Adding a Payment Certificate and Selecting Work Items

The System allows you to create a payment certificate to document the quantities actually completed under an active contract in a project and calculate the net amount payable for the work completed to date.

Before you start, make sure that:

• You have the “Add Payment Certificates” permission.
• The project has a contract with an “Active” status. A payment certificate cannot be created without an active contract.
• Exceeding the contracted quantity for any work item requires the “Exceed Contract Quantity in Payment Certificate” permission.
• The Construction application is enabled by going to Settings from the main menu and then selecting Apps Manager.

Steps

• From the main menu, click Construction.
• Select Projects.
• Click the Actions button next to the required project.
• Select View.
  • The project must have an active contract.
• Click Add, then select Payment Certificate.

Payment Certificate Information

This screen displays a set of fields for defining the basic payment certificate information before selecting the work items:

• Payment Certificate No. is generated automatically.
• The Project and Client fields are pre-filled and read-only.
• Contract (required): populated automatically.
• Enter the Duration or Start Date and End Date (the start and end dates are required). Either value is calculated automatically based on the other values, and the end date must be after the start date.
• Enter the Payment Certificate Date (optional).

In the Payment Certificate Items section:

• Click Select Work Items.
  • A side panel opens with the contract work items tree, displaying only the item, quantity, and unit price. You can search by the work item, main tender, or sub tender title.
• Select the required work items.
• Click Import.
  • This creates a table displaying the selected work items and their previously executed quantities.

Payment Certificate Items

The table displays the following for each work item among the selected items:

• Work Item and Notes (optional).
• Contracted: The contracted quantity for this work item. This is automatically updated if the quantity of the work item is later modified in the contract itself.
• Previous: The quantities previously executed in earlier Approved payment certificates for the same work item.
• New (required, numeric): Enter the quantity currently executed for this work item.
• Total: Automatically calculated (New + Previous).
• Remaining: Automatically calculated (Contracted − Total).
• Unit Price: The sale rate for this work item from the contract.
• Previously Billed (under the Price column): The amount previously billed for this work item.
• New Amount: Automatically calculated (New Quantity × Unit Price).
• Total (under the Price column): The total value of the full executed quantity, including both new and previous quantities.

Financial Summary

A financial summary is displayed below the Payment Certificate Items table, showing the total value of the payment certificate after deductions. It includes the following fields:

• Total Work Value: The sum of the New Amount for all work items.
• Total Certified Amount.
• Total Retention: Calculated by multiplying the Total Work Value by the retention percentage defined in the contract. The percentage is displayed next to the field name, such as “Total Retention (5%)”.
• Net Amount.
• Net Payable: The net amount after deducting any other deductions, representing the final amount payable.

After reviewing the information, click Save to save the payment certificate with an Issued status, Save as Draft to save it as a draft, or Cancel to return to the project view screen.

System Behavior

• A new payment certificate cannot be created for a work item if its start date overlaps with the period of a previous payment certificate that includes the same work item.
• If the Branches application is enabled, the payment certificate is saved under the branch from which the user is currently logged in.

Validation Rules

• A payment certificate cannot be created for a project without an active contract. When attempted, the following message is displayed: “To add payment certificates, the project should have an ‘active’ contract.”
• The end date must be after the start date. If this requirement is not met, the following message is displayed: “End Date should be a date after Start Date.”
• When clicking Select Work Items, if the start date of a work item overlaps with a previous payment certificate for the same work item, the following message is displayed: “The start date for ‘[Work Item Title]’ #[Code] can’t overlap with previous payment certificates.” (The first three overlapping work items are listed by name, and the remaining items are represented by “and [number] other work items” when there are multiple overlapping items.)
• When a required field is left blank, “Required” is displayed next to it.
• When the payment certificate is successfully saved, the following message is displayed: “Payment Certificate Added Successfully”.
• When entering a new quantity that causes the sum of the new and previous quantities to exceed the contracted quantity, and the user does not have the permission to exceed the quantity, the following message appears: “The total executed quantity for the work item ‘[Work Item Title]’ #[Code] exceeds the contracted quantity. Please request permission from the administrator to proceed.“