If the specifications for a current job change, you can create a change order to reflect the added work, or you can edit an existing change order for the job in the Change Orders window. You can also alter financial or other information specified in the job's contract. The committed, actual, estimated, forecasted costs, and billing amounts are stored, allowing you to track profitability for individual change orders.

Standard Change Order Rules

You can add either Fixed Amount or Cost Plus change orders to a job with all contract types, other than those with project transaction level billing, which cannot have a Cost Plus change order. You can add a Cost Plus NTE change order only to a Cost Plus NTE job.

Additional information

Cost codes can also be applied to a change order. The type of contract for the job and the change order determines what type of cost code you can apply to the change order.

When you enter a change order transaction, make sure the posting date falls within the period you want the transaction to affect. The amounts in the Job Status by Period window and the Percentage of Completion (POC) will be totaled based on the posting dates.

Creating a change order

1. Choose Inquiry > Job Cost > Job Status.
2. Choose a job, then choose Change Orders.
3. In the Change Order Inquiry window, choose Add Change Orders.
4. Complete the following fields, as necessary.
   • Change Order, Description
     Accept the default number or enter your own change order number. Enter a description to further identify the change order.
   • Status
     Choose a status for the change order.
   • Contract Type
     From the drop-down list, choose the type of calculation method to use for the billable amount of the change order. The job contract type in the Job Status window defaults.
   • Change Order Amt.
     If you selected the Fixed Amount contract type, enter the amount of the change order. If you selected the Cost Plus NTE contract type, enter the change order maximum amount. If you chose Cost Plus as the billing type, you will not enter a change order amount. It will be automatically calculated, based on the cost code's profit type and profit amount, as costs are posted to the change order cost codes.
   • User-Defined
     Enter user-defined information.
5. Choose Save.

6. Choose Cost Codes to open the Change Order Cost Codes Setup window. 

7. Enter a Cost Element Type.

8. Enter a Cost Code.
   • If the contract type of both the job and change order is Fixed Amount, you can either enter a new cost code, choose Add Cost Codes to add a cost code from the master cost code list, or choose Use Existing Cost Codes to use a cost code already assigned to the job.

   • If the job contract type and/or change order contract type is Cost Plus or Cost Plus NTE, you can only enter a new cost code for the change order. The Add Cost Codes and Use Existing Cost Codes buttons will be disabled.

9. Complete the remaining fields. If you are assigning a cost code with a cost element type of subcontractors, you must choose a transaction type of Vendor ID and assign a vendor for the change order amount to affect the Amended Contract Amount field in the Subcontractors Maintenance window. See Adding cost codes to a job.
10. Choose File > Print to print the Change Order Cost Codes report listing cost codes assigned to the change order.
11. Choose Save in the Change Order Cost Codes Setup window and close the window.
12. In the Change Orders window, choose File > Print to print the Change Order List.
13. Post or save the change order. Once the change order is posted to the job, the expected contract amount and the estimate cost will be updated in the Job Status window.

Editing a change order

You can edit posted or unposted change orders. Unposted change orders are edited and printed in the Change Orders window. Posted change orders are edited and printed in the Change Orders Zoom window.

1. Choose Inquiry > Job Cost > Job Status.
2. Choose a job, then choose Change Orders.
3. You can either choose a change order and then choose the Change Order Number zoom or you can double-click a change order.
   • If the change order is unposted, the Change Orders window opens.
   • If the change order is posted, the Change Orders Zoom window opens. The windows are the same, except that the Change Order, Contract Type, and Change Order Amt. fields are disabled in the Change Orders Zoom window.
4. Change the Description, Status, and user-defined items.
   • If the change order is unposted, you can also change the change order number and contract type. You can only use Cost Plus NTE if the job contract type is Cost Plus NTE.
   • If the contract type is Fixed Amount, you can revise the change order amount.
5. Choose Bill Codes to add or change bill codes for the job associated with this change order. The Job Bill Codes window opens. The Bill Codes button is enabled only for jobs with bill types of Cost Code or User Defined.

6. Choose Cost Codes to add a new cost code or to edit cost code data for the existing change order. The Change Orders Cost Codes Setup window displays. If the change order is a Fixed Amount contract type, the Profit Type ID and Profit Amount fields are disabled. If the change order contract type is Cost Plus or Cost Plus NTE, the Add Cost Codes and Use Existing Cost Codes buttons are disabled. 

   Profit type ID and profit amount are password-protected.
7. Choose Print to print the Change Order Audit report.
8. Choose OK to save the change order.

Revising posted change order estimated cost

If your change order is posted, you can revise the estimated cost in the Change Order Estimate Cost Revision Entry window.

1. Choose Inquiry > Job Cost > Job Status.

2. Choose a job, then choose Change Orders.
3. Double-click a posted change order in the scrolling window.
4. Choose the Cost Codes button.
5. Enter a Cost Code.
6. Choose the +/- button attached to the Estimate Amount field to open the Change Order Estimate Cost Revision Entry window.
7. The system date appears in the Date field. You can change this date.
8. Revise the estimate by entering Units, Amount/Unit, and a Description.
9. To post the estimate revision, choose Post. The amount and description display in the lower scrolling window.
10. To print the Change Order Estimate Revision List, choose File > Print.
11. Close the Change Order Estimate Cost Revision Entry window. In the Change Orders Cost Code Setup window, choose Save. Revised amounts are displayed in the Change Orders Zoom and Job Status windows.