COLLEGE OF ENGINEERING

CIVIL ENGINEERING DEPARTMENT

Building System Design Activity Manual

ACTIVITY NO. 2: Pre-Construction Requirement

1.1. Program Outcomes (POs) Addressed by the Activity

a) ability to function on multidisciplinary teams
b) ability to communicate effectively

1.2. Activity Intended Learning Outcomes (AILOs)

At the end of the activity, the students shall be able to:
a) Identify project specifications
b) Familiarize bidding requirements
c) Understand building permit process

1.3. Aims of the Activity

The aim of this activity is to acquaint students with the pre-construction requirements.

1.4. Principle of the Activity

Research on the following topics to familiarize yourself with the background of the activity:
a) Project Specifications
b) Requirements for Bidding Projects
c) Building Permit Process in the Philippines

1.5. Procedures/Instruction
The activity comprises of the following steps:
A. Project Specifications
1. Finalize project specification requirements using the initial draft from Activity 1.
B. Bidding Requirements
1.Aside from documents collated in Activity 1, secure other pertinent requirements necessary
for bidding a project.
C. Building Permit Process
1. Identify important factors to consider in securing a building permit.
2. Furnish a copy of a building permit.
1.6. Data and Discussion
1.6.1. Principle of the Activity
I. Project Specifications

PROJECT TITLE: THREE STOREY RESIDENTIAL WITH ROOF DECK

PROPOSED THREE-STOREY RESIDENTIAL
CLIENT: MR AND MRS BUENAFER
LOCATION: BANGUED, ABRA

A. GENERAL CONDITIONS
Skyline Contractors created this residential construction specifications to assist in
building safe, decent, affordable housing.
Skyline Contractors has created has adopted the following codes to enforce building &
zoning regulations:
• National Building Code of the Philippines
• National Structural Code of the Philippines 2015
• Architectural Code of the Philippines
• Plumbing Code of the Philippines
• Electrical Code of the Philippines
• Fire Code of the Philippines
• Sanitary Code of the Philippines
All the work to be executed shall be done in accordance with the accompanying plans
and specifications hereto and shall govern over the said plans in case of conflict.
It is shall be done in the best quality of workmanship under the supervision of an
Architect or a Civil Engineer.
The construction shall conform to all the requirement of the National Building Code as
well as the local rules and regulations of the City or Municipality.

B. CLEARING, GRADING AND FILLING

1. General Conditions
The contractor shall make all necessary excavation for the foundation to grade
indicated in the drawings with put extra compensation. The ground floor shall be 0.20
meters above the grade line.
Excavation for footings shall be done strictly in accordance with the given sizes
and depths as shown in the drawings.

C. PLANS AND SPECIFICATIONS

1. 1.The plans and specifications shall be considered as binding in all items of work
 mentioned in one but mentioned or indicated in the other or vice-versa, shall Be
considered as there are duly mentioned in both.
2. 2.Where no numerical indications appear on the plans, all drawings shall be carefully
followed according to the plans and specifications indicated, but where numerical
notations are indicated, such numerical notations shall be followed.
3. 3.The contractor or workmen without prior approval of the architect concerned and
owner or his representative shall make no change in the drawings or specifications.

D. CONCRETE AND MASONRY

1. CONCRETE WORKS
All concrete works shall be done in accordance with Government Specifications
for Concrete and or the latest edition of the ACI requirements for Reinforced Concrete.
The following proportions shall be used unless otherwise noted in the plan:
Class “A” (1:2:4) for suspended slab, column, beams, carport slab and driveway
Class “B” (1:2:5) for footings and foundations.
Class “C” (1:3:6) for all slab on fill.
All slab not less than 0.10 m in thickness. All slab reinforcement shall be 0.10 m
in thickness. All slab reinforcement shall be 0.02 m. clear from the bottom and 0.015
m. clear from the top of the slab.

2. MASONRY WORKS:
For all exterior walls use 6” concrete hollow blocks locally manufactured All 6”
hollow blocks shall be reinforced with 10 mm diameter vertical bars at every 0.60 mm
and 10mm diameter horizontal bars 0.60 m and 10mm diameter horizontal bars at every
0.60m. All 4” hollow blocks shall be reinforced with 10 mm diameter vertical bars at
every 0.60 m and 10 mm. diameter horizontal bars at every 0.60 m.
All cells and joints for reinforcements shall be filled with mortar. All cells and
joints under the ground shall be filled
Tie beam shall be provided all around exterior walls.
For mortar and plastering, the proportion 1:3 shall be used for cement and sand
mixture.
3. MATERIALS
•Island cement shall conform to ASTM standards. Use only one brand for the whole
structural and masonry works.
•Fine aggregates for concrete, mortar, grout, or plaster: stone screenings or other
materials with similar characteristics: clean, hard, strong, durable, free from dusts,
lumps soft or flaky particles, shale, alkali, loam or clay.
•Coarse Aggregates: Gravel; Well- drained, clean, hard particles of gravel or crushed
 rocks, 25mm (1”) dia. Maximum for slab. Clean, washed sand from Porac Plaridel or
approved equal.
•Steel reinforcements: As manufactured by National Steel Corporation or approved
equal. Structural Grade Steel: with minimum Fy= 227.37 MPa. (3300 Psi), Intermediate
Grade Steel: with minimum Fy= 275.8 MPa (4000 psi)
•Tie wires: Ga. 16 galvanized iron (G.I.) at joints or laps of placed reinforcements as
indicated in the plans. Refer to structural plans and general construction notes to
conform the above values. Use steel conforming to ASTM standards, deformed, for
concrete and masonry requirements.
•Water: Fit for drinking, free from injurious amount of oil, acids, alkali, organic
materials and other deleterious substances.

4. FORMWORKS
Construct all formwork complete with centering coarse molds conform to shape,
form line grade, maintain rigid to prevent deformation under I load. Provide necessary
camber.

Remove forms according to the following schedule:

Footings - 2 days
Column - 4 days
Beams & Girders --allow one day per ft. with minimum of 7 days.

5. PROPORTIONING, MIXING AND CURVING

The design was based on a 3,000 lbs. concrete. Design mix proportion to produce
3,000 lbs. strength after 28 days. Proportion volume of 2 cu. Ft. boxes.
Immediately after placing, protect concrete surface not covered by form from lots of
surface moisture for at least 5 clays. Protect from loss of water by covering with paper.

6. CONCRETE WALLS
a) All walls to be reinforced according to the schedule of wall reinforcement unless
otherwise indicated.
b) Reinforced bars to be 0.03 meters clear from the face of the wall except in 0.10 meters
wall where it will be at the center.
c) Carry the vertical bars 0.60 meters above the floor level to provide the splicing within
the necessary; elsewhere stop at 0.05 mete below the top of the slab or solid band.
d) Horizontal and vertical bars, if necessary, shall be applied by lapping a distance equal
to 40 diameters. Wire securely with #16 F.1 wire provided the splicing in the adjacent
bars are staggered at least 1.50 meters on center.
 e) All walls spanning, openings and wall acting as beams to have vertical reinforcement
bent U-form like stirrings and spaced according to the schedule of wall reinforcement,
unless otherwise stated.
f) In wall reinforcement, alternate intersection of vertical and horizontal bare shall be
connected with #16 C.I. wire to the opposite intersection to give the required distance
in accordance with the notes on concrete walls.

7. SLABS
a) All slabs reinforcement to be 0.02 meters clear from the bottom and 0.15 meters clear
from the top of the slab.
b) Bend bars at 30 degrees angle.
c) Use #3 dia. temperature bar.
d) Spaced 12" o.c. both ways.

8. CEMENT FINISHES
a. All concrete surfaces including those indicated as cement finish, other than floors
and steps and surfaces where other applied finish is required shall be given a finish done
and applied in the following manner:
1. Immediately after removal of forms, all projecting wire and bolts and other devices
used for tying forms shall be cut-off at least one-half cm. beneath the finish surface. All
holes, voids, depressions, and other defects shall be thoroughly wetted and then painted
up solid with cement mortar putty of the same proportion as the mortar in the bodywork.
2. Where tiles bricks are specified in drawings, tiles shall be firmly laid on 1:2 cement
mortar.

9. CONCRETE HOLLOW BLOCKS

Concrete hollow blocks are indicated in the drawings shall be jackbilt or equivalent.
The normal thickness of the blocks shall be 6" and 4" required.
Concrete blocks shall be wetted thoroughly with water prior to laying. Blocks shall be
laid in running hand with vertical faces truly vertical with clean out joints.
Partitions shall be reinforced with 3/8" dia. horizontal @ 24 o.c. and 1/2" dia. vertical
@ 12 o.c. The cell containing the vertical reinforcement shall be filled with cement
mortar of 1:3 mixture.

10. CARPENTRY AND JOINERY WORKS

a. Lumber shall be of approved quality of their respective kinds required for the
various parts of the work; they shall well-seasoned thoroughly dry and free from all
imperfections impairing their strength, durability or appearance. Form lumber shall be
rough smoothly dressed and well sandpapered.
Lumber to be used for their respective parts of the work shall be as follows:
1. Yakal - door jambs, door heads, window jambs, sills and heads concrete or masonry
works.
2. Tanguile - 1/4" plywood (Class C).

b. All frames shall be done as far as possible with carefully fitted mortise and tendon
joints. All doors, windows and other openings were so indicated on plane, shall have
frame and still of the dimensions shown and all frames coming in contract with concrete
shall be anchored with 20 D nails, space not more than 3 apart, all around and the
contract surface.
All frames shall be riveted and molded were so required.
c. Doors
Door panels shall be as indicated in the schedule nailed and glued in place.
Deutsche Fenster PVC door shall have door jamb and lockset. Schedule of door is
provided on the plan and bill of materials. All materials shall be of good quality, and
any objects noticed shall be out rightly rejected upon delivery.
Glass door shall be provided with handle and hinges as specified by the Architect.
d. Windows
All aluminum, sliding windows, jalousies shall be in accordance with the detailed
drawing.
Windows schedule is provided on the bill of materials.
All window frames are aluminum powder coated with ¼ “ thick glass, color of
frame as per architect’s or owner’s choice.
e. Partitions
Partitions shall be accordance with the detailed drawings.
f. Ground Floor
1. Living area - (vinyl wood plank 4” x 36” x 3mm)
2. Dining area - (vinyl wood plank 4” x 36” x 3mm)
3. Kitchen - (ceramic floor tiles 400mm x 400mm)
4. Dirty Kitchen – (stone tiles 600mm x 1200mm)
5. Toilet & Bath – (ceramic tile 200mm x 200mm\)
6. Carport – (stone tiles 600mm x 1200mm)
7. Entry porch – (vinyl wood plank 4” x 36” x 3mm)
8. Maid’s room – plain finished cement
g. Second Floor
1. Hallway - (vinyl wood plank 4” x 36” x 3mm)
2. Bedrooms – carpet
 3. Master bedroom – carpet
4. Walk-in Closet - carpet
5. Toilet & Bath – (ceramic tile 200mm x 200mm)
6. Balcony – (stone tiles 600mm x 600mm)
II. Painting
A. GENERAL REQUIREMENTS
•Surface Examination – No painting shall be done under conditions, which will
jeopardize the quality or appearance of painting or finishing.
•Preparation – All surfaces shall be in proper condition to receive the finish. All
woodwork shall be sandpapered to smooth and finished dusted clean; all knotholes,
pitch pockets, or sappy portions shall be shellacked or sealed with wood filler. Nail
holes cracks or defects shall be carefully puttied after the first coat. Matching the color
paint or stain, all imperfection in plaster shall be filled with patching. Compound and
smoothened off to match adjoining surfaces.

NOTES:
All painting and finishes shall have at least two (2) coats of Boysen paints or stain.
No work shall be left without approval of the supervising Architect.

B. CHOICE OF COLOR
The owner must first be consulted after he has given the color scheme. No painting
job shall be done unless it has met the approval of the owner regarding the color.

C. VARNISHING
1. All woodwork to be varnished must first be thoroughly sandpapered and all cracks
hole, and other defects must be thoroughly and carefully filled with the first quality
colored or white putty tinted to match the desired finish.
2. No man-on-the-job wood filler will he allowed. It should be a first quality wood
filler.
3. Before varnishing a sample must be applied for approval of the owner.

D. MISCELLANEOUS
All licenses and permits necessary for the proper construction including light
connection and other miscellaneous fees incidental to complete the construction of the
building shall be done by the owner. The building permit shall be at the expense of the
owner.
NOTED BY:
__________________________________
MOHAMMED DARWEISH

___________________________________
IRVIN ZAX SCOTT GUADO

___________________________________
EUNNICE PANALIGAN

___________________________________
CARLO MIGUEL ROBISO

___________________________________
CARL JOSEPH SUPAN

ENGINEERS-IN-CHARGE
III. Bidding Requirements
TABLE OF CONTENTS

SECTION I. INVITATION TO BID 5

SECTION II. INSTRUCTIONS TO BIDDERS 8
SECTION III. BID DATA SHEET 38
SECTION IV. GENERAL CONDITIONS OF CONTRACT 43
SECTION V. SPECIAL CONDITIONS OF CONTRACT 76
SECTION VI. SPECIFICATIONS 80
SECTION VII. DRAWINGS 82
SECTION VIII. BILL OF QUANTITIES 83
SECTION IX. BIDDING FORMS 85
SECTION X. FOREIGN-ASSISTED PROJECTS 95
 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. 9184;
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.
 [Letterhead of the Procuring Entity]
Invitation to Bid for [Insert name of Project]

1. The [insert name of Procuring Entity], through the [insert source of funding and year]
intends to apply the sum of [insert the approved budget for the contract] being the
Approved Budget for the Contract (ABC) to payments under the contract for [insert
name/no. of contract]. Bids received in excess of the ABC shall be automatically rejected
at bid opening.
Select this for lot-procurement:
The [insert name of Procuring Entity], through the [insert source of funding and year] intends
to apply the sum of [insert the approved budget for the contract corresponding to each
lot, and the name/identification/number of contract for each lot] being the Approved
Budget for the Contract (ABC) to payments under the contract for each lot. Bids
received in excess of the ABC for each lot shall be automatically rejected at bid
opening.
2. The [insert name of Procuring Entity] now invites bids for [insert brief description of
Works to be procured]. Completion of the Works is required [insert the required
completion date or expected contract duration]. 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.
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 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 to the latest
Guidelines issued by the GPPB, in the amount of [insert amount in Pesos].}
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 [insert name of the Procuring Entity] will hold a Pre-Bid Conference 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 any of the
acceptable forms and in the amount stated in ITB Clause 18.
Bid opening shall be on [insert time and date] at [insert address for bid opening]. 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 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:
[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]

_________________________________[Insert Name and Signature of the BAC

Chairperson or the Authorized Representative of the 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.
 TABLE OF CONTENTS
A. GENERAL 11
1. Scope of Bid 11
2. Source of Funds 11
3. Corrupt, Fraudulent, Collusive, Coercive, and Obstructive Practices 11
4. Conflict of Interest 13
5. Eligible Bidders 14
6. Bidder’s Responsibilities 15
7. Origin of GOODS and Services 17
8. Subcontracts 17
B. CONTENTS OF BIDDING DOCUMENTS 17
9. Pre-Bid Conference 17
10. Clarification and Amendment of Bidding Documents 18
C. PREPARATION OF BIDS 19
11. Language of Bids 19
12. Documents Comprising the Bid: Eligibility and Technical Components 19
13. Documents Comprising the Bid: Financial Component 21
14. Alternative Bids 22
15. Bid Prices 22
16. Bid Currencies 23
17. Bid Validity 23
18. Bid Security 24
19. Format and Signing of Bids 26
20. Sealing and Marking of Bids 27
D. SUBMISSION AND OPENING OF BIDS 27
21. Deadline for Submission of Bids 27
22. Late Bids 28
23. Modification and Withdrawal of Bids 28
24. Opening and Preliminary Examination of Bids 28
E. EVALUATION AND COMPARISON OF BIDS 30
25. Process to be Confidential 30
26. Clarification of Bids 30
27. Detailed Evaluation and Comparison of Bids 30
28. Post Qualification 32
29. Reservation Clause 33
F. AWARD OF CONTRACT 34
30. Contract Award 34
31. Signing of the Contract 34
32. Performance Security 35
33. Notice to Proceed 36
34. Protest Mechanism 36
 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;
(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.
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:
 4.2. A Bidder has controlling shareholders in common with another Bidder;
4.3. A Bidder receives or has received any direct or indirect subsidy from any other
Bidder;
4.4. A Bidder has the same legal representative as that of another Bidder for
purposes of this Bid;
4.5. 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;
4.6. 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;
4.7. 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
4.8. 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.
4.9. 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:
4.10. If the Bidder is an individual or a sole proprietorship, to the Bidder himself;
4.11. If the Bidder is a partnership, to all its officers and members;
4.12. If the Bidder is a corporation, to all its officers, directors, and controlling
stockholders;
4.13. If the Bidder is a cooperative, to all its officers, directors, and controlling
shareholders or members; and
4.14. 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:
5.2. Duly licensed Filipino citizens/sole proprietorships;
5.3. 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;
5.4. 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;
5.5. Cooperatives duly organized under the laws of the Philippines.
5.6. 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.
5.7. The Procuring Entity may also invite foreign bidders when provided for under
any Treaty or International or Executive Agreement as specified in the BDS.
5.8. Government owned or controlled corporations (GOCCs) may be eligible to
participate only if they can establish that they (a) are legally and financially
autonomous, (b) operate under commercial law, and (c) are not attached
agencies of the Procuring Entity.
5.9. (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.
5.10. 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:
6.3. Having taken steps to carefully examine all of the Bidding Documents;
6.4. Having acknowledged all conditions, local or otherwise, affecting the
implementation of the contract;
6.5. Having made an estimate of the facilities available and needed for the contract
to be bid, if any;
6.6. Having complied with its responsibility to inquire or secure Supplemental/Bid
Bulletin/s as provided under ITB Clause 10.4.
6.7. 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;
6.8. 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;
6.9. Authorizing the HoPE or its duly authorized representative/s to verify all the
documents submitted;
6.10. 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;
6.11. Complying with the disclosure provision under Section 47 of RA 9184 and its
IRR in relation to other provisions of RA 3019;
6.12. Complying with existing labor laws and standards, in the case of procurement
of services. Moreover, bidder undertakes to:
6.13. 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.
6.14. Comply with occupational safety and health standards and to correct
deficiencies, if any.
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
6.15. 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
6.16. 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.
 6.17. 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.
6.18. 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.
6.19. 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.
6.20. 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.
6.21. 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.
6.22. 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.
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 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.
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:
12.2. Eligibility Documents –
Class “A” Documents
12.3. 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;
12.4. 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
(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;
12.5. 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
12.6. NFCC computation in accordance with ITB Clause 5.5.
Class “B” Documents
12.7. If applicable, Joint Venture Agreement (JVA) in accordance with RA 4566.
12.8. Technical Documents –
12.9. Bid security in accordance with ITB Clause 18. If the Bidder opts to submit the
bid security in the form of:
12.10. 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
 12.11. a surety bond accompanied by a certification coming from the Insurance
Commission that the surety or insurance company is authorized to issue such
instruments.
12.12. Project Requirements, which shall include the following:
12.13. Organizational chart for the contract to be bid;
12.14. 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
12.15. 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 may be, which must meet the minimum requirements for
the contract set in the BDS; and
12.16. 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:
13.2. Financial Bid Form, which includes bid prices and the bill of quantities, in
accordance with ITB Clauses 15.1 and 15.3; and
13.3. Any other document related to the financial component of the bid as stated in
the BDS.
13.4. (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.
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 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.

For biddings conducted by 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 issued by a Universal or
Two percent (2%)
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 by the Insurance Five percent (5%)
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.
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:
18.6. if a Bidder:
18.7. withdraws its bid during the period of bid validity specified in ITB Clause 17;
18.8. does not accept the correction of errors pursuant to ITB Clause 27.3(b);
18.9. has a finding against the veracity of the required documents submitted in
accordance with ITB Clause 28.2;
18.10. submission of eligibility requirements containing false information or falsified
documents;
18.11. 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;
18.12. allowing the use of one’s name, or using the name of another for purposes of
public bidding;
18.13. 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;
18.14. refusal or failure to post the required performance security within the prescribed
time;
18.15. 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;
18.16. any documented attempt by a Bidder to unduly influence the outcome of the
bidding in his favor;
18.17. failure of the potential joint venture partners to enter into the joint venture after
the bid is declared successful; or
 18.18. 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.
18.19. if the successful Bidder:
18.20. fails to sign the contract in accordance with ITB Clause 31;
18.21. 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.
20.4. All envelopes shall:
20.5. contain the name of the contract to be bid in capital letters;
20.6. bear the name and address of the Bidder in capital letters;
20.7. be addressed to the Procuring Entity’s BAC in accordance with ITB Clause
20.1;
20.8. bear the specific identification of this bidding process indicated in the ITB
Clause 1.2; and
20.9. bear a warning “DO NOT OPEN BEFORE…” the date and time for the opening
of bids, in accordance with ITB Clause 21.
20.10. 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
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.
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.
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:
27.3. The detailed evaluation of the financial component of the bids, to establish the
correct calculated prices of the bids; and
27.4. 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.
27.5. 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:
27.6. 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
27.7. 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.
27.8. 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.
27.9. 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.
27.10. 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.
27.11. 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.
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 liability, and
make no assurance that a contract shall be entered into as a result of the bidding:
29.3. 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;
29.4. If the Procuring Entity’s BAC is found to have failed in following the
prescribed bidding procedures; or
29.5. For any justifiable and reasonable ground where the award of the contract will
not redound to the benefit of the GOP as follows:
29.6. 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;
29.7. If the project is no longer necessary as determined by the HoPE; and
29.8. If the source of funds for the project has been withheld or reduced through no
fault of the Procuring Entity.
29.9. In addition, the Procuring Entity may likewise declare a failure of bidding when:
29.10. No bids are received;
 29.11. All prospective Bidders are declared ineligible;
29.12. All bids fail to comply with all the bid requirements, fail post-qualification; or
29.13. 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
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:
30.4. Submission of the following documents within ten (10) calendar days from
receipt of the Notice of Award:
30.5. In the case of procurement by a Philippine Foreign Service Office or Post, the
PhilGEPS Registration Number of the winning foreign Bidder; or
30.6. 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;
30.7. Posting of the performance security in accordance with ITB Clause 32;
30.8. Signing of the contract as provided in ITB Clause 31; and
30.9. 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:
31.5. Contract Agreement;
31.6. Bidding Documents;
31.7. 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 corrections to the bid, if any, resulting from
the Procuring Entity’s bid evaluation;
31.8. Performance Security;
31.9. Notice of Award of Contract; and
31.10. 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 Ten percent (10%)
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 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
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.
 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.
 Bid Data Sheet
ITB Clause
1.1 The Procuring Entity is [insert name of purchasing organization].
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 as provided in the Invitation to Bid].
2 The Funding Source is:
The Government of the Philippines (GoP) through [indicate source of
funding and year] in the amount of [insert amount of funds].
NOTE: In the case of National Government Agencies, the General
Appropriations Act and/or continuing appropriations; in the case of
Government-Owned and/or –Controlled Corporations, Government
Financial Institutions, and State Universities and Colleges, the Corporate
Budget for the contract approved by the governing Boards; in the case of
Local Government Units, the Budget for the contract approved by the
respective Sanggunian.
The name of the Project is [Insert the name of the project or “Not
Applicable”]
3.1 No further instructions.
5.1 No further instructions.
5.2 Select one, delete the other.
Foreign bidders may participate in this Project as provided for in [State
relevant provisions of the applicable Treaty or International or Executive
Agreement.] or
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. [insert description/clarification of what are
major categories of work].

8.1 State either “Subcontracting is not allowed.” or specify the portions of Works
and the maximum percentage allowed to be subcontracted.
NOTE: The contractor shall undertake not less than 50% of the contracted
works with its own resources.
8.2 If subcontracting is allowed, specify the eligibility criteria that subcontractors
must comply with; including the corresponding documentary requirements
therefor; otherwise, state “Not applicable.”
9.1 The Procuring Entity will hold a pre-bid conference for this Project on
[State date and time] at [State address of venue] {insert if applicable and
through video-conferencing/webcasting via [insert website, application or
technology to be used].}.
10.1 The Procuring Entity’s address is:
[Insert full address]
[Insert name and designation of Contact person]
[Insert telephone and fax number of Contact]
 [Insert email address of contact (if applicable)]
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

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

Equipment Capacity Number of Units
13.1 List any additional requirements or state “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 [insert amount]. Any bid with a financial component
exceeding this amount shall not be accepted.
14.2 Insert value engineering clause if allowed, otherwise state “No further
instructions.”
15.4 No further instruction.
16.1 Select one, delete the other:
The bid prices shall be quoted in Philippine Pesos.
Or
The bid prices shall be quoted either in Philippine Pesos or United States
Dollars at the discretion of the Bidder.
16.3 No further instructions.
17.1 Bids will be valid until [insert date].
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 __________ [Insert 2% of ABC], 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 __________ [Insert 5% of ABC] if bid security
is in Surety Bond.
18.2 The bid security shall be valid until [insert date].
20.3 Each Bidder shall submit [insert required number] original and [insert
required number] copies of the first and second components of its bid.
21 The address for submission of bids is [insert address].
The deadline for submission of bids is [insert time and date].
24.1 The place of bid opening is [insert address].
The date and time of bid opening is [insert time and date].
24.2 No further instructions.
24.3 No further instructions.
27.3 Select one of the following paragraphs and delete the other:
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.
Or
All infrastructure projects are packaged in lots listed below. Bidders shall
have the option of submitting a proposal on any or all lots and evaluation
and contract award will be undertaken on a per lot basis. Lots shall not be
divided further into sub-lots for the purpose of bidding, evaluation, and
contract award.
In all cases, the NFCC computation, if applicable, must be sufficient for all
the lots or contracts to be awarded to the Bidder.
[Insert grouping of lots]
27.4 No further instructions.
28.2 List licenses and permits relevant to the Project and the corresponding law
requiring it or state “None.”
31.4(f) List additional contract documents relevant to the Project that may be
required by existing laws and/or the Procuring Entity, such as construction
schedule and S-curve, manpower schedule, construction methods,
equipment utilization schedule, construction safety and health program
approved by the Department of Labor and Employment, and PERT/CPM or
other acceptable tools of project scheduling.
 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.
 TABLE OF CONTENTS

1. DEFINITIONS 46
2. INTERPRETATION 48
3. GOVERNING LANGUAGE AND LAW 49
4. COMMUNICATIONS 49
5. POSSESSION OF SITE 49
6. THE CONTRACTOR’S OBLIGATIONS 49
7. PERFORMANCE SECURITY 50
8. SUBCONTRACTING 51
9. LIQUIDATED DAMAGES 52
10. SITE INVESTIGATION REPORTS 52
11. THE PROCURING ENTITY, LICENSES AND PERMITS 52
12. CONTRACTOR’S RISK AND WARRANTY SECURITY 52
13. LIABILITY OF THE CONTRACTOR 55
14. PROCURING ENTITY’S RISK 55
15. INSURANCE 55
16. TERMINATION FOR DEFAULT OF CONTRACTOR 56
17. TERMINATION FOR DEFAULT OF PROCURING ENTITY 57
18. TERMINATION FOR OTHER CAUSES 57
19. PROCEDURES FOR TERMINATION OF CONTRACTS 59
20. FORCE MAJEURE, RELEASE FROM PERFORMANCE 61
21. RESOLUTION OF DISPUTES 62
22. SUSPENSION OF LOAN, CREDIT, GRANT, OR APPROPRIATION 63
23. PROCURING ENTITY’S REPRESENTATIVE’S DECISIONS 63
24. APPROVAL OF DRAWINGS AND TEMPORARY WORKS BY THE PROCURING ENTITY’S
REPRESENTATIVE 63
25. ACCELERATION AND DELAYS ORDERED BY THE PROCURING ENTITY’S
REPRESENTATIVE 63
26. EXTENSION OF THE INTENDED COMPLETION DATE 64
27. RIGHT TO VARY 64
28. CONTRACTORS RIGHT TO CLAIM 64
29. DAYWORKS 64
30. EARLY WARNING 65
31. PROGRAM OF WORK 65
32. MANAGEMENT CONFERENCES 66
33. BILL OF QUANTITIES 66
34. INSTRUCTIONS, INSPECTIONS AND AUDITS 66
35. IDENTIFYING DEFECTS 67
36. COST OF REPAIRS 67
37. CORRECTION OF DEFECTS 67
38. UNCORRECTED DEFECTS 67
39. ADVANCE PAYMENT 68
40. PROGRESS PAYMENTS 68
41. PAYMENT CERTIFICATES 69
42. RETENTION 69
43. VARIATION ORDERS 70
44. CONTRACT COMPLETION 71
45. SUSPENSION OF WORK 72
46. PAYMENT ON TERMINATION 72
47. EXTENSION OF CONTRACT TIME 73
48. PRICE ADJUSTMENT 74
49. COMPLETION 74
50. TAKING OVER 74
51. OPERATING AND MAINTENANCE MANUALS 74
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.
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.
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;
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.
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
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:
7.5. There are no pending claims against the Contractor or the surety company filed by the
Procuring Entity;
7.6. The Contractor has no pending claims for labor and materials filed against it; and
7.7. Other terms specified in the SCC.
7.8. 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.
7.9. 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.
7.10. 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
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 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:
12.5. 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;
12.6. 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;
12.7. 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;
12.8. 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.
12.9. 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.
12.10. 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.
12.11. 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, Five Percent (5%)
that the letter of credit shall be confirmed
 or 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 insurance
Thirty Percent (30%)
company duly certified by the Insurance
Commission
12.12. 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.
12.13. 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 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:
14.2. The risk of personal injury, death, or loss of or damage to property (excluding the
Works, Plant, Materials, and Equipment), which are due to:
14.3. any type of use or occupation of the Site authorized by the Procuring Entity after the
official acceptance of the works; or
14.4. 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.
14.5. 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:
15.2. Contractor’s All Risk Insurance;
15.3. Transportation to the project Site of Equipment, Machinery, and Supplies owned by the
Contractor;
15.4. Personal injury or death of Contractor’s employees; and
15.5. Comprehensive insurance for third party liability to Contractor’s direct or indirect act
or omission causing damage to third persons.
15.6. 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.
15.7. 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.
15.8. 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.
15.9. 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.
15.10. 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:
15.11. The issuer of the insurance policy to be replaced has:
15.12. become bankrupt;
15.13. been placed under receivership or under a management committee;
15.14. been sued for suspension of payment; or
15.15. been suspended by the Insurance Commission and its license to engage in business or
its authority to issue insurance policies cancelled; or
15.16. 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
16.1. The Procuring Entity shall terminate this Contract for default when any of the following
conditions attend its implementation:
16.2. 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;
16.3. 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
16.4. The Contractor:
16.5. 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;
16.6. 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;
16.7. does not execute the Works in accordance with this Contract or persistently or flagrantly
neglects to carry out its obligations under this Contract;
16.8. neglects or refuses to remove materials or to perform a new Work that has been rejected
as defective or unsuitable; or
16.9. sub-lets any part of this Contract without approval by the Procuring Entity.
16.10. 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:
17.1. 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
17.2. 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.
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:
18.4. 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;
18.5. 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;
18.6. 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;
18.7. 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;
18.8. 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;
18.9. The Contractor does not maintain a Security, which is required;
18.10. 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
18.11. 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:
18.12. corrupt, fraudulent, collusive, coercive, and obstructive practices as defined in ITB
Clause 3.1(a), unless otherwise specified in the SCC;
18.13. drawing up or using forged documents;
18.14. using adulterated materials, means or methods, or engaging in production contrary to
rules of science or the trade; and
18.15. any other act analogous to the foregoing.
18.16. 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.
18.17. 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.
18.18. 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:
19.2. 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;
19.3. 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:
19.4. 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;
19.5. the extent of termination, whether in whole or in part;
19.6. an instruction to the Contractor to show cause as to why this Contract should not be
terminated; and
19.7. special instructions of the Procuring Entity, if any.
The Notice to Terminate shall be accompanied by a copy of the Verified Report;
19.8. 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;
19.9. 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;
19.10. 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
19.11. 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.
19.12. 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:
19.13. 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”);
19.14. 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. For the procurement of infrastructure projects or
consultancy contracts, lawful instructions include but are not limited to the following:
19.15. Employment of competent technical personnel, competent engineers and/or work
supervisors;
19.16. Provision of warning signs and barricades in accordance with approved plans and
specifications and contract provisions;
19.17. 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;
19.18. Deployment of committed equipment, facilities, support staff and manpower; and
19.19. Renewal of the effectivity dates of the performance security after its expiration during
the course of contract implementation.
19.20. 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.
19.21. 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:
19.22. Negative slippage of 15% and above within the critical path of the project due entirely
to the fault or negligence of the contractor; and
19.23. Quality of materials and workmanship not complying with the approved specifications
arising from the contractor's fault or negligence.
19.24. 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 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:
20.5. any sum to which the Contractor is entitled under GCC Clause 28;
20.6. the cost of his suspension and demobilization;
20.7. any sum to which the Procuring Entity is entitled.
20.8. 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 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:
22.1. The Procuring Entity is obligated to notify the Contractor of such suspension within
seven (7) days of having received the suspension notice.
22.2. 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 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:
27.3. At a lump sum price agreed between the parties;
27.4. where appropriate, at rates in this Contract;
27.5. in the absence of appropriate rates, the rates in this Contract shall be used as the basis
for valuation; or failing which
27.6. 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
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 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.
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 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:
40.3. Cumulative value of the work previously certified and paid for.
40.4. Portion of the advance payment to be recouped for the month.
40.5. Retention money in accordance with the condition of contract.
40.6. Amount to cover third party liabilities.
40.7. Amount to cover uncorrected discovered defects in the works.
40.8. 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.
40.9. 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.
40.10. 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:
41.4. be determined by the Procuring Entity’s Representative;
41.5. comprise the value of the quantities of the items in the Bill of Quantities completed;
and
41.6. include the valuations of approved variations.
41.7. 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.
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 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:
43.6. 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.
43.7. 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.
43.8. 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.
43.9. 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.
43.10. 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 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:
45.3. There exist right-of-way problems which prohibit the Contractor from performing work
in accordance with the approved construction schedule.
45.4. Requisite construction plans which must be owner-furnished are not issued to the
contractor precluding any work called for by such plans.
45.5. 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.
45.6. There is failure on the part of the Procuring Entity to deliver government-furnished
materials and equipment as stipulated in the contract.
45.7. 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.
45.8. 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.
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.
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.
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.
 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.
 Special Conditions of Contract

GCC Clause
1.17 The Intended Completion Date is [Insert date].
NOTE: The contract duration shall be reckoned from the start date
and not from contract effectivity date.
1.22 The Procuring Entity is [Insert full name and address of the Procuring
Entity].
1.23 The Procuring Entity’s Representative is [Name, address, and name
of authorized representative].
1.24 The Site is located at [insert location] and is defined in drawings No.
[Insert Number].
List here locations of other Sites, if any.
1.28 The Start Date is [Insert date].

NOTE: The start date shall be the date of receipt of the Notice to
Proceed.
1.31 The Works consist of [insert a brief summary, including relationship to
other contracts under this Project].
2.2 If different dates are specified for completion of the Works by section
(“sectional completion”), these dates should be listed here
5.1 The Procuring Entity shall give possession of all parts of the Site to the
Contractor [insert date].
6.5 The Contractor shall employ the following Key Personnel:
[List key personnel by name and designation]
NOTE: The names of the Key Personnel and their designation shall be
filled out by winning contractor prior to contract signing.
7.4(c) Specify additional conditions, if any, that must be met prior to the
release of the performance security, otherwise, state “No further
instructions.”
7.7 No further instructions.
8.1 No further instructions.

10 The site investigation reports are: [list here or state none]

12.3 No further instructions.
12.5 Select one, delete the other.
In case of permanent structures, such as buildings of types 4 and 5 as
classified under the National Building Code of the Philippines and other
structures made of steel, iron, or concrete which comply with relevant
structural codes (e.g., DPWH Standard Specifications), such as, but not
limited to, steel/concrete bridges, flyovers, aircraft movement areas,
ports, dams, tunnels, filtration and treatment plants, sewerage systems,
power plants, transmission and communication towers, railway system,
and other similar permanent structures: Fifteen (15) years.
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: Five (5) years.
 In case of other structures, such as Bailey and wooden bridges, shallow
wells, spring developments, and other similar structures: Two (2) years.
13 State here “No additional provision.” or, if the Contractor is a joint
venture, “All partners to the joint venture shall be jointly and severally
liable to the Procuring Entity.”
18.3(h)(i) No further instructions.
21.2 The Arbiter is: [Insert name]
[Insert address]
29.1 Select one, delete the other:
Dayworks are applicable at the rate shown in the Contractor’s original
Bid.
Or
No dayworks are applicable to the contract.
31.1 The Contractor shall submit the Program of Work to the Procuring
Entity’s Representative within [insert number] days of delivery of the
Notice of Award.
31.3 The period between Program of Work updates is [insert number] 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 Government of the Philippines.
39.1 The amount of the advance payment is [insert amount as percentage of
the Contract Price and schedule of payment]
40.1 Select one and delete the other.
No further instructions. Or
Materials and equipment delivered on the site but not completely put in
place shall be included for payment.
51.1 The date by which operating and maintenance manuals are required is
[date].
The date by which “as built” drawings are required is [date].
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
[amount in local currency].
 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.
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 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.
Section IX. Bidding Forms

TABLE OF CONTENTS
Bid Form 86
Form of Contract Agreement 88
Omnibus Sworn Statement 90
Bid Securing Declaration………………………………………………………91
 Bid Form

Date:
IB 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
(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: ___________
 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.
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]
 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;

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

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.

 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.
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 ____.
 Section X. Foreign-Assisted Projects
Notes on Foreign-Assisted Projects
This Section is intended to assist the Procuring Entity in providing the specific
information for foreign-assisted projects of the Asian Development Bank (ADB),
the Japan International Cooperation Agency (JICA), and the World Bank.
If the Funding Source is ADB, the Procuring Entity should use the ADB Bid Data
Sheet and ADB Special Conditions of Contract.
If the Funding Source is JICA, the Procuring Entity should use Section III. Bid
Data Sheet and Section V. Special Conditions of Contract, both of the GoP.
If the Funding Source is World Bank, the Procuring Entity should use the World
Bank Bid Data Sheet and the World Bank Special Conditions of Contract.
The Procuring Entity shall use these PBDs with minimum changes as necessary to
address project-specific conditions. Any such changes shall be introduced only
through the Bid Data Sheet or through the Special Conditions of Contract, and not
by introducing changes in the standard wording of the Instructions to Bidders and
the General Conditions of Contract.
The Procuring Entity shall allow the Bidders sufficient time to study the Bidding
Documents, prepare and complete responsive bids, and submit their bids. A period
of at least twenty (20) days for bid preparation shall be required.
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) 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 IRR of R.A. 9184;
(b) Posted continuously in the Philippine Government Electronic Procurement System
(PhilGEPS) website, the website of the Procuring Entity concerned, if available,
and the website prescribed by the foreign government/foreign or international
financing institution, if applicable, from the time the Invitation to Bid is advertised
until the deadline for the submission and receipt of bids; and
(c) Posted at any conspicuous place reserved for this purpose in the premises of the
Procuring Entity concerned from the time the Invitation to Bid is advertised until
the deadline for the submission and receipt of bids, as certified by the head of the
Bids and Awards Committee (BAC) Secretariat of the Procuring Entity concerned.
Apart from the essential items listed in the Bidding Documents, the Invitation to
Bid should also indicate the following:
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.
The place where the Bidding Documents may be acquired or the website where it
may be downloaded.
The deadline for the submission and receipt of bids; and
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.
Notes on the Bid Data Sheet
This Section is intended to assist the Procuring Entity in providing the specific
information in relation to the corresponding clauses in the ITB, 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.
Notes on the Special Conditions of the 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.
 TABLE OF CONTENTS

INVITATION TO BID FOR FOREIGN-ASSISTED PROJECTS 95

ASIAN DEVELOPMENT BANK BID DATA SHEET 95
ASIAN DEVELOPMENT BANK SPECIAL CONDITIONS OF CONTRACT 95
WORLD BANK BID DATA SHEET 95
WORLD BANK SPECIAL CONDITIONS OF CONTRACT 95
 Invitation to Bid for Foreign-Assisted Projects

[Letterhead of the Procuring Entity]

INVITATION TO BID FOR [Insert name of Project]

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].
The [insert name of Procuring Entity] now invites bids for [insert brief description of Works to
be procured]. 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.
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.]
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].
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 to the latest
Guidelines issued by the GPPB, in the amount of [ insert amount in pesos].}
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.
The [insert name of the Procuring Entity] will hold a Pre-Bid Conference on [insert time and
date] at [insert address for Pre-Bid Conference, if applicable], which shall be open to
prospective bidders.
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.
[Insert such other necessary information deemed relevant by the Procuring Entity]
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.
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]

_________________________________
[Insert Name and Signature of the BAC Chairperson or the Authorized Representative
of the BAC Chairperson]
 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;
(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
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
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) Foreign bidders may submit their valid Philippine Contractors
(iii) 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:
) Priced Bill of Quantities
(To Be Revisited- the GOP’s requirements of detailed estimates and
cashflow/payment schedule)
13.2(a) ABC does not apply as ceiling for bid prices
and (b)
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 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)
 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) In case it is determined prima facie by the Procuring Entity that the
(i) 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 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
 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 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) Foreign bidders may submit their valid Philippine Contractors
(iii) 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)

13.1 Instruction is the same as the GoP Bid Data Sheet

13.2 ABC does not generally apply as a ceiling for bid prices.
(a) & However, subject to prior concurrence by the World Bank, a ceiling
(b) may be applied to bid prices provided the following conditions are
met:

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.

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.

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.

The procuring entity has established a system to monitor and report

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

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 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
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 The World Bank’s Guidelines On Preventing and Combating Fraud

(h) (i) 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.

IV.Building Permit Process

REQUIREMENTS FOR SECURING A BUILDING PERMIT IN THE PHILIPPINES
The following are the requirements for securing a building permit:
• Properly filled-up application forms duly signed and sealed by engineers concerned:
• Building Permit Forms (5 copies)
• Electrical Permit Forms (3 copies)
• Sanitary Permit Forms (3 copies)
• Five (5) complete sets of Detailed Plans
• For construction of two-storey building:
• Structural Design Analysis — signed and sealed by Civil Engineer at every page
• For construction of more than two-storey building:
• Boring and Plate Load Test
• Seismic Analysis
• Proof of Property
• Photocopy of Transfer Certificate if Title (TCT)
• Photocopy of tax Declaration of Property-lot (Certified True Copy) — 5 copies
• Photocopy of Current Tax Receipt (5 copies)
• If property is not registered under the name of the applicant:
• Submit 5 copies of any of the following:
• Contract of Lease
• Contract of Sale
• Affidavit of Consent of the Lot Owner for the construction of building/house
• Deed of Absolute Sale
• Permit Billboard (0.60 X 0.90 Plywood with the following contents):
• Bill of Materials and Specification (5 copies) — signed and sealed by an engineer or
an architect at every page
• Locational Clearance
• Photocopy of PTR # and PRC license of all concerned engineers and architects
• Clearance from the DPWH if the construction is located along National Highway
• DOLE Clearance
PROCEDURES OF SECURING A BUILDING PERMIT IN THE PHILIPPINES
1. Get a Requirements-Checklist and application forms from your municipal’s office (Office
of the Building Official).
2. Go to the Office of the Building Official and submit the papers. They will tell you then
where to go next, in this case Assessor’s Office. If you’re in the city hall, they usually
have windows where you have to submit each folder of each set of forms. But in the
provinces, each section are usually close to each other if not on the same unit.
3. You will be issued Acknowledgement Slip which bears the date of the status of your
application. It’s usually around 10 working days.
If your application is approved and in compliant with the National Building Code, you’ll be
given an Order of Payment to pay the necessary building permit fees.
4. Present the Order of Payment at the Treasurer’s Office and pay the fees. Fees range from
P6,000 and above depending on the your construction size, municipality location and the
assessment plan. Fees in the provinces are usually cheaper than in the cities.
5. Photocopy the OR (Official Receipt) and bring a copy to the Office of the Building
Official releasing section.
6. After 5 working days, go back to the releasing section of the Office of the Building
Official and claim your building permit.
1.6.2. Design Attachments/Illustrations (See attached)
Attachment 1: General Specifications
 Attachment 2: Bidding Requirements

Bid Form

Date:
IB7 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

7 If ADB, JICA and WB funded projects, use IFB.

(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:
 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.
 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]
 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;

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 Signatories

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.

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.
 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 .

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Attachment 3: Requirements and Process for Securing Building Permits
Properly filled-up application forms duly signed and sealed by engineers concerned:
• Building Permit Forms (5 copies)

• Electrical Permit Forms (3 copies)

• Sanitary Permit Forms (3 copies)

1. Five (5) complete sets of Detailed Plans

2. For construction of two-storey building:

• Structural Design Analysis — signed and sealed by Civil Engineer at every page

1. For construction of more than two-storey building:

• Boring and Plate Load Test

• Seismic Analysis

1. Proof of Property

• Photocopy of Transfer Certificate if Title (TCT)

• Photocopy of tax Declaration of Property-lot (Certified True Copy) — 5 copies

• Photocopy of Current Tax Receipt (5 copies)

1. If property is not registered under the name of the applicant:

• Submit 5 copies of any of the following:

• Contract of Lease

• Contract of Sale

• Affidavit of Consent of the Lot Owner for the construction of building/house

• Deed of Absolute Sale

1. Permit Billboard (0.60 X 0.90 Plywood with the following contents):

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 2. Bill of Materials and Specification (5 copies) — signed and sealed by an engineer

or an architect at every page

3. Locational Clearance

4. Photocopy of PTR # and PRC license of all concerned engineers and architects

5. Clearance from the DPWH if the construction is located along National Highway

6. DOLE Clearance

PROCEDURES OF SECURING A BUILDING PERMIT IN THE

PHILIPPINES
1. Get a Requirements-Checklist and application forms from your municipal’s office

(Office of the Building Official).

2. Go to the Office of the Building Official and submit the papers. They will tell you

then where to go next, in this case Assessor’s Office. If you’re in the city hall, they

usually have windows where you have to submit each folder of each set of forms. But in

the provinces, each section is usually close to each other if not on the same unit.
3. You will be issued Acknowledgement Slip which bears the date of the status of your

application. It’s usually around 10 working days.

If your application is approved and in compliant with the National Building Code, you’ll be

given an Order of Payment to pay the necessary building permit fees.

4. Present the Order of Payment at the Treasurer’s Office and pay the fees. Fees range

from P6,000 and above depending on your construction size, municipality location and the

assessment plan. Fees in the provinces are usually cheaper than in the cities.

5. Photocopy the OR (Official Receipt) and bring a copy to the Office of the

Building Official releasing section.

6. After 5 working days, go back to the releasing section of the Office of the Building

Official and claim your building permit.

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Attachment 4: Building Permit

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1.6.3. Observation
I was able to secure a sample of all the required documents in this activity. This
activity aims to introduce to us the pre-construction requirements to prepare us to becoming
future contractors. It is important that we get acquainted with these as early as now for us to
be future- ready.
Construction of any infrastructure undergoes a lot of processes to assure the
sustainability and safety of any project. The safety of the client and future tenants or inhabitants
is the most important aspect of being a civil engineering. It is imperative that we abide with all
pertinent requirements so as to avoid any legal sanctions and violations we can incur in our
projects.
I have observed that there are a lot of pre-construction requirements before actually
executing a certain project. There is a must to secure all these to assure that any infrastructure
abides with existing codes and standards stipulated in the country’s building code.
A specification is the document that describes, in words, what cannot be visualized or
explained on a drawing or in a model. This is not only applicable to construction; the same
principles can be applied to all industries, from the aerospace, oil and gas and automobile
industries to manufacturing.
In construction, the specification can cover everything from the establishment of the site,
the type of contract to be used, the performance criteria of the asset, the quality of the systems
and products, which standards are applicable and how they should be executed, to even the
products which are to be used. The type of specification can relate to the project or the
procurement route, whether it is performance-based, prescriptive or propriety, all of which are
dependent on the project requirements.
Specifications are required during the design stage, are part of the contract
documentation, and play a key role in project fulfilment.
It is also part of a Civil Engineer’s oath to his profession to uphold the safety of his
clients and binds himself into agreement that his project is safe in its span of existence.
And as for the Building Permit, they are good. They are good for safety, adding value,
keeping contractors honest, and creating a payment schedule. If you are considering a home
remodeling project, then your first step is to contact your local building department to find out
if a building permit is required. If so, then hire a contractor and ask him or her to get it for the
project. Your project is better with a required building permit than without.
1.6.4. Conclusion
Construction contracts need to be as detailed as possible to ensure that the project is
completed the way the client wants. One useful way to achieve this is through the specifications
portion of the contract. This is where a client can get as specific as possible to set the materials
and installation standards they want.
Being a Civil Engineer or a construction manager is not an easy task. It is not merely
about computation of structural stability and estimates. It also involves a lot of technical
documents and clerical work. Managers must train themselves to handle papers well to be able
to be ready in practicing their profession.
A thorough set of specifications can help everyone on the project reduce costs, wasted
time, and disputes. The more information provided, the better the chance of work getting done
correctly. As a result, correct work means fewer defects, which means fewer change orders
which means fewer disputes over additional compensation.

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 Furthermore, having a clear set of specifications helps facilitate coordination and
communication between all project participants. There will be a substantial decrease in the time
spent on requests for clarifications concerning materials or installation. Lastly, when provided
in advance, a solid set of specs can lead to more accurate bids, resulting in fewer cost overruns.
1.6.5. Documentation

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