PROJECT COMPLETION - 6856

Project Occupancy: Finance must be notified by the department when the project is ready for occupancy (the date of final inspection, beneficial use or occupancy of the project, whichever is earliest). A copy of the Certificate of Occupancy must be sent to Finance. For lease--revenue funded projects, this is typically the date when insurance must be in place and triggers when lease payments begin.

1. Information requirements related to notification of project occupancy:
   1. The standard fiscal reporting requirements described in Section 6845; and
   2.  A copy of the “Certificate of Occupancy”

Modifications after occupancy: If the department has determined that there are modifications necessary to complete the project after occupancy, and savings are available or an augmentation can be justified, the department may submit an item to the PWB for either a “cost increase within appropriation” or an augmentation (Section 6861). The PWB item should include a list of proposed modifications to be completed under the existing contract and, for each modification, a justification narrative including cost estimates and scheduled completion date.

Project Completion: When the contract has been accepted and completed by both the contractor and DGS (or exempt department) and claims have been settled, the DGS (or exempt department) prepares a “Notice of Completion” pursuant to Section 3093 of the Civil Code.  A copy of this notice is sent to Finance and for lease-revenue funded projects a copy is also sent to the STO. This notification must be prepared within 1 year of the date of occupancy as described in the preceding text. Extensions to the deadline (i.e. for scheduled completion of approved “modifications after occupancy”) must be approved by Finance.

1. Information requirements related to notification of completion:
   1. The standard fiscal reporting requirements described in Section 6845; and
   2.  A copy of the “Notice of Completion.”