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Support Measures FAQs

Updated on 8 September 2020

General

[Added on 24 July]
During this period of time when my workers are not able to resume work, what are the subsidies government is providing for my employees?

The ongoing COVID-19 outbreak has caused disruptions for many businesses in Singapore and we understand the difficulties that the construction sector is going through during this period of time.

The Government has introduced various support measures to help Built Environment firms and their employees tide over this period, such as i) manpower levies, ii) business transformation and iii) cash flow and business sustainability. These measures aim to help businesses preserve capacity and capability, and protect jobs. You may refer to the full list of support measures at BCA’s webpage: www1.bca.gov.sg/COVID-19/support-measures-for-built-environment-sector-firms/

If you have any specific support measure you wish to clarify, we will be glad to assist you further. Please write in to us via our online feedback form

[Added on 24 July]
I would like to seek for funding support for my company during this period of time. How can the government help me?

The ongoing COVID-19 outbreak has caused disruptions for many businesses in Singapore and we understand the difficulties that the construction sector is going through during this period of time.

The Government has introduced various support measures to help Built Environment firms and their employees tide over this period, such as i) manpower levies, ii) business transformation and iii) cash flow and business sustainability. These measures aim to help businesses preserve capacity and capability, and protect jobs. You may refer to the full list of support measures at BCA’s webpage: www1.bca.gov.sg/COVID-19/support-measures-for-built-environment-sector-firms/

If you have any specific support measure you wish to clarify, we will be glad to assist you further. Please write in to us via our online feedback form.

Construction Restart Booster

General
[Added on 24 July]
How do I know if my company is eligible for the Construction Restart Booster package?

The Construction Restart Booster comprises of two separate components:

(i)      COVID-Safe firm-based support for all firms employing construction workers as at 27 Jun 2020.
(ii)     COVID-Safe project-based support for main contractors with ongoing construction projects as at 27 Jun 2020.

For more details and its qualifying criteria, please refer to the circular on Construction Restart Booster.

[Updated on 6 August]
I have successfully registered and logged in to Vendors@Gov, what are the next steps to apply for the support?
For the COVID-Safe firm-based support, no application is required. Support will be credited through GIRO to firm’s bank account (registered with Vendors@Gov).

For the COVID-Safe project-based support, main contractors must apply through https://go.gov.sg/construction-restart-booster by 7 August 2020 or 7 September 2020.

For further details, please refer to our circular on the Construction Restart Booster.
 
[Updated on 20 August]
The Vendors@Gov webpage shows that I need to reactivate my account and the current status is pending approval. Will this affect my validity of receiving the support? Will the support still be credited to my bank account?

If you have created/reactivated your vendor record at Vendors@Gov with a DBS, POSB, Citibank, OCBC or UOB bank account, it will take up to 3 working days for your vendor record to be automatically processed. If your bank account is not listed above, vendor should submit an original bank endorsed hardcopy of the Direct Credit Authorisation (DCA) form for the approval of their bank account. You may also refer to FAQs at Vendors@Gov website for more information.

For the COVID-Safe firm-based support, we have included another registration deadline on 20 Sep 2020 for firms to receive the support by 30 Sep 2020. 

[Added on 24 July]
How do we know that our company bank account is registered with Vendors@Gov?

Vendors can view and update their vendor record details through Vendors@Gov Portal. To view or update your vendor record details, you may login to Vendors@Gov Portal and navigate to ‘Update Vendor Details’.  For more information, please refer to ‘Create and Update Vendor Record Guide’. You may also refer to FAQs at Vendors@Gov website for more information. 


COVID-Safe Firm-Based Support
[Added on 13 July]
Does the COVID-Safe firm-based support apply to main contractors only? Can subcontractors apply?

The support applies to all firms employing construction workers. There is no need to apply. However, as the support will be credited to all eligible firms through GIRO, firms should have a bank account registered with Vendors@Gov. If your firm does not have a bank account registered with Vendors@Gov, you can do so at http://www.vendors.gov.sg

[Updated on 20 August]
What is the date and frequency of the support?

This one-off support will be credited directly to eligible firms through GIRO. To receive the support by 31 July, 31 August or 30 September 2020, firms should have a valid bank account registered with Vendors@Gov by 20 July, 20 August or 20 September 2020, respectively.

[Added on 13 July]
Our company has construction workers, but is not a main contractor. Do we qualify for the support?

Yes, all firms with a construction workforce as at 27 June 2020 will qualify. The intention of this support is to defray the cost of meeting COVID-Safe Worksite requirements for your workforce.

[Added on 24 July]
Are all my WP and S Pass workers entitled to the $400 subsidy? Is there any criteria they need to meet to qualify?

COVID-Safe firm-based support is applicable for all firms employing construction workers as at 27 Jun 2020. For more details, please refer BCA’s circular on Construction Restart Booster

[Added on 24 July]
Does the support apply to our Work Permit Holders (WPHs) and S-Pass holders appointed in the head office who do not go to site?

$400 per construction worker employed would be provided, regardless of whether of they are at head office or at site. 

[Added on 24 July]
Is this support based on each employee and one time only?

Yes, the firm-based support provides employers with $400 per construction worker employed to help firms offset the additional compliance costs incurred. This is a one-off support. 

[Added on 13 July]
What if I have more than one project?

The support is on a per firm basis, and is not dependent on the number of projects. Each firm will receive a one-off support based on its workforce as at 27 June 2020. 

[Added on 13 July]
Do we need to provide any supporting documents?

No, you do not need to provide any supporting documents.

[Updated on 20 August]
How do we receive the support?

The support will be credited to all eligible firms through GIRO. To receive the support by 31 Aug 2020, your firm should have a bank account registered with Vendors@Gov by 20 Aug 2020. If your firm is unable to register a bank account with Vendors@Gov by 20 Aug 2020, you must do so latest by 20 Sep 2020 to receive the support (which will be by 30 Sep 2020).

If your firm does not have a bank account registered with Vendors@Gov, you can do so at http://www.vendors.gov.sg.  We seek your kind attention to do so latest by 20 Sep 2020, to qualify for the COVID-Safe firm-based support.

[Added on 15 July]
How do I register or login to Vendors@Gov portal?

Please visit Vendors@Gov FAQs for login/registration instructions. Other FAQs such as updating vendor record details may also be found via the same link.


COVID-Safe Project-Based Support
[Added on 24 July]
Does the COVID-Safe project-based support apply to main contractors only? Can subcontractors apply?

The COVID-Safe project-based support is for additional costs related to ensuring project sites comply with COVID-Safe requirements including safe distancing measures (e.g. worker demarcation, barricades). Thus, the support is given to main contractors who are responsible for implementing these measures for their projects.

[Added on 24 July]
Does the COVID-Safe project based support apply to private projects?

The COVID-Safe project-based support applies to all ongoing construction projects as at 27 Jun 2020. This includes both private and public projects.

[Added on 24 July]
We are a utility contractor laying high tension cable underground under Construction Account work. However, the nature of our work does not require any Permits to Commence Work from BCA. Are we still eligible for COVID-Safe Project-Based Support Scheme?

Projects that do not have a valid project reference number and permit to commence work from BCA are not eligible for the COVID-Safe project-based support.

[Added on 24 July]
For firms performing insignificant building works (i.e. works that do not require a structural permit from BCA and hence do not have a BCA Project Reference Number.), will they qualify for the support?

Projects that do not have a valid project reference number and permit to commence work from BCA are not eligible for the COVID-Safe project-based support.

[Added on 24 July]
We are an outdoor playground contractor under the construction industry. However, we do not have a valid project reference number from BCA. The project reference will come from the various Town Councils. Will we be able to tap on the COVID-Safe project-based support as we will need to implement all the safety measurements as well?

Projects that do not have a valid project reference number and permit to commence work from BCA are not eligible for the COVID-Safe project-based support.

[Added on 24 July]
Our project comprises of two phases namely: main building and underpass construction. TOP has been obtained for the main building while underpass is still under construction. Is our project still eligible for COVID-Safe project-based support?

Yes, this will still be considered an ongoing project. You may submit an application.

[Updated on 8 September]
What is the date and frequency of the support?

Support will be by 30 September 2020 (for bank accounts registered by 20 September 2020) or 31 October 2020 (for bank accounts registered by 20 October 2020). This is a one-off support.

[Added on 10 August]
What are the information and documents needed for application?

To apply, firms should provide the following:

a)   List of ongoing main contract construction projects as at 27 June 2020
b)  Project details (e.g. project reference number, permit number for “Permit to Commence Work”, project title, tender number, tender award value, project commencement and completion dates, whether project has obtained Temporary Occupation Permit (TOP) or Certificate of Statutory Completion (CSC)
c)   Supporting documents indicating the project contract value (e.g. Letter of Award from client)
d)  Contact information of Managing Director / Chief Executive Officer
e)  Contact information of respondent

[Added on 13 July]
Do I need to make multiple applications if I have more than one ongoing construction project?

Only one application is needed. You should indicate all your ongoing construction projects in the application form.  Please do not indicate projects that are already completed (obtained TOP as at 27 June 2020) as it will be treated as an improper declaration and may render your application invalid.

[Updated on 8 September]
How do we receive the support?

The support will be credited directly to eligible firms through GIRO. To receive the support by 30 September 2020, firms must have a bank account registered with Vendors@Gov by 20 September 2020. If your firm is unable to register a bank account with Vendors@Gov by 20 September 2020, you must do so by 20 October 2020 to receive the support (which will be credited by 31 October 2020).

If your firm does not have a bank account registered with Vendors@Gov, you can do so at http://www.vendors.gov.sg. We seek your kind attention to do so latest by 20 October 2020, to qualify for the COVID-Safe project-based support. 

[Added on 15 July]
How do I register or login to Vendors@Gov portal?

Please visit Vendors@Gov FAQs here for login/registration instructions. Other FAQs such as updating vendor record details may also be found via the same link.

[Updated on 8 September]
I have successfully registered and logged in to Vendors@Gov, what are the next steps to apply for the support?

For the COVID-Safe project-based support, main contractors must apply through https://go.gov.sg/construction-restart-booster by 7 September 2020 or 7 October 2020.

For further details, please refer to our circular on the Construction Restart Booster.

[Updated on 24 July]
The https://go.gov.sg/construction-restart-booster form requires me to provide Project Reference Number (or BP number) and Permit Number for “Permit to Commence Work”. Where can I find these?

They can be found in the Permit to Commence Work where:
a. Project reference number (or BP number) refers to “Our ref” number
b. Permit Number refers to "Application ref no." 

Please refer to the image below below:
ref numbers

[Added on 24 July]
What does the “Tender Number” in the https://go.gov.sg/construction-restart-booster form refer to?

Tender number refers to the reference number of the tender document. We understand that some projects may not have a tender number. In this case, you may leave the field blank.

[Added on 24 July]
Can additional variation order from the project be considered in the claimable contract value?

No, Variation Orders should not be included in the contract value.

[Added on 24 July]
Besides “proof of tender award and value (e.g. LOA)”, do we have to submit documents to substantiate the support amount claimed (e.g. Quotation, works done, equipment/material purchased, COVID-safe site plan etc)?

For proof of project value, you will only need to submit the Letter of Award (LOA) from the client, indicating the project value. 

[Added on 24 July]
If the project value is revised after the initial tender, which contract value shall we enter during the application?

For the purpose of the application, please indicate the tender award value during tender award and provide the supporting documents (e.g. Letter of Award from client).

[Added on 24 July]
If the LOA is issued before 27 Jun 2020, but Project Reference Number and Permit to Commence Work from BCA are not obtained, is the contractor eligible for the COVID-safe project based support?

Only ongoing construction projects with valid project reference numbers and permits to commence work from BCA are eligible for the COVID-Safe project-based support. If the permit to commence work has been not obtained yet, it will not considered as an ongoing construction project and hence, not eligible for the support.

[Updated on 8 September]
I have successfully registered and logged in to Vendors@Gov, what are the next steps to apply for the support?

For the COVID-Safe project-based support, main contractors must apply through https://go.gov.sg/construction-restart-booster by 7 August 2020 or 7 September 2020.

For further details, please refer to our circular on the Construction Restart Booster.

 


Co-sharing of Prolongation Costs

[Updated on 3 July]
Will there be any co-sharing of the additional costs borne by contractors?

Public sector will take the lead to co-share on an ex-gratia basis, 50% of the prolongation cost for delays due to (i) the Circuit Breaker and Controlled Restart, and (ii) loss of productivity in compliance with COVID-Safe requirements for public sector construction contracts. The co-sharing will be up to 0.2% of contract sum per month of delay, capped at 1.8% of contract sum. Please refer to Circular on Ex-Gratia Co-Sharing of Prolongation Costs due to COVID-19, dated 29 June 2020, here for more details.

BCA is also working with Real Estate Developers’ Association of Singapore (REDAS) to encourage developers undertaking private sector projects to lend their support and similarly practise such shared responsibility.

[Updated on 27 June]
Will consultants be eligible to claim for prolongation costs due to the Circuit Breaker / Controlled Restart?

No. However, we recognise that Consultants will incur additional costs as well, which is why the enhanced Jobs Support Scheme (JSS) previously announced covers consultants.

[Updated on 3 July]
What are the items that may be claimed under the support for prolongation costs?

Generally, this cover non-manpower operating expenses incurred due to delays arising from (i) the Circuit Breaker and Controlled Restart, and (ii) the loss of productivity in compliance with the COVID-Safe requirements. Please refer to Circular on Ex-Gratia Co-Sharing of Prolongation Costs due to COVID-19, dated 29 June 2020, here for more details.

[Updated on 3 July]
The co-sharing of prolongation costs only applies to public sector construction projects. Will the private sector construction projects be provided with similar support?

BCA is working with the Real Estate Developers’ Association of Singapore (REDAS) to encourage developers undertaking private sector projects to lend their support and similarly practise such shared responsibility.


Covid-Safe Accommodation Criteria Support

[Updated on 27 June]
What form of assistance is provided for Construction Temporary Quarters (CTQs) or Temporary Occupation License Quarters (TOLQs) under the COVID-Safe Accommodation Criteria?

The Government provides cashflow assistance for contractors to build CTQs / TOLQs in order to comply with the COVID-Safe Accommodation requirement. Firms may apply for government’s Temporary Bridging Loan Programme (TBLP) to secure low-interest loans in building CTQs/TOLQs. Application for the loans may be made through preferred local banks.


Extension of Time (EOT)

[Updated on 3 July]
How does a contractor / consultant handle an application for Extension of Time (EOT) arising from the circuit breaker?

An application for EOT has to be assessed according to specific contract provisions. We encourage firms to seek their own legal advice on the interpretation of the contract provisions and the COVID-19 (Temporary Measures) Act 2020.

The public sector has advised Government Procuring Entities to take a sympathetic view when evaluating contractors’ applications for EOT. BCA is also working with REDAS to encourage developers undertaking private sector projects to offer similar support and similarly practise such shared responsibility.


Job Support Scheme (JSS)

[Added on 24 July]
How do I know if my company qualifies for the enhanced 75% JSS support?

The Construction sector is deemed not to have restarted in Jun-Aug.  All Built Environment (BE) Construction and Consultancy firms as defined below will qualify for the enhanced JSS. This is applicable regardless whether firms have started work. For the enhanced JSS, the Government will co-fund 75% of the first $4,600 of gross monthly wages for each Singapore Citizen and Permanent Resident employee from BE construction / consultancy firms, covering wages from Jun to Aug 2020. The payout will be in Oct 2020. No application is required.

Qualifying Criteria:
- Built Environment must be classified under SSICs 41, 42, or 43.
- Built Environment consultants must be:
   >registered with the Public Sector Panel of Consultants (PSPC); or
   >classified under SSICs 71111, 71113, 71121, or 71125

For more details, please refer to IRAS website on JSS enhancements for specific industries.

[Updated on 27 June]
Will Jobs Support Scheme (JSS) still apply for companies who have received BCA’s approval to start work?

All BE Construction and Consultancy firms as defined below will qualify for the enhanced JSS. This is applicable regardless whether firms have started works. For the enhanced JSS, the Government will co-fund 75% of the first $4,600 of gross monthly wages for each Singapore Citizen and Permanent Resident employee from BE construction / consultancy firms, covering wages from Jun to Aug 2020. The payout will be in Oct 2020.

Qualifying Criteria:

  • Built Environment contractors must classified under SSICs 41, 42, or 43.
  • Built Environment consultants must be:
    • Registered with the Public Sector Panel of Consultants (PSPC); or
    • classified under SSICs 71111, 71113, 71121, or 71125
[Added on 24 July]
May I confirm that JSS support is 75% for the Construction sector companies from Jun-Aug 2020? IRAS website seems to indicate that we are only entitled to 25% JSS support?

The Construction sector is deemed not to have restarted in Jun-Aug.  All BE Construction and Consultancy firms as defined below will qualify for the enhanced JSS. This is applicable regardless whether firms have started works. For the enhanced JSS, the Government will co-fund 75% of the first $4,600 of gross monthly wages for each Singapore Citizen and Permanent Resident employee from BE construction / consultancy firms, covering wages from Jun to Aug 2020. The payout will be in Oct 2020. No application is required.

Qualifying Criteria:
- Built Environment must be classified under SSICs 41, 42, or 43.
- Built Environment consultants must be:
   >registered with the Public Sector Panel of Consultants (PSPC); or
   >classified under SSICs 71111, 71113, 71121, or 71125

For more details, please refer to IRAS website on JSS enhancements for specific industries.

[Added on 24 July]
My firm does not meet the Qualifying criteria for the enhanced JSS, but we are part of the Construction sector (e.g. supply materials/ provide services to construction firms). Can we apply for the enhanced JSS?

The enhanced JSS is only for Built Environment construction / consultancy firms which meet the qualifying criteria below. 

Qualifying Criteria:
- Built Environment must be classified under SSICs 41, 42, or 43.
- Built Environment consultants must be:
   >registered with the Public Sector Panel of Consultants (PSPC); or
   >classified under SSICs 71111, 71113, 71121, or 71125

For more details, please refer to IRAS website on JSS enhancements for specific industries.
You may also refer to the full list of support measures for Built Environment firms on the BCA website.


Foreign Worker Levy Waiver and Rebate

[Added on 24 July]
How do I apply for the FWL waiver and rebate for June and July?

On foreign worker levy rebates and waivers, pls refer to MOM's website for more details.

[Updated on 27 June]
Will construction companies be eligible for the extended Foreign Worker Levy waiver and rebate if their projects have yet to restart?

The Foreign Worker Levy waiver and rebate in Jun and Jul 2020 are applicable regardless whether construction firms have started works, subject to MOM’s conditions. For more details, pls refer to MOM’s website.


Swab Tests Support

[Updated on 10 August]
Are clients, consultants, RTOs, REs and technicians eligible for the swab tests cost support?

The Government will fund the cost of swab tests for construction projects until 31 March 2021. The above-mentioned personnel are eligible for the swab tests cost support.

Yes. As announced on 27 Jun 2020, the Government will continue to bear the costs of COVID-19 testing for the construction sector until 31 Mar 2021, to help ensure a safe restart of the construction sector. Starting from 1 Aug 2020, employers will need to schedule appointments for periodic swab test for their workers through the online Swab Registration System (SRS) at https://swab.hpb.gov.sg/ext/login.aspx. Employers can create an account via https://go.gov.sg/reg-srs-acc if they do not have a SRS account. Personnel will not be required to pay for the swab tests arranged through SRS.


Co-funding Salaries of Safe Management Officers (SMOs)

[Added on 24 July]
Where can I find more information about the scheme and its qualifying criteria
?

For more information, please refer to our media release on Construction Support Package (dated 27 Jun 2020) at BCA’s website. More details will be shared when available.

[Added on 24 July]
Is the scheme only applicable for main contractors? Are SMOs appointed by sub-contractors applicable for the scheme as well
?

The scheme is only applicable for main contractors where one SMO is allocated to a unique construction project, in compliance with the COVID-Safe Worksite requirements.

[Added on 24 July]
Does the scheme apply to those working at HQ office
?

The SMO wage support scheme is only applicable to SMOs appointed at construction project sites. It is not applicable for those appointed at office/commercial workspaces.

[Added on 24 July]
Does this scheme apply to other sectors with works related to construction activities? E.g. We supply noise monitoring system and equipment servicing for construction sites. We have an appointed SMO for our operation teams. Does our SMOs qualify for the scheme
?

The scheme is only applicable for main contractors where one SMO is allocated to a unique construction project, in compliance with the COVID-Safe Worksite requirements.

Is there co-funding of Safe Management Officers (SMO) salary for FM personnel?

The SMO wage support scheme is only applicable to SMOs appointed at construction project sites. It is not applicable for those appointed at office/commercial workplaces.

[Added on 27 June 2020]
In order to qualify for the SMO wage support scheme, does the SMO need to be a new hire or can he/she be an existing staff?

The supportable SMO can be a new hire or an existing staff, provided that he/she fulfils the qualifying criteria.

[Added on 27 June 2020]
Why doesn’t the SMO wage support scheme cover the period from June to August 2020? Why does the SMO wage support scheme only commence in Sep 2020?

The Government is already providing the Jobs Support Scheme (JSS) to support manpower costs from Jun to Aug 2020. As such, the SMO wage support will commence thereafter.

[Added on 27 June 2020] 
On SMO wage support, is there a support cap on number of eligible employees within a company?

There is a support cap of one SMO for each construction project as per COVID-Safe Worksite requirements. For example, a company with 5 project sites can be supported for 5 SMOs. These SMOs must meet the qualifying criteria.

[Added on 24 July]
What are the procedures and required documents for the claim
?

The SMO wage support scheme is only applicable to SMOs appointed at construction project sites. It is not applicable for those appointed at office/commercial workplaces.


Advance Payment for Public Sector Construction Contracts

[Added on 30 June]
Does the “Circular on Advance Payment for Public Sector Construction Contracts to Facilitate the Restart of Works”, dated 29 Jun 2020,  apply to all construction contracts

No. It only applies to public-sector projects undertaken by Government agencies. As such, it does not apply to projects under private entities. Nonetheless, contractors could discuss the arrangement with their clients.

[Added on 30 June]
Does the “Circular on Advance Payment for Public Sector Construction Contracts to Facilitate the Restart of Works”, dated 29 Jun 2020, apply to maintenance contracts (eg. maintenance of lifts, air-cons etc) or term contracts? 

No, it only applies to public sector construction contracts.

[Added on 30 June]
Is it mandatory for main contractor to claim for the Advance Payment (AP)?

It is not mandatory for main contractors to claim for AP.

 As most construction works have been suspended during the Circuit Breaker (CB) and restart period, most contractors would not receive much progress payment until works resume.

Hence, we strongly encouraged main contractors to assist and work out a mutually acceptable arrangement with their subcontractors or suppliers such that they will have cashflow to tide over this period. Main contractors can also claim AP from the Government agencies so as to be disburse to the subcontractors or suppliers who may be in need of the AP. We hope to avoid a situation where main contractors fail to claim AP, and their subcontractors and suppliers suffer from cashflow issues during this period.

[Added on 30 June]
Are suppliers (e.g. rental of equipment etc) entitled to the same AP as subcontractors? 

It is dependent on the payment arrangement stated in the contract and whether the stop work period has affected the payment for material or equipment suppliers. For example, if the main contractor is paying for the rental of equipment during the stop work period, there is no need to pay equipment suppliers the AP.

[Added on 30 June]
If I carried out the project without any subcontractors or suppliers, am I also entitled to claim for the AP? 

Yes.

[Updated on 6 July]
What is the deadline for the submission of the claim? Will I still be eligible for the claim if I were to submit it after the deadline?

The claim for first tranche (i.e. April 2020) and second tranche (i.e. May 2020) must be submitted by 30 April 2020 and 8 June 2020 respectively. Subsequently, main contractors are allowed to submit AP claims at monthly intervals, until approval to restart is obtained from BCA. The main contractor shall only submit claim for one month of AP each time. Late claims will not be entertained by the agencies.

[Updated on 6 July]
How is the apportionment of AP to the main contractor and subcontractors/suppliers computed.

From government agency to main contractors:
The amount of AP covering CB period from 7 April 2020 to 4 May 2020 would be computed based on 50% of the average monthly amount of certified progress payments in past 3 months received by the main contractor, capped at 2.5% of contract sum or $5 million, whichever is lower. The amount of each subsequent AP shall be calculated based on (i) AP amount certified in previous tranche or (ii) 50% of the average monthly payment based on past 3 most recent certified monthly payments, if no AP was certified in previous tranche. Each AP quantum shall be capped at 2.5% of the awarded contract sum or $5mil, whichever is lower. The total cumulative AP for each contract is capped at 5% of the awarded contract sum or $10mil, whichever is lower.

From main contractors to subcontractors/suppliers:
Main contractors need not equally apportion the payment to their subcontractors or suppliers. Main contractors can use similar computation to decide how much AP to be apportioned, i.e. to provide AP quantum based on 50% of what the subcontractor should be receiving during the CB (estimated using average monthly payment to the subcontractors in the past 3 months) for CB period from 7 April 2020 to 4 May 2020 or estimate the AP amount based on (i) the AP amount certified in previous tranche or (ii) 50% of the average monthly payment based on past 3 most recent certified monthly payments, if no AP was certified in the previous tranche.

[Added on 30 June]
How do we compute the amount of AP for newly awarded projects that do not have any progress payments or less than 3 certified progress payments thus far?

It can be computed based on the cashflow projection for the project or the available numbers of certified progress payment or a combination of the two methods.

[Added on 30 June]
What can the main contractor do if the AP received from the government agency is lesser than the sum of subcontractors’ AP claim? 

The amount of AP to the main contractor is computed based on (i) AP amount certified in previous tranche or (ii) 50% of the average monthly payment based on past 3 most recent certified monthly payment, if no AP was certified in previous tranche. Main contractors may use similar computation to decide how much AP to be apportioned to their subcontractors / suppliers. Notwithstanding, main contractors are not expected to pass down to their subcontractors / suppliers more than what they have received from the government agencies. For example, if the AP received from the government agency is $1mil, the main contractor may apportion amount received to their subcontractors and suppliers involved in the construction works during the CB. The basis of using 50% of average monthly amount of certified progress payments in past 3 months is just one of the methods to estimate the amount of progress payment that the contractor is supposed to receive during the CB. The exact amount that the subcontractor/supplier would receive still depends on the actual amount of AP received by the main contractor from the government agency. However, the main contractor shall use his best efforts to apportion the AP on a fair basis.

[Added on 30 June]
Is this AP claim over and above the progress claim for work done during CB, which the main contractor will be claiming separately?

Yes, this AP claim is in addition to the progress claim for work done, if any, during the CB. Contractors can submit the claim for AP in their regular progress payment claim or as a standalone payment claim.

[Added on 30 June]
Upon submission of the AP claim, when will the AP certificate be issued and when will the AP be made to the main contractor?

The issuance of the payment certificate and payment will be made in accordance to the main contract provisions or as advised by the government agencies.

[Added on 30 June]
When should main contractor pay the AP to subcontractors or suppliers?

The main contractor shall pay the AP to subcontractors or suppliers according to the terms stated in their respective subcontracts. Main contractor shall submit Payment Responses issued to their subcontractors or suppliers, to the government agency, within 14 days of the receipt of the Payment Certificate of AP from the government agency.

[Added on 30 June]
Can the main contractor request for a security deposit (SD) or performance bond from subcontractors or suppliers for the AP?

For contracts where there are already existing provisions such as security deposit (SD) and/or retention monies to safeguard main contractor’s interest, main contractors can rely on the existing provisions.

 To minimise risks, if the AP amount to the subcontractors or suppliers exceeds the amount under the existing security deposit and/or retention monies, main contractors may discuss with their subcontractors or suppliers on suitable mechanisms to safeguard the AP provided. During this difficult period, we appeal to all members of the construction sector to support each other. Without the AP, some subcontractors or suppliers could face cashflow problems and may become insolvent.

[Updated on 6 July]
What if the main contractor does not pass down the AP to their subcontractor or supplier?

Where a main contractor fails to pass on the AP to its subcontractors or suppliers, the AP shall be recovered in full in the next immediate progress payment. The main contractor’s performance assessment will also be accorded a “Poor” rating by the Government agency.

BCA may review the CRS registration status of the CRS registered contractor upon feedback on failure to pass down the AP received. 


Dormitory Support

[Added on 24 July]
Is there any support from Government to build CTQs?

The Government provides cashflow assistance for contractors to build CTQs / TOLQs in order to comply with the COVID-Safe Accommodation requirement. Firms may apply for government’s Temporary Bridging Loan Programme (TBLP) to secure low-interest loans in building CTQs/TOLQs. Application for the loans may be made through preferred local banks.

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CWRS

The Construction Workforce Registration System (CWRS) is an online portal for CoreTrade and Multi-skilling registration and the renewal of Direct R1 eligibility.

Online Registration for Verification System

ORV allows you to register the workers for Identity Verification and check your registration status online.

Online PTO System

Lift and escalator owners, contractors and Authorised Examiners (AEs) can apply for and view applications for Permit to Operate (PTO) here.