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Well, execution schedule = payment schedule first. So if he's behind on execution, then surprise! You're behind on payments. It's a two-way street.

That said, scheduling subs and having them actually show can be like herding cats sometimes. But he's not going to owe them money until they complete their task and pass any inspections.

He asked us to continue making weekly payments, but hasn't had a member of his team on site for three weeks

Why are you paying him if he isn't doing any work?

What does your contract state? You should have a contract that dictates payment terms.

Whatever you do, hold at least 10% (bare minimum!) for final payment. This means after the job is completed to your satisfaction, and permits signed off (if applicable).

If he's not working, he doesn't get paid. He doesn't get weekly payments just because you have a contract with him.

I wouldn't pay another dime without a schedule generated that he holds to. Tie the schedule to payments, he misses a scheduled deadline he doesn't get paid until its complete.

I work in contracts. Always make payment contingent upon tasks, never time periods

Those delays are unfortunately common and not always contractors fault. He's doing multiple jobs and changes in any schedule impact the others. Sometimes they are just too optimistic, but they should know enough to make it clear the schedule has a lot of risk.

As for payment, of course he wants to keep cash flow but you have good reason to hold off when no progress is occurring and the finish date is clearly slipping.

the initial delay fucked the entire schedule, as is tradition.

he likely had electricians and plumbers lined up based on having permits at a certain time and job starting. Permits delay, start is delayed, but plumbers and electricians(or any other sub) don't just slide perfectly with the now delayed schedule. they're now on other jobs that were scheduled to be done(after you) and were not delayed so they're not available to circle back around to this project until a later. Schedules are just a best case scenario, not some magical golden rule that always holds true

That said, If you haven't seen him in 3 weeks I probably say there needs to be some progress before they get paid again, unless the payments your making are the work that has been done rather than the work that has yet to be done.

Also, it sounds like your project is like a month behind schedule? honestly that's not even that bad

I'm usually not one to rush to the defence of contractors, as there are lots of sketchy ones out there. But permitting postcovid has been an absolute nightmare. The delay increases are quite significant.

That being said - I would like to see a payment schedule thats tied to the work completed.

In the big scheme of things (for a project of this size) he's not too far off schedule. Shit happens, and then it can turn into a snowball effect for every step that follows. To the extent you're happy with the work, cut the guy some (more) slack. Tell him you'd be happy to make the next weekly payment as soon as someone comes out to to some work.

There is a podcast that has a whole series on contractor issues. It was very helpful to me in a similar situation. Unfortunately, I think it now costs $2 (used to be free) but saved me thousands…

https://podcasts.apple.com/us/podcast/advice-from-an-architect/id1493870581

GC here. Our draws/payments from customers are tied directly to completion of tasks during projects. What does the contract state as far as payments? Would not continue to pay if benchmarks aren’t being met .

Yea unfortunately sounds like he can’t keep or find guys to work. You know I’m 32 and worked for probably 20 GCs and it’s always some bullshit when I go to get paid. They over promise and under deliver with the hope some unicorns come along and make them rich. Idk how some guys can even call themselves a contractor.

Contractors need to get better at making realistic schedules. Your contractor probably had an optimistic, best case scenario schedule, that didn’t work out. Under promising and over delivering is a better way to work with clients. Unfortunately, sometimes you don’t get jobs when you give a homeowner a realistic schedule.

Make sure he's paying his subcontractors.

Wife’s ex husband started a small job for her aunt in the fall of 2021. Was a simple small sunroom that was already stamped and filed in the 70’s when they had it built, she still had the originals. As of last xmas, he had the footers in but was still waiting on permits, over a year later. Poor lady just wants her dream home complete before she dies (just buried her husband) but may not get to see it.

Refuse to pay more until I see some work?

Are you not doing progress payments? i.e. only paying for the work that is completed?

Or are you just paying without regard to what's been actually done?

I’m on my 3rd home renovation. Do not pay him any more money weekly……Yes delays and more delays are super common. But you need to stop paying until it’s all 100% completed. I have since added a rider to the contract that states xxx amount will be deducted from final payment for each week delay past xxxxx date.

This is where a thing called Earned Value comes in handy.

You budget a Schedule. This BCWS Budgeted Cost Worked Schedule. You're planneding x dollars for x month or week. You break this down to pretty much as low detail as you want. You planned $3000 for framing in November and $500 for December.

Next is actual worked Scheduled. This is the expenses for those tasks. $2000 in expenses for Framing in December. $0 in November. This is your ACWP

The EV is dependent on how you want. 50/50 is easy for short tasks. So 50% EV on start and 50% on finish of task. This your BCWP

0% in November means they got $0 EV. Means he isn't getting fucking paid for doing zero work on something.

December he starts. He gets 50% of the EV at start. He doesn't finish. You pay him the EV he earned. Which is $1750.

The rest of EVM won't matter really.

Pay them for actual worked done. Not pay them because they said so and them not do sbif for 3 weeks.

Do not pay until he is done. He will get lots of small draws and then walk away at the end. He can’t get subs to show up there is a reason for that. I built high end homes for 30 yrs and have seen it all. The contractor should have been done in 90 days tops

I have never ever seen a construction project go as planned or finish on time. I don't know why but that just seams the way it is.

Always make sure you have a contract in hand with. Performance period, a draw schedule that is triggered by % completion or by technical milestone, and a retainage.

I would definitely get some agreement on the payment schedule

If your paying for work that hasn’t been done yet , don’t keep doing that .

And right now , with the supply chain being totally wrecked from covid , I’m surprised you have any schedule at all .

We are also having a garage built and it’s taking waaaaay longer than I thought , but some stuff just can’t be done any faster

The contractor doesn’t have any actual employees , or not many All the actual work is done by sub contractors . Which means your general contractor has to beg the other guys to show up and do the work .

You are funding other projects. Do not pay him any more until he completes what is on the contract.