A.
19
79
UA
P
Do
cum
ent
20
7
B.
Pro
po
sed
20
07
UA
P
Am
end
men
t
C.
20
07
PR
Bo
A
Su
gg
este
d
Am
end
men
t
D.
20
07
PR
C
Ap
pro
ved
Ver
sio
n
207
DESIG
N-B
UIL
D
SERVIC
ES
1. IN
TRODUCTIO
N
1.1 In an
y building project,
there
is
an
intricate
balan
ce
between
time,
quality an
d cost. The
arch
itecture
profession
has been under pressure
to come up with overall
answ
ers
to
Clien
t’s
dem
ands for simulations
han
dling of time, quality
and cost of projects with
the
goal of
maxim
izing
these factors.
Standards of Professional
Practice
Design and Construct
Services
Article 1 - Introduction
1.
Sin
ce
the
Arc
hitect
is
a
pro
fess
ional
who
has
the
education,
train
ing,
experience,
expert
ise and th
e visio
n hold
er
of
the design,
he is th
e best
pers
on/firm
to
im
ple
ment
the
entire
pro
ject,
fr
om
design to
const
ruction.
Dealing
with
the
day-t
o-d
ay
opera
tions
in
const
ructing a
buildin
g b
y a
non-
technic
al
client
is not
an easy
ta
sk fo
r a non-t
echnic
al
client.
207
DESIG
N-B
UIL
D SERVIC
ES
ARTIC
LE I.
Introductio
n
1.
In any building project, there is an intricate balan
ce
between tim
e, quality and cost. T
he Architect has the
education, training, experience and expertise to
qualify him
to implemen
t the en
tire project from
plan/design preparation through construction w
ith
maxim
um optimization.
2.
The Architect may
enter into a Design-Build Services
agreem
ent with his Clien
t with the ultim
ate goal of
delivering projects within the shortest possible tim
e,
with the lowest possible cost and at an
accep
table
stan
dard of quality and perform
ance.
1.2 The
building
industry
and
the
architectural
profession hav
e dev
ised
several
methods
of
project d
elivery w
ith the
ultim
ate goal of han
dling
projects
in the
shortest
possible
time,
at
the
lowest
cost an
d at an
acceptable
quality
and
perform
ance.
1.3 One
method of
project
delivery is the
Design-
Build Service nam
ely:
a. D
esign-Build
by
Administration
b. D
esign-Build on a
Guaran
teed
Maxim
um
Cost
1.4 Leg
al Responsibility
This
single-point-
responsibility of
project
delivery puts the
legal
liab
ility
for
both
the
design
and
the
construction
on
the
Architect alone.
Fro
m
canvass
ing
to
buyin
g
of
mate
rials;
from
sc
outing
qualified la
bore
rs to
su
perv
isors
su
perv
isin
g
the
work
; not
to
mention on la
bor
pro
ble
ms
that
may r
aise,
the t
ight
schedule
of
the c
lient
and a
lot
more
. These
are
just
som
e o
f th
e reaso
ns
why
a g
ood n
um
ber
of
clients
would
w
ant
to
talk
to
a
singula
r pro
fess
ional
or
an entity
to
do
his/her pro
ject.
Most
clients
now
a
days,
pre
fer
to
have
their
pro
ject
imple
mente
d
by
the
arc
hitect
thro
ugh
Design
and
Const
ruct Serv
ices.
2.
The
Design
and
Const
ruct
Serv
ices
is a m
eth
od of
pro
ject
delivery
by t
he A
rchitect,
acting
as
the Arc
hitect-
of-
Record
and
as
the sa
me tim
e th
e Arc
hitect
in-c
harg
e of
Const
ruction.
The
said
Arc
hitect
is
called
“Arc
hitect-
in-c
harg
e
of
const
ruction”,
whic
h is directly
and
pro
fess
ionally
resp
onsible
and liable
fo
r th
e const
ruction
superv
isio
n o
f th
e p
roje
ct.
(Art
. 3, Sec. 3.1
.b o
f th
e R
epublic A
ct
No.
9266).
The
arc
hitect/
firm
sh
all sign a contr
act
accepting
full r
esp
onsibility for both
design
and c
onst
ruction s
erv
ices
of
the
pro
ject.
Nature
. Design a
nd c
onst
ruction
ARTIC
LE II. M
odes or Types of Des
ign-B
uild Serv
ices
1.
Design - Build by Administration
2. Design - Build on Guaranteed
Maxim
um Cost
3. Design - Construct
The attached
matrix describes the differences am
ong
the three types of design-build services.
ARTIC
LE III. D
ual Role of th
e A
rchitect
1.
Architect - of re
cord
(Aor). T
he Architect is
directly and professionally responsible for the
total design of the project and assumes the
attendan
t professional responsibility and civil
liab
ility for the plans, specifications an
d contract
docu
men
ts signed
and sealed. (Art.1, Sec. 3.2.a of
RA 9266)
2.
Architect – in – charg
e of co
nstru
ctio
n (Aicc).
a.
The Architect is directly and professionally
responsible and liable for the construction
supervision of the project. (Art.1, Sec. 3.2.b of
RA 9266) ; or
2. DESIG
N-B
UIL
D
SERVIC
E B
Y
ADM
INIS
TRATIO
N
When
the
Project
is
constructed
under the direct
and sole responsibility of the
Architect, he
perform
s the
following services:
2.1 Prepares
sched
ule
of
work,
construction
program,
estimate
and
bill
of
materials,
labor,
plants,
equipmen
t an
d
services.
2.2 Hires
construction
personnel and d
esignates
duties and rem
unerations
thereof;
2.3 Neg
otiates
and
enters
into
contract
with
piecework
contractors
and
evaluates
work
accomplished
thereu
nder;
2.4 Procu
res materials, plants
and eq
uipmen
t, licenses
and permits;
are
te
am
activitie
s.
Many
indiv
iduals
and/or
firm
s com
e
togeth
er
to do a pro
ject.
They
collabora
te to
pro
duce a design
and
const
ruction
solu
tion
that
would
be t
he b
est
answ
er
to t
he
requirem
ent of th
e c
lient.
As
the
pro
ject
unfo
lds,
th
ere
are
hundre
ds
of
design
and
const
ruction
decisio
ns
and
com
mitm
ents
have to
be m
ade
and a good coord
ination is vital
aside fr
om
havin
g a st
rong and
healthy
rela
tionsh
ip
betw
een
Client
and A
rchitect
to k
eep t
he
pro
ject
on
track.
The
most
im
port
ant
ele
ment
in a Design
and
Const
ruct
pro
ject
is
the
rela
tionsh
ip betw
een t
he Design
and
Const
ruct
team
and
the
Client.
A s
pirit o
f part
ners
hip
is
ess
ential
in
the
fast
-paced
environm
ent w
here
the d
esigner,
contr
acto
r,
and
ow
ner
work
hand-in-h
and
to
com
ple
te
the
pro
ject.
A
hig
h
level
of
com
munic
ation
and
trust
is
required
to
addre
ss
the
inevitable
pro
ject
issu
es
that
arise
. This is w
hy a com
bin
ed
meth
od of
serv
ices
such as
the
Design a
nd C
onst
ruct
Serv
ices
is
inclu
ded as
one of
the se
rvic
es
of an A
rchitect.
The
Design
and
Const
ruct
Serv
ices
encoura
ges
the
b.
The Architect is directly and professionally
responsible and liable for the man
agem
ent
and actual construction of the project.
Howev
er, since RA 9266 does not classify
construction as integral to the practice of
Architecture, the Architect must secure a
contractor’s license from DTI-CIA
P-PCAB
(Dep
artm
ent of Trade & Industry –
Construction Industry Authority of the
Philippines - Philippine Construction
Accreditation Board), to be renew
ed on an
annual basis.
ARTIC
LE IV. T
he C
ontract and the Sco
pe of W
ork.
The Architect en
ters into Contract with the Owner
accepting full responsibility for both design and
construction or supervision but with a clearly
delineated and defined
scope of work.
1.
Architect undertakes the following stages of the
Reg
ular Design Services: (Refer to Doc. 202
Reg
ular Architect’s Services)
a.
Schem
atic Design Phase
b.
Design Dev
elopmen
t Phase
c.
Contract Docu
men
t Phase
2.5 Authorizes
pay
men
ts of
accounts;
2.6 Keeps records an
d books
of accounts;
2.7 neg
otiates
with
governmen
t ag
encies
hav
ing jurisd
iction over
the project; and
2.8 Man
ages
all
other
businesses
of
the
construction;
2.9 The
above
services are
perform
ed
with
the
following conditions:
- All costs of labor an
d
materials
are
paid
directly by the Clien
t.
The Architect does not
advan
ce an
y money
for
pay
men
t of
expen
ditures
connected
with
the
work.
- Although the Architect
may
prepare a detailed
cost estimate
of
the
Project,
the
estimate
inte
gra
tion
of
know
ledge,
cre
ativity,
experience,
and
pass
ion
of
the
design
and
const
ruction
pro
fess
ions
from
th
e begin
nin
g to
th
e end of
a
pro
ject.
Design
and
Const
ruct
Serv
ices
shall giv
e th
e arc
hitect
the
hands-
on
opport
unity
to
transf
orm
s th
e A
rchitect’
s design
into
reality
.
3.
Application. It is
more
an o
ption
of th
e C
lient to
ente
r to
this k
ind
of
serv
ices.
There
are
part
icula
r case
s w
here
this t
ype o
f se
rvic
e
is a
pplicable
, su
ch a
s:
a.
Pro
jects
in
volv
ing
innovative
or
pate
nte
d
designs
or
meth
odolo
gy
of
const
ruction in
w
hic
h
the
Arc
hitect
hold
s its
sole
right
of
imple
menta
tion
for
the
pro
tection of
his design
or pate
nt.
b.
When th
e Client
pre
fers
to
utilize
th
e com
bin
ed
and synerg
ized c
apability
of
the
Arc
hitect
as
designer and a
s a b
uilder
to
com
e
up
with
the
most
cre
ative
solu
tion
that
could
answ
er
Client’
s crite
ria
of
2.
The scope of work during the Construction Phase
is no longer lim
ited
to reg
ular coordination,
periodic inspection, and assessm
ent as part of the
Reg
ular Design Services. It now extends to
construction supervision and/or undertaking the
actual construction.
3. In order to protect his professional licen
se, the
Architect will hav
e to prepare separate contracts
for the design and the co
nstru
ctio
n componen
ts.
Both contracts should provide an
arbitration
clau
se and other alternative measures to resolve
possible disputes.
ARTIC
LE V. Pro
ject C
ost
This includes the cost of labor an
d/or materials,
overhead costs, plus mark-up and profits, sim
ilar to
a regular construction bid price.
ARTIC
LE VI. P
rofe
ssio
nal Fee.
Seg
regating professional fees instead of
consolidating them
into a lump sum amount will be
advan
tageous to both the Architect an
d the Clien
t
may
be
guaran
teed
only on a range of Ten
Percent (10%
) plus or
minus
the
stated
estimate.
- The Architect ap
points,
subject to the
Clien
t’s
approval
a construction
superintenden
t,
a purchasing
agen
t,
a timek
eeper or keepers,
and a
property clerk
aside
from the
usual
labor
personnel
required
. Salaries
of
such
persons
re paid
by the Clien
t an
d is not
ded
uctible
from
the
Architect’s fee.
- Cost of all permits an
d
licenses
inciden
tial to
the work are paid by
the Clien
t.
2.10 The fee of the Architect
for
the
Design-Build
Service
by
Administration is Sev
en
Percent
(7%)
of
the
function,
stru
ctu
re
and
beauty
in
th
e
most
econom
ical
and
fast
est
w
ay.
c.
When th
e Client,
havin
g
been
fully
info
rmed
of
the
natu
re
and
implication o
f Design a
nd
Const
ruct
Serv
ices
for
Client’
s pro
ject,
pla
ces
his
or
her
trust
and
confidence
on
the
Arc
hitect,
believin
g th
at
the A
rchitect
is t
he m
ost
qualified
to
imple
ment
the d
esign in a
ccord
ance
with
the
appro
ved
concept.
d.
When
the
Arc
hitect
is
part
of
an
entity
in
volv
ed w
ith t
he d
esign
and
const
ruction
of
a
pro
ject.
Article II - General Roles of Architects
in the Design and Construct Services
1.
The Genera
l Role
s of
Arc
hitects
in
th
e
Design
and
Const
ruct
Serv
ices in
clu
de:
a.
The
arc
hitect
who
engages
into
th
e Design
and
Const
ruct
Serv
ices
since it provides a clear basis for ad
justmen
t in case
of chan
ges in the scope of work.
1. The Architect’s Fee for Reg
ular Architect’s
services shall be in accordan
ce w
ith UAP Doc.
200 Architect’s Standards of Professional
Practice.
2.
The Architect’s Fee for Construction Supervision,
either a lump sum or a percentage of the
construction cost, m
ay be paid through different
modes of compen
sation.
3.
When
the Architect undertakes the actual
construction, h
e submits a proposal similar to a
contractor’s bid.
ARTIC
LE VII. M
eth
ods of Com
pensa
tion for
Constru
ctio
n Superv
isio
n
1.
Percentage of Constru
ctio
n C
ost.
This is the simplest and m
ost w
idely used
method of compen
sation becau
se it is directly
proportionate to the size and cost of the project.
In case of chan
ges, whether addition or
ded
uctions, there is no need to amen
d or
Project
Construction
Cost in ad
dition to the
Architect’s
Fee for
the
Reg
ular Design Services.
3. DESIG
N-B
UIL
D
SERVIC
E O
N A
GUARANTEED
MAXIM
UM
COST
3.1 Basically
the
services
rendered
by the Architect
is the same as that of the
Design-Build
by
Administration.
3.2 This method essentially
consist of the Clien
t being
given
a
guaran
teed
maxim
um cost for
the
construction
of
the
project.
3.3 The
man
ner of pay
men
t is by lump sum am
ount
sched
uled to follow the
progress of
the
Project.
The
Architect
does not
advan
ce an
y am
ount to
buy
materials
or
pay
labor.
Instead,
a “rev
olving
capital”
is
shall a
ssum
e t
he p
rim
ary
re
sponsibility
for
both
design a
nd c
onst
ruction.
b.
Dependin
g
on
the
agre
em
ent
betw
een th
e
arc
hitect
and t
he c
lient,
th
e arc
hitect
may off
er
to c
onst
ruct
the p
roje
ct,
either
by adm
inistr
ation
or
by
guara
nte
ed
maxim
um
cost
or
by
package a
gre
em
ent.
Article III - Recommended Procedures
in Engaging Design and Construct
Services
1.
Educate
th
e Client
on existing
law
s,
statu
tory
policie
s and
ord
ers
, and
the
Sta
ndard
s fo
r Pro
fess
ional
Pra
ctice issu
ed by
the
United
Arc
hitects
of
the
Philip
pin
es-
Inte
gra
ted
and
Accre
dited
Pro
fess
ional
Org
aniz
ation of
Arc
hitects
duly
appro
ved by th
e PRC-B
oard
of
Arc
hitectu
re -
and,
if poss
ible
, discuss
th
e
conte
nts
w
ith
the
Client.
2.
When
invited
by
a
client
to
engage
into
a
Design
and
Const
ruct
Serv
ices,
the A
rchitect
must
revie
w t
he a
ppro
priate
ness
and t
he s
uitability o
f th
e p
roje
ct
supplemen
t the Owner –Architect Agreem
ent.
2. Direct Personal Expense
s x M
ultip
lier.
This m
ethod is based
on technical hours spen
t on
a project but does not measure the value of
creative design. T
his m
ay therefore be ap
plied
only to construction supervision. T
he following
param
eters hav
e to be ag
reed
upon at the start of
the project:
a.
Rate/
hr (R) – Rate per hour of the Architect,
Consultan
t, and Technical staff : RA, R
C, R
T
b.
Man
hours (H) – Number of hours spen
t by
the Architect, Consultan
ts and Technical
staff : H
A, H
C, H
T
c.
Multiplier (M) - Factor which accounts for
overhead and profit. Dep
ending on the
complexity of the project, experience of the
Architect an
d the office set-up, this m
ay
range from 1.5 to 2.5.
d.
Reimbursab
le Expen
ses (E) – Item
s to be
charged
to the Clien
t an
d reimbursed
to the
Architect which include the following:
given
at the start of the
construction.
3.4 If there is a sav
ings on the
cost of the
Project, it is
divided
eq
ually between
the
Clien
t an
d
the
Architect.
3.5 If
the
guaran
teed
maxim
um
cost
is
exceed
ed by not
more
Ten
Percent (10%
), it is
divided
eq
ually between
the
Clien
t an
d
the
Architect. Howev
er, if
the
excess is more than
Ten
Percent (10%
) , the
Architect pay
s for all the
extra costs in excess of the
Ten
Percent (10%
).
3.6 The
fee
of the
Architect
for
the
Design
Build
Service on a Guaran
teed
Maxim
um Cost is either
Ten
Percent (10%
) of the
Project C
onstruction C
ost
or is alread
y built-in in
the
Guaran
teed
Maxim
um C
ost. Said fee
for
Design
and
Const
ruct
serv
ices.
Article IV - Advantages of Design and
Construct Services Approach
1.
When c
ircum
stances call for non-
traditio
nal
appro
aches
to
const
ruction
– su
ch
as
accele
rate
d
schedule
s,
uniq
ue
financin
g
options
or
multip
le
vest
ed part
ners
, or
application
of
innovative
const
ruction
syst
em
or
technolo
gy,
an
altern
ative
delivery
m
eth
ods
such
as
Design
and
Const
ruct
Serv
ices
can
be
the
answ
er.
Clients
who w
ant
to r
educe t
heir
overa
ll
pro
ject
delivery
tim
e,
ensu
re
schedule
and
cost
para
mete
rs and contr
ol
risk
, or
who
need
an
early
cost
com
mitm
ent,
are
tu
rnin
g
to
Design
and
Const
ruct
Serv
ices
inst
ead of
the m
ore
tr
aditio
nal
design-b
id-c
onst
ruct pro
cess
.
2.
Design
and
Const
ruct
Serv
ices
brings
one e
ntity
vers
ed i
n b
oth
design a
nd c
onst
ruction into
the
pro
cess
. The p
rim
ary
benefits
of
Design a
nd C
onst
ruct
are
that
it
allow
s com
pre
ssio
n
of
the
pro
ject
schedule
,
guara
nte
es
the
const
ruction
cost
at
the
begin
nin
g
of
the
pro
pose
d
i. Transportation, h
ousing and living
allowan
ce of Consultant;
ii. Transportation, p
er diem, h
ousing and
living allowan
ce of local consultan
ts and
technical staff if assigned
to place over
100 km from area of operation of
Architect;
iii. Cost of printing of extra sets of drawings,
reports, m
aps, contract docu
men
ts, etc.,
over the five (5) sets submitted to the
Clien
t;
iv. Overseas and long distance calls;
v. Technical an
d lab
oratory tests;
vi. Licen
ses, fees, taxes needed
for the
project (other than
contractor’s license)
vii. T
he Total Cost of Service charged
to the
Clien
t is as follows:
{(RH
A + RH
C + RH
T) x M
} + E
3.
Pro
fessio
nal Fee Plu
s Expense
s.
This m
ethod is best used w
hen
there is a
continuous relationship involving a series of
projects. The fee is a fixed
amount +
reim
bursem
ent for the Architect’s technical tim
e an
d overhead. A
n agreem
ent on the gen
eral
is aside
from the
fee
of
the Architect for Reg
ular
Design Services.
pro
ject,
since
som
e
clients
budget
are
lim
ited a
nd p
rovid
es
the C
lient
with a
sin
gle
poin
t of
conta
ct and resp
onsibility.
3.
Schedule
re
ductions
are
achie
ved by th
e overlappin
g of
design and const
ruction phase
s.
A s
hort
er
schedule
can t
ranslate
in
to
low
er
cost
s,
although
savin
gs
may also be re
alize
d by
havin
g a
sin
gle
entity
resp
onsible
fo
r early
cost
and
valu
e
coord
ination,
com
petitive
pricin
g,
keepin
g
const
ant
overs
ight
of
cost
fa
cto
rs
and
elim
inating th
e Client's
cost
of
main
tain
ing s
taff
to o
vers
ee t
he
opera
tion.
4.
The unifie
d eff
ort
of
a Design
and C
onst
ruct
Team
can r
esp
ond
to c
hangin
g t
echnolo
gic
al tr
ends
with
much
gre
ate
r flexib
ility.
With every
one w
ork
ing to
geth
er
as
a
team
, eff
icie
ncy
and
com
munic
ation
incre
ase
w
hile
the pote
ntial
for
pro
flig
acy and
ineff
icie
ncie
s decre
ase
.
5.
Design
and
Const
ruct
Serv
ices
are
advanta
geous
for
hig
h-t
ech
facilitie
s w
ith
com
ple
x
const
ruction re
quirem
ents
, as
it
allow
s arc
hitects
, engin
eers
and
pro
ject
managers
to c
ollabora
te
thro
ughout th
e e
ntire
pro
ject.
scope of work is necessary in order to set an
equitab
le fee.
4. Lum
p Sum
or Fixed Fee.
In governmen
t projects, hav
ing a fixed
fee
elim
inates pap
er w
ork and tim
e consuming
processes req
uired
by the bureau
cratic system
particu
larly in the processing and approval of
supplemen
tary w
orks by the au
diting agen
cy.
5.
Per Diem
plu
s Reim
bursable Expense
.
The Architect may
be paid on a per diem basis
plus reim
bursable expen
ses such as trav
el,
accommodation and living expen
ses when
the
Clien
t requests the Architect to do w
ork such as:
a.
Atten
ding board m
eetings or conferences
b.
Conducting ocu
lar inspection for site
selection
c.
Conferring w
ith others regarding
prospective investm
ents and sim
ilar
ven
tures
6.
M
ixed M
eth
ods of Com
pensa
tion.
A combination of an
y of the methods may
be
6.
Tim
e and experience have also
pro
ven that Design a
nd C
onst
ruct
Serv
ices
can
be
utilized
for
pro
jects
both
conventional
and
com
ple
x.
7.
Coord
inating
with
oth
er
part
icip
ants
in
const
ructing
a
buildin
g
becom
es
very
easy
because
th
ey are
in
one gro
up,
thus
makin
g th
e com
munic
ation
and c
oord
ination b
ecom
es
fast
er
and e
ffic
ient.
The b
ig p
lus
in this
meth
od is
that
the r
esp
onsibility
becom
es
identifiable
, th
ere
w
ill
be no m
ore
finger
poin
ting to
w
hom
re
sponsibility
is
this
or
that.
The c
lient
will
not
be put
to a
maze
to w
hom
to r
ela
y t
he
concern
. Article V – Classification of Design and
Construct Services
1.
Design and Construct Services
by Administration.
When
the
pro
ject
is
const
ructe
d
by
adm
inistr
ation,
the
Arc
hitect
perf
orm
s th
e follow
ing serv
ices:
a.
Schem
atic Design Phase
,
applied
ARTIC
LE VIII. P
erm
its.
Permits an
d licen
ses (except the Contractor’s license)
are secu
red by the Architect but paid for by the
Clien
t.
ARTIC
LE IX Conditio
ns
1.
Before entering into a Design-Build Service
Agreem
ent, the Architect will hav
e to acquire
additional training in construction supervision,
project and finan
cial m
anag
emen
t an
d gain
practical knowledge an
d experience in
construction.
2. The Architect must inform
and advice his Clien
t of the circumstan
ces and implications of such an
agreem
ent, and m
ust disclose any relationship or
business interest w
hich m
ay affect the Project.
ARTIC
LE X . A
dvantages of th
e D
esign B
uild
Serv
ices Appro
ach
1. Gives the Clien
t the option to deal with ju
st one
Design
Develo
pm
ent
Phase
and
Contr
act
Docum
ent Phase
b.
During th
e Const
ruction
Phase
, th
e
Arc
hitects
perf
orm
s th
e
follow
ing
serv
ices:
i.
Pre
pare
s sc
hedule
of
work
, const
ruction
pro
gra
m,
est
imate
and b
ill
of
mate
rials,
labor,
pla
nts
, equip
ment
and
serv
ices;
ii.
Hires
const
ruction
pers
onnel
and
designate
s duties
and
rem
unera
tion
there
of;
iii.
Negotiate
s and
ente
rs
into
contr
act
with
pie
cew
ork
contr
acto
rs
and
evalu
ate
s w
ork
s accom
plish
ed
there
under ;
professional/en
tity.
2. Gives the Clien
t options to avail of unique
finan
cial schem
es.
3. Accountability is clearly defined
. 4.
Allows better coordination among professionals
working in collab
oration
5. Instead of following the conven
tional design-bid-
construct process, construction can
commen
ce
while design is still in progress (fast track)
6. Compressed
or accelerated project sched
ule can
tran
slate to cost sav
ings
7. Applicable to both conven
tional and non-
trad
itional projects, ran
ging from sim
ple to
complex projects.
iv.
Pro
cure
s m
ate
rials,
pla
nts
and equip
ments
, license
s and
perm
its;
v.
Auth
orize
s paym
ents
of
accounts
;
vi.
Keep record
s and
books
of
accounts
;
vii.
Negotiate
s w
ith
govern
ment
agencie
s havin
g
jurisd
iction
over
the p
roje
ct;
and
viii.
Manages
all
technic
al
matt
ers
of
the
const
ruction.
c.
The above se
rvic
es
are
perf
orm
ed
with
the
follow
ing c
onditio
ns:
i.
All c
ost
s of
labor
and
mate
rials
are
paid
directly
by
the
Client.
The
Arc
hitect
does
not
advance
any
money
for
paym
ent
of
expenditure
s connecte
d
with
the w
ork
.
ii.
Although
the
Arc
hitect
may
pre
pare
a
deta
iled
cost
est
imate
of
the
pro
ject,
th
e
est
imate
may b
e
guara
nte
ed
only
on a
range o
f te
n
perc
ent
(10%)
plu
s or m
inus
the
state
d e
stim
ate
.
iii.
The
Arc
hitect
appoin
ts, su
bje
ct
to
the
Client’
s appro
val,
a
const
ruction
superinte
ndent,
a
purc
hasing
agent,
a
tim
ekeeper
or
keepers
, and
a
pro
pert
y
cle
rk
aside
from
th
e
usu
al
labor
pers
onnel
required.
Sala
ries
of
such
pers
ons
are
paid
by the C
lient and
are
not
deductible
fr
om
th
e
Arc
hitect’
s Fee.
iv
. Cost
of
all
perm
its
and
license
s in
cid
enta
l to
the
work
are
paid
by
the C
lient.
d.
Ple
ase
re
fer
to
Docum
ent
on
Schedule
of
Basic
Pro
fess
ional
Serv
ice Fee fo
r th
e fe
e
of
the Arc
hitect
for
the
Design
and
Const
ruct
Serv
ices
by
Adm
inistr
ation base
d on
the Pro
ject
Const
ruction
Cost
whic
h is
in a
dditio
n
to
the
Arc
hitect’
s Fee
for
the
regula
r design
serv
ice.
2.
Design and Construct Services
on a Guaranteed Maximum
Cost
.
a.
Basically
the
serv
ices
rendere
d
by
the
Arc
hitect
are
th
e sa
me
as
that
of th
e D
esign a
nd
Const
ruct
Serv
ices
by
Adm
inistr
ation.
b.
This m
eth
od ess
entially
consist
s of
the
Client
bein
g g
iven a
guara
nte
ed
maxim
um
cost
fo
r th
e
const
ruction
of
the
pro
ject.
c.
The m
anner
of
paym
ent
is b
y l
um
p s
um
am
ounts
sc
hedule
d to
fo
llow
th
e
pro
gre
ss of
the pro
ject.
The Arc
hitect
does
not
advance any am
ount
to
buy
mate
rials
or
pay
labor.
In
stead,
a
revolv
ing
capital”
is
giv
en a
t th
e s
tart
of
the
const
ruction.
d.
If th
ere
is a sa
vin
gs
on
the cost
of
the pro
ject,
it
is
div
ided
equally
betw
een th
e Client
and
the A
rchitect.
e.
If
the
guara
nte
ed
maxim
um
cost
is
exceeded
by
not
more
th
an te
n perc
ent
(10%),
it
is
div
ided
equally
betw
een th
e Client
and
the Arc
hitect.
How
ever,
if
the
excess
is
more
th
an te
n perc
ent
(10%),
th
e A
rchitect
pays
for
all
the e
xtr
a c
ost
s in
excess
of th
e ten p
erc
ent (1
0%).
f.
Should
th
ere
be
additio
nal
expense
beyond th
e Guara
nte
ed
Maxim
um
Cost
s w
hic
h
are
due
to
legitim
ate
change
ord
ers
, and
to
cause
s not
att
ributa
ble
to
th
e
fault
of
the
Arc
hitect,
the a
dditio
nal
cost
sh
all be born
e by
the C
lient.
g.
The
Guara
nte
ed
Maxim
um
Cost
is
subje
ct
to
poss
ible
su
bst
antial
changes
base
d
on
the
rate
of
inflation
as
cert
ifie
d
by
nationally
recogniz
ed a
gencie
s su
ch
as
the N
ational Econom
ic
Develo
pm
ent
Auth
ority
(N
EDA).
3.
Design and Construct Services
with
a
construction
implementer/firm
a.
In
many
case
s to
day,
clients
entr
ust
th
eir
pro
ject’
s concern
s to
a
singula
r entity
due
to
trust
, sp
ecia
liza
tion
of
design/pate
nt,
econom
y
and c
onvenie
nce f
or
the
client.
This
type
of
serv
ice
can
be
applied
when t
he a
rchitect
has
a
specific
or
non-
conventional
design/pate
nt
that
only
allow
s th
e
accre
dited
const
ruction
imple
mente
r/s
or
firm
/s
to d
o h
is s
pecia
l or
non-
conventional
design/pate
nt;
or
on
som
e
case
s a
const
ruction
imple
mente
r/s
or
firm
/s
using t
he s
pecia
l or
non-
conventional
design
or
pate
nt
of
an arc
hitect.
In
both
situ
ations
the
arc
hitect
shall
be
resp
onsible
fo
r his/her
design
and
the
const
ruction
he/sh
e
undert
aken.
The a
mount
of
the agre
em
ent
shall
inclu
de
the
arc
hitect’
s fe
e, am
ong o
thers
.
In
all
situ
ations,
th
e
Arc
hitect
perf
orm
s th
e
pro
fess
ional
standard
se
rvic
es
and
must
be
com
pensa
ted
in
accord
ance
with
the
Arc
hitect’
s Sta
ndard
s of
Pro
fess
ional Pra
ctice.
b.
Basically
the
serv
ices
rendere
d
by
the
Arc
hitect
are
th
e sa
me
as
that
of th
e D
esign a
nd
Const
ruct
Serv
ices
by
Adm
inistr
ation.
c.
A
fix
cost
fo
r th
e
const
ruction
of
the
pro
ject,
not
counting
any c
hanges
or variations
must
be
state
d
in
the
agre
em
ent.
d.
The m
anner
of
paym
ent
is b
y l
um
p s
um
am
ounts
sc
hedule
d to
fo
llow
th
e
pro
gre
ss of
the pro
ject.
The Arc
hitect
does
not
advance any am
ount
to
buy
mate
rials
or
pay
labor.
In
stead,
a
revolv
ing
capital”
is
giv
en a
t th
e s
tart
of
the
const
ruction.
e.
The
cost
is
subje
ct
to
poss
ible
su
bst
antial
changes
base
d
on
the
rate
of
inflation
as
cert
ifie
d
by
nationally
recogniz
ed a
gencie
s su
ch
as
the N
ational Econom
ic
Develo
pm
ent
Auth
ority
(N
EDA).
4.
Design and Construct Services
under
a
Comprehensive
Package Agreement
a.
Over-
all
coord
ination
from
design
to
const
ruction
will
be
beneficia
l to
th
e client
as w
ell a
s to
the p
roje
ct.
Most
clients
do n
ot
have
the e
xpert
ise o
r tim
e t
o
handle
th
e
day-t
o-d
ay
decisio
n
makin
g
and
opera
tion
for
the
eff
icie
nt
imple
menta
tion
of
the
pro
ject.
Clients
w
ould
sc
out
for
a
singula
r entity
that could
handle
all its
concern
for
the realiza
tion o
f his/her
pro
ject,
th
us
the Design
and
Const
ruct
Serv
ices
under
a
Com
pre
hensive
Package
Agre
em
ent
is
very
much fitting.
b.
Sim
ilar
to
the
reaso
ns
and
concern
s of
the
client
under
the Design
and
Const
ruct
Serv
ice
with
a
const
ruction
imple
mente
r/firm
, th
e
clients
aw
ard
s th
e w
ork
, fr
om
design
to
const
ruction,
to
the
Arc
hitect
when
the
client
appre
cia
tes
the
specia
l or
non-
conventional
design/pate
nt
of
the
Arc
hitect.
The a
mount of
the
agre
em
ent
shall
inclu
de
the
arc
hitect’
s fe
e, am
ong o
thers
. Article VI – Conditions
1.
In ord
er
to pro
tect
the in
tere
st
of
the
Client
as
well
as
to
pro
tect
the
inte
grity
of
the
Arc
hitect,
conditio
ns
and
safe
guard
s m
ust
be
in
pla
ce,
such a
s:
a.
A
well-d
ocum
ente
d
contr
act,
cle
ar
and
com
ple
te,
to
avoid
m
isunders
tandin
g
or
misin
terp
reta
tion of
the
agre
em
ent.
b.
The C
lient
must
be f
ully
info
rmed and advised of
the
circum
stances
and
implications
of
the
arr
angem
ent
inclu
din
g
disclo
sure
s of
rela
tionsh
ips
or
business
in
tere
st o
f th
e A
rchitect
aff
ecting the p
roje
ct.
c.
Ass
ura
nce
of
pro
duct
quality
re
quired of
the
contr
act.
d.
Em
plo
ym
ent
of
or
via
bility t
o t
he C
lient
of
an i
ndependent
part
y t
o
act
as
his/her
technic
al
adviser or consu
ltant.
Article
VI
– Methodology
of
Compensation
1.
The crite
ria fo
r com
puting th
e
Arc
hitect’
s com
pensa
tion sh
ould
be base
d on m
utu
al
evalu
ation
of
the
am
ount
of
the
arc
hitectu
ral
firm
’s
tale
nts
, sk
ill,
experience,
imagin
ation,
eff
ort
and
tim
e
available
fo
r,
and required b
y the p
roje
ct.
2.
The a
mount
of
paym
ent
depends
on
the
types
and
levels
of
pro
fess
ional
serv
ices
pro
vid
ed.
More
exte
nsive
serv
ices
or
a
more
com
ple
x or
experim
enta
l pro
ject
will
require m
ore
eff
ort
by th
e arc
hitect
and add m
ore
valu
e to the p
roje
ct.
3.
The
recom
mended
fee
of
the
Arc
hitect
for
the
Design
and
Const
ruct
Serv
ices
by
Adm
inistr
ation
is
Fiv
e
(5%)
perc
ent
of
the to
tal
pro
jecte
d
cost
in
additio
n
to
the
pro
fess
ional
fee fo
r th
e Regula
r Design
Serv
ices.
The
recom
mended
fee
of
the
Arc
hitect
for
the
Design
and
Const
ruct
Serv
ices
on
a
guara
nte
ed
maxim
um
cost
, Design
and
Const
ruct
Serv
ices
with
a
const
ruction
imple
mente
r/firm
or
Design a
nd
Const
ruct
Serv
ices
under
a
com
pre
hensive
Package
Agre
em
ent
is
Seven (
7%)
of
the
tota
l pro
ject
const
ruction cost
. Said
re
com
mended fe
e is aside
from
the p
rofe
ssio
nal fe
e o
f th
e
Arc
hitects
on
Regula
r Design
Serv
ices.
4.
How
ever,
fo
llow
ing m
eth
ods
on
com
pensa
tion m
ay b
e a
pplied in
the
pro
cess
of
Design
and
Const
ruct se
rvic
es:
a.
Percentage
of
Construction Cost
. This
is
a
world-w
ide
use
d
meth
od o
f com
pensa
tion
for
pro
posa
l se
rvic
es.
The
am
ount
of
the
perc
enta
ge is re
late
d to
th
e s
ize a
nd t
he t
ype o
f th
e P
roje
ct.
This m
eth
od
is f
air t
o b
oth
the C
lient
and t
he A
rchitect
as
the
fee is
pegged t
o t
he c
ost
of
the P
roje
ct
the C
lient
is w
illing to u
ndert
ake. It
is
sim
ilar
to
the
perc
enta
ge fe
e concept
bein
g
charg
ed
by
realtors
, develo
pers
and
law
yers
. It is flexib
le a
nd
easy
to
apply
since
if
there
w
ill
be
changes,
additio
ns
or
deductions
of
the w
ork
dem
anded
by
the
Pro
ject
or
required by th
e Client,
th
e
Ow
ner-
Arc
hitect
Agre
em
ent
need not
be
supple
mente
d.
b.
Multiple
of
Direct
Personnel
Expenses.
This cost
-base
d m
eth
od
of
com
pensa
tion
is
applicable
only
to
non-
cre
ative
work
su
ch
as
accounting,
secre
tarial,
rese
arc
h,
data
gath
ering,
superv
isio
n,
pre
para
tion
of
report
s and
the
like.
This
meth
od o
f com
pensa
tion
base
d on te
chnic
al
hour
expended
does
not
account
for
cre
ative
work
because
th
e valu
e
of cre
ative d
esign c
annot
be
measu
red
by
the
length
of
tim
e
the
designer
has
spent
on h
is
work
. This m
eth
od m
ay
there
fore
be
applied
only
on
Pre
-Design
Serv
ices,
Superv
isio
n
Work
and
oth
er
work
s w
hic
h t
he A
rchitect
may
perf
orm
oth
er
than th
e
Regula
r and Specia
lize
d
Allie
d
Design
Serv
ices.
The c
om
puta
tion is m
ade
by
addin
g
all
cost
s of
technic
al
serv
ices
(man
hours
x
rate
) and
multip
ly
it
by
a
multip
lier
to ta
ke care
of
overh
ead and pro
fit.
The
multip
lier
ranges
from
1.5
or
2.5
dependin
g on th
e off
ice
set-
up,
overh
ead
and
experience
of
the
Arc
hitect
and
the
com
ple
xity
of
the
Pro
ject.
Oth
er
item
s su
ch
as
cost
of
transp
ort
ation,
livin
g
and
housing
allow
ances
of
fore
ign
consu
ltants
, out-
of-
tow
n
livin
g
and
housing
allow
ances
of
local
consu
ltants
, and
the
like
are
to
be
charg
ed
to
the
Client
and
reim
burs
ed
to
the
Arc
hitect.
At
the s
tart
of
the
com
mission,
the
Arc
hitect
shall
make
know
n to
th
e Client
the
rate
of
pro
fess
ionals a
nd
pers
onnel
who
will
be
ass
igned to
th
e Pro
ject
and th
e m
ultip
lier
that
has
to b
e a
pplied b
efo
re
agre
ein
g to
th
is m
eth
od
of com
puta
tion.
FORMULA
Ass
um
e:
A
=
Arc
hitect’
s ra
te
/ h
our
C
=
Consu
ltant’
s ra
te
/ h
our
T =
Rate
per
hour
of
Technic
al
Sta
ff,
rese
arc
hes
and
oth
ers
in
volv
ed
in the P
roje
ct
N1, N2, N3, = N
o. of
hours
sp
ent
by
Arc
hitect,
Consu
ltants
and
Technic
al
Sta
ff.
M =
Multip
lier.
Fro
m 1.5
to
3,
dependin
g
on
off
ice s
et-
up o
f
Arc
hitect
and
com
ple
xity
of
the
Pro
ject.
Multip
lier
to
take
care
of
overh
ead
and
reaso
nable
pro
fit.
R =
Reim
burs
able
expense
s su
ch
as
transp
ort
ation,
housing
and
livin
g
allow
ance
of
Consu
ltant,
tr
ansp
ort
ation,
per
die
m,
housing
and
livin
g
allow
ance
of
local
consu
ltants
and
technic
al
staff
if
ass
igned
to
pla
ce over
100
km
. f
rom
are
a
of
opera
tion o
f th
e A
rchitect;
Cost
of
printing
of
extr
a se
t of
dra
win
gs,
re
port
s,
maps,
contr
act
docum
ents
,
etc
. over
the
five (5
) copie
s su
bm
itte
d
to
the
Client;
overs
eas
and
long
dista
nce
calls;
te
chnic
al
and
labora
tory
te
sts,
license
s,
fees
and ta
xes
etc
.,
needed
by the P
roje
ct.
Direct cost
= AN
1
+
CN
2 +
TN
3
Fee = Direct
Cost
x
Multip
lier
Tota
l Cost
of
Serv
ice
charg
ed to
th
e
Client
= Fee +
R
c.
Professional
Fee Plus
Expenses.
This
meth
od
of
com
pensa
tion
frequently
use
d
where
th
ere
is
a
continuin
g
rela
tionsh
ip on a se
ries
of
pro
jects
. It
est
ablish
es
a fixed su
m
over
and
above
reim
burs
em
ent
for
the
Arc
hitect’
s te
chnic
al
tim
e and overh
ead.
An
agre
em
ent
on
the
genera
l sc
ope
of
the
work
is
necess
ary
in
ord
er
to s
et
an e
quitable
fe
e.
d.
Lump Sum or
Fixed
Fee.
May be applied on
govern
ment
pro
ject
since
the
bure
aucra
tic
syst
em
of
the
govern
ment
this
will
enta
il m
ore
paper
work
and
tim
e-c
onsu
min
g
eff
ort
s,
not
only
th
e
com
puta
tion
and
haggling of
the fe
e fo
r th
e extr
a w
ork
but
also
in
the
ard
uous
pro
cess
ing
for
the
appro
val
of
the
supple
menta
ry
work
w
ithin
th
e
Client’
s agency and th
e Auditin
g
agency.
e.
Per
Diem
Plus
Reimbursable Expense
. In
so
me case
s a Client
may request
an A
rchitect
to
do
work
w
hic
h
will
require h
is p
ers
onal tim
e
such a
s:
i.
Att
end
Board
Meetings
or
Confe
rences
ii.
Ocula
r
insp
ection
of
poss
ible
sites
iii.
Confe
r w
ith
oth
ers
re
gard
ing
pro
spective
invest
ments
or
ventu
res
and t
he
like
For
these
part
icula
r activitie
s, th
e Arc
hitect
may be paid
on a per
die
m basis
plu
s out-
of-
expense
s su
ch a
s tr
avel,
accom
modations
and subsist
ence
f. Mixed
Methods
of
Compensation.
The UAP
Docum
ents
pro
vid
e
for
more
th
an one m
eth
od
of
com
pensa
tion
on
a
Pro
ject.
Each
Pro
ject
should
be exam
ined to
dete
rmin
e
the
most
appro
priate
m
eth
od
of
est
ablish
ing a
n e
quitable
m
eth
od o
f com
pensa
tion
betw
een
the
Arc
hitect
and the O
wner.
Standards of Professional Practice
Design and Construct Services
UAP Technical Working Group
Honora
ry C
hair :
Arc
ht.
Edric M
arc
o C
. Flo
rentino,
fuap
Pro
ject Directo
r :
Arc
ht.
Pro
speridad C
. Luis, fu
ap
Chairm
an
:
Arc
ht.
Edilbert
o F
. Flo
rentino, fu
ap
Mem
bers
:
Arc
ht.
Angelito
Anto
nio
, pia
Arc
ht.
Felipe M
endoza
, fp
ia
Arc
ht.
Edgar Refo
rmado, fu
ap
Arc
ht.
Medeliano T
. Rold
an, fu
ap