CONSTRUCTION INDUSTRY AUTHORITY OF THE PHILIPPINES

PHILIPPINE CONTRACTORS ACCREDITATION BOARD

AN OVERVIEW
SUPPLIER
ENGINEER
CONTRACTOR
FOREMAN
STAKEHOLDER
SAFETY
MANPOWER
TEAMWORK
 DTI Secretary Ramon Lopez

CIAP Rowel R. Barba

Supervising USEC

Construction Philippine Construction

Philippine Philippine
Manpower
Industry Domestic Contractors Overseas
Development
Arbitration Construction Accreditation Construction Foundation
Commission Board Board Board
CMDF
CIAC PDCB PCAB POCB

Construction Construction Contractors Overseas Construction

Contract Quality & Contractors Manpower
Licensing
Dispute Registration,
Efficiency and Training and
Promotion &
Resolution Improvemen Registration Development
Development
t

Dir. Kathryn T. Dir. Doris Gatcho Atty. Herbert D.G. Dir. Doris Engr. Rene E.
dela Cruz Matienzo Gatcho Fajardo
 PCAB – Background & History
The Philippine Contractors Accreditation Board (PCAB)
was formed by virtue of RA 4566 passed by Congress in
1965. It was originally called the Philippine Licensing
Board for Contractors and fell under the Office of the
Board of Examiners (now Professional Regulation
Commission (PRC). In 1980 PD 1746 created the
Construction Industry Authority of the Philippines (CIAP)
an attached agency of the Department of Trade and
Industry to promote, accelerate, and regulate the growth
and development of the construction industry. PCAB was
placed under its jurisdiction. CIAP exercises jurisdiction
and supervision over the following implementing boards;
the Philippine Contractors Accreditation Board
(PCAB); the Philippine Domestic Construction
Board (PDCB); the Philippine Overseas Construction
Board (POCB); and the Construction Industry
Arbitration Commission (CIAC) and Construction
Manpower Development Foundation (CMDF)
 PCAB – Background & History (cont.)
R.A. 4566 as amended by P.D. No. 1746
provides that no contractor (including sub-
contractor and specialty contractor) shall
engage in the business of contracting
without first having secured a PCAB
license to conduct business. It is an offense
to engage in contracting business without a
license first being obtained. All architects and
engineers preparing plans and specifications for
work to be contracted in the Philippines shall
stipulate in their invitation to bidders, whether a
resident of the Philippines or not, and in their
specifications that it will be necessary for any
bidder, whether contractor, sub-contractor or
specialty contractor, to have a license before his
bid is considered.
 PCAB Mandate

To issue, deny, suspend or

revoke contractors licenses.
(R.A. 4566)
 The Republic Act 4566

R.A. 4566 (Contractor’s License Law)

Purpose:

 to ensure, for the safety of the public,

that only qualified and reliable
contractors are allowed to undertake
construction in the country
 to promote, for the benefit of the public
and private sectors and for the national
interest, the orderly growth of the
contracting sector and the upgrading of
construction capability
 Composition of the Board

• One Chairman and Two Board Members

• Appointed by the President

 ENGR. PERICLES P. DAKAY – Chairman

 ENGR. FILOMENO H. CASTILLO, JR.- Member

 ENGR. ARTHUR N. ESCALANTE - Member

 Subject of the Contractor’s License
Construction Contractor
 Undertakes or offers to undertake or purports to have
the capacity to undertake, or submits a bid to, or does
himself or by or through others
 Construct, alter, repair, add to, subtract from, improve,
move, wreck or demolish any building, highway, road,
railroad, excavation or other structure, projects,
development or improvement, or any part thereof,
including erection of scaffolding or other structures or
works in connection therewith.
Note: The term “contractor” is synonymous with the term “builder”.
A contractor may be an individual, firm, partnership, corporations,
association or other organization or any combination thereof. It
includes the principal contractor, subcontractor and specialty
contractor.
 Types of Licenses

Regular License

Special License
-
 Types of Licenses

Regular License - reserved for and issued

only to constructor-firms of Filipino sole
proprietorship, or partnership/ corporation
with at least 60% Filipino equity participation
and duly organized and existing under and by
virtue of the laws of the Philippines.

Contracting Fiscal Year (CFY)

01 July – 30 June unless suspended,
invalidated, or revoked by the PCAB &
renewed annually
 Types of Licenses
Special License - issued to a joint venture,
a consortium, a foreign constructor or a
project owner* which shall authorize the
licensee to engage only in the construction of a
single specific project;

Validity is up to 30 June and shall be

renewed until completion of the project for
which special license is issued.
 Joint Ventures and Consortium
Licensed contractors joining together to undertake a project
must secure from PCAB a special license on top of their
individual licenses.

Joint Venture – all members are licensed contractors

Consortium – there is a non-contractor member to act as

financer, supplier of materials and equipment. No project
supervision, no construction activity.
 License Category
 Indicates the graded level of aggregate
capability of a contractor with respect to his
principal classification and is based on
predetermined qualification criteria which
include financial capacity, experience of
STE, track record and equipment.
Evaluation of category shall be based on
the criteria quantified by credit points in
scales as determined by the Board.
License Category

Category “AAAA”
Category “AAA”
Category “AA”
Category “A”
Category “B”
Category “C”
Category “D”
Category “Trade” or “E”
 License Classification

The area of operation that a contractor can

engage is based on the technical experience
of his sustaining technical employee (STE).
A contractor may apply for and be issued
more than one classification, one of which
shall be designated as his principal
classification
 License Classification

 G.E. (General Engineering)

 G.B. (General Building)
 Specialty
 License Classification

General Engineering Works

Irrigation, Drainage, Water Power, Water Supply,
Flood Control, Inland Waterways, Harbors, Docks
and Wharves, Shipyards and Ports, Dams,
Hydroelectric Projects, Levees, River Control and
Reclamation Works, Railroads, Highways, Streets
and Roads, Tunnels, Airports and Airways, Waste
Reduction Plants, Bridges, Overpasses,
Underpasses and other similar works, Pipelines
and other system for transmission of petroleum
and other liquid gaseous substances, Land
Leveling and Earth Moving Projects, Excavating,
Grading, Trenching, Paving and Surfacing Work.
 License Classification
General Building Works
Sewers and Sewerage Disposal Plants and
Systems, Parks, Playgrounds and Other
Recreational Works, Refineries, Chemical
Plants and Similar Industrial Plants
requiring specialized engineering
knowledge and skill, Powerhouses, Power
Plants and Other Utility Plants and
Installations, Mines and Metallurgical
Plants, Cements and Concrete works in
connection with the above-mentioned fixed
work.
 License Classification

Specialty Works

Construction work requiring

special skill and whose principal
contracting business involves the
use of specialized building trades
or crafts.
 Project Kinds

Specialty Construction

SP-FW - Foundation or Piling Work

SP-SS - Structural Steel Work
SP-CC - Concrete Pre-casting, Pre-stress or
Post-tensioning
SP-PS - Plumbing & Sanitary Work
SP-EE - Electrical Work
SP-ME - Mechanical Work
SP-AC - Air-conditioning or Refrigeration
Work
SP-ES - Elevator & Escalator
 Project Kinds

Specialty Construction (cont.)

SP-FP - Fire Protection Work

SP-WP - Waterproofing Work
SP-PN - Painting Work
SP-WD - Well-Drilling Work
SP-CF - Communication Facilities
SP-MS - Metal Roofing & Siding Installation
SP-SD - Structural Demolition
SP-LS - Landscaping
SP-EM - Electro-Mechanical Work
SP-NF - Navigational Facilities
SP-MEPF – Mechanical, Electrical Fire
Protection, Plumbing
 License & Registration Criteria/Requirements
LICENSE
Authorized Managing Officer (meets minimum experience requirement;
nominated by the firm and possessing managerial powers)
Financial Capabilities (meets minimum networth requirements)
Technical Personnel (employment of regular and full-time Sustaining
Technical Employees or STEs with adequate relevant experience in applied
classifications and category)
Credit Points (meets minimum technical, financial & overall points for
applied category

Registration
Track Record – Single Largest Projects (SLP) completed
Authorized Managing Officer (AMO) Qualifications
 The proprietor himself (for sole proprietorship)
or a Senior Executive of a company (for
corporation or partnership);
 Nominated by the firm and possesses
managerial powers;
 With at least 2 years experience in a
construction contracting, business management
and contract administration and knowledge of
Philippine laws on contracts, liens, taxation,
labor, safety and other construction business
matters managerial or supervisory capacity;
 At least 35 years of age (Quadruple A)
 At least 25 years of age (Triple A and below)
 Sustaining Technical Employee (STE)
Qualifications
 A technical professional, such as engineer or
architect, duly licensed by the Professional
Regulation Commission (PRC);
 Holder of a valid PRC ID;
 With three (3) years minimum actual construction
experience;
 A full-time employee of the nominating contractor,
not associated professionally or by employment
with any other party, particularly a party engaged
in construction or construction-related activities
 Minimum Networth Adjustments

Adjusted Minimum Networth

Previous
PCAB
Networth CFY CFY CFY
Category
Requirement 2005-06 2006-07 2018-19

AAAA P 1 Billion - - P 1.00 B

AAA 10,000,000 P 60 M P90 M 180 M
AA 5,000,000 30 M 45 M 90 M
A 1,000,000 6M 9M 30 M

B 500,000 3M 4.5 M 10 M
C 300,000 1.5 M 3M 6M
D 100,000 0.6 M 0.9 M 2M
TRADE/E 5,000 30,000 45,000 100K
 Criteria for Categorization
Networth 1 pt. per P 100T
Technical 5 pts. per yr. of experience
Over-all Credit Pts.
Additional Sources of Credit Points
10 pts. per year of active
Years of Experience of the Firm
experience
Ave. annual work vol. of work
1 pt. per P 100T
accomplished for the last 3 yrs.
Equipment 1 pt. per P 100T
ISO 14001:2004 50 pts.
OSHAS 18001:2007 50 pts.
ISO 9001:2008 50 pts.
10 credit points for every
Income tax paid
Php 100,000
 Categorization Table (BR 201, s. 2017)
General Engineering Classification
*Financial Capacity **STE Relevant Construction Experience

Credit Points
Cate- Networth / Credit Points ***Overall Credit
Required Individual Aggregate Required
gory Stockholder’s Points Required
Equity (1 point/ (years) (man-years) (5 points/year of
P100,000) actual const.
(Php)
experience)

AAAA 1 Billion 10,000 10 60 300 10,300.00

AAA 180 Million 1,800 10 60 300 2,850.00

AA 90 Million 900 10 50 250 1,365.15

A 30 Million 300 7 21 105 475.00

B 10 Million 100 5 10 50 177.50

C 6 Million 60 3 3 15 105.50

D 2 Million 20 3 3 15 35.00
 Categorization Table (BR 201, s. 2017)
General Building Classification

*Financial Capacity **STE Relevant Construction Experience

Credit Points
Cate- Networth / Credit Points ***Overall Credit
Required Individual Aggregate Required
gory Stockholder’s Points Required
Equity (1 point/ (years) (man-years) (5 points/year of
P100,000) actual const.
(Php)
experience)

AAAA 1 Billion 10,000 10 60 300 10,300.00

AAA 180 Million 1,800 10 60 300 2,810.00

AA 90 Million 900 10 50 250 1,345.00

A 30 Million 300 7 21 105 471.00

B 10 Million 100 5 10 50 175.50

C 6 Million 60 3 3 15 96.50

D 2 Million 20 3 3 15 35.00
 Categorization Table (BR 201, s. 2017)
Specialty Classification

*Financial Capacity **STE Relevant Construction Experience

Credit Points
Networth / Credit Points
Cate- Required ***Overall Credit
gory Stockholder’s Required Individual Aggregate Points Required
Equity (1 point/ (years) (man-years) (5 points/year of
P100,000) actual const.
(Php)
experience)

AAAA 1 Billion 10,000 10 60 300 10,300.00

AAA 180 Million 1,800 10 60 300 2,410.00

AA 90 Million 900 10 50 250 1,145.00

A 30 Million 300 7 21 105 421.00
B 10 Million 100 5 10 50 165.50
C 6 Million 60 3 3 15 90.50
D 2 Million 20 3 3 15 35.00
E 100,000.00 1.00 None None None 1.00
 Category : Trade
Category :A
Principal Classification : Electrical Works
Principal Classification : General Engineering
Other Classification :
Other Classification : General Building
Category : Trade
Category :D Principal Classification : Mechanical Works
Principal Classification : General Engineering Other Classification : Electrical Works
Other Classification : : Foundation Works

Category :C Category : AA
Principal Classification : General Building Principal Classification : Mechanical Works
Other Classification : General Engineering Other Classification : Electrical Works
: Foundation Works

Category : AAA Category :C

Principal Classification : General Engineering Principal Classification : General Building
Other Classification : General Building Other Classification : General Engineering
Electrical Works Foundation Works
Mechanical Electrical Works
Mechanical Works
Category : Trade Air Conditioning
Principal Classification : Trade Waterproofing
Classification : Works
Communication Fac.
 Contractors Licensing & Registration

Licensing [60% (Filipino) / 40% (Foreign)]

 Classification (GE, GB & Specialty)
 Categorization (Trade to AAAA)

Government Registration & Classification

[75% (Filipino) / 25% (Foreign)]
 project type/kind)
 Size range (Small A to Large B)
 CATEGORY NEW RENEWAL TOTAL
AAAA 0 24 24
AAA 8 352 360
AA 5 184 189
A 24 962 986
B 73 2,140 2,213
C 163 1,252 1,415
D 559 3,453 4,012
TRADE/E 417 1,432 1,849
Total 1,249 9,799 11,048

CLASSIFICATION
General Building 346 3,354 3,700
General Engineering 400 4,321 4,721
Specialty 128 874 1,002
Trade 375 1,250 1,625
Total 1,249 9,799 11,048
Registration Document Requirements

 Contract \Agreement/Purchase Order

 Cert. of Completion (100%)
/Acceptance
 Cert. of Creditable Tax Withheld (BIR
Form 2307)
 Quarterly VAT Return (BIR form 2550Q)
 Alphalist (SWAT)
 Project Kinds

General Engineering Construction

GE1 - Road highway, pavement & bridges

GE2 - Irrigation and flood control

GE3 - Dam, reservoir and tunneling

GE4 - Water supply

GE5 - Port, harbor & offshore engineering

 Project Kinds

General Building Construction

GB1 - Building & industrial plant

GB2 - Sewerage & sewerage treatment/
disposal plant & system
GB3 - Water treatment plant & system
GB4 - Park, playground & recreational
work
 ADJUSTMENTS TO TRACK RECORD
Adjustment to Track Record & Allowable
& ALLOWABLE RANGES OF CONTRACT COST (ARCC)
Ranges of Contract Cost (ARCC)
(2nd STAGE)
(2nd Stage)
CFYs 2006-2007 & 2007-2008
CLASSIFICATION LICENSE
(2nd Stage)
(Size Range) CATEGORY
SLP ARCC
< or above
LARGE B AAA Above P150M
P300M
Above P100M
LARGE A AA Up to P300M
up to P150M
Above P50M
MEDIUM B A Up to P200M
up to P100M
Above P10M
MEDIUM A B Up to P100M
up to P50M
SMALL B C&D < P10M Up to P15M
SMALL A TRADE < P500T Up to P500T
* Par. 3 of Sec. 23.11.2 of the IRR of RA 9184 allows Small A and Small B contractors without
similar experience to bid only for contracts not more than fifty percent (50%) of the
allowable range of contract cost of their respective size ranges.
 Adjustment to Track Record & Allowable
Ranges of Contract Cost (ARCC)

CLASSIFICATION CFYs 2018-2019

LICENSE
(Size Range) CATEGORY
SLP ARCC

LARGE B AAA Above P225M < or above P450M

Above P150M
LARGE A AA Up to P450M
up to P225M
Above P75M
MEDIUM B A Up to P300M
up to P150M
Above P15M
MEDIUM A B Up to P150M
up to P75M
SMALL B C&D < P15M Up to P30M

SMALL A TRADE < P500T Up to P 1.00M

* Par. 3 of Sec. 23.11.2 of the IRR of RA 9184 allows Small A and Small B contractors
without similar experience to bid only for contracts not more than fifty percent (50%) of
the allowable range of contract cost of their respective size ranges.
Adjustment to Track Record & Allowable
Ranges of Contract Cost (ARCC)

CLASSIFICATION
LICENSE Single Largest Project (SLP)
(Size Range)
CATEGORY
CFY 2017-2018 CFY 20118-2019
LARGE B AAA Above P150M Above P225M
Above P100M Above P150M
LARGE A AA
up to P150M up to P225M
Above P50M Above P75M
MEDIUM B A
up to P100M up to P150M
Above P10M Above P15M
MEDIUM A B
up to P50M up to P75M
SMALL B C&D < P10M < P15M
SMALL A TRADE < P500T < P500T
Adjustment to Track Record & Allowable
Ranges of Contract Cost (ARCC)

CLASSIFICATION Allowable Range of Contract Cost

(Size Range) LICENSE (ARCC)
CATEGORY
CFY 2017-2018 CFY 2018-2019
< or above < or above
LARGE B AAA
P300M P450M
LARGE A AA Up to P300M Up to P450M
MEDIUM B A Up to P200M Up to P300M
MEDIUM A B Up to P100M Up to P150M
SMALL B C&D Up to P15M Up to P30M
SMALL A TRADE Up to P500T Up to P 1.00M
Given:
Project Title : Concreting of Tomas Morato Extension Road
ABC : Php 195.35M
Bidding Date: 20 July 2018

Contractor A Contractor B
ABC Construction Corporation XYZ Construction
License Category: AA License Category: A
Roads - Medium A Roads - Medium B
49% Share 51% Share
AMO: Mr. ABC AMO: Mr. XYZ

XYZ CONSTRUCTION /ABC CONSTRUCTION CORPORATION JOINT

VENTURE
Project Title : Concreting of Tomas Morato Extension Road
Category: A
Size Range: Roads/Medium B
AMO: Mr. ABC
Validity Date : 20 July 2018 to 30 June 2019
Given:
Project Title : Construction of 4 Storey 20 Classroom School Building
ABC : Php 295.00M
Bidding Date: 16 July 2018

Contractor A Contractor B
IKAW Construction Corporation AKO Construction
License Category: AAA License Category: D
Building - Large A Building - Small B
60% Share 40% Share
AMO: Mr. Ikaw AMO: Ms. Ako

IKAW CONSTRUCTION CORPORATION/AKO CONSTRUCTION

JOINT VENTURE
Project Title : Construction of 4 Storey 20 Classroom School Building
Category: AAA
Size Range: Building/Large A
AMO: Ms. Ako
Validity Date : 16 July 2018 to 30 June 2019
Given:
Project Title : Rehabilitation of Tullahan River Flood Control System
ABC : Php 95.00M
Bidding Date: 22 July 2018

Contractor A Contractor B
Ikaw Construction Corporation Sakanila Construction
License Category: B License Category: B
Flood Control – Medium A Flood Control - Medium A
51% Share 49% Share
AMO: Mr. Saiyo AMO: Ms. Sakanila

IKAW CONSTRUCTION CORPORATION/AKO CONSTRUCTION

JOINT VENTURE
Project Title : Rehabilitation of Tullahan Flood Control System
Category: B
Size Range: Floods Control / Medium A
AMO: Mr. Saiyo
Validity Date : 22 July 2018 to 30 June 2019
8
 Type of Applications
 New Contractors’ License
 Renewal of Contractor’s License
 Amendment
 Additional Classification
 Change of Business Name
 Change of Business Name & Status
 Change of Authorized Managing Officer
 Upgrading of Category
 Special License
 Joint Venture/Consortium Local or Foreign
 Foreign Contractor
 Registration for Gov’t Infrastructure
Project
 Legal Requirements

 Duly accomplished application forms

 Cert. of Registration with CWBRG/SEC
 AMO/RAR Nomination
 AMO affidavit
 Board Resolution on AMO nomination
 NBI Clearance
 In case of Non-Filipino AMO;
 Working Visa, ACR, NBI Clearance or equivalent
 Financial Requirements

 Audited Financial Statements

 Auditor must be BOA accredited
 Quarterly or Annual Income Tax Returns
 Documents in support of various assets
(Cash, Construction & Transportation
Equipment, Real Estate), etc.
 Technical Requirements

 List of Sustaining Technical

Employees (STE)
 STE Affidavit
 NBI Clearance
 Actual construction Experience of STE
 Personal Appearance Form
 SSS R-1A or R-3
 Causes for Disciplinary Action
• Malpractices (abandonment, substantial departure
from/disregard of plans & specs, misrep, use of
spurious docs, fraudulent acts)
• Operating in unauthorized classification, expired or
lapsed license
• Willful misrepresentation of a material & substantial
fact in obtaining his license
• STE misrepresentation
• Financial misrepresentation
• Track record misrepresentation
 Causes for Disciplinary Action
• Use of spurious license certificate
• Conviction by a court – offense involving
moral turpitude – proprietor or AMO
• License lending

• Engaging in construction without a license

E.O. 913, DAO 7, s. 2006
 Penalties

 Fine for engaging in construction

without a license under EO 913
(Maximum of Php 150,000)
 License Suspension
(3 months to 2 years)
 Revocation with blacklisting of AMO
(24 months to 60 months)
 Add’l license fee or ALF
(Php 5,000)
 PCAB New License Application Processing
Pre-Screening
o Construction is firm’s primary or secondary
purpose
o Minimum Filipino equity requirements
(regular license – 60%; Gov’t req’n – 75%)
o Percentage control of the no. of seats
occupied by foreigners in the Board of
Directors shall not exceed 40%
o Minimum networth for licensing
o Legal impediments / qualifications
 No pending case/license denial,
suspension or revocation
 AMO & STEs not nominated
by/connected with other firms
 Firm & AMO’s previous license
record (if any)
o Completeness of application per PCAB
checklist of requirements
o AMO exam
o AMO qualification
 2 yrs.
 Seminar on Safety
o STE Verification
o Personal Appearance
o Softcopy of Audited Financial Statement
o Upfront fee + Payment of Penalty (if with
existing operation)
Evaluation Board Action
o Unsupported and unconfirmed o Approval
accounts from networth o Approval subject to conditions
o Technical
o Disapproval
 STE double nomination
o Deferral
 STE qualifications and technical
credit points for present o For new license applicants with
classifications and category foreign equity:
o Financial  Panel interview of AMO &
 Networth in accordance with principal stockholders prior
prescribed Board limits for to final board action
unsupported accounts o Others
 Cash on-hand (1/2 of 1%)  Imposition of fine/Additional
 Receivables (50%) License fee
 Inventories (20%)  Prima facie findings of
misrepresentation
 Advances (15%)
 Deferred charges (10%)  Conditions for license
 Construction-in-progress, release
etc.
 Networth and financial credit
points for present category
o Overall qualifications
 Overall credit points for present
principal classification and
category
o Application for Registration and
Classification of Contractor for Gov’t
Infrastructure Projects (ARC)
 PCAB Renewal of License Application Processing
Pre-Screening
 Internal check with PCAB records
for:
o Last renewal
o No pending case/license
denial, suspension, or
revocation
o New STEs not
nominated/connected with
other firms
o Minimum networth for
licensing
o Completeness of
application per PCAB
checklist of requirements
o E-copy of Audited Financial
Statements
o Personal appearance of
new STEs
Evaluation Staff Action Board Action
 Unsupported and unconfirmed  Approved Approval
accounts from networth
 Approval subject to conditions  Approval subject to conditions
 Technical
 Downgrading  Disapproval
o STE double nomination
 Disapproval  Deferral
o STE manyear’s experience
o Negative equity  Others
in applied classifications and
credit points
o Erroneous financial o Imposition of fine/Additional
o STE qualifications for License fee
statements
principal classification and o Prima facie findings of
highest category o Deferral
misrepresentation
o AMO creditable managerial o Conditions for license release
and/or technical experience
o AMO qualifications
(including results of AMO
exam)
o For government
registration, track
 Overall qualifications
o Overall credit points and
final classification, category
 Fee Structure

Form of Payment: Cash / Manager’s Check or Cashier’s Check payable to “CIAP”

 Fee Structure

Form of Payment: Cash / Manager’s Check or Cashier’s Check payable to “CIAP”

 Fee Structure

Form of Payment: Cash / Manager’s Check or Cashier’s Check payable to “CIAP”

 Fee Structure

Form of Payment: Cash / Manager’s Check or Cashier’s Check payable to “CIAP”

 CONSTRUCTION INDUSTRY AUTHORITY OF THE PHILIPPINES
PHILIPPINE CONTRACTORS ACCREDITATION BOARD
A. Applications for License
A. Applications for License
 Appointment of Representative
 Not more than two (2) from among the
employees of the firm
 Formal appointment papers with photocopy of
company ID and evidence of payment of SSS
contribution
A. Applications for License
1. Filing & Acceptance
 New & Upgrading
 Passing of AMO Exam prior to filing
 One-time passing
 Composed of fifty (50) questions and
exam may be taken for as many times
until applicant passes the same
 Thirty-five (35) correct answers with
the first fifteen (15) questions to be
answered perfectly and the additional
twenty (20) correct answers to be
taken from the rest of the remaining
35 questions
A. Applications for License
1. Filing & Acceptance
 Renewal (BR No. 376 , S 2014)
 Strengthened the staggered filing schedule based on
license number endings
License Ending Number Filing Schedule
0 February 1-14
1 February 15-28
2 March 1-15
3 March 16-31
4 April 1-15
5 April 16-30
6 May 1-15
7 May 16-31
8 June 1-15
9 June 16-30
 I. Applications for License
o Licenses approved from January to March
may file their renewal applications in June 1-
15 while licenses approved from April to June
may file in June 16-30

o Contractors with license number ending 0-3

filing on their time schedule and whose
accounting period is on calendar year i.e.,
from January 1-December 31 may submit the
previous year’s Audited Financial Statements
(AFS). For contractors whose accounting
periods are other than calendar year may
submit the latest AFS submitted to the Bureau
of Internal Revenue.
A. Applications for License
1. Filing & Acceptance
 Renewal (cont.)
 Discontinued submission of affidavit of
no operation and imposed an automatic
Additional Processing Fee (APF) of Php
5,000 (after renewing month) and another
Php 5,000.00 after June 30
A. Applications for License
2. Processing of Applications / Board
Action
 Board Action (cont.)
 Contentious issues discussed during
Board Meetings

 AMO Interview
 Proprietors and AMO of applicants for
higher categories (B, A, AA, AAA)
 Proprietors/AMOs with doubtful
qualifications and academic disciplines
which are non-technical
 Includes foreign contractors
A. Applications for License
2. Processing of Applications / Board
Action
 Post-audit and Verification of
documents submitted
3. License Release
 License sent to contractors thru courier
(LBC)
B. Professionalization of Contractors
1. Completion of 2-day Seminar for
Authorized Managing Officers to
enhance knowledge of building, health,
lien and other relevant laws as
prerequisite to filing of license
application.
 Non-delegable: must be attended by the
AMO/Proprietor himself
B. Professionalization of Contractors
2. Completion of 40-Hour Construction
Safety & Health Course (COSH) to be
conducted by Safety Training
Organizations (STOs) accredited by the
Dept. Of Labor & Employment (DOLE)
 For juridical entities – may be attended
by the AMO or a Senior Technical
Officer w/ at least 5 yrs. exp. in
construction
 For sole proprietorships – must be
attended by the proprietor himself
B. Professionalization of Contractors
3. Additional 50 Credit Points each for
categorization purposes to certified
construction firms in ISO 1400:2004,
OSHAS 18001:2007 & ISO 9001:2008 as
incentive for promoting quality in their
processes & ensuring compliance with
statutory laws & environmental
protection & promoting safety, health &
welfare of workers.
C. Change of AMO Between Spouses in
Sole Proprietorship Construction
Firms
1. Allowed only for spouses with Property
Relations under Absolute Community or
Conjugal Property of Gains
2. AMO Spouse shall submit a letter
nominating his/her spouse as AMO in
his/her stead
3. Joint Affidavit that the property relations
existing in the marriage is either Absolute
Community of Property or Conjugal
Partnership of Gains
C. Change of AMO Between Spouses in
Sole Proprietorship Construction
Firms
4. The newly-nominated spouse shall
possess all of the qualifications required
of AMOs, i.e., two-year managerial
experience in the construction industry,
and the like;
5. The newly-nominated spouse shall pass
all the procedures required of AMOs, i.e.
AMO Exam, completion of AMO seminar
and COSH
D. Compliance with Other Laws
1. Employers proofs of membership with
Pag-IBIG Fund, PhilHealth & SSS as
licensing requirements to promote
welfare of construction workers
2. Additional 10 credit pts. for every Php
100,000 income tax paid by
contractors to bolster tax collection
E. Cooperative Undertaking between
the Private Sector & Government
 Accreditation of Constructors Assoc. &
Professional Org. to assist the Public
Assistance Desk (PAD) and to serve as an
avenue for information dissemination of
PCAB programs, policies & procedures.
 Requirements:
 Duly registered entity with an existence of at
least 5 years
 Membership of at least 15 licensed contractors
 Affiliate or chapter of a national contractors
assoc. (PCA or NACAP) or professional org.
 Training of at least 2 staff within PCAB
E. Cooperative Undertaking between
the Private Sector & Government
 Allowable activities
 Pre-screening and in some cases, evaluation
of license applications
 Endorsement of license applications to PCAB
with signature of the President and Secretary
of the Association / Professional
Organization
 Follow-up of the status of application with
PCAB
 Assist in the verification of documents
submitted by applicants
 Report unlicensed contractors
E. Cooperative Undertaking between
the Private Sector & Government
 One-strike Rule
 Accreditation of Associations / Professional
Org. will be withdrawn by PCAB even with a
single violation of terms & conditions for the
grant thereof
F. Setting Amendments to the expiration of Registration for
Government Projects and Imposition of Additional
Processing Fee for the Filing of Re-registration beyond the
expiration date. BR 201 s. 2017

1. Valid for a period of Three (3) years

from date of issuance;

2. Penalty of Five (5) Thousand as

Additional Processing Fee (APF) for
filing beyond the expiration date
 Requirement of at least one (1) STE to
complete the (CoSH) Course for all
Contractors :
(Board Resolution No. 040 s. 2014)
 At least one (1) STE in its roster of STE
shall complete the CosH Seminar (40 hrs)
effective CFY 2014-2015
 Proprietors & AMO who are at the same time
STE of their firm are deemed compliant

 Requirement applies to all contractors

irrespective of category; that is, from
category AAAA to Trade
 Changing Category “Trade” to Category “E”
(Board Resolution No. 042 s. 2014)

• Starting CFY 2014-2015, all license of

Category Trade will be issued as category E
• Specialty classification that require an
approprite STE with at least 3 years
construction experience in the specialty
applied for
 Strict Compliance with Special License
requirement to concerned Joint
Venture/Consortium before
Bidding/Negotiation Date
BR 047, Series 2015
 Applications must be filed at least a
day before the bidding date

 Registration Particulars (ARC) must be

valid at least Fifteen (15) Days at the
time of filing of special license
R. Amendment to 5-day filing on Special License

 Special license applications filed less

than five (5) working days but at least one
(1) day before bidding or negotiation date
may be accepted subject to the
imposition of a non-refundable Additional
Processing Fee (APF), in addition to the
usual licensing fees, as follows:
Registration Size Range APF
Large B PHP 25,000.00
Large A 20,000.00
Medium A & B 15,000.00
Small A & B 10,000.00
R. Amendment to 5-day filing on Special License

 The legal holidays before the date of

bidding/negotiation are excluded from the
five-working day count;
 In the event that the special license
certificate of an approved application
cannot be available due to limited time to
process, the Secretariat may upon
request, issue a “Notice of Board Action”
indicating the approval and details of the
approved application, which may be
validly presented to the project owner as
compliance with the requirement stated
herein.
S. PCAB Integrity Pledge

 Starting CFY 2015-2016, all contractors filing

new or renewal application shall be required
to submit an Integrity Pledge
T. Category “AAAA” (Regular License with
Annotation)
 Shall be issued to a domestic corporation
with small or no Filipino equity but with a
capitalization of at least one billion pesos
(Php 1,000,000,000) in cash and shall be
legally authorized to undertake only the
following projects:

a)Vertical Projects – include Buildings such as

office or residential condominiums, hotels,
malls, hospitals, schools, warehouses and the
like; Airport terminals, marine terminals,
international transport terminals; Power
generation plants; Manufacturing and
assembly facilities; and Tourism resorts,
country clubs and golf courses.
 T. Category “AAAA” (Regular License with
Annotation)
b)Horizontal Projects – include Roads,
expressways and Toll Road Systems; Light
Rail Systems, Heavy Rail Systems, Monorail
System & Bay Area Rapid Transit (BART);
Water Distribution System; Bulk Water
Systems; Sewage & Sewerage System; Power
Transmission System & Power Distribution
System; Telecommunications Distribution
System; Bridges, flyovers, viaducts, overhead
carriageways, Piers, Wharves & Interchanges;
Tunnels, underground Carriageways & Storm
Cisterns; Dams, Dikes, Seawalls & Breakwater
System; and Reclamation.
 T. Category “AAAA”
(Regular License with
Annotation)
 The Minimum Contract Value per single
Project that may be undertaken by a holder of
a Restricted Regular License are set forth
below:

 For Vertical Projects – Five Billion Pesos (Php

5,000,000,000) Philippine Currency; and

For Horizontal Projects – Three Billion Pesos

(Php 3,000,000,000) Philippine Currency
 T. Category “AAAA” (Regular License with
Annotation)

 Every constructor shall be graded and

assigned a category as an adjunct to his
license. General Engineering and General
Building constructors shall be categorized in
a scale of seven, namely; AAAA (quadruple
A) AAA, AA, A, B, C and D. Specialty
constructors shall be categorized in a scale
of seven, namely: AAA, AA, A, B, C, D and
Trade/E
Mandatory Submission of the Statement of
Annual Value of Work Accomplished (SAVWA)
in All Renewal Applications (BR 192, s2014)

 Requirement starts on CFY 2015-2016

 Application which shows income from
construction without the fully
accomloshed SAVWA shall be
considered incomplete and shall not
be accepted)
 Additional License Fee (ALF) for
Government Registration (ARC) Filed After
Expiration ( BR 194, s2014)

Assessed on all re-registration

applicants with existing projects after the
expiration of the registration in the
amount of Php 5,000 per year or a fraction
thereof of non-renewal
License Fees for Authority to Continue On-
Going Projects (BR 193, S2014)

 Assessed on contractors who are not eligible

for the renewal of the regular license but
have on-going projects procured during the
validity of the license and have applied for
authority to continue the same
 License fees are based on the contractor’s
category and classification prior to non-
renewal, suspension, revocation or
cancellation of the license
 Electronic Filing
BR No. 194 Series 2016

Starting CFY 2017-2018, the filing of

license and registration application thru
Online CLIRS shall be mandatory for
contractors falling under the categories of
Double (AA), Triple A (AAA) and
Quadruple A (AAAA), No application for
these categories shall be accepted at the
PCAB Office or CIAP Windows.
Providing Amnesty to Unlicensed Contractors until
30 April 2019 (BR No. Series of 2019)
 Coverage:
 Unlicensed Contractors
 Unlicensed developers, project owners, and the like
 Unlicensed subcontractors/specialty contractors
 Architects and engineering professionals engaging in activities that require
a contractor’s license

 Mechanics
 Letter Application for Amnesty
 Properly accomplished license application form
 AMO affidavit showing at least 2 years managerial/technical experience in the
construction industry
 Registration with SSS, PHILHEALTH and PAGIBIG
 Audited \Financial Statement showing a networth of at least Php 100,000.00
dated within six months from date of application
 Upfront payment of the Php 10.000.00 AdditIonal License Fee and other
applicable fees
Category and Classification under the Amnesty Program

 All applicants for the amnesty Program will be granted Category “Trade”
with the classification of Specialty “Trade” which may upgraded after a
period of six (6) months

 AMO Seminar, Course on Construction Safety and Health(COSH) and

AMO Exam

 Contractors who have not as yet completed the AMO Seminar, COSH
and passed the AMO Exam may avail of the Amnesty Program and file
their respective applications provided that the same must be completed
before the license is renewed
 CIAP WEBSITE
www.ciap.dti.gov.ph
CIAP PORTAL: Online Applications
www.ciap-portal.dti.gov.ph
For other inquiries please contact us at:

Tel. Nos. 895.4258 / 895.4220 Telefax.

895.4220

Email address: ciappcab.main@gmail.com

Website: ciap.dti.gov.ph
HELPDESK #: 09178482427