Vendor Agreement (PO25.1)
Use Vendor Agreement (PO25.1) to create and maintain vendor agreements. You can also create line level and header level commitments on a vendor agreement
Processing Effect
No commitments are built but soft edits are performed if either of these occur:
- If vendor agreement is unreleased and changed
- If a new vendor agreement is added.
If a vendor agreement is released and changed, budget edits are enforced (hard edits)
If a vendor agreement is deleted or closed, commitments are reduced and commitment records for the agreement lines are deleted.
More Information
There are five kinds of vendor agreements that you can create: Contract, Blanket, Catalog or Quote, Standing, and Service.
Vendor agreements can have several dated price structure records attached to them to allow future pricing to be held in the Purchase Order application. This also allows historical price information to be stored. The records will show markups or markdowns from a base price, and price break levels.
There are two rates designated to be retained. The first rate is initially retained from each invoice payment until the percent complete (determined by what has already been invoiced) reaches the Up to Percent Complete. The second rate is what is used for retention until the project is complete.