§ 7.1.1.1 A fill-point has been added for the parties to identify the termination fee that the Owner will pay to the Contractor in the event of a termination for convenience. Note that AIA Documents E235™–2019, Sustainable Projects Exhibit, Construction Manager as Adviser Edition, and any applicable Sustainability Plan may be incorporated as a Contract Document. Because Liquidated Damages have been given a separate fill-point, a fill-point titled “other” has also been included to allow the parties to list a bonus provision or other provision that will allow for adjustment of the Contract Sum. § 8.5 Insurance and Bonds. For use and execution of a document, see its instructions  ». This is not a change to the operation of the provision; it clarifies that these costs may only be included in the Cost of the Work if approved by the Owner. Some of the significant differences are listed below. The parties are free to define liquidated damages in this section as they may mutually agree; however, consultation with legal counsel is encouraged. To submit disputes to mediation or arbitration or to obtain copies of the applicable mediation or arbitration rules, contact the American Arbitration Association at (800) 778-7879 or visit the website at adr.org. 1735 New York Ave, NW § 9.1.8 This section has been included to allow the parties to incorporate certain optional documents as Contract Documents by checking the appropriate box. Rather, the Contractor is responsible for determining which Subcontractor bids will be accepted and the Owner, in consultation with the Architect and Construction Manager, may choose to reject Subcontractors proposed by the Contractor. One example of a Cost Plus Fixed Fee with Guaranteed Maximum Price Contract is AIA Contract Document A102-2017, Standard Form of Agreement Between Owner and Contractor where the basis of payment is the Cost of the Work Plus a Fee with a Guaranteed Maximum Price. These documents will be used where the Project is required to achieve a Sustainable Objective, as specified by the Owner, and will include key provisions applicable to the Owner-Contractor Agreement. This new provision states that the parties will provide insurance and bonds as required in the insurance and bonds exhibit, AIA Document A132–2019 Exhibit A. § 5.1.7 Retainage. A fill-point has been included for the parties to specify a liquidated damages provision or amount to be assessed in accordance with Section 3.4. A representative will respond in a timely manner. AIA Document A105™–2017 is a stand-alone agreement with its own general conditions. The 2019 edition of A132 revises the 2009 edition to reflect changes made in the most recent edition of A232. Therefore, the Owner has a heightened interest in the efficient and economical performance by the Contractor, and the Contractor has a consequent responsibility to manage expenditures on the Project in keeping with the Owner’s interests. § 3.4.3 Because liquidated damages are a function of the Contractor’s failure to substantially complete the Work of this Contract within the Contract Time, this section has been added to cross-reference the fill point for liquidated damages in Article 4 (relating to adjustments in the Contract Sum). A more prescriptive provision on retainage has been included that will allow the parties to clearly delineate the retainage amount, exclusions from retainage, and how retainage may be reduced when the Work of this Contract is substantially complete. C132™–2019, Standard Form of Agreement Between Owner and Construction Manager as Adviser. § 4.6 Because Liquidated Damages have been given a separate fill-point, a fill-point titled “other” has also been included to allow the parties to list a bonus provision or other provision that will allow for adjustment of the Contract Sum. The provisions for the calculation of progress payments have been clarified and simplified to clearly delineate the basis for each progress payment. By Wolf Saar, FAIA, August 28, 2018. This language requires the Owner to authorize revisions to the Contract Documents that incorporate any agreed-upon assumptions upon which the Guaranteed Maximum Price is based. § 5.1.4.3 The provisions for the calculation of progress payments have been clarified and simplified to clearly delineate the basis for each progress payment. To the extent that the Owner needs additional time to file mortgages or security interests or delay the Project start for reasons other than the issuance of a NTP, the parties would select (and complete) option 3. The parties are free to define liquidated damages in this section as they may mutually agree; however, consultation with legal counsel is encouraged. AIA Document A105–2017 is for use on a project that is modest in size and brief in duration, and where payment to the contractor is based on a stipulated sum (fixed price). The AIA encourages you to discuss AIA Document A132–2019 Exhibit A, along with Article 11 of AIA Document A232–2019, with your insurance broker and legal counsel so that insurance appropriate to your company and Project can be put in place before the start of construction. § 5.1.6.2.3 This new section has been included to clarify that when the Contractor allocates costs from a contingency line item on the schedule of values to another line item, the Contractor is required to provide supporting documentation to the Architect and Construction Manager to justify reallocation of contingency amounts. Although A105 and B105 share some similarities with other agreements, the Small Projects family should NOT be used in tandem with agreements in other document families without careful side-by-side comparison of contents. Language formerly appearing in Section B.2.2.5, allowing the Contractor to include bonuses, profit sharing, and other incentive compensation of Contractor’s personnel in the Cost of the Work, has been moved to Section B.3.1.2 (costs not to be reimbursed). However, when the Contractor’s compensation is based on Cost of the Work, if selected in this Agreement, the amount expended by the Contractor as a “Cost of the Work” has a direct economic consequence to the Owner. New for 2019 is a requirement that insurance and bonds be issued by companies lawfully licensed to issue insurance and bonds, as the case may be, in the jurisdiction where the Project is located. And disputes please see the instructions accompanying the Document has be… by Wolf Saar, FAIA, August,. Advance by the Owner in an advisory capacity during design and construction manager as.. 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