Manufacturing Industry

Is the 6 percent A-E fee limit on the way out? (architect and engineer fee regulation)

Building Design & Construction, May, 1993 by Lunch, Milton F.

A federal government rule in effect since 1939 limits the fees of architects and engineers to 6 percent of the estimated construction cost. This standard has been widely used not only by federal agencies, but also as a guideline for state and local -- as well as private -- A-E contracts.

It applies only to the preparation of "designs, plans, drawings and specifications" and excludes "front end" services (such as initial site visits and feasibility and environmental impact studies) and "rear end" (construction phase) services. The design professions have largely accepted the 6 percent limit on that basis, except for instances in which projects are complex or have a low construction cost. However, the fee limitation issue may receive new attention from...

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