Louisiana Administrative Code › Title 34 - GOVERNMENT CONTRACTS, PROCUREMENT AND PROPERTY CONTROL › Part III - Facility Planning and Control › Chapter 1 - Capital Improvement Projects › Subchapter A - Procedure Manual › Section III-109 - Compensation

Current through Register Vol. 50, No. 6, June 20, 2024
A. The fee for
				  basic services to be paid to the designer shall be as follows.
1. The fee for basic services, shall be
				  calculated as the product of the fee percentage, adjusted for inflation, and
				  the Available Funds for Construction (AFC), adjusted for inflation. The fee
				  percentage shall be computed by the formula.
FEE PERCENTAGE = 46.10/ Log (AFC (1975 BCI/Current
					 BCI))
The fee shall be computed by the following formula:
FEE = FEE PERCENTAGE (AFC(1975 BCI/Current BCI)(Current
					 CPI/1975 CPI)
Where "BCI" = Building Cost Index as published by
					 Engineering News Record and "CPI" = Consumer Price Index as published by U.S.
					 Department of Labor, Bureau of Labor Statistics. Since the annual averages
					 computed in December of the BCI and CPI are used, fee calculations are based
					 upon the most current calendar year average of both indices.
a. Should fee modifications occur during the
				  course of the project, the BCI and CPI index factors used to calculate the
				  original fee shall be used.
b. If a
				  project, through no fault of the designer, is inactive for more than 24 months,
				  the current BCI and CPI index factors shall be applied to the projects
				  remaining phases once re-activated, unless the new index factors reduce the
				  fee. In that case, the index factors shall not be revised.
c. Multiple construction contracts. If the
				  owner determines that the best interest of the project is served by bidding and
				  constructing the project under two or more separate construction contracts, the
				  design fee shall be established for each portion by application of the formula
				  and modification factors herein.
d.
				  Fee adjustments for alternates are as follows.
i. If an alternate, pre-approved by the
				  owner, has a cost estimate within the AFC, the designers compensation for said
				  alternate is already included within the designers base fee.
ii. If an alternate, pre-approved by the
				  owner, has a cost estimate in excess of the AFC, the designer shall receive
				  compensation for the value above the AFC for that portion of the phase
				  completed as described in
				  §111.A.1.a (by
				  increasing the AFC for designer fee purposes). If an alternate is based on a
				  substitute system requiring additional design effort, then the total estimated
				  cost shall be used in determining the AFC for design fee purposes for phases
				  completed. If the scope contained in that alternate is not awarded at bid, but
				  later included as a change order and the designer compensated per
				  §111.A.1 a, the
				  compensation shall be adjusted such that the designer shall not be compensated
				  twice for the same work.
iii. If
				  the lowest bona fide base bid, is less than 90 percent of the AFC, refer to
				  §107.E regarding any
				  additional compensation for alternates and change orders.