HomeMy WebLinkAboutResolution - 942 - Standard Form Agreement - Igo Schauer_CM Inc - Garage & Sanitation Facilities - 10_08_1981RESOLUTION 942 - 10/8/81
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BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized
and directed to execute for and on behalf of the City of Lubbock a
Standard Form of Agreement Between Owner and Construction Manager in
connection with the construction of a new City garage facility, a copy
of such contract is attached herewith which shall be spread upon the
minutes of the Council and as spread upon the minutes of the Council
shall constitute and be a part of this Resolution as if fully copied
herein in detail.
Passed by the City Council this 8th day of October 91981.
r
r
LL McALIST R, MAYOR
ATTEST:
E elyn G ga, it S r ary-Treasurer
APPROVED AS TO FORM:
G. Vandiver, Assistant City Attorney
RESOLUTION 942 — 10/8/81
THE AMERICAN INSTITUTE OF ARCHITECTS
/VA !Document B801
Standard Form of Agreement Between
Owner and Construction Manager
1980 EDITION
THIS l)O("t;A)[j' 1 )'-7._ 9.V1'O!:1ANr LEGAi. CONSEQUENCES: CONSULTATION WITH
AN ATTORN'FY is F,\,cnURACEU.
i hi5 ducor.tt nt tm ,ndcrl in he used In cClniunction with
-\IA UoCumeniN r.::!I.C.%'.. 1980; i,1w1 C?``i, 10i80; and A201rCyt, !980.
AGREEMENT
made as of the 22
Hundred and Eighty One.
BETWEEN the Owner:
and the Construction Manager
day of September
City of Lubbock
Lubbock County, Texas
Igo-Schauer/CM, Inc.
2201 University
Lubbock, Texas 79410
i-or the followin- Project:
tnclvdr dr ta8cd do' nptiprl or P'nieet fo;a.'on
City Garage and Sanitation Facilities
Lubbock, Texas
GRS: 3023-445-21-114148
the Architect: Norman Igo -Schauer Associates, Inc.
2201 University
Lubbock, Texas 79410
The Owner and the Construction Manager agree as set forth below.
in the year of Nineteen
Copyright 19'3, _ trWO. to :he vi, ,; m: ,...; t;ul• n1 :'t:chiiio, 1735 ',ov York A.'cnue, V`)a %.W., h:n¢(nn.
Reprvdiff Urn1 Ui thr a:atcr.,l hetei.• tr: .I:h.l.lrti:a! :11;o tiion. of I:• to uv:a:,n5 withnul %%Hite) pt-r:71i<1arn n1 011' \I"'.
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AiA DOCUMENT 8301 1,1; �6;'', ,'. �. �7 .-+t.'.: :•.!.Ri.1 *N; `.I. 111i.V EDMON A;A
• . 'i!::~.%1CRten•. INS 1. ,. 1 r (1t .' I ;. rK:. i1NGTON, I?.t .:�r7ur, 6801 1960
TERMS AND CONDITIONS OF AGREEMENT BETWEEN
OWNER AND CONSTRUCTION MANAGER
ARTICLE 1
CONSTRUCTION MANAGER'S SERVICES AND
RESPONSIBILITIES
The Construction Manager covenants with the Owner to
further the interests of the Owner by furnishing the Con-
struction Manager's skill and judgment in cooperation
with, and in reliance upon, the services of an architect.
The Construction Manager agrees to furnish business ad-
ministration and, management services and to perform in
an expeditious and economical manner consistent with
the interests of the Owner.
BASIC SERVICES
The Construction Manager's Basic Services consist of
the two Phases described below and any other ser-
vices included in Article 16 as Basic Services.
1,1 PRECONSTRUCTION PHASE
1.1.1 Provide preliminary evaluation of the program and
Project budget requirements, each in terms of the
other. With the Architect's assistance, prepare preliminary
estimates of Construction Cost for early schematic designs
based on area, volume or other standards. Assist the
Owner and the Architect in achieving mutually agreed
upon program and Project budget requirements and other
design parameters. Provide cost evaluations of alternative
materials and systems.
1.1.2 Review designs during their development. Advise
on site use and improvements, selection of materials,
building systems and equipment and methods of Project
delivery. Provide recommendations on relative feasibility
of construction methods, availability of materials and la-
bor, time requirements for procurement, installation and
construction, and factors related to cost including, but not
limited to, costs of alternative designs or materials, pre-
liminary budgets and possible economies.
1.1.3 Provide for the Architect's and the Owner's review
and acceptance, and periodically update, a Project Sched-
ule that coordinates and integrates the Construction Man-
ager's services, the Architect's services and the Owner's
responsibilities with anticipated construction schedules.
1.1.4 Prepare for the Owner's approval a more detailed
estimate of Construction Cost, as defined in Article 3, de-
veloped by using estimating techniques which anticipate
the various elements of the Project, and based on Sche-
matic Design Documents prepared by the Architect. Up-
date and refine this estimate periodically as- the Architect
prepares Design Development and Construction Docu-
ments. Advise the Owner and the Architect if it appears
that the Construction Cost may exceed the Project budget.
Make recommendations for corrective action.
1.1.5 Coordinate Contract Documents by consulting with
the Owner and the Architect regarding Drawings and Spe-
cifications as they are being prepared, and recommending
alternative solutions whenever design details affect con-
struction feasibility, cost or schedules.
1.1.5.1 Provide recommendations and information to the
Owner and the Architect regarding the assignment of re-
sponsibilities for safety precautions and programs; tempo-
rary' Project facilities; and equipment, materials and ser-
vices for common use of Contractors. Verify that the re-
quirements and assignment of responsibilities are included
in the proposed Contract Documents.
1.1.5.2 Advise on the separation of the Project into Con-
tracts for various categories of Work. Advise on the method
to be used for selecting Contractors and awarding Con-
tracts. If separate Contracts are to be awarded, review the
Drawings and Specifications and make recommendations
as required to provide that (1) the Work of the separate
Contractors is coordinated, (2) all requirements for the
Project have been assigned to the appropriate separate
Contract, (3) the likelihood of jurisdictional disputes has
been minimized, and (4) proper coordination has been
provided for phased construction.
1.1.5.3 Develop a Project Construction Schedule provid-
ing for all major elements such as phasing of construction
and times of commencement and completion required of
each separate Contractor. Provide the Project Construc-
tion Schedule for each set of Bidding Documents.
1.1.5.4 Investigate and recommend a schedule for the
Owner's purchase of materials and equipment requiring
long lead time procurement, and coordinate the schedule
with the early preparation of portions of the Contract
Documents by the Architect. Expedite and coordinate de-
livery of these purchases.
1.1.6 Provide an analysis of the types and quantities of
labor required for the Project and review the availability
of appropriate categories of labor, required for critical
Phases. Make recommendations for actions designed to
minimize adverse effects of labor shortages.
1.1.6.1 Identify or verify applicable requirements for
equal employment opportunity programs for inclusion in
the proposed Contract Documents.
1.1.7 Make recommendations for pre -qualification cri-
teria for Bidders and develop Bidders' interest in the Pro-
ject. Establish bidding schedules. Assist the Architect in
issuing Bidding Documents to Bidders. Conduct pre -bid
conferences to familiarize Bidders with the Bidding Docu-
ments and management techniques and with any special
systems, materials or methods. Assist the Architect with
the receipt of questions from Bidders, and with the issu-
ance of Addenda.
1.1.7.1 With the Architect's assistance, receive Bids, pre-
pare bid analyses and make recommendations to the
Owner for award of Contracts or rejection of Bids.
1.1.8 With the Architect's assistance, conduct pre -award
conferences with successful Bidders. Assist the Owner in
preparing Construction Contracts and advise the Owner
on the acceptability of Subcontractors and material sup-
pliers proposed by Contractors.
1.2 CONSTRUCTION PHASE
The Construction Phase will commence with the
award of the initial Construction Contract or pur-
chase order and, together with the Construction
Manager's obligation to provide Basic Services un-
AIA DOCUMENT B801 - OWNER -CONSTRUCTION MANAGER AGREEMENT - ;UNE 1900 EDITION - AIAV
01960 - THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW PORK AVE., N.W., WASHINGTON. D.C. 20006 B801 — 1980 2
der this Agreement, will end 30 days after final
payment to,all Contractors is due.
1.2.1 Unless otherwise provided in this Agreement and
incorporated in the Contract Documents, the Construc-
tion Manager, in cooperation with the Architect, shall
provide administration of the Contracts for Construction
as set forth below and in the 1980 Edition of AIA Doc-
ument A201/CM, General Conditions of the Contract for
Construction, Construction Management Edition.
1.2.2 Provide administrative, management and related
services as required to coordinate Work of the Contractors
with each other and with the activities and responsibilities
of the Construction Manager, the Owner and the Archi-
tect to complete the Project in accordance with the Own-
er's objectives for cost, time and quality. Provide sufficient
organization, personnel and management to carry out the
requirements of this Agreement.
1.2.2.1 Schedule and conduct pre -construction, construc-
tion and progress meetings to discuss such matters as pro-
cedures, progress, problems and scheduling. Prepare and
promptly distribute minutes.
1.2.2.2 Consistent with the Project Construction Sched-
ule issued with the Bidding Documents, and utilizing the
Contractors' Construction Schedules provided by the sepa-
rate Contractors, update the Project Construction Sched-
ule incorporating the activities of Contractors on the
Project, including activity sequences and durations, allo-
cation of labor and materials, processing of Shop Draw-
ings, Product Data and Samples, and delivery of products
requiring long lead time procurement. Include the Own-
ers occupancy requirements showing portions of the
Project having occupancy priority. Update and reissue the
Project Construction Schedule as required to show current
conditions and revisions required by actual experience.
1.2.2.3 Endeavor to achieve satisfactory performance
from each of the Contractors. Recommend courses of
action to the Owner when requirements of a Contract are
not being fulfilled, and the nonperforming party will not
take satisfactory corrective action.
1 2.3 Revise and refine the approved estimate of Con-
struction Cost, incorporate approved changes as they oc-
cur, and develop cash flow reports and forecasts as needed.
1.2.3.1 Provide regular monitoring of the approved esti-
mate of Construction Cost, showing actual costs for activi-
ties in progress and estimates for uncompleted tasks. Iden-
tify variances between actual and budgeted or estimated
costs, and advise the Owner and the Architect whenever
projected costs exceed budgets or estimates.
1.2.3.2 Maintain cost accounting records on authorized
Work performed under unit costs, additional Work per-
formed on the basis of actual costs of labor and materials,
or other Work requiring accounting records.
1.2.3.3 Recommend necessary or desirable changes to
the Architect and the Owner, review requests for changes,
assist in negotiating Contractors' proposals, submit recom-
mendations to the Architect and the Owner, and if they
are accepted, prepare and sign Change Orders for the
Architect's signature and the Owner's authorization.
1.2.3.4 Develop and implement procedures for the re-
view and processing of Applications by Contractors for
progress and final payments. Make recommendations to
the Architect for certification to the Owner for payment.
1.2.4 Review the safety programs developed by each of
the Contractors as required by their Contract Documents
and coordinate the safety programs for the Project.
1.2.5 Assist id obtaining building permits and special
permits for permanent improvements, excluding permits
.required to be obtained directly by the various Contrac-
tors. Verify that the Owner has paid applicable fees and
assessments. Assist in obtaining approvals from authorities
having jurisdiction over the Project.
1.2.6 If required, assist the Owner in selecting and re-
taining the professional services of surveyors, special con-
sultants and testing laboratories. Coordinate their services.
1.2.7 Determine in general that the Work of each Con-
tractor is being performed in accordance with the require-
ments of the Contract Documents. Endeavor to guard the
Owner against defects and deficiencies in the Work. As
appropriate, require special inspection or testing, or make
recommendations to the Architect regarding special in-
spection or testing, of Work not in accordance with the
provisions of the Contract Documents whether or not
'such Work be then fabricated, installed or completed.
Subject to review by the Architect, reject Work which
does not conform to the requirements of the Contract
Documents.
1.2.7.1 The Construction Manager shall not be responsi-
ble for construction means, methods, techniques, se-
quences and procedures employed by Contractors in the
performance of their Contracts, and shall not be responsi-
ble for the failure of any Contractor to carry out Work in
accordance with the Contract Documents.
1.2.8 Consult with the Architect and the Owner if any
Contractor requests interpretations of the meaning and
intent of the Drawings and Specifications, and assist in the
resolution of questions which may arise.
1.2.9 Receive Certificates of Insurance from the Con-
tractors, and forward them to the Owner with a copy to
the Architect.
1.2.10 Receive from the Contractors and review all Shop
Drawings, Product Data, Samples and other submittals.
Coordinate them with information contained in related
documents and transmit to the Architect those recom-
mended for approval. In collaboration with the Architect,
establish and implement procedures for expediting the
processing and approval of Shop Drawings, Product Data,
Samples and other submittals.
1.2.11 Record the progress of the Project. Submit written
progress reports to the Owner and the Architect including
information on each Contractor and each Contractor's
Work, as well as the entire Project, showing percentages
of completion and the number and amounts of Change
Orders. Keep a daily log containing a record of weather,
Contractors' Work on the site, number of workers, Work
accomplished, problems .encountered, and other similar
relevant data as the Owner may require. Make the log
available to the Owner and the Architect.
1.2.11.1 Maintain at the Project site, on a current basis:
a record copy of all Contracts, Drawings, Specifications,
Addenda, Change Orders and other Modifications, in good
order and marked to record all changes made during con-
struction; Shop Drawings; Product Data; Samples; sub-
mittals; purchases; materials; equipment; applicable hand-
books; maintenance and operating manuals and instruc-
AIA DOCUMENT 8901 - OWNER -CONSTRUCTION MANAGER AGREEMENT - IUNE 1980 EDITION - AIAS
3 8801 —1980 01980 - THE AMERICAN INSTITUTE OF ARCHITECTS, 173S NEW YORK AVE., N.W., WASHINGTON, D.C. 20006
tip`
tions; other related documents and revisions which arise
out of the Contracts or Work. Maintain records, in dupli-
cate, of principal building layout lines, elevations of the
bottom of footings, floor levels and key site elevations
certified by a qualified surveyor or professional engineer.
Make all records available to the Owner and the Archi-
tect. At the completion of the Project, deliver all such
records to the Architect for the Owner.
1.2.12 Arrange for delivery and storage, protection and
security for Owner -purchased materials, systems and
equipment which are a part of the Project, until such
items are incorporated into the Project.
1.2.13 With the Architect and the Owner's maintenance
personnel, observe the Contractors' checkout of utilities,
operational systems and equipment for readiness and as-
sist in their initial start-up and testing.
1.2.14 When the Construction Manager considers each
Contractor's Work or a designated portion thereof sub-
stantially complete, the Construction Manager shall pre-
pare for the Architect a list of incomplete or unsatisfactory
items and a schedule for their completion. The Construc-
tion Manager shall assist the Architect in conducting in-
spections. After the Architect certifies the Date of Substan-
tial Completion of the Work, the Construction Manager
shall coordinate the correction and completion of the
Work.
1.2.15 Assist the Architect in determining when the Proj-
ect or a designated portion thereof is substantially com-
plete. Prepare for the Architect a summary of the status of
the Work of each Contractor, listing changes in the previ-
ously issued Certificates of Substantial Completion of the
Work and recommending the times within which Contrac-
tors shall complete uncompleted items on their Certificate
of Substantial Completion of the Work.
1.2.16 Following the Architect's issuance of a Certificate
of Substantial Completion of the Project or designated
portion thereof, evaluate the completion of the Work of
the Contractors and make recommendations to the Archi-
tect when Work is ready for final inspection. Assist the
Architect in conducting final inspections. Secure and trans-
mit to the Owner required guarantees, affidavits, releases,
bonds and waivers. Deliver all keys, manuals, record
drawings and maintenance stocks to the Owner.
1.2.17 The extent of the duties, responsibilities and limi-
tations of authority of the Construction Manager as a rep-
resentative of the Owner during construction shall not be
modified or extended without the written consent of the
Owner, the Contractors, the Architect and the Construc-
ion Manager, which consent shall not be unreasonably
withheld.
1.3 ADDITIONAL SERVICES
The following Additional Services shall be per-
formed upon authorization in writing from the
Owner and shall be paid for as provided in this
Agreement. .
1.3.1 Services related to investigations, appraisals or eval-
uations of existing conditions, facilities or equipment, or
verification of the accuracy of existing drawings or other
information furnished by the Owner.
1.3.2 Services related to Owner -furnished furniture, fur-
nishings and equipment which are not a part of the
Project.
1.33 Services for tenant or rental spaces,
1.3.4 Consultation on replacement of Work damaged by
fire or other cause during construction, and furnishing
services in conjunction with the replacement of such
Work. ,
1.3.5 Services made necessary by the default of a Con-
tractor.
1.3.6 Preparing to serve or serving as a witness in con-
nection with any public hearing, arbitration proceeding
or legal proceeding.
1.3.7 Recruiting or training maintenance personnel.
13.8 Inspections of, and services related to, the Project
after the end of the Construction Phase.
1.3.9 Providing any other services not otherwise included
in this Agreement.
1.4 TIME
1.4.1 The Construction Manager shall perform Basic and
Additional Services as expeditiously as is consistent with
reasonable skill and care and the orderly progress of the
Project.
ARTICLE 2
THE OWNER'S RESPONSIBILITIES
2.1 The Owner shall provide full information regarding
the requirements of the Project, including a program,
which shall set forth the Owner's objectives, constraints
and criteria, including space requirements and relation-
ships, flexibility and expandability requirements, special
equipment and systems and site requirements.
2.2 The Owner shall provide a budget for the Project,
based on consultation with the Construction Manager and
the Architect, which shall include contingencies for bid-
ding, changes during construction and other costs which
are the responsibility of the Owner. The Owner shall, at
the request of the Construction Manager, provide a state-
ment of funds available for the Project and their source..
2.3 The Owner shall designate a representative author-
ized to act in the Owner's behalf with respect to the
Project. The Owner, or such authorized representative,
shall examine documents submitted by the Construction
Manager and shall render decisions pertaining thereto
promptly to avoid unreasonable delay in the progress of
the Construction Manager's services.
2.4 The Owner shall retain an architect whose services,
duties and responsibilities are described in the agreement
between the Owner and the Architect, AIA Document
B141/CM, 1980 Edition. The Terms and Conditions of the
Owner -Architect Agreement will be furnished to the Con-
struction Manager, and will not be modified without writ-
ten consent of the Construction Manager, which consent
shall not be unreasonably withheld. Actions taken by the
Architect as agent of the Owner shall be the acts of the
Owner and the Construction Manager shall not be respon-
sible for them.
2.5 The Owner shall furnish structural, mechanical,
chemical and other laboratory tests, inspections and re-
ports as required by law or the Contract Documents.
2.6 The Owner shall furnish such' legal, accounting and
insurance counseling services as may be necessary for the
Project, including such auditing services as the Owner
may require to verify the Project Applications for Payment
AIA DOCUMENT 5801 - OWNER -CONSTRUCTION MANAGER AGREEMENT - IUNE 1980 EDITION - AIAO
p1980 - THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE.. NAY., WASHINGTON, D.C. 20006 8801 —1980 4
or to ascertain how or for what purposes the Contractors
have used the monies paid by or on behalf of the Owner.
2.7 The Owner shall furnish the Construction Manager a
sufficient quantity of construction documents.
2.8 The. services, information and reports required by
Paragraphs 2.1 through 2.7, inclusive, shall be furnished at
the Owner's expense, and the Construction Manager shall
be entitled to rely upon their accuracy and completeness.
2.9 if the Owner observes or otherwise becomes aware
of any fault or defect in the Project, or nonconformance
with the Contract Documents, prompt written notice
thereof shall be given by the Owner` to the Construction
Manager and the Architect.
2.10 The Owner reserves the right to perform work re-
lated to the Project with the Owner's own forces, and to
award contracts in connection with the Project which are
not part of the Construction Manager's responsibilities un-
der this Agreement. The Construction Manager shall notify
the Owner if any such independent action will in any way
compromise the Construction Manager's ability to meet
the Construction Manager's responsibilities under this
Agreement.
2.11 The Owner shall furnish the required information
and services and shall render approvals and decisions as
expeditiously as necessary for the orderly progress of the
Construction Manager's services and the Work of the Con-
tractors.
ARTICLE 3
CONSTRUCTION COST
3.1 Construction Cost shall be the total of the final Con-
tract .Sums of all of the separate Contracts, actual Reim-
bursable Costs relating to the Construction Phase as de-
fined in Article 6, and the Construction Manager's com-
pensation.
3.2 Construction Cost does not include the compensa-
tion Of the Architect and the Architect's consultants, the
cost of the land, rights -of -way or other costs which are
the responsibility of the Owner as provided in Paragraphs
2.3 through 2.7, inclusive.
3.3 Evaluations of the Owner's Project budget and cost
estimates prepared by the Construction Manager represent
the Construction Manager's best judgment as a profes-
sional familiar with the construction industry. It is recog-
nized, however, that neither the Construction Manager
nor the Owner has control over the cost of labor, mate-
rials or equipment, over Contractors' methods of de-
termining Bid prices or other competitive bidding or ne-
gotiating conditions. Accordingly, the Construction Man-
ager cannot and does not warrant or represent that Bids
or negotiated prices will not vary from the Project budget
proposed, established or approved by the Owner, or from
any cost estimate or evaluation prepared by the Construc-
tion Manager.
3.4 No fixed limit of Construction Cost shall be estab-
lished as a condition of this Agreement by the furnishing,
proposal or establishment of a Project budget under Sub-
paragraph 1.1.1 or Paragraph 2.2. or otherwise, unless such
fixed limit has been agreed upon in writing and signed by
the parties to this Agreement. If such a fixed limit has been
established, the Construction Manager shall include con-
tingencies for design, bidding and price escalation, and
shall consult with the Architect to determine what mate-
rials, equipment, component systems and types of con-
struction are to be included in the Contract Documents,
to suggest reasonable adjustments in the scope of the
Project, and to•suggest alternate Bids in the Construction
Documents to adjust the Construction Cost to the fixed
limit. Any such fixed limit shall be increased in the amount
of any increase in the Contract Sums occurring after the
execution of the Contracts for Construction.
3.4.1 If Bids are not received within the time scheduled
at the time the fixed limit of Construction Cost was estab-
lished, due to causes beyond the Construction Manager's
control, any fixed limit of Construction Cost established
as a condition of this Agreement shall be adjusted to re-
flect any change in the general level of prices in the con-
struction industry occurring between the originally sched-
uled date and the date on which Bids are received.
3.4.2 If a fixed limit of Construction Cost (adjusted as
provided in Subparagraph 3.4.1) is exceeded by the sum
of the lowest figures from bona fide Bids or negotiated
proposals plus the Construction Manager's estimate of
other elements of Construction Cost for the Project, the
Owner shall (1) give written approval of an increase in
such fixed limit, (2) authorize rebidding or renegotiation
of the Project or portions of the Project within a reason-
able time, "(3) if the Project is abandoned, terminate in
accordance with Paragraph 10.2, or (4) cooperate in revis-
ing the scope and quality of the Work as required to re-
duce the Construction Cost. In the case of item (4), the
Construction Manager, without additional compensation,
shall cooperate with the Architect as necessary to bring
the Construction Cost within the fixed limit.
ARTICLE 4
CONSTRUCTION SUPPORT ACTIVITIES
4.1 Construction support activities, if provided by the
Construction ,Manager, shall be governed by separate
contractual arrangements unless otherwise provided in
Article 16.
ARTICLE 5
DIRECT PERSONNEL EXPENSE
5.1 Direct Personnel Expense is defined as the direct sal-
aries of all of the Construction Manager's personnel en-
gaged on the Project, excluding those whose compensa-
tion is included in the fee, and the portion of the cost of
their mandatory and customary contributions and benefits
related thereto such as employment taxes and other statu-
tory employee benefits, insurance, sick leave, holidays,
vacations, pensions, and similar contributions and bene-
fits.
ARTICLE 6
REIMBURSABLE COSTS
6.1 The term Reimbursable Costs shall mean costs neces-
sarily incurred in the proper performance of services and
paid by the Construction Manager. Such costs shall be at
rates not higher than the standard paid in the locality of
the Project, except with prior consent of the Owner. Re-
imbursable Costs and costs not to be reimbursed shall be
listed in Article 16.
AIA DOCUMENT 8801 - 01VNER-CONSTRUCTION MANAGER AGREEMENT - JUNE 1980 EDITION - AIAs
5 8801 — 1980 �D1980 - THE AMERICAN INSTITUTE Or ARCHITECTS, 1:3S NEW YORK AVE., N.w., WASHINGTON, D.C. 21MM
6.2 Trade discounts, rebates and refunds, and returns
from sale of surplus materials and equipment shall accrue
to the Owner, and the Construction Manager shall make
provisions so that they can be secured.
ARTICLE 7
PAYMENTS TO THE CONSTRUCTION MANAGER
7.1 PAYMENTS ON ACCOUNT OF BASIC SERVICES
7.1.1 An initial payment as set forth in Paragraph 15.1 is
the minimum payment under this Agreement.
7.1.2 Subsequent payments for Basic Services shall be
made monthly and shall be in proportion to services per-
formed within each Phase of Services, on the basis set
forth in Article 15.
7.1.3 If and to the extent that the time initially estab-
lished for the Construction Phase of the Project is ex-
ceeded or extended through no fault of the Construction
Manager, compensation for Basic Services required for
such extended period of Administration of the Construc-
tion Contract shall be computed as set forth in Paragraph
15.3 for Additional Services..
7.1.4 When compensation is based on a.percentage of
the total of the Contract Sums of all the separate Con-
tracts, and any portions of the Project are deleted or
otherwise not constructed, compensation for such por-
tions of the Project shall be payable to the extent services
are performed on such portions, in accordance with the
schedule set forth in Subparagraph 15.2.1, based on (1) the
lowest figures from bona fide Bids or negotiated proposals,
or (2) if no such Bids or proposals are received, the most
recent estimate of the total of the Contract Sums of all the
separate Contracts for such portions of the Project. .
7.2 PAYMENTS ON ACCOUNT OF ADDITIONAL
SERVICES AND REIMBURSABLE COSTS
7.2.1 Payments on account of the Construction Man-
ager's Additional Services, as defined in Paragraph 1.3, and
for Reimbursable Costs, as defined in Article 16, shall be
made monthly upon presentation of the Construction
Manager's statement of services rendered or costs in-
curred.
7.3 PAYMENTS WITHHELD
7.3.1 No deductions shall be made from the Construc-
tion Manager's compensation on account of penalty, liq-
uidated damages or other sums withheld from payments
to Contractors, or on account of the cost of changes in
Work other than those for which the Construction Man-
ager is held legally liable.
7,4 PROJECT SUSPENSION OR ABANDONMENT
7.4.1 if the Project is suspended or abandoned in whole
or in part for more than three months, the Construction
Manager shall be compensated for all services performed
prior to receipt of written notice from the Owner of such
suspension or abandonment, together with Reimbursable
Costs then due and all Termination Expenses as defined
in Paragraph 10.4. If the Project is resumed after being
suspended for more than three months, the Construction
Manager's compensation shall be equitably adjusted.
7.4.2 If construction of the Project has started and is
stopped by reason of circumstances not the fault of the
Construction Manager, the Owner shall reimburse the
Construction Manager for the costs of the Construction
Manager's Project -site staff as provided for by this Agree-
ment. The Construction Manager shall reduce the size of
the Project -site staff after 30 days' delay, or sooner if
feasible, for the remainder of the delay period as directed
by the Owner and, during that period, the Owner shall
reimburse the Construction Manager for the costs of such
staff prior to reduction plus any relocation or employ-
ment termination costs. Upon the termination of the stop-
page, the Construction Manager shall provide the neces-
sary Project -site staff as soon as practicable.
ARTICLE 8
CONSTRUCTION MANAGER'S
ACCOUNTING RECORDS
8.1 Records of Reimbursable Costs and costs pertaining
to services performed on the basis of a Multiple of Direct
Personnel Expense shall be kept on the basis of generally
accepted accounting principles and shall be available to
the Owner or the Owner's authorized representative at
mutually convenient times.
ARTICLE 9
ARBITRATION
9.1 All claims, disputes and other matters in question
between the parties to this Agreement arising out of or
relating to this Agreement or the breach thereof, shall be
decided by arbitration in accordance with the Construc-
tion Industry Arbitration Rules of the American Arbitration
Association then obtaining unless the parties mutually
agree otherwise. No arbitration arising out of or relating to
this Agreement shall include, by consolidation, joinder or
in any other manner, any additional person not a party to
this Agreement except by written consent containing a
specific reference to this Agreement and signed by the
Construction Manager, the Owner, and any other person
sought to be joined. Any consent to arbitration involving
an additional person or persons shall not constitute con-
sent to arbitration of any dispute not described therein
or with any person not named or described therein. This
agreement to arbitrate and any agreement to arbitrate
with an additional person or persons duly consented to
by the parties to this Agreement shall be specifically en-
forceable under the prevailing arbitration law.
9.2 Notice of demand for arbitration shall be filed in
writing with the other party to this Agreement and with
the American Arbitration Association, and a copy shall
also be filed with the Architect. The demand shall be
made within a reasonable time after the claim, dispute or
other matter in question has arisen. In no event shall the
demand for arbitration be made after the date when insti-
tution of legal or equitable proceedings based on such
claim, dispute or other matter in question would be
barred by the applicable statute of limitations.
9.3 The award rendered by the arbitrators shall be final,
and judgment may be entered upon it in accordance
with applicable law in any court having jurisdiction
thereof.
ARTICLE 10
TERMINATION OF AGREEMENT
10.1 This Agreement may be terminated by either party
upon seven days' written notice should the other party
AIA DOCUMENT B901 - OWNER -CONSTRUCTION MANAGER AGREEMENT - JUNE 1900 EDITION - AIAO
01980 - THE AMERICA14 INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE., N.w., WASHINGTON. O.C. 20006 B801 -- 1980 6
fail substantially to perform in accordance with its terms
through no fault of the party initiating the termination.
10.2 This Agreement may be terminated by the Owner
upon at least fourteen days' written notice to the Con-
struction Manager in the event that the Project is perma-
nently abandoned.
10.3 In the event of termination not the fault of the
Construction Manager, the Construction Manager shall be
compensated for all services performed to the termina-
tion date together with Reimbursable Costs then due and
all Termination Expenses.
10.4 Termination Expenses are defined as Reimbursable
Costs directly attributable to termination for which the
Construction Manager is not otherwise compensated.
ARTICLE 11
MISCELLANEOUS PROVISIONS
11.1 Unless otherwise specified, this Agreement shall be
governed by the law in effect at the location of the
Project.
11.2 Terms in this Agreement shall have the same mean-
ing as those in the 1980 Edition of AIA Document A201/
CM, General Conditions of the Contract for. Construction,
Construction Management Edition.
11.3 As between the parties to this Agreement: as to all
acts or failures to act by, either;party' to this Agreement,
any applicable statute of limitations shall commence to
run, and any alleged cause of action shall be deemed to
have accrued, in any and all events not later than the
relevant Date of Substantial Completion of the Project,
and as to any acts or failures to act occurring after the
relevant Date of Substantial Completion of the Project,
not later than the date of issuance of the final Project
Certificate for Payment.
11.4 The Owner and the Construction Manager waive
all rights against each other, and against the contractors,
consultants, agents and employees of the other, for dam-
ages covered by any property insurance during construc-
tion, as set forth in the 1980 Edition of AiA Document
A201/CM, General Conditions of the Contract for Con-
struction, Construction Management Edition. The Owner
and the Construction Manager shall each require appro-
priate similar waivers from their contractors, consultants
and agents.
ARTICLE 12
SUCCESSORS AND ASSIGNS
12.1 The Owner and the Construction Manager, respec-
tively, bind themselves, their partners, successors, assigns
and legal representatives to the other party to this Agree-
ment, and to the partners, successors, assigns and legal
representatives of such other party with respect to all
covenants of this Agreement. Neither the Owner nor the
Construction Manager shall assign, sublet or transfer any
interest in this Agreement without the written consent of
the other.
ARTICLE 13
EXTENT OF AGREEMENT
13.1 This Agreement represents the entire and integrated
agreement between the Owner and the Construction
Manager and supersedes all prior negotiations, represen-
tations or agreements, either written or oral. This Agree-
ment may be amended only by written instrument signed
by both the Owner and the Construction Manager.
13.2 Nothing contained herein shall be deemed'to cre-
ate any contractual relationship between the Construction
Manager and the Architect or any of the Contractors, Sub-
contractors or material suppliers on the Project; nor shall
anything contained in this Agreement be deemed to -give
any third party any claim or right of. action against the
Owner or the Construction Manager which does not
otherwise exist without regard to this Agreement.
ARTICLE 14
INSURANCE
14.1 The Construction Manager shall purchase and
maintain insurance for protection from claims under
workers' or workmen's compensation acts; claims for
damages because of bodily injury, including personal in-
jury, sickness, disease or death of any of the Construction
Manager's employees or of any person; from claims for
damages because of injury to or destruction of tangible
property including loss of use resulting therefrom; and
from claims arising out of the performance of this Agree-
ment and caused by negligent acts for which the Con-
struction Manager is legally liable.
AIA DOCUMENT 2901 - OWNER -CONSTRUCTION MANAGER AGREEMENT - JUNE 1980 EDITION - AIA6
7 B801 —1980 01980 - THE AMERICAN INSTITUTE OF ARCHITECTS, 1nS NEW YORK AVE., N.W., WASHINGTON, D.C. 2M
ARTICLE 15
BASIS OF COMPENSATION
The Owner shall compensate the Construction Manager for the Scope of Services provided, in accordance with Article 7,
Payments to, the Construction Manager, and the other Terms and Conditions of this Agreement, as follows:
15.1 AN INITIAL PAYMENT of None dollars ($ 0 1 shall be made upon execu-
tion of this Agreement and credited to the Owner's account,
1S.2 BASIC COMPENSATION
15.2.1 FOR BASIC SERVICES, as described in Paragraphs "I.1 and 1.2, and any other services included in Article 16 as
part of Basic Services, Basic Compensation shall be computed as follows:
For Preconstruction Phase Servwcs, compensation shall be::
(Here insert basis of compensation, inrludrrig i:,i,-,! arnnutric muloplec or percentages.)
For Construction Phase Services, compensation shall be:
(Here insert basis of compensation incit-imr, :nrd am(punn, multiples or percentages.)
Four percent (4%) of the Construction Cost.
J
15.3 COMPENSATION FOR ADDITIONAL SERVICES
15.3.1 FOR ADDITIONAL SERVICES OF THE CONSTRUCTION MANAGER, as described in Paragraph 1.3, and any other
services included in Article 16 as Additional Services, compensation shall be computed as follows:
(Here insert basis of compensation, including hued amounts, multiples or percentages.)
15.4 FOR REIMBURSABLE COSTS, as described in Article 6 and Article 16, the actual costs incurred by the Construc-
tion Manager in the interest, of the Project.
15.5 Payments due the Construction Manager and unpaid under this Agreement shall bear interest from the date
payment is due at the rate entered below, or in the absence thereof, at the legal rate prevailing at the principal
place of business of the Construction Manager,
(Here insert any rate or interest agreed upon.)
Twelve (12) percent.
(Usury laws and requirements under the Irdrrai truth ,n tending Act. >rmHar .talc• and rued/ consumer credit laws, and other regulations at the
Owner's and Construction Aaanagei's prrr•.r,pal p!a• rt ur bu aw", the hrcaoon of the Prnieet and elsewhere may ,duct the valy(!,tc ii tFiri prt-i<ion
Specific legal advice should be obtained with re,perr io deletion, moddiritron or tither requirements such as written tioeio,urvs nr .)
15.6 The Owner and the Construction Manager agree in accordance with the Terms and Conditions of this Agree-
ment that:
15.6.1 IF THE SCOPE of the Project or the Construction Manager's Services is changed materially, the amounts of com-
pensation shall be equitably adjusted.
i 15.6.2 IF THE SERVICES covered by this Agreement have not been completed within Eighteen
( 1$ ) months of the date hereof, through no fault of the Construction Manager, the amounts of compensa-
tion, rates and multiples set forth herein shall be equitably adjusted.
AIA DOCUMENT 0801 • OWNER -CONSTRUCTION ,1,1ASAGER AGREEMENT (UNE 19M EDITION • AIAS
01980 • THE AMERICAN INSTITUTE OF ARCHITECTS, 173i NEW NORK AVE., NAV. WASHINCTON, D.C. 20006 8801 — 1980 8
ARTICLE 16
OTHER CONDITIONS OR SERVICES
(List Reimbursable Costs and costs not to be reimbursed.)
t
This Agreement entered into as of the day and year first written above.
OWNER COh UCTION MANAGE
1� r G�
�ALlblhK
City of Lubbock
Lubbock County, Texas 220 University
ATTEST: LU BOCK, Texas
AIA DOCUMENT 8901 • OIYNL R-CONSTRUC FION MANACER AGREEMENT • JUNE 19&1 EDITION • AIM`
,€1980 • THr AMERICAN INSTITUTE OF ARCUMC1S, 1735 NEW YORK AVE N.W., WASHIN(,70N. D.C. 2tXY06 8801 —1980 9
4 d as to roan:C--w 4vu,90
,
ant City Attorney