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GPPB guidelines for issuing variation order beyond 10%

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GPPB guidelines for issuing variation order beyond 10%

Post by leobcaleja on Tue Nov 23, 2010 6:55 pm

What are the guidelines to be determined by GPPB for issuing variation order beyond 10%?
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Re: GPPB guidelines for issuing variation order beyond 10%

Post by engrjhez® on Tue Nov 23, 2010 11:05 pm

leobcaleja wrote:What are the guidelines to be determined by GPPB for issuing variation order beyond 10%?
There is none. Procuring Entities are not allowed to enter into variation orders exceeding 10% consistent with prevailing COA guidelines.
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Re: GPPB guidelines for issuing variation order beyond 10%

Post by Mikel on Wed Nov 24, 2010 3:13 pm

The authority of the COA to concur with the contracts (for infra projects) covering variation orders within and in excess of 25% ceiling as provided in COA Circular No. 81-101 had been repealed by COA Circular No. 82-195. Please correct me if I’m wrong Engrjhez, but I am not aware of any COA guidelines prohibiting variation orders in excess of 10% of the original contract cost. The function of the COA is only to review (both as to legal and technical aspects) contracts covering such variation orders exceeding the 10% ceiling.
I think, par. 1.4 of the Annex “E” of the revised IRR provides that the GPPB shall determine (issue, if I may say so) the guidelines for positive variation orders which go beyond the 10% but not more than 20% of the original contract price.
Thanks and peace.

BTW, is there a way to block irrelevant posts such as those posted by aobama52? it is already irritating.

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Re: GPPB guidelines for issuing variation order beyond 10%

Post by engrjhez® on Wed Nov 24, 2010 3:23 pm

Thanks for clarifying that Mikel. Now I recalled, it was when contract prices go beyond 10% when the COA issues (as on our case) a notification of apparent overpricing. But even though, I will still look at it again (and probably do some research again) because I knew I have read sometime limits on allowable variation orders. Smile
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Re: GPPB guidelines for issuing variation order beyond 10%

Post by leobcaleja on Wed Nov 24, 2010 6:12 pm

In Section 53.4 of the revised IRR states that the amount involved should not exceed the amount of the on-going project. Can this be considered as the maximum limit for issuing variation order or supplemental contract agreement? At this stage, who approves the variation order/supplemental agreement if the procuring entity is a GCOC?
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Re: GPPB guidelines for issuing variation order beyond 10%

Post by Mikel on Thu Nov 25, 2010 12:06 pm

Sec. 53.4 contemplates a separate contract for a separate project, independent and distinct from the original project, although these projects are adjacent and contiguous to each other. To my understanding, a variation order or supplemental agreement shall be made or issued only for one and the same project, thus, sec. 53.4 is not applicable to variation orders or supplemental contracts.

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Re: GPPB guidelines for issuing variation order beyond 10%

Post by leobcaleja on Sun Mar 27, 2011 2:56 pm

Does COA have threshold or guidelines on the mark-ups for cost plus basis payments?
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