If a payment requisition includes a new item for an unapproved change order, what should the CM do?

If a payment requisition includes a new item for an unapproved change order, what should the CM do?

• A. Approve the full requisition
• B. Revise pay requisition to deduct value of change order not approved
• C. Delay payment until approval
• D. Request more information

Answer: (B)

When a payment requisition includes a new item tied to an unapproved change order, the CM must ensure payment matches what the contract allows at this point. The best action is to revise the requisition to deduct the value of the unapproved change order item, paying only for work and items that have current approval. This keeps cash flowing for already authorized work while preventing payment for changes that haven’t received formal approval, which protects both the owner and contractor from unapproved scope and cost. In practice, this means reviewing the requisition, identifying the line item associated with the unapproved change, and removing its value from the amount requested. Update the schedule of values or cost breakdown accordingly and submit the revised requisition for payment for the approved items. If the change order status is unclear, you may need to request necessary information to move forward, but the standard approach is to deduct the unapproved portion so you’re not paying for work that isn’t authorized. Approving the full requisition would bypass change-order controls, and delaying payment entirely isn’t necessary for the portion that is already authorized.

When a payment requisition includes a new item tied to an unapproved change order, the CM must ensure payment matches what the contract allows at this point. The best action is to revise the requisition to deduct the value of the unapproved change order item, paying only for work and items that have current approval. This keeps cash flowing for already authorized work while preventing payment for changes that haven’t received formal approval, which protects both the owner and contractor from unapproved scope and cost.

In practice, this means reviewing the requisition, identifying the line item associated with the unapproved change, and removing its value from the amount requested. Update the schedule of values or cost breakdown accordingly and submit the revised requisition for payment for the approved items. If the change order status is unclear, you may need to request necessary information to move forward, but the standard approach is to deduct the unapproved portion so you’re not paying for work that isn’t authorized. Approving the full requisition would bypass change-order controls, and delaying payment entirely isn’t necessary for the portion that is already authorized.