ACCELERATED PAYMENT SYSTEM FOR CONSTRUCTION PROJECTS

• US 20150006393A1
• Filed: 06/27/2014
• Published: 01/01/2015
• Est. Priority Date: 06/27/2013
• Status: Abandoned Application

• Current Assignee: Textura LLC (Oracle Corporation)
• Original Assignee: Textura LLC (Oracle Corporation)
• Inventors: Allin, Patrick J., Smith, John W., Turrinelli, Franco
• Application Number:
  US14/317,914
• Publication Number:
  US 20150006393A1
• Time in Patent Office: Days
• US Class Current: 705/44
• CPC Class Codes: G06Q 10/10 Office automation; Time management
• CPC Class Codes: G06Q 20/14 specially adapted for billing systems
• CPC Class Codes: G06Q 20/42 Confirmation, e.g. check or permission by the legal debtor of payment
• CPC Class Codes: G06Q 30/04 Billing or invoicing

Abstract

Systems and methods are provided for processing accelerated payments, associated with a construction project, that are funded through a third-party funding source. The server is configured to receive, from a first participant associated with the construction project, a request for a payment for services or materials provided in connection with the construction project, the request for payment including a requested payment amount. The server also receives an approval of the request for payment based on a review of a first project metric. An accelerated payment instruction is then transmitted to the third-party funding source and a second project metric is made available to the funding source to aid their review of whether to approve funding. A funding approval is then received from the third-party funding source confirming that an accelerated payment for the requested payment amount will be funded by the third-party funding source.

Claims

1. A construction project funding system comprising a networked computer server for processing accelerated payments, associated with a construction project, that are funded through a third-party funding source, the server configured to:

receive, from a first participant associated with the construction project, a request for a payment for services or materials provided in connection with the construction project, the request for payment including a requested payment amount;

receive an approval of the request for payment based on a review of a first project metric;

transmit an accelerated payment instruction to the third-party funding source;

make available a second project metric to the third-party funding source; and

receive a funding approval from the third-party funding source confirming that an accelerated payment for the requested payment amount will be funded by the third-party funding source.

2. The construction project funding system of claim 1, wherein the server is configured such that the approval of the request for payment is performed by a second participant.

3. The construction project funding system of claim 2, wherein the first participant is a sub-contractor or materials supplier for the construction project, and wherein the second participant is the general contractor on the construction project.

4. The construction project funding system of claim 2, wherein the first project metric is automatically generated by the construction payment management system.

5. The construction project funding system of claim 4, wherein the first project metric includes whether the first participant is in contractual compliance with respect to the project.

6. The construction project funding system of claim 4, wherein the first project metric includes whether the first participant is the correct entity to receive payment in response to the request for payment.

7. The construction project funding system of claim 4, wherein the first project metric includes confirmation of whether the materials or services for which payment is being requested have been delivered or completed.

8. The construction project funding system of claim 1, wherein the server is configured such that the approval of the request for payment is performed automatically by the server.

9. The construction project funding system of claim 8, wherein the first project metric includes whether the first participant is in contractual compliance with respect to the project.

10. The construction project funding system of claim 8, wherein the first project metric includes whether the first participant is the correct entity to receive payment in response to the request for payment.

11. The construction project funding system of claim 8, wherein the first project metric includes confirmation of whether the materials or services for which payment is being requested has been delivered or completed.

12. The construction project funding system of claim 1, wherein the server is configured to transmit the first project metric to a party providing approval.

13. The construction project funding system of claim 1, wherein the server is configured to process both accelerated payments and ordinary payments made in the ordinary course of a construction project.

14. The construction project funding system of claim 13, wherein the server is configured to allow a second participant to select to process a request for payment either as an accelerated payment or as an ordinary payment.

15. The construction project funding system of claim 13, wherein the server is configured to automatically select whether to process a request for payment as an accelerated payment or as an ordinary payment based on evaluation of project metrics or first participant data.

16. The construction project funding system of claim 13, wherein the server is configured to allow a selection to process a request for payment as either an accelerated payment or an ordinary payment to be performed in response to each request for payment.

17. The construction project funding system of claim 13, wherein the server is configured to allow a selection to process a request for payment as either an accelerated payment or an ordinary payment to be done for an entire project or contract.

18. The construction project funding system of claim 1, wherein the third-party funding source includes a financial institution, and wherein the approval received from the third-party funding source indicates that a payment obligation has been assumed by a second participant associated with the construction project and that the accelerated payment to the first participant will be repaid to the third-party funding source by the second participant.

19. The construction project funding system of claim 1, wherein the approval received from the third-party funding source establishes an obligation on a second participant associated with the construction project to pay the third-party funding source.

20. The construction project funding system of claim 1, wherein the first project metric and the second project metric are identical.

21. The construction project funding system of claim 1, wherein the approval is performed by a second participant associated with the construction project, and wherein the approval of the request for payment automatically establishes an irrevocable status for the approval of the request for payment that cannot be withdrawn by the second participant.

22. The construction project funding system of claim 1, wherein the server is configured to allow the funding approval from the third-party funding source to be performed for an entire contract.

23. The construction project funding system of claim 1, wherein the server is configured to allow the funding approval from the third-party funding source to be performed for an entire project.

24. The construction project funding system of claim 1, wherein the server is configured to allow the funding approval from the third-party funding source to be performed for each accelerated payment instruction.

25. The construction project funding system of claim 1 wherein the first participant may select the timing of the payment.

26. The construction project funding system of claim 25, wherein the timing of the payment affects the amount of the payment.

27. The construction project funding system of claim 1, wherein the request for payment is a request for an accelerated payment for work performed by the first participant for a second participant and wherein the approval of the request for payment is received from the second participant.

28. The construction project funding system of claim 1, wherein the server is further configured to

store a project budget including a contract amount, a plurality of contract line items, and a plurality of budget line items, each contract line item including a value and each budget line item includes a value, wherein each budget line item is assigned to one contract line item;

determine whether the project budget is hierarchically reconciled, wherein the project budget is hierarchically reconciled when a sum of the values for each contract line item equals the contract amount and a sum of the values of each budget line item assigned to a first contract line item of the plurality of contract line items equals the value of the first contract line item;

allow the first participant to submit the request for payment only when the project budget is hierarchically reconciled.

29. The construction project funding system of claim 28, wherein the server is further configured to automatically generate the request for payment such that the requested payment amount is based only on one or more budget line items included in the project budget and verified as at least partially completed.

30. A construction project funding system comprising a networked computer server for processing accelerated payments associated with a construction project that are funded through a third-party funding source, the server configured to:

receive, from a first participant associated with the construction project, a request for a payment for services or materials provided in connection with the construction project, the request for payment including a requested payment amount; and

receive an approval of the request for payment from a second participant associated with the construction project, wherein the approval is based on a review of a first project metric by the second participant, and wherein the approval by the second participant cannot be revoked by the second participant and creates an obligation that the second participant satisfy the request for payment by providing payment to the third-party funding source.

31. The construction project funding system of claim 30, wherein the first project metric is automatically generated by the construction payment management system.

32. The construction project funding system of claim 30, wherein the first project metric includes whether the first participant is in contractual compliance with respect to the project.

33. The construction project funding system of claim 30, wherein the first project metric includes whether the first participant is the correct entity to receive payment in response to the request for payment.

34. The construction project funding system of claim 30, wherein the first project metric includes confirmation of whether the materials or services for which payment is being requested have been delivered or completed.

35. The construction project funding system of claim 30, wherein the server is configured to transmit the first project metric to the party conducting approval.

36. The construction project funding system of claim 30, wherein the server is configured to process both accelerated payments and ordinary payments made in the ordinary course of a construction project.

37. The construction project funding system of claim 36, wherein the server is configured to allow the second participant to select to process a request for payment either as an accelerated payment or as an ordinary payment.

38. The construction project funding system of claim 36, wherein the server is configured to automatically select whether to process a request for payment as an accelerated payment or as an ordinary payment based on evaluation of project metrics or first participant data.

39. The construction project funding system of claim 36, wherein the server is configured to allow a selection to process a request for payment as either an accelerated payment or an ordinary payment to be performed in response to each request for payment.

40. The construction project funding system of claim 36, wherein the server is configured to allow a selection to process a request for payment as either an accelerated payment or an ordinary payment to be done for an entire project or contract.

41. The construction project funding system of claim 30, wherein the server is further configured to transmit an accelerated payment instruction to the third-party funding source and receive a funding approval from the third-party funding source confirming, based on a review of a second project metric, that an accelerated payment for the requested payment amount will be funded by the third-party funding source.

42. The construction project funding system of claim 41, wherein the funding approval received from the third-party funding source establishes an obligation on a second participant associated with the construction project to pay the third-party funding source.

43. The construction project funding system of claim 41, wherein the first project metric and the second project metric are identical.

44. The construction project funding system of claim 30, wherein the first participant is a sub-contractor or materials supplier for the construction project, and wherein the second participant is the general contractor on the construction project.

45. The construction project funding system of claim 30, wherein the approval of the request for payment is performed by a second participant associated with the construction project, and wherein the approval of the request for payment automatically establishes an irrevocable status for the approval of the request for payment that cannot be withdrawn by the second participant.

46. The construction project funding system of claim 30 wherein the first participant may select the timing of the payment.

47. The construction project funding system of claim 46 wherein the timing of the payment affects the amount of the payment.

48. A computer-based system for managing and facilitating accelerated payments, associated with a construction project, that are funded through a third-party funding source, the system comprising:

means for receiving an approval of a request for a payment, the approval being based on a review of a first project metric;

means for transmitting an accelerated payment instruction to the third-party funding source;

means for making available a second project metric to the third-party funding source; and

means for receiving a funding approval from the third-party funding source confirming that an accelerated payment for a requested payment amount will be funded by the third-party funding source.

49. A construction project funding system for processing accelerated payments associated with a construction project that are funded through a third-party funding source, the system comprising:

means for receiving, from a first participant associated with the construction project, a request for a payment for services or materials provided in connection with the construction project, the request for payment including a requested payment amount; and

means for receiving an approval of the request for payment from a second participant associated with the construction project, wherein the approval is based on a review of a first project metric by the second participant, and wherein the approval by the second participant cannot be revoked by the second participant and creates an obligation that the second participant satisfy the request for payment by providing repayment to the third-party funding source.