AIA Contract Series · ARE 5.0 Exam Prep · Updated May 2026
AIA G702/G703 explained for ARE 5.0
A plain-language breakdown of the Application for Payment forms — what they are, how they work together, and why they’re heavily tested in CE.
What are AIA G702 and G703?
The AIA G702 — formally titled Application and Certificate for Payment — is the form the contractor uses to request payment from the owner during construction. The AIA G703 — formally titled Continuation Sheet — is the supporting document that breaks down the contractor’s schedule of values line by line, showing what work has been completed and what payment is being requested for each item.
These two forms always work together. G702 is the cover sheet that summarizes the payment request and includes the architect’s certification. G703 is the detailed backup that shows exactly how the contractor arrived at the numbers on G702. The versions commonly referenced for the ARE are the standard AIA G702 and G703 forms (commonly the 1983/1992 editions), which remain consistent in structure and use.
Why G702/G703 appear on CE and PjM
The payment certification process is one of the architect’s most important and most tested responsibilities during construction. Here is how each division connects to it:
CE
Construction & Evaluation
The architect reviews G702/G703 every payment period, certifies the amount due, and issues the certificate of payment. Understanding this process — including retainage, stored materials, and what happens when certification is withheld — is a core CE topic.
PjM
Project Management
Managing cash flow, tracking work completed against the schedule of values, and understanding how payment applications affect project finances are all PjM competencies tied directly to G702/G703.
How G702 and G703 work together
G702
Application and Certificate for Payment — the cover sheet
G702 summarizes the entire payment request in one place. It shows the original contract sum, approved change orders to date, the adjusted contract sum, the total work completed, retainage withheld, previous payments made, and the current amount due. The architect signs G702 to certify, to the best of their knowledge, information, and belief, that the amount is properly due based on observed progress and the Contract Documents. This certification is then sent to the owner, who is required to pay within the time specified in A101.
G703
Continuation Sheet — the schedule of values breakdown
G703 lists every line item from the contractor’s schedule of values — foundations, framing, mechanical, electrical, and so on. For each line item it shows the scheduled value, work completed in previous periods, work completed this period, materials stored on site, the percentage complete, and the balance to finish. The schedule of values shown in G703 must be submitted by the contractor and approved by the architect before it is used for payment applications (A201 §9.2). The totals on G703 feed directly into G702.
Key concepts to know for the exam
Retainage
What is withheld from each payment
Retainage is a percentage withheld from each progress payment as security for the owner. It is shown on both G702 and G703 and accumulates throughout construction. Retainage is often reduced or released at substantial completion, depending on the terms of the agreement. The exact retainage percentage, if any, is set in A101.
Stored materials
Materials on site but not yet installed
G703 allows the contractor to include the value of materials stored on site — materials that have been delivered and paid for but not yet incorporated into the work. These are listed separately and can be included in the payment request, provided they are properly stored, protected, and insured.
Architect’s certification
What the architect is — and is not — certifying
When the architect signs G702, they are certifying to the best of their knowledge, information, and belief that the work has progressed to the point shown and the amount certified is properly due. The architect is not guaranteeing that the contractor has paid subcontractors, that the work is free of defects, or that the contractor’s accounting is accurate. This is a critical distinction tested frequently on the ARE.
Withholding certification
When the architect can refuse to certify
Under A201 Article 9.5, the architect may withhold certification — or reduce a previously issued certificate — for specific reasons including defective work not remedied, third-party claims, failure to pay subcontractors, damage to the owner, or reasonable evidence the work cannot be completed for the remaining contract sum. The architect must notify both the owner and contractor in writing.
7-day rule
The architect’s certification deadline
Under A201 Article 9.4, the architect must act on a payment application within 7 days of receipt — either certifying the full amount, certifying a reduced amount, or withholding certification with written explanation. This 7-day deadline is one of the most frequently tested time limits on the ARE.
The payment cycle step by step
Step 1
Contractor submits G702/G703
At the agreed payment interval — typically monthly — the contractor completes G702 and G703 and submits them to the architect.
Step 2
Architect reviews within 7 days
The architect reviews the application against observed progress, the schedule of values, and any stored materials. The architect may visit the site to verify quantities.
Step 3
Architect certifies the amount
The architect signs G702, certifying to the best of their knowledge, information, and belief that the amount due is properly owed. If the architect disagrees with the contractor’s request, they may certify a lesser amount and must notify the contractor in writing with the reason.
Step 4
Owner pays within the time required
The owner is required to pay the certified amount within the time specified in A101 — typically within a set number of days after the architect issues the certificate. Failure to pay on time gives the contractor the right to stop work after giving 7 days written notice.
Payment certification flow
This is the sequence ARE questions test most. Know who acts at each step and what document controls it.
Common exam traps
- The architect certifies payment — the owner pays. These are two separate acts by two separate parties.
- The architect certifies to the best of their knowledge, information, and belief — not as a guarantee of work quality, subcontractor payments, or accounting accuracy.
- Retainage is often reduced or released at substantial completion, depending on the terms of the agreement — not automatically, and not always at final completion.
- The schedule of values must be submitted by the contractor and approved by the architect before it can be used for payment applications (A201 §9.2).
- The 7-day deadline runs from when the architect receives the application — not from when the owner receives it.
- Stored materials can be included in a payment application if they are properly stored, protected, and insured.
- The architect can certify a lesser amount than requested — but must notify the contractor in writing with the reason.
Exam tip
When an ARE question involves a payment dispute, identify who is acting and what document controls. G702/G703 governs the application and certification process. A201 Article 9 governs the rules — including the 7-day deadline, grounds for withholding, and the owner’s obligation to pay. A101 sets the payment intervals and retainage percentage. Questions that mix these up are among the most common traps in CE.
How G702/G703 relate to other AIA documents
G702 and G703 are the forms that execute what A201 Article 9 describes. A201 establishes the rules — who submits, who certifies, who pays, and what happens when payment is withheld. G702/G703 are the actual forms used to carry out that process. A101 sets the contract sum, retainage percentage, and payment schedule that G702 tracks over the life of the project. Together these documents create a complete and auditable payment record from the first progress payment through final completion.