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Republicof the Philippines Dt r IJ":f• ~
DEPARTMENTOF PUBLIC WORKS AND HIGHWAYS
OFFICE OF THE SECRETARY
Manila
AU6 0 7 2007
No. 46
Series of 200~'
~
~. tJ:f )
PROVISIONAL SUM
CONTRACT MANAGEMENT
ITEMS IN
Section VII (Bill of Quantities) of the Philippine Bidding Documents for the
Procurement of Works which was prepared by the Government Procurement
Policy Board (GPPB) defines and prescribes guidelines in the application of
Daywork Schedule and Provisional Sums. Attached, for the information and
guidance of all concerned, is a copy of the said Section VII (2 pages) of the
Philippine Bidding Documents.
I. DAYWORK
The works shall then be valued in accordance with the Daywork Schedule
included in the Contract, plus a percentage to be entered by the bidder
representing contractor's profit, overhead/contingencies, supervision cost
and other charges.
a. Before ordering goods for the works, the Contractor shall request for
quotations from at least 3 suppliers and submit the same to the
Engineer.
Funds intended for dayworks may be charged against the Provisional Sum.
If a Daywork Schedule is not included in the Contract, this Sub-Clause shall
not apply.
The Engineer shall notify the Contractor of any determination made, with a
copy to the Employer.
The Provisional Sum may be used also for the execution of additional works
beyond the limit of Dayworks. This maybe due to unknown or unforeseen
underground obstruction wherein detailed engineering cannot be possibly
undertaken or for other works like relocation of public utilities which requires
2
D.O. No. 46 S. 2007 p. 3/3
Works executed under the Provisional Sum shall be valued at the rates or
prices set out in the Tender or as determined by the Engineer. The
Contractor shall submit to the Engineer all quotations, invoices and accounts
or receipts in connection with the expenditures on works executed under the
Provisional Sum. For works undertaken by a nominated sub-contractor, the
amount to be paid will be the actual price paid or due to be paid by the
Contractor plus other charges and profit as determined by the Engineer.
Where such provisional sums are used, the Special Condition of the Contract
(SCC) should state the manner they will be used and under whose authority
(usually the Project Engineer) they will be implemented.
~'\
HERMOGENE
Secretary ¥ . ~NE,
1
JR.
1111 11111111
WIN7F00117
3
Section VIL Bill of Quantities
(b) when a Contract has been entered into; to provide a priced Bill of Quantities for
use in the periodic valuation of Works executed.
In order to attain these objectives, Works should be itemized in the Bill of Quantities in
sufi1cient detail to distinguish between the different classes of Works, or between
Works of the same nature carried out in different locations or in other circumstances
which may give rise to different considerations of cost. Consistent with these
requirements, the layout and content of the Bill of Quantities should be as simple and
brief as possible.
Daywork Schedule
(a) A list of the various classes of labor, materials, and Constructional Plant for
which basic daywork rates or prices are to be inserted by the Bidder, together
with a statement of the conditions under which the Contractor will be paid for
work executed on a daywork basis.
(b) Nominal quantities for each item of Daywork, to be priced by each Bidder at
Daywork rates as Bid. The rate to be entered by the Bidder against each basic
Daywork item should include the Contractor's profit, overheads, supervision,
and other charges.
Provisional Sums
120
------------------ -.------.--.--------.--------------------,
including a provisiol1ul SLlm in the SUllJmary Bill or Quantities. Similarly, a
contingcncy allowance for pos~ible price increascs ~;h(l\lld \tc provided as a provisional
sum in the Summary Bill of Quantities. The inclusion or slIch provisional SlIIllSoften
facilitatcs budgetary npproval by avoiding the need to requcst pcrio~lic supplementary
approvals as the future need arises. Where such provisiollal slllm or contingency
allowances are used, the see should slalc Ihe manner in which theyH~ill be used, and
under whose authority (usu.~n:t;thc r~I.{OC~}Ht;l9 E~TIT)')..J~l(l!rcst?li.latiy.~,;,~);':,.
{;~r.::ti}::::::!:rt;~Ib;. HHf .dtim~:H!;:n:l:i:m':i::~ :,EEI,;d~H::::!~::;:::i:EE;~.!.-.
.:::~'EE~;~;i:::l::;;:rh::,
The estimated cost .¢?::specializc"VWp.tk to ue dl~!11~9.n:.iut,or or:~~~p'i'til goods ·t~:t:Rc
supplied, by othcr~9i1tractors (rcf~ifto Gee CI~4:$b 8) should '~pJindicatcd in iiil~e
relevant part of tiWYBill
....,••
of Qwiritilics'''','' ,
as a pdhkular
, .•• ~.••.
provisiOJ1~1 ~.~•••
sum with r",''':' ;~11
appropriate brief de{'hption. A~~II~,:ate procur~p~~ht proccdur~ll~~llp~rmally c~p;,,~d
out by tile PROC URlnQi;S~rq}1y:#?·i~~Jf:~,~ ..~~81~f;sl?:~Ci~'Af~~,;~P~~t\:~~~6r~~!:!:~;g,l.1~PVldc
an elcmcnt of comp.c.~itio'il"'a'ril0ng;:t.h:c Diddd~Sl'iil r~$pca;t)fit\hY fcfdiIitic§;;,h'tii6ilitics,
aUcnJancc, etc., to Dc:'bwvidcd by.;fI1e. success rill Bi~U¢r as prime Contractor for the use
and convenience of th~[:jiJ(£Hi.1i:;(c6iJtract(Jrs, each i~'~lated provisional sum should be
followed by an item in the Bill of Quantities inviting the Bidder to quote a sum for such
amenities, facilities, attcndrriice, etc.
These Notes for Prcp<:;'in~ a Bill of Quantities arc intended only as information for the
PROCURING ENTiTY or the person drafting the Bidding DoclIlIlents. They should
not be included in the final documents.