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Procore (en-GB)

Create a Potential Variation for a Main Contract

Objective

To create a Potential Variation (PV) for a main contract and complete its Bill of Quantities (BOQ).

Background

When a change to the scope of work or the original main contract amount occurs during a construction project, the change management process begins. You can create a PV if your company's Procore Administrator configures the Main Contracts tool with the two (2)- or three (3)-tier variation configuration setting. See What are the different variation tier settings in Project Financials?

Things to Consider

  • Required User Permissions:
  • Additional Information:
  • For companies using the icon-erp-synced2.png ERP Integrations tool: Show/Hide  
    • Integration by Procore: Viewpoint® Spectrum®:
      • To sync data:
        • The Date field on an MCV is required.
        • The Billing Item Code on a MCV must be 10 characters or less.
    • Integration by Ryvit: Viewpoint® Vista™
      • MCV exports are supported.
    • QuickBooks®
      • MCV exports are NOT supported.
    • Sage 100 Contractor®
      • MCV exports are NOT supported.
    • Sage 300 CRE®:
      • Title. The MCV title must be 30 characters or less. 
      • Number (#). The MCV number be five (5) characters or less. 
      • Status. The main contract must be in the Approved status.
      • Associated Line Item. For each line item that you add to the variation's Bill of Quantities (BOQ), you may designate one (1) associated line item for each variation line item or the same associated line item for all variation line items.  Note: The Associated Line Item list is only visible and available when the ERP Integrations tool has been configured to work with Sage 300 CRE® and the export main contract variations capability has been switched on in Procore by your Integration Implementation Specialist.
    • Limitations:
      • To create a variation for a main contract, the main contract must be in the 'Approved' status.

Prerequisites

Steps

Create a Potential Variation

  1. Navigate to the project's Main Contracts tool.
  2. Locate the main contract to work with. Then click its Number link.
  3. Click the Variations tab.
  4. Click Create Potential VAR.
    create-potential-change-order-from-prime-contract.png
  5. Complete the following fields:
    • Number
      Procore automatically assigns a sequential number to the new PV. You can change this number if you want. 
    • Date Created
      Shows the creation date and time. This value cannot be changed.
    • Revision
      Shows the revision number. The first version is zero (0), subsequent revisions are assigned in sequential order. A PV might have several revisions, depending on its reviewer/approver feedback.
    • Created By
      Shows the Procore user who created the PV.  This value cannot be changed.
    • Contract Company
      Shows the name of the company responsible for performing the work on the contract.
    • Contract
      If you have been assigned access permissions to the Main Contracts tool, click this link to open the contract. 
    • Title
      Enter a title for the PV in this box. 
    • Main Contract Variation
      Select a Main Contract Variation (MCV) from the list to link it to the PV. 
    • Status
      Select the current state of the PV. To learn more, see What are the default statuses for variations in Procore?
    • Change Reason
      Select the reason for the PV, either Client Request, Design Development, Allowance, Existing ConditionBack Charge or any additional options created for your specific environment by your company's Procore Administrator. See Set Default Change Management Configurations.
    • Variation Request
       Note
      The Variation Request (VR) setting is only required when the Main Contracts tool is using the 3-Tier variation configuration setting. See What are the different variation tier settings in Project Financials?
      • None. A PV can be linked to a VR at a later time.
      • Add to Existing. Link the PV to an existing VR.
      • Create New. Create a new VR. You also have the option to create a new MCV at the same time.
    • Private
      Mark this tickbox if you only want the potential variation to be visible to users with 'Admin' permissions on the Main Contracts tool. 
    • Accounting Method
      This field inherits the accounting method that was specified in the main contract. See How do I set the accounting method for a contract or funding?
    • Description
      Enter a more detailed description of the reason for the PV.
    • Request Received From
      Select the Procore user for whom you are submitting the PV. 
    • Programme Impact
      If known, provide an estimate for the additional number of days required to complete work whe the PV is approved.
    • Location
      Use this drop-down list to select a location related to the PV. You can select an existing location or Add a Multi-tiered Location to an Item. 
    • Reference
      Add any other important tools, materials, drawings or documents to uses as a reference for the PV. 
    • Field Change
      Check this box if the PV requires a field change.
    • Paid in Full
      Check this box to indicate you have received payment for this change. 
    • Attachments
      Select and add any relevant documents.
  6. Click Create.

Add a Bill of Quantities to a Potential Variation

When there are costs associated with a PV,  you must add line items to the BOQ.

  1. In the PV click the Bill of Quantities tab
     Notes
  2. Select the correct Cost Code from the drop-down list.
  3. Enter a description for the line item.
  4. Select the appropriate Cost Type. If you're using the Budget tool, the Type will pre-fill to the first type associated with that cost code on the Budget. You should only select a "non-budgeted" line item type if you would like to add a new line on the Budget.
  5. Click the + button. If the combination of the sub job, cost code and cost type are non-budgeted, a pop-up will appear asking you to confirm you want to add this line item to the budget. If OK is selected, this line item will be added directly to the Budget with a "?" next to the line item. See Add a Partial Budget Line Item.
     Notes
    • The 'Associated Line Item' drop-down list only appears if your company's Procore account is integrated with Sage 300 CRE® and the Main Contracts tool is active on the project. 
    • When adding line items to the variation's BOQ, you must select an associated line item for each new line item. You may designate one (1) associated line item or use the same associated line item for multiple line items.  
  6. Repeat the steps above to add new line items.
  7. Click Save.
     Tip

    If the PV also affects a purchase order or subcontract, continue as follows:

    To learn how to associate financial markup with line items, see Add Financial Markup to Main Contract Variations.

 

If you would like to learn more about Procore's main contract software and how it can help your business, please visit our construction contract management software product page icon-external-link.png.