Line IDs error in KKAS

Hello:

I am in a test client where i configured Product cost collector , Normal production with Production order is already in use in this client, when i am trying to calculate WIP for the the Product cost collector in KKAS , i am getting the following error

Do not create line IDs of 'Settlement' cat. when defining assignment rules

Message no. KJ354

I am not really sure what is causing this error, i have checked configuration but could not really figure out the issue. I am attaching OKGA screen shot for review of my configuration for Product cost collector WIP.

Regards