AGREEMENT between BROWARD COUNTY and Cummings ...

Exhibit 2
Page 29 of 379
Terminal 4 Gate Replacement – Western Expansion
exceeds the CONTRACTOR’s Direct Construction Cost for such work, then the
deficiency will be taken by CPEAM from the CONTRACTOR’s Contingency Account.
7.3.2 During the progress of construction, the CONTRACTOR’s Contingency Account
within the GMP may be decreased and the surplus transferred to the COUNTY’s
Contingency Account by issuance of a CPEAM detailing the terms of the transfer and
documenting the mutual written consent of the CONTRACTOR and the CA, which
consent shall not be unreasonably withheld.
7.3.3 An adjustment of Contract Time may be issued by the CA consistent with Section 7.6
and the CA’s authority with a Change Order for Excusable Delays and for issues
involving the COUNTY's Contingency Account as described below.
7.4 Change Orders: If changes to subcontracted work affect the GMP, such changes shall be
accomplished in accordance with this Section 7.4, Change Orders.
7.4.1 Changes in the quantity or character of the Work within the scope of the Project
which are not properly the subject of Field Orders or Supplemental Instructions,
including changes resulting in changes in the Contract Price or the Contract Time,
shall be authorized only by written Change Orders approved and issued in
accordance with the provisions of the COUNTY Procurement Code, as amended
from time to time or as approved by the Board.
7.4.2 The CONTRACTOR’s fee on such changes shall be determined as follows:
7.4.2.1 A mutually acceptable fixed fee not to exceed four percent (4%) of the net
change to the Cost of the Work.
7.4.2.2 Subcontractors’ percentage markup on Change Orders for overhead and
profit shall be reasonable, but in no event shall the aggregate of the
Subcontractors’ overhead and profit markups exceed ten percent (10%) of
the net change to the Subcontractors’ Cost of the Work. In the event
Subcontractor is affiliated with the CONTRACTOR by common ownership or
management, or is effectively controlled by the CONTRACTOR, no fee will be
allowed on the Subcontractors’ costs. In the event there is more than one
level of Subcontractor, such as second and third tier Subcontractors, the sum
of all of the Subcontractors’ including any tiered Subcontractors’ percentage
markups for overhead and profit shall not in the aggregate exceed twelve
percent (12%) of the net change to the Subcontractors’ Cost of the Work.
7.4.2.3 Whenever a change in Subcontractor work is to be based on mutual
acceptance of a lump sum, whether the amount is an addition, credit or no
change-in-cost, CONTRACTOR shall submit to the CPM an initial cost
estimate obtained from the Subcontractor. The breakdown shall list the
quantities and unit prices for materials, labor, equipment and other items of
cost. Whenever a change involves more than one Subcontractor and the
change is an increase in the GMP, overhead and profit percentage of each
CM @ Risk Agreement R0787918R1 Page 28 of 85