Construction payment management system and method with budget reconciliation features

A construction payment management system comprising:

• a processor;
• and
• a computer readable memory storing instructions that, when executed by the processor, cause the construction payment management system to
• generate a primary budget for a construction project based on inputs received from a first participant, the primary budget including a plurality of primary budget line items, wherein the first participant is able to make changes to primary budget,
• assign a first primary budget line item of the plurality of primary budget line items to a second participant of the construction project, the first primary budget line item including a budget amount,
• generate a secondary budget for the first primary budget line item based on inputs received from the second participant, the secondary budget including a plurality of secondary budget line items each including a budget amount, and wherein the second participant is able to make changes to the secondary budget, and
• administer a draw that includes a payment to the second participant for an invoiced amount corresponding to one or more secondary budget line items of the secondary budget only when the total sum of the budget amounts for the secondary budget line items of the secondary budget is consistent with the budget amount of the first primary budget line item.

A computer-implemented method of managing a construction project payment process, the method comprising the acts of:

• electronically generating a primary budget for a construction project based on inputs received from a first participant, the primary budget including a plurality of primary budget line items, wherein the first participant is able to make changes to the primary budget;
• electronically assigning a first primary budget line item of the plurality of primary budget line items to a second participant of the construction project, the first primary budget line item including a budget amount;
• electronically assigning a second primary budget line item of the plurality of primary budget line items to a third participant of the construction project, the second primary budget line item including a budget amount;
• electronically assigning a third primary budget line item of the plurality of primary budget line items to the third participant, the third primary budget line item including a budget amount;
• electronically generating a first secondary budget for the first primary budget line item based on inputs received from the second participant, the first secondary budget including a plurality of secondary budget line items each including a budget amount, and wherein the second participant is able to make changes to the first secondary budget;
• electronically generating a second secondary budget for the second primary budget line item based on inputs received from the third participant, the second secondary budget including a plurality of secondary budget line items each including a budget amount, and wherein the third participant is able to make changes to the second secondary budget;
• electronically generating a third secondary budget for the third primary budget line item based on inputs received from the third participant, the third secondary budget including a plurality of secondary budget line items each including a budget amount, and wherein the third participant is able to make changes to the third secondary budget;
• generating a first invoice requesting a payment to the second participant for an invoice amount corresponding to one or more of the first secondary budget line items only when the total sum of the budget amounts for the first secondary budget line items is less than or equal to the budget amount of the first primary budget line item;
• and
• generating a second invoice requesting a payment to the third participant for an invoice amount corresponding to one or more of the second secondary budget line items only when
• the total sum of the budget amounts for the second secondary budget line items is less than or equal to the budget amount of the second primary budget line item and
• the total sum of the budget amounts for the third secondary budget line items is less than or equal to the budget amount of the third primary budget line item.