Common use of Contract Audit Clause in Contracts

Contract Audit. The Design-Builder shall permit the Department to audit, examine, and copy all documents, computerized records, electronic mail, or other records of the Design-Builder during the life of the Contract and for a period of not less than five (5) years after the date of final payment, or the date the Design-Builder is declared in default of Contract, or the date of termination of the Contract. The documents and records shall include, but not be limited to: (a) Those that were used to prepare and compute the Proposal, prepare all schedules used on the Project, record the progress of Work on the Project, accounting records, purchasing records, personnel payments or records necessary to determine Employee credentials, vendor payments and written policies and procedures used to record, compute and analyze all costs incurred on the Project, including those used in the preparation or presentation of claims to the Department. (b) Records pertaining to the Project as the Department may deem necessary in order to permit adequate evaluation and verification of Design-Builder’s compliance with Contract requirements, compliance with the Department’s business policies, and compliance with provisions for pricing Change Orders or claims submitted by the Design-Builder or Subcontractors, shall be made available to the auditor(s) at the Department’s request. The Design-Builder shall make his personnel available for interviews when requested by the Department. (c) Upon request, the Design-Builder shall provide the Department with data files on data disks, or other suitable alternative computer data exchange format. Data furnished by the Design-Builder that cannot be verified will be subject to a complete audit by the Department. The Design-Builder shall ensure that the requirements of this provision are made applicable to Subcontractors. The Design-Builder shall cooperate and shall cause all related parties to furnish or make available in an expeditious manner all such information, materials, and data. The Design-Builder shall provide immediate access to records for the audit and provide immediate acceptable facilities for the audit. Failure on the part of the Design-Builder to afford the Department immediate access or proper facilities for the audit will be considered failure to cooperate and will result in disqualification as an Offeror in accordance with Section 102.08. Upon completion of the Contract audit, any adjustments or payments the Design-Builder owes to the Department as a result of the audit shall be made to the Department within sixty (60) days from presentation of the Department’s findings to the Design-Builder. Failure on the part of the Design-Builder to make such payment may result in disqualification as an Offeror in accordance with Section 102.08. If the Design-Builder disagrees with the findings of the Department’s audit, the Design-Builder may dispute the findings in accordance with provisions of Section 105.19 or the Code of Virginia as amended and as applicable, except that if the time provided for the Design-Builder to submit a claim within sixty (60) days after final payment has expired, the Design-Builder shall instead submit a written claim to dispute the findings to the VDOT Project Manager within sixty (60) days from the date the Design-Builder received the findings. Failure on the part of the Design-Builder to submit a claim disputing the Department’s findings within such 60-day period shall constitute a waiver and release of any claim disputing the Department’s findings.

Contract Audit. The Design-Builder shall permit the Department to audit, examine, and copy all documents, computerized records, electronic mail, or other records of the Design-Builder during the life of the Contract and for a period of not less than five (5) years after the date of final payment, or the date the Design-Builder is declared in default of Contract, or the date of termination of the Contract. The documents and records shall include, but not be limited to: (a) Those that were used to prepare and compute the Proposal, prepare all schedules used on the Project, record the progress of Work on the Project, accounting records, purchasing records, personnel payments or records necessary to determine Employee credentials, vendor payments and written policies and procedures used to record, compute and analyze all costs incurred on the Project, including those used in the preparation or presentation of claims to the Department. (b) Records pertaining to the Project as the Department may deem necessary in order to permit adequate evaluation and verification of Design-Builder’s compliance with Contract contract requirements, compliance with the Department’s business policies, and compliance with provisions for pricing Change Work Orders or claims submitted by the Design-Builder or Subcontractors, shall be made available to the auditor(s) at the Department’s request. The Design-Builder shall make his personnel available for interviews when requested by the Department. (c) Upon request, the Design-Builder shall provide the Department with data files on data disks, or other suitable alternative computer data exchange format. Data furnished by the Design-Builder that cannot be verified will be subject to a complete audit by the Department. The Design-Builder shall ensure that the requirements of this provision are made applicable to Subcontractors. The Design-Builder shall cooperate and shall cause all related parties to furnish or make available in an expeditious manner all such information, materials, and data. The Design-Builder shall be forthcoming in disclosing all sources and locations of media. The Design-Builder shall provide immediate access to records for the audit and provide immediate acceptable facilities for the audit. Failure on the part of the Design-Builder to afford the Department immediate access or proper facilities for the audit will be considered failure to cooperate and will result in disqualification as an Offeror in accordance with Section 102.08. Upon completion of the Contract audit, any adjustments or payments due by the Design-Builder owes to the Department as a result of the audit shall be made to the Department within sixty (60) 60 days from presentation of the Department’s findings to the Design-Builder. Failure on the part of the Design-Builder to make such payment may result in disqualification as an Offeror in accordance with Section 102.08. If the Design-Builder disagrees with the findings of the Department’s audit, the Design-Builder may dispute appeal the findings decision in accordance with provisions of Section 105.19 or the Code of Virginia as amended and as applicable, except that if the time provided provision for the Design-Builder to submit a claim within sixty (60) 60 days after final payment has expired, shall not apply. If the Design-Builder elects to appeal the decision of the audit he shall instead within 60 days of the date of the notice of the Department’s findings submit a written claim request to dispute appeal the findings decision to the VDOT Project Manager within sixty (60) days from the date the Design-Builder received the findingsEngineer. Failure on the part of the Design-Builder to submit file a claim disputing the Department’s findings audit within such 60-day period shall constitute 60 days will be interpreted as a waiver and release of any claim disputing for dispute of the Department’s findings.

Contract Audit. The Design-Builder shall permit the Department to audit, examine, and copy all documents, computerized records, electronic mail, or other records of the Design-Builder during the life of the Contract and for a period of not less than five (5) years after the date of final payment, or the date the Design-Builder is declared in default of Contract, or the date of termination of the Contract. The documents and records shall include, but not be limited to: (a) Those that were used to prepare and compute the Proposal, prepare all schedules used on the Project, record the progress of Work on the Project, accounting records, purchasing records, personnel payments or records necessary to determine Employee credentials, vendor payments and written policies and procedures used to record, compute and analyze all costs incurred on the Project, including those used in the preparation or presentation of claims to the Department. (b) Records pertaining to the Project as the Department may deem necessary in order to permit adequate evaluation and verification of Design-Builder’s compliance with Contract contractContract requirements, compliance with the Department’s business policies, and compliance with provisions for pricing Change WorkChange Orders or claims submitted by the Design-Builder or Subcontractors, shall be made available to the auditor(s) at the Department’s request. The Design-Builder shall make his personnel available for interviews when requested by the Department. (c) Upon request, the Design-Builder shall provide the Department with data files on data disks, or other suitable alternative computer data exchange format. Data furnished by the Design-Builder that cannot be verified will be subject to a complete audit by the Department. The Design-Builder shall ensure that the requirements of this provision are made applicable to Subcontractors. The Design-Builder shall cooperate and shall cause all related parties to furnish or make available in an expeditious manner all such information, materials, and data. The Design-Builder shall be forthcoming in disclosing all sources and locations of media. The Design-Builder shall provide immediate access to records for the audit and provide immediate acceptable facilities for the audit. Failure on the part of the Design-Builder to afford the Department immediate access or proper facilities for the audit will be considered failure to cooperate and will result in disqualification as an Offeror in accordance with Section 102.08. Upon completion of the Contract audit, any adjustments or payments due by the Design-Builder owes to the Department as a result of the audit shall be made to the Department within sixty (60) days from presentation of the Department’s findings to the Design-Builder. Failure on the part of the Design-Builder to make such payment may result in disqualification as an Offeror in accordance with Section 102.08. If the Design-Builder disagrees with the findings of the Department’s audit, the Design-Builder may dispute appealdispute the findings decisionfindings in accordance with provisions of Section 105.19 or the Code of Virginia as amended and as applicable, except that if the time provisiontime provided for the Design-Builder to submit a claim within sixty (60) days after final payment has shall not apply. Ifhas expired, the Design-Builder elects shall instead submit a written claim to dispute appealdispute the findings decision offindings to the audit he shall VDOT Project Manager within sixty (60) days from offrom the date of the Designnotice ofDesign-Builder received the findingsDepartment’s findings submit a written request to appeal the decision to the Engineer.findings. Failure on the part of the Design-Builder to submit filesubmit a claim disputing the Department’s findings auditfindings within such 60 days will be interpreted assuch 60-day period shall constitute a waiver and release of any claim disputing for dispute ofdisputing the Department’s findings.