Common use of RESPONSIBILITY FOR CONSTRUCTION COST Clause in Contracts

RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 Evaluations of the Owner’s Project budget, and Detailed Estimates of Construction Cost, prepared by the Engineer, represent the Engineer’s best judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Engineer nor the Owner has control over the cost of labor, materials or equipment, over the Contractor’s methods of determining bid prices, or over competitive bidding, market or negotiating conditions. Accordingly, the Engineer cannot and does not warrant or represent that bids or negotiated prices will not vary from the fixed limit of construction cost, or from any cost estimate or evaluation prepared by the Engineer. 5.2.2 The Engineer shall be permitted to include reasonable contingencies for bidding and price escalation, to determine what materials, equipment, component systems and types of construction are to be included in the Construction Documents, to make reasonable adjustments in the scope of the Project, if approved by the Owner, in order to avoid exceeding the fixed limit of construction cost. 5.2.3 If the bidding or Negotiation Phase has not commenced within three months after the Engineer submits the Bid Documents to the Owner, the fixed limit of Construction Cost shall be adjusted to reflect any documented change in the general level of prices in the construction industry between the date of submission of the Bid Documents to the Owner in accord with the approved schedule, and the date on which proposals are sought. 5.2.4 If the fixed limit of Construction Cost is exceeded by the lowest responsible and responsive bid, the Owner shall (1) give written approval of an increase in such fixed limit, (2) authorize re- bidding or negotiation of the low bid within a reasonable time, (3) if the Project is abandoned, terminate this Agreement, or (4) cooperate in revising the Project scope and quality as required to reduce the Construction Cost. In the case of (4), the Engineer, without additional compensation, shall modify the Bid Documents as necessary to comply with the fixed limit. The providing of such service shall be the limit of the Engineer’s responsibility, and having done so, the Engineer shall be entitled to compensation for all other services performed, in accordance with this Agreement, whether or not the Construction Phase is commenced.

Appears in 2 contracts

Samples: Agreement Between Owner and Engineer, Engineering Services Agreement

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RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 4.2.1 Evaluations of the Owner’s District's Project budget, Statements of Probable Construction Cost and Detailed Estimates of Construction Cost, as prepared by the EngineerArchitect's construction estimator, represent the Engineer’s Architect's best judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Engineer Architect nor the Owner District has control over the cost of labor, materials or equipment, over the Contractor’s 's methods of determining bid prices, or over competitive bidding, market or negotiating conditions. Accordingly, the Engineer Architect cannot and does not warrant or represent that bids or negotiated prices will not vary from the fixed limit of construction costProject budget proposed, established or approved by the District, if any, or from any Statement of Probable Construction Cost or other cost estimate or evaluation prepared by the EngineerArchitect. 5.2.2 The Engineer shall be permitted to include reasonable contingencies for bidding and price escalation4.2.2 If, to determine what materials, equipment, component systems and types of construction are to be included in the Construction Documents, to make reasonable adjustments in the scope through no fault of the ProjectArchitect, if approved by the Owner, in order to avoid exceeding the fixed limit of construction cost. 5.2.3 If the bidding Bidding or Negotiation Phase has not commenced within three months after the Engineer Architect submits the Bid Construction Documents to the OwnerDistrict, the Project budget or fixed limit of Construction Cost shall be adjusted to reflect any documented change in the general level of prices in the construction industry between the date of submission of the Bid Construction Documents to the Owner in accord with the approved schedule, District and the date on which proposals are sought. 5.2.4 4.2.3 If the a Project budget or fixed limit of Construction Cost (adjusted as provided in Subparagraph 4.2.2) is exceeded by the lowest responsible and responsive bidbona fide bid or negotiated proposal, the Owner District shall (1) give written approval of an increase in such fixed limit, (2) authorize re- bidding rebidding or negotiation renegotiating of the low bid Project within a reasonable time, (3) if the Project is abandoned, terminate this AgreementAgreement in accordance with Paragraph 10.2, or (4) cooperate in revising the Project scope and quality as required to reduce the Construction Cost. In the case of (4), because a fixed limit of Construction Cost has been established as a condition of this Agreement, and such fixed limit contains a 5% contingency, and the EngineerArchitect has been given special charge over the scope of the work and packaging of alternates in order not to exceed the fixed limit of construction cost, the Architect, without additional compensationcharge, shall modify the Bid Documents as necessary Drawings and Specifications and prepare bid documents to comply with the fixed limit. The providing of such service shall be the limit of the Engineer’s responsibility, and having done so, the Engineer shall be entitled to compensation for all other services performed, in accordance with this Agreement, whether or not the Construction Phase is commencedlimits.

Appears in 2 contracts

Samples: Owner/Architect Agreement, Owner/Architect Agreement

RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 3.2.1 Evaluations of the Owner’s 's Project budgetBudget, statements of probable Construction Cost and Detailed Estimates detailed estimates of Construction Cost, if any, prepared by the EngineerConsultant, represent the Engineer’s best Consultant's professional judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Engineer Consultant nor the Owner has control over the cost of labor, materials or equipment, over the Contractor’s 's methods of determining bid prices, or over competitive bidding, market or negotiating conditions. Accordingly, the Engineer Consultant cannot and does not warrant or represent that bids or negotiated prices will not vary from the fixed limit of construction costProject Budget proposed, established or approved by the Owner, if any, or from any statement of probable construction cost or other cost estimate or evaluation prepared by the EngineerConsultant. At each stage of the Pre-Construction Phase, the Consultant may elect to produce his own estimate or may use the estimate prepared by the Contractor and review it to assure the Owner of the completeness and reasonable accuracy. 5.2.2 The Engineer 3.2.2 All work to be designed by the Consultant at each phase of the BASIC SERVICES shall be within the Owner's written construction budget, Contractor Guaranteed Maximum Price, or Construction Contract Award Price (CCAP) shown in Exhibit A, and subsequent revisions approved in writing by the Owner. In the event that any corresponding estimate of construction costs prepared by the Consultant, or independently through the Owner, or by the Contractor exceeds the budget amount by the percentages shown in Paragraphs 1.1.6, 1.2.3 and 1.3.6 or is in excess of the said Budget, the Consultant shall revise, at his own cost and expense, and in cooperation with the Contractor, all or any part of the Drawings and Specifications of the Project that the Owner requires, subject to the written approval by the Owner When an Owner provided cost estimate conflicts with that provided by the Consultant or Contractor, the Consultant, Contractor and Owner’s cost estimator shall resolve the differences and the Consultant shall make any changes required by this contract, prior to proceeding to the next design phase, release of documents for bidding pricing or construction, or the Owner's acceptance of the Contractor's GMP. 3.2.3 No fixed sum of Construction Contract Award Price (CCAP) shall be established as a condition of this Agreement by the furnishing, proposal or establishment of a Project Budget, unless such fixed sum has been agreed upon in writing and is shown as Exhibit A or an amendment to this contract. If such a fixed sum has been established, the Consultant shall be permitted to include reasonable contingencies for bidding design, <bidding> pricing by the Contractor and price escalation, to determine in consultation with the Owner and the Contractor what materials, equipment, component systems and types of construction are to be included in the Construction Contract Documents, and work with the Contractor to make reasonable adjustments in the scope of the Project, if or include additive bid alternates subject to Owner approval. Changes to such items, adjustments, or inability to accept bid alternates shall not render the project unusable or over budget. All such items or adjustments shall be approved by the Owner, Owner and be acceptable to the Contractor. Any fixed CCAP shall be adjusted by the amount of any increase in order to avoid exceeding the fixed limit Contract Sum occurring after execution of construction costthe Contract for Construction. 5.2.3 3.2.4 <If the bidding Bidding or Negotiation Phase has not commenced commenced> If a Guaranteed Maximum Price (GMP) has not been accepted by the Owner within three months after the Engineer Consultant submits the Bid Construction Documents to the Owner, the any project budget or fixed limit of Construction Cost shall CCAP may be adjusted to reflect any documented change in the general level of prices in the construction industry between the date of submission of the Bid Construction Documents to the Owner in accord with the approved schedule, and the date on which proposals are sought. 5.2.4 3.2.5 If the a Project budget or fixed limit of Construction Cost CCAP, or adjusted as provided above, is exceeded by the <lowest responsible and responsive bidbona fide bid or negotiated proposal> GMP, the Owner shall (1) give written approval of an increase in such fixed limitsum, (2) authorize re- bidding rebidding or negotiation renegotiating of the low bid Project within a reasonable time, (3) terminate this Agreement in accordance with Paragraph 10 if the Project is abandoned, terminate this Agreement, or <or> (4) cooperate in revising the Project scope and quality as required to reduce the Construction Costconstruction cost or (5) terminate the Owner- Contractor Manager at Risk Agreement and proceed with the Work on a design-bid-build basis. In the case of option (4), provided a fixed CCAP has been established as a condition of this Agreement, the EngineerConsultant, without additional compensationcharge, shall modify the Bid Documents as necessary to comply with the fixed limit. The providing of such service shall be the limit of the Engineer’s responsibility, Drawings and having done so, the Engineer shall be entitled to compensation for all other services performed, in accordance with this Agreement, whether or not the Construction Phase is commenced.Specifications per Paragraph

Appears in 2 contracts

Samples: Owner/Consultant Agreement, Owner/Consultant Agreement

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RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 3.2.1 Evaluations of the Owner’s 's Project budgetBudget, statements of probable Construction Cost and Detailed Estimates detailed estimates of Construction Cost, if any, prepared by the EngineerConsultant, represent the Engineer’s best Consultant's professional judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Engineer Consultant nor the Owner has control over the cost of labor, materials or equipment, over the Contractor’s 's methods of determining bid prices, or over competitive bidding, market or negotiating conditions. Accordingly, the Engineer Consultant cannot and does not warrant or represent that bids or negotiated prices will not vary from the fixed limit of construction costProject Budget proposed, established or approved by the Owner, if any, or from any statement of probable construction cost or other cost estimate or evaluation prepared by the EngineerConsultant. At each stage of the Pre-Construction Phase, the Consultant may elect to produce his own estimate or may use the estimate prepared by the Contractor and review it to assure the Owner of the completeness and reasonable accuracy. 5.2.2 The Engineer 3.2.2 All work to be designed by the Consultant at each phase of the BASIC SERVICES shall be within the Owner's written construction budget, Contractor Guaranteed Maximum Price, or Construction Contract Award Price (CCAP) shown in Exhibit A, and subsequent revisions approved in writing by the Owner. In the event that any corresponding estimate of construction costs prepared by the Consultant, or independently through the Owner, or by the Contractor exceeds the budget amount by the percentages shown in Paragraphs 1.1.6, 1.2.3 and 1.3.6 or is in excess of the said Budget, the Consultant shall revise, at his own cost and expense, and in cooperation with the Contractor, all or any part of the Drawings and Specifications of the Project that the Owner requires, subject to the written approval by the Owner When an Owner provided cost estimate conflicts with that provided by the Consultant or Contractor, the Consultant, Contractor and Owner’s cost estimator shall resolve the differences and the Consultant shall make any changes required by this contract, prior to proceeding to the next design phase, release of documents for bidding pricing or construction, or the Owner's acceptance of the Contractor's GMP. 3.2.3 No fixed sum of Construction Contract Award Price (CCAP) shall be established as a condition of this Agreement by the furnishing, proposal or establishment of a Project Budget, unless such fixed sum has been agreed upon in writing and is shown as Exhibit A or an amendment to this contract. If such a fixed sum has been established, the Consultant shall be permitted to include reasonable contingencies for bidding design, pricing by the Contractor and price escalation, to determine in consultation with the Owner and the Contractor what materials, equipment, component systems and types of construction are to be included in the Construction Contract Documents, and work with the Contractor to make reasonable adjustments in the scope of the Project, if or include additive bid alternates subject to Owner approval. Changes to such items, adjustments, or inability to accept bid alternates shall not render the project unusable or over budget. All such items or adjustments shall be approved by the Owner, Owner and be acceptable to the Contractor. Any fixed CCAP shall be adjusted by the amount of any increase in order to avoid exceeding the fixed limit Contract Sum occurring after execution of construction costthe Contract for Construction. 5.2.3 3.2.4 If the bidding or Negotiation Phase a Guaranteed Maximum Price (GMP) has not commenced been accepted by the Owner within three months after the Engineer Consultant submits the Bid Construction Documents to the Owner, the any project budget or fixed limit of Construction Cost shall CCAP may be adjusted to reflect any documented change in the general level of prices in the construction industry between the date of submission of the Bid Construction Documents to the Owner in accord with the approved schedule, and the date on which proposals are sought. 5.2.4 3.2.5 If the a Project budget or fixed limit of Construction Cost CCAP, or adjusted as provided above, is exceeded by the lowest responsible and responsive bidGMP, the Owner shall (1) give written approval of an increase in such fixed limit, (2) authorize re- bidding or negotiation of the low bid within a reasonable time, (3) if the Project is abandoned, terminate this Agreement, or (4) cooperate in revising the Project scope and quality as required to reduce the Construction Cost. In the case of (4), the Engineer, without additional compensation, shall modify the Bid Documents as necessary to comply with the fixed limit. The providing of such service shall be the limit of the Engineer’s responsibility, and having done so, the Engineer shall be entitled to compensation for all other services performed, in accordance with this Agreement, whether or not the Construction Phase is commenced.sum,

Appears in 1 contract

Samples: Owner Consultant Agreement

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