Okaloosa County BOCC — January 30, 2013 — Lord Son Contract on Shalimar Annex with Exhibits — reading text

performance of the Work if, and to the extent, approved in advance in writing by the Owner. § 6.7.2 Costs incurred in taking action to prevent threatened damage, injury or loss in case of an emergency affecting the safety of persons and property, as provided in Section 10.4 of AIA Document A201-2007. § 8.7.3 Costs of repairing or correcting damaged or nonconforming Work executed by the Construction Manager, Subcontractors or suppliers, provided that such damaged or nonconforming Work was not caused by negligence or failure to fulfill a specific responsibility of the Construction Manager and only to the extent that the cost of repair or correction is not recovered by the Construction Manager from insurance, sureties, Subcontractors, suppliers, or others. § 6.7.4 The costs described in Sections 6.1 through 6.7 shall be included in the Cost of the Work, notwithstanding any provision of AIA Document A201~2007 or 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 6.8. § 6.8 Costs Not To Be Relmbursed § 6.8.1 The Cost of the Work shall not include the items listed below: 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 Section 6.2, or as may be provided in Article 11; Expenses of the Construction Manager’s principal office and offices other than the site office; Overhead and-general-expenses, except as may be expressly included in Sections 6.1 to 6.7;--- - --: The Construction Manager’s capital expenses, including interest on the Construction Manager's capital employed for the Work; -5 Except as provided in Section 6.7.3 of this Agreement, costs due to the negligence or failure of the Construction Manager, Subcontractors and suppliers or anyone directly or indirectly employed by any of them or for whose acts any of them may be liable to fulfill a specific responsibility of the Contract; .& Any cost not specifically and expressly described in Sections 6.1 to 6.7; 7 Costs, other than costs included in Change Orders approved by the Owner, that would cause the Guaranteed Maximum Price to be exceeded; and. 8 Costs for services incurred during the Preconstruction Phase. & wie § 6.9 Discounts, Rebates and Refunds § 6.9.1 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 from the Owner, or (2) the Owner has deposited funds with the Construction Manager with which to make AIA Documant A134™ — 2008 (formerly A121™ Cie — 2003). Copyright © 1991, 2003 and 2009 by The American institute of Architects. All rights. reserved. Init, WARNING: This AIA” Oocument fs protected by U.8. Copyright Law and International Trestiea. Unauthorized reproduction or distribution ofthis AAS 49 Document, or any portion of It, may result In severe civil snd criminal penaitiee, and will be prosecuted to the maximum extent poasible under the law. i This document was produced by AIA software at 16:04:11 on 10/15/2012 under Order No.5092324330_1 which expires on 01/16/2043, and is not for resale. User Notes: (1482324325) 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 obtained. _ _... § 8.8.2 Amounts that accrue to the Owner in accordance with the provisions of Section 6.9.1 shall be credited to the Owner as a deduction from the Cost of the Work. 7 ~— — § 6.10 Related Party Transactions § 6.10.1 For purposes of Section 6.10, the term "related party” shall mean a parent, subsidiary, affiliate or other entity having common ownership or management with the Construction Manager; any entity in which any stockholder in, or management employee of, the Construction Manager owns any interest in excess of ten percent in the aggregate; or any person or entity which has the right to control the business or affairs of the Construction Manager. The term “related party" includes any member of the immediate family of any person identified above. § 6.10.2 If any of the costs to be reimbursed arise from a transaction between the Construction Manager and a related party, the Construction Manager shall notify the Owner of the specific nature of the contemplated transaction, including the identity of the related party and the anticipated cost to be incurred, before any such transaction is consummated or cost incurred. If the Owner, after such notification, authorizes the proposed transaction, then the cost incurred shall be included as a cost to be reimbursed, and the Construction Manager shall procure the Work, equipment, goods or service from the related party, as a Subcontractor, according to the terms of Sections 2.3.2.1, 2.3.2.2 and 2,3.2.3. If the Owner fails to authorize the transaction, the Construction Manager shall procure the Work, equipment, goods or service from some person or entity other than a related party according to the terms of Sections 2.3.2.1, 23.2.2 and 2.3.2.3. § 6.11 Accounting Records The Construction Manager shail keep full and detailed records and accounts related to the cost of the Work and exercise such controls as may be necessary for proper financial management under this Contract and to substantiate all costs incurred, The accounting and control systems shall be satisfactory to the Owner. The Owner and the Owner's auditors shall, during regular business hours and upon reasonable notice, be afforded access to, and shall be permitted to audit and copy, the Construction Manager’s records and accounts, including complete documentation supporting accounting entries, books, correspondence, instructions, drawings, receipts, subcontracts, Subcontractor’s proposals, purchase orders, vouchers, memoranda and other data relating to this Contract. The Construction Manager shall preserve these records for a period of three years after final payment, or for such longer period as may be required by law. ARTICLE 7 PAYMENTS FOR CONSTRUCTION PHASE SERVICES § 7.1 Progress Payments § 7.1.4 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. § 7.1.2 The period covered by each Application for Payment shall be one calendar month ending on the last day of the month, or as follows: § 7.4.3 Provided that an Application for Payment is received by the Architect not later than the Twenty-fifth day ofa month, the Owner shall make payment of the certified amount to the Construction Manager not later than the Twentieth day of the following month. Ifan Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than Twenty ( 20 )-days after the Architect receives the j Application for Payment. (Federal, state or local laws may require payment within a certain period of time.) § 7.1.4 With each Application for Payment, the Construction Manager shall submit payrolls, petty cash accounts, receipted 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 progress payments already received by the Construction Manager, less that portion of those AIA Document AT133™ ~ 2008 {formerly AIZT™CiMc — 2003}, Copyright © 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved: ink. WARNING: This AIA” Document ix protected by U.S, Copyright Law end Internationa! Treaties. Unauthorized reproduction or distribution of this AIA’ 43 Oocument, or any portion of H, may reault in severe civil and criminal penalties, and will be prosecuted te the maximum axtent possible under the lew. 1 This documant was produced by AIA software at 16:04:11 on 10/16/2012 under Order No.S992324330_1 which expires on 01/16/2013, and le not for resale. ‘User Notes: (1482324925) pf init. payments attributable to the Construction Manager's Fee, plus payrolls for the period covered by the present Application for Payment. § 7.1.5 Each Application for Payment shall be based on 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 forrn and supported by such data to substantiate its accuracy as the Owner may require. This schedule shall be used as a basis for reviewing the Construction Manager’s Applications for Payment. § 7.1.6 Applications for Payment shall show the percentage of completion of each portion of the Work as of the end of the period covered by the Application for Payment. The percentage of 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 that 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 of 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 shall be included as provided in Section 7.3.9 of AIA Document A201-2007; 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 Fee, less retainage of Ten percent ( 10.00 %). The Construction Manager’s Fee shall be computed upon the Cost of the Work at the rate stated in Section 5.1 or, if the Construction Manager’s Fee is stated as a fixed surn in that Section, shall be an amount that bears the same ratio to that fixed-sum fee as the Cost of the Work bears to a reasonable estimate of the probable Cost of the Work upon its completion; .4 Subtract retainage of Ten percent ( 10.00 9%) from that portion of the Work that the Construction Manager self-performs; 5 Subtract the aggregate of previous payments made by the Owner; 6 Subtract the shortfall, if any, indicated by the Construction Manager in the documentation required by Section 7.1.4 to substantiate prior Applications for Payment, or resulting from errors subsequently discovered by the Owner’s auditors in such documentation; and 7 Subtract amounts, ifany, for which the Architect has withheld or nullified a Certificate for Payment as provided in Section 9.5 of AIA Document A201~2007. § 7.1.8 The Owner and Construction Manager shall agree