ARCHITECT’S DESIGN SERVICES

1. REGULAR SERVICES
1.1 The Architect, in regular practice, normally acts as his client’s or the Owner’s adviser. He
translates the Owner’s needs and requirements to spaces and forms in the best manner of
professional service he can render.

1.2 The Architect’s work starts at the very inception of the project when the Owner outlines his
requirements to him. It ranges through his study and analysis of the various aspects of the project,
goes through the preparation of the necessary instruments of service and through the multitude of
construction problems and does not terminate until the project is completed.

1.3 In effect, the Architect renders services whose sequence comes in four phases as follows:

a. Schematic Design Phase

b. Design Development Phase

c. Contract Document Phase

d. Construction Phase

1.4 Schematic Design Phase

a. Consults with the Owner to ascertain the requirements of the project and confirms such
requirements with him.

b. Prepares schematic design studies leading to a recommended solution including a

general description of the project for approval by the Owner.

c. Submits to the Owner a Statement of Probable Project Construction Cost based on

current cost parameters.

1.5 Design Development Phase

a. Prepares from approved Schematic Design Studies, the Design Development

Documents consisting of plans, elevations, and other drawings, and outline specifications,
to fix and illustrate the size and character of the entire project in its essentials as to kinds
of materials, type of structure, mechanical, electrical and sanitary systems and such other
work as may be required.

b. Submits to the Owner a further Statement of Probable Project Construction Cost.

1.6 Contract Documents Phase

a. Prepares from approved Design Development Documents, the complete

Construction Drawings and Specifications setting forth in detail the work required for the
architectural, structural, electrical, plumbing / sanitary, mechanical and other service-
connected equipment.

b. Prepares specifications describing type and quality of materials, finish, manner of

construction and the general conditions under which the project is to be constructed.

c. Furnishes the Owner not more than five (5) complete sets of all construction drawings,
specifications and general conditions for purposes of bidding.

d. Keeps the Owner informed of any adjustments to previous Statements of Probable

Project Construction Cost indicated by changes in scope, requirements or market
conditions.

e. Assist the Owner in filing the required documents to secure approval of government
authorities having jurisdiction over the design of the Project.
1.7 Construction Phase

a. Prepares forms for contract letting, documents for construction, forms for invitation and
instruction to bidders, and forms for bidders’ proposals.

b. Assist the Owner in obtaining proposals from Contractors, in preparing abstract of bids and in
awarding and preparing construction contracts.

c. When required in the contract, makes decision on all claims of the Owner and Contractors and
on all other matters relating to the execution and progress of work or the interpretation of the
contract Documents. Checks and approves samples, schedules, shop drawings and other
requirements subject to and in accordance with the descriptive information and provisions of the
Contract Documents, prepares change orders, gathers and turns over to the Owner written
guarantees required of the Contractors or sub-contractors.

d. Make periodic visits to the project site to familiarize himself with the general progress and quality
of the work and to determine whether the work is proceeding in accordance with the Contract
Documents. He shall not be required to make exhaustive or continuous 8-hour on-site supervision
to check on the quality of the work involved and he shall not be held responsible for the
Contractor’s failure to carry out the construction work in accordance with the Contract Documents.
During such project site visits and on the basis of his observations he shall report to the Owner
defects and deficiencies noted in the work of Contractors, and shall condemn work found failing to
conform to the Contract Documents.

e. Based on his observations and the Contractor’s Applications for Payment, he shall determine the
amount owing and due to the Contractors and shall issue corresponding Certificates for Payment
for such amounts.

2. PROJECT CLASSIFICATION

2.1 Architectural work varies in complexities and in the creative skill required to successfully meet
the requirements of the Client within the constraints of the technical, functional, economic, aesthetic
and other considerations.

2.2 These considerations imply that each design project can be determined only on its own merits.

2.3 The following groupings of buildings are attempts to classify them in accordance with the
degree of complexity of each structure.

2.4 Based on this grouping, corresponding graduated scale charges is prescribed to be able to
determine the fair remuneration to the Architect.

2.5 The Architect’s fee includes the normal structural, electrical, plumbing / sanitary, and
mechanical engineering services and is determined by getting the percentage indicated in the
Schedule of Minimum Basic Fee for specific group and multiplying it with the Project Construction
Cost.

2.6 The schedule of charges herein indicated are to be considered as the Minimum Basic Fee
since the Architects’ Charges also take into consideration his professional standing in the
community.
3. SCHEDULE OF MINIMUM BASIC FEE

3.1 Group I
Structures of simplest, utilization character which are without complication of design or detail and
require a minimum of finish, structural, mechanical, and electrical design.

Armories Parking structures

Bakeries Printing plants
Farm structures Public Markets
Service garages
Freight facilities Simple loft-type structures
Hangars
Industrial buildings Warehouses
Manufacturing / Industrial plants
Packaging and processing plants
And other similar utilization type buildings

PROJECT CONSTRUCTION COST MINIMUM BASIC FEE

P 50 Million and less ………………………. 6 Percent

Over P 50 Million to P 3,000,000 plus 5 percent

P 100 Million ……………………………….. of excess of P 50 Million

Over P 100 Million to P 5,500,000 plus 4 percent

P 200 Million ……………………………….. of excess of P 100 Million

Over P 200 Million to P 9,500,000 plus 3 percent

P 500 Million ……………………………….. of excess of P 200 Million

Over P 500 Million to P 18,500,000 plus 2 percent

P 1 Billion …………………………………… of excess of P 500 Million

Over P 1 Billion …………………………….. P 28,500,00 plus 1 percent

of excess of P 1 Billion

3.2 Group 2
Structures of moderate complexity of design requiring a moderate amount of structural, mechanical
and electrical design and research.

Art galleries Nursing Homes

Banks, Exchange and other Office Buildings
financial institutions Park, playground and open – air
Bowling Alleys recreational facilities
Churches and Religious facilities Police Stations
City Halls Post Offices
College buildings Private Clubs
Convents, Monasteries and Seminaries Publishing plants
Correctional and Detention Institutions Race tracks
Court Houses Restaurants
Dormitories Retail Stores
Exhibition Halls and Display structures Schools
Fire Stations Shopping centers
Laundries & cleaning facilities Specialty shops
Libraries Supermarkets
Motels and Apartels Welfare buildings
Multi-storey apartments
And other structures of similar nature or use

PROJECT CONSTRUCTION COST MINIMUM BASIC FEE

P 50 Million and less ………………………. 7 Percent
Over P 50 Million to P 3,500,000 plus 6 percent
 P 100 Million ……………………………….. of excess of P 50 Million
Over P 100 Million to P 6,500,000 plus 5 percent
P 200 Million ……………………………….. of excess of P 100 Million
Over P 200 Million to P 11,500,000 plus 4 percent
P 500 Million ……………………………….. of excess of P 200 Million
Over P 500 Million to P 23,500,000 plus 3 percent
P 1 Billion …………………………………… of excess of P 500 Million
Over P 1 Billion …………………………….. P 38,500,00 plus 2 percent
of excess of P 1 Billion
3.3 Group 3
Structures of exceptional character and complexity of design or requiring
comparatively large amounts of structural, mechanical and electrical design and
research.
Aquariums Laboratories
Atomic facilities Marinas
Auditoriums Medical office facilities & clinics
Airports Mental institutions
Breweries Mortuaries
Cold storage facilities Observatories
Communications buildings Public health centers
Convention Halls Research facilities
Gymnasiums Stadiums
Hospitals and Medical buildings Theaters and similar facilities
Hotels Veterinary hospitals
And other structures of similar nature or use
PROJECT CONSTRUCTION COST MINIMUM BASIC FEE
P 50 Million and less ………………………. 8 Percent
Over P 50 Million to P 4,000,000 plus 7 percent
P 100 Million ……………………………….. of excess of P 50 Million
Over P 100 Million to P 7,500,000 plus 6 percent
P 200 Million ……………………………….. of excess of P 100 Million
Over P 200 Million to P 13,500,000 plus 5 percent
P 500 Million ……………………………….. of excess of P 200 Million
Over P 500 Million to P 28,500,000 plus 4 percent
P 1 Billion …………………………………… of excess of P 500 Million
Over P 1 Billion …………………………….. P 48,500,00 plus 3 percent
of excess of P 1 Billion
3.4 Group 4
Residences (Single Detached or Duplex), small apartment houses and town houses.
MINIMUM BASIC FEE.…..10 Percent of PROJECT CONSTRUCTION COST
3.5 Group 5
Monumental buildings and other facilities requiring consummate design skill and
much precise detailing.
Exposition and Fair Buildings Specialized decorative buildings
Mausoleums, Memorials,
Monuments And structures of similar nature or use
Museums
MINIMUM BASIC FEE……12 Percent of PROJECT CONSTRUCTION COST
3.6 Repetitive Construction of Buildings
When the design of the Architect is used again for a repetitive construction of similar
structures, without amending the drawing and the specifications, the Architect’s fee
is computed as follows:
First structure ………………………………. Minimum Basic Fee
Second structure …………………………… 80 % of Basic Fee
Third structure ……………………………… 60 % of Basic Fee
Succeeding structure ……………………… 40 % of Basic Fee
3.7 Group 7 Housing Projects
When the Architect is engaged to undertake a HOUSING PROJECT involving the
construction of several residential units on a single site with the use of one basic
plan and specifications, the MINIMUM FEE chargeable thereunder shall conform
with the following :
First Unit …………………………………….. 10 Percent of the Construction
Cost of one unit as Basic Fee
From two to ten units ………………………. Fee of the 1 unit plus 60% of
Basic Fee for each additional unit
Eleven units and above ……………………. Fee for 10 units plus 30% of
Basic Fee for each additional unit
3.8 Group 8
Projects involving extensive detail such as furniture design, built-in equipment,
special fitting, screens, counters, interiors and other detailed parts of appurtenances
of buildings or structures and landscaping designs.
Minimum Basic Fee …………………. 15 Percent of Project Construction Cost
3.9 Group 9
For alterations and additions of existing structures belonging to Groups 1 to 5
enumerated above, compensation for services should be increased by 50 percent or
a total of 150 percent of the Basic Fee.
3.10 Group 10 Consultations and Arbitration
Where the Architect is engaged to render opinion or give advise, clarifications or
explanation on technical matters pertaining to his profession, the Minimum Fee
chargeable thereunder shall not be less than Two Hundred Pesos (P200.00*) per
appearance irrespective of whether the scheduled hearing took place or not.
*All references to fixed amount shall refer to the value of the Peso as of November
1979. Adjustment of the price shall be made at the time of the contract.
4. PAYMENT SCHEDULE
4.1 Payments on account of the Architect’s basic services shall be as follows:
a. Upon the signing of the Agreement a minimum payment equivalent to five
percent (5%) of the compensation for basic services.
b. Upon the completion of the Schematic Design Services, but not more than 15
days after submission of the Schematic Design to the Owner, a sum equal to fifteen
percent (15%) of the Basic Fee, computed upon a reasonable estimated
construction cost of the structure.
c. Upon the completion of the Design Development Services, but not more than 15
days after submission of the Design Development to the Owner, a sum sufficient to
increase the total payments on the fee to thirty-five percent (35%) of the Basic Fee
computed upon the same estimated construction cost of the structure as in (b).
d. Upon the completion of the Contract Document Services but not more than 15
days after submission of the Contract Documents to the Owner, a sum sufficient to
increase the total payments on the fee to Eighty-five percent (85%) of the Basic Fee
computed upon a reasonable estimated construction cost of the structure as in (b).
e. Within 15 days after the awards of Bids, the payment to the Architect shall be
adjusted so that it will amount to a sum equivalent to eighty-five percent (85%) of the
Basic Fee, computed upon the winning Bid Price.
f. Upon completion of the construction work, the balance of the Architect’s fee,
computed on the Final Project Construction Cost of the structure shall be paid.
4.2 The Owner shall make partial payments during each of the various stages of the
Architect’s work, upon request of the Architect, provided that such payments are within
the framework of the manner of payments outlined above.
5. OWNER’S RESPONSIBILITIES
5.1 Provide full information as to his requirements for the project.
5.2 Designate when necessary, representative authorized to act in his behalf. Examine
documents submitted by the Architect and render decisions pertaining thereto promptly,
to avoid unreasonably delay in the progress of the Architect’s work. Observe the
procedure of issuing orders to contractors only through the Architect.
5.3 Furnish or direct the Architect to obtain at the Owner’s expense, a certified survey of
the site, giving, as may be required, topographical surveys, grades and lines of streets,
alleys, easements, encroachments, zoning, and deed restrictions, boundaries, with
dimensions and complete data pertaining to existing buildings, and other improvements
and full information as to available utility service lines both public and private; and test
boring and pits necessary for determining sub-soil conditions.
5.4 Pay for structural, acoustic, chemical, mechanical, soil mechanics or other tests and
reports as may be required for the project.
5.5 Pay for design and consultancy services on acoustic, communication, electronic,
and other specialty systems which may be required for the project.
5.6 Arrange and pay for such legal, auditing, and insurance counseling services as may
be required for the project.
5.7 Pay for all reimbursable expenses incurred in the project as called for in Section 6 “
Other Conditions on Services” and all taxes (not including income tax) that the
government may impose on the Architect as a result of the services rendered by the
Architect on the project whether the services were performed as an individual
practitioner, as a partnership or as a corporation.
5.8 If the Owner observes or otherwise becomes aware of anything that may impair the
successful implementation of the project, he shall give prompt written notice thereof to
the Architect.
6. OTHER CONDITIONS ON SERVICES
6.1 Conditions for Minimum Basic Fee
The “Minimum Basic Fee” referred in Section 3.0 applies to construction work done
by a Contractor on the basis of a Lump Sum Contract. Construction works that are
let on cost-plus-fee basis, or on any basis other than the Lump Sum contract, where
the Architect has to render additional services shall be subject to additional
compensation commensurate with the additional services required. Such additional
compensation shall be in addition to the Minimum Basic Fee.
6.2 Other Professional Services
The Architect’s fee includes normal structural, electrical, plumbing / sanitary and
mechanical engineering services. Other services that may be needed in order to
complete the project such as services of acoustic and illumination engineers, mural
painters, sculptors, interior decorators and landscape architects are to be
recommended by the Architect for the Owner’s approval and costs for these services
are to paid for separately by the Owner.
6.3 Miniature Models
The Architect may make and include miniature models of his design studies as part
of his preliminary work if he so deems it to be necessary but no extra charge for
such miniature models shall be made by the Architect. However, if the Owner
desires to have a miniature model of the final and approved design for exhibition and
display purposes, the Owner shall pay for the cost of said miniature model.
6.4 Per Diem and Traveling Expenses
A per diem of not less than P500.00* plus travelling and living expenses shall be
chargeable to the Owner on any occasion where the Architect or his duly authorized
representative shall be required to perform services at a locality beyond the radius of
100 kilometers from his established office.
6.5 Extra Sets of Contract Documents
The Architect shall furnish the Owner five (5) sets of Drawing, Specifications and
other contract documents. Cost of printing or reproduction of extra sets of Contract
Documents when required by the Owner or his representative is to be charged to
and paid for by the Owner.
6.6 Changes Ordered by the Owner
If the Architect is caused additional professional services, extra drafting or other
office expenses due to changes ordered by the Owner after approval of the Design
Development Documents, he shall be paid for such expenses and services involved.
The amount of compensation and the extension of time for the completion of the
documents shall be upon mutual agreement of both parties.
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*All references to fixed amount shall refer to the value of the Peso as of November
1979. Adjustment of the price shall be made at the time of the contract.
6.7 Work Suspended or Abandoned
If the work of the Architect is abandoned or suspended, in whole or in part, the
Architect is to be paid by the Owner for the services rendered corresponding to the
fees due at the stage of suspension or abandonment of the work.
The primary service of the Architect is the preparation of plans, specifications and
other building construction documents which are actually sets of detailed instructions
that shall serve as the basis for the Contractor to build the project. Once the
Architect has prepared all these documents he has completed the Contract
Documents Phase of his services which is equivalent to EIGHTY FIVE PERCENT
(85%) of his work. The remaining FIFTEEN PERCENT (15%) of his work is broken
down as follows:
TEN PERCENT (10%) for the Architect’s liability under the Civil Code – and –
FIVE PERCENT (5%) for the construction phase service which includes preparation
of contract document forms and periodic visits during the construction.
When the OWNER therefore fails to implement the plans and documents for
construction as prepared by the Architect, the Architect is entitled to receive as
compensation the sum corresponding to EIGHTY FIVE (85%) PERCENT of his fee.
6.8 Different Periods of Construction
If portions of the buildings are erected at different periods of time, thus increasing
the Architect’s construction phase period and burden of services rendered during the
construction phase shall be doubled. A suspension of construction for a period not
exceeding six (6) months shall not be covered by this provision.
6.9 Services of Consultants
If the Owner desires to engaged special consultants, such consultants shall be with
the consent of the Architect and the cost of their services shall be paid for separately
by the Owner and shall not be deducted from the fees due the Architect.
6.10 Separate Services
Should the Owner require the Architect to design or plan moveable or fixed pieces of
furniture, cabinets, covered walks, grottos, pools, landscaping and other items of
similar nature, the Owner shall pay the Architect in addition to the Minimum Basic
Fee, a compensation in the amount of Fifteen Percent (15%) of the Construction
Cost of the above work.
6.11 Full - Time Supervision
Upon recommendation of the Architect and with the approval of the Owner, full-time
construction inspection as will be deemed necessary shall be engaged and paid for
by the Owner. The full-time construction inspectors shall be under the technical
control and supervision of the Architect as to the progress and quality of the work
done.
6.12 Estimate
Any Statements of Probable Construction Cost, or any Semi-Detailed or Detailed
Cost Estimates submitted by the Architect is accurate only up to a certain degree.
This is so because the Architect has no control over the cost of labor and materials,
or many factors that go into competitive bidding.
6.13 Government Taxes on Services
The Architect’s Fee as stipulated in Section 3 “ Minimum Basic Fee” is net to the
Architect. Any tax that the government may impose on the Architect as a
consequence of the services performed for the Project (exclusive of income tax)
shall be paid by the Owner.
6.14 Ownership of Documents
All designs, drawings, models, specifications and copies thereof, prepared and
furnished by the Architect in connection with any project are instruments of
professional service. As instruments of service they are the property of the Architect
whether the work for which they were made may be executed or not, and are not to
be reproduced or used on other work except with a written agreement with the
Architect. This is in pursuance with the pertinent provisions Republic Act 545
promulgated on June 17, 1950 and of Presidential Degree No. 49 on the “Protection
of Intellectual Property” issued on November 14, 1972.
6.15 Cost Records
During the progress of work the Owner shall furnish the Architect two (2) copies of
records of expenses being incurred on the construction. Upon completion of the
project, the Owner shall furnish the Architect two (2) copies of the summary of all
cost of labor, services, materials, equipment, fixtures and all items used at and for
the completion of the construction.
6.16 Design and Placement of Signs
All signboards of contractors, sub-contractors, jobbers and dealers that shall be
placed at the project site during the progress of construction shall be approved by
the Architect as to size, design and contents. After the completion of the project, the
Owner or his building lessee shall consult the Architect for the design and size of all
signboards, lettering, directories and display boards that will be placed on the
exterior or public areas attached to the building, in order to safeguard the Owner’s
interest that nothing will be installed inside or outside of the building that would mark
the safety and aesthetics of the structure.
6.17 Project Construction Cost
Project Construction Cost herein referred to, means the cost of the Owner including
plumbing and electrical fixtures, mechanical equipment, elevators, escalators, airconditioning
system, automatic fire sprinkler system, alarm and clock system,
communications and electronic system, elements attached to the building and all
items indicated in the drawings designed by or specified by the Architect and his
consultant. Other items if designed and planned by the Architect, such as movable
or fixed pieces of furniture, cabinets, covered walks, grottos, pools, landscaping and
other items of similar nature are to be paid for separately by the Owner to the
Architect as stipulated in Section 6.10 (Separated Services)
The Project Construction Cost does not include any Architect’s fee or Engineer’s fee
or the salaries of the construction inspectors. When labor or materials are furnished
by the Owner below its market cost, the cost of the work shall be computed upon
such current market-cost, the cost of the work shall be computed upon such current
market-cost.