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6 <br /> Orange County, NC I CONSTRUCTION MANAGER AT RISK CONTRACT I CONFIDENTIAL DRAFT <br /> 1.13 "Subcontractor"means any general, mechanical,electrical, plumbing,or specialty contractor, supplier, <br /> or vendor who has entered into a direct contract with the CMAR for any portion of the Work, and includes <br /> one who furnishes labor, equipment, or other services to completed Work in accordance with the drawings, <br /> specifications, and other plans for the Project. The term Subcontractor shall include, where appropriate, <br /> sub-subcontractors. <br /> 1.14 "Substantial Completion" means the stage when the Work is sufficiently complete in accordance with <br /> the Contract Documents such that the Owner can occupy and utilize the Project for its intended purpose, <br /> as certified by the Project Designer. <br /> 1.15 "Final Completion" means completion of all Work, satisfaction of all closeout requirements, and <br /> acceptance of the Project by the Owner. <br /> 1.16 "Change Order"means a written order signed by the CMAR, Project Designer,and Owner authorizing <br /> a change in the Work, Contract Sum, or Contract Time after execution of the GMP Amendment. <br /> 1.16.1 "Construction Change Directive" or "CCD" means a written instruction signed by the Owner and <br /> Project Designer directing a change in the Work before agreement on adjustment in GMP or Contract Time, <br /> as described in Article 18.7. <br /> 1.17 "CMAR-GMP Contingency" means the contingency included within the GMP for CMAR's use to cover <br /> unanticipated costs that do not result in a change to the GMP, as described in Article 5. <br /> 1.18 "Owner's Contingency" means funds held by the Owner outside the GMP for Owner-directed scope <br /> changes and other costs not covered by the GMP. <br /> 1.19 "Shared Savings" means the difference between the final approved GMP and the total actual cost of <br /> the Work upon Final Completion, to be allocated 75% to the Owner and 25% to the CMAR pursuant to <br /> Article 7. <br /> 1.20 "Key Personnel" means the CMAR staff identified in Exhibit C whose assignment to the Project <br /> requires Owner approval. <br /> 1.21 "Pre-Construction Fee" means the fixed fee for Phase 1 services as set forth in Article 3. <br /> 1.22 "CMAR Fee" means the fee for Phase 2 construction management services as set forth in Article 6. <br /> 1.23 "General Conditions" means the direct project costs for on-site management, supervision, and field <br /> support during Phase 2, as described in Article 6. <br /> 1.24 "Request for Information" or "RFI" means a written request from the CMAR to the Project Designer <br /> seeking clarification or interpretation of the Contract Documents. <br /> 1.25 "Liquidated Damages" means the daily amount payable by the CMAR to the Owner for each day of <br /> unexcused delay beyond the required Substantial Completion date, as set forth in Article 12. <br /> ARTICLE 2: GENERAL SCOPE AND CONTRACT STRUCTURE <br /> 2.1 This Contract is structured in two phases. Phase 1 (Pre-Construction Services) commences <br /> immediately upon execution. Phase 2(Construction Services)commences only upon execution of the GMP <br /> Amendment. The terms and conditions governing both phases are set forth herein. <br /> 2.2 The CMAR shall serve as the Owner's fiduciary pursuant to N.C. Gen. Stat. § 143-128.1(c), acting in <br /> the Owner's best interests at all times. The CMAR shall use its best efforts to complete the Project within <br /> the Total Construction Budget, on schedule, and in accordance with the Contract Documents. <br /> 2.3 The CMAR shall collaborate with the Owner and Project Designer as an integrated Project Team from <br /> the outset of design through Final Completion. The Project Team shall include the Owner, the Project <br /> Designer, and the CMAR. The Owner, subject to the BOCC's approval, shall be the final decision-making <br /> authority on all Project Team disputes, subject to the dispute resolution procedures in Article 23. <br /> 2.4 The Owner is not obligated to proceed to Phase 2. Execution of the GMP Amendment is entirely at the <br /> Owner's discretion and subject to the Board's approval of the GMP. If the Owner elects not to proceed to <br /> Page 3 of 35 <br />