Construction planning and performing development.

CFR · 2024-01-01 · US · Title 7

The Lender and Borrower must comply with paragraphs (a) through (i) of this section. The Lender may contract for services and may rely on certain written materials and other reports to be provided by an independent engineer and other qualified third parties. (a) (b) (2) The Lender must ensure an onsite Project inspector or independent engineer monitors the Project. (3) The Lender must monitor the Project to confirm that the Project will be completed with available funds and, once completed, will be used for its intended purpose and produce products in the quality and quantity proposed in the completed application approved by the Agency. Once construction is completed, the Lender must provide the Agency with a copy of the notice of completion. (4) Prior to the disbursement of construction funds, the Lender shall: (i) Have on file the major drawings issued for construction and major equipment specifications issued for procurement; (ii) Have a detailed timetable for the Project with a corresponding budget of costs, setting forth the parties responsible for payment; (iii) Ensure that the independent engineer confirms that the budget is adequate for the Project; (iv) Require the Borrower to have a firm fixed-price engineering, procurement and construction (EPC) contract in place which includes performance guarantees customary and reasonable for a project of this nature or engineering, construction, and procurement contracts in place with vendors and construction contractors for th

official document · source cfr-2024 · id 7:§ 4279.256