Notes On Rippability
Notes On Rippability
Notes On Rippability
ABSTRACT:
All quantities stated in the Contract Bill of Quantities are approximate only and actual measured
quantities of such work may vary from such estimated quantities. Such variations are not
changes within the scope and meaning of the Contract, and shall be adjusted for payment
purposes in the monthly and final estimate of work. No change in unit cost shall be accepted due
to such changes in the quantities from the ones as stated in the Bill of Quantities.
The Variation Order should be within the general scope of the project as bidded and awarded. A
variation order may either be in the form of a Change Order or Extra Work Order.
3. An Extra Work Order may be issued by the implementing official to cover the
introduction of new work necessary for the completion, improvement or protection of the
project which were not included as items of work in the original Contract, such as, where
there are subsurface or latent physical conditions at the site differing materially from
those indicated in the Contract, or where there are duly unknown physical conditions at
the site of an unusual nature differing materially from those ordinarily encountered and
generally recognized as inherent in the work or character provided for in the Contract.
4. Any cumulative Variation Order beyond ten percent (10%) shall be subject of another
contract to be bid out if the works are separable from the original Contract. In
exceptional case where it is urgently necessary to complete the original scope of work,
NIA may authorize the Variation Order beyond ten percent (10%) but not more than
twenty percent (20%) subject to the guidelines to be determined by the Government
Procurement Policy Board (GPPB).
5. In claiming for any Variation Order, the Contractor shall, within seven (7) calendar days
after such work has been commenced or after the circumstances leading to such
condition(s) leading to the extra costs, and within twenty-eight (28) calendar days deliver
a written communication giving full and detailed particulars of any extra cost in order
that it may be investigated at the time. Failure to provide either of such notices in the
time stipulated shall constitute a waiver by the Contractor for any claim. The preparation
and submission of Variation Orders are as follows:
a. If the Engineer believes that a Change Order or Extra Work Order should be issued,
he shall prepare the proposed Order accompanied with the notices submitted by the
Contractor, the plans therefore, his computations as to the quantities of the additional
works involved per item indicating the specific stations where such works are needed,
the date of his inspections and investigations thereon, and the log book thereof, and a
detailed estimate of the unit cost of such items of work, together with his
justifications for the need of such Change Order or Extra Work Order and shall
submit the same to the Assistant Administrator for Project Development and
Implementation (PDI).
b. The Assistant Administrator for PDI, upon receipt of the proposed Change Order or
Extra Work Order shall immediately instruct his Technical Staff or Contract
Administration Division personnel to conduct an on-the-spot investigation to verify
the need for the work to be prosecuted. A report of such verification shall be
submitted directly to the Assistant Administrator for PDI.
c. The Assistant Administrator for PDI after being satisfied that such Change Order or
Extra Work Order is justified and necessary, shall review the estimated quantities and
prices and forward the proposal with the supporting documentation to the
Administrator for consideration.
d. If, after review of the plans, quantities and estimated unit cost of the items of work
involved, the Administrator believes that the Change Order or Extra Work Order is in
order, he shall approve the same (if within his authority), or recommend the same to
the NIA Board for approval and to the Bank for concurrence.
e. The time frame for the processing of Variation Order from the preparation up to the
approval by the NIA shall not exceed thirty (30) calendar days.
1. For Variation Orders, the Contractor shall be paid for additional work items whose unit
prices shall be derived based on the following:
a. For additional /extra works duly covered by Change Orders involving work items
which are exactly the same or similar to those in the original Contract, the applicable
unit prices of work items in the original Contract shall be used.
b. For Additional/Extra Works duly covered by Extra Work Orders involving new work
items that are not in the original Contract, the unit prices of the new work items shall
be based on the direct unit costs used in the original Contract (e.g. unit cost of cement,
rebars, form lumber, labor rate, equipment rental, etc.). All new components of the
new work item shall be fixed prices, provided the same is acceptable to both the
Government and the Contractor, and provided further that the direct unit costs of new
components shall be based on the Contractor's estimate as validated by the NIA via
documented canvass in accordance with existing rules and regulations. The direct cost
of the new work item shall then be combined with the mark-up factor (i.e. taxes and
profit) used by the Contractor in his bid to determine the unit price of the new item.
2. Request for payment by the Contractor for any extra work shall be accompanied by a
statement, with the approved supporting forms, giving a detailed accounting and record
of amount for which he claims payment Said request for payment shall be included with
the Contractor's statement for progress payment.
C. Conditions under which Contractor is to Start Work under Variation Orders and Receive
Payments
Under no circumstances shall the Contractor proceed to commence work under any Change
Order or Extra Work Order unless it has been approved by the Administrator or NIA Board.
Exceptions to the preceding rule are the following:
a. The Assistant Administrator for PDI, subject to the availability of funds, authorize the
immediate start of work under any Change or Extra Work Order under any or all of the
following conditions:
i). In the event of an emergency where the prosecution of the work is urgent to avoid
detriment to public service, or damage to life and/or property; and/or
ii). when time is of the essence;
provided, however, that such approval is valid on work done up to the point where the
cumulative increase in value of work on the project which has not yet been duly approved
does not exceed five percent (5%) of the adjusted original Contract price, provided,
further, that immediately after the start of work, the corresponding Change/Extra Work
Order shall be prepared and submitted for approval in accordance with the above rules
herein set. Payments for works satisfactorily accomplished on any Change/Extra Work
Order may be made only after approval of the same by the Administrator or the NIA
Board and duly concurred by the bank.
b. For A Change/Extra Work Order involving a cumulative amount exceeding five percent
(5%) of the original Contract price or original adjusted Contract price, no work thereon
may be commenced unless said Change/Extra Work Order has been approved by the
Administrator or the NIA Board and (duly concurred by the Bank, if required).
Change Order - An order issued to the Contractor to undertake additional work resulting either
in the increase in the original quantities of any or all items of work in the re-classification of an
existing item to another item as those provided for in the original Contract or decrease in the
quantity of work due to underruns or deletion of portions or sections of the Contract Work. See
Variation Orders.
Extra Work Order - An order issued to the Contractor to perform additional work needed and
necessary for the completion and/or improvement or protection of the project when such
additional work was not included as an item of work in the original Contract. See Variation
Orders.
Variation Orders - Order issued by NIA to cover any increase or decrease in quantities, re-
classification of work items or introduction of new work items which are usually due to change
in plans, design or alignment to suit actual field condition.