PROJECT COMPLETION - 6832

(Revised and Renumbered from 6856.)

Project Occupancy:  Finance must be notified by DGS (or exempt department) when the project is legally available for use and occupancy (e.g. the date of final inspection, receipt of a certificate of occupancy from the State Fire Marshal, etc.). A copy of the document indicating the project is legally availability for occupancy must be sent to Finance.  For lease revenue bond-funded projects, the project’s availability for use and occupancy is necessary before rent can be charged under the PWB lease which secures the debt service payment for the bonds issued for the project. PWB typically uses the certificate of occupancy date as the date the project is legally available.  

Project Completion:  When the project has been accepted and completed by both the contractor and DGS (or exempt department) and claims have been settled, DGS (or exempt department) prepares a “Notice of Completion” pursuant to Section 9204 of the Civil Code.  A copy of this notice is sent to Finance and for lease-revenue bond-funded projects a copy is also sent to the STO.

Project Close Out: “Project close out” reflects the closing of the financial records related to a project.  PWB requires a closeout certification form indicating all invoices have been paid and no additional invoices will be submitted.

Return of Funds Transfer:  Government Code, Section 14959 requires DGS to transfer any unencumbered project funds out of the Architectural Revolving Fund (ARF) to the originating appropriation within three months of project completion.  A Return of Funds Transfer form (AFS-59) is used to shift funds from ARF to the fund of origin.