Institute of Town Planners India
Conditions of Engagement
And
Scale of Professional Fees & Charges

2/14/2014

1
Introduction
Urban and regional planning and development refers to a process
that harnesses, in a planned manner, the spat...
Introduction
A profession of responsibility as the client could be an individual, a
community, an agency, a corporate body...
Professional Services

Determination of the planning
program me

Type and Quantity
of work

Selection of consultant

Quali...
ITPI Conditions of Engagement
All regional plans and urban planning projects covering an area
of 0.5 hectares and more in ...
ITPI Conditions of Engagement
A Consultant Planner shall be remunerated for the
professional services rendered by him as p...
ITPI Conditions of Engagement
In case of termination of the project prior to its completion, the
Client shall pay to the C...
ITPI Conditions of Engagement
The Consultant Planner, as part of his professional assignment
is required to identify issue...
ITPI Conditions of Engagement
The Consultant Planner is also responsible to carry out all
necessary primary surveys of dif...
ITPI Conditions of Engagement
The scope of services and scale of professional charges
provided herein, are applicable for ...
Types of consultancy services
Regional Planning
Perspective Policy Plan / vision of a state / region / district /metropoli...
Types of consultancy services
Planning and Development Management
•
•

Specialized Sect oral Plans / studies
EIA, landscap...
Regional Plan/ Regional Vision Document
History

Regional settings and profile

Existing Characteristics
Population

Settl...
Regional Plan/ Regional Vision Document
3. Development vision, goals and objectives
4. Regional development policies and s...
Regional Plan/ Regional Vision Document
5.

Development policies for special areas, if any, such
as
new towns, SEZ, integr...
Development plans, Master Plans, City Development
Plans
1. Evolution, regional setting and profile.
2. Existing conditions...
Development plans, Master Plans, City Development
Plans
5. Proposals incorporating
a. Concept of development,
b. Land use ...
Special Area Plan, Redevelopment Plan, Urban renewal
plan, Local Area Plan
1. Location and other physical characteristics ...
Scale of Professional Fees

Scale of professional fees and charges shall be the
minimum desirable payable to a Consultant ...
The factors that have governed the professional fees and charges
include specific cost to the Consultant Planner’s office ...
Professional Fees For Preparation Of Different Types Of Plans
Based On Projected Planned Population
S.No

Type of Plan

1
...
a.
Minimum professional fee for preparation of plans for urban
areas shall be Rs. 200,000 and for rural settlements the mi...
Professional Fees For Projects / Schemes Based On Land
Development Cost /Total Project Cos
S.No

Type of Work

Fee Descrip...
Professional Fees For Projects / Schemes Based On Land
Development Cost /Total Project Cos

a.

Land development Cost incl...
Professional Fees For Preparation Of Different
Types Of Plans Based On Man-months

S.No

1

Lead Consultant

2.5-4.5

2

A...
Professional Fees For Preparation Of Different
Types Of Plans Based On Man-months
Lead Consultant: a senior Consultant Pla...
Professional Fee As Retainer On Per Month Basis

S.No

Designation

Range of Fee per month
in Rs (Lakhs)

1

Advisor

1.5-...
Professional Fee for Short term assignments on per
day basis
S.No

Designation

Range of Fee per
Month in Rs

1

Advisor

...
Mode of Payment
S.No

Type of Plan

Fees payable as
% of total fees
payable

1

On the date of signing the Agreement

10

...
Thank

2/14/2014

You

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ITPI, Conditions of Engagement and Scale of Professional Fees

  1. 1. Institute of Town Planners India Conditions of Engagement And Scale of Professional Fees & Charges 2/14/2014 1
  2. 2. Introduction Urban and regional planning and development refers to a process that harnesses, in a planned manner, the spatial and economic potential of an area for the benefit of the people. Scope ranges from planning a cluster of houses, complete settlement and regions. A professional in planning field must have knowledge, skill and competence to handle all spatial and physical data required for planning and development tasks. 2/14/2014 2
  3. 3. Introduction A profession of responsibility as the client could be an individual, a community, an agency, a corporate body, or a central, state or local government department. The job of planner is highly technical requiring skill and sincerity in work and public dealing. The Consultant Planner, therefore, has to be a person with integrity, capacity, ability, dynamism and imagination. 2/14/2014 3
  4. 4. Professional Services Determination of the planning program me Type and Quantity of work Selection of consultant Quality of work Decision on the fee and cost of the work 2/14/2014 4
  5. 5. ITPI Conditions of Engagement All regional plans and urban planning projects covering an area of 0.5 hectares and more in metro-cities or 2 ha and more in other cities must be handled by a planner who shall be a corporate member of the Institute. Corporate Members of the Institute of Town Planers, India are governed by the Articles of Association and Bye-laws of the Institute for undertaking professional assignments, as per agreement with the client, and maintaining a quality standard. 2/14/2014 5
  6. 6. ITPI Conditions of Engagement A Consultant Planner shall be remunerated for the professional services rendered by him as per agreement between him and the client specifying the scope of work and amount of fee to be paid. Any difference or disputes on the scope of work may be referred to the Institute of Town Planners, India, either by the Client or by the Consultant Planner in writing. The Institute shall take appropriate action within a fixed period of time. 2/14/2014 6
  7. 7. ITPI Conditions of Engagement In case of termination of the project prior to its completion, the Client shall pay to the Consultant Planner, his professional fees and charges for the professional service rendered / work done up to the date of the termination. Matters of disputes shall be referred for arbitration by one or more persons to be agreed upon between the parties. If agreed by both the parties (Client and Consultant Planner), one of the arbitrator may be nominated by the Institute of Town Planners, India. 2/14/2014 7
  8. 8. ITPI Conditions of Engagement The Consultant Planner, as part of his professional assignment is required to identify issues at hand, collect relevant data and come up with planning proposals. Implementation plans or detailed project report (DPR) are not covered in his scope of work unless mentioned otherwise in agreement. These details, if required, will be considered as separate services for which remuneration shall be in payable in accordance with scale of professional charges for such works. 2/14/2014 8
  9. 9. ITPI Conditions of Engagement The Consultant Planner is also responsible to carry out all necessary primary surveys of different nature. Physical Socio economic Transport For the purpose he may refer and draw upon data made available to him either by client or other secondary sources. Land use Primary survey work shall be an additional assignment and separate remuneration shall be payable in accordance with the appropriate scale of charges. 2/14/2014 9
  10. 10. ITPI Conditions of Engagement The scope of services and scale of professional charges provided herein, are applicable for professional services to be entrusted to Corporate Members of the Institute of Town Planners, India. Consultancy firms wishing to undertake urban and regional planning consultancy projects shall also be governed by these conditions of engagement and scale of professional fees & charges and shall have a corporate member of the Institute as a part of the consultancy firm. 2/14/2014 10
  11. 11. Types of consultancy services Regional Planning Perspective Policy Plan / vision of a state / region / district /metropolitan area Development Plan of a region / district / metropolitan area Annual Plan of a region / district / metropolitan area Schemes and Projects as a part of any of the above plan such as roads, sharing of water etc. Services as a part of the above plan and applicable to regional planning and development 2/14/2014 11
  12. 12. Types of consultancy services Planning and Development Management • • Specialized Sect oral Plans / studies EIA, landscape plan, environmental management plan, industrial development plan, infrastructure plans, mobility plan, real estate development, redevelopment plan, SEZ plan, slum rehabilitation plan, special area plans, tourism development plan, traffic and transport plan, village development plan, disaster management plan, project management consultancy, prefeasibility reports, waste management plan, rainwater harvesting, city development plan (CDP), slum-free city plan, GIS based property mapping, any other special sect oral plan/ study related to land, land use and land management. • Detailed project reports (DPRs) • Advisory Services, Arbitration and Techno-legal Inputs • Education. Research & Training pertaining to Urban and • Regional Planning and Development 2/14/2014 12
  13. 13. Regional Plan/ Regional Vision Document History Regional settings and profile Existing Characteristics Population Settlement pattern Health, Water & Sanitation Land Utilization Education Hazard prone areas Heritage Zones Agriculture and rural development Social structure Physical and natural resource 2/14/2014 Fiscal resources Employment primary, secondary and tertiary Transportation road, rail, air, water 13
  14. 14. Regional Plan/ Regional Vision Document 3. Development vision, goals and objectives 4. Regional development policies and strategies: agricultural and rural development, development of industry, trade and commerce, economic development, tourism, social welfare, poverty alleviation and employment generation, disaster management, conservation of heritage, forest and environment, urbanization, settlement pattern and transport network, integrated infrastructure development covering water, sanitation, energy, education, health, recreation, communication and other utilities, facilities and services, 2/14/2014 14
  15. 15. Regional Plan/ Regional Vision Document 5. Development policies for special areas, if any, such as new towns, SEZ, integrated townships, backward areas etc. 6. Identification of priority projects and institutional framework. 7. Fiscal ressource mobilisation stratégie. 8. Phasing of the plan in periods of five years preferably so as to coincide with the 2/14/2014 15
  16. 16. Development plans, Master Plans, City Development Plans 1. Evolution, regional setting and profile. 2. Existing conditions and development issues, demography, economic base and employment generation covering formal and informal sectors and land use pattern, housing, transportation, infrastructure covering: utilities like water supply, electricity, sewerage, drainage, refuse collection and disposal, facilities pertaining to education, health, recreation, services like communication(e.g., postal and telephone), protection e.g., police, fire and others, shelter development, environmental protection etc. 3. Assessment of deficiencies and projected requirements. 4. Development vision, aims and objectives. 2/14/2014 16
  17. 17. Development plans, Master Plans, City Development Plans 5. Proposals incorporating a. Concept of development, b. Land use proposals c. Transport system and networks comprising links and nodes. d. Social infrastructure e. Physical Infrastructure 6. Implementation: a. Phasing b. Identification of projects implementing agencies including private, cooperative and corporate sectors and priority. c. Resource Mobilization (land and fiscal), d. Development promotion rules/ regulations. 7. Monitoring & Review 2/14/2014 17
  18. 18. Special Area Plan, Redevelopment Plan, Urban renewal plan, Local Area Plan 1. Location and other physical characteristics of the area 2. Aims and objectives and schedule of area requirements 3. Alternative concepts, their evaluation and selection of most preferred option after consultation with stakeholders. 5. Preparation of plan based upon the chosen option. 6. Planning (not engineering) details of infrastructure water supply, sewage, drainage, electricity and road network. 7. Implementation a. Phasing b. Identification of projects / schemes and implementing agencies including private, cooperative and corporate sectors on priority. c. Mobilization of land and fiscal 2/14/2014 18
  19. 19. Scale of Professional Fees Scale of professional fees and charges shall be the minimum desirable payable to a Consultant Planners. However, they are at liberty to charge a lump sum fees as per mutual agreement with the Client, in consideration of their particular professional standing, higher level of expertise offered by their organization, nature and complexity of the assignment, time constraints etc. 2/14/2014 19
  20. 20. The factors that have governed the professional fees and charges include specific cost to the Consultant Planner’s office in rendering the service and his consultation fees. For the purpose of simplification and transparency this cost has been expressed in following terms • Agreed / assigned population • Percentage of cost of land development or • Total cost of project, • Man-month, where one man month includes fees of the Consultant Planner and overheads for one month. Since consultancy services related to planning management, advice, arbitration, techno-legal advice etc. may be provided based upon time charges per day or on retainer ship per month, these have been accordingly included in the scale of professional charges. 2/14/2014 20
  21. 21. Professional Fees For Preparation Of Different Types Of Plans Based On Projected Planned Population S.No Type of Plan 1 Regional Plan 2 Regional Vision Document / Regional Perspective Policy Plan 3 Development Plan / Master Plan 4 City Development Plan (Programme) 5000 5 City Vision / Perspective Policy Plan 4000 6 Sub-City Plan / Divisional Plan / Zonal Plan 7 Special Area Plan/ Urban Renewal Plan / Redevelopment Plan 2000 8 Local Area (ward level) Plan / Sub-Divisional Plan / Sector Plan 20000 9 Village Development Plan 20000 2/14/2014 Fee in Rs. Per 1000 persons 2000 800 10000 15000 21
  22. 22. a. Minimum professional fee for preparation of plans for urban areas shall be Rs. 200,000 and for rural settlements the minimum fee shall be Rs100,000. b. Projected Planned Population: Estimated population of a region / settlement or part thereof for a planned period of 5 to 20 years as the case may be, given in a published regional plan / master/development plan. However, where there is no such plan available or applicable, the estimated population shall be worked out from the Census data. c. For hill areas or inaccessible areas or areas with difficult conditions (due to social, political or other reasons), the professional fee shall be 1.5 times. 2/14/2014 22
  23. 23. Professional Fees For Projects / Schemes Based On Land Development Cost /Total Project Cos S.No Type of Work Fee Description 1 All Layouts / Projects / Schemes 1.5% of the land development cost 2 Detailed Project Reports (DPR) 2% of the total project cost for which DPR is being prepared 2/14/2014 23
  24. 24. Professional Fees For Projects / Schemes Based On Land Development Cost /Total Project Cos a. Land development Cost includes cost of provision of water supply, sewerage, drainage, construction of roads, street lighting, arboriculture / landscaping and site levelling based on unit rates as per local PWD. b. This fee does not include the preparation of Building Plan. c. The minimum professional fee shall be Rs. 200,000. 2/14/2014 24
  25. 25. Professional Fees For Preparation Of Different Types Of Plans Based On Man-months S.No 1 Lead Consultant 2.5-4.5 2 Advisor 2.0-4.0 3 Key Professional (Domain Expert) 1.5-3.5 4 2/14/2014 Designation Range of Fee per month in Rs (Lakhs) Technical Support Staff 0.5-1.5 25
  26. 26. Professional Fees For Preparation Of Different Types Of Plans Based On Man-months Lead Consultant: a senior Consultant Planner having experience of at least 25 years in the field serving as the team leader. b. Advisor: an expert Consultant Planner having experience of at least 25 years in the field. c. Key professional (Domain expert): an expert Consultant Planner having experience of at least 15 years in the specific area of consultancy * Depending upon the experience fee may be charged within this range. ** One man-month is defined as a period comprising 20 working days (5 days/week) and includes fees of the Consultant Planner and overheads for one month 2/14/2014 26
  27. 27. Professional Fee As Retainer On Per Month Basis S.No Designation Range of Fee per month in Rs (Lakhs) 1 Advisor 1.5- 2.0 2 Key Professional (Domain Expert) .75- 1.75 • Definition of Advisor and Key professional as explained above. • Depending upon the experience fee can be charged within this range. • One man month includes fees of the Consultant Planner and overheads for one month 2/14/2014 27
  28. 28. Professional Fee for Short term assignments on per day basis S.No Designation Range of Fee per Month in Rs 1 Advisor 10000 to 20000 2 Key Professional (Domain Expert) 5000 to 10000 • Definition of Advisor and Key professional as explained above. • Depending upon the experience fee can be charged within this range. 2/14/2014 28
  29. 29. Mode of Payment S.No Type of Plan Fees payable as % of total fees payable 1 On the date of signing the Agreement 10 2 On submission of preliminary report/plans 30 3 On submission of draft final report /plans 20 4 On submission of final report/ plans 30 5 On acceptance of the final report/ plan by the Client 10 6 Total 100 The task under each stage should be specified depending upon the nature of work and should form part of the agreement. 2/14/2014 29
  30. 30. Thank 2/14/2014 You 30

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