payment Application, we suggest completing the Continuation Sheet first by creating a new document draft.

Using the online editor for Continuation Sheets

To create a new Continuation Sheet draft:

Go to the Projects tab.
Select your project in the projects list (or create a new project) and click Create Document.
Search for the Continuation Sheet template you want to use and click on the template title.
If you have a previous Continuation Sheet in the Project, select Import from… and select your most recent Continuation Sheet. This will import your line items and update totals accounted for in previous pay periods.
Click OK.

Hint: If you would like to dismiss the tips window for the new online form editor, click Don’t show again before exiting the window. To reinstate the window, you can go to your General Settings and select Show me tips for a new online form editor.

Inserting and deleting rows

You can add an unlimited number of rows in your Continuation Sheets.

To add or delete rows:

Right click in a cell.
Select Insert row to insert a row below or Delete row to delete the row you’re working in.
To bulk delete, select several rows using the checkboxes on the left, right click in any cell and select Delete all selected.

Hint: Deleted rows cannot be recovered.

Copying and pasting

You can copy values from any Excel files or tab delimited spreadsheet program and paste them right into the online editor.

Some things to keep in mind when copying and pasting:

New rows will be added automatically to accommodate the number of values you paste in.
Columns A & B will accept text or numeric values. All other columns will accept numeric values only. Be sure to remove all letters and/or special characters (e.g. #,/,!) before copying and pasting.
Grey cells can be edited and will accept pasted values, while white cells are calculated automatically.

Working offline

If you want to work offline in Excel, you can download your draft and import it back into your project documents when you’re ready to finalize, or just want to go back to the online editor. Importing your draft will also allow you to carry over data to your future drafts.

To download your draft:

Click Download draft on the left toolbar in the online editor.

Hint: Insert plenty of rows before downloading your draft, since you won’t be able to insert any new rows in Excel.

To import your draft:

Go to the Projects tab.
Click on the project from the projects list and click Import File.
Click Choose file(s) and locate the desired file from your computer.
Click Import.

Completing the form

Heading: Complete the items in the top right corner by designating the Application Date as the day which you are submitting the payment application, and the and the Period To as the last day of the pay period for which you are applying for payment. Enter the Architect’s project number if applicable.

Columns A, B & C: These columns should be completed by identifying the various portions of the project and their scheduled values consistent with the schedule of values submitted to the architect at the commencement of the project or as subsequently adjusted. The breakdown may be by sections of the work or by subcontractors and should remain consistent throughout the project. Multiple pages should be used when required.

Column C should be subtotaled at the bottom when more than one page is used and totaled on the last page. Initially, this total should equal the original contract sum. The total of column C may be adjusted by change orders during the project.

Column D: Enter in this column the amount of completed work covered by the previous application (columns D & E from the previous application). Values from column F (Materials Presently Stored) from the previous application should not be entered in this column.

Column E: Enter here the value of work completed at the time of this application, including the value of materials incorporated in the project that were listed on the previous application under materials presently stored (column F).

Column F: Enter here the value of materials presently stored for which payment is sought. The total of the column must be recalculated at the end of each pay period. This value covers both materials newly stored for which payment is sought and materials previously stored which are not yet incorporated into the project. Mere payment by the owner for stored materials does not result in a deduction from this column. Only as materials are incorporated into the project is their value deducted from this column and incorporated into column E (Work Completed–This Period.)

Column G: Enter here the total of columns D, E and F. Calculate the percentage completed by dividing column G by column C.

Column H: Enter here the difference between column C (Scheduled Value) and column G (Total Completed and Stored to Date).

Column I: This column is normally used only for contracts where variable retainage is permitted on a line item basis. It need not be completed on projects where a constant retainage is withheld from the overall contract amount.

Tax: You may list tax as part of each line item or as a separate line item. Either way, the total tax is included in the “Total Completed and Stored to Date.”

Once you’ve completed the Continuation Sheet, you can save your draft and return to the Projects tab to create the accompanying Payment Application. It’s a good idea to wait to finalize your form until you’ve completed the Payment Application, just to make sure you don’t need to go back and make any edits. Remember, you cannot edit a finalized document.

Completing the Payment Application

Create the Payment Application after you’ve completed the Continuation Sheet for the pay period.

To create a new Payment Application draft:

Go to the Projects tab.
Select your project in the projects list (or create a new project) and click Create Document.
Search for the Payment Application template you want to use and click on the template title.
Select “Fixed Retainage” if your construction contract permits retainage as a constant rate that is withheld from the overall contract amount. Select “Variable Retainage” if your construction contract permits a variable retainage rate on a line-by-line basis, so if one or more portions of work call for a different retainage rate than the rest. If you are working with a variable retainage rate, be sure you’ve completed Column I in the accompanying Continuation Sheet.
Select Import from… and select your most recent Payment Application if you have one (this should be from the previous pay period) and Continuation Sheet (this should be from the same pay period). This will import key totals into your draft.
Click OK.

Hint: Make sure you’ve assigned a project team. That way, your team member details will auto-populate in your draft.

Then, review and/or complete each line item:

Line 1: Original contract sum comes from the project data. *Exception: If you are doing a Subcontractor variation you will have to enter this manually.

Line 2: Net change by change orders comes from the Change Order Summary box at the bottom. Update this box every pay period during which Change Orders have been executed. This total will automatically populate if you imported your data from the accompanying Continuation Sheet when you created your draft.

Line 3: Contract sum to date is simply Line 1 +/- Line 2.

Line 4: Total completed and stored to date comes from Column G in the Continuation Sheet.

Line 5: If you selected a variable retainage rate upon creating your draft, list the total dollar amount of retainage (Column I in the Continuation Sheet). If you selected a fixed retainage rate upon creating your draft, enter the percent retainage and total work completed and stored materials.

Line 6: Total earned less retainage is Line 4 minus Line 5.

Line 7: Less previous certificates for payment comes from Line 6 from the prior certificate (should be imported).

Line 8: Current payment due is Line 6 minus Line 7.

Line 9: Balance to finish, including retainage is Line 3 minus Line 6.

When you’re done working, you can save your draft or finalize. If you’d like to combine your finalized document with its Continuation Sheet, or any additional PDFs, you can create a project manual.

How can I incorporate change orders?

The G701™-2017, Change Order is used for implementing changes in the work agreed to by the owner, contractor, and architect. Although change orders could be incorporated by changing the schedule of values each time a change order is added to the project, this is not normally done. Usually, change orders are listed separately, either on their own G703 form or at the end of the basic schedule. The amount of the original contract adjusted by change orders is to be entered in the appropriate location on the G702 form.

You may list each change order on the G703 (Continuation Sheet) as a line item of work, then fill out the G702 (Application and Certificate for Payment) “Change Order Summary” section at the bottom of the form. This will give you a net change by change orders, which goes in Line 2 above. For a deductive change order, insert a minus sign in front of the value on the G703 and put the value (without a minus sign) in the “Deductions” column on the G702.

Amounts not in dispute that have been included in Construction Change Directives should be incorporated into one or more change orders. Amounts remaining in dispute should be dealt with according to Section 7.3 in the A201, General Conditions of the Contract for Construction.

List of Payment Application and Continuation Sheet variations:

• For the Top 5 questions about AIA applications for payment and continuation sheets, watch »