Contract Status Report—Key to Evaluating Construction Contractors
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Speaker : DEV STRISCHEK
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When : Tuesday, July 08, 2025
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Time : 01 : 00 PM EST
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A frequent speaker, instructor, advisor and writer on credit risk and commercial banking topics and issues, Dev is principal of Devon Risk Advisory Group and engages in consulting, speaking and training on a wide range of risk, credit, and lending topics. As former SVP and senior credit policy officer at SunTrust Bank, Atlanta, he was responsible for developing, implementing, and administering credit policies for SunTrust's wholesale lines of business--commercial, commercial real estate, corporate investment banking, capital markets, business banking and private wealth management. He also spent three years as managing director and credit approver in SunTrust's Florida commercial lending and corporate investment banking areas, respectively. Prior to SunTrust, Dev was chief credit officer for Barnett Bank's Palm Beach market. Besides stints at other banks in Florida, Kansas City, and Ohio, Dev's experiences outside of banking include CFO of a Honolulu construction company, combat engineer officer in the U.S. Army, and college economics instructor in Hawaii, Missouri, and Florida. A graduate of Ohio State University and the ABA Stonier Graduate School of Banking, he earned his M.B.A. from the University of Hawaii.
Dev serves as an instructor in the Stonier Graduate School of Banking and the American Bankers Association's (ABA) Commercial Lending. He has also taught at the Florida RMA Chapter’s Commercial Lending School, the Southwest Graduate School of Banking, the Wisconsin Banking School, and the Pacific Coast Banking School. His school, conference, and workshop audiences have included participants drawn from the ABA, RMA, OCC, Federal Reserve, FDIC, FFIEC, SBA, the Institute of Management Accountants (IMA) and the AICPA.
Dev has written about credit risk management, financial analysis and related subjects for the Risk Management Association's RMA Journal, and other business professional journals. He is the author of Analyzing Construction Contractors and its related RMA workshop. A past national chair of RMA and former Florida Chapter president, Dev served as a member of the RMA Journal's advisory board as well as on the advisory board of the Atlanta Chapter of the Professional Risk Managers' International Association (PRMIA). He has consulted on business credit policy and credit risk issues with banks in Morocco, Egypt, and Angola through the US State Department's Financial Service Volunteer Corps (FSVC). He also served on the Private Company Council (PCC) of the Financial Accounting Standards Board (FASB); the PCC reviews current and proposed generally accepted principles (GAAP) and recommends revisions that simplify their use for privately held organizations.
The Contract Status Report serves as a powerful tool for ensuring transparency, accountability, and effective communication throughout a construction project:
- Decision-Making: Project managers and stakeholders can make well-informed decisions based on real-time data about the project's contractual aspects, including cash flow available to service debt.
- Early Issue Detection: By highlighting potential risks and issues, the report enables proactive problem-solving before they escalate.
- Client Communication: Transparent reporting keeps clients informed about the project's progress and any changes to the original contract.
- Contractual Compliance: Ensures that all parties involved adhere to the terms and conditions outlined in the contract.
A Contract Status Report is usually sent to all parties involved in the contract including the contracting parties, any third-party vendors, and any other stakeholders who may be affected by the contract.
Areas Covered
- Percentage of completion vs. completed contract accounting
- Contractor status report and key elements in contractor accounting and financial statements
- Progress billings--retention and collateral value
- Jobs in progress vs completed jobs
- Total contract revenue, change orders, % of completion, billings to date
- Revenues earned, cost of revenues, gross profit
- Total estimated costs, costs to date, estimated costs to complete
- Billings, underbillings and overbillings
- Deferred income taxes - Evaluating contractor downside and most likely cash flow for repayment ability based on contract status report
- Useful conditions and covenants in contractor loan underwriting
Who Should Attend
Commercial bankers, commercial real estate lenders, credit analysts, credit department staff, loan underwriters, loan review officers, credit department managers, senior lenders, chief credit officers.
Why Should You Attend
A Contract Status Report outlines the current state of contracts within a construction project. It provides a snapshot of the progress, potential risks, and financial implications of each contract. This report serves as a vital tool for project managers, stakeholders, and team members to assess the health of the project and make informed decisions.
With a few items from the financial statements, you can use the contract status report to calculate a contractor’s cash flow repayment ability.
Topic Background
Lending to construction contractors is risky business, but this session will show you how to evaluate that risk using the contract status report. The construction industry accounts for 10 to 20% of a local economy, so extending credit thoughtfully to this sector benefits both your organization and the market you serve.
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$160.00
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