GCS-314 Advanced Setup Decisions for Your New Contract

Lori Travis, Deltek

Agenda

Setting Up a New Contract Contract Master File

Contract Type

Task Revenue and Task A/R

Revenue Basis

Billing Master File Work Breakdown Structure

We Won! Now What?

Scenario:

We’ve just been awarded a new contract and now we need to set it up in GCS Premier.

Contract Master File

Contract Types in GCS– Cost Plus Fixed Fee

• Cost Plus Hourly Fee

• Cost Plus Award Fee

• Cost Plus Incentive Fee

– Fixed Price

– Time and Materials• Fixed Price (LOE)

Changing Contract TypesFP/CPFF to T&M

• DO A GOOD BACKUP BEFORE YOU START!!!!!!!

• You will need to clear out the Current Year Billing Data file and put the total billed amount on the “Other Charges” line in the Prior Year Billing Data file. Then delete the Current Year Billing Data file.

• Change the contract type in the Contract Master File for each task to a T&M contract type. (If all the tasks are going to be changed, change the ALL task and tell the system to update every task within the contract).

– This will change the contract type in the Billing Master File.

– In the Billing Master File and Contract Master File, change all new T&M fields in these files.

– Verify that the ALL task in the Contract Master File contract type has been changed to T&M.

• Set up the T&M Billing Rate file for this contract.

• Verify that the Labor Category Hours are correct in the Labor Summary File for each labor category.

– Any corrections should be done as timesheet corrections. DO NOT DO A JOURNAL ENTRY.

• Compute revenue

• Run a T&M Sales Worksheet in the Job Status Reports screen. There will be a line for a revenue adjustment for the difference between the amount the system has recognized as revenue in the current year for a Fixed Price contract and what it has computed for a T&M contract. This amount should be added as a revenue adjustment to the “Revenue Adjustment” field in the Contract Master File.

• Re-compute revenue.

• Compute billings. This will give you the total hours to date that have been incurred times the billing rates found in the T&M Billing Rates File and any ODC’s that need to be charged.

• On the “Other Charges” line in the Billing Edit File, you will need to enter, as a negative amount, the amount that was input in the “Other Charges” line in the Prior Year Billing Detail screen. This represents the TOTAL Fixed Price billings previously billed.

• Print and post record as per your normal procedures.

Changing Contract TypesT&M to FP/CPFF

• DO A GOOD BACKUP BEFORE YOU START!!!!!!!

• Prepare one negative billing in the Billing Edit File to back out the total of all the T&M Billings sent thus far.

– Post in the Print/Post Contract Billing Journal. This should clear out the Prior Year Billing Data screen. If there are no costs in the Prior Year Billing Data screen), skip this step.

• Change the contract type to CPFF (or FP) in the Contract Master File for all tasks that should be changed.

– If all of the tasks in the contract should be changed you can accomplish by using the ALL task and telling the system to pass changes to other tasks (located in top right corner of contract master file screen).

– Verify the ALL task has been changed.

– This will change the contract type in the Billing Master File.

– Update each Billing Master File and Contract Master File with the pertinent CPFF information.

• Prepare a billing as a CPFF (or FP) contract for all costs incurred thus far. If you put the charges for the previous fiscal year in the “Prior Year Cost and Fee” field in the Billing Edit File, the system will populate both the Prior Year Billing Detail (6.3.2) and Current Year Billing Detail screens for the costs that should have been billed in each fiscal year period.

– NOTE: The charges input into the “Prior Year Cost and Fee” line will populate the “Unallocated Cost” field in the Prior Year Billing Detail. You will then have to allocate costs from this line to the correct suffixes, indirect cost, and fee lines.

– The Job Status Report may be helpful in determining the current fiscal year costs.

• Delete the T&M Billing Rate file for each task that you had set up for this contract.

• Compute revenue. There will probably be an adjustment in the fee line that represents the YTD revenue as adjusted in the current period.

• Print and post record as per your normal procedures.

Contract Master File

• One of the most important set-up decisions are the Task Revenue and Task A/R settings– Possible Options

• Task Revenue Unselected; Task A/R Unselected

• Task Revenue Selected; Task A/R Unselected

• Task Revenue Selected; Task A/R Selected

– Determines if a 000 task is required

– Controls the posting of Revenue and A/R

– Level at which reports and bills can be printed

– How payment is received

Task Revenue

• Task Revenue (Unselected)– Task 000 is Required

– Revenue posting will be at the contract level only (000)

– Contract reports will show costs only at the task level

– Billings will print cost rolled up to the contract level (000)

• Task Revenue (Selected)– Run contract reports with fee and revenue at the task level

• Revenue/Sales Journal will post at each individual task

– Set-up revenue ceilings at task level

– Able to Print a 1035 at task level

Task A/R

• Task A/R (Unselected)– Task 000 required

– Aged AR and AR History at the 000 level

• Task A/R (Selected)– Task 000 not required

– Aged AR and AR History at task level

– Payment received at task level

Changing Task Revenue and or Task A/R settings

• See Special Topic CT-14 – Method to Change Task Revenue Set-up

Revenue Basis

Revenue Basis

• Based on Normal – CPFF and FP

• Revenue based on year-to-date costs incurred

– T&M• Current period hours x T&M Billing Rate

• Based on Billing– Revenue based on amounts billed

• Based on GL– Manual JE to record revenue

• Debit 12 and Credit 30

Reporting Options

• Can run a JSR and Billings by contract but can also run by Work Breakdown Structure (WBS)

• What is a Work Breakdown Structure?– Alternative reporting tool used to group together specific contracts and tasks

• When do I use a WBS?– If your contract requires a Cost/Schedule Status Report (C/SSR)

– If you have sub tasking requirements (CLINS/SLINS)

– Multi year, multi delivery order contracts

– Reporting by Program Manager, Gov’t Agency etc

Work Breakdown Structure

Before you Get Started…

•The contract and/or tasks must exist in the Contract Master File before it can be included in a WBS

•Using a WBS does not change the level of Revenue or A/R posting

– Revenue and Billings will post based upon the Task Revenue and Task A/R Requirements defined in the Contract Master File

•Draw out and design your WBS before adding to the system

Using WBS for Sub Task Reporting

Numbering the WBS

• A total of 25 characters

• When naming the WBS, this also sets the pattern for the first level

ie. 1000. = XXXX.

• Decimal points separate levels and counts as a character

• Need to develop the pattern of the WBS

WBS Summary Info File

WBS Elements File

Job Status Report by WBS

Print Billing Form 1035 by WBS

Questions