Housing Authority of the City of Perth Amboy...2016/02/09 · 3 Perth Amboy Hansen and Stack Rehab and Site Work AE RFP 2016 Scope of Services The services provided by the Professional

Housing Authority of the City of Perth Amboy

881 AMBOY AVENUE, P.O. BOX 390, PERTH AMBOY, NJ 08862 TELEPHONE: (732) 826-3110

FAX: (732) 826-3111

EDNA DOROTHY CARTY-DANIEL, Chairperson DOUGLAS G. DZEMA, P.H.M. MIGUEL A. AROCHO, Vice-Chairman Executive Director SHIRLEY JOMES REVEREND H. WAYNE BRADY EDWARD TESTINO REVEREND GREGORY PABON Counsel PASTOR BERNADETTE FALCON-LOPEZ DAVID BENYOLA

Request for Proposals

Request for Statements of Qualifications

for

Architectural and Engineering Services

for the

Hansen and Stack Apartments Building Rehab and Site Work

in

Perth Amboy, New Jersey

Proposals Due By 2:00 PM on Tuesday, September 27, 2016

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Perth Amboy Hansen and Stack Rehab and Site Work AE RFP 2016

General The Housing Authority of the City of Perth Amboy (Authority) is requesting statements of qualifications from architectural and engineering (AE) firms to provide the construction management services needed for the various rehabilitation projects needed at the following locations: Wesley T. Hansen Apartments Stack Apartments 415 Fayette Street 333 Rector Street Perth Amboy, NJ 08862 Perth Amboy, NJ 08862 The projects for each location are listed herein. Time is of the utmost essence and the Authority intends to award all projects to one AE firm in order to comply with HFMA regulations. Interested firms are to submit to the Authority a guarantee that they are capable of submitting only the drawings and the technical specifications portions of the bidding documents by November 15, 2016 in order to secure construction contracts by February 1, 2017. The work is to be performed at one or both sites minimally include the following: a. Replace the exterior windows from the 2nd floor to the 11th floor including the

penthouse: Hansen. b. Repair and recoat the EIFS system on entire building: Hansen c. Cut out and replace all extension joints on exterior façade: Hansen d. Replace entrance store front doors/hardware: Hansen and Stack e. Construction of concrete/brick trash enclosures: Hansen f. Brick replacement/repointing and waterproofing: Hansen g. LED lighting interior and exterior upgrades: Hansen and Stack h. Water saving plumbing fixture upgrades: Hansen and Stack i. Kitchen Rehab: Stack j. Bathroom Rehab: Stack k. Site perimeter fencing including masonry piers: Hansen and Stack l. Parking lot improvements: Hansen and Stack m. Corridor wall and wall covering replacements: Hansen n. Building fire alarm upgrades: Hansen and Stack o. Electrical systems upgrades: Hansen and Stack p. Interior flooring replacements: Hansen and Stack q. Other site work, lawns, gardens, landscaping: Hansen and Stack The Authority has limited existing drawings. Interested firms must be able to complete the technical specifications portion of the bidding documents by November 15, 2016 in order to secure construction contracts by February 1, 2017.

Insurance Requirements The Consultant firm selected will be required to carry professional liability insurance including errors and omissions coverage, with a limit of liability of not less than $1,000,000, deductible not to exceed $5,000.

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Scope of Services The services provided by the Professional shall include, but may not be limited to, the following:

(1) Site investigation of Stack and Hansen Apartments; (2) Prepare plans and technical specifications for all requested work;

(3) Provide a construction estimate per building;

(4) Assist in the bidding process by attending pre-bid conference, pre-construction conference and providing clarifications to bidders;

(5) Assist in the evaluation of bids, including the review of the qualifications of all contractors and subcontractors, making a recommendation and the execution of contracts;

(6) Review all technical and administrative submittals made by contractor(s), including but not limited to: shop drawings, product data, inspection reports and certifications, work schedules, maintenance and operating instructions, guarantees and bonds;

(7) Provide for ten (10) progress inspections of the work being performed by the contractor and provide the Authority with progress reports summarizing all activities;

(8) Review periodic estimates and recommend approval of payments to contractor(s) in writing;

(9) Perform one final inspection to close out the project and prepare a punch list of incomplete or defective work and estimates of the monetary value of such incomplete or defective work;

(10) Certify, prior to the final acceptance and payment for work, that the work complies in all respects to the contract plans and specifications;

(11) Provide the Authority with copies of all project documents to include daily logs and inspection forms, testing results, permits and variances, submittals, correspondence, Certification of Completion and all other pertinent documents related to the project.

(12) The Authority shall be responsible for preparing the bidding and administrative sections of the bid document; the Professional shall only be responsible for providing technical specifications and drawings. A minimum of four (4) signed and sealed drawings as well as electronic copies shall be included.

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Description of the Housing Developments

Development: Wesley T. Hansen Apartments Address: 415 Fayette Street, Perth Amboy, NJ Occupancy Type: Elderly Number of Buildings: 1 Residential, high-rise Number of Dwelling Units and Sizes: Total of 100 apartments 1 Bedroom – 50apts. 525sq.ft. Floor area Efficiency/studio – 50apts. 350sq. ft. Floor area Ceiling ht. 8’ Building Height: 11 stories Construction Type: Concrete floors/ceilings, plaster walls Stairwells: 2 Elevators: 2 Roof: Flat Age: Built 1968 Development: Stack Apartments Address: 333 Rector Street, Perth Amboy, NJ Occupancy Type: Elderly Number of Buildings: 1 residential high rise Number of dwelling units and apartment size: Total of 48 apartments 1-Bderoom: 48apts. 450sq.ft Floor area Ceiling ht. 8’ Building Height: 6 stories Construction type: concrete ceilings and concrete/plaster walls Stairwells: 2 Elevators: 1 Roof: flat Age: Built in 1962

Site Inspection by Interested Firms

The sites will be available for inspection by interested firms by appointment only. Please note that a site visit is not mandatory for submission of a proposal but is recommended. Interested firms may call Doug Sabey at 732-794-5611 for an appointment to visit the sites. Technical questions regarding this RFP may be directed in writing to Douglas Sabey at [email protected].

Form of Statement of Qualifications

An interested firm shall respond with a letter of interest, which must include suitable evidence of the firm's ability to perform the services in the time allotted. The statement must include or address the following:

1) Standard Form 330 describing the firm's principals, staff and facilities, professional and technical competence, and experience and examples of past projects;

2) Evidence that the responsible firm personnel are licensed to perform the required services in

the State of New Jersey;

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3) Evidence of the firm's knowledge of HUD Modernization Standards and Uniform Construction Code of the state of New Jersey;

4) Ability of the firm to provide services in a timely manner (by 11/15/16). If the firm is not from the

local area, its plans to operate efficiently to provide services to the Authority;

5) New Jersey Business Registration Certificate issued by the New Jersey Department of the Treasury, Division of Revenue;

6) Certificate of insurance;

7) References.

Selection Procedure and Criteria

The Authority shall use the following criteria to evaluate proposals by point score. The range of points which can be given to any proposal is 0 to l00. Firms will be ranked by their total scores with the highest score receiving the highest ranking.

1. Evidence of the firm's ability to perform the services by November 15, 2016, as indicated by the principals' and staff's professional and technical credentials, experience, and references, by the firm's facilities, and by the team proposed for this project. (Maximum Rating: 50 points) 2. Experience and expertise in the specific area of services for which the Authority is soliciting services, i.e. various unrelated projects. (Maximum Rating: 25 points) 3. Experience in work with Public Housing Agencies and other governmental agencies including New Jersey Housing and Mortgage Finance Agency’s (NJHMFA) (Maximum Rating: 25 points)

Price shall not be used as an evaluation factor in this Qualifications Based Solicitation. The Authority shall rank firms according their qualifications as related to the project. The Authority shall then open negotiations with the top ranked firm with intentions to reach an agreement on a fair and reasonable price. If an agreement cannot be reached, the Authority will terminate negotiations with that firm and will proceed to the next highest ranked firm until a price determined to be fair and reasonable to both parties is obtained. Once negotiations have been terminated with a firm, the Authority may not go back to that firm for additional negotiations – even if the next lower ranked respondent is higher in price.

Submittal of Proposal

An interested firm must submit its statement of qualifications, fee proposal, licenses, Business Registration Certificate and W-9 form no later than 2:00 PM on Tuesday, September 27, 2016. The submittal shall be addressed to: Douglas G. Dzema, PHM, Executive Director Housing Authority of the City of Perth Amboy 881 Amboy Ave., PO Box 390 Perth Amboy, NJ 08862 A/E Proposal for Hansen and Stack Apartments Building Rehab and Site Work

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Form of Contract The form of contract for this work shall be the New Jersey Housing and Mortgage Finance Agency’s (NJHMFA) ‘Architects Professional Service Contract’ included herein.

REQUEST FOR PROPOSALS

The Housing Authority of the City of Perth Amboy is requesting proposals from qualified consultant firms to perform the construction management services needed for the various rehabilitation projects at two of its high rise senior housing sites located in Perth Amboy, New Jersey. Interested firms must be able to complete the technical specifications portion of the bidding documents by November 15, 2016 in order to secure construction contracts by February 1, 2017. Submittals are due by 2:00 PM on September 27, 2016 in the office of the Authority, 881 Amboy Ave., PO Box 390, Perth Amboy, NJ 08862. The written Request for Proposals, which gives further details concerning the services needed and the requirements for the proposal, may be downloaded directly from the Authority’s website, www.PerthAmboyHA.org, or contact Doug Sabey via email at [email protected]. The Authority reserves the right to reject any and all proposals received for these services. It also reserves the right to terminate the architect/engineer, for convenience, at any time during the term of the contract.

THANK YOU FOR YOUR INTEREST!

http://www.perthamboyha.org/

mailto:[email protected]

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ARCHITECT'S PROFESSIONAL SERVICE CONTRACT

BETWEEN

AND

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HMFA FORM

JULY 1996

NEW CONSTRUCTION

NEW JERSEY HOUSING & MORTGAGE FINANCE AGENCY

AGREEMENT, made this _____day of 20_____________Between______________(the "Sponsor") organized and existing

under the laws of the State of New Jersey, having its principal offices at ________________and ____________Architects a

partnership existing under the laws of the State of New Jersey (hereinafter, the "Architects"), having their principal office at

_____________New Jersey.

WITNESSETH:

WHEREAS, the Sponsor intends to own and develop a housing project pursuant to the provisions of the New Jersey Housing and

Mortgage Finance Agency Law of 1983, to be aided by a mortgage loan from the New Jersey Housing and Mortgage Finance Agency

("Agency") which said project known as

(hereinafter called "Project") is to be located at:

NOW THEREFORE, the Sponsor and the Architect do mutually agree as hereinafter set forth.

Article 1. The Architect agrees to perform professional services for the Project as

follows: 1.1.1 Professional Services.

The Architect, working pursuant to the Agency's current Guidelines for Project Design Development, attached

hereto and incorporated by reference herein as Exhibit A, shall supply all professional services, set forth in this

Article 1 and necessary for the planning and design of the Project, and administration of the Construction Contract

(as hereinafter defined) relative to the Project, including but not limited to architectural and site planning, structural,

mechanical, electrical, engineering, civil engineering, landscape architecture, and other services required for the

complete performance of the Construction Contract and this Architect's Professional Service Contract. The

Architect understands that the Project must satisfy the design standard, outline specifications, and program

requirements of the Agency and must further meet the reasonable construction cost limitations set by the Agency in

order to qualify for a mortgage loan from the Agency. The "Construction Contract" is the agreement entered into

between the Sponsor and the Contractor (as defined in the Construction Contract) for performing the construction

work required for the Project; and a form of this Construction Contract is attached hereto and made a part hereof as

Exhibit B.

1.1.2 Supplemental Professional Service. The Architect shall engage the necessary professional engineers to provide design and other related services in

connection with the structural, mechanical, electrical and site improvement aspects of the Project, and such other

consultants as the nature of improvement aspects of the Project, and such other consultants as the nature of the work

dictates, except that CPM programmers, a land surveyor, traffic consultant and geotechnical engineer, as required,

shall be engaged at cost to and responsibility of the Sponsor. The Architect shall be responsible for the adequacy of

the work of and payment to all consultants retained by it. The Architect shall ensure that they maintain the

established schedules, correlate their work, and adjust all differences between the Project design and services

performed. The Architect shall sign and stamp in the manner described in Paragraph 1.6.1(C), the work of all

consultants retained by it.

1.1.3 Approval of Consultants.

The Architect shall contract with or use the services of any structural, mechanical or electrical consultant, in

connection with the performance of its obligations hereunder, without the prior written consent of the Sponsor and

the Agency to the use of the consultant and to the proposed rate of compensation. The Architect shall inform the

Sponsor and the Agency in writing of any interest it may have in a proposed consultant. Use of or consent to the use

of any consultant shall not relieve the Architect of any of its obligations hereunder.

1.1.4 Cost Limitations The Architect shall design the Project within the project construction cost figure (determined at Article 1.3,

Schematic Design - Phase I) capable of being financed by the Agency.

1.1.5 Legal Requirements The Architect shall design the Project to conform to all applicable federal, state and local laws, codes, ordinances

and regulations, as modified by any waivers which may be obtained from the appropriate jurisdictions.

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PA Various Projects Stack and Hansen AE RFP 2016

1.1.6 Attendance at Conferences The Architect shall attend or be satisfactorily represented at conferences with the Sponsor and the Agency that may

reasonably be required in connection with its services under this Contract. The Architect shall prepare minutes of all

conferences and make distribution as directed by the Sponsor within five days of each meeting.

1.1.7 Studies As required by the nature of the Project, or as directed by the Sponsor, the Architect shall undertake comprehensive

studies or comparative analyses to determine the most economical and satisfactory construction methods and

materials for the Project.

1.1.8 Exhibits and Hearings The Architect shall prepare any exhibits required for presentation to any local zoning and planning boards, as

required by the Sponsor, and shall attend such hearings and testify if required.

1.1.9 Approval by the Sponsor All documents, including plans and specifications, and any changes or revisions and all other submittals, including

statements of the probable cost of construction, shall be subject to the written approval of the Sponsor as a condition

of its acceptance. The Sponsor does not review or approve documents or Contract administration for compliance

with architectural standards. Any Sponsor approval or acceptance is limited to a review of compliance with the

Sponsor's statutory purposes. The Sponsor may have employees visit the Project for the sole purpose of making

reports to the Sponsor as to the progress of the work. The Architect will not rely upon the observations of the

Sponsor's representatives. Unless otherwise directed in writing by the Sponsor, the Architect shall not proceed with

any preparation of documents or phase of the work until the documents for the prior phase have been approved by

the Sponsor, and a copy of such approval forwarded to the Agency, and the Architect is authorized to proceed in

writing by the Sponsor.

1.1.10 Construction Contract The Architect shall be cognizant of all provisions of the Construction Contract and shall provide all required

architect's reviews set forth therein or which can be reasonably inferred therefrom. 1.1.11 Role of Agency

The Agency recognizes the Architect's role as the design professional responsible for furnishing the architectural

plans and specifications as well as the Construction Contract administration required for the Project. Although the

Agency is not a party to this Contract, all documents, including drawings and specifications, any changes, revisions

or applications thereto, and statements of cost of construction shall be subject to the written acceptance of the

Agency before they shall be deemed acceptable; and the Agency reserves the right to disapprove or reject any such

documents, submitted by the Architect pursuant to this Contract to the extent required to effectuate the Agency's

statutory purposes. The Agency does not review or approve documents or Contract Administration for compliance

with architectural standards. Any Agency approval or acceptance is limited to a review of compliance with the

Agency's statutory purposes. The Agency may have employees visit the Project for the sole purpose of making

reports to the Agency as to the progress of the work. The Architect will not rely upon the observations of the

Agency's representatives.

1.1.12 Waiver of Claims Against Agency; Application of Contractual Liability Act. The parties acknowledge and agree that the Agency is not a party to the Contract and that no third party beneficiary

rights are created on behalf of the Agency by this Contract. Further, the Architect acknowledges its responsibility

for all architectural services and specifically waives any legal rights against the Agency for its utilization of Agency

or Sponsor ideas, plans, specifications or any other form of assistance from the Sponsor or the Agency. Therefore,

no claims may be made against the Agency. Subject to the provisions of Article 3.2.8 of this Contract, should a

court of competent jurisdiction determine that a valid claim in contract or tort against the Agency or against the

Sponsor exists, claims shall be governed by and be subject to the New Jersey Contractual Liability Act, NJSA

59:13-1 et seq. and the New Jersey Tort Claims Act, NJSA 59:1-1 et seq. The Architect shall not be entitled to

recover from the Sponsor or the Agency any compensation beyond that provided for in this Contract by reason of

the acts or omissions of any third parties.

1.2 Site Survey and Geotechnical Investigation

1.2.1 Sponsor's Consultants The Sponsor shall furnish the Architect with site surveying services (and geotechnical investigation, if required) in

accordance with Appendices C and D of the Agency's Guidelines for Project Design Development.

1.2.2 Architect's Services Upon written approval of the site by the Sponsor, the Architect shall perform the following services, if required:

A) Prepare the site plan.

B) Based on recommendations of the geotechnical consultant, determine the scope and nature of subgrade soil

investigation required, including foundations design, surface improvements, and underground piping and

distribution systems.

C) Prepare a boring location plan and specifications for the subsurface investigation, and monitor for the

Sponsor the performance of the investigation, at the cost of the Sponsor.

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D) Submit to the Agency and Sponsor a written statement as to the findings of the subsurface investigation,

their influence on the design of the Project, and recommendations.

E) Furnish a complete log of the findings for inclusion in the Contract Documents as defined in Article 1.5.

F) Recommend to the Sponsor and assist in executing any further geotechnical investigations found advisable

during Project development or construction.

1.3 Schematic Design - Phase I

1.3.1 General The Architect shall consult with the Sponsor and the Agency to ascertain the requirements of the Project and shall

confirm in writing such requirements in detail to the Sponsor and the Agency.

1.3.2 Documents The Architect shall prepare as many Schematic Design documents as necessary to develop an approved solution to

meet the design and budgetary requirements of the Sponsor and the Agency for the Project. Submissions shall be in

accordance with the Agency's current Guidelines for Project Design Development.

1.3.3 Contractor Selection If the Construction Contract has not been awarded and the Contractor designated, the Sponsor may designate a

contractor, subject to the written approval of the Agency, to provide information to the Architect during the

preparation of the Schematic Design documents to arrive at the Architect's construction cost estimate.

1.3.4 Time and Order of Architect's Services With the submission of the Phase I Schematic Design Documents the Architect shall submit to the Sponsor and the

Agency for their approval a time schedule for the performance of the remaining services required of it in order to

expeditiously complete the Project. Upon approval of the time schedule by the Sponsor and the Agency, compliance

with the schedule shall become part of the Architect's obligations under this Contract.

1.3.5 Approval by Sponsor and Acceptance by the HMFA Pursuant to and consistent with the provisions of Paragraphs 1.1.9 and 1.1.10, all documents produced in this or

subsequent phases, including and drawings and specifications and any changes, revisions or applications thereto, and

including statements of the probable cost of construction, shall be subject to the written approval of the Sponsor and

the Agency before they shall be deemed acceptable. Review and approval by the Sponsor and acceptance by the

Agency shall be in accordance with the time schedule referred to in Paragraph 1.3.4.

1.4 Design Development - Phase II

1.4.1 Documents Design Development drawings and specifications and all related documents are to be prepared by the Architect

based upon approved and accepted Schematic Design documents. Upon receipt of written notice from the Sponsor

and the Agency to proceed with Phase II, the Architect shall prepare and deliver to the Sponsor and the Agency,

within the time determined in accordance with Paragraph 1.3.4, four complete sets of Design Development drawings

and specifications. This submission shall include the development and amplification of the approved Schematic

Design documents, and shall include but not be limited to the requirements specified in the Agency Guidelines for

Project Design Development.

1.4.2 Detailed Construction Cost Estimate A detailed cost estimate shall be prepared by the Contractor as defined in the Construction Contract, or by a

Contractor selected pursuant to Paragraph 1.3.3, or with the prior written approval of the Sponsor, by the Architect if

a contractor has not been designated, based upon a quantity take-off of the Design Development documents, and

shall be sufficiently detailed so as to permit evaluation. When this detailed estimate is completed, the Contractor

(and any other contractor involved in cost estimates preparation), Architect, Sponsor and Agency shall meet and

attempt to reach a mutual agreement upon a feasible construction cost and/or any redesign which may be necessary

to meet budgetary goals. The estimated cost of construction, as determined at the conclusion of Design

Development - Phase II, shall mean the total cost of all construction contracts to be performed in the construction of

the Project, inclusive of the Contractor's fee, and exclusive of land costs, interest, Architect and similar professional

fees.

1.5 Contract Documents - Phase III

1.5.1 Documents Upon receipt of written notice from the Sponsor and the Agency to proceed with Contract Documents - Phase III,

the Architect shall prepare and deliver to the Sponsor and the Agency, within the time determined in accordance

with Paragraph 1.3.4, final working drawings and specifications prepared so as to comply with all requirements

necessary to obtain all government approvals. These submissions shall be consistent with the approved Design

Development documents and shall be in accordance with the Agency's Guidelines for Project Design Development.

Submissions shall be complete, setting forth in detail and describing the work to be done, the materials,

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workmanship, finishes, equipment required for the architectural, structural, mechanical, electrical and site work, any

necessary bidding information, if applicable, and the General Conditions as defined in the Construction Contract and

any other information required by the Construction Contract.

1.5.2 Deviations During Phase III, the Architect shall notify the Sponsor and the Agency in writing of any required deviations from

the Design Development documents. Such notifications shall be made as soon as the extent of the deviation is

known and its effect on the Project construction cost under Paragraph 1.4.2 is determined. No changes or deviations

from the Design Development documents shall be included in the Contract Documents unless approval in writing is

obtained from the Sponsor and the Agency.

1.5.3 Changes Required The Agency, in light of its statutory purposes, or the Sponsor, with the written approval of the Agency may at any

time, by written order, issue additional instructions and require additional work or services covered by this Contract.

If changes are made in the requirements of the Project which result in substantial change (as defined in Paragraph

2.1.3 (B) (1) of the Design Development or Contract Documents, causing the Architect additional drafting or other

technical expenses, the Architect shall be entitled to just compensation for the reasonable cost of the added work and

expense in an amount agreed to by the Sponsor and the Agency in writing as an upset price, but not to exceed the

actual time spent based upon the stated multiple of direct personnel expense as indicated in Paragraph 2.1.3. Notice

in writing of any claims for extra compensation under this Paragraph must be given to the Sponsor and the Agency

promptly after the change is ordered. The Architect shall not be entitled to additional compensation for

clarifications or revisions which the Sponsor and the Agency find necessary or desirable because of negligence,

oversight or error in judgment for which the Architect or his agent, consultants, or employees are responsible.

1.5.4 Photographs The Architect shall also submit with the Final Contract Documents three (3) 8 x 10 color photographs to be taken

upon substantial completion (2 interior and 1 exterior), together with negatives thereof.

1.5.5 Revisions after Approval of Contract Documents If a Contractor has not been designated and if during the final Construction Contract negotiations it appears that due

to factors within the control of the Architect, no offers have been received from responsible contractors which will

permit the construction of the Project as designed within the construction cost limit determined at the end of Design

Development - Phase II, then the Architect, upon order of the Sponsor, shall make such revisions as may be

necessary to permit the proper completion of the Project within the construction cost limit, determined under

Paragraph 1.4.2, without additional fee. If the exceeding of the construction cost limit is due to causes beyond the

control of the Architect, then it shall be reimbursed for its work as Extra Services as outlined in Paragraph 2.1.3.

1.6 Construction - Phase IV

1.6.1 Architectural Services Construction - Phase IV will commence with the commencement of construction under the Construction Contract

and will terminate when certificates of final acceptance are issued, or when final payment is made to the Contractor,

whichever occurs later. The Architect shall administer the Construction Contract as finally executed by the parties

thereto, in accordance with the terms and conditions. The Architect shall be, in the first instance, the interpreter of

the requirements of the Contract Documents in order that the intent and meaning of same may be understood and

faithfully carried out by the Contractor and the Architect shall be the impartial judge of the Contractor's performance

thereunder. The Architect's decisions in matters relating to artistic effect shall be final if consistent with the intent of

the Contract Documents. The Architect's authority to act under Article 1.6 is on behalf of the Sponsor with the

approval of the Agency. Subject to the provisions of Article 1.1, the Architect shall perform the following services

during this phase of work:

A. Prepare large scale or other drawings as needed to supplement the working drawings to permit proper

construction of the Project.

B. Interpret and clarify the working drawings and specifications as required.

C. Review all shop drawings and other submittals of the Contractor. The Architect shall determine whether

such shop drawings are in accordance with the drawings and specifications prepared by it and shall indicate

what changes, if any, are necessary in the shop drawings to bring them into conformance. Upon review,

the Architect shall affix a stamp to each submittal with either the words "Approved," "with Exceptions", or

"Veto", including its initials, signature, and date of review. Subsequent to the Architect's review, all shop

drawings and submittals, other than those which have been vetoed by the Architect, shall be forwarded to

the Agency.

D. Prepare color schemes for Sponsor and Agency approval, and approve the color and texture of material and

other matters of design.

E. Receive samples of materials, check them against the drawings and specifications and forward them

without delay, with its approval, or comments, to the Sponsor and the Agency.

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F. Check and report on the Contractor's proposals in connection with Construction Contract changes. The

Architect shall prepare and forward the necessary documents to the Sponsor and the Agency for approval

of change orders in accordance with the procedure as set forth in the Construction Contract.

G. The Architect shall review payment requests or invoices submitted by the Contractor and the amounts

requested, determine the amounts due under the terms of the Construction Contract, and certify the amount

due on each invoice. The Architect's certifications for payment shall constitute a representation by the

Architect that based upon its observations at the job site and upon its verification of the data comprising the

application for payment, the work has progressed to the point indicated, that to the best of the Architect's

knowledge, information and belief the quality of the work is in accordance with the Contract documents,

and that the Contractor is entitled to payment in the amount certified. The Architect's certification shall be

subject to an evaluation of the work as a functioning whole upon completion, to the results of any

subsequent tests required by the Contract Documents, to minor deviations from the Contract Documents to

be corrected prior to completion, and to any specific qualifications stated in the certifications for payment.

By issuing a certification for payment the Architect shall not represent that it has made any examination to

ascertain how and for what purpose a Contractor has used the moneys paid to it under the Construction

Contract other than as represented in the documents supplied by the Contractor in support of the application

for payment. The Architect will document non-performance by a Contractor or its subcontractor and

advise the Sponsor and the Agency with regard to the probable effect of delay to the Project and other

contractors.

H. Represent the Sponsor on the site and advise the Contractor of all instructions and intentions through

interpretation of Contract Documents, conferences, and/or written communications. The Architect shall

have the authority to act on behalf of the Sponsor with the approval of the Agency to the extent provided in

this Contract and the Construction Contract. However, the Architect shall not issue change orders or

directions involving changes in scope or cost without prior written authorization from the Sponsor and the

Agency.

I. Make periodic visits to the job site (not less than once a week during active construction periods), to

maintain familiarity with conditions, progress and quality of work, and to determine if the work is

proceeding in accordance with the Contract Documents. On the basis of on-site observations, the Architect

shall make every reasonable effort to safeguard the Sponsor and the Agency against defects and

deficiencies in the work of the Contractor.

J. Conduct regular job site meetings, as required by the progress of the job, with the Contractor and interested

parties to review submissions of the Contractor's progress schedules, and report on and make

recommendations relative to the progress of the work. The Architect shall prepare minutes of each meeting

and distribute them to the Sponsor, Agency and all other interested parties within five (5) days.

K. Cover all technical aspects of Project construction by requiring the consulting, structural, mechanical,

electrical and other engineers or consultants to visit the site or other facilities periodically, as is deemed

necessary by the nature of the work in progress, to observe and report in detail on their respective work as

to status and quality. The Architect shall have the consulting engineers submit to it and the Sponsor and

the Agency detailed reports of the status and quality of construction, on a periodic basis. The Architect

shall require attendance of its consultants at appropriate job meetings, timely review of shop drawings,

samples and other submissions, establishment of routine testing and inspection requirements, and

verification of Contract Document details as required. The Architect shall also require its consultants'

assistance in Construction Contract administration, in making decisions on claims relating to the work, in

determining rejection of non-conforming work or whether special investigation or testing is required, in

change order preparation, in reviewing Contractor's requisitions, and in conducting inspections to

determine completion dates.

L. Determine the extent of laboratory testing required for the work and recommend a suitable contractor for

testing of materials, structural systems or equipment, with the approval of the Sponsor and the Agency.

Make any necessary arrangements for the selection of samples and securing of certificates and test reports.

M. Make specific evaluations and recommendations on all claims submitted by the Contractor or

Subcontractor, the execution and progress of work, and all matters or questions related thereto.

N. Reject work which does not conform to the Contract Documents. The Architect shall require the

Contractor to stop the work, whenever, in his professional opinion, it may be necessary for the proper

performance of the Contract, and upon the exercise of such authority shall immediately notify the Sponsor

and the Agency. The Sponsor, with the approval of the Agency, shall have the right to countermand any

decision of the Architect. Upon such action, the Architect shall be relieved of the consequences of the

Sponsor's countermanding decision.

O. Conduct observations to determine the dates of substantial completion and final completion, receive written

guarantees and related documents assembled by the Contractor, and recommend the issuance of a final

certificate for payment.

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P. Upon completion of the Project, review the marked-up reproducible copies of the Contract drawings, as

furnished to him by the Contractor pursuant to the terms of the General Conditions, showing the locations,

elevations, and sizes of all work as actually built and installed. The Architect, upon approving these

documents, shall supply two complete sets of "as-built" prints, made from the reviewed reproducibles, to

the Agency. Upon Agency review and acceptance, one set shall then be supplied to the Sponsor.

1.6.2 Non-Responsibility for Negligence The Architect, except to the extent that it may be directly involved, shall not be responsible for any negligent acts of

omission or commission by the Contractor or any subcontractor, or any of their agents, suppliers or employees, or

any other person performing the construction work, but this Paragraph 1.6.2 shall not be deemed to absolve the

Architect from liability for failure to perform its duties under this Contract including, without limitation, the duty to

inspect the construction work and administer the terms of the Construction Contract.

1.7 Architect's Obligations

1.7.1 Non-Discrimination: Affirmative Action The Architect and any consultants engaged by the Architect shall comply with the provisions of the ACT NJSA

10:2-1 et seq. which prohibits discrimination in employment on public works. The statute, as well as the rules and

regulations promulgated thereunder shall be considered to be part of this Contract and binding upon the Architect

and its consultants. In connection with the performance of work under this Contract, the Architect shall not

discriminate against any employee or applicant for employment because of race, creed, color, sex, or national origin.

The Architect shall take affirmative action to insure that applicants are employed, and that employees are treated

during employment without regard to the race, creed, color, sex or national origin. Such affirmative action shall

include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment advertising;

layoff or termination; rate of pay or other forms of compensation; and selection for training, including

apprenticeship. In accordance with regulations found in NJAC 17:27-1.1 et seq., the Architect shall insert all

required provisions in all contracts made by it in connection with the architectural and engineering services called

for under this Contract, except contracts for standard commercial supplies or raw materials.

1.7.1 Covenant Against Contingent Fees The Architect warrants and represents that it has not employed any person to solicit or secure this Contract upon any

agreement for a commission, percentage, brokerage, contingent fee, gift, gratuity or other form of compensation.

Breach of this warranty shall give the Sponsor the right to terminate this Contract, or, in its discretion, to deduct

from the Architect's fee the amount of such fee, commission, percentage or brokerage.

1.7.3 Interest in Industries or Materials At the time the working drawings and specifications are delivered to the Sponsor, the Architect shall submit a

certificate stating any interest, direct or indirect, which it or its associates may have in a proprietary system of

construction, or a patented building design, or a business or industry that manufactures materials that are shown as

specified for the Project.

1.7.4 Publicity It expressly is understood and agreed that the Architect will make no public release of any Project information,

material or documents in its possession without first obtaining the prior written concurrence of the Sponsor and the

Agency. The Architect also shall coordinate with the Sponsor all press and any other mass media releases with

regard to the work undertaken by it for the Sponsor prior to any such release. Subject to the provisions of Paragraph

3.2.2, this limitation of publication shall not apply after dedication of the Project.

1.7.5 Timely Performance Failure of the Architect to meet the time schedule established under this Contract shall constitute a breach of this

Contract and shall entitle the Sponsor to seek damages resulting from that breach or to pursue any other legal or

equitable remedies.

Article 2. The Sponsor Agrees to Compensate the Architect for Services as Follows:

2.1 Compensation for Basic Services, Extra Services & Additional Inspection Services

2.1.1 By Fee Schedule For Basic Services, defined in Article 1.1 above, a percentage fee shall be determined in accordance with the current

Agency Architect's Fee Schedule attached hereto and made part hereof, as Appendix A. If applicable, the fee as

determined under this paragraph is set forth in paragraph 2.1.5.

2.1.2 Lump Sum Payment In lieu of the foregoing method of payment, the Sponsor and the Architect may agree upon a lump sum to be paid to

the Architect, subject to the written approval of the Agency; which election shall be conclusively evidenced by the

fee as indicated in paragraph 2.1.5 hereof.

2.1.3 For Extra Services

Defined below, to compensate for overhead and profit, at a multiple of 3 times the direct personnel expense

allowable to technical personnel. Direct personnel expense shall refer to the actual and reasonable salaries paid to

the Architect's technical personnel, including mandatory and customary benefits such as statutory employee

14


benefits, insurance, sick leave, holidays, pensions and similar benefits. Principals or general partners of the firm

shall be paid additional compensation at the fixed rate of $100 per hour. Such "Extra Services" shall be specifically

defined as follows:

A. Services provided, by agreement with the Sponsor and with written approval of the Agency, in the

preparation of the development program beyond those required under Article 1 of this Contract.

B. Changes required, as generally discussed in Paragraph 1.5.3 of this Contract, for any of the following

reasons:

1) Any substantial change in the scope of the Project subsequent to the authorization to proceed with

the Design Development - Phase II documents. ("Substantial change" as used in this Contract

means a separate and distinct change requiring $500 or more in direct personnel expense).

2) Errors in the survey maps furnished by the Sponsor.

3) Changes due to code or law revisions subsequent to acceptance of submissions by the Sponsor and

Agency.

4) Any substantial change required to meet subsurface soil conditions which the Architect

demonstrates, to the satisfaction of the Sponsor and the Agency, is not due to any error or

omission by it or failure to carry out its obligations under Article 1.2.

2.1.4 Construction Manager If the employment of a "Construction Manager" is deemed necessary by the Architect, it shall make a request in

writing to the Sponsor and the Agency for their prior approval. Prior to the payment of any fees for such services,

the Architect shall submit in advance to the Sponsor and the Agency a written request for payment. Subject to such

approvals, the Sponsor agrees to reimburse the Architect for reasonable fees for the employment of a "Construction

Manager."

2.1.5 Architect's Fee For Basic Services under this Contract, the Architect's Fee is determined to be:

$____________________ (Fee Schedule), or

$____________________ (Lump Sum)

2.2 Schedule and Method of Payment

2.2.1 Payment Schedule The Sponsor shall pay the Architect, as full compensation for its Basic Services, the Architect's Fee as determined

under 2.1 above in accordance with the following payment schedule:

A. Schematic Design - Phase I. Upon completion and acceptance by the Sponsor and Agency of the

Schematic Design Phase, the Sponsor shall pay the Architect 15% of the Architect's Fee, based upon the

total project construction costs then estimated by the Architect and agreed to by the Sponsor and Agency.

B. Design Development - Phase II. Upon completion and acceptance by the Sponsor and Agency of the

Design Development documents, the Sponsor shall pay the Architect 25% of the Architect's Fee. If an

agreement as to total estimated cost of construction cannot be reached between the Contractor, Sponsor,

and the Agency, the total Project construction costs as estimated in the Schematic Design Phase shall be

used for payment purposes until such time as agreement is reached.

C. Contract Documents - III. Upon completion and approval of Contract Documents at the mortgage closing

of the Project, the Sponsor shall pay the Architect 30% of the Architect's Fee.

D. Construction - Phase IV. The Sponsor shall pay the Architect during this phase, the remaining 30% of the

Architect's Fee, which shall be paid in proportion to the progress payment actually paid to the Contractor

unless otherwise approved by Sponsor and Agency. The actual construction costs will not change the

Architect's Fee. The Architect's Fee will be adjusted only if the Sponsor, with the approval of the Agency,

makes substantial revisions to the program requirements after approval of the Design Development

documents of Phase II. Adjustments shall then be made as provided in Paragraph 1.5.3.

2.2.2 Progress Payments During Phase I and Phase II of the architectural services, the Sponsor, with the Approval of the Agency, may make

monthly progress payments against the Architect's Fee as mutually agreed between the Sponsor and the Architect.

These monthly progress payments shall in no case exceed the allowable Architect's Fee for the current phase as

described in Paragraph 2.2.1.

2.2.3 Billing and Reimbursement for Extra Services The Architect shall submit bills to the Sponsor for Extra Services compensation, if required, which must be

accompanied by suitable time sheets listing each technician employed, time spent and rate of pay.

2.2.4 Additional Inspection Services The Architect may be reimbursed for additional inspection services as authorized in advance by the Sponsor and

Agency. Additional Inspection Services shall be services beyond those services contracted for hereunder and/or are

beyond the services required or reasonably inferred to be required of the Architect with respect to services to be

15


rendered in conjunction with Construction Contract administration. The compensation for any such additional

inspection services is to be computed on the Architect's actual costs. The Architect shall document to the

satisfaction of the Sponsor and the Agency the actual costs incurred.

2.2.5 Payment of Consultants Within 30 days of receipt of any payment of Architect's Fee, the Architect will certify to the Sponsor and to Agency

that it has paid all the obligations incurred by it with respect to its consultant(s) under Article 1.1.

Article 3. Miscellaneous Requirements

3.1 Termination of the Contract

3.1.1 Sponsor's Right to Terminate Contract The Sponsor with Agency approval, shall have the right, at any time to terminate this Contract by giving the

Architect seven (7) working days written notice of the intent to terminate and date and time of such termination. On

the date and time set forth in the termination notice, the Architect shall immediately discontinue all work, and shall

be entitled to compensation on a pro rata basis based on the fees set forth in this Contract only for services actually

and satisfactorily performed by it as of the date of termination.

3.1.2 Architect's Right to Terminate Contract Upon violation of a provision of this contract by the Sponsor, the Architect shall have the right to terminate the

Contract by giving the Sponsor seven (7) working days written notice of the intent to terminate and date and time of

such termination. The Architect shall continue providing services under this Contract until the date of termination,

and it shall be entitled to compensation on a pro rata basis based on the fees set forth in this Contract only for

services actually and satisfactorily performed by it as of the date of termination.

3.1.3 Termination of Contract Due to Abandonment or Postponement of Project: Suspension of Work If, for any reason, the Project should be abandoned or postponed, the Sponsor may terminate this Contract upon

seven (7) working days written notice to the Architect. Upon receipt of such notice, unless otherwise directed, the

Architect shall immediately discontinue all work hereunder. Upon such termination, the Architect shall be paid for

services actually and satisfactorily performed by him as of the date of termination which shall be proportionate to

the total services and fees contemplated under this Contract, less payments previously made. The Sponsor and

Agency may order that the work on the Project be suspended, and upon 3 calendar days written notice the Architect

shall cease all work except as necessary to properly secure the Project. If the Sponsor or the Agency direct that the

work on the Project resume within 6 months of any suspension or termination, the Architect shall be obliged to

complete the Project for the Basic Fee provided for in this Contract, plus additional compensation for any Extra

Services as necessitated by the Stop Order, to be paid at 1.2 times direct personnel expense, exclusive of salaries of

principals, as approved by the Sponsor and the Agency.

3.1.4 Architect's Compensation If termination of the Contract occurs at the close of a phase of design, the Architect shall be paid in full for its

satisfactorily performed services through that phase in accordance with the percentage schedule established in

Paragraph 2.2. Should termination occur prior to the close of a design phase, the Architect shall be entitled to full

payment for prior phases, plus an equitable pro-rata fee payment for the uncompleted phase

3.2 Other Requirements

3.2.1 Reproduction of Documents The Architect shall reproduce all drawings and specifications, in such number as the Agency and Sponsor may

reasonably require, not to exceed four (4) sets at each submission. Except for bidding documents and copies in

excess of the limit set above, all reproduction shall be at the expense of the Architect. At the Completion of the

Construction Documents - Phase III, Architect shall supply seven (7) complete sets of drawings and specifications at

its expense.

3.2.2 Ownership of Documents All drawings and specifications prepared by the Architect shall become the property of the Sponsor upon

termination of the Architect's services. The Architect shall deliver to the Sponsor all such documents, which shall

not be used by the Sponsor or Agency on other projects or extensions or continuations to this Project except by

agreement in writing and with appropriate compensation to the Architect.

3.2.3 Successors and Assignments This Contract contemplates personal services by the Architect and this Contract shall not be assigned, sublet or

transferred without the written consent of the Sponsor and Agency. In the event of death or disability of the

Architect, any qualified architect who shall be a bona fide partner of said Architect may be authorized at the option

of the Sponsor and Agency to continue in this Contract as the surviving partner of said Architect. Nothing contained

in this paragraph shall be deemed to prevent the assignment of monies due or to become due the Architect to a bank,

trust company or other financial institution.

3.2.4 Notifications Written notices required under this Contract shall be validly and sufficiently served upon the Architect if addressed

and mailed by certified mail to the Architect at:

16


_______________________________________________________________________

Written notices from the Architect to the Sponsor should be mailed by certified mail to:

_______________________________________________________________________

Written notices from the Architect to the Agency should be mailed by certified mail to:

Director of Technical Services

NJ Housing & Mortgage Finance Agency

637 South Clinton Avenue, PO Box 18550

Trenton, NJ 08650-2085

3.2.5 Release and/or Waiver of Claims The acceptance and approval of, or payment for any of the plans, drawings, specifications or other work or services

performed by the Architect under this Contract shall not constitute a release or waiver of any claim the Sponsor

and/or the Agency has or may have for latent defects or errors or other breaches of this Contract on the part of the

Architect, or of any claims for breach of warranty or negligence.

3.2.6 Records of Costs The Architect agrees to maintain and retain weekly payroll, overhead, cost and accounting records for services

performed on the Project, including expenses pertaining to additional services required on the Project. Such records

shall be maintained and available for all aspects of the work, whether performed by the Architect or any independent

firms. These records shall be kept in accordance with generally accepted accounting principles and practices, and all

such records shall be made available to the Sponsor and the Agency for inspection for a period of ten years after

final payment is received by the Architect under this Contract. Any failure to maintain or produce such records shall

preclude the recovery of any claim for such costs.

3.2.7 Jurisdiction All claims arising under this Contract shall be subject to New Jersey law, and venue shall be in Mercer County, New

Jersey.

3.2.8 Indemnity/Liability to Third Parties The Architect agrees to indemnify and save harmless the Sponsor and each of its partners and the Agency and their

respective members, officers, employees, agents and servants from and against any and all claims, demands, suits,

proceeding, awards, judgements, losses or damages related to the performance of this Contract and arising out of

any negligent acts, errors or omissions of the Architect, or of the Architect's officers, employees, retainees or other

parties providing services to the Architect at the Architect's express request for the purposes of assisting the

Architect in performing the Architect's services required under the Contract (hereinafter collectively the "Architect

and/or Associates").

In the event of any such claims, demands, suits or proceedings, the Architect shall pay the fees of any attorney it

retains to appear, defend or protect the Sponsor and shall pay the costs, expert's fees and other expenses necessary to

so appear, defend and protect the Sponsor and the Agency in good faith. The Sponsor, should it so elect, may

participate at its own expense in the defense of any claim, demand, suit or proceeding. The Architect expressly

understands and agrees that the Agency is represented by the Attorney General of the State of New Jersey and that

in the event that the Attorney General shall appear, defend or protect the Agency against any such claims, demands,

suits or proceedings, the Architect shall reimburse the Agency for the cost to the Agency of the Attorney General's

services rendered in this regard and shall pay costs, expert's fees and other necessary expenses as may be required by

the Attorney General.

If any judgement or award shall be rendered against the Sponsor or any of its partners, the Agency or any of their

respective members, officers, agents, servants, or employees, for which indemnification is provided under this

paragraph, the Architect shall, at its own expense, satisfy and discharge the same.

The Sponsor and Agency shall, as soon as practicable after a claim has been made against it, give written notice

thereof to the Architect along with full and complete particulars of the claim. If suit is brought against the Sponsor

or the Agency or any of their respective members, agents, employees or servants, the Sponsor and Agency shall

expeditiously forward to or have forwarded to the Architect every demand, complaint, notice, summons, pleading or

other process received.

It is expressly agreed and understood that any approval by the Sponsor or the Agency of the services rendered and/or

reports, plans or specifications provided by the Architect shall not operate to limit the obligations of the Architect

assumed in this Contract.

It is expressly understood and agreed that neither the Sponsor nor the Agency assumes any obligation to indemnify

or save harmless the Architect and/or Associates from any claim which may arise out of the performance of this

Contract by the Architect and/or Associates.

Furthermore, the Architect expressly understands and agrees that the provisions of this indemnification shall in no

way limit the Architect's obligations assumed in this Contract, nor shall they be construed to relieve the Architect

from any liability, nor preclude the Sponsor and the Agency from taking any other actions available under any other

17


provisions of this Contract or otherwise at law or in equity. The Architect shall be liable for any and all reasonable

costs incurred by the Sponsor or Agency to correct, modify or redesign any technical information submitted by the

Architect that is found to be defective or not in accordance with the provisions of this Contract or Agency

requirements as a result of a negligent act, error or omission on the part of the Architect and/or Associates. The

Architect shall be given a reasonable opportunity, as determined by the Sponsor and Agency, to correct any

deficiency.

3.2.9 Insurance The Architect shall procure and maintain at its own expense, until the completion of all services rendered under this

Contract and any modification hereto except as provided in Section 1.(d) of this paragraph, liability insurance for

damages imposed by law and assumed under this Contract, of the kinds and in the amounts hereinafter provided,

from insurance companies admitted or authorized to do business in the State of New Jersey. The Architect expressly

understands and agrees that any insurance protection assumed in this Contract and shall not be construed to relieve

the Architect from liability in excess of such coverage, nor shall it preclude the Sponsor and Agency from taking

such other actions as are available to it under any other provisions of this Contract or otherwise in law.

A. The types and minimum amount of insurance are as follows:

1) Comprehensive General Liability Insurance

The minimum limits of liability for this insurance shall be $1,000,000 combined single limit for

bodily injury and property damage.

The above required Comprehensive General Liability Insurance shall name the Sponsor and its

partners, the Agency, together with their respective officers and employees as additional insured in

respect of the operation of the Architect. The coverage to be provided under this policy shall be at

least as broad as the standard, basic, unamended and unendorsed comprehensive general liability

policy and shall include contractual liability coverage. The aggregate limits may be increased by

the Sponsor with Agency approval.

2) Comprehensive Automobile Covered by General Liability Insurance. The Comprehensive

Automobile Liability policy shall cover owned, non-owned and hired vehicles with minimum

limits of $1,000,000 combined single limit.

3) Workers' Compensation and Employers' Liability. Workers' Compensation Insurance shall be

provided in accordance with the requirements of the laws of this State and shall include an

endorsement to extend coverage to any state which may be interpreted to have legal jurisdiction.

Employers' Liability Insurance shall be provided with a limit of liability of not less than $100,000

for each accident.

4) Professional Liability Insurance. The Architect shall carry for at least two years after completion

of all work performed under this Contract and any modifications hereto, Errors and Omissions,

Professional Liability Insurance and/or Professional Liability Malpractice Insurance sufficient to

obligations performed pursuant to the requirements of this Contract. The form of this insurance

policy is subject to approval by the Sponsor and Agency and shall be in the amount of $250,000

unless otherwise established by the Sponsor and Agency. Should the Architect change carriers

during the term of this Contract, it shall obtain from its new Errors and Omissions, Professional

Liability Insurance and/or Professional Malpractice Insurance Carrier an endorsement for

retroactive coverage.

B. The Architect shall, prior to commencement of the work required under this Contract, provide the Sponsor

and Agency with valid Certificates of Insurance as evidence of the Architect's insurance coverage in

accordance with the foregoing provisions. Such certificates of insurance shall specify that the insurance

provided is of the types and is in the amounts required in Sections A (1), (2), (3) and (4) above.

The Certificates shall provide for thirty (30) days’ notice in writing to the Sponsor and Agency prior to any

cancellation, expiration or non-renewal during the term the insurance is required in accordance with this

Contract. The Architect shall further be required to provide valid certificates of renewal of the insurance

upon the expiration of the policies. The Architect shall provide copies of the Certificates of Insurance

certified by either the Architect’s Agent or underwriter to be true copies of the Certificates of Insurance

issued by either the Agent or the underwriter. All certificates and copies of insurance policies shall be

forwarded to the addresses as listed herein.

In the event that the Architect provides evidence of insurance in the form of certificates of insurance valid

for a period of time less than the period during which the Architect is required by the terms of this Contract

to maintain insurance, said certificates shall be acceptable, but the Architect shall be obligated to renew its

insurance policies as necessary and to provide new certificates of insurance from time to time in

accordance with the foregoing provisions.

In the event the Architect fails or refuses to renew any of its insurance policies as necessary, or any policy

is cancelled, terminated or modified so that the insurance does not meet the requirements of this Contract,

the Sponsor or the Agency may refuse to make payment of any further monies due under this Contract.

18


The Sponsor may, upon approval by the Agency, use monies retained under this paragraph to renew the

Architect's insurance for the periods and amounts referred to above. During any period when the required

insurance is not in effect, the Sponsor may, upon approval by the Agency, at its option, either suspend work

under this Contract or proceed to find the Architect in default of this Contract and thereby terminate this

Contract.

3.3 Contract Governed by Law This Contract shall be governed by and subject to the New Jersey Housing and Mortgage Finance Agency Act of

1983, NJSA 55:14K-1 et seq. and regulations promulgated thereunder.

3.4 Prior Contract The parties acknowledge that any prior contracts whether express or implied with reference to this Project between

the Sponsor and the Architect are terminated and of no further force and effect, including all payments due

thereunder, provided that all work performed and plans and drawings prepared thereunder shall be for the benefit of

and shall constitute the property of the Sponsor.

3.5 Contract Terms and Changes This written instrument constitutes the entire Contract between the Sponsor and the Architect. In case of any

conflict or ambiguity, the provisions of this Contract shall prevail over any document referenced herein, except as to

any provision in the Contract which expressly by reference is modified by a rider or Exhibit incorporated into the

Contract. The terms and conditions of this Contract may not be modified or changed except by a writing signed by

the Architect and the Sponsor and approved by the Agency. This Contract shall be binding upon the heirs,

representatives and successors of the Architect.

IN WITNESS WHEREOF, the parties have executed this contract, on this ____ day of ____________________ , 20 .

SPONSOR ARCHITECT

By: _______________________ By: _______________________

Name: Name:

Title: Title:

APPROVED: APPROVED AS TO FORM: ______________________________ _______________________________________

Director of Technical Services Deputy Attorney General

New Jersey Housing & Mortgage Finance Agency Dated: ________________________________

APPENDIX A

ARCHITECT'S FEE SCHEDULE

1. DEFINITIONS

1.1 Architect's Fee The Architect's Fee, as determined herein, shall be considered compensation in full for all professional services

rendered during the design and construction phases of the Project, exclusive of any "additional compensation" or

extra services," as defined in the Contract. Unless "lump sum" payment is agreed, the Architect's Fee shall be based

on a percentage of the estimated cost of construction as defined below. 1.2 Estimated Cost of Construction

The estimated cost of construction, as determined at the conclusion of Design Development - Phase II, shall mean

the total cost of all construction contracts to be performed in the construction of the Project, inclusive of the

Contractor's Fee, and exclusive of land costs, interest, Architect and similar professional fees. (Restated from

Contract Paragraph 1.4.2). 2. DETERMINATION OF ARCHITECT'S FEE

2.1 Normal Conditions Under normal conditions, which is defined specifically as:

A single structure or similar structures with open parking, the Architect's Fee is calculated by multiplying the total estimated construction cost (C) by the applicable percentage

(P) from the fee schedule, found in part 3 of this Appendix A, i.e.,

C x P = Architect's Fee

2.2 Special Conditions

19


When the conditions or structural complement of the Project depart from the "normal" as defined above, causing

additional design effort and coordination, the Architect's Fee may be adjusted, with Agency approval, as indicated in

the examples which follow. Some "special conditions" which may qualify for this fee calculation are as follows:

*Integral or separate garage

*Commercial stores

*Multiple, disparate structures (Highrise + lowrises or town houses, etc.)

*Abnormal foundation

*Substantial site development (If not "substantial" then pro-rate into other components)

EXAMPLE: C1 = Est. cost of highrise structures.

C2 = Est. cost of lowrise structures

C3 = Est. cost of separate garage

C4 = Est. cost of commercial stores

Step 1: C1 x P1 = Fee 1

C2 x P2 = Fee 2

C3 x P3 = Fee 3

C4 x P4 = Fee 4

Fees 1 + 2 + 3 + 4 = Fee (A)

Step 2: C1 + C2 + C3 + C4= C (Total

C (Total) X P = Fee (B)

Step 3: Fee (B) + 3/4* (Fee A - Fee B) = Architect's Fee

*Fraction derived from number of components:

2 components = 1/2 5 components = 4/5



2.3 Noncontiguous Sites When the Project consists of two or more noncontiguous sites utilizing the same basic structure or structures, the

Architect's Fee may be adjusted as follows:

A. Compute fee separately for each site.

B. Compute fee as for a single project, using a single combined construction cost.

C. Add (A) and (B) and divide by 2 to obtain the Architect's Fees. 2.4 Re-Use of Plans

For the preparation of designs and drawings for the Project wholly or in part through the re-use, without substantial

change, of plans or designs of structures already prepared for another project, the reduced compensation will be

negotiated

3. FEE SCHEDULE

(Interpolate as required)


SUBSTANTIAL REHABILITATION

Estimated Construction Cost (C)

$100,000.00

$8,160.00

$300,000.00

$24,030.00

$500,000.00

$39,150.00

$700,000.00

$53,550.00

$1,000,000.00

$73,900.00

$1,500,000.00

$105,900.00

$2,000,000.00

$134,200.00

20


$2,500,000.00 $160,000.00

$3,000,000.00

$183,000.00

$3,500,000.00

$205,100.00

$4,000,000.00

$225,600.00

$4,500,000.00

$244,800.00

$5,000,000.00

$264,000.00

$5,500,000.00

$282,700.00

$6,000,000.00

$300,600.00

$6,500,000.00

$319,800.00

$7,000,000.00

$337,400.00

$7,500,000.00

$355,500.00

$8,000,000.00

$372,800.00

$8,500,000.00

$391,000.00

$9,000,000.00

$408,600.00

$9,500,000.00

$426,550.00

$10,000,000.00

$443,000.00

$11,000,000.00

$475,200.00

$12,000,000.00

$505,200.00

$13,000,000.00

$535,600.00

$14,000,000.00

$565,600.00

$15,000,000.00

$592,500.00

$16,000,000.00

$619,200.00

$17,000,000.00

$646,000.00

$18,000,000.00

$673,200.00

$19,000,000.00

$697,300.00

$20,000,000.00

$722,000.00

$22,000,000.00

$770,000.00

$24,000,000.00

$818,400.00

$26,000,000.00

$868,400.00

$28,000,000.00

$921,200.00

$30,000,000.00

$969,000.00

$32,000,000.00

$1,024,000.00

21


$34,000,000.00 $1,077,800.00

$36,000,000.00

$1,130,400.00

$38,000,000.00

$1,185,600.00

$40,000,000.00

$1,240,000.00

Over $40 M


ARCHITECT'S FEE

ESTIMATED CONSTRUCTION COST (C)

% (P)

$

$100,000.00

6.16%

$6,160.00

$300,000.00

6.01%

$18,030.00

$500,000.00

5.83%

$29,150.00

$700,000.00

5.65%

$39,550.00

$1,000,000.00

5.39%

$53,900.00

$1,500,000.00

5.06%

$75,900.00

$2,000,000.00

4.71%

$94,200.00

$2,500,000.00

4.40%

$110,000.00

$3,000,000.00

4.10%

$123,000.00

$3,500,000.00

3.86%

$135,100.00

$4,000,000.00

3.64%

$145,600.00

$4,500,000.00

3.44%

$154,800.00

$5,000,000.00

3.28%

$164,000.00

$5,500,000.00

3.14%

$172,700.00

$6,000,000.00

3.01%

$180,600.00

$6,500,000.00

2.92%

$189,800.00

$7,000,000.00

2.82%

$197,400.00

$7,500,000.00

2.74%

$205,500.00

$8,000,000.00

2.66%

$212,800.00

$8,500,000.00

2.60%

$221,000.00

$9,000,000.00

2.54%

$228,600.00

$9,500,000.00

2.49%

$236,550.00

$10,000,000.00

2.43%

$243,000.00

$11,000,000.00

2.32%

$255,200.00

22


$12,000,000.00 2.21% $265,200.00

$13,000,000.00

2.12%

$275,600.00

$14,000,000.00

2.04%

$285,600.00

$15,000,000.00

1.95%

$292,500.00

$16,000,000.00

1.87%

$299,200.00

$17,000,000.00

1.80%

$306,000.00

$18,000,000.00

1.74%

$313,200.00

$19,000,000.00

1.67%

$317,300.00

$20,000,000.00

1.61%

$322,000.00

$22,000,000.00

1.50%

$330,000.00

$24,000,000.00

1.41%

$338,400.00

$26,000,000.00

1.34%

$348,400.00

$28,000,000.00

1.29%

$361,200.00

$30,000,000.00

1.23%

$369,000.00

$32,000,000.00

1.20%

$384,000.00

$34,000,000.00

1.17%

$397,800.00

$36,000,000.00

1.14%

$410,400.00

$38,000,000.00

1.12%

$425,600.00

$40,000,000.00

1.10%

$440,000.00

Over $ 40 M

1.10%

-