OROMIYA Regional National State

OROMIYA ROADS AUTHORITY

Construction management & Contract Administration of Universal Rural Roads Access Program
[ 2011-2015/2004-2007]

Presenter: Iffa Hussein [ Eng.]

Short Brief paper on the Contract Administration of URRAP DC1/DC2 Roads

December 201, ADAAM/Bishooftu

URRAP Brief Page 1

 Briefing work shop on the URRAP projects Contract Administration

"Contract" means the conditions of contract, Specifications, Method of Measurement, Drawings,

priced Bill of Quantities, Schedule of rates and prices, letter of
acceptance, the Contract agreement, addenda and other documents
issued thereof.
“Employer” means the party named in the tender proposal who has called for tenders to build or
construct or erect or deliver the works and who will employ the
contractor and the legal successors in title to the employer but not [
except with consent of the contractor) any assignee of the Employer.
"Contractor" means the person or persons or firm or Company whose tender has been accepted by
the Employer and the legal successors in title to such person includes
Contractor’s representative and permitted assignees. It is equivalent to
Supplier as defined in the Public Procurement Proclamation.”
"The Engineer" is any Competent the natural or judicial person designated as
Engineer or consult ting firm or person in writing by the Employer and
notified to the Contractor.
“Engineer’s representative” means any Resident Engineer or assistance of
the engineer or any technically capable or competent person
acting on
behalf of the Consulting firm or Engineer or appointed by the
Engineer officially and notified to Employer in writing to
perform the duties and discharge responsibility stipulated in
clause --------- thereof.

" contract agreement," means binding treaty concluded between two parties where one receives the
assignment and the other provides it. If a party writes a correspondences to the other party and no
response will no be made shortly it is assumed that the other party accepts it
"Letter of Acceptance" means the formal and official acceptance by the Employer of the tender and
notifying this acceptance by issuance of official leaflet.
Project Cost/Contract Amount "Contract value or project cost means the sum named including in
the letter of acceptance, subject to such additions thereto or
deductions there from as may be made under the provisions
hereinafter contained.” The “ Contract Price”is the price stated in
the Letter of Acceptance and thereafter as adjusted in accordance
with the provisions of the Contract.”
The "Initial Contract Price" means the Contract Price listed in the Employer’s Letter of
Acceptance.”
The "Revised Contract Price" means the Contract Price revised due to work variation or
supplementary work out source to the contractor by the Employer’s but not initially listed in the
Letter of Acceptance.”
"Specification" means The intent of Drawings and Specifications is to describe the details for the
complete construction and maintenance of the Works, which the Contractor undertakes to perform
in accordance with the terms of the Contract. Specifications contain a detailed description of the
Project including the quality of materials, workmanship to be used, methods of testing to be used,
etc. The grouping of information may follow the sequence of works or category indicated in the Bill
of Quantity. Specifications describe the extent of work, methods of carrying out the works, quality

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and type of materials to be used, workmanship to be applied and method of testing materials
Specifications show how to do by furnishing written description to supplement the drawings.

"Workmanship" means an execution, manner of making or doing civil works in construction

industry.
"Bill of Quantities" means priced and quantified form of the Contract for admeasurements.”

The "Defects Liability Period" means the period to be computed from the first provisionally
Taking-Over time plus 365 Calendar Days.”
The “Commencement Date”means the earliest possible date when the Contractor shall start
execution the works. It does not necessary coincide with the Site handover Date.

“ the Means of communications between three parties involved in the Contract in reference to the
conditions set and execution of the works shall be effective only in writing and a notice shall be
effective only when delivered.”

“Anything of historical or other form or special significant value unexpectedly discovered on the site
shall be the property of the Employer. The Contractor shall notify the Engineer of such discoveries
and carry out the Engineer’s instructions for dealing with them.

“ The Contractor shall reinstate all properties whether public or private which are damaged as result
of performing works and if the Contractor have failed to take prompt & reasonable action to
discharge his/her responsibility/obligations in the matter of reinstatement the Engineer shall inform
the Contractor in writing to immediately compensate for loss.” In the Meantime the Contractor shall
refer all claims to the Employer without delay.”

Approval of Work “Approved work" means construction activities, extension time, payment
certificate, new work order, work variation, etc endorsed by the Engineer- or Employer supervisor.

"Government" means the political structure stretched from GANDAS level to the higher Regional
or federal Government Office level
Duties and Power of the Engineer
The Engineer shall carry out such duties in issuing decisions,
certificates and orders as are specified in the Contract.
The Engineer should get the prior approval of the Employer before giving
decision and taking action during executions of duties on the following
circumstances

"Certifying additional cost determined under Clause 12"

"Determination of Provisional Sum under clause 58,or authorizing

the contractor the use of provisional sums in excess of the Monetary
limit for variations "

"Approval of Time extension under Clause 44" or "Awarding an

extension of time under Clause 44"

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"Making Variations under Clause 51" or "issuing Variation under Clause 51
exceeding 25%"

" issuance of Final payment Certificate under clause 60(48)”

“issuance of Certificate of Completion of works under clause 48”

"Consenting to the sub letting of any part of the works under clause 4”

“Issuing a Defects Liability Period certificate”

“fixing rates or prices under clause 52”

Engineer’s Decision
“Except where otherwise specifically stated and subject to any restrictions in the Special conditions
of the Contract, the Engineer will decide contractual matters between the Employer and the
Contractor in the role representing the Employer.”

Clause 5 sub clause 5.2 : Contract Documents

It is agreed and understood that the following Documents would be part of agreement during
contract period:-
a. The contract agreement AGREEMENT and appendix thereto;
b. The Letter of Acceptance;
c. Minutes of pre-contract award discussion & addendum
d. Signed Bid proposal of the Contractor;
e. Signed prints of Drawings & Technical Reports such as
Engineering Reports, Topographic Reports, etc to be submitted
by the Consultant after completion of the Design;
f. URRAP Technical Specifications issued in 2011:
g. Addendum due to clarification or miss of key points or elaboration on some statements
h. Amendment of the original agreement
i. Supplementary agreement due to additional work given to the contractor
j. Time extension to be given to the contractor
k. Intra Firm oblige for Performance & Advance Security
l. Signed & priced Bill of Quantities to be given after the
Consultant Complete the Design;

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 m. Standard Conditions of Contract for Construction of Civil Work projects, MW&UD or
MC& HD, December 1994. Including the Amended Regulation by MW & UD or MC &
HD concerning progress evaluation dated on Tahsas 27, 1987 Ref. No. H1-
510//60/20/87, (copy is attached at the end if necessary)
APPENDIX TO THE FORM OF AGREEMENT

CLAUSES
(Standard Conditions)
( of Contract)

Employer's name and address 1a Lemmu & Bilbilo Aanaa Road Office

P.O.Box 50
BOQOJI, Oromiya, Ethiopia

Contractor's name and address 1b -------------------------------------

P.O.BOX : --------------------------
Fax: -----------------------------------
Boqoji/Adaama/Sagure, Oromiya, Ethiopia

Name and address of the Employer's 1c Bareentu Engineering Consult PLC

Representative FINFINNE/A.A & ASSELLA,
Respectively

Amount of Security (Performance Bond) (10) intra firm wholly and severally liability
[ taking in to consideration the
early financial & asset
Capacity of a contractor]

Minimum amount of third Party Insurance (23) No applied here [ Bank, Insurance, etc]

Time for signature of contract “Mudde --------2004E.C or -------December 2011/12

Time for submission of within one week after contract signature
Performance bond

Time of Commencement (41) as soon as after site handover or 15 days after

sign of the contract or 7 days after submission
of performance bond

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Time of Completion (43) 270cal. days including 10 days mobilization
time or 210 days actual time

Ruling language (5) Afan Oromo/ English

Law of contract (5) Oromiya Law or Ethiopian law

Amount of Liquidated damages (47) 0.1% of Contract Price per day of delay
If the extension time is either not requested or not
approved by the client
Limit of Liquidated Damages (47) 20% of the contract price since no unconditional
bank performance bond is submitted

APPENDIX TO THE FORM OF AGREEMENT (continued)

CLAUSES
(Standard Conditions)
(of Contract)

Defect liability period (49) 365 days

Power of the Engineer to make order/approval (2/1) As per the standard & particular condition
of contract
Power of the Engineer to make variations (52/3) As per the standard & particular condition
of contract

Percentage of Retention money (60/4) 5% of certified amount

Limit of retention money (60) 5% of contract sum plus the value of

variations ascertained in accordance with
Clause 52

Minimum gross amount of interim Certificate (60) 5% of contract value or 100,000 Birr

Rate of interest upon unpaid sums (60/10) 5% based on bank loan interest of 15 days
of the month verdict is applied

Maximum Advance Payment

(60) 20% of contract price ( Birr --------)
Amount of Advanced Security
[Unconditional] (60) Intra firm jointly & Severally
Amount of Advance to be re-paid each time 20% of the value of each Interim payment
Certificate
URRAP Brief Page 6
 submitted by the Constructor starting from second
IPC
Price adjustment (70/1) The amount payable to the contractor shall
not be adjusted in respect of fall or rise in
cost of labour, equipments, materials &
other construction inputs but already
contingency factor of 20% has been used for this purpose. This system is not applicable for one year
project.
Price Escalation (70/4)Price base indices for Cement,
Reinforcement bar, fuel & Lubricants shall be
Entertained based on the difference between
original price indices filled by the contractor
during signing of the contract and current material
price indicated by the contractor, approved by the consultant and certified by the Client Counter
Engineer or Supervisor

Foreign Currency (72) All payments shall be made in the

Currency of the host country/Employer

Joint and Several Liability (76) If a contractor is a joint venture of two/more

persons, all members of the
company/Enterprise shall be jointly &
severally bound to the Employer for
fulfillment of the terms of the contract & shall
designate one of such persons to act as the
leader with the Authority to bind the joint
Venture. The composition or the constitution
of the joint venture shall not be altered with
out the prior consent of the employer.
Monthly Site Meetings (81)The contractor or his representative
shall attend monthly site meetings
with the representatives of the
Employer and Engineer, as dates & times
to be determined by the Engineer.

Critical Clauses in the Conditions of Contract

Cluase 4 : Sub letting or sub contracting

"Sub-Contractor" means any person named in the contract as a Sub-Contractor for a part of the
works or any person to whom a part of the works has been
subcontracted with the consent of the engineer and the legal
successors in the title to such person, but not any assignee of any
such person.
“The Contractor may subcontract with approval of the Engineer and up on recognition of the
Employer, may not assign the sub contractor with out written approval of the Employer in writing.

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Sub contracting shall not alter the Contractor’s obligations. "The total portions and value of the
work to be sublet shall not exceed 30% of the Contract Price"

Cluase 6/10 : As built drawings after substantial completion of the woks as per clause 80

(a) “ The Contractor shall issue to the Employer or Engineer or Engineer representative TWO
COPIES SETs of “ AS-BUILT DRAWINGS” for major portion of activities or works
executed at the cost of the Employer that is incorporated in BILL of Quantities on high
quality paper such as Polyester Film to be approved by Engineer or her/his representative.
The Taking Over Certificate of whole or by parts as the provision of Clause 48(a) shall not
be issued by the Engineer in the event of the Contractor failure to produce the “AS –Built”
Drawings for the major activities or works executed such as Ditch, Structures, culverts,
Fords, pavement, cross section profile, longitudinal profile,etc.”

Cluase 9 : Implementation of the contract after receiving of letter of acceptance with 28 Days or
after signing of agreement within 15 Days or after Site handover or 7 Days after collecting advance
payment
“ The Contractor shall, within 28 days of the receipt of the letter of acceptance, execute a contract
agreement prepared by the road agency and submitted to the constructor for comments and
corrected after necessary suggestions of the contractor have been incorporated.”

Clause 10/2: Validity of Performance security~ it shall be valid until 28 Days from the date of
Complete Taking –Over Certificate or final Completion Certificate or as per Clause 80
~ Works substantially completed. The Security shall be returned to the contractor
within 14 Days of Expiration

Cause 14(1): Submission of Work programme or Master Work Schedule by the Contractor &
Approved by the Engineer & Ratified by the Client technical personnel to complete
12-20Km of road within 270 Calendar Days or 210 actual contract Days where 60 days are only
suggested for completion of ancillary works.

Cause 14(7): Respect of Public holidays [13] ~ Id ul Fitr, Masqel, Ethiopian Easter, Ethiopian
Epiphany, etc

“ The Contractor shall insert in the Annual Action Plan the Public Holidays on which works are not
done under the law of FDRE.” These holidays are Ethiopian Chrismas,Day, Ethiopian Ephiphany,
Victory of Adwa Commemoration Day, Id-Al-Fitir, Ethiopian Good Friday, Id-ul-Adha(Arafa),
Birthday of Prophet, Ethiopian New Year, The finding of the true cross(Mesqel), Ethiopian Easter,
Down fall of the Dergue and Ethiopian Patriots Victory Commemoration Day.

Cause 17/3: Undertaking unauthorized works by the contractor without written consent of the
Engineer
“ The Contractor shall not perform the unauthorized works with out the written consent or
approval of the Engineer or his/her representative such as works performed beyond the limit
showing on the specification or the drawing or others standard . The Contractor shall not be entitled
for payment of the extra works done without the written approval of the Engineer or his/her

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representative and up to the expense of her/his own and would not be measured and paid either by
Engineer or Employer.”

Cause 20/4: Force of majeure

"Force of Majeure" means Storms, earthquakes, war, riot, civil unrest, fires, epidemics, quarantine
restriction, freight embargoes, etc which are beyond the control of the contracting parties and can
affect the performance of the contract.”

Cause 29/3: Reinstatement/compensation for the damage of property or persons injure or loss

“ The Contractor shall reinstate all properties whether public or private which are damaged as result
of performing works and if the Contractor have failed to take prompt & reasonable action to
discharge his/her responsibility/obligations in the matter of reinstatement the Engineer shall inform
the Contractor in writing to immediately compensate for loss.” In the Meantime the Contractor shall
refer all claims to the Employer without delay.”

Cluase 34/2 or 3 : Compliance with host country Labour Regulations

“ The Contractor and his/her sub-ordinate shall at all times up to the time of contract completion,
fully abide by the governing laws and regulations of labour issued by the FDRE.”

Cluase 42 : Site possession for works commencement

“The Employer shall give possession or handover the Site to the Contractor by taking him/her to
the construction and then the parties signing Site Hanover declaration within 15 Days of the
contract signing. If the Site Hanover shall not be concluded by the date stated in the Special
Conditions of contract or in the approved work Program, the Employer shall be deemed to have
delayed the start of the relevant activities and this will be a compensation Event”

Cluase 48 : Taking –Over the partial or provisional or partly completed road

“ If the Contractor shall request the Engineer to issue a Certificate of Completion of Works and the
Engineer will do so up on deciding that the work is completed. The Employer shall take over the
Site and the Works within Seven days of the Engineer’s approval of works partial completion but
not issuing a certificate of Completion.”

Cause 80 : Taking –Over substantially or finally or fully completed road

After 365 Days from the date of partial taking over the project the Engineer or Employer shall
declare the substantial completion of the project

Cluase 52(3) : Percent of Work variation shall be 15% as per MOWUD issued in December 1994
and our particular conditions of contract

Cluase 53 : Conditions & Notice for claims [ payment Delays, inappropriate Design, etc]
"Claims " in construction industry means demands for compensation in terms of Money, Time,
extension or both of these that a party assumes or applies to be entitled to.
Payment Delays, Machinery Delays, Site Handover delays, etc
Compensation Events

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 (a) “The Employer does not provide access to all or portion of the Site by the Site Handover
Date stated in the Contract of General Conditions.”
(b) “ The Employer modifies the Work volume or type or procedures and methods of
executions in a such a way that affects the work progress of the Contractor.”
(c) “ The Engineer delays in issuing the Drawings, Specifications or work instructions required
or Employer delaying in notification of assignment of the Engineer.”
(d) “The Engineer instructs the Contractor to uncover or to carry out additional tests up on
work, which is found to have no defects or the Engineer does not approve unreasonably the
payment or works up on submission or request”
(e) “Ground conditions are substantially more adverse than could reasonably have been
assumed before issuance of the Letter of Acceptance from the Information issued to bidders
including the Site Investigation Reports or from information available publicly and from the
visual inspection of the Site.”
(f) “ The Engineer provides an instruction for dealing with an unforeseen condition, caused by
the Employer or additional Work required for safety or other reasons.’
(g) “ The Advance Payment is delayed unreasonably.”
(h) “The Engineer unreasonably delays issuing a Certificate of Completion.”
(i) “ If Compensation Events would cause additional Cost or would prevent the work being
completed before the Intended Completion Date, the Contract Price shall be increased
and/or the intended Completion Date shall be extended. The Engineer with due
consultation of the Employer shall decide whether and by how much the contract Price shall
be increased and whether and by how much the intended Completion Date shall be
extended.”

Non- Compensation Events

“ The Contactor shall not be entitled to Compensation to the extent that the Employer’s interest s
are adversely affected by the Contractor’s not giving early warning or not having cooperated with
the Engineer.
Early Warnings
(a) “The Engineer shall warn the Contractor on the event that may happen beyond the control
of Contractor before occurrence of the event

(b) The Contractor shall warn the engineer at the earliest opportunity of future events or
circumstances that may adversely affect the quality of the work that may increase the
Contract price or delay the execution of the works . The Engineer may require the
Contractor to provide an estimated of the expected of the future event or circumstances on
the Contract price and Completion date. The estimate shall be provided by the Contractor as
soon as possible in reasonable approach.”
Cluase 54 : Contractor construction Machinery or Leased Machinery status

S.N Type of machinery Unit Qty Principal cost [Birr]

1 Tractor 40HP three Cylinder NO 1 187,136.00
2 Tractor 81HP NO 1 497,966.0
3 Tractor 90HP NO 1 542,694.40
4 Trailers 1.5m3 Single Axle NO 1 85,000.0
5 Trailers 3m3 Double axle NO 2 255,000.0
6 Towed Grader NO 1 110,411.40

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7 Towed Roller 3ton NO 1 84,200.0
8 Loader attachment NO 1 74,328.80
9 Trailer with Water Tanker, 2000Lt NO 1 68,897.25
10 Fuel Tanker 4000LT NO 1 72,263.70
11 Water Tanker 4000Lt( fibre Glass) NO 1 15,050.0
Total 1,992,947.85

Cluase 55 : Fate of items missed or unit rate not established or unit rates below actual current
market value or ambiguity of unit rates or redundancy of unit rates or pay items not
totally included in the BOQ
A rate or price shall be entered against each item of the Priced Bills Quantities. The cost of
items against which the client has failed to enter a rate or price shall be deemed to be
distributed among the rates and prices entered for the related items of works.
The whole of the cost of complying with the provisions of the contract shall be included in
the items provided in the priced Bills of Quantities, where no items provided or missed
unknowingly or deliberately the cost shall be deemed to be distributed among the rates for
the related items of work.

Cluase 57/1 : Methods of measurement [ as per specifications & Drawings, as per tolerances
indicated on the Technical specifications]
“The measurement of the works shall be performed on the basis of the specifications & drawings. If
the they exceed the measurements & tolerances indicated in the specifications and drawings, such
excess shall be on the personal account of the contractor and He/She shall not be entitled to any
compensation therefore.
Cluase 58/4 : General provisional Sums { Camp construction cost, laboratory test cost,
laboratory apparatus cost, etc]
“All utems set out in the bill of quantities which are stated to be provisional Items, or for
contingencies, shall be used only at the discretion of the Engineer and if not used, either wholly or in
part, then the amount not used shall be deducted from the contract price”
Cluase 60/2 : Certificates & Payment
The Engineer approves or amends the IPC and the Counter Engineer or Supervisor of
Client ratifies it.
In case where there is a difference of view as to the meaning or amount or definition of any
item consultation of Senior Engineer from Head office is a must
An Engineer or His/Her Representative shall not be bound to approve or endorse the IPC
requested by the contractor, which is less than the Min. IPC stated in the conditions of the
Contract, 100,000.00 Birr.
All IPC subject to deductions for repayments or recollection of withholds [ Retention, Cash
Advance paid, Lease Machinery received and else]

Cluase 60/4 : Place of Payment [ by Bank account for safety]

Cluase 60/5 : deduction of Retention Money [5%] from each Interim Payment Certificate

Cluase 60/6 : Release of 50% Retention Money [ 2.5% of certified amount] After issuance of
Temporary

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 Taking –Over Certificate
Cluase 60/7 : Conditions [Joint Bank Account] & Schedule of Advance Payment[ break down of
payment]
(a) The Employer shall pay an advance payment in the form of Cash/ Kind/ Equipment /
both/ Logistic/ instrument to the Contractor exclusively for the costs of mobilization
in respect of the Service amounting 20% of the Contract Price of four Years [ 2004-
2007/2010-2015] within 15 days of the receipt of the advance payment guarantee
from RRA or Aanaa Road Agency whosoever is deemed to be responsible by the
Government. The advance shall be recovered by deducting from subsequent payment
due to the Consultant on the Monthly Basis for both Cash Advance Payment, which is
20% of Annual Project Cost for 2004/2011/12 Budget Year and Equipment delivered
to the firm such as Machinery , Construction tools, instrument and laboratory
Apparatus. The amount of such deduction shall be calculated as a proportion of the
Advance Payment to the value certified to the proportion the Advance payment bears to
the Contract Amount. The Advance Payment shall be completely returned within first
& four years schedule by deducting from ICP for Cash advance Payment and
Equipment, Tools, Instrument and Laboratory Apparatus Advance Handover,
respectively and on the average 20% & 25%[ 498,236.96 Birr] of the total received
every year for first Year Cash & Equipment handover respectively. It shall be deducted
20% & 25% [124,559.24 Birr ] from every year of the Interim Payment Certificates for
both first Year Cash Received and Equipment Delivered submitted by the Contractor
respectively & proportionally dividing in to series of Interim Payment Certificates to be
submitted but not at once or twice that shall hurt the cash flow of the Firm. The
Deduction of Advance Payment shall commence after the ICP value submitted reached
20% of the Project value or when the second Interim Payment Certificates would be
completely submitted. The Governing one is the Payment that has least effect on the
Cash Flow of the Contractor.

Clause 60/8: Advance Payment guarantee: This payment shall be released by the written approval
of the Engineer after
(a) Completion of the formal agreement with the Contractor
(b) Provision of Performance security of Individual or several by the Contractor
(c) Provision of Advance guarantee of jointly & severally liability by the Contractor
(d) Provision of Advance Payment Disbursement Schedule by the Contractor
(e) A joint Bank Account shall be opened to deposit the approved & certified amount of
Advance Payment only after the contractor the Contractor shall submit advance Payment
request and Advance Payment Disbursement Schedule to the Engineer and the Engineer
shall approve and send to the Employer and finally the Employer Counter Engineer certifies
and send to the Zonal Finance & Economic Development by the Letter for payment
processing
(f) The Employer is deemed to pay the advance Payment within 15 Days of the Receipt of such
preconditions in writing by the Engineer
Cluase 60/9 : Correction/Modifications of previously paid Certificates if the
works have not been accomplished as per contract or as expected or as
per Technical specifications
(a) “ The Engineer may by any Interim Payment Certificate shall make any Correction or
modification with respect to current or previous Interim Payment Crtificate which has been
issued by Firm officially and shall have fully Authority, if any work is not being carried out to

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 his satisfaction, to omit or reduce the value of such work in any Interim Payment
Certificate.”

Cluase 60/13 : Prudent/precautious on release of Final Payment to the Contractor

Cluase 63/1 : Default of the Contractor

(a) “ If the Contractor becomes bankrupt or have a receiving order against him, or shall present
his/her petition in Bankruptcy or shall make an arrangement with or assignment in favour of
his creditors, or shall agree to carry out the contract under a committee of inspection of
his/her creditors or being a corporation, shall go in to liquidation or dissolution ; other than
a voluntary dissolution for the purposes of amalgamation or Joint venture, or if the
contractor shall assign the contract, without the consent in writing of the Emlpoyer first
obtained, or shall have an execution levied on his/her goods or if the Engineer shall certify
in writing to the Employer that in his opinion the Contractor
(b) The abandoned the contract
(c) Without reasonable excuse he/she has failed to property complete the works or has
suspended the progress of the works for twenty eight days after receiving from the engineer
written notice to proceed
(d) Has failed to remove materials from the site or to pull and replace work for twenty –eight
days after receiving from the Engineer written notice that the said materials or work had
been rejected by the Engineer or
(e) Despite previous warning in writing by the Engineer is not executed the works in
accordance with the contract or is persistently or flagrantly neglecting to carry out his
obligations under the contract, or
(f) Has the detrimental of good workmanship or in defiance of the Engineer’s instructions to
the contrary, subtle may part of the contract
(g) The Employer based on the above stated reasons may after giving 15 days notice in writing
to the contractor enter up on the Site to look at the works and expel the Contractor
therefrom without thereby avoiding the contract or releasing the Contractor from any of
obligations or liabilities under the Contract or affecting the rights and powers conferred on
the Employer or the Engineer by the Contract and may the Employer complete the works or
may employ any other Contractor .”

Termination of Contract
The Employer or the Contractor may terminate the contract if the other party causes a fundamental
breach of the Contract. The Fundamental breach of the Contract shall include but not limited to the
following:
(a) The Contractor stops work for 28 Days when no stoppage of work is shown on the current
programme and the stoppage has not been authorized by the engineer.
(b) The Engineer instructs the Contractor to delay the progress of the Works and the
instruction is not withdraw within 28 Days.
(c) The Employer or the Contractor is made bankrupt or goes in to liquidation or dissolution
other than for a reconstruction or amalgamation.
(d) A payment certified by the Engineer is not paid by the Employer to the Contractor with in
60 Days of the Date of the issuance of Interim Payment certificate

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 (e) An Engineer gives notice that failure to correct a particular Defect is a fundamental breach
of Contract and the Contractor fails to correct it within a reasonablt period of Time
determined by the Engineer.
(f) The Contractor does not maintain a security which is required.
(g) The Contractor has delayed Completion of the Works by the Number of Days for which the
maximum amount of liquidated can be paid
(h) If the Contractor in the Judgment of the Employer has engaged in the Corrupt, fraudulent,
collusive or coercive practices in competing for or in executing the Contract.
(i) When either party to the Contract gives notice of breach of contract to the Engineer for a
cause other than those listed under sub-clause ------------, the Engineer shall decide whether
the breach is fundamental or not.
(j) Notwithstanding the above, the Employer ,may terminate the Contract for convenience
(k) If the Contractor is terminated, the Contractor shall stop work immediately, make the Site
safe and secure and leave the Site as soon as reasonably possible.
Payment after Forfeiture/Expulsion/termination of the Contract or
(l) “If the Contractor shall enter and expel the Contractor under Clause (28) he/she shall not
be liable to pay the Contractor any Money on account of the Contract until the expiration of
the period of maintenance and thereafter until the cost of execution and maintenance,
damages for delay in completion if any and all other expenses incurred by the Employer
have been ascertained and the amount thereof certified by the Engineer. The Contractor
shall be entiltled to receive only such sum or sums if any as the engineer may certify would
have been payable to him.her upon due completion by him/her after deducting the stated
amount. If such amount shall exceed the sum which would have been payable to the
contractor on due completion by him then the contractor shall up on demand pay to
Employer the amount of such excess and it shall be deemed a debit due by the contractor to
the Employer and shall be recoverable accordingly.”
(m) Until the Engineer certify the arrears of either party all materials on the Site, Plant,
Equipment, Temporary works, and the works shall be deemed to be the property of the
Employer if the Contract is terminated because of the Contractor’s default.

Cluase 67/1 : Dispute Settlements

(a) “If any dispute arise between the Employer and the Contractor in connection with or arising
out of, the contract or execution of the works, whether during the execution of the works or
after their completion and whether before or after the termination of the Contract including
any disagreement by either party with any action, opinion, instruction, determination,
certificate, or valuation of the Engineer, the matter in dispute shall, in the first place, be
referred to the DISPUTE REVIEW BOARD/Expert [DRB/E] or Adjudicator within 15
days of the action of the Engineer. The adjudicator/DRB shall take up his/her duty after
signing a declaration of Acceptance as required by Rules and Procedures set in Special
Conditions of Contract. The Adjudicator /DRB shall be a person experienced with the
Type of construction involved in the works and with the interpretation of contractual
documents and shall be selected by agreement between the Employer and the Contractor.

(b) In the event of death or disability or resignation or shoul the Employer and Contractor agree
that the adjudicator is not functioning in accordance with the provision of the Contract, a
new adjudicator shall be jointly appointed by the Employer and Contractor, of the DRE, the
latter shall be replaced by agreement between the employer and the Contractor. Any

URRAP Brief Page 14

 replacement made by the parties shall be completed within 28 Days after even of giving rise
to the need for a replacement, failing which the replacement shall be made by the same
international appointing Authority.

(c) If any of the decision of the adjudicator has not accepted by both or either of the party,
or has not become final then binding shall be settled by Arbitration . The Arbitral Tribunal
shall have full power to popen up, review and revise any decision, opinion, instruction,
determination, certificate, or valuation of Engineer any any recommendation(s) of the DRE
related to the Dispute. .”
(d) The within 28 Days of the Adjudicator’s written decision . If neither party refers the
Dispute to arbitration within the above 28 Days the adjudicator’s decision will be final and
binding. The Arbitration shall be conducted in accordance in accordance with the
arbitration procedure published by the institution named and in the place shown in the
Special Conditions of Contract.”
(e) “If any dispute arise between the Employer and the Contractor in connection with or arising
out of, the contract or execution of the works, whether during the execution of the works or
after their completion and whether before or after the termination of the Contract including
any disagreement by either party with any action, opinion, instruction, determination,
certificate, or valuation of the Engineer, the matter in dispute shall, in the first place, be
referred to the DISPUTE REVIEW BOARD/Expert [DRB/E] or Adjudicator within 15
days of the action of the Engineer. The adjudicator/DRB shall take up his/her duty after
signing a declaration of Acceptance as required by Rules and Procedures set in Special
Conditions of Contract. The Adjudicator /DRB shall be a person experienced with the
Type of construction involved in the works and with the interpretation of contractual
documents and shall be selected by agreement between the Employer and the Contractor.

(f) In the event of death or disability or resignation or should the Employer and Contractor
agree that the adjudicator is not functioning in accordance with the provision of the
Contract, a new adjudicator shall be jointly appointed by the Employer and Contractor, of
the DRE, the latter shall be replaced by agreement between the employer and the
Contractor. Any replacement made by the parties shall be completed within 28 Days after
even of giving rise to the need for a replacement, failing which the replacement shall be
made by the same international appointing Authority.

(g) If any of the decision of the adjudicator has not accepted by both or either of the party, or
has not become final then binding shall be settled by Arbitration . The Arbitral Tribunal
shall have full power to popen up, review and revise any decision, opinion, instruction,
determination, certificate, or valuation of Engineer any any recommendation(s) of the DRE
related to the Dispute. .”
(h) The within 28 Days of the Adjudicator’s written decision . If neither party refers the
Dispute to arbitration within the above 28 Days the adjudicator’s decision will be final and
binding. The Arbitration shall be conducted in accordance in accordance with the
arbitration procedure published by the institution named and in the place shown in the
Special Conditions of Contract.”

Dispute Settlements Mechanism

The disputes that shall be arisen between two parties shall be resolved using the following
dispute resolution mechanism:
URRAP Brief Page 15
 (a) Amicably settlement between two parties
(b) Mediation
(c) Arbitration
(d) Litigation
(a) Amicable Settlement is a direct negotiation carried out between two parties without the
involvement of any third party. When two party negotiation is not successful, the
claimant(s) shall proceed to the mediation.
(b) Mediation is a dispute settlement mechanism in which the third party persuades
bonded party to come to closer to similar positions. In the case where direct negotiation
fails, then the third party shall involve to mediate the matter. The mediator shall engage
in the task of persuading the disputants to change their positions to reach the same
agreement. It is an amicably Dispute Resolution Mechanism often shall be carried out
by an experienced Dispute resolution Expert, namely Senior Engineer whose both party
agreed up on. When mediation fails to result in a settlement, the matter shall be
arbitrated and a decision rendered. Mediation is an attempt to resolve the dispute on
the favour of the Client. Mediation is a voluntary in no way is intended to impede or
delay an employer access to arbitration.
(c) Arbitration is a method of dispute resolution, which is voluntarily chosen by the parties
and agreed to in a ontract as an alternative to using the Court system. Arbitration shall
be carried out by a Board of arbitrators consisting of Senior Engineer from ORA Head
Office, Experienced Adjudicator both parties agreed in, the Client’s Technical
Personnel, the General Manager of the firm and lawyer of the Employer. Board process
decision shall be made after considering documentary evidences and to some extent
encompass oral presentations of the matter by both parties. When using a board Process
the arbitration shall be provided with a case file that contains pertinent facts gathered
by both parties { Consultant & Employer}. The Arbitrators meet to discuss the facts
presented to the Board and render decision with out violating discovered facts and
evidences. Most Board decisions shall be reached at by consensus. The decision of the
arbitrator(s) shall be binding up on both parties.
Litigation: Make a claim to a court as final dispute resolution mechanism if all aforementioned
modality is failed.

Cluase 69/1 : Default of the Employer

Cluase 69/5 : Resumption of Works
Cluase 70/1 : Price adjustment [ gatii hojii sirreessuu]
Change in Cost and Legislation
Price Adjustment ~ not Applicable for one year Project

(a) “ If the Contractor fails to complete the works within the time set as Date of Project
Completion as result of his.her default the adjustment of prices thereafter until the date of
completion of the works shall be made using either the indices or prices relating to the
prescribed time for completion or current indices or prices, whichever, is more favourable to
the Employer provided that If an extension of time granted pursuant to Clause -----------the
above provision shall apply only to adjustments made after the expiry of such extension of
Time.”

Weightings

URRAP Brief Page 16

 (b) “ The weightings for each of the factors of cost given in the Appendix to Bid shall be
adjusted if in the Opinion of the Engineer they have been rendered unreasonable,
unbalanced or inapplicable as a result of varied or additional work already executed or
instructed under Clause ----------- or for any other reason
Subsequent issuance of Legislation

(c) “ If, after the date 28 Days prior to the latest date for submission of bids for the contract
there occur in the country in which the works are being or are to be executed changes to any
National or State statue, Ordinance, Decree, or other Law or any regulation or by law of any
local or other duly constituted Authority, or the introduction of any such State Statue or
Decree or Ordinance or Law or regulation or by-law which causes additional or reduced cost
to the contractor,other than under preceding sub-clauses of this Clause, in the Execution of
the Contract such as additional or reduced Cost shall after due consultation with the
Employer and the Contractor be determined by the Engineer and shall be added to or
deducted from the Contract Price and the Engineer shall notify the Contractor accordingly,
with a copy to the Employer. Notwithstanding the foregoing such additional or cost
reduced shall not be separately paid or credited if the same shall already have been taken into
account in the indexing of any inputs to the Price Adjustment.”

Cluase 70/4 : Price escalation [ Olka’iinsa gatii meeshalee sirreessu]

(a) “The amounts payable to the contractor shall be adjusted in respect of the rise or fall in cost
of labour, contractor’s equipment, Plant, Materials and other inputs to the works, which is
only applicable for four e basic materials { Cement, Re-bar, lubricant, and fuel.”}

(b) Sources of Indices and weightings

“ the sources of indices shall be those listed under------------------------ in the Appendix to
Bid as approved by Engineer. Indices shall be appropriate for the purpose and shall relate to
the contractor’s proposed source of supply of inputs on the basis of which his/her contract
price have been computed. As the proposed basis for Price Adjustment the contractor shall
have submitted with his/her bid the Tabulation of Weighings and the source of indices in
the Appendix to Bid, which shall be subject to Approval by Engineer. The Contractor shall
not sign the agreement before he/she submits base indices from the approved sources.

Change sources of indices

(c) “If the Contractor desires to order materials from a Supplier other than from whom he
obtained his/her original quotations or indices because the original supplier ceases to exist
the Engineer will look into the trend of increment of material cost of the new Supplier and
compare it with the trend of the original Supplier and determine a cost with a trend which
could fairly represent the original increment trend. However, the original Supplier exists and
the Contractor proposes a new supplier for any reason the Engineer will look in to the
current quotations or indices of the original supplier and the newly proposed supplier and
will use the quotations or indices favourable to the Employer.”

Base, Current and Provisional indices

(d) “The base cost indices or prices shall be those prevailing on the 28 Days prior to the latest
date for submission of bids. Current indices or prices shall be those prevailing on the 28
Days prior to the latest Day of the period to which a particular Interim Payment Certificate
URRAP Brief Page 17
 is related. If at any time the current indices is not available provisional indices as determined
by the Engineer will be used, subject to subsequent Correction of the amount paid to the
Contractor when the current indices become available.

Cluase 76/1 : Joint and Several liability

If a contractor is a joint venture of two/more

persons, all members of the
company/Enterprise shall be jointly &
severally bound to the Employer for
fulfillment of the terms of the contract & shall
designate one of such persons to act as the
leader with the Authority to bind the joint
Venture. The composition or the constitution
of the joint venture shall not be altered with
out the prior consent of the employer.

Cluase 78/1 : Usage of dangerous materials such as blasting and Explosives

(a) The Contractor and his subcontractors shall in the conveyance, handling, storage and the use
of all dangerous materials such as explosives, detonators, petroleum, acetlylene, oxygen,
calcium carbide, radio active materials, radio communication equipment, etc., comply with
and adehere strictly to in all respects with the laws of FDRE.”
(b) No explosives of any kind shall be used without the prior consent, in writing by the
Engineer. Once this consent is granted, the Contractor shall be solely responsible for
obtainin, handling, transporting, storing, accounting for using and disposable of surplus
detonators, fuels, bulk explosives and other things associated with blasting and for
complying in all respect with the laws of the FDRE and shall save the Employer and the
Engineer harmless from all consequences whatsoever arising out of the consent so given by
the Engineer.
(c) “ The Contractor shall provide and operate an efficient system to warn all persons likely to
be endangered by the use of Explosives or blasting. The system shall include arrangement to
indicate clearly the beginning and end of the period of danger.”
(d) “ All costs associated with the use of and consequences from explosives shall be borne by
the Contractor.”

Cluase 79/1 : Official visit to the project sites by stakeholders

Cluase 80/1 : Substantial Works Completion
Cluase 81/1 : Monthly/Quarterly Site meetings by all stakeholders
Site Meetings or Two party or three party Meetings
(a) “The Engineer and the contactor shall carry out Site Meeting either to review plans for
work acceleration or on quality of work execution or workmanship or to deal with matters
raised in accordance with early warning procedure.”
(b) The Contractor or his representative shall attend monthly meetings on the Site with
representatives of the Employer and the Engineer, at dates and times to be determined by
the Engineer, which can be held for evaluation of work progress and for discussion matters
pertaining to the contract which any of the parties represented may wish to raise.

URRAP Brief Page 18

 Such meetings are not intended for discussing matters concerning the normal day-to-day
running of the contract.
© The Contract shall prepare and submit one week before the meeting a monthly report in the
format approved by the Engineer, giving all the information and details regarding its
accomplishment against the prevailing approved programme.
(c) “The Agreement reached or discussion conducted at the Site and recorded in the Minutes of
the Site Meetings are binding to all parties, if objections to the Minutes have not been given
in due Time.”
(d) “The Minutes of Site Meetings shall be issued within 7 Days and shall be numbered
consequetively. Minutes shall be deemed to have been received by the Contractor unless the
Contractor gives notice at the following meeting that the Minutes were not received.
(e) Any objections to the Minutes of the Site Meetings shall at latest be raised at the succeeding
Site Meetin g or Presented to the Engineer in writing not later than 15 Days after meeting. If
the Contractor at his/her time has not received the Minutes of the Site Meeting, the
objection must be given in writing to the Engineer not later than 15 Days after the
subsequent receipt of the Said Minutes.

Cluase 84/1 : Compliance with Customs & Security Requirements w.r.t passage or transfer or
import vehicles or materials or tools via customs barriers

Addendum
"Addenda" means extra information that may be issued due to modification of design or due
reply queries from the contractor during the tendering period.

Site Adaptation " Site Adaptation" means System of compromising the design executed on one
place to fit on the other place by using contemporary and innovative approach.

Contract Amendment
When methodology, and contract system are required to change, time extension, contract extension,
etc
Supplementary Agreement
When additional works are required to outsource to the contractor or the work variation exceeds
15% of the contract price, new works shall be given to the contractor , length of the road increases,
width of the road increased, etc.

Notifying the commencement of setting out works

“ The Contractor shall notify the Engineer in writing the intention of starting the setting out works
as symbol to commence construction not less than 7 days so that the arrangement shall be made for
checking or issuing instructions.”

Critical Issues/issues to be addressed/conversion between participants on some issues:

Payment Source from the beginning [ Government or Aanaa or Community ]

If the amount of the payment the contractor entitled to be is less than the advance to be re-
paid

URRAP Brief Page 19

 If the contractor requested the Payment at only two/three times up to the completion of
the Project how we shall deducts the remaining Advance payment
The contract duration of the project
The commencement date of the project
The price escalation management
If the contractor is unable to finish the project within 2004 FY how we shall manage the
contract
Time of complete handover of machinery to the Contractor to actually start the works
Means of Transport Access for Consultant to carry out their jobs
The management of the construction part such as Site Clearance to be handled by the
Community
The project cost to be signed with the contractor for both Upgrading/new construction
inclusive or exclusive of the part of construction to be handled by the Community
Contract Type: Lump Sum or Ad-Measurement/Unit Rate Based
Site possession to the contractor to commence the works
Road Standard to be built [ DC1/DC2] but not DS6
Uniformity of Unit Rates in all Aanaas or in some Aanaas
Review of Unit Rates or clarity on the unit rates or some items have been missed from the
unit rates
Roads in the low land areas shall be Labour base or machine base or IT & what about its
unit rates or rent of machinery or fate of owned machinery
Advance Disbursement schedule for Consultant
Advance Disbursement schedule for Contractor
Joint Account management & its scenario
Site Camp Establishment
Laboratory Apparatus & materials Testing equipment for the Contractor
 Should be provided unless quality of the road is in doubt
Surveying instrument for the Consultant [GPS, Leveling, Computer, etc]
 Has been provided in cost breakdown
IPC
Sealed original, signed by appropriate personnel and compatible with contract
document information
Original of IPC goes to Finance for payment
Copies of IPC shall be attached with approval letter from the client one copy to the
Archive which is initialed by the counter Engineer & one copy to the Aanaa Roads
Office
Advance Payment Disbursement Schedule : 20% of the Contract Price
30% of the 20% Advance shall be released in the first phase in getting approval of
the Engineer in writing and obtaining certification from the Counter Engineer or
supervisor with relevant invoice attached from legal firm or organization
30% of the 20% Advance shall be released in the second phase in getting approval of
the Engineer in writing and obtaining certification from the Counter Engineer or
supervisor after 20 Days but not more than one month with relevant invoice
attached from legal firm or organization
40% of the 20% Advance shall be released in the final phase in getting approval of
the Engineer in writing and obtaining certification from the Counter Engineer or

URRAP Brief Page 20

 supervisor after 20 Days but not more than one month with relevant invoice
attached from legal firm/organization
The Client should have cost breakdown to establish the design & supervision fee for
the consultant

land receiving free of charge

“ The Contractor shall receive such land for purpose of Camp, workshop, diversion roads,
borrow pits, and quarries. The Contractor shall notify the Engineer in writing his/her
intention of need land including construction site and the place to construct camp,
workshops, etc within one month of signing the contract.”

Extension of Time for works Execution

“The Engineer shall have the authority to extend the initial Completion date after notifying to the
Employer and get dealt with the matter if a compensation event occurs or a variation issued or
occurrence of adverse weather conditions or other social circumstances any kind whatsoever which
may occur, other than through a default of contractor which makes it impossible for completion of
the works at the intended Completion date with out the Contractor taking step to accelerate the
remaining works which would cause the Contractor to incur additional cost. The Engineer is not
bound to take in to account any extra time or Additional work after work variation has been
encountered or special circumstances have been happened unless the Contractor has not notify in
writing to the Engineer with in 28 Days of occurrence of such events. The Engineer after due
consultation with the Employer shall decide whether and by how much to extend the Completion
date with in 21 Days of receipt of Time Extension approval request from the Contractor by taking
in to account work variation, Compensation event or force of majeure by Contractor’s failure shall
not be considered in assessing the new construction completion time.”

APPENDIX A : SCOPE OF SERVICES for Consultant

The services of these projects encompass delivering Engineering works the firm signed in
accordance with required standards.
The main objectives of the consultancy services are:
I. to prepare Aanaa Road Master Plan, Project identification, Route
Survey, Traffic Survey and analysis and economic evaluation of
the ---------------------------------------- road Project;
II. to prepare final and complete compressive engineering
Drawings, Specifications, Bill of Quantities and all the reports
detailed in the TOR and others deemed relevant for the
construction of the roads.
Therefore, the scope of services shall include all the services found relevant to attain the
set objectives; and in doing so the consultant shall be expected to execute the
assignments not less than that stipulated in the prepared TOR by the Employer and
submitted Technical proposal by the Consultant which is part of the contract
document.

URRAP Brief Page 21

APPENDIX B : REMUNERATIONS AND SCHEDULE OF
PAYMENTS for Consultant

Total service(s) fee (s) (including 15 %VAT) is---------------------------------

I. SCHEDULE OF PAYMENTS
Twenty percent (20%) of the total contract price , i.e. ; ---------------------------------
------ will be paid upon signing of the contract agreement and provision and
settlement of advance guarantee bond as per clause 9 of contract agreement
by the Road Agency;

a. First Monthly installment of the total Contract price , i.e.; 8.33% shall be
paid upon completion and submission of Draft Route Survey, inception Report, Socio-
economic Reports, Transport Survey Report and Environmental Survey Report.
b. Second Monthly installment of the total Contract price, i.e.;
8.33% Shall be paid upon completion and submission of the following
reports: Traffic Study findings, Results fro geotechnical and Soil
investigation and Recommendations for Culvert and small bridges
-

c. Third Monthly installment of the total Contract Price, i.e. ;

8.83% shall be paid upon completion and submission of the following Reports:
- Typical Cross Sections, Recommendation for
complementary interventions, economic evaluation
with recommendation for effective cost solution,
Engineering report, Environmental Impact Assessment
and Land Acquisition Plan Report and first quarterly
Progress Report.

d. Fourth Monthly installment of the total contract price, i.e.; 8.33%

-- shall be paid upon completion and Submission of the following Reports:
- Detailed Pavement Design Drawings (Final)
- Design of Culverts and Small bridges (Final)
- Preparation of Design Drawings[ Final]
- Design quantity, Unit Rate and Project Cost Estimate
- Appropriate Technology to be used by the Contractor
- Complimentary Interventions [Final]
e. Fifth Monthly installment of the total contract price, i.e.; 8 .33%
-- shall be paid upon completion of Payment Scheduled stated under
(d) and Submission of Monthly Progress Report

URRAP Brief Page 22

 f. Sixth Monthly installment of the total contract price, i.e.; 8 .33%
shall be paid upon completion all Design Reports and Submission of Second Quarterly
Progress Report

G. Seventh Monthly installment of the total contract price, i.e.;

8.33% shall be paid upon completion of all Design Reports and Submission of Monthly
Progress Report
H. Eighth Monthly installment of the total contract price, i.e.; 8 .33% shall
be paid upon completion of Design Reports and Submission of Monthly Progress
Report
I. Nineth Monthly installment of the total contract price, i.e.; 8 .33%
shall be paid upon completion of all Design Reports and Submission of third Quarterly
Progress Report
J. Tenth Monthly installment of the total contract price, i.e.; 8 .33%
shall be paid upon completion of all Design Reports and Submission of Monthly Progress
Report
K. Eleventh Monthly installment of the total contract price, i.e.; 8.33%
shall be paid upon completion of Design Reports and Submission of Monthly Progress
Report
L. Twelfth Monthly installment of the total contract price, i.e.; 8 .33% -
shall be paid upon completion of Design Reports and Submission of Annual Progress
/Completion Report

M. The Employer shall pay the firm 25% of the project value of Transport cost set in the
Financial portfolio if timely or urgent provision/handover of the Vehicle is not effected.

URRAP Brief Page 23

Lakk.------------------------------------------------------
Guyyaa----------------------------------------------------

W/ra Maallaqa fi Misooma Diinagdee Godina Arsitiif

Assella

Walgaltee: Ijaarsa daandii SWGDB sadarkaa ol guddissu Sagure-Lole-Hoofi-Lole Abosera km 20

Dhimmi: Ragaa Kaffalttii Lakk. 1ffaa mirkanessine isini ergu ilaala

Wal-galtee ijaarsa daandii Sagure –Lole Hoofi-Lole Abosera km 20 ta’e Aanaa Digalu fi Tijo
fi Kontirakitera I/G isa murta’e ykn interpiraayizi ta’e -------------- guyyaa ------------- bara
2004 gaggeessuuf godhameen daandicha sadarkaa ol guddissuuf tilmaama baajetaa -------
----- walgaltee rawwachuun ni yaadatamaa.

Akkaata walgaltee irratti hunda’un kontirakiterichi qarshii isa ------------------ ta’e guyyaa
---------------lakk.---------------------- konsaltantiin mirkaneesse w/ra keeynaaf dhiyyeesse
jira.

Oggeessi waajjira keeyna ykn “counter Engineer/Supervisor” godina kaffalttii gaaffatamee

sirrii ta’u qulqulleesse irraa deebi’e mirkanneesse jira.

Kanaafu qarshii ---------------------- ( ---------------------------- & /100) kontirakiterichi

gaaffatee sirrii ta’u qaamoota sadarkaa sadarkaa jiraniin waan mirkannayyeef akka
kaffalamuuf beeksiisfna.
Nagaa wajjin!

G/G
 W/ra Mallaqaa fi Misooma Diinagdee Aanaa Digalu fi Tijotiif
 W/ra Daandiiwwan Aanaa Digalu fi Tijotiif

Sagure
 W/ra Daandiiwwan Godina Arsitiif

Assella
 W/ra Abbaa Taayitaa Daandiiwwan Oromiyaatiif

Finfinnee

URRAP Brief Page 24

Lakk.------------------------------------------------------
Guyyaa----------------------------------------------------

W/ra Maallaqa fi Misooma Diinagdee Godina Arsitiif

Assella

Walgaltee: Tajaajila gorsaa to’anno fi dizaayyinnii Ijaarsa daandii SWGDB Sagure-

Lole-Hoofi-Lole Abosera km 20

Dhimmi: Kaffalttii Dursaa 2ffaa % 20 [keessaa % 30] mirkanessine isini ergu ilaala

Wal-galtee tajaajila gorsaa to’anno fi dizaayyinni daandii sadarkaa olguddissu daandii Sagure –Lole
Hoofi-Lole Abosera km 20 ta’e Aanaa Digalu fi Tijo fi Kontirakitera I/G isa murta’e ykn interpiraayizi
ta’e -------------- guyyaa ------------- bara 2004 gaggeessuuf godhameen gorsaa ------------ waliin
walgaltee raawwachuun ni yaadatamaa.

Akkaata walgaltee Miilto “B” jalatti barreefameen Gorsaan daandii Kaffalttii Dursaa % 20 “Advance
disbursement Schedule” waliin dhiyyeesse ------------------ guyyaa ---------------lakk.---------------
------- konsaltantiin w/ra keeyna gaffatee jira.

Oggeessi waajjira keeyna ykn “counter Engineer/Supervisor” godina Arsi kaffalttii dursaa 2ffaan kun
fi “ Advance Disbursement Schedule” gaaffatamee sirrii ta’u qulqulleesse % 20 keessa % 30 akka
kaffalamuuf mirkanneesse jira.

Kanaafu qarshii ---------------------- ( ---------------------------- & /100) % 20 keessaa % 30 ta’e

gorsaan daandii gaaffatee sirrii ta’u qaamoota sadarka sadarkaa jiraniin waan mirkannayyeef akka
kaffalamuuf beeksiisfna.
Tartiiba Kaffalttii dursaan: 1ffaan kan kennamu : % 20 keessa % 29.97
2ffaan kan kennamu : % 20 keessa % 30 yoo Ragaa bittaa meeshaalee dhiyyeesse
3ffaan kan kennamu : % 20 keessa % 40 yoo raga bittaa meeshaalee dhiyyeesse
Nagaa wajjin!

G/G
 W/ra Mallaqaa fi Misooma Diinagdee Aanaa Digalu fi Tijotiif
 W/ra Daandiiwwan Aanaa Digalu fi Tijotiif

Sagure
 W/ra Daandiiwwan Godina Arsitiif

Assella
 W/ra Abbaa Taayitaa Daandiiwwan Oromiyaatiif

Finfinnee

URRAP Brief Page 25

Lakk.------------------------------------------------------
Guyyaa----------------------------------------------------

W/ra Maallaqa fi Misooma Diinagdee Godina Arsitiif

Assella

Walgaltee: Ijaarsa daandii SWGDB Sagure-Lole-Hoofi-Lole Abosera km 20

Dhimmi: Kaffalttii Dursaa % 20 [keessaa % 30] mirkanessine isini ergu ilaala

Wal-galtee ijaarsa daandii Sagure –Lole Hoofi-Lole Abosera km 20 ta’e Aanaa Digalu fi Tijo
fi Kontirakitera I/G isa murta’e ykn interpiraayizi ta’e -------------- guyyaa ------------- bara
2004 gaggeessuuf godhameen daandicha sadarkaa ol guddissuuf tilmaama baajetaa -------
----- walgaltee rawwachuun ni yaadatamaa.

Akkaata walgaltee keewwataa 60(8) keessatti barreefamee irratti hunda’un kontirakiterichi

Kaffalttii Dursaa % 20 “Advance disbursement Schedule” waliin dhiyyeesse ------------------
guyyaa ---------------lakk.---------------------- konsaltantiin mirkaneesse w/ra keeynaaf
dhiyyeesse jira.

Oggeessi waajjira keeyna ykn “counter Engineer/Supervisor” godina kaffalttii dursaa fi “

Advance Disbursement Schedule” gaaffatamee sirrii ta’u qulqulleesse % 20 keessa % 30 akka
kaffalamuuf mirkanneesse jira.

Kanaafu qarshii ---------------------- ( ---------------------------- & /100) % 20 keessaa % 30

ta’e kontirakiterichi gaaffatee sirrii ta’u qaamoota sadarkaa sadarkaa jirun waan
mirkannayyeef akka kaffalamuuf beeksiisfna.
Tartiiba Kaffalttii dursaan: 1ffaan kan kennamu : % 20 keessa % 30
2ffaan kan kennamu : % 20 keessa % 30
3ffaan kan kennamu : % 20 keessa % 40
Nagaa wajjin!

G/G
 W/ra Mallaqaa fi Misooma Diinagdee Aanaa Digalu fi Tijotiif
 W/ra Daandiiwwan Aanaa Digalu fi Tijotiif

Sagure
 W/ra Daandiiwwan Godina Arsitiif

Assella
 W/ra Abbaa Taayitaa Daandiiwwan Oromiyaatiif

Finfinnee

URRAP Brief Page 26

Ref. NO: _______________________________
Date :_________________________________
To: Commecial Bank of Ethiopia
Sagure

Subject: Joint Bank Account

Digalu & Tijo Roads Office has entered in to a contract agreement with --------------------------------
Contractor, for the construction of -------------------------- km ------------------------Upgrading /New Road
financed jointly by Oromia Regional Goverrnment, Community and Digalu & Tijo Aanaa Administration, on
the --------------- Day of December in the year 2011 at Sagure Town of Roads Office. As per conditions of
Contract stipulated in the contract Clause 60(9)which states that a joint Bank account will be opened and
run jointly by Employer and Contractor where a joint signatories of both party affect the withdrawal of
money, whenever required, from account for the sole execution of the captioned project [ ----------------------].

We, therefore, request the esteemed Commercial Bank of Ethiopia to open the stated joint Bank account by
the joint name of:
---------------------------------: Representative from Aanaa
---------------------------------: Representative from Aanaa
---------------------------------: General Manager of ------------------------- Contractor
We appreciate the esteemed Bank usual cooperation in advance.
With regards,

C/C
Arsi zone finance & Economic development Office
Arsi Zone Roads Authority Office

Assella

Digalu & Tijo Finance & Economic Development

Digalu & Tijo Aanaa Roads Office
Sagure

Ref.No: _______________________________

URRAP Brief Page 27

Date:_________________________________
W/ra Maallaqa fi Misooma Diinagdee Godina Arsitiif
Assella
Walgaltee: Tajaajila dizaayyinni, to’annoo ijaarsa daandii fi bulchiinsa kontirataa daandii Sagure-
Lole-Hoofi-Lole Abosera SWGDB Km 20

Dhimmi: Kaffalttii dizaayyinni fi to’anno lakk. 1ffaa mirkanessine isini ergu ilaala [invoice No-01]

Wal-galtee tajaajila gorsu ijaarsa daandii sadarkaa ol guddissu Sagure –Lole Hoofi-Lole Abosera km 20 ta’e Aanaa Digalu fi Tijo
fi Kontirakitera I/G isa murta’e ykn interpiraayizi giddutti -------------- guyyaa ------------- bara 2004 gaggeessuf godhame gorsaa -
-------------------------------------------- I/G isa murta’e ykn Interpiraayizi waliin raawwachuun ni yaadatamaa.

Akkaata walgalteen xalayaa Lakk. --------------------------- guyyaa -------------------gorsaa daandichaa barreesseni w/ra daandii
keeyna kaffalttii 1ffaa tajaajila gorsaa fi dizaayyinni qopheesse dhiyyeessun ji’a ---------------- raawwateef % 8.33 haala tartiiba
kaffalttii Milto “B” tarreefameen gabasaalee qorannoo fi to’annoo arman gadittii jiran dhiyyeessun nuu gaaffatee jira:
:
“Route Survey ( Draft)”
“Inception Report ( Draft)”
“Socio-Economic Report (Draft)”
“Transport Survey Report (Draft)”
“Environmental Survey Report(Draft)”
“Monthly Progress Report”

Kanaafu, dhaabatni gorsaa maqaa isaani arman olitti tuqame gabaasaalee arman olittii barreefaman akkaata walgaltee,
ispesifkeeshinn fi “TOR” waan qulqulleessan dhiyyeesanniif hama qarshii gorsaan gaafatee % 8.33 qarshiin ---------------------------
--------------------------------- ( ------------------------------------------------------------------) % 15 VAATII dabalatee gorsaa I/G isa murtaa’e
ykn interpiraayizi -------------------------------- ta’eef akka kaffaltaniif isini beeksiisfna.

Nagaa wajjin!

“Attached Documents”
G/G
 W/ra Mallaqaa fi Misooma Diinagdee Aanaa Digalu fi Tijotiif
 W/ra Daandiiwwan Aanaa Digalu fi Tijotiif

Boqoji
 W/ra Daandiiwwan Godina Arsitiif

Assella
 W/ra Abbaa Taayitaa Daandiiwwan Oromiyaatiif

Finfinnee

URRAP Brief Page 28

Ref.No: _______________________________
Date:_________________________________

Finance & Economic Development of Arsi Zone Office [original]

Assella
Ref.: Consultancy Services for Engineering design and Construction Supervision & Contract
Administration of Sagure-Lole-Hoofi-Lole Abosera of 20Km URRAP Road Project

Subject: Approval of first 8.33% Design & Supervision fee [ Invoice-No- 01]

Pursuant to the agreement made on ---------th Day of December in the year 2011 between -------------- Aanaa
Roads Office & ---------------- ENGINEERING CONSULTANT Pvt. Ltd. Co./Enterprise For consultancy service of
Engineering design and and Construction Supervision & Contract Administration of Sagure-Lole-Hoofi-Lole Abosera
of URRAP Road Project located in the Arsi, Digalu & TIjo Aanaa with contract agreement length of 20Km.

By the letter written Ref. NO -------------04/11 dated ---------------- 2012/04 the consultant requested our Authority to
pay them first the design & Supervision fee equal to 8.33% as stipulated in the contract document of Appendix “B”
of remunerations and schedule of payment, which shall be paid up on submission of the following g Reports:
Route Survey ( Draft)
Inception Report ( Draft)
Socio-Economic Report (Draft)
Transport Survey Report (Draft)
Environmental Survey Report(Draft)
Monthly Progress Report

The Firm has already submitted all stated Reports as per schedule, TOR and Contract agreement so that you shall
pay the consultant 8.33% of the Design & Supervision fee, which is equal to -------------------- Birr (--------------------------
---------------/100) including 15% VAT to only above mentioned firm, ----------------------------------ENGINEERING
CONSULTANT Pvt. Ltd. Co. as soon as its arrival.
With Regards!

Attached Documents
C/C
Oromiya Roads Authority ( With Out Enclosure)
Digalu & Tijo Aanaa Finance & Economic development Office (with Enclusre)
Digalu & Tijo Aanaa Roads Office (with out Enclosure)
Sagure
Arsi Zone Roads Authority Office (With out Enclosure)
Assella

Ref.No: _______________________________

URRAP Brief Page 29

Date:_________________________________

Finance & Economic Development of Arsi Zone Office [original]

Assella
Ref.: Consultancy Services for Engineering design and Construction Supervision & Contract
Administration of Sagure-Lole-Hoofi-Lole Abosera of 20Km URRAP Road Project

Subject: Approval of second 8.33% Design & Supervision fee [ Invoice-No-02 ]

Pursuant to the agreement made on ---------th Day of December in the year 2011 between -------------- Aanaa
Roads Office & ---------------- ENGINEERING CONSULTANT Pvt. Ltd. Co./Enterprise For consultancy service of
Engineering design and and Construction Supervision & Contract Administration of Sagure-Lole-Hoofi-Lole Abosera
of URRAP Road Project located in the Arsi, Digalu & TIjo Aanaa with contract agreement length of 20Km.

By the letter written Ref. NO -------------04/11 dated ---------------- 2012/04 the consultant requested our Authority to
pay them second the design & Supervision fee equal to 8.33% as stipulated in the contract document of Appendix
“B” of remunerations and schedule of payment, which shall be paid up on submission of the following g Reports:
Traffic Study Report ( Draft)
Soil and Materials investigation Reports ( Draft)
Recommendation for culvert & Slab Bridge Report (Draft)
Monthly Progress Report

The Firm has already submitted all stated Reports as per schedule, TOR and Contract agreement so that you shall
pay the consultant 8.33% of the Design & Supervision fee, which is equal to -------------------- Birr (--------------------------
---------------/100) including 15% VAT to only above mentioned firm, ----------------------------------ENGINEERING
CONSULTANT Pvt. Ltd. Co. as soon as its arrival.
With Regards!

Attached Documents
C/C
Oromiya Roads Authority ( With Out Enclosure)
Digalu & Tijo Aanaa Finance & Economic development Office (with Enclosure)
Digalu & Tijo Aanaa Roads Office (with out Enclosure)
Sagure
Arsi Zone Roads Authority Office (With out Enclosure)
Assella

Ref.No: _______________________________

URRAP Brief Page 30

Date:_________________________________
Finance & Economic Development of Arsi Zone Office [original]
Assella
Ref.: Consultancy Services for Engineering design and Construction Supervision & Contract
Administration of Sagure-Lole-Hoofi-Lole Abosera of 20Km URRAP Road Project

Subject: Approval of Third 8.33% Design & Supervision fee [ Invoice-No-03 ]

Pursuant to the agreement made on ---------th Day of December in the year 2011 between -------------- Aanaa
Roads Office & ---------------- ENGINEERING CONSULTANT Pvt. Ltd. Co./Enterprise For consultancy service of
Engineering design and and Construction Supervision & Contract Administration of Sagure-Lole-Hoofi-Lole Abosera
of URRAP Road Project located in the Arsi, Digalu & TIjo Aanaa with contract agreement length of 20Km.

By the letter written Ref. NO -------------04/11 dated ---------------- 2012/04 the consultant requested our Authority to
pay them third the design & Supervision fee equal to 8.33% as stipulated in the contract document of Appendix “B”
of remunerations and schedule of payment, which shall be paid up on submission of the following g Reports:
Typical Cross –Section Report ( Draft)
Recommendations on complimentary interventions Reports ( Draft)
Economic Evaluation with effective cost solution Report (Draft)
Engineering Report (Draft)
Environmental Impact assessment Report (Draft)
Land Acquision Reports (final)
Monthly Progress Report(final)

The Firm has already submitted all stated Reports as per schedule, TOR and Contract agreement so that you shall
pay the consultant 8.33% of the Design & Supervision fee, which is equal to -------------------- Birr (--------------------------
---------------/100) including 15% VAT to only above mentioned firm, ----------------------------------ENGINEERING
CONSULTANT Pvt. Ltd. Co. as soon as its arrival.
With Regards!

Attached Documents
C/C
Oromiya Roads Authority ( With Out Enclosure)
Digalu & Tijo Aanaa Finance & Economic development Office (with Enclosure)
Digalu & Tijo Aanaa Roads Office (with out Enclosure)
Sagure
Arsi Zone Roads Authority Office (With out Enclosure)
Assella

Ref.No: _______________________________

URRAP Brief Page 31

Date:_________________________________

Finance & Economic Development of Arsi Zone Office [original]

Assella
Ref.: Consultancy Services for Engineering design and Construction Supervision & Contract
Administration of Sagure-Lole-Hoofi-Lole Abosera of 20Km URRAP Road Project

Subject: Approval of fourth 8.33% Design & Supervision fee [ Invoice-No-04 ]

Pursuant to the agreement made on ---------th Day of December in the year 2011 between -------------- Aanaa
Roads Office & ---------------- ENGINEERING CONSULTANT Pvt. Ltd. Co./Enterprise For consultancy service of
Engineering design and and Construction Supervision & Contract Administration of Sagure-Lole-Hoofi-Lole Abosera
of URRAP Road Project located in the Arsi, Digalu & TIjo Aanaa with contract agreement length of 20Km.

By the letter written Ref. NO -------------04/11 dated ---------------- 2012/04 the consultant requested our Authority to
pay them fourth the design & Supervision fee equal to 8.33% as stipulated in the contract document of Appendix
“B” of remunerations and schedule of payment, which shall be paid up on submission of the following g Reports:
Detailed Pavement design Drawings Report (Final)
Design of Culverts & Bridge Reports (final)
Preparation of Design Drawings Report (final)
Design Quantity, Unit rate and Project cost estimate Report (final)
Appropriate Technology to be used Report (final)
Complimentary intervention Reports (Final)
Monthly Progress Report

The Firm has already submitted all stated Reports as per schedule, TOR and Contract agreement so that you shall
pay the consultant 8.33% of the Design & Supervision fee, which is equal to -------------------- Birr (--------------------------
---------------/100) including 15% VAT to only above mentioned firm, ----------------------------------ENGINEERING
CONSULTANT Pvt. Ltd. Co. as soon as its arrival.
With Regards!

Attached Documents
C/C
Oromiya Roads Authority ( With Out Enclosure)
Digalu & Tijo Aanaa Finance & Economic development Office (with Enclosure)
Digalu & Tijo Aanaa Roads Office (with out Enclosure)
Sagure
Arsi Zone Roads Authority Office (With out Enclosure)
Assella

Ref.No: _______________________________

URRAP Brief Page 32

Date:_________________________________

Finance & Economic Development of Arsi Zone Office [original]

Assella
Ref.: Consultancy Services for Engineering design and Construction Supervision & Contract
Administration of Sagure-Lole-Hoofi-Lole Abosera of 20Km URRAP Road Project

Subject: Approval of five 8.33% Design & Supervision fee [ Invoice-No-05 ]

Pursuant to the agreement made on ---------th Day of December in the year 2011 between -------------- Aanaa
Roads Office & ---------------- ENGINEERING CONSULTANT Pvt. Ltd. Co./Enterprise For consultancy service of
Engineering design and and Construction Supervision & Contract Administration of Sagure-Lole-Hoofi-Lole Abosera
of URRAP Road Project located in the Arsi, Digalu & TIjo Aanaa with contract agreement length of 20Km.

By the letter written Ref. NO -------------04/11 dated ---------------- 2012/04 the consultant requested our Authority to
pay them fifth the design & Supervision fee equal to 8.33% as stipulated in the contract document of Appendix “B” of
remunerations and schedule of payment, which shall be paid up on submission of the following g Reports:
Monthly Progress Report

The Firm has already submitted all stated Reports as per schedule, TOR and Contract agreement so that you shall
pay the consultant 8.33% of the Design & Supervision fee, which is equal to -------------------- Birr (--------------------------
---------------/100) including 15% VAT to only above mentioned firm, ----------------------------------ENGINEERING
CONSULTANT Pvt. Ltd. Co. as soon as its arrival.
With Regards!

Attached Documents
C/C
Oromiya Roads Authority ( With Out Enclosure)
Digalu & Tijo Aanaa Finance & Economic development Office (with Enclosure)
Digalu & Tijo Aanaa Roads Office (with out Enclosure)
Sagure
Arsi Zone Roads Authority Office (With out Enclosure)
Assella

URRAP Brief Page 33