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Recommended Tariff of Professional Fees
Fees for Professional Services

Fees for Professional Services

The client agrees to pay the architectural professional the fees for the defined services as recorded in the agreement. Where a ‘project cost based fee' is applied, the final fee is calculated on the final cost of the works.

Project cost based fees for standard and partial services

The fees consist of a ‘base fee’ and a percentage of project cost, these derive from ‘bracketed project values‘ and are determined annually and published in a SACAP board notice in the government gazette.

For a partial senrice, assuming the fee is a ‘project cost based fee‘ the percentage relevant to each work stage to be performed is agreed between client and professional.

Fees Table

Apportionment of fees between work stages

The fee applicable to each work stage is apportioned according to the table below and may be adjusted by agreement:

Work stages 1 to 6	Proportion of fee	Cumulative total
1	5%	5%
2	15%	20
3	20%	40%
4.1	20%	60%
4.2	10%	70%
5	27%	97%
6	3%	100%

Fees for additional services

Unless otherwise agreed, the fee for additional services is a time charge based on hourly rates as recommended in the current SACAP board notice; Whenever these rates are revised the new rates shall apply to work performed after the date of publication of such revision.

Time charge fees

Where fees for the architectural professionals services are time charge fees, the hourly rate shall be according to the published rates and shall be adjusted annually.

Fees for additions and / or alterations

The fee for work that includes alterations is based on the total project cost as a ‘project cost based fee’ and increased for that portion of the work comprising alterations by 30 per cent.

Fees for a project that includes repeated buildings

For a project consisting of a number of repeated buildings erected under a single building contract for a single client, the fee may be reduced by agreement, subject to the repeated buildings being:

built on one site or a series of adjoining or closely related sites
either wholly apart from each other or linked with screen walls, common walls or other similar means
repeats of one or more prototype designs for units, blocks or elements and built from the repeated use of one or more sets of drawings and related documents with nominal or no modification for each re-use

The fee is calculated according to the formula:

Fa = ( Ft - Ft x Vr / Vt / 2 )

Where:
Fa : Fee after adjustment for repeats
Ft = Fee in terms of Fee Table for Total Project
Vr = Value of repeated units excluding first unit
Vt = Value of Total Project

Refer to example in the annexure hereto:

Fees for buildings repeated under separate building contracts

Unless otherwise agreed, where repeated buildings are erected under separate building contracts and the drawings and related documents for a project are re-used for subsequent projects with nominal or no modification, the fee shall be adjusted as below:-

The fee for modifying drawings and related documents and preparing site and service plans for each subsequent project shall be a time charge for the modifications, to which should be added a premium of 15% of the fee based on the final cost of each project.

The fee where there is no requirement to render any services in respect of the re-use of drawings and related documents for a subsequent project, it is recommended that a royalty of 7,5% of the fee based on an agreed estimate of the cost of the subsequent project is payable.

Fees for inspecting and administering building contracts

The fee for inspecting and administering building contracts shall be 30% of the fee based on the final cost of each project.

Fees for Deployment of Employees

Where an employee of the Architectural Professional is deployed ori site for extended inspection or other agreed purpose, the amount of the reimbursement shall be the total cost of employment plus 30%, or as agreed on proven cost.

Extended construction period

In the event that the construction period is exceeded by more than 10% the architectural professional is to be remunerated for all additional work resulting from the extension of time at the hourly rates according to the current SACAP board notice together with related re-imbursable expenses.

Adjustment of fees and disbursements

The client and the architectural professional acknowledge and agree that the fees and disbursements are based on the following parameters:

Scope of services Scope of the project/works
Project programme
Cost of the works
Cost of the project
Appointment of other consultants
Appointment of contractor

Should any material variation to the parameters as stated occur, the fees and disbursements shall be adjusted

Travelling time

Where the firm‘s fee is on a percentage basis, time charges shall apply only where the round trip distance between the destination and the firm‘s place of practice exceeds 50 kilometres. Where the firm‘s fee is on a time basis, time charges shall apply to the full roundtrip regardless of distance.

Where the firm‘s fee is on a time basis, time charges shall apply to the full roundtrip regardless of distance.

Fees on Termination

Where the agreement between the client and the architectural practitioner is terminated, the client shall pay for that portion of the work that has been executed.

Fees for dispute resolution services

For acting as expert witness, adjudicator, mediator or arbitrator, the fee shall be as recommended by the Association of Arbitrators.

Payment

The architectural professionals invoices are due and payable on presentation.
The architectural professional shall be entitled to render interim invoices.
Fee and re-imbursement invoices may be invoiced separately.
Re—imbursement of expenses; the client shall reimburse the architectural professional for all reasonable expenses and disbursements incurred.

Claims to be separate and no set-off

Should the client allege a claim against the architectural professional, a contractor or any other party involved in the project, such claim shall be dealt with on its own merits. The client is not entitled to withhold payment of fees or disbursements or part thereof due to the architectural professional based on the alleged claim. The client shall make payment without any set-off and waives all rights to any such set-off.

Reimbursement of Expenses

In addition to the fees set out in this schedule, the client shall reimburse the firm for all reasonable disbursements properly incurred.

The expenses contemplated may include the following:

printing, photocopying, maps, models, presentation materials, photography and similar documentation including all reproduction or purchase costs of documents hotel, subsistence and travelling expenses, including kilometre allowances at current Automobile Association rates for vehicle usage and other similar disbursements all payments made by the architectural practitioner, including fees and other charges for specialised professional and other services incurred on behalf of the client telephonic, electronic and facsimile communication, special postage and courier deliveries any other disbursements that may be agreed by the client.

Regular invoicing

Regular Invoicing as required by the Financial Management Act and the VAT Act are accepted good practice and are deemed to be the basis of the Agreement between Client and Service Provider.

Conditions of Service

The Professional Services Agreement is contemplated as covering the Conditions of Service between the Client and the Architectural Professional, such as: -

The agreed service to be provided, Authority of the Agent, The Agent‘s ownership ofthe Intellectual Property or Copyright, Limits to responsibility, Limit to Professional Liability to a term of five (5) years, Payment of invoices, interest on overdue invoices, Dlsputed invoices, Suspension or Deferment, Termination of Engagement, Damage to or destruction of the works and Dispute Resolution Provisions.