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The Architect shall be entitled to rely on approvals received from the Owner in the further <br />development of the design. <br />2.1.6 The Architect shall assist the Owner in connection with the Owner's <br />responsibility for filing documents required for the approval of governmental authorities <br />having jurisdiction over the Project. <br />2.1.7 EVALUATION OF BUDGET AND COST OF THE WORK <br />2.1.7.1 When the Project requirements have been sufficiently identified, the Architect <br />shall prepare a preliminary estimate of the Cost of the Work. This estimate may be based <br />on current area, volume or similar conceptual estimating techniques. As the design process This document has important legal <br />progresses through the end of the preparation of the Construction Documents, the Architect consequences. Consultation with an <br />shall update and refine the preliminary estimate of the Cost of the Work. The Architect attorney is encouraged with respect <br />shall advise the Owner of any adjustments to previous estimates of the Cost of the Work to its completion or modification. <br />indicated by changes in Project requirements or general market conditions. If at any time AUTHENTICATION OF THIS <br /> <br />the Architect's estimate of the Cost of the Work exceeds the Owner's budget, the Architect ELECTRONICALLY DRAFTED AIA <br />DOCUMENT MAYBE MADE BY <br />shall make appropriate recommendations to the Owner to adjust the Project's size, quality USING AIA DOCUMENT D401. <br />or budget, and the Owner shall cooperate with the Architect in making such adjustments. <br />2.1.7.2 Evaluations of the Owner's budget for the Project, the preliminary estimate of the <br />Cost of the Work and updated estimates of the Cost of the Work prepared by the Architect <br />represent the Architect's judgment as a design professional familiar with the construction <br />industry. It is recognized, however, that neither the Architect nor the Owner has control <br />over the cost of labor, materials or equipment, over the Contractor's methods of <br />determining bid prices, or over competitive bidding, market or negotiating conditions. <br />Accordingly, the Architect cannot and does not warrant or represent that bids or negotiated <br />prices will not vary from the Owner's budget for the Project or from any estimate of the <br />Cost of the Work or evaluation prepared or agreed to by the Architect. <br />2.1.7.3 In preparing estimates of the Cost of the Work, the Architect shall be permitted to <br />include contingencies for design, bidding and price escalation; to determine what materials, <br />equipment, component systems and types of construction are to be included in the Contract <br />Documents; to make reasonable adjustments in the scope of the Project and to include in <br />the Contract Documents alternate bids as may be necessary to adjust the estimated Cost of <br />the Work to meet the Owner's budget for the Cost of the Work. If an increase in the <br />Contract Sum occurring after execution of the Contract between the Owner and the <br />Contractor causes the budget for the Cost of the Work to be exceeded, that budget shall be <br />increased accordingly. <br />2.1.7.4 If bidding or negotiation has not commenced within 90 days after the Architect <br />submits the Construction Documents to the Owner, the budget for the Cost of the Work <br />shall be adjusted to reflect changes in the general level of prices in the construction <br />industry. ~ <br />2.1.7.5 If the budget for the Cost of the Work is exceeded by the lowest bona fide bid or ~'~: ~i <br />negotiated proposal, the Owner shall: ~,,,~ <br />.1 give written approval of an increase in the budget for the Cost of the Work; <br /> <br />.2 authorize rebidding or renegotiating of the Project within a reasonable time; ®lasr an® <br />AIA DOCUMENT 8141-1997 <br />.3 terminate in accordance with Subparagraph 1.3.8.5; or STANDARD FORM AGREEMENT <br />.4 cooperate in revising the Project scope and quality as required to reduce the <br />Cost of the Work. The American Institute of Architects <br /> 1735 New York Avenue, N.W. <br />2.1.7.6 If the Owner chooses to proceed under Clause 2.1.7.5.4, the Architect, without Washington, D.C. 20006-5292 <br />additional compensation, shall modify the documents for which the Architect is responsible <br />under this Agreement as necessary to comply with the budget for the Cost of the Work. The <br />~ 1917, 1926, 1948, 1951, 1953, 1958, 1961, 1963, 1966, 1967, 1970, 1974, 1977, 1987, ®1997 by the American <br />Institute of Architects. Reproduction of the material herein or substantial quotation of its provisions without written <br />permission of the AIA violates the copyright laws of the United States and will subject the violator to legal prosecution. <br />WARNING: Unlicensed photocopying violates U.S. copyright laws and will subject the violator to legal prosecution. <br />This document was electronically produced with permission of the AIA and can be reproduced in accordance with your <br />license without violation until the date of expiration as noted below. User Document 97b141.aia -- 6/18/2002. AIA <br />License Number 1 111656. <br />