SCHEDULE OF MINIMUM BASIC FEE (MBF) GROUP 1 GROUP 2 GROUP 3 GROUP 4 GROUP 5 GROUP 6 GROUP 7 - - GROUP 8 GROUP 9 - GROUP 10 - SIMPLE MODERATE COMPLEX/EXCEPTIONAL RESIDENCES (Town-homes) MONUMENTAL BLDGS. REPETETIVE CONST. 1st. Structure 2nd. Structure 3rd. Structure 4th. Structure HOUSING PROJECTS 1ST. Unit 2-10 Units 11 Units and above FURNITURE DESIGN ALTERATIONS & ADDITIONS(From groups 1 – 5 ) CONSULTATION APPEARANCE W/IN 100 KM.} RADIUS FROM OFFICE }- 6% “Project const. Cost” 7% 8% 10% 12% MBF 80% } 60% } “Of basic fee” 40% } MBF 60% } “Of basic fee” 30% } 15% “Project const. Cost” 150% “Of basic fee” Php 200 / hr. Php 500 / appearance GENERAL CONDITIONS OF A CONTRACT GEN. CONDITIONS – ARE PRINTED DOCUMENTS STIPULATING THE PROCEDURAL & ADMINISTRATIVE ASPECTS OF A CONTRACT. 1. 2. 3. 4. 5. 6. Change orders – are printed formal changes to the basic contract and must be made in compliance w/ the contract Advance payment – the owner, shall upon the request of the contractor in an amount equivalent to the average operating expenses for 2 months or 15% of the total contract price. Progress payment – periodically, but not more than once each month, the contractor may submit a request for payment for worked accomplished. Retention money – progress payments are subject to retention of 10% referred to as the “retention money”. Liquidating damages – an estimated reparations in terms of money for detriments and injuries sustained during construction. amount paid by a contractor to the owner for everyday of delay in construction time. Contract price escalation - escalation clause – a clause in a contract providing for increase of decrease in wages, prices, etc., based on fluctuation in the cost of living, production, cost, etc. parametric formula – use to compensate for fluctuation of prices of const. materials & supplies, equipment and labor w/c would bring about an increase or decrease of more than 5% of the original contract unit price of items of work. CONTRACTOR’ S BOND 1. Proposal / bid bond – the casher’s check or bidders bond accompanying the proposal 2. submitted by the bidder as a guaranty that the bidder will enter into a contract with the owner for the works if the contract is awarded to him. Performance bond – “ a bond furnished by the contractor and his surety “ as a guarantee to the execute the work in accordance w/ the terms of the contract. Payment bond - as a guarantee to (the quality) for all obligation arising from his contract. 3. 4. All risk bond 5. Insurances – for life & property 6. Guarantee bond – as a guarantee to the quality of materials and equipment installed and the workmanship performed by the contractor. Drawings – are graphical presentations of the work involved in the project. They include all supplementary details and shop drawings. 1. 2. Shop drawings – drawings, diagrams, illustrations, schedules, performance charts, & other data prepared by the contractor which illustrates how specific portions of the work shall be fabricated and/or installed. As-built drawings – precise drawings Specifications - are written or printed description of work to be done prescribing qualities of materials and modes of construction. Agreement - is the contract covering the performance of the work described in the contract documents including all supplemental agreements thereto all gen. & special provisions pertaining to the work or materials therefore. Arbitration – the binding resolution of disputes by one or more neutral persons as a substitute for judicial proceeding. Advertisement or invitation to bid – the notice published by the owner & the invitations issued to prospective bidders giving information as to the nature of the proposed project condition for the issuance of contract documents & date of bidding. Bid bulletin - is additional information on contract documents issued to bidders before date of bidding. Instructions to bidders – the list of instructions stipulating the manner on how bids are to be prepared & conditions for the award of contract. Special provisions - are instructions w/c may be issued to supplement drawings & gen. conditions of the contract. Penalty clause – a contract provision setting forth the damages a party must pay in the event of a breach of the contract. Proposal – the offer of a bidder to perform the work described by the contract documents when made out and submitted on the prescribed proposal form, properly signed and guaranteed. Quotation – a price given by the contractor, sub-con, material supplier, or vendor. to furnish materials, labor or both. Surety – is the person or firm or corporation who executes the contractors bond. Statute of limitation – is the specific period of time w/ in w/c legal action must be brought for alleged damaged or injury. Notice to proceed - the contract time in computed based from receipt date. Bill of material a.k.a. quantity survey - a detailed analysis and listing of all items of materials & equipment necessary to construct a project. PROBABLE CONST. COST – the estimate of the project cost by the architect. ACTUAL CONST.COST – the overall cost of the project after completion. PARTS OF PROPOSAL 1. 2. 3. 4. MODE AGREEMENT MODE PAYMENT MODE ACCOMPLISHMENT SCOPE OF WORK PARTS OF CONTRACT DOCUMENTS 1. 2. 3. 4. 5. AGREEMENT GEN CONDITION SPECIFICATION WORKING DRAWING SPECIAL PROVISION WORK – shall include labor &/or materials as well as equipment transportation or other facilities necessary to commence and complete a project. PROVIDE – shall mean “ furnish & install.” INSTALL – shall mean “ to build in, mount in “ positions, connect or apply object specified ready for the intended use. FURNISH – shall mean “ purchase and/or fabricate & deliver “ to the jobsite or other location when so designated. SCOPE OF WORK – document is issued by the architecture to the owner representing conclusive evidence of the work performance from w/c the contractors compensation is based upon. LIEN – is a right enforceable against specific property to secure payment of an obligation. CERTIFICATE OF PAYMENT – a statement from the architecture confirming the amount of money due to the contractor for work accomplished. TYPES OF SPECIFICATIONS: 1. PERFORMANCE SPECS. – the results of the product, rather than the product itself, are specified. 2. DESCRIPTIVE SPECS. – gives a description of the product. 3. BRAND NAME SPECS. – the desired product is specified by the name given by the 4. 5. manufacturer or by the manufacturer’s name and model number. REFERENCES SPECS. – the item desired is referred to by a number corresponding to a no. in a published specification. CLOSED SPECS. – are usually brand- name specification. (used basically where materials are required to match existing material.) TYPES : a. b. SINGLE PRODUCT MULTI – PRODUCT 6. OPEN SPECS. – called “open” ‘ coz all manufacturers whose products meet performance or description specified, may bid. CONTRACT TIME IS RECKONED 7 DAYS FROM RECEIPT OF THE NTP. 60 DAYS (2 MOS.) – making good of the defects 65% PROJ. COMPLETION – issue cert. of non-financial obligation 98% PROJ. COMPLETION – shall mean substantial completion. 15 DAYS (W/IN) - owner will pay the contractor 30 DAYS - arbitration REQUEST FOR PAYMENT - immediately or w/in 15 days (once a month)