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Republic of the Philippines
Province of Davao del Norte


August 25, 2017

Brgy. Ising, Carmen, Davao del Norte

SUBJECT: Letter of Acceptance / Notice of Award – Construction of Evacuation Facility at Prk. 4 Brgy. Sua-on, Kapalong, Davao del Norte.

Dear Mr. Abad:

We are pleased to inform you that the Bids and Awards Committee (BAC) of the Municipality of
Kapalong, in its meeting held last August 25, 2017 and as embodied under BAC Resolution No.
0093 series 2017 Dated August 25, 2017, finds your submitted offer for the proposed contract
involving the “– Construction of Evacuation Facility at Prk. 4 Brgy. Sua-on, Kapalong, Davao
del Norte“ to be the Single evaluated responsive bid.

In consideration thereof, notice is hereby served of the acceptance by the Municipality of Kapalong, hereinafter to as the “Employer”, of your bid and the award of the Contract for the execution and completion of the Works and the remedying of any defects therein in conformity in all respects with the provisions of the relevant Contract Documents to MAG CORPORATION in the amount not to exceed PHILIPPINE PESOS Two Million Nine Hundred Eighty Thousand One Hundred Forty Eight Pesos Only ( PhP 2,980,148.00), inclusive of all duties and taxes on the materials, goods, services and other related inputs to the Works, hereinafter referred to and in the Contract Agreement and Conditions of Contract as the “ Contract Price”.

The Contract Price, which may not be totally expended in whole, shall be paid through progress billings in accordance with the terms and procedures prescribed in the Conditions of Contract. The Contract Works shall be completed within 150 calendar days reckoned from the date specified in the Notice to proceed to be issued by the Employer.

In accordance with the pertinent provisions of the Instructions to Bidders, you are enjoined to comply with the following requirements within ten (10) days from receipt of this Letter of Acceptance/Notice of Award:

(a) Sign and return to the Employer the Contract Agreement that is hereto attached, which incorporates all prior agreements reached with you in connection with the execution and performance of the Contract Works; and

(b) Furnish and submit a performance security to be posted in favor of the Employer in the amount equivalent to ten percent (10%) of the Contract Price and in the form prescribed in the Tender Documents.

You are hereby reminded that failure on your part to comply with the foregoing requirements shall render an annulment of this contract award and the forfeiture of your bid security in favor of the Employer all in accordance with the applicable terms and provisions of the related Instructions to Bidders.

Please sign your “conformed” on the space provided below to signify your agreement to the foregoing and the provisions of the Conditions of Contract. As prescribed in the relevant Tender Documents and as indicated by you in the Bid Form, this Letter of Acceptance/Notice of Award together with your signed “ conformed “ below will already constitute the formation of the Contract between the Employer and MAG CORPORATION for the Execution of the subject Contract Works.

Very truly yours,

Municipal Mayor


Brgy. Ising, Carmen, Davao del Norte

Date Received:___________________