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SUBCONTRACT ISSUANCE

INTRODUCTION

This guide outlines the complete procedure for issuing subcontracts after a project has been awarded. Following these steps ensures proper documentation and contract preparation for all project subcontractors.

Process Overview

The subcontract issuance process begins after project award and includes creating project-specific templates, locating rough scopes, and issuing formalized subcontracts to vendors.

Template Location

All subcontract templates are stored in OneDrive at: DOCBASE\Project Setup Files\CONTRACTS\Subcontracts

PROCEDURE

1. JOB IS AWARDED

Once a project is awarded, the project manager will complete the project buyout and write rough scopes. The rough scope will hold all information that will be incorporated into the subcontract.

2. CREATE PROJECT SPECIFIC SUBCONTRACT TEMPLATE

  1. Locate the Contracts Folder

In the same project folder, locate the "CONTRACTS" folder, and find the word document titled "Short Form Subcontract."

  1. Create a Project Template Copy

Open the short form subcontract template and save a copy of the template into the "CONTRACTS" folder titled "Short Form Subcontract – Project Name"

Example

Short Form Subcontract – Tuff Shed

This will save a copy that can be used to create a master contract template for this project.

  1. Update Template with Project Information

The contract template will already have several highlighted fields that are fillable and subcontractor specific. The first step is to generate a project specific template prior to updating the subcontractor fields.

Template Creation Process

Follow these steps to create an effective project template:

a. Review Owner Contract - Use the executed owner contract as a reference to create the subcontract template. The owner contract is in "DOCBASE", "CONTRACTS", "Owner Contract."

b. Identify Key Terms - Review the owner contract for retainage, bond, insurance, and commencement requirements. If there is anything specific to this project from the owner contract, adjust it in the subcontract.

c. Enter Project Information - Enter the general project specific information throughout the subcontract. This includes the project name, owner, and project address.

d. Save Template - Save your subcontract template copy in the "CONTRACTS" folder.

3. LOCATE THE ROUGH SCOPES

Go to "DOCBASE", open the applicable project folder under "03. Current Projects", navigate to the "Rough Scopes" folder, open the "Completed Scopes (ready for contract issue)" folder.

Notification

Any completed rough scope will exist in this folder. The project manager will provide a notification when rough scopes are ready and in this folder.

4. ISSUE A SUBCONTRACT

  1. Open Completed Rough Scope

Open a completed rough scope in the "Completed Scopes (ready for contract issue) folder.

  1. Open Subcontract Template

Open the Subcontract template that was created for this job.

  1. Save With Specific Naming Convention

Save the subcontract template as "Project Number – Sub name"

Example

P25001 – Consurco

Save it into the correct division folder under "CONTRACTS", "Subcontracts"

Example

Div 3 Concrete

  1. Enter Subcontractor Information

Enter the subcontractor's name at the top of the contract and ensure the date is correct.

  1. Copy Scope Section

Copy the rough scope into the scope section of the contract.

  1. Enter Contract Sum

Enter the contract sum from the rough scope.

  1. Verify All Fields

Verify all highlighted fields are edited to the appropriate subcontractor.

  1. Save Contract Files

Save the subcontract and then save the subcontract as a PDF in the same folder.

  1. Send Contract Package

Send the subcontract in an email and request all compliance documents.

DOCUMENT FLOW DIAGRAM

graph TD
    A[Project Award] --> B[PM Creates Rough Scopes]
    B --> C[Create Project Specific Template]
    C --> D[Locate Completed Rough Scopes]
    D --> E[Issue Subcontract]
    E --> F[Send to Subcontractor]
    F --> G[Collect Compliance Documents]

CHECKLIST

  • Project has been awarded
  • Project manager has created rough scopes
  • Project-specific subcontract template created
  • Owner contract reviewed for specific requirements
  • Rough scopes located in appropriate folder
  • Subcontract created with proper naming convention
  • Scope section copied from rough scope
  • Contract sum entered correctly
  • All highlighted fields verified and updated
  • Word and PDF versions saved in correct folder
  • Contract sent to subcontractor
  • Compliance documents requested