Phoenix Arizona Construction Contract Cost Plus or Fixed Fee

State:
Arizona
City:
Phoenix
Control #:
AZ-00462
Format:
Word; 
Rich Text
Instant download

Description

This form is a Construction Contract that may be executed with either a cost plus or fixed fee payment arrangement. The form contains the following additional subject matters and complies with the laws of the State of Arizona: scope of work, work site, warranty and insurance.

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  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee
  • Preview Construction Contract Cost Plus or Fixed Fee

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FAQ

The construction contract price includes the direct project cost including field supervision expenses plus the markup imposed by contractors for general overhead expenses and profit. The factors influencing a facility price will vary by type of facility and location as well.

Unlike a fixed-cost construction contract, a cost-plus construction agreement is a contract in which the owner pays the contractor the actual costs of the materials and labor plus an additional negotiated fee or percentage over that amount.

Budget: A fixed-price contract is just that: fixed. The agreed-on price at the beginning of the project is the price at the end. Conversely, a cost-plus contract estimates a project's costs but doesn't set the final price until the project is completed.

Cost-Plus-Fixed-Fee Contracts estimated cost and fee for production and delivery of designs, plans, drawings, and specifications shall not exceed 6 percent of the estimated cost of construction of the public work or utility, excluding fees.

Three most commonly used construction contracts Fixed price contract. The fixed price contract revolves around one lump sum, agreed between the project owner and the contractor.Cost plus fixed percentage contract.Time and materials contract.Final thoughts.

Fixed costs, usually established by contract agreements, are costs that do not change with production levels a company produces. A fixed cost is set over a specific period of time, and the cost estimate remains the same. A contractor will estimate how much labor and materials your construction project will need.

plusfixedfee contract is a costreimbursement contract that provides for payment to the contractor of a negotiated fee that is fixed at the inception of the contract. The fixed fee does not vary with actual cost, but may be adjusted as a result of changes in the work to be performed under the contract.

Cost-plus pricing is also known as markup pricing. It's a pricing method where a fixed percentage is added on top of the cost it takes to produce one unit of a product (unit cost). The resulting number is the selling price of the product.

A CPPC contract is one that is structured to pay the contractor his actual costs incurred on the contract plus a fixed percent for profit or overhead (that is not audited/adjusted) and which is applied to actual costs incurred.

Cost-plus percentage of cost is a method contractors often use to price services. This type of contract specifies that the buyer must pay all the project costs incurred by the seller, plus an additional amount for profit.

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Phoenix Arizona Construction Contract Cost Plus or Fixed Fee