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The Pentagon. Image: Joeyp3413/Wikimedia Commons (CC BY-SA 3.0)
The United States Department of Defense has finalized a revision to the fee limitations for federal design projects after a yearslong campaign led by Emily Grandstaff-Rice, Dan Hart, Elizabeth Chu Richter, and other senior leadership of the American Institute of Architects.
Beginning on August 26th, 2024, as part of the National Defense Authorization Act for Fiscal Year 2024, the statutory fee limit for architecture and engineering services will be increased from six to ten percent of the contract’s value.
This is being welcomed as a particularly big win for firms working on smaller contracts. The AIA says: “The increase will also benefit architect and engineering entities with contracts for producing and delivering designs, plans, drawings, and specifications for large horizontal and complex vertical construction projects. While costs have increased for architects, construction costs have increased more dramatically, which results in a higher cost limit.”
You can review the amendments here via the Defense Federal Acquisition Regulation Supplement.
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