Common use of Owner Direct Purchase Program Clause in Contracts

Owner Direct Purchase Program. The Owner may elect to implement an owner direct purchase program whereby it may purchase materials and equipment included in any Subcontractor’s bid for a portion of the Work directly from the supplier of such materials or equipment in order to achieve sales tax savings. Such materials and equipment are referred to as “Owner Direct Purchase Materials.” If Owner elects to implement an owner direct purchase program, it shall so notify Construction Manager in writing, and the terms of this paragraph shall govern, along with Owner’s policies on the subject in effect at the time Construction Manager commences construction of the Project. Construction Manager shall submit to the Owner a list of appropriate materials and equipment that exceed $5,000 per purchase requisition for consideration by the Owner as Owner Direct Purchase Materials. Construction Manager shall obtain Builder’s Risk insurance on the Owner Direct Purchase Materials naming Owner as the insured or an additional insured, provided Owner shall reimburse Construction Manager for the cost of such insurance as provided by this Agreement. Construction Manager shall be responsible for safeguarding all Owner Direct Purchase Materials on the Project site on Owner’s behalf.