Sec. 30-50. Mobilization payments.

158 words·~1 min read·/il/chapter-30/act-500/30-50

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(a)As used in this Section, "mobilization payment" means an advance payment for the preparatory work and operations necessary for the movement of personnel, equipment, supplies, and incidentals to a project site and for all other work or operations that must be performed or costs incurred when beginning work on a project.

(b)When a contract under this Code entered into by the Department of Transportation provides for mobilization payments and the contractor is using the services of a subcontractor, the subcontract shall include terms requiring mobilization payments be made to the subcontractor.

Mobilization payments to a subcontractor shall be made on a tiered system based on the initial value of the subcontract:

Subcontract value Mobilization percentage

Less than $10,000 25%

$10,000-$19,999 20%

$20,000-$39,999 18%

$40,000-$59,999 16%

$60,000-$79,999 14%

$80,000-$99,999 12%

$100,000-$249,999 10%

$250,000-$499,999 9%

$500,000-$750,000 8%

Over $750,000 7%

(c)This Section only applies to contracts entered into by the Department of Transportation.