All 25 terms
AddendumAn addendum is a formal, dated revision to bid documents issued before award — changing drawings, specs, or bid terms — that every bidder is contractually required to incorporate.AIA G702/G703AIA G702/G703 are the standard American Institute of Architects pay application forms — G702 is the summary sheet, G703 is the detailed schedule-of-values breakdown behind it.Back-chargeA back-charge is a deduction one party makes from another's payment to cover the cost of correcting deficient work, cleanup, or damage — without a signed change order authorizing it.Bid levelingBid leveling is the process of normalizing subcontractor bids onto a common scope basis so they can be compared apples-to-apples, since bidders routinely include or exclude different items.BuyoutBuyout is the process of awarding subcontracts after bid, negotiating final pricing and scope with the chosen subs to lock in the actual cost basis for the job.Change orderA change order is a signed, priced amendment to a construction contract that adds, removes, or modifies scope, cost, or schedule after work is already under contract.Construction change directive (CCD)A construction change directive (CCD) is a written order from the owner or architect to proceed with changed work immediately, used when there's no time to agree on price before the work must start.Cost codeA cost code is the identifier that categorizes a specific type of cost — a labor hour, a material purchase, a sub invoice — to a standard budget category so it can be tracked and compared across jobs.Job costingJob costing is tracking actual labor, material, and overhead costs against the estimate for a specific project in real time, so you know whether it's making or losing money before it closes out.Lien waiverA lien waiver is a document a contractor or supplier signs giving up their right to file a mechanics lien for a specific payment — conditional ones take effect once the check clears, unconditional ones take effect on signing.Mechanics lienA mechanics lien is a legal claim a contractor, sub, or supplier files against a property to secure payment for unpaid labor or materials — it can block a sale or refinance until resolved.Over-billing / under-billingOver-billing means a contractor has invoiced more than the work actually completed justifies; under-billing means completed work sits unbilled — both distort a company's real cash and profit position.Pay application (pay app)A pay application (pay app) is the formal monthly billing document a contractor submits requesting payment for work completed to date, measured against the schedule of values.Preliminary noticeA preliminary notice is an early, often mandatory filing that tells a property owner a contractor or supplier is working on the project and preserves their right to file a mechanics lien if unpaid.Punch listA punch list is the itemized list of unfinished or deficient items identified near project completion that must be corrected before final payment and closeout.Quantity takeoffA quantity takeoff is the measured count of materials and labor units required by a set of plans — the raw quantities an estimate gets built from.RetainageRetainage is a percentage — typically 5–10% — of each progress payment withheld by the owner or GC until the project, or a milestone, is substantially complete.RFI (Request for Information)A request for information (RFI) is a formal question sent from the field or estimating team to the architect or engineer to resolve an ambiguity or conflict in the plans.Schedule of values (SOV)A schedule of values (SOV) is the cost breakdown of a contract by line item — the basis every progress payment is measured against, showing percent complete per item.Scope gapA scope gap is work required to complete a project that no bidder priced — missed because it wasn't called out in the plans, specs, or any sub's bid.Scope of work (SOW)A scope of work (SOW) is the written description of exactly what a subcontractor is responsible for on a project — the boundary line everything else, including disputes, gets measured against.SubmittalA submittal is a shop drawing, product data sheet, or sample a contractor sends the architect or engineer for approval before fabricating or installing a specified item.T&M ticketA T&M ticket (or daily ticket) is the field record of hours worked and materials used on a time-and-materials task, signed by the client or GC's representative on-site the same day.Time and materials (T&M)Time-and-materials (T&M) is a billing method where a contractor charges for actual labor hours and material cost plus markup, instead of a fixed price agreed in advance.WIP reportA work-in-progress (WIP) report compares billed-to-date against earned revenue on every active job, surfacing over- or under-billing before it distorts a company's cash position.