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HomeMy WebLinkAboutJones & Henry Engrs/Engr . , ", - '. ConTrt9,e;t-:il./ooe9 ENGINEERING SERVICE AGREEMENT THIS AGREEMENT, made and entered into ~his 1st day of March, 1995, by and between the City of Carmel, Indiana, through the Board of Public Works & Safety, hereinafter called "OWNER," and Jones & Henry Engineers, Inc., with offices at 2420 North Coliseum Boulevard, Suite 214, Fort Wayne, Indiana 46805, hereinafter called "ENGINEER," WITNESSETH: WHEREAS, OWNER intends to utilize the services of the ENGINEER as defined in Letters of Agreement that will be issued from time to time as Amendments to this Agreement, (hereinafter called the "Project"); and WHEREAS, the OWNER and ENGINEER wish. to establish a basis of performance and compensation for such services performed by ENGINEER as authorized by OWNER. NOW, THEREFORE, OWNER and ENGINEER, in consideration of their mutual covenants, herein agree as follows: SECTION 1 - BASIC SERVICES OF ENGINEER 1.1. General. 1.1.1. ENGINEER shall provide for' OWNER professional engineering services in all phases of the Project to which this Agreement applies as hereinafter provided. These services will include serving as OWNER's professional engineering representative for the Proj ect, providing professional engineering consultation and advice" and furnishing customary civil, environmental, structural, mechanical, and electrical engineering services and customary architectural services incidental thereto. 1.2. Study and Report Phase. ENGINEER shall: 1.2.1. Consult with OWNER to clarify and define OWNER's requirements for th~' Project and review available data. 1.2.2. Identify and analyze requirements of governmental authorities having jurisdiction to approve the design of the Project and .participate in consultations with such authorities. 1.2.3. Provide analyses of OWNER's needs, evaluations and comparative studies of solutions. planning surveys, prospective sites site and 1.2.4. Provide a general economic analysis of OWNER's requirernent~ applicable. to various alternatives. 1.2.5. Advise OWNER as to the necessity of OWNER's providing or obtaining from others data or services of the types described in Paragraph 3.4., and assist OWNER in obtaining such data and services. 1.2.6. Prepare a Report containing conceptual design criteria with appropriate exhibits to indicate clearly the considerations involved (including applicable requirements of governmental authorities having jurisdiction as aforesaid) and the alternative solutions available ,. .. 319060l':C Page 1 of 17 030195 1.3. 1.4. J1906DEC ~ to OWNER and setting forth ENGINEER's findings and recommendations. This Report will be accompanied by ENGINEER's opinion of probable costs for the Project including che following: Construction Cost, allowance for engineering costs and contingencies and if (furnished by OWNER) allowances for such ocher items as charges of all other professionals and consultants, for the cost of land and rights-of- way, for compensation for or damages to properties, for interest and financing charges, and for other services to be provided ,by others for OWNER pursuant to Paragraphs 3.7 through 3.11, inclusive. The total of all such costs, allowances, etc." is hereinafter called "Total Project Costs". 1.2.7. Furnish five copies of the Report and presel}t and review it with OWNER. Preliminary Design Phase. After wri'tten authorization to proceed with the Design Phase, ENGINEER shall: 1.3,.1. In consultation with OWNER and on the basis of the accepted Study and Report documents, determine the general scope, extent and character of the Project. 1.3.2. design written Prepare Preliminary Design documents consisting of final criteria', preliminary drawings, outline specifications and descrip'tions of the proj ecL 1.3.3. Advise OWNER if additional data or described in paragraph 3.4 are necessary obtaining such data and services. services of and assist the types OWNER in 1.3.4. Based on the information contained in the preliminary design documents, submit a revised opinion of probable Total Project Costs. 1.3.5. Furnish five copies of the above Preliminary Design documents and present and review them in person with OWNER. Final Design Phase. 1.4.1. On the basis of the accepted preliminary Design Documents and the revised opinion of probable Total Project Costs, prepare for incorporation in 'the Contract Documents final drawings to show the general scope, extent, and character of the work to be furnished and performed by Contractor (s) (hereinafter called "Drawings,") and specifications. 1.4.2. Provide technical criteria, written descriptions, and design data for OWNER's use in filing applications for permits with or obtaining approvals of such governmental authorities as have jurisdiction to approve the design of the Project, and assist OWNER in consultations with appropriate authorities. 1.4.3. Advise OWNER of any adjustments to the latest opinion of probable Total Project Costs caused by changes in general scope, extent, or charact.er or design requirements of the Project or Construction Costs. Furnish to OWNER a revised opinion of probable Total Project Costs based on the Drawings and Specifications. 1.4.4. Prepare for review and approval by OWNER, its legal counsel and other advisors contract agreement forms, general conditions and supplementary conditions, and (where appropriate) bid forms, Page 2 of 17 1.5. 1.6. 319060EC invitations to bid and instruct]:ons to bidders, and assist in the preparation of other related documents. 1.4.5. Furnish five copies of the above documents and of the Drawings and Specifications and present and review them with OWNER. Bidding or Negotiating Phase. After written authorization to proceed with the Construction Phase, ENGINEER shall: 1.5.1. Assist OWNER in advertising for and obtaining bids or negotiating proposals for each separate prime contract for construc- tion, materials, equipment and services; and, where applicable, maintain a record of prospective bidders to whom Bidding Documents have been issued, attend pre-bid conferences and receive and process deposits for Bidding Documents. 1.5.2. Issue addenda as appropriate to interpret, clarify or expand the Bidding Documents. 1.5.3. Consult with and advise OWNER as to the acceptability of subcontractors, suppliers and other persons and organizations proposed by the prime contractor(s) (herein called "Contractor(s) ") for those portions of the work as to which such acceptability is required by the Bidding Documents. 1.5.4. . Consult with OWNER concern'ing anddeterrnine the acceptability of substitute materials and equipment proposed by Contractor(s) when substitution prior to the award of contracts is allowed by the Bidding Documents. 1.5.5. Attend the, bid opening, prepare bid tabulation sheets and assist OWNER in evaluating bids or proposals and in assembling and awarding contracts for construction, materials, equipment and ,services. construction Phase. 1.6.1. Consult with and advise OWNER and act as his representative as provided in the General Conditions, of the Construction Contract. The extent and limitations of the duties, responsibilities and authority of ENGINEER as assigned in said General Conditions shall not be modified, except to the extent provided herein and except as ENGINEER may otherwise agree in writing. All of OWNER's instructions to Contractor(s) will be issued through ENGINEER who wiil have authority to act on behalf of OWNER to the extent provided in said General conditions except as otherwise provided in writing. 1.6.2. Make visits to the si te at intervals appropriate to the various stages of construction as ENGINEER deems necessary in order to observe as an experienced and qualified design professional the progress that has been made and the quality of the various aspects of Contractor's executed work. Based on information obtained during such visits and observations, ENGINEER shall endeavor for the benefit of OWNER to determine, in general, if the work is proceeding in accordance with the Contract Documents. ENGINEER will not be required to make e-xhaustive or continuous on-site inspections to check the quality or quanti ty of Contractor's work. ENGINEER's efforts will be directed toward providing for OWNER a greater degree of confidence that the completed work will conform generally to the Contract Documents. On the basis of such visits and on~site observations, ENGINEER will keep the OWNER informed of the progress Page 3 of 17 31906DEC of the work and wil'l .endeavor to guard OWNER against defective work. During or as a result of ENGINEER's on-site visits or observations of Contractor's work ENGINEER will not supervise, direct, control or have authority over or be responsible for Contractor's means, methods, techniques, sequences or procedures of construction, or the safety precautions and programs incident thereto, or for any failure of CONTRACTOR to comply with' Laws and Regulations applicable to the furni'shing or performance of the work. ENGINEER will not be responsible for Contractor(s) failure to perform or furnish the work in accordance with the Contra~t Documents. 1.6.3. Review' Shop Drawings and Samples, but only to determine if the items covered by the submittals will, after installation or incorporation in the work, calf form to the ,~nformation given in the Contract Documents and be comp'atible with the design concept of the completed Project as a functioning whole as indicated by the Contract Documents. ENGINEER's review and approval will not extend to means, methods, techniques, sequences or procedures of construction (except where a particular means, method, technique, sequence or procedure of construction is specifically and expressly called for by the Contract Documents) or to safety precautions or programs incident thereto. 1.6:4. Issue with reasonable promptness such written clarifications or interpretations of the requirements of the Contract Documents (in the form of Drawings or otherwise) as ENGINEER may determine necessary, which shall be consistent with the intent of and reason- ably inferable from Contract Documents. ENGINEER may authorize minor variations in the work from the requirements of the Contract Documents which do not involve an adjustment in the Contract Price or the Contract Times and are compatible with the design concept of the completed Project as a functioning whole as indicated by the Contract Documents. These may be accomplished by a F~eld Order. 1.6.5. Have authority to disapprove or reject work which ENGINEER believes to be defective, or that ENGINEER believes will not produce a completed Project that conforms to the Contract Documents or that will prejudice the integrity of the design concept of the completed Project as a functioning whole as indicated by the Contract Docu- ments. ENGINEER will also have authority to require special inspection or testing of the work, whether or not the work is fabricated, installed or completed. 1.6.6. Act as initial interpreter of the requirements of the Contract Documents and judge of the acceptability of the work thereunder and make decisions on all claims of OWNER and Contrac- torts) relating to the acceptability of the work or the interpreta- tion of the requirements of the Contract .Documents pertaining to the execution and progress of the work. ENGINEER shall not be liable for the results of any such interpretations or decisions rendered in good fai th .. 1.6.7. Based on ENGINEER's on-site observations as an experienced and qualified design professional, on information provided by the Resident. Project Representative and on review of applications for payment and the accompanying data and 'schedules; ENGINEER shall determine the amounts owing to Contractor(s) and recommend in writing payments to Contractor(s) in such amounts. Such recommendations of payment will constituce a representation to OWNER, based on such observations and review, that the work has progressed to the point indicated, and that, to the best of ENGINEER's knowledge, information and belief, the quality of such work is generally in accordance with the Contract Documents (subject to an evaluation of such work as a Page 4 of 17 functioning whole prior to or upon Substantial Completion, to the results of any subsequent tests called for in the Contract Documents and to any other qualifications stated in the recommendation). In the case of unit price work, ENGINEER's recommendations of payment will include final determinations of quantities and classifications of such work (subject to any subsequent adjustments allowed by the Contract Documents). By recommending any payment ENGINEER will not- thereby be deemed to have represented that exhaustive; continuous or detailed reviews or examinations have been made by ENGINEER to check the quality or quantity of Contractor(s)' work-as it is furnished and performed beyond the responslbilities specifically assigned to ENGINEER in this Agreement and the Contract Documents. ENGINEER's review of Contractor(s)' work for the purposes of recommending payments will not impose on ~GINEER responsibility to supervise, direct or control such 'work or for the means, methods, techniques. sequences, or procedures of construction or safety precautions or programs incident thereto or Contractor(s) compliance with laws; rules, regulations, ordinances, codes or orders applicable to their furnishing and performing the work. It will also not impose responsibility on ENGINEER to make any examination to ascertain how or for what purposes any Contractor has used the moneys paid on account of the Contract -Price, or to determine that title to any of the work, materials or equipment has passed to OWNER free and clear of any lien, claims, security interest-s or encumbrances, or that there may not be other matters at issue between OWNER and CONTRACTOR that might affect the amount that should be paid. 1.6.8. Conduct an inspection to determine if the Project is substantially complete and? final'inspection to determine if the work is acceptable so that ENGINEER may recommend, in writing, final payment to each Contractor and may give written notice to OWNER and the Contractor (s) that the work is acceptable (subj ect to any conditions therein expressed), but any such recommendation and notice shall be subject to the limitations expressed in Paragraph 1.6.7. 1.6.9. ENGINEER shall not be responsible for the acts or omissions of OWNER, any Contractor, or ~f- any subcontractor, or supplier, or any of the Contractor(s)' or subcontractors', or supplier, agents or employees or any other persons (except ENGINEER's own employees and agents) at the site or otherwise furnishing or performing any of the Contractor(s)' work; however, nothing contained in Paragraphs 1.6.1. through 1.6.9., inclusive, shall be construed to release ENGINEER from liability' for failure to properly perform duties assumed by ENGINEER in the Contract Documents. 2.1. SECTION 2 - ADDITIONAL SERVICES OF ENGINEER General. 31906DBC If authorized in writing by OWNER; ENGINEER shall furnish or -obtain from others Additional Services of the types listed in Paragraphs 2.1.1. through 2.1.22., inclusive. These services are not included as part of Basic Services exc~pt to ~he extent provided otherwise in Section 1; these will be paid for by OWNER as indicated in Section 5. 2.1.1. Preparation of applications and supporting documents (in addition to those furnished under Basic Services) for private or g9vernmental grants, loans. or advances in connection with the Project; preparation or review of environmental assessments and impact statements: review and evaluation of the effect on the design requirements of the -Project of any such statements and documents Page 5 'of 17 31906DEC prepared by others; and assistance in obtaining approvals of authorities having jurisdiction over the anticipated environmental impact of the Project. 2.1.2. Services to make measured drawings of or to investigate existing conditions or facilities, or to verify the accuracy of drawings or other information furnished by OWNER. 2.1.3. Services resulting from significant changes in the general scope, extent, or character of the Project or its design including, but not limited to, changes in size, complexity, OWNER's schedule, character of construction or method of financing; and revising previously accepted studies, reports, design documents or Contract Documents when su~h revisions are required by changes in laws, rules, regulations, ordinances, codes or orders enacted subsequent to the preparation of such studies, reports or documents, or are due to any other causes beyond ENGINEER's control. 2.1. 4. Providing renderings or models for OWNER's use. 2.1.5. Preparing docume.nts for alternate bids requested by OWNER for Contractor(s)' work which is not executed or documents for out-of- sequence work. ' 2.1. 6. Investigations and studies involving, but not limited to, detailed consideration of operations, maintenance and overhead expenses; providing Value Engineering during the course of design; the preparation of feasibility studies, cash flow and economic evaluations, rate schedules and appraisals; assistance in' obtaining financing for the Project; evaluating processes available for licensing and assisting OWNER in obtaining process licensing; detailed quantity surveys of material, equipment and labor; and audits or inventories required in connection with construction performed by OWNER. 2.1.7. Furnishing the services of independent professional associates and consultants f9r other than Basic Se"rvices (which include, but are not limited to, customary civil, structural} mechanical, and electrical engineering, and customary architectural design incidental thereto); and providing data or services of the types described in Paragraph 3.4. when OWNER employs ENGINEER ,to provide such data or ser~ices in lieu of furnishing the. same in accordance with Paragraph 3.4. 2.1.8. Services resulting from the award of more separate prime contracts for construction, materials, equipment or 'services for the Project than are contemplated in Section 1, and services resulting from the arranging for performance by persons other than the principal prime contractors of services for the o.mER and administer- ing OWNER's contracts for such services. 2.1.9. Services during out-of-town travel required of ENGINEER other than visits to the site or OWNER '.s office as required by Section 1. 2.1.10. Assistance in connection with bid protests, renegotiating contracts for cons truction, materials; services. rebidding or equipment qr 2.1.11. Providing any type of property surveys or related engineering services needed for the transfer of interests in real prope"ty and field surveys for design purposes and engineering surveys ~nd staking to enable Contractor(s) to proceed with their work; and providing other special field survey. Page 6 of 17 2.2. 31906DEC 2.1.12. preparation of operating and maintenance manuals; assistance in the utilization of any equipment or system (such as initial start- up, testing, adjusting, and balancing); and training personnel for operation a~d maintenance. 2.1.13. Preparing to serve or serving as a consultant or witness for OWNER in any' litigation, arbitration, or other legal oradministra- tive proceeding involving the Project (except for assistance in. consultations which is included as part of Basic services under Paragraphs 1.2.3. and 1.4.2.). 2.1.14. Additional services in connection with the Project, including services which are to be furnished by OWNER in accordance. with Section 3, and services not otherwise,provided for in this Agreement. 2.1.15. Services in connection wi tl< work directive changes and change orders to reflect changes requested by OWNER if the resultlng change in compensation for Basic Services is not conunensurate with the additional services rendered. 2.1.16. Services in making revisions to Drawings and Specifications occasioned by the acceptance of substitutions proposed by Contrac- tor(.s); and services after the award of each contract in evaluating and determining the acceptability of an unreasonable or excessive number of substitutions proposed by Contractor. 2.1.17. Services resulting from significant delays, changes or price increases occurring as a direct or indirect result of material, equipment or energy shortage?'. 2.1.18. Additional or extended services during construction made necessary by (1) work damaged by fire or other cause during construc- tion, (2) a significant amount of defective or neglected work of any Contractor, (3) acceleration of the progress schedule involving services beyond normal working, hours, and (4) default by' any Contractor. 2.1.19. Services in connection with any partial utilization of any part of the Project by OWNER prior to Substantial Completion. 2.1.20. Evaluating an unreasonable or extensive number of claims submitted by Contractor(s) or others in connection with the work. 2.1.21. Services after completion of the Construction Phase, such as inspections during any guarantee period and reporting observed discrepancies under guarantees called for in any contract for the Project. 2.1.22. Copies of the Contract Documents needed for the Bidding and Negotiating Phase and Construction Phase. 2.1.23. Preparing for OWNER, on request, a set of reproducible record prints of Drawings showing those changes made during the construction process, based on the marked-up prints, drawings and qther data furnished by Contractor(s) to ENGINEER and which ENGINEER considers significant. Resident Services During Construction. 2.2.1. If requested by OWNER or recommended by ENGINEER and agreed to in writing by the other, a Resident Project Representative and necessary assistant resident project representatiye(s) will be furnished and will act as directed by ENGINEER in order to assist Page 7 of 17 ENGINEER in observing performance of the work of Contractor(s). Such services will be paid for by OWNER as indicated in Paragraph 5.1.2.3. 2.2.2. The duties and responsibilities and the limitations on the authority of the Resident Project Representative and assistants are set forth in Exhibit A "Duties, Responsibilities and Limitation of Authority of Resident Project Repre~entative", attached to and made a part of this Agreement. 2.2.3. Through,more extensive on-site observations of the work in progress and field checks of materials and equipment by the Resident Project Representative (if furnished) and assistants; ENGINEER shall endeavor to provide further protection for OWNER .against defects and deficiencies in the work of Contractor(s); but the furnishing of such resident Project representation will not make ENGINEER responsible forconstruc~ion means, methods, techniques, sequences or procedures or for safety precautions or programs, or for Contractor(s)' failure to perform their wor-k if 1 accordanc_€ with the Contract Documents. SECTION 3 - OWNER'S RESPONSIBILITIES 3.1. 3.2. 3.3. 3.4. Jl!106DEC OWNER shall: Designate in writing a personte act as OWNER'? representative with respect to the services to be rendered under this Agreement. Such pers?n shall have complete authority to transmit instructions, recelve information, interpret and define OWNER's policies and decisions with respect to ENGINEER's services for the Project. Provide all criteria and full information as to OWNER's requirements for the Project, including design objectives and constraints, space, capacity and performance requirements, flexibility and expandability, and any budgetary limitations; and furnish copies of all design and construction standards which OWNER will require to be included in the Drawings and Specifications. Assist ENGINEER by placing at ENGINEER's disposal all available information pertinent to the Project including previous reports and any other. data relative to design or construction of the project. Furnish to ENGINEER, as required for performance of ENGINEER's Basic Services. (except to the extent provided otherwise herein), the following: 3.4.1. Data prepared by or services of others, including without limitation borings, probings and subsurface explorations, hydrograph- ic surveys, labora~ory tests and inspections of samples, materials and equipment. 3.4.2. Appropriate professional interpretations of the foregoing. 3.4.3. Environmental assessment and impact statements. 3.4.4. Property, boundary, easement, right-of-way, topographic, and utility surveys. 3.4.5. Property descriptions. 3.4.6. Zoning, deed, and other land use restrictions. 3.4.7. 2. Other special data or consultations not covered in Section Page 8 of 17 3.5. 3.6. 3.7. 3.8. 3.9. 3.10. 3.11. 3.12. 3.13. 3.14. 3190600C All of which ENGINEER may use and rely upon in performing his services under this Agreement.. Provide engineering surveys to establish reference points (except to the extent provided otherwise herein) to enable Contractor (s) to proceed with the layout of the work. Arrange for access to and make all provisions for ENGINEER to enter upon public and private property as required for ENGINEER to perform his services under this Agreement. Examine all studies_, reports, sketches, Drawings, Specifications, proposals, and other documents presented by ENGINEER; obtain advice of an attorney, insurance counselor, and other consultants as OWNER deems appropriate for such examination; and render in writing decisions pertaining thereto within a reasonable time so as not to delay the services of ENGINEER. Furnish approvals and permits from all governmental authori ties having jurisdiction. over the Project and such approvals and consents from others as may be necessary for completion of the Project. Provide such accountingj independent cost estimating and insurance counseling services as may be required for the Project, such legal services as OWNER may require or ENGINEER may reasonably request with regard to legal issues pertaining to the Project including any that may be raised by Contractor(sl, such auditing service as OWNER may require to ascertain how or for what purpose any Contractor has used the moneys paid to him under the construction contract, and such inspection services as OWNER may require to ascertain that Contrac- tor(s) are complying with any law, rule, regulation, ordinance, code, or order applicable to their furnishing and performing .the work. If OWNER designates a person to represent OWNER at the site who is not ENGINEER or ENGINEER:s agent or employee, the duties, responsi- bilities and limitations of authority of such other person and the effect thereof on the duties and responsibilities of ENGINEER and the Resident Project Representative (and any assistants) will be set forth in an exhibit that is to be identified, attached to, and made a part of this Agreement before such services begin. If more than one prime contract is to be awarded for construction, materials, equipment, and services for the entire Project, designate a person or organization to have authority and responsibility for coordinating the activities among the various prime contractors. Furnish to ENGINEER data or estimated figures as to OWNER's antici- pated costs for services to be provided by others for OWNER (such as services pursuant to Paragraphs 3.7. through 3.11., inclusive and other costs of the types referred to in Paragraph 1.2.6.) so that ENGINEER may make the necessary findings to support opinions of probable Total Project' Costs. Attend the pre-bid conference, bid opening, preconstruction confer- ences, construction progress and other job related meeti.ngs, and substantial completion inspections and final payment inspections. Give prompt written notice to ENGINEER whenever OWNER observes or otherwise becomes aware of any development that affects the scope or timing of ENGINEER's services, or any defect in the work of Contrac- tor (s) . Page 9 of 17 3.15. 3.16. Furnish, or direct ENGINEER to provide, necessary Additional Services as stipulated in Section 2 of this Agreement or other services as required. Bear all costs incident to compliance with the requirements of this Section 3. 4.1. SECTION 4 - PERIOD OF SERVICE 4.2. The provisions of this Section 4 and the various rates of compensa- tion for ENGINEER's services provided for elsewhere in this Agreement have been agreed to in anticipation of the orderly and continuous progress of the Project through completion of the Construction Phase. ENGINEER's obligation to render services hereunder will extend for a period which may reasonably be required for the design, award of contracts, and construction of the Project including extra work and required extensions thereto. If specific. periods of time for rendering services are set forth or specific dates by which services are to be completed are provided elsewhere in this Agreement, and if such dates are exceeded through no fault of ENGINEER, all rates, measures, and amounts of compensation provided herein shall be subject to equitable adjustment. The services completed and to. called for in the Study and Report Phase will be the Report submitted within a stipulated period agreed 4.3. After acceptance by OWNER of the study and Report Phase documents indicating any specific modifications or changes in the gener&.l scope, extent or character of the Project desired by OWNER. and 'upon written authorization from OWNER, ENGINEER shall proceed with the performance of the services called for in the Preliminary Design Phase; and shall deliver preliminary design documents and a revised opinion of probable Total Project Costs. 4.4. After acceptance by OWNER of the preliminary Design Phase documents and revised opinion of probable Total Project Costs, indicating any specific modifications or changes in the general scope, extent or character of the Project desired by OWNER, ENGINEER shall proceed with the performance'of the services called for in the Final Design Phase; and shall deliver Contract Documents and a revised opinion of probable Total Project Costs, for all work of Contractor(s) on the Project. 4.5. ENGINEER's services under .the Study and Report :Phase, Preliminary Design Phase, and Final Design Phase shall each be considered complete at the earlier of (1) the date when the submissions for that phase have been accepted by OWNER or (2) thirty days after the date when such submissions are delivered to OWNER for final acceptance, plus in each case such additional time as may be considered reason- able 'for obtaining approval of governmental authorities having jurisdiction to approve the design of the Project. 4.6. After acceptance by OWNER of the ENGINEER's Drawings, Specifications. and other Final Design Phase documentation including the most recent opinion of probable Total Project. Costs and upon written authoriza- tion to proceed; ENGINEER shall proc.eed with performance of the services called for in the Bidding or Negotiating Phase. This Phase shall terminate and the services to be rendered thereunder shall be considered complete upon commencement of the Construction Phase or upon cessation of negotiations with prospective Contractor(s) . 319060EC Page 10 of 17 4.7. 4.8. 4.9. 4.10. 4.11. 4.12. The Construction Phase will commence with the execution of the first prime contract to be executed for the work of the Project or any part thereof and will terminate upon written recommendation by ENGINEER of final payment on the last prime contract to be completed. Construction Phase services may be rendered at different times in respect of separate prime contracts if the Project involves more than ope prime contract. N/A. If OWNER has requested significant modifications or changes in the general scope, extent, or character of the Project, the time of performance of ENGINEER's services shall be adjusted equitably. If OWNER fails to give prompt written authorization to proceed with any phase of services after completion of the immediately preceding phase, or if the Cons truction Phase has not commenced wi thin 180 calendar days after completion of the Design Phase, ENGINEER may, after giving seven days' written notice to OWNER, suspend services under this Agreement. If ENGINEER's services for design or during construction of the Project are delayed or suspended in whole or in part. by OWNER for more than three months for reasons beyond ENGINEER's control, ENGINEER shall on written demand to OWNER (but without termination of this Agreement) be paid as provided in Paragraph 5.3.2. If such delay or suspension extends for more than one year for reasons beyond ENGINEER's cont"ol, or if ENGINEER for any reason is required to render Construction Phase services in respect of any prime contract for construction, materials or equipment more than one year after Substantial Completion is achieved under this Contract, the various rates of compensation provided foielsewhere in this Agreement shall be subject to equitable adjustment. In the event that the work designed or specified by ENGINEER is to be furnished or performed under more than one prime contract, or if ENGINEER's services are to be separately sequenced with the work of one or more prime contractors (such as in the case of fast-t"acking), o.mER and ENGINEER shall, prior to commencement of the Final Design Phase, develop a schedule for performance of ENGINEER's services during the Final Design, Bidding or Negotiating, and Construction Phases in order to sequence and coordinate properly such services as applicable to the work under such separate contracts. This schedule is to be prepared whether or not the work under such contracts is to proceed concurrently, and the provisions of Paragraphs 4.4. through 4.10., inclusive, will be modified accordingly. 5.1. SECTION 5 - PAYMENTS TO ENGINEER Methods of Payment for Services and Expenses of ENGINEER. 31906DEC 5.1..1. For Basic Services. OWNER shall pay ENGINEER for Basic Services rendered under section 1 as follows: 5.1.1.1. a factor pals and An amount equal to ENGINEER's Payroll Cost times of 2.25 for all Basic Services rendered by princi- employees engaged directly on the Project. 5.1.1.2. N/A. 5.1.1.3. services Professional Associates and Consultants. For and Reimbursable Expenses of .independent profes- Page 11 of 17 5.2. 5.3. 31906DEC sional associates and consultants employed by ENGINEER to render Basic Services, the amount billed to ENGINEER therefor times a' factor of 1.3. 5.1.1.4. N/A. 5.1.1.5. The total amount of compensation to be paid to ENGINEER for Basic Services pursuant. to Paragraphs 5.1.1. and 5.1.3. shall not exceed the amount included in an Amendment to this Agreement. 5.1.2. For Addi tional Services. OWNER shall pay ENGINEER for Additional Services rendered under Section 2 as follows; 5.1.2.1. General - For Addi tional Services of ENGINEER's principals and employees engaged directly on the Project and rendered pursuant to Paragraph 2.1., on the basis of ENGINEER's Payroll Costs times a factor of 2.25. 5.1.2.2. Professional Associates and Consultants For services and reimbursable Expenses of independent profes- sional associates and consultants employed by ENGINEER to render Additional Services pursuant to Paragraph 2.1., the amount billed to ENGINEER therefor times a factor of 1.3. 5.1.2.3. Resident Project ENGINEER's Resident Project furnished under Paragraph Costs times a factor of principals and employees represeIitation.. services For services of Representative (and assistants) 2.2., on the basis of Payroll 1.95 for services rendered by assigned to resident Project 5.1.3. For Reimbursable Expenses. In addition to payments provided for in Paragraphs 5.1.1. and 5.1.2., OWNER shall pay ENGINEER the actual costs of all Reimbursable Expenses incurred in connection with all Basic and Additional Services times a factor of 1.1. 5.1. 4. The. terms "Payroll Costs" and "Reimbursable Expenses" will have the meanings. assigned to them in Paragraph 5.4. Times of Payments. 5.2.1. ENGINEER shall submit Additional Services rendered and OWNER shall' make prompt monthly monthly invoices. monthly invoices for Basic and for Reimbursable Expenses incurred. payments in response to ENGINEER's Other provisions Concerning Paym~nts. 5.3.1. If OWNER fails to make any payment due ENGINEER for services and expenses within thirty days after receipt of ENGINEER's invoice ENGINEER may, after giving seven days' written notice to OWNER, suspend services under this Agreement until ENGINEER has been paid in full all amounts due him for services, expenses, and charges. 5.3.2. In the event of termination by O\~ER under Paragraph 7.1., upon the completion of any phase of the Basic Services, progress payments due ENGINEER for services rendered through such phase shall constitute total payment for such services. In the event of such termination by OWNER during any phase of the Basic Services, ENGINEER will be paid for services rendered during that phase on the basis of ENGINEER's Payroll Costs times a factor of 2.1 for services rendered during that'phase to date of termination by ENGINEER's principals and Page 12 of 17 5.4. employees engaged directly on the Project. In the event of any such termination, ENGINEER also will be reimbursed, for the charges of independent professional associates and consultants employed by ENGINEER to render Basic Services, and paid for all unpaid Additional Services and unpaid Reimbursable Expenses, plus all termination expenses. Termination expenses mean additional Reimbursable Expenses directly attributable to termination. Definitions. 5.4.1. The Payroll Costs used as a basis for payment mean salaries and wages (basic and incentive), including overtime if required for the performance, paid to all personnel engaged directly on the 'Project, including, but not limited to, engineers, architects, surveyors, designers, drafters, specification writers, estimators, and other technical and business personnel; plus the cost of customary and statutory benefits including, but not limited to, social security contributions, unemployment, excise and payroll taxes, workers' compensation, health and retirement benefits, sick leave, vacation and holiday pay and other group benefits. The amount of customary and statutory benefits of all personnel of ENGINEER will be considered equal to 30% of salaries and w~ges. It is understood that overtime requiring premium pay will be used only when necessary to meet schedules and program objectives established and approved by OWNER. 5.4.2. Reimbursable Expenses mean the actual expenses incurred by ENGINEER or ENGINEER's independent professional associates or consultants directly or indirectly in connection with the Project, such as expenses for: transportation and subsistence incidental thereto; obtaining bids or proposals from Contractor (,s); providing and maintaining field office facilities including furpishings and utilities; subsistence and transportation of Resident 'Project Representatives and their assistants; toll telephone calls and telegrams; reproduction of reports, Drawings, Specifications, and similar Project-related items. In addition, Reimbursable Expenses include expenses incurred for computer times and other highly specialized equipment, including an appropriate charge for previously established programs, and expenses of photographic production techniques. 6.1. SECTION 6 - CONSTRUCTION COST AND OPINIONS OF COST Construction Cost. 6.2. . 31906DEC 6.1.1. The construction cost of the entire Project (herein referred to as "Construction Cost") means the total cost to OWNER of those portions of the entire Project designed and specified by ENGINEER, but it will not include ENGINEER's compensation and expenses, the cost of land, rights-of-way, or compensation for or damages to, properties unless this Agreement so specifies, nor will it include OWNER's legal, accounting, insurance counseling or audi tingseivices, or interest' and financing charges incurred in connection with the Project or the cost of services to be provided by others to OWNER 'pursuant to Paragraphs 3.7., through 3.11., inclusive. (Construction Cost is one of the items comprising Total Project Costs which is defined in Paragraph 1. 2 . 6 . ) Opinions of Cost. 6.2.1. Since ENGINEER has no control over the cost of labor, materials, equipment or services furnished by others, or over the Page 13 0 f 17 , Contractor(s) I methods of determining prices, or o~er competitive bidding or market conditions, his opinions of probable Total Project Costs and Construction Cost provided for herein are to be made on the basis of ENGINEER's experience and qualifications and represent ENGINEER's best judgment as an experienced and qualified professional engineer, familiar with the construction indu'stry; but ENGINEER cannot and does not guarantee that proposals, bids or actual,Total project or Construction Costs will not vary from opinions of probable cost prepared by ENGINEER. If prior to the Construction Phase, OWNER wishes greater assurance, as to Total Project or Construction Costs, OWNER shall employ an independent cost estimator as provided in Paragraph 3.9. 7.1. SECTION 7 - GENERAL CONSIDERATIONS Termination. 7.2. 7.3. 7.4. 3l906DEC 7.1.1. The obligation to provide Agreement may be terminated by either notice in the event of substantial perform in accordance with the terms terminating party. further services under this party upon thirty days' written failure by the other party to hereof through no fault of the Reuse of Documents. 7.2.1. All documents including Drawings and specifications prepared or furnished by ENGINEER (and ENGINEER's independent professional associates and consultants) pursuant to this Agreement are instru- ments of services in respect of the Project and ENGINEER shall retain an ownership and property interest therein whether or nqt the Project is completed. OWNER may make and retairi copies for information and reference in connection. with the use and occupancy of 'the Project by OWNER and others; however, such documents are not intended or represented to be suitable for reuse by OWNER or others'on extensions of the Project or on any other project. Any reuse without written verification or adaptation by ENGINEER for the specific purpose intended will be at. OWNER's sole risk and without liability or legal exposure to ENGINEER, or to ENGINEER's independent professional associates or consultants, and OWNER shall indemnify and hold harmless ENGINEER AND ENGINEER's independent professional associates and consultants from all claims, damages, losses and expenses including attorneys' fees arising out of or result~ng th~refrom. Any such verification or adaptation will entitle ENGINEER to further compensation at rates to be agreed upon by OWNER and ENGINEER. I~surance. 7.3.1. ENGINEER shall procure and maintain insurance for protection from claims under workers I compensation acts, claims for damages because of. bodily injury including personal injury, sickne'ss or disease or death of any and all employees or of any person other than such employees, and from claims. or damages because of injury to or destruction of property including loss of use resulting therefrom. Controlling Law. 7.4.1. This Agreement is to be governed by the law of the principal place of business of ENGINEER. Page 14 of 17 " 7.5. Successors and Assigns. 7.5.1. OWNER and ENGINEER each is hereby bound and the partners, successors, executors, administrators, and legal representatives of OWNER and ENGINEER (and to the extent permitted by Paragraph 7,5,2, the assigns of OWNER and ENGINEER) are hereby bound to the other party to this Agreement and to the partners, successors, executors, administrators, and legal representatives (and said assigns) of such. other party, in respect to all covenants, agreements, and obligations of this Agreement. 7.5.2. Neither OWNER nor ENGINEER shall assign, sublet, or transfer any rights under or interest in (including, but without limitation, moneys that may become due or moneys that are due) this Agreement without the written consent of the other, except to the extent that any assignment, subletting, or transfer is mandated by law or the effect of this limitation may be restricted .by law, and except ENGINEER may transfer its rights and interests to a successor company that has substantially the same' ownership. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibili ty under this Agreement. Nothing contained in this paragraph shall prevent ENGINEER from employing such independent professional associates and consultants as ENGINEER may deem appropriate to assist him in the performance of services hereunder. 7.5.3. Nothing herein shall be construed to give any rights or benefits in this Agreement to anyone other than OWNER and ENGINEER and all duties and responsibilities undertaken pursuant. to this Agreement. will be for the sole and exclusive benefit of OWNER and ENGINEER and not for the benefit of any other party. 7.6. N/A. 7.7. It is understood and agreed that, in seeking services of ENGINEER under this Agreement the OWNER is requesting ENGINEER to undertake some uninsurable obligations for the OWNER's benefit in advising, requiring I orobtainirig of any form of insurance, suretyship, or bond. Therefore, the OWNER agrees to hold harmless, indemnify, and defend ENGINEER from and against any and all claims, losses, damages, liability, and cost, including but not limited to costs of defense, arising out of or in any way connected with .advising, requiring, Or obtaining of any forms of insurance, suretyship, or bond, or failure to do so. 7.8. In consideration of the unavailability of professional liability insurance, it is agreed that the OWNER shall indemni fy and ,hold harmless, ENGINEER, and their consultants, agents, directors, officers and employees from and against all claims, damages, losses and expenses, direct and indirect, and consequential damages, including but .not limited to fees and charges of attorneys and court and arbitration costs, arising out of or resulting from the perfor- mance of the work by ENGINEER, or claims against ENGINEER arising from the work of others, involving pollution-related activities to the fullest extent permissible by law, regardless of any action or omission (active, .passive or comparative negligence i~cluded) on the part of ENGINEER. The above indemnification provision extends to claims against ENGINEER which arise out of, or related to, or are based upon, the actual, alleged or threatened discharge, dispersal, release or escape' of pollutants, and any directive to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize pollutants. "POLLUTANTS" mean any solid, liquid, gaseous or thermal ""'DEe ,Page 15 of 17 7.9. 7.10. " irritant or contaminant, including smoke, vapor, soot, fumes, acids or alkalis, chemicals and waste. In consideration of the unavailability of professional liability insurance, it is agreed that the OWNER shall indemnify and hold harmless ENGINEER and their consultants, agents, directors, officers and employees from and against all claims, damages, losses, and expenses, direct and indirect, and consequential damages, including but not limi ted to fees and charges of attorneys and court and arbitration costs, arising out of or resulting from the performance of the work by ENGINEER, or claims against ENGINEER arising from the work of others, related to a'sbestos activities; to the fulle'st extent permissible by law, regardless of any action or omission (active, passive or comparative negligence included) on the part of ENGINEER, "ASBESTOS ACTIVITIES" means any specification of a product, material or process containing asbestos, failure to detect the existence or proportion of asbestos in a ,product, material or process and the performance or failure to perform apatement, replacement or removal of a product, material or process containing asbestos. OWNER shall require the Contractor to the fullest extent permitted by Laws and Regulations. to indemnify and hold harmless ENGINEER, ENGINEER's Consul tants and the officers, directors, employees, agents and other consultants of each and any of them from and against all claims, costs, losse~ and damages (including but not iimited to all fees and charges of engineers, architects, attorneys and other professionals and all court or arbitration or other dispute resolu- tion costs) caused by, arising out of or resulting from the perfor- mance of the work, provided that any such cIaim, cost I loss or damage: (i) is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible 'property (other than the work itself), including the loss of use resulting therefrom, and (ii) is caused in whole or in part by any negligent act or omission of Contractor, any Subcontractor, any Supplier, any person or organization directly or indirectly employed by any of them to perform or furnish any of the work or anyone for whose acts any of them may be liable, regardless of whether or not caused in part by any negligence or omission of a person or entity indemnified hereunder or whether liability is imposed upon such indemnified party by Laws and Regulations regardless of the negligence of any such person or entity. The indemnification obligations of Contractor shall not extend to the liability of ENGINEER and ENGINEER's Consultants, officers, directors, employeep or agents caused by the professional negligence, errors or omissions of any of them. '8.1. SECTION 8 - SPECIAL PROVISIONS, EXHIBITS AND SCHEDULES This Agreement is subject to the following special provisions: 8.2. 319060EC 8.1.1. OWNER hereby agrees that to the fullest extent permitted by law design professional's total liability to OWNER for any and all injuries, claims, losses, expense~ or damages whatsoever arising out of or in any way related to the Project or this Agreement from any cause or causes including but not limited to design professional's negligence, errors, omissions, strict liability, breach of contract or breach of warrarity shall not exceed the amount of ENGINEER's fee, The. following Exhibit is attached to and made a part of this Agreement: 8.2.1. Exhibit A Duties, Responsibilities and Limitations of Authority of Resident Project Representative Page 16 of, 17 ., 8.3. This Agreement (consisting of Pages 1 to 17, inclusive), together with the Exhibit identified above constitute the entire agreement between OWNER and ENGINEER and supersede all prior written or oral understandings. This Agreement and said Exhibit may only be amended, supplemented, modified or cancelled 'by a duly executed written instrument. IN WITNESS WHEREOF, the parties ,hereto have made and executed this Agreement as of the day and year first above written. APPROVED AS TO FORM AND WORKS & SAFETY ,INDIANA Witness: By Wic7J'Jf-- t4 ~ By By Attorney 11906DEC Page 17 of 17