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Procore Support (en-au)

Are there any system limitations when projects have multiple head contracts?

Background

After creating one (1) or more head contracts for your construction project, you can then update its Schedule of Values (SOV). For details, see Update the Schedule of Values (SOV) on a Head Contract.

 Tip

When to Create a Single Head Contract

Most Procore customers choose to create a single head contract for a single construction project. This is the simplest way for general contractors to manage the change process, particularly when a construction project has a single project owner or funding source. 

When to Create Multiple Head Contracts

If a project has multiple funding sources and/or project delivery methods, it may lead a head contractor to create multiple head contracts:

  • Multiple Funding Sources. A project can have many owners. In some scenarios, the head contractor may also be partially funding the job.
  • Multiple Stages. A project can be portioned into stages. For example, you might require separate head contracts for pre-construction, course of construction and aftercare/maintenance.
  • Multiple Phases. A project can be portioned into phases. For example, you might require separate head contracts for the foundation, plumbing, HVAC and so on.
  • Guaranteed Maximum Price (GMP) Contracts. A project can be fast-tracked or a phased GMP job. For example, you might require multiple head contracts for each established scope-of-work package.
  • Construction Manager as Agent (CMa) Delivery Methods. A head contractor operating as a CMa might need to manage multiple head contracts between an owner and various contractors.

Answer

Yes. When using the Head Contracts tool to create multiple head contracts on a single construction project, please be aware of these limitations:

  • While you can import budget line items to a Head Contract's Program of Values (SOV), you do NOT have the ability to choose which budget line items that you want to import
    Please be aware that you must import all of a budget's line items to each head contract. Because most customers with multiple head contracts typically only want to import certain line items from their budget, use caution before using the project budget to create your head contract's SOVs (see Create a Head Contract SOV from the Project Budget). Doing so can lead to a need to delete the unwanted line items from each head contract's SOV. To avoid this extra step, Procore recommends that you choose a different method to add line items to the head contract's SOV. For more information, see Update the Program of Values on a Head Contract.
  • You will be limited to one (1) set of granular permissions for each project
    Procore does NOT support the creation of unique granular permissions for each contract on a project. See Grant Granular Permissions in a Permission Template.
  • You will NOT be able to sort, add filters or group report data from the Head Contract tool in other tools
    You will NOT be able to sort change events by each head contract in the Change Events list page. To workaround this limitation, Procore recommends building a custom project report to show financial data that is sorted, filtered or grouped by it's respective head contract. See Create a Custom Project Report.
  • You will NOT have the ability to map your commitments or automatically complete cost data
    You will not be able to map purchase orders and subcontracts to more than one head contracts. The system will also be restricted from automatically completing cost data. If the same cost code & cost type combination is used on more than one (1) head contract, the system will not be able to automatically complete the direct cost amount and/or subcontractor progress claim amount to your owner progress claim. To avoid this limitation, you can create a unique billing period or sub job for each head contract.

See Also