As part of loan disbursement management, DRB Associates performs monthly (or bi-weekly) construction progress inspections to verify the percent of work actually completed to date vs. the percent complete as indicated on each line of the Contractor’s payment application.

The Contractor prepares his payment application each month and provides a copy to DRB Associates. We verify and document the status of the project by photographing and/or videotaping each progress inspection and produce a report based on our findings. This report itemizes our construction observations, including materials stored on site, quality of work, machinery and equipment on site, status of building permit inspections, and pending or approved changes.

DRB Associates provides information regarding pending or approved changes in this report to the extent this information is provided by the Contractor. We document major changes to the plans and discuss these changes with the Contractor to determine potential cost impact. Contractors are responsible for providing a copy of each change order to DRB Associates, which is then forwarded to the lender for loan approval purposes.

We verify that for each of the amounts requested, there is an accompanying voucher, invoice and/or lien release. It is the Contractor’s responsibility to collect the vouchers, invoices and lien releases and provide them to DRB Associates for review. For expenditures where it is not possible for the Contractor to provide a lien release (e.g., permits, bonds, temporary sanitation, dumpster, etc.), Sage Capital will accept a voucher and invoice only. Upon verification of current progress, receipt of voucher, invoice and lien releases, we will then notify the Lender electronically and forward the documentation to the Lender along with our inspection report.