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DEPARTMENT OF LABOR AND EMPLOYMENT, REGIONAL OFFICE XI

ORIENTATION OF NEW EMPLOYEES
on Procurement Rules and Procedure

By: Eric T. Valiente

Objectives

Procurement shall also include the lease of goods and real estate. 8974. rules and regulations. refers to the acquisition of Goods. and the contracting for Infrastructure Projects by the Procuring Entity. its procurement shall be governed by the provisions of Republic Act No. and other applicable laws.A.Procurement: Basic concepts  As defined under R. . 9184 and its IRR. entitled “An Act to Facilitate the Acquisition of Right-ofWay Site or Location for National Government Infrastructure Projects and for Other Purposes”. Consulting Services. With respect to real property.

 System of accountability where both the public officials directly or indirectly involved in the procurement process as well as in the implementation of procurement contracts and the private parties that deal with government are. investigated and held liable for their actions relative thereto. The procurement process shall be simple and made adaptable to advances in modern technology in order to ensure an effective and efficient method.  Competitiveness by extending equal opportunity to enable private contracting parties who are eligible and qualified to participate in public bidding.  Streamlined procurement process that will uniformly apply to all government procurement. when warranted by circumstances.Governing Principles:  Transparency in the procurement process and in the implementation of procurement contracts.  Public monitoring of the procurement process and the implementation of awarded contracts with the end in view of guaranteeing that these contracts are awarded pursuant to the provisions of this Act and its implementing rules and regulations. and that all these contracts are performed strictly according to .

Prohibition against Splitting or Requisitions. rules and existing applicable policies.General Policies:      Compliance with laws. excessive. extravagant and unconscionable expenditures or uses of funds and property. . Purchase/Letter orders or purchase orders and payment. unnecessary. Need of Certificate of Availability of funds for the purchase. Prohibition against irregular. Protection of locally-manufactured/produced articles over foreign-made products.

reasonable. and just and not guided or restraint by conscience.General Policies……      Irregular – those incurred without adhering to established rules. . procedural guidelines. judiciousness and economy. regulations. Extravagant – those incurred without restraint. Excessive – those incurred unreasonable And at an immoderate quantity and exorbitant price. policies. Unnecessary – those which could not past the test of prudence or the diligence of a good father of a family and denotes non-responsiveness to the exigencies of the service. Unconscionable – those incurred without a knowledge or sense of what is right. principles or practices that have gained recognition in law.

Article IV. XVI)  Direct Contracting. (Sec. 51. 50. 9184 and its IRR)   Competitive Bidding/ Public Bidding (Sec. Art. 52. XVI)  Negotiated .) Alternative Mode:  Limited Source Bidding. (Sec. Art.Mode of Procurements (R. (Sec. XVI)  Repeat  Shopping (Sec. (Sec. XVI) . XVI) Order. Art. Art. Art. 10.A. 49. Procurement. 53.

postqualification. the specific requirements and mechanics of which shall be defined in the IRR to be promulgated under this Act.Competitive Bidding/ Public Bidding (Sec. pre-bid conference. . evaluation of bids.)  refers to a method of procurement which is open to participation by any interested party and which consists of the following processes: advertisement. and award of contract. Article IV. eligibility screening of prospective bidders. 10. receipt and opening of bids.

otherwise known as Selective Bidding – a method of Procurement that involves direct invitation to bid by the Procuring Entity from a set of pre-selected suppliers or consultants with known experience and proven capability relative to the requirements of a particular contract. 49. XVI)  (Sec. Art. .Limited Source Bidding.

which offer may be accepted immediately or after some negotiations . Art. 50. XVI)  otherwise known as Single Source Procurement – a method of Procurement that does not require elaborate Bidding Documents because the supplier is simply asked to submit a price quotation or a pro-forma invoice together with the conditions of sale. (Sec.Direct Contracting.

.Repeat Order. XVI)  a method of Procurement that involves a direct Procurement of Goods from the previous winning bidder. whenever there is a need to replenish Goods procured under a contract previously awarded through Competitive Bidding. 51. (Sec. Art.

Shopping. (Sec. 52. Art. XVI)  a method of Procurement whereby the Procuring Entity simply requests for the submission of price quotations for readily available off-the-shelf Goods or ordinary/regular equipment to be procured directly from suppliers of known qualification .

(Sec. whereby the Procuring Entity directly negotiates a contract with a technically. . contractor or consultant. legally and financially capable supplier. XVI)  a method of Procurement that may be resorted under the extraordinary circumstances provided for in Section 53 of this Act and other instances that shall be specified in the IRR.Negotiated Procurement. Art. 53.

People involve in Procurement          Head of Procuring Entity (HOPE) Bids and Award Committee (BAC) BAC Secretary Budget Officer Accountant Requisitioner Approving Officer (Division head. ARD.RD) Canvasser Property and Supply Custodian .

     Bidders/ Supplier Observer Receiving or Accepting Personnel Commission on Audit (COA) ETC….People involve in Procurement……. .

) .    Abstract of Price Quotation Purchase Order (P.) Obligation Request (Ob.R.Documents to Support Purchase     Project Procurement Management Plan (PPMP) Annual Procurement Plan (APP) Purchase Request (PR) Canvass  In case of Emergency: Emergency Purchase Statement/Declaration should be attach to the PR.O.

number of quantities.  Attached Approved Proposal. in case of Activities/Project. Prepare PR in every category. .  In preparing PR.  Categorize goods and services. revised PPMP/APP and approved it to Budget officer.Reminders:  Every request of goods and/or services should be in PPMP/APP. If not.  No brand names is allowed. specification of goods or qualification and output needed in services or consultation should be specifically stated.

 Only 80% of the participants will be canvassed based on the Purchased request. (advisable 30days) In case of Meals:  Budget Limit: Php 50-75 Snacks. Php150-200 Meals. .Reminders:    In case of repair and maintenance.  Preferably in Packed. Attached Pre-inspection report. Submit your PR 10 days before your scheduled activity.

Documents to Support Payment  In case of common-use office supply  Requisition Issuance Slip (RIS) Receipt of Equipment (ARE)  In case of equipment and furniture  Acknowledgement  In case of Meetings and Activities (Meals and Venue)  Attendance  Minutes/Activity Reports  Statement of Account/Charge Invoice .

or it reach estimated useful life.Documents to Support Payment………. If repair value/cost of equipment or furniture is more than 30% of its economical value.  In case of Repair and Maintenance/Replacement  Pre-inspection  The Report item is replaceable.  Post-inspection  Report In case of Projects/Livelihood  Acknowledgement  MOA  Proposal Receipt .

Handbook on Philippine Government Procurement. 9184 otherwise known as the Government Procurement Reform Act and its Implementing Rules and Regulations. 5th ed.. 2003). (GPPB. . Training Handbook on Property & Supply Management System (COA. 2009).Legal Basis    Republic Act No.