ctcLink Reference Center9.2 Finance9.2 FIN - Grants/Contracts Contracts9.2 Changing a Cost Reimbursable Pending Contract to a Fixed Price Contract

9.2 Changing a Cost Reimbursable Pending Contract to a Fixed Price Contract

Purpose:  Use this document to change a contract line in ctcLink.

Audience:  Finance/Grant Fiscal Staff.

You must have at least one of these local college managed security roles:

  • ZC Contracts Processing
  • ZZ Contract Maintenance
  • ZZ Contract Processing

If you need assistance with the above security roles, please contact your local college supervisor or IT Admin to request role access.

The function of the contract is to capture the revenue and billing parameters for the award. This includes begin and end dates used for invoicing, all of the detail invoicing information, the billing plan and the revenue capture plan. When a contract is first set up at generate award, it is created with one contract line that captures all that information. Before activating the contract, the administrator should ensure that the contract line is set up correctly.

This document should only be used when a contract line was set up as cost reimbursable and the Contract is still in PENDING status. Only then should this process be used.

Changing a Cost Reimbursable Pending Contract to a Fixed Price Contract

Navigation: NavBar > Navigator > Customer Contracts > Create and Amend > General Information

  1. On the General Information search page, select the Find an Existing Value tab.
  2. Enter or select the Business Unit.
  3. Enter or select the Contract number that will be modified.
  4. Select Search.  The General Information page will display.
Find an Existing Value tab
  1. Ensure the Contract Status is PENDING.

NOTE: To continue with this process, the Contract Status must be PENDING. The contract line can be deleted and a new one added if the contract is in PENDING status.  

  1. Make note of the Start Date and End Date of the contract. This information will be used at the activation of the new contract line.
  2. Select the Lines tab.
General tab
  1. On the Lines tab, select the Details tab.
  2. Select the Contract Terms link. The Contract Terms page displays on the Related Projects tab.
Lines tab, Detail tab
  1. Select the radio button in front of the Project ID. Write down the Project ID as it will be used again at a later point in the process.
  2. Select the minus sign [-] at the end of the row. A delete confirmation message will display .
Contract Terms page
  1. On the delete confirmation message, select OK.
  2. A warning message displays.
Delete confirmation message box.
  1. On the warning message, select OK.
Warning message box
  1. The project is no longer displayed on the page.  
  2. Select Save.
  3. Select the Return to General Information link.
Related Projects tab
  1. On the General Information page, select the Lines tab.
  2. On the Lines tab, select the Detail tab.
  3. Select the Pending link in the Billing Plan column.  The Billing Plan page will display.
Lines tab
  1. On the Billing Plan page, change the Billing Status field from Pending to Cancelled.  All value fields will become gray.
  2. Select Save.
  3. Select the Return to General Information link.
Billing Plan General tab
  1. On the Lines tab of the General Information page, select the Detail tab.
  2. Select the Pending link in the Revenue Plan column.  The Revenue Plan page will display.
Lines tab
  1. On the Revenue Plan page, change the Plan Status from Pending to Cancelled.
  2. Select Save.
  3. Select the Return to the General Information link.
Revenue Plan page
  1. On the Lines tab of the General Information page, select the Detail tab.
  2. Both the Bill Plan and the Revenue Plan on the Contract line should display as Cancelled.
  3. Select the Billing Plans link at the bottom of the page.  The Assign Billing Plan page will display.
Lines tab
  1. Select the check box at the front of contract line 1 for Grant_Services.
  2. Select the Unassign button.
Assign Billing Plan page
  1. The line information for the Grant Services line no longer appears.
  2. Select the Return to General Information link.
Assign Billing Plan page
  1. On the General Information page, select the Revenue Plans link at the bottom of the page.  The Assign Revenue Plans page displays. 
Lines tab
  1. On the Assign Revenue Plans page, select the check box on the Grant_Services line.
  2. Select the Unassign button.
Assign Revenue Plan page
  1. The line information for the Grant_Services line no longer displayed.
  2. Select the Return to General Information link.
Assign Revenue Plan page
  1. On the Lines tab of the General Information page, select the Detail tab.
  2. The Bill and Revenue plans should now be gone from the first contract line which is the Grant_Services reimbursable line.
  3. Select the Add Contract Lines button.
Lines tab
  1. On the Add Contract Lines page, enter FIXED_PRICE in Product.
  2. Select Search.
Add Contract Lines page
  1. The Search Results section will display
  2. Select the check box at the beginning of the FIXED_PRICE product.
  3. Enter the Start Date of the award.
  4. Enter the End Date of the award.
  5. Select the Add Contract Lines button.
Add Contract lines page with Search Results section displayed
  1. The Add Contract Lines page displays with the message that 1 line(s) have been added to the contract.
  2. Select the Return to Contract Lines link. The General Information page will display on the Lines tab.
Add Contract Lines page
  1. On the General Information page, note that a new contract line is now added that is Fixed_Price.
  2. Select Save.
  3. Select the Detail tab. 
Lines tab
  1. On the Detail tab, select the Contract Terms link for the new FIXED_PRICE contract line.  The Contract Terms page will display.
Lines tab
  1. On the Related Projects tab, the Contract Line should indicate 2 contracts and the Product should be FIXED_PRICE.   If this is not true, check to insure the correct contract line has been chosen.
  2. Enter or select the PC Business Unit.
  3. A message box will display indicating a warning.  
Related Projects tab
  1. On the warning message, select  OK.
Warning Message
  1. In the  Associated Projects & Activities section, select the Project ID that was removed from the first contract line.
  2. Select the Activity.
  3. Select the radio button for the project.  
  4. Select Save.
  5. Select the Amount Allocation link.  The Amount Allocation page will display.
Related Projects tab
  1. On the Amount Allocation page, in the Contract Billing section, enter the total amount of the award from the original contract line in the Total Billing field.
  2. In the Contract Line Pricing section of the page, enter the same amount in the Billing Amount field of the FIXED_PRICE contract line.
  3. Select the Recalculate button.
  4. Select Save.
  5. Select the Return to Contract Terms link.
Billing Allocation tab
  1. On the Related Projects tab, select the Return to General Information link.
Related Projects tab
  1. On the Lines tab of the General Information page, select the Detail tab.
  2. Select the Distribution link in the  Accounting column for the FIXED_PRICE row.  The Accounting Distribution page will display.
Lines tab
  1. Change the Effective Date to the Start Date of the award.
  2. Change the Define Distribution By selection from Percent to Amount.
  3. Change the Accounting Distribution for both the Revenue and the Contract Asset lines to reflect the project that is on the contract line. For fixed fee contracts it should be one project per contract line.
  4. In the Revenue section, enter the total grant amount in Revenue Amount.  Enter the Account, Fund, Dept, Class, State Purpose and Project.
  5. In the Contract Asset section, enter the Account, Fund, Dept, State Purpose and Project.
  6. Select Save
  7. A message displays stating the UAR has been changed.
Accounting Distsribution page
  1. On the Contract Asset accounting distribution has been changed message, select OK.
Message box
  1. Check the Revenue and Contract Asset accounting distributions to see that the entries are marked Valid at the end of both rows.
  2. Select the Return to General Information link.
Accounting Distribution page
  1. On the Lines tab of the General Information page, select the Detail tab.
  2. Select the Pending link in the Billing Plan column for the new FIXED_PRICE row.  The Define Billing Plan page will display.
Lines tab
  1. On the Define Billing Plan page, ensure that the Bill Plan has all the correct values including Customer Information and Billing Default Overrides.
  2. Select the Events tab.
Billing Plan General tab
  1. On the Events tab, change the Define Events from Percent to Amount.
  2. In the Event Detail section, change the Event Status to Pending.  This opens fields to allow for editing.
  3. Enter the Amount on the first row, the full award amount if you are billing for the full amount. (In this example 50,000.00). If you are creating more than one bill then add a row and split the amount. The total from your events must equal the total of the contract line.
  4. Change the Event Date to the date you will run the billing event.
Events tab
  1. Change the Event Status from Pending to Ready.
  2. Select Save.
  3. Select the Return to General Information link.
Events tab
  1. On the General Information page, select the Lines tab.
  2. Select the minus sign [-] to remove the Reimbursable Grant Services contract line.
  3. A delete confirmation message displays.
Lines tab
  1. On the delete confirmation message, select OK.
  2. A warning message displays.
 Delete Confirmation message
  1. On the warning message, select OK.
Warning message
  1. Select Save.
  2. Select the Amount Allocation hyperlink.

Note that the contract now has one contract line with a Product as FIXED_PRICE and Description as Fixed Price Contracts.

Lines tab
  1. The Amount Allocation page displays.
  2. In the Fixed Billing section, enter the Fixed Billing total amount.
  3. Select the green Recalculate button.
  4. Select Save.
  5. Select Return to General Information hyperlink.

Note upon saving the page, the Allocation status will change from 'Incomplete' to 'Complete'.

  1. The General Information page displays
  2. Update the contract status from Pending to Active.
  3. Select Save.
  1. Process complete.

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