Project Budget Amendment Process Sample Clauses
The Project Budget Amendment Process clause outlines the procedures for modifying the financial plan of a project after it has been initially approved. Typically, this clause specifies who can propose changes, the documentation required, and the steps for obtaining necessary approvals, such as submitting a revised budget for review by stakeholders or a governing body. By establishing a clear process for budget adjustments, the clause ensures that any changes are managed transparently and with proper oversight, thereby preventing unauthorized spending and maintaining financial control throughout the project's lifecycle.
Project Budget Amendment Process. Any amendment to a Project Budget (including those made pursuant to De Minimus Adjustments) shall be in writing. Any such amendment shall identify with reasonable particularity (a) the Line Item to be increased or decreased (if any), (b) the amount of the increase or decrease (if any), (c) in the event of an increase in a construction Line Item, the source proposed to be utilized to pay for the increase in accordance with Section 6.1.1, and (d) in the case of a decrease in a construction Line Item, the Realized Savings in the amount of such decrease, or (e) the additional line item category. The parties acknowledge that a portion of any cost reduction achieved with respect to the work performed under a Construction Contract may be payable to the Construction Manager or another Contractor under such Construction Contract (subject to the conditions contained in such Construction Contract with respect to application of savings) and that in such case the entire reduction may not become Realized Savings. The “Construction Improvements” Line Item may be reduced only upon obtaining, and in the amount of, Realized Savings. Any amounts of Realized Savings, contingency amounts or previously allocated reserves so identified for use in connection with a particular Line Item thenceforth shall be deemed dedicated to the particular Line Item, unless and until the Project Budget is amended to reduce the amounts budgeted for the Line Item of the Project Budget.
Project Budget Amendment Process. Any amendment to the Project Budget shall be in writing. Any such amendment shall identify with particularity the line item to be increased or decreased, if any, the amount of the increase or decrease (if any), and in the event of an increase in a construction line item, the Realized Savings, Additional Pre-Operating Revenue, and/or line item for "contingency" in the Project Budget permitted to be reduced pursuant to SECTION 5.1.1 (but not any Retainage Amounts), which are proposed to be utilized to pay for the increase; and (y) in the case of a decrease in a construction line item, the Realized Savings in the amount of such decrease. The parties acknowledge that a portion of any cost reduction achieved with respect to the work performed under a Construction Contract may be payable to the General Contractor or another Contractor under such Construction Contract (subject to the conditions contained in the GMP Contract or such other Construction Contract with respect to application of savings) and that in such case the entire reduction may not become Realized Savings. Construction line items may be reduced only upon obtaining, and in the amount of, Realized Savings. The total amount allocated in the Project Budget for the line items for Finishes, as such line items are set forth on EXHIBIT D-3 hereto, may not be reduced by more than fifteen percent (15%) of the sum of the amounts allocated to such line items on EXHIBIT D-3 hereto. The "pre-opening expenses" line item on the Project Budget may not be reduced by more than fifteen percent (15%). The "contingency" line item on the Project Budget may be reduced by allocation to other line items subject to the restrictions contained in SECTION 5.1.1(c). The "working capital and machine loads" line item, the "excess liquidity" line item, the "owner supplied FF&E" line item, and the "FF&E" line item on the Project Budget may not be reduced. Any amounts of Realized Savings, Additional Pre-Operating Revenue, contingency amounts or previously allocated reserves so identified for use in connection with a particular line item thenceforth shall be deemed dedicated to the particular line item, unless and until the Project Budget is amended to reduce the amounts budgeted for the line item of the Project Budget. Notwithstanding the foregoing, at any time Soft Costs may be applied against the "excess liquidity" line item of the Project Budget; PROVIDED, HOWEVER that (x) $ 3,000,000.00 constitutes a reserve against which no Pr...
Project Budget Amendment Process. Any material amendment to the Project Budget shall be in writing. Any such material amendment shall identify with particularity (a) the Line Item to be increased or decreased or added (if any), (b) the amount of the increase or decrease or addition (if any), (c) in the event of an increase in a Line Item or the addition of a line item, the source proposed to be utilized to pay for the increase in accordance with Section 6.1.1, (d) in the case of a decrease in a Line Item, any cost savings being realized in the amount of such decrease and (e) if applicable, the additional line item category. Except as otherwise permitted in Section 6.1, Borrower shall not make any other material amendment to the Project Budget without the prior written consent of the Administrative Agent, which consent shall be in its commercially reasonable discretion.