retention money

if a certain contractor had been deducted with 10% retention from their progress billings, and after completion of the projects, they filed to withdraw the retention money previously withheld substituting the same with bank guaranty. is it allowed? Section 6.2 of revised implementing rules and regulations of RA 9184 says only about substitution of retention with security documents from every progress billing. what about if it had previously deducted and later claimed? please help me with this.

miles rougan wrote:if a certain contractor had been deducted with 10% retention from their progress billings, and after completion of the projects, they filed to withdraw the retention money previously withheld substituting the same with bank guaranty. is it allowed?

wow! finally miles from the dpwh stood out! welcome to the forum miles. As to your query, well of course that is very much allowed. The 10% retention is used to cover the defects liability of the contractor.

miles rougan wrote:
Section 6.2 of revised implementing rules and regulations of RA 9184 says only about substitution of retention with security documents from every progress billing. what about if it had previously deducted and later claimed? please help me with this.

The contractor can also substitute a Security documents for the withdrawal of every 10% retention every billing as long as the project is "on-Schedule". When the accomplishment of the project reaches to 50% the Procuring Entity may suspend the 10% retention on the succeeding billing as long as the project is also on-shecdule, meaning to say there is no slippAGE in the project.. At the completion of the project, there is a requirement for a 10% total retention for Defects Liability with a 1 year expiration. This could either be in cash or in Bonds.

thank you very much, sir

Are we talking about infra project or procurement of goods, my friends? because basing from engr ruel's post, he is talking about infra project and i do not know for miles rougan's post, becuase section 6.2 under section 6 talks about standardization of procurement process and forms.

amang1965 wrote:Are we talking about infra project or procurement of goods, my friends? because basing from engr ruel's post, he is talking about infra project and i do not know for miles rougan's post, becuase section 6.2 under section 6 talks about standardization of procurement process and forms.

I am sorry, i was carried away kasi ako amang:D We're talking about proc of infra, since miles is from the dpwh i assumed that her post is for infra concern.

heh.he sa totoo lang engr nalito ako. anyways Maligayang Pasko, Engr. 7 days na lang!!!!

engrjhez wrote:

amang1965 wrote:heh.he sa totoo lang engr nalito ako. anyways Maligayang Pasko, Engr. 7 days na lang!!!!

Engineer ka rin naman di ba amang? ECE? Hirap i-trace ng identity mo, pero malapit na. Merry Christmas!

parang sa X-files the TV series, anyway, peace to all of you guys.

sunriser431 wrote:

engrjhez wrote:

amang1965 wrote:heh.he sa totoo lang engr nalito ako. anyways Maligayang Pasko, Engr. 7 days na lang!!!!

Engineer ka rin naman di ba amang? ECE? Hirap i-trace ng identity mo, pero malapit na. Merry Christmas!

parang sa X-files the TV series, anyway, peace to all of you guys.

hehehe, yes nasabi ko yata noon na ECE ako, o sige para may idea kayo sa identity ko, Saint Louis University ako nag graduate batch86, tapos nag open U ako sa UP Los Banos ng Environment and Natural Resources Management noong 2002. 1990 ako na employ sa government, ever since procurement na ako na assign kaya nasusuka na ako sa procurement. heh.he.