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How to Create a Contract

The Create Contract Wizard guides the user through generating a DRAFT contract.

There are 3 steps outlined below to enter a Contract. All Contracts will automatically default to a DRAFT status and will need to be approved, or distributed, by a secondary user with the correct permissions.

Contract Details​

Required Input Fields​

Transacting Entity​

The Transacting Entity is the internal entity executing the contract with the Counterparty

Example: Blackline Marketing, LLC

Counterparty​

The Counterparty that the Transacting Entity is executing the contract with.

Example: Eastern Propane, Inc.

Location​

The terminal at which the contract is assigned to.

Example: Newington or Providence

Product​

The commodity or product for the contract.

Example: Propane

Exposure Assist​

The automated exposure method to use for the contract. This will instruct VisViva where to move volume variances at the end of the contract's scheduling period

Exposure Assist Options​
  • Drop: Upon expiration of a scheduling period, any remaining gallons will be omitted from exposure calculations.
  • Disabled: Exposure assistance for this contract will be disabled and not transfer volume between pricing periods.
  • Push Period: Upon expiration of a scheduling period, any remaining gallons will be allocated to the next period.
  • Pop Period: Upon expiration of a scheduling period, any remaining gallons will be allocated to the last period.
  • Split Period: Upon expiration of a scheduling period, any remaining gallons will be allocated evenly to the remaining periods.

Settlement Method​

This field configures how VisViva will value the transacted gallons on the contract.

Settlement Method Options​
  • Actual Volume: Upon invoice generation the system will use the Actual Volume for a transaction.
  • Graduated Pricing: Upon invoice generation the system will use the price for each pricing period in sequential order.
  • Scheduled Volume: Upon invoice generation the system will use the Scheduled Volume for a transaction.

Volume​

The total volume of the contract with specification of unit of measurement (UOM).

Example: 5,000,000 & GAL (Gallons)

Transaction Direction​

Either a purchase or sale with the previously selected counterparty.

Example: Sale

Optional Parameters​

Tags​

Contract Tags are used to "group" or "tag" contracts for filtering purposes.

Example: 2022/2023 (The Season the contract applies to)

Digital Template​

Select which Digital Contract Template to utilize for the digital contract execution workflow. This allows for VisViva to distribute digitized versions of the contract to the counterparty for execution.

Please keep in mind, if you do not select a Digital Contract Template the Send Signature Request button below does not appear

Send Signature Request Button

Type​

Select the Contract Type for this contract.

Example: TRUCK for Truck Rack sale

Pricing & Dates​

The Pricing & Dates step allows for you to configure the Contract Price Periods.

The Contract Price Periods directly influnce the Contract Schedule, meaning that if you would like to set a Contract Lifting Schedule, you will need to have a Contract Price Period for every Contract Schedule Period.

Example: If you have a contract that starts October 1st and ends March 31st and would like to schedule 100,000 gallons for each month, you will need a Contract Price Period for each month to allow for you to schedule 100,000 gallons within each month in the next Scheduling step.

Interface Button Descriptions​

  1. Add Contract Price Period: Click to add a Contract Price Period. When you click this button the new Contract Price Period will automatically increment the Start Date and End Date by 1 month, and copy the price.
  2. Remove Contract Price Period: Click to remove a Contract Price Period. This will remove the last Contract Price Period.
  3. Fixed Price Toggle: Click to toggle if the Contract Price Period is Fixed Price or Floating Priced. When the toggle is enabled, as shown in the first Contract Price Period, the Contract Price Period is Fixed Price and will use the number entered in the Price input. When the toggle is disabled, it allows you to select an Index to base the Contract Price Period on plus the value entered in the Price input. The first row is a Fixed Contract Price Period of $1.25 per gallon, the second row is a Floating Contract Price Period of $0.35 + Mont Belvieu OPIS DOL per gallon.
  4. Complex Pricing: TBD.

Pricing & Dates Button Descriptions

Scheduling​

The Scheduling step allows for you to configure the Contract Lifting Schedule.

You will notice that the number of scheduling inputs is equal to the Contract Price Periods configured in the previous step.

Please keep in mind, the sum of scheduled gallons must be equal to the Contract's volume specified in the Contract Details step

Volume Quick Actions​

  1. Evenly Distribute: When you click this button it will evenly distribute the Contract's volume specified in the Contract Details step for each Contract Price Period schedule.
  2. Summer/Winter Ratio: When you set the Summer Ratio and Winter Ratio then click Apply Ratio the system will automatically calculate the volume to apply to each Contract Price Period schedule.

Contract Scheduling