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A subcontractor requests payment for switchgear stored off site. What backup is normally needed?

Correct Answer

D) Invoices, proof of storage, insurance, ownership or allocation, and contract-required approvals.

Stored-material payment normally requires evidence that the material is purchased, protected, insured, and allocated to the project.

Answer Options
A
Base the stored material pay request response on a verbal statement
B
The contractor should approve the stored-material payment from a pay-application line item alone
C
The contractor should use a draft submittal log without invoice, insurance, or storage backup
D
Invoices, proof of storage, insurance, ownership or allocation, and contract-required approvals.

Why This Is the Correct Answer

Stored-material payment normally requires evidence that the material is purchased, protected, insured, and allocated to the project.

Why the Other Options Are Wrong

Option A: Base the stored material pay request response on a verbal statement

The trap in A is A verbal statement only. That selection is wrong because the action skips the timing, documentation, or field-control step needed for Stored material pay request.

Option B: The contractor should approve the stored-material payment from a pay-application line item alone

Choice B gives A bid protest letter. Its specific error: it shifts the question into contract administration money flow.

Option C: The contractor should use a draft submittal log without invoice, insurance, or storage backup

Choice C (A blank RFI form) is rejected because it points to A blank RFI form, but.

Memory Technique

Use the phrase "problem, control, result" for stored material pay request; the result side is Invoices, proof of storage, insurance, ownership or allocation, and contract-required approvals.

Reference Hint

Open NASCLA Contractors Guide to Business, Law and Project Management, 14th Ed.; use the index entry or section for "Stored-material payment" to confirm that Stored-material payment normally requires evidence that the material is purchased, protected, insured, and allocated to the project.

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