92408-M HUD Amendment to AIA Document B108

Submission Requirements for the Capital Advance Program Section 202/811

92408m

Submission Requirements for the Capital Advance Program Section 202/811

OMB: 2502-0470

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HUD AMENDMENT TO
AIA DOCUMENT B108

U.S. Department of Housing
and Urban Development
Office of Housing

OMB Approval No. 2502-0029
(Exp. 07/31/2014)

Public Reporting Burden for this collection of information is estimated to average 2 hours per response, including the time for
reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing
the collection of information. Send comments regarding this burden estimate or any other aspect of this collection of information,
including suggestions for reducing this burden, to the Reports Management Officer, Office of Information Policies and Systems, U.S.
Department of Housing and Urban Development, Washington, DC 20410-3600 and to the Office of Management and Budget,
Paperwork Reduction Project (2502-0029), Washington, DC 20503. Do not send this completed form to either of the above
addresses.

HUD AMENDMENT TO
AIA DOCUMENT B108 STANDARD FORM OF AGREEMENT
BETWEEN OWNER AND ARCHITECT FOR A FEDERALLY FUNDED OR
FEDERALLY INSURED PROJECT
for HUD PROJECT NO. _______________________

1. Definition of terms used in this Amendment. If not defined in this Amendment,
capitalized terms shall have the meaning given them in the Agreement, the Regulatory
Agreement between Borrower and the U.S. Department of Housing and Urban
Development (HUD), the Note, and/or the Security Instrument.
a. “Agreement” means the AIA Document B108, Standard Form of
Agreement Between Owner and Architect for a Federally Funded or
Federally Insured Project, to which this Amendment is attached.
b. “Owner” means Borrower, as defined in the HUD Regulatory Agreement
applicable to this transaction.
c. “Subcontractor” means any material supplier, equipment lessor,
industrialized housing (or housing component) manufacturer/supplier, or any
person or entity providing services that has either a direct or indirect (in the
case of sub-subcontractors) contractual relationship with the Contractor
responsible for construction of the Project.
2. The provisions of this Amendment supersede any provisions inconsistent
between this Amendment and the Agreement.
3. Owner and Architect represent that they are familiar with HUD’s architectural
requirements as set forth in Program Obligations and will comply with these instructions
in accordance with said Program Obligations, including, but not limited to, review for
compliance with HUD Minimum Property Standards; the accessible design, construction
and alteration requirements of Section 504 of the Rehabilitation Act of 1973 (see
24 C.F.R. Part 8); the Uniform Federal Accessibility Standards; the accessible design
and construction requirements of the Fair Housing Act (see 24 C.F.R. § 100.205); and
the Americans with Disabilities Act Guidelines, 37 C.F.R. Part 1191.
Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)

2

4. This Agreement shall not be assigned in whole or in part to anyone, without the
written consent of HUD. Neither Owner nor Architect shall contract with anyone
currently listed by the General Services Administration as a firm that is debarred,
suspended, proposed for debarment, or declared ineligible by federal agencies or by the
General Accounting Office. Owner and Architect shall each require from their
contractors, consultants and agents similar agreements prohibiting contracts with such
persons or entities.
5. In the event the Owner, Lender, the surety under the performance bond, or HUD
takes control of the Project or takes responsibility for completion of the Project
construction pursuant to said parties’ legal rights under the agreements concerning the
Project, and notwithstanding the provisions of Article 7 of this Agreement, the party
taking control or taking responsibility for completion of construction, and any substitute
contractor hired by said party, shall have the right to use the Drawings and
Specifications, and other documents, including those in electronic form, prepared by
Architect and Architect’s consultants. Such use shall be to the same extent and with the
same limitations as Owner under this Agreement or as Contractor under the AIA
Document A201, General Conditions of the Contract for Construction, provided Owner
has paid Architect in accordance with this Agreement and is not in breach or default
thereunder. Architect’s execution of this Amendment shall represent consent by
Architect and Architect’s consultants to such use.
6. Owner shall provide information to or obtain approval from Lender and HUD
regarding any action or observation by either Owner or Architect that significantly
increases the Project's cost or time of construction or decreases the quality of
construction.
7. The certificates for payment and the Certificate of Substantial Completion shall
be in forms as prescribed by HUD.
8. This Agreement shall not be terminated without seven days prior written Notice
to Lender and HUD.
9. Owner and Architect recognize the interest of Lender and HUD and that any
action or determination by either Owner or Architect is subject to acceptance or
rejection by Lender and HUD.
10. In addition to any other rights or remedies Owner may have under this
Agreement, if a duly authorized representative of HUD requests that Architect be
replaced due to Architect's inadequate performance, unjustified delay or
misrepresentation of material facts, Owner may terminate this Agreement after giving
Architect at least seven days' written notice and having given an opportunity to correct
the performance or other issues to HUD’s satisfaction.
11. The Architect designing the Project may have an identity of interest with Owner,
Contractor, and/or any Project subcontractor, except however, any Architect
Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)

3

administering the Construction Contract shall not have any identity of interest with
Owner, Contractor, and/or any Project. An identity of interest is construed to exist
where:
a. Architect has any financial interest in the Project other than the stipulated
compensation set forth in Article 11 and any compensation that may arise
pursuant to Article 9 of the Agreement.
b. Architect advances any funds to Owner, Contractor and/or any
subcontractor; and/or Contractor and/or any subcontractor advance any
funds to Architect.
c. Architect has any financial interest in Owner, Contractor and/or any
subcontractor; or Owner, Contractor and/or any subcontractor has any
financial interest in Architect.
d. Any officer, director, stockholder, partner, manager or member of Architect
has any financial interest in Owner, Contractor and/or any subcontractor; or
any officer, director, stockholder, partner, manager or member of Owner,
Contractor and/or any subcontractor has any financial interest in Architect.
e. Any officer, director, stockholder, partner, manager or member of Architect
is also an officer, director, stockholder, partner, manager or member of
Owner, Contractor, and/or any subcontractor.
f.

Owner, Contractor and/or any subcontractor, or any officer, director,
stockholder, partner, manager or member of Owner, Contractor and/or
subcontractor provides any of the required architectural services or, while
not directly providing an architectural service, acts as a consultant to
Architect.

g. Any family relationships exist between the officers, directors, stockholders,
partners, managers or members of Architect and officers, directors,
stockholders, partners, managers or members of Owner, Contractor,
and/or any subcontractor that could cause or result in control of or
influence over prices paid to Architect or could result in control of or
influence over performance by Architect.
h. Any side deal, agreement, contract or undertaking, that is inconsistent with
related requirements for the relationship between Owner and Architect as
stipulated in the closing documents, except as approved by HUD.
12. All identities of interest known to exist between the Architect designing the
Project and Owner, Contractor and/or any subcontractor are listed herein. The Architect
designing the Project and Owner shall each inform HUD in writing within 5 working days
of its first knowledge of any identity of interest that develops after execution of this
Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)

4

Agreement. Upon the discovery of an undisclosed identity of interest, or any identity of
interest prohibited under paragraph 11, HUD may require the termination of this
Agreement in accordance with paragraph 10, above.
List All Identities of Interest:
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
13. The funds for this Project, including Architect's funds under this Agreement, will
be provided, as the case may be, from the proceeds of a Loan from a Lender who in
turn obtained a commitment for mortgage insurance from HUD, in accordance with the
National Housing Act, as amended, or from a capital advance from the US Treasury
pursuant to Section 202 of the Housing Act of 1959 or Section 811 of the CranstonGonzalez National Affordable Housing Act. Said Lender, pursuant to the terms of a
Building Loan Agreement, or said US Treasury, pursuant to a Capital Advance
Agreement, in accordance with HUD's rules and regulations, will agree to advance the
proceeds of the Loan or capital advance to Owner for completion of the work, but only
to the extent that charges accrued and only to the extent and for the purposes specified
in the Building Loan Agreement or Capital Advance Agreement. However, neither the
Security Instrument or capital advance, nor the Building Loan Agreement or Capital
Advance Agreement, provide funds for Reimbursable Expenses pursuant to Section
11.5 of the Agreement, Termination Expenses pursuant to Section 9.7 of the
Agreement, or Additional Service Compensation pursuant to Section 11.2 of the
Agreement. Although Architect may agree to provide a greater degree of services for
additional compensation, require compensation for reimbursable expenses or
termination expenses, or require basic compensation in excess of that provided by the
Building Loan Agreement or Capital Advance Agreement for such services, the
obligation to compensate Architect for the greater degree of services or the aforesaid
expenses shall not be enforceable against Owner, Lender, US Treasury, HUD or the
Project; provided, however, that any entity or individual other than Owner may agree to
be responsible to Architect for payment thereof and, in such case, shall be identified
below.
Provider of additional payment pursuant to paragraph 13 of this Amendment, if any.
______________________________________________________
14. In the event of any dispute that is not resolved through mediation in accordance
with section 8.2 of the Agreement, the Owner and Architect (and any successors of
either) each agree that the method of binding dispute resolution shall be litigation in a
court of competent jurisdiction. The checkboxes under Section 8.2.4, reading
Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)

5

“Arbitration pursuant to Section 8.3 of this Agreement” and “Other: (Specify)” are
hereby deleted in their entirety; Section 8.3 is also deleted in its entirety. [THE
“ARBITRATION” AND “OTHER” CHECKBOXES, IN ADDITION TO SECTION 8.3,
MUST BE PHYSICALLY STRICKEN FROM THE AGREEMENT].
15. The Owner and Architect (and any successors of either) further agree that if for
any reason HUD becomes a party to a dispute arising from this Agreement, HUD shall
not be bound in any manner to binding arbitration; nor shall HUD be bound by any other
means of binding dispute resolution, other than litigation in a court of competent
jurisdiction.

Executed as of the _______ day of ______________________, 2_____.

OWNER:

ARCHITECT:

By

By

Name and Title

Name and Title

[Remainder of this page intentionally left blank.]

Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)

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CERTIFICATION
Each signatory below hereby certifies that the statements and representations
contained in this instrument and all supporting documentation thereto are true, accurate,
and complete. This instrument has been made, presented, and delivered for the
purpose of influencing an official action of HUD in insuring the Loan, and may be relied
upon by HUD as a true statement of the facts contained therein.
Name of Entity: ______________________________________
By:

/s/ _____________________________
Printed Name, Title: ____________________________
Dated: _____________________________

By:

/s/ _____________________________
Printed Name, Title: ____________________________
Dated: _____________________________

[ADD ADDITIONAL LINES IF MORE THAN TWO SIGNATORIES]
Warning
Any person who knowingly presents a false, fictitious, or fraudulent
statement or claim in a matter within the jurisdiction of the U.S.
Department of Housing and Urban Development is subject to criminal
penalties, civil liability, and administrative sanctions.

Previous editions are obsolete
Replaces Appendix 12B.2, MAP Guide
Handbook 4460.1 REV-2, Appendix 2

AIA B-108 HUD Amendment

HUD-92408-M (Rev. 01/11)


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