This workflow describes the process for creating, reviewing, and approving Construction Pay Requests. It includes roles such as the Contractor, the Professional Services Consultant (PSC), the university Project Manager (PM), the university Financial/Business Manager (FM), the Contractor with Assigned (CWA), if applicable, and the Construction Manager (CM), if applicable.

Steps in the Workflow:

Start (S) (Black – Automation)

• The process begins with the creation of a Construction Pay Request.

Create Pay App (Green – Initiation/Edit) 

• The contractor creates a pay request and submits it to the PM for review. 

Review Pay App (Blue – Review) 

• This step involves one level of review:
  • PM
• Once the PM completes their review and enters comments, they will select ‘Review Complete’.

Edit Pay App (Green – Initiation/Edit) 

• The Contractor receives a message of the reviewed pay request.
• The contractor can edit the pay request if required.
• The contractor submits the pay request for approval.

Approve (Orange - Approve)

• This step involves three-four levels of approval, depending on contract type:
  • CWA or CM, if applicable
  • PSC
  • PM
  • FM
• If there is no CWA or CM on the project, the pay request approvals will start with the PSC.
• If revisions are required, and an approver rejects the pay request, it will be returned to the contractor for edits.  After the contractor makes the edits, they will submit the pay request back into the approval workflow.
• If the construction pay request is approved, it will move to the next step for payment.

Invoice Paid (Grey - Integration)

• Once the pay request is approved, the invoice is sent to Banner for payment.

Finish (F) (Black – Automation)

• The process ends here.

1. To create a new Construction Pay Request, navigate to the appropriate project and go to the Expense Application. Locate the Project by:
   1. Using the Project Finder.
      1. Select Project Finder on the left side Navigation.
      2. Select the appropriate university partition
      3. Select the Project where the Contract was created.
   2. Using the Search functionality in the Project Finder.  
      
      1. Select Project Finder on the left side Navigation.
      2. Select the Magnifying Glass icon next to Recent Projects.
      3. Enter the Project Name or Project Number and select the Project.
2. Once in the project, go to the Expense Application by selecting Applications and then searching for Expenses using the Search Bar.
3. Select Expenses, then the Pay Requests tab.
4. Select New to open a new Pay Request.
5. After the pop-up window opens, select the Contract associated with the new Pay Request.
6. After selecting the appropriate Construction Contract from the drop-down, select Next. A new form will open on the right side of the screen.
7. Populate the Details such as Period From, Period To, Notes, etc.
   1. For the first payment application, the Period From should not be dated before the contract execution date.
   2. If it is the Final Pay App, select Yes from the drop-down next to the question ‘Is this your Final Pay App?’.
8. Most of the other information will be pulled from the Contract. The From Office field in the Parties section is automatically populated from the Contract and should not be edited by anyone other than the Financial Manager, as it is used to facilitate the automatic transfer of payment information to the University financial system.   
9. To add amounts against the Contract Lines, navigate to the Items grid.
10. To view the Pay Request Items in further detail, select the More Details icon on the Top Right of the Item Grid. This will provide a bigger view of the line items. The Pay Request line items are from the SOV Breakdown Application.
11. If you enter values in the % To Date column, it will automatically calculate the Work Completed this Period. You can also enter the completed work dollar amount, which will automatically calculate the % To Date.
12. Enter the value for the Materials Presently Stored, if applicable.
    1. If the materials are stored off-site, attach an appropriate insurance certificate to the Pay Request. The contractor cannot be paid for materials that are stored in a location in which the owner is not protected against loss of the materials.
13. Select Done once details have been added to the Items grid.
14. In the Employee Utilization grid, add the number of lines needed, then select Insert.
    1. Choose a Job Title from the drop-down, and insert the number of employees and hours in the appropriate columns.
    2. The summary above the Insert button will be calculated automatically.
15. Once done, select the Save/Close button so that the system can generate the Partial Lien Waiver.
16. To open the newly generated Partial Lien Waiver, select View at the top of the record, then on Partial Lien Waiver.
17. Select the icon at the top of the document to generate the PDF which can then be printed and signed.
18. When you have the Signed Partial Lien Waiver, select the Edit Button on the Pay Request to upload the document to the record.
19. Documents, such as backup for hourly work and reimbursables, can be attached to the record under the References section. The user can either:
    1. Upload a document saved on their computer.
    2. Select Add Kahua Doc to reference a document that is stored within Kahua’s File Manager application.
    3. Select Add Approval Doc which is used any time a record is being routed for Review or Signature.
20. Once all details have been filled out, select Save/Close, then select Submit for Review.
    NOTE: This will send the record to the Project Manager for Review.

The Review process begins when the Submit for Review Button has been clicked. The Pay Request will be sent to the Project Manager for Review.

1. The Project Manager will receive an email in their inbox as well as a task and notification in Kahua. The task can be accessed by selecting the Task Icon located at the top right corner of Kahua.
2. Once the task is opened, the Approval Document is available for review.
3. The Project Manager can review the Pencil Copy Approval Document and may also view the original record by selecting View Source Record at the top of the approval screen. This will take them to the Pay Request record in the Pay Request App.
4. After the Project Manager reviews the source record in the app, navigate back to the task where they can enter comments, if any.
5. Select Review Complete.
6. When the Project Manager clicks on the Review Complete button, the status will change to Reviewed and the Author/Creator will receive an email letting them know that the Pay Request has been reviewed.
7. The Author/Creator of the Pay Request can now send it for Approval by selecting Submit for Signature. 
8. In case the values in the SOV Application have been changed, select Refresh from SOV to update the values and then Resubmit for Review to the Project Manager. This will restart the Pencil Copy review.

The Construction Pay Request Approval Process will depend on the type of Construction Contract.

The Approval process begins when the Submit for Signature Button has been clicked.

Depending on the type of Construction Contract, the Pay Request will either be sent to the Contractor with Assigned or Construction Manager (CWA/CM) or to the PSC for the initial approval.

1. They will receive an email in their inbox as well as a task and notification in Kahua. The Task can be accessed by clicking on the Task Icon located at the top right corner of Kahua.
2. Once the Task is opened, the Approval Document is available for review.
3. After their review, they may click Approve or Decline at the bottom of the Approval Document screen. When they select the Approve button, it will be sent to the next Approver on the list. See the workflow for the complete list of approvers.
4. When it's the Project Manager's turn to approve, the Project Manager can review the Approval Document and may also view the original record by selecting View Source Record at the top of the approval screen. This will take them to the Pay Request record in the Pay Request App.
5. After the Project Manager views the source record in the app, they will need to navigate back to the task when they are ready to Approve or Decline. 
6. When the Project Manager selects the Approve button, the pay request will be sent to the Financial Manager for final approval.
7. When the Pay Request has been sent to the Financial Manager for review and approval, the Financial Manager will select the task to access the Approval Document. Once in the Approval Document, the Financial Manager can see more details by selecting View Source Record at the top.
8. In addition to what the Financial Manager reviews from a business standpoint concerning budget/funding/expenses, the Financial Manager should also review the fields noted below before the Pay Request is approved and sent to Banner. 
   1. In the Details section, check the Charge Code, Account Code, and Encumbrance Number fields.
      1. These all come from the Contract, so if any corrections are needed, they should be made at the Contract level and the Pay Request level. The CFOAPAL validation is a good indicator of whether a problem exists or not. If the Status is ‘Valid,’ that means at the time the Pay Request was created, everything lined up with Banner. 
   2. Check the Parties section.
      1. The From Company ID should have a Banner ID (starts with @).   
      2. The From Office field must have an entry that starts with ‘Banner’ and that code.  The Financial Manager should verify that the From Office field is set appropriately, as it can be changed by the vendor during the creation of the Pay Request. This entry should always start with 'Banner' so that the Pay Request integration with Banner functions properly. 
   3. Banner only allows one Pay Request to be in process at any given time. If a Financial Manager approves a pay request before the status of the previous pay request gets to 'Paid,' the integration will reject it because of the one pay request limit.
9. When complete, the Financial Manager will return to the Approval Document in the Task List and select Approve or Decline.
   1. If approved, the Author/Creator will receive an email that the Pay Request has been completely approved.

When the construction team is ready to request a reduction in retainage, the contractor should submit a request in writing using the Discussion feature in the Pay Request App.

1. In the Pay Request App, select the Discussion feature icon.
2. Send a message to the University Project Manager (PM) requesting the reduction in retainage.
3. If approved by the PM in the Discussion thread, the contractor may reduce the retainage in the next pay request.
4. To reduce retainage:
   1. Start a new pay request using the earlier Creating a Construction Pay Request instructions.
   2. When completing the pay request record, update the Work Completed Retainage % and Stored Material Retainage % fields in the Items section to the new agreed-upon retainage.

Once the fields within the record have been completed and saved, the users can select from several actions:

• Send – Use messaging to send record details to others (NOT to be confused with a workflow)
• Edit – Update and maintain the record
• View – This action button displays the Portable View (document view)
• Delete – Select this action button to delete a record (typically permission-based, so all may not see this)
• History – All updates/changes are tracked

Send

• Do not confuse Send with using the workflow buttons in any application.
• Documents can be sent via a message within Kahua to either existing Kahua users or users outside of Kahua by entering their email address and selecting Enter.
• The documents are treated as attachments, and the message can be copied to the Communications application by checking the box.

Edit

• The record can be updated as needed during the process.
• If the document is out for Review or Signature, Edit will not be available.

View

• Records can be viewed as a Portable View in which a PDF version of the data is generated and can be printed out. Select the PDF Icon to generate a printable PDF version of the document.

History

• The History action button provides details regarding all activity (Creation, Updates, Saves, etc.) performed on the record.
• To see specific details related to the updates made, select the View Edit button.