It is critical that owners and developers of real property (Owners) manage their projects from inception with an eye toward quality assurance and quality control. The following tips should help Owners avoid turning their project into the latest example of how NOT to build a tower:
- Keep contemporaneous records
Once all the contracts are signed and the work begins, the Contractor should keep contemporaneous records of how the work is progressing. The Owner should monitor the Contractor’s progress while the work is underway. To do so, the Owner should regularly request and review the Contractor’s daily reports, logs, and records (including submittal logs, requests for information, buyout logs, etc.).
- Regularly visit the site and participate in onsite meetings
The Owner, Architect, and Contractor should have regular meetings (OAC Meetings) at the project site to discuss what is happening with the work. The Owner should regularly attend and participate in the OAC Meetings, which means arriving with a prepared agenda for each meeting, documenting issues that are raised during the meeting, addressing any problem areas, and recording and/or correcting minutes from the OAC Meetings. On top of attending OAC Meetings, the Owner should also regularly visit the project site to document the progress and quality of the work as it is being performed. Take pictures of what is happening (or not happening) on site and even check video footage (if applicable) of the work being performed.
- Pay attention to Applications for Payment
It is critical that an Owner closely review the Contractor’s Applications for Payment. This review should include closely tracking the percentage of the work that the Contractor claims to have completed and checking that percentage against similar reports from the architect and any lender’s inspector. Before issuing payment, the Owner must confirm that the Contractor has complied with all the necessary conditions for payment, like providing appropriate lien waivers.
By establishing an efficient quality control process from the outset, Owners can identify issues as the project progresses and hopefully avoid becoming the next monument to a job poorly done.
