Ref.

No_______________

Date_________________

Letter of Acceptance

To: (Name and address of the Contractor)

___________________

This is to notify you that your bid dated [ Date] for execution of the [ name of the contract and identification number, as
given in the contract data] for the Accepted Contract Amount of the equivalent of [ amount in numbers and words] [name
of currency], as corrected and modified in accordance with the Instruction to Bidders, is hereby accepted by
our City Administration.

You are requested to furnish the performance security within 28 days in accordance with the Conditions
of Contract, using for that purpose one of the performance security Forms included in Section IX, Annex
to the Particular Conditions – Contract Forms, of the Bidding Document. Attached herewith please find
the sample Contract Agreement Form.

Authorized Signature:______________________________________________________________

Name and Title of Signatory_________________________________________________________

Name of Agency_________________________________________________________________

CC//

 ULGDP Coordinator
_______________
 _______________
_______________
 Contract Agreement

This CONTRACT AGREEMENT (together with all appendices attached hereto and forming an integral part
hereof, called the “Contract”) is made on the ____ day of the month of _______, 2012 between:

__________ CITY ADMINISTRATION (hereafter referred to as the “Client”) whose address is;

_________ CITY ADMINISTRATION

P.O.Box _______________

Tel. ___________________

Fax +251-______________

________ [Name of the City], SNNPR

Ethiopia

and, on the other hand:

________________________________ (hereafter referred to as the “Contractor”) whose address is:-

_______________________ [Name of the Contractor]

P.O.Box ________________

Tel:-+251-_______________

Fax:-+251-_______________

E-mail:-_________________

___________ [Name of the Contractor]

Ethiopia

WHEREAS:-

a) The Client has requested the contractor to execute the works for ___________________Project
hereinafter called “works” as defined herein and attached to this contract.

b) The Client has received a grant from International Development Association, /IDA/ through
Urban Good Governance & Capacity Building Bureau, UGCBB towards the execution of the
works and intends to apply a portion of the proceeds of this fund to eligible payments under this
contract it being understood.

I) That payment will be subject, in all respects, to the terms and conditions of agreement
providing for the fund, and
 II) That no party other than the Client shall drive any rights from the agreement providing for
the fund or have any claim to the fund proceeds,

NOW, THEREFORE the Parties have to agree as follows:

1: The following Documents attached hereto shall be deemed to form an integral part of this
Contract:

a) Letter of Acceptance

b) The Bid Document

c) The General Conditions of Contract

d) The special Conditions of Contract

e) Technical specification

f) Priced bill of Quantities

g) Drawings, and

h) The completed schedules.

2: Contract Amount and Completion Time

The Contract amount is ___________/ [in words] _____________________ birr/ including 15% VAT.

The completion time is ____________Calendar Days.

3: The mutual rights and obligations of the Client and the Contractor shall be as set forth in the contract,
in particular:

a) The Contractor shall carryout the works in accordance with the provisions of the Contract;

b) The Client shall make payments to the Contractor in accordance with the provision of the
contract; and

c) Both the Client and the contractor shall comply with their respective obligations so that the
project can be implemented as schedule.

INWITNESS WHEREOF, The parties hereto have caused this contract to be signed in their respective
names as of the day and year first above written
For and on behalf of the Client ____________ City Administration

Authorized...............................................

Signature.................................................

Date........................................................

In the presence of (witness)

1. Name............................................ 2. Name......................................

Signature....................................... Signature.......................................

Date........................................... Date...........................................

For and on behalf of the Contractor _____________ General /Building Contractor

Authorized...............................................

Signature.................................................

Date........................................................

In the presence of (witness)

1. Name............................................ 2. Name......................................

Signature..................................... Signature...................................

Date........................................... Date..........................................

For and on behalf of the Consultant:

1. Name............................................ 2. Name......................................

Signature...................................... Signature...................................

Date......................................... Date...........................................