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4 • <br />SECTION IV <br />PERIOD OF SERVICE <br />• This Agreement shall be effective upon execution by the Owner and the <br />Engineer, and shall remain in force until terminated under the provisions <br />hereinafter provided in Section X. <br />SECTION V <br />COORDINATION WITH THE OWNER <br />The Engineer shall hold periodic conferences with the Owner, or its <br />representatives, to the end that the Project, as perfected, shall have full <br />benefit of the Owner's experience and knowledge of existing needs and facili- <br />ties, and be consistent with its current policies and construction standards. <br />To implement this coordination, the Owner shall make available to the Engineer <br />for use in planning the Project, all existing plans, maps, field notes, statistics, <br />computations and other data in his possession relative to existing facilities <br />and to the Project. <br />SECTION VI <br />THE ENGINEER'S COMPENSATION AND LIABILITY <br />For and in consideration of the services to be rendered by the Engineer, the <br />Owner shall pay, azd the Engineer shall receive the compensation hereinafter <br />• set forth, for the Preliminary, Design, and Construction Phases of the work and <br />"Construction cost" is defined as the total cost to the Owner for the execu- <br />tion of the work authorized at one time and handled in each separate phase of <br />engineering services, excluding fees or other cost for engineering and legal <br />services, the cost of land, rights-of-way, legal and administrative expenses; <br />but including the direct cost to the Owner of all construction contracts, items <br />of construction, including labor, materials and equipment required for the <br />completed work (including extras) and the total value at site of project of all <br />labor, materials and equipment purchased or furnished directly by the Owner <br />for the Project. <br />for Special Assignments and Services not included in these phases. All remit- <br />tances by Owner of such compensation shall either be mailed or delivered to <br />Engineer's office in Houston, Harris County, Texas. Where the compensation <br />is based on a percentage of construction cost, the charge for each separate <br />phase shall be based on the "construction cost" of all work authorized by the <br />Owner at one time, and handled by the Engineer in accordance with this <br />Agreement. <br />In the event that proposals for construction of any of the work authorized <br />in the Design Phase are received within 90 days after submission of completed <br />Contract Drawings and specifications to the Owner by the Engineer, the charge <br />for the corresponding services in the Design Phase and the charge for the <br />corresponding services in the Preliminary Phase shall be adjusted to the <br />"construction cost" as reflected by the lowest acceptable proposal, or lowest <br />-5- <br />