Payment certification: Schedule of Values, G702/G703, and the architect's role

One-line orientation

The contractor’s monthly pay application — built on a Schedule of Values and submitted on G702/G703 — triggers the architect’s certification role, and the standard of that certification (a representation, not a guarantee) is a heavily tested boundary.

Key points

• Schedule of Values: The contractor subdivides the contract sum into line items corresponding to work scopes (e.g., concrete, framing, mechanical rough-in). Submitted early in construction and approved by the architect. All subsequent pay applications draw from it.
• Application for Payment (G702/G703): Each payment period, the contractor submits a pay application stating the percentage of each line item completed and the dollar amount earned. G703 is the continuation sheet showing the line-by-line breakdown; G702 is the summary and certification page. The contractor certifies that the work represented is accurate.
• Architect’s review and certification: The architect reviews the application against site observations and issues a Certificate for Payment on G702 for the amount certified. The standard of care language: certification is made “to the best of the architect’s knowledge, information, and belief” — it is a representation, not a guarantee that work is defect-free or fully in conformance.
• Retainage: A percentage withheld from each progress payment to provide the owner leverage for completion. It is commonly around 10% in practice, but AIA forms track the retainage selected by the parties rather than imposing a universal default. The contract and applicable law control when retainage is reduced or released; do not assume Substantial Completion automatically releases it.
• Current AIA form years: G702 and G703 remain listed by AIA as 1992 forms.

Confusions / comparison

	Schedule of Values	Application for Payment	Certificate for Payment
What it is	Breakdown of contract sum into line items	Contractor’s monthly request for payment based on percentage complete	Architect’s written certification of amount due
Who produces it	Contractor (approved by architect)	Contractor	Architect (signed on G702)
Timing	Submitted at construction start	Submitted each payment period	Issued after architect reviews pay app
AIA form	Part of G703	G702 + G703	G702 (architect’s signature block)
Standard	N/A	Contractor certifies accuracy	Architect certifies “to knowledge, information, and belief” — representation only

Related

→ pp-substantial-vs-final-completion (this module): the milestone events that trigger retainage release and final payment · pp-change-order-vs-ccd (this module): how approved change orders update the contract sum tracked on pay applications · pp-architect-site-observation-duties (this module): architect’s site visits that inform the pay application review.