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6 Replies Latest reply: Oct 29, 2008 5:54 PM by 690399 RSS

Mobilization Payment

690399 Newbie
Currently Being Moderated
I am having issues with how to record Mobilization for
requisition. I have a contract for a $100,000.00 and the
contractor is asking for 20% mobilization payment but he
did not factor it in his bid. How do you guys recommend
recording the Payment so that the initial 20K payment done
to the contractor is not lost double paid?<br
/>
Thank you
  • 1. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    If the contractor did not include Mobilization in the
    bid (and you want to pay them for it even though they
    left it out), then I assume that this amount is not
    part of the $100,000 contract. Therefore, I recommend
    you add this as a Change Order for $120,000 to the
    Contract, then allow the Payment Requisition to "get"
    this CO as a new item in the Schedule of Values. You
    can then record the amount billed for that new line
    item.
  • 2. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    Thanks for the response. But the mob payment that i
    need to record is part of the 100K. So i can't put it
    on top of it by charging a change order.
  • 3. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    OK, so then I assume your problem is that they gave
    you a Schedule of Values for the entire contract
    amount of $100K, but did not show Mobilization as a
    separate line item. The fact is that 20K payment
    amount will need to come out of some item (or a
    combination of items) in order to show it separately.
    For example, if you had a line called General
    Conditions for $50K and you wanted to take the 20K out
    of that, you could adjust that line item to $30 and
    add a new line for Mobilization for $20K and record
    the $20K payment for this period on that line. Let me
    know if I don't understand still. Maybe you can post
    an example of what your SOV looks like.
  • 4. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    yes that is accurately stated.
  • 5. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    It depends how if/how you are using Requisition.<br
    />
    I would treat such mobilisation
    payment (if was not line item in contract) as an
    advance payment.
    In my setup I issue
    Requisition with 0% but I'd put Amount Certified in
    Requisition Summary of 100K.
    Also custom
    filed 'description' for RQS would be helpful to show
    on printout.

    Another way, would
    be to manipulate SOV - deduct 100K from other items
    and add new lump sum item as "Mobilisation" and put
    100% for this item.

    In general
    you'd need to show us how your SOV looks like.
  • 6. Mobilization Payment
    690399 Newbie
    Currently Being Moderated
    ehh in both cases I meant 20K, not 100K. sorry