Common use of Professional Services Labor Clause in Contracts

Professional Services Labor. (i) To the extent a Design Professional is required to prepare and/or review design documents or undertake related tasks (e.g., surveys) associated with a change in the Final Plans and Specifications, such Design Professional shall be compensated for the actual salary costs associated with the number of hours spent on such tasks for all levels below the senior designer (or equivalent) level who are directly engaged in such change. For the avoidance of doubt, no professional services management above the senior designer (or equivalent) level, or any support tasks associated with the change (irrespective of the Design Professional providing those services), including, but not limited to estimating, scheduling, contract administration, procurement and accounting shall be included by such Design Professional as a direct labor cost to the Project. These, and other, costs are included in the Overhead Markup. (ii) Time sheets will be maintained for all those professional services personnel that are covered by clause (i) above to support the hours worked on the change order tasks. The applicable Design Professional’s professional services overhead rates shall be applied to the above-referenced professional services actual labor costs in accordance with such Design Professional’s established corporate policies and accounting methodologies, as audited by Defense Contract Audit Agency (“DCAA”) or an independent auditor complying with DCAA audit requirements, and as adjusted to exclude insurance elements that are covered by the OCIP and all general liability insurance add-ons. All overhead rates will be in compliance with Federal Acquisition Regulations (“FAR”) Part 31 Cost Principles, and will be net of any and all unallowable costs as defined in FAR Part 31. Contractor agrees to provide any and all supporting documentation for such overhead rates requested by Owner, and to cooperate with Owner in its review and audit of the rates being used for application to the professional services labor.

Professional Services Labor. (i) To the extent a Design Professional is required to prepare and/or review design documents or undertake related tasks (e.g., surveys) associated with a change in the Approved and Permitted Final Plans and Specifications, such Design Professional shall be compensated for the actual salary costs associated with the number of hours spent on such tasks for all levels below the senior designer (or equivalent) level who are directly engaged in such change. For the avoidance of doubt, no professional services management above the senior designer (or equivalent) level, or any support tasks associated with the change (irrespective of the Design Professional providing those services), including, but not limited to estimating, scheduling, contract administration, procurement and accounting shall be included by such Design Professional as a direct labor cost to the Project. These, and other, costs are included in the Overhead Markup. (ii) Time sheets will be maintained for all those professional services personnel that are covered by clause (i) above to support the hours worked on the change order tasks. The applicable Design Professional’s professional services overhead rates shall be applied to the above-referenced professional services actual labor costs in accordance with such Design Professional’s established corporate policies and accounting methodologies, as audited by Defense Contract Audit Agency (“DCAA”) or an independent auditor complying with DCAA audit requirements, and as adjusted to exclude insurance elements that are covered by the OCIP and all general liability insurance add-ons. All overhead rates will be in compliance with Federal Acquisition Regulations (“FAR”) Part 31 Cost Principles, and will be net of any and all unallowable costs as defined in FAR Part 31. Contractor agrees to provide any and all supporting documentation for such overhead rates requested by Owner, and to cooperate with Owner in its review and audit of the rates being used for application to the professional services labor.