Section 532.904 - Determining payment due datesPayment due dates for construction contracts are addressed at FAR 32.904(d). The following procedures apply to construction and building service contracts:
(a) The amount of final payment must include, as appropriate, deductions to cover any of the following:(1) Liquidated damages for late completion.(2) Liquidated damages for labor violations.(3) Amounts withheld for improper payment of labor wages.(4) The amount of unilateral change orders covering defects and omissions.(5) The agreed-upon dollar amount in a Deficiency Report, which is included in all applicable Operation and Maintenance (O&M) service contracts.(b) An official one level above the contracting officer shall approve justifications exercising the authority prescribed by FAR 32.904(d)(1)(i)(B). The time needed should be determined on a case-by-case basis, but the specified constructive acceptance period shall not exceed 30 days. 74 FR 54917 , Oct. 26, 2009, as amended at 86 FR 55520 , Oct. 6, 2021