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<br /> <br />Page 2 <br />Exhibit C – Compensation Packet BC-5: Basic Services (other than RPR) – Direct Labor Costs Plus Overhead Plus a Fixed Fee <br />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 /> <br /> <br />5. The total estimated compensation for Engineer’s services, included in the breakdown by <br />phases as noted in Paragraph C2.01.A.3, incorporates all labor, overhead, fixed fees, <br />Reimbursable Expenses, and Engineer’s Consultant’s charges. <br />6. es. <br />7. The portion of the amounts billed for Engineer’s services will be based on the applicable <br />Direct Labor Costs for the cumulative hours charged to the Project during the billing period <br />by Engineer’s employees plus overhead, Reimbursable Expenses, Engineer’s Consultant’s <br />charges, and the proportionate portion of the fixed fee. <br />8. Direct Labor Costs means salaries and wages paid to employees but does not include <br />payroll-related costs or benefits. <br />9. Overhead includes the cost of customary and statutory benefits including, but not limited <br />to, social security contributions, unemployment, excise and payroll taxes, workers’ <br />compensation, health and retirement benefits, bonuses, sick leave, vacation, and holiday <br />pay applicable thereto; the cost of general and administrative overhead which includes <br />salaries and wages of employees engaged in business operations not directly chargeable to <br />projects, plus non-Project operating costs, including but not limited to, business taxes, <br />legal, rent, utilities, office supplies, insurance, and other operating costs. Overhead shall be <br />computed as a percentage of Direct Labor Costs. Fixed fee is the lump sum amount paid to <br />Engineer by Owner as margin or profit and will only be adjusted by an amendment to this <br />agreement. <br />10. business operations not directly chargeable to projects, plus non-Project operating costs, <br />including but not limited to, business taxes, legal, rent, utilities, office supplies, insurance, <br />and other operating costs. Overhead shall be computed as a percentage of Direct Labor <br />Costs. Fixed fee is the lump sum amount paid to Engineer by Owner as margin or profit <br />and will only be adjusted by an amendment to this agreement. <br />11. , business taxes, legal, rent, utilities, office supplies, insurance, and other operating costs. <br />Overhead shall be computed as a percentage of Direct Labor Costs. Fixed fee is the lump <br />sum amount paid to Engineer by Owner as margin or profit and will only be adjusted by an <br />amendment to this agreement. <br />12. Direct Labor Costs and Overhead applied to Direct Labor Costs will be adjusted annually <br />(as of ____________) to reflect equitable changes in the compensation payable to <br />Engineer. <br />C2.02 Compensation for Reimbursable Expenses <br /> <br />A. Owner shall pay Engineer for all Reimbursable Expenses at the rates set forth in Appendix 1 to this <br />Exhibit C. <br />B. Reimbursable Expenses include the following categories: transportation and subsistence incidental <br />thereto; providing and maintaining field office facilities including furnishings and utilities; toll