Common use of RESPONSIBILITY FOR CONSTRUCTION COST Clause in Contracts

RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 Evaluations of the Owner’s Project budget, the preliminary estimate of Construction Cost and detailed estimates of Construction Cost, if any, prepared by the Owner’s Representative, represent the Owner’s Representative’s judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Owner’s Representative 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 Owner’s Representative cannot and does not warrant or represent that the bid prices will not vary from the Owner’s Project budget or from any estimate of Construction Cost or evaluation prepared or agreed to by the Owner’s Representative. 5.2.2 A fixed limit has been established (Refer Article 12) and the Owner’s Representative shall be permitted to include contingencies for bidding and price escalation, to determine what materials, equipment, component systems and types of construction are to be included in the Contract Documents, to make reasonable adjustments in the scope of the Project and to include in the Contract Documents alternate bids as may be necessary to adjust the Construction Cost to the fixed limit. 5.2.3 If the Bidding Phase has not commenced within 90 days after the Owner’s Representative submits the Construction Documents to the Owner, any Project budget or fixed limit of Construction Cost shall be adjusted to reflect changes in the general level of prices in the construction industry. 5.2.4 If a fixed limit of Construction Cost (adjusted as provided in Subparagraph 5.2.3) is exceeded by the lowest bona fide bid, the Owner shall: a. give written approval of an increase in such fixed limit; b. authorize rebidding of the Project within a reasonable time; c. terminate in accordance with Paragraph 8.5; or d. cooperate in revising the Project scope and quality as required to reduce the Construction Cost. 5.2.5 If the Owner chooses to proceed under Clause 5.2.4.1, the Owner’s Representative shall not be entitled to an adjustment in the compensation. 5.2.6 If the Owner chooses to proceed under Clause 5.2.4.4, the Owner’s Representative, without additional compensation, shall modify the documents for which the Owner’s Representative is responsible under this Agreement as necessary to comply with the fixed limit, if established as a condition of this Agreement. The modification of such documents without cost to the Owner shall be the

RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 Evaluations of the Owner’s Project budget, the preliminary estimate of Construction Cost and detailed estimates of Construction Cost, if any, prepared by the Owner’s Representative, represent the Owner’s Representative’s judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Owner’s Representative 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 Owner’s Representative cannot and does not warrant or represent that the bid prices will not vary from the Owner’s Project budget or from any estimate of Construction Cost or evaluation prepared or agreed to by the Owner’s Representative. 5.2.2 . A fixed limit has been established (Refer Article 12) and the Owner’s Representative shall be permitted to include contingencies for bidding and price escalation, to determine what materials, equipment, component systems and types of construction are to be included in the Contract Documents, to make reasonable adjustments in the scope of the Project and to include in the Contract Documents alternate bids as may be necessary to adjust the Construction Cost to the fixed limit. 5.2.3 . If the Bidding Phase has not commenced within 90 days after the Owner’s Representative submits the Construction Documents to the Owner, any Project budget or fixed limit of Construction Cost shall be adjusted to reflect changes in the general level of prices in the construction industry. 5.2.4 . If a fixed limit of Construction Cost (adjusted as provided in Subparagraph 5.2.3) is exceeded by the lowest bona fide bid, the Owner shall: a. give shall do one of the following: Give written approval of an increase in such fixed limit; b. authorize . Authorize rebidding of the Project within a reasonable time; c. terminate . Terminate in accordance with Paragraph 8.5; or d. cooperate . Cooperate in revising the Project scope and quality as required to reduce the Construction Cost. 5.2.5 . If the Owner chooses to proceed under Clause 5.2.4.1, the Owner’s Representative shall not be entitled to an adjustment in the compensation. 5.2.6 . If the Owner chooses to proceed under Clause 5.2.4.4, the Owner’s Representative, without additional compensation, shall modify the documents for which the Owner’s Representative is responsible under this Agreement as necessary to comply with the fixed limit, if established as a condition of this Agreement. The modification of such documents without cost to the Owner shall be thethe limit of the Owner’s Representative’s responsibility under this Subparagraph 5.2.6. The Owner’s Representative shall be entitled to compensation in accordance with Agreement for all services performed whether or not the Construction Phase is commenced.

RESPONSIBILITY FOR CONSTRUCTION COST. 5.2.1 Evaluations of the Owner’s Project budget, the preliminary estimate of Construction Cost and detailed estimates of Construction Cost, if any, prepared by the Owner’s RepresentativeConsultant, represent the Owner’s RepresentativeConsultant’s judgment as a design professional familiar with the construction industry. It is recognized, however, that neither the Owner’s Representative Consultant 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 Owner’s Representative Consultant cannot and does not warrant or represent that the bid prices will not vary from the Owner’s Project budget or from any estimate of Construction Cost or evaluation prepared or agreed to by the Owner’s RepresentativeConsultant. 5.2.2 A fixed limit has been established (Refer Article 12) and the Owner’s Representative Consultant shall be permitted to include contingencies for bidding and price escalation, to determine what materials, equipment, component systems and types of construction are to be included in the Contract Documents, to make reasonable adjustments in the scope of the Project and to include in the Contract Documents alternate bids as may be necessary to adjust the Construction Cost to the fixed limit. 5.2.3 If the Bidding Phase has not commenced within 90 days after the Owner’s Representative Consultant submits the Construction Documents to the Owner, any Project budget or fixed limit of Construction Cost shall be adjusted to reflect changes in the general level of prices in the construction industry. 5.2.4 If a fixed limit of Construction Cost (adjusted as provided in Subparagraph 5.2.3) is exceeded by the lowest bona fide bid, the Owner shall: a. 5.2.4.1 give written approval of an increase in such fixed limit; b. ; 5.2.4.2 authorize rebidding of the Project within a reasonable time; c. 5.2.4.3 terminate in accordance with Paragraph 8.5; or d. 5.2.4.4 cooperate in revising the Project scope and quality as required to reduce the Construction Cost. 5.2.5 If the Owner chooses to proceed under Clause 5.2.4.1, the Owner’s Representative Consultant shall not be entitled to an adjustment in the compensation. 5.2.6 If the Owner chooses to proceed under Clause 5.2.4.4, the Owner’s RepresentativeConsultant, without additional compensation, shall modify the documents for which the Owner’s Representative Consultant is responsible under this Agreement as necessary to comply with the fixed limit, if established as a condition of this Agreement. The modification of such documents without cost to the Owner shall be thethe limit of the Consultant’s responsibility under this Subparagraph 5.