SECTION 371.88. Release of Retainage

(a) Retainage. The Applicant will withhold a minimum of five percent of each progress payment throughout the course of the construction contract.

(b) Full release of retainage. The executive administrator will approve the full release of retainage on a contract when:

(1) the Applicant's engineer approves the contractor's request for release of retainage; and

(2) the Applicant's governing body approves the release of retainage; and

(3) the executive administrator issues the Certificate of Approval.

(c) Partial release of retainage. If the executive administrator determines that a project is substantially complete, the executive administrator may approve a partial release of retainage.

Source Note: The provisions of this §371.88 adopted to be effective June 10, 2020, 45 TexReg 3863