OAR 736-148-0300. Prohibited Payment Methodology; Purchase Restrictions

(1) Except as otherwise allowed by law, the department shall not enter into any contract which includes compensation provisions that expressly provide for payment of: (a) Consultant's costs under the contract plus a percentage of those costs; or (b) A percentage of the project construction costs or total project costs. (2) Except as otherwise allowed by law, the department shall not enter into any contract in which: (a) The compensation paid under the contract is solely based on or limited to the consultant's hourly rates for the consultant's personnel working on the project and reimbursable expenses incurred during the performance of work on the project (sometimes referred to as a "time and materials" contract); and (b) The contract does not include a maximum amount payable to the consultant for the services required under the contract. (3) Except in cases of emergency, the department shall not purchase any building materials, supplies or equipment for any building, structure or facility constructed by or for the department from any consultant under a contract with the department to perform services, for the building, structure or facility.