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<br /> Guide Sheet for Com pI etillg Smndard Form of <br /> Agreement Between Owner and Engin eer for <br /> Prof essi onal Services <br /> I. Page I-Insert proper name of partnership, corporation or governmental body that is the Owner on first page and <br /> execution page. Make certain person si!1ning for Owner has authority to do so and that there is an indication of the capac. <br /> ity in which he signs. (See Commentary, paragraph 7.) <br /> 2. Page I-Insert as complete a description of the Project as possible. Include, to the extent known. a description of <br /> tbe land where the Project is to be located, any special requirements as to performance, capacity or íunction, budgetary <br /> limitations and any special source of funds for which the Project must qualify. Identify studies, reports or analyses pre. <br /> viously prepared which are being furnished by Owner to Engineer for his guidance, such as reports and studies referred <br /> to in paragraph 3.3. Identify other special aspects or peculiarities of the Project. (See Commentary, paragraph 8.) <br /> 3. Section 4-Period of Service. This Section has been prepared in recognition of thought expressed in paragraph <br /> 4.1 that there will be a continuous period of service through completion of the Construction Phase with (imely responses <br /> from the Owner to the Engineer's submission and with prompt authority to proceed with each Phase of services after the <br /> preceding Phase has been completed. The blank spaces provided in paraqraphs 4.2. 4.3 and 4.4 should be fiJled in recog- <br /> nizing this understanding. The blank space in paragraph 4.] 0 should be filled in with whatever is considered a reasonable <br /> time in the particular Project for the taking of bids or receiving proposals, awarding the contract and starting construction. <br /> The three-month and one-year periods provided in paragraph 4.1] may not be appropriate for all Projects and should <br /> be modified as circumstances indicate. <br /> 4. Paragraph 5.1.I-Methods of Payment for Services (See Commentary, paragraph] 2). One of the applicable Meth- <br /> ods of Compensation provided in paragraphs 5.1.1.] through 5.1.1.5 should pertain; otherwise use paragraph 5.1.1.6. Cross <br /> out the inapplicable paragraphs and insert initials of both parties opposite the crossing out. When payment is on the basis <br /> of a lump sum or a percentage fee, it is customary to provide for higher compensation for the Engineer in a Project <br /> involving several prime contracts or in the case of ConstruCtion Contracts which contain cost-pIlls or incentive-savings pro. <br /> visions. Accordingly, blank spaces have been provided in paragraphs 5.1.1.1 through 5.1.1.5. The blank spaces for the num- <br /> hcr of prime contractors is intended to be fiJled in with the number normally anticipated for a Project of the type involvcd, <br /> such as a ~overnmentally financed one where the law requi res separate prime contracts. Paragraph 2.1.8 is intended to <br /> cover an additional number, if any, not anticipated at the time the Engineer makes his fee commitmcnt with the Owner. <br /> In filling in the blank spaces with respect to the anticipated extra services due to cost-plus or incentive-compensation <br /> arrangements with Contractors, bear in mind the provision of paragraph 3.8 which requires the Owner to furnish auditing <br /> services if he wishes to ascertain how or for what purposes the Contractor has used the moneys paid to him under thc Con. <br /> struction Contract. Before inserting the factor in paragraphs 5.1.1.5, 5.1.2.1 and 5.1.2.4 review the dcfinition of payroll <br /> costs contained in paragraph 5.3.2. <br /> If none of the su~gested Methods of Compensation are applicable, paragraph 5.1.1.6 may be used and an appropriately <br /> identified exhibit attached to the Agreement. Typical use of paragraph 5.1.1.6 would be in the situation where a percentage <br /> fee arrangement is to be converted to a fixed fee at the conclusion of the Preliminary Design Phase or where there is a <br /> provision for a guaranteed maximum fee. When paragraph 5.1.1.6 is used, paragraph 5.2.3 may also be uscd to covcr <br /> special arrangements with respect to the times of payment. <br /> 5. Paragraph 5.1.2-Payment for Additional Services (See Commentary, paragraph 12). Space has been provided in <br /> paragraph 5.1.2.] through 5.1.2.4 for different rates of compensation fN different types of Additional Services. Any in- <br /> applicable paragraph should be crosscd out and initials inserted in the margin by both parties. If one method of compcn. <br /> sation is to apply to all Additional Services, be certain that the cross references are correctly adjusted. <br /> 6. Paragraph 5.3.2 contemplates the identification of the key personnel in the Engineer's organization who arc to be <br /> assigned to the Project. (See Commentary, paragraph 12 as to the proper meaning of the term "principals."') In developing <br /> the factor for the paYTOI1 cost method of compensation, bear in mind that paragraph 5.3.2 is set lip so that the factor is <br /> applied to the salary, wages and fringe benefits of al1 personnel, and payroll costs of principals (whether they be a cor- <br /> porate officer at a fixcd salary or a partner with a drawing account who shares in the profits) are to he itemized. In licll ('If <br /> the detailed accounting required to substantiate the amount paid for customary and statutory benefits of personnel. a per- <br /> centage of salaries and wages may be agreed to in advance and inserted in the blank space at the end of paragraph 5.3.2: <br /> otherwise the sentence should be crossed out and initialed by both parties. <br /> 7. The blank space in paragraph 5.3.5 should be fiJled in after consultation with the Owner. <br />