Capital Planning Process

Project Management Fees

The project management fee is included in the project budget for all capital projects to cover the costs associated with administering and managing a project at Iowa State University. These services are provided by the Planning, Design and Construction Services units of FP&M. The income to support this unit is fully generated by charges for services and no general fund allocations are available to support the unit. A fee of 5% of the total project budget (but not less than $500) is assessed to each project $20,000,000 and less to fund the activities of this unit. The fees for projects greater than $20,000,000 are based on the fee chart below. Fees for projects $60,000,000 and above will be determined on a project by project basis depending on the specific characteristics, scope, and schedule for the project.

Standard Fee Chart

The services provided by the Design and Construction Services unit of FP&M include:

  • Board of Regents documentation, approvals, and reporting
  • Project conceptualization, development and management
  • Management of design professional activities
  • Management of contractor activities on campus
  • Project technology systems (Project web site services, accounting systems, etc.)
  • Solicitation of bids, advertisements, quotations and requests for proposals
  • Construction site observations and document compliance
  • Project Accounting including contractor, design professional, and vendor payments
  • In-house work order accounting and payment
  • Project purchasing activities including time and material contracts, purchase of owner furnished equipment, furniture purchasing and coordination of installation, and departmental equipment purchases.
  • These services do not include the design fees for the project, whether they are provided by FP&M design professionals or under contract from an outside firm.