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BLACKLISTING

BLACKLISTING
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GPPB Resolution No. 09-2004 pursuant to 69.4 of the Revised IRR BLACKLISTING: An administrative penalty disqualifying a person or an entity from participating in any government procurement for a given period. SANCTIONS: suspension for one (1) year for the first offense suspension for two (2) years for the second offense -without prejudice to the imposition of additional administrative sanctions as the internal rules of the agency may provide and/or further criminal prosecution -Bid Security is also forfeited

BLACKLISTING
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Who may initiate?


Any bidder/prospective bidder or duly authorized observer by filing

a written complaint with the BAC.


BAC may also motu proprio commence the proceedings upon prima

facie determination that the contractor as a bidder or prospective bidder has committed any of the grounds for blacklisting during the competitive bidding stage.

SUSPENSION:
The administrative penalty imposed for infractions committed by a contractor during competitive bidding stage, whereby such contractor is prohibited from further participation in the bidding process of an agency.

CONTRACT IMPLEMENTATION
A process of undertaking a project or contract in accordance with the contract documents.

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DURING COMPETITIVE BIDDING STAGE


1.
2.

3. 4.

Submission of eligibility requirements containing false information or falsified documents. Submission of Bids that contain false information or falsified documents, or the concealment of such information in the Bids in order to influence the outcome of eligibility screening or any other stage of the public bidding. Allowing the use of ones name , or using the name of the name of another for purpose of public bidding. Withdrawal of a bid, or refusal to accept an award, or enter into contract with the government without justifiable cause, after he had been adjudged as having submitted the LCRB/HRRB.

BLACKLISTING
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DURING COMPETITIVE BIDDING STAGE


5.
6.

7. 8.

Refusal or failure to post the required performance security within the prescribed time. Refusal to clarify or validate in writing its Bid during post qualification within a period of seven (7) calendar days from receipt of the request for clarification. Any documented unsolicited attempt by a bidder to unduly influence the outcome of the bidding in his favor. All other acts that tend to defeat the purpose of the competitive bidding, such as habitually withdrawing from bidding or submitting late bids or patently insufficient bids, for at least three (3) times within a year, except for valid reasons.

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DURING CONTRACT IMPLEMENTATION


Failure of the contractor, due solely to his fault or negligence, to mobilize and start work or performance within the specified period in the Notice to Proceed (NTP); b) Failure by the contractor to fully and faithfully comply with its contractual obligations without valid cause, or failure by the contractor to comply with any written lawful instruction of the procuring entity or its representative(s) pursuant to the implementation of the Contract;

a)

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DURING CONTRACT IMPLEMENTATION


c) Assignment and subcontracting of the contract or any part thereof or substitution of key personnel named in the proposal without prior written approval by the procuring entity; d) For the procurement of goods, unsatisfactory progress in the delivery of the goods by the manufacturer, supplier or distributor arising from his fault or negligence and/or unsatisfactory or inferior quality of goods, as may be provided in the contract;

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DURING CONTRACT IMPLEMENTATION


e) For the procurement of consulting services, poor performance by the consultant of his services arising from his fault or negligence; f) For the procurement of infrastructure projects, poor performance by the contractor or unsatisfactory quality and/or progress of work arising from his fault or negligence as reflected in the Constructor's Performance Evaluation;

BLACKLISTING
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DURING CONTRACT IMPLEMENTATION


g) Willful or deliberate abandonment or non-performance of the project or contract by the contractor resulting to substantial breach thereof without lawful and/or just cause; and In addition to the penalty of suspension, the performance security shall also be forfeited

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DURING CONTRACT IMPLEMENTATION


HOPE shall immediately issue a Blacklisting Order

disqualifying the erring contractor from participating in the bidding of all government projects upon termination of the contract due to default of contractor.
GPPB Resolution No. 18-2004 dated 22 December

2004

Blacklisting Procedure for Competitive Bidding Stage


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Initiation of Action BAC to verify the existence of the grounds Notify Contractor

Complaint has been filed Show cause Hearing to be conducted upon request Consequence of being blacklisted

Submit within 5 cd from receipt, contractor to submit written answer

(no time extension allowed)

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Failure to answer, BAC to issue a resolution recommending suspension in any bidding process of the agency and forfeiture of bid security If an Answer is submitted but no hearing is requested, BAC shall determine the case based on the documents then issue a resolution recommending suspension in any bidding process of the agency and forfeiture of bid security

Hearing

Non-litigious and to be terminated within 5 cd BAC may Invite Observers

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Decision

HOPE shall issue Resolution within 15 cd from receipt Determine if reasonable cause exists To issue Resolution suspending contractor in any bidding process of the agency and forfeiture of bid security Each violation shall be meted the corresponding penalty.

Notify Contractor of Decision immediately from its promulgation

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Effect of Decision

A contractor is suspended from participating in the bidding process of the agency upon receipt of the Notice of Decision Suspension effective during period of MR and protest and terminated upon reversal If no MR is filed, Decision shall become final and executory after the lapse of 7cd. HOPE to issue Blacklisting Order disqualifying the erring contractor from participating in the bidding of ALL government projects

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File Motion for Reconsideration


To be filed within 7cd from receipt Grounds: 1. Decision is not in conformity with evidence and/or facts presented; and 2. Newly discovered evidence or facts HOPE to decide within 15 cd from filing Furnish contractor of the Decision immediately after promulgation

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Protest from Decision

File a Protest under Section 55.1 of the IRR with the Appellate authority within 7 cd from receipt of the Resolution of MR

Finality of Decision

Appellate Authority issues Blacklisting Order disqualifying the erring contractor from participating in the bidding of all government projects.

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For Infra does not actually have on the project site the minimum essential equipment listed in the Bid to prosecute the work does not execute work in accordance with the contract For Consultancy outside force majeure failure to deliver w/in specified period force majeure failure to deliver w/in 6o days from cessation of force majeure

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2. Termination for Convenience PE may terminate the contract at its convenience and after determination that the existing condition makes the project implementation economically, financially or technically and/or unnecessary. 3. Termination for Insolvency The contractor is declared bankrupt/insolvent with finality

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4. Termination for Unlawful Acts Corrupt, fraudulent, collusive and coercive practices; forged documents, adulterated materials, and any analogous act. 5. Termination by Contractor or Consultant Failure of the PE to deliver supplies, ROW Disruption due to peace and order situation as certified by AFP

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STATUS OF BLACKLISTED PERSON/ENTITY


Before issuance of order: erring contractor may participate in the procurement of any government project except in the agency where he is suspended. Blacklisting Order is issued prior to the date of the notice of award: blacklisted person/entity shall not be qualified for award and such project/contract shall be awarded to another bidder. If the Blacklisting Order was issued after the award, awarded contract shall not be prejudiced provided the offense is not connected with the award.

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Delisting

-Removal of a person/entity from the

Consolidated Blacklisting

Report -PE submits the Order to the GPPB within 7 cd for inclusion of the blacklisted person/entity in the Consolidated Blaclklisting Report

START

Guidelines on Blacklisting
YES

Complaint is filed with or initiated by the BAC

BAC notifies Contractor upon verification of existence of grounds

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Within 5 cd from receipt of notification

Submitted answer?

NO

YES

Requested hearing?

NO

BAC recommends to the HOPE the suspension of the Contractor and the forfeiture of bid security Within 15 c.d from receipt of the resolution and the records of the BAC proceedings HOPE determines existence of reasonable cause

BAC conducts hearing

BAC determines existence of fault

Dismiss the case

NO

With fault?

YES

END

HOPE issues Suspension Order and furnishes Contractor a copy Within 7 c.d. from receipt of Suspension Order HOPE resolves motion within 15 c.d. from receipt and furnishes Contractor a copy Within 7 c.d. from receipt of decision

YES

Is there reasonable cause?

NO

Dismiss the case

YES

Filed motion for reconsideration?

NO

HOPE issues Blacklisting Order Within 7 c.d. from issuance of the Blacklisting Order Blacklisting agency submits copy of Blacklisting Order to the GPPB

END

YES

Filed protest?

NO

Appellate authority resolves protest Within 7 c.d. from receipt of protest

GPPB posts the Blacklisting Order in the GPPB website for information purposes After the penalty period have elapsed

YES

Granted protest?

NO YES Blacklisting agency requested to maintain Contractor in blacklist? NO

Dismiss the case

END

GPPB maintains Contractor in blacklist until the blacklisting agency issues Delisting Order

GPPB delists blacklisted Contractor

*The procedures in broken lines do not affect the effectivity of the Blacklisting Order

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THANK YOU!