Valuations Process In Constuction Projects

Quantity Surveyors can provide a full valuations solution for all our clients.

The services which we provide our clients with includes;

Interim Valuations For Main Contractors & Sub-Contractor;

1. Preparation & submission of interim valuations / progress applications and following up in order to agree payments
2. Valuing and agreeing contract variations in accordance with the terms of the contracts
3. Remeasuring work on-site

Interim Valuations For Private & Public Clients;
1. Interim valuations and checking the contractors progress applications
2. Payment recommendation
3. Identification and pricing of contract variations and advising of cost implication

Preparing Interim Valuations & Certificates

Monthly valuations of work-in-progress are carried out in order to make stage payments to the contractor. This includes the physical measurement of the work on the site and materials delivered. The valuation for interim certificates should be made as accurately as is reasonably possible, and the contractor is entitled under the terms of the contract to the full value of work executed on site, less a specified retention sum.
One of the main functions of the contractor's quantity surveyor is to ensure timely and full payment for work carried out on site. For most contractors interim valuations and certificates form their only source of income, from which they fund the whole of their building operation. In general, building contracts provide within their conditions regular and timely payments to the contractors
Interim Valuations are prepared by the Quantity Surveyor whenever the architect considers them to be necessary for the purpose of ascertaining the amount to be stated as due in an interim certificate. The architect is contractually bound to issue interim certificates at the period stated within the conditions of contract.

T he quantity surveyor will assess the value of any variations and extras and these costs will be included in interim valuations. The valuation of variations involves the omission of work originally included in the bill of quantities and the addition of work as executed in its place. Each variation is considered separately and their net values carried forward to a general summary. The total value of omissions and the total value of additions are computed to arrive at a net balance which is added to or deducted from the interim valuation. Nominated subcontractors and suppliers accounts are also included in interim valuations as and when the work has been executed on-site or materials supplied.

The elements to be included within an interim certificate can therefore be summarized as;

1. Preliminaries
2. Measured works
3. Valuation of architect's instructions or variation
4. Remeasurement of provisional items, prime cost (PC) sums and provisional quantities
5. Valuation of nominated subcontractors and suppliers
6. Unfixed materials on site and, where allowable, materials off-site
7. Fluctuations, where they are allowed within the contract provisions

Despite the obligations on the architect and the quantity surveyor to produce both interim certificates and valuations, interim valuations are generally carried out together, i.e. between quantity surveyors, so that agreement can be reached between parties before certification.