What does the IT Project Management Services Fee cover for The Standardx franchise, and is it refundable?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Franchisee shall pay Hyatt the "IT Project Management Services Fee" set forth in Exhibit B-1, plus any applicable taxes thereon. The IT Project Management Services Fee is non-refundable. Franchisee shall reimburse Hyatt's or its Affiliate's reasonable expenses in connection with rendering the IT Project Management Services, including any necessary transportation, lodging and meals, plus applicable taxes thereon. The IT Project Management Services Fee (including expenses) will be invoiced by Hyatt no earlier than: (i) Hyatt's completion of the IT Project Management Services or (ii) upon Franchisee's termination of the Hotel development project or the IT Project Management
Services, for any reason, in either event regardless of whether Hyatt has approved the Hotel for opening.
1. Scope of Services, Part 1
IT Project Management Services - The overall process includes a Blueprint Review and IT Project Management & Planning. Listed below are the activities for each component which are included in the IT Project Management Services fee.
- Initial Discussion
- Blueprint Review.
- Provide and review IT Systems Bid Book, Hyatt IT Brand Standards, Cabling SOW, etc. (Collectively "IT Systems Requirements").
- Project Management and Planning
- Communicate status on an agreed upon schedule.
- Plan and direct the overall IT Project Management activities through implementation and sign-off.
- Monitor all Teams/Vendors with respect to standard work processes related to IT System installations.
- Coordinate installation of the standard IT Systems and facilitate communication between Vendor and hotel.
- Act as the Single Point of Contact ("SPOC") for IT problem escalation during Vendor installations.
- Provide specifications and oversight for low voltage cabling.
- Procurement Assistance
- Review IT orders for accuracy and pricing ("Purchase Orders").
- Communicate IT Systems Requirements to Vendors.
- Manage and provide reports of any modifications and/or updates to original Purchase Orders ("Change Orders").
- Vendor Management and Scheduling
- Be the SPOC for Hyatt IT Vendor scheduling and coordination.
- Work with construction general contractor or Owner to identify schedule touch points and dependencies.
- Manage Hyatt Vendor issues.
- Communicate Hyatt IT Vendor on-site dates.
- Coordinate Hyatt IT Vendor training and hotel signoff.
- Schedule and facilitate Hyatt Vendor meetings as possible.
- EMV on-property setup, on-property mobile entry setup, interface configuration support.
- Hyatt Network Operations consulting VPN setup and systems whitelisting.
- Hyatt Telecom consulting faceplate approval, Auto-attendant setup and standardization, Music on hold setup and standardization.
Source: Item 18 — OTHER INCOME (LOSS), NET (FDD pages 187–399)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, the IT Project Management Services Fee covers several activities related to IT system implementation. These include a Blueprint Review and IT Project Management & Planning. The Blueprint Review involves providing and reviewing IT Systems Bid Book, Hyatt IT Brand Standards, and Cabling SOW. Project Management and Planning includes communication, directing IT project management activities, monitoring teams/vendors, coordinating IT system installation, and acting as the Single Point of Contact (SPOC) for IT problem escalation during vendor installations, and providing specifications and oversight for low voltage cabling.
Procurement assistance includes reviewing IT orders for accuracy and pricing, communicating IT Systems Requirements to Vendors, and managing and providing reports of any modifications and/or updates to original Purchase Orders. Vendor management and scheduling includes being the SPOC for Hyatt IT Vendor scheduling and coordination, working with construction general contractor or Owner to identify schedule touch points and dependencies, managing Hyatt Vendor issues, communicating Hyatt IT Vendor on-site dates, coordinating Hyatt IT Vendor training and hotel signoff, and scheduling and facilitating Hyatt Vendor meetings as possible. The fee also covers EMV on-property setup, on-property mobile entry setup, interface configuration support, Hyatt Network Operations consulting VPN setup and systems whitelisting, and Hyatt Telecom consulting faceplate approval, Auto-attendant setup and standardization, Music on hold setup and standardization.
The FDD states that the IT Project Management Services Fee is non-refundable. Additionally, the franchisee must reimburse Hyatt or its affiliates for reasonable expenses related to the IT Project Management Services, including transportation, lodging, and meals. Hyatt will invoice this fee upon completion of the services or if the franchisee terminates the hotel development project or the IT Project Management Services, regardless of whether Hyatt has approved the hotel for opening.