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<br />$,3, Other Provisions Concerning; Pa~~ments.
<br />5,3, 1. if OWNER fails to make any payment due
<br />ENGINEER for services and expenses within thirty
<br />days after receipt of ENGINEER'S statement therefor,
<br />the amounts due ENGINEER will be increased at the.
<br />rate of 1% per month from said thirtieth day, and in
<br />addition, ENGINEER may, after giving seven days'
<br />written notice to OWNER, suspend services under this
<br />Agreement until ENGINEER has been paid in full all.
<br />amounts due for services, expenses and charges.
<br />-5.3.2. In the event of termination by OWNER under
<br />paragraph 7.1 upon the completion of any phase of the
<br />Basic Services, progress payments due ENGINEER
<br />for services rendered through such phase shall consti-
<br />tute total payment for such services. In the event of
<br />such termination by OWNER during any phase of the
<br />Basic Services, ENGINEER will be paid for services
<br />rendered during tha~i phase on the basis of ENGI-
<br />NEER's Salary Costs times a factor of " ' for
<br />services rendered during that phase to date of termi-
<br />nation by ENGINEER'S principals and employees
<br />engaged directly on the Project. In the event of any
<br />such termination, ENGINEER also will be reimbursed
<br />for the charges of independent professional associates.
<br />and consultants employed by ENGINEER to render
<br />Basic Services, and paid for all unpaid Additional Ser-
<br />vices and unpaid Reimbursable Expenses, plus all ter-
<br />mination expenses. Termination expenses mean Reim-
<br />bursable Expenses directly attributable to termination,
<br />which, if termination is at OWNER's convenience,
<br />shall include an amount computed as a percentage of
<br />total compensation for Basic Services earned by ENGI-
<br />NEER to the date of termination, as follows:
<br />20% if termination occurs after commencement of
<br />the Preliminary Design Phase but prior to commence-
<br />ment of the Final Design Phase; or
<br />10~/c, if termination occurs after commencement of
<br />the Final Design Phase:
<br />5.3.3. Records of ENGINEER'S Salary Costs perti-
<br />nent to ENGINEER'S compensation under this Agree-
<br />ment will be kept in accordance with generally accepted
<br />accounting practices. Copies will be made available to
<br />OWNER at cost on request prior to final payment for
<br />ENGINEER'S services.
<br />x.3.4. Whenever a factor is applied to Salary Costs in
<br />determiningcompensationpayable to ENGINEEKthat
<br />factor will be adjusted periodically and equitably to
<br />reflect changes in the various elements that comprise
<br />such factor. All such adjusuncnts will be in accordai~cc
<br />with generally accepted ar.:ounting practices as applied
<br />on a consistent hash by ENGINEER and consistent
<br />with ENGINLER's overall compensation practices and
<br />praccdures.
<br />5.4, .Definitions..
<br />5.4.1. The Salary Costs used as a basis for payment
<br />mean salaries and wages (basic and incentive). paid to
<br />all ENGINEER'S personnel engaged directly on the
<br />Project, including,. but not limited to, engineers, archi-
<br />tects, surveyors, designers, draftsmen, specification
<br />writers, estimators, other technical and business per-
<br />sonnel; plus the cost of customary and statutory ben-
<br />efits including, but not limited to, social security con-
<br />tributions, unemployment, excise and payroll taxes,
<br />workers' compensation, health and retirement benefits,
<br />sick leave, vacation and holiday pay and other group
<br />benefits. For the purposes of this Agreement, the prin-
<br />cipals of ENGINEER and their current hourly Salary
<br />Costs. are:
<br />See Attached Itemization by Employee
<br />Classification -SEE PAGE 12a
<br />The hourly Salary Costs of principals of ENGINEER
<br />will be adjusted equitably to reflect changes in person-
<br />nel and in ENGINEER'S overall compensation pro-
<br />cedures and practices.
<br />The amount of customary and statutory benefits of all
<br />other personnel of ENGINEER will be considered equal
<br />to 140 % of salaries and wages, subject to equi-
<br />table adjustment to reflect changes in ENGINEER'S
<br />overall compensation procedures and practices.
<br />5.4.2. Reimbursable Expenses mean the actual expenses
<br />incurred by ENGINEER or ENGINEER'S indepen-
<br />dent professional associates or consultants, directly or
<br />indirectly in connection with the Project, such as
<br />expenses for: transportation and subsistence incidental
<br />thereto; obtaining bids or proposals from Contractor(s);
<br />providing and maintaining field office facilities including
<br />furnishings and utilities; subsistence and transportation
<br />of Resident Project Representatives and their assis-
<br />tants; toll telephone calls and telegrams: reproduction
<br />of reports, Dra~~ ings, Specifications. Bidding Docu-
<br />ments, and similar Project-related items in addition to
<br />those required under Section 1; and, if authorized in
<br />advance by OVvtiER, overtime work requiring higher
<br />than regular rate.
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