When To Use
Use A133™ when an owner is hiring a construction manager to provide both preconstruction advisory services and construction. Under A133, payment is based on the cost of the work plus a fee, subject to a Guaranteed Maximum Price, to protect the owner’s budget.
What It Does
A133 is intended for projects with a construction manager as constructor (CMc), also known as a construction manager at risk. As construction nears, the CMc submits a GMP proposal that the owner may accept, reject, or negotiate. Upon acceptance of the GMP Amendment (Exhibit A), the CMc is contractually bound to provide labor and materials for the project and to complete construction at or below that price. Phases may proceed concurrently to fast-track the project.
Additional Information
A133 Exhibit B, Insurance and Bonds, is a critical component and should be discussed with legal and insurance counsel.
