Under what condition can payments be withheld by the City?

The justification for why payments can be withheld by the City when the work is deemed unsatisfactory is based on the principle of ensuring quality and compliance with contractual obligations. When a contract is established, it often includes specific performance standards and requirements that the Contractor must meet. If the work does not satisfy these standards, it indicates that the Contractor has not fulfilled the terms of the agreement. Therefore, withholding payment serves as a mechanism to protect the interests of the City and to encourage the Contractor to address and rectify the shortcomings in their work before any further financial transaction occurs.

This approach is rooted in the notion that payment should correspond with the level of work quality delivered. The City has a vested interest in ensuring that funds are allocated towards projects that meet the established criteria and standards, thereby preserving public resources and maintaining project integrity.