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Item 4Gidly oI 6outnjaKe, 1 exas MEMORANDUM October 31, 2006 TO: Shana Yelverton, City Manager FROM: Wade G. Goolsby, Chief of Police Services SUBJECT: Authorize the Mayor to eater into an agreement with Lee Lewis Construction, Inc. as Construction Manager at Risk for the central DPS Facility. Item 4G Action Requested: Approve an agreement negotiated by Staff, for the construction management services for a centrally located DPS facility and authorize the Mayor to enter into an agreement with Lee Lewis Construction, Inc.. Background Information: The City has been working with RPGA Design Group, Inc. with regard to the needs assessment and design of a new centrally located DPS facility. The City staff has recommended that we utilize a Construction Manager at Risk for this project to obtain the highest level of quality and efficiency. Lee Lewis Construction was originally selected as the Construction Manager for the planned DPS facility in north Southlake. After re- considering the location of that project, the contracts with Lee Lewis were cancelled and re- negotiated for the project in central Southlake. On April 5, 2006, the Crime Control and Prevention District Board accepted the recommendations of staff to enter into a contract with Lee Lewis Construction as the Construction Manager at Risk for tliis project. Staff and City Attorneys negotiated the attached agreement and cost package. Financial Considerations: The total cost for Construction Manager services is approximately $480,000.00. This is based upon 4% of the estimated construction cost of $12,000,000. This fee includes their role in the Pre - Design Phase, Basic Design Phase, Construction Phase and Supplementary Services. Industry standards for these services range between 3% and 6% of total construction costs. Citizen Input/ Board Review: The Crime Control and Prevention Board has recommended proceeding with this contract. Legal Review: The attached agreement has been reviewed and approved by Robert M. Allibon with TOASE. Alternatives: Alternatives that exist are; (1) Seek another Construction Manager at Risk, or (2) Renegotiate attached agreement. Department of Public Safety Facility Contracts October 30, 2006 Page 2 Supporting Documents: Standard Form of Agreement between Owner and Construction Manager (Document Al21 -CMe) Staff Recommendation: Approve funding to enter into agreement with Lee Lewis Construction., Inc. for Construction Manager at Risk services of the central DPS Facility, � Ted D 1 21 c ® 2003 an AGC Do cumen t Standard Form of Agreement Between Owner and Construction Manager where the Construction Manager is Also the Constructor AGREEMENT made as of the first day of November in the year of Two Thousand Six (In words, indicate day, month and year) BETWEEN the Owner: (Name and address) Andy Wambsganns, Mayor City of Southlake 667 N. Carroll Avenue Southiake,TX 76092 and the Construction Manager: (Name and address) Lee Lewis Construction, Inc. 17111 Preston Rd., Suite 100 Dallas, TX 75248 The Project is: (Name, address and brief description) City of Southlake Department of'Public Safety Headquarters Facility City of Southlake, Texas New Public Safety Headquarters Facility for the Department of Public Safety on or near the current East DPS Site The major components of the facility will be to house police, fire administration, dispatch/communications, EOC, minimum detention and a Fire Station in Southlake, Texas. Together it is currently anticipated that these will comprise a project that is anticipated to be approximately 35,000 sq, ft. and will not exceed 50,000 sq ft., with a preliminary cost project of $15,000,000..00 including site work, FF &E, architectural fees, CM -Agent fees and soft costs.. The Architect is: (Name and address) RPGA Design Group, Inc,,, General Corporation 101 S. Jennings Avenue, Suite 100 Ft Worth, TX 76104 The Owner and Construction Manager agree as set forth below: ADDITIONS AND DELETIONS: The author of this document has added information needed for its completion. The author may also have revised the text of the original ALA standard form.. An Additions and Deletions Report that notes added information as well as revisions to the standard farm text is available from the author and should be reviewed. A vertical line in the left margin of this document indicates where the author has added necessary information and where the author has added to or deleted from the original AIA text. This document has important legal consequences. Consultation with an attorney is encouraged with respect to its completion or modification. The 1997 Edition of AIA Document A201, General Conditions of the Contract for Construction, is referred to herein. This Agreement requires modification if other general conditions are utilized. AIA Document Al21 uCMc — 2003 and AGC Document 565. Copyright 01991 and 2003 by The American institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U 3.. Copyright Law and International Treaties.. Unauthorized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the taw. This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No .1€100211056_1 which expires on 1211412006, and is not for resale.. User Notes: (2124871748) TABLE OF CONTENTS ARTICLE 1 GENERAL PROVISIONS § 1.1 Relationship of the Parties § 1.2 General Conditions ARTICLE 2 CONSTRUCTION MANAGER'S RESPONSIBILITIES § 2,1 Preconstruc €ion Phase § 2.2 Guaranteed Maximum Price Proposal and Contract Time § 2.3 Construction Phase § 2.4 Professional Services § 2.5 Hazardous Materials ARTICLE 3 OWNER'S RESPONSIBILITIES § 3.1 Information and Services § 3.2 Owner's Designated Representative § 3.3 Architect § 3.4 t.egal Requirements ARTICLE 4 COMPENSATION AND PAYMENTS FOR PRECONSTRUCTION PHASE SERVICES § 4.1 Compensation § 4.2 Payments ARTICLE 5 COMPENSATION FOR CONSTRUCTION PHASE SERVICES § 5.1 Compensation § 5.2 Guaranteed Maximum Price § 5.3 Changes in the Work ARTICLE 6 COST OF THE WORK FOR CONSTRUCTION PHASE § 6.1 Costs to Be Reimbursed § 6.2 Costs Not to Be Reimbursed § 6.3 Discounts, Rebates and Refunds § 6.4 Accounting Records ARTICLE 7 CONSTRUCTION PHASE § 7.1 Progress Payments § 7.2 Final Payment ARTICLE 8 INSURANCE AND BONDS § 8.1 Insurance Required of the Construction Manager § 8.2 Insurance Required of the Owner § 8.3 Performance Bond and Payment Bond ARTICLE 9 MISCELLANEOUS PROVISIONS § 9,1 Dispute Resolution § 9.2 Other Provisions ARTICLE 10 TERMINATION OR SUSPENSION § 10.1 Termination Prior to Establishing Guaranteed Maximum Price § 10.2 Termination Subsequent to Establishing Guaranteed Maximum Price § 10.3 Suspension ARTICLE 11 OTHER CONDITIONS AND SERVICES AIA Document Al21'"GMc — 2003 and AGC Document 565. Copyright 0 1991 and 2003 by The American institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING- This document Is protected by U. S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this document, or any portion of €t, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law.. This document was produced by AIA software at 13:01:05 on i 110112006 under order No 1000211058_1 which expires on 12/1412006, and is not for resale User Notes: (2124871748) ARTICLE 1 GENERAL PROVISIONS § 11 RELATIONSHIP OF PARTIES The Construction Manager accepts the relationship of trust and confidence established with the Owner by this Agreement, and covenants with the Owner to furnish the Construction Manager's reasonable skill and judgment and to cooperate with the Architect in furthering the interests of the Owner.. The Construction Manager shall furnish construction administration and management services and use the Construction Manager's best efforts to perform the 'Project in an expeditious and economical mariner consistent with the interests of the Owner. The Owner shall endeavor to promote harmony and cooperation among the Owner, Architect, Construetion Manager and other persons or entities employed by the Owner for the Project.. § 1.2 GENERAL CONDITIONS For the Construction Phase, the General Conditions of the contract shall be the AIAOO Document A201 TM -1997, General Conditions of the Contract for Construction, as modified and amended by the parties, which is incorporated herein by reference. For the Preconstruction Phase, or in the event that the Preconstruction and Construction Phases proceed concurrently, A201 TM -1997 shall apply to the Preconstruction Phase only as specifically provided in this Agreement The term "Contractor" as used in A201 rm -1997 shall mean the Construction Manager. ARTICLE 2 CONSTRUCTION MANAGER'S RESPONSIBILITIES The Construction Manager shall perform the services described in this Article. The services to be provided under Sections 2.1 and 2.2 constitute the Preconstruction Phase services. If the Owner and Construction Manager agree, after consultation with the Architect, the Construction Phase may commence before the Preconstruction Phase is completed, in which case both phases will proceed concurrently.. § 2.1 PRECONSTRUCTION PHASE § 2.1.1 PRELIMINARY EVALUATION The Construction Manager shall provide a preliminary evaluation of the Owner's program and Project budget requirements, each in terms of the other § 2.1.2 CONSULTATION The Construction Manager with the Architect shall jointly schedule and attend regular meetings with the Owner. The Construction Manager shall consult with the Owner and Architect regarding site use and 'improvements and the selection of materials, building systems and equipment.. The Construction Manager shall provide recommendations on construction feasibility; actions designed to minimize adverse effects of labor or material shortages; time requirements for procurement, installation and construction completion; and factors related to construction cost, including estimates of alternative designs or materials, preliminary budgets and possible economies. § 21.3 PRELIMINARY PROJECT SCHEDULE When Project requirements described in Section 3..1.1 have been sufficiently identified, the Construction Manager shall prepare, and periodically update, a preliminary Project schedule for the Architect's review and the Owner's approval.. The Construction Manager shall obtain the Architect's approval of the portion of the preliminary Project schedule relating to the performance of the Architect's services.. The Construction Manager shall coordinate and integrate the preliminary Project schedule with the services and activities of the Owner, Architect and Construction Manager. As design proceeds, the preliminary Project schedule shall be updated to indicate proposed activity sequences and durations, milestone dates for receipt and approval of pertinent information, submittal of a Guaranteed Maximum Price proposal, preparation and processing of shop drawings and samples, delivery of materials or equipment requiring long -lead -time procurement, Owner's occupancy requirements showing portions of the Project having occupancy priority, and proposed date of Substantial Completion. If preliminary Project schedule updates indicate that previously approved schedules may not be met, the Construction Manager shall make appropriate recommendations to the Owner and Architect. § 2.1,4 PHASED CONSTRUCTION The Construction Manager shall make recommendations to the Owner and Architect regarding the phased issuance of Drawings and Specifications to facilitate phased construction of the Work, if such phased construction is appropriate for the Project, taking into consideration such factors as economies, time of performance, availability of labor and materials, and provisions for temporary facilities. AIA Document Al21n"CMc — 2003 and AGC Document 566, Copyright d 1991 and 2003 by The American Institute of Architects and The Associated General Conlractars of America. All rights reserved. WARNING: This document Is protected by U.B., Copyright taw and International Treaties.. Unauihorized reproduction or distribution at this document, or any portion of €1, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No 100021105$ 1 which expires on 12114/2006, and is not for resale User Notes: (21 24 87 1 74 8) § 2.1,5 PRELIMINARY COST ESTIMATES § 2.1.5.1 When the Owner has sufficiently identified the Project requirements and the Architect has prepared other basic design criteria, the Construction Manager shall prepare, for the review of the Architect and approval of the Owner, a preliminary cost estimate utilizing area, volume or similar conceptual estimating techniques. § 21.51 When Schematic Design Documents have been prepared by the Architect and approved by the Owner, the Construction Manager shall prepare, for the review of the Architect and approval of the Owner, a more detailed estimate with supporting data. During the preparation of the Design Development Documents, the Construction Manager shall update and refine this estimate at appropriate intervals agreed to by the Owner, Architect and Construction Manager.. § 2.1.5.3 When Design Development Documents have been prepared by the Architect and approved by the Owner, the Construction Manager shall prepare a detailed estimate with supporting data for review by the Architect and approval by the Owner. During the preparation of the Construction Documents, the Construction Manager shall update and refine this estimate at appropriate intervals agreed to by the Owner, Architect and Construction Manager. § 2144 If any estimate submitted to the Owner exceeds previously approved estimates or the Owner's budget, the Construction Manager shall make appropriate recommendations to the Owner and Architect. § 2.1.6 SUBCONTRACTORS AND SUPPLIERS The Construction Manager shall seek to develop subcontractor interest in the Project and shall furnish to the Owner and Architect for their information a list of possible subcontractors, including suppliers who are to furnish materials or equipment fabricated to a special design, from whom proposals will be requested for each principal portion of the Work. The Architect will promptly reply in writing to the Construction Manager if the Architect or Owner know of any objection to such subcontractor or supplier The receipt of such list shall not require the Owner or Architect to investigate the qualifications of proposed subcontractors or suppliers, nor shall it waive the right of the Owner or Architect later to object to or reject any proposed subcontractor or supplier.. § 2.1.7 LONG - LEAH -TIME ITEMS The Construction Manager shall recommend to the Owner and Architect a schedule for procurement of lonb lead - time items which will constitute part of the Work as required to meet the Project schedule. If such long -lead -time items are procured by the Owner, they shall be procured on terms and conditions acceptable to the Construction Manager.. Upon the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal, all contracts for such items shall be assigned by the Owner to the Construction Manager, who shall accept responsibility for such items as if procured by the Construction Manager The Construction Manager shall expedite the delivery of long -lead -time items. § 2.1,8 EXTENT OF RESPONSIBILITY The Construction Manager does not warrant or guarantee estimates and schedules except as may be included as part of the Guaranteed Maximum Price. The recommendations and advice of the Construction Manager concerning design alternatives shall be subject to the review and approval of the Owner and the Owner's professional consultants. It is not the Construction Manager's responsibility to ascertain that the Drawings and Specifications are in accordance with applicable laws, statutes, ordinances, building codes, rules and regulations.. However, if the Construction Manager recognizes that portions of the Drawings and Specifications are at variance therewith, the Construction Manager shall promptly notify the Architect and Owner in writing. § 2.1.9 EQUAL EMPLOYMENT OPPORTUNITY AND AFFIRMATIVE ACTION The Construction Manager shall comply with applicable laws, regulations and special requirements of the Contract Documents regarding equal employment opportunity and affirmative action programs. § 2.2 GUARANTEED MAXIMUM PRICE PROPOSAL AND CONTRACT TIME § 2.2.1 When the Drawings and Specifications are sufficiently complete, the Construction Manager shall propose a Guaranteed Maximum Price, which shall be the sum of the estimated Cost of the Work and the Construction Manager's Fee.. § 2.2.2 As the Drawings and Specifications may not be finished at the time the Guaranteed Maximum Price proposal is prepared, the Construction Manager shall provide in the Guaranteed Maximum Price for further development of AEA document Al21 -- 2003 and AGC Document 565. Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated Genera€ Contractors of America, All rights reserved. WARNING; This document Is protected by U.S, Copyright Law and International Treaties. Unauthorized reproduction or distribution of this document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, , This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No 1 0002 1 1 056_1 which expires on 1 211 412 00 6, and is not for resale. User Notes: (21 24 871 74 6) the Drawings and Specifications by the Architect that is consistent with the Contract Documents and reasonably inferable therefrom, Such further development does not include such things as changes in scope, systems, binds and quality of materials, finishes or equipment, all of which, if required, shall be incorporated by Change Order. § 223 The estimated Cost of the Work shall include the Construction Manager's contingency, a sum established by the Construction Manager for the Construction Manager's exclusive use to cover costs arising under Section 2.2,2 and other costs which are properly reimbursable as Cost of the Work but not the basis for a Change Order. § 2.2.4 BASIS OF GUARANTEED MAXIMUM PRICE The Construction Manager shall include with the Guaranteed Maximum Price proposal a written statement of its basis, which shall include: A A list of the Drawings and Specifications, including all addenda thereto and the Conditions of the Contract, which were used in preparation of the Guaranteed Maximum Price proposal. .2 A list of allowances and a statement of their basis .3 A list of the clarifications and assumptions made by the Construction Manager in the preparation of the Guaranteed Maximum Price proposal to supplement the information contained in the Drawings and Specifications .4 The proposed Guaranteed Maximum Price, including a statement of the estimated cost organized by trade categories, allowances, contingency, and other items and the Fee that comprise the Guaranteed Maximum Price .5 The Date of Substantial Completion upon which the proposed Guaranteed Maximum Price is based, and a schedule of the Construction Documents issuance dates upon which the date of Substantial Completion is based. § 2.2.5 The Construction Manager shall meet with the Owner and Architect to review the Guaranteed Maximum Price proposal and the written statement of its basis. in the event that the Owner or Architect discover any inconsistencies or inaccuracies in the information presented, they shall promptly notify the Construction Manager, who shall make appropriate adjustments to the Guaranteed Maximum Price proposal, its basis, or both. § 2.2.6 Unless the Owner accepts the Guaranteed Maximum Price proposal in writing on or before the date specified in the proposal for such acceptance and so notifies the Construction Manager, the Guaranteed Maximum Price proposal shall not be effective without written acceptance by the Construction Manager. § 2.2.7 Prior to the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal and issuance of a Notice to Proceed, the Construction Manager shall not incur any cost to be reimbursed as part of the Cost of the Work, except as the Owner may specifically authorize in writing. § 2.2.8 Upon acceptance by the Owner of the Guaranteed Maximum Price proposal, the Guaranteed Maximum Price and its basis shalt be set forth in Amendment No.. 1. The Guaranteed Maximum Price shall be subject to additions and deductions by a change in the Work as provided in the Contract Documents, and the Date of Substantial Completion shall be subject to adjustment as provided in the Contract Documents. § 2.2.9 The Owner shall authorize and cause the Architect to revise the Drawings and Specifications to the extent necessary to reflect the agreed -upon assumptions and clarifications contained in Amendment No.. 1. Such revised Drawings and Specifications shall be furnished to the Construction Manager in accordance with schedules agreed to by the Owner, Architect and Construction Manager. The Construction Manager shall promptly notify the Architect and Owner if such revised Drawings and Specifications are inconsistent with the agreed -upon assumptions and clarifications. § 12.10 The Guaranteed Maximum Price shall include in the Cost of the Work only those taxes which are enacted at the time the Guaranteed Maximum Price is established. § 2.3 CONSTRUCTION PHASE § 2.3.1 GENERAL § 2.31.1 The Construction Phase shall commence on the earlier of: AIA Document Al21"'CMc — 2003 and AGC Document 565. Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document is protected by U.-S Copyright Law and International Treaties. Unauthorized reproduction or distribution of this document, or any portion of It, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13 :01:05 on 1110112006. under Order No.1000211056_1 which expires on 1211412006, and Is not for resale User Notes: (2 1 24 071 74 8) (1) the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal and issuance of a Notice to Proceed, or (2) the Owner's first authorization to the Construction Manager to: (a) award a subcontract, or (b) undertake construction Work with the Construction Manager's own forces, or (c) issue a purchase order for materials or equipment required for the Work. § 2.3.2 ADMINISTRATION § 2.3.21 Those portions of the Work that the Construction Manager does not customarily perform with the Construction Manager's own personnel shall be performed under subcontracts or by other appropriate agreements with the Construction Manager. The Construction Manager shall obtain bids from Subcontractors and from suppliers of materials or equipment fabricated to a special design for the Work from the list previously reviewed and, after analyzing such bids, shall deliver such bids to the Owner and Architect.. The Owner will then determine, with the advice of the Construction Manager and subject to the reasonable objection of the Architect, which bids will be accepted. The Owner may designate specific persons or entities from whom the Construction Manager shall obtain bids; however, if the Guaranteed Maximum Price has been established, the Owner may not prohibit the Construction Manager from obtaining bids from other qualified bidders. The Construction Manager shall not be required to contract with anyone to whom the Construction Manager has reasonable objection. Under no circumstances shall the Construction Manager alter any bid submitted without the prior approval of the Owner.. § 23.2.2 If the Guaranteed Maximum Price has been established and a specific bidder among those whose bids are delivered by the Construction Manager to the Owner and Architect (1) is recommended to the Owner by the Construction Manager; (2) is qualified to perform that portion of the Work; and (3) has submitted a bid which conforms to the requirements of the Contract Documents without reservations or exceptions, but the Owner requires that another bid be accepted, then the Construction Manager may require that a change in the Work be issued to adjust the Contract Time and the Guaranteed Maximum Price by the difference between the bid of the person or entity recommended to the Owner by the Construction Manager and the amount of the subcontract or other agreement actually signed with the person or entity designated by the Owner. § 2.3.2.3 Subcontracts and agreements with suppliers furnishing materials or equipment fabricated to a special design shall conform to the payment provisions of Sections 7.1.8 and 7..1..9 and shall not be awarded on the basis of cost plus a fee without the prior consent of the Owner. § 2.12.4 The Construction Manager shall schedule and conduct meetings at which the Owner, Architect, Construction Manager and appropriate Subcontractors can discuss the status of the Work.. The Construction Manager shall prepare and promptly distribute meeting minutes. § 2.3.2.5 Promptly after the Owner's acceptance of the Guaranteed Maximum Price proposal, the Construction Manager shall prepare a schedule in accordance with Section 3 10 of A201 Tm -1997, including the Owner's occupancy requirements. § 2.3.2.6 The Construction Manager shall provide monthly written reports to the Owner and Architect on the progress of the entire Work, The Construction Manager shall maintain a daily log containing a record of weather, Subcontractors working on the site, number of workers, Work accomplished, problems encountered and other similar relevant data as the Owner may reasonably require, The log shall be available to the Owner and Architect § 23.2.7 The Construction Manager shall develop a system of cost control for the Work, including regular monitoring of actual costs for activities in progress and estimates for uncompleted tasks and proposed changes.. The Construction Manager shall identify variances between actual and estimated costs and report the variances to the Owner and Architect at regular intervals.. § 2.4 PROFESSIONAL SERVICES Section 3.12.10 of A201Tm —I 997 shall apply to both the Preconstruction and Construction Phases.. § 2.5 HAZARDOUS MATERIALS Section 103 of A201 Tst- -1997 shall apply to both the Preconstruc€ ion and Construction Phases.. AIA Document Al21 TmCMc — 2003 and AGC Document 555. Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated Generat Contractors of America, All rights reserved. WARNING: This document is protected by U 5. Copyright Law and International Treaties.. Unauthorized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AK software at 13:01:05 on 11/0112006 under Order No 1000211056_1 which expires on 12/1412005. and is not for resale User Notes: (2124871748) ARTICLE 3 OWNER'S RESPONSIBILITIES § 3,1 INFORMATION AND SERVICES § 11.1 The Owner shall provide full information in a timely manner regarding the requirements of the Project, including a program which sets forth the Owner's objectives, constraints and criteria, including space requirements and relationships, flexibility and expandability requirements, special equipment and systems, and site requirements. § § 113 The Owner shall establish and update an overall budget for the Projcct, based on consultation with the Construction Manager and Architect, which shall include reasonable contingencies for changes in the Work and other costs which are the responsibility of the Owner.. § 3.1.4 STRUCTURAL AND ENVIRONMENTAL TESTS, SURVEYS AND REPORTS In the Preconstruction Phase, the Owner shall obtain the following with reasonable promptness and at the Owner's expense.. Except to the extent that the Construction Manager knows of any inaccuracy, the Construction Manager shall be entitled to rely upon the accuracy of any such information, reports, surveys, drawings and tests described in Sections 3 14 1 through 3 1.4.4 to the extent that a reasonable and prudent Construction Manager would under the same or similar circumstances. § 3.1.4.1 Reports, surveys, drawings and tests concerning the conditions of the site which are required by law. § 3.1.4.2 Surveys describing physical characteristics, legal limitations and utility locations for the site of the Project, and a written legal description of the site. The surveys and legal information shall include, as applicable, grades and lines of streets, alleys, pavements and adjoining property and structures; adjacent drainage; rights -of -way, restrictions, casements, encroachments, zoning, deed restrictions, boundaries and contours of the site; locations, dimensions and necessary data pertaining to existing buildings, other improvements and trees; and information concerning available utility services and lines, both public and private, above and below grade, including inverts and depths. All information on the survey shall be referenced to a project benchmark. § 3.1.4.3 The services of a geotechnical engineer when such services are requested by the Construction Manager. Such services may include but are not limited to test borings, test pits, determinations of soil bearing values, percolation tests, evaluations of hazardous materials, ground corrosion and resistivity tests, including necessary operations for anticipating subsoil conditions, with reports and appropriate professional recommendations § 3.144 Structural, mechanical, chemical, air and water pollution tests, tests for hazardous materials, and other laboratory and environmental tests, inspections and reports which are required by law. § 3.1.4.5 The services of other consultants when such services are reasonably required by the scope of the Project and are requested by the Construction Manager, § 3.2 OWNER'S DESIGNATED REPRESENTATIVE The Owner shall designate a representative with respect to the Project. The representative shall not have authority to make final decisions on behalf of the Owner concerning changes in the Work other items requiring City Council approval, however, the Owner, or such authorized representative, shall render decisions in a timely manner in order to avoid unreasonable delay in the services or Work of the Construction Manager. § 3.3 ARCHITECT The Owner shall retain an Architect to provide Basic Services, including normal structural, mechanical and electrical engineering services, other than cost estimating services, described in the edition of AIAOO Document BI 51 IM-1 997, Abbreviated Standard Form of Agreement Between Owner and Architect current as of the date of this Agreement as modified by the parties thereto.. The Owner shall authorize and cause the Architect to provide those Additional Services described in B 151 m -1997, requested by the Construction Manager which must necessarily be provided by the Architect for the Preconstruction and Construction Phases of the Work:, unless such Additional Services are caused by or attributable to the fault of the Construction Manager, in which case the Construction Manager shall be responsible for the cost of such Additional Service.. Such services shall be provided AIA Document Al21luCMc — 2003 and AGC tlocumenl 565. Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U.S. Copyright Law and International Treaties 7 Unauthorized reproduction or distribution of this document, or any portion of It, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/01/2006 under Order No 1000211056_1 which expires on 1211412006, and is not for resale User Notes; (2124871748) in accordance with time schedules agreed to by the Owner, Architect and Construction Manager. Upon request of the Construction Manager, the Owner shall furnish to the Construction Manager a copy of the Owner's Agreement with the Architect, from which compensation provisions may be deleted.. § 3.4 LEGAL REQUIREMENTS The Owner shall determine and advise the Architect and Construction Manager of any special legal requirements relating specifically to the Project which differ from those generally applicable to construction in the jurisdiction of the Project.. The Owner shall furnish such legal services as are necessary to provide the information and services required under Section 3 1. ARTICLE 4 COMPENSATION AND PAYMENTS FOR PRECONSTRUCTION PHASE SERVICES The Owner shall compensate and make payments to the Construction Manager for Preconsiruction Phase services as follows: § 4.1 COMPENSATION § 4.1.1 For the services described in Sections 2.1 and 2.2, the Construction Manager's compensation shall be calculated as follows: Included in Article 5 (State basis of compensation, whether a stipulated suns, multiple of Direct Personnel Expense, actual cost, etc. Include a statement of reimbursable cost items as applicable.) § 4.1.2 Compensation for Preconstruction Phase Services shall be equitably adjusted if such services extend beyond Thirty ( 30 ) days from the date of this Agreement or if the originally contemplated scope of services is significantly modified. § 4.1,3 If compensation is based on a multiple of Direct Personnel Expense, Direct Personnel Expense is defined as the direct salaries of the Construction Manager's personnel engaged in the Project and the portion of the cost of their mandatory and customary contributions and benefits related thereto, such as employment taxes and other statutory employee benefits, insurance, sick leave, holidays, vacations, pensions and similar contributions and benefits § 4,2 PAYMENTS § 4.2.1 Payments shall be made monthly following presentation of the Construction Manager's invoice and, where applicable, shall be in proportion to services performed.. § 4,2,2 Payments are due and payable Ten ( 10 ) days from the date the Construction Manager's invoice is received by the Owner. Amounts unpaid after the date on which payment is due shall bear interest at the rate entered below, or in the absence thereof, at the legal rate prevailing from time to time at the place where the Project is located.. (Insert rate of interest agreed upon.) 6.00% per annum (Usury laws and requirements under the 1%ederal Truth in Lending; Act, similar state and local constrrner credit lases and other regulations at the Owner's and Contractor's principal places of business, the location of the Project and elsewhere may affect the validity of this provision. Legal advice .should be obtained with respect to deletions or modifications, and also regarding requirements such as written disclosures or waivers ) ARTICLE 5 COMPENSATION FOR CONSTRUCTION PHASE SERVICES The Owner shall compensate the Construction Manager for Construction Phase services as follows: AIA Document Al21" CMc — 2003 and AGC Document 565. Copyright Q 1991 and 2003 by The American Institule of Architects and The Associated General Contractors of America. All rights reserved,. WARNING: This document Is protected by U.S.. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AIA software at 13:01:05 on 1110112006 under Order No.10002111756_1 which expires an 1211412006. and Is rat for resale User Notes. (2 1 24 87 1 74 8) § 5.1 COMPENSATION § 5.1.1 For the Construction Manager's performance of the Work as described in Section 2.3, the Owner shall pay the Construction Manager in current funds the Contract Sum consisting of the Cost of the Work as defined in Article 6 and the Construction Manager's Fee determined as follows: Compensation shall be four percent (4 °1o) of the actual Cost of the Work for Work performed pursuant to the Contract, payable as herein provided, provided that the sum of the Cost of Work and the cost of the Construction Manager's Fee provided by the contract Document, shall not exceed the Guaranteed Maximum Price (State a lump suns, percentage of actual Cost of the Work or other provision for detennining the Cottstntction Manager's Fee, and explain how the Construction Manager's Fee is to be adjusted for changes in the Work) § 5.2 GUARANTEED MAXIMUM PRICE § 5.2.1 The sum of the Cost of the Work and the Construction Manager's Fee are guaranteed by the Construction Manager not to exceed the amount provided in Amendment No 1, subject to additions and deductions by changes in the Work as provided in the Contract Documents Such maximum sum as adjusted by approved changes in the Work is referred to in the Contract Documents as the Guaranteed Maximum Price. Costs which would cause the Guaranteed Maximum Price to be exceeded shall be paid by the Construction Manager without reimbursement by the Owner. Construction Manager shall not participate in any savings.. (Insert specif c provisions if the Constnictiorn Manager is to participate in any savings.) § 53 CHANGES IN THE WORK § 5.3.1 Adjustments to the Guaranteed Maximum Price on account of changes in the Work subsequent to the execution of Amendment No. 1 may be determined by any of the methods listed in Section 7 3.3 of A201Tm -1997, unless such changes are caused by or attributable to the fault of the Construction Manager. § 5.3.2 In calculating adjustments to subcontracts (except those awarded with the Owner's prior consent on the basis of cost plus a fee), the terms "cost" and "fee" as used in Section 7.3.3.3 of A20IT and the terms "costs" and "a reasonable allowance for overhead and profit" as used in Section 7.3.6 of A201TM —I997 shall have the meanings assigned to them in that document and shall not be modified by this Article 5. Adjustments to subcontracts awarded with the Owner's prior consent on the basis of cost plus a fee shall be calculated in accordance with the terms of those subcontracts.. § 53.3 In calculating adjustments to the Contract, the terms "cost" and "costs" as used in the above- referenced provisions of A201 shall mean the Cost of the Work as defined in Article 6 of this Agreement, and the term "and a reasonable allowance for overhead and profit" shall mean the Constriction Manager's Fee as defined in Section 5..1 .1 of this Agreement § 5.3.4 If no specific provision is made in Section 5. L I for adjustment of the Construction Manager's Fee in the case of changes in the Work, or if the extent of such changes is such, in the aggregate, that application of the adjustment provisions of Section 5.1.I will cause substantial inequity to the Owner or Construction Manager, the Construction Manager's Fee shall be equitably adjusted on the basis of the Fee established for the original Work. ARTICLE 6 COST OF THE WORK FOR CONSTRUCTION PHASE § 6.1 COSTS TO BE REIMBURSED § 6.1.1 The term "Cost of the Work" shall mean costs necessarily incurred by She Constriction Manager in the proper performance of the Work. Such costs shall be at rates not higher than those customarily paid at the place of the Project except with prior consent of the Owner. The Cost of the Work shall include only the items set forth in this Article 6.. § 6.1.2 LABOR COSTS .1 Waves of construction workers directly employed by the Construction Manager to perform the construction of the Work at the site or, with the Owner's agreement, at off -site workshops. AIA Document Al21 T"GMc — 2003 and AGC Document 565. Copyright (D 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document is protected by t1..S Copyright Law and International Treat €es. Unaulherized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AIA software at 13:01:05 on 11/01/2005 under Order No..1000211056„,1 which expires on 12/14/2006, and Is nol for resale User Notes: {2124871748} .2 Wages or salaries of the Construction Manager's supervisory and administrative personnel when stationed at the site with the Owner's agreement Classification NIA Name (If it is intended that the wages or salaries of certain personnel stationed at the Construction Manager's principal office or offices other than the site office shall be included in the Cast of the Work -, such personnel shall be identified below ) .3 Wages and salaries of the Construction Manager's supervisory or administrative personnel engaged, at factories, workshops or on the road, in expediting the production or transportation of materials or equipment required for the Work, but only for that portion of their time required for the Work.. .4 Costs paid or incurred by the Construction Manager for taxes, insurance, contributions, assessments and benefits required by law or collective bargaining agreements, and, for personnel not covered by such agreements, customary benefits such as sick leave, medical and health benefits, holidays, vacations and pensions, provided that such costs are based on wages and salaries included in the Cost of the Work under Sections 6,1.2..1 through 6.1 2.1 § 6.1.3 SUBCONTRACT COSTS Payments made by the Construction Manager to Subcontractors in accordance with the requirements of the subcontracts.. § 61.4 COSTS OF MATERIALS AND EQUIPMENT INCORPORATED IN THE COMPLETED CONSTRUCTION ,1 Costs, including transportation, of materials and equipment incorporated or to be incorporated in the completed construction. 1 Costs of materials described in the preceding Section 6,14A in excess of those actually installed but required to provide reasonable allowance for waste and for spoilage. Unused excess materials, if any, shall be handed over to the Owner at the completion of the Work or, at the Owner's option, shall be sold by the Construction Manager; amounts realized, if any, from such sales shall be credited to the Owner as a deduction from the Cost of the Work. § 6.1.5 COSTS OF OTHER MATERIALS AND EQUIPMENT, TEMPORARY FACILITIES AND RELATED ITEMS .1 Costs, including transportation, installation, maintenance, dismantling and removal of materials, supplies, temporary facilities, machinery, equipment, and hand tools not customarily owned by the construction workers, which are provided by the Construction Manager at the site and fully consumed in the performance of the Work; and cost less salvage value on such items if not fully consumed, whether sold to others or retained by the Construction Manager.. Cost for items previously used by the Construction Managcr shall mean fair market value .2 Rental charges for temporary facilities, machinery, equipment and hand tools not customarily owned by the construction workers, which are provided by the Construction Manager at the site, whether rented from the Construction Manager or others, and costs of transportation, installation, minor repairs and replacements, dismantling and removal thereof Rates and quantities of equipment rented shall be subject to the Owner's prior approval .3 Costs of removal of debris from the site .4 Reproduction casts, costs of telegrams, facsimile transmissions and long- distance telephone calls, postage and express delivery charges, telephone at the site and reasonable petty cash expenses of the site office, .5 That portion of the reasonable travel and subsistence expenses of the Construction Manager's personnel incurred while traveling in discharge of duties connected with the Work. § 6.1,6 MISCELLANEOUS COSTS .1 That portion directly attributable to this Contract of premiums for insurance and bonds.. (If charges, for .self- insurance are to be included, specify the basis of reimbursement ) 1 Sales, use or similar taxes imposed by a governmental authority which are related to the Work and for which the Construction Manager is liable. A€A Document Al21 T°CMc — 2003 and AGC Document 565. Copyright O 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document is protected by U.S, Copyright Law and International Treaties„ 10 Unauthorized reproduction or distribution of this document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law., This document was produced by AIA software at 13:01:05 on 11101=06 under Order No 1000211056_1 which expires on 12/14/2005. and is not for resale User Notes: (2124871746) 3 Fees and assessments for the building permit and for other permits, licenses and inspections for which the Construction Manager is required by the Contract Documents to pay. .4 Fees of testing laboratories for tests required by the Contract Documents, except those related to nonconforming Work other than that for which payment is permitted by Section 6.1.8.2 . .5 Royalties and license fees paid for the use of a particular design, process or product required by the Contract Documents; the cost of defending suits or claims for infringement of patent or other intellectual property rights arising from such requirement by the Contract Documents; payments made in accordance with legal judgments against the Construction Manager resulting from such suits or claims and payments of settlements made with the Owner's consent; provided, however, that such costs of legal defenses, judgment and settlements shall not be included in the calculation of the Construction Manager's Fee or the Guaranteed Maximum Price and provided that such royalties, fees and costs are not excluded by the last sentence of Section 3.17..1 of A201 TM -1997 or other provisions of the Contract Documents. ,6 Data processing costs related to the Work. .7 Deposits lost for causes other than the Construction Manager's negligence or failure to fulfill a specific responsibility to the Owner set forth in this Agreement.. .8 Legal, mediation and arbitration costs, outer than those arising from disputes between the Owner and Construction Manager, reasonably incurred by the Construction Manager in the performance of the Work and with the Owner's written permission, which permission shall not be unreasonably withheld. .9 Expenses incurred in accordance with Construction Manager's standard personnel policy for relocation and temporary living allowances of personnel required for the Work, in case it is necessary to relocate such personnel from distant locations. § 6.11 OTHER COSTS .1 Other costs incurred in the performance of the Work if and to the extent approved in advance in writing by the Owner. § 6.1.8 EMERGENCIES AND REPAIRS TO DAMAGED OR NONCONFORMING WORK The Cost of the Work shall also include costs described in Section 6..1,1which are incurred by the Construction Manager: 1 In taking action to prevent threatened damage, injury or loss in of an emergency affecting the safety of persons and property, as provided in Section 10.6 of A201 Tm- 1997.. .2 In repairing or correcting damaged or nonconforming Work executed by the Construction Manager or the Construction Manager's Subcontractors or suppliers, provided that such damaged or nonconforming Work was not caused by the negligence or failure to fulfill a specific responsibility to the Owner set forth in this agreement of the Constriction Manager or the Construction Manager's foremen, engineers or superintendents, or other supervisory, administrative or managerial personnel of the Construction Manager, or the failure of the Constriction Manager's personnel to supervise adequately the Work of the Subcontractors or suppliers, and only to the extent that the cost of repair or correction is not recoverable by the Construction Manager from insurance, Subcontractors or suppliers. § 6.1,9 The costs described in Sections 6. IA through 61.8 shall be included in the Cost of the Work notwithstanding any provision of AIA or A201 other Conditions of the Contract which may require the Construction Manager to pay such costs, unless such costs are excluded by the provisions of Section 6.2. § 61 COSTS NOT TO BE REIMBURSED § 6.2.1 The Cost of the Work shall not include: .1 Salaries and other compensation of the Construction Manager's personnel stationed at the Construction Manager's principal office or offices other than the site office, except as specifically provided in Sections 6.1.2.2 and 6 1.2 3.. .2 Expenses of the Construction Manager's principal office and offices other than the site office, except as specifically provided in Section 6 1. .3 Overhead and general expenses, except as may be expressly included in Section 6.1. ,4 The Construction Manager's capital expenses, including interest on the Construction Manager's capital employed for the Work. AIA Document Al21T"CMc — 2003 and AGC CocUment 565. Copyright @1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U.S. Copyright Law and International Treaties Unauthorized reproduction or distribution of this document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 1110112006 under Order No. 1000211056_1 which expires on 12114!2006. and is not for resale. User Notes: 121248717481 .5 Renal costs of machinery and equipment, except as specifically provided in Section 61.52. .6 Except as provided in Section 6.1.8.2, costs due to the negligence of the Construction Manager or to the failure of the Construction Manger to fulfill a specific responsibility to the Owner set forth in this Agreement. 3 Costs incurred in the performance of Preconstruction Phase Services. .8 Except as provided in Section 6.1 7,1, any cost not specifically and expressly described in Section 6.1 ,8 Costs which would cause the Guaranteed Maximum Price to be exceeded. § 6.3 DISCOUNTS, REBATES AND REFUNDS § 6.31 Cash discounts obtained on payments made by the Construction Manager shall accrue to the Owner if (1) before making the payment, the Construction Manager included them in an Application for Payment and received payment therefor from the Owner, or (2) the Owner has deposited funds with the Construction Manager with which to make payments; otherwise, cash discounts shall accrue to the Construction Manager. Trade discounts, rebates, refunds and amounts received from sales of surplus materials and equipment shall accrue to the Owner, and the Construction Manager shall make provisions so that they can be secured.. § 6.3.2 Amounts which accrue to the Owner in accordance with the provisions of Section 6.3.1 shall be credited to the Owner as a deduction from the Cost of the Work.. § 6.4 ACCOUNTING RECORDS § 6.41 The Construction Manager shall keep full and detailed accounts and exercise such controls as may be necessary for proper financial management under this Contract; the accounting and control systems shall be satisfactory to the Owner. The Owner and the Owner's accountants shall be afforded access to the Construction Manager's records, books, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to this Project, and the Construction Manager shall preserve these for a period of three years after final payment, or for such longer period as may be required by law. ARTICLE 7 CONSTRUCTION PHASE § 7.1 PROGRESS PAYMENTS § 7.1.1 Based upon Applications for Payment submitted to the Architect by the Construction Manager and Certificates for Payment issued by the Architect, the Owner shall make progress payments on account of the Contract Sum to the Construction Manager as provided below and elsewhere in the Contract Documents. § 71.2 The period covered by each Application for Payment shall be one calendar month ending on the last day of the month, or as follows: § 71.3 Provided an Application for Payment is received by the Architect not later than the Fifth day of a month, the Owner shall make payment to the Construction Manager not later than the Twentieth day of the same month. If an Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than Ten ( 10 ) days after the Architect receives the Application for Payment. § 71.4 With each Application for Payment, the Construction Manager shall submit payrolls, petty cash accounts, reccipted invoices or invoices with check vouchers attached and any other evidence required by the Owner or Architect to demonstrate that cash disbursements already made by the Construction Manager on account of the Cost of the Work equal or exceed (1) progress payments already received by the Construction Manager; less (2) that portion of those payments attributable to the Construction Manager's Fee; plus (3) payrolls for the period covered by the present Application for Payment.. § 7.1.5 Each Application for Payment shall be based upon the most recent schedule of values submitted by the Construction Manager in accordance with the Contract Documents The schedule of values shall allocate the entire Guaranteed Maximum Price among the various portions of the Work, except that the Construction Manager's Fee shall be shown as a single separate item.. The schedule of values shall be prepared in such form and supported by such data to substantiate its accuracy as the Architect may require. This schedule, unless objected to by the Architect, shall be used as a basis for reviewing the Construction Manager's Applications for Payment. AIA Document Al21T CMc -- 2003 and AGC Document 66S. Copyright 01991 and 2003 by The American Institute of Architects and The Associated General Contractors of America,. All rights reserved. WARNING; This document Is protected by U..5. Copyright Low and International Treaties. 1 Unauthorized reproduction or distribution of this document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No 1000211056 1 which expires on 1211412006. and is not fof resale. User Notes: (2124071748) § 7,1.6 Applications for Payment shall show the percentage completion of each portion of the Work as of the end of the period covered by the Application for Payment.. The percentage completion shall be the lesser of (1) the percentage of that portion of the Work which has actually been completed or (2) the percentage obtained by dividing (a) the expense which has actually been incurred by the Construction Manager on account of that portion of the Work for which the Construction Manager has made or intends to make actual payment prior to the next Application for Payment by (b) the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values § 7.1,7 Subject to other provisions of the Contract Documents, the amount of each progress payment shall be computed as follows: .1 Take that portion of the Guaranteed Maximum Price properly allocable to completed Work as determined by multiplying the percentage completion of each portion of the Work by the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values.. Pending final determination of cost to the Owner of changes in the Work, amounts not in dispute may be included as provided in Section 7..3..8 of A201 TM -1997, even though the Guaranteed Maximum Price has not yet been adjusted by Change Order. .2 Add that portion of the Guaranteed Maximum Price properly allocable to materials and equipment delivered and suitably stored at the site for subsequent incorporation in the Work or, if approved in advance by the Owner, suitably stored off the site at a location agreed upon in writing. .3 Add the Construction Manager's Pee, less retainage of Five percent (5.00 %).. The Construction Manager's Fee shall be computed upon the Cost of the Work described in the two preceding Sections at the rate stated in Section 5 1.1 or, if the Construction Manager's Fee is stated as a fixed sum in that Section, shall be an amount which bears the same ratio to that fixed -sum Fee as the Cost of the Work in the two preceding Sections bears to a reasonable estimate of the probable Cost of the Work upon its completion. A Subtract the aggregate of previous payments made by the Owner. .5 Subtract the shortfall, if any, indicated by the Construction Manager in the documentation required by Section 7.1A to substantiate prior Applications for Payment, or resulting from errors subsequently discovered by the Owner's accountants in such documentation.. ,6 Subtract amounts, if any, for which the Architect has withheld or nullified a Certificate for Payment as provided in Section 9.5 of A201Tm -- 1997 § 71 .8 Except with the Owner's prior approval, payments to Subcontractors shall be subject to retention of not less than Five percent (5.00 %).. The Owner and the Construction Manager shall agree upon a mutually acceptable procedure for review and approval of payments and retention for subcontracts.. § 71.9 Except with the Owner's prior approval, the Construction Manager shall not make advance payments to suppliers for materials or equipment which have not been delivered and stored at the site.. § 7.1.16 In taking action on the Construction Manager's Applications for Payment, the Architect shall be entitled to rely on the accuracy and completeness of the information furnished by the Construction Manager and shall not be deemed to represent that the Architect has made a detailed examination, audit or arithmetic verification of the documentation submitted in accordance with Section 7.1,4 or other supporting data, that the Architect has made exhaustive or continuous on -site inspections or that the Architect has made examinations to ascertain how or for what purposes the Construction Manager has used amounts previously paid on account of the Contract. Such examinations, audits and verifications, if required by the Owner, will be performed by the Owner's accountants acting in the sole interest of the Owner. § 7.2 FINAL PAYMENT § 7.2.1 Final payment shall be made by the Owner to the Construction Manager when (1) the Contract has been fully performed by the Construction Manager except for the Construction Manager's responsibility to correct nonconforming Work, as provided in Section 12.21 of A201 TM -1997, and to satisfy other requirements, if any, which necessarily survive final payment; (2) a final Application for Payment and a final accounting for the Cost of the Work have been submitted by the Construction Manager and reviewed by the Owner's accountants; and (3) a final Certificate for Payment has then been issued by the Architect; such final payment shall be made by the Owner not more than 30 days after the issuance of the Architect's final Certificate for Payment, or as follows: AIA Document Al21 'CMc — 2003 and AGC Document 565. Copyright © 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U,S. Copyright Law and International Treaties.. 13 Unauthorized reproduction or distribution at this document, or any portion of It, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No.1000211058 1 which expires on 12114/2005. and Is not for resale User Notes: (2124871748) 7.2.2 The amount of the final payment shall be calculated as follows: .1 Take the sum of the Cost of the Work substantiated by the Construction Manager's final accounting and the Construction Manager's Fee, but not more than the Guaranteed Maximum Price. .2 Subtract amounts, if any, for which the Architect withholds, in whole or in part, a final Certificate for Payment as provided in Section 9.5.1 of A201 rM -1997 or other provisions of the Contract Documents. .3 Subtract the aggregate of previous payments made by the Owner.. If the aggregate of previous payments made by the Owner exceeds the amount due the Construction Manager, the Construction Manager shall reimburse the difference to the Owner § 7.2.3 The Owner's accountants will review and report in writing on the Construction Manager's final accounting within 30 days after delivery of the final accounting to the Architect by the Construction Manager. Based upon such Cost of the Work as the Owner's accountants report to be substantiated by the Construction Manager's final accounting, and provided the other conditions of Section 7.2.1 have been met, the Architect will, within seven days after receipt of the written report of the Owner's accountants, either issue to the Owner a final Certificate for Payment with a copy to the Construction Manager or notify the Construction Manager and Owner in writing of the Architect's reasons for withholding a certificate as provided in Section 9.5..1 of A201 T" -1997 . The time periods stated in this Section 7.2 supersede those stated in Section 9.4 1 of A201 1 ` 1 '. 1 -1 99T § 7.2.4 If the Owner's accountants report the Cost of the Work as substantiated by the Construction Manager's final accounting to be less than claimed by the Construction Manager, the Construction Manager shall be entitled to proceed in accordance with Article 9 without a further decision of the Architect. Unless agreed to otherwise, a demand for mediation of the disputed amount shall be made by the Construction Manager within 60 days after the Construction Manager's receipt of a copy of the Architect's final Certificate for Payment. Failure to make such demand within this 60 -day period shall result in the substantiated amount reported by the Owner's accountants becoming binding on the Construction Manager. Pending a final resolution of the disputed amount, the Owner shall pay the Construction Manager the amount certified in the Architect's final Certificate for Payment. § 7.2,5 If, subsequent to final payment and at the Owner's request, the Construction Manager incurs costs described in Section 6..1 and not excluded by Section 6.2 (1) to correct nonconforming Work or (2) arising from the resolution of disputes, the Owner shall reimburse the Construction Manager such costs and the Construction Manager's Fee, if any, related thereto on the same basis as if such costs had been incurred prior to final payment, but not in excess of the Guaranteed Maximum Price.. If the Construction Manager has participated in savings, the amount of such savings shall be recalculated and appropriate credit given to the Owner in determining the net amount to be paid by the Owner to the Construction Manager. ARTICLE 8 INSURANCE AND BONDS § 8.1 INSURANCE REQUIRED OF THE CONSTRUCTION MANAGER During both phases of the Project, the Construction Manager shall purchase and maintain insurance as set forth in Section 11.1 of A201 TM- 1997. Such insurance shall be written for not less than the following limits, or greater if required by law: § 6.1.1 Workers' Compensation and Employers' Liability meeting statutory limits mandated by state and federal laws.. If (1) limits in excess of those required by statute are to be provided, or (2) the employer is not statutorily bound to obtain such insurance coverage or (3) additional coverages are required, additional coverages and limits for such insurance shall be as follows: § 8.1.2 Commercial General Liability including coverage for Premises - Operations, Independent Contractors' Protective, Products - Completed Operations, Contractual L- iability, Personal Injury and Broad Form Property Damage (including coverage for Explosion, Collapse and Underground hazards): $1,000,000.00 Each Occurrence AIA Document Al21'mCMe — 2003 and AGC Document 565. Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated Generat Contractors of America. All rights reserved. WARNING: This document Is protected by U S. Copyright Law and International Treaties. 14 Unauthorized reproduction or distrlbullan of this document, or any portion of €t, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/01/2005 under Order No. 1l)00211056_1 which expires on 12/14/2006, and is not for resale User Notes: (2124871748) $2,000,000..00 General Aggregate $1,000,000.00 Personal and Advertising Injury $2,000,000.00 Products - Completed Operations Aggregate .1 The policy shall be endorsed to have the General Aggregate apply to this Project only. .2 Products and Completed Operations insurance shall be maintained for a minimum period of at least Three ( 3 ) year(s) after either 90 days following Substantial Completion or final payment, whichever is earlier.. ,3 The Contractual Liability insurance shall include coverage sufficient to meet the obligations in Section 3..18 of A201 1997.. § 61.3 Automobile Liability (owned, non -owned and hired vehicles) for bodily injury and property damage: Each Accident § 8.1,4 Other coverage: Umbrella Excess Liability coverage will be provided in the amount of ten million ($10,000,000) dollars.. (If Umbrella Excess Liability coverage is required over the primary insurance or retention, insert the coverage limits. Commercial General Liability and Automobile Liability limits may be attained by individual policies or by a combination of primary policies and Umbrella and/or Excess Liability policies. ff Project Management Protective Liability Insurance is to be provided state the limits here) § 8.2 INSURANCE REQUIRED OF THE OWNER During both phases of the Project, the Owner shall purchase and maintain liability and property insurance, including waivers of subrogation, as set forth in Sections 11.2 and 11.4 of A20I TM -1997. Such insurance shall be written for not less than the following limits, or greater if required by law: § 8.2.1 Property Insurance: Deductible Per Occurrence Aggregate Deductible § B.2.2 Boiler and Machinery insurance with a limit of: (If not a blanket policy, list the objects to be insured.) § 8.3 PERFORMANCE BOND AND PAYMENT BOND § 8.3.1 The Construction Manager shall, upon Owner's approval of the Guaranteed Maximum Price, furnish bonds covering the faithful performance of the Contract and payment of obligations arising thereunder.. Bonds may be obtained through the Construction Manager's usual source and the cost thereof shall be included in the Cost of Work.. The amount of each bond shall be equal to one hundred percent (100 %) of the Contract Sum.. Notwithstanding anything herein to the contrary, all bonds must comply with Chapter 2253, Texas Government Code, including the requirement that such bonds must be executed by a corporate surety in accordance with Texas Insurance Code„ Such bonds shall be on forms supplied by or approved by Owner. The Construction Manager shall upon execution of the Contract, furnish a bid bond or other financial security acceptable to the Owner to ensure that the Construction Manager will furnish security acceptable to the Owner to ensure that the Construction Manager will furnish the required performance and payment bonds when a Guaranteed Maximum Price is established.. [Section 271,118(l), Tex. Local Gov't Code] § 8.12 The Construction Manager shall deliver the required bonds to the Owner at least three days before the commencement of any Work at the Project site. ARTICLE 9 MISCELLANEOUS PROVISIONS § 9.1 DISPUTE RESOLUTION § 9.1.1 During both the Preconstruction and Construction Phases, Claims, disputes or other matters in question between the parties to this Agreement shall be resolved as provided in Sections 43 through 4.5 of A201 rm —I997 AIA Document Al21 TMCNtc — 2003 and AGC Document 565. Copyright 071991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U S, Copyright Law and International Treaties 15 Unauthorized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the taw. This document was produced by AIA software at 13:01:05 on 1110112006 under Order No 1000211056_1 which expires on 12114!2006, and Is not for resale User Notes: (2124671748) except that, during the Preconstruction Phase, no decision by the Architect shall be a condition precedent to mediation § 9.2 OTHER PROVISIONS § 9.2.1 Unless otherwise noted, the terms used in this Agreement shall have the same meaning as those in A201 TM_ 1997, General Conditions of Ilse Contract for Construction as modified by the parties. § 9,2.2 EXTENT OF CONTRACT This Contract, which includes this Agreement and the other documents incorporated herein by reference, represents the entire and integrated agreement between the Owner and the Construction Manager and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both the Owner and Construction Manager.. If anything in any document incorporated into this Agreement is inconsistent with this Agreement, this Agreement shall govern.. § 9.2.3 OWNERSHIP AND USE OF DOCUMENTS Article 1.6 of A201T-"-1997 shall apply to both the Preconstruction and Construction Phases. § 9.2.4 GOVERNING LAW The Contract shall be governed by the law of the place where the Project is located.. § 9.2.5 ASSIGNMENT The Owner and Construction Manager respectively bind themselves, their partners, successors, assigns and legal representatives to the other party hereto and to partners, successors, assigns and legal representatives of such other party in respect to covenants, agreements and obligations contained in the Contract Documents. Except as provided in Section 13.2.2 of A201 Ts' -1997, neither party to the Contract shall assign the Contract as a whole without written consent of the other. If either party attempts to make such an assignment without such consent, that party shall nevertheless remain legally responsible for all obligations under the Contract ARTICLE 10 TERMINATION OR SUSPENSION § 10.1 TERMINATION PRIOR TO ESTABLISHING GUARANTEED MAXIMUM PRICE § 10.1.1 Prior to execution by both parties of Amendment No, l establishing the Guaranteed Maximum Price, the Owner may terminate this Contract at any time without cause, and the Construction Manager may terminate this Contract for any of the reasons deseribed in Section 14..1.1 of A201 rm- 1997.. § 10.11 If the Owner or Construction Manager terminates this Contract pursuant to this Section 10,1 prior to commencement of the Construction Phase, the Construction Manager shall be equitably compensated for Preconstruction Phase Services performed prior to receipt of notice of termination; provided, however, that the compensation for such services shall not exceed the compensation set forth in Section 4. IA. § 10.1.31f the Owner or Construction Manager terminates this Contract pursuant to this Section I 0 after commencement of the Construction Phase, the Construction Manager shall, in addition to the compensation provided in Section 10.12, be paid an amount calculated as follows: ,1 Take the Cost of the Work incurred by the Construction Manager. 1 Add the Construction Manager's Fee computed upon the Cost of the Work to the date of termination at the rate stated in Section 5..1 or, if the Construction Manager's Pee is stated as a fixed sum in that Section, an amount which bears the same ratio to that fixed -sum Fee as the Cost of the Work at the time of termination bears to a reasonable estimate of the probable Cost of the Work upon its completion 3 Subtract the aggregate of previous payments made by the Owner on account of the Construction Phase.. The Owner shall also pay the Construction Manager fair compensation, either by purchase or rental at the election of the Owner, for any equipment owned by the Construction Manager which the Owner elects to retain and which is not otherwise included in the Cost of the Work under Section 10.1.31. To the extent that the Owner elects to take legal assignment of subcontracts and purchase orders (including rental agreements), the Construction Manager shall, as a condition of receiving the payments referred to in this Article 10, execute and deliver all such papers and take all such steps, including the legal assignment of such subcontracts and other contractual rights of the Construction AIA Document Al21TuCMc — 2003 and AGC Document 565. Copyright 01991 and 2003 by The American Institute of Architects and The Associated Genera$ Contractors of America. All rights reserved. WARNING: This document Is protected by U S. Copyright Law and International Treaties 16 Unauthorized reproduction or distribution at this document, or any portion of it, may result in severe civil and crimlnal penalties, and will be prosecuted to the maximum extent possible under the taw.. This document was produced by AIA software at 13:01:05 on 11/0112006 under Order No.1000211056_l which expires on 1211412006, and is not for resale User Notes: (2124671748) Manager, as the Owner may require for the purpose of fully vesting in the Owner the rights and benefits of the Construction Manager under such subcontracts or purchase orders.. Subcontracts, purchase orders and rental agreements entered into by the Construction Manager with the Owner's written approval prior to the execution of Amendment No. 1 shall contain provisions permitting assignment to the Owner as described above.. If the Owner accepts such assignment, the Owner shall reimburse the Construction Manager with respect to all costs arising under the subcontract, purchase order or rental agreement except those which would not have been reimbursable as Cost of the Work if the contract had not been terminated. If the Owner elects not to accept the assignment of any subcontract, purchase order or rental agreement which would have constituted a Cost of the Work had this agreement not been terminated, the Construction Manager shall terminate such subcontract, purchase order or rental agreement and the Owner shall pay the Construction Manager the costs necessarily incurred by the Construction Manager by reason of such termination. § 10.2 TERMINATION SUBSEQUENT TO ESTABLISHING GUARANTEED MAXIMUM PRICE Subsequent to execution by both parties of Amendment No. 1, the Contract may be terminated as provided in Article 14 of A201TAt- 1997.. § 10.2.1 In the event of such termination by the Owner, the amount payable to the Construction Manager pursuant to Section 14.13 of A201 TM -1997 shall not exceed the amount the Construction Manager would have been entitled to receive pursuant to Sections 10 1.2 and 10.1..3 of this Agreement.. § 10.2.2 In the event of such termination by the Construction Manager, the amount to be paid to the Construction Manager under Section 14.1.3 of A20ITM —I 997 shall not exceed the amount the Construction Manager would have been entitled to receive under Sections 10..1.2 and 10 13 above, § 103 SUSPENSION The Work may be suspended by the Owner as provided in Article 14 of A201 FM -1997; in such case, the Guaranteed Maximum Price, if established, shall be increased as provided in Section 14.3.2 of A201 rm -1997 except that the term "cost of performance of the Contract" in that Section shall be understood to mean the Cost of the Work and the term "profit" shall be understood to mean the Construction Manager's Fee as described in Sections 5.11 and 5.3 4 of this Agreement.. ARTICLE 11 OTHER CONDITIONS AND SERVICES §11J The Construction Manager shall publicly advertise, as prescribed for a governmental entity under Section 271..025 of the Texas Local Government Code, and receive bids or proposals from trade contractors or subcontractors for the performance of all major elements of the work other than minor work that may be included in the general conditions identified in Construction Manager's Proposal and is described in Subparagraph 5.1..1 of this Agreement. [Section 271.118(h), Tex.. Local Gov't Code] §11.2 The Construction Manager may seek to perform portions of the Work itself if the Construction Manager submits its bid or proposal for those portions of the Work in the same manner as all other trade contractors or subcontractors and if the Owner determines that the Construction Manager's bid or proposal provides the best value for the Owner, [Section 271..18(h), Tex.. Local Gov't Code] §11.3 The Construction Manager and the Owner or its representatives shall review all trade contractor or subcontractor bids or proposals in a manner that does not disclose the contents of the bid or proposal during the selection process to a person not employed by the Construction Manager, Engineer, Architect or Owner.. All bids or proposals shall be made public after the award of the contract or not later than the seventh day after the date of final selection of bids or proposals, whichever is later [Section 271.118(i), Tex. Local Gov't Code] § 114 If the Construction Manager reviews, evaluates, and recommends to the Owner a bid or proposal form a qualified and, If applicable, licensed trade contractor or subcontractor by the Owner unreasonably requires another bid or proposal to be accepted, the Owner shall compensate the Construction Manager by a change in price, time, or Guaranteed Maximum Price for any additional cost and risk that the Construction Manager may incur because of the Owner's requirement that another bid or proposal be accepted [Section 271.. 118(j)] AIA document Al21 "'CMe — 2003 and AGC cocument 565. Copyright Q 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved. WARNING: This document Is protected by U 5. Copyright Law and International Treaties.. 17 Unauthorized reproduction or distribution of this document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA saftwwo at 13:01:05 on 1 1/0 112 00 6 under Order No 1 000211056_1 which expires on 12/14/2006. and is not for resale User Notes: (2124671748) § 11.5 if a selected trade contractor or subcontractor defaults in the performance of its work or fails to execute a subcontract after being; selected, the Construction Manager may, with the Owner's written consent, without advertising, fulfill the contract requirements itself or select a replacement trade contractor or subcontractor to fulfill the contract requirements. [Section 271.119(k), Tex. Local Gov't Code] § 11.6 Either the Owner or Construction Manager shall have the right to waive any requirement contained in this Agreement which is intended for the waiving party's benefit but, except as otherwise provided herein, such waiver shall be effective only if in writing executed by the party for whose benefit such requirement is intended. No waiver of any breach or violation of any term of this Agreement shall be deemed or construed to constitute a waiver of any other breach or violation, whether concurrent or subsequent, and whether of the same or of a different type of breach or violation, §11.7 The provisions and obligations of this Agreement are performable in Tarrant County, Texas, and venue for any action arising out of this Agreement shall lie exclusively in Tarrant County, Texas. §11.8 Time is of the essence in this Contract Should the Construction Manager fail to reach Substantial Completion of the Work within the time required by the Contract Documents, plus any additional time allowed by Owner, Construction Manager shall pay, or there shall be deducted from any amounts due or owing to Construction Manager, liquidated damages for each day that any Work shall remain uncompleted after the time specified ni the Contract Documents.. The sum per day shall be $ 1000..00. The sum of money thus deducted for such delay, failure or non - completion is not to be considered as a penalty, but shall be deemed as reasonable liquidated damagers, per day that the Construction Manager shall be in default after the time stipulated in the Contract for completing the Work. The said amounts arc fixed and agreed upon by and between Owner and Construction Manager because of the impracticability and extreme difficulty of fixing and ascertaining the actual damages of the Owner; and said amounts are agreed to be the amount of damages which the Owner would sustain and which shall be retained from the monies due, or that may become due, the Construction Manager under this Contract If said monies are insufficient to cover the amount owing;, then the Construction Manager or its surety shall pay any additional amounts due." This Agreement entered into as of the day and year first written above. OWNER CONSTRUCTION MANAGER (Signature) (Signature) Andy Wambs anss, Mayor Gar Frazier, Vice President (Printed nanze and title) (Printed name and title) Date ATTEST Date ATTEST AIA Document At 21 T'rCMc — 2003 and AGC Document 565. Copyright (D 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved.. WARNING: This document Is protected by U S, Copyright Law and International Treaties. 18 Unauthorized reproduction or distribution of this document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11101/2006 under Order No 1000211056_1 which expires on 12114!2006, and is not for resale User Notes: (2124871748) Additions and Deletions Report for AIA Document A 929' - "CMc — 2003 and AGC Document 565 This Additions and Deletions Report, as defined on page 1 of the associated document, reproduces below all text the author has added to the standard form AIA document in order to complete i €, as well as any text the author may have added to or deleted from the original AIA text. Added text is shown underlined Deleted text is indicated with a horizontal line through the original AIA text.. Note: This Additions and Deletions Deport is provided for information purposes only and Is not incorporated into or constitute any part of the associated AIA document This Additions and Deletions Report and its associated document were generated simultaneously by AIA software at 13:01:05 on 1110112005. PAGE made as of the first day of November in the year of Two Thousand Six Andy Wambsganns Mayor City of Southlakc 667 N. Carroll Avenue Southlake,TX 76092 Lee Lewis Construction Inc. 17111 Preston Rd. Suite 100 Dallas, TX 75248 Ci . ty of Southlake Department of Public Safet Head garters Facilit Ci of Southlake. Texas New Public Safety Headquarters Facility for the De artment of Public 5afet on or near the current Last DPS Site The major components of the facili will be to house police. fire administration dis atch /communications EOC minimum detention and a Fire Station in Southlake Texas. To ether it is current! y anticipated that these will comprise a project is anticipated to be approximately 35,000 s . ft. and will not exceed 50,000 s , Ft. with a R reliminga cost ro'ect of $15,000 f nd soft costs. RPGA Desian Group—Inc., General Co oration 101 S. Jennin s Avenue. Suite 100 Ft. Worth, TX 76101 PAGE For the Construction Phase, the General Conditions of the contract shall be the AIA n Document A201 T 997, General Conditions of the Contract for Construction, as modified and amended by the parties, which is incorporated herein by reference.. For the Preconstruction Phase, or in the event that the Preconstruction and Construction Phases proceed concurrently, A201 Tm -1997 shall apply to the Preconstruction Phase only as specifically provided in this Agreement.. The term "Contractor" as used in A201TM -1997 shall mean the Construction Manager. PAGE § 2,3.21 Those portions of the Work that the Construction Manager does not customarily perform with the Construction Manager's own personnel shall be performed under subcontracts or by other appropriate agreements with the Construction Manager.. The Construction Manager shall obtain bids from Subcontractors and from suppliers of materials or equipment fabricated to a special design for the Work from the list previously reviewed and, after analyzing such bids, shall deliver such bids to the Owner and Architect The Owner will then determine, with the advice of the Construction Manager and subject to the reasonable objection of the Architect, which bids will be accepted. The Owner may designate specific persons or entities from whom the Conmction Manager shall obtain bids; however, if the Guaranteed Maximum Price has been established, the Owner may not prohibit the Construction Additions and Deletions Report for AIA Aocurnent Al21'°CMc —2003 and AGC Document 565. Copyright 01891 and 2003 by The American inslltuteot Architects and The Associated General Contractors of America, All rights reserved, WARNING: This document Is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this document, or any portion of It, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the low. This document was produced by AIA software at 13:01:05 on 1110112005 under Order No 1000211056_1 which expires on M14/2006, and is not for resale, User Notes: (2124871748) Manager from obtaining bids from other qualified bidders.. The Construction Manager shall not be required to contract with anyone to whom the Construction Manager has reasonable objection Under no circumstances shall the Construction Manager alter an bid submitted without the prior approval of the Owner. PAGE 7 § 3.1.2 - e Ow er-shall, at e r� Nifa ;aat eam,rri come Of -the etiet ase -and ereaf e �.�,„_ _ '' ��e -C-Ar e g sable evi eMee4at- in"eW arrange nients- �een a � 9weer's ebl' ians4mder-he-Gentf -a skii}� s€ tteh vir3enee sha"e a eettclii #en primed �� mrnencerfleet er eetineakiet� of ihr�Werlti e�si ch evidenee�as been R3f7kish nef -wiz • nv t fat i 1{y- i'Hi�-5�3�ti" i>, -vr ii •s'ivt-ii -c-cv `vie -E6f3a F3CEieti § 3.1.3 The Owner shall establish and update an overall budget for the Project, based on consultation with the Construction Manager and Architect, which shall include reasonable contingencies for changes in the Work and other costs which are the responsibility of the Owner. In the Preconstruction Phase, the Owner shall fliniish- obtain the following with reasonable promptness and at the Owner's expense. Except to the extent that the Construction Manager knows of any inaccuracy, the Construction Manager shall be entitled to rely upon the accuracy of any such information, reports, surveys, drawings and tests described in Sections 3.1.4.1 through 3..1 4 4 b Fee ;ttttiens- relati -to the pe&r a-Ree -e€ extent that a reasonable and Rrudent Construction Manager would under the Work- or similar circumstances. The Owner shall designate a representativ 5 the Awrte� with respect to ;hers- requiFieg the 9wRBF'S appF Oval Br aetl 3erizatiaH. T4*PPro'e_Lct,....Thc _representative shall not have the - authority to make final decisions on behalf of the Owner concerning estimates -a d sehedu e5 cet etier1 budgets-,and-changes in the Work other items Mquiring City Council a roval however, the Wer and- Owncr. or such authorized re resentative shall render siaeh decisions raaatiet� exp+ >ditie y e-as in a timely manner in order to avoid unreasonable delay in the services or Work of the Construction Manager.£xeept -as 96l ei=*vise we -oee" .Y. , e- fehiv dee5 t3et have sueh• autherit The Owner shall retain an Architect to provide Basic Services, including normal structural, mechanical and electrical engineering services, other than cost estimating services, described in the edition of AIAO Document B151 TM -1997, Abbreviated Standard Form of Agreement Between Owner and Architect current as of the date of this AgFeei ei3t 7- A cement as modified b the arties thereto. The Owner shall authorize and cause the Architect to provide those Additional Services described in B15ITm -1997, requested by the Construction Manager which must necessarily be provided by the Architect for the Prcconstruction and Construction Phases of the Work unless such Additional Services are caused by or attributable to the fault of the Warms: Consfntction Manager, in which case the Construction Manager shall be responsible for the cost of such Additional Service. Such services shall be provided in accordance with time schedules agreed to by the Owner, Architect and Construction Manager,. Upon request of the Construction Manager, the Owner shall furnish to the Construction Manager a copy of the Owner's Agreement with the Architect, from which compensation provisions may be deleted. PAGE Included in Article 5 § 4.1.2 Compensation for Preconstruc€ ion Phase Services shall be equitably adjusted if such services extend beyond Thirty ( 30) days from the date of this Agreement or if the originally contemplated scope of services is significantly modified.. § 4.2.2 Payments are due and payable Ten ( 1U days from the date the Construction Manager's invoice is received by the Owner. Amounts unpaid after the date on which payment is due shall bear interest at the rate entered below, or in the absence thereof, at the legal rate prevailing from time to time at the place where the Project is located.. Additions and Deletions Report for AIA Document Al21 Tr'CMc - 2003 and AGC Document 565.. Copyright O 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved WARNING: This document Is protected by U.S.. Copyright Law and 2 Internationa€ Treaties.. Unauthorized reproduction or distribution of this document, or any portion of It, may result in severe civil and criminal penalties, and wilt be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 1101:05 on 11/0112005 under Order No 100021 1 056_1 which expires on 1 V1412006. and Is not for resale (2124871748) User Notes: 6.00 per annum PAGE Compensation shall be four percent 4% of the actual Cost of the Work for Work performed pursuant to the Contract payable as herein provided, Rrovided the sum of the Cost of Work and the cost of the Construction Manager's Fee provided by the contract➢ocument. shall not exceed the Guaranteed Maximum Price. Construction Manager shall not participate in any savings. § 5.31 Adjustments to the Guaranteed Maximum Price on account of changes in the Work subsequent to the execution of Amendment No l may be determined by any of the methods listed in Section 733 of A201 Im 1997.A201--1997 unless such changes are caused by or attributable to the fault of the Construction Manager. PAGE 10 N/A PAGE 12 § 7.13 Provided an Application for Payment is received by the Architect not later than the Fifth day of a month, the Owner shall make payment to the Construction Manager not later than the Twentieth day of the same month.. If an Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than Ten ( 10 ) days after the Architect receives the Application for Payment. PAGE 13 3 Add the Construction Manager's Fee, less retainage of ( ) - Five percent (5.00 ° /a). The Construction Manager's Fee shall be computed upon the Cost of the Work described in the two preceding Sections at the rate stated in Section 5..1.1 or, if the Construction Manager's Fee is stated as a fixed sum in that Section, shall be an amount which bears the same ratio to that fixed -sum Fee as the Cost of the Work in the two preceding Sections bears to a reasonable estimate of the probable Cost of the Work upon its completion § 7.1.8 Except with the Owner's prior approval, payments to Subcontractors shall be subject to retention of not less than ( ). Five percent {5.00 ). The Owner and the Construction Manager shall agree upon a mutually acceptable procedure for review and approval of payments and retention for subcontracts. PAGE 14 § 7.14 If the Owner's accountants report the Cost of the Work as substantiated by the Construction Manager's final accounting to be less than claimed by the Construction Manager, the Construction Manager shall be entitled to proceed in accordance with Article 9 without a further decision of the Architect.. Unless agreed to otherwise, a demand for mediation or-arbivatisn —of the disputed amount shall be made by the Construction Manager within 60 days after the Construction Manager's receipt of a copy of the Architect's final Certificate for Payment. Failure to make such demand within this 60 -day period shall result in the substantiated amount reported by the Owner's accountants becoming binding on the Construction Manager Pending a final resolution of the disputed amount, the Owner shall pay the Construction Manager the amount certified in the Architect's final Certificate for Payment.. $1,000.000.00 Each Occurrence $2 00 0,000.fl0 General Aggregate $1,000,000.00 . Personal and Advertising Injury $2 000,000.00 Products - Completed Operations Aggregate Additions and Deletions Report for AIA Document Al21 TucMc — 2003 and AGE Document 565, Copyright 0 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. An rlghls reserved. WARNING: This document Is protected by U.S. Copyright Law and 3 International Treaties, unauthorized reproduction or distribution of this document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11!0112006 under Order No 1000211056_1 which expires on 12/14=06, and is not for resale. User Notes: (2124871740) .2 Products and Completed Operations insurance shall be maintained for a minimum period of at least Three ( jj year(s) after either 90 days following Substantial Completion or final payment, whichever is earlier, Umbrella Excess Liability coverage will be provided in the amount of ten million $10,000,000) dollars. § 83.1 The Construction Manager ;�rt'al;all= � rlal1- netshall u nn Owner's a raval of the Guaranteed Maximum Price, furnish bonds covering the faithful performance of the Contract and payment of obligations arising thereunder.. Bonds maybe obtained through the Construction Manager's usual sew- source and the cost thereof shall be included in the Cost of die -Work, The amount of each bond shall be equal to (-� nc hundred percent 1 Q( 0°Iojof the Contract Sum.. Notwithstandiniz anything herein to the contraU, all bonds must com t with Chapter 2253 Texas Government Code including the requirement that such bonds must be executed by a corporate sure[ in accordance with Texas Insurance Code. Such bonds shall be on forms supplied by or approved Owner. The Construction Manager shall upon execution of the ContracL furnish a bid bond or other financial security acce table to the Owner to ensure that the Construction Manager will furnish security acceptable to the Owner to ensure that the Construction Mana er will furnish the re aired erformance and a nlent bonds when a Guaranteed Maximum Price is established. Section 271.11$ 1 Tex. Local Gov't Code § 9.1.1 During both the Preconstruction and Construction Phases, Claims, disputes or other matters in question between the parties to this Agreement shall be resolved as provided in Sections 4 3 through 4..6 of A201 TM -1997 except that, during the Preconstruction Phase, no decision by the Architect shall be a condition precedent to mediation eperl3imatien:_ PAGE 16 § 9.2.1 Unless otherwise noted, the terms used in this Agreement shall have the same meaning as those in A201 TM— 1997, General Conditions of the Contract forGett.rP fegi%r:Cnrtstmction as modified by the PAGE 17 Subcontracts, purchase orders and rental agreements entered into by the Construction Manager with the Owner's written approval prior to the execution of Amendment No.. I shall contain provisions permitting assignment to the Owner as described above. if the Owner accepts such assignment, the Owner shall reimburse ei-4edeffwi3-the Construction Manager with respect to all costs arising under the subcontract, purchase order or rental agreement except those which would not have been reimbursable as Cost of the Work if the contract had not been terminated If the Owner elects not to accept the assignment of any subcontract, purchase order or rental agreement which would have constituted a Cost of the Work had this agreement not been terminated, the Construction Manager shall terminate such subcontract, purchase order or rental agreement and the Owner shall pay the Construction Manager the costs necessarily incurred by the Construction Manager by reason of such termination. § 10.12 In the event of such termination by the Construction Manager, the amount to be paid to the Construction Manager tinder Section 14.1.3 of A201 T`1 shall not exceed the amount the Construction Manager would have been entitled to receive under Sections 10.1.2 and 10.13 above, e*eept that -4he -Feast e•• �lz had b� erg 3lete+l �} la Gainslimetion N ". a-,BO;v: ;z � a reasonable estimate of fhece4-c e Wefk --fee We et- " 11.1 The Construction Managcr shall publicly advertise, as prescribed fora governmental entit y under Section 271.025 of the Texas Local Government Code and receive bids or proposals from trade contractors or subcontractors for the erformance of all major elements of the work other than minor work that may be included in the general conditions identified in Construction Manager's Proposal and is described in SubparagMph 5.1.1 of this Agreement. fSection 271.31$ h Tex. Local Gov't Code 411.2 The Construction Manager mav seek to perform portions of the Work itself if the Construction Manager submits its bid or proposal for those portions of the Work in the same manner as all other trade contractors nr subcontractors and if the Owner determines that the Construction Manager's bid or proposal provides the best value for the Owner. Section 271.1$ h Tex. Local Gov't Code ................... Additions and Deletions Report for AIA Document Al21 n'CMC , 2003 and AGC Document 565. Copyright 01991 and 2003 by The American Institute o Architects and The Associated General Contractors of America. All rights reserved.. WARNING: This document Is protected by U.S. Copyright Law and 4 International Treaties.. Unauthorized reproduction or distribution of this document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law.. This document was produced by AIA software at 13:01:05 on 1110112006 under Order No 1000211056_1 which expires on 1211412006, and is not for resale (2124871746) User Notes: 113 The Construction Mana per and the Owner or its representatives shall review all trade contractor or subcontractor bids or proposals in a manner that does not disclose the contents of the bid or proposal during the selection process to a person not employed by the Construction Manager Engineer, Architect or Owner. All bids or p roposals shall be made public after the award of the contract or not later than the seventh day after the date of final selection of bids or Rroposals, whichever is later. Section 271.118(i), Tex. Local Gov't Cade 11.4 If the Construction Manager reviews evaluates and recommends to the Owner a bid or pLg2asaj form a q ualified and If applicabl licensed trade contractor or subcontractor by the Owner unreasonably re Quires another bid or Rroposal to be accepted the Owner shall cam ensate the Construction Manager by a than a in p rice, time or Guaranteed Maximum Price for any additional cost and risk that the Construction Manager may incur because of the Owner's requirement that another bid or proposal be acct ted. Section 271. 318 ' 11.5 If a selected trade contractor or subcontractor defaults in the performance of its work or fails to execute a subcontract after being selected the Construction Manager may, with the Owner's written consent without advertising, fulfill the contract rr uirements itself or select a replacement trade contractor or subcontractor to fulfill the contract re uirements. FSection 271.119(k), Tex. Local Gov't Code ' 11.E Either the Owner or Construction Manager shall have the fight to waive any requirement contained in this Affreerrient which is intended for the waivin art 's benefit but except as otherwise provided herein such waiver shall be effective only if in writing executed by the party for whose benefit such requirement is intended. No waiver of any breach or violation of any term of this A rreement shall he deemed or construed to constitute a waiver of an other breacb or violation whether concurrent or subsequent, and whether of the same or of a different type of breach or violation. 411.1 The provisions and obligations of this A eement are erformable in Tarrant Coun1y, Texas and venue far any action arising out of this Agreement shall lie exclusively in Tarrant County Texas. 11.8 Time is of the essence in this Contract. Should the Construction Manager fail to reach Substantial Completion of the Work within the time required by the Contract Documents , 12lus any additional time allowed b Owner Construction Manager shall pay, or there shall be deducted from any amounts due or owing to Construction Manager, liquidated damages for each day that Work shall remain uncompleted after the timespecified ni the Contract Documents, The sum per da shall be $ 1000.00. The sum of mono thus deducted for .. such delay, failure or non-completion is not to be considered as a penalty. but shall be deemed as reasonable li uidated damaaers er day that the Construction Manager shall be in default after the time stipulated in the Contract for completing the Work. The said amounts are fixed and a red upon by and between Owner and Construction Manager because of the iMpTaCticabifity impracticability and extreme of fixing and ascertaining the actual damages of the Owner' and said amounts are agreed to be the amount of damages whicb the Owner would sustain and which shall be retained from the monies due or that may become due the Construction Manager under this Contract. If said monies arc insufficient to cover the amount owing then the Construction Manager or its surety shall nay any additional amounts due." Andy_Wambsganss, Maynr Gary Frazier, Vice President Additions and Deletions Report far AIA document Al21 uCMc — 2003 and AGC Document 555, Copyright © 1991 and 2003 by The American Institute of Architects and The Associated General Contractors of America. All rights reserved.. WARNING: This document is protected by U.s. copyright Law and 5 International Treaties Unaulhorized reproduction or distribution of this document, or any porllon of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/01/2006 under Order No 1000211056_1 which expires on 12!1412006. and is not for resale User Notes: (2 1 24 871 748) Certification of Document's Authenticity AW Document D40 f TM — 2003 I, Gary A. Frazier, hereby certify, to the best of my knowledge, information and belief, that I created the attached final document simultaneously with its associated Additions and Deletions Report and this certification at 13:01:05 on 11/01/2005 under Order No. 1000211056_1 from AIA Contract Documents software and that in preparing the attached Penal document I made no changes to the original text of AIA Document Al21 r"rCMc — 2003 and AGC Document 565 - Standard Form of Agreement Between Owner and Construction Manager where the Construction Manager is Also the Constructor, as published by the AIA in its software, other than those additions and deletions shown in the associated Additions and Deletions Report. (Signed) (Title) (Dared) AIA Document D401 — 2003, Copyright m 1982 and 2003 by The American institute of Architects. All rights reserved. WARNING: This AIA Document Is protected by U 5 Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIO Document, or any portion of It, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 13:01:05 on 11/01/2006 under Order No 1000211056_1 which expires on 12114/2006, and is not for resale User Notes: (2124871748)