Trade Contracts. 4.1 All construction Work, other than professional and personal services that ▇▇▇▇ customarily performs with its own field staff, shall be performed under Subcontracts. Exhibit 4 to this Contract, as an accounting tool only, provides the method by which the Construction Team (Owner, ▇▇▇▇ and Architect) may continuously determine whether the Work is within the GMP throughout the Construction Phase. The general assumptions made in developing the GMP in Exhibit 4 are contained in Exhibit 3. The bid package line item amounts contained in Exhibit 4 will be adjusted according to the amounts of the applicable Subcontract awards utilizing the "Construction Manager-at-Risk Contingency" line item as the balance line item. In any event, the GMP total shall not be altered, except by Change Order or Supplemental Agreement to this Contract. 4.2 ▇▇▇▇ shall award each trade construction subcontract to the lowest responsible bidder whose bid is responsive to the request for bids, provided the lowest bid is within the amount established for the specific GMP bid package line item as specified in Exhibit 4. ▇▇▇▇ shall document the award of each trade construction subcontract by submitting a letter to Owner in accordance with the award notification letter attached to and made a part of this Supplemental Agreement No. 1 as Exhibit 5. In such event, the difference between the actual low bid and the amount specified in the GMP bid package line item shall be accounted for by adding the difference to the "Construction Manager-at-Risk Contingency" line item. However, if all trade construction subcontract bids received exceed the amount specified in Exhibit 4 for the bid package line item, one or more of the following initial procedures will be undertaken at Owner's direction following submission of the recommendation of ▇▇▇▇: (a) deletion of non-essential bid alternates to try to bring the bid within the amount specified on Exhibit 4 hereto, but without reducing the scope of the Work unless Owner approves; (b) reject all bids and rebid; (c) redesign to lower the cost to the budgeted amount, but only with Owner's consent, and rebid; or (d) proceed with the award using, with ▇▇▇▇'▇ consent, funds contained in the "Construction Manager-at-Risk Contingency" (uncommitted budgeted funds or funds saved from prior bid package line-item awards which were below the established bid package line item amounts) to pay the excess here. 4.3 If ▇▇▇▇ has submitted its own bid for the bid package line item as permitted by Section 2269.255(b), Texas Government Code, as amended, and Owner determines that ▇▇▇▇’▇ bid is within the GMP bid package line item and provides the best value, Owner may allow ▇▇▇▇ to perform the Work for that line item with ▇▇▇▇'▇ own forces, with the option of subcontracting all or any portions of that Work to third parties of ▇▇▇▇'▇ choice. 4.4 In the event procedures stated in Paragraph 4.2 (a), (b) or (c) are undertaken, ▇▇▇▇ will provide Owner with a subsequent recommended procedure. By execution of this Supplemental Agreement No. 1, ▇▇▇▇ represents and warrants to Owner that any advertisement for rebids and award of contracts by ▇▇▇▇ as specified in Paragraph 4.2 shall comply and be consistent with the General Conditions, special provisions, if any, Instructions to Bidders, and with all applicable laws of the State of Texas. If no bids are received on a particular item, the Owner may direct ▇▇▇▇ to: (a) rebid the item; or (b) if Owner determines that no reasonable bid can be obtained through rebidding or that further rebidding cannot be done because a genuine emergency threatens the integrity and progress of the Project, complete the Work under the bid package item with its own forces, with the option of subcontracting all or any portion thereof to third parties of ▇▇▇▇'▇ choice. Owner may reject ▇▇▇▇'▇ initial or subsequent recommended procedure under Paragraph 4.2, and elect to follow one of the alternative procedures specified above, including requiring ▇▇▇▇ to perform the Work with its own forces, with the option of subcontracting all or any portion of the Work to third parties of ▇▇▇▇'▇ choice. If ▇▇▇▇ performs any work with its own forces or subcontracts all or any portion of the Work to third parties of ▇▇▇▇'▇ choice under the provisions of this Article, ▇▇▇▇ shall do so at cost plus jobsite overhead only, but the Guaranteed Maximum Price shall not be increased thereby. Costs with regard to bid package line-item Work performed by ▇▇▇▇'▇ own forces or by third parties of ▇▇▇▇'▇ choice shall be accounted for separately and reflected in subsequent adjustments to the Exhibit 4 bid package line item amounts, without increasing the Guaranteed Maximum Price. 4.5 With the approval of Owner, ▇▇▇▇ may provide incidental labor and materials in connection with its professional services at the Project site that cannot be economically or reasonably contracted to others, or which cannot be purchased under competitive bidding. 4.6 The form of each trade construction subcontract shall be ▇▇▇▇'▇ standard form, adjusted to conform with the requirements of this Contract. The subcontract form shall include a full indemnification of the Owner and the Architect, shall provide the same scope of indemnity as is set forth in this Supplemental Agreement, and shall contain such other clauses as may be required to fully protect Owner's interests. It shall be the responsibility of ▇▇▇▇ to make payment properly due the Subcontractors from funds paid to ▇▇▇▇ by Owner for that purpose, subject to the provisions of this Contract, pursuant to applications submitted for payment, with certification given to Owner following such payment.
Appears in 2 contracts
Sources: Construction Manager at Risk Contract, Construction Manager at Risk Contract
Trade Contracts. 4.1 All construction Work8.01 Contractor shall provide to Owner, other than professional for Owner’s review and personal services that ▇▇▇▇ customarily performs approval, a list of prospective bidders for each trade, wherein the Owner may add to or delete from such list subject to Contractor’s reasonable approval. Contractor shall conduct, together with its own field staffOwner and/or Architect, pre-bid conferences to inform prospective bidders of bid requirements and to answer questions concerning such requirements. Contractor shall obtain bids for each trade contract from an appropriate number of pre-qualified bidders so as to obtain the most reasonable price for acceptable work. If the low bid for any bid package exceeds the Contractor’s budget line item price, one of the following procedures, subject to Owner’s prior approval, shall be performed under Subcontractsfollowed:
i. Contractor may reject all bids and issue a revised invitation to bid, prepared by the Contractor.
ii. Exhibit 4 Contractor may negotiate with the low bidder to this Contract, as an accounting tool only, provides reduce the method by which price of the Construction Team (Owner, ▇▇▇▇ and Architect) may continuously determine whether the Work is within the GMP throughout the Construction Phase. The general assumptions made in developing the GMP in Exhibit 4 are contained in Exhibit 3. The bid package to a cost not exceeding the budget line item amounts contained in Exhibit 4 will be adjusted according price.
iii. Contractor may recommend award of a contract to the amounts of low bidder for a price exceeding the applicable Subcontract awards utilizing the "Construction Manager-at-Risk Contingency" line item as the balance budget line item. In any eventContractor shall submit for approval by Owner, an evaluation of bids and a recommendation of a bid package. After Owner’s approval is granted, Contractor shall award the separate contract as required to provide all labor and materials for construction of the Project. Each trade contract awarded by Contractor shall be a separate agreement awarded on the basis of competitive bids or negotiation if bidding is impracticable. The relationship of Contractor to each trade contractor shall be the same as that of a general contractor to a subcontractor.
8.02 Each Trade Contract shall require that all Work performed or materials, supplies or equipment furnished pursuant thereto shall comply with the Contract Documents, the GMP total building permit and the trade standards, laws, rules, regulations and requirements of all governmental authorities having jurisdiction over the Work. It is expressly understood and agreed that no portion of the Work shall not be alteredperformed, except and no materials or equipment required on account of the Work shall be furnished, by Change Order or Supplemental Agreement to this Contract.
4.2 ▇▇▇▇ shall award each trade construction subcontract to the lowest responsible bidder whose bid is responsive to the request for bids, provided the lowest bid is within the amount established any Trade Contractor unless and until a Trade Contract for the specific GMP bid package line item as specified same is entered into between Contractor and the Trade Contractor in Exhibit 4. ▇▇▇▇ shall document the award of each trade construction subcontract by submitting a letter to Owner question in accordance with the award notification letter attached provisions of Section 8.01 hereof and a copy thereof is delivered to Owner, unless Owner expressly waives, in each instance, the requirement that the same be delivered as aforesaid.
8.03 It is expressly understood and agreed that, except as otherwise provided in Section 15.01 hereof, each Trade Contract to be entered into by Contractor in connection with the Work shall
(a) require the Trade Contractor with a contract in excess of $500,000 to obtain and execute, unless expressly waived in writing by Owner in each instance, payment and performance bonds which shall be made a part hereof, and (b) contain the following:
(i) provisions for a retainage of ten percent (10%);
(ii) an obligation on the part of the Trade Contractor promptly to repair, at no additional cost to Owner, any latent defects and to replace any defective materials, supplies or equipment, provided that notice thereof is given within one (1) year (or such shorter or longer period as may be contained in the Trade Contract in question approved by Owner) after Substantial Completion of the Work, or should this Supplemental Agreement No. 1 and the applicable Trade Contract be sooner terminated by Contractor or Owner, within one (1) year (or such shorter or longer period as Exhibit 5. In may be contained in the Trade Contract in question) after the date of such termination, to the extent that the same were incorporated in the Work prior to the date of such termination;
(iii) a requirement that each Trade Contractor provide and maintain in full force and effect, until final payment is made under its Trade Contract, the insurance more particularly described in the approved Trade Contract; and
(iv) a provision that if this Agreement is terminated by Owner pursuant to Article XIV hereof for cause, the Trade Contract, at the option of Owner, shall be assigned by Contractor to Owner or such entity or entities as Owner may direct and, in such event, the difference between assignee shall assume all of Contractor’s liabilities thereunder arising from and after the actual low bid and the amount specified in the GMP bid package line item date of such assignment; provided, however, that nothing contained herein shall be accounted for by adding the difference deemed to release Contractor from liability to such Trade Contractor or to Owner or such other entity or entities with respect to claims arising prior to the "Construction Manager-at-Risk Contingency" line item. However, if all trade construction subcontract bids received exceed the amount specified in Exhibit 4 for the bid package line item, one or more date of the following initial procedures will be undertaken at Owner's direction following submission of the recommendation of ▇▇▇▇:
(a) deletion of non-essential bid alternates to try to bring the bid within the amount specified on Exhibit 4 hereto, but without reducing the scope of the Work unless Owner approves;
(b) reject all bids and rebid;
(c) redesign to lower the cost to the budgeted amount, but only with Owner's consent, and rebid; or
(d) proceed with the award using, with ▇▇▇▇'▇ consent, funds contained in the "Construction Manager-at-Risk Contingency" (uncommitted budgeted funds or funds saved from prior bid package line-item awards which were below the established bid package line item amounts) to pay the excess heresuch termination.
4.3 If ▇▇▇▇ has submitted its own bid for the bid package line item as permitted by Section 2269.255(b), Texas Government Code, as amended, and Owner determines that ▇▇▇▇’▇ bid is within the GMP bid package line item and provides the best value, Owner may allow ▇▇▇▇ to perform the Work for that line item with ▇▇▇▇'▇ own forces, with the option of subcontracting all or any portions of that Work to third parties of ▇▇▇▇'▇ choice.
4.4 In the event procedures stated in Paragraph 4.2 (a), (b) or (c) are undertaken, ▇▇▇▇ will provide Owner with a subsequent recommended procedure. By execution of this Supplemental Agreement No. 1, ▇▇▇▇ represents and warrants to Owner that any advertisement for rebids and award of contracts by ▇▇▇▇ as specified in Paragraph 4.2 shall comply and be consistent with the General Conditions, special provisions, if any, Instructions to Bidders, and with all applicable laws of the State of Texas. If no bids are received on a particular item, the Owner may direct ▇▇▇▇ to: (a) rebid the item; or (b) if Owner determines that no reasonable bid can be obtained through rebidding or that further rebidding cannot be done because a genuine emergency threatens the integrity and progress of the Project, complete the Work under the bid package item with its own forces, with the option of subcontracting all or any portion thereof to third parties of ▇▇▇▇'▇ choice. Owner may reject ▇▇▇▇'▇ initial or subsequent recommended procedure under Paragraph 4.2, and elect to follow one of the alternative procedures specified above, including requiring ▇▇▇▇ to perform the Work with its own forces, with the option of subcontracting all or any portion of the Work to third parties of ▇▇▇▇'▇ choice. If ▇▇▇▇ performs any work with its own forces or subcontracts all or any portion of the Work to third parties of ▇▇▇▇'▇ choice under the provisions of this Article, ▇▇▇▇ shall do so at cost plus jobsite overhead only, but the Guaranteed Maximum Price shall not be increased thereby. Costs with regard to bid package line-item Work performed by ▇▇▇▇'▇ own forces or by third parties of ▇▇▇▇'▇ choice shall be accounted for separately and reflected in subsequent adjustments to the Exhibit 4 bid package line item amounts, without increasing the Guaranteed Maximum Price.
4.5 With the approval of Owner, ▇▇▇▇ may provide incidental labor and materials in connection with its professional services at the Project site that cannot be economically or reasonably contracted to others, or which cannot be purchased under competitive bidding.
4.6 The form of each trade construction subcontract shall be ▇▇▇▇'▇ standard form, adjusted to conform with the requirements of this Contract. The subcontract form shall include a full indemnification of the Owner and the Architect, shall provide the same scope of indemnity as is set forth in this Supplemental Agreement, and shall contain such other clauses as may be required to fully protect Owner's interests. It shall be the responsibility of ▇▇▇▇ to make payment properly due the Subcontractors from funds paid to ▇▇▇▇ by Owner for that purpose, subject to the provisions of this Contract, pursuant to applications submitted for payment, with certification given to Owner following such payment.
Appears in 2 contracts
Sources: Construction Agreement, Construction Agreement (Dendreon Corp)
Trade Contracts. 4.1 All construction Work8.01 Contractor shall provide to Owner, other than professional for Owner’s review and personal services approval, a list of prospective bidders for each trade, wherein the Owner may add to or delete from such list subject to Contractor’s reasonable approval. It is expressly understood and agreed that ▇▇▇▇ customarily performs Owner’s right to review and approve Contractor’s prospective bidders includes the right to (i) review such bidders’ bonding capacity, and (ii) approve or reject such bidders based on the same. Owner shall not unreasonably reject any prospective bidder. Contractor shall conduct, together with its own field staffOwner and/or Architect, pre-bid conferences to inform prospective bidders of bid requirements and to answer questions concerning such requirements. Contractor shall obtain bids for each Trade Contract from an appropriate number of pre-qualified bidders so as to obtain the most reasonable price for acceptable work. If the low bid for any bid package exceeds the Contractor’s budget line item price, one of the following procedures, subject to Owner’s prior approval, shall be performed under Subcontracts. Exhibit 4 followed:
(i) Contractor may reject all bids and issue a revised invitation to this Contractbid, as an accounting tool only, provides prepared by the method by which Contractor; (ii) Contractor may negotiate with the Construction Team (Owner, ▇▇▇▇ and Architect) may continuously determine whether low bidder to reduce the Work is within price of the GMP throughout the Construction Phase. The general assumptions made in developing the GMP in Exhibit 4 are contained in Exhibit 3. The bid package to a cost not exceeding the budget line item amounts contained in Exhibit 4 will be adjusted according price; or (iii) Contractor may recommend award of a contract to the amounts of low bidder for a price exceeding the applicable Subcontract awards utilizing the "Construction Manager-at-Risk Contingency" line item as the balance budget line item. In any eventContractor shall submit for approval by Owner, an evaluation of bids and a recommendation of a bid package. After Owner’s approval is granted, Contractor shall award Trade Contracts as required to provide all labor and materials for construction of the Project. Each Trade Contract awarded by Contractor shall be a separate agreement awarded on the basis of competitive bids or negotiation if bidding is impracticable. The relationship of Contractor to each Trade Contractor shall be the same as that of a general contractor to a subcontractor.
8.02 Each Trade Contract shall require that all Work performed or materials, supplies or equipment furnished pursuant thereto shall comply with the Contract Documents, the GMP total building permit and the trade standards, laws, rules, regulations and requirements of all governmental authorities having jurisdiction over the Work. It is expressly understood and agreed that no portion of the Work shall not be alteredperformed, except and no materials or equipment required on account of the Work shall be furnished, by Change Order or Supplemental Agreement to this Contract.
4.2 ▇▇▇▇ shall award each trade construction subcontract to the lowest responsible bidder whose bid is responsive to the request for bids, provided the lowest bid is within the amount established any Trade Contractor unless and until a Trade Contract for the specific GMP bid package line item as specified same is entered into between Contractor and the Trade Contractor in Exhibit 4. ▇▇▇▇ shall document the award of each trade construction subcontract by submitting a letter to Owner question in accordance with the award notification letter attached provisions of Section 8.01 hereof and a copy thereof is delivered to Owner, unless Owner expressly waives, in each instance, the requirement that the same be delivered as aforesaid.
8.03 It is expressly understood and agreed that, except as otherwise provided in Section 15.01 hereof, each Trade Contract to be entered into by Contractor in connection with the Work shall (a) require those Trade Contractors with a contract in excess of $500,000 to obtain and execute, unless expressly waived in writing by Owner in each instance, payment and performance bonds, which shall be made a part hereof (it being expressly understood, however, that bonds will not be required for AES, the clean room Trade Contractor, or any providers of mechanical or electrical equipment with whom Contractor has a national account) and (b) contain the following:
(i) provisions for a retainage of ten percent (10%);
(ii) an obligation on the part of the Trade Contractor promptly to repair, at no additional cost to Owner, any latent defects and to replace any defective materials, supplies, or equipment, provided that notice thereof is given within one (1) year (or such shorter or longer period as may be contained in the Trade Contract in question approved by Owner) after Substantial Completion of the Work, or should this Supplemental Agreement No. 1 and the applicable Trade Contract be terminated by Contractor or Owner, within one (1) year (or such shorter or longer period as Exhibit 5. In may be contained in the Trade Contract in question) after the date of such termination, to the extent that the same were incorporated in the Work prior to the date of such termination;
(iii) a requirement that each Trade Contractor provide and maintain in full force and effect, until final payment is made under its Trade Contract, the insurance more particularly described in the approved Trade Contract; and
(iv) a provision that if this Agreement is terminated by Owner pursuant to Article XIV hereof for cause, the Trade Contract, at the option of Owner, shall be assigned by Contractor to Owner or such entity or entities as Owner may direct and, in such event, the difference between assignee shall assume all of Contractor’s liabilities thereunder arising from and after the actual low bid and the amount specified in the GMP bid package line item date of such assignment; provided, however, that nothing contained herein shall be accounted for by adding the difference deemed to release Contractor from liability to such Trade Contractor or to Owner or such other entity or entities with respect to claims arising prior to the "Construction Manager-at-Risk Contingency" line item. However, if all trade construction subcontract bids received exceed the amount specified in Exhibit 4 for the bid package line item, one or more date of the following initial procedures will be undertaken at Owner's direction following submission of the recommendation of ▇▇▇▇:
(a) deletion of non-essential bid alternates to try to bring the bid within the amount specified on Exhibit 4 hereto, but without reducing the scope of the Work unless Owner approves;
(b) reject all bids and rebid;
(c) redesign to lower the cost to the budgeted amount, but only with Owner's consent, and rebid; or
(d) proceed with the award using, with ▇▇▇▇'▇ consent, funds contained in the "Construction Manager-at-Risk Contingency" (uncommitted budgeted funds or funds saved from prior bid package line-item awards which were below the established bid package line item amounts) to pay the excess heresuch termination.
4.3 If ▇▇▇▇ has submitted its own bid for the bid package line item as permitted by Section 2269.255(b), Texas Government Code, as amended, and Owner determines that ▇▇▇▇’▇ bid is within the GMP bid package line item and provides the best value, Owner may allow ▇▇▇▇ to perform the Work for that line item with ▇▇▇▇'▇ own forces, with the option of subcontracting all or any portions of that Work to third parties of ▇▇▇▇'▇ choice.
4.4 In the event procedures stated in Paragraph 4.2 (a), (b) or (c) are undertaken, ▇▇▇▇ will provide Owner with a subsequent recommended procedure. By execution of this Supplemental Agreement No. 1, ▇▇▇▇ represents and warrants to Owner that any advertisement for rebids and award of contracts by ▇▇▇▇ as specified in Paragraph 4.2 shall comply and be consistent with the General Conditions, special provisions, if any, Instructions to Bidders, and with all applicable laws of the State of Texas. If no bids are received on a particular item, the Owner may direct ▇▇▇▇ to: (a) rebid the item; or (b) if Owner determines that no reasonable bid can be obtained through rebidding or that further rebidding cannot be done because a genuine emergency threatens the integrity and progress of the Project, complete the Work under the bid package item with its own forces, with the option of subcontracting all or any portion thereof to third parties of ▇▇▇▇'▇ choice. Owner may reject ▇▇▇▇'▇ initial or subsequent recommended procedure under Paragraph 4.2, and elect to follow one of the alternative procedures specified above, including requiring ▇▇▇▇ to perform the Work with its own forces, with the option of subcontracting all or any portion of the Work to third parties of ▇▇▇▇'▇ choice. If ▇▇▇▇ performs any work with its own forces or subcontracts all or any portion of the Work to third parties of ▇▇▇▇'▇ choice under the provisions of this Article, ▇▇▇▇ shall do so at cost plus jobsite overhead only, but the Guaranteed Maximum Price shall not be increased thereby. Costs with regard to bid package line-item Work performed by ▇▇▇▇'▇ own forces or by third parties of ▇▇▇▇'▇ choice shall be accounted for separately and reflected in subsequent adjustments to the Exhibit 4 bid package line item amounts, without increasing the Guaranteed Maximum Price.
4.5 With the approval of Owner, ▇▇▇▇ may provide incidental labor and materials in connection with its professional services at the Project site that cannot be economically or reasonably contracted to others, or which cannot be purchased under competitive bidding.
4.6 The form of each trade construction subcontract shall be ▇▇▇▇'▇ standard form, adjusted to conform with the requirements of this Contract. The subcontract form shall include a full indemnification of the Owner and the Architect, shall provide the same scope of indemnity as is set forth in this Supplemental Agreement, and shall contain such other clauses as may be required to fully protect Owner's interests. It shall be the responsibility of ▇▇▇▇ to make payment properly due the Subcontractors from funds paid to ▇▇▇▇ by Owner for that purpose, subject to the provisions of this Contract, pursuant to applications submitted for payment, with certification given to Owner following such payment.
Appears in 1 contract
Trade Contracts. 4.1 All construction Work, other than professional 6.1 AS and personal services when appropriate for the timely carrying out of the Building Works the Developer shall invite tenders for any further Trade Package which may be required from such building contractors as may be appropriate PROVIDED that ▇▇▇▇ customarily performs before accepting any tender the Developer may enter into negotiations with its own field staff, one or more Trading Contractors invited to tender with a view to entering into a contract with such or one such Trade Contractor for the carrying out of the relevant Trade Package and the Developer shall consult with the Pension Fund during the course of such negotiations and have due regard to the views expressed by the Pension Fund in relation to Sub-Contractors and shall inform the Pension Fund of the outcome of such negotiations with all Trade Contractors
6.2 AS soon as practicable after acceptance of a tender or (as the case may be) a decision to award the contract following negotiations but in any event so far as possible prior to the commencement of the relevant Trade Package the Developer shall enter into a Trade Contract executed as a deed with the Trade Contractor whose tender is accepted or (as the case may be) who has been awarded the contract as aforesaid
6.3 IF it shall at any time become necessary or convenient for an alternative or additional Trade Contractor to be engaged for any Trade Package then unless otherwise agreed by the Pension Fund (subject to Clause 1.2) and the Developer the same procedures shall be performed under Subcontracts. Exhibit 4 to followed as set out in the preceding sub-clauses of this Contract, Clause
6.4.1 ALL tender documents submitted by the Developer shall require that each of the Sub-Contractors will on acceptance of its tender execute as an accounting tool only, provides the method by which the Construction Team (Owner, ▇▇▇▇ a deed and Architect) may continuously determine whether the Work is within the GMP throughout the Construction Phase. The general assumptions made in developing the GMP in Exhibit 4 are contained in Exhibit 3. The bid package line item amounts contained in Exhibit 4 will be adjusted according deliver to the amounts Pension Fund a collateral warranty in the form of the applicable Subcontract awards utilizing Sub-Contractor's Warranty relating to the "Construction Managerrelevant Sub-at-Risk Contingency" line item as Contractor's performance of its duties under the balance line item. In relevant Trade Contract and any event, the GMP total tender excluding or modifying or purporting to exclude or modify such requirement shall not be altered, except by Change Order or Supplemental Agreement to this Contract.
4.2 ▇▇▇▇ shall award each trade construction subcontract to the lowest responsible bidder whose bid is responsive to the request for bids, provided the lowest bid is within the amount established for the specific GMP bid package line item as specified in Exhibit 4. ▇▇▇▇ shall document the award of each trade construction subcontract by submitting a letter to Owner in accordance with the award notification letter attached to and made a part accepted notwithstanding any other provision of this Supplemental Agreement No. 1 as Exhibit 5. In such event, the difference between the actual low bid and the amount specified in the GMP bid package line item shall be accounted for by adding the difference to the "Construction Manager-at-Risk Contingency" line item. However, if all trade construction subcontract bids received exceed the amount specified in Exhibit 4 for the bid package line item, one or more of the following initial procedures will be undertaken at Owner's direction following submission of the recommendation of ▇▇▇▇:
(a) deletion of non-essential bid alternates to try to bring the bid within the amount specified on Exhibit 4 hereto, but without reducing the scope of the Work unless Owner approves;
(b) reject all bids and rebid;
(c) redesign to lower the cost to the budgeted amount, but only with Owner's consent, and rebid; or
(d) proceed with the award using, with ▇▇▇▇'▇ consent, funds contained in the "Construction Manager-at-Risk Contingency" (uncommitted budgeted funds or funds saved from prior bid package line-item awards which were below the established bid package line item amounts) to pay the excess here.
4.3 If ▇▇▇▇ has submitted its own bid for the bid package line item as permitted by Section 2269.255(b), Texas Government Code, as amended, and Owner determines that ▇▇▇▇’▇ bid is within the GMP bid package line item and provides the best value, Owner may allow ▇▇▇▇ to perform the Work for that line item with ▇▇▇▇'▇ own forces, with the option of subcontracting all or any portions of that Work to third parties of ▇▇▇▇'▇ choice.
4.4 In the event procedures stated in Paragraph 4.2 (a), (b) or (c) are undertaken, ▇▇▇▇ will provide Owner with a subsequent recommended procedure. By execution of this Supplemental Agreement No. 1, ▇▇▇▇ represents and warrants to Owner that any advertisement for rebids and award of contracts by ▇▇▇▇ as specified in Paragraph 4.2 shall comply and be consistent with the General Conditions, special provisions, if any, Instructions to Bidders, and with all applicable laws of the State of Texas. If no bids are received on a particular item, the Owner may direct ▇▇▇▇ to: (a) rebid the item; or (b) if Owner determines that no reasonable bid can be obtained through rebidding or that further rebidding cannot be done because a genuine emergency threatens the integrity and progress of the Project, complete the Work under the bid package item with its own forces, with the option of subcontracting all or any portion thereof to third parties of ▇▇▇▇'▇ choice. Owner may reject ▇▇▇▇'▇ initial or subsequent recommended procedure under Paragraph 4.2, and elect to follow one of the alternative procedures specified above, including requiring ▇▇▇▇ to perform the Work with its own forces, with the option of subcontracting all or any portion of the Work to third parties of ▇▇▇▇'▇ choice. If ▇▇▇▇ performs any work with its own forces or subcontracts all or any portion of the Work to third parties of ▇▇▇▇'▇ choice under the provisions of this Article, ▇▇▇▇ shall do so at cost plus jobsite overhead only, but the Guaranteed Maximum Price shall not be increased thereby. Costs with regard to bid package line-item Work performed by ▇▇▇▇'▇ own forces or by third parties of ▇▇▇▇'▇ choice shall be accounted for separately and reflected in subsequent adjustments to the Exhibit 4 bid package line item amounts, without increasing the Guaranteed Maximum Price.
4.5 With the approval of Owner, ▇▇▇▇ may provide incidental labor and materials in connection with its professional services at the Project site that cannot be economically or reasonably contracted to others, or which cannot be purchased under competitive bidding.
4.6 The form of each trade construction subcontract shall be ▇▇▇▇'▇ standard form, adjusted to conform with the requirements of this Contract. The subcontract form shall include a full indemnification of the Owner and the Architect, shall provide the same scope of indemnity as is set forth in this Supplemental Agreement, and shall contain such other clauses as may be required to fully protect Owner's interests. It shall be the responsibility of ▇▇▇▇ to make payment properly due the Subcontractors from funds paid to ▇▇▇▇ by Owner for that purpose, subject to the provisions of this Contract, pursuant to applications submitted for payment, with certification given to Owner following such payment.Clause
Appears in 1 contract
Sources: Agreement (Goldman Sachs Group Inc)