Print icon Print

Subcontractor Payment Validation: An Overview

With the PASSPort Summer 2024 release, vendors can now enter subcontractor payments directly in PASSPort, making it easier for subcontractors and the agency to confirm them.

Here is an overview of the process:

Step 1: Payment
The prime vendor makes the payment to the subcontractor (outside of PASSPort).

Step 2: Recording the Payment
The vendor records the subcontractor payment in PASSPort.

Step 3: Subcontractor Payment Validation
The subcontractor confirms receipt of the payment in PASSPort.

Step 4: Agency Payment Validation
The relevant agency verifies the payment in PASSPort.

Step 5: Publication
Once fully validated, the payment information is sent to the Comptroller’s Office and published on Checkbook NYC.

Timing of Payment Validation

Vendors can initiate the payment validation process for subcontracts that are in any of the following Subcontractor Approval statuses:

  • Pending Final Approval
  • Approved
  • Revoked

Payment Statuses Explained:

  • Draft: The prime vendor needs to record the payment to the subcontractor.
  • Pending Subcontractor Validation: The payment has been recorded by the prime vendor, and now the subcontractor must validate it.
  • Pending Agency Validation: The subcontractor has validated the payment, and it is now awaiting agency validation.
  • Validated: The payment has been fully validated and will be sent to Checkbook NYC.
  • Returned: The payment validation has been returned to the vendor by either the subcontractor or the agency for corrections and resubmission.

FAQ

Expand AllCollapse All

Click/tap or press the enter key on a question to display the answer.

What roles can complete the required steps for Payment Validation?

  • Recording the Payment: Vendor contacts with one of the following profiles: Vendor Admin, Vendor Financial L1, Vendor Financial L2, Vendor Procurement L1, and Vendor Procurement L2.
  • Subcontractor Validation: Subcontractor contacts with one of the following profiles: Vendor Admin, Vendor Financial L1, Vendor Financial L2, Vendor Procurement L1, and Vendor Procurement L2.
  • Agency Payment Validation: Payment Validator (local profile).

What if the subcontractor does not validate the payment?

PASSPort will skip the subcontractor validation step if there are no active contacts listed for the subcontractor or if the subcontractor does not validate the payment within 14 days.