Method of Payment

METHOD OF PAYMENT

SPECIAL REQUIREMENTS

LUMP SUM

February 28, 2001

When the method of payment for work and services is Lump Sum, the following provisions apply:

1.  Method of Payment

A.  The method of payment for work and services shall be a Lump Sum amount together with Direct Costs Other Than Payroll and Subcontractor’s Direct Costs Other Than Payroll and Non-Professional Costs paid on the basis of certified invoices.

B.  Remuneration of principals or employees proposed to perform work under the Lump Sum method of payment shall be limited to $55.00 per hour, or their audited actual remuneration, whichever is less, for estimating the Lump Sum amount.

C.  The Lump Sum amount includes Direct and Indirect Payroll charges and profit for the Consultant and all Subconsultants. All other charges are to be invoiced at actual cost.

2.  Compensation

The Consultant shall be reimbursed as provided in its Price Proposal, which is made a part of this Agreement by reference as further provided hereinafter.

A.  Lump Sum

The Consultant shall be reimbursed for work and services completed as a percentage of the Lump Sum amount as further provided for under the Department approved invoice template supplied through ECMS.

B.  Direct Costs Other Than Payroll

The Consultant shall be reimbursed for actual Direct Costs Other Than Payroll incurred in the performance of this Agreement as provided for under the Department approved invoice template supplied through ECMS.

C.  Subcontractor’s Direct Costs Other Than Payroll and Non- Professional Costs

The Consultant shall be reimbursed for the actual Subcontractor’s Direct Costs Other Than Payroll and Non-Professional Costs as provided for under the Department approved invoice template supplied through ECMS. This category of compensation does not include Direct and Indirect Payroll Cost and profit for Subconsultants, which is included in the Lump Sum amount.