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Dear {names},
Thank you for the opportunity to be involved in the design of your home at Abbey Caves road.
Based in our preliminary discussions on the 25th of last month, I have prepared the following Offer of Service for your consideration. It includes a few notes I have recorded so far, which you may like to amend or add to in order to further define the brief. When you have had the chance to read through this document, and if you agree with the terms outlined, please do sign the last page where indicated on both copies and return one of them to me.
Date: 20th August 2013 This Offer of Service remains valid for one month after the date shown above.
Budget
$600,000 not including connection to services.
Timeline
From the time you approve this document, I need:
3 to 5 weeks to create a floor plan and elevations, as well as some 3D views for you to consider.
These will be left with you for as long as you wish, and we will have another meeting at your convenience once you decide to go forward with the project.
2 to 4 weeks will then be needed for feedback and review.
6 to 8 weeks after this to complete the job and create all necessary documents for the Building Consent.
These times are approximate and do not include the time which documents spend with you, or delays when waiting for engineers.
Scope of Work
You require my services to prepare documents sufficient only to obtain a building consent for your project and to attend the site when requested to answer specific questions concerning design problems, or the building consent documents.
Liabilities
While I may visit the site for this purpose, I will not have any obligation to ensure that the construction work in general is in accordance with the building consent documents and there is no general duty cast on me, the Designer, to supervise, to inspect, or generally to observe the progress of the works.
Consequently, I will not be liable to you (in contract, tort, or otherwise) for any claim, damage, liability, loss, or expense incurred by you arising in any way in relation to the contractor not carrying out and/or completing the contract works as described in the construction contract, or as required by you.
I accept no responsibility for signing off any works (e.g. Practical Completion) where I have not been commissioned to fully observe and administer the works. Any visit to the site by myself, the Designer, will be on the condition that I shall not be deemed to have inspected any other part of the construction works.
Building Consent
I shall carry out all the work required to obtain Building Conset for your home on Abbey Caves road (as generally described in this document) to the best of my ability for the fees set out on page three. The project to Building Consent is usually divided into three stages as below (work only proceeds to the next stage upon your written approval of the preceding stage).
Initial investigations and Concept design:
Collect site information – site measure, collect Land and Survey information, site photographs, existing drawings
Check WDC planning rules
Commence concept design – sketches: concept plans and elevations
Meeting(s) to discuss concept drawings
Revision of design for client approval
PIM application (with floor plan)
Developed design
Research specific items if necessary
Develop schedule of materials for approval
Develop structural system and junction/connection details
These rates are subject to annual review, you will be advised of any change as necessary, and our fee will be revised accordingly and/or re-negotiated.
I am happy to work on an hourly basis or alternatively on a percentage basis of the cost of the project. The percentage charge for my services is a fee of 4% of the contract price of the work + disbursements + GST.
With an overall building value of $500,000 and GST 15% + disbursements (printing, travel @ 70¢/km) $300, my total fee for completing the required work would be: $23,300. This would be broken into stages as follows:
Stage
Percentage of total
Fee ($)
1
Concept and initial investigation
25%
5,825
2
Developed Design
20%
4,660
3
Building Consent documentation
55%
12,815
Total to Building Consent
100%
23,300
The above is based on an assumed figure for the project cost. The fee equates to approximately 100 Designer hours and 400 Draughtsman hours, which is generally in keeping with the time I anticipate spending. If it appears more work will be required I will seek your approval before proceeding.
My charges are invoiced monthly in relation to the proportion of work completed. Invoices are to be paid within 14 days of issue. Work only proceeds on payment of outstanding accounts. Any cost incurred in debt collection will be at the client's expense.
My fee allows for one revision of the design as shown in the Scope of Work. My fee does not allow for the work of other consultants such as Engineers, Land Surveyors, Quantity Surveyors, Landscape Architects. Where the work of such consultants is required, they will be separately contracted to you. My fee does not allow for any work required in obtaining additional consents such as a Resource Consent or a Land Use Consent. Nor does it allow for site observation during construction. Any such additional work will be charged at my hourly rates shown above.
I look forward to working with you;
Sincere regards,
Félix Saparelli
I (full name) ____________________________ accept the above Offer of Service dated 20th August 2013.
Signature: _______________________________ Date: ___________________