Common use of Preliminary Estimate Reconciliation Clause in Contracts

Preliminary Estimate Reconciliation. Following reconciliation of the control estimate with the Owner and Designer, if the reconciled control estimate prepared by the XXXX contractor exceeds the Owner’s Available Funds for Construction (AFC), the XXXX contractor shall prepare and submit written recommendations to the Owner and Designer regarding appropriate actions to be taken to reduce the Project costs to an amount within the Owner’s AFC. The XXXX contractor is solely responsible for the construction budget and for preparing and updating all procurement and control estimates and distributing them to the Owner and Designer throughout the duration of the Project. The XXXX contractor shall provide continuous cost consultation services throughout the duration of the Project, including identification and tracking of decisions that affect the scope and/or quality of the project while providing ongoing updates of their cost and budget impact. The XXXX contractor shall advise the Owner and Designer immediately if the XXXX contractor has reason to believe that the most current control estimate will exceed the GMP or not meet the Owner’s requirements and will as a result recommend reasonable strategies for bringing the Project in line with the control estimate and the GMP.