Stages of Payment Applications
If there are multiple payment applications under a contract, the first one is marked as initial, subsequent ones as progress, and the last one as final. In cases where there is only one payment application under a contract, it can be both the initial and final payment application.
With different stages of payment applications, you can effectively manage the lifecycle of your payment applications and ensure proper closure of the project or contract phase. For example, you can create different sets of compliance for payment applications based on project requirements.
Set a Payment Application as Final
When creating or managing cost payments, there may be instances where a payment application needs to be marked as the final payment application for a contract. This indicates the completion of the project or a specific phase of the project and ensures that all retained funds can be released. Learn more about retention.
To set a payment application as final:
Go to the Cost tab, then switch to the Cost Payment Application tab.
Open the details of the Cost Payment Application you wish to set as final.
In the payment application details, open the More
menu.Toggle the switch for Set as the final payment application.
Application is now set as final and new cost payment applications can't be created.
Marking a payment application as final will trigger the release of all retained funds associated with the contract. Ensure that all work is completed and inspected before setting the payment application as final.
Compliance Requirements by Payment Stage
You can set up compliance requirements that apply to specific payment application stages. This allows you to have different requirements for initial, progress, and final payment applications.
See Compliance Requiremens and Retention article section to learn more.