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updating, a flat percentage of the original fee is not acceptable as representative of fair payment. Experience of the acquiring agency and any other available guides should be considered in arriving at an equitable fee. A qualified individual employed by the Spon- sor should visit the project site to identify the valuation problem, determine the num- ber and type of reports needed and estimate a fee per parcel. The estimate will be made prior to requesting a proposal from fee ap- praisers and should be retained in the Spon- sor's file. In determining the basis of payment and the actual fees to be paid, consideration should be given to: (a) The complexity of the appraisal or other work to be undertaken and the skills necessary to provide such services. (b) The number of parcels included in the assignment. The amount of information and data provided fee appraisers by the Sponsor, and the extent of information that must be developed independently. (d) The Location and conditions pertinent to the project for which the fee service is to be provided. (e) The time allowed for performance of the assignment. c. Requirements for Contracts and Agreements. Contracts, agreements or assignment letters for fee appraisal and specialist service should contain as a minimum the following provisions and clauses: (1) Date of agreement. (2) The complete name and address of each party to the agreement whether individual, partnership, firm or corporation. If a cor- poration is one of the parties, identify the State in which it is incorporated. Where a contract is with a partnership, firm or cor- poration, the agreement or supplement thereto should identify the person who will perform the valuation services and, if nec- essary, testify in a condemnation action. Description of the work to be done in sufficient detail to show the nature and ex- tent of the services contemplated. Provision for the appraiser or specialist to testify in court if the need arises. Specifications as to the content and format of reports. (6) Data to be furnished by the Sponsor. 14 (3) (4) (5) (c) (7) Date completed reports are due. (8) The basis of payment for the services to be furnished. (9) The following clause: "The appraiser (spe- cialist) warrants that he has not employed or retained any company, firm or person, other than a bona fide employee working solely for him, to solicit or secure this agree- ment, and that he has not paid or agreed to pay any company, firm, or person, other than a bona fide employee working solely for him, any fee, commission, percentage, brokerage fee, gifts or any other considera- tion, contingent upon or resulting from the award or making of this agreement. For breach or violation of this warranty, the (Sponsor) shall have the right to annul this agreement without liability." (10) Provisions that would permit the negotia- tion for mutual acceptance or major changes in the scope, character or estimated total cost of the work to be performed if such changes become necessary as the work progresses. (11) Provision that would permit termination of the agreement by the Sponsor in case the appraiser (specialist) is not complying with the terms of the agreement, the progress or quality of work is unsatisfactory, or for other stated reasons. (12) Provision covering the ownership of work completed or partially completed and basis of payment therefor in the event of termina- tion of the agreement by the Sponsor. (13) An express prohibition against the subcon- tracting or transfer of any of the work ex- cept as is otherwise provided for in the agreement. (14) Instructions that the appraiser (specialist) is to follow accepted principles and tech- niques in the valuation of real property as expressed in this circular and in accordance with existing State law. (15) Provision for itemizing the fee per parcel within the agreement or by a separate state- ment. (16) Provision for updating reports at the re- quest of the Sponsor. (17) Provision for execution of a certification statement. (See appendix 3 as an example for the Certificate of Appraiser.) (18) Pertinent civil rights assurances. • •