PHILIPPINE BIDDING DOCUMENTS

Production of Sustainable
Tourism Brochures

DOT-BAC IB No. 2018-038

TABLE OF CONTENTSSECTION I. INVITATION TO BID ............................................................................3
SECTION II. INSTRUCTIONS TO BIDDERS .............................................................5
SECTION III. BID DATA SHEET ......................................................................... 35
SECTION IV. GENERAL CONDITIONS OF CONTRACT ....................................... 38
SECTION V. SPECIAL CONDITIONS OF CONTRACT ........................................... 54
SECTION VI. SCHEDULE OF REQUIREMENTS.................................................... 55
SECTION VII. TECHNICAL SPECIFICATIONS ..................................................... 56
SECTION VIII. BIDDING FORMS ........................................................................ 57
SECTION IX. FOREIGN-ASSISTED PROJECTS .................................................... 68

Section I. Invitation to Bid
INVITATION TO BID FOR THE
PRODUCTION OF SUSTAINABLE TOURISM
BROCHURES
1.

The Department of Tourism (DOT), through the General Appropriations Act intends
to apply the sum of One Million Six Hundred Thousand Philippine Pesos (PhP
1,600,000.00) being the Approved Budget for the Contract (ABC) to payments under
the contract for DOT-BAC IB No. 2018-038. Bids received in excess of the ABC shallbe automatically rejected at bid opening.

2. The DOT now invites bids for the Production of Sustainable Tourism Brochures. Bidders
should have completed, within two (2) years from the date of submission and receipt ofbids, 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 a nondiscretionary “pass/fail” criterion as specified in the 2016 Revised Implementing Rules
and Regulations (IRR) of Republic Act (RA) 9184, otherwise known as the“Government Procurement Reform Act”.
Bidding is restricted to Filipino citizens/sole proprietorships, partnerships, ororganizations with at least sixty percent (60%) interest or outstanding capital stock
belonging to citizens of the Philippines, and to citizens or organizations of a country
the laws or regulations of which grant similar rights or privileges to Filipino
citizens, pursuant to RA 5183.

4.

Interested bidders may obtain further information from DOT and inspect the Bidding
Documents at the address given below during 8:00 a.m. to 5:00 p.m. only.

5.

A complete set of Bidding Documents may be acquired by interested Bidders on
November 23 to December 17, 2018 from the address below and upon payment of theapplicable fee for the Bidding Documents, pursuant to the latest Guidelines issued by
the GPPB, in the amount of Five Thousand Philippine Pesos (PhP5,000.00).
It may also be downloaded free of charge from the website of the Philippine
Government Electronic Procurement System (PhilGEPS) and the website of the
Procuring Entity, provided that Bidders shall pay the applicable fee for the Bidding
Documents not later than the submission of their bids.

6.

The DOT will hold a Pre-Bid Conference on December 3, 2018 at 2:00 p.m. at the 4th
Floor Conference Room, DOT Bldg. No. 351 Sen. Gil Puyat Ave., Makati City, whichshall be open to prospective bidders.

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7.

Bids must be duly received by the BAC Secretariat at the address below on or before
December 17, 2018 until 9:00 a.m. only. 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 December 17, 2018 at 2:00 p.m. at the 4th Floor Conference
Room, DOT Bldg. No. 351 Sen. Gil Puyat Ave., Makati City. Bids will be opened in thepresence of the bidders’ representatives who choose to attend at the address below. Latebids shall not be accepted.

8.

The DOT 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 affectedbidder or bidders.

9.

For further information, please refer to:
MR. GODOFREDO R. MALDONADO, JR.
DOT-BAC Head Secretariat
4th Floor, DOT Bldg., No. 351 Sen. Gil Puyat Ave., Makati City459-5200 to 30 local 425
grmaldonado@tourism.gov.ph / dotbac.secretariat@yahoo.com
www.tourism.gov.ph(original signed)
ASEC. ROBERTO P. ALABADO, III
DOT-BAC Chairperson

4Section II. Instructions to Bidders
TABLE OF CONTENTS
A. GENERAL .......................................................................................................... 7
1.

Scope of Bid ............................................................................................................... 72.

Source of Funds .......................................................................................................... 7

3.

Corrupt, Fraudulent, Collusive, and Coercive Practices ............................................ 74.

Conflict of Interest ..................................................................................................... 8

5.

Eligible Bidders ........................................................................................................ 10

6.

Bidder’s Responsibilities.......................................................................................... 11

7.

Origin of Goods ........................................................................................................ 13

8.

Subcontracts ............................................................................................................. 14

B. CONTENTS OF BIDDING DOCUMENTS .............................................................. 14
9.

Pre-Bid Conference .................................................................................................. 14

10.

Clarification and Amendment of Bidding Documents ............................................. 15

C. PREPARATION OF BIDS .................................................................................... 15
11.

Language of Bid ....................................................................................................... 15

12.

Documents Comprising the Bid: Eligibility and Technical Components ................ 15

13.

Documents Comprising the Bid: Financial Component .......................................... 17

14.

Alternative Bids........................................................................................................ 18

15.

Bid Prices ................................................................................................................. 19

16.

Bid Currencies .......................................................................................................... 20

17.

Bid Validity .............................................................................................................. 20

18.

Bid Security .............................................................................................................. 21

19.

Format and Signing of Bids ..................................................................................... 23

20.

Sealing and Marking of Bids .................................................................................... 23

D. SUBMISSION AND OPENING OF BIDS ................................................................ 24
21.

Deadline for Submission of Bids ............................................................................. 24

22.

Late Bids .................................................................................................................. 24

23.

Modification and Withdrawal of Bids ...................................................................... 24

24.

Opening and Preliminary Examination of Bids ....................................................... 25

E. EVALUATION AND COMPARISON OF BIDS ....................................................... 27
25.

Process to be Confidential ........................................................................................ 27

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26.

Clarification of Bids ................................................................................................. 27

27.

Domestic Preference ................................................................................................ 27

28.

Detailed Evaluation and Comparison of Bids .......................................................... 28

29.

Post-Qualification..................................................................................................... 29

30.

Reservation Clause ................................................................................................... 30

F. AWARD OF CONTRACT .................................................................................... 31
31.

Contract Award ........................................................................................................ 31

32.

Signing of the Contract ............................................................................................ 32

33.

Performance Security ............................................................................................... 33

34.

Notice to Proceed ..................................................................................................... 33

35. Protest Mechanism…………………………………………………………………37

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A. General
1.

2.

Scope of Bid
1.1.

The Procuring Entity named in the BDS invites bids for the supply anddelivery of the Goods as described in Section VII. Technical Specifications.

1.2.

The name, identification, and number of lots specific to this bidding areprovided in the BDS. The contracting strategy and basis of evaluation of lots
is described in ITB Clause 28.

Source of Funds
The Procuring Entity has a budget or has 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.

3.

Corrupt, Fraudulent, Collusive, and Coercive Practices
3.1.

Unless otherwise specified in the BDS, the Procuring Entity as well as thebidders and suppliers shall observe the highest standard of ethics during the
procurement and execution of the contract. In pursuance of this policy, theProcuring Entity:(a)defines, for purposes of this provision, the terms set forth below asfollows:(i)“corrupt practice” means behavior on the part of officials in the
public or private sectors by which they improperly andunlawfully 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 thegovernment, into any contract or transaction manifestly andgrossly disadvantageous to the same, whether or not the public
officer profited or will profit thereby, and similar acts asprovided in RA 3019.

(ii)“fraudulent practice” means a misrepresentation of facts inorder to influence a procurement process or the execution of acontract 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, noncompetitive levels and to deprive the Procuring Entity of thebenefits of free and open competition.

(iii)“collusive practices” means a scheme or arrangement between
two or more Bidders, with or without the knowledge of the7Procuring Entity, designed to establish bid prices at artificial,non-competitive levels.

(b)

4.

(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 theexecution of a contract;(v)“obstructive practice” is(aa)deliberately destroying, falsifying, altering orconcealing 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 orinternational financing institution into allegations of acorrupt, fraudulent, coercive or collusive practice;
and/or threatening, harassing or intimidating any party
to prevent it from disclosing its knowledge of mattersrelevant to the administrative proceedings orinvestigation or from pursuing such proceedings orinvestigation; or(bb)acts intended to materially impede the exercise of theinspection and audit rights of the Procuring Entity or
any foreign government/foreign or international
financing institution herein.

will reject a proposal for award if it determines that the Bidder
recommended for award has engaged in any of the practices mentioned
in this Clause for purposes of competing for the contract.

3.2.

Further, the Procuring Entity will seek to impose the maximum civil,
administrative, and/or criminal penalties available under 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 toinspect and audit records and accounts of a bidder or supplier in the bidding
for and performance of a contract themselves or through independent auditors
as reflected in the GCC Clause 3.

Conflict of Interest
4.1.

All Bidders found to have conflicting interests shall be disqualified toparticipate in the procurement at hand, without prejudice to the imposition of
appropriate administrative, civil, and criminal sanctions. A Bidder may beconsidered to have conflicting interests with another Bidder in any of theevents described in paragraphs (a) through (c) below and a general conflict of8interest in any of the circumstances set out in paragraphs (d) through (g)below:

4.2.

(a)

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

A Bidder receives or has received any direct or indirect subsidy fromany other Bidder;(c)

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

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

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

(f)

A Bidder who participated as a consultant in the preparation of thedesign or technical specifications of the Goods and related services thatare the subject of the bid; or(g)

A Bidder who lends, or temporarily seconds, its personnel to firms ororganizations 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.

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 oraffinity up to the third civil degree. On the part of the Bidder, this Clause shallapply to the following persons:(a)

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

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

If the Bidder is a corporation, to all its officers, directors, andcontrolling stockholders;(d)

If the Bidder is a cooperative, to all its officers, directors, andcontrolling shareholders or members; and

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(e)

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

Relationship of the nature described above or failure to comply with thisClause will result in the automatic disqualification of a Bidder.

5.

Eligible Bidders
5.1.

5.2.

5.3.

Unless otherwise provided in the BDS, the following persons shall be eligible
to participate in this bidding:(a)

Duly licensed Filipino citizens/sole proprietorships;(b)Partnerships duly organized under the laws of the Philippines and ofwhich at least sixty percent (60%) of the interest belongs to citizens of
the Philippines;(c)Corporations duly organized under the laws of the Philippines, and ofwhich at least sixty percent (60%) of the outstanding capital stock
belongs to citizens of the Philippines;(d)

Cooperatives duly organized under the laws of the Philippines; and(e)Persons/entities forming themselves into a Joint Venture (JV), i.e., agroup of two (2) or more persons/entities that intend to be jointly andseverally responsible or liable for a particular contract: Provided,
however, that Filipino ownership or interest of the JV concerned shallbe at least sixty percent (60%).

Foreign bidders may be eligible to participate when any of the following
circumstances exist, as specified in the BDS:(a)

When a Treaty or International or Executive Agreement as provided in
Section 4 of RA 9184 and its IRR allow foreign bidders to participate;(b)

Citizens, corporations, or associations of a country, the laws or
regulations of which grant reciprocal rights or privileges to citizens,
corporations, or associations of the Philippines;(c)

When the Goods sought to be procured are not available from local
suppliers; or(d)When there is a need to prevent situations that defeat competition or
restrain trade.

Government owned or –controlled corporations (GOCCs) may be eligible toparticipate only if they can establish that they (a) are legally and financiallyautonomous, (b) operate under commercial law, and (c) are not attachedagencies of the Procuring Entity.

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5.4.

Unless otherwise provided in the BDS, the Bidder must have completed aSingle Largest Completed Contract (SLCC) similar to the Project and thevalue of which, adjusted, if necessary, by the Bidder to current prices using thePhilippine Statistics Authority (PSA) consumer price index, must be at least
equivalent to a percentage of the ABC stated in the BDS.
For this purpose, contracts similar to the Project shall be those described in the
BDS, and completed within the relevant period stated in the Invitation to Bid
and ITB Clause 12.1(a)(ii).

5.5.

The Bidder must submit a computation of its Net Financial Contracting
Capacity (NFCC), which must be at least equal to the ABC to be bid,
calculated as follows:
NFCC = [(Current assets minus current liabilities) (15)] minus the value ofall outstanding or uncompleted portions of the projects under ongoing
contracts, including awarded contracts yet to be started, coinciding withthe contract to be bid.
The values of the domestic bidder’s current assets and current liabilities shallbe based on the latest Audited Financial Statements 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.
If the prospective bidder opts to submit a committed Line of Credit, it must be
at least equal to ten percent (10%) of the ABC to be bid. If issued by a foreign
universal or commercial bank, it shall be confirmed or authenticated by a local
universal or commercial bank.

6.

Bidder’s Responsibilities
6.1.

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

6.2.

The Bidder is responsible for the following:(a)

Having taken steps to carefully examine all of the Bidding
Documents;(b)

Having acknowledged all conditions, local or otherwise, affecting theimplementation of the contract;(c)

Having made an estimate of the facilities available and needed for thecontract to be bid, if any;(d)Having complied with its responsibility to inquire or secure
Supplemental/Bid Bulletin(s) as provided under ITB Clause 10.4.

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(e)

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

Ensuring that each of the documents submitted in satisfaction of thebidding requirements is an authentic copy of the original, complete,
and all statements and information provided therein are true andcorrect;(g)

Authorizing the HoPE or its duly authorized representative/s to verify
all the documents submitted;(h)Ensuring that the signatory is the duly authorized representative of the
Bidder, and granted full power and authority to do, execute andperform any and all acts necessary and/or to represent the Bidder in thebidding, with the duly notarized Secretary’s Certificate attesting tosuch fact, if the Bidder is a corporation, partnership, cooperative, or
joint venture;(i)Complying with the disclosure provision under Section 47 of RA 9184
and its IRR in relation to other provisions of RA 3019;(j)Complying with existing labor laws and standards, in the case of
procurement of services; Moreover, bidder undertakes to:(i)Ensure the entitlement of workers to wages, hours of work,safety and health and other prevailing conditions of work as
established by national laws, rules and regulations; or collective
bargaining agreement; or arbitration award, if and whenapplicable.
In case there is a finding by the Procuring Entity or the DOLE
of underpayment or non-payment of workers’ wage and wagerelated benefits, bidder agrees that the performance security or
portion of the contract amount shall be withheld in favor of thecomplaining workers pursuant to appropriate provisions ofRepublic Act No. 9184 without prejudice to the institution of
appropriate actions under the Labor Code, as amended, andother social legislations.

(ii)

Comply with occupational safety and health standards and tocorrect 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 tocomply with Work Stoppage Order; and12

(iii)(k)

Inform the workers of their conditions of work, labor clauses
under the contract specifying wages, hours of work and otherbenefits under prevailing national laws, rules and regulations;or collective bargaining agreement; or arbitration award, if andwhen applicable, through posting in two (2) conspicuous placesin the establishment’s premises; andEnsuring that it did not give or pay, directly or indirectly, any
commission, amount, fee, or any form of consideration, pecuniary orotherwise, to any person or official, personnel or representative of thegovernment in relation to any procurement project or activity.

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

7.

6.3.

The Bidder is expected to examine all instructions, forms, terms, andspecifications in the Bidding Documents.

6.4.

It shall be the sole responsibility of the Bidder to determine and to satisfy itself
by such means as it considers necessary or desirable as to all matterspertaining to the contract to be bid, including: (a) the location and the natureof this Project; (b) climatic conditions; (c) transportation facilities; and (d)other factors that may affect the cost, duration, and execution or
implementation of this Project.

6.5.

The Procuring Entity shall not assume any responsibility regarding erroneousinterpretations or conclusions by the prospective or eligible bidder out of thedata furnished by the procuring entity. However, the Procuring Entity shallensure that all information in the Bidding Documents, including
bid/supplemental bid bulletin/s issued, are correct and consistent.

6.6.

Before submitting their bids, the Bidder is deemed to have become familiar
with all existing laws, decrees, ordinances, acts and regulations of thePhilippines which may affect this Project in any way.

6.7.

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

6.8.

The Bidder should note that the Procuring Entity will accept bids only fromthose that have paid the applicable fee for the Bidding Documents at the officeindicated in the Invitation to Bid.

Origin of Goods
Unless otherwise indicated in the BDS, there is no restriction on the origin of goods
other than those prohibited by a decision of the United Nations Security Council taken
under Chapter VII of the Charter of the United Nations, subject to ITB Clause 27.1.

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8.

Subcontracts
8.1.

Unless otherwise specified in the BDS, the Bidder may subcontract portions of
the Goods to an extent as may be approved by the Procuring Entity and statedin the BDS. However, subcontracting of any portion shall not relieve theBidder from any liability or obligation that may arise from the contract for thisProject.

8.2.

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

8.3.

The Bidder may identify the subcontractor to whom a portion of the Goods
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 partof 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 and receipt of bids, but not earlier thanseven (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, orwhen international participation will be more advantageous to the GOP, alonger 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 thesubmission 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 toknow the changes and/or amendments to the Bidding Documents as recordedin 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 bemade 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 shallbe issued in writing through a Supplemental/Bid Bulletin at least seven (7)calendar days before the deadline for the submission and receipt of bids.

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10.

Clarification and Amendment of Bidding Documents
10.1.

Prospective bidders may request for clarification on and/or interpretation of
any part of the Bidding Documents. Such request must be in writing andsubmitted to the Procuring Entity at the address indicated in the BDS at leastten (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 theBidding Documents, at least seven (7) calendar days before the deadline forthe 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 thesubmission 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, andat any conspicuous place in the premises of the Procuring Entity concerned. It
shall be the responsibility of all Bidders who have properly secured theBidding 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 besubmitted 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 otherthan English, it must be accompanied by a translation of the documents in English.
The documents shall be translated by the relevant foreign government agency, theforeign government agency authorized to translate documents, or a registeredtranslator in the foreign bidder’s country; and shall be authenticated by theappropriate Philippine foreign service establishment/post or the equivalent officehaving 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
Components
12.1.

the

Bid:

Eligibility

andTechnical

Unless otherwise indicated in the BDS, the first envelope shall contain thefollowing eligibility and technical documents:(a)Eligibility Documents –15

Class “A” Documents:(i)

PhilGEPS Certificate of Registration and Membership in
accordance with Section 8.5.2 of the IRR, except for foreignbidders participating in the procurement by a Philippine
Foreign Service Office or Post, which shall submit theireligibility documents under Section 23.1 of the IRR, provided,that the winning bidder shall register with the PhilGEPS in
accordance with section 37.1.4 of the IRR.

(ii)

Statement of all its ongoing government and private contracts,
including contracts awarded but not yet started, if any, whether
similar or not similar in nature and complexity to the contract
to be bid; andStatement of the Bidder’s SLCC similar to the contract to bebid, in accordance with ITB Clause 5.4, within the relevant
period as provided in the BDS.
The two statements required shall indicate for each contract thefollowing:(iii)(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)

kinds of Goods;(ii.6)For Statement of Ongoing Contracts - amount ofcontract and value of outstanding contracts;(ii.7)For Statement of SLCC - amount of completed
contracts, adjusted by the Bidder to current prices using
PSA’s consumer price index, if necessary for the
purpose of meeting the SLCC requirement;(ii.8)

date of delivery; and(ii.9)

end user’s acceptance or official receipt(s) or sales
invoice issued for the contract, if completed, whichshall be attached to the statements.

NFCC computation in accordance with ITB Clause 5.5 or acommitted Line of Credit from a universal or commercial bank.

16

Class “B” Document:
(iv)

(b)

Technical Documents –
(i)

13.

If applicable, the Joint Venture Agreement (JVA) in case thejoint venture is already in existence, or duly notarizedstatements from all the potential joint venture partners inaccordance with Section 23.1(b) of the IRR.

Bid security in accordance with ITB Clause 18. If the Bidder
opts to submit the bid security in the form of:(i.1)

a bank draft/guarantee or an irrevocable letter of credit
issued by a foreign bank, it shall be accompanied by aconfirmation from a Universal or Commercial Bank; or(i.2)

a surety bond, it shall be accompanied by a certificationby the Insurance Commission that the surety or
insurance company is authorized to issue such
instruments;(ii)

Conformity with technical specifications, as enumerated andspecified in Sections VI and VII of the Bidding Documents;
and

(iii)

Sworn statement in accordance with Section 25.3 of the IRR of
RA 9184 and using the form prescribed in Section VIII.
Bidding Forms.

(iv)

For foreign bidders claiming eligibility by reason of theircountry’s extension of reciprocal rights to Filipinos, acertification from the relevant government office of theircountry stating that Filipinos are allowed to participate in theirgovernment procurement activities for the same item or
product.

Documents Comprising the Bid: Financial Component
13.1.

Unless otherwise stated in the BDS, the financial component of the bid shallcontain the following:(a)Financial Bid Form, which includes bid prices and the applicable Price
Schedules, in accordance with ITB Clauses 15.1 and 15.4;(b)

If the Bidder claims preference as a Domestic Bidder, a certificationfrom the DTI issued in accordance with ITB Clause 27, unlessotherwise provided in the BDS; and(c)Any other document related to the financial component of the bid asstated in the BDS.

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13.2.

(a)Unless otherwise stated in the BDS, all bids that exceed the ABC shallnot be accepted.

(b)

Unless otherwise indicated in the BDS, for foreign-funded
procurement, a ceiling may be applied to bid prices provided thefollowing conditions are met:(i)

Bidding Documents are obtainable free of charge on a freely
accessible website. If payment of Bidding Documents is requiredby the procuring entity, payment could be made upon thesubmission of bids.

(ii) The procuring entity has procedures in place to ensure that the
ABC is based on recent estimates made by the responsible unit of
the procuring entity and that the estimates reflect the quality,
supervision and risk and inflationary factors, as well as prevailingmarket 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.
(iv) The procuring entity has established a system to monitor andreport bid prices relative to ABC and engineer’s/procuring
entity’s estimate.
(v)

14.

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.

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

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 asa subcontractor if a subcontractor is permitted to participate in more than onebid) will cause all the proposals with the Bidder’s participation to bedisqualified. This shall be without prejudice to any applicable criminal, civil
and administrative penalties that may be imposed upon the persons andentities concerned.

18

15.

Bid Prices
15.1.

The Bidder shall complete the appropriate Schedule of Prices included herein,
stating the unit prices, total price per item, the total amount and the expected
countries of origin of the Goods to be supplied under this Project.

15.2.

The Bidder shall fill in rates and prices for all items of the Goods described in
the Schedule of Prices. Bids not addressing or providing all of the required
items in the Bidding Documents including, where applicable, Schedule ofPrices, shall be considered non-responsive and, thus, automaticallydisqualified. In this regard, where a required item is provided, but no price isindicated, the same shall be considered as non-responsive, but specifying azero (0) or a dash (-) for the said item would mean that it is being offered forfree to the Government, except those required by law or regulations to beaccomplished.

15.3.

The terms Ex Works (EXW), Cost, Insurance and Freight (CIF), Cost andInsurance Paid to (CIP), Delivered Duty Paid (DDP), and other trade terms
used to describe the obligations of the parties, shall be governed by the rules
prescribed in the current edition of the International Commercial Terms(INCOTERMS) published by the International Chamber of Commerce, Paris.

15.4.

Prices indicated on the Price Schedule shall be entered separately in thefollowing manner:
(a)

(b)

For Goods offered from within the Procuring Entity’s country:(i)

The price of the Goods quoted EXW (ex works, ex factory, ex
warehouse, ex showroom, or off-the-shelf, as applicable);(ii)

The cost of all customs duties and sales and other taxes alreadypaid or payable;(iii)

The cost of transportation, insurance, and other costs incidental
to delivery of the Goods to their final destination; and(iv)

The price of other (incidental) services, if any, listed in the
BDS.

For Goods offered from abroad:(i)

Unless otherwise stated in the BDS, the price of the Goods
shall be quoted DDP with the place of destination in thePhilippines as specified in the BDS. In quoting the price, theBidder shall be free to use transportation through carriers
registered in any eligible country. Similarly, the Bidder may
obtain insurance services from any eligible source country.

(ii)

The price of other (incidental) services, if any, listed in the
BDS.

19

(c)

15.5.

For Services, based on the form which may be prescribed by theProcuring Entity, in accordance with existing laws, rules andregulations

Prices quoted by the Bidder shall be fixed during the Bidder’s performance ofthe contract and not subject to variation or price escalation on any account. A
bid submitted with an adjustable price quotation shall be treated as nonresponsive and shall be rejected, pursuant to ITB Clause 24.
All bid prices for the given scope of work in the contract as awarded shall beconsidered as fixed prices, and therefore not subject to price escalation duringcontract implementation, except under extraordinary circumstances. Upon therecommendation 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 thePhilippines, and upon approval by the GPPB. Nevertheless, in cases where thecost of the awarded contract is affected by any applicable new laws,
ordinances, regulations, or other acts of the GOP, promulgated after the dateof 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.

17.

Prices shall be quoted in the following currencies:(a)

For Goods that the Bidder will supply from within the Philippines, theprices shall be quoted in Philippine Pesos.

(b)

For Goods that the Bidder will supply from outside the Philippines, theprices may be quoted in the currency(ies) stated 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 as
published in the Bangko Sentral ng Pilipinas (BSP) reference ratebulletin 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 theamounts in various currencies in which the bid price is expressed to Philippine
Pesos at the foregoing exchange rates.

16.3.

Unless otherwise specified in the BDS, payment of the contract price shall bemade in Philippine Pesos.

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 openingof 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 of20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 therequest without forfeiting its bid security, but his bid shall no longer beconsidered 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 the amount stated in the BDS, which shall be not less than thepercentage of the ABC in accordance with the following schedule:
Amount of Bid Security(Not Less than the Percentage of theABC)

Form of Bid Security(a) Cash or cashier’s/manager’s
check issued by a Universal orCommercial Bank.
(b) Bank
draft/guaranteeorirrevocable letter of credit issued
by a Universal or Commercial
Bank: Provided, however, that it
shallbeconfirmedorauthenticated by a Universal orCommercial Bank, if issued by aforeign bank.
(c) Surety bond callable upon
demand issued by a surety or
insurance company duly certified
by the Insurance Commission as
authorized to issue such security.

Two percent (2%)

Five percent (5%)

The Bid Securing Declaration mentioned above is an undertaking whichstates, among others, that the Bidder shall enter into contract with theprocuring entity and furnish the performance security required under ITB
Clause 33.2, within ten (10) calendar days from receipt of the Notice ofAward, and commits to pay the corresponding amount as fine, and besuspended 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 theProcuring Entity as non-responsive.

18.3.

No bid securities shall be returned to Bidders after the opening of bids andbefore contract signing, except to those that failed or declared as postdisqualified, upon submission of a written waiver of their right to file a request
for reconsideration and/or protest, or upon the lapse of the reglementary period21

to file a request for reconsideration or protest. Without prejudice on its
forfeiture, bid securities shall be returned only after the Bidder with theLowest Calculated Responsive Bid (LCRB) has signed the contract andfurnished 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 32, and theposting of the performance security pursuant to ITB Clause 33, the successful
Bidder’s bid security will be discharged, but in no case later than the bid
security validity period as indicated in the ITB Clause 18.2.

18.5.

The bid security may be forfeited:(a)

if a Bidder:(i)withdraws its bid during the period of bid validity specified in
ITB Clause 17;(ii)does not accept the correction of errors pursuant to ITB Clause
28.3(b);(iii)

has a finding against the veracity of any of the documents
submitted as stated in ITB Clause 29.2;(iv)

submission of eligibility requirements
information or falsified documents;(v)

submission of bids that contain false information or falsified
documents, or the concealment of such information in the bids
in order to influence the outcome of eligibility screening or any
other stage of the public bidding;(vi)

allowing the use of one’s name, or using the name of anotherfor purposes of public bidding;(vii)

withdrawal of a bid, or refusal to accept an award, or enter into
contract with the Government without justifiable cause, after
the Bidder had been adjudged as having submitted the LCRB;(viii)

refusal or failure to post the required performance security
within the prescribed time;(ix)

refusal to clarify or validate in writing its bid during postqualification within a period of seven (7) calendar days fromreceipt of the request for clarification;(x)

any documented attempt by a Bidder to unduly influence theoutcome of the bidding in his favor;(xi)

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

22containing

false

(xii)

(b)

19.

20.

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.

if the successful Bidder:(i)fails to sign the contract in accordance with ITB Clause 32; or(ii)

fails to furnish performance security in accordance with ITB
Clause 33.

Format and Signing of Bids
19.1.

Bidders shall submit their bids through their duly authorized representative
using the appropriate forms provided in Section VIII. Bidding Forms on or
before the deadline specified in the ITB Clauses 21 in two (2) separate sealed
bid envelopes, and which shall be submitted simultaneously. The first shallcontain the technical component of the bid, including the eligibility
requirements under ITB Clause 12.1, and the second shall contain thefinancial component of the bid. This shall also be observed for each lot in thecase 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 blankspaces 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 shallsubmit 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 Schedule of Prices, under
Section VIII hereof, shall be signed by the duly authorized representative/s ofthe 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.

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 - FINANCIALCOMPONENT”, 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. ___ - TECHNICALCOMPONENT” and “COPY NO. ___ – FINANCIAL COMPONENT” and23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 shallbe 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.

(a)

contain the name of the contract to be bid in capital letters;(b)bear the name and address of the Bidder in capital letters;(c)be addressed to the Procuring Entity’s BAC in accordance with ITB
Clause 1.1;(d)bear the specific identification of this bidding process indicated in the
ITB Clause 1.2; and(e)bear a warning “DO NOT OPEN BEFORE…” the date and time forthe opening of bids, in accordance with ITB Clause 21.

Bid envelopes that are not properly sealed and marked, as required in thebidding 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 shallnot 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 latebid was submitted.

23.

Modification and Withdrawal of Bids
23.1.

The Bidder may modify its bid after it has been submitted; provided that themodification 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 equally24sealed and properly identified in accordance with ITB 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.

24.

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 ofWithdrawal 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 duly authorized representative of the Bidder identified in
the Omnibus Sworn Statement, a copy of which should be attached to theletter.

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 thedeadline for submission and receipt of bids. A Bidder that withdraws its bid
shall not be permitted to submit another bid, directly or indirectly, for thesame 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 andthe 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 theforfeiture of the Bidder’s bid security, pursuant to ITB Clause 18.5, and theimposition of administrative, civil and criminal sanctions as prescribed by RA
9184 and its IRR.

Opening and Preliminary Examination of Bids
24.1.

The BAC shall open the bids in public, immediately after the deadline for thesubmission and receipt of bids, as specified in the BDS. In case the Bids
cannot be opened as scheduled due to justifiable reasons, the BAC shall takecustody 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 ofPostponement 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 thatparticular 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 shallforthwith open the second bid envelope of each remaining eligible bidder25

whose first bid envelope was rated “passed”. The second envelope of eachcomplying 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 priceexceeds the ABC unless otherwise provided in ITB Clause 13.2, the BAC
shall rate the bid concerned as “failed”. Only bids that are determined tocontain 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, andthe 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 initialevery 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, thefollowing Class “A” Documents may be substituted with the appropriate
equivalent documents, if any, issued by the country of the foreign Bidderconcerned, 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 theprincipal 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 therequirements in ITB Clause 12.1(a)(i). Submission of documents required
under ITB Clauses 12.1(a)(ii) to 12.1(a)(iii) 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, findingsof 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 ofbids. 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

26

opening shall be made available to the public upon written request andpayment of a specified fee to recover cost of materials.
24.9

To ensure transparency and accurate representation of the bid submission, theBAC 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 thebid opening.

E. Evaluation and Comparison of Bids
25.

26.

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 ofcommunication with any bidder regarding the evaluation of their bids until theissuance 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.

Clarification of Bids
To assist in the evaluation, comparison, and post-qualification of the bids, theProcuring 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 theProcuring Entity shall not be considered.

27.

Domestic Preference
27.1.

Unless otherwise stated in the BDS, the Procuring Entity will grant a marginof preference for the purpose of comparison of bids in accordance with thefollowing:(a)

The preference shall be applied when the lowest Foreign Bid is lower
than the lowest bid offered by a Domestic Bidder.

(b)

For evaluation purposes, the lowest Foreign Bid shall be increased by
fifteen percent (15%).

(c)

In the event that the lowest bid offered by a Domestic Bidder does notexceed the lowest Foreign Bid as increased, then the Procuring Entity
shall award the contract to the Domestic Bidder at the amount of thelowest Foreign Bid.

(d)

If the Domestic Bidder refuses to accept the award of contract at theamount of the Foreign Bid within two (2) calendar days from receipt of
written advice from the BAC, the Procuring Entity shall award to the27bidder offering the Foreign Bid, subject to post-qualification andsubmission of all the documentary requirements under these Bidding
Documents.
27.2.

28.

A Bidder may be granted preference as a Domestic Bidder subject to thecertification from the DTI that the Bidder is offering unmanufactured articles,
materials or supplies of the growth or production of the Philippines, ormanufactured articles, materials, or supplies manufactured or to be
manufactured in the Philippines substantially from articles, materials, or
supplies of the growth, production, or manufacture, as the case may be, of thePhilippines.

Detailed Evaluation and Comparison of Bids
28.1.

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

28.2.

The Lowest Calculated Bid shall be determined in two steps:

28.3.

28.4.

(a)

The detailed evaluation of the financial component of the bids, toestablish the correct calculated prices of the bids; and(b)

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

The Procuring Entity’s BAC shall immediately conduct a detailed evaluationof all bids rated “passed,” using non-discretionary pass/fail criteria. The BAC
shall consider the following in the evaluation of bids:(a)Completeness of the bid. Unless the BDS allows partial bids, bids notaddressing or providing all of the required items in the Schedule ofRequirements including, where applicable, Schedule of Prices, shall beconsidered non-responsive and, thus, automatically disqualified. In thisregard, where a required item is provided, but no price is indicated, thesame 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 forfree to the Procuring Entity, except those required by law or
regulations to be provided for; and(b)Arithmetical corrections. Consider computational errors and omissions
to enable proper comparison of all eligible bids. It may also consider
bid modifications. Any adjustment shall be calculated in monetary
terms to determine the calculated prices.

Based on the detailed evaluation of bids, those that comply with the abovementioned 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 computational28

errors, discounts and other modifications, which exceed the ABC shall not be
considered, unless otherwise indicated in the BDS.

29.

28.5.

The Procuring Entity’s evaluation of bids shall be based on the bid pricequoted in the Bid Form, which includes the Schedule of Prices.

28.6.

Bids shall be evaluated on an equal footing to ensure fair competition. For
this purpose, all bidders shall be required to include in their bids the cost of alltaxes, 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, shallbe the basis for bid evaluation and comparison.

28.7.

If so indicated pursuant to ITB Clause 1.2, Bids are being invited forindividual lots or for any combination thereof, provided that all Bids andcombinations of Bids shall be received by the same deadline and opened andevaluated 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 items specified for each lot and to all quantities
specified for each item of a lot. Bid Security as required by ITB Clause 18
shall be submitted for each contract (lot) separately. The basis for evaluationof lots is specified in BDS Clause 28.3.

Post-Qualification
29.1.

The BAC shall determine to its satisfaction whether the Bidder that isevaluated 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.

29.2.

Within a non-extendible period of five (5) calendar days from receipt by thebidder 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 andpaid through the BIR Electronic Filing and Payment System (eFPS) and otherappropriate licenses and permits required by law and stated in the BDS.
Failure to submit any of the post-qualification requirements on time, or afinding 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 inaccordance with Section 69 of the IRR of RA 9184.

29.3.

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 becompleted within a period of twelve (12) calendar days.

29.4.

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,

29

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.

30.

29.5.

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’scapabilities to perform satisfactorily. If the second Bidder, however, fails thepost qualification, the procedure for post qualification shall be repeated for the
Bidder with the next Lowest Calculated Bid, and so on until the LCRB isdetermined for recommendation for contract award.

29.6.

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

29.7.

In the event of disapproval, which shall be based on valid, reasonable, andjustifiable 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 andthe grounds for it. When applicable, the BAC shall conduct a postqualification of the Bidder with the next Lowest Calculated Bid. A request forreconsideration may be filed by the bidder with the HoPE in accordance with
Section 37.1.3 of the IRR of RA 9184.

Reservation Clause
30.1.

Notwithstanding the eligibility or post-qualification of a Bidder, the Procuring
Entity concerned reserves the right to review its qualifications at any stage ofthe procurement process if it has reasonable grounds to believe that amisrepresentation has been made by the said Bidder, or that there has been achange 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 affectits 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 anaward or contract.

30.2.

Based on the following grounds, the Procuring Entity reserves the right toreject any and all bids, declare a Failure of Bidding at any time prior to thecontract 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 resultof the bidding:(a)

If there is prima facie evidence of collusion between appropriate public
officers or employees of the Procuring Entity, or between the BAC andany 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 ornullify competition;3030.3.

(b)

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

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

If the physical and economic conditions have significantly
changed so as to render the project no longer economically,financially or technically feasible as determined by the HoPE;(ii)

If the project is no longer necessary as determined by the
HoPE; and(iii)

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

In addition, the Procuring Entity may likewise declare a failure of bidding
when:
(a)

No bids are received;(b)

All prospective Bidders are declared ineligible;(c)

All bids fail to comply with all the bid requirements or fail postqualification; or(d)The bidder with the LCRB refuses, without justifiable cause to accept
the award of contract, and no award is made in accordance with
Section 40 of the IRR of RA 9184.

F. Award of Contract
31.

Contract Award
31.1.

Subject to ITB Clause 29, the HoPE or its duly authorized representative shallaward the contract to the Bidder whose bid has been determined to be the
LCRB.

31.2.

Prior to the expiration of the period of bid validity, the Procuring Entity shallnotify the successful Bidder in writing that its bid has been accepted, through a
Notice of Award duly received by the Bidder or its representative personallyor sent by registered mail or electronically, receipt of which must be
confirmed in writing within two (2) days by the Bidder with the LCRB andsubmitted personally or sent by registered mail or electronically to theProcuring Entity.

31.3.

Notwithstanding the issuance of the Notice of Award, award of contract shallbe subject to the following conditions:(a)Submission of the following documents within ten (10) calendar days
from receipt of the Notice of Award:3131.4.

32.

(i)

Valid JVA, if applicable; or(ii)

In the case of procurement by a Philippine Foreign Service
Office or Post, the PhilGEPS Registration Number of thewinning foreign Bidder;(b)

Posting of the performance security in accordance with ITB Clause 33;(c)

Signing of the contract as provided in ITB Clause 32; and(d)Approval by higher authority, if required, as provided in Section 37.3of the IRR of RA 9184.

At the time of contract award, the Procuring Entity shall not increase or
decrease the quantity of goods originally specified in Section VI. Schedule ofRequirements.

Signing of the Contract
32.1.

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.

32.2.

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

32.3.

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.

32.4.

The following documents shall form part of the contract:(a)Contract Agreement;(b)

Bidding Documents;(c)

Winning bidder’s bid, including the Technical and Financial Proposals,
and all other documents/statements submitted (e.g., bidder’s responseto request for clarifications on the bid), including corrections to thebid, if any, resulting from the Procuring Entity’s bid evaluation;(d)Performance Security;(e)Notice of Award of Contract; and(f)Other contract documents that may be required by existing laws and/or
specified in the BDS.

32

33.

Performance Security
33.1.

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 fromthe Procuring Entity and in no case later than the signing of the contract.

33.2.

The Performance Security shall be denominated in Philippine Pesos andposted in favor of the Procuring Entity in an amount not less than thepercentage of the total contract price in accordance with the following
schedule:
Form of Performance Security(a) Cash or cashier’s/manager’s
check issued by a Universal orCommercial Bank.
(b) Bank
draft/guaranteeorirrevocable letter of credit
issued by a Universal orCommercial Bank: Provided,
however, that it shall be
confirmed or authenticated by a
Universal or Commercial Bank,
if issued by a foreign bank.
(c) Surety bond callable upon
demand issued by a surety or
insurancecompany
duly
certified by the InsuranceCommission as authorized toissue such security.

33.3.

34.

Amount of Performance Security(Not less than the Percentage of the
Total Contract Price)

Five percent (5%)

Thirty percent (30%)

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 shallhave a fresh period to initiate and complete the post qualification of the second
Lowest Calculated Bid. The procedure shall be repeated until the LCRB is
identified and selected for recommendation of contract award. However if no
Bidder passed post-qualification, the BAC shall declare the bidding a failureand conduct a re-bidding with re-advertisement, if necessary.

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

33

35.

Protest Mechanism
Decisions of the procuring entity at any stage of the procurement process may bequestioned in accordance with Section 55 of the IRR of RA 9184.

34Section III. Bid Data Sheet
Bid Data SheetITB Clause
1.1

The Procuring Entity is Department of Tourism (DOT)The name of the Contract is Production of Sustainable Tourism
Brochures
The identification number of the Contract is DOT-BAC IB No. 2018-038.

1.2

The lot(s) and reference is/are:
DOT(TD)-BAC IB No. 2018-038 Production of Sustainable Tourism
Brochures

2

The Funding Source is:
The Government of the Philippines (GOP) through General Appropriations
Act in the amount of One Million Six Hundred Thousand Philippine Pesos(PhP1,600,000.00).
The name of the Project is: Production of Sustainable Tourism
Brochures

3.1

No further instructions.

5.1

No further instructions.

5.2

Foreign bidders, except those falling under ITB Clause 5.2(b), may notparticipate in this Project.

5.4

The Bidder must have completed, within the period specified in theInvitation to Bid and ITB Clause 12.1(a)(ii), a single contract that is similar
to this Project, equivalent to at least fifty percent (50%) of the ABC.

7

No further instructions.

8.1

Subcontracting is not allowed.

8.2

Not applicable.

9.1

The Procuring Entity will hold a pre-bid conference for this Project on
December 3, 2018 at 2:00 p.m. at 4th Floor Conference Room, DOT Bldg.,
No. 351 Sen. Gil Puyat Ave., Makati City.

10.1

The Procuring Entity’s address is:
DOT Bldg., No. 351 Sen. Gil Puyat Ave., Makati City, Philippines35MR. GODOFREDO R. MALDONADO, JR.
Head, BAC Secretariat
459-5200 to 30 local 425
dotbac.secretariat@yahoo.com / grmaldonado@tourism.gov.ph
12.1(a)No further instructions.

12.1(a)(ii)

The bidder’s SLCC similar to the contract to be bid should have been
completed within the last two (2) years prior to the deadline for thesubmission and receipt of bids.

13.1

No additional requirements.

13.1(b)

No further instructions.

13.1(c)No additional requirements.

13.2

The ABC is One Million Six Hundred Thousand Philippine Pesos(PhP1,600,000.00).
Any bid with a financial component exceeding this amount shall not be
accepted.

15.4(a)(iv)

No incidental services are required.

15.4(b)

Not applicable
No incidental services are required.

16.1(b)The Bid prices for Goods supplied from outside of the Philippines shall bequoted in Philippine Pesos.

16.3

Not applicable.

17.1

Bids will be valid until April 16, 2019.

18.1

The bid security shall be in the form of a Bid Securing Declaration, or anyof the following forms and amounts:
1. The amount of not less than PhP32,000.00, if bid security is in cash,
cashier’s/manager’s check, bank draft/guarantee or irrevocable letter ofcredit; or
2. The amount of not less than PhP80,000.00, if bid security is in Surety
Bond.

18.2

The bid security shall be valid until April 16, 2019.

20.3

Each Bidder shall submit one (1) original and six (6) copies of the first andsecond components of its bid.

21

The address for submission of bids is 4th Floor, DOT Bldg, No. 351 Sen.

36

Gil Puyat Ave., Makati City.
The deadline for submission of bids is on or before December 17, 2018
until 9:00 a.m. only.
24.1

The place of bid opening is 4th Floor Conference Room, DOT Bldg, No.
351 Sen. Gil Puyat Ave., Makati City.
The date and time of bid opening is December 17, 2018 at 2:00 p.m.

24.2

No further instructions.

24.3

No further instructions.

27.1

No further instructions.

28.3 (a)Partial bid is not allowed. The goods are grouped in a single lot and the lot
shall not be divided into sub-lots for the purpose of bidding, evaluation, andcontract award.

28.4

No further instructions.

29.2

No additional requirement.

32.4(f)

No additional requirement.

37Section IV. General Conditions of Contract
TABLE OF CONTENTS
1.

DEFINITIONS .............................................................................................. 40

2.

CORRUPT, FRAUDULENT, COLLUSIVE, AND COERCIVEPRACTICES ................................................................................................. 41

3.

INSPECTION AND AUDIT BY THE FUNDING SOURCE ................................. 42

4.

GOVERNING LAW AND LANGUAGE ........................................................... 42

5.

NOTICES ..................................................................................................... 426.

SCOPE OF CONTRACT ................................................................................ 43

7.

SUBCONTRACTING ..................................................................................... 43

8.

PROCURING ENTITY’S RESPONSIBILITIES ................................................ 43

9.

PRICES ....................................................................................................... 43

10. PAYMENT ................................................................................................... 44
11. ADVANCE PAYMENT AND TERMS OF PAYMENT ....................................... 44
12. TAXES AND DUTIES .................................................................................... 45
13. PERFORMANCE SECURITY ........................................................................ 45
14. USE OF CONTRACT DOCUMENTS AND INFORMATION .............................. 46
15. STANDARDS ................................................................................................ 46
16. INSPECTION AND TESTS ............................................................................. 46
17. WARRANTY ................................................................................................ 47
18. DELAYS IN THE SUPPLIER’S PERFORMANCE ............................................ 48
19. LIQUIDATED DAMAGES ............................................................................. 48
20. SETTLEMENT OF DISPUTES ....................................................................... 48
21. LIABILITY OF THE SUPPLIER ..................................................................... 49
22. FORCE MAJEURE ....................................................................................... 49
23. TERMINATION FOR DEFAULT.................................................................... 50
24. TERMINATION FOR INSOLVENCY .............................................................. 50
25. TERMINATION FOR CONVENIENCE ........................................................... 50
26. TERMINATION FOR UNLAWFUL ACTS ...................................................... 51

38

27. PROCEDURES FOR TERMINATION OF CONTRACTS ................................... 51
28. ASSIGNMENT OF RIGHTS ........................................................................... 53
29. CONTRACT AMENDMENT .......................................................................... 53
30. APPLICATION ............................................................................................. 53

39

1.

Definitions
1.1.

In this Contract, the following terms shall be interpreted as indicated:(a)“The Contract” means the agreement entered into between the
Procuring Entity and the Supplier, as recorded in the Contract Formsigned by the parties, including all attachments and appendices thereto
and all documents incorporated by reference therein.

(b)“The Contract Price” means the price payable to the Supplier under theContract for the full and proper performance of its contractual
obligations.

(c)“The Goods” means all of the supplies, equipment, machinery, spareparts, other materials and/or general support services which the
Supplier is required to provide to the Procuring Entity under theContract.

(d)“The Services” means those services ancillary to the supply of theGoods, such as transportation and insurance, and any other incidental
services, such as installation, commissioning, provision of technicalassistance, training, and other such obligations of the Supplier covered
under the Contract.

(e)“GCC” means the General Conditions of Contract contained in thisSection.

(f)“SCC” means the Special Conditions of Contract.

(g)“The Procuring Entity” means the organization purchasing the Goods,
as named in the SCC.

(h)

“The Procuring Entity’s country” is the Philippines.

(i)“The Supplier” means the individual contractor, manufacturer
distributor, or firm supplying/manufacturing the Goods and Services
under this Contract and named in the SCC.

(j)

The “Funding Source” means the organization named in the SCC.

(k)

“The Project Site,” where applicable, means the place or places namedin the SCC.

(l)“Day” means calendar day.

(m)

The “Effective Date” of the contract will be the date of signing thecontract, however the Supplier shall commence performance of its
obligations only upon receipt of the Notice to Proceed and copy of theapproved contract.

40

(n)

2.

“Verified Report” refers to the report submitted by the Implementing
Unit to the HoPE setting forth its findings as to the existence ofgrounds or causes for termination and explicitly stating its
recommendation for the issuance of a Notice to Terminate.

Corrupt, Fraudulent, Collusive, and Coercive Practices
2.1.

Unless otherwise provided in the SCC, the Procuring Entity as well as thebidders, contractors, or suppliers shall observe the highest standard of ethics
during the procurement and execution of this Contract. In pursuance of thispolicy, the Procuring Entity:(a)defines, for the purposes of this provision, the terms set forth below asfollows:(i)"corrupt practice" means behavior on the part of officials in the
public or private sectors by which they improperly andunlawfully enrich themselves, others, or induce others to do so,by misusing the position in which they are placed, and it
includes the offering, giving, receiving, or soliciting ofanything of value to influence the action of any such official in
the procurement process or in contract execution; entering, on
behalf of the Government, 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 inorder to influence a procurement process or the execution of acontract 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, noncompetitive levels and to deprive the Procuring Entity of thebenefits 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.

(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 theexecution of a contract;(v)“obstructive practice” is(aa)deliberately destroying, falsifying, altering orconcealing of evidence material to an administrative
proceedings or investigation or making false statements
to investigators in order to materially impede an41administrative proceedings or investigation of the
Procuring Entity or any foreign government/foreign orinternational financing institution into allegations of acorrupt, fraudulent, coercive or collusive practice;
and/or threatening, harassing or intimidating any party
to prevent it from disclosing its knowledge of mattersrelevant to the administrative proceedings orinvestigation or from pursuing such proceedings orinvestigation; or
(bb)

(b)

2.2.

3.

acts intended to materially impede the exercise of theinspection and audit rights of the Procuring Entity or
any foreign government/foreign or international
financing institution herein.

will reject a proposal for award if it determines that the Bidder
recommended for award has engaged in any of the practices mentioned
in this Clause for purposes of competing for the contract.

Further the Funding Source, Borrower or Procuring Entity, as appropriate, willseek to impose the maximum civil, administrative and/or criminal penalties
available under the applicable law on individuals and organizations deemed to
be involved with any of the practices mentioned in GCC Clause 2.1(a).

Inspection and Audit by the Funding Source
The Supplier shall permit the Funding Source to inspect the Supplier’s accounts andrecords relating to the performance of the Supplier and to have them audited byauditors appointed by the Funding Source, if so required by the Funding Source.

4.

5.

Governing Law and Language
4.1.

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

4.2.

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

Notices
5.1.

Any notice, request, or consent required or permitted to be given or madepursuant to this Contract shall be in writing. Any such notice, request, orconsent shall be deemed to have been given or made when received by theconcerned party, either in person or through an authorized representative of
the Party to whom the communication is addressed, or when sent by registeredmail, telex, telegram, or facsimile to such Party at the address specified in the42

SCC, which shall be effective when delivered and duly received or on thenotice’s effective date, whichever is later.
5.2.

6.

7.

8.

9.

A Party may change its address for notice hereunder by giving the other Party
notice of such change pursuant to the provisions listed in the SCC for GCC
Clause 5.1.

Scope of Contract
6.1.

The Goods and Related Services to be provided shall be as specified in
Section VI. Schedule of Requirements.

6.2.

This Contract shall include all such items, although not specificallymentioned, that can be reasonably inferred as being required for its completion
as if such items were expressly mentioned herein.
Any additional
requirements for the completion of this Contract shall be provided in the SCC.

Subcontracting
7.1.

Subcontracting of any portion of the Goods, if allowed in the BDS, does notrelieve the Supplier of any liability or obligation under this Contract. The
Supplier will be responsible for the acts, defaults, and negligence of any
subcontractor, its agents, servants or workmen as fully as if these were theSupplier’s own acts, defaults, or negligence, or those of its agents, servants orworkmen.

7.2.

If subcontracting is allowed, the Supplier may identify its subcontractor duringcontract implementation. Subcontractors disclosed and identified during thebidding 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 theevent that any subcontractor is found by the Procuring Entity to be ineligible,
the subcontracting of such portion of the Goods shall be disallowed.

Procuring Entity’s Responsibilities
8.1.

Whenever the performance of the obligations in this Contract requires that theSupplier obtain permits, approvals, import, and other licenses from local
public authorities, the Procuring Entity shall, if so needed by the Supplier,make its best effort to assist the Supplier in complying with such requirements
in a timely and expeditious manner.

8.2.

The Procuring Entity shall pay all costs involved in the performance of its
responsibilities in accordance with GCC Clause 6.

Prices9.1.

For the given scope of work in this Contract as awarded, all bid prices are
considered fixed prices, and therefore not subject to price escalation duringcontract implementation, except under extraordinary circumstances and upon43

prior approval of the GPPB in accordance with Section 61 of R.A. 9184 andits IRR or except as provided in this Clause.
9.2.

10.

11.

Prices charged by the Supplier for Goods delivered and/or services performed
under this Contract shall not vary from the prices quoted by the Supplier in its
bid, with the exception of any change in price resulting from a Change Orderissued in accordance with GCC Clause 29.

Payment
10.1.

Payments shall be made only upon a certification by the HoPE to the effectthat the Goods have been rendered or delivered in accordance with the termsof this Contract and have been duly inspected and accepted. Except with theprior approval of the President no payment shall be made for services not yet
rendered or for supplies and materials not yet delivered under this Contract.
Ten percent (10%) of the amount of each payment shall be retained by theProcuring Entity to cover the Supplier’s warranty obligations under thisContract as described in GCC Clause 17.

10.2.

The Supplier’s request(s) for payment shall be made to the Procuring Entity inwriting, accompanied by an invoice describing, as appropriate, the Goods
delivered and/or Services performed, and by documents submitted pursuant to
the SCC provision for GCC Clause 6.2, and upon fulfillment of otherobligations stipulated in this Contract.

10.3.

Pursuant to GCC Clause 10.2, payments shall be made promptly by theProcuring Entity, but in no case later than sixty (60) days after submission of
an invoice or claim by the Supplier. Payments shall be in accordance with theschedule stated in the SCC.

10.4.

Unless otherwise provided in the SCC, the currency in which payment ismade to the Supplier under this Contract shall be in Philippine Pesos.

10.5.

Unless otherwise provided in the SCC, payments using Letter of Credit (LC),in accordance with the Guidelines issued by the GPPB, is allowed. For thispurpose, the amount of provisional sum is indicated in the SCC. All charges
for the opening of the LC and/or incidental expenses thereto shall be for theaccount of the Supplier.

Advance Payment and Terms of Payment
11.1.

Advance payment shall be made only after prior approval of the President, andshall not exceed fifteen percent (15%) of the Contract amount, unlessotherwise directed by the President or in cases allowed under Annex “D” of
RA 9184.

11.2.

All progress payments shall first be charged against the advance payment until
the latter has been fully exhausted.

11.3.

For Goods supplied from abroad, unless otherwise indicated in the SCC, theterms of payment shall be as follows:

44

12.

(a)

On Contract Signature: Fifteen Percent (15%) of the Contract Priceshall be paid within sixty (60) days from signing of the Contract andupon submission of a claim and a bank guarantee for the equivalentamount valid until the Goods are delivered and in the form provided in
Section VIII. Bidding Forms.

(b)

On Delivery: Sixty-five percent (65%) of the Contract Price shall be
paid to the Supplier within sixty (60) days after the date of receipt of
the Goods and upon submission of the documents (i) through (vi)specified in the SCC provision on Delivery and Documents.

(c)

On Acceptance: The remaining twenty percent (20%) of the Contract
Price shall be paid to the Supplier within sixty (60) days after the dateof submission of the acceptance and inspection certificate for therespective delivery issued by the Procuring Entity’s authorized
representative. In the event that no inspection or acceptance certificate
is issued by the Procuring Entity’s authorized representative within
forty five (45) days of the date shown on the delivery receipt, theSupplier shall have the right to claim payment of the remaining twenty
percent (20%) subject to the Procuring Entity’s own verification of thereason(s) for the failure to issue documents (vii) and (viii) as describedin the SCC provision on Delivery and Documents.

Taxes and Duties
The Supplier, whether local or foreign, shall be entirely responsible for all thenecessary taxes, stamp duties, license fees, and other such levies imposed for thecompletion of this Contract.

13.

Performance Security
13.1.

Within ten (10) calendar days from receipt of the Notice of Award from theProcuring Entity but in no case later than the signing of the contract by bothparties, the successful Bidder shall furnish the performance security in any theforms prescribed in the ITB Clause 33.2.

13.2.

The performance security posted in favor of the Procuring Entity shall be
forfeited in the event it is established that the winning bidder is in default inany of its obligations under the contract.

13.3.

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

13.4.

The performance security may be released by the Procuring Entity andreturned to the Supplier after the issuance of the Certificate of Final
Acceptance subject to the following conditions:(a)There are no pending claims against the Supplier or the surety
company filed by the Procuring Entity;45

13.5.

14.

15.

(b)

The Supplier has no pending claims for labor and materials filed
against it; and(c)Other terms specified in the SCC.

In case of a reduction of the contract value, 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.

Use of Contract Documents and Information
14.1.

The Supplier shall not, except for purposes of performing the obligations inthis Contract, without the Procuring Entity’s prior written consent, disclose
this Contract, or any provision thereof, or any specification, plan, drawing,
pattern, sample, or information furnished by or on behalf of the Procuring
Entity. Any such disclosure shall be made in confidence and shall extend only
as far as may be necessary for purposes of such performance.

14.2.

Any document, other than this Contract itself, enumerated in GCC Clause
14.1 shall remain the property of the Procuring Entity and shall be returned(all copies) to the Procuring Entity on completion of the Supplier’s
performance under this Contract if so required by the Procuring Entity.

Standards
The Goods provided under this Contract shall conform to the standards mentioned in
the Section VII. Technical Specifications; and, when no applicable standard ismentioned, to the authoritative standards appropriate to the Goods’ country of origin.
Such standards shall be the latest issued by the institution concerned.

16.

Inspection and Tests
16.1.

The Procuring Entity or its representative shall have the right to inspect and/or
to test the Goods to confirm their conformity to the Contract specifications at
no extra cost to the Procuring Entity. The SCC and Section VII. Technical
Specifications shall specify what inspections and/or tests the Procuring Entity
requires and where they are to be conducted. The Procuring Entity shall notify
the Supplier in writing, in a timely manner, of the identity of any
representatives retained for these purposes.

16.2.

If applicable, the inspections and tests may be conducted on the premises of
the Supplier or its subcontractor(s), at point of delivery, and/or at the goods’
final destination. If conducted on the premises of the Supplier or its
subcontractor(s), all reasonable facilities and assistance, including access to
drawings and production data, shall be furnished to the inspectors at no charge
to the Procuring Entity. The Supplier shall provide the Procuring Entity withresults of such inspections and tests.

46

17.

16.3.

The Procuring Entity or its designated representative shall be entitled to attend
the tests and/or inspections referred to in this Clause provided that theProcuring Entity shall bear all of its own costs and expenses incurred inconnection with such attendance including, but not limited to, all traveling andboard and lodging expenses.

16.4.

The Procuring Entity may reject any Goods or any part thereof that fail to pass
any test and/or inspection or do not conform to the specifications. The
Supplier shall either rectify or replace such rejected Goods or parts thereof or
make alterations necessary to meet the specifications at no cost to theProcuring Entity, and shall repeat the test and/or inspection, at no cost to theProcuring Entity, upon giving a notice pursuant to GCC Clause 5.

16.5.

The Supplier agrees that neither the execution of a test and/or inspection of theGoods or any part thereof, nor the attendance by the Procuring Entity or its
representative, shall release the Supplier from any warranties or otherobligations under this Contract.

Warranty
17.1.

The Supplier warrants that the Goods supplied under the Contract are new,unused, of the most recent or current models, and that they incorporate allrecent improvements in design and materials, except when the technicalspecifications required by the Procuring Entity provides otherwise.

17.2.

The Supplier further warrants that all Goods supplied under this Contract shallhave no defect, arising from design, materials, or workmanship or from any
act or omission of the Supplier that may develop under normal use of the
supplied Goods in the conditions prevailing in the country of final destination.

17.3.

In order to assure that manufacturing defects shall be corrected by the
Supplier, a warranty shall be required from the Supplier for a minimum period
specified in the SCC. The obligation for the warranty shall be covered by, atthe Supplier’s option, either retention money in an amount equivalent to atleast one percent (1%) of every progress payment, or a special bank guarantee
equivalent to at least one percent (1%) of the total Contract Price or other suchamount if so specified in the SCC. The said amounts shall only be released
after the lapse of the warranty period specified in the SCC; provided,
however, that the Supplies delivered are free from patent and latent defects
and all the conditions imposed under this Contract have been fully met.

17.4.

The Procuring Entity shall promptly notify the Supplier in writing of any
claims arising under this warranty. Upon receipt of such notice, the Suppliershall, within the period specified in the SCC and with all reasonable speed,
repair or replace the defective Goods or parts thereof, without cost to theProcuring Entity.

17.5.

If the Supplier, having been notified, fails to remedy the defect(s) within the
period specified in GCC Clause 17.4, the Procuring Entity may proceed totake such remedial action as may be necessary, at the Supplier’s risk andexpense and without prejudice to any other rights which the Procuring Entity

47

may have against the Supplier under the Contract and under the applicable
law.

18.

19.

Delays in the Supplier’s Performance
18.1.

Delivery of the Goods and/or performance of Services shall be made by the
Supplier in accordance with the time schedule prescribed by the Procuring
Entity in Section VI. Schedule of Requirements.

18.2.

If at any time during the performance of this Contract, the Supplier or its
Subcontractor(s) should encounter conditions impeding timely delivery of theGoods and/or performance of Services, the Supplier shall promptly notify theProcuring Entity in writing of the fact of the delay, its likely duration and its
cause(s). As soon as practicable after receipt of the Supplier’s notice, andupon causes provided for under GCC Clause 22, the Procuring Entity shallevaluate the situation and may extend the Supplier’s time for performance, inwhich case the extension shall be ratified by the parties by amendment ofContract.

18.3.

Except as provided under GCC Clause 22, a delay by the Supplier in theperformance of its obligations shall render the Supplier liable to the impositionof liquidated damages pursuant to GCC Clause 19, unless an extension oftime is agreed upon pursuant to GCC Clause 29 without the application ofliquidated damages.

Liquidated Damages
Subject to GCC Clauses 18 and 22, if the Supplier fails to satisfactorily deliver any or
all of the Goods and/or to perform the Services within the period(s) specified in thisContract inclusive of duly granted time extensions if any, the Procuring Entity shall,
without prejudice to its other remedies under this Contract and under the applicablelaw, deduct from the Contract Price, as liquidated damages, the applicable rate of one
tenth (1/10) of one (1) percent of the cost of the unperformed portion for every day ofdelay until actual delivery or performance. The maximum deduction shall be ten
percent (10%) of the amount of contract. Once the maximum is reached, theProcuring Entity may rescind or terminate the Contract pursuant to GCC Clause 23,
without prejudice to other courses of action and remedies open to it.

20.

Settlement of Disputes
20.1.

If any dispute or difference of any kind whatsoever shall arise between the
Procuring Entity and the Supplier in connection with or arising out of thisContract, the parties shall make every effort to resolve amicably such disputeor difference by mutual consultation.

20.2.

If after thirty (30) days, the parties have failed to resolve their dispute ordifference by such mutual consultation, then either the Procuring Entity or the
Supplier may give notice to the other party of its intention to commence
arbitration, as hereinafter provided, as to the matter in dispute, and no
arbitration in respect of this matter may be commenced unless such notice isgiven.
48

21.

22.

20.3.

Any dispute or difference in respect of which a notice of intention tocommence arbitration has been given in accordance with this Clause shall besettled by arbitration. Arbitration may be commenced prior to or after
delivery of the Goods under this Contract.

20.4.

In the case of a dispute between the Procuring Entity and the Supplier, thedispute shall be resolved in accordance with Republic Act 9285 (“R.A.
9285”), otherwise known as the “Alternative Dispute Resolution Act of 2004.”

20.5.

Notwithstanding any reference to arbitration herein, the parties shall continue
to perform their respective obligations under the Contract unless they
otherwise agree; and the Procuring Entity shall pay the Supplier any monies
due the Supplier.

Liability of the Supplier
21.1.

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

21.2.

Except in cases of criminal negligence or willful misconduct, and in the caseof infringement of patent rights, if applicable, the aggregate liability of the
Supplier to the Procuring Entity shall not exceed the total Contract Price,provided that this limitation shall not apply to the cost of repairing or
replacing defective equipment.

Force Majeure
22.1.

The Supplier shall not be liable for forfeiture of its performance security,
liquidated damages, or termination for default if and to the extent that theSupplier’s delay in performance or other failure to perform its obligations
under the Contract is the result of a force majeure.

22.2.

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 Supplier could nothave foreseen, or which though foreseen, was inevitable. It shall not include
ordinary unfavorable weather conditions; and any other cause the effects ofwhich could have been avoided with the exercise of reasonable diligence by
the Supplier. Such events may include, but not limited to, acts of the
Procuring Entity in its sovereign capacity, wars or revolutions, fires, floods,
epidemics, quarantine restrictions, and freight embargoes.

22.3.

If a force majeure situation arises, the Supplier shall promptly notify theProcuring Entity in writing of such condition and the cause thereof. Unlessotherwise directed by the Procuring Entity in writing, the Supplier shallcontinue to perform its obligations under the Contract as far as is reasonably
practical, and shall seek all reasonable alternative means for performance notprevented by the force majeure.

49

23.

Termination for Default
23.1.

24.

The Procuring Entity shall terminate this Contract for default when any of thefollowing conditions attends its implementation:(a)Outside of force majeure, the Supplier fails to deliver or perform anyor all of the Goods within the period(s) specified in the contract, orwithin any extension thereof granted by the Procuring Entity pursuant
to a request made by the Supplier prior to the delay, and such failureamounts to at least ten percent (10%) of the contact price;(b)

As a result of force majeure, the Supplier is unable to deliver or
perform any or all of the Goods, amounting to at least ten percent(10%) of the contract price, for a period of not less than sixty (60)calendar days after receipt of the notice from the Procuring Entity
stating that the circumstance of force majeure is deemed to haveceased; or(c)

The Supplier fails to perform any other obligation under the Contract.

23.2.

In the event the Procuring Entity terminates this Contract in whole or in part,for any of the reasons provided under GCC Clauses 23 to 26, the Procuring
Entity may procure, upon such terms and in such manner as it deems
appropriate, Goods or Services similar to those undelivered, and the Suppliershall be liable to the Procuring Entity for any excess costs for such similar
Goods or Services. However, the Supplier shall continue performance of thisContract to the extent not terminated.

23.3.

In case the delay in the delivery of the Goods and/or performance of theServices exceeds a time duration equivalent to ten percent (10%) of thespecified contract time plus any time extension duly granted to the Supplier,the Procuring Entity may terminate this Contract, forfeit the Supplier's
performance security and award the same to a qualified Supplier.

Termination for Insolvency
The Procuring Entity shall terminate this Contract if the Supplier is declared bankrupt
or insolvent as determined with finality by a court of competent jurisdiction. In thisevent, termination will be without compensation to the Supplier, provided that suchtermination 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 Supplier.

25.

Termination for Convenience
25.1.

The Procuring Entity may terminate this Contract, in whole or in part, at any
time for its convenience. The HoPE may terminate a contract for theconvenience of the Government if he has determined the existence ofconditions 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.

50

25.2.

25.3.

26.

(a)

to have any portion delivered and/or performed and paid at the contract
terms and prices; and/or(b)

to cancel the remainder and pay to the Supplier an agreed amount forpartially completed and/or performed goods and for materials and parts
previously procured by the Supplier.

If the Supplier suffers loss in its initial performance of the terminated contract,such as purchase of raw materials for goods specially manufactured for theProcuring Entity which cannot be sold in open market, it shall be allowed torecover partially from this Contract, on a quantum meruit basis. Before
recovery may be made, the fact of loss must be established under oath by the
Supplier to the satisfaction of the Procuring Entity before recovery may bemade.

Termination for Unlawful Acts
26.1.

27.

The Goods that have been delivered and/or performed or are ready for delivery
or performance within thirty (30) calendar days after the Supplier’s receipt of
Notice to Terminate shall be accepted by the Procuring Entity at the contract
terms and prices. For Goods not yet performed and/or ready for delivery, theProcuring Entity may elect:

The Procuring Entity may terminate this Contract in case it is determinedprima facie that the Supplier has engaged, before or during the implementationof this Contract, in unlawful deeds and behaviors relative to contract
acquisition and implementation. Unlawful acts include, but are not limited to,the following:(a)Corrupt, fraudulent, and coercive practices as defined in ITB Clause
3.1(a);(b)

Drawing up or using forged documents;(c)Using adulterated materials, means or methods, or engaging in
production contrary to rules of science or the trade; and(d)Any other act analogous to the foregoing.

Procedures for Termination of Contracts
27.1.

The following provisions shall govern the procedures for termination of thisContract:(a)Upon receipt of a written report of acts or causes which may constituteground(s) for termination as aforementioned, or upon its own initiative,
the Implementing Unit 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;

51

(b)

Upon recommendation by the Implementing Unit, the HoPE shallterminate this Contract only by a written notice to the Supplierconveying the termination of this Contract. The notice shall state:(i)that this Contract is being terminated for any of the ground(s)afore-mentioned, and a statement of the acts that constitute theground(s) constituting the same;(ii)

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

an instruction to the Supplier to show cause as to why thisContract should not be terminated; and(iv)

special instructions of the Procuring Entity, if any.

(c)

The Notice to Terminate shall be accompanied by a copy of the
Verified Report;(d)Within a period of seven (7) calendar days from receipt of the Noticeof Termination, the Supplier shall submit to the HoPE a verified
position paper stating why this Contract should not be terminated. If
the Supplier fails to show cause after the lapse of the seven (7) day
period, either by inaction or by default, the HoPE shall issue an orderterminating this Contract;(e)

The Procuring Entity may, at any time before receipt of the Supplier’s
verified position paper described in item (d) 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 Supplier’s receipt of the notice;(f)Within a non-extendible period of ten (10) calendar days from receiptof the verified position paper, the HoPE shall decide whether or not toterminate this Contract. It shall serve a written notice to the Supplierof its decision and, unless otherwise provided, this Contract is deemed
terminated from receipt of the Supplier of the notice of decision. The
termination shall only be based on the ground(s) stated in the Notice toTerminate;(g)

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; and(h)

The Supplier must serve a written notice to the Procuring Entity of its
intention to terminate the contract at least thirty (30) calendar days
before its intended termination. The Contract is deemed terminated if it
is not resumed in thirty (30) calendar days after the receipt of such
notice by the Procuring Entity.

52

28.

Assignment of Rights
The Supplier shall not assign his rights or obligations under this Contract, in whole orin part, except with the Procuring Entity’s prior written consent.

29.

Contract Amendment
Subject to applicable laws, no variation in or modification of the terms of thisContract shall be made except by written amendment signed by the parties.

30.

Application
These General Conditions shall apply to the extent that they are not superseded byprovisions of other parts of this Contract.

53

Section V. Special Conditions of Contract
Special Conditions of Contract
GCC Clause
1.1(g)The Procuring Entity is Department of Tourism (DOT).

1.1(i)The Supplier is [to be inserted at the time of contract award].

1.1(j)The Funding Source is the Government of the Philippines (GOP)
through General Appropriations Act in the amount of One Million Six
Hundred Thousand Philippine Pesos (PhP1,600,000.00).

1.1(k)The Project Site is (please refer to Terms of Reference)

2.1

No further instructions.

5.1

The Procuring Entity’s address for Notices is: DOT Bldg., No. 351
Sen. Gil Puyat Ave., Makati City c/o ASEC. ROBERTO P. ALABADO
III, DOT-BAC Chairperson, Telephone Nos.: 459-5200 to 30 Loc.
508.
The Supplier’s address for Notices is: [Insert address including, nameof contact, fax and telephone number]

6.2

No further instructions.

10.4

Not applicable.

10.5

Payment using LC is not allowed.

11.3

Maintain the GCC Clause.

13.4(c)No further instructions.

16.1

None.

17.3

Not applicable.

17.4

Not applicable.

21.1

No additional provision.

54Section VI. Schedule of Requirements
The delivery schedule expressed as weeks/months stipulates hereafter a delivery date whichis the date of delivery to the project site.
Item
NumberDescription

Quantity

55

Total

Delivered,Weeks/Months

Section VII. Technical Specifications
Technical Specifications
Item

Specification

Statement of Compliance
Bidders must state here either “Comply”
or “Not Comply” against each of theindividual
parametersofeach
Specification stating the corresponding
performance parameter of the equipment
offered. Statements of “Comply” or “Not
Comply” must be supported by evidence
in a Bidders Bid and cross-referenced tothat evidence. Evidence shall be in theform of manufacturer’s un-amended sales
literature, unconditional statements ofspecification and compliance issued by the
manufacturer, samples, independent test
data etc., as appropriate. A statement thatis not supported by evidence or issubsequently found to be contradicted by
the evidence presented will render the Bid
under evaluation liable for rejection. A
statement either in the Bidders statementof compliance or the supporting evidence
that is found to be false either during Bid
evaluation, post-qualification or the
execution of the Contract may be regarded
as fraudulent and render the Bidder or
supplier liable for prosecution subject tothe provisions of ITB Clause 3.1(a)(ii)
and/or GCC Clause 2.1(a)(ii).

56Section VIII. Bidding Forms
TABLE OF CONTENTS
BID FORM........................................................................................................... 58
CONTRACT AGREEMENT FORM ........................................................................ 62
OMNIBUS SWORN STATEMENT .......................................................................... 63
BANK GUARANTEE FORM FOR ADVANCE PAYMENT ....................................... 66
BID SECURING DECLARATION FORM …………………………………………….67

57

Bid Form
Date:
Invitation to Bid1 No:

To: [name and address of Procuring Entity]
Gentlemen and/or Ladies:
Having examined the Bidding Documents including Bid Bulletin Numbers [insert
numbers], the receipt of which is hereby duly acknowledged, we, the undersigned, offer to[supply/deliver/perform] [description of the Goods] in conformity with the said Bidding
Documents for the sum of [total Bid amount in words and figures] or such other sums as may
be ascertained in accordance with the Schedule of Prices attached herewith and made part ofthis Bid.
We undertake, if our Bid is accepted, to deliver the goods in accordance with thedelivery schedule specified in the Schedule of Requirements.
If our Bid is accepted, we undertake to provide a performance security in the form,
amounts, and within the times specified in the Bidding Documents.
We agree to abide by this Bid for the Bid Validity Period specified in BDS provision
for ITB Clause 18.2 and it shall remain binding upon us and may be accepted at any time
before the expiration of that period.
Commissions or gratuities, if any, paid or to be paid by us to agents relating to this Bid,and to contract execution if we are awarded the contract, are listed below:2
Name and addressof agent

Amount andCurrency

Purpose ofCommission or gratuity(if none, state “None”)

Until a formal Contract is prepared and executed, this Bid, together with your written
acceptance thereof and your Notice of Award, shall be binding upon us.
We understand that you are not bound to accept the Lowest Calculated Bid or any Bid
you may receive.

1 If ADB, JICA and WB funded projects, use IFB.
2 Applicable only if the Funding Source is the ADB, JICA or WB.

58

We certify/confirm that we comply with the eligibility requirements as per ITB Clause
5 of the Bidding Documents.
We likewise certify/confirm that the undersigned, [for sole proprietorships, insert: as
the owner and sole proprietor or authorized representative of Name of Bidder, has the fullpower and authority to participate, submit the bid, and to sign and execute the ensuing
contract, on the latter’s behalf for the Name of Project of the Name of the Procuring Entity][for partnerships, corporations, cooperatives, or joint ventures, insert: is granted full power
and authority by the Name of Bidder, to participate, submit the bid, and to sign and execute
the ensuing contract on the latter’s behalf for Name of Project of the Name of the Procuring
Entity].
We acknowledge that failure to sign each and every page of this Bid Form, including
the attached Schedule of Prices, shall be a ground for the rejection of our bid.
Dated this ________________ day of ________________ 20______.

[signature][in the capacity of]

Duly authorized to sign Bid for and on behalf of59____________________________

For Goods Offered From Abroad. Invitation to Bid3 Number __. Page.

Name of Bidder

1

2

3

4

5

Item

Description

Countryof origin

Quantity

Unit price CIF port ofentry (specify port) or
CIP named place(specify border point orplace of destination)[signature]

of

6

7

8

9

Total CIF or

Unit Price
Delivered Duty
Unpaid (DDU)

Unit price
Delivered Duty
Paid (DDP)

Total Pricedelivered DDP(col 4 x 8)

CIP price per

item(col. 4 x 5)

[in the capacity of]

Duly authorized to sign Bid for and on behalf of3 If ADB, JICA and WB funded projects, use IFB.

60____________________________

For Goods Offered From Within the Philippines. Invitation to Bid4 Number . Page ofName of Bidder

.

1

2

3

4

5

6

7

8

9

10

Item

Description

Countryof origin

Quantity

Unit price EXW
per itemTransportation
and Insurance
and all othercosts
incidental todelivery, per
item

Sales andother taxes
payable if
Contract isawarded, per
item

Cost of
Incidental
Services, if
applicable, per
item

Total Price,
per unit(col 5+6+7+8)

Total Pricedelivered Final
Destination(col 9) x (col 4)[signature][in the capacity of]

Duly authorized to sign Bid for and on behalf of

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

61____________________________

Contract Agreement Form
THIS AGREEMENT made the _____ day of __________ 20_____ between [name of
PROCURING ENTITY] of the Philippines (hereinafter called “the Entity”) of the one part and[name of Supplier] of [city and country of Supplier] (hereinafter called “the Supplier”) of theother part:
WHEREAS the Entity invited Bids for certain goods and ancillary services, viz.,[brief description of goods and services] and has accepted a Bid by the Supplier for the
supply of those goods and services in the sum of [contract price in words and figures](hereinafter called “the Contract Price”).
NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:
1.
In this Agreement words and expressions shall have the same meanings as arerespectively assigned to them in the Conditions of Contract referred to.
2.
The following documents shall be deemed to form and be read and construed as partof this Agreement, viz.:
(a)

(b)
(c)
(d)
(e)
(f)
(g)

the Supplier’s Bid, including the Technical and Financial Proposals, and allother documents/statements submitted (e.g. bidder’s response to clarifications
on the bid), including corrections to the bid resulting from the Procuring
Entity’s bid evaluation;
the Schedule of Requirements;
the Technical Specifications;
the General Conditions of Contract;
the Special Conditions of Contract;
the Performance Security; andthe Entity’s Notice of Award.

3.
In consideration of the payments to be made by the Entity to the Supplier ashereinafter mentioned, the Supplier hereby covenants with the Entity to provide the goods
and services and to remedy defects therein in conformity in all respects with the provisions of
the Contract
4.
The Entity hereby covenants to pay the Supplier in consideration of the provision of
the goods and services and the remedying of defects therein, the Contract Price or such othersum as may become payable under the provisions of the contract at the time and in themanner prescribed by the contract.
IN WITNESS whereof the parties hereto have caused this Agreement to be executedin accordance with the laws of the Republic of the Philippines on the day and year first above
written.
Signed, sealed, delivered bythe(for the Entity)

Signed, sealed, delivered bythe(for the Supplier).

62

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 [Addressof Affiant], after having been duly sworn in accordance with law, do hereby depose and statethat:
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 andperform any and all acts necessary to participate, submit the bid, and to sign andexecute the ensuing contract for [Name of the Project] of the [Name of the Procuring
Entity], as shown in the attached duly notarized Special Power of Attorney;
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], as shown in the attached [state title of attacheddocument showing proof of authorization (e.g., duly notarized Secretary’s Certificate,
Board/Partnership Resolution,or Special Power of Attorney, whichever isapplicable;)];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 anauthentic 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 Officeor the end-user unit, and the project consultants by consanguinity or affinity up to thethird 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 andAwards 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 controllingstockholders 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; and8. [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; andd) 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 projector 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 [placeof 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.

Bank Guarantee Form for Advance Payment

To:[name and address of PROCURING ENTITY][name of Contract]

Gentlemen and/or Ladies:
In accordance with the payment provision included in the Special Conditions of Contract,which amends Clause 10 of the General Conditions of Contract to provide for advancepayment, [name and address of Supplier] (hereinafter called the “Supplier”) shall depositwith the PROCURING ENTITY a bank guarantee to guarantee its proper and faithful
performance under the said Clause of the Contract in an amount of [amount of guarantee in
figures and words].
We, the [bank or financial institution], as instructed by the Supplier, agree unconditionallyand irrevocably to guarantee as primary obligator and not as surety merely, the payment to
the PROCURING ENTITY on its first demand without whatsoever right of objection on ourpart and without its first claim to the Supplier, in the amount not exceeding [amount ofguarantee in figures and words].
We further agree that no change or addition to or other modification of the terms of theContract to be performed thereunder or of any of the Contract documents which may be madebetween the PROCURING ENTITY and the Supplier, shall in any way release us from any
liability under this guarantee, and we hereby waive notice of any such change, addition, or
modification.
This guarantee shall remain valid and in full effect from the date of the advance payment
received by the Supplier under the Contract until [date].
Yours truly,
Signature and seal of the Guarantors[name of bank or financial institution][address][date]

BID SECURING DECLARATION FORM

REPUBLIC OF THE PHILIPPINES)
CITY OF _______________________) S.S.
x------------------------------------------------------x

BID SECURING DECLARATION
Invitation to Bid: [Insert Reference number]
To: [Insert name and address of the Procuring Entity]
I/We5, the undersigned, declare that:
1.

I/We understand that, according to your conditions, bids must be supported bya 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 forany contract with any procuring entity for a period of two (2) years uponreceipt of your Blacklisting order; and, (b) I/we will pay the applicable fineprovided under Section 6 of the Guidelines on the Use of Bid Securing
Declaration, within fifteen (15) days from receipt of the written demand by the
procuring entity for the commission of acts resulting to the enforcement of thebid 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 thegovernment 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 ofyour notice to such effect, and (i) I/we failed to timely file a request forreconsideration or (ii) I/we filed a waiver to avail of said right;(c)

I am/we are declared the bidder with the Lowest Calculated
Responsive Bid, and I/we have furnished the performance security andsigned the Contract.

5 Select one and delete the other. Adopt the same instruction for similar terms throughout the document.

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 AUTHORIZEDREPRESENTATIVE][Insert Signatory’s Legal Capacity]
Affiant

SUBSCRIBED AND SWORN to before me this ___ day of [month] [year] at [placeof 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 _____