Proffessional Practice 3 Reviewer
Proffessional Practice 3 Reviewer
Proffessional Practice 3 Reviewer
in advance
Time based fees are typically used for
METHODS OF COMPENSATION Services which are not well defined
Pre-design services
Three Main Types Partial services
Additional services
Percentage-based Fee
Services as an expert witness
Lump Sum or Fixed Fee
Specialist expertise or professional
Time Basis architectural consultancy services
Percentage-based Fee Hourly rates for Architects will correspond to
the local market, experience and expertise, and
a) Percentage based on Project Construction Cost to other licensed professionals in the region
Most common world-wide Hourly rate can utilize fixed rates or fee
Amount of percentage is related to the size and multiplier. Two types of multiplier.
type of the project Direct Salary Expenses
Professional Fee (PF) is determined by Direct Personnel Expenses – most
multiplying the specified percentage to the common. Includes architect, consultant,
Project Construction Cost (PCC) technical staff, researchers and others in a
Probable Project Construction Cost project per hour
(PPCC) – estimated Multiple of Direct Personnel Expenses
Awarded Project Construction Cost Applicable only to non-creative
(APCC) – bid work/technical services
Final Project Construction Cost (FPCC) – Multiplier ranges from 1.5 to 2.5
actual depending on the office setup, overhead
Flexible an easy to apply. PF adjusts to the and experience of Architect and project
changes complexity.
Detailed Architectural and Engineering Design Formula
Services (DAEDS) – most common type of A = Architect’s rate/hour
contract. Structural, Pluming, Sanitary, C = Consultant’s rate/hour
Mechanical and Electrical systems T = technical staff, inspectors and
Detailed Architectural Design Services other’s rate/hour
(DADS) – separate contract for architectural n = no. of hours
services. Excludes all engineering M = Multiplier (1.5-2.5)
DADS constitute 60% of PF for DAEDS R = Reimbursement expenses
b) Unit Cost Method
Based on cost per square meter of the project Direct Cost = An + Cn + Tn
Computed cost per area may be derived from Fee = Direct Cost x M
historical data Total Cost of Service charged to
Gross Floor Area (GFA) – contained within Client = Fee + R
the building a) Professional Fee Plus Expenses
Formula Frequently used where there is continuing
GFA PF = Average PCC per sqm x relationship on a series of project
percentage x GFA b) Per Diem, Honorarium plus Reimbursable
Non GFA PF = 50% of % x Non GFA Expenses
c) Value-based Pricing/Percentage of Gross Rentals Client may request an Architect to do work
Based on the outcome of revenue which will require his personal time
c) Salary cost times multiplier, plus direct cost or
Lump Sum or Fixed Fee reimbursable expenses
Based on the total basic salaries (Direct Salary
Used when the scope of services required can Expenses) of all Professional Consulting
be clearly and fully defined at the outset of the Architects (PCAs) and their staff multiplied by
project a factor from 3 as a multiplier plus
Two methods reimbursable expenses to the PSA
Appropriate percentage of the PPCC Formula
Direct development of fixed amount of Fee = Salary Cost x Multiplier (factor
compensation from 3.0) + Reimbursable Expenses
Time basis Best suited for projects which costs are
difficult to predetermine or if it is necessary to
Charged on an agreed hourly (man-hours), undertake experimental/investigative work that
daily (per diem) or per month rate alter the scope of the project
Cannot be used to compensate services that Design-Build Services (SPP Doc. 207)
cannot be measured by the length of time spent Architectural Design Competition (SPP Doc.
on his work 208)
Another payment by this method is made up of Professional Architectural Consulting Services
the reimbursable costs which are billed to the (SPP Doc. 209)
client with receipts and other documents
d) Per Diem or Hourly Basis
Suited to engagements involving intermittent Pre-Design Services (SPP Doc. 201)
personal service. Additional expenses for a) Manner of Providing Services
travel subsistence and other out-of-pocket Proposal for pre-design services
expenses shall be reimbursed by the client Scope of Work – Consultation, Pre-
Suited for consultation services, testimony in Feasibility Studies, Feasibility Studies,
court or other similar work Site Selection and Analysis, Site
Most architects have standard published Utilization and Land-Use Studies,
schedules of hourly rate for technical and non- Architectural Research, Architectural
technical employees Programming, Space Planning, Space
Sub-consultant and reimbursable direct Management Studies, Value Management,
expenses are usually billed at invoice cost plus Design Brief Preparation, and Promotional
an agreed service charge for handling Services
e) Retainer Manner of Payment
Used when the services of a PCA is expected Owner’s Responsibilities
at intervals over a period of time Other Conditions of Services
Stipulated amount is paid at regular intervals. Ways Architect can render services
All additional services are paid separately. In Individual Architect must have special
addition to that. Client have to pay training and knowledge
reimbursable expenses Architect’s Own Staff
Common practice for clients who wish to be By Association, Consultation or
assured of availability of services of an Networking
Architect or firm. b) Method of Compensation
Used when services do not require full-time Multiple of Direct Personnel Expense
basis Professional Fee Plus Expenses
Varies with the character and value of services Lump Sum or Fixed Fee
and reputation of consultant Per Diem, Honorarium Plus Reimbursable
f) Mixed Methods of Compensation Expenses
It is advisable to use s combination of various Mixed Methods of Compensation
methods of compensation c) Professional Fee
Example: Pre-Design and Construction Based on skill, experience and difficulty of
Services – Multiple of Direct Personnel services
Expense; Regular and Specialized Allied Architect should request 5% acceptance fee
Design Service – Percentage of PCC based on the agreed PF upon sighing of the
agreement
Clients shall make progress payment within 7
SCHEDULE OF FEES ON ALL TYPES OF calendar days
ARCHITECTURAL SERVICES
Regular Design Services (SPP Doc. 202)
Major Architectural Services
Architect acts as the Owner’s/ Client's/
Pre-Design Services (SPP Doc. 201) Proponent’s Adviser and/or Representative
Regular Design Services (SPP Doc. 202) Architectural plan and design of the building
Specialized Architectural Services (SPP Doc. a) Scope of Services
203) Project Definition Phase
deals with specific expertise for further Schematic Design Phase
enhancement of the architectural interior Contract Document Phase
and exterior components of a project. Bidding or Negotiation Phase
Full-Time Supervision (SPP Doc. 204-A) Construction Phase
Necessary when a project becomes more b) Manner of providing Services
complex DAEDS
Construction Management (SPP Doc. 204-B) DADS
Post-Construction Services (SPP Doc. 205) c) Method of Compensation
Comprehensive Architectural Services (SPP
Doc. 206)
Percentage (%) of Project Construction Cost Over 50M-100M 3M + 5%
(PCC) Over 100M-200M 5.5M + 4%
Unit Cost Method based on Project Over 200M-500M 9.5M + 3%
Construction Cost Over 500M-1B 18.5M + 2%
Professional Fee plus Expenses Over 1B 28.5M + 1%
Lump Sum or Fixed Fee
Per Diem. Honorarium Plus Reimbursable PCC RPF for DADS
Expenses ≤50 M 3.6%
Multiple of Direct Personnel Expenses Over 50M-100M 1.8M + 3%
Mixed Methods of Compensation Over 100M-200M 3.3M + 2.4%
d) Recommended Professional Fee Over 200M-500M 5.7M + 1.8%
Group 1 Over 500M-1B 11.1M + 1.2%
Simplest utilization and character Over 1B 17.1M + 0.6%
Group 3
Exceptional Character and Complexity
RFP
DAEDS 10% of PCC
DADS 6% of PCC
Group 5
Monumental buildings
RFP
DAEDS 12% of PCC
DADS 7.5% of PCC
PCC RPF for DAEDS
≤50 M 6%
Group 6 Payments shall be made on the different phases
Plan/design are reused for repetitive of the work of the architect
construction Signing of the Service Agreement
5% of the agreed PF. PF is based on the
RPF Statement of Probable Project
1st Buillding 100% RPF fpr type of Construction Cost (SPPCC)
building
Schematic Design Phase
2nd Buillding 50% RPF fpr type of
Not more than 15 days after the
building
submission, payment of 15% of the PF
3rd Buillding 40% RPF fpr type of
building shall be made.
4th Buillding 30% RPF fpr type of Design Development Phase
building Not more than 15 days after the
submission, payment of 20% of the PF
shall be made
Group 7 Contract Document Phase
Housing project involving several Not more than 15 days after the
residential units in a single site submission, payment of 50% of the PF
shall be made
No. of Units RPF
DAEDS DADS Bidding or Negotiation Phase
1 unit 10% of PCC 6% of PCC Within 15 days after the winning, payment
2-10 units 1-unit Fee + 50% 1-unit Fee + 30% of 90% of the PF shall be made
RPF each RPF each Construction Phase
additional unit additional unit 5% for Architect’s Liability
11-30 units 10-unit Fee + 10-unit Fee + 5% for the Periodic Construction
40% RPF each 24% RPF each Supervision (PCS)
additional unit additional unit Upon Completion of the work, the balance
31-50 units 30-unit Fee + 30-unit Fee + of the Architect shall be paid based on the
25% RPF each 50% RPF each Final Project Construction Cost (FPCC)
additional unit additional unit
51+ units 50-unit Fee + 50-unit Fee + 9% Signing of the Service Agreement 5% of PF
15% RPF each RPF each Schematic Design Phase 15% of PF
additional unit additional unit Design Development Phase 20% of PF
Contract Document Phase 50% of PF
Bidding or Negotiation Phase Must be at
Group 8 90% of PF
extensive detail such as designs for built- Construction Phase 10% of PF
in components or elements, built-in
equipment, special fittings, screens,
counters, architectural interiors (AI), and Specialized Architectural Services (SPP Doc. 203)
development planning and/or design
deals with specific expertise for further
enhancement of the architectural interior and
RPF = 15% of PCC exterior components of a project
Group 9 make sure that both the building and its
Alterations, renovations, rehabilitations, physical environment enhance the lives of
retrofit and expansion / additions to people by strictly adhering to national and
existing buildings belonging to Groups 1 international standards with regard to public
to 5 health, safety and welfare.
150% of the RPF Consulting Architect (CA)
Group 10 a) Specialized Architectural Services
The Architect is engaged to render opinion Architectural Interior (AI) Services
or give advice, clarifications or involves the detailed planning and design
explanation on technical matters of the indoor / enclosed areas of any
pertaining to architectural works. proposed building / structure
RPF ≥ P1,000.00
Acoustic Design Services
Services as an expert witness
involves the detailed planning and design
RPF ≥ P5,000.00
to control sound transmission for
The amount excludes reimbursable
compatibility with the architectural design
expenses. 60% of the amount shall be
concept
charged when location is in excess of
Architectural Lighting Layout and Design
100km
involves the detailed planning and design
e) Manner of Payment
of light transmission, timing and control
for compatibility with the architectural recommends the systematic process of
design concept ensuring that a building/structure’s array
Site Development Planning (SDP) Services of systems is planned, designed, installed
the landscaping layout of small building and tested to perform according to the
projects could be done by the Architect as design intent and the building’s
part of the site development planning operational needs
(SDP) effort. However, if the project is Building Environment Certification
large in scale, the Architect must hire evaluate the environmental performance
other State-regulated professionals (RLPs) of a building and to encourage market
as qualified Specialist Consultants (SCs) migration towards sustainable design
Site Physical Planning Services Forensic Architecture
Includes master development planning, undertakes a scientific study on the built
subdivision planning and urban design environment’s well-being, which allows
Framework (FRDPs) and Conceptual the Architect to focus on the ways in
master development plans (CMDPs) which the building/structure can best
Preliminary up to Detailed Master maintain itself and prolong its life in a
Development Plan (PMDPs/DMDPs) cost-efficient manner, and finally provide
Deed of restrictions (DoR), development recommendations to the Owner/ Client
standards and guidelines (DSG) Building Appraisal
Comprehensive Development Planning (CDP) places value on the building/ structure
Services condition and defects, and on its repair
based on the concept of expanded physical and maintenance, including the required
planning services to include other improvements
activities necessary for the proper Structural Conceptualization
handling of the numerous components conceives, chooses and develops the type,
considered in the formulation, disposition, arrangement and
implementation and realization of a proportioning of the structural elements of
Master Development Plan (MDP) an architectural work, giving due
covers the range of all services from considerations to safety, cost-
primary data gathering through the effectiveness, functionality and aesthetics
formulation of the MDP and the parallel Preliminary Services
preparation of the environmental impact must have much more than the basic
assessment/ statement (EIA/S) knowledge of Site Analysis, Space
heavy emphasis on the non-physical/ non- Planning and Management, Architectural
engineering components of the Programming, and the other services
development plan under SPP Document 201
Historic and Heritage Conservation and Contract Documentation and Review Services
Planning must have much more than the basic
provides research, assessment, recording, knowledge of Specification Writing,
management, interpretation and Estimation and Quantity Survey,
conservation of historical heritage. Architectural Production, Architectural
Security Evaluation and Planning Software, Architectural Support Services
arranges and formulates methods of rating and Contract Document Review
and ascertaining the value of structures or Post Design Services
facilities which must be fully secured, kept must have much more than the basic
safe, protected, assured, guaranteed and knowledge of Pre-Construction,
provided sufficient safeguards for the Construction, Post-Construction and the
conduct of any work or activity other services under SPP Documents 204,
Building System Design 206 and 207
engages in methods of producing building Dispute Avoidance and Resolution
components in a highly engineered, must have much more than the basic
efficient and cost-effective manner, knowledge of the various modes of
particularly for residential and commercial Alternative Dispute Resolution (ADR)
applications prescribed under R.A. No. 9285, the ADR
Facilities Maintenance Support Act of 2004 and its IRR
provides the Owner/Client with means and Architectural Research Methods
measures to ensure the proper function must have much more than the basic
and maintenance of the building/structure knowledge of Research Methods,
and site after final inspection Philippine Architecture and its History,
Building Testing and Commissioning Architectural Materials and Finishes,
Building Types and Standards,
Architectural Design Trends, Architectural Retainer
Writing and Architectural Photography Per Diem, Honorarium Plus Reimbursable
Special Building/Facility Planning and Design Expenses
much more than the basic knowledge of Mixed Methods of Compensation
the Planning and Design Processes d) Recommended Professional Fee (RPF)
required for Housing Developments, Architectural Interior (AI), Acoustic Design,
Recreational and Tourism Estates, Health Architectural Lighting Layout and Design and
Care and Hospitality Facilities, Site Development Planning (SDP)
Transportation and Telecommunications RPF is 10-15% of CoW
Facilities, Production and Extractive Manner of payment
Facilities, Utility-related Developments,
Secure Facilities, Business and Industrial Submission of Preliminary Design 30% of PF
Parks, Economic Zones and Community Submission of Final Design 50% of PF
Architecture and the like Completion of the project 50% of PF
Building Components
must have much more than the basic Physical Planning for building sites
knowledge of Building Materials and RPF is P50,000.00 per hectare for
Finishes, Construction Methodologies, the first 5 hectares
Building Envelopes including cladding
and roofing systems, Architectural AREA RPF AMNT
Fenestrations and Architectural Hardware, ≤ 5 hectares P5.00/sqm P250,000.00
Fixtures and Fittings (1ha:10,000sqm)
Management of Architectural Devices Over 5-10 hectares P4.00/sqm P250,000.00 +
must have much more than the basic P40,000.00/ha in
knowledge of the Types of Architectural excess of 5 ha
Office Operations, Architectural Office Over 10-50 hectares P3.00/sqm P450,000.00 +
Management, Accounting / Finance / P30,000.00/ha in
excess of 5 ha
Taxation / Audit, Labor Code,
Over 50 hectares P1.50/sqm P1,650,000.00 +
Architectural Marketing and Project
P15,000.00/ha in
Development, Proposals/ Negotiations/ excess of 5 ha
Contracts, Contract Administration, File Additional 20-30% of PF if lot is sloped etc.
Management and Limitations of Business
Process Outsourcing (BPO) and Manner of Payment
Knowledge Process Outsourcing (KPO)
Operations. Framework Development Plan 30% of RPF
b) Manner of Providing Services (FRDP)
Conceptual Master Development 30% of RPF
Working in a dual capacity as Architect-of-
Plan (CMDP)
record (AoR) and as a CA for Specialized
Preliminary Master Development 20% of RPF
Architectural Services Plan (PMDP)
Working as a CA for Specialized Architectural Detailed Master Development Plan 20% of RPF
Services (DMDP)
c) Methods of Compensation Do not include engineering
Percentage of Cost of Work (CoW) services and other allied services
Unit Cost Method based on Cost of Work Detailed design of the building
(CoW) and landscape elements are also
CoW includes cost of all fixtures and not included
accessories for architectural interiors, Other Specialized Architectural Services
acoustics, lighting works, site All special services that are
development civil works and landscaping classified as additional or extra
works, excludes any Engineering and services shall be compensated
Specialist Consultant (SC) through man-months – 22 man-
Fee for SC that owner hired shall be days x 8 man-hours x multiplier
directly paid by the Owner or Multiple od Direct Personnel
Fee of Architect for coordination and Expense Method
relating works of SC to the design concept Other applicable methods
will be 5% of the SC’s fee 1. Per diem plus
Multiple of Direct Personnel Expense reimbursable expenses
Compensation can also be computed 2. Retainer plus
through man-months reimbursable expenses
Professional Fee plus Expenses
Lump Sum or Fixed Fee
3. Rate cost times a No legal responsibility but professional
multiplier plus responsibilities may be stipulated through
reimbursable expense Service Contract or Agreement
i) Qualifications
B.S. Arch. Degree
Full-time Supervision Services (SPP Doc. 204-A) Extensive experience and knowledgeable