PIID Guidelines and Standard Contract for Interior Design Services

Vocabulary flashcards covering fee structures, project phases, and contractual standards from PIID Documents #5 and #6.

PIID DOCUMENT #5

Guidelines for Standard Fees and Contract Agreement, encompassing the overall scope of work for interior design projects.

Consultation Fee Rates

Minimum of $\text{P}500$ per hour to a maximum of $\text{P}1,500$ per hour or a lump sum of $\text{P}10,000$ per day ($8$ working hours), plus transportation, accommodation, food, and per diem for local and international out-of-town projects.

Small Projects Fee Standard

Applies to projects with a maximum floor area of $75\,\text{sqm}$ (e.g., clinics, boutiques, small shops, and small offices) at a minimum of $\text{P}50,000$ per unit or $\text{P}1,000$ per sqm.

Medium Projects Fee Standard (76sqm to 300sqm)

Applies to projects from $76\,\text{sqm}$ to $300\,\text{sqm}$, charged at a minimum of $\text{P}50,000$ per major room or a maximum of $\text{P}300,000$ per house regardless of the number of rooms.

Large Projects Fee Standard (301sqm and above)

Applies to projects from $301\,\text{sqm}$ and above, charged at a minimum of $\text{P}400$ per sqm to a maximum of $\text{P}800$ per sqm.

Renovation and Repair Works Fee Standard

Design fee for evaluating and assessing existing conditions, set at a minimum of $\text{P}50,000$ per unit or $\text{P}1,000$ per sqm plus $10\%$ contingency fees for unseen additional works.

Fees on Percentage Basis

Charged at $10\%$ to $15\%$ of the budgetary costs for implementations, where cost depends on the prevailing market rate per square meter.

Acceptance Fees

An initial fee payment of $10\%$ of professional fees paid upon acceptance in the schedule of fees.

Schematic Design Phase Fee Allocation

$20\%$ of professional fees allocated for services rendered in the Schematic Design Phase.

Design Development Phase Fee Allocation

$35\%$ of professional fees allocated for services rendered in the Design Development Phase.

Contract Document and Coordination Phase Fee Allocation

$20\%$ of professional fees allocated for services rendered in the Contract Document and Coordination Phase.

Construction Phase Fee Allocation

$15\%$ of professional fees allocated for services rendered in the Construction Phase.

PIID DOCUMENT #6

Standard Contract for Professional Services, executed in pursuance with pertinent provisions of RA 8534 (promulgated February 23, 1998) and PD 49 (issued November 14, 1972).

Schematic Design Phase Deliverables

Phase where proposed Schematic Designs are developed consisting of furniture layout, image board(s), and preliminary perspectives based on information from initial meetings.

Design Development Phase Deliverables

Phase where approved preliminary plans are developed into detailed drawings including floor plans with furniture layout, wall elevations/sections, reflected ceiling plan with lighting layout, schedule of window treatment, schedule of doors, materials and finishing swatch boards, rendered perspectives, itemized furniture drawings, cabinet details, and floor pattern details.

Contract Document and Coordination Phase Deliverables

Phase where detailed working drawings, general specifications, check print verifications from Engineers, budgetary cost estimates, 7 sets of blueprints, technical specifications, and necessary engineering designs are prepared and reviewed.

Construction Phase Termination of Basic Services

The Interior Designer's obligation to provide basic services terminates when final payment to contractors or suppliers is paid, or $30\,\text{days}$ after the date of substantial completion of work, whichever occurs first.

Reimbursable Expenses Billing

Special costs incurred for the project (such as reproduction, CADD plotting, blueprints, travel outside Metro Manila, overseas calls) billed monthly at cost plus $10\%$ service charge.

International Travel Per Diem

Per diem rates charged for international travel: $\text{US}\$\ 200.00/\text{day}$ for Principal, and $\text{US}\$\ 100.00/\text{day}$ for Associates and Staff.

Domestic Travel Per Diem

Per diem rates charged for domestic travel beyond a radius of $50\,\text{kilometers}$ from established office: \text{PH}\unicode{x20B1}\ 2,000.00/\text{day} for Principal, and \text{PH}\unicode{x20B1}\ 1,000.00/\text{day} for Associates and Staff.

Overdue Payment Interest Rate

Invoices are payable within $2\,\text{weeks}$ upon requisition; an interest of $2\%$ monthly is charged on payments overdue more than $14\,\text{working days}$ from the date of requisition.

Contract Termination at No Fault Compensation

If terminated by the Client after seven day's written notice at no fault of the designer, the Interior Designer shall be compensated for services performed prior to notice receipt plus $10\%$ of the remaining balance of the fee.

Ownership and Use of Documents Clause

Drawings and specifications duly signed, stamped, or scaled are instruments of service and property of the Interior Designer; photography of the project for designer's use is allowed no later than $60\,\text{days}$ from final certificate for payment.

Construction Industry Arbitration Commission (CIAC)

The arbitration body to which expeditious settlement of disputes arising from or connected with construction contracts is referred in lieu of court litigation.

RA 10350

The Philippine Interior Design Act, promulgated on December 17, 2012, which together with the Interior Design Code of the Philippines governs all interior design services.