PHILIPPINE BIDDING DOCUMENTS

(As Harmonized with Development Partners)

Procurement of
INFRASTRUCTURE
PROJECTS
Government of the Republic of the Philippines

CONSTRUCTION OF LINE DITCH ALONG KOLAMBUGAN-

TANGKAL PROVINCIAL ROAD
Sta. 0+155.00 - Sta. 0+503.48
Project Location: Kolambugan, Lanao del Norte
Project Number: LDN-2020-20

September 22, 2020

Fifth Edition
August 2016
 Preface
These Philippine Bidding Documents (PBDs) for the procurement of Infrastructure
Projects (hereinafter referred to also as the “Works”) through Competitive Bidding have been
prepared by the Government of the Philippines (GoP) for use by all branches, agencies,
departments, bureaus, offices, or instrumentalities of the Government, including government-
owned and/or -controlled corporations (GOCCs), government financial institutions (GFIs),
state universities and colleges (SUCs), local government units (LGUs), and autonomous
regional government. The procedures and practices presented in this document have been
developed through broad experience, and are for mandatory1 use in projects that are financed
in whole or in part by the GoP or any foreign government/foreign or international financing
institution in accordance with the provisions of the 2016 Revised Implementing Rules and
Regulations (IRR) of Republic Act No. 9184 (R. A. 9184).

This PBDs is intended as a model for admeasurements (unit prices or unit rates in a
bill of quantities) types of contract, which are the most common in Works contracting.

The Bidding Documents shall clearly and adequately define, among others: (a) the
objectives, scope, and expected outputs and/or results of the proposed contract; (b) the
eligibility requirements of Bidders; (c) the expected contract duration; and (d) the obligations,
duties, and/or functions of the winning bidder.

In order to simplify the preparation of the Bidding Documents for each procurement,
the PBDs groups the provisions that are intended to be used unchanged in Section II.
Instructions to Bidders (ITB) and in Section IV. General Conditions of Contract (GCC). Data
and provisions specific to each procurement and contract should be included in Section III.
Bid Data Sheet (BDS); Section V. Special Conditions of Contract (SCC); Section VI.
Specifications; Section VII. Drawings; Section VIII. Bill of Quantities; and Section X.
Foreign-Assisted Projects. The forms to be used are provided in Section IX. Bidding Forms.

Care should be taken to check the relevance of the provisions of the Bidding
Documents against the requirements of the specific Works to be procured. In addition, each
section is prepared with notes intended only as information for the Procuring Entity or the
person drafting the Bidding Documents. They shall not be included in the final documents,
except for the notes introducing Section IX. Bidding Forms, where the information is useful
for the Bidder. The following general directions should be observed when using the
documents:

(a) All the documents listed in the Table of Contents are normally required for the
procurement of Infrastructure Project. However, they should be adapted as
necessary to the circumstances of the particular Project.

(b) Specific details, such as the “name of the Procuring Entity” and “address for
proposal submission,” should be furnished in the BDS and SCC. The final
documents should contain neither blank spaces nor options.

1 Unless the Treaty or International or Executive Agreement expressly provides use of foreign
government/foreign or international financing institution procurement guidelines.

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(c) This Preface and the footnotes or notes in italics included in the Invitation to
Bid, BDS, SCC, Specifications, Drawings, and Bill of Quantities are not part
of the text of the final document, although they contain instructions that the
Procuring Entity should strictly follow. The Bidding Documents should
contain no footnotes except Section IX. Bidding Forms since these provide
important guidance to Bidders.

(d) The cover should be modified as required to identify the Bidding Documents
as to the names of the Project, Contract, and Procuring Entity, in addition to
date of issue.

(e) If modifications must be made to bidding procedures, they can be presented in

the BDS. Modifications for specific Project or Contract details should be
provided in the SCC as amendments to the Conditions of Contract. For easy
completion, whenever reference has to be made to specific clauses in the BDS
or SCC these terms shall be printed in bold type face on Section II.
Instructions to Bidders, and Section IV. General Conditions of Contract,
respectively.

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 TABLE OF CONTENTS

SECTION I. INVITATION TO BID ........................................................................6

SECTION II. INSTRUCTIONS TO BIDDERS ........................................................ 10
SECTION III. BID DATA SHEET ....................................................................... 40
SECTION IV. GENERAL CONDITIONS OF CONTRACT ...................................... 45
SECTION V. SPECIAL CONDITIONS OF CONTRACT .......................................... 78
SECTION VI. SPECIFICATIONS ........................................................................ 81
SECTION VII. DRAWINGS ............................................................................. 142
SECTION VIII. BILL OF QUANTITIES ............................................................ 143
SECTION IX. BIDDING FORMS ...................................................................... 146
SECTION X. FOREIGN-ASSISTED PROJECTS ERROR! BOOKMARK NOT DEFINED.

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 Section I. Invitation to Bid
Notes on the Invitation to Bid
The Invitation to Bid provides information that enables potential Bidders to decide
whether to participate in the procurement at hand. The Invitation to Bid shall be:

(a) Posted continuously in the Philippine Government Electronic Procurement System

(PhilGEPS) website and the website of the Procuring Entity concerned, if available,
and the website prescribed by the foreign government/foreign or international
financing institution, if applicable, for seven (7) calendar days starting on the date
of advertisement; and
(b) Posted at any conspicuous place reserved for this purpose in the premises of the
Procuring Entity concerned for seven (7) calendar days, as certified by the head of
the Bids and Awards Committee (BAC) Secretariat of the Procuring Entity
concerned.
(c) Advertised at least once in a newspaper of general nationwide circulation which has
been regularly published for at least two (2) years before the date of issue of the
advertisement, subject to Sections 21.2.1(c) of the 2016 Revised IRR of R.A.
91842;
Apart from the essential items listed in the Bidding Documents, the Invitation to Bid
should also indicate the following:
(a) The date of availability of the Bidding Documents, which shall be from the time
the Invitation to Bid is first advertised/posted until the deadline for the submission
and receipt of bids.
(b) The place where the Bidding Documents may be acquired or the website where it
may be downloaded.
(c) The deadline for the submission and receipt of bids from the last day of posting of
the Invitation to Bid; and
(d) Any important bid evaluation criteria.

The Invitation to Bid should be incorporated into the Bidding Documents. The
information contained in the Invitation to Bid must conform to the Bidding Documents and
in particular to the relevant information in the BDS.
For foreign-assisted projects, the Invitation to Bid to be used is provided in Section X-
Foreign-Assisted Projects.

2 Two years after the effectivity of the 2016 Revised IRR of RA 9184 on 28 October 2016, advertisement in a
newspaper of general nationwide circulation shall no longer be required. However, a Procuring Entity that
cannot post its opportunities in the PhilGEPS for justifiable reasons shall continue to publish its advertisements
in a newspaper of general nationwide circulation.

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 Republic of the Philippines
Region X
Province of Lanao del Norte
Gov. Arsenio A. Quibranza Provincial Government Center

Invitation to Bid for the

CONSTRUCTION OF LINE DITCH ALONG KOLAMBUGAN-TANGKAL

PROVINCIAL ROAD
Sta. 0+155.00 - Sta. 0+503.48
Project Location: Kolambugan, Lanao del Norte
Project Number: LDN-2020-20

September 22, 2020

1. The Provincial Government of Lanao del Norte through the Unexpended DRR Fund for
CY 2020 intends to apply the sum of One Million Pesos Only (Php 1,000,000.00) being
the Approved Budget for the Contract (ABC) to payments under the contract for the
Construction of Line Ditch along Kolambugan-Tangkal Provincial Road. Bids
received in excess of the ABC shall be automatically rejected at bid opening.

2. The Provincial Government of Lanao del Norte now invites bids for Construction of
Line Ditch along Kolambugan-Tangkal Provincial Road which will involve structure
excavation (common soil), grouted riprap, class A for line canal and pipe culvert,
610mm dia.3 Completion of the Works is required within 30 calendar days (including
Saturdays, Sundays, Holidays and Predetermined Unworkable Days). Bidders should
have completed a contract similar to the Project. The description of an eligible bidder is
contained in the Bidding Documents, particularly, in Section II. Instructions to
Bidders.

3. Bidding will be conducted through open competitive bidding procedures using non-
discretionary “pass/fail” criterion as specified in the 2016 Revised Implementing Rules
and Regulations (IRR) of Republic Act 9184 (RA 9184), otherwise known as the
“Government Procurement Reform Act.”

Bidding is restricted to Filipino citizens/sole proprietorships, cooperatives, and

partnerships or organizations with at least seventy-five percent (75%) interest or
outstanding capital stock belonging to citizens of the Philippines.

3 A brief description of the scope of Works should be provided, including quantities, location of project, and
other information necessary to enable potential bidders to decide whether or not to respond to the invitation.
4. Interested bidders may obtain further information from the Bids and Awards Committee
and inspect the Bidding Documents at the address given below from 8:00 AM to 5:00
PM.

5. A complete set of Bidding Documents may be acquired by interested bidders on July

18, 2017 from the address below and upon payment of the applicable fee for the
Bidding Documents, pursuant to the latest Guidelines issued by the GPPB, in the
amount of One Thousand Pesos (Php 1,000.00).

It may also be downloaded free of charge from the website of the Philippine
Government Electronic Procurement System (PhilGEPS) and the website of the
Procuring Entity, provided that bidders shall pay the applicable fee for the Bidding
Documents not later than the submission of their bids.

6. The Provincial Government of Lanao del Norte will hold a Pre-Bid Conference4 on
__October 1, 2020 @ 10: 00 AM at the Office of Bids and Awards Committee,
General Services Office, 1st Floor New Capitol Building, Gov. Arsenio A. Quibranza
Provincial Government Center, Pigcarangan, Tubod, Lanao del Norte, which shall be
open to prospective bidders.

7. Bids must be duly received by the BAC Secretariat at the address below on or before
_October 15, 2020 @ 10:00 AM. All bids must be accompanied by a bid security in
any of the acceptable forms and in the amount stated in ITB Clause 18.

Bid opening shall be on _ October 15, 2020 @ 10:00 AM at Office of Bids and Awards
Committee, General Services Office, 1st Floor New Capitol Building, Gov. Arsenio A.
Quibranza Provincial Government Center, Pigcarangan, Tubod, Lanao del Norte.
Bids will be opened in the presence of the bidders’ representatives who choose to attend
at the address below. Late bids shall not be accepted.

8. [Insert such other necessary information deemed relevant by the Procuring Entity]

9. The Provincial Government of Lanao del Norte reserves the right to reject any and all
bids, declare a failure of bidding, or not award the contract at any time prior to
contract award in accordance with Section 41 of RA 9184 and its IRR, without
thereby incurring any liability to the affected bidder or bidders.

10. For further information, please refer to:

[ENGR. MARIETTA L. BORILLO]

[Provincial Engineer’s Office]
[Bulod, Tubod, Lanao del Norte]
[Tel. N. (063)341-5475]
[email address: peo_2017@yahoo.com]

4 May be deleted in case the ABC is less than One Million Pesos (PhP1,000,000) where the Procuring Entity
may not hold a pre-bid conference.
(SGD) ENGR. MARIETTA L. BORILLO
BAC Chairperson
 Section II. Instructions to Bidders
Notes on the Instructions to Bidders
This Section of the Bidding Documents provides the information necessary for Bidders to
prepare responsive bids, in accordance with the requirements of the Procuring Entity. It
also provides information on the bid submission, eligibility check, opening and evaluation
of bids, and on the award of contract.

This Section also contains provisions that are to be used unchanged. Section III. Bid Data
Sheet consists of provisions that supplement, amend, or specify in detail information or
requirements included in this Section and which are specific to each procurement.

Matters governing the performance of the Contractor, payments under the contract, or
matters affecting the risks, rights, and obligations of the parties under the contract are not
normally included in this Section, but rather under Section IV. General Conditions of
Contract (GCC), and/or Section V. Special Conditions of Contract (SCC). If duplication
of a subject is inevitable in the other sections of the document prepared by the Procuring
Entity, care must be exercised to avoid contradictions between clauses dealing with the
same matter.

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 TABLE OF CONTENTS
A. GENERAL ................................................................................................... 13
1. Scope of Bid ............................................................................................................13
2. Source of Funds.......................................................................................................13
3. Corrupt, Fraudulent, Collusive, Coercive, and Obstructive Practices ....................13
4. Conflict of Interest ..................................................................................................15
5. Eligible Bidders.......................................................................................................16
6. Bidder’s Responsibilities ........................................................................................17
7. Origin of GOODS and Services ..............................................................................20
8. Subcontracts ............................................................................................................20
B. CONTENTS OF BIDDING DOCUMENTS ........................................................ 20
9. Pre-Bid Conference .................................................................................................20
10. Clarification and Amendment of Bidding Documents............................................21
C. PREPARATION OF BIDS .............................................................................. 21
11. Language of Bids ....................................................................................................21
12. Documents Comprising the Bid: Eligibility and Technical Components ...............22
13. Documents Comprising the Bid: Financial Component .........................................24
14. Alternative Bids ......................................................................................................25
15. Bid Prices ................................................................................................................25
16. Bid Currencies.........................................................................................................26
17. Bid Validity .............................................................................................................26
18. Bid Security.............................................................................................................26
19. Format and Signing of Bids ....................................................................................29
20. Sealing and Marking of Bids...................................................................................29
D. SUBMISSION AND OPENING OF BIDS .......................................................... 30
21. Deadline for Submission of Bids ............................................................................30
22. Late Bids .................................................................................................................30
23. Modification and Withdrawal of Bids.....................................................................30
24. Opening and Preliminary Examination of Bids ......................................................31
E. EVALUATION AND COMPARISON OF BIDS .................................................. 33
25. Process to be Confidential.......................................................................................33
26. Clarification of Bids ................................................................................................33
27. Detailed Evaluation and Comparison of Bids .........................................................33
28. Post Qualification ....................................................................................................34

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 29. Reservation Clause ..................................................................................................35
F. AWARD OF CONTRACT .............................................................................. 36
30. Contract Award .......................................................................................................36
31. Signing of the Contract ...........................................................................................37
32. Performance Security ..............................................................................................38
33. Notice to Proceed ....................................................................................................39
34. Protest Mechanism………………………………………………………………..36

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 A. General

1. Scope of Bid
1.1. The Procuring Entity named in the BDS, invites bids for the construction of
Works, as described in Section VI. Specifications.

1.2. The name, identification, and number of lots specific to this bidding are
provided in the BDS. The contracting strategy and basis of evaluation of lots is
described in ITB Clause 27.

1.3. The successful Bidder will be expected to complete the Works by the intended
completion date specified in SCC Clause 1.17.

2. Source of Funds
The Procuring Entity has a budget or received funds from the Funding Source named
in the BDS, and in the amount indicated in the BDS. It intends to apply part of the
funds received for the Project, as defined in the BDS, to cover eligible payments
under the Contract for the Works.

3. Corrupt, Fraudulent, Collusive, Coercive, and Obstructive Practices

3.1. Unless otherwise specified in the BDS, the Procuring Entity, as well as bidders
and contractors, shall observe the highest standard of ethics during the
procurement and execution of the contract. In pursuance of this policy, the
Funding Source:

(a) defines, for purposes of this provision, the terms set forth below as
follows:

(i) "corrupt practice" means behavior on the part of officials in the

public or private sectors by which they improperly and
unlawfully enrich themselves, others, or induce others to do so,
by misusing the position in which they are placed, and includes
the offering, giving, receiving, or soliciting of anything of value
to influence the action of any such official in the procurement
process or in contract execution; entering, on behalf of the
Procuring Entity, into any contract or transaction manifestly
and grossly disadvantageous to the same, whether or not the
public officer profited or will profit thereby, and similar acts as
provided in Republic Act 3019;

(ii) "fraudulent practice" means a misrepresentation of facts in

order to influence a procurement process or the execution of a
contract to the detriment of the Procuring Entity, and includes
collusive practices among Bidders (prior to or after Bid
submission) designed to establish bid prices at artificial, non-
competitive levels and to deprive the Procuring Entity of the
benefits of free and open competition;

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 (iii) “collusive practices” means a scheme or arrangement between
two or more Bidders, with or without the knowledge of the
Procuring Entity, designed to establish bid prices at artificial,
non-competitive levels; and

(iv) “coercive practices” means harming or threatening to harm,

directly or indirectly, persons, or their property to influence
their participation in a procurement process, or affect the
execution of a contract;

(v) “obstructive practice” is

(aa) deliberately destroying, falsifying, altering or

concealing of evidence material to an administrative
proceedings or investigation or making false statements
to investigators in order to materially impede an
administrative proceedings or investigation of the
Procuring Entity or any foreign government/foreign or
international financing institution into allegations of a
corrupt, fraudulent, coercive or collusive practice;
and/or threatening, harassing or intimidating any party
to prevent it from disclosing its knowledge of matters
relevant to the administrative proceedings or
investigation or from pursuing such proceedings or
investigation; or

(bb) acts intended to materially impede the exercise of the

inspection and audit rights of the Procuring Entity or
any foreign government/foreign or international
financing institution herein.

(b) will reject a proposal for award if it determines that the Bidder
recommended for award has engaged in corrupt or fraudulent practices
in competing for the Contract; and

(c) will declare a firm ineligible, either indefinitely or for a stated period
of time, to be awarded Contract funded by the Funding Source if it at
any time determines that the firm has engaged in corrupt or fraudulent
practices in competing or, or in executing, a Contract funded by the
Funding Source.

3.2. Further, the Procuring Entity will seek to impose the maximum civil,
administrative, and/or criminal penalties available under the applicable laws
on individuals and organizations deemed to be involved in any of the practices
mentioned in ITB Clause 3.1(a).

3.3. Furthermore, the Funding Source and the Procuring Entity reserve the right to
inspect and audit records and accounts of a contractor in the bidding for and
performance of a contract themselves or through independent auditors as
reflected in the GCC Clause 34.

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4. Conflict of Interest
4.1. All Bidders found to have conflicting interests shall be disqualified to
participate in the procurement at hand, without prejudice to the imposition of
appropriate administrative, civil, and criminal sanctions. A Bidder may be
considered to have conflicting interests with another Bidder in any of the
events described in paragraphs (a) through (c) and a general conflict of interest
in any of the circumstances set out in paragraphs (d) through (g) below:

(a) A Bidder has controlling shareholders in common with another Bidder;

(b) A Bidder receives or has received any direct or indirect subsidy from
any other Bidder;

(c) A Bidder has the same legal representative as that of another Bidder
for purposes of this Bid;

(d) A Bidder has a relationship, directly or through third parties, that puts
them in a position to have access to information about or influence on
the bid of another Bidder or influence the decisions of the Procuring
Entity regarding this bidding process;

(e) A Bidder submits more than one bid in this bidding process. However,
this does not limit the participation of subcontractors in more than one
bid;

(f) A Bidder who participated as a consultant in the preparation of the

design or technical specifications of the goods and related services that
are the subject of the bid; or

(g) A Bidder who lends, or temporarily seconds, its personnel to firms or

organizations which are engaged in consulting services for the
preparation related to procurement for or implementation of the
project, if the personnel would be involved in any capacity on the same
project.

4.2. In accordance with Section 47 of the IRR of RA 9184, all Bidding Documents
shall be accompanied by a sworn affidavit of the Bidder that it is not related to
the Head of the Procuring Entity (HoPE), members of the Bids and Awards
Committee (BAC), members of the Technical Working Group (TWG),
members of the BAC Secretariat, the head of the Project Management Office
(PMO) or the end-user unit, and the project consultants, by consanguinity or
affinity up to the third civil degree. On the part of the Bidder, this Clause shall
apply to the following persons:

(a) If the Bidder is an individual or a sole proprietorship, to the Bidder

himself;

(b) If the Bidder is a partnership, to all its officers and members;

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 (c) If the Bidder is a corporation, to all its officers, directors, and
controlling stockholders;

(d) If the Bidder is a cooperative, to all its officers, directors, and

controlling shareholders or members; and

(e) If the Bidder is a joint venture (JV), the provisions of items (a), (b), (c)
or (d) of this Clause shall correspondingly apply to each of the
members of the said JV, as may be appropriate.

Relationship of the nature described above or failure to comply with this

Clause will result in the automatic disqualification of a Bidder.

5. Eligible Bidders
5.1. Unless otherwise indicated in the BDS, the following persons shall be eligible
to participate in this Bidding:

(a) Duly licensed Filipino citizens/sole proprietorships;

(b) Partnerships duly organized under the laws of the Philippines and of
which at least seventy five percent (75%) of the interest belongs to
citizens of the Philippines;

(c) Corporations duly organized under the laws of the Philippines, and of
which at least seventy five percent (75%) of the outstanding capital
stock belongs to citizens of the Philippines;

(d) Cooperatives duly organized under the laws of the Philippines.

(e) Persons/entities forming themselves into a JV, i.e., a group of two (2)
or more persons/entities that intend to be jointly and severally
responsible or liable for a particular contract: Provided, however, that,
in accordance with Letter of Instructions No. 630, Filipino ownership
or interest of the joint venture concerned shall be at least seventy five
percent (75%): Provided, further, that joint ventures in which Filipino
ownership or interest is less than seventy five percent (75%) may be
eligible where the structures to be built require the application of
techniques and/or technologies which are not adequately possessed by
a person/entity meeting the seventy five percent (75%) Filipino
ownership requirement: Provided, finally, that in the latter case,
Filipino ownership or interest shall not be less than twenty five percent
(25%). For this purpose, Filipino ownership or interest shall be based
on the contributions of each of the members of the joint venture as
specified in their JVA.

5.2. The Procuring Entity may also invite foreign bidders when provided for under
any Treaty or International or Executive Agreement as specified in the BDS.

5.3. Government owned or controlled corporations (GOCCs) may be eligible to

participate only if they can establish that they (a) are legally and financially

16
 autonomous, (b) operate under commercial law, and (c) are not attached
agencies of the Procuring Entity.

5.4. (a) The Bidder must have an experience of having completed a Single Largest
Completed Contract (SLCC) that is similar to this Project, equivalent to at
least fifty percent (50%) of the ABC adjusted, if necessary, by the Bidder to
current prices using the Philippine Statistics Authority (PSA) consumer price
index. However, contractors under Small A and Small B categories without
similar experience on the contract to be bid may be allowed to bid if the cost
of such contract is not more than the Allowable Range of Contract Cost
(ARCC) of their registration based on the guidelines as prescribed by the
PCAB.

(b) For Foreign-funded Procurement, the Procuring Entity and the foreign
government/foreign or international financing institution may agree on another
track record requirement, as specified in the BDS.

For this purpose, contracts similar to the Project shall be those described in the
BDS.

5.5. The Bidder must submit a computation of its Net Financial Contracting
Capacity (NFCC), which must be at least equal to the ABC to be bid,
calculated as follows:

NFCC = [(Current assets minus current liabilities) (15)] minus the value of
all outstanding or uncompleted portions of the projects under ongoing
contracts, including awarded contracts yet to be started coinciding with the
contract for this Project.

The values of the domestic bidder’s current assets and current liabilities shall
be based on the latest Audited Financial Statements (AFS) submitted to the
BIR.

For purposes of computing the foreign bidders’ NFCC, the value of the current
assets and current liabilities shall be based on their audited financial
statements prepared in accordance with international financial reporting
standards.

6. Bidder’s Responsibilities
6.1. The Bidder or its duly authorized representative shall submit a sworn
statement in the form prescribed in Section IX. Bidding Forms as required in
ITB Clause 12.1(b)(iii).

6.2. The Bidder is responsible for the following:

(a) Having taken steps to carefully examine all of the Bidding

Documents;

(b) Having acknowledged all conditions, local or otherwise, affecting the

implementation of the contract;

17
(c) Having made an estimate of the facilities available and needed for the
contract to be bid, if any;

(d) Having complied with its responsibility to inquire or secure

Supplemental/Bid Bulletin/s as provided under ITB Clause 10.4.

(e) Ensuring that it is not “blacklisted” or barred from bidding by the GoP
or any of its agencies, offices, corporations, or LGUs, including
foreign government/foreign or international financing institution whose
blacklisting rules have been recognized by the GPPB;

(f) Ensuring that each of the documents submitted in satisfaction of the

bidding requirements is an authentic copy of the original, complete,
and all statements and information provided therein are true and
correct;

(g) Authorizing the HoPE or its duly authorized representative/s to verify

all the documents submitted;

(h) Ensuring that the signatory is the duly authorized representative of the
Bidder, and granted full power and authority to do, execute and
perform any and all acts necessary to participate, submit the bid, and to
sign and execute the ensuing contract, accompanied by the duly
notarized Special Power of Attorney, Board/Partnership Resolution, or
Secretary’s Certificate, whichever is applicable;

(i) Complying with the disclosure provision under Section 47 of RA 9184

and its IRR in relation to other provisions of RA 3019;

(j) Complying with existing labor laws and standards, in the case of
procurement of services. Moreover, bidder undertakes to:

(i) Ensure the entitlement of workers to wages, hours of work,

safety and health and other prevailing conditions of work as
established by national laws, rules and regulations; or collective
bargaining agreement; or arbitration award, if and when
applicable.

In case there is a finding by the Procuring Entity or the DOLE

of underpayment or non-payment of workers’ wage and wage-
related benefits, bidder agrees that the performance security or
portion of the contract amount shall be withheld in favor of the
complaining workers pursuant to appropriate provisions of
Republic Act No. 9184 without prejudice to the institution of
appropriate actions under the Labor Code, as amended, and
other social legislations.

(ii) Comply with occupational safety and health standards and to

correct deficiencies, if any.

18
 In case of imminent danger, injury or death of the worker,
bidder undertakes to suspend contract implementation pending
clearance to proceed from the DOLE Regional Office and to
comply with Work Stoppage Order; and

(iii) Inform the workers of their conditions of work, labor clauses

under the contract specifying wages, hours of work and other
benefits under prevailing national laws, rules and regulations;
or collective bargaining agreement; or arbitration award, if and
when applicable, through posting in two (2) conspicuous places
in the establishment’s premises; and

(k) Ensuring that it did not give or pay, directly or indirectly, any
commission, amount, fee, or any form of consideration, pecuniary or
otherwise, to any person or official, personnel or representative of the;

Failure to observe any of the above responsibilities shall be at the risk of the
Bidder concerned.

6.3. The Bidder, by the act of submitting its bid, shall be deemed to have inspected
the site, determined the general characteristics of the contract works and the
conditions for this Project and examine all instructions, forms, terms, and
project requirements in the Bidding Documents.

6.4. It shall be the sole responsibility of the prospective bidder to determine and to
satisfy itself by such means as it considers necessary or desirable as to all
matters pertaining to this Project, including: (a) the location and the nature of
the contract, project, or work; (b) climatic conditions; (c) transportation
facilities; (c) nature and condition of the terrain, geological conditions at the
site communication facilities, requirements, location and availability of
construction aggregates and other materials, labor, water, electric power and
access roads; and (d) other factors that may affect the cost, duration and
execution or implementation of the contract, project, or work.

6.5. The Procuring Entity shall not assume any responsibility regarding erroneous
interpretations or conclusions by the prospective or eligible bidder out of the
data furnished by the procuring entity. However, the Procuring Entity shall
ensure that all information in the Bidding Documents, including
supplemental/bid bulletins issued are correct and consistent.

6.6. Before submitting their bids, the Bidders are deemed to have become familiar
with all existing laws, decrees, ordinances, acts and regulations of the
Philippines which may affect the contract in any way.

6.7. The Bidder shall bear all costs associated with the preparation and submission
of his bid, and the Procuring Entity will in no case be responsible or liable for
those costs, regardless of the conduct or outcome of the bidding process.

6.8. The Bidder should note that the Procuring Entity will accept bids only from
those that have paid the applicable fee for the Bidding Documents at the office
indicated in the Invitation to Bid.

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7. Origin of Goods and Services
There is no restriction on the origin of Goods, or Contracting of Works or Services
other than those prohibited by a decision of the United Nations Security Council taken
under Chapter VII of the Charter of the United Nations.

8. Subcontracts
8.1. Unless otherwise specified in the BDS, the Bidder may subcontract portions of
the Works to an extent as may be approved by the Procuring Entity and stated
in the BDS. However, subcontracting of any portion shall not relieve the
Bidder from any liability or obligation that may arise from the contract for this
Project.

8.2. Subcontractors must submit the documentary requirements under ITB Clause
12 and comply with the eligibility criteria specified in the BDS. In the event
that any subcontractor is found by the Procuring Entity to be ineligible, the
subcontracting of such portion of the Works shall be disallowed.

8.3. The Bidder may identify the subcontractor to whom a portion of the Works
will be subcontracted at any stage of the bidding process or during contract
implementation. If the Bidder opts to disclose the name of the subcontractor
during bid submission, the Bidder shall include the required documents as part
of the technical component of its bid.

B. Contents of Bidding Documents

9. Pre-Bid Conference
9.1. (a) If so specified in the BDS, a pre-bid conference shall be held at the venue
and on the date indicated therein, to clarify and address the Bidders’ questions
on the technical and financial components of this Project.

(b) The pre-bid conference shall be held at least twelve (12) calendar days
before the deadline for the submission of and receipt of bids, but not earlier
than seven (7) calendar days from the posting of the Invitation to Bid/Bidding
Documents in the PhilGEPS website. If the Procuring Entity determines that,
by reason of the method, nature, or complexity of the contract to be bid, or
when international participation will be more advantageous to the GoP, a
longer period for the preparation of bids is necessary, the pre-bid conference
shall be held at least thirty (30) calendar days before the deadline for the
submission and receipt of bids, as specified in the BDS.

9.2. Bidders are encouraged to attend the pre-bid conference to ensure that they
fully understand the Procuring Entity’s requirements. Non-attendance of the
Bidder will in no way prejudice its bid; however, the Bidder is expected to
know the changes and/or amendments to the Bidding Documents as recorded
in the minutes of the pre-bid conference and the Supplemental/Bid Bulletin.
The minutes of the pre-bid conference shall be recorded and prepared not later
than five (5) calendar days after the pre-bid conference. The minutes shall be

20
 made available to prospective bidders not later than five (5) days upon written
request.

9.3. Decisions of the BAC amending any provision of the bidding documents shall
be issued in writing through a Supplemental/Bid Bulletin at least seven (7)
calendar days before the deadline for the submission and receipt of bids.

10. Clarification and Amendment of Bidding Documents

10.1. Prospective bidders may request for clarification(s) on and/or interpretation of
any part of the Bidding Documents. Such a request must be in writing and
submitted to the Procuring Entity at the address indicated in the BDS at least
ten (10) calendar days before the deadline set for the submission and receipt of
Bids.

10.2. The BAC shall respond to the said request by issuing a Supplemental/Bid
Bulletin, to be made available to all those who have properly secured the
Bidding Documents, at least seven (7) calendar days before the deadline for
the submission and receipt of Bids.

10.3. Supplemental/Bid Bulletins may also be issued upon the Procuring Entity’s
initiative for purposes of clarifying or modifying any provision of the Bidding
Documents not later than seven (7) calendar days before the deadline for the
submission and receipt of Bids. Any modification to the Bidding Documents
shall be identified as an amendment.

10.4. Any Supplemental/Bid Bulletin issued by the BAC shall also be posted in the
PhilGEPS and the website of the Procuring Entity concerned, if available, and
at any conspicuous place in the premises of the Procuring Entity concerned. It
shall be the responsibility of all Bidders who have properly secured the
Bidding Documents to inquire and secure Supplemental/Bid Bulletins that
may be issued by the BAC. However, Bidders who have submitted bids before
the issuance of the Supplemental/Bid Bulletin must be informed and allowed
to modify or withdraw their bids in accordance with ITB Clause 23.

C. Preparation of Bids

11. Language of Bids

The eligibility requirements or statements, the bids, and all other documents to be
submitted to the BAC must be in English. If the eligibility requirements or statements,
the bids, and all other documents submitted to the BAC are in foreign language other
than English, it must be accompanied by a translation of the documents in English.
The documents shall be translated by the relevant foreign government agency, the
foreign government agency authorized to translate documents, or a registered
translator in the foreign bidder’s country; and shall be authenticated by the
appropriate Philippine foreign service establishment/post or the equivalent office
having jurisdiction over the foreign bidder’s affairs in the Philippines. The English
translation shall govern, for purposes of interpretation of the bid.

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12. Documents Comprising the Bid: Eligibility and Technical
Components
12.1. Unless otherwise indicated in the BDS, the first envelope shall contain the
following eligibility and technical documents:

(a) Eligibility Documents –

Class “A” Documents

(i) PhilGEPS Certificate of Registration and Membership in

accordance with Section 8.5.2 of the IRR, except for foreign
bidders participating in the procurement by a Philippine
Foreign Service Office or Post, which shall submit their
eligibility documents under Section 23.1 of the IRR, provided,
that the winning bidder shall register with the PhilGEPS in
accordance with Section 37.1.4 of the IRR;

(ii) Statement of all its ongoing government and private contracts,

including contracts awarded but not yet started, if any, whether
similar or not similar in nature and complexity to the contract
to be bid; and

Statement of the Bidder’s SLCC similar to the contract to be

bid, in accordance with ITB Clause 5.4.

The two statements required shall indicate for each contract the
following:

(ii.1) name of the contract;

(ii.2) date of the contract;

(ii.3) contract duration;

(ii.4) owner’s name and address;

(ii.5) nature of work;

(ii.6) contractor’s role (whether sole contractor,

subcontractor, or partner in a JV) and percentage of
participation;

(ii.7) total contract value at award;

(ii.8) date of completion or estimated completion time;

(ii.9) total contract value at completion, if applicable;

(ii.10) percentages of planned and actual accomplishments, if

applicable; and

22
 (ii.11) value of outstanding works, if applicable.

The statement of the Bidder’s SLCC shall be supported by the

Notice of Award and/or Notice to Proceed, Project Owner’s
Certificate of Final Acceptance issued by the Owner other than
the Contractor or the Constructors Performance Evaluation
System (CPES) Final Rating, which must be at least
satisfactory. In case of contracts with the private sector, an
equivalent document shall be submitted;

(iii) Unless otherwise provided in the BDS, a valid special PCAB

License in case of joint ventures, and registration for the type
and cost of the contract for this Project; and

(iv) NFCC computation in accordance with ITB Clause 5.5.

Class “B” Documents

(v) If applicable, Joint Venture Agreement (JVA) in accordance

with RA 4566.

(b) Technical Documents –

(i) Bid security in accordance with ITB Clause 18. If the Bidder
opts to submit the bid security in the form of:

(i.1) a bank draft/guarantee or an irrevocable letter of credit

issued by a foreign bank, it shall be accompanied by a
confirmation from a Universal or Commercial Bank; or

(i.2) a surety bond accompanied by a certification coming

from the Insurance Commission that the surety or
insurance company is authorized to issue such
instruments.

(ii) Project Requirements, which shall include the following:

(ii.1) Organizational chart for the contract to be bid;

(ii.2) List of contractor’s personnel (e.g., Project Manager,

Project Engineers, Materials Engineers, and Foremen),
to be assigned to the contract to be bid, with their
complete qualification and experience data. These
personnel must meet the required minimum years of
experience set in the BDS; and

(ii.3) List of contractor’s major equipment units, which are

owned, leased, and/or under purchase agreements,
supported by proof of ownership, certification of
availability of equipment from the equipment
lessor/vendor for the duration of the project, as the case

23
 may be, which must meet the minimum requirements
for the contract set in the BDS; and

(iii) Sworn statement in accordance with Section 25.3 of the IRR of

RA 9184 and using the form prescribed in Section IX. Bidding
Forms.

13. Documents Comprising the Bid: Financial Component

13.1. Unless otherwise stated in the BDS, the financial component of the bid shall
contain the following:

(a) Financial Bid Form, which includes bid prices and the bill of
quantities, in accordance with ITB Clauses 15.1 and 15.3; and

(b) Any other document related to the financial component of the bid as
stated in the BDS.

13.2. (a) Unless otherwise stated in the BDS, all Bids that exceed the ABC shall
not be accepted.

(b) Unless otherwise indicated in the BDS, for foreign-funded

procurement, a ceiling may be applied to bid prices provided the
following conditions are met:

(i) Bidding Documents are obtainable free of charge on a freely

accessible website. If payment of Bidding Documents is required
by the procuring entity, payment could be made upon the
submission of bids.

(ii) The procuring entity has procedures in place to ensure that the
ABC is based on recent estimates made by the engineer or the
responsible unit of the procuring entity and that the estimates are
based on adequate detailed engineering (in the case of
infrastructure projects) and reflect the quality, supervision and
risk and inflationary factors, as well as prevailing market prices,
associated with the types of works or goods to be procured.

(iii) The procuring entity has trained cost estimators on estimating

prices and analyzing bid variances. In the case of infrastructure
projects, the procuring entity must also have trained quantity
surveyors.

(iv) The procuring entity has established a system to monitor and

report bid prices relative to ABC and engineer’s/procuring
entity’s estimate.

(v) The procuring entity has established a monitoring and evaluation

system for contract implementation to provide a feedback on
actual total costs of goods and works.

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14. Alternative Bids
14.1. Alternative Bids shall be rejected. For this purpose, alternative bid is an offer
made by a Bidder in addition or as a substitute to its original bid which may be
included as part of its original bid or submitted separately therewith for
purposes of bidding. A bid with options is considered an alternative bid
regardless of whether said bid proposal is contained in a single envelope or
submitted in two (2) or more separate bid envelopes.

14.2. Bidders shall submit offers that comply with the requirements of the Bidding
Documents, including the basic technical design as indicated in the drawings
and specifications. Unless there is a value engineering clause in the BDS,
alternative bids shall not be accepted.

14.3. Each Bidder shall submit only one Bid, either individually or as a partner in a
JV. A Bidder who submits or participates in more than one bid (other than as
a subcontractor if a subcontractor is permitted to participate in more than one
bid) will cause all the proposals with the Bidder’s participation to be
disqualified. This shall be without prejudice to any applicable criminal, civil
and administrative penalties that may be imposed upon the persons and
entities concerned.

15. Bid Prices

15.1. The contract shall be for the whole Works, as described in ITB Clause 1.1,
based on the priced Bill of Quantities submitted by the Bidder.

15.2. The Bidder shall fill in rates and prices for all items of the Works described in
the Bill of Quantities. Bids not addressing or providing all of the required
items in the Bidding Documents including, where applicable, Bill of
Quantities, shall be considered non-responsive and, thus, automatically
disqualified. In this regard, where a required item is provided, but no price is
indicated, the same shall be considered as non-responsive, but specifying a
zero (0) or a dash (-) for the said item would mean that it is being offered for
free to the Government, except those required by law or regulations to be
provided for.

15.3. All duties, taxes, and other levies payable by the Contractor under the
Contract, or for any other cause, prior to the deadline for submission of bids,
shall be included in the rates, prices, and total bid price submitted by the
Bidder.

15.4. All bid prices for the given scope of work in the contract as awarded shall be
considered as fixed prices, and therefore not subject to price escalation during
contract implementation, except under extraordinary circumstances as
specified in GCC Clause 48. Upon the recommendation of the Procuring
Entity, price escalation may be allowed in extraordinary circumstances as may
be determined by the National Economic and Development Authority in
accordance with the Civil Code of the Philippines, and upon approval by the
GPPB. Furthermore, in cases where the cost of the awarded contract is
affected by any applicable new laws, ordinances, regulations, or other acts of

25
 the GoP, promulgated after the date of bid opening, a contract price
adjustment shall be made or appropriate relief shall be applied on a no loss-no
gain basis.

16. Bid Currencies

16.1. All bid prices shall be quoted in Philippine Pesos unless otherwise provided in
the BDS. However, for purposes of bid evaluation, bids denominated in
foreign currencies shall be converted to Philippine currency based on the
exchange rate prevailing on the day of the Bid Opening.

16.2. If so allowed in accordance with ITB Clause 16.1, the Procuring Entity for
purposes of bid evaluation and comparing the bid prices will convert the
amounts in various currencies in which the bid price is expressed to Philippine
Pesos at the exchange rate as published in the Bangko Sentral ng Pilipinas
(BSP) reference rate bulletin on the day of the bid opening.

16.3. Unless otherwise specified in the BDS, payment of the contract price shall be
made in Philippine Pesos.

17. Bid Validity

17.1. Bids shall remain valid for the period specified in the BDS which shall not
exceed one hundred twenty (120) calendar days from the date of the opening
of bids.

17.2. In exceptional circumstances, prior to the expiration of the bid validity period,
the Procuring Entity may request Bidders to extend the period of validity of
their bids. The request and the responses shall be made in writing. The bid
security described in ITB Clause 18 should also be extended corresponding to
the extension of the bid validity period at the least. A Bidder may refuse the
request without forfeiting its bid security, but his bid shall no longer be
considered for further evaluation and award. A Bidder granting the request
shall not be required or permitted to modify its bid.

18. Bid Security

18.1. The Bidder shall submit a Bid Securing Declaration or any form of Bid
Security in an amount stated in the BDS, which shall be not less than the
percentage of the ABC in accordance with the following schedule:

Amount of Bid Security

Form of Bid Security (Not less than the Percentage of
the ABC)
(a) Cash or cashier’s/manager’s
check issued by a Universal or
Commercial Bank.
Two percent (2%)
For biddings conducted by
LGUs, the cashier’s/manager’s
check may be issued by other

26
 banks certified by the BSP as
authorized to issue such financial
instrument.

(b) Bank draft/guarantee or

irrevocable letter of credit issued
by a Universal or Commercial
Bank: Provided, however, that it
shall be confirmed or
authenticated by a Universal or
Commercial Bank, if issued by a
foreign bank.

For biddings conducted by

LGUs, the Bank Draft/
Guarantee, or irrevocable letter
of credit may be issued by other
banks certified by the BSP as
authorized to issue such financial
instrument.

(c) Surety bond callable upon

demand issued by a surety or
insurance company duly certified
Five percent (5%)
by the Insurance Commission as
authorized to issue such security;
and/or

The Bid Securing Declaration mentioned above is an undertaking which

states, among others, that the Bidder shall enter into contract with the
procuring entity and furnish the performance security required under ITB
Clause 32.2, within ten (10) calendar days from receipt of the Notice of
Award, and commits to pay the corresponding amount as fine, and be
suspended for a period of time from being qualified to participate in any
government procurement activity in the event it violates any of the conditions
stated therein as provided in the guidelines issued by the GPPB.

18.2. The bid security should be valid for the period specified in the BDS. Any bid
not accompanied by an acceptable bid security shall be rejected by the
Procuring Entity as non-responsive.

18.3. No bid securities shall be returned to Bidders after the opening of bids and
before contract signing, except to those that failed or declared as post-
disqualified, upon submission of a written waiver of their right to file a request
for reconsideration and/or protest, or lapse of the reglementary period without
having filed a request for reconsideration or protest. Without prejudice on its
forfeiture, Bid Securities shall be returned only after the Bidder with the
Lowest Calculated Responsive Bid (LCRB) has signed the contract and
furnished the Performance Security, but in no case later than the expiration of
the Bid Security validity period indicated in ITB Clause 18.2.

27
18.4. Upon signing and execution of the contract, pursuant to ITB Clause 31, and
the posting of the performance security, pursuant to ITB Clause 32, the
successful Bidder’s Bid Security will be discharged, but in no case later than
the Bid Security validity period as indicated in ITB Clause 18.2.

18.5. The bid security may be forfeited:

(a) if a Bidder:

(i) withdraws its bid during the period of bid validity specified in
ITB Clause 17;

(ii) does not accept the correction of errors pursuant to ITB Clause
27.3(b);

(iii) has a finding against the veracity of the required documents

submitted in accordance with ITB Clause 28.2;

(iv) submission of eligibility requirements containing false

information or falsified documents;

(v) submission of bids that contain false information or falsified

documents, or the concealment of such information in the bids
in order to influence the outcome of eligibility screening or any
other stage of the public bidding;

(vi) allowing the use of one’s name, or using the name of another
for purposes of public bidding;

(vii) withdrawal of a bid, or refusal to accept an award, or enter into

contract with the Government without justifiable cause, after
the Bidder had been adjudged as having submitted the LCRB;

(viii) refusal or failure to post the required performance security

within the prescribed time;

(ix) refusal to clarify or validate in writing its bid during post-

qualification within a period of seven (7) calendar days from
receipt of the request for clarification;

(x) any documented attempt by a Bidder to unduly influence the

outcome of the bidding in his favor;

(xi) failure of the potential joint venture partners to enter into the
joint venture after the bid is declared successful; or

(xii) all other acts that tend to defeat the purpose of the competitive
bidding, such as habitually withdrawing from bidding,
submitting late Bids or patently insufficient bid, for at least
three (3) times within a year, except for valid reasons.

(b) if the successful Bidder:

28
 (i) fails to sign the contract in accordance with ITB Clause 31;

(ii) fails to furnish performance security in accordance with ITB

Clause 32.

19. Format and Signing of Bids

19.1 Bidders shall submit their bids through their duly authorized representative
using the appropriate forms provided in Section IX. Bidding Forms on or
before the deadline specified in the ITB Clause 21 in two (2) separate sealed
bid envelopes, and which shall be submitted simultaneously. The first shall
contain the technical component of the bid, including the eligibility
requirements under ITB Clause 12.1, and the second shall contain the financial
component of the bid. This shall also be observed for each lot in the case of lot
procurement.

19.2 Forms as mentioned in ITB Clause 19.1 must be completed without any
alterations to their format, and no substitute form shall be accepted. All blank
spaces shall be filled in with the information requested.

19.3 The Bidder shall prepare and submit an original of the first and second
envelopes as described in ITB Clauses 12 and 13. In addition, the Bidder
shall submit copies of the first and second envelopes. In the event of any
discrepancy between the original and the copies, the original shall prevail.

19.4 Each and every page of the Bid Form, including the Bill of Quantities, under
Section IX hereof, shall be signed by the duly authorized representative/s of
the Bidder. Failure to do so shall be a ground for the rejection of the bid.

19.5 Any interlineations, erasures, or overwriting shall be valid only if they are
signed or initialed by the duly authorized representative/s of the Bidder.

20. Sealing and Marking of Bids

20.1. Bidders shall enclose their original eligibility and technical documents
described in ITB Clause 12, in one sealed envelope marked “ORIGINAL -
TECHNICAL COMPONENT,” and the original of their financial component
in another sealed envelope marked “ORIGINAL - FINANCIAL
COMPONENT,” sealing them all in an outer envelope marked “ORIGINAL
BID.”

20.2. Each copy of the first and second envelopes shall be similarly sealed duly
marking the inner envelopes as “COPY NO. ___ - TECHNICAL
COMPONENT” and “COPY NO. ___ – FINANCIAL COMPONENT” and
the outer envelope as “COPY NO. ___,” respectively. These envelopes
containing the original and the copies shall then be enclosed in one single
envelope.

20.3. The original and the number of copies of the bid as indicated in the BDS shall
be typed or written in ink and shall be signed by the Bidder or its duly
authorized representative/s.

29
 20.4. All envelopes shall:

(a) contain the name of the contract to be bid in capital letters;

(b) bear the name and address of the Bidder in capital letters;

(c) be addressed to the Procuring Entity’s BAC in accordance with ITB

Clause 20.1;

(d) bear the specific identification of this bidding process indicated in the
ITB Clause 1.2; and

(e) bear a warning “DO NOT OPEN BEFORE…” the date and time for
the opening of bids, in accordance with ITB Clause 21.

20.5. Bid envelopes that are not properly sealed and marked, as required in the
bidding documents, shall not be rejected, but the Bidder or its duly authorized
representative shall acknowledge such condition of the bid as submitted. The
BAC or the Procuring Entity shall assume no responsibility for the
misplacement of the contents of the improperly sealed or marked bid, or for its
premature opening.

D. Submission and Opening of Bids

21. Deadline for Submission of Bids

Bids must be received by the Procuring Entity’s BAC at the address and on or before
the date and time indicated in the BDS.

22. Late Bids

Any bid submitted after the deadline for submission and receipt of bids prescribed by
the Procuring Entity, pursuant to ITB Clause 21, shall be declared “Late” and shall
not be accepted by the Procuring Entity. The BAC shall record in the minutes of Bid
Submission and Opening, the Bidder’s name, its representative and the time the late
bid was submitted.

23. Modification and Withdrawal of Bids

23.1. The Bidder may modify its bid after it has been submitted; provided that the
modification is received by the Procuring Entity prior to the deadline
prescribed for submission and receipt of bids. The Bidder shall not be allowed
to retrieve its original bid, but shall be allowed to submit another bid equally
sealed and properly identified in accordance with Clause 20, linked to its
original bid marked as “TECHNICAL MODIFICATION” or “FINANCIAL
MODIFICATION” and stamped “received” by the BAC. Bid modifications
received after the applicable deadline shall not be considered and shall be
returned to the Bidder unopened.

23.2. A Bidder may, through a Letter of Withdrawal, withdraw its bid after it has
been submitted, for valid and justifiable reason; provided that the Letter of

30
 Withdrawal is received by the Procuring Entity prior to the deadline
prescribed for submission and receipt of bids. The Letter of Withdrawal must
be executed by the authorized representative of the Bidder identified in the
Omnibus Sworn Statement, a copy of which should be attached to the letter.

23.3. Bids requested to be withdrawn in accordance with ITB Clause 23.1 shall be
returned unopened to the Bidders. A Bidder, who has acquired the bidding
documents may also express its intention not to participate in the bidding
through a letter which should reach and be stamped by the BAC before the
deadline for submission and receipt of bids. A Bidder that withdraws its bid
shall not be permitted to submit another bid, directly or indirectly, for the
same contract.

23.4. No bid may be modified after the deadline for submission of bids. No bid may
be withdrawn in the interval between the deadline for submission of bids and
the expiration of the period of bid validity specified by the Bidder on the
Financial Bid Form. Withdrawal of a bid during this interval shall result in the
forfeiture of the Bidder’s bid security, pursuant to ITB Clause 18.5, and the
imposition of administrative, civil, and criminal sanctions as prescribed by RA
9184 and its IRR.

24. Opening and Preliminary Examination of Bids

24.1. The BAC shall open the Bids in public, immediately after the deadline for the
submission and receipt of bids in public, as specified in the BDS. In case the
Bids cannot be opened as scheduled due to justifiable reasons, the BAC shall
take custody of the Bids submitted and reschedule the opening of Bids on the
next working day or at the soonest possible time through the issuance of a
Notice of Postponement to be posted in the PhilGEPS website and the website
of the Procuring Entity concerned.

24.2. Unless otherwise specified in the BDS, the BAC shall open the first bid
envelopes and determine each Bidder’s compliance with the documents
prescribed in ITB Clause 12, using a non-discretionary “pass/fail” criterion. If
a Bidder submits the required document, it shall be rated “passed” for that
particular requirement. In this regard, bids that fail to include any requirement
or are incomplete or patently insufficient shall be considered as “failed”.
Otherwise, the BAC shall rate the said first bid envelope as “passed”.

24.3. Unless otherwise specified in the BDS, immediately after determining

compliance with the requirements in the first envelope, the BAC shall
forthwith open the second bid envelope of each remaining eligible Bidder
whose first bid envelope was rated “passed.” The second envelope of each
complying Bidder shall be opened within the same day. In case one or more of
the requirements in the second envelope of a particular bid is missing,
incomplete or patently insufficient, and/or if the submitted total bid price
exceeds the ABC unless otherwise provided in ITB Clause 13.2, the BAC
shall rate the bid concerned as “failed.” Only bids that are determined to
contain all the bid requirements for both components shall be rated “passed”
and shall immediately be considered for evaluation and comparison.

31
24.4. Letters of Withdrawal shall be read out and recorded during bid opening, and
the envelope containing the corresponding withdrawn bid shall be returned to
the Bidder unopened.

24.5. All members of the BAC who are present during bid opening shall initial
every page of the original copies of all bids received and opened.

24.6. In the case of an eligible foreign bidder as described in ITB Clause 5, the
following Class “A” Documents may be substituted with the appropriate
equivalent documents, if any, issued by the country of the foreign bidder
concerned, which shall likewise be uploaded and maintained in the PhilGEPS
in accordance with Section 8.5.2 of the IRR.:

a) Registration certificate from the Securities and Exchange Commission

(SEC), Department of Trade and Industry (DTI) for sole proprietorship, or
CDA for cooperatives;

b) Mayor’s/Business permit issued by the local government where the

principal place of business of the Bidder is located; and

c) Audited Financial Statements showing, among others, the prospective

Bidder’s total and current assets and liabilities stamped “received” by the
Bureau of Internal Revenue or its duly accredited and authorized
institutions, for the preceding calendar year which should not be earlier
than two years from the date of bid submission.

24.7. Each partner of a joint venture agreement shall likewise submit the document
required in ITB Clause 12.1(a)(i). Submission of documents required under
ITB Clauses 12.1(a)(ii) to 12.1(a)(iv) by any of the joint venture partners
constitutes compliance.

24.8. The Procuring Entity shall prepare the minutes of the proceedings of the bid
opening that shall include, as a minimum: (a) names of Bidders, their bid
price (per lot, if applicable, and/or including discount, if any), bid security,
findings of preliminary examination, and whether there is a withdrawal or
modification; and (b) attendance sheet. The BAC members shall sign the
abstract of bids as read.

24.8. The Bidders or their duly authorized representatives may attend the opening of
bids. The BAC shall ensure the integrity, security, and confidentiality of all
submitted bids. The Abstract of Bids as read and the minutes of the Bid
Opening shall be made available to the public upon written request and
payment of a specified fee to recover cost of materials.

24.9 To ensure transparency and accurate representation of the bid submission, the
BAC Secretariat shall notify in writing all Bidders whose bids it has received
through its PhilGEPS-registered physical address or official e-mail address.
The notice shall be issued within seven (7) calendar days from the date of the
bid opening.

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 E. Evaluation and Comparison of Bids

25. Process to be Confidential

25.1. Members of the BAC, including its staff and personnel, as well as its
Secretariat and TWG, are prohibited from making or accepting any kind of
communication with any Bidder regarding the evaluation of their bids until the
issuance of the Notice of Award, unless otherwise allowed in the case of ITB
Clause 26.

25.2. Any effort by a Bidder to influence the Procuring Entity in the Procuring
Entity’s decision in respect of bid evaluation, bid comparison or contract
award will result in the rejection of the Bidder’s bid.

26. Clarification of Bids

To assist in the evaluation, comparison and post-qualification of the bids, the
Procuring Entity may ask in writing any Bidder for a clarification of its bid. All
responses to requests for clarification shall be in writing. Any clarification submitted
by a Bidder in respect to its bid and that is not in response to a request by the
Procuring Entity shall not be considered

27. Detailed Evaluation and Comparison of Bids

27.1. The Procuring Entity will undertake the detailed evaluation and comparison of
Bids which have passed the opening and preliminary examination of Bids,
pursuant to ITB Clause 24, in order to determine the Lowest Calculated Bid.

27.2. The Lowest Calculated Bid shall be determined in two steps:

(a) The detailed evaluation of the financial component of the bids, to

establish the correct calculated prices of the bids; and

(b) The ranking of the total bid prices as so calculated from the lowest to
highest. The bid with the lowest price shall be identified as the Lowest
Calculated Bid.

27.3. The Procuring Entity's BAC shall immediately conduct a detailed evaluation
of all bids rated “passed,” using non-discretionary “pass/fail” criterion. The
BAC shall consider the following in the evaluation of bids:

(a) Completeness of the bid. Unless the BDS allows partial bids, bids not
addressing or providing all of the required items in the Schedule of
Requirements including, where applicable, bill of quantities, shall be
considered non-responsive and, thus, automatically disqualified. In this
regard, where a required item is provided, but no price is indicated, the
same shall be considered as non-responsive, but specifying a zero (0)
or a dash (-) for the said item would mean that it is being offered for
free to the Procuring Entity, except those required by law or
regulations to be provided for; and

33
 (b) Arithmetical corrections. Consider computational errors and omissions
to enable proper comparison of all eligible bids. It may also consider
bid modifications. Any adjustment shall be calculated in monetary
terms to determine the calculated prices.

27.4. Based on the detailed evaluation of bids, those that comply with the above-
mentioned requirements shall be ranked in the ascending order of their total
calculated bid prices, as evaluated and corrected for computational errors,
discounts and other modifications, to identify the Lowest Calculated Bid.
Total calculated bid prices, as evaluated and corrected for computational
errors, discounts and other modifications, which exceed the ABC shall not be
considered, unless otherwise indicated in the BDS.

27.5. The Procuring Entity’s evaluation of bids shall be based on the bid price
quoted in the Bid Form, which includes the Bill of Quantities.

27.6. Bids shall be evaluated on an equal footing to ensure fair competition. For
this purpose, all Bidders shall be required to include in their bids the cost of all
taxes, such as, but not limited to, value added tax (VAT), income tax, local
taxes, and other fiscal levies and duties which shall be itemized in the bid form
and reflected in the detailed estimates. Such bids, including said taxes, shall
be the basis for bid evaluation and comparison.

27.7. If so indicated pursuant to ITB Clause 1.2. Bids are being invited for
individual lots or for any combination thereof, provided that all Bids and
combinations of Bids shall be received by the same deadline and opened and
evaluated simultaneously so as to determine the bid or combination of bids
offering the lowest calculated cost to the Procuring Entity. Bid prices quoted
shall correspond to all of the requirements specified for each lot. Bid Security
as required by ITB Clause 18 shall be submitted for each contract (lot)
separately. The basis for evaluation of lots is specified in BDS Clause 27.3.

28. Post Qualification

28.1. The BAC shall determine to its satisfaction whether the Bidder that is
evaluated as having submitted the Lowest Calculated Bid complies with and is
responsive to all the requirements and conditions specified in ITB Clauses 5,
12, and 13.

28.2. Within a non-extendible period of five (5) calendar days from receipt by the
Bidder of the notice from the BAC that it submitted the Lowest Calculated
Bid, the Bidder shall submit its latest income and business tax returns filed and
paid through the BIR Electronic Filing and Payment System (eFPS) and other
appropriate licenses and permits required by law and stated in the BDS.

Failure to submit any of the post-qualification requirements on time, or a

finding against the veracity thereof, shall disqualify the Bidder for award.
Provided in the event that a finding against the veracity of any of the
documents submitted is made, it shall cause the forfeiture of the bid security in
accordance with Section 69 of the IRR of RA 9184.

34
 28.3. The determination shall be based upon an examination of the documentary
evidence of the Bidder’s qualifications submitted pursuant to ITB Clauses 12
and 13, as well as other information as the Procuring Entity deems necessary
and appropriate, using a non-discretionary “pass/fail” criterion, which shall be
completed within a period of twelve (12) calendar days.

28.4. If the BAC determines that the Bidder with the Lowest Calculated Bid passes
all the criteria for post-qualification, it shall declare the said bid as the LCRB,
and recommend to the HoPE the award of contract to the said Bidder at its
submitted price or its calculated bid price, whichever is lower, subject to ITB
Clause 30.3.

28.5. A negative determination shall result in rejection of the Bidder’s bid, in which
event the Procuring Entity shall proceed to the next Lowest Calculated Bid,
with a fresh period to make a similar determination of that Bidder’s
capabilities to perform satisfactorily. If the second Bidder, however, fails the
post qualification, the procedure for post qualification shall be repeated for the
Bidder with the next Lowest Calculated Bid, and so on until the LCRB is
determined for recommendation of contract award.

28.6. Within a period not exceeding fifteen (15) calendar days from the
determination by the BAC of the LCRB and the recommendation to award the
contract, the HoPE or his duly authorized representative shall approve or
disapprove the said recommendation.

28.7. In the event of disapproval, which shall be based on valid, reasonable, and
justifiable grounds as provided for under Section 41 of the IRR of RA 9184,
the HoPE shall notify the BAC and the Bidder in writing of such decision and
the grounds for it. When applicable, the BAC shall conduct a post-
qualification of the Bidder with the next Lowest Calculated Bid. A request for
reconsideration may be filed by the Bidder with the HoPE in accordance with
Section 37.1.3 of the IRR of RA 9184.

29. Reservation Clause

29.1. Notwithstanding the eligibility or post-qualification of a Bidder, the Procuring
Entity concerned reserves the right to review its qualifications at any stage of
the procurement process if it has reasonable grounds to believe that a
misrepresentation has been made by the said Bidder, or that there has been a
change in the Bidder’s capability to undertake the project from the time it
submitted its eligibility requirements. Should such review uncover any
misrepresentation made in the eligibility and bidding requirements, statements
or documents, or any changes in the situation of the Bidder which will affect
its capability to undertake the project so that it fails the preset eligibility or bid
evaluation criteria, the Procuring Entity shall consider the said Bidder as
ineligible and shall disqualify it from submitting a bid or from obtaining an
award or contract.

29.2. Based on the following grounds, the Procuring Entity reserves the right to
reject any and all Bids, declare a Failure of Bidding at any time prior to the
contract award, or not to award the contract, without thereby incurring any

35
 liability, and make no assurance that a contract shall be entered into as a result
of the bidding:

(a) If there is prima facie evidence of collusion between appropriate public

officers or employees of the Procuring Entity, or between the BAC and
any of the Bidders, or if the collusion is between or among the Bidders
themselves, or between a Bidder and a third party, including any act
which restricts, suppresses or nullifies or tends to restrict, suppress or
nullify competition;

(b) If the Procuring Entity’s BAC is found to have failed in following the
prescribed bidding procedures; or

(c) For any justifiable and reasonable ground where the award of the
contract will not redound to the benefit of the GOP as follows:

(i) If the physical and economic conditions have significantly

changed so as to render the project no longer economically,
financially or technically feasible as determined by the HoPE;

(ii) If the project is no longer necessary as determined by the

HoPE; and

(iii) If the source of funds for the project has been withheld or
reduced through no fault of the Procuring Entity.

29.3. In addition, the Procuring Entity may likewise declare a failure of bidding
when:

(a) No bids are received;

(b) All prospective Bidders are declared ineligible;

(c) All bids fail to comply with all the bid requirements, fail post-
qualification; or

(d) The Bidder with the LCRB refuses, without justifiable cause, to accept
the award of contract, and no award is made in accordance with
Section 40 of the IRR of RA 9184.

F. Award of Contract

30. Contract Award

30.1. Subject to ITB Clause 28, the HoPE or its duly authorized representative shall
award the contract to the Bidder whose bid has been determined to be the
LCRB.

30.2. Prior to the expiration of the period of bid validity, the Procuring Entity shall
notify the successful Bidder in writing that its bid has been accepted, through a
Notice of Award duly received by the Bidder or its representative personally
or by registered mail or electronically, receipt of which must be confirmed in

36
 writing within two (2) days by the Bidder with the LCRB and submitted
personally or sent by registered mail or electronically to the Procuring Entity.

30.3. Notwithstanding the issuance of the Notice of Award, award of contract shall
be subject to the following conditions:

(a) Submission of the following documents within ten (10) calendar days
from receipt of the Notice of Award:

(i) In the case of procurement by a Philippine Foreign Service

Office or Post, the PhilGEPS Registration Number of the
winning foreign Bidder; or

(ii) Valid PCAB license and registration for the type and cost of the
contract to be bid for foreign bidders when the Treaty or
International or Executive Agreement expressly allows
submission of the PCAB license and registration for the type
and cost of the contract to be bid as a pre-condition to the
Award;

(b) Posting of the performance security in accordance with ITB Clause 32;

(c) Signing of the contract as provided in ITB Clause 31; and

(d) Approval by higher authority, if required, as provided in Section 37.3

of the IRR of RA 9184.

31. Signing of the Contract

31.1. At the same time as the Procuring Entity notifies the successful Bidder that its
bid has been accepted, the Procuring Entity shall send the Contract Form to
the Bidder, which Contract has been provided in the Bidding Documents,
incorporating therein all agreements between the parties.

31.2. Within ten (10) calendar days from receipt of the Notice of Award, the
successful Bidder shall post the required performance security, sign and date
the contract and return it to the Procuring Entity.

31.3. The Procuring Entity shall enter into contract with the successful Bidder
within the same ten (10) calendar day period provided that all the documentary
requirements are complied with.

31.4. The following documents shall form part of the contract:

(a) Contract Agreement;

(b) Bidding Documents;

(c) Winning Bidder’s bid, including the Technical and Financial

Proposals, and all other documents/statements submitted (e.g.,
Bidder’s response to request for clarifications on the bid), including

37
 corrections to the bid, if any, resulting from the Procuring Entity’s bid
evaluation;

(d) Performance Security;

(e) Notice of Award of Contract; and

(f) Other contract documents that may be required by existing laws and/or
specified in the BDS.

32. Performance Security

32.1. To guarantee the faithful performance by the winning Bidder of its obligations
under the contract, it shall post a performance security within a maximum
period of ten (10) calendar days from the receipt of the Notice of Award from
the Procuring Entity and in no case later than the signing of the contract.

32.2. The Performance Security shall be denominated in Philippine Pesos and

posted in favor of the Procuring Entity in an amount not less than the
percentage of the total contract price in accordance with the following
schedule:

Amount of Performance Security

Form of Performance Security (Not less than the Percentage of the
Total Contract Price)
(a) Cash or cashier’s/manager’s
check issued by a Universal or
Commercial Bank.

For biddings conducted by the

LGUs, the Cashier’s/Manager’s
Check may be issued by other
banks certified by the BSP as
authorized to issue such
financial instrument.

(b) Bank draft/guarantee or

irrevocable letter of credit
Ten percent (10%)
issued by a Universal or
Commercial Bank: Provided,
however, that it shall be
confirmed or authenticated by a
Universal or Commercial Bank,
if issued by a foreign bank.

For biddings conducted by the

LGUs, Bank Draft/Guarantee,
or Irrevocable Letter of Credit
may be issued by other banks
certified by the BSP as
authorized to issue such

38
 financial instrument.

(c) Surety bond callable upon

demand issued by a surety or Thirty percent (30%)
insurance company duly
certified by the Insurance
Commission as authorized to
issue such security.

32.3. Failure of the successful Bidder to comply with the above-mentioned

requirement shall constitute sufficient ground for the annulment of the award
and forfeiture of the bid security, in which event the Procuring Entity shall
have a fresh period to initiate and complete the post qualification of the second
Lowest Calculated Bid. The procedure shall be repeated until LCRB is
identified and selected for recommendation of contract award. However if no
Bidder passed post-qualification, the BAC shall declare the bidding a failure
and conduct a re-bidding with re-advertisement, if necessary.

33. Notice to Proceed

Within seven (7) calendar days from the date of approval of the Contract by the
appropriate government approving authority, the Procuring Entity shall issue the
Notice to Proceed (NTP) together with a copy or copies of the approved contract to
the successful Bidder. All notices called for by the terms of the contract shall be
effective only at the time of receipt thereof by the successful Bidder.

34. Protest Mechanism

Decision of the procuring entity at any stage of the procurement process may be
questioned in accordance with Sections 55 of the IRR of RA 9184.

39
 Section III. Bid Data Sheet

Notes on the Bid Data Sheet

This Section is intended to assist the Procuring Entity in providing the specific information
in relation to corresponding clauses in the ITB included in Section II, and has to be
prepared for each specific procurement.

The Procuring Entity should specify in the BDS information and requirements specific to
the circumstances of the Procuring Entity, the processing of the procurement, the
applicable rules regarding bid price and currency, and the bid evaluation criteria that will
apply to the Bids. In preparing this Section, the following aspects should be checked:

(a) Information that specifies and complements provisions of Section II. Instructions to
Bidders must be incorporated.

(b) Amendments and/or supplements, if any, to provisions of Section II. Instructions to

Bidders as necessitated by the circumstances of the specific procurement, must also
be incorporated.

For foreign-assisted projects, the Bid Data Sheet to be used is provided in Section X-
Foreign-Assisted Projects.

40
 Bid Data Sheet
ITB Clause
1.1 The Procuring Entity is the Provincial Government of Lanao del Norte.

The name of the Contract is Construction of Line Ditch Kolambugan-

Tangkal Provincial Road (Sta. 0+155.00-Sta 0+503.48)
Project Location: Kolambugan, Lanao del Norte
The identification number of the Contract is Project Number: LDN-2020-
20
2 The Funding Source is:

The Provincial Government of Lanao del Norte through the 20%

Development Fund CY 2020 in the amount of One Million Pesos Only
(Php 1,000,000.00).

The name of the Project is Construction of Line Ditch Kolambugan-

Tangkal Provincial Road (Sta. 0+155.00-Sta 0+503.48)
Project Location: Kolambugan, Lanao del Norte.
3.1 No further instructions.

5.1 No further instructions.

5.2 Bidding is restricted to eligible bidders as defined in ITB Clause 5.1.

5.4(a) No further instructions.

5.4(b) For this purpose, similar contracts shall refer to contracts which have the
same major categories of work. [Major categories of works such road
excavation, embankment, subgrade preparation, subbase course, and
portland cement concrete pavement].

8.1 “Subcontracting is not allowed.”

8.2 “Not applicable.”

9.1 The Procuring Entity will hold a pre-bid conference for this Project on
October 1, 2020 @ 10:00 AM at the Office of the Bids and Awards
Committee, General Services Office, 1st Floor Capitol Building, Gov.
Arsenio A. Quibranza Provincial Government Center, Pigcarangan,
Tubod, Lanao del Norte.

10.1 The Procuring Entity’s address is:

HON. IMELDA QUIBRANZA-DIMAPORO

41
 Provincial Governor
Province of Lanao del Norte
Through:
MS. BRIGIDA S. TANGONAN
Acting Provincial Administrator
BAC Chairman
Tel. No. (063)341-5174
Telefax: (063)341-5345
Email add: ldna54@yahoo.com

10.4 No further instructions.

12.1 No further instructions.

12.1(a)(iii) No further instructions.

12.1(b)(ii.2) The minimum work experience requirements for key personnel are the
following:

Key Personnel General Experience Relevant Experience

1. Project Engineer - Licensed Civil Engineer with at least 5 years

similar experience

2. Site Engineer - Licensed Civil Engineer with at least 3 yrs. similar

experience

3. Materials Engineer- Licensed Engineer accredited with DPWH & w/ at

least 1 year similar experience

4. Surveyor - Licensed Geodetic Engineer with at least 3 years

similar experience

5. Safety Officer -with at least 2 years similar experience & with

Certificate of Training on Occupational
Safety and Health or other related training

6. Foreman - at least 5 years similar experience

(Each key position must be filled up by different individuals with

curriculum vitae.)

12.1(b)(iii.3) The minimum major equipment requirements are the following:

Equipment Capacity Number of Units

Backhoe 0.60-0.90 cu.m 1 unit

42
 Payloader 1.90 cu.m 1 unit
Dump Truck 9 cu.m 4 units
Water Truck 500-1000 gals 1 unit
One Bagger Mixer 1 unit
Cargo Truck 1 unit
Chain Saw 1 unit
13.1 No additional Requirements

13.1(b) This shall include all of the following documents:

1) Bid prices in the Bill of Quantities;

2) Detailed estimates, including a summary sheet indicating the unit

prices of construction materials, labor rates, and equipment rentals
used in coming up with the Bid; and

3) Cash flow by quarter or payment schedule.

13.2 The ABC is One Million Pesos Only (Php 1,000,000.00). Any bid with a
financial component exceeding this amount shall not be accepted.

14.2 No further instructions.

15.4 No further instruction.

16.1 The bid prices shall be quoted in Philippine Pesos.

16.3 No further instructions.

17.1 Bids will be valid until 120 calendar days.

18.1 The bid security shall be in the form of a Bid Securing Declaration or any of
the following forms and amounts:

1. The amount of not less than Php 20,000.00, if bid security is in cash,
cashier’s/manager’s check, bank draft/guarantee or irrevocable letter of
credit;

2. The amount of not less than Php 50,000.00 if bid security is in Surety
Bond.

18.2 The bid security shall be valid until 120 calendar days.

20.3 Each Bidder shall submit one (1) original and three (3) copies of the first and
second components of its bid.

21 The address for submission of bids is Bids and Awards Committee, General
Services Office, 1st Floor Capitol Building, Gov. Arsenio A. Quibranza

43
 Provincial Government Center, Pigcarangan, Tubod, Lanao del Norte.

The deadline for submission of bids is October 15, 2020 @ 10:00 AM.

24.1 The place of bid opening is Bids and Awards Committee Office, General
Services Office, 1st Floor Capitol Building, Gov. Arsenio A. Quibranza
Provincial Government Center, Pigcarangan, Tubod, Lanao del Norte.

The date and time of bid opening is October 15, 2020 @ 10:00 AM.

24.2 No further instructions.

24.3 No further instructions.

27.3 Partial bid is not allowed. The infrastructure project is packaged in a single
lot and the lot shall not be divided into sub-lots for the purpose of bidding,
evaluation, and contract award.

27.4 No further instructions.

28.2 An extension of seven (7) calendar days.

31.4(f)
List additional contract documents relevant to the Project to wit:
1. construction schedule and S-curve
2.manpower schedule
3.construction methods
4.equipment utilization schedule
5.construction safety and health program approved by the Department of
Labor and Employment
6. PERT/CPM
7. Financial Cash Flow

44
 Section IV. General Conditions of Contract

Notes on the General Conditions of Contract

The GCC in Section IV, read in conjunction with the SCC in Section V and other
documents listed therein, should be a complete document expressing all the rights and
obligations of the parties.

The GCC herein shall not be altered. Any changes and complementary information, which
may be needed, shall be introduced only through the SCC in Section V.

45
 TABLE OF CONTENTS

1. DEFINITIONS .............................................................................................. 48
2. INTERPRETATION ...................................................................................... 50
3. GOVERNING LANGUAGE AND LAW ............................................................ 51
4. COMMUNICATIONS .................................................................................... 51
5. POSSESSION OF SITE .................................................................................. 51
6. THE CONTRACTOR’S OBLIGATIONS .......................................................... 52
7. PERFORMANCE SECURITY ......................................................................... 52
8. SUBCONTRACTING ..................................................................................... 53
9. LIQUIDATED DAMAGES ............................................................................. 54
10. SITE INVESTIGATION REPORTS ................................................................. 54
11. THE PROCURING ENTITY, LICENSES AND PERMITS .................................. 54
12. CONTRACTOR’S RISK AND WARRANTY SECURITY .................................... 54
13. LIABILITY OF THE CONTRACTOR .............................................................. 57
14. PROCURING ENTITY’S RISK ...................................................................... 57
15. INSURANCE ................................................................................................ 57
16. TERMINATION FOR DEFAULT OF CONTRACTOR ........................................ 58
17. TERMINATION FOR DEFAULT OF PROCURING ENTITY .............................. 59
18. TERMINATION FOR OTHER CAUSES .......................................................... 60
19. PROCEDURES FOR TERMINATION OF CONTRACTS .................................... 61
20. FORCE MAJEURE, RELEASE FROM PERFORMANCE .................................. 63
21. RESOLUTION OF DISPUTES ........................................................................ 64
22. SUSPENSION OF LOAN, CREDIT, GRANT, OR APPROPRIATION ................... 65
23. PROCURING ENTITY’S REPRESENTATIVE’S DECISIONS............................. 65
24. APPROVAL OF DRAWINGS AND TEMPORARY WORKS BY THE
PROCURING ENTITY’S REPRESENTATIVE .................................................. 65
25. ACCELERATION AND DELAYS ORDERED BY THE PROCURING
ENTITY’S REPRESENTATIVE ...................................................................... 65
26. EXTENSION OF THE INTENDED COMPLETION DATE .................................. 66
27. RIGHT TO VARY ........................................................................................ 66
28. CONTRACTORS RIGHT TO CLAIM.............................................................. 66
46
29. DAYWORKS................................................................................................ 66
30. EARLY WARNING ...................................................................................... 67
31. PROGRAM OF WORK ................................................................................. 67
32. MANAGEMENT CONFERENCES .................................................................. 68
33. BILL OF QUANTITIES ................................................................................. 68
34. INSTRUCTIONS, INSPECTIONS AND AUDITS ................................................ 68
35. IDENTIFYING DEFECTS .............................................................................. 69
36. COST OF REPAIRS ...................................................................................... 69
37. CORRECTION OF DEFECTS ........................................................................ 69
38. UNCORRECTED DEFECTS........................................................................... 69
39. ADVANCE PAYMENT .................................................................................. 70
40. PROGRESS PAYMENTS ............................................................................... 70
41. PAYMENT CERTIFICATES .......................................................................... 71
42. RETENTION................................................................................................ 71
43. VARIATION ORDERS .................................................................................. 72
44. CONTRACT COMPLETION .......................................................................... 73
45. SUSPENSION OF WORK .............................................................................. 74
46. PAYMENT ON TERMINATION ..................................................................... 75
47. EXTENSION OF CONTRACT TIME ............................................................... 75
48. PRICE ADJUSTMENT .................................................................................. 76
49. COMPLETION ............................................................................................. 76
50. TAKING OVER ........................................................................................... 76
51. OPERATING AND MAINTENANCE MANUALS .............................................. 77

47
1. Definitions
For purposes of this Clause, boldface type is used to identify defined terms.

1.1. The Arbiter is the person appointed jointly by the Procuring Entity and the
Contractor to resolve disputes in the first instance, as provided for in GCC
Clause 21.

1.2. Bill of Quantities refers to a list of the specific items of the Work and their
corresponding unit prices, lump sums, and/or provisional sums.

1.3. The Completion Date is the date of completion of the Works as certified by
the Procuring Entity’s Representative, in accordance with GCC Clause 49.

1.4. The Contract is the contract between the Procuring Entity and the Contractor
to execute, complete, and maintain the Works.

1.5 The Contract Effectivity Date is the date of signing of the Contract.
However, the contractor shall commence execution of the Works on the Start
Date as defined in GCC Clause 1.28.

1.6 The Contract Price is the price stated in the Notice of Award and thereafter to
be paid by the Procuring Entity to the Contractor for the execution of the
Works in accordance with this Contract

1.7 Contract Time Extension is the allowable period for the Contractor to
complete the Works in addition to the original Completion Date stated in this
Contract.

1.8 The Contractor is the juridical entity whose proposal has been accepted by
the Procuring Entity and to whom the Contract to execute the Work was
awarded.

1.9 The Contractor’s Bid is the signed offer or proposal submitted by the
Contractor to the Procuring Entity in response to the Bidding Documents.

1.10 Days are calendar days; months are calendar months.

1.11 Dayworks are varied work inputs subject to payment on a time basis for the
Contractor’s employees and Equipment, in addition to payments for associated
Materials and Plant.

1.12 A Defect is any part of the Works not completed in accordance with the
Contract.

1.13 The Defects Liability Certificate is the certificate issued by Procuring

Entity’s Representative upon correction of defects by the Contractor.

1.14 The Defects Liability Period is the one year period between contract
completion and final acceptance within which the Contractor assumes the
responsibility to undertake the repair of any damage to the Works at his own
expense.

48
1.15 Drawings are graphical presentations of the Works. They include all
supplementary details, shop drawings, calculations, and other information
provided or approved for the execution of this Contract.

1.16 Equipment refers to all facilities, supplies, appliances, materials or things

required for the execution and completion of the Work provided by the
Contractor and which shall not form or are not intended to form part of the
Permanent Works.

1.17 The Intended Completion Date refers to the date specified in the SCC when
the Contractor is expected to have completed the Works. The Intended
Completion Date may be revised only by the Procuring Entity’s
Representative by issuing an extension of time or an acceleration order.

1.18 Materials are all supplies, including consumables, used by the Contractor for
incorporation in the Works.

1.19 The Notice to Proceed is a written notice issued by the Procuring Entity or the
Procuring Entity’s Representative to the Contractor requiring the latter to
begin the commencement of the work not later than a specified or
determinable date.

1.20 Permanent Works are all permanent structures and all other project features
and facilities required to be constructed and completed in accordance with this
Contract which shall be delivered to the Procuring Entity and which shall
remain at the Site after the removal of all Temporary Works.

1.21 Plant refers to the machinery, apparatus, and the like intended to form an
integral part of the Permanent Works.

1.22 The Procuring Entity is the party who employs the Contractor to carry out
the Works stated in the SCC.

1.23 The Procuring Entity’s Representative refers to the Head of the Procuring
Entity or his duly authorized representative, identified in the SCC, who shall
be responsible for supervising the execution of the Works and administering
this Contract.

1.24 The Site is the place provided by the Procuring Entity where the Works shall
be executed and any other place or places which may be designated in the
SCC, or notified to the Contractor by the Procuring Entity’s Representative as
forming part of the Site.

1.25 Site Investigation Reports are those that were included in the Bidding
Documents and are factual and interpretative reports about the surface and
subsurface conditions at the Site.

1.26 Slippage is a delay in work execution occurring when actual accomplishment

falls below the target as measured by the difference between the scheduled and
actual accomplishment of the Work by the Contractor as established from the
work schedule. This is actually described as a percentage of the whole Works.

49
 1.27 Specifications means the description of Works to be done and the qualities of
materials to be used, the equipment to be installed and the mode of
construction.

1.28 The Start Date, as specified in the SCC, is the date when the Contractor is
obliged to commence execution of the Works. It does not necessarily coincide
with any of the Site Possession Dates.

1.29 A Subcontractor is any person or organization to whom a part of the Works

has been subcontracted by the Contractor, as allowed by the Procuring Entity,
but not any assignee of such person.

1.30 Temporary Works are works designed, constructed, installed, and removed
by the Contractor that are needed for construction or installation of the
Permanent Works.

1.31 Work(s) refer to the Permanent Works and Temporary Works to be executed
by the Contractor in accordance with this Contract, including (i) the furnishing
of all labor, materials, equipment and others incidental, necessary or
convenient to the complete execution of the Works; (ii) the passing of any
tests before acceptance by the Procuring Entity’s Representative; (iii) and the
carrying out of all duties and obligations of the Contractor imposed by this
Contract as described in the SCC.

2. Interpretation
2.1. In interpreting the Conditions of Contract, singular also means plural, male
also means female or neuter, and the other way around. Headings have no
significance. Words have their normal meaning under the language of this
Contract unless specifically defined. The Procuring Entity’s Representative
will provide instructions clarifying queries about the Conditions of Contract.

2.2. If sectional completion is specified in the SCC, references in the Conditions of

Contract to the Works, the Completion Date, and the Intended Completion Date
apply to any Section of the Works (other than references to the Completion Date
and Intended Completion Date for the whole of the Works).

2.3. The documents forming this Contract shall be interpreted in the following order
of priority:

a) Contract Agreement;

b) Bid Data Sheet;

c) Instructions to Bidders;

d) Addenda to the Bidding Documents;

e) Special Conditions of Contract;

f) General Conditions of Contract;

50
 g) Specifications;

h) Bill of Quantities; and

i) Drawings.

3. Governing Language and Law

3.1. This Contract has been executed in the English language, which shall be the
binding and controlling language for all matters relating to the meaning or
interpretation of this Contract. All correspondence and other documents
pertaining to this Contract which are exchanged by the parties shall be written
in English.

3.2. This Contract shall be interpreted in accordance with the laws of the Republic
of the Philippines.

4. Communications
Communications between parties that are referred to in the Conditions shall be
effective only when in writing. A notice shall be effective only when it is received by
the concerned party.

5. Possession of Site
5.1. On the date specified in the SCC, the Procuring Entity shall grant the
Contractor possession of so much of the Site as may be required to enable it to
proceed with the execution of the Works. If the Contractor suffers delay or
incurs cost from failure on the part of the Procuring Entity to give possession
in accordance with the terms of this clause, the Procuring Entity’s
Representative shall give the Contractor a Contract Time Extension and certify
such sum as fair to cover the cost incurred, which sum shall be paid by
Procuring Entity.

5.2. If possession of a portion is not given by the date stated in the SCC Clause 5.1,
the Procuring Entity will be deemed to have delayed the start of the relevant
activities. The resulting adjustments in contract time to address such delay
shall be in accordance with GCC Clause 47.

5.3. The Contractor shall bear all costs and charges for special or temporary right-
of-way required by it in connection with access to the Site. The Contractor
shall also provide at his own cost any additional facilities outside the Site
required by it for purposes of the Works.

5.4. The Contractor shall allow the Procuring Entity’s Representative and any
person authorized by the Procuring Entity’s Representative access to the Site
and to any place where work in connection with this Contract is being carried
out or is intended to be carried out.

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6. The Contractor’s Obligations
6.1. The Contractor shall carry out the Works properly and in accordance with this
Contract. The Contractor shall provide all supervision, labor, Materials, Plant
and Contractor's Equipment, which may be required. All Materials and Plant
on Site shall be deemed to be the property of the Procuring Entity.

6.2. The Contractor shall commence execution of the Works on the Start Date and
shall carry out the Works in accordance with the Program of Work submitted
by the Contractor, as updated with the approval of the Procuring Entity’s
Representative, and complete them by the Intended Completion Date.

6.3. The Contractor shall be responsible for the safety of all activities on the Site.

6.4. The Contractor shall carry out all instructions of the Procuring Entity’s
Representative that comply with the applicable laws where the Site is located.

6.5. The Contractor shall employ the key personnel named in the Schedule of Key
Personnel, as referred to in the SCC, to carry out the supervision of the
Works. The Procuring Entity will approve any proposed replacement of key
personnel only if their relevant qualifications and abilities are equal to or
better than those of the personnel listed in the Schedule.

6.6. If the Procuring Entity’s Representative asks the Contractor to remove a

member of the Contractor’s staff or work force, for justifiable cause, the
Contractor shall ensure that the person leaves the Site within seven (7) days
and has no further connection with the Work in this Contract.

6.7. During Contract implementation, the Contractor and his subcontractors shall
abide at all times by all labor laws, including child labor related enactments,
and other relevant rules.

6.8. The Contractor shall submit to the Procuring Entity for consent the name and
particulars of the person authorized to receive instructions on behalf of the
Contractor.

6.9. The Contractor shall cooperate and share the Site with other contractors,
public authorities, utilities, and the Procuring Entity between the dates given
in the schedule of other contractors particularly when they shall require access
to the Site. The Contractor shall also provide facilities and services for them
during this period. The Procuring Entity may modify the schedule of other
contractors, and shall notify the Contractor of any such modification thereto.

6.10. Should anything of historical or other interest or of significant value be

unexpectedly discovered on the Site, it shall be the property of the Procuring
Entity. The Contractor shall notify the Procuring Entity’s Representative of
such discoveries and carry out the Procuring Entity’s Representative’s
instructions in dealing with them.

7. Performance Security

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 7.1. Within ten (10) calendar days from receipt of the Notice of Award from the
Procuring Entity but in no case later than the signing of the contract by both
parties, the Contractor shall furnish the performance security in any of the
forms prescribed in ITB Clause 32.2.

7.2. The performance security posted in favor of the Procuring Entity shall be
forfeited in the event it is established that the Contractor is in default in any of
its obligations under the Contract.

7.3. The performance security shall remain valid until issuance by the Procuring
Entity of the Certificate of Final Acceptance.

7.4. The performance security may be released by the Procuring Entity and
returned to the Contractor after the issuance of the Certificate of Final
Acceptance subject to the following conditions:

(a) There are no pending claims against the Contractor or the surety
company filed by the Procuring Entity;

(b) The Contractor has no pending claims for labor and materials filed
against it; and

(c) Other terms specified in the SCC.

7.5. The Contractor shall post an additional performance security following the
amount and form specified in ITB Clause 32.2 to cover any cumulative
increase of more than ten percent (10%) over the original value of the contract
as a result of amendments to order or change orders, extra work orders and
supplemental agreements, as the case may be. The Contractor shall cause the
extension of the validity of the performance security to cover approved
contract time extensions.

7.6. In case of a reduction in the contract value or for partially completed Works
under the contract which are usable and accepted by the Procuring Entity the
use of which, in the judgment of the implementing agency or the Procuring
Entity, will not affect the structural integrity of the entire project, the
Procuring Entity shall allow a proportional reduction in the original
performance security, provided that any such reduction is more than ten
percent (10%) and that the aggregate of such reductions is not more than fifty
percent (50%) of the original performance security.

7.7. Unless otherwise indicated in the SCC, the Contractor, by entering into the
Contract with the Procuring Entity, acknowledges the right of the Procuring
Entity to institute action pursuant to Act 3688 against any subcontractor be
they an individual, firm, partnership, corporation, or association supplying the
Contractor with labor, materials and/or equipment for the performance of this
Contract.

8. Subcontracting

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 8.1. Unless otherwise indicated in the SCC, the Contractor cannot subcontract
Works more than the percentage specified in BDS Clause 8.1.

8.2. Subcontracting of any portion of the Works does not relieve the Contractor of
any liability or obligation under this Contract. The Contractor will be
responsible for the acts, defaults, and negligence of any subcontractor, its
agents, servants or workmen as fully as if these were the Contractor’s own
acts, defaults, or negligence, or those of its agents, servants or workmen.

8.3. If subcontracting is allowed. The contractor may identify its subcontractor

during contract implementation stage. Subcontractors disclosed and identified
during the bidding may be changed during the implementation of this
Contract. In either case, subcontractors must submit the documentary
requirements under ITB Clause 12 and comply with the eligibility criteria
specified in the BDS. In the event that any subcontractor is found by any
Procuring Entity to be eligible, the subcontracting of such portion of the
Works shall be disallowed.

9. Liquidated Damages
9.1. The Contractor shall pay liquidated damages to the Procuring Entity for each
day that the Completion Date is later than the Intended Completion Date. The
applicable liquidated damages is at least one-tenth (1/10) of a percent of the
cost of the unperformed portion for every day of delay. The total amount of
liquidated damages shall not exceed ten percent (10%) of the amount of the
contract. The Procuring Entity may deduct liquidated damages from payments
due to the Contractor. Payment of liquidated damages shall not affect the
Contractor’s liabilities. Once the cumulative amount of liquidated damages
reaches ten percent (10%) of the amount of this Contract, the Procuring Entity
may rescind or terminate this Contract, without prejudice to other courses of
action and remedies available under the circumstances.

9.2. If the Intended Completion Date is extended after liquidated damages have
been paid, the Engineer of the Procuring Entity shall correct any overpayment
of liquidated damages by the Contractor by adjusting the next payment
certificate.

10. Site Investigation Reports

The Contractor, in preparing the Bid, shall rely on any Site Investigation Reports
referred to in the SCC supplemented by any information obtained by the Contractor.

11. The Procuring Entity, Licenses and Permits

The Procuring Entity shall, if requested by the Contractor, assist him in applying for
permits, licenses or approvals, which are required for the Works.

12. Contractor’s Risk and Warranty Security

12.1. The Contractor shall assume full responsibility for the Works from the time
project construction commenced up to final acceptance by the Procuring

54
 Entity and shall be held responsible for any damage or destruction of the
Works except those occasioned by force majeure. The Contractor shall be
fully responsible for the safety, protection, security, and convenience of his
personnel, third parties, and the public at large, as well as the Works,
Equipment, installation, and the like to be affected by his construction work.

12.2. The defects liability period for infrastructure projects shall be one year from
contract completion up to final acceptance by the Procuring Entity. During
this period, the Contractor shall undertake the repair works, at his own
expense, of any damage to the Works on account of the use of materials of
inferior quality within ninety (90) days from the time the HoPE has issued an
order to undertake repair. In case of failure or refusal to comply with this
mandate, the Procuring Entity shall undertake such repair works and shall be
entitled to full reimbursement of expenses incurred therein upon demand.

12.3. Unless otherwise indicated in the SCC, in case the Contractor fails to comply
with the preceding paragraph, the Procuring Entity shall forfeit its
performance security, subject its property(ies) to attachment or garnishment
proceedings, and perpetually disqualify it from participating in any public
bidding. All payables of the GoP in his favor shall be offset to recover the
costs.

12.4. After final acceptance of the Works by the Procuring Entity, the Contractor
shall be held responsible for “Structural Defects,” i.e., major
faults/flaws/deficiencies in one or more key structural elements of the project
which may lead to structural failure of the completed elements or structure, or
“Structural Failures,” i.e., where one or more key structural elements in an
infrastructure facility fails or collapses, thereby rendering the facility or part
thereof incapable of withstanding the design loads, and/or endangering the
safety of the users or the general public:

(a) Contractor – Where Structural Defects/Failures arise due to faults

attributable to improper construction, use of inferior
quality/substandard materials, and any violation of the contract plans
and specifications, the contractor shall be held liable;

(b) Consultants – Where Structural Defects/Failures arise due to faulty

and/or inadequate design and specifications as well as construction
supervision, then the consultant who prepared the design or undertook
construction supervision for the project shall be held liable;

(c) Procuring Entity’s Representatives/Project Manager/Construction

Managers and Supervisors – The project owner’s representative(s),
project manager, construction manager, and supervisor(s) shall be held
liable in cases where the Structural Defects/Failures are due to his/their
willful intervention in altering the designs and other specifications;
negligence or omission in not approving or acting on proposed changes
to noted defects or deficiencies in the design and/or specifications; and
the use of substandard construction materials in the project;

55
 (d) Third Parties - Third Parties shall be held liable in cases where
Structural Defects/Failures are caused by work undertaken by them
such as leaking pipes, diggings or excavations, underground cables and
electrical wires, underground tunnel, mining shaft and the like, in
which case the applicable warranty to such structure should be levied
to third parties for their construction or restoration works.

(e) Users - In cases where Structural Defects/Failures are due to

abuse/misuse by the end user of the constructed facility and/or non–
compliance by a user with the technical design limits and/or intended
purpose of the same, then the user concerned shall be held liable.

12.5. The warranty against Structural Defects/Failures, except those occasioned on

force majeure, shall cover the period specified in the SCC reckoned from the
date of issuance of the Certificate of Final Acceptance by the Procuring Entity.

12.6. The Contractor shall be required to put up a warranty security in the form of
cash, bank guarantee, letter of credit, GSIS or surety bond callable on demand,
in accordance with the following schedule:

Amount of Warranty Security

Form of Warranty Not less than the Percentage
(%) of Total Contract Price
(a) Cash or letter of credit issued by
Universal or Commercial bank:
provided, however, that the letter of
credit shall be confirmed or Five Percent (5%)
authenticated by a Universal or
Commercial bank, if issued by a
foreign bank
(b) Bank guarantee confirmed by
Universal or Commercial bank:
provided, however, that the letter of
credit shall be confirmed or Ten Percent (10%)
authenticated by a Universal or
Commercial bank, if issued by a
foreign bank
(c) Surety bond callable upon demand
issued by GSIS or any surety or
Thirty Percent (30%)
insurance company duly certified by
the Insurance Commission

12.7. The warranty security shall be stated in Philippine Pesos and shall remain
effective for one year from the date of issuance of the Certificate of Final
Acceptance by the Procuring Entity, and returned only after the lapse of said
one year period.

12.8. In case of structural defects/failure occurring during the applicable warranty

period provided in GCC Clause 12.5, the Procuring Entity shall undertake the
necessary restoration or reconstruction works and shall be entitled to full
reimbursement by the parties found to be liable for expenses incurred therein

56
 upon demand, without prejudice to the filing of appropriate administrative,
civil, and/or criminal charges against the responsible persons as well as the
forfeiture of the warranty security posted in favor of the Procuring Entity.

13. Liability of the Contractor

Subject to additional provisions, if any, set forth in the SCC, the Contractor’s liability
under this Contract shall be as provided by the laws of the Republic of the
Philippines.

14. Procuring Entity’s Risk

14.1. From the Start Date until the Certificate of Final Acceptance has been issued,
the following are risks of the Procuring Entity:

(a) The risk of personal injury, death, or loss of or damage to property

(excluding the Works, Plant, Materials, and Equipment), which are due
to:

(i) any type of use or occupation of the Site authorized by the

Procuring Entity after the official acceptance of the works; or

(ii) negligence, breach of statutory duty, or interference with any

legal right by the Procuring Entity or by any person employed
by or contracted to him except the Contractor.

(b) The risk of damage to the Works, Plant, Materials, and Equipment to
the extent that it is due to a fault of the Procuring Entity or in the
Procuring Entity’s design, or due to war or radioactive contamination
directly affecting the country where the Works are to be executed.

15. Insurance
15.1. The Contractor shall, under his name and at his own expense, obtain and
maintain, for the duration of this Contract, the following insurance coverage:

(a) Contractor’s All Risk Insurance;

(b) Transportation to the project Site of Equipment, Machinery, and

Supplies owned by the Contractor;

(c) Personal injury or death of Contractor’s employees; and

(d) Comprehensive insurance for third party liability to Contractor’s direct

or indirect act or omission causing damage to third persons.

15.2. The Contractor shall provide evidence to the Procuring Entity’s

Representative that the insurances required under this Contract have been
effected and shall, within a reasonable time, provide copies of the insurance
policies to the Procuring Entity’s Representative. Such evidence and such
policies shall be provided to the Procuring Entity’s through the Procuring
Entity’s Representative.

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 15.3. The Contractor shall notify the insurers of changes in the nature, extent, or
program for the execution of the Works and ensure the adequacy of the
insurances at all times in accordance with the terms of this Contract and shall
produce to the Procuring Entity’s Representative the insurance policies in
force including the receipts for payment of the current premiums.

The above insurance policies shall be obtained from any reputable insurance
company approved by the Procuring Entity’s Representative.

15.4. If the Contractor fails to obtain and keep in force the insurances referred to
herein or any other insurance which he may be required to obtain under the
terms of this Contract, the Procuring Entity may obtain and keep in force any
such insurances and pay such premiums as may be necessary for the purpose.
From time to time, the Procuring Entity may deduct the amount it shall pay for
said premiums including twenty five percent (25%) therein from any monies
due, or which may become due, to the Contractor, without prejudice to the
Procuring Entity exercising its right to impose other sanctions against the
Contractor pursuant to the provisions of this Contract.

15.5. In the event the Contractor fails to observe the above safeguards, the
Procuring Entity may, at the Contractor’s expense, take whatever measure is
deemed necessary for its protection and that of the Contractor’s personnel and
third parties, and/or order the interruption of dangerous Works. In addition,
the Procuring Entity may refuse to make the payments under GCC Clause 40
until the Contractor complies with this Clause.

15.6. The Contractor shall immediately replace the insurance policy obtained as
required in this Contract, without need of the Procuring Entity’s demand, with
a new policy issued by a new insurance company acceptable to the Procuring
Entity for any of the following grounds:

(a) The issuer of the insurance policy to be replaced has:

(i) become bankrupt;

(ii) been placed under receivership or under a management

committee;

(iii) been sued for suspension of payment; or

(iv) been suspended by the Insurance Commission and its license to

engage in business or its authority to issue insurance policies
cancelled; or

(v) Where reasonable grounds exist that the insurer may not be
able, fully and promptly, to fulfill its obligation under the
insurance policy.

16. Termination for Default of Contractor

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 16.1. The Procuring Entity shall terminate this Contract for default when any of the
following conditions attend its implementation:

(i) Due to the Contractor’s fault and while the project is on-going, it has
incurred negative slippage of fifteen percent (15%) or more in
accordance with Presidential Decree 1870, regardless of whether or not
previous warnings and notices have been issued for the Contractor to
improve his performance;

(ii) Due to its own fault and after this Contract time has expired, the
Contractor incurs delay in the completion of the Work after this
Contract has expired; or

(iii) The Contractor:

(i) abandons the contract Works, refuses or fails to comply with a

valid instruction of the Procuring Entity or fails to proceed
expeditiously and without delay despite a written notice by the
Procuring Entity;

(ii) does not actually have on the project Site the minimum
essential equipment listed on the bid necessary to prosecute the
Works in accordance with the approved Program of Work and
equipment deployment schedule as required for the project;

(iii) does not execute the Works in accordance with this Contract or
persistently or flagrantly neglects to carry out its obligations
under this Contract;

(iv) neglects or refuses to remove materials or to perform a new

Work that has been rejected as defective or unsuitable; or

(v) sub-lets any part of this Contract without approval by the

Procuring Entity.

16.2. All materials on the Site, Plant, Works, including Equipment purchased and
funded under the Contract shall be deemed to be the property of the Procuring
Entity if this Contract is rescinded because of the Contractor’s default.

17. Termination for Default of Procuring Entity

The Contractor may terminate this Contract with the Procuring Entity if the works are
completely stopped for a continuous period of at least sixty (60) calendar days
through no fault of its own, due to any of the following reasons:

(a) Failure of the Procuring Entity to deliver, within a reasonable time, supplies,
materials, right-of-way, or other items it is obligated to furnish under the terms
of this Contract; or

(b) The prosecution of the Work is disrupted by the adverse peace and order
situation, as certified by the Armed Forces of the Philippines Provincial
Commander and approved by the Secretary of National Defense.

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18. Termination for Other Causes
18.1. The Procuring Entity may terminate this Contract, in whole or in part, at any
time for its convenience. The HoPE may terminate this Contract for the
convenience of the Procuring Entity if he has determined the existence of
conditions that make Project Implementation economically, financially or
technically impractical and/or unnecessary, such as, but not limited to,
fortuitous event(s) or changes in law and National Government policies.

18.2. The Procuring Entity or the Contractor may terminate this Contract if the other
party causes a fundamental breach of this Contract.

18.3. Fundamental breaches of Contract shall include, but shall not be limited to, the
following:

(a) The Contractor stops work for twenty eight (28) days when no
stoppage of work is shown on the current Program of Work and the
stoppage has not been authorized by the Procuring Entity’s
Representative;

(b) The Procuring Entity’s Representative instructs the Contractor to delay

the progress of the Works, and the instruction is not withdrawn within
twenty eight (28) days;

(c) The Procuring Entity shall terminate this Contract if the Contractor is
declared bankrupt or insolvent as determined with finality by a court of
competent jurisdiction. In this event, termination will be without
compensation to the Contractor, provided that such termination will
not prejudice or affect any right of action or remedy which has accrued
or will accrue thereafter to the Procuring Entity and/or the Contractor.
In the case of the Contractor's insolvency, any Contractor's Equipment
which the Procuring Entity instructs in the notice is to be used until the
completion of the Works;

(d) A payment certified by the Procuring Entity’s Representative is not

paid by the Procuring Entity to the Contractor within eighty four (84)
days from the date of the Procuring Entity’s Representative’s
certificate;

(e) The Procuring Entity’s Representative gives Notice that failure to

correct a particular Defect is a fundamental breach of Contract and the
Contractor fails to correct it within a reasonable period of time
determined by the Procuring Entity’s Representative;

(f) The Contractor does not maintain a Security, which is required;

(g) The Contractor has delayed the completion of the Works by the
number of days for which the maximum amount of liquidated damages
can be paid, as defined in the GCC Clause 9; and

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 (h) In case it is determined prima facie by the Procuring Entity that the
Contractor has engaged, before or during the implementation of the
contract, in unlawful deeds and behaviors relative to contract
acquisition and implementation, such as, but not limited to, the
following:

(i) corrupt, fraudulent, collusive, coercive, and obstructive

practices as defined in ITB Clause 3.1(a), unless otherwise
specified in the SCC;

(ii) drawing up or using forged documents;

(iii) using adulterated materials, means or methods, or engaging in

production contrary to rules of science or the trade; and

(iv) any other act analogous to the foregoing.

18.4. The Funding Source or the Procuring Entity, as appropriate, will seek to
impose the maximum civil, administrative and/or criminal penalties available
under the applicable law on individuals and organizations deemed to be
involved with corrupt, fraudulent, or coercive practices.

18.5. When persons from either party to this Contract gives notice of a fundamental
breach to the Procuring Entity’s Representative in order to terminate the
existing contract for a cause other than those listed under GCC Clause 18.3,
the Procuring Entity’s Representative shall decide whether the breach is
fundamental or not.

18.6. If this Contract is terminated, the Contractor shall stop work immediately,
make the Site safe and secure, and leave the Site as soon as reasonably
possible.

19. Procedures for Termination of Contracts

19.1. The following provisions shall govern the procedures for the termination of
this Contract:

(a) Upon receipt of a written report of acts or causes which may constitute
ground(s) for termination as aforementioned, or upon its own initiative,
the Procuring Entity shall, within a period of seven (7) calendar days,
verify the existence of such ground(s) and cause the execution of a
Verified Report, with all relevant evidence attached;

(b) Upon recommendation by the Procuring Entity, the HoPE shall

terminate this Contract only by a written notice to the Contractor
conveying the termination of this Contract. The notice shall state:

(i) that this Contract is being terminated for any of the ground(s)
afore-mentioned, and a statement of the acts that constitute the
ground(s) constituting the same;

(ii) the extent of termination, whether in whole or in part;

61
 (iii) an instruction to the Contractor to show cause as to why this
Contract should not be terminated; and

(iv) special instructions of the Procuring Entity, if any.

The Notice to Terminate shall be accompanied by a copy of the

Verified Report;

(c) Within a period of seven (7) calendar days from receipt of the Notice
of Termination, the Contractor shall submit to the HoPE a verified
position paper stating why the contract should not be terminated. If the
Contractor fails to show cause after the lapse of the seven (7) day
period, either by inaction or by default, the HoPE shall issue an order
terminating the contract;

(d) The Procuring Entity may, at anytime before receipt of the

Contractor’s verified position paper described in item (c) above
withdraw the Notice to Terminate if it is determined that certain items
or works subject of the notice had been completed, delivered, or
performed before the Contractor’s receipt of the notice;

(e) Within a non-extendible period of ten (10) calendar days from receipt
of the verified position paper, the HoPE shall decide whether or not to
terminate this Contract. It shall serve a written notice to the Contractor
of its decision and, unless otherwise provided in the said notice, this
Contract is deemed terminated from receipt of the Contractor of the
notice of decision. The termination shall only be based on the
ground(s) stated in the Notice to Terminate; and

(f) The HoPE may create a Contract Termination Review Committee

(CTRC) to assist him in the discharge of this function. All decisions
recommended by the CTRC shall be subject to the approval of the
HoPE.

19.2. Pursuant to Section 69(f) of RA 9184 and without prejudice to the imposition
of additional administrative sanctions as the internal rules of the agency may
provide and/or further criminal prosecution as provided by applicable laws,
the procuring entity shall impose on contractors after the termination of the
contract the penalty of suspension for one (1) year for the first offense,
suspension for two (2) years for the second offense from participating in the
public bidding process, for violations committed during the contract
implementation stage, which include but not limited to the following:

(a) Failure of the contractor, due solely to his fault or negligence, to

mobilize and start work or performance within the specified period in
the Notice to Proceed (“NTP”);

(b) Failure by the contractor to fully and faithfully comply with its
contractual obligations without valid cause, or failure by the contractor
to comply with any written lawful instruction of the procuring entity or
its representative(s) pursuant to the implementation of the contract.

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 For the procurement of infrastructure projects or consultancy contracts,
lawful instructions include but are not limited to the following:

(i) Employment of competent technical personnel, competent

engineers and/or work supervisors;

(ii) Provision of warning signs and barricades in accordance with

approved plans and specifications and contract provisions;

(iii) Stockpiling in proper places of all materials and removal from

the project site of waste and excess materials, including broken
pavement and excavated debris in accordance with approved
plans and specifications and contract provisions;

(iv) Deployment of committed equipment, facilities, support staff

and manpower; and

(v) Renewal of the effectivity dates of the performance security

after its expiration during the course of contract
implementation.

(c) Assignment and subcontracting of the contract or any part thereof or

substitution of key personnel named in the proposal without prior
written approval by the procuring entity.

(d) Poor performance by the contractor or unsatisfactory quality and/or

progress of work arising from his fault or negligence as reflected in the
Constructor's Performance Evaluation System (“CPES”) rating sheet.
In the absence of the CPES rating sheet, the existing performance
monitoring system of the procuring entity shall be applied. Any of the
following acts by the Contractor shall be construed as poor
performance:

(i) Negative slippage of 15% and above within the critical path of
the project due entirely to the fault or negligence of the
contractor; and

(ii) Quality of materials and workmanship not complying with the

approved specifications arising from the contractor's fault or
negligence.

(e) Willful or deliberate abandonment or non-performance of the project

or contract by the contractor resulting to substantial breach thereof
without lawful and/or just cause.

In addition to the penalty of suspension, the performance security posted by

the contractor shall also be forfeited.

20. Force Majeure, Release From Performance

20.1. For purposes of this Contract the terms “force majeure” and “fortuitous event”
may be used interchangeably. In this regard, a fortuitous event or force

63
 majeure shall be interpreted to mean an event which the Contractor could not
have foreseen, or which though foreseen, was inevitable. It shall not include
ordinary unfavorable weather conditions; and any other cause the effects of
which could have been avoided with the exercise of reasonable diligence by
the Contractor.

20.2. If this Contract is discontinued by an outbreak of war or by any other event

entirely outside the control of either the Procuring Entity or the Contractor, the
Procuring Entity’s Representative shall certify that this Contract has been
discontinued. The Contractor shall make the Site safe and stop work as
quickly as possible after receiving this certificate and shall be paid for all
works carried out before receiving it and for any Work carried out afterwards
to which a commitment was made.

20.3. If the event continues for a period of eighty four (84) days, either party may
then give notice of termination, which shall take effect twenty eight (28) days
after the giving of the notice.

20.4. After termination, the Contractor shall be entitled to payment of the unpaid
balance of the value of the Works executed and of the materials and Plant
reasonably delivered to the Site, adjusted by the following:

(a) any sum to which the Contractor is entitled under GCC Clause 28;

(b) the cost of his suspension and demobilization;

(c) any sum to which the Procuring Entity is entitled.

20.5. The net balance due shall be paid or repaid within a reasonable time period
from the time of the notice of termination.

21. Resolution of Disputes

21.1. If any dispute or difference of any kind whatsoever shall arise between the
parties in connection with the implementation of the contract covered by the
Act and this IRR, the parties shall make every effort to resolve amicably such
dispute or difference by mutual consultation.

21.2. If the Contractor believes that a decision taken by the Procuring Entity’s
Representative was either outside the authority given to the Procuring Entity’s
Representative by this Contract or that the decision was wrongly taken, the
decision shall be referred to the Arbiter indicated in the SCC within fourteen
(14) days of the notification of the Procuring Entity’s Representative’s
decision.

21.3. Any and all disputes arising from the implementation of this Contract covered
by the R.A. 9184 and its IRR shall be submitted to arbitration in the
Philippines according to the provisions of Republic Act No. 876, otherwise
known as the “ Arbitration Law” and Republic Act 9285, otherwise known as
the “Alternative Dispute Resolution Act of 2004”: Provided, however, That,
disputes that are within the competence of the Construction Industry

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 Arbitration Commission to resolve shall be referred thereto. The process of
arbitration shall be incorporated as a provision in this Contract that will be
executed pursuant to the provisions of the Act and its IRR: Provided, further,
That, by mutual agreement, the parties may agree in writing to resort to other
alternative modes of dispute resolution.

22. Suspension of Loan, Credit, Grant, or Appropriation

In the event that the Funding Source suspends the Loan, Credit, Grant, or
Appropriation to the Procuring Entity, from which part of the payments to the
Contractor are being made:

(a) The Procuring Entity is obligated to notify the Contractor of such suspension
within seven (7) days of having received the suspension notice.

(b) If the Contractor has not received sums due it for work already done within
forty five (45) days from the time the Contractor’s claim for payment has been
certified by the Procuring Entity’s Representative, the Contractor may
immediately issue a suspension of work notice in accordance with GCC
Clause 45.2.

23. Procuring Entity’s Representative’s Decisions

23.1. Except where otherwise specifically stated, the Procuring Entity’s
Representative will decide contractual matters between the Procuring Entity
and the Contractor in the role representing the Procuring Entity.

23.2. The Procuring Entity’s Representative may delegate any of his duties and
responsibilities to other people, except to the Arbiter, after notifying the
Contractor, and may cancel any delegation after notifying the Contractor.

24. Approval of Drawings and Temporary Works by the Procuring

Entity’s Representative
24.1. All Drawings prepared by the Contractor for the execution of the Temporary
Works, are subject to prior approval by the Procuring Entity’s Representative
before its use.

24.2. The Contractor shall be responsible for design of Temporary Works.

24.3. The Procuring Entity’s Representative’s approval shall not alter the
Contractor’s responsibility for design of the Temporary Works.

24.4. The Contractor shall obtain approval of third parties to the design of the
Temporary Works, when required by the Procuring Entity.

25. Acceleration and Delays Ordered by the Procuring Entity’s

Representative
25.1. When the Procuring Entity wants the Contractor to finish before the Intended
Completion Date, the Procuring Entity’s Representative will obtain priced

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 proposals for achieving the necessary acceleration from the Contractor. If the
Procuring Entity accepts these proposals, the Intended Completion Date will
be adjusted accordingly and confirmed by both the Procuring Entity and the
Contractor.

25.2. If the Contractor’s Financial Proposals for an acceleration are accepted by the
Procuring Entity, they are incorporated in the Contract Price and treated as a
Variation.

26. Extension of the Intended Completion Date

26.1. The Procuring Entity’s Representative shall extend the Intended Completion
Date if a Variation is issued which makes it impossible for the Intended
Completion Date to be achieved by the Contractor without taking steps to
accelerate the remaining work, which would cause the Contractor to incur
additional costs. No payment shall be made for any event which may warrant
the extension of the Intended Completion Date.

26.2. The Procuring Entity’s Representative shall decide whether and by how much
to extend the Intended Completion Date within twenty one (21) days of the
Contractor asking the Procuring Entity’s Representative for a decision thereto
after fully submitting all supporting information. If the Contractor has failed
to give early warning of a delay or has failed to cooperate in dealing with a
delay, the delay by this failure shall not be considered in assessing the new
Intended Completion Date.

27. Right to Vary

27.1. The Procuring Entity’s Representative with the prior approval of the Procuring
Entity may instruct Variations, up to a maximum cumulative amount of ten
percent (10%) of the original contract cost.

27.2. Variations shall be valued as follows:

(a) At a lump sum price agreed between the parties;

(b) where appropriate, at rates in this Contract;

(c) in the absence of appropriate rates, the rates in this Contract shall be
used as the basis for valuation; or failing which

(d) at appropriate new rates, equal to or lower than current industry rates
and to be agreed upon by both parties and approved by the HoPE.

28. Contractor's Right to Claim

If the Contractor incurs cost as a result of any of the events under GCC Clause 13, the
Contractor shall be entitled to the amount of such cost. If as a result of any of the said
events, it is necessary to change the Works, this shall be dealt with as a Variation.

29. Dayworks

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 29.1. Subject to GCC Clause 43 on Variation Order, and if applicable as indicated
in the SCC, the Dayworks rates in the Contractor’s bid shall be used for small
additional amounts of work only when the Procuring Entity’s Representative
has given written instructions in advance for additional work to be paid for in
that way.

29.2. All work to be paid for as Dayworks shall be recorded by the Contractor on
forms approved by the Procuring Entity’s Representative. Each completed
form shall be verified and signed by the Procuring Entity’s Representative
within two days of the work being done.

29.3. The Contractor shall be paid for Dayworks subject to obtaining signed
Dayworks forms.

30. Early Warning

30.1. The Contractor shall warn the Procuring Entity’s Representative at the earliest
opportunity of specific likely future events or circumstances that may
adversely affect the quality of the work, increase the Contract Price, or delay
the execution of the Works. The Procuring Entity’s Representative may
require the Contractor to provide an estimate of the expected effect of the
future event or circumstance on the Contract Price and Completion Date. The
estimate shall be provided by the Contractor as soon as reasonably possible.

30.2. The Contractor shall cooperate with the Procuring Entity’s Representative in
making and considering proposals for how the effect of such an event or
circumstance can be avoided or reduced by anyone involved in the work and
in carrying out any resulting instruction of the Procuring Entity’s
Representative.

31. Program of Work

31.1. Within the time stated in the SCC, the Contractor shall submit to the
Procuring Entity’s Representative for approval a Program of Work showing
the general methods, arrangements, order, and timing for all the activities in
the Works.

31.2. An update of the Program of Work shall show the actual progress achieved on
each activity and the effect of the progress achieved on the timing of the
remaining work, including any changes to the sequence of the activities.

31.3. The Contractor shall submit to the Procuring Entity’s Representative for
approval an updated Program of Work at intervals no longer than the period
stated in the SCC. If the Contractor does not submit an updated Program of
Work within this period, the Procuring Entity’s Representative may withhold
the amount stated in the SCC from the next payment certificate and continue
to withhold this amount until the next payment after the date on which the
overdue Program of Work has been submitted.

31.4. The Procuring Entity’s Representative’s approval of the Program of Work

shall not alter the Contractor’s obligations. The Contractor may revise the

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 Program of Work and submit it to the Procuring Entity’s Representative again
at any time. A revised Program of Work shall show the effect of any approved
Variations.

31.5. When the Program of Work is updated, the Contractor shall provide the
Procuring Entity’s Representative with an updated cash flow forecast. The
cash flow forecast shall include different currencies, as defined in the
Contract, converted as necessary using the Contract exchange rates.

31.6. All Variations shall be included in updated Program of Work produced by the
Contractor.

32. Management Conferences

32.1. Either the Procuring Entity’s Representative or the Contractor may require the
other to attend a Management Conference. The Management Conference shall
review the plans for remaining work and deal with matters raised in
accordance with the early warning procedure.

32.2. The Procuring Entity’s Representative shall record the business of

Management Conferences and provide copies of the record to those attending
the Conference and to the Procuring Entity. The responsibility of the parties
for actions to be taken shall be decided by the Procuring Entity’s
Representative either at the Management Conference or after the Management
Conference and stated in writing to all who attended the Conference.

33. Bill of Quantities

33.1. The Bill of Quantities shall contain items of work for the construction,
installation, testing, and commissioning of work to be done by the Contractor.

33.2. The Bill of Quantities is used to calculate the Contract Price. The Contractor
is paid for the quantity of the work done at the rate in the Bill of Quantities for
each item.

33.3. If the final quantity of any work done differs from the quantity in the Bill of
Quantities for the particular item and is not more than twenty five percent
(25%) of the original quantity, provided the aggregate changes for all items do
not exceed ten percent (10%) of the Contract price, the Procuring Entity’s
Representative shall make the necessary adjustments to allow for the changes
subject to applicable laws, rules, and regulations.

33.4. If requested by the Procuring Entity’s Representative, the Contractor shall

provide the Procuring Entity’s Representative with a detailed cost breakdown
of any rate in the Bill of Quantities.

34. Instructions, Inspections and Audits

34.1. The Procuring Entity’s personnel shall at all reasonable times during
construction of the Work be entitled to examine, inspect, measure and test the
materials and workmanship, and to check the progress of the construction.

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 34.2. If the Procuring Entity’s Representative instructs the Contractor to carry out a
test not specified in the Specification to check whether any work has a defect
and the test shows that it does, the Contractor shall pay for the test and any
samples. If there is no defect, the test shall be a Compensation Event.

34.3. The Contractor shall permit the Funding Source named in the SCC to inspect
the Contractor’s accounts and records relating to the performance of the
Contractor and to have them audited by auditors appointed by the Funding
Source, if so required by the Funding Source.

35. Identifying Defects

The Procuring Entity’s Representative shall check the Contractor’s work and notify
the Contractor of any defects that are found. Such checking shall not affect the
Contractor’s responsibilities. The Procuring Entity’s Representative may instruct the
Contractor to search uncover defects and test any work that the Procuring Entity’s
Representative considers below standards and defective.

36. Cost of Repairs

Loss or damage to the Works or Materials to be incorporated in the Works between
the Start Date and the end of the Defects Liability Periods shall be remedied by the
Contractor at the Contractor’s cost if the loss or damage arises from the Contractor’s
acts or omissions.

37. Correction of Defects

37.1. The Procuring Entity’s Representative shall give notice to the Contractor of
any defects before the end of the Defects Liability Period, which is One (1)
year from project completion up to final acceptance by the Procuring Entity’s
Representative.

37.2. Every time notice of a defect is given, the Contractor shall correct the notified
defect within the length of time specified in the Procuring Entity’s
Representative’s notice.

37.3. The Contractor shall correct the defects which he notices himself before the
end of the Defects Liability Period.

37.4. The Procuring Entity shall certify that all defects have been corrected. If the
Procuring Entity considers that correction of a defect is not essential, he can
request the Contractor to submit a quotation for the corresponding reduction in
the Contract Price. If the Procuring Entity accepts the quotation, the
corresponding change in the SCC is a Variation.

38. Uncorrected Defects

38.1. The Procuring Entity shall give the Contractor at least fourteen (14) days
notice of his intention to use a third party to correct a Defect. If the Contractor
does not correct the Defect himself within the period, the Procuring Entity

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 may have the Defect corrected by the third party. The cost of the correction
will be deducted from the Contract Price.

38.2. The use of a third party to correct defects that are uncorrected by the
Contractor will in no way relieve the Contractor of its liabilities and warranties
under the Contract.

39. Advance Payment

39.1. The Procuring Entity shall, upon a written request of the contractor which
shall be submitted as a contract document, make an advance payment to the
contractor in an amount not exceeding fifteen percent (15%) of the total
contract price, to be made in lump sum or, at the most two, installments
according to a schedule specified in the SCC.

39.2. The advance payment shall be made only upon the submission to and
acceptance by the Procuring Entity of an irrevocable standby letter of credit of
equivalent value from a commercial bank, a bank guarantee or a surety bond
callable upon demand, issued by a surety or insurance company duly licensed
by the Insurance Commission and confirmed by the Procuring Entity.

39.3. The advance payment shall be repaid by the Contractor by an amount equal to
the percentage of the total contract price used for the advance payment.

39.4. The contractor may reduce his standby letter of credit or guarantee instrument
by the amounts refunded by the Monthly Certificates in the advance payment.

39.5. The Procuring Entity will provide an Advance Payment on the Contract Price
as stipulated in the Conditions of Contract, subject to the maximum amount
stated in SCC Clause 39.1.

40. Progress Payments

40.1. The Contractor may submit a request for payment for Work accomplished.
Such request for payment shall be verified and certified by the Procuring
Entity’s Representative/Project Engineer. Except as otherwise stipulated in
the SCC, materials and equipment delivered on the site but not completely put
in place shall not be included for payment.

40.2. The Procuring Entity shall deduct the following from the certified gross
amounts to be paid to the contractor as progress payment:

(a) Cumulative value of the work previously certified and paid for.

(b) Portion of the advance payment to be recouped for the month.

(c) Retention money in accordance with the condition of contract.

(d) Amount to cover third party liabilities.

(e) Amount to cover uncorrected discovered defects in the works.

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 40.3. Payments shall be adjusted by deducting therefrom the amounts for advance
payments and retention. The Procuring Entity shall pay the Contractor the
amounts certified by the Procuring Entity’s Representative within twenty eight
(28) days from the date each certificate was issued. No payment of interest for
delayed payments and adjustments shall be made by the Procuring Entity.

40.4. The first progress payment may be paid by the Procuring Entity to the
Contractor provided that at least twenty percent (20%) of the work has been
accomplished as certified by the Procuring Entity’s Representative.

40.5. Items of the Works for which a price of “0” (zero) has been entered will not be
paid for by the Procuring Entity and shall be deemed covered by other rates
and prices in the Contract.

41. Payment Certificates

41.1. The Contractor shall submit to the Procuring Entity’s Representative monthly
statements of the estimated value of the work executed less the cumulative
amount certified previously.

41.2. The Procuring Entity’s Representative shall check the Contractor’s monthly
statement and certify the amount to be paid to the Contractor.

41.3. The value of Work executed shall:

(a) be determined by the Procuring Entity’s Representative;

(b) comprise the value of the quantities of the items in the Bill of
Quantities completed; and

(c) include the valuations of approved variations.

41.4. The Procuring Entity’s Representative may exclude any item certified in a
previous certificate or reduce the proportion of any item previously certified in
any certificate in the light of later information.

42. Retention
42.1. The Procuring Entity shall retain from each payment due to the Contractor an
amount equal to a percentage thereof using the rate as specified in GCC Sub-
Clause 42.2.

42.2. Progress payments are subject to retention of ten percent (10%), referred to as
the “retention money.” Such retention shall be based on the total amount due
to the Contractor prior to any deduction and shall be retained from every
progress payment until fifty percent (50%) of the value of Works, as
determined by the Procuring Entity, are completed. If, after fifty percent
(50%) completion, the Work is satisfactorily done and on schedule, no
additional retention shall be made; otherwise, the ten percent (10%) retention
shall again be imposed using the rate specified therefor.

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 42.3. The total “retention money” shall be due for release upon final acceptance of
the Works. The Contractor may, however, request the substitution of the
retention money for each progress billing with irrevocable standby letters of
credit from a commercial bank, bank guarantees or surety bonds callable on
demand, of amounts equivalent to the retention money substituted for and
acceptable to the Procuring Entity, provided that the project is on schedule and
is satisfactorily undertaken. Otherwise, the ten (10%) percent retention shall
be made. Said irrevocable standby letters of credit, bank guarantees and/or
surety bonds, to be posted in favor of the Government shall be valid for a
duration to be determined by the concerned implementing office/agency or
Procuring Entity and will answer for the purpose for which the ten (10%)
percent retention is intended, i.e., to cover uncorrected discovered defects and
third party liabilities.

42.4. On completion of the whole Works, the Contractor may substitute retention
money with an “on demand” Bank guarantee in a form acceptable to the
Procuring Entity.

43. Variation Orders

43.1. Variation Orders may be issued by the Procuring Entity to cover any
increase/decrease in quantities, including the introduction of new work items
that are not included in the original contract or reclassification of work items
that are either due to change of plans, design or alignment to suit actual field
conditions resulting in disparity between the preconstruction plans used for
purposes of bidding and the “as staked plans” or construction drawings
prepared after a joint survey by the Contractor and the Procuring Entity after
award of the contract, provided that the cumulative amount of the Variation
Order does not exceed ten percent (10%) of the original project cost. The
addition/deletion of Works should be within the general scope of the project as
bid and awarded. The scope of works shall not be reduced so as to
accommodate a positive Variation Order. A Variation Order may either be in
the form of a Change Order or Extra Work Order.

43.2. A Change Order may be issued by the Procuring Entity to cover any
increase/decrease in quantities of original Work items in the contract.

43.3. An Extra Work Order may be issued by the Procuring Entity to cover the
introduction of new work necessary for the completion, improvement or
protection of the project which were not included as items of Work in the
original contract, such as, where there are subsurface or latent physical
conditions at the site differing materially from those indicated in the contract,
or where there are duly unknown physical conditions at the site of an unusual
nature differing materially from those ordinarily encountered and generally
recognized as inherent in the Work or character provided for in the contract.

43.4. Any cumulative Variation Order beyond ten percent (10%) shall be subject of
another contract to be bid out if the works are separable from the original
contract. In exceptional cases where it is urgently necessary to complete the
original scope of work, the HoPE may authorize a positive Variation Order go
beyond ten percent (10%) but not more than twenty percent (20%) of the

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 original contract price, subject to the guidelines to be determined by the
GPPB: Provided, however, That appropriate sanctions shall be imposed on the
designer, consultant or official responsible for the original detailed
engineering design which failed to consider the Variation Order beyond ten
percent (10%).

43.5. In claiming for any Variation Order, the Contractor shall, within seven (7)
calendar days after such work has been commenced or after the circumstances
leading to such condition(s) leading to the extra cost, and within twenty-eight
(28) calendar days deliver a written communication giving full and detailed
particulars of any extra cost in order that it may be investigated at that time.
Failure to provide either of such notices in the time stipulated shall constitute a
waiver by the contractor for any claim. The preparation and submission of
Variation Orders are as follows:

(a) If the Procuring Entity’s representative/Project Engineer believes that a

Change Order or Extra Work Order should be issued, he shall prepare
the proposed Order accompanied with the notices submitted by the
Contractor, the plans therefore, his computations as to the quantities of
the additional works involved per item indicating the specific stations
where such works are needed, the date of his inspections and
investigations thereon, and the log book thereof, and a detailed
estimate of the unit cost of such items of work, together with his
justifications for the need of such Change Order or Extra Work Order,
and shall submit the same to the HoPE for approval.

(b) The HoPE or his duly authorized representative, upon receipt of the
proposed Change Order or Extra Work Order shall immediately
instruct the appropriate technical staff or office of the Procuring Entity
to conduct an on-the-spot investigation to verify the need for the Work
to be prosecuted and to review the proposed plan, and prices of the
work involved.

(c) The technical staff or appropriate office of the Procuring Entity shall
submit a report of their findings and recommendations, together with
the supporting documents, to the Head of Procuring Entity or his duly
authorized representative for consideration.

(d) The HoPE or his duly authorized representative, acting upon the
recommendation of the technical staff or appropriate office, shall
approve the Change Order or Extra Work Order after being satisfied
that the same is justified, necessary, and in order.

(e) The timeframe for the processing of Variation Orders from the
preparation up to the approval by the Procuring Entity concerned shall
not exceed thirty (30) calendar days.

44. Contract Completion

Once the project reaches an accomplishment of ninety five (95%) of the total contract
amount, the Procuring Entity may create an inspectorate team to make preliminary

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 inspection and submit a punch-list to the Contractor in preparation for the final
turnover of the project. Said punch-list will contain, among others, the remaining
Works, Work deficiencies for necessary corrections, and the specific duration/time to
fully complete the project considering the approved remaining contract time. This,
however, shall not preclude the claim of the Procuring Entity for liquidated damages.

45. Suspension of Work

45.1. The Procuring Entity shall have the authority to suspend the work wholly or
partly by written order for such period as may be deemed necessary, due to
force majeure or any fortuitous events or for failure on the part of the
Contractor to correct bad conditions which are unsafe for workers or for the
general public, to carry out valid orders given by the Procuring Entity or to
perform any provisions of the contract, or due to adjustment of plans to suit
field conditions as found necessary during construction. The Contractor shall
immediately comply with such order to suspend the work wholly or partly.

45.2. The Contractor or its duly authorized representative shall have the right to
suspend work operation on any or all projects/activities along the critical path
of activities after fifteen (15) calendar days from date of receipt of written
notice from the Contractor to the district engineer/regional director/consultant
or equivalent official, as the case may be, due to the following:

(a) There exist right-of-way problems which prohibit the Contractor from
performing work in accordance with the approved construction
schedule.

(b) Requisite construction plans which must be owner-furnished are not

issued to the contractor precluding any work called for by such plans.

(c) Peace and order conditions make it extremely dangerous, if not

possible, to work. However, this condition must be certified in writing
by the Philippine National Police (PNP) station which has
responsibility over the affected area and confirmed by the Department
of Interior and Local Government (DILG) Regional Director.

(d) There is failure on the part of the Procuring Entity to deliver

government-furnished materials and equipment as stipulated in the
contract.

(e) Delay in the payment of Contractor’s claim for progress billing beyond
forty-five (45) calendar days from the time the Contractor’s claim has
been certified to by the procuring entity’s authorized representative
that the documents are complete unless there are justifiable reasons
thereof which shall be communicated in writing to the Contractor.

45.3. In case of total suspension, or suspension of activities along the critical path,
which is not due to any fault of the Contractor, the elapsed time between the
effectivity of the order suspending operation and the order to resume work
shall be allowed the Contractor by adjusting the contract time accordingly.

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46. Payment on Termination
46.1. If the Contract is terminated because of a fundamental breach of Contract by
the Contractor, the Procuring Entity’s Representative shall issue a certificate
for the value of the work done and Materials ordered less advance payments
received up to the date of the issue of the certificate and less the percentage to
apply to the value of the work not completed, as indicated in the SCC.
Additional Liquidated Damages shall not apply. If the total amount due to the
Procuring Entity exceeds any payment due to the Contractor, the difference
shall be a debt payable to the Procuring Entity.

46.2. If the Contract is terminated for the Procuring Entity’s convenience or because
of a fundamental breach of Contract by the Procuring Entity, the Procuring
Entity’s Representative shall issue a certificate for the value of the work done,
Materials ordered, the reasonable cost of removal of Equipment, repatriation
of the Contractor’s personnel employed solely on the Works, and the
Contractor’s costs of protecting and securing the Works, and less advance
payments received up to the date of the certificate.

46.3. The net balance due shall be paid or repaid within twenty eight (28) days from
the notice of termination.

46.4. If the Contractor has terminated the Contract under GCC Clauses 17 or 18, the
Procuring Entity shall promptly return the Performance Security to the
Contractor.

47. Extension of Contract Time

47.1. Should the amount of additional work of any kind or other special
circumstances of any kind whatsoever occur such as to fairly entitle the
contractor to an extension of contract time, the Procuring Entity shall
determine the amount of such extension; provided that the Procuring Entity is
not bound to take into account any claim for an extension of time unless the
Contractor has, prior to the expiration of the contract time and within thirty
(30) calendar days after such work has been commenced or after the
circumstances leading to such claim have arisen, delivered to the Procuring
Entity notices in order that it could have investigated them at that time. Failure
to provide such notice shall constitute a waiver by the Contractor of any claim.
Upon receipt of full and detailed particulars, the Procuring Entity shall
examine the facts and extent of the delay and shall extend the contract time
completing the contract work when, in the Procuring Entity’s opinion, the
findings of facts justify an extension.

47.2. No extension of contract time shall be granted the Contractor due to (a)
ordinary unfavorable weather conditions and (b) inexcusable failure or
negligence of Contractor to provide the required equipment, supplies or
materials.

47.3. Extension of contract time may be granted only when the affected activities
fall within the critical path of the PERT/CPM network.

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 47.4. No extension of contract time shall be granted when the reason given to
support the request for extension was already considered in the determination
of the original contract time during the conduct of detailed engineering and in
the preparation of the contract documents as agreed upon by the parties before
contract perfection.

47.5. Extension of contract time shall be granted for rainy/unworkable days

considered unfavorable for the prosecution of the works at the site, based on
the actual conditions obtained at the site, in excess of the number of
rainy/unworkable days pre-determined by the Procuring Entity in relation to
the original contract time during the conduct of detailed engineering and in the
preparation of the contract documents as agreed upon by the parties before
contract perfection, and/or for equivalent period of delay due to major
calamities such as exceptionally destructive typhoons, floods and earthquakes,
and epidemics, and for causes such as non-delivery on time of materials,
working drawings, or written information to be furnished by the Procuring
Entity, non-acquisition of permit to enter private properties or non-execution
of deed of sale or donation within the right-of-way resulting in complete
paralyzation of construction activities, and other meritorious causes as
determined by the Procuring Entity’s Representative and approved by the
HoPE. Shortage of construction materials, general labor strikes, and peace and
order problems that disrupt construction operations through no fault of the
Contractor may be considered as additional grounds for extension of contract
time provided they are publicly felt and certified by appropriate government
agencies such as DTI, DOLE, DILG, and DND, among others. The written
consent of bondsmen must be attached to any request of the Contractor for
extension of contract time and submitted to the Procuring Entity for
consideration and the validity of the Performance Security shall be
correspondingly extended.

48. Price Adjustment

Except for extraordinary circumstances as determined by NEDA and approved by the
GPPB, no price escalation shall be allowed. Nevertheless, in cases where the cost of
the awarded contract is affected by any applicable new laws, ordinances, regulations,
or other acts of the GoP, promulgated after the date of bid opening, a contract price
adjustment shall be made or appropriate relief shall be applied on a no loss-no gain
basis.

49. Completion
The Contractor shall request the Procuring Entity’s Representative to issue a
certificate of Completion of the Works, and the Procuring Entity’s Representative will
do so upon deciding that the work is completed.

50. Taking Over

The Procuring Entity shall take over the Site and the Works within seven (7) days
from the date the Procuring Entity’s Representative issues a certificate of Completion.

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51. Operating and Maintenance Manuals
51.1. If “as built” Drawings and/or operating and maintenance manuals are required,
the Contractor shall supply them by the dates stated in the SCC.

51.2. If the Contractor does not supply the Drawings and/or manuals by the dates
stated in the SCC, or they do not receive the Procuring Entity’s
Representative’s approval, the Procuring Entity’s Representative shall
withhold the amount stated in the SCC from payments due to the Contractor.

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 Section V. Special Conditions of Contract
Notes on the Special Conditions of Contract
Similar to the Section III. Bid Data Sheet, the clauses in this Section are intended to assist
the Procuring Entity in providing contract-specific information in relation to corresponding
clauses in the GCC.
The provisions of this Section complement the GCC, specifying contractual requirements
linked to the special circumstances of the Procuring Entity, the Procuring Entity’s country,
the sector, and the Works procured. In preparing this Section, the following aspects should
be checked:
(a) Information that complements provisions of Section IV. General Conditions of
Contract must be incorporated.
(b) Amendments and/or supplements to provisions of Section IV. General Conditions
of Contract, as necessitated by the circumstances of the specific project, must also
be incorporated.
However, no special condition which defeats or negates the general intent and purpose of
the provisions of Section IV. General Conditions of Contract should be incorporated
herein.
For foreign-assisted projects, the Special Conditions of Contract to be used is provided in
Section X-Foreign-Assisted Projects.

78
 Special Conditions of Contract

GCC Clause
1.17 The Intended Completion Date is 30 calendar days.

1.22 The Procuring Entity is the Provincial Government of Lanao del Norte
1.23 The Procuring Entity’s Representative will be the person designated by
the HOPE.
1.24 The Site is located at Kolambugan, Lanao del Norte and is defined in
drawings No. [Insert Number].
1.28 The Start Date is the effectivity date indicated in the Notice to Proceed.
1.31 The Works consist of earthworks, subbase and base course, surface
course, drainage and slope protection structures, and miscellaneous
structures.
5.1 The Procuring Entity shall give possession of all parts of the Site to the
Contractor on the start date.
6.5 The Contractor shall employ the following Key Personnel:
Project Engineer (with at least 5 years similar experience), Site
Engineer (must be a licensed Civil Engineer with at least 3 years
similar experience), Materials Engineer (must be a licensed Engineer
accredited with the DPWH and with at least 1 year similar experience,
Surveyor (must be a licensed Geodetic Engineer with at least 3 years
similar experience), Safety Officer (with at least 2 years similar
experience and with Certificate of Training on Occupational Safety and
Health or other related training) and a Foreman (with at least 5 years
similar experience).

NOTE: The names of the Key Personnel and their designation shall be
filled out by winning contractor prior to contract signing.
7.4(c) No further instructions.
7.7 No further instructions.
8.1 Subcontracting is not allowed.
10 The site investigation reports are: none
12.3 The Defects liability period.
12.5 In case of semi-permanent structures, such as buildings of types 1, 2, and
3 as classified under the National Building Code of the Philippines,
concrete/asphalt roads, concrete river control, drainage, irrigation lined
canals, river landing, deep wells, rock causeway, pedestrian overpass,
 and other similar semi-permanent structures such as slope protection:
Five (5) years.
13 No additional provision.
18.3(h)(i) No further instructions.
21.2 The Arbiter is:
Construction Industry Arbitration Commission 2nd Floor,
Executive Building Center
369 Sen. Gil Puyat Avenue corner Makati Avenue

Makati City
29.1 No dayworks are applicable to the contract.
31.1 The Contractor shall submit the Program of Work to the Procuring
Entity’s Representative within seven (7) days of delivery of the Notice of
Award.
31.3 The period between Program of Work updates is within seven (7)
calendar days.

The amount to be withheld for late submission of an updated Program of

Work is [insert amount].
34.3 The Funding Source is the Provincial Government of Lanao del Norte
Unexpended DRR Fund CY 2020.
39.1 The amount of the advance payment is not to exceed 15% of the total
contract amount to be made in lump sum.
40.1 No further instructions.
51.1 The date by which “as built” drawings are required is not later than
seven (7) calendar days from the issuance of Certificate of Completion.
51.2 The amount to be withheld for failing to produce “as built” drawings
and/or operating and maintenance manuals by the date required is
equivalent to the final payment.
 Section VI. Specifications
Notes on Specifications
A set of precise and clear specifications is a prerequisite for Bidders to respond realistically
and competitively to the requirements of the Procuring Entity without qualifying or
conditioning their Bids. In the context of international competitive bidding, the
specifications must be drafted to permit the widest possible competition and, at the same
time, present a clear statement of the required standards of workmanship, materials, and
performance of the goods and services to be procured. Only if this is done will the
objectives of economy, efficiency, and fairness in procurement be realized, responsiveness
of Bids be ensured, and the subsequent task of bid evaluation facilitated. The
specifications should require that all goods and materials to be incorporated in the Works
be new, unused, of the most recent or current models, and incorporate all recent
improvements in design and materials unless provided otherwise in the Contract.

Samples of specifications from previous similar projects are useful in this respect. The use
of metric units is mandatory. Most specifications are normally written specially by the
Procuring Entity or its representative to suit the Works at hand. There is no standard set of
Specifications for universal application in all sectors in all regions, but there are
established principles and practices, which are reflected in these PBDs.

There are considerable advantages in standardizing General Specifications for repetitive

Works in recognized public sectors, such as highways, ports, railways, urban housing,
irrigation, and water supply, in the same country or region where similar conditions
prevail. The General Specifications should cover all classes of workmanship, materials,
and equipment commonly involved in construction, although not necessarily to be used in
a particular Works Contract. Deletions or addenda should then adapt the General
Specifications to the particular Works.

Care must be taken in drafting specifications to ensure that they are not restrictive. In the
specification of standards for goods, materials, and workmanship, recognized international
standards should be used as much as possible. Where other particular standards are used,
whether national standards or other standards, the specifications should state that goods,
materials, and workmanship that meet other authoritative standards, and which ensure
substantially equal or higher quality than the standards mentioned, will also be acceptable.
The following clause may be inserted in the SCC.

Sample Clause: Equivalency of Standards and Codes

Wherever reference is made in the Contract to specific standards and codes to be met by
the goods and materials to be furnished, and work performed or tested, the provisions of
the latest current edition or revision of the relevant standards and codes in effect shall
apply, unless otherwise expressly stated in the Contract. Where such standards and codes
are national, or relate to a particular country or region, other authoritative standards that
ensure a substantially equal or higher quality than the standards and codes specified will be
accepted subject to the Procuring Entity’s Representative’s prior review and written
consent. Differences between the standards specified and the proposed alternative
standards shall be fully described in writing by the Contractor and submitted to the
Procuring Entity’s Representative at least twenty eight (28) days prior to the date when the
Contractor desires the Procuring Entity’s Representative’s consent. In the event the
Procuring Entity’s Representative determines that such proposed deviations do not ensure
substantially equal or higher quality, the Contractor shall comply with the standards
specified in the documents.

These notes are intended only as information for the PRO Procuring Entity or the person
drafting the Bidding Documents. They should not be included in the final Bidding
Documents.
 PART A- FACILITIES FOR THE ENGINEER

A.1 REQUIREMENTS

A.1 Offices for the Engineer (Temporary Facilities)

1. The contractor shall provide and maintain field offices and testing
laboratories, including all necessary electricity, water, drainage and telephone services
for the use of the Engineer and his staff. The offices and laboratories shall have at
least the floor area prescribed on the Plans and shall contain the equipment, supplies
and furnishings specified in the Contract. Testing equipment supplied in accordance
with the Special Provisions shall be located in testing laboratories as required by the
Engineer. All offices and laboratories shall be ready for occupancy and use by the
Engineer within two (2) months of the commencement of the Works. Their location
and final plan shall require the approval of the Engineer prior to the start of
construction. It is the intent of this Specification to locate the field offices and
laboratories in government owned lots so that the use by the government of these
facilities can be maximized even after the completion of the project. However, if no
government lot is available, and these structures are to be erected on private property,
it is the responsibility of the Contactor to make the necessary arrangements with the
landowner(s) regarding the use of the lot for the Engineer’s office and laboratories
and to remove and/or transfer, is so required under the Contract, the improvements
thereon, including all appurtenances upon completion of the Works.

All facilities provided by the Contractor shall be near the job site, where
necessary and shall conform to the best standard for the required types. On
completion of the Contract, the facilities provided by the Contractor including utilities
and communication facilities shall revert to the Government including office
equipment, apparatus, pieces of furniture, laboratory equipment, etc. unless otherwise
specified in the Contract documents.

The Contractor shall be responsible for raising the ground (if necessary),
grading and drainage in the vicinity of each facility with suitable access walkways,
seeding and sodding of the ground around as directed and approved by the Engineer.
Also, the Contractor shall construct a parking area for the compound near the
buildings and a satisfactory access road to the parking areas.

The Contractor shall be responsible for the maintenance and protection of all
facilities to be provided during the duration of the Contract, including providing
adequate stock of all expendable items, such as light bulbs, light tubes, laboratory
equipment and supplies at all times to ensure proper and continuous functioning of all
the Engineer’s facilities.

The whole area of the Engineer’s compound shall be fenced with barbed wire
(or equivalent) with necessary gates as directed by the Engineer.

The Contractor shall provide suitable utilities and services, such as potable
water, electricity, sewerage and security on a 24-hour basis.
2. The Contractor shall provide qualified and experienced laboratory staff to
carry out all the materials quality control and all the tests specified in the Contract and
required by the Engineer. The person so appointed by the Contractor to manage the
laboratory shall be well experienced in the type of work to be undertaken and shall be
subject to the approval of the Engineer. He shall work full time and shall be
responsible to the Engineer for all works carried out.

3. The telephone service, if required in the contract shall have a separate

connection direct to the telephone company’s telephone exchange single line for the
exclusive use of the Engineer and his staff.

4. The Contractor shall provide, if required in the Contract, a two-way radio

communication service.

5. Any portable offices required in the Contract shall be dismantled, moved and
erected from time to time as directed by the Engineer.

6. All offices, stores and testing laboratories shall be proficiently guarded at all
times of the day and night, regularly and properly cleaned, adequately supplied and
maintained for the duration of the Contract.

A.1.2 Vehicles for the Engineer

The Contractor shall provide within thirty (30) calendar days after notice to
commence work, the vehicles listed in the Special Provisions for the exclusive use of
the Engineer. The vehicles to be provided by the Contractor shall be to the
satisfaction of the Engineer. All vehicles shall comply in all respects with all relevant
Philippine national or local laws statutes and regulations. All vehicles shall carry or
be fitted with the accessories as may be prescribed by laws and have comprehensive
insurance. The vehicles on delivery shall be new and shall be driven by a competent
qualified and experienced driver who shall be under the direct order of the Engineer.

The contractor shall maintain the vehicle in first class condition and shall be
supplied with appropriate fuel and lubricants at all times.

He shall provide equivalent substitute vehicles during any period when the
specified vehicles are taken out of service for maintenance, repair or any other reason.
Unless otherwise specified, the vehicle shall at the end of the Contract become the
property of the Government.
A.2 MEASUREMENT AND PAYMENT

A.2.1 Measurement

1. Lump-sum items shall be provided for the provision of:

 Office building for the Engineer including pieces of furnitures, appliances and
equipment
 Laboratory building for the Engineer including furnitures, appliances and
equipment.

2. The quantities for the maintenance of the office and the laboratory for the Engineer
shall be for the time the Engineer occupies the office and the laboratory respectively.
The unit of the measure is “month”.

3. No separate payment shall be made in respect of consumable materials as this is

deemed to be included in the pay item for maintenance of the Engineer’s facilities.

A.2.2 Payment

The quantities determined as provided above shall be paid for at the appropriate
contract unit price, for each of the particular pay items shown in the Bill of Quantities which
price and payment shall constitute full compensation for furnishing and maintaining such
items.

PART B. OTHER GENERAL REQUIREMENTS

B.1 MOBILIZATION AND DEMOBILIZATION

Scope of Work

This Section includes mobilization, demobilization, assembly, and disassembly of

equipment/plants including incidentals necessary to complete the work.

Mobilization

a) The Contractor shall mobilize and put into operation all equipment and plants required to
undertake the Bid Documents, which is the Bill of Quantities and all associated work
items.

b) Mobilization shall include the transferring to the job-sites of all equipment, plants, supplies
and materials, personnel, and all items necessary for the execution and completion of the
work, and shall also include all utilities, supplies, staffing etc., and also include the setting
up of all equipment, instruments and all other plants until rendered operable, subject to the
 confirmation of the Engineer.

c) Sufficient supply of spares for the equipment and plants shall be mobilized to the site and
be carried on board the towing/carrying vessels. Equipment/plants encountering
breakdowns must be repaired on each site by the most expeditious method possible at no
cost to the Employer. In the event that the equipment/plants call for major repair works
that cannot be undertaken at the site, the Contractor shall replace such equipment/plants
with equal or better performance capacity at no additional mobilization costs to the
Employer, and the Contractor shall not be entitled to any time extension.

d) Contractor shall provide all power for operation of his plant and equipment, or for any
other use, including building cooling and lighting. The Contractor shall arrange with the
utility company to provide and pay for the service required for power and lighting. All
electrical installations shall be complete with an appropriate number of emergency shutoff
devices and include grounding systems in accordance with Philippine Electrical Standards.

e) The Contractor shall provide temporary lighting for the worksites to protect the Works and
maintain suitable working conditions. Temporary lighting shall be maintained until the
Employer has accepted the Works.

f) The Contractor shall make all necessary arrangements and pay all installation and usage
charges for his office at the Site.

g) The Contractor shall furnish temporary sanitary facilities at the Site, as provided herein,
for the needs of all construction workers and others performing work or furnishing
services on the Project.

h) The Contractor (until completion of the Works) shall maintain all existing fences affected
by the Works. Fences that interfere with construction operations shall not be relocated or
dismantled until written permission is obtained from the fence owner.

i) The Contractor will be held responsible for any damage to existing structures, works,
materials, or equipment because of his operations or the operations of any of his
subcontractors. The Contractor shall repair or replace any damaged structures, works,
materials, or equipment to the satisfaction of the Engineer, and at no additional cost to the
Employer.

j) The Contractor shall be responsible for all damage to streets, roads, railroads, curbs,
sidewalks, highways, shoulders, ditches, embankment, culverts, bridges, or other public or
private property, which may be caused by the transport of equipment, materials, or people
to or from the Works.

k) The Contractor shall be responsible for the protection of the Site, and all work, materials,
equipment, and all existing or completed facilities thereon, against vandals and other
 unauthorized persons.

l) The Contractor shall construct suitable entry and exit roads to, from and around all
temporary facilities.

m)Suitable fencing shall be constructed around all temporary facilities.

n) Suitable external lighting shall be provided at the entrance to all buildings.

o) All sanitary facilities shall be connected to a suitable sewage system.

p) During the performance of the works the Contractor shall maintain all temporary facilities
in a suitable manner to the satisfaction of the Engineer.

q) All construction plant and equipment provided by the Contractor shall, when brought on to
the Site, be deemed to be exclusively intended for the construction and completion of the
Works and the Contractor shall not remove the same or any part thereof without the
approval of the Engineer.

r) The Employer shall not at any time be liable for the loss or damage to any of the said
construction plant and equipment provided by the Contractor or any subcontractor or
supplier.

Demobilization upon request of the Contractor and approved by the Engineer shall include
the following:

a) The dismantling, preparation and loading for removal and shipment of all Contractor’s
(and Subcontractor’s) plant, equipment, and personnel at each site after completion of the
works.

b) Transportation of all the above plant, equipment, and materials from each site to the
Contractor’s home station or somewhere else outside the sites.

c) Removal of all supplementary markers furnished and installed by the Contractor, provided
that the Engineer has not taken the option to retain the markers.

d) The clean-up of the Site and the removal of materials, debris, waste, etc., and making good
damages or temporary alterations, to the satisfaction of the Engineer.
e) The restoration, up to a degree acceptable to the Engineer, of damage to the surrounding
area (including vegetation, minor structures etc) resulting from the construction or
construction-related activities

Measurement

The Lump sum price shall provide for the mobilization and demobilization of all Contractor’s
plant/equipment and personnel to cover all costs for mobilization and demobilization,
transportation, insurance during transportation, port fees, taxes, utilities, support staffs and all
other incidentals.

The payment shall cover the dismantling of the work site by the Contractor, with removal of
all the alterations, constructional plant and equipment, so that the site is restored to the state it
was in before the installations, plant and equipment were placed there.

Payment

No additional payment will be made for any additional mobilization of personnel, plant,
equipment and materials.

All costs associated with and necessary for compliance with this Specification shall be
included in the Lump Sum price. No additional or separate payment will be made in this
regard.

The Engineer may at any time withhold payment if (in the opinion of the Engineer)
requirements of this Specification section are not provided.

Pay Item Description Unit

A.1 Mobilization and Demobilization Lump Sum

B.2 AS-STAKE SURVEY

B.2.1 Description

This item shall consist of furnishing the necessary equipment and material to survey,
stake, calculate, and record data for the control of work in accordance with this Specification
and in conformity with the lines, grades and dimensions shown on the Plans or as established
by the Engineer.

B.2.2. Construction Requirements

B.2.2.1 General
 Staking activities shall be included in the construction schedule to be
submitted by the Contractor. Dates and sequence of each staking activity shall
be included.

The Engineer shall set initial reference lines, horizontal and vertical
control points, and shall furnish the data for use in establishing control for the
completion of each element of the work. Data relating to the horizontal and
vertical alignments and other design data shall be furnished.

The Contractor shall be responsible for the true setting of the works or
improvements and for correctness of positions, levels, dimensions and
alignment of all parts of the works. He shall provide all necessary instruments,
appliances, materials and supplies, and labor in connection therewith. The
Contractor shall provide a survey crew supervisor at the project whenever
surveying/staking activity is in progress.

Prior to construction, the Engineer shall be notified of any missing

initial reference lines, controls, points, or stakes. The Engineer shall re-
establish missing initial reference lines, controls, points, or stakes.

The Contractor for convenient use of Government-furnished data shall

perform additional calculations. Immediate notification of apparent errors in
the initial staking or in the furnished data shall be provided.

All initial reference and control points shall be preserved. At the start
of construction, all destroyed or disturbed initial reference or control points
necessary to the work shall be replaced.

Before surveying and staking, the Contractor shall discuss and coordinate the
following with the Engineer:

1. Surveying and staking methods

2. Stake marking/ concrete monuments (establishment of TBMs)
3. Grade control for courses of material
4. Referencing
5. Structure control (when structures are included in the plan)
6. Any other procedures and controls necessary for the work.

Table 1

Construction Survey and Staking Tolerances(1)

Staking Phase Horizontal Vertical

Existing ± 20mm ± 8mm x √K(2)

Governm
ent
network
control
 Staking Phase Horizontal Vertical

points

Local
suppleme
ntal
control
points set
from ± 10mm ± 3mm x √N(3)
existing
Governm
ent
network
points

Centreline points ± 50mm ± 50mm

Cross-section
points and
± 50mm ± 50mm
slope
stakes

Slope stakes
± 50mm ± 50mm
references

Culverts, ditches,
and minor
± 50mm ± 20mm
drainage
structures

Clearing and
grubbing ± 500mm -
limits

Roadway
subgrade
± 50mm ± 10mm
finish
stakes(7)

Roadway finish
grade ± 50mm ± 10mm
stakes(7)

(1) At 95% confidence level. Tolerances are relative to existing Government

network control points.
(2) K is the distance in kilometres
(3) N is the number of instrument setups.
 (4) Centerline points: PC – point of curve, PT – point of tangent, POT – point on
tangent, POC – point on curve
(5) Take the cross-sections normal to the centerline + 1 degree.

The Contractor shall prepare field notes in an approved format. All field notes and
supporting documentation shall become the property of the government upon completion of
the work.

Work shall be only started after staking for the affected work is accepted and
approved.

The construction survey and staking work may be spot-checked by the

Engineer for accuracy (Engineer to be represented during conduct of as-staked
survey by the Contractor), and unacceptable portions of work may be rejected.
Rejected work shall be resurveyed, and work that is not within the tolerances
specified in Table 1 shall be corrected. Acceptance of the construction staking
shall not relieve the Contractor of responsibility for correcting errors
discovered during the work and for bearing all additional costs associated with
the error, unless such error is based on incorrect data supplied in writing by
the Engineer, in which case, the expense in rectifying the same shall be at the
expense of the Government.

In the case of “change” or “changed conditions” which involve any change in

stakeout, the Contractor shall coordinate with the Engineer and facilitate the
prompt reestablishment of the field control for the altered or adjusted work.

All flagging, lath, stakes, and other staking materials shall be removed and
disposed after the project is completed.

B.2.2.2 Equipment

Survey instruments and supporting equipment capable of achieving the

specified tolerances shall be furnished.

Acceptable tools, supplies, and stakes of the type and quality normally used in
highway survey work and suitable for the intended use shall be furnished.
Stakes and hubs of sufficient length to provide a solid set in the ground with
sufficient surface area above ground for necessary legible markings shall also
be furnished.

B.2.2.3 Survey and Staking Requirements

All survey, staking, recording data, and calculations necessary to construct the
project from the initial layout to final completion shall be performed. Stakes
shall be reset as many times as necessary to construct the work.
1. Control Points

Established initial horizontal and vertical control points in conflict with construction
shall be relocated to areas that will not be disturbed by construction operations. The
coordinates and elevations for the relocated points shall be furnished before the initial
points are disturbed.

2. Roadway Cross-Sections

Roadway cross-sections shall be taken normal or perpendicular to the

centerline. When the centerline horizontal curve radius is less than or equal to 150
meters and vertical parabolic curve radius is less than or equal to 100 meters, cross-
sections shall be taken at a maximum centerline spacing of 10 meters. When the
centerline Horizontal curve radius is greater than 150 meters, cross-sections shall be
taken at a maximum centerline spacing of 20 meters. Additional cross-sections shall
be taken at significant breaks in topography and at changes in the typical roadway
section including transition change to super elevated sections. Along each cross-
section, points shall be measured and recorded at breaks in topography and at changes
in typical roadway section including transition change to super elevated sections and
shall be no further apart than 5 meters. Points shall be measured and recorded to at
least the anticipated slope stake and reference locations. All cross-section distances
shall be reduced to horizontal distances from centerline.

3. Slope Stakes and References

Slope stakes and references shall be set on both sides of centerline at the cross-
sections locations. Slope stakes shall be established in the field as the actual point of
intersection of the design roadway slope with the natural ground line. Slope stake
references shall be set outside the clearing limits. All reference point and slope stake
information shall be included on the reference stakes. When initial references are
provided, slope stakes may be set from these points with verification of the slope
stake location with field measurements. Slope stakes on any section that do not match
with the staking report within the tolerances established in Table 1 shall be recatched.
Roadway cross-section data shall be taken between centerline and the new slope stake
location. Additional references shall be set even when the initial references are
provided.

4. Clearing and Grubbing Limits

Clearing and grubbing limits shall be set on both sides of centerline at

roadway cross-section locations, extending one (1) meter beyond the toe
 of the fill slopes or beyond rounding of cut slopes as the case maybe for the
entire length of the project unless otherwise shown on the plans or as
directed by the Engineer.

5. Centerline Reestablishment

Centerline shall be reestablished from instrument control points. The

maximum spacing between centerline points shall be 10 meters when the centerline
horizontal curve radius is less than or equal to 150 meters and vertical parabolic curve
radius is less than or equal to 100 meters. When the centerline horizontal curve radius
is greater than 150 meters and vertical parabolic curve radius is greater than 100
meters, the maximum distance between centerline points shall be 20 meters.

6. Grade Finishing Stakes

Grade finishing stakes shall be set for grade elevations and horizontal alignment, at
the centerline and at each shoulder of roadway cross-section locations. Stakes shall be
set at the top of subgrade and the top of each aggregate course.

Where turnouts are constructed, stakes shall be set at the centerline, at each normal
shoulder, and at the shoulder of the turnout. In parking areas, hubs shall be set at the
center and along the edges of the parking area. Stakes shall be set at all ditches to be
paved.

The maximum longitudinal spacing between stakes shall be 10 meters when the
centerline horizontal curve radius is less than or equal to 150 meters and vertical
parabolic curve radius is less than or equal to 100 meters, the maximum longitudinal
spacing between stakes shall be 20 meters. The maximum transverse spacing between
stakes shall be 5 meters. Brushes or guard stakes shall be used at each stake.

7. Culverts
Culverts shall be staked to fit field conditions. The location of culverts
may differ from the plans. The following shall be performed:

a. Survey and record the ground profile along the culvert centerline including
inlet and outlet channel profile of at least 10 meters and as additionally
directed by the Engineer so as to gather all necessary data for the
preparation of pipe projection plan.
b. Determine the slope catch points at the inlet and outlet.
c. Set reference points and record information necessary to determine culvert
length and end treatments.
d. Plot into scale the profile along the culvert centerline reflecting the natural
ground elevation, invert elevation, the flow line, the roadway section, and
the size, length and the degree of elbow of culvert, end treatments, grade
and other appurtenances.
e. Plot into scale the cross-section of inlet and outlet channel at not more than
5 meters interval.
 f. Submit the plotted Pipe Projection Plan for approval of final culvert
length, alignment and headwall.
g. When the Pipe Projection Plan has been approved, set drainage culvert
structure survey and reference stakes, and stake inlet and outlet to make
the structure functional.

I. AS-STAKED PLAN

The following are the important requirements to prepare the Simplified As-staked
drawings:

a. All as-staked drawings are required to be on three sets of A3 sized paper and shall
bear the name and address of the contractor and the preparing, reviewing or checking,
recommending and approving officials. The contractor is also required to submit CAD
file of drawings in CD and 3 copies of as-staked quantities in A4 size, ring bound
including electronic copy in excel format. As-staked drawings are required to be
submitted along with other requirements prior to start of any construction activities at
the site. Attached as Annex B is the standard title block of the as-staked drawings
showing the signatories of the reviewing and approving authorities.

b. The Contractor shall be responsible for the supervision of the surveying and staking
personnel. Any errors resulting from the operations of the surveying personnel shall
be corrected at Contractor’s expense.

c. At a minimum, the required sheets are as follows:

1. sheet 1 – cover sheet

2. sheet 2 – table of contents
3. sheet 3 – plan and profile (straight-line diagram)
4. sheet 4 – Earthworks Quantity calculations (when applicable)

d. Following are the important drawings for approval as pre-requisite to start of

construction activities:

1. Plan and Profile - The contents of the plan and profile sheets are:

a. Title Block
b. Designed Finished Grade Line (and Revised Finished Grade)
c. Original Ground Line
d. As-staked Ground Line
e. Profile elevations along centerline (Finished Grade, Original Ground and
As-staked ground)
f. Drainage structures (Location and description/size, when included)
g. Control Points (BM/BLLM/GPS and TBMs shown at locations in the
plan and tabulated with elevations)
 2. Shop Drawings of Structures – (when included in the plan) to be shown are:

a. Plan and Elevation Drawings of the structure (with typical section of the
road at the location showing the coordinates: finished grade, ground
section, embankment section, limits of excavation)
b. Invert elevations at inlet/outlet
c. Distance from centerline to ends of barrel of structures
d. Details of the barrel, headwalls and wingwalls (sections and rebars)
e. Station and Description of the structure
f. Title block

II. AS-STAKED QUANTITY CALCULATIONS

As-staked quantity for earthworks will be calculated using end area method. A quantity
sheet will be developed showing the calculations for the quantity of each of the pay
items. A typical quantity sheet can be expanded to include area of clearing/grubbing and
subgrade preparation.

III. REVIEW AND APPROVAL OF AS-STAKED DOCUMENTS

The following process shall be observed on the preparation and when requesting approval of as-
staked documents:

From the effective date of the Contract or at earlier date as maybe agreed with the Construction
Supervision Team (CST), the Contractor shall commence the conduct of joint as-staked
survey and prepare/submit as-staked documents which shall comprise survey data, as-
staked plan and as-staked quantities.

Upon receipt of the as-staked documents, the CST shall conduct random check/verification of
the as-staked plan and quantities together with the Contractor’s Project Engineer and
Survey Team.

After field verification, the CST and Contractor shall meet to discuss verification findings and
CST’s comments on the as-staked documents. Comments shall be transmitted officially
by the Engineer to the Contractor prior to the meeting.

Contractor shall revise the as-staked documents based on the final comments and agreements
during the meeting. If there is a need for follow-up meetings, the PEO Project Engineer
shall set the same and shall ensure that discussions and agreements are properly recorded
through minutes of meeting.

If there are no further comments, the Contractor shall finalize the as-staked documents and
submit it with transmittal letter to the PEO Site Engineer. The PEO Site Engineer then
shall facilitate the signing of the as-staked documents by the PEO Project Engineer and
Provincial Engineer. The entire process also applies to submission of initial as-staked
documents.
Upon approval by the Provincial Engineer of the as-staked documents, the Project Engineer can
issue the appropriate Site Instruction to the contractor to start clearing, grubbing and
other earthwork activities.

Once approved, the signed as-staked documents shall be returned to the Contractor for
reproduction and for distribution to the PEO Project Engineer (one set) and Contractor
(one set) .The original set of signed as-staked documents shall be furnished to Provincial
Engineer’s Office for safekeeping.

During the entire process, all issues/concerns particularly those that would involve possible
design changes and cost adjustments shall be communicated immediately to the
Construction Supervision Team of PEO for appropriate advice.

IV. METHOD OF MEASUREMENT

Providing requirements in accordance with the provisions of this Specification section will be
measured per kilometer of the road project. The quantity for this item shall be measured
per kilometer but to be paid as per schedule in Section VI – Basis of Payment.

V. BASIS OF PAYMENT

Payment shall constitute full compensation for surveying, staking, calculating/processing by any
means and recording data, for furnishing and placing all materials, and for furnishing all
equipment, tools and incidentals necessary to complete the Item.

Payment shall be made as follows:

(a) 50% of the Payment shall be made after the provision of and acceptance of the
Contractors Survey, including all hard copies and digital copies required in the
specified format, and the approved as-staked documents.

(b) The remaining 50% shall be distributed throughout the Contract starting with the
Contractor’s initial interim payment, based on the Contractors progress, or %
completion.

(c) All costs associated with and necessary for compliance with the Specification,
including providing survey equipment, shall be included in the Lump Sum price. No
additional or separate payment will be made in this regard.

(d) The Construction Supervision Team may at any time withhold or reduce the
payments for the Contractor’s setting out of the work and staking if (in the opinion
of the CST) such work is not provided in accordance with requirements of this
Specification section.

Establishment of Lines and Grades prior to commencing Construction

(e) The Contractor shall set construction stakes establishing lines and grades in
accordance with the Drawings and shall secure the approval of the Engineer before
 commencing with construction. The Engineer will, if he deems it necessary, revise
the line and grade and require the Contractor to adjust the stakes accordingly. The
Contractor shall give the Engineer not less than forty-eight hours notice of his
intention to stake out or establish levels for any part of the work in order that
arrangements may be made for checking. The Contractor shall measure the staking
out and the Engineer will check the measurement. The approved measurement will
be the basis of payments.

(f) The surveying and staking shall be performed to obtain close conformance with the
lines, grades and details indicated on the drawings or established by the Engineer.

(g) The Contractor shall be responsible for the supervision of the surveying and staking
personnel. Any errors resulting from the operations of the surveying personnel shall
be corrected at the Contractor’s expense.

Measurement and Payment

(h) Providing requirements in accordance with the provisions of this Specification

section will be measured and paid as per schedule set forth in Section VI – Basis of
Payment.

(i) All costs associated with and necessary for compliance with the Specification,
including providing survey equipment, shall be included in the monthly payment.
No additional or separate payment will be made in this regard.

(j) The Engineer may at any time withhold or reduce the payments for the Contractor’s
setting out of the work and staking if (in the opinion of the Engineer) such work is
not provided in accordance with requirements of this Specification section.

Pay Item Description Unit

B.2 As-stake Survey KM

B.3 PROJECT SAFETY

B.3.1 GENERAL

The Contractor shall, as a priority in all his activities, undertakings and endeavors, ensure the
continued and continuous safety of the public and all persons directly or indirectly associated
with the Works in compliance with the safety, health and environmental laws and regulations
of the Philippine Government.

Due precautions shall be taken by the Contractor, at his own cost, to ensure the safety and
protection against accidents of all staff and labor engaged on the Works, local residents in the
vicinity of the Works, and the public traveling through the Works. The Contractor shall have
in his staff on Site a Safety & Environment Officer or SEO qualified to promote and maintain
safe working practices. This officer shall have authority to prepare the required Construction
Safety and Health Program (CHSP), implement the program, including issuing instructions
and shall take protective measures to prevent accidents, such as but not limited to the
establishment of safe working practices and the training of staff and labor in their
implementation.

The Contractor shall at his own expense provide protective clothing and equipment to all staff
and labor engaged on the Works to the satisfaction of the Engineer. Such clothing and
equipment shall include, at a minimum, protective footwear for workmen undertaking
concrete mixing work, protective footwear and gloves for any workmen performing
bituminous paving works, protective footwear, clothing, cream, gauntlet-type gloves, hats,
safety glasses or goggles and filter masks for workmen undertaking lime stabilization works,
hard hats for workmen engaged in bridge construction, and otherwise as appropriate to the
job at hand and to the Engineer's satisfaction.

The Contractor shall also provide hard hats (white color), reflective safety vests, and safety
shoes for the Engineers and visiting staff. All equipment provided to the Engineers and
visiting staff will remain the property of the Contractor after project handover.

2.1 COMPLIANCE WITH LEGISLATION

a) The Contractor shall comply with all safety, health and environmental legislation
including, without limitation, the Laws and Regulations of the Republic of the Philippines
and the authorities having jurisdiction.

b) The Contractor shall comply with all requirements of the appropriate agencies that govern
irrigation and drainage facilities.

c) The Contractor shall comply with all current environmental laws and regulations, be they
national or local, related to the following, but not limited to:
• noise;
• vibration;
• air pollution;
• water contamination;
• solid waste disposal;
• liquid waste disposal;
• sanitary conditions (water supply, sewerage, etc.);
• protection of the traveling public, etc.,
• and the requirements and stipulations of the General Conditions of Contract.

2.3 SAFETY OF PUBLIC

The Contractor will be responsible for the safety of the public legitimately passing through
the site. All excavations, plant or items of potential danger to the public must be barricaded
and sign-posted to the satisfaction of the Engineer, and the Contractor must provide sufficient
watchmen to ensure the safety of the public at all times. All existing pedestrian routes shall
be maintained in a safe condition unless an alternative route is provided to the satisfaction of
the Engineer.

2.4 AVAILABILITY OF SAFETY-RELATED DOCUMENTS

The Contractor shall comply with the Engineer’s requirements insofar as displaying in each
of the site offices, workshops and canteens a copy of such safety and industry health posters
and keeping on the Site copies of safety and industrial health regulations and documents.

2.5 SAFETY, TRAFFIC CONTROL AND ENVIRONMENTAL PLAN

In addition to the required CHSP, the Contractor through the designated Safety &
Environment Officer (SEO) shall prepare and submit to the Engineer for review and
approval no later than 15 days after Notice to Proceed, a Safety, Traffic Control and
Environmental Plan or STEP, which shall contain, without limitation, the following details:

a) Safety, environmental and traffic control staff organizational structure, which should
identify the personnel to be engaged solely for traffic control, environmental protection
and safety assurance (including the Contractor’s Safety Officer who will be responsible for
all safety on the Site) and the responsibilities of each of the participants

b) Proposed interaction and communication procedures between the Contractor’s

construction personnel and traffic control, environmental protection and safety assurance
staff. In particular, the establishment of a regular communication and reporting system;

c) An undertaking signed by the Contractor’s Representative to the effect that the Contractor
will ensure that safety, industrial health and environmental protection are given highest
priority in all aspects of the Works and in discharging his contractual obligations. The
Contractor’s Representative must also provide the written appointment and authorization
to the person assigned to be the Safety Officer;

d) Frequency, coverage and intent of site safety meetings together with the rational for
attendance;

e) Frequency, coverage and intent of regular site safety reports;

f) Methods of promoting an awareness of site safety, environmental protection and industrial

health amongst all persons directly or indirectly associated with the Works. This shall
include proposals for onsite publicity, on-site training courses for all workmen on the Site
and at all levels of supervision and management, incentive schemes for the promotion of
compliance with safety measures and other similar measures.
g) An Environmental Control and Protection Program which shall cover, but not be limited
to, the following items:

• storage of volatile liquids and toxic materials,

• waste control and management;
• control related to the use of existing roads and bridges by the Contractor’s vehicles and

h) A Traffic Control Plan, which shall cover the means and methods the Contractor intends to
take for proper and adequate control of traffic during the course of the Works. This Plan
shall address requirements under the Specification “Maintenance and Protection of
Traffic” and shall include but not be limited to:

• the traffic control equipment the Contractor proposes to use for the Works;
• traffic control signage including location and sign descriptions;
• how and when the Contractor proposes to use traffic control flag men;
• traffic control means during both working and non-working periods;
• traffic control means and devices for night and off-hour periods.
• traffic control measures for each stage of construction

j) Understanding of and means of ensuring due compliance with the statutory regulations
relating to construction work in the Republic of the Philippines;

k) The powers vested in the Safety, Traffic and Environmental Control staff which would
enable them to take urgent and appropriate and direct action to make safe the Site and
prevent unsafe working practices, undue disruption to the environment, correct improper
or inadequate traffic control measures or other infringements of the Safety, Traffic and
Environmental Control Plan or statutory regulations;

Method by which the Safety, Traffic and Environmental Control Plan procedures and
practices proposed by subcontractors will be reviewed for compliance with the Site Safety
Plan and statutory regulations;

l) A complete listing of all the safety equipment and protective clothing which will be
required for the Works, including the quantity, sourcing, standards of manufacture, storage
provisions and means of ensuring proper utilization by all workmen and staff employed
directly or indirectly by the Contractor. Such equipment shall include, but not be limited
to, reflective safety vests, protective footwear, fire extinguishers, first aid equipment and
hard hats.

m)The frequency of the inspection, testing and maintenance of the safety equipment,
scaffolds, guardrails, ladders and other means of access, lifting, lighting, signing, and
guarding equipment and the standards below which such items will be removed from the
Site and replaced;
n) The means and frequency by which the Safety, Traffic and Environmental Control systems
will be inspected, supervised and audited by the Safety Officer to ensure due compliance
with the principles and objectives of the Safety, Traffic and Environmental Control Plan at
all levels of construction;

o) Records to be prepared and maintained by the Safety Officer and the Safety, Traffic and
Environmental Control staff and communication procedures to be adopted by the Safety
Officer such that the Engineer and others associated with the Works (e.g., Subcontractor)
are kept fully informed on matters relating to site safety and industrial health and
environmental regulations throughout the period of the Contract;

p) Proposals to ensure that construction methods do not compromise the Contractor’s

commitment to the Safety, Traffic and Environmental Control Plan or his compliance with
statutory regulations.

2.6 SAFETY & ENVIRONMENT OFFICER OR SEO

a) The Contractor shall appoint a Safety & Environment Officer whose duties throughout the
period of the Contract shall be entirely connected with the Safety, Traffic and
Environmental Control activities on the Site.

b) The SEO shall be fluent in English and be a suitably qualified and experienced person who
shall supervise and monitor compliance with the Safety, Traffic and Environmental
Control Plan and shall, in particular but without limitation, carry out auditing of the
operation of the CHSP-STEP.

c) The SEO shall be subject to the Engineer’s approval prior to mobilization.

d) The Contractor’s SEO is responsible for ensuring that all safety-related provisions are met.
The Employer shall instruct the Contractor to replace the SEO for continued failure to
make corrective actions even after being reminded by the Engineer. Repeated occurrences
will be the responsibility of the contract’s site manager.

e) The Contractor shall not undertake any works on the Site until the SEO has mobilized to
the Site unless otherwise specifically agreed to in writing by the Engineer.

f) The Contractor shall not remove the SEO from the site without the express written
permission of the Engineer. Within fourteen (14) days of any such removal or notice of
intent of removal, the Contractor shall nominate a replacement SEO for the Engineer’s
approval.
g) The Contractor shall provide the SEO with supporting staff in accordance with the staffing
levels set out in the Safety, Traffic and Environmental Control Plan.

h) The Contractor shall empower the SEO and his staff to instruct employees of the
Contractor or of its Subcontractors to cease operations and take urgent and appropriate
action to make safe the Site and prevent unsafe working practices or other infringements of
the Safety, Traffic and Environmental Control Plan or the statutory regulations.

i) The Contractor shall ensure that the SEO maintains a daily site records, whereas such
records shall comprehensively recorded all relevant matters concerning site safety,
environmental and traffic control, inspections and audits, related incidents and the like.
The site records shall be available at all times for inspection by the Engineer.

j) If in the Engineer’s opinion, the SEO demonstrates his incapacity to undertake the
position, the Engineer will request a replacement. A suitable replacement must be
proposed by the Contractor within 3 days, and if acceptable, mobilized within 14 days of
the request.

2.6.1 Safety Officers Lines of Communication

The Contractor’s Staff Organization Plan shall show direct lines of communication and
reporting between the SEO and the Contractor’s Project Manager and between the SEO
and the Contractor’s Director responsible for the Contract. The Contractor’s managing
director shall instruct and require (in writing) the Project Manager and the SEO to be
directly accountable in all matters concerning site safety, environmental aspects and
proper traffic control.

2.7 SAFETY REPORTS

The Contractor shall submit regular site safety and environmental reports to the Engineer as a
requirement of the CHSP-STEP.

A summary report shall be submitted as part of the Monthly Progress Report. Prior to
submission, the Contractor’s Project Manager shall endorse the Report. Site safety reports
shall comprehensively address all relevant aspects of site safety, environmental and industrial
health regulations and, in particular, report on all site safety and environmental inspections/
audits undertaken during the period covered by the report.

2.8 BREACHES OF CHSP-STEP

Any serious breaches of the CHSP-STEP or the statutory regulations or disregard for the
safety or environmental measures of any persons may be the reason for the Engineer or
Employer to exercise their authority to require the Contractor’s employee, Subcontractor’s
employee, the SEO’s and/ or the Contractor’s Project Manager’s removal from the Site. In
the case where the deficiency or neglect is serious enough to warrant the SEO’s removal, the
Contractor will be instructed to stop work, until an acceptable replacement is mobilized. This
will not be considered as a basis for an extension of time.

2.9 SUB-CONTRACTOR’S SAFETY PLAN

a) The Contractor shall provide his Subcontractors with copies of the CHSP-STEP and shall
incorporate into all sub-contract documentation provisions to ensure the compliance with
such plan at all tiers of the sub-contracting.

b) The Contractor shall, unless the Engineer’s approval in writing is given, require all
subcontractors to appoint a safety representative who shall be available on the Site
throughout the operational period of the respective sub-contract. In the event of the
Engineer’s approval being given, the SEO or safety staff, without prejudice to their other
duties and responsibilities, shall ensure as far as is practically possible, that employees of
subcontractors of all tiers are conversant with appropriate parts of the CHSP-STEP and the
statutory regulations.

2.10 SAFETY MEETINGS

The Contractor shall convene regular safety meetings in accordance with the CHSP-STEP
and shall require attendance by the SEO and safety representatives of Subcontractors unless
otherwise agreed by the Engineer. All safety meetings shall be notified in advance to the
Engineer, who may attend in person or by his representative at his discretion. The minutes of
all safety meetings shall be taken, and recorded in English and sent to the Engineer within
seven (7) days of the meeting.

2.11 SAFETY EQUIPMENT AND CLOTHING

The Contractor shall ensure that safety equipment and protective clothing as described in the
CHSP-STEP are available on the site at all times and that measures for the effective
enforcement of proper utilization and necessary replacement of such equipment and clothing
is incorporated into the CHSP-STEP. The failure of the Contractor to provide the necessary
equipment will be considered as a basis for payment deductions.

2.12 SAFETY INSPECTIONS

The Contractor shall regularly inspect, test and maintain all safety equipment, scaffolds,
guardrails, ladders and other means of access, lifting, lighting, signing and guarding
equipment. Lights and signs shall be kept clear of obstructions and legible to read.
Equipment, which is damaged, dirty, incorrectly positioned or not in working order, shall be
repaired or replaced immediately.
2.13 FIRST AID BASE

The Contractor shall establish, maintain and regularly furnish first aid equipment at all camps
and work sites to the satisfaction of the Engineer. This equipment should be capable of
treating routine, minor construction related injuries such as abrasions or bruises. All serious
injuries should be treated at a local hospital.

2.14 SAFETY INFORMATION AND TRAINING

a) The Contractor shall ensure that safety and industrial health matters are given a high
degree of publicity to all persons regularly or occasionally on the Site.

b) The Contractor shall conduct regular on-site safety training courses. The frequency,
coverage and application of which shall be in accordance with the CHSP-STEP. The
Contractor shall require that all Subcontractors’ employees participate in relevant training
courses appropriate to the nature, scale and duration of the subcontract works.

2.15 PLANT & EQUIPMENT

All Construction Plant and equipment used on or around the Site shall be fitted with
appropriate safety devices.

2.16 QUALIFIED PERSONNEL

The Contractor must ensure that only suitably qualified personnel shall operate all
Construction Plant and equipment used on or around the Site.

2.17 NOTIFICATION OF ACCIDENTS

The Contractor shall notify the Engineer immediately when any accidents occur whether on-
site or off-site in which the Contractor, his personnel or Construction plant, or those of his
Subcontractors are directly or indirectly involved and which result in any injuries to any
persons. Such initial notification may be verbal and shall be followed by a written
comprehensive report, explaining the cause of the accident within 24 hours of the accident.
Prescribed forms and templates by the Government shall be secured and used by the
Contractor in the reporting of accidents or Workplace Incidents, including complying with
procedures on matters related to accident or incident investigation.

2.18 ASSISTANCE TO THE ENGINEER

The Contractor shall provide full co-operation and assistance in all safety, traffic and
environmental control surveillance carried out by the Engineer or the Employer. Any and all
deficiencies noted by the Engineer shall be rectified immediately.
2.19 PAYMENT

Performance Rating (PR)

A Performance Rating for Safety, Traffic and Environmental Management for the period
covered shall be generated based on the daily performance as reflected in the Safety and
Environmental Monitoring Form or SEMF. A compliance performance rating (expressed as
percentage of complied monitoring indicators exhibited) of the contractor will be calculated
based on the submitted SEMF.

Suggested Computation to generate the contractor’s PR:

PR = (Total Number of YES/ Total Number of YES + Total Number of NO) x 100

The performance rating is expressed as percentage based on the contractors daily compliance
or a YES determinations with all the identified safety and environmental impact mitigating
measures (or monitoring indicators) during the monitoring period.

The performance rating scale is established as follows:

Excellent 97-100% Performance Rating

Good > 85% Performance Rating

Poor < 85% Performance Rating

Penalty

The mobilization of SEO onsite and submission of the approved CHSP-STEP will be
required from the contractor during their first billing request. Non-compliance will result to
withholding of the billed amount under Safety, Health and Environment, until the
requirements are met.

The ECM Performance Rating during the monitoring period will be incorporated in the
estimation of billing for the completed work or deliverables by Contractor. The
corresponding monthly Performance Rating (PR) of the project contractors shall be used in
the payment of the Safety, Traffic and Environment billable pay item. The deducted amount
(percentage value between 100% and PR) will be accounted as their recorded & documented
penalty for non-compliance of a particular parameter/s or indicator/s during the monitoring
period. Low or decreasing PR means higher progressing penalty amount for the particular
contractor.

All costs necessary for and associated with maintenance and control of traffic shall be
measured for payment, but shall be paid under Construction Safety and Health Program and
Environmental Monitoring Program.
 Pay Item Description Unit

A.3 Construction Safety & Health Program and Month

Environmental Monitoring

3.0 ENVIRONMENTAL CONTROL AND PROTECTION

3.1 GENERAL

The Contractor shall be solely responsible for the remedy or mitigation measure(s) required
by the environment-related effects of any of his construction or construction-related
activities. In case of an environmental problem, the Contractor shall immediately notify the
Engineer, and provide a proposed course of action to take. Among the situations which may
require such steps are complaints or legal actions by third parties on matters such as
environmental damage to property and natural resources, ground subsidence, interruption of
groundwater flow, and air, surface and groundwater contamination.

a) The Contractor shall obtain all his materials requirements such as sand, coarse aggregate
for concrete works, size stone, lime, soil, earth, sub-grade and sub-base materials from
approved and identified quarry sites with appropriate quarrying and extraction permits
from concerned government agencies like DPWH and DENR.

b) The Contractor shall assure that the provisions/conditions asked of him in the
Environmental Compliance Certificate (ECC) issued by DENR and in the Environmental
Management Plan (EMP) prepared by the Employer, are complied with. See the ECC and
EMP. If required, the requirements of CENRO shall be complied with, for no additional
compensation.

c) The Contractor shall ensure that no trees, shrubs, or waterside vegetation are felled or
harmed except for those required to be cleared for execution of the Works. The Contractor
shall protect trees and vegetation from damage to the satisfaction of the Engineer. No tree
shall be removed without the prior approval of the Engineer and other competent
authorities. Should the Contractor become aware during the period of the Contract that any
tree or trees designated for clearance have cultural or religious significance, he shall
immediately inform the Engineer and await his instructions before proceeding. In the event
that trees or other vegetation not designated for clearance are damaged or destroyed, they
shall be repaired or replaced to the satisfaction of the Engineer, who shall also impose a
penalty to twice the commercial value of any timber affected, as assessed by the Engineer,
and deducted to any payments due to the Contractor.

d) The Contractor shall not use wood as a fuel for the execution of any part of the Works,
 including but not limited to the heating of bitumen and bitumen mixtures and the
manufacture of bricks for use in the Works, and to the extent practicable shall ensure that
fuels other than wood are used for cooking, and water heating in all his camps and living
accommodations.

e) The Contractor shall make his own arrangements at his own expense for water supply for
construction and other purposes. Only clean water free from deleterious materials and of
appropriate quality for its intended use shall be used. In cases where the local water
systems are unable to provide sufficient quantity or quality, the Contractor shall be
responsible for providing additional water as required for no additional compensation. Any
significant water storage facility (i.e., reservoir) shall remain the property of the
counterpart organization after the completion of the works (in reasonably good condition),
unless the LGU requires this to be removed, which will be done so at the Contractor’s
expense. In providing water, the Contractor shall ensure that the rights of and supply to
existing users are not affected either in quality, quantity or timing. In the event of a dispute
over the effect of the Contractor's arrangements on the water supply, the Engineer shall be
informed immediately and shall instruct the Contractor as to appropriate remedial actions
to be undertaken at the Contractor’s expense.

g) The Contractor shall not locate any hot-mix or similar potentially polluting plant closer
than 500 m to any settlement. Any such plant shall be fitted with dust suppression
equipment and shall be operated and maintained at all times in conformity with the
manufacturer's specifications, instructions and manuals.

3.2 PREVENTIVE MEASURES

a) The Contractor shall conform to the environmental laws and other relevant legislation of
the Government of the Philippines.

b) The Contractor shall be responsible for ensuring that no earth, rock or debris is deposited
on public or private right-of-way as a result of his operations, including any deposits
arising from the movement of Construction Plant or vehicles. The Contractor shall provide
a vehicle cleaning facility at the exits from the Site where excavated material is hauled, to
the consent of the Engineer.

c) The Contractor shall at all times ensure that all existing stream courses and drains within,
and adjacent to, the Site are kept safe and free from any debris and any excavated
materials arising from the Works. The Contractor shall ensure that chemicals and concrete
agitator washings are not deposited in the watercourses.

d) All water and waste products arising on the Site shall be collected, removed from the Site
via a suitable and properly designed temporary drainage system and disposed of at a
location and in a manner that will cause neither pollution nor nuisance.
e) The Contractor shall construct, maintain, remove and reinstate as necessary temporary
drainage works and take all other precautions necessary for the avoidance of damage by
flooding and silt washed down from the Works. It shall also provide adequate precautions
to ensure that no spoil or debris of any kind are allowed to be pushed, washed down, fallen
or be deposited on land adjacent to the Site.

e) In the event of any spoil or debris from construction works being deposited on adjacent
land or any silt washed down to any area, then all such spoil, debris or material and silt
shall be immediately removed and the affected land and areas restored to their natural state
by the Contractor to the satisfaction of the Engineer.

3.3 AIR QUALITY CONTROL

a) The Contractor shall not install any furnaces, boilers or other similar plant or equipment
using any fuel that may produce air pollutants without prior written consent of the
Engineer pursuant to the environmental laws and other relevant legislation of the
Government of the Philippines.

b) The Contractor shall not burn debris, wastes or other materials on the Site.

3.4 CONSTRUCTION DUST LEVEL CONTROL

a) The Contractor shall implement dust suppression measures that shall include, but not be
limited to the following:

• Stockpiles of sand and aggregate greater than 20 m 3 for use in concrete manufacture
shall be enclosed on three sides, with walls extending above the pile and two (2) meters
beyond the front of the piles.

• Effective water sprays shall be used during the delivery and handling of all raw sand
and aggregate, and other similar materials, when dust is likely to be created and to
dampen all stored materials during dry and windy weather.

• Areas within the Site where there is a regular movement of vehicles shall have an
acceptable hard surface and be kept clear of loose surface material.

• The provision of adequate dust suppression plant including water trucks with spray
bars.

• The Contractor shall spray all roads within the construction areas of the Site at least
 twice each day, and more if necessary to control dust to the satisfaction of the Engineer.

• The Contractor shall check all equipment and machinery on the Site at least weekly and
make all necessary corrections and or repairs to ensure compliance with safety and air
pollution requirements.

• The Contractor shall ensure that all vehicles are properly cleaned (bodies and tires are
free of sand and mud) prior to leaving the site areas. The Contractor shall provide
necessary cleaning facilities on site and ensure that no water or debris from such
cleaning operations is deposited off-site.

• The Contractor shall ensure that all trucks used for transporting materials to and from
the site are covered with canvas tarpaulins, or other acceptable type cover (which shall
be properly secured) to prevent debris and/or materials from falling from or being
blown off the vehicle(s).

• The Contractor shall provide construction walls in all locations where strong winds
could cause the blowing of dust and debris.

b) Where the Engineer determines that the dust level is unacceptable, the Engineer may direct
the Contractor to take effective remedial measures including, but not limited to, removing
dust sources and modifying working procedures.

c) The Contractor shall inform the Engineer of all steps taken. The Contractor shall submit
written reports and proposals for action to the Engineer whenever the Engineer considers
the dust levels too high.

3.5 WATER POLLUTION CONTROL

a) The Contractor shall comply with the environmental laws and other relevant legislation of
the Government of the Philippines insofar as they relate to water pollution prevention and
control, and monitoring.

b) The Contractor shall take all necessary precautions against pollution or interference with
the supply, or obstruction of the flow of, surface or underground water. These precautions
shall include but not be limited to physical measures such as earth bunds of adequate
capacity around fuel, oil and solvent storage tanks and stores, oil and grease traps in
drainage systems from workshops, vehicle and plant washing facilities and service and
fuelling areas and kitchens, the establishment of sanitary solid and liquid waste disposal
systems, the maintenance in effective condition of these measures, the establishment of
emergency response procedures for pollution events, and dust suppression, all in
accordance with normal good practice and to the satisfaction of the Engineer. Should any
 pollution arise from the Contractor's activities or neglect, he shall clean up the affected
area immediately at his own cost and to the satisfaction of the Engineer, and shall pay full
compensation to any affected parties.

c) The Contractor shall ensure that no tools or machinery are washed in any water source or
areas that shall drain into an existing watercourse, stream or canal.

d) The Contractor shall ensure that rain run-off from the construction sites is not deposited
directly into any watercourse, stream or canal, without making provisions for suspended
solids.

e) The Contractor shall ensure that all temporary construction facilities are located at least 50
meters away from a watercourse, stream or canal.

f) The Contractor shall carry out a weekly check of all equipment for prevention of oil and/or
lubrication leaks and ensure that all equipment oil and lubrication replacements are
performed only in designated maintenance and repair work areas.

g) The Contractor shall ensure that there will be no disposal (intentional or unintentional) of
any type of material or fluids into any watercourses or seawater. This requirement shall
include the installation of protective barriers, if required.

h) The Contractor shall ensure that there will be no disturbance or damage to mangroves,
corals, seaweed and all other marine life as a result of construction or construction-related
activities. This requirement shall include the installation of protective barriers, if required.

i) The Contractor shall ensure that there will be no disturbance or damage to the seabed or
shoreline at or near the construction limit. This requirement shall include the installation of
protective barriers, if required.

j) The Contractor shall ensure that there will be no disturbance to the river flow or tidal flows
at or near the construction limit.

k) The Contractor shall ensure that there will be no disturbance (i.e., removal of moorings,
landing areas, access, etc.) to the local residents’ usage of boats or sea craft. This
requirement shall include the installation of temporary measures to ensure this, if required.

3.6 NOISE AND VIBRATION CONTROL

a) The Contractor’s attention is drawn to the Conditions of Contract and to the environmental
 laws and other relevant legislation of the Government of the Philippines.

b) The Contractor shall consider noise and vibration as an environmental constraint in its
design, planning and execution of the Works. The Contractor shall coordinate with the
local authorities/residents when loud construction activities will commence, at least 1
week before.

c) The Contractor shall, at his own expense, take all appropriate measures to ensure that work
carried out by the Contractor and by his Subcontractors, whether on or off the Site, will not
cause any unnecessary or excessive noise which may disturb local inhabitants.

d) Without prejudice to the generality of the foregoing, noise level reduction measures shall
include the following:

•The Contractor shall ensure that all powered mechanical equipment used in the Works
shall be effectively sound-reduced using the most modern techniques available; and

• The Contractor shall construct acoustic screens or enclosures around any parts of the
Works from which excessive noise may be generated;

• The Contractor shall select equipment with considerations for using equipment with
lowest noise levels and ensure that all equipment is regularly maintained to ensure the
noise level is minimized.

• The Contractor shall ensure that all equipment engines and motors are equipped with
proper mufflers.

e) The Contractor shall submit to the Engineer a noise statement including a full list of all
powered mechanical equipment which it proposes to use during daytime and nighttime
work and any proposed noise level reduction measures. The noise statement shall include
noise safety measures, which consider the use of earmuffs in noisy areas and rotation and/
or working hour limitations for personnel continuously working in areas of high (90
decibel or greater) noise areas. The noise statement shall be submitted at least fourteen
days before the planned start of any work to be undertaken during hours of darkness. No
work shall be carried out during the hours of darkness until the Engineer has notified the
Contractor in writing of his consent based on the noise statement submitted in relation to
such work. Such consent of the Engineer shall not in any event relieve the Contractor of its
obligations under the Contract, nor fetter, limit or restrict the Engineer’s powers to give
instructions in accordance with the Contract.

f) The Contractor shall ensure that noise generated by work carried out by the Contractor and
its Subcontractors during hours of darkness shall not exceed the maximum permissible
 noise limits, which the Engineer considers acceptable, whether continuously or
intermittently. In the event of a breach of this requirement, the Contractor shall
immediately re-deploy or adjust the relevant equipment or take other appropriate measures
to reduce the noise levels and thereafter maintain them at levels that do not exceed the
acceptable limits. Such measures may include, without limitation, the temporary or
permanent cessation of the use of certain items of equipment.

3.7 HAZARDOUS MATERIALS, REFRIGERANTS AND FIRE EXTINGUISHERS

The use of handling storage and disposal of Hazardous Materials, Refrigerants and Fire
Extinguishers shall be in accordance with the “appropriate DENR regulations and other
relevant regulations of the Government of the Philippines”.

3.8 SITE WASTE MANAGEMENT

a) Road Rehabilitation Project

- Construction aggregate, materials and supplies are transported and stored properly.

- Excess construction materials, debris, waste and refuse are stored or disposed of
properly and safely.

- Adequate size of containers provided for type of wastes being handled.

- Construction materials not posing hazard to motorists.
- Designated disposal area or dumpsite is operated onsite.
- Waste recovery/recycle/reuse is practiced onsite.
- Burning of non-biodegradable wastes is avoided or prevented.
- Waste management unit or person is designated to perform onsite.
b) Municipal Port Improvement Subproject

- Construction aggregate, materials and supplies are transported and stored properly.
- Excess construction materials, debris, waste and refuse are stored or disposed of
properly and safely.
- No construction materials or wastes are left floating or submerged at or near
construction area.
- Construction equipment or machines do not pose hazard to boats and sea crafts.
- Designated disposal area or dumpsite is operated onsite.
- Waste recovery/recycle/reuse is practiced onsite.
- Burning of non-biodegradable wastes is avoided or prevented.
- Waste management unit or person is designated to perform onsite.

c) Bridge Rehabilitation Subproject

 - Construction aggregate, materials and supplies are transported and stored properly.
- Excess construction materials, debris, waste and refuse are stored or disposed of
properly and safely.
- Adequate size of containers provided for type of wastes being handled.
- Construction materials not posing hazard to motorists.
- Designated disposal area or dumpsite is operated onsite.
- Waste recovery/recycle/reuse is practiced onsite.
- Burning of non-biodegradable wastes is avoided or prevented.
- Waste management unit or person is designated to perform onsite.

3.9 MINIMIZING CONSTRUCTION IMPACT ON THE LOCAL ROAD SYSTEM

The Contractor shall conduct his construction operations to minimize their impact on the road
systems in and around the areas of construction. Measures to accomplish this requirement
shall include but not be limited to the following:

a) The loading of all trucks used for transporting materials and equipment and shall not
exceed the legal limits as stipulated by the Department of Public Works and Highways.

b) The speed for all trucks used for transporting materials and equipment shall not exceed 60
km/hr on highways.

c) The transportation of materials and equipment shall be in accordance with all relevant
requirements and regulations.

d) The avoidance of loading and transportation of materials and equipment during rush hours
to avoid aggravating conditions on roads in the construction area.

e) The storage of construction materials.

The Contractor shall be responsible for all road damage that may occur from the transporting
of materials and equipment to and from the site. The Contractor shall be responsible for
coordinating with the appropriate authority for implementing all necessary repairs and/or
restorations. The Contractor shall repair any damage to the satisfaction of the Engineer and at
no cost to the Employer.

4.0 MAINTENANCE AND PROTECTION OF TRAFFIC

4.1 GENERAL REQUIREMENTS

a) The Contractor shall keep existing roads open to traffic during the performance of the
Works. The Contractor shall at all times keep roads and footpaths affected by his
operations free from soil and material spillage.
b) The Contractor shall keep the length of the project construction areas in such condition
that traffic will be accommodated safely. Traffic control devices and services shall be
provided and maintained both inside and outside the project limits as needed to facilitate
traffic guidance should this be necessary.

c) The Contractor shall design a traffic control plan, which will be submitted to the Engineer
before the commencement of the works. The plan shall indicate the number, type and
spacing of all traffic control devices, signage etc.

d) Prior to the start of construction operations, the Contractor shall erect such signs,
barricades and other traffic control devices as may be required by the drawings,
specifications or as directed by the Engineer. Traffic control devices shall be operated only
when they are needed and only those that apply to conditions actually in existence.

e) Temporary fences shall be placed to provide a visual barrier between the work area and
adjacent traffic or buildings and at locations directed by the Engineer.

f) Any devices provided under this Clause that are lost, stolen, destroyed or deemed
unacceptable while their use is required on the project shall be replaced by the Contractor
without additional compensation.

g) During non-working hours and following completion of a particular construction

operation, all warning signs, except those necessary for the safety of the public, shall be
removed or entirely covered so that the unnecessary and/ or misleading sign panel will not
be visible.

h) Retro-reflective sheeting on signs, barricades and other devices shall be kept clean. The
Contractor shall promptly correct stretches, rips, and tears in the sheeting. Retro-reflective
sheeting must be used on all devices and shall be properly maintained.

i) Nighttime operations shall be illuminated by a lighting system approved by the Engineer.

The lighting system shall be positioned and operated to preclude glare and annoyance to
the adjacent residents. Incandescent lights will not be permitted.

j) The Contractor shall take necessary care at all times during the execution of the works to
ensure the existing convenience and safety of residents along and adjacent to the road, and
any public highway or port facility that may be affected by the Works. Street lighting shall
be relocated as necessary to maintain the same standard of lighting during the course of the
Works until new lighting facilities are brought into operation.

k) The Contractor should thoroughly acquaint himself with existing traffic conditions and
understand the importance of maintaining traffic safety and the avoidance of excessive
traffic delay. The Contractor shall cooperate with the pertinent agencies regarding traffic
 control and all details will be subject to the Engineer’s approval.

l) The Contractor shall be responsible for investigating and establishing the requirements for
traffic control and safety at the site and shall submit such details in his Safety, Traffic
Control and Environmental Plan as required by the Project Safety Specification.

m)The Contractor’s requirements shall include, but not be limited to, construction of detours,
temporary bridge approach roads, of traffic control devices and services for the control and
protection of traffic through areas of construction. The layout components and method of
traffic control measures shall be indicated on the traffic control plan and be subject to
approval by the Engineer, before the work is allowed to commence.

n) Any failure of the Contractor to meet these requirements will entitle the Engineer to issue
a “stop work” order, which will remain in effect until corrective measures have been made.
Any delay this may cause will not be considered as a basis for additional time.

o) The contractor shall be responsible for the temporary relocation of the existing traffic
signals as required in order to proceed with the Works.

4.2 TEMPORARY ROAD WORKS

a) The Contractor shall furnish, maintain, and remove on completion of the work for which
they are required, all temporary roads and road works such as sleeper tracks and staging
over roads, access and service roads, temporary crossings or bridges over streams or
unstable ground. Such temporary road works shall be constructed to the satisfaction of the
Engineer, but the Contractor shall nevertheless be responsible for any damage done to or
caused by such temporary road works.

b) Before constructing temporary road works, the Contractor shall make all necessary
arrangements, including payment if required, with the public authorities or landowners
concerned, for the use of the land for which he shall obtain the approval of the Engineer.
Such approval will be dependent on the Engineer being satisfied with the Contractor’s
proposals for items such as signing, lighting and riding quality of the temporary road
together with the proposed maintenance arrangements. Such approval will not, however,
relieve the Contractor of his responsibilities under the Contract. Upon completion of the
works, the Contractor shall clean up and restore the land to the satisfaction of the
Engineer.

c) The Contractor shall submit for the Engineer’s approval drawings giving full details of
temporary roads. Such details shall include alignment, profile, pavement construction,
signing, lighting and the proposed duration of the temporary road.
d) The Contractor shall make all arrangements necessary to permit the passage along the road
section relating to this Contract of the Constructional Plant, materials and employees
belonging to the Contractor.

e) The temporary roads must be continuously maintained by the Contractor for the full
duration of the Contract.

4.3 TEMPORARY TRAFFIC RAMPS

In cases where it is necessary or required by the Engineer, the Contractor shall construct
and maintain temporary traffic ramps, and furnish all the required labor and materials.

4.4 TRAFFIC CONTROL

a) In order to facilitate traffic through or around the Works, or wherever ordered by the
Engineer, the Contractor shall erect and maintain at prescribed points on the work and at
the approaches to the work, traffic signs, barricades, cones and other facilities as necessary
or required by the Engineer for the proper direction and control of traffic.

b) As necessary for proper control of traffic or when/where directed by the Engineer, the
Contractor shall furnish and station competent flagmen whose sole duties shall consist of
directing the movement of traffic through or around the work. The flagman must be
provided with the necessary safety equipment such as reflective safety vest, proper
flagging, etc.

c) The Contractor shall furnish and erect, within or in the vicinity of the project area, such
warning and guide signs as may be necessary or ordered by the Engineer.

d) In order to minimize disruption to traffic flows, the Contractor shall enclose the Site with
temporary fences to provide a visual barrier between his work and adjacent traffic.

4.5 PAYMENT

Refer to item 2.19.

B.4 MONTHLY PROGRESS REPORTS AND SCHEDULE OF WORKS

B.4.1 DESCRIPTION

Before the seventh calendar day of each month, the Contractor shall submit to the Engineer
the Monthly Progress Report, which shall account for all work performed up to and including
the last day of the preceding month. Each progress report shall include a narrative describing:

a) The activities that have been completed with their actual start and completion dates;

b) The activities on which work is currently in progress and the number of working days
required to complete each activity;

c) The current and anticipated delaying factors, their effect on the construction schedule, and
proposed corrective actions and

d) Any work reported completed, but which is not readily apparent to the Engineer, shall be
substantiated with satisfactory evidence.

B.4.2 REPORT CATEGORIES

In addition to a narrative as described above, the Monthly Report shall include information
and data as detailed below for each of the noted categories. The Engineer may at any time
require the Contractor to include other categories or additional information in each category
if, in the opinion of the Engineer, they are necessary to track the progress and/or requirements
of the Works.

B.4.2.1 Shop & Working Drawing Status Report

The Contractor shall with each Monthly Report submit in tabular format a shop
drawing status report, noting the status of all Shop and Working drawings (if required)
as of the date of the report.

B.4.2.2.Schedule of Payment Summary

The Contractor shall, with each Monthly Report, submit in tabular format a summary
of payments as of the date of the report. The schedule of payment summary shall note
the originally projected payments in accordance with the Schedule of Payment
Forecast and the payments to the date of the report.

In addition, the Contractor shall also submit a schedule of past and projected payments
in a graphical format (S curve).
B.4.2.3 Project Photographs

The Contractor shall, with each Monthly Report, submit project photographs in
accordance with the requirements of the Construction Photographs Specification,
including the digital files.

B.4.2.4 Equipment and Materials Delivery Forecasts

The Contractor shall, with each Monthly Report, submit updated Equipment and
Materials Delivery Forecasts.

B.4.2.5 Up-Dated Schedule Of Works

A Computerized copy of the Schedule of Works, with all activities up-dated to the end
of the proceeding month before the Monthly Report is due, shall be submitted with
each Monthly Report.

B.4.2.6 Quality Control Summary

The Monthly Report shall include a Quality Control summary report prepared by the
Contractor’s Quality Control Engineer giving a summary of Quality Control activities
for the reporting period. The report shall address quality control problems and
outstanding deficiencies. In addition, the report shall include a summary of all quality
control tests, and test results during the report period.

B.4.2.7 Safety Summary

The Monthly Report shall include a Safety Summary report prepared by the
Contractor’s Safety Officer giving a summary of safety related activities for the
reporting period. The report shall address safety, traffic control and environmental
problems and restraints and any accident, whether minor or major, occurring during
the report period.

B.4.2.8 Equipment Report

a) With each Monthly Report the Contractor shall present, in tabular format, an on-
site equipment listing noting all the Contractor’s, Subcontractor’s and supplier’s
equipment on site since the commencement of work including the equipment
projected to be needed up to the end of the report period.
 b) The tabulation shall identify the type of equipment, the equipment make and
model, as well as the capacity of the equipment (if applicable) and note the date the
equipment arrived on site and the date the equipment left the site. In addition the
listing shall note if the equipment is in operation or not operating. For any
equipment not in operation during the report period, the Contractor shall note the
period when the equipment was not in operation and the reason why.

B.4.2.9 Work Force Tabulation

With each Monthly Report the Contractor shall present, in tabular format, a listing of
all Contractor’s, Subcontractor’s and suppliers senior personnel on site during the
report period. The listing shall include the names of all senior personnel, their
company affiliation and their position.

B.4.2.10 Report Formatting

The monthly report shall:

 Be Prepared in A4 size paper

 Be ring bound with a clear acetate or plastic cover

• Have a clearly identifiable cover page indicating the Project title, the Construction
Company and the period covered.

• Be written in 12 point font

• Include Drawings on

• Have all photos printed in color

B.4.2.11 Description

The Schedule of Works, or Construction Schedule, shall incorporate all activities that will
affect the Works from commencement to completion including, but not limited to:

a) the Contractor’s mobilization and demobilization;

b) all site investigation activities;

c) all surveying and laying out ;

d) all key and milestone dates;

e) all interface dates between the Contractor, any interfacing contractors and sub-contractors
for the Works;

f) all Quality Control inspection and testing requirements;

g) all Submittal, Working Drawing and Shop Drawing preparation;

h) all Submittal time for review by the Engineer;

i) all activities associated with the procurement, purchase, fabrication and shipment of goods,
materials, and equipment to be incorporated into the Works;

j) all construction activities for each phase and section of the Works, including testing and
commissioning and defects and deficiencies work;

k) all activities (including required testing) associated with the approval of materials and
equipment to be incorporated in the Works;

l) all public and site holidays; and

m)such other activities that the Engineer may require to be monitored.

B.4.3 SCHEDULE OF WORKS SUBMISSION AND NARRATIVE STATEMENT

B.4.3.1 The Schedule of Works

a) No later than 15 (fifteen) days after issuance of the Notice to proceed the Contractor
shall submit his proposed schedule of works to the Engineer for review and
approval. This Schedule of Works shall be in the form and content prescribed
herein. Unless the Engineer approves a revised Schedule of Works this shall remain
the Schedule of Works for all purposes during the Contract Period.

b) The Contractor’s schedule shall include a narrative statement and a logic breakdown
of major activities with durations, start and end dates.

B.4.3.2 Narrative Statement

The narrative statement shall be a comprehensive statement of the Contractor’s plan

and approach for the execution of the Works and the achievement of milestones or Key
Dates and any intermediate dates. It shall incorporate outline method statements in
respect of major items of work including design and construction sequences and
primary items of Plant, temporary works and the like. It shall fully describe and
 explain the reasons for the main logic links in the schedule and include particulars of
how activity durations are established.

B.4.3.2.1 SCHEDULE REQUIREMENTS

a) The detail and number of activities incorporated in the Contractor’s Schedule of Works
shall be sufficient to manage the total works and identify restraints, delays and effects on
the Works by dependent activities. The schedule shall show activity durations, activity
descriptions, early and late start and finish dates, and activity float and activity
dependencies. The schedule shall incorporate the Critical Path Method (CPM) of
scheduling, with all activities tied to one start and one end date. The schedule shall be in
the form of a computer implemented and modified CPM.

b) The schedule shall be cost loaded and indicate the projected S-Curve. This shall be
indicated on the monthly reports with the actual S-Curve superimposed, along with the
actual % complete for all the major work activities.

c) All activities shall be cost loaded (as appropriate) with schedule costs equating to the
Contractor’s Schedule of Payment Forecast, so that the total Contract Sum of the Works is
reflected on the schedule. All activities shall be resource loaded (as appropriate),
indicating all manpower and/or equipment necessary to accomplish the activity within the
given time duration.

d) All activities shall be organized in a logical work breakdown structure, indicating work
stages and phases, and shall clearly indicate critical path(s) of each facility and/or segment
of the Works.

e) All activity descriptions shall be unique, each describing discrete elements of work.

f) Any activity having or creating an imposed constraint shall be fully described and defined
by the Contractor in an attached summary to the schedule.

g) All activities shall have an activity identification number related to the work breakdown
structure as well as a unique description, with duration expressed in calendar days.

B.4.4 SUBMITTAL OF UPDATED SCHEDULES AND ACTIVITY REPORTS

On a monthly basis all activities of the approved Schedule of Works shall be updated to
reflect the actual work accomplished to the end of the month and submitted to the Engineer.
In addition, an activity report, generated by the schedule computer program, shall also be
submitted. The Activity Report shall include the following information and data for each
activity:

h) activity identification number and description;

i) activity duration expressed in calendar days;

j) early and late start and finish dates for each activity, as well as planned start and finish
dates;

k) calculated total and free float for each activity;

l) predecessors(s) and successor(s), accompanying relationships and lag/lead duration(s) for

each activity;

m)imposed time or date constraints on each activity;

n) an activity calendar;

o) critical path delay; and

p) all activities that have a negative float shall be identified and analyzed to identify the
impact on the timely completion of the Works.

B.4.5 REVISIONS TO APPROVED SCHEDULE OF WORKS

After approval by the Engineer, the Schedule of Works will not be revised without either the
request or approval of the Engineer.

B.4.6 SCHEDULING PERSONNEL

The Contractor shall submit, as part of his Staff Organization Plan, the name and resume of
his Scheduler, who shall hold reputable professional qualifications acceptable to the Engineer
including at least three (3) years relevant experience in the scheduling of civil engineering
works. The Scheduler shall be employed by the Contractor full time on the Contract until
completion of the Works or such earlier time as accepted by the Engineer.

B.4.7 WORK NOT COMPLETED BY LATEST SCHEDULED COMPLETION DATE

If at any time during the Project execution, any activity is not completed by its latest
scheduled completion date, the Engineer shall be notified within 7 days of the Contractor’s
plans to re-organize the work force to recover the lost time and prevent delays on any other
activity.
B.4.8 MEASUREMENT AND PAYMENT

The preparation and supply of the Contractor’s monthly progress report in accordance with
the provisions of this Specification section shall not be measured for payment but paid
monthly.

Pay Item Description Unit

B.4 Monthly Progress Reports and Schedule of mo.

Works

Note: Provide Quality Control program for all the materials needed to be in placed.

PART C – EARTHWORK

ITEM 103 – STRUCTURE EXCAVATION

103.1 Description

This Item shall consist of the necessary excavation for foundation of bridges, culverts,
underdrains, and other structures not otherwise provided for in the Specifications.
Except as otherwise provided for pipe culverts, the backfilling of completed structures
and the disposal of all excavated surplus materials, shall be in accordance with these
Specifications and in reasonably close conformity with the Plans or as established by
the Engineer.

This Item shall include necessary diverting of live streams, bailing, pumping,
draining, sheeting, bracing, and the necessary construction of cribs and cofferdams,
and furnishing the materials therefore, and the subsequent removal of cribs and
cofferdams and the placing of all necessary backfill.

It shall also include the furnishing and placing of approved foundation fill material to
replace unsuitable material encountered below the foundation elevation of structures.

No allowance will be made for classification of different types of material

encountered.

103.2 Construction Requirements

103.2.1 Clearing and Grubbing

Prior to starting excavation operations in any area, all necessary clearing and grubbing
in that area shall have been performed in accordance with Item 100, Clearing and
Grubbing.
103.2.2 Excavation

(1) General, all structures. The Contractor shall notify the Engineer sufficiently
in advance of the beginning of any excavation so that cross-sectional
elevations and measurements may be taken on the undisturbed ground. The
natural ground adjacent to the structure shall not be disturbed without
permission of the Engineer.

Trenches or foundation pits for structures or structure footings shall be

excavated to the lines and grades or elevations shown on the Plans or as staked
by the Engineer. They shall be of sufficient size to permit the placing of
structures or structure footings of the full width and length shown. The
elevations of the bottoms of footings, as shown on the Plans, shall be
considered as approximate only and the Engineer may order, in writing, such
changes in dimensions or elevations of footings as may be deemed necessary,
to secure a satisfactory foundation.

Boulders, logs, and other objectionable materials encountered in excavation

shall be removed.

After each excavation is completed, the Contractor shall notify the Engineer
to that effect and no footing, bedding material or pipe culvert shall be placed
until the Engineer has approved the depth of excavation and the character of
the foundation material.

(2) Structures other than pipe culverts. All rock or other hard foundation
materials shall be cleaned all loose materials, and cut to a firm surface, either
level, stepped, or serrated as directed by the Engineer. All seams or crevices
shall be cleaned and grouted. All loose and disintegrated rocks and thin strata
shall be removed. When the footing is to rest on material other than rock,
excavation to final grade shall not be made until just before the footing is to be
placed. When the foundation material is soft or mucky or otherwise
unsuitable, as determined by the Engineer, the Contractor shall remove the
unsuitable material and backfill with approved granular material. This
foundation fill shall be placed and compacted in 150 mm (6 inches) layers up
to the foundation elevation.

When foundation piles are used, the excavation of each pit shall be completed
before the piles are driven and any placing of foundation fill shall be done
after the piles are driven. After the driving is completed, all loose and
displaced materials shall be removed, leaving a smooth, solid bed to receive
the footing.

(3) Pipe Culverts. The width of the pipe trench shall be sufficient to permit
satisfactory jointing of the pipe and thorough tamping of the bedding material
under and around the pipe.

Where rock, hardpan, or other unyielding material is encountered, it shall be

removed below the foundation grade for a depth of at least 300 mm or 4 mm
 for each 100 mm of fill over the top of pipe, whichever is greater, but not to
exceed three-quarters of the vertical inside diameter of the pipe. The width of
the excavation shall be at least 300 mm (12 inches) greater than the horizontal
outside diameter of the pipe. The excavation below grade shall be backfilled
with selected fine compressible material, such as silty clay or loam, and lightly
compacted in layers not over 150 mm (6 inches) in uncompacted depth to
form a uniform but yielding foundation.

Where a firm foundation is not encountered at the grade established, due to

soft, spongy, or other unstable soil, such unstable soil under the pipe and for a
width of at least one diameter on each side of the pipe shall be removed to the
depth directed by the Engineer and replaced with approved granular
foundation fill material properly compacted to provide adequate support for
the pipe, unless other special construction methods are called for on the Plans.

The foundation surface shall provide a firm foundation of uniform density

throughout the length of the culvert and, if directed by the Engineer, shall be
cambered in the direction parallel to the pipe centerline.

Where pipe culverts are to be placed in trenches excavated in embankments,

the excavation of each trench shall be performed after the embankment has
been constructed to a plane parallel to the proposed profile grade and to such
height above the bottom of the pipe as shown on the Plans or directed by the
Engineer.

103.2.3 Utilization of Excavated Materials

All excavated materials, so far as suitable, shall be utilized as backfill or

embankment. The surplus materials shall be disposed off in such manner as
not to obstruct the stream or otherwise impair the efficiency or appearance of
the structure. No excavated materials shall be deposited at any time so as to
endanger the partly finished structure.

103.2.4 Cofferdams

Suitable and practically watertight cofferdams shall be used wherever water-

bearing strata are encountered above the elevation of the bottom of the
excavation. If requested, the Contractor shall submit drawings showing his
proposed method of cofferdam construction, as directed by the Engineer.

Cofferdams or cribs for foundation construction shall in general, be carried

well below the bottoms of the footings and shall be well braced and as nearly
watertight as practicable. In general, the interior dimensions of cofferdams
shall be such as to give sufficient clearance for the construction of forms and
the inspection of their exteriors, and to permit pumping outside of the forms.
Cofferdams or cribs which are tilted or moved laterally during the process of
sinking shall be righted or enlarged so as to provide the necessary clearance.
 When conditions are encountered which, as determined by the Engineer,
render it impracticable to dewater the foundation before placing the footing,
the Engineer may require the construction of a concrete foundation seal of
such dimensions as he may consider necessary, and of such thickness as to
resist any possible uplift. The concrete for such seal shall be placed as shown
on the Plans or directed by the Engineer. The foundation shall then be
dewatered and the footing placed. When weighted cribs are employed and
the mass is utilized to overcome partially the hydrostatic pressure acting
against the bottom of the foundation seal, special anchorage such as dowels or
keys shall be provided to transfer the entire mass of the crib to the foundation
seal. When a foundation seal is placed under water, the cofferdams shall be
vented or ported at low water level as directed.

Cofferdams shall be constructed so as to protect green concrete against

damage from sudden rising of the stream and to prevent damage to the
foundation by erosion. No timber or bracing shall be left in cofferdams or
cribs in such a way as to extend into substructure masonry, without written
permission from the Engineer.

Any pumping that may be permitted from the interior of any foundation
enclosure shall be done in such a manner as to preclude the possibility of any
portion of the concrete material being carried away. Any pumping required
during the placing of concrete, or for a period of at least 24 hours thereafter,
shall be done from a suitable sump located outside the concrete forms.
Pumping to dewater a sealed cofferdam shall not commence until the seal has
set sufficiently to withstand the hydrostatic pressure.

Unless otherwise provided, cofferdams or cribs, with all sheeting and bracing
involved therewith, shall be removed by the Contractor after the completion of
the substructure. Removal shall be effected in such manner as not to disturb
or mar finished masonry.

103.2.5 Preservation of Channel

Unless otherwise permitted, no excavation shall be made outside of caissons,

cribs, cofferdams, or sheet piling, and the natural stream bed adjacent to
structure shall not be disturbed without permission from the Engineer. If any
excavation or dredging is made at the side of the structure before caissons,
cribs, or cofferdams are sunk in place, the Contractor shall, after the
foundation base is in place, backfill all such excavations to the original ground
surface or stream bed with material satisfactory to the Engineer.

103.2.6 Backfill and Embankment for Structures Other Than Pipe Culverts

Excavated areas around structures shall be backfilled with free draining

granular material approved by the Engineer and placed in horizontal layers not
over 150 mm (6 inches) in thickness, to the level of the original ground
surface. Each layer shall be moistened or dried as required and thoroughly
compacted with mechanical tampers.
 In placing backfills or embankment, the material shall be placed
simultaneously in so far as possible to approximately the same elevation on
both sides of an abutment, pier, or wall. If conditions require placing backfill
or embankment appreciably higher on one side than on the opposite side, the
additional material on the higher side shall not be placed until the masonry has
been in place for 14 days, or until tests made by the laboratory under the
supervision of the Engineer establishes that the masonry has attained sufficient
strength to withstand any pressure created by the methods used and materials
placed without damage or strain beyond a safe factor.

Backfill or embankment shall not be placed behind the walls of concrete

culverts or abutments or rigid frame structures until the top slab is placed and
cured. Backfill and embankment behind abutments held at the top by the
superstructure, and behind the sidewalls of culverts, shall be carried up
simultaneously behind opposite abutments or sidewalls.

All embankments adjacent to structures shall be constructed in horizontal

layers and compacted as prescribed in Subsection 104.3.3 except that
mechanical tampers may be used for the required compaction. Special care
shall be taken to prevent any wedging action against the structure and slopes
bounding or within the areas to be filled shall be benched or serrated to
prevent wedge action. The placing of embankment and the benching of
slopes shall continue in such a manner that at all times there will be horizontal
berm of thoroughly compacted material for a distance at least equal to the
height of the abutment or wall to the backfilled against except insofar as
undisturbed material obtrudes upon the area.

Broken rock or coarse sand and gravel shall be provided for a drainage filter at
weepholes as shown on the Plans.

103.2.7 Bedding, Backfill, and Embankment for Pipe Culverts

Bedding, Backfill and Embankment for pipe culverts shall be done in

accordance with Item 500, Pipe Culverts and Storm Drains.

103.3 Method of Measurement

103.3.1 Structure Excavation

The volume of excavation to be paid for will be the number of cubic metres
measured in original position of material acceptably excavated in conformity
with the Plans or as directed by the Engineer, but in no case, except as noted,
will any of the following volumes be included in the measurement for
payment:

(1) The volume outside of vertical planes 450 mm (18 inches) outside of and
parallel to the neat lines of footings and the inside walls of pipe and pipe-arch
culverts at their widest horizontal dimensions.

(2) The volume of excavation for culvert and sections outside the vertical plane
for culverts stipulated in (1) above.
(3) The volume outside of neat lines of underdrains as shown on the Plans, and
outside the limits of foundation fill as ordered by the Engineer.

(4) The volume included within the staked limits of the roadway excavation,
contiguous channel changes, ditches, etc., for which payment is otherwise
provided in the Specification.

(5) Volume of water or other liquid resulting from construction operations and
which can be pumped or drained away.

(6) The volume of any excavation performed prior to the taking of elevations and
measurements of the undisturbed ground.

(7) the volume of any material rehandled, except that where the Plans indicate or
the Engineer directs the excavation after embankment has been placed and
except that when installation of pipe culverts by the imperfect trench method
specified in Item 500 is required, the volume of material re-excavated as
directed will be included.

(8) The volume of excavation for footings ordered at a depth more than 1.5 m (60
inches) below the lowest elevation for such footings shown on the original
Contract Plans, unless the Bill of Quantities contains a pay item for excavation
ordered below the elevations shown on the Plans for individual footings.

103.3.2 Bridge Excavation

The volume of excavation, designated on the Plans or in the Special

Provisions as “Bridge Excavation” will be measured as described below and
will be kept separate for pay purposes from the excavation for all structures.

The volume of bridge excavation to be paid shall be the vertical 450 mm (18
inches) outside of and parallel to the neat lines of the footing. The vertical
planes shall constitute the vertical faces of the volume for pay quantities
regardless of excavation inside or outside of these planes.

103.3.3 Foundation Fill

The volume of foundation fill to be paid for will be the number of cubic
metres measures in final position of the special granular material actually
provided and placed below the foundation elevation of structures as specified,
complete in place and accepted.

103.3.4 Shoring, Cribbing, and Related Work

Shoring, cribbing and related work whenever included as a pay item in Bill of
Quantities will be paid for at the lump sum bid price. This work shall include
furnishing, constructing, maintaining, and removing any and all shoring,
cribbing, cofferdams, caissons, bracing, sheeting water control, and other
operations necessary for the acceptable completion of excavation included in
 the work of this Section, to a depth of 1.5 m below the lowest elevation
shown on the Plans for each separable foundation structure.

103.3.5 Basis of Payment

The accepted quantities, measured as prescribed in Section 103.3, shall be paid

for at the contract unit price for each of the particular pay items listed below
that is included in the Bill of Quantities. The payment shall constitute full
compensation for the removal and disposal of excavated materials including
all labor, equipment, tools and incidentals necessary to complete the work
prescribed in this Item, except as follows:

(1) Any excavation for footings ordered at a depth more than 1.5 m below the
lowest elevation shown on the original Contract Plans will be paid for as
provided in Part K, Measurement and Payment, unless a pay item for
excavation ordered below Plan elevation appears in the Bill of Quantities.

(2) Concrete will be measured and paid for as provided under Item 405, Structural
Concrete.

(3) Any roadway or borrow excavation required in excess of the quantity

excavated for structures will be measured and paid for as provided under Item
102.

(4) Shoring, cribbing, and related work required for excavation ordered more than
1.5 m (60 inches ) below Plan elevation will be paid for in accordance with
Part K.

Payment will be made under:

Pay Item Number Description Unit of Measurement

103 (1) Structure Excavation Cubic Meter

103 (2) Bridge Excavation Cubic Meter

103 (3) Foundation Fill Cubic Meter

103 (4) Excavation ordered below Cubic Meter

Plan elevation

103 (5) Shoring, cribbing, and

related work
Lump sum

103 (6) Pipe culverts and drain Cubic Meter

excavation
PART G – DRAINAGE AND SLOPE PROTECTION STRUCTURES

ITEM 500 – PIPE CULVERTS AND STORM DRAINS

Description

This item shall consist of the construction or reconstruction of pipe culverts and storm
drains, hereinafter referred to as “conduit” in accordance with this Specification and
in conformity with the lines and grades shown on the Plans or as established by the
Engineer.

Material Requirements

Material shall meet the requirements specified in the following specifications:

Zinc coated (galvanized) corrugated iron or steel

culverts and underdrains AASHTO M 36

Cast iron culvert pipe AASHTO M 64

Concrete sewer, storm drain and culvert pipe AASHTO M 86

Reinforced concrete culvert, storm drain and AASHTO M 170

sewer pipe

Bituminous coated corrugated metal culvert pipe AASHTO M 190

and pipe arches

Reinforced concrete arch culvert, storm drain AASHTO M 206

and sewer pipe

 Reinforced concrete elliptical culvert, storm drain AASHTO M 207

and sewer pipe

Asbestos cement pipe for culverts and storm drains AASHTO M 217

Joint Mortar – Joint mortar for concrete pipes shall consist of 1 part, by
volume of Portland Cement and two (2) parts of approved sand with water as
necessary to obtain the required consistency.

Portland Cement and sand shall conform to the requirements of Item 405,
Structural Concrete. Mortar shall be used within 30 minutes after its
preparation.

Rubber gaskets AASHTO M 198

Oakum – Oakum for joints in bell and spigot pipes shall be made from hemp
(Cannavis Sativa) line or Benares Sunn fiber or from a combination of these
fibers. The oakum shall be thoroughly corded and finished and practically free
from lumps, dirt and extraneous matter.

Hot poured joint sealing AASHTO M 173

compound

Bedding material shall conform to the requirements of Subsection 500.3.2,

Bedding.

Backfill material shall conform to the requirements of Subsection 500.3.6,

Backfilling.

When the location of manufacturing plants allow, the plants will be inspected
periodically for compliance with specified manufacturing methods, and
material samples will be obtained for laboratory testing for compliance with
materials quality requirements. This shall be the basis for acceptance of
manufacturing lots as to quality.

Prior to and during incorporation of materials in the work, these materials will
be subjected to the latest inspection and approval of the Engineer.
Construction Requirements

Trenches Excavation

Trenches shall be excavated in accordance with the requirement of Item 103,

Structure Excavation, to a width sufficient to allow for proper jointing of the
conduit and thorough compaction of the bedding and backfill materials under
and around the conduit. Where feasible, trench wall shall be vertical.

The completed trench bottom shall be firm for its full length and width. Where
required, in the case of crop drains, the trench shall have a longitudinal camber
of the magnitude specified.

When so specified on the Plans, the excavation for conduits placed in embankment
fill, shall be made after the embankment has been completed to the specified
or directed height above the designed grade of the conduit.

Bedding

The bedding shall conform to one of the classes specified. When no bedding class is
specified, the requirements for Class C bedding shall apply.

Class A bedding shall consist of a continuous concrete cradle conforming to the plan
details.

Class B bedding shall consist of bedding the conduit to a depth of not less than 30
percent of the vertical outside diameter of the conduit. The minimum thickness
of bedding material beneath the pipe shall be 100 mm. The bedding material
shall be sand or selected sandy soil all of which passes a 9.5 mm sieve and not
more than 10 percent of which passes a 0.075 mm sieve. The layer of the
bedding material shall be shaped to fit the conduit for at least 15 percent of its
total height. Recesses in the trench bottom shall be shaped to accommodate
the bell when bell and spigot type conduit is used.

Class C bedding shall consist of bedding the conduit to a depth of not less than 10
percent of its total height. The foundation surface, completed in accordance
with Item 103, Structure Excavation, shall be shaped to fit the conduit and
shall have recesses shaped to receive the bells, if any.

For flexible pipe, the bed shall be roughly shaped and a bedding blanket of
sand or fine granular material as specified above shall be provided as follows:

Pipe Corrugation Depth Minimum Bedding Depth

10 mm 25 mm

25 mm 50 mm

50 mm 75 mm
For large diameter structural plate pipes the shaped bed need not exceed the width of
bottom plate.

Laying Conduit

The conduit laying shall begin at the downstream end of the conduit line. The lower
segment of the conduit shall be in contact with the shaped bedding throughout
its full length. Bell or groove ends of rigid conduits and outside
circumferential laps of flexible conduits shall be placed facing upstream.
Flexible conduit shall be placed with longitudinal laps or seams at the sides.

Paved or partially-lined conduit shall be laid such that the longitudinal center line of
the paved segment coincides with the flow line. Elliptical and elliptically
reinforced conduits shall be placed with the major axis within 5 degrees of a
vertical plane through the longitudinal axis of the conduit.

Jointing Conduit

Rigid conduits may either be of bell and spigot or tongue and groove design unless
another type is specified. The method of joining conduit sections shall be such
that the ends are fully entered and the inner surfaces are reasonably flush and
even.

Joints shall be made with (a) Portland Cement mortar, (b) Portland Cement grout, (c)
rubber gaskets, (d) oakum and mortar, (e) oakum and joint compound, (f)
plastic sealing compound, or by a combination of these types, or any other
type, as may be specified. Mortar joints shall be made with an excess of
mortar to form a continuous bead around the outside of the conduit and
finished smooth on the inside. For grouted joints, molds or runners shall be
used to retain the poured grout. Rubber ring gaskets shall be installed so as to
form a flexible water-tight seal. Where oakum is used, the joint shall be called
with this material and then sealed with the specified material.

When Portland Cement mixtures are used, the completed joints shall be protected
against rapid drying by any suitable covering material.

Flexible conduits shall be firmly joined by coupling bands.

Conduits shall be inspected before any backfill is placed. Any pipe found to be out of
alignment, unduly settled, or damaged shall be taken up and relaid or replaced.

Field Strutting

When required by the Plans, vertical diameter of round flexible conduit shall be
increased 5 percent by shop elongation or by means of jacks applied after the
entire line of conduit has been installed on the bending but before backfilling.
The vertical elongation shall be maintained by means of sills and struts or by
horizontal ties shall be used on paved invert pipe.
Ties and struts shall be 300 mm in place until the embankment is completed and
compacted, unless otherwise shown on the Plans.

These construction specifications shall also apply in the case of relaid conduits. In
addition, all conduits salvaged for relaying shall be cleaned of all foreign
materials prior to reinstallation.

Backfilling

Materials for backfilling on each side of the conduit for the full trench width and to an
elevation of 300 mm above the top of the conduit shall be fine, readily
compactible soil or granular material selected from excavation or from a
source of the Contractor’s choice, and shall not contain stones that would be
retained on a 50 mm sieve, chunks of highly plastic clay, or other
objectionable material. Granular backfill material shall have not less than 95
percent passing a 12.5 mm sieve and not less than 95 percent retained on a
4.75 mm sieve. Oversized material, if present, shall be removed at the source
of the material, except as directed by the Engineer.

When the top of the conduit is flushed with or below the top of the trench, backfill
material shall be placed at or near optimum moisture content and compacted in
layers not exceeding 150 mm (compacted) on both sides to an elevation 300
mm above the top of the conduit. Care shall be exercised to thoroughly
compact the backfill under the haunches of the conduit. The backfill shall be
brought up evenly on both sides of the conduit for the full required length.
Except where negative projecting embankment-type installation is specified,
the backfill material shall be placed and compacted for the full depth of the
trench.

When the top of the conduit is above the top of the trench, backfill shall be placed at
or near optimum moisture content and compacted in layers not exceeding 300
mm (compacted) and shall be brought up evenly on both sides of the conduit
for its full length to an elevation 300 mm above the top of the conduit. The
width of the backfill on each side of the conduit for the portion above the top
of the trench shall be equal to twice the diameter of the conduit or 3.5 m,
whichever is less. The backfill material used in the trench section and the
portion above the top of the trench for a distance on each side of the conduit
equal to the horizontal inside diameter and to 300 mm above the top of the
conduit shall conform to the requirements for backfill materials in this
Subsection. The remainder of the backfill shall consist of materials from
excavation and borrow that is suitable for embankment construction.

Compaction to the density specified in Item 104, Embankment, shall be achieved by

use of mechanical tampers or by rolling.

All conduits after being bedded and backfill as specified in this Subsection shall be
protected by one metre cover of fill before heavy equipment is permitted to
cross during construction of the roadway.

500.3.7 Imperfect Trench

Under this method, for rigid conduit, the embankment shall be completed as described
in Subsection 500.3.6, Backfilling, to a height above the conduit equal to the
vertical outside diameter of the conduit plus 300 mm. A trench equal in width
to the outside horizontal diameter of the conduit and to the length shown on
the plans or as directed by the Engineer shall then be excavated to within 300
mm of the top of the conduit, trench walls being as nearly vertical as possible.
The trench shall be loosely filled with highly compressible soil. Construction
of embankment above shall then proceed in a normal manner.

Method of Measurement

Conduit of the different types and sizes, both new and relaid, will be measured by the
linear metre in place. Conduit with sloped or skewed ends will be measured
along the invert.

Each section will be measured by the number of units installed.

Branch connection and elbows will be included in the length measurement for
conduit, or they may be measured by the number of units installed.

Class B bedding material placed and approved shall be measured by the cubic metre
in place.

When the Bid Schedule contains an estimated quantity for “Furnishing and Placing
Backfill Material, Pipe Culvert”, the quantity to be paid for will be the number
of cubic metre complete in place and accepted, measured in final position
between limits as follows:

Measurement shall include backfill material in the trench up to the top of the original
ground line but will not include any material placed outside of vertical planes
450 mm up outside of and parallel to the inside wall of pipe at its widest
horizontal dimension.

When the original ground line is less than 300 mm above the top of the pipe, the
measurement will also include the placing of all backfill materials, above the
original ground line adjacent to the pipe for a height of 300 mm above the top
of pipe and for a distance on each side of the pipe not greater than the widest
horizontal dimension of the pipe.

The measurement shall include the placing of backfill material in all trenches of
the imperfect trench method. Materials re-excavated for imperfect trench
construction will be measured for payment under Item 103, Structure
Excavation.

Basis of Payment

The accepted quantities of conduit, determined as provided in Section 500.4,

Method of Measurement, shall be paid for at the contract unit price per linear
meter for the conduit of the types and sizes specified complete in place. End
sections and, when so specified, branch connections and elbows, shall be paid
 for at the contract unit price per piece for the kind and size specified complete
in place.

Excavation for culverts and storm drains, including excavation below flow
line grade and for imperfect trench, shall be measured and paid for as provided
in Item 103, Structure Excavation.

Concrete for Class A bedding will be paid for under Item 405, Structural
Concrete.

When the Bid Schedule does not contain as estimated quantity for “Furnishing
and Placing Backfill Material, Pipe Culvert” payment for placing backfill
material around pipe culverts will be considered as included in the payment
for excavation of the backfill material.

Payment will be made under:

Payment Item Number Description Unit of Measurement

500 (1) Pipe Culverts, - mm Linear Meter

Class -

500 (2) Storm Drain, - mm Linear Meter

Class -
 ITEM 505 – RIPRAP AND GROUTED RIPRAP

505.1 Description

This Item shall consist of the furnishing and placing of riprap with or without grout as the
case may be, with or without filter backing, furnished and constructed in accordance with
this Specification and to the lines and grades and dimensions shown on the Plans.

505.2 Material Requirements

505.2.1Stones

Stones for riprap shall consist of rock as nearly as rectangular in section as is practical,
except that riprap of Class A may consist of round natural stones. The stones shall be
sound, tough, durable, dense, resistant to the action of air and water, and suitable in all
respects for the purpose intended.

Stones for riprap shall be one of the following classes as shown on the Plans or
determined by the Engineer.

Class A - Stones ranging from a minimum of 15kg to a

maximum of 25kg with at least 50 percent of the
stones weighing more than 20kg

Class B - Stones ranging from minimum of 30kg to a

maximum of 70kg with at least 50 percent of the
stones weighing more than 50kg

Class C - Stones ranging from minimum of 60kg to a

maximum of 100kg with at least 50 percent of the
stones weighing more than 80kg

Class D - Stones ranging from minimum of 100kg to a

maximum of 200kg with at least 50 percent of the
stones weighing more than 150kg
 Sound pieces of broken concrete obtained from the removal of bridges, culverts and other
structures may be substituted for stone with the approval of the Engineer.

505.2.2Filter Materials

When required, the riprap shall be placed on a filter layer to prevent fine embankment
materials to be washed out through the voids of the face stones. The grading of the filter
material shall be as specified on the Plans, or in the Special Provisions. If not so
specified, it will be required that D15 of the filter is at least 4 times the size D85 for the
embankment material, where D15 percent and 85 percent, respectively, passing (by mass)
in a grain size analysis. Fine aggregate passing grading requirements for Item 405,
Structural Concrete, will satisfy foregoing requirements.

505.2.3Mortar

Mortar for grouted riprap shall consist of sand, cement and water conforming to the
requirements given under Item 405, Structural Concrete, mixed in the proportion of one
part cement to three parts sand by volume, and sufficient water to obtain the required
consistency.

The horizontal and vertical contact surface between stones shall be embedded by cement
mortar having a minimum thickness of 20 mm. Sufficient mortar shall be used to
completely fill all voids leaving the face of the stones exposed.

505.3 Construction Requirements

505.3.1Excavation

The bed for riprap shall be excavated to the required depths and properly compacted,
trimmed and shaped.

The riprap shall be founded in a toe trench dug below the depth of scour as shown on the
Plans or as ordered by the Engineer. The toe trench shall be filled with stone of the same
class as that specified for the riprap, unless otherwise specified.

505.3.2Placing

Stones placed below the water line shall be distributed so that the minimum thickness of
the riprap is not less than that specified.
 Stones above the water line shall be placed by hand or individually by machines. They
shall be laid with close, broken joints and shall be firmly bedded into the slope and
against the adjoining stones. Each stone shall be laid with its longest axis perpendicular to
the slope in close contact with each adjacent stone. The riprap shall be thoroughly
rammed into place as construction progresses and the finished surface shall present an
even, tight surface. Interstices between stones shall be filled with small broken fragments
firmly rammed into place.

Unless otherwise provided, riprap shall have the following minimum thickness, measured
perpendicular to the slope:

Class A – 300 mm
Class B – 500 mm
Class C – 600 mm
Class D – 800 mm

The surface of riprap shall not vary from the theoretical surface by more than 100 mm at
any point.

505.3.3Grouting

When grouted riprap is specified, stones shall be placed by hand, or individually by

machine as specified for riprap placed above the water line. The spaces between the
stones shall then be filled with cement mortar throughout the thickness of the riprap as
specified in Subsection 505.2.3, mortar. Sufficient mortar shall be used to completely fill
all voids, except that the face surface of the stones shall be left exposed.

Grout shall be placed from bottom to top of the surface swept with a stiff broom.
After grouting is completed, the surface shall be cured as specified in Item 405, Structural
Concrete for a period of at least three days.

The stones shall also be laid in a manner that the vertical and horizontal alignments
of the exposed face shall, as possible be maintained in a straight line.

505.3.4 Weepholes

All walls and abutments shall be provided with weepholes. Unless otherwise shown on
the Plans or directed by the Engineer, the weepholes shall be placed horizontally at the
lowest points where free outlets for water can be obtained and shall be spaced at not more
than 2 m center to center in a staggered manner . The length of the weepholes shall not be
less than the thickness of the walls of the abutment and shall be at least 50 mm diameter
 PVC or other pipe materials accepted by the Engineer. Weepholes must be provided with
filter bags as specified in special provision or as directed by the Engineer, and shall be
incidental to Pay Item 505.

505.4 Method of Measurement

The quantities to be measured for payment shall be the number of cubic meters of riprap
or grouted riprap, as the case may be, including stones placed in the toe trench laid in
position and accepted.

Filter layer of granular material, when required, shall be measured separately by the cubic
meter in place and accepted.

The computation of the quantities will be based on the volume within the limiting
dimensions designated on the Plans or as determined by the Engineer.

505.5 Basis of Payment

The quantities measured as provided under Subsection 505.4 shall be paid for at the
contract unit price, respectively, for each of the Pay Items listed below and shown in the
Bid Schedule, which price and payment shall be full compensation for excavation and
preparation of the bed, for furnishing and placing all materials including backfill and all
additional fill to bring the riprap bed up to the lines, grades and dimensions shown on the
plans, and all labor, equipment, tools and incidentals necessary to complete the Item.

Payment will be made under:

Pay Item Description Unit of Measurement

Number

505 (1) Riprap, Class A Cubic Meter

505 (2) Riprap, Class B Cubic Meter

505 (3) Riprap, Class C Cubic Meter

505 (4) Riprap, Class D Cubic Meter

505 (5) Grouted Riprap, Class A Cubic Meter

505 (6) Grouted Riprap, Class B Cubic Meter

505 (7) Grouted Riprap, Class C Cubic Meter

505 (8) Grouted Riprap, Class D Cubic Meter

505 (9) Filter layer of granular material Cubic Meter

 Section VII. Drawings

Insert here a list of Drawings. The actual Drawings, including site plans, should be
attached to this section or annexed in a separate folder.
 Section VIII. Bill of Quantities

Notes on the Bill of Quantities

Objectives
The objectives of the Bill of Quantities are:
(a) to provide sufficient information on the quantities of Works to be performed to
enable Bids to be prepared efficiently and accurately; and
(b) when a Contract has been entered into, to provide a priced Bill of Quantities for use
in the periodic valuation of Works executed.
In order to attain these objectives, Works should be itemized in the Bill of Quantities in
sufficient detail to distinguish between the different classes of Works, or between Works
of the same nature carried out in different locations or in other circumstances which may
give rise to different considerations of cost. Consistent with these requirements, the layout
and content of the Bill of Quantities should be as simple and brief as possible.

Daywork Schedule
A Daywork Schedule should be included only if the probability of unforeseen work,
outside the items included in the Bill of Quantities, is high. To facilitate checking by the
Entity of the realism of rates quoted by the Bidders, the Daywork Schedule should
normally comprise the following:
(a) A list of the various classes of labor, materials, and Constructional Plant for which
basic daywork rates or prices are to be inserted by the Bidder, together with a
statement of the conditions under which the Contractor will be paid for work
executed on a daywork basis.

(b) Nominal quantities for each item of Daywork, to be priced by each Bidder at
Daywork rates as Bid. The rate to be entered by the Bidder against each basic
Daywork item should include the Contractor’s profit, overheads, supervision, and
other charges.

Provisional Sums
A general provision for physical contingencies (quantity overruns) may be made by
including a provisional sum in the Summary Bill of Quantities. Similarly, a contingency
allowance for possible price increases should be provided as a provisional sum in the
Summary Bill of Quantities. The inclusion of such provisional sums often facilitates
budgetary approval by avoiding the need to request periodic supplementary approvals as
the future need arises. Where such provisional sums or contingency allowances are used,
the SCC should state the manner in which they will be used, and under whose authority
(usually the Procuring Entity’s Representative’s).
The estimated cost of specialized work to be carried out, or of special goods to be supplied,
by other contractors (refer to GCC Clause 8) should be indicated in the relevant part of the

143
Bill of Quantities as a particular provisional sum with an appropriate brief description. A
separate procurement procedure is normally carried out by the Procuring Entity to select
such specialized contractors. To provide an element of competition among the Bidders in
respect of any facilities, amenities, attendance, etc., to be provided by the successful
Bidder as prime Contractor for the use and convenience of the specialist contractors, each
related provisional sum should be followed by an item in the Bill of Quantities inviting the
Bidder to quote a sum for such amenities, facilities, attendance, etc.

Signature Box

A signature box shall be added at the bottom of each page of the Bill of Quantities where
the authorized representative of the Bidder shall affix his signature. Failure of the
authorized representative to sign each and every page of the Bill of Quantities shall be a
cause for rejection of his bid.

These Notes for Preparing a Bill of Quantities are intended only as information for the
Procuring Entity or the person drafting the Bidding Documents. They should not be
included in the final documents.

144
 Name of Project : CONSTRUCTION OF LINE DITCH ALONG
KOLAMBUGAN-TANGKAL PROV’L ROAD
(Sta. 0+155.00 – Sta. 0+503.48)
Location : Kolambugan, Lanao del Norte
Item No Scope of Works Quantity Unit Unit Amount
Price
A. Facilities for the Engineers
I. A.1.1 (8) – Provision of Field Office for
1.00 Mo.
the Engineers (Rental Basis)
B. Other General Requirements

I B.5 Project Billboard Ea.

2.00

II B.7 (1) – Occupational Safety & Health Mo.

1.00
Programs
III B.8(1) – Roadworks Safety and Traffic
1.00 Mo.
Management
IV B.9 – Mobilization & Demobilization 1.00 l.s.
C. Earthworks
II 103(1)- Structure Excavation (Common 356.37
Cu.m.
Soil)
D. Drainage and Slope Protection
Structures
I. 505(5) a-Grouted Riprap, Class A (Line 185.77
Cu.m.
Canal & Wheel Guard)
II. 500(1)a-Pipe Culverts, 610mm dia, 20.00
Cu.m.
Class II
TOTAL BID PRICE

Prepared by:

______________________________________
Contractor
(Printed Name and Signature)

145
 Section IX. Bidding Forms

TABLE OF CONTENTS
Bid Form........................................................................................................ 147
Form of Contract Agreement ......................................................................... 149
Omnibus Sworn Statement ............................................................................. 151
Bid Securing Declaration………………………………………………………91

146
 Bid Form

Date: _______________________
IB5 No: _____________________

To: [name and address of PROCURING ENTITY]

Address: [insert address]

We, the undersigned, declare that:

(a) We have examined and have no reservation to the Bidding Documents, including
Addenda, for the Contract [insert name of contract];

(b) We offer to execute the Works for this Contract in accordance with the Bid and Bid Data
Sheet, General and Special Conditions of Contract accompanying this Bid;

The total price of our Bid, excluding any discounts offered below is: [insert
information];

The discounts offered and the methodology for their application are: [insert
information];

(c) Our Bid shall be valid for a period of [insert number] days from the date fixed for the
Bid submission deadline in accordance with the Bidding Documents, and it shall remain
binding upon us and may be accepted at any time before the expiration of that period;

(d) If our Bid is accepted, we commit to obtain a Performance Security in the amount of
[insert percentage amount] percent of the Contract Price for the due performance of the
Contract;

(e) Our firm, including any subcontractors or suppliers for any part of the Contract, have
nationalities from the following eligible countries: [insert information];

(f) We are not participating, as Bidders, in more than one Bid in this bidding process, other
than alternative offers in accordance with the Bidding Documents;

(g) Our firm, its affiliates or subsidiaries, including any subcontractors or suppliers for any
part of the Contract, has not been declared ineligible by the Funding Source;

(h) We understand that this Bid, together with your written acceptance thereof included in
your notification of award, shall constitute a binding contract between us, until a formal
Contract is prepared and executed; and

5 If ADB, JICA and WB funded projects, use IFB.

147
(i) We understand that you are not bound to accept the Lowest Calculated Bid or any other
Bid that you may receive.

(j) We likewise certify/confirm that the undersigned, is the duly authorized

representative of the bidder, and granted full power and authority to do, execute
and perform any and all acts necessary to participate, submit the bid, and to sign
and execute the ensuing contract for the [Name of Project] of the [Name of the
Procuring Entity].

(k) We acknowledge that failure to sign each and every page of this Bid Form,
including the Bill of Quantities, shall be a ground for the rejection of our bid.

Name:

In the capacity of:

Signed:

Duly authorized to sign the Bid for and on behalf of:

Date: ___________

148
 Form of Contract Agreement

THIS AGREEMENT, made this [insert date] day of [insert month], [insert year]
between [name and address of PROCURING ENTITY] (hereinafter called the“Entity”) and
[name and address of Contractor] (hereinafter called the “Contractor”).

WHEREAS, the Entity is desirous that the Contractor execute [name and
identification number of contract] (hereinafter called “the Works”) and the Entity has
accepted the Bid for [insert the amount in specified currency in numbers and words] by the
Contractor for the execution and completion of such Works and the remedying of any defects
therein.

NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:

1. In this Agreement, words and expressions shall have the same meanings as are
respectively assigned to them in the Conditions of Contract hereinafter
referred to.

2. The following documents shall be attached, deemed to form, and be read and
construed as integral part of this Agreement, to wit:

(a) General and Special Conditions of Contract;

(b) Drawings/Plans;
(c) Specifications;
(d) Invitation to Bid;
(e) Instructions to Bidders;
(f) Bid Data Sheet;
(g) Addenda and/or Supplemental/Bid Bulletins, if any;
(h) Bid form, including all the documents/statements contained in the
Bidder’s bidding envelopes, as annexes, and all other documents
submitted (e.g., Bidder’s response to request for clarifications on the
bid), including corrections to the bid, if any, resulting from the
Procuring Entity’s bid evaluation;
(i) Eligibility requirements, documents and/or statements;
(j) Performance Security;
(k) Notice of Award of Contract and the Bidder’s conforme thereto;
(l) Other contract documents that may be required by existing laws and/or
the Entity.

3. In consideration of the payments to be made by the Entity to the Contractor as

hereinafter mentioned, the Contractor hereby covenants with the Entity to
execute and complete the Works and remedy any defects therein in conformity
with the provisions of this Contract in all respects.

149
 4. The Entity hereby covenants to pay the Contractor in consideration of the
execution and completion of the Works and the remedying of defects wherein,
the Contract Price or such other sum as may become payable under the
provisions of this Contract at the times and in the manner prescribed by this
Contract.

IN WITNESS whereof the parties thereto have caused this Agreement to be executed
the day and year first before written.

Signed, sealed, delivered by the (for the Entity)

Signed, sealed, delivered by the (for the Contractor).

Binding Signature of Procuring Entity

________________________________________________

Binding Signature of Contractor

_____________________________________________

[Addendum showing the corrections, if any, made during the Bid evaluation should be
attached with this agreement]

150
 Omnibus Sworn Statement

REPUBLIC OF THE PHILIPPINES )

CITY/MUNICIPALITY OF ______ ) S.S.

AFFIDAVIT

I, [Name of Affiant], of legal age, [Civil Status], [Nationality], and residing at [Address
of Affiant], after having been duly sworn in accordance with law, do hereby depose and state
that:

1. Select one, delete the other:

If a sole proprietorship: I am the sole proprietor or authorized representative of

[Name of Bidder] with office address at [address of Bidder];

If a partnership, corporation, cooperative, or joint venture: I am the duly authorized

and designated representative of [Name of Bidder] with office address at [address of
Bidder];

2. Select one, delete the other:

If a sole proprietorship: As the owner and sole proprietor or authorized representative

of [Name of Bidder], I have full power and authority to do, execute and perform any
and all acts necessary to participate, submit the bid, and to sign and execute the
ensuing contract for [Name of the Project] of the [Name of the Procuring Entity]
[insert “as shown in the attached duly notarized Special Power of Attorney” for the
authorized representative];

If a partnership, corporation, cooperative, or joint venture: I am granted full power

and authority to do, execute and perform any and all acts necessary to participate,
submit the bid, and to sign and execute the ensuing contract for [Name of the Project]
of the [Name of the Procuring Entity], accompanied by the duly notarized Special
Power of Attorney, Board/Partnership Resolution, or Secretary’s Certificate,
whichever is applicable;

3. [Name of Bidder] is not “blacklisted” or barred from bidding by the Government of

the Philippines or any of its agencies, offices, corporations, or Local Government
Units, foreign government/foreign or international financing institution whose
blacklisting rules have been recognized by the Government Procurement Policy
Board;

4. Each of the documents submitted in satisfaction of the bidding requirements is an

authentic copy of the original, complete, and all statements and information provided
therein are true and correct;

151
 5. [Name of Bidder] is authorizing the Head of the Procuring Entity or its duly
authorized representative(s) to verify all the documents submitted;
6. Select one, delete the rest:
If a sole proprietorship: The owner or sole proprietor is not related to the Head of the
Procuring Entity, members of the Bids and Awards Committee (BAC), the Technical
Working Group, and the BAC Secretariat, the head of the Project Management Office
or the end-user unit, and the project consultants by consanguinity or affinity up to the
third civil degree;
If a partnership or cooperative: None of the officers and members of [Name of
Bidder] is related to the Head of the Procuring Entity, members of the Bids and
Awards Committee (BAC), the Technical Working Group, and the BAC Secretariat,
the head of the Project Management Office or the end-user unit, and the project
consultants by consanguinity or affinity up to the third civil degree;
If a corporation or joint venture: None of the officers, directors, and controlling
stockholders of [Name of Bidder] is related to the Head of the Procuring Entity,
members of the Bids and Awards Committee (BAC), the Technical Working Group,
and the BAC Secretariat, the head of the Project Management Office or the end-user
unit, and the project consultants by consanguinity or affinity up to the third civil
degree;
7. [Name of Bidder] complies with existing labor laws and standards; and

8. [Name of Bidder] is aware of and has undertaken the following responsibilities as a

Bidder:

a) Carefully examine all of the Bidding Documents;

b) Acknowledge all conditions, local or otherwise, affecting the implementation of
the Contract;
c) Made an estimate of the facilities available and needed for the contract to be bid,
if any; and
d) Inquire or secure Supplemental/Bid Bulletin(s) issued for the [Name of the
Project].
9. [Name of Bidder] did not give or pay directly or indirectly, any commission, amount,
fee, or any form of consideration, pecuniary or otherwise, to any person or official,
personnel or representative of the government in relation to any procurement project
or activity.
IN WITNESS WHEREOF, I have hereunto set my hand this __ day of ___, 20__ at
____________, Philippines.
_____________________________________
Bidder’s Representative/Authorized Signatory

152
 SUBSCRIBED AND SWORN to before me this ___ day of [month] [year] at [place
of execution], Philippines. Affiant/s is/are personally known to me and was/were identified
by me through competent evidence of identity as defined in the 2004 Rules on Notarial
Practice (A.M. No. 02-8-13-SC). Affiant/s exhibited to me his/her [insert type of government
identification card used], with his/her photograph and signature appearing thereon, with no.
________ and his/her Community Tax Certificate No. _______ issued on ____ at ______.

Witness my hand and seal this ___ day of [month] [year].

NAME OF NOTARY PUBLIC

Serial No. of Commission _______________
Notary Public for _______ until __________
Roll of Attorneys No. __________________
PTR No. ______ [date issued], [place issued]
IBP No. ______ [date issued], [place issued]

Doc. No. _____

Page No. _____
Book No. _____
Series of _____

* This form will not apply for WB funded projects.

153
Bid-Securing Declaration

(REPUBLIC OF THE PHILIPPINES)

CITY OF _______________________ ) S.S.
x-------------------------------------------------------x

Invitation to Bid [Insert reference number]

To: [Insert name and address of the Procuring Entity]

I/We, the undersigned, declare that:

1. I/We understand that, according to your conditions, bids must be supported by a Bid
Security, which may be in the form of a Bid-Securing Declaration.

2. I/We accept that: (a) I/we will be automatically disqualified from bidding for any contract
with any procuring entity for a period of two (2) years upon receipt of your Blacklisting
Order; and, (b) I/we will pay the applicable fine provided under Section 6 of the
Guidelines on the Use of Bid Securing Declaration, within fifteen (15) days from receipt
of written demand by the procuring entity for the commission of acts resulting to the
enforcement of the bid securing declaration under Sections 23.1(b), 34.2, 40.1 and 69.1,
except 69.1 (f), of the IRR of RA 9184; without prejudice to other legal action the
government may undertake.

3. I/We understand that this Bid-Securing Declaration shall cease to be valid on the
following circumstances:

a. Upon expiration of the bid validity period, or any extension thereof pursuant to your
request;
b. I am/we are declared ineligible or post-disqualified upon receipt of your notice to
such effect, and (i) I/we failed to timely file a request for reconsideration or (ii) I/we
filed a waiver to avail of said right;
c. I am/we are declared as the bidder with the Lowest Calculated Responsive Bid, and
I/we have furnished the performance security and signed the Contract.

154
IN WITNESS WHEREOF, I/We have hereunto set my/our hand/s this ____ day of [month]
[year] at [place of execution].

[Insert NAME OF BIDDER’S AUTHORIZED REPRESENTATIVE]

[Insert signatory’s legal capacity]

Affiant

SUBSCRIBED AND SWORN to before me this __ day of [month] [year] at [place of

execution], Philippines. Affiant/s is/are personally known to me and was/were identified by
me through competent evidence of identity as defined in the 2004 Rules on Notarial Practice
(A.M. No. 02-8-13-SC). Affiant/s exhibited to me his/her [insert type of government
identification card used], with his/her photograph and signature appearing thereon, with no.
______.

Witness my hand and seal this ___ day of [month] [year].

NAME OF NOTARY PUBLIC

Serial No. of Commission ___________

Notary Public for ______ until _______
Roll of Attorneys No. _____
PTR No. __, [date issued], [place issued]
IBP No. __, [date issued], [place issued]
Doc. No. ___
Page No. ___
Book No. ___
Series of ____.

155
156
 Invitation to Bid for Foreign-Assisted Projects

[Letterhead of the Procuring Entity]

INVITATION TO BID FOR [Insert name of Project]
1. The Government of the Philippines (GoP) [has received/has applied for/intends to
apply for] a [Loan//Grant] from the [state the foreign government/foreign or
international financing institution (e.g., Asian Development Bank, Japan International
Cooperation Agency, or World Bank)] toward the cost of [insert name of project], and
it intends to apply part of the proceeds of this [loan//grant] to payments under the
contract for [insert name/no. of contract].

2. The [insert name of Procuring Entity] now invites bids for [insert brief description of
Works to be procured].6 Completion of the Works is required [insert the required
completion date or expected contract duration]. Bidders should have completed, within
________ (__), a contract similar to the Project. The description of an eligible bidder is
contained in the Bidding Documents, particularly, in Sub-section 5, Section II.
Instructions to Bidders and the corresponding {[insert Asian Development Bank or
World Bank, as appropriate]} Bid Data Sheet.

3. Bidding will be conducted in accordance with relevant procedures for open competitive
bidding as specified in the IRR of RA 9184 (R.A. 9184), with some amendments, as
stated in these bidding documents and is open to all bidders from eligible source
countries as defined in the applicable procurement guidelines of the [state the foreign
government/foreign international financing institution concerned )]. The contract shall
be awarded to the Lowest Calculated Responsive Bidder (LCRB) who was determined
as such during post-qualification. The approved budget for the contract (ABC) is
[insert here the amount of the ABC].

[If ADB-funded project, ABC may be published, but it shall not be stated or implied that
bid prices may not exceed ABC.]

4. Interested bidders may obtain further information from [insert name of the Procuring
Entity] and inspect the Bidding Documents at the address given below from [insert
office hours].

5. A complete set of Bidding Documents may be acquired by the interested bidders on

[insert date of availability of Bidding Documents] from the address below {[insert if
necessary and upon payment of the applicable fee for the bidding documents, pursuant

6 A brief description of the scope of Works should be provided, including quantities, location of project, and
other information necessary to enable potential bidders to decide whether or not to respond to the invitation.
157
 to the latest Guidelines issued by the GPPB, in the amount of [ insert amount in
pesos]7.}

It may also be downloaded free of charge from the website of the Philippine
Government Electronic Procurement System (PhilGEPS) {[insert and the website of the
Procuring Entity, as applicable, ]} provided that bidders shall pay the applicable fee for
the Bidding Documents not later than the submission of their bids.

6. The [insert name of the Procuring Entity] will hold a Pre-Bid Conference8 on [insert
time and date] at [insert address for Pre-Bid Conference, if applicable], which shall be
open to prospective bidders.

7. Bids must be duly received by the BAC Secretariat at the address below on or before
[insert date and time]. All bids must be accompanied by a bid security in the amount of
__________ in [insert the acceptable form].

Bids will be opened in the presence of the bidders’ representatives who choose to attend
at the address below. Late bids shall not be accepted.

8. [Insert such other necessary information deemed relevant by the Procuring Entity]

9. The [insert name of the Procuring Entity] reserves the right to accept or reject any bid,
to annul the bidding process, and to reject all bids at any time prior to contract award,
in accordance with Section 41 of RA 9184 and its IRR, without thereby incurring any
liability to the affected bidder or bidders.

10. For further information, please refer to:

[Insert name of officer]

[Insert name of office]
[Insert postal address] and/or [Insert street address]
[Insert telephone number, indicate city code]
[Insert contact’s email address]
[Insert facsimile number]
[Insert website address, if applicable]

_________________________________

7 For ADB-funded projects, the bidding documents fee should only cover reproduction and mailing/courier
costs, and may not be in accordance with the GPPB Guidelines. As such, the text “, pursuant to the latest
Guidelines issued by the GPPB,” shall be deleted.
8 May be deleted in case the ABC is less than One Million Pesos (P1,000,000) where the Procuring Entity may
not hold a pre-bid conference.

158
 [Insert Name and Signature of the BAC
Chairperson or the Authorized
Representative of the BAC Chairperson]

159
 Asian Development Bank Bid Data Sheet

ITB Clause

1.1 The Procuring Entity is [insert name of Procuring Entity].

The name of the Contract is [insert the name of the contract].

The identification number of the Contract is [insert identification number of

the contract].

2 The Funding Source is the Asian Development Bank (ADB) through

[indicate the Loan/Grant/Financing No.] in the amount of [insert amount of
funds].

The name of the Project is [Insert the name of the project]

Payments by the Foreign Funding Source will be made only at the request of
the Procuring Entity and upon approval by the Funding Source in
accordance with the terms and conditions of the Loan {[or Grant, or
Financing]} Agreement No. _________ (hereinafter called the "Financing
Agreement") and

will be subject in all respect to the terms and conditions of that Financing
Agreement and the applicable law. No party other than the Procuring Entity
shall derive any rights from the Financing Agreement or have any claim to
the funds.

3.1

ADB’s Anticorruption Policy requires Borrowers (including beneficiaries of

ADB-financed activity), as well as Bidders, Suppliers, and
Contractors under ADB-financed contracts, observe the highest
standard of ethics during the procurement and execution of such
contracts. In pursuance of this policy, ADB

(a) defines, for the purposes of this provision, the terms set forth below
as follows:

(i) “corrupt practice” means the offering, giving, receiving, or

soliciting, directly or indirectly, anything of value to
influence improperly the actions of another party;

(ii) “fraudulent practice” means any act or omission, including a

misrepresentation, that knowingly or recklessly misleads, or
attempts to mislead, a party to obtain a financial or other
benefit or to avoid an obligation;

160
 (iii) “coercive practice” means impairing or harming, or
threatening to impair or harm, directly or indirectly, any party
or the property of the party to influence improperly the
actions of a party;

(iv) “collusive practice” means an arrangement between two or

more parties designed to achieve an improper purpose,
including influencing improperly the actions of another party;

(v) “obstructive practice” means (a) deliberately destroying,

falsifying, altering, or concealing of evidence material to an
ADB investigation; (b) making false statements to
investigators in order to materially impede an ADB
investigation; (c) failing to comply with requests to provide
information, documents or records in connection with an
Office of Anticorruption and Integrity (OAI) investigation;
(d) threatening, harassing, or intimidating any party to
prevent it from disclosing its knowledge of matters relevant
to the investigation or from pursuing the investigation; or (e)
materially impeding ADBʼs contractual rights of audit or
access to information; and

(vi) “integrity violation" is any act which violates ADB’s

Anticorruption Policy, including (i) to (v) above and the
following: abuse, conflict of interest, violations of ADB
sanctions, retaliation against whistleblowers or witnesses,
and other violations of ADB's Anticorruption Policy,
including failure to adhere to the highest ethical standard.

(b) will reject a proposal for award if it determines that the Bidder
recommended for award has, directly or through an agent, engaged
in corrupt, fraudulent, collusive, coercive, or obstructive practices or
other integrity violations in competing for the Contract;

(c) will cancel the portion of the financing allocated to a contract if it

determines at any time that representatives of the Borrower or of a
beneficiary of ADB financing engaged in corrupt, fraudulent,
collusive, coercive, or obstructive practices or other integrity
violations during the procurement or the execution of that contract,
without the Borrower having taken timely and appropriate action
satisfactory to ADB to remedy the situation;

(d) will impose remedial actions on a firm or an individual, at any time,

in accordance with ADB’s Anticorruption Policy and Integrity
Principles and Guidelines (both as amended from time to time),
including declaring ineligible, either indefinitely or for a stated
period of time, to participate in ADB-financed, administered, or
supported activities or to benefit from an ADB-financed,
administered, or supported contract, financially or otherwise, if it at

161
 any time determines that the firm or individual has, directly or
through an agent, engaged in corrupt, fraudulent, collusive, coercive,
or obstructive practices or other integrity violations; and

(e) will have the right to require that a provision be included in bidding
documents and in contracts financed by ADB, requiring Bidders,
suppliers, and contractors to permit ADB or its representative to
inspect their accounts and records and other documents relating to
the bid submission and contract performance and to have them
audited by auditors appointed by ADB.

5.1 Eligible Bidders are as described in ADB Procurement Guidelines as stated

in the Financing Agreement and as described on ADB’s web page
www.adb.org

An Eligible Bidder shall be deemed to have the nationality of a country if it

is a citizen or constituted or incorporated, and operates in conformity with
the provisions of the laws of that country.

5.2 Eligible Bidders are as described in ADB Procurement Guidelines as stated

in the Financing Agreement and as described on ADB’s web page
www.adb.org.

5.4 Instruction is the same as the GoP Bid Data Sheet

8.1 Instruction is the same as the GoP Bid Data Sheet

8.2 Instruction is the same as the GoP Bid Data Sheet

9.1 Instruction is the same as the GoP Bid Data Sheet

10.1 Instruction is the same as the GoP Bid Data Sheet

10.4 Instruction is the same as the GoP Bid Data Sheet

12.1 The first envelope shall contain the following eligibility and technical
documents:

a. Eligibility Requirements

i. Registration Certification of the Company;

ii. List of relevant contracts that comply to the experience requirement

as specified in ITB Clause 5.4;

iii. Audited financial statement for the past two years;

iv. In case of Joint Venture, the JV Agreement, if existing, or a signed

statement from the partner companies that they will enter into a JV

162
 in case of award of contract;

b. Technical Documents

(To Be Revisited)

v. Project Requirements, which shall include the following:

(v.1) List of contractor’s personnel (e.g., Project Manager,

Project Engineers, Materials Engineers, and Foremen), to be
assigned to the contract to be bid, with their complete
qualification and experience data; and

(v.2) List of contractor’s major equipment units, which are

owned, leased, and/or under purchase agreements, supported by
proof of ownership, certification of availability of equipment
from the equipment lessor/vendor for the duration of the
project;

vi. Bid Security or a Bid Securing Declaration as required in the ITB

18;

vii. Sworn statement in accordance with Section 25.3 of the IRR of RA

9184 and using the form prescribed in Section VIII. Bidding Forms;
and

viii. Credit line from a Universal or Commercial Bank extended in favor

of the bidder if awarded the contract for the project.

Foreign bidders may submit the equivalent documents, if any, issued by the
country of the foreign bidder.

12.1(a)(iii) Foreign bidders may submit their valid Philippine Contractors Accreditation
Board (PCAB) license or special PCAB License in case of joint ventures,
and registration for the type and cost of the contract for this Project as a pre-
condition for award as provided in the Financing Agreement.

13.1 Instruction is the same as the GoP Bid Data Sheet

13.1(b) This shall include the following document:

1) Priced Bill of Quantities

(To Be Revisited- the GOP’s requirements of detailed estimates and

cashflow/payment schedule)

13.2(a) and ABC does not apply as ceiling for bid prices
(b)

14.2 Instruction is the same as the GoP Bid Data Sheet

163
15.4 Instruction is the same as the GoP Bid Data Sheet

16.1 Instruction is the same as the GoP Bid Data Sheet

16.3 Instruction is the same as the GoP Bid Data Sheet

17.1 Instruction is the same as the GoP Bid Data Sheet

18.1 Instruction is the same as the GoP Bid Data Sheet

18.2 Instruction is the same as the GoP Bid Data Sheet

20.3 Instruction is the same as the GoP Bid Data Sheet

21 Instruction is the same as the GoP Bid Data Sheet

24.1 The BAC shall open the bids in public on [insert date and time of bid
opening], at [insert place of bid opening].

The time for the bid opening shall be the same as the deadline for receipt of
bids or promptly thereafter. Rescheduling the date of the opening of bids
shall not be considered except for force majeure, such as natural calamities.
In re-scheduling the opening of bids, the BAC shall issue a Notice of
Postponement to be posted at the PhilGEPS’ and the Procuring Entity’s
websites.

24.2 During bid opening, if the first envelope lacks any of the documents listed in
the ADB BDS 12.1, the bid shall be declared non-responsive but the
documents shall be kept by the Procuring Entity. Only the unopened second
envelope shall be returned to the Bidder.

24.3 The BAC shall immediately open the financial proposals in the second
envelope of the responsive bids. The bid price shall be read and recorded.

27.4 ABC does not apply as ceiling for bid prices.

28.2 Instruction is the same as the GoP Bid Data Sheet

31.4(f) Instruction is the same as the GoP Bid Data Sheet

(To Be Revisited together with the Technical Documents)

164
 Asian Development Bank Special Conditions of Contract
(Maybe subject to further changes)

GCC Clause

1.17 Instruction is the same as the GoP Special Condition of Contract

1.22 Instruction is the same as the GoP Special Condition of Contract

1.23 Instruction is the same as the GoP Special Condition of Contract

1.24 Instruction is the same as the GoP Special Condition of Contract

1.28 Instruction is the same as the GoP Special Condition of Contract

1.31 Instruction is the same as the GoP Special Condition of Contract

2.2 Instruction is the same as the GoP Special Condition of Contract

5.1 Instruction is the same as the GoP Special Condition of Contract

6.5 Instruction is the same as the GoP Special Condition of Contract

7.4(c) Instruction is the same as the GoP Special Condition of Contract

7.7 The Contractor shall be primarily and solely responsible for the acts,
defaults, and negligence of any subcontractor.

8.1 Instruction is the same as the GoP Special Condition of Contract

10 Instruction is the same as the GoP Special Condition of Contract

12.3 In case the Contractor fails to comply with the preceding paragraph, the
Procuring Entity shall forfeit its performance security. All payables of the
GoP in the Contractor's favor shall be offset to recover the costs.

12.5 Instruction is the same as the GoP Special Condition of Contract

13 Instruction is the same as the GoP Special Condition of Contract

18.3 (h) (i) In case it is determined prima facie by the Procuring Entity that the
Contractor has engaged, before or during the implementation of the
contract, in unlawful deeds and behaviors relative to contract acquisition
and implementation, such as, but not limited to, corrupt, fraudulent,
collusive, coercive and obstructive practices as defined in ITB Clause

165
 3.1(a)

21.2 Instruction is the same as the GoP Special Condition of Contract

29.1 Instruction is the same as the GoP Special Condition of Contract

31.1 Instruction is the same as the GoP Special Condition of Contract

31.3 Instruction is the same as the GoP Special Condition of Contract

34.3 The Funding Source is the Asian Development Bank through [indicate the
Loan/Grant/Financing No.] in the amount of [insert amount of funds].

39.1 Instruction is the same as the GoP Special Condition of Contract

40.1 Materials and equipment delivered on the site but not completely put in
place shall be included for payment.

40.3 If the Procuring Entity delays payment, the Contractor shall be paid interest
on such payment. Interest shall be calculated from the date by which the
payment should have been made up to the date when the late payment is
made at the annual rate of [insert percentage rate].

51.1 Instruction is the same as the GoP Special Condition of Contract

51.2 Instruction is the same as the GoP Special Condition of Contract

166
 World Bank Bid Data Sheet

ITB Clause

1.1 The Procuring Entity is [insert name ].

The name of the Contract is [insert the name of the contract].

The identification number of the Contract is [insert identification number of

the contract].

2 The Funding Source is World Bank through [indicate the Financing

Agreement No.] in the amount of [insert amount of funds].

The name of the Project is [Insert the name of the project]

3.1 The World Bank Guidelines on Anti-Corruption, as stated in the Financing

Agreement and as annexed to the World Bank Standard Conditions of
Contract, shall be adopted.

5.1 The Financing Agreement provides that procurement shall follow the
Bank’s Procurement Guidelines and Section 1.8 thereof permits the
participation of firm from all countries except for those mentioned in
Section 1.10 thereof.

5.2 The Financing Agreement provides that procurement shall follow the
Bank’s Procurement Guidelines and Section 1.8 thereof permits the
participation of firm from all countries except for those mentioned in
Section 1.10 thereof.

5.4 Instruction is the same as the GoP Bid Data Sheet

8.1 Instruction is the same as the GoP Bid Data Sheet

8.2 Instruction is the same as the GoP Bid Data Sheet

9.1 Instruction is the same as the GoP Bid Data Sheet

10.1 Instruction is the same as the GoP Bid Data Sheet

10.4 Instruction is the same as the GoP Bid Data Sheet

12.1
During Bid opening, if the first bid envelope lacks any of the following

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 documents, the bid shall be declared non-responsive.

The first envelope shall contain the following eligibility and technical
documents:

a. Eligibility Requirements

i. Registration Certification of the Company;

ii. List of relevant contracts that comply to experience requirement as

specified in ITB Clause 5.4;

iii. Audited financial statement for the past 2 years;

iv. In case of Joint Venture, the JV Agreement, if existing, or a signed

Statement from the partner companies that they will enter into a JV in case
of award of contract.

b. Technical Documents

v. Project Requirements, to include:

(v.1) List of contractor’s personnel (e.g. Project Manager, Project

Engineers, Materials Engineers, and Foremen). To be assigned to the
contract to be bid, with their complete qualification and experience data; and

(v.2) List of contractor’s major equipment units, which are owned, leased
and/or under purchase agreements, supported by proof of ownership,
certification of availability of equipment from equipment lessor/vendor for
the duration of the project;

vi. Bid Security or Bid Securing Declaration as required in ITB 18;

vii. Sworn statement in accordance with Section 25.3 of the IRR of RA 9184
and using the form prescribed in Section VIII. Bidding Forms.

viii. Credit line from a universal or commercial bank extended in favor of

the bidder is awarded the contract for the project.

Foreign bidders may submit the equivalent documents, if any, issued by the
country of the foreign bidder.

12.1(a)(iii) Foreign bidders may submit their valid Philippine Contractors Accreditation
Board (PCAB) license or special PCAB License in case of joint ventures,
and registration for the type and cost of the contract for this Project as a pre-
condition for award as provided in the Financing Agreement, and ITB Nos.
12.1(b)(ii.2) and 12.1(b)(iii.3)

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13.1 Instruction is the same as the GoP Bid Data Sheet

13.2 (a) & (b) ABC does not generally apply as a ceiling for bid prices.

However, subject to prior concurrence by the World Bank, a ceiling may

be applied to bid prices provided the following conditions are met:

a) Bidding Documents are obtainable free of charge on a freely

accessible website. If payment of Bidding Documents is required by the
procuring entity, payment could be made upon the submission of bids.

b) The procuring entity has procedures in place to ensure that the ABC
is based on recent estimates made by the engineer or the responsible unit of
the procuring entity and that the estimates are based on adequate detailed
engineering (in the case of works) and reflect the quality, supervision and
risk and inflationary factors, as well as prevailing market prices,
associated with the types of works or goods to be procured.

c) The procuring entity has trained cost estimators on estimating prices

and analyzing bid variances. In the case of infrastructure projects, the
procuring entity must also have trained quantity surveyors.

d) The procuring entity has established a system to monitor and report

bid prices relative to ABC and engineer’s/procuring entity’s estimate.

e) The procuring entity has established a monitoring and evaluation

system for contract implementation to provide a feedback on actual total
costs of goods and works.
14.2 Instruction is the same as the GoP Bid Data Sheet

15.4 Instruction is the same as the GoP Bid Data Sheet

16.1 Instruction is the same as the GoP Bid Data Sheet

16.3 Instruction is the same as the GoP Bid Data Sheet

17.1 Instruction is the same as the GoP Bid Data Sheet

18.1 Instruction is the same as the GoP Bid Data Sheet

18.2 Instruction is the same as the GoP Bid Data Sheet

20.3 Instruction is the same as the GoP Bid Data Sheet

21 Instruction is the same as the GoP Bid Data Sheet

24.1 The BAC shall open the bids in public on {insert date and time of bid

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 opening}, at {insert place of bid opening}.

The time for the bid opening shall be the same as the deadline for receipt of
bids or promptly thereafter. Rescheduling the date of the opening of bids
shall not be considered except for force majeure, such as natural calamities.
In re-scheduling the opening of bids, the BAC shall issue a Notice of
Postponement to be posted at the PhilGEPS’ and the Procuring Entity’s
websites.

24.2 During Bid opening, if the first envelope lacks any of the documents listed
in World Bank BDS 12.1, the bid shall be declared non-responsive but the
documents shall be kept by the Procuring Entity.

24.3 The financial proposals in the second envelope of all the bidders shall be
read for record purposes. The first and second envelopes shall not be
returned to the bidders.

27.4 ABC does not generally apply as a ceiling for bid prices; unless the
conditions mentioned in ITB No. 13.2 are obtaining and that there is prior
World Bank concurrence.

28.2 Instruction is the same as the GoP Bid Data Sheet

31.4(f) Instruction is the same as the GoP Bid Data Sheet

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World Bank Special Conditions of Contract

The World Bank adopts the provisions of the Special Conditions of Contract of the GOP as
contained in the Harmonized Philippine Bidding Documents dated ________, except GCC
Clauses 18.3(h)(i) and 18.4, 34.3as follows:

GCC Clause

18.3 (h) (i) The World Bank’s Guidelines On Preventing and Combating Fraud and
Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants
as annex herein shall be applied.

18.4 The World Bank is the Funding Source through Loan Agreement No.____.

34.3 The Funding Source is the World Bank.

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