Payment by Task Clause Samples

Payment by Task. The Contract resulting from this Request for Proposal shall be compensated on a firm fixed price basis with progress payments upon completion of all deliverables within a series of tasks. Certain tasks have been identified as payment tasks (see below). Payments, less retainage, will be made upon successful completion and after review and written approval by the State of the tasks and deliverables. All completed work and deliverables shall be in conformity with the Request for Proposal specifications and commonly accepted industry standards. State has identified certain tasks as payment tasks. Payment tasks are those which represent the completion of major milestones of the project. Payment tasks are as follows: $000.00 Task 4 Verify Functional Requirements $000.00 Task 5 Develop Detailed Design for Modified WIS System $000.00 Task 7 WIS System Modifications and Testing $000.00 Task 9 Develop System Documentation $000.00 Task 12 Conduct Pilot Test $000.00 Task 14 Statewide Implementation Payments are predicated upon successful completion and written approval by the State of the described tasks and deliverables as provided in the Acceptance of Deliverables Section 4.0. Payments will be made to the Contractor after written acceptance by the State of the payment task and receipt of an invoice. State will make every reasonable effort to make payments within 25 work days of the receipt of invoice. The amount of the payment will be determined in the following manner. Tasks specified as non-payment tasks will accumulate forward to the next payment task. For example, the first payment task is Task 4. Upon completion of Task 4, the Contractor will be paid for all allowable charges incurred up through Task 4, less retainage. The allowable payment amount will be multiplied by 90 percent, giving the amount which will be remitted to the Contractor. Ten percent of the allowable milestone payment will be retained until written acceptance by the State of all deliverables provided by the contract. Upon written State acceptance of the system's successful implementation, one-half of the retained funds will be paid to the Contractor. The remaining retained funds will be paid to the Contractor upon State acceptance of the system following the warranty/maintenance period. No interest on retained funds shall accrue to the Contractor. Prohibition Against Advance Payments. No compensation or payment of any nature will be made in advance of services actually performed and/or supplie...