Subcontractor Compliance for Sage 300 CRE

by Kyle Zeigler, Sage Senior Certified Consultant

Required documentation

Depending on the nature of the work you perform for your customers, subcontractors and suppliers may be a big part of getting that work completed. When subcontractors and suppliers are involved in your construction projects, the type of project and its location may require that you obtain specific documents from them throughout their involvement on the job. These documents may include:

  • Lien waivers
  • Certified payroll reports
  • Certificates of insurance
  • Other documents such as a Form W-9, a signed copy of their subcontract agreement, punch lists, etc.

Compliance tracking

Tracking all of these documents and whether or not you have received them is vital to ensuring that you have proper documentation prior to paying your vendors. Sage has made compliance tracking easy with Sage 300 CRE’s Subcontractor Compliance Management features! With all of your compliance records in one location, as well as with Sage’s myriad of compliance reports, the power to manage subcontractor and supplier compliance is at your fingertips.

The Subcontractor Compliance Management task can be accessed from both Accounts Payable and Project Management, but some initial setup is required in your Sage 300 CRE software:

  • Accounts Payable > AP Settings – default settings for generating lien waiver records and system warnings when vendors are out of compliance.
  • Accounts Payable > Setup > Vendors > Insurance/Compliance – settings for tracking insurances at the vendor level and to generate lien waiver and miscellaneous compliance records for specific vendors if you choose not to enable this for all vendors in AP Settings.
  • Job Cost > Setup > Jobs > Job Compliance – job-specific settings for generating lien waivers and certified payroll report records, as well as requiring final compliance approval in order to issue final payment to the vendor. These settings are required to track compliance items in your Sage 300 CRE software!
  • Job Cost > Tasks > Commitments or Project Management > Contract Control > Commitments – commitment-specific setting for generating certified payroll reports, as well as access to entering secondary vendors and pre-lien records. For certified payroll report records, the Sage Certified Report Generator service must also be enabled on the Sage host server.

Once properly set up, “records of expectation” are automatically generated by your Sage 300 CRE software (i.e., you issued AP checks and expect to receive signed lien waivers from your vendors, or another payroll week has passed and you expect to receive certified payroll reports from your subcontractors). Lien waiver documents can be printed right from your Sage software, including conditional and unconditional progress and final, using the information produced by your compliance settings. When documents are received from your vendors, the Subcontractor Compliance Management task provides a single point of access for data entry to mark documents as received. The date received and user ID is added to the record!

Detailed instructions for setting up Subcontractor Compliance Management can be found in the Sage knowledgebase article 34404, “Where can I find the Subcontractor Compliance Management Training Supplement document?” At the bottom of the article is a link to download the document “AP_Compliance_Supplement.pdf.”

If you would like assistance with setting up the Subcontractor Compliance Management features in your Sage 300 CRE software or would like to schedule training for your users, please contact Ledgerwood Associates.

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