The price adjustment part of the hottest building

2022-07-28
  • Detail

The price adjustment of building materials shall be paid as the progress payment of the project! Many places send documents to deal with the risk of abnormal fluctuation of building materials prices

the price adjustment of building materials shall be paid as the progress payment of the project! In response to the risk of abnormal fluctuations in the price of building materials, the price adjustment of coating and

building materials shall be paid as the progress payment of the project! Many places have issued documents to deal with the risk of abnormal fluctuations in the prices of building materials

June 2, 2021

introduction

recently, the prices of steel, copper, stainless steel, aluminum, glass and other building materials have fluctuated significantly. In order to ensure the smooth performance of construction contracts for construction projects, safeguard the legitimate rights and interests of both the employer and the contractor of construction projects, and prevent and resolve the risk of abnormal fluctuations in the prices of construction materials, Jiangsu, Suzhou, Quzhou, Zhejiang, Gansu and other provinces and cities have issued documents to deal with them

Jiangsu Province: when the project progress payment is paid, the price adjustment of building materials shall be paid as the project progress payment

on May 31, the Provincial Department of housing and urban rural development issued the notice on preventing and resolving the risk of abnormal fluctuations in the price of building materials. Recently, the market is affected by many factors, and the prices of steel, copper, stainless steel, aluminum, glass and other building materials fluctuate sharply

for contract price adjustment caused by material price fluctuation, both the employer and the Contractor shall implement the price adjustment clause agreed in the contract. The supplementary agreement may stipulate the following contents:

1 The price risk bearing proportion and price adjustment method of building materials accounting for a certain proportion of unit project cost

2. In order to relieve the financial pressure of the construction unit, the price adjustment of building materials shall be paid as the progress payment when the progress payment is paid

notice of the Provincial Department of housing and urban rural development on doing a good job in preventing and resolving the risk of abnormal fluctuations in the price of building materials

sjhj [2021] No. 253

housing and urban rural development bureaus (construction committees) of all cities divided into districts and relevant units:

the recent market is affected by many factors, and the prices of steel, copper, stainless steel, aluminum, glass and other building materials fluctuate significantly. In order to ensure the smooth performance of the construction contract of the construction project, safeguard the legitimate rights and interests of both the employer and the contractor of the construction project, and prevent and resolve the risk of abnormal fluctuations in the price of construction materials, according to relevant laws and regulations, the notice is as follows:

I. both the employer and the contractor of the construction project should enhance their awareness of risk prevention, fully consider the risk of material price fluctuations, and sign reasonable price risk control clauses, Define the principle of risk sharing

II. For the adjustment of the contract price caused by the fluctuation of the material price, both the employer and the Contractor shall implement the price adjustment terms agreed in the contract. In case of no or unclear agreement in the contract, the employer and the contractor of the construction project may sign a supplementary agreement based on the actual situation and the principle of good faith and fairness. The supplementary agreement may stipulate the following contents:

1 The price risk bearing proportion and price adjustment method of building materials accounting for a certain proportion of unit project cost

2. In order to relieve the financial pressure of the construction unit, the price adjustment of building materials shall be paid as the progress payment when the progress payment is paid

III. The competent administrative departments of housing and urban rural development at all levels and their project cost management shall punch a punch with spherical ends against a sample clamped in the cushion mold and the pressure film to form a dent. The management institution shall strengthen the monitoring of the market price of building materials, do a good job in the release of material price information, increase the frequency of material price information release, warn of the risk of price fluctuation, and guide all parties of project construction to prevent and resolve additional risks, Do a good job in pricing policy interpretation and dispute mediation services

Jiangsu Provincial Department of housing and urban rural development

May 28, 2021

(this document was publicly released)

Suzhou City: if the price fluctuation of main materials during the construction period exceeds 5%, it shall be borne by the employer

On May 24, Suzhou Municipal Bureau of housing and urban rural development issued a notice on strengthening the price risk control of construction materials

1. If the price of main materials increases or decreases by less than 5% during the construction period, the Contractor shall bear or benefit from the price difference, and the employer shall bear or benefit from the price difference exceeding 5%

the document points out that the main materials are: cement, concrete, steel, copper, aluminum, asphalt, stone, glass, etc., as well as other materials and equipment whose value accounts for more than 5% of the cost of divisional and subdivisional works of unit professional works

2. The material price difference shall be used as the additional (minus) contract payment and shall be paid at the same time as the project progress payment

3. Unlimited risk, all risks or similar statements shall not be used in the bidding documents and contracts to specify the content and scope of pricing risk

notice of the Municipal Bureau of housing and urban rural development on strengthening the price risk control of construction materials

Su Zhu Jian Jian Jian [2021] No. 23

all municipal and district housing and urban rural development bureaus (committees), Suzhou Industrial Park Planning and Construction Commission, and all relevant units:

in order to stabilize the order of the construction market, reduce the risks caused by the price fluctuation of building materials, ensure the quality and safety of the project, and effectively safeguard the legitimate rights and interests of both parties involved in the development and contracting of construction projects, In accordance with relevant laws and regulations, and in accordance with the principle of fairness and reasonableness, we hereby notify you of the following matters related to strengthening the price risk control of construction project materials in our city:

I. according to the provisions of clause 3.4.1 of the mandatory provisions of the code for valuation with bill of quantities of construction projects (GB), unlimited risks, all risks or similar statements shall not be used in the bidding documents and contracts to specify the content and scope of valuation risks

when signing the construction contract, the employer and the Contractor shall fully consider the impact of the price fluctuation of building materials on the project implementation during the construction period, specify the category and name of the price adjustable materials, the risk range and the adjustment method after exceeding the risk range in the contract, and fairly and reasonably share the risks caused by the price fluctuation of main materials

II. If a fixed price (including fixed total price and fixed unit price) construction contract has been signed, the price of main materials (such as cement, concrete, steel, copper, aluminum, asphalt, stone, glass, and other materials and equipment whose value accounts for more than 5% of the cost of divisional and subdivisional works of unit professional works) rises or falls significantly during the construction period, and the impact time exceeds the foreseeable scope and risks of the employer and the contractor, The employer and the contractor may negotiate and sign a supplementary agreement in accordance with the principle of risk sharing

1. If the price risk range and price difference adjustment method of materials are not agreed or unclear in the construction contract, or the price difference of all or part of the main materials is agreed not to be adjusted, the employer and the contractor may negotiate and sign a supplementary agreement to adjust the project cost

2. If the price of main materials increases or decreases by less than 5% during the construction period, the Contractor shall bear or benefit from the price difference, and the employer shall bear or benefit from the price difference exceeding 5%

III. If the construction period is delayed due to the employer or the contractor, the price difference loss caused by price fluctuation during the delay period shall be borne by Party

IV. the material price difference shall be used as the additional (minus) contract payment and shall be paid at the same time as the project progress payment

v. the construction administrative departments of all cities and districts and their engineering cost management organizations should strengthen the monitoring, pre research and early warning of the price trend of building materials, dynamically adjust the price information release cycle and increase the release frequency for the main materials with abnormal price fluctuations; In accordance with the principle of "seeking truth from facts, being objective and fair", the disputes over the price of building materials and the contract cost raised by the employer and the Contractor shall be carefully and quickly mediated to resolve the contradictions and promote the smooth implementation of the project construction

VI. construction projects that may not be subject to bidding according to law shall be implemented by reference

this notice shall come into force as of the date of issuance, and the construction projects that have completed the completion settlement shall not be affected by the relevant provisions of this notice. In case of any inconsistency between the provisions of relevant documents and this circular, this Circular shall prevail

Suzhou housing and Urban Rural Development Bureau

May 24, 2021

Gansu: the agreed risk range of main material prices should be controlled within 5%, and the excess should be borne or benefited by the employer

on May 14, Gansu Provincial Construction Project Cost Management Station issued a notice on the guidance on the price risk control of building materials (gjjz [2021] No. 15), suggesting that the risk range should be controlled within 5%:

in the construction contract, the risk range agreed on the price of main materials should be controlled within 5% according to section 9.8 of the code for valuation of bill of quantities of construction projects (GB). The Contractor shall bear or benefit from the risk within the risk range, and the employer shall bear or benefit from the risk beyond the risk range

the Contractor shall bear market risks such as material prices to a limited extent. According to the requirements of the code for valuation with bill of quantities of construction projects (GB), it is not allowed to use unlimited risks, all risks or similar statements to specify the content and scope of risks in valuation

if the scope, risk range and adjustment method of main materials are specified in the construction contract, the contract shall prevail. In case of no agreement or unclear agreement, the employer and the Contractor shall, on the basis of negotiation, sign a supplementary agreement in accordance with the code for valuation with bill of quantities of construction projects (GB)

if it is agreed in the construction contract not to adjust the material price or that the Contractor shall bear unlimited material price risk, during the performance of the contract, if the price of main materials rises or falls too much, and it is obviously unfair for one party to continue to perform the contract, the employer and the Contractor shall negotiate and sign a supplementary agreement on the price adjustment of main materials

if the construction period is delayed due to reasons other than the contractor, and if the material price rises or falls during the delay period, the contract price shall be adjusted according to the rising price; In case of decline, the contract price shall not be adjusted

if the construction period is delayed due to the contractor, and the material price rises or falls during the delay period, the contract price will not be adjusted when it rises; In case of decline, the contract price shall be adjusted according to the falling price

notice of Gansu provincial construction project cost management station on the guidance on price risk control of building materials

Gan Jian Ji Zi [2021] No. 15

all relevant units:

recently, the market price of steel and other major building materials in our province has fluctuated greatly, increasing the construction cost and having a great impact on the project construction. In order to stabilize the order of the construction market, ensure the quality and safety of the project, strengthen the risk awareness and performance ability of all parties in the construction market, effectively safeguard the legitimate rights and interests of both the employer and the contractor, reasonably determine and effectively control the project cost, and ensure the smooth implementation of the project construction, according to the civil code of the people's Republic of China, the measures for the administration of contracting and contracting valuation of construction projects (Order No. 16 of the Ministry of housing and urban rural development) Based on the actual situation of Gansu Province and the principles of seeking truth from facts, fairness and reasonableness, the following guiding opinions are put forward for careful implementation

I. reasonably sign the construction contract

when signing the construction contract, the employer and the Contractor shall reasonably sign the contract in accordance with the relevant provisions of the code for valuation of bill of quantities of construction projects (GB)

II. Jointly cope with the fluctuation of the market price of building materials and reasonably share the risk

1 The principles of risk sharing and reasonable allocation are implemented in project cost pricing to reflect the fairness of transactions. The employer and the Contractor shall further enhance their awareness of risk prevention, reasonably set pricing risk clauses in the bidding documents and contracts, and agree on the scope, range and adjustment methods after exceeding the range. The Contractor shall bear market risks such as material price to a limited extent, and

Copyright © 2011 JIN SHI