SECTION 202 AND SECTION 811- DEVELOPMENT TEAM REFERENCE GUIDE
For Project Development and Operations
Richard Silverblatt Associates, Inc.
This section reviews the procedure for completing Form HUD-92448 ("2448"), Contractor's Requisition,
The 2448 serves as the requisition form for the general contractor for work completed to date, pursuant to the
HUD-approved contract between the general contractor and the owner corporation.
At the time of the Firm Commitment, HUD approved the Contractor's and/or Mortgagor's Cost Breakdown,
Form HUD-2328, which listed all of the construction costs, itemized by trade. This document was also made
a part of the agreement between the general contractor and the owner. Therefore, it is the basis of the
contractor's requisitions for progress payments.
At the start of construction, the general contractor fills in Column A of the 2448 with the costs by trade, plus
general requirements, overhead and profit, exactly as stated in the Form HUD-2328 that had been approved
by HUD. For each submitted requisition, the general contractor fills in under Column B the work completed
to date for each trade item, expressed as a dollar value and percentage of completion. Column C is reserved
ONLY for the HUD inspector to modify the amounts claimed in Column B. The contractor should attach to
each requisition a graphic progress schedule (click to see sample) showing, over the construction period, the
percent of scheduled work and actually completed work.
On each requisition, as an attachment to Column B, the general contractor can also include a detailed table
of values indicating the dollar value of completed work for subcategories of each trade.
Calculating an Amount for General Requirements, Overhead and Profit
Although the dollar value requested for a trade item reflects the actual percent of work completed, the
amounts requested for general requirements, overhead and profit are to be calculated differently. Instead of
supplying the actual costs of general requirements, overhead and profit for a specific requisition, you use the
percentage of completion for the total of all the trade items to calculate the dollar value of each of these line
items, as shown below:
the total value of work for all the trades completed to date (Column B) divided by
the total value of the trades in the contract (Column A) = Percentage of Completion
You then multiply the Percentage of Completion by the amount budgeted for general requirements, overhead
Reduction of Retainage
On page 2, the general contractor will subtract an amount for retainage, as per HUD guidelines.
On page 2 of the 2448 is the Contractor's Prevailing Wage Certificate. If prevailing wages under Davis-Bacon
are applicable to the project, then this must be completed for each requisition. Prevailing wages applies to a
Section 202 project and to Section 811 (if an independent living project) that has 12 or more units, and to a
Section 811 project with 12 or more group homes.
What Not to Include on the 2448 Form
A contractor's requisition for approved change orders is submitted on a different HUD form, Form HUD-92437,
Request for Construction Changes on Project Mortgages, so change orders should not be reflected on the
The amount for bond premium and any fee for cost certification, in the case of a Cost Plus Contract, is not to
be included on the 2448. The invoice for a bond premium is submitted separately as a line item on the
Sponsor's Requisition. The fee for cost certification is submitted at the conclusion of construction as an
attachment to the contractor's final request for payment.
HUD Processing of the General Contractor's Requisition
The owner will include the 2448 as an attachment to its requisition to HUD. The amount that HUD will
approve for the general contractor will be the amount requested in Column B on page 2 as adjusted by HUD
in Column C. However, if the total in Column B is lower than the total reflecting the HUD inspector's notes in
Column C, HUD will only approve the lower amount requested by the contractor in Column B.
Preparation of the General Contractor's Requisition