Common use of Responsibility for Construction Costs Clause in Contracts

Responsibility for Construction Costs. (1) District’s budget for the Project may include a contingency of ten percent (10 %) over and above any estimate of construction cost or evaluation prepared or agreed to by Architect (2) Evaluation of District’s budget for the Project, preliminary estimates of the probable construction cost and any updated estimates of the probable construction cost prepared by Architect represent Architect’s best judgment as a design professional familiar with the construction industry. The parties recognize, however, that neither Architect nor District 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, Architect cannot and does not warrant or represent that bids or negotiated prices will not vary from District’s budget for the Project or from any estimate of construction costs or evaluation prepared or agreed to by Architect. (3) In preparing estimates of construction cost, the Architect shall include reasonable contingencies for design, bidding and price escalation as agreed to by the District. (4) If bidding or negotiating has not commenced within sixty (60) days after Architect submits the construction documents to District, following review and approval by District’s legal counsel, any Project budget shall be adjusted to reflect changes, if any, in the general level of prices in the construction industry. (5) Should the lowest responsible bid received exceed Architect’s final estimate of probable construction costs as accepted by District by more than ten percent (10%), District may: (a) award the contract and proceed with the Project; (b) authorize rebidding of the Project within a reasonable time; (c) cancel the Project and terminate this Agreement in accordance with Paragraph 13; or (d) direct Architect to revise the Project scope and quality as required to reduce the construction cost. (6) If District chooses to proceed under item 5(d) above, Architect shall as part of Basic Services make any changes in plans and specifications necessary to bring new bids within ten percent (10%) of such estimated cost. The modification of the contract documents shall be the limit of Architect’s responsibility arising out of the estimate of probable construction cost. Architect shall be entitled to compensation in accordance with this Agreement for all services satisfactorily performed to date whether or not the Construction Phase is commenced. (7) If the lowest responsible bid exceeds the final estimate of probable construction cost by less than 10% and District chooses to require revising the Project scope and quality to reduce the construction cost, Architect’s services to make such revisions shall be compensated as Additional Services.

Responsibility for Construction Costs. (1) Districti. DISTRICT’s budget for the Project may shall include a contingency of ten percent (10 ( %) over and above any estimate of construction cost or evaluation prepared or agreed to by ArchitectARCHITECT. (2) ii. Evaluation of DistrictDISTRICT’s budget for the Project, preliminary estimates of the probable construction cost and any updated estimates of the probable construction con- struction cost prepared by Architect ARCHITECT represent ArchitectARCHITECT’s best judgment as a design professional familiar with the construction industry. The parties recognizeIt is recognized, however, that neither Architect ARCHITECT nor District DISTRICT 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, Architect ARCHITECT cannot and does not warrant or represent that bids or negotiated prices will not vary from DistrictDISTRICT’s budget for the Project or from any estimate of construction costs or evaluation prepared or agreed to by ArchitectARCHITECT. (3) iii. In preparing estimates of construction cost, the Architect ARCHITECT shall include and disclose reasonable contingencies for design, bidding and price escalation as agreed to by the DistrictDISTRICT. (4) iv. If bidding or negotiating has not commenced within sixty (60( ) days after Architect ARCHITECT submits the construction documents to District, following review and approval by District’s legal counselDISTRICT, any Project budget shall be adjusted to reflect changes, if any, changes in the general level of prices in the construction industry. (5) v. Should the lowest responsible bid received exceed Architect’s ARCHITECT's final estimate of probable construction costs as accepted by District DISTRICT by more than ten percent (10%), District mayDISTRICT shall: (a1) award the contract and proceed with the Projectgive written approval of an increase in such fixed limit; (b2) authorize rebidding of the Project within a reasonable time; (c3) cancel if the Project and is abandoned, terminate this Agreement in accordance with Paragraph 1316; or (d4) direct Architect to revise cooperate in revising the Project scope and quality as required to reduce the construction cost. (6) vi. If District DISTRICT chooses to proceed under item 5(dv.(4) above, Architect ARCHITECT shall as part of Basic Services make any such changes in plans and specifications as shall be necessary to bring new bids within ten percent (10%) of such estimated cost. The modification of the contract documents shall be the limit of ArchitectARCHITECT’s responsibility arising out of the estimate of probable construction cost. Architect ARCHITECT shall be entitled to compensation in accordance with this Agreement for all services satisfactorily performed to date whether or not the Construction Phase is commenced. (7) vii. If the lowest responsible bid exceeds the final estimate of probable construction cost by less than 10% and District DISTRICT chooses to require revising the Project scope and quality to reduce the construction cost, ArchitectARCHITECT’s services to make such revisions shall be compensated as considered Additional Services.

Responsibility for Construction Costs. (1) Districti. The DISTRICT’s budget for the Project may shall include a design contingency of ten percent (10 10%) and a change order contingency of ten percent (10%) over and above any estimate of construction cost or evaluation prepared or agreed to by Architectthe ARCHITECT. (2) ii. Evaluation of Districtthe DISTRICT’s budget for the Project, preliminary estimates of the probable construction cost and any updated estimates of the probable construction cost prepared by Architect the ARCHITECT represent Architectthe ARCHITECT’s best judgment as a design professional familiar with the construction industry. The parties recognizeIt is recognized, however, that neither Architect the ARCHITECT nor District the DISTRICT 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, Architect the ARCHITECT cannot and does not warrant or represent that bids or negotiated prices will not vary from District’s the DISTRICT’S budget for the Project or from any estimate of construction costs or evaluation prepared or agreed to by Architectthe ARCHITECT. (3) iii. In preparing estimates of construction cost, the Architect ARCHITECT shall include and disclose reasonable contingencies for design, bidding and price escalation as agreed to by the DistrictDISTRICT. (4) iv. If bidding or negotiating has not commenced within sixty ninety (6090) days after Architect the ARCHITECT submits the construction documents Construction Documents to District, following review and approval by District’s legal counselthe DISTRICT, any Project budget shall be adjusted to reflect changes, if any, changes in the general level of prices in the construction industry. (5) v. Should the lowest responsible bid received exceed ArchitectARCHITECT’s final estimate of probable construction costs as accepted by District DISTRICT by more than ten percent (10%), District maythe DISTRICT shall: (a) award the contract and proceed with the Project; (b) a. give written approval of an increase in such fixed limit; b. authorize rebidding of the Project within a reasonable time; (c) cancel the Project and terminate this Agreement in accordance with Paragraph 13; or (d) direct Architect to revise the Project scope and quality as required to reduce the construction cost. (6) If District chooses to proceed under item 5(d) above, Architect shall as part of Basic Services make any changes in plans and specifications necessary to bring new bids within ten percent (10%) of such estimated cost. The modification of the contract documents shall be the limit of Architect’s responsibility arising out of the estimate of probable construction cost. Architect shall be entitled to compensation in accordance with this Agreement for all services satisfactorily performed to date whether or not the Construction Phase is commenced. (7) If the lowest responsible bid exceeds the final estimate of probable construction cost by less than 10% and District chooses to require revising the Project scope and quality to reduce the construction cost, Architect’s services to make such revisions shall be compensated as Additional Services.

Responsibility for Construction Costs. (1) District5.2.1 Evaluations of the Owner’s budget for the Project may include a contingency of ten percent (10 %) over and above any estimate of construction cost or evaluation prepared or agreed to by Architect (2) Evaluation of District’s budget for the Projectbudget, preliminary estimates of the probable construction cost Construction Cost and any updated detailed estimates of the probable construction cost Construction Cost, if any, prepared by Architect the Consultant for This Part of the Project, represent Architectthe Consultant’s best judgment judgement as a design professional familiar with the construction industry. The parties recognizeIt is recognized, however, that neither the Consultant on or Architect nor District has control over the cost of labor, materials or equipment, over the contractorContractor’s methods of determining bid prices, or over competitive bidding, market or negotiating conditions. Accordingly, Architect the consultant cannot and does not warrant or represent that bids or negotiated prices for this Part of the Project will not vary from Districtthe Owner’s Project budget for the Project or from any estimate of construction costs Construction Cost or evaluation prepared or agreed to by Architectthe Consultant. (3) In preparing estimates 5.2.2 The Architect and consultant shall establish, if practicable, a fixed limit of construction costConstruction Cost for This Part of the Project, which may be fixed independently of the limit, if any established in the Prime Agreement. If such a fixed limit has been established, the Architect Consultant, after conferring with the Architect, shall be permitted to include reasonable contingencies for design, bidding and price escalation as agreed escalation, to by determine what materials, equipment, component systems and types of construction are to be included in the DistrictContract Documents with respect to This Part of the Project, to make reasonable adjustment in the scope of This part of the Project and to include in the Contract Documents alternate bids to adjust the Construction Cost to the fixed limit for this Part of the Project. Such fixed limit shall be increased in the amount of any increase in the Contract Sum related to This part of the Project occurring after execution of the Contract for Construction. (4) 5.2.3 If bidding the Bidding or negotiating Negotiation Phase for This Part of the Project has not commenced within sixty (60) 90 days after the Architect submits the construction documents Construction Documents to District, following review and approval by District’s legal counselthe Owner, any Project budget or fixed limit of Construction Costs for this Part of the Project established as a condition of this Agreement shall be adjusted to reflect changes, if any, changes in the general level of prices in the construction industryindustry between the date of submission of the Construction Documents to the Owner and the date on which bids or proposals are sought. (5) Should the lowest responsible bid received exceed Architect’s final estimate 5.2.4 If a fixed limit of probable construction costs as accepted by District by more than ten percent (10%), District may: (a) award the contract and proceed with the Project; (b) authorize rebidding Construction Cost for This Part of the Project within a reasonable time; (cadjusted as provided in Subparagraph 5.2.3) cancel is exceeded by the lowest bona fide bid or negotiated proposal, the Architect may require the Consultant, without additional charge, to modify the Consultant’s Drawings, Specifications and other documents for this Part of the Project and terminate this Agreement in accordance with Paragraph 13; or (d) direct Architect to revise the Project scope and quality as required to reduce the construction cost. (6) If District chooses to proceed under item 5(d) above, Architect shall as part of Basic Services make any changes in plans and specifications necessary to bring new bids the Construction Costs thereof within ten percent such fixed limit for This Part of the Project. If it was not practicable to establish a fixed limit of Construction Cost for This Part of the Project, and if the lowest bona fide bid or negotiated proposal, the detailed estimate of Construction Cost or the preliminary estimate of Construction Cost established for the entire Project (10%including the bidding contingency) exceeds the fixed limit of Construction Cost of the entire Project and the budget for this Part of the Project is exceeded, the Architect may require that the Drawings, Specifications and other documents prepared by the Consultant be modified without additional compensation to the Consultant, so that the Consultant may bear a reasonable portion of the burden of reducing the Construction Costs of This Part of the Project so that the fixed limit of Construction Cost for the entire Project is not exceeded. The providing of such estimated cost. The modification of the contract documents service shall be the limit of Architectthe Consultant’s responsibility arising out of in this regard, and having done so, the estimate of probable construction cost. Architect Consultant shall be entitled to compensation for all services performed in accordance with this Agreement for all services satisfactorily performed to date whether or not the Construction Phase is commencedAgreement. (7) If the lowest responsible bid exceeds the final estimate of probable construction cost by less than 10% and District chooses to require revising the Project scope and quality to reduce the construction cost, Architect’s services to make such revisions shall be compensated as Additional Services.