Comat ad
(GOVERNMENT PROCUREMENT LAW
Ragisy,
(GENERAL PRINCIPLES
All procurement ofthe nations government is departments bureaus offices and agence, including tte universities and colleges, government-owned
andjor controled corporations, goverment fnanealinstittions and local government units, shall in al cases, be governed by these prncples
« Trangpareny inthe procurement proces an in the implementation of proctement contracts
' Competitiveness by extending equal opportunity to enable private contracting parties who are eligible and qualifed to participate In pub bidding,
«Streamlined procurement proces tht will uniformly apply toallgovemment procurement. The procurement process shal simple and made
‘daptabieto advances in modern technolog in onder ensure anefetve and efficent method.
«System of aeoountbiity were both the public officals det or indies inveved in he procurement process swells athe implementation of
procurement contracts and the private parties that deal with government are, when warranted by circumstances, investigated and eld ible for their
Jutions rete thereto
«Public monitoring othe procurement process and the implementation of awarded contacts with the end in iw of guaranteeing that these contacts
ae avarded pursuant to the provisions of this Act and its mpementing rls and regulations, an that all these contrcts are performed strictly
according to specications.
SCOPE OF APPLICATION
Apples o Procurement of Infastructre Projects, Goods and Consulting Services, rege of source of funds, whethe local of foreign, by all ranches
an instrumentaities of goverment, is departments, offices and agencies, inccing government-owned and/or eontoled corporations and los
government units sibjet to the provisions of Commonwealth Act No 138
Any treaty or international or executive agreement afectng the subject matter ofthis law to which the Philippine government is signatory shal be
abserved,
COMPETITIVE BIDDING
Competitive Bing - refers toa method of procarement which s open to participation by an intrested party and which consist ofthe allowing
processes advertisement, re-bid conference, eligibility screening of bids, evaluations bids, post - qualification, and award of contract, the specific
Feurements and mechanics ofthela
Genera Rael Prosuement shale done thrngh Compete ding
xetion: When ltematve Mineo Procurement appli
BIDS AND AWARDS COMMITTEE
(Composition: The Head of Procuring Enity(HoPE) shal designate at least five (5) but not more than seven (7) members tothe BACof unquestionable
integrity and procurement proiieney
Functions
Advertise and/or post the invitation to bid, conduct pre-procurement and pre-bid conferences, determine the eligibility of prospective bidders, receive bids,
‘onduet the evaluation ofbids, undertake post-qualifiation proeedings, recommend avardof contracts tothe Head ofthe Proeurig Entity of his duly
authorized representative: Provide, Tati the even the Head ofthe Procuring shal dsepprove such recommendation, such disapproval shal be sed
‘only on valid, reasonable and justifiable grounds to be expressed in writing copy furnished the BAC; recommend the imposition of sanetions, and perform
such other related functions as may'necessary, including the creation ofa Technical Working Group fom pol of eeica, financial andor legal experts
to assis in the procurement process,
PROCUREMENT PROCESS1 Preparation of Bidding Documents
Bidding Documents refer o documents issued bythe Procuring Entity asthe bass for Bid, furnishing al information necessary fora prospective
bidder to prepare a bid forthe Goods, Infrastructe Projets, and Consulting Services tobe provided
‘The Bidding Documents shall e prepared by the Procuing Entity following the standard forms and manuals prescribed bythe Goverament
Procurement Poiey Boar. The Bidding Documents sll neue the following:
‘Approved Budge forthe Contract;
‘Instmctions to Bidders, induingeriteria for ligiiity, bid exaluation and post-qualifcation, as well asthe date time and place of the pre-bid
Conference (where applicable), submission of bids and opening of bids;
« Teo Reference;
«Eligibility Requirements
«Plan and Technical Speciation;
‘Form of Bid, Price For, and List of Goods or Bl of Quantities;
« Delivery Time or Completion Stel;
‘Form and Amount of Bid Security;
+ Form and Amount of Performance Security and Warranty; and,
3 Form of Contract, and General and special Conditions of Contract.
‘The Procuring Entity may reuie ational document requirements or specfctions necessary to complete the information required for the bidders
toprepae and submit their respeetive bids
‘Note: Reference to brand names shall ot bellowed
INVITATION TO BID
re-Procurement Conference Prior tothe advertisement o the isuance of the Iniaton to Bid Request for Expression of Interest for each
‘procurement undertaken through competitive bidding, the BAC, throng its Sorstara, shal eal fora pre-proeurement conference,
‘Notreqited for small procurements, ie, procnrement of Goods casting Two Millon Pesos (P2,000,000.00) and below, proearement of
Infrastructure Projets costing Five Millon Pesos (P5,000,000.00) and below, and procurement of Consulting Services costing One Mion Pesos
i and bel
“The pre- procurement conference shal assess the readiness ofthe procurement in terms of conning the certification ofaaiabiltyof fans, swell
asreviewing ll elevant documents athe deft Invitation o Bid aswell as consultants hited by the agen concerned andthe representative ofthe
end-user,
and Contents ofthe avtation to Bid
Inline withthe prineiple of transparency and competitiveness ll Invitations to Bid contacts under competitive bidding shall be advertised by the
Procuring Entity in such manner and for such length of tea maybe necessary under the ereumstances, in order to ensure the widest possible
lssetnaton thereof, sich as, but not imited to, posting he Pocaring Entity’s premises, in newspapers of gencral circulation, the G-EPS andthe
‘wobsteof the Procring Entity, if avaiable
‘Theat Bd bl conan, ang ter
A ri desepon of thesbjet ater the Procremet
‘Agen atenent onthe eter be wey te Paring en rthe igi chk, the shut Ting of precede jn he ease
fh Procure of Consing Series the cxamiation and erakution of Bs and post-qaieaton,
«Theat tine apa the eins ore tbs and eet othe egrets, epi alee ia, the
submis apd ep bi an the opening bids;
«The approved Bet forthe Cota tobe bi
‘The sonre of find
‘The pero fava fhe Bidding Doce, atthe ace where these ay eee ands
+ The conat dunt; and
£ Sah ther necessary formation deed reat bythe Pouring Ent
Predid Conference
Forcontracs with an Approved Budget Contract(ABC) of 1,000,000 or more, the BAC shall convene at easton 1) pre-ideonfereaceto cai
andr explain any of te requirements, ters, conditions, and specifiations stipulate in the Bidding Dacaments
1u RECEIPT AND OPENING OF BIDS
Abid shall ave two(2) components, namely the tecnica and financial components which shoud be in separate sealed envelopes, and which shall besubmited simultaneously The bids shall bé recived bythe BAC on such de time and place specie in he invitation tobi. "The deadline forthe
receipt fds hall be ie bythe BAC giving the prospective bidders uficient tne to study and prepare ther bids. The deadline shalalso consider
the urgeney ofthe proemementinvoled
Bids submitted after the dealin shall ct be aceptd,
‘Medifcation and Withdrawal of Bids
Aidder may moifyhis bd, provide that thi is dane before the deadline forthe recip of bids. The modification shall be submitted ina sealed
‘envelope duly identified asa msifcation ofthe original bd and stamped received by the BAC
Aidder may, trough ate, witha his bid or expres his intention not partcpate in the bidding before the deadline forthe recip of bids In
such cas, he shal no longer be allowed to submit anolher Bid or the same contac either rey or inet.
Bid Seeuty
AIL Bids shal be accompanied by Bid security, which shall serve as guarantee that, after eceiptof the Notice of Award, the winning bidders shall
‘enter ino contract with the Procuring Entity with the stipolatd time and furnish the required performance security. The specific amounts and
allowable formas of the Bid security shall be prescribed in the IRR,
Bid Validity
Bids and Bid secrtes hall be valid fr sueh reasonable peiod of tine indicated in the Bidding Documents. The duration for each undertaking shall,
‘ake into acount the time invelved inthe proces of Bid evaluation and sward of contac
Bid Opening
‘The BAC shal public open all bids at the time date, an place specified inthe bidding documents, The minutes ofthe bid opening shall be made
available tothe pubic upon witen request and payment ofa pected fe
BID EVALUATION
Preliminary Examination of Bids
Proto Bid evaluation, the BAC shal examine fist the tchnical components ofthe bis sing asf” rteria to determine whether all required
‘deuments are present Only bid that are determine to ontan all the bi requirements ofthe techni component shall be considered for opening
‘and evaluation ofthe inancial component
Ceding for Bi Prices
Prior to Bid evaluation, the BAC shal examine firs the technical components ofthe bs using psf” rtria to determine whether all required.
‘curments are present. Only bid that are determined to ontan all the bid requirements ofthe tchnieal component shall be considered fo opening
‘and evaluation of ther financial component.
Post. sTION
Post qualification isthe stage where the bidder withthe Lowest Calculated Bid inthe case of Goods and Infastructure Projects or the Highest Rated
Bid, in the case of Consulting Services, undergoes verification and validation whether he has pase all the requirements and conditions ss specie in
the Bing Documents
If dhe bidder withthe Lowest Calafate Bid or Highest Rated Bd pases the criteria fr post-qualificatiog, his Bid shal be considered the "Lowest
Calealated Respoasive Bi” in the cae of Gods ad Infrastructure or the "Highest Rated Responsive Bi, ine nse of Conlin Services,
However, fa bier falls to meet any ofthe requltementso: conditions, he shill be "post-disquaifie” an the BAC shal conduct the post-
‘qualification on the bidder withthe second Lowest Calulate Bid or Highest Rated Bid. Ifthe bidder wit the second Lowest Calculated Bid or Highest
SS er a eee
finally determine
Ina cases, the contract shal be swe ony to the bide with the Lowest Calenlate Responsive Bid or Highest Rat Responsive Bi.
Fallure of Bidding
“There hal be allure of idling i
1 Nobids ate received
2 Nobid qualifies a the Lowest Clealatd Responsive Bid or,
1. Whenever te bidder wit the highest ratedlovestcalulated responsive bid refuses, witout justifiable cause to accep the award of contrac as
the case may be.
Under any ofthe above instances, the contract shall be e-adveried an e-bid. The BAC shall observe the same process an st the new periods
according to te same rues followed during the ist bing After the second filed bidding, however te BAC may resort to negotiated procurementSingle Calenate/Rated and Responsive Bid Submission
A single alealated/rated and responsive bd shall be coasidere for award if fs under ofthe following circumstances:
+ falter advertisement, oly one prospective bidder suas Leter of latent and/or applies for eligi check, and meets the eligiilty
requirements or rite, after which a tne ne urements;
«afer the advertisement, more than one prospective bidder applies for eligi check, but only one bidder meets the elgbility requirements or
criteria, afer which n submits bi whic sound tobe responsive tthe bidding requirements
afer te elghity check, more an one der meets the git requirements, but nl one bidder subuts a bi, and itsids found tobe
responsive tothe bidding requirements.
Inallnstanees, te Provaring Entity shal ensure thatthe ABC refletsthe mast advantageous prevaing price forthe government.
AWARD, IMPLEMENTATION AND TERMINATION OF THE CONTRACT
Notice and Executive of Award
‘Within a peiod not exeeding fiten (i) calendar days fom the determination and desaration by the BAC ofthe Lawes Calculated Responsive Bid
cr Highest Rated Responsive Bid, and te reeommendaton ofthe award, the Hea ofthe Procuring Entity o his duly authorized representative shall
approver disapprove the sid recommendation, In ase of approval, the Head ofthe Procurng Entity or his duly authorized representative shall
Jmmediately sve the Noto of Award othe ide withthe Lavest Calculated Resporsive Bl or Highest Rated Responsive Bi.
‘Within ten (10) eaendar days rom receipt ofthe Notieof Award, the Winning ber sal formally enter ito contrat with the Prourin Eni:
‘When futher approval of higher authority is required, the approving authori for the contracts shal be given a manimum of twenty (20) calendar
days to approver disapprove it
Inthe case of goverament-onned an r-