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2.3 The Owner shall designate, when necessary, a rep-
<br />resentative authorized to act in the Owner's behalf with
<br />respect to the Project. The Owner or such authorized
<br />representative shall examine the documents submitted by
<br />the Architect and shall render decisions pertaining thereto
<br />promptly, to avoid unreasonable delay in the progress of
<br />the ArchitecYs services.
<br />2.4 The Owner shall furnish a legal description and a
<br />certified land survey of the site, giving, as applicable,
<br />grades and lines of streets, alleys, pavements and adjoin-
<br />ing property; rights-of-way, restrictions, easements, en-
<br />croachments, zoning, deed restrictions, boundaries and
<br />contours of the site; locations, dimensions and complete
<br />data pertaining to existing buildings, other improvements
<br />and trees; and full information concerning available serv-
<br />ice and utility lineO?both public and private, above and
<br />below grade, including inverts and depths.
<br />2.5 The Owner shall furnish the services of soil engi-
<br />neers or other consultants when such services are deemed
<br />necessary by the Architect. Such services shall include test
<br />borings, test pits, soil bearing values, percolation tests, air
<br />and water pollution tests, ground corrosion and resistivity
<br />tests, including necessary operations for determining sub-
<br />soil, air and water conditions, with reports and appropri-
<br />ate professional recommendations.
<br />2.6 The Owner shall furnish structural, mechanical,
<br />chemical and other laboratory tests, inspections and re-
<br />ports as required by law or the Contract Documents.
<br />2.7 The Owner shall furnish all legal, accounting and in-
<br />surance counseling services as may be necessary at any
<br />time for the Project, including such auditing services as
<br />the Owner may require to verify the Contractor's Applica-
<br />tions for Payment or to ascertain how or for what pur-
<br />poses the Contractor uses the moneys paid by or on be-
<br />half of the Owner.
<br />2.8 The services, information, surveys and reports re-
<br />quired by Paragraphs 2.4 through 2.7 inclusive shall be
<br />furnished at the Owner's expense, and the Architect shall
<br />be entitled to rely upon the accuracy and completeness
<br />thereof.
<br />2.9 If the Owner observes or otherwise becomes aware
<br />of any fault or defect in the Project or nonconformance
<br />with the Contract Documents, prompt written notice
<br />thereof shall be given by the Owner to the Architect.
<br />2.10 The Owner shall furnish required information and
<br />services and shall render approvals and decisions as ex-
<br />peditiously as necessary for the orderly progress of the
<br />ArchitecYs services and of the Work.
<br />ARTICLE 3
<br />CONSTRUCTION COST
<br />3.1 DEFINITION
<br />3.1.1 The Construction Cost shall be the total cost or
<br />estimated cost to the Owner of all elements of the Project
<br />designed or specified by the Architect.
<br />3.1.2 The Construction Cost shall include at current
<br />market rates, including a reasonable allowance for over-
<br />head and profit, the cost of labor and materials furnished
<br />by the Owner and any equipment which has been de-
<br />signed, specified, selected or specially provided for by
<br />the Architect.
<br />3.1.3 Construction Cost does not inciude the compen-
<br />sation of the Architect and the ArchitecYs consultants,
<br />the cost of the land, rights-of-way, or other costs which
<br />are the responsibility of the Owner as provided in Arti-
<br />cle 2.
<br />3.2 RESPONSIBILITY FOR CONSTRUCTION COST
<br />3.2.1 Evaluations of the Owner's Project budget, State-
<br />ments of Probable Construction Cost and Detailed
<br />Estimates of Construction Cost, if any, prepared by the
<br />Architect, represent the ArchitecYs best judgment as a
<br />design professional familiar with the construction indus-
<br />try. It is recognized, however, that neither the Architect
<br />nor the Owner has control over the cost of labor, mate-
<br />rials or equipment, over the Contractor's methods of de-
<br />termining bid prices, or over competitive bidding, market
<br />or negotiating conditions. Accordingly, the Architect
<br />cannot and does not warrant or represent that bids or
<br />negotiated prices will not vary from the Project budget
<br />proposed, established or approved by the Owner, if any,
<br />or from any Statement of Probable Construction Cost or
<br />other cost estimate or evaluation prepared by the Archi-
<br />tect.
<br />3.2.2 No fixed limit of Construction Cost shall be estab-
<br />lished as a condition of this Agreement by the furnishing,
<br />proposal or establishment of a Project budget under Sub-
<br />paragraph 1.1.2 or Paragraph 2.2 or otherwise, unless such
<br />fixed limit has been agreed upon in writing and signed by
<br />the parties hereto. If such a fixed limit has been estab-
<br />lished, the Architect shall be permitted to include con-
<br />tingencies for design, bidding and price escalation, to de-
<br />termine what materials, equipment, component systems
<br />and types of construction are to be included in the Con-
<br />tract Documents, to make reasonable adjustments in the
<br />scope of the Project and to include in the Contract Docu-
<br />ments alternate bids to adjust the Construction Cost to the
<br />fixed limit. Any such fixed limit shall be increased in the
<br />amount of any increase in the Contract Sum occurring
<br />after execution of the Contract for Construction.
<br />3.2.3 If the Bidding or Negotiation Phase has not com-
<br />menced within three months after the Architect submits
<br />the Construction Documents to the Owner, any Project
<br />budget or fixed limit of Construction Cost shall be ad-
<br />justed to reflect any change in the general level of prices
<br />in the construction industry between the date of submis-
<br />sion of the Construction Documents to the Owner and
<br />the date on which proposats are sought.
<br />3.2.4 If a Project budget or fixed limit of Construction
<br />Cost (adjusted as provided in Subparagraph 3.2.3) is ex-
<br />ceeded by the lowest bona fide bid or negotiated pro-
<br />posal, the Owner shall (1) give written approval of an
<br />increase in such fixed limit, (2) authorize rebidding or re-
<br />negotiating of the Project within a reasonable time, (3) if
<br />the Project is abandoned, terminate in accordance with
<br />Paragraph 10.2, or (4) cooperate in revising the Project
<br />scope and quality as required to reduce the Construction
<br />Cost. In the case of (4), provided a fixed limit of Construc-
<br />tion Cost has been established as a condition of this Agree-
<br />ment, the Architect, without additional charge, shall mod-
<br />ify the Drawings and Specifications as necessary to comply
<br />6 6141-'I977 AIA uvCUMEN7 8741 • OWNER-ARCHITECT AGREEMENT • THIRTEENTH EDITION •)ULY 1977 . AIAS • (9) 1977
<br />THE AMERICAN fNSTITUTE OF ARCHITECTS, 1735 NEW YORK AVENUE, N.W., WASHINGTON, D.C. 20006
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