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Article 2 of the Agreement is suppimented to include the following agreement of the parties: <br />C2.05 Compensation for Additional Services —Direct Labor Costs Times a Factor Method of Payment <br />A. Owner shall pay Engineer for Additional Services as follows: <br />1. General: For services of Engineer's personnel engaged directly on the Project pursuant to <br />Paragraph A2.01 or A2.02 of Exhibit A of the Agreement, except for services as a <br />consultant or witness under Paragraph A2.0l .A.20, (which if needed shall be separately <br />negotiated based on the nature of the required consultation or testimony) an amount equal <br />to Engineer's Direct Labor Costs times a factor of , plus related Reimbursable <br />Expenses and Engineer's ConsuItant's charges, if any. <br />B. Compensation for Reimbursable Expenses: <br />1. For those Reimbursable Expenses that are not accounted for in the compensation for <br />Basic Services under Paragraph C2.01 and are directly related to the provision of <br />Additional Services, Owner shall pay Engineer at the rates set forth in Appendix 1 to this <br />Exhibit C. <br />2. Reimbursable Expenses include the following categories: transportation and subsistence <br />incidental thereto; providing and maintaining field office facilities including furnishings <br />and utilities; toll telephone calls and mobile phone charges; reproduction of reports, <br />Drawings, Specifications, Bidding Documents, and similar Project -related items in <br />addition to those required under Exhibit A. In addition, if authorized in advance by <br />Owner, Reimbursable Expenses will also include expenses incurred for and the use of <br />highly specialized equipment. <br />3. The amounts payable to Engineer for Reimbursable Expenses, if any, will be the <br />Additional Services -related internal expenses actually incurred or allocated by Engineer, <br />plus all invoiced external Reimbursable Expenses allocable to such Additional Services, <br />the latter multiplied by a factor of <br />4. The Reimbursable Expenses Schedule will be adjusted annually (as of _) to reflect <br />equitable changes in the compensation payable to Engineer. <br />C. Other Provisions Concerning Payment for Additional Services: <br />1. Whenever Engineer is entitled to compensation for the charges of Engineer's Consultants, <br />those charges shall be the amounts billed by Engineer's Consultants to Engineer times a <br />factor of <br />Page t <br />Exhibit C— Compensation Packet AS-2: Additional Services — <br />Direct Labor Costs "times a Factor Method of Payment <br />EJCDC E-500 Agreement Between Owner and Engineer for Professional Services. <br />Copyright © 2008 National Society of Professional Engineers for EJCDC. All rights reserved. <br />