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K. Compliance with All Laws - At all times during the course of its work, the <br />Construction Manager at Risk shall comply with all applicable laws, regulations, permits and <br />special requirements imposed by law. <br />ARTICLE 7 -CONSTRUCTION <br />A. Commencement of Construction -The construction shall commence on the <br />earlier of: <br />1. The Owner's acceptance of the CM's Guaranteed Maximum Price Proposal <br />and issuance of a notice to proceed; or <br />2. The Owner's first authorization to the CM to: <br />i. award a subcontract, or <br />ii. issue a purchase order for materials or equipment required for the <br />Work. <br />B. Sequence of Construction -The project shall be constructed sequentially with the <br />construction of the Site Work then followed by the construction of the +~- 25,000 sq. ft. <br />Satellite Office Complex -Phase I. <br />C. Proposal of Guaranteed Maximum Price - It is contemplated that the Project's <br />Guaranteed Maximum Price will have two components: (i) Site Work; and (ii) the +/- 25,000 <br />sq. ft. Satellite Office space (Phase I). When the Drawings and Specifications are sufficiently <br />complete for each component, and the CM has obtained responses to its request of bids, the CM <br />shall propose a Guaranteed Maximum Price for the construction of each separate component. <br />The Guaranteed Maximum Price for each component shall be reflected in an Amendment to <br />this Contract. <br />D. Basis of Guaranteed Maximum Price -The CM shall include with the <br />Guaranteed Maximum Price Proposal a written statement of its basis which shall include: <br />1. A list of the Drawings and Specifications, including all addenda thereto which <br />were used in preparation of a Guaranteed Maximum Price Proposal. <br />2. A list of allowances and a statement of the basis for each. <br />3. A list of the clarifications and assumptions made by the Construction <br />Manager at Risk in preparation of the Guaranteed Maximum Price Proposal <br />to supplement the information contained in the Drawings and Specifications. <br />4. A statement of the estimated cost of construction organized separately by <br />trade categories; allowances; the Construction Management Fee; General <br />11 <br />F-4 <br />Attachment number 1 <br />Page 157 of 627 <br />