2016 R-IRR of RA 9184 Presentation To NCR - Manila, Sept. 27, 2019

A Presentation on
2016 Revised IRR of

R.A. 9184 on
Procurement of Goods
Department of Public Works and Highways
“KUROT
PRINCIPLE”
3
OUTLINE OF
PRESENTATION
 Historical Background
 Procurement Planning
 Preparation of Bidding Documents
 Procurement thru Competitive Bidding
 Alternative Modes of Procurement
AMERICAN LAWS ON
PROCUREMENT
CONTRACTS
American Practice of NO CONTRACT SHALL

Public Bidding was INVITATION TO BE ENTERED INTO
BID
introduced in the WITHOUT PUBLIC
Philippines on 1900 BIDDING
LOWEST
RESPONSIVE
BIDDER
PHILIPPINE PUBLIC
PROCUREMENT
5
1917 ADMINISTRATIVE NEDA GUIDELINES ON
CODE OF THE PHILIPPINES PROCUREMENT OF
CONSULTING
SERVICES
PD 1594 ON N
ENT OF 62 O NT OF
PROCUREM 2
EO EME
S
GOODS CIVIL WORK C U R OD S
PRO
G GO
U LTIN
CO NS SERV
ICES
FRA
IN
PE BEFORE THE
ENACTMENT OF GPRA
6
ENACTMENT OF GPRA
Implementing
Rules and
Government Procurement Reform
Regulations
Act
10 January 2003
Executive Orders
Implementing Rules and
Regulations (IRR) Part A
8 October2003
Revised IRR of 2009

2 September 2009
Administrative
Issuances Revised IRR of 2016
28 October 2016
Memorandum
Circulars
Over 100 Procurement Rules and Regulations
7
PROCUREMENT REFORMS
PROBLEMS REFORMS
• Confusion caused by • Enactment of the Government
fragmented legal system Procurement Reform Act (GPRA)
• Inconsistent policies, rules, and • Creation of the Government

regulations due to lack of Procurement Policy Board (GPPB)
standards
• Use of PhilGEPS
• Lack of transparency (Philippine Government Electronic
Procurement System)
• Lack of check and balance • Participation of civil society
8
KEY FEATURES OF GPRA
 Covers procurement of all government agencies

 General Rule is Public/Competitive Bidding
 Alternative Methods of Procurement allowed in highly
exceptional cases
 Use of the Approved Budget for the Contract (ABC) as ceiling
for the bid price
 Use of transparent, objective, and non-discretionary criteria
 Increased transparency in the procurement process
 Professionalization of procurement officials
 Inclusion of Penal and Civil Liabilities
9
CLARIFICATION OF TERMS
Goods - items, supplies, materials and

general support services, except consulting
services and infrastructure projects, which
may be needed in the transaction of public
businesses or in the pursuit of any
government undertaking, project or
activity. These include office supplies,
office equipment, construction materials,
heavy equipment, among others.
Common Use Supplies - goods, materials,

and equipment repetitively used in the
day-to-day operations of Procuring Entities
and in the performance of their functions,
such as office supplies, office equipment
and consumables, furniture and fixtures,
computer supplies. These include those in
the Electronic Catalogue of PhilGEPS to be
procured from DBM–PS.
Inventory Items - common-use supplies, goods,
materials and equipment not in the Electronic
Catalogue of PhilGEPS but regularly used and
kept on stock by the Procuring Entity such as
janitorial, security, common electrical and
communication supplies, books, maps, other
publications, audio visual equipment, appliances,
construction materials. Inventory items that are
not common use supplies may be procured from
commercial sources or suppliers other than the
DBM-PS.
Non-Common Use Supplies - goods,

materials, and equipment that are neither
common-use supplies nor inventory items,
and may include goods, materials and
equipment required by Procuring Entity for
a specific project only such as laboratory
equipment, appliances, fuel, vehicle parts,
heavy equipment spare parts, engineering
supplies, mailing supplies or similar items.
Services - general support services, except consulting
services and infrastructure projects, needed in
support of the transaction of public businesses or in
the pursuit of any government undertaking, project
or activity. These include non-personal or contractual
services such as repair of equipment, trucking,
hauling, janitorial, security, printing,
telecommunication, repair of service vehicles, cargo
transport services, air conditioning services, and
related or analogous services (e.g. rental of venues,
catering services), among others.
Expendable Supplies – Articles which are

normally consumed in use within one (1) year or
converted in the process of manufacture or
construction, or those having a life expectancy of
more than one (1) year but which shall have
decreased substantially in value after being put to
use for only one (1) year (e.g., medicines,
stationery, fuel, and spare parts).
Non-Expendable Supplies – Articles which are

not consumed in use and ordinarily retain their
original identity during the period of use, whose
serviceable life is more than one (1) year and
which add to the assets of the GOP (e.g.
furniture, fixtures, transport and other
equipment). The term non-expendable supplies
include semi-expendable property.
PHILIPPINE PROCUREMENT PARADIGM
• Review studies • Post/Advertise

Assess Procure
• Consolidate into APP opportunity
• Decide procurement • Open and evaluate bids
method • Post-qualify
• Approve APP • Award and enter into
• Determine readiness contract
Identify • Cost-benefit analysis • Oversee Implement

• Feasibility study implementation
• Market study • Inspect and accept
• PPMP deliveries
• Release payment
SATISFACTIO
NEEDS
N
Capacity Development Division 17

PROCUREMENT PLANNING
Purpose of Procurement Planning
For the DPWH to schedule its procurement activities for

goods and services consistent with the approved budget
and its target for implementation.
WHY PROCUREMENT PLANNING
 Procurement Planning ensures that the overall goal of a
particular project will be effectively and efficiently achieved.
 Precludes occasions for unnecessary government purchases

and circumventions of the prescribed procurement
procedures
− advance deliveries
− suki system
− unwarranted resort to alternative methods procurement
 However, it must be done within budgetary context
2020
SECTION 7.1 OF IRR
Procurement Planning and Budgeting Linkage
 Within approved budget of procuring entity

 Judiciously done
 Consistent with government fiscal measures
 Considered crucial to the efficient discharge of governmental
functions
o Required for the day-to-day operations
o In pursuit of the principal mandate of the procuring entity
concerned
 The APP shall include provisions for foreseeable emergencies
based on historical records.
21
SECTION 7.2 OF IRR
• No procurement unless in accordance with the Annual

Procurement Plan (APP)
• Approval of Head of Procuring Entity (HOPE) or designated

second-ranking official
22
ACTORS IN PROCUREMENT PLANNING
TECHNICAL WORKING
END USER GROUP (TWG)
BUDGET OFFICE
BIDS AND AWARDS COMMITTEE (BAC)

APPROVING
&
AUTHORITY/HoPE 2323
AND BAC SECRETARIAT
PROJECT PROCUREMENT MANAGEMENT PLAN
(PPMP)
 A guide document in the procurement
and contract implementation process, as
well as a vital reference in procurement
monitoring.
 Tool allowing the PE the flexibility to
optimize the utilization of scarce
resources.
 Minimize the practice of doing short-cuts

 Prepared by the end-user unit during the budget preparation to
support the cost estimates in the budget proposal.
 The end-user or implementing units shall be responsible for the
preparation of all documents necessary for the procurement
activity, including but shall not be limited to, the technical
specifications, scope of work, or terms of reference
24
Department of Public Works and Highways
Facilities and Maintenance Division
DPWH Central Office
Contract ID:
Contract Name:
Location of Contract:
PROJECT PROCUREMENT MANAGEMENT PLAN FOR FY ___

End-User/Unit:
Estimated Budget
Quantity SCHEDULE/MILESTONE OF ACTIVITIES
P.R. No. 1 General Description Mode of Procurement
Size Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Total Budget Amount Php
PREPARED: EVALUATED BY: APPROVED:
(To be included in the DPWH
Budget Proposal)
________________________________ ___________________________ ____________________________

Supply Officer/Adm. Officer Chief, Budget Division Head of Office (DO 45 s. 2017)
¹PR No. = Purchase Request No.

ITEMIZED LIST OF GOODS
Annex to Contract Package No. ______
PPMP - FY 2018
Service/RO/PMO :
Division/District/City :
TOTAL DISTRIBUTION BY QUARTERS
GOODS UNIT CALENDAR 1ST QTR. 2ND QTR. 3RD QTR. 4TH QTR.
Category / Nature and Description / Specification UNIT PRICE QTY AMOUNT QTY AMOUNT QTY AMOUNT QTY AMOUNT QTY AMOUNT

PROGRAM AMOUNT

Prepared/Submitted by: APPROVED BY:

Supply Officer/Administrative Officer Head of Office

PPMP vs PR
 Purchase Request (PR) – Request for purchase or requisition

of supplies, materials and equipment or its equivalent shall be
duly approved by proper authorities. (Source: Training
Handbook on Government Expenditures)
 In no way that the End-user Unit submit their PR ahead of the

approved PPMP item.
27
ANNUAL PROCUREMENT PLAN (APP)
 Legal Basis: Section 7 of the IRR of RA 9184

 Refers to the entirety of the procurement activities that will be
undertaken by the procuring Entity within the calendar year using
the prescribed format required by the GPPB.
 Shall be consolidated by the BAC Secretariat from the PPMPs of
end-user units. The BAC shall take into consideration the following
factors:
 One year planning perspective
 Emergency or Contingency Fund
 Schedule of Activities
 No procurement shall be undertaken unless in accordance with
APP
28
 All procurement should be meticulously and judiciously planned by
procuring entity
 APP should be maintained and updated regularly
 In the consolidation of PPMPs, the BAC may adopt a strategy through

where similar items of procurement are packaged into one
procurement undertaking.
 A review and updating of the individual PPMPs and the APP shall be
done regularly, at least once every 6 mos. or as often as necessary. The
end-user or implementing units shall be responsible for the changes to
the PPMPs, while the BAC Secretariat shall be responsible for the
consolidation of these PPMPs into an APP
29
1 2 3 5 7
4 6
Per GPPB Resolution No. 20-2015

1. Name of Procurement 4. Schedule of identified
Project; procurement activities;
2. Procurement Management 5. Source of funds;
Office (PMO)/end- 6. Indicative ABC;
user/implementing unit; 7. Other relevant descriptions
3. Method of Procurement; of the project, if applicable.
30
PREPARATION OF APP
n
tio
APP
ra
re pa
et P
u d g
n gB When GAA,
D u ri Corporate Budget
or Appropriation
Upon approval Ordinance
of HOPE, becomes final,
Submit Budget Budget Office PPMPs will be
Proposal to will forward finalized and
HOPE PPMPs to BAC submitted to BAC
Submit to
Secretariat for Secretariat for
Budget
Consolidation consolidation and
Office for
and Review approval of the
evaluation
HOPE.
Prepare Project
Procurement
Management Budget Office HOPE &
Plan (PPMP) BAC Secretariat
End-User Unit
31
PREPARATION OF APP
Procedure under the 2016 IRR of RA 9184
HOPE/Approving
APP
When GAA, Corporate
Body Budget or
BAC & Appropriation
Secretariat Submit Indicative
Ordinance becomes
final, PPMPs will be
Budget APP and budget finalized and submitted
proposal to to BAC Secretariat for
Office Consolidation of HOPE/oversight
PPMPs to consolidation, to BAC
body for approval for final
Indicative APP by
End-User Submit to BAC Sec and recommendation of
recommendation modality and final
Unit Budget
by BAC of approval of the HOPE
Office for
evaluation modality
Prepare Project
Procurement
Management
Plan (PPMP) During Budget Preparation
32
PPMP CONSOLIDATION
• Checking of • Recommendation of
procurement procurement methods
methods by the BAC
• Propose procurement
methods (End-user)
3333
REVISIONS ON APP
Update
End-User /Supplement
PPMP
Consolidate
BAC & BAC Sec PPMP to
Updated/
Supplemental
APP
Approve
Updated
/Supplemental
HOPE APP
34
ANNUAL PROCUREMENT PLAN FOR FY ___
Code Procurement PMO/End-User Mode of Schedule for Each Procurement Activity Source of Estimated Budget (Php) REMARKS
(PAP) Program/Project Procurement
Ads/Post of
IB/REI
Sub/Open of
Bids

Notice of Award Contract Signing
Funds
TOTAL MOOE CO

TOTAL
Prepared/Submitted by: Recommending Approval: Approved by:

BAC for Goods Secretariat/Head, Procurement Office Chairman, BAC for Goods Head of the Procuring Entity

Procurement Short of Award
 To facilitate the immediate implementation of procurement ,
even pending approval of the GAA, corporate budget or
appropriations ordinance, as the case may be, the PE may
undertake the procurement activities short of award
 For a contract with a period not exceeding one (1) year, the
ABC shall be based on the amount in the approved indicative
APP as included in the proposed national budget (NEP)
submitted by the President to Congress; on budget levels as
proposed to the governing board for GOCCs
 No award of contract shall be made until the GAA or
corporate budget has been approved
36
APP vis-a-vis APP-CSE
 APP being referred to in the IRR of RA 9184 is different from the

APP-CSE
 APP-CSE serves as basis of DBM – PS in projecting its inventory

requirements, scheduling of activities, and over-all management of
the central procurement of common-use goods (DBM Circular Letter
2011-6 & 2011-6a)
 Common-use supplies – refers to those supplies and materials and

equipment included in the price list of the PS which are necessary
in the transaction of the official business of the procuring entity and
consumed in its day-to-day operations
37
APP-CSE
38
PURCHASE REQUEST (PR)
Purchase Request (PR) – Request for

purchase or requisition of supplies, materials
and equipment or its equivalent shall be duly
approved by proper authorities.
(Source: Training Handbook on Government
Expenditures)
39
Appendix 60
PURCHASE REQUEST
Entity Name: _______________________ Fund Cluster: __________________

Office/Section : _____________ PR No.: ______________ Date: ____________
_________________________ Responsibility Center Code : ___________
Stock/ Property No. Unit Item Description Quantity Unit Cost Total Cost

Purpose: ____________________________________________________________
_______________________________________________________________
_______________________________________________________________

Requested by: Approved by:
Signature : _________________________ ___________________________
Printed Name : _________________________ ___________________________
Designation: _________________________ ___________________________
41
TECHNICAL SPECIFICATIONS
 Consult Stakeholders
 In developing the project requirements and TS, the Procuring
Entity may engage the services of technical experts, whether in-
house or consultants, to ensure that the requirements and the TS
are adequate to achieve the objectives of the particular
procurement.
 Set clear Specifications:
– Generic and flexible
– Clear and unambiguous
– Reminder on Reference to Brand Names (Section 18)
– Updated, where technology is taken into account
– Fits the actual requirements of the PMO/End-user
42
REQUIREMENT SPECIFICATION
The specification is the “heart” of the procurement

transaction
• It defines client’s needs

• It tells buyer what to buy
• It tells supplier what is required
• It sets standards for quality
43
MAJOR TRAPS IN THE SPECIFICATION PHASE
1. Over Specifying
2. Too vague or incomplete
specifications
3. No focus on best value of
money
44
HOW TO WRITE TECHNICAL SPECIFICATIONS?
FUNCTIONAL DESCRIPTION
- description of the functions for which the Goods are to be
utilized
EXAMPLE:
The ballpen is expected to write 1.5 km
of straight, continuous lines.
45
PERFORMANCE DESCRIPTION
- refers to the manner that the Goods are required to
perform the functions expected of them
EXAMPLE:
A ballpen that writes at 1.5 km
continuously and smoothly.
46
ENVIRONMENTAL INTERFACE
- refers to the environment in which the required
functions are performed at the desired level
EXAMPLE:
The ballpen should write continuously
for 1.5km on a notebook, but not
necessarily on a white board.
47
DESIGN
- refers to the technical design or drawing of the goods
being procured
EXAMPLE:
The ballpen should be
comfortable to use by left-hand
writers.
48
Green Public Procurement (GPP)
GPPB Resolution No.25-2017
Green Procurement is
Responsible Procurement
ADVANCING PUBLIC PROCUREMENT TOWARDS GREEN AND SUSTAINABILITY

A proper definition of GPP
Green Public Procurement (GPP) is a process
whereby public authorities seek to procure goods,
services and works with a reduced environmental
impact throughout their life cycle when compared to
goods, and services and works with the same primary
function that would otherwise be procured.

‘Green’ means …
Avoiding the use

of toxic substances
Prioritizing alternative
(greener) materials
Reducing energy and
water consumption
during use Recycling at the end
of life
CONCEPT AND BENEFITS

PRIORITIZING PRODUCTS FOR GPP
Which products? Based on which

criteria?
The GPP Roadmap has identified and prioritized

a first batch of products
10 CSEs 10 non-CSEs
… through an assessment based on distinct criteria

Optional
Main criteria*
criteria**
Market readiness
Existing experiences
Environmental impact
Visibility to the public
Cost implications
Additional benefits for
Practicability users
Support to government’s Driving innovation

environmental objectives
…
Support to the local
economy **For future/optional application
*Used for currently prioritized

CSEs and non-CSEs
GPP: Common-use Supplies
and Equipment (CSEs)
FIRST SET OF
PRIORITIZED CSEs
ASSESSMENT MATRIX
Market readiness
Cost implications
Practicability
Support to government
Environmental objectives
Support to the local economy
GPP: Non-Common-use Supplies
and Equipment (Non-CSEs)
FIRST SET OF PRIORITIZED
PRODUCTS (non-CSEs)
ASSESSMENT MATRIX
Market readiness
Cost implications
Practicability
Support to government
Environmental objectives
Support to the local economy
NON-CSE PRODUCT: COMPUTERS, MONITORS
AND LAPTOPS
SCOPE:
Environmentally-friendly ICT equipment including desktop PCs, laptops
(Notebooks), palmtop and computers and computer display devices like
CRT, LCD, and LED monitors.
KEY ENVIRONMENTAL IMPACT
• Energy consumption, especially during use phase;
• Resource consumption related to the production of IT products;
• Harmful emissions related to the production of IT products
• Generation of waste material through packaging and end-use.
GPP APPROACH
• Purchase energy efficient models;
• Purchase products with a restricted amount of hazardous
constituents;
• Design for recycling, longer life and promote take back options;
• Safe disposal
AND LAPTOPS
PRODUCT SPECIFICATIONS:
• Fulfills at least ENERGY STAR 6.1 for computers and 7.0 for monitors
criteria;
• With visible on/off switch;
• In case of desktop computers – memory, hard disk and CD drive are
readily accessible and can be changed easily for upgrades;
• Availability of replacement batteries and power supplies is guaranteed
for at least 5 years after end of production
• Recyclable packages and shall provide a packaging take-back service
AND LAPTOPS
JUSTIFICATION:
• Reference to Energy Star for computers and similar products is very
common in GPP. The same regards criteria referring to product
lifetime/resource efficiency.
EVIDENCE:
• Must meet the latest Energy Star standards for energy performance.
• If without Energy Star label, suppliers are required to submit an
appropriate means of energy consumptions levels (e.g. technical
dossier, test report)
• The supplier shall declare that requirements concerning the longer-life
of the products are met by providing warranty certificates, and
guarantees on the availability of replacement parts.
• Supported by other relevant documentation (eg. packaging take-back
service)
AND LAPTOPS
VERIFICATION:
• www.energystar.gov provides a list of products certified by the energy
star.
• Testing facilities reports
• Independent testing can be carried out by TUV Rheinland
• Judged by technician (accessibility of memory, hard disk and CDD has
to be judged by a technician
NON-CSE PRODUCT: REFRIGERATORS AND
FREEZERS
SCOPE:
Refrigerators, freezers and refrigerator/freezer combinations

• Energy consumption, especially during use phase;
• Resource consumption related to the production;
• Harmful emissions related to the production (especially VOCs and
ozone depletion emissions)
• Generation of waste material through packaging and end-use.
GPP APPROACH
• Purchase energy efficient models;
• Exclude products with contribute to ozone depletion;
• Design for recycling, longer life and promote take back options;
• Safe disposal
FREEZERS
• Fulfills at least ENERGY STAR 5.0;
• Supplier shall ensure that the products do not contain “controlled
refrigerants” as defined under the Ozone Layer Protection Regulation.
• Ensure that products are repairable and the replacement parts are
available (for minimum of 10 years after end of production)
• Recyclable packages
FREEZERS
JUSTIFICATION:
• Most GPP schemes refer to the energy star. Once the new national
system for energy efficiency classification of refrigerators and freezers
has been introduced, there is no need to further refer to the Energy
Star.
• Exclusion of ozone depleting substances.
EVIDENCE:
• Evidence that specifications are met especially those concerning ozone
depleting substances.
• Other proof e.g technical dossier, test reports from recognized body
• Supported by other relevant documentation (eg. Energy star
certification, take-back service)
FREEZERS
VERIFICATION:
• www.energystar.gov provides a list of products certified by the energy
star.
• Testing facilities reports
• Independent testing on energy efficiency can be carried out by TUV
Rheinland.
NON-CSE PRODUCT: PAINTS AND VARNISHES
SCOPE:
Water-, Solvent-, and oil-based.

• Resource consumption related to the production;
• Harmful emissions related to use and production and with implications
to human health;
• Generation of waste material through packaging.
GPP APPROACH
• With restricted amount of hazardous substances
• Minimize negative environmental impact
• Low waste generation
• Must not contain mercury, lead, cadmium, hexa-valent chromium,
barium, antimony as well as tributyltin (TBT) and triphenyltin (TPT)
• If the above chemicals exist in the product, the total weight must be
less than 0.1% of the product
• Packaging must contain a brief statement discouraging improper
disposal and encouraging consultation with local authorities for
disposal requirements or recycling opportunities as specified in RA
9003
JUSTIFICATION:
• Substance related specifications correspond to GPP specifications in
Malaysia and Hongkong, and specifications of GCP.
• Mercury and most of its compounds are extremely toxic. Their use is
banned in many parts of the world.
EVIDENCE:
• Statement that product does not contain hazardous substances.
• Supplier must submit Material Safety Data Sheets (MSDS)
• Declaration of compliance to recycling and safe disposal of waste
VERIFICATION:
• Independent testing can be carried out by Intertek Testing Services
Philippines Inc. and for some substances by Sentrotek and SGS
Philippines.
NON-CSE PRODUCT: FOOD AND CATERING
SERVICES
SCOPE:
Which range from Quick Service Restaurants, Canteens and Cafeterias, to
Catering Services, Casual Dining Establishments, and Fine-Dining
Restaurants.
• Consumption of raw materials and destruction of ecosystems related
to the purchased products;
• Water and energy consumption during processing of food
• Generation of waste through packaging and food waste.
GPP APPROACH
• Purchase of environmentally responsible food and beverages
• Ensures water and energy efficiency
• Offered under sustainable practices
• Decrease the quantity of packaging used and waste produced
SERVICES
• Supplier shall have its own environmental policy (environmental
procurement, reduction of waste and energy consumption, and water
saving)
• Produced in sustainable way eg produced according to good
agricultural practices, organic, no products from threatened species)
• Supplier shall provide vegetarian offer
• Eliminate use of non-essential disposable products like plastic bags,
single-use utensils, etc.
• Use of recycled materials
SERVICES
JUSTIFICATION:
• Asking for an environmental policy provides direction and requires the
supplier to reflect on the environmental impact.
EVIDENCE:
• Statement that service suppliers have met criteria.
• Submit a copy of the environmental policy signed by their Director or
counterpart and indicate how is it made accessible to guests and staff
personnel.
• Packaging samples
• Proof of internal waste reduction management initiatives
SERVICES
VERIFICATION:
• On-site visit
• For the characteristics of food, invoices can be checked
• Energy efficient indoor lighting relates to the use of compact
fluorescent lamps and LEDs.
NON-CSE PRODUCT: VEHICLES
SCOPE:
Light duty vehicles and light-duty trucks for ordinary use

• Air pollution through the emission of exhaust gases;
• Contribution to climate change through the emission of greenhouse
gases;
• Resource consumption related to the production of vehicles;
• Generation of waste.
GPP APPROACH
• Purchase products with low emissions;
• Purchase products with low waste generation.
• EURO IV Standard
• A guarantee for the vehicle for a period of at least 3 years or 100,000
km, whichever comes first
• A guarantee on the availability of parts for at least 7 years from the
time the production of the particular model ceases
FUTURE CRITERIA:
WHAT ARE POSSIBLE FUTURE

CRITERIA?
JUSTIFICATION:
• EURO IV corresponds to current national standards. It regulates
emissions of various harmful substances – oxides of nitrogen, carbon
monoxide.
EVIDENCE:
• Supplier shall give information about the emissions of the vehicles by
presenting the technical sheets of the vehicle.
• Offer of bidder has to include the required guarantee/warranty.
• A written guarantee that the criterion concerning the availability of
parts will be met.
VERIFICATION:
• Usually, the technical specifications of each car should contain the
information if it complies with the EURO IV standard. But validated
information can only be obtained by a testing facility.
APPROVED BUDGET FOR THE CONTRACT (ABC)
The ABC is the budget for the contract duly approved by the Head of
the Procuring Entity, as provided for in:
1. The GAA and/or continuing appropriations, in the case of NGAs;
2. The corporate budget for the contract approved by the governing
board, pursuant to E.O. No. 518, series of 1979, in the case of GOCCs
and GFIs; and R.A. No. 8292, in the case of SUCs; or
3. The budget approved by the Sanggunian in the case of LGUs.
Thus, the ABC referred to in R.A. 9184 and its R-IRR basically refers to
the proposed budget for the project approved by the Head of the
Procuring Entity based on the APP as consolidated from various PPMPs.
75
APPROVED BUDGET FOR THE CONTRACT (ABC)
 End user to conduct market study

 Market price, inflation and cost of money related to the
procurement time table must also be considered.
 In determining the ABC, the end-user unit, with the assistance
of the TWG (when necessary), must consider the different cost
components.
76
DETERMINING THE ABC
Cost Components which may be considered:
 Cost or market price of the product or service itself;

 Freight, insurance, taxes, and other incidental expenses;
 Cost of money, to account for government agencies usually
buying on credit terms;
 Inflationary factor;
 Quantities, considering that buying in bulk usually means
lower unit prices;
 Supply of spare parts and/or maintenance services, if part of
the contract package;
77
DETERMINING THE ABC
 Cost for securing all types and forms of securities other than
cash (e.g. premiums for surety bond, bank fees and other
charges to be incurred by the bidder in obtaining bid,
performance and warranty securities); and
 Currency valuation adjustment for contracts with foreign
component.
 Acquisition Cost
 Operation Cost
 Replacement/Repair Cost
 Disposal Cost
78
PROCUREMENT MILESTONES
79
80
Factors to consider in identifying procurement timelines:

1. Budget rules, i.e. CSE – every quarter;
2. Nature of Procurement Projects, whether simple or
complex
3. For shopping/small value procurement, give at least two
weeks
4. Foreseen/Unforeseen Contingencies, i.e. frequent
change in specifications, etc.
5. Availability in the market.
81
METHOD OF PROCUREMENT
 As a general rule, all procurement should be through public

bidding
 The selection of the method of procurement is dependent on

the presence or absence of specific conditions of other
methods of procurement in Sections 48 to 54 of the revised
IRR
82
COA – GUIDE ON AUDIT OF PROCUREMENT
(GAP)
3.2. Annual Procurement Plan (APP) – the requisite document
that the agency must prepare to reflect the entire
procurement activity (i.e., goods, services, civil works to be
procured) that it plans to undertake within the calendar year.
This document contains the following information:
3.2.1. Name of the procurement program/project;
3.2.2. Project management office or end-user unit;
3.2.3. General description of the procurement;
3.2.4. Procurement method to be adopted;
3.2.5. Time schedule for each procurement activity;
3.2.6. Source of fund; and
3.2.7. Approved Budget for the Contract.
83
COA – GAP CHECKLIST
1. To verify if the procuring entity has an Annual Procurement Plan (APP)
2. To verify if the APP is approved by the HOPE or by a second-ranking

official designated by the HOPE to act on his behalf
3. To verify if the APP contains the following information:
a. name of the procurement program/ project;
b. project management office or end-user unit;
c. general description of the procurement;
d. procurement method to be adopted;
e. time schedule for each procurement activity;
f. source of fund;
g. approved budget for the contract.
84
COA – GAP CHECKLIST
4. To verify if the APP is supported by PPMPs prepared by the

respective end-user units
5. To verify if the items in the approved APP were included in the

PPMPs
6. To verify if the APP matches the budget per GAA, corporate

budget, appropriation ordinance, as the case may be
85
Two girls ate dinner together. They
both ordered iced tea. One girl drunk
them very fast and had finished five in
the time it took the other to drink just
one. The girl who drunk one died while
the other survived. However, all of the
drinks that were serve turned out to
contain poison. How did the girl who
drank the most survive?
ANSWER:
The poison was in the ice. When
the girl drank the iced tea, the ice
was still fully frozen. Gradually,
as the ice cubes melted, the
poison was released into the
drink.
PREPARATION OF
BIDDING DOCUMENTS
Legal Reference : IRR Section 17
Purpose of Bidding Documents
(BDs)
To provide prospective bidders the basic
information that they need to prepare
responsive bids for the contract (IRR Section 5
f)).
PURPOSE OF PBDs
 Scope of work, ABC, duration, outputs of the contract

 Minimum legal, technical and financial requirements to be
eligible to bid.
 Documents and other requirements that bidder must include
in his bid.
 Process and rules for: submission and receipt of bids,
evaluation of bids, post-qualification, and award of contract.
 Terms and conditions of contract.
89
2016 IRR AMENDMENTS
• The specifications and other terms in the Bidding Documents

shall reflect the minimum requirements or necessary
specifications required to meet the needs of the Procuring
Entity in clear and unambiguous terms.
• In mixed procurements, the PE shall specify the following in

the PBDs the requirements, criteria and other conditions of
the bidding procedures and of the ensuing contract as
applicable to each component of the project. In the
preparation of PBDs, the PE shall ensure compliance with
existing laws, rules and regulations, especially those
concerning licenses and permits required for the project.
90
AVAILABILITY OF BIDDING
DOCUMENTS
91
WHEN AVAILABLE?
WHEN ARE THE BIDDING DOCUMENTS MADE AVAILABLE?
From the time the Invitation to Bid (IB) is first advertised/posted

until the Deadline for the Submission and Receipt of Bids. (Sec.
17.3, IRR of RA 9184; NPM 14-2010)
RATIONALE:
To provide prospective bidders ample time to examine the

bidding documents and to prepare their bids.
92
2016 IRR AMENDMENTS
• To provide prospective bidders ample time to examine the

Bidding Documents and to prepare their respective bids, the
concerned BAC shall make the Bidding Documents available
from the time the IB is first advertised/posted until the
deadline for the submission and receipt of bids
• The PE shall post the complete Bidding Documents at its

website and the PhilGEPS website from the time the IB is
advertised
93
REMINDERS
 PBDs to be used by all NGAs, GFIs, SUCs, GOCCs and LGUs for
fully domestically-funded projects.
 PBDs to be used in ADB, JICA and WB Projects in case of

National Competitive Bidding.
! Under Section 6.2 of the IRR of RA 9184, once issued by

the GPPB, the use of PBDs shall be mandatory upon all PEs.
94
PREPARATION OF
BIDDING DOCUMENTS
Content of Contract-Specific BDs
oSection I. Invitation to Bid (IB)
oSection II. Instructions to Bidders (ITB)
oSection III. Bid Data Sheet (BDS)
oSection IV. General Conditions of Contract (GCC)
oSection V. Special Conditions of Contract (SCC)
oSection VI. Schedule of Requirements
oSection VII. Technical Specifications of Goods and
Services
oSection VIII. Bidding Forms (BFs)
REMINDERS
• The provisions that are intended to be used unchanged

are the following:
 Section II. Instructions to Bidders (ITB) and

 Section IV. General Conditions of Contract (GCC)
96
SPECIFIC
CONTENTS OF
BIDDING
DOCUMENTS
INVITATION TO BID (IB)
Section I
Purpose
Notice to interested suppliers and to the general
public of the proposed procurement for a specific
contract. It shall also provide basic information
that will enable prospective bidders to decide
whether or not to participate in the procurement
at hand.
ESSENTIAL CONTENTS
1. Name of the contract to be bid and a brief description;
2. ABC and Source of Funding;
99
ESSENTIAL CONTENTS
3. General statement on the criteria to be adopted in examination and

evaluation of bids, post-qualification and award of contract;
100
ESSENTIAL CONTENTS
4. Period of availability of the Bid Docs, place where the Bid Docs may be
secured, website where the Bid Docs may be downloaded and, where
applicable, price of the Bid Documents “acquired” by virtue of
GPPB Resolution Nos.
04 and 25-2012
101
ESSENTIAL CONTENTS
5. Date, time, place of the deadline for the submission and receipt of bid
requirements, conduct of pre-bid conference, if any, submission and
receipt of bids and the opening of bids;
6. The deadline for the submission and receipt of bids from the last day of
posting of the Invitation to Bid
102
ESSENTIAL CONTENTS
7. Reservation Clause
103
INVITATION TO BID (IB)
Section I
GPPB Resolution No. 23-2017
“Amendments to the Philippine Bidding Documents for the Procurement of Goods”
Original Amended
Notes on the Invitation To Bid Notes on the Invitation To Bid
Apart from the essential items listed in the Apart from the essential items listed in the
Bidding Documents, the Invitation To Bid Bidding Documents, the Invitation To Bid
should also indicate the following: should also indicate the following:
--------- ---------
(c) The deadline for the submission and (c) The deadline for the submission and
receipt of bids from the last day of posting receipt of bids; and
of the Invitation To Bid; and
You intercepted this coded
message sent by an enemy
operative:
YYURYYUBICURYY4ME
ANSWER:
Too wise you are, two wise

you be,
I see you are too wise for
me.
INSTRUCTIONS TO BIDDERS (ITB)
Section II
Purpose
oProvides information necessary for bidders to
prepare responsive bids for the contract to be
procured, in accordance with the
requirements of the Procuring Entity. Also
provides information on Bid submission,
opening, and evaluation, post-qualification,
and award.
NOTE: Section II contains provisions that are to
be used unchanged
ESSENTIAL CONTENTS
SCOPE OF BID (as provided in the BDS)

Name of the PE
The name, identification, and number of lots specific
to the bidding
SOURCE OF FUNDS (as provided in the BDS)
CORRUPT, FRAUDULENT, COLLUSIVE, AND COERCIVE

PRACTICES
.
108
ESSENTIAL CONTENTS
CONFLICT OF INTEREST
The presence of a conflict of interest is a ground for
Bidders’ disqualification.
1. Controlling shareholders in common with another Bidder;

2. Bidder receives/received any direct or indirect subsidy;
3. Bidders have the same legal representatives;
4. Bidder has a relationship with common third parties, that
may provide information or influence the Bid of another
Bidder;
109
ESSENTIAL CONTENTS
CONFLICT OF INTEREST
5. Bidder submits more than one bid in this bidding process.

However, this does not limit the participation of
subcontractors in more than one bid;
6. Bidder who participated as a consultant in the preparation

of the design or technical specifications of the Goods and
related services that are the subject of the bid
7. Bidder who lends, or temporarily seconds, its personnel to

firms or organizations which are engaged in consulting
services for the preparation related to procurement for or
implementation of the project, if the personnel would be
involved in any capacity on the same project 110
ESSENTIAL CONTENTS
Disclosure of Relations (Sec. 47, IRR of R.A. 9184). Bidders
should not be related either by consanguinity or affinity up to
the 3rd Civil Degree:
1. Head of the Procuring Entity;

2. Members of the BAC, TWG and BAC Secretariat;
3. Head of the PMO, end-user unit or implementing unit; and
4. Project Consultants, if any.
111
ESSENTIAL CONTENTS
Disclosure of Relations (Sec. 47, IRR of R.A. 9184) shall apply to
the following persons:
1. Individual/sole proprietor – Bidder

2. Partnerships – all of its officers and members;
3. Corporation – all of its officers, directors and controlling
stakeholders; and
4. Cooperative - all of its officers, directors, and controlling
shareholders or members
5. Joint Venture (JV) – bidder himself/herself, all of its officers
and members of partnerships, officers, directors and
controlling stakeholders of corporations and partners of the
JV.
112
ESSENTIAL CONTENTS
WHO ARE ELIGIBLE BIDDERS?
WHAT ARE THE BIDDER’S RESPONSIBILITIES:

(Embodied in the Omnibus Sworn Statement)
113
ESSENTIAL CONTENTS
Sample Omnibus Sworn Statement
• Omnibus Sworn Statement

• REPUBLIC OF THE PHILIPPINES )
• CITY/MUNICIPALITY OF ______ ) S.S.
• AFFIDAVIT
• I, [Name of Affiant], of legal age, [Civil Status], [Nationality], and residing at [Address of Affiant], after having been duly sworn in accordance with law,
do hereby depose and state that:
• 1. Select one, delete the other:
• If a sole proprietorship: I am the sole proprietor or authorized representative of [Name of Bidder] with office address at [address of Bidder];
• If a partnership, corporation, cooperative, or joint venture: I am the duly authorized and designated representative of [Name of Bidder] with office
address at [address of Bidder];
• 2. Select one, delete the other:
• If a sole proprietorship: As the owner and sole proprietor, or authorized representative of [Name of Bidder], I have full power and authority to do,
execute and perform any and all acts necessary to participate, submit the bid, and to sign and execute the ensuing contract for [Name of the Project] of
the [Name of the Procuring Entity], as shown in the attached duly notarized Special Power of Attorney;
• If a partnership, corporation, cooperative, or joint venture: I am granted full power and authority to do, execute and perform any and all acts necessary
to participate, submit the bid, and to sign and execute the ensuing contract for [Name of the Project] of the [Name of the Procuring Entity], as shown in
the attached [state title of attached document showing proof of authorization (e.g., duly notarized Secretary’s Certificate, Board/Partnership Resolution,
or Special Power of Attorney, whichever is applicable;)];
• 3. [Name of Bidder] is not “blacklisted” or barred from bidding by the Government of the Philippines or any of its agencies, offices, corporations, or
Local Government Units, foreign government/foreign or international financing institution whose blacklisting rules have been recognized by the
Government Procurement Policy Board;
• 4. Each of the documents submitted in satisfaction of the bidding requirements is an authentic copy of the original, complete, and all statements and
information provided therein are true and correct;
114
ESSENTIAL CONTENTS
• AFFIDAVIT
• 5. [Name of Bidder] is authorizing the Head of the Procuring Entity or its duly authorized representative(s) to verify all the documents submitted;
• 6. Select one, delete the rest:
• If a sole proprietorship: The owner or sole proprietor is not related to the Head of the Procuring Entity, members of the Bids and Awards
Committee (BAC), the Technical Working Group, and the BAC Secretariat, the head of the Project Management Office or the end-user unit, and
the project consultants by consanguinity or affinity up to the third civil degree;
• If a partnership or cooperative: None of the officers and members of [Name of Bidder] is related to the Head of the Procuring Entity, members of
the Bids and Awards Committee (BAC), the Technical Working Group, and the BAC Secretariat, the head of the Project Management Office or the
end-user unit, and the project consultants by consanguinity or affinity up to the third civil degree;
• If a corporation or joint venture: None of the officers, directors, and controlling stockholders of [Name of Bidder] is related to the Head of the
Procuring Entity, members of the Bids and Awards Committee (BAC), the Technical Working Group, and the BAC Secretariat, the head of the
Project Management Office or the end-user unit, and the project consultants by consanguinity or affinity up to the third civil degree;
• 7. [Name of Bidder] complies with existing labor laws and standards; and
• 8. [Name of Bidder] is aware of and has undertaken the following responsibilities as a Bidder:
• a) Carefully examine all of the Bidding Documents;
• b) Acknowledge all conditions, local or otherwise, affecting the implementation of the Contract;
• c) Made an estimate of the facilities available and needed for the contract to be bid, if any; and
• d) Inquire or secure Supplemental/Bid Bulletin(s) issued for the [Name of the Project].
• 9. [Name of Bidder] did not give or pay directly or indirectly, any commission, amount, fee, or any form of consideration, pecuniary or otherwise,
to any person or official, personnel or representative of the government in relation to any procurement project or activity
115
ESSENTIAL CONTENTS
• AFFIDAVIT
• IN WITNESS WHEREOF, I have hereunto set my hand this __ day of ___, 20__ at ____________, Philippines.
• _____________________________________
• Bidder’s Representative/Authorized Signatory
• SUBSCRIBED AND SWORN to before me this ___ day of [month] [year] at [place of execution], Philippines. Affiant/s is/are personally known to me and was/were
identified by me through competent evidence of identity as defined in the 2004 Rules on Notarial Practice (A.M. No. 02-8-13-SC). Affiant/s exhibited to me his/her
[insert type of government identification card used], with his/her photograph and signature appearing thereon, with no. ________ and his/her Community Tax
Certificate No. _______ issued on ____ at ______.
• Witness my hand and seal this ___ day of [month] [year].
• NAME OF NOTARY PUBLIC

• Serial No. of Commission _______________
• Notary Public for _______ until __________
• Roll of Attorneys No. __________________
• PTR No. ______ [date issued], [place issued]
• IBP No. ______ [date issued], [place issued]
• Doc. No. _____
• Page No. _____
• Book No. _____
• Series of _____
116
ESSENTIAL CONTENTS
SCHEDULE AND VENUE OF BIDDING

ACTIVITIES
CLARIFICATION AND AMENDMENT OF

BIDDING DOCUMENTS, IF ANY
117
ESSENTIAL CONTENTS
DOCUMENTS COMPRISING THE BID:

Eligibility Technical, Financial Components
PEs are proscribed from requiring additional

eligibility requirements (NPM 79-2013).
WHAT ARE ALTERNATIVE BIDS? ARE THESE
ALLOWED?
Alternative bid is an offer offer made by a Bidder in addition or

as a substitute to its original bid which may be included as part of its
original bid or submitted separately therewith for purposes of
bidding.
NOTE: Alternative bids shall be rejected.

118
ESSENTIAL CONTENTS
BID PRICE AND CURRENCY
BID VALIDITY
119
ESSENTIAL CONTENTS
BID SECURITY
FORMAT AND SIGNING OF BIDS
NOTE:
• Bids are submitted simultaneously in 2 separate envelopes.
• 1st Envelope contains the technical bid component,

including the eligibility docs and the 2nd Envelope shall
contain the financial bid component
120
ESSENTIAL CONTENTS
BID SECURING DECLARATION
Amended by virtue of GPPB
Resolution No. 15-2014.
121
ESSENTIAL CONTENTS
122
ESSENTIAL CONTENTS
NOTE (For Goods):

2009 IRR
Clause 19.4 Bid, except for unamended printed literature, shall be signed,
and each and every page thereof, shall be initialed, by the duly authorized
rep. (Clause 19.4, PBDs)
2016 IRR
Clause 19.4 Each and every page of the Bid Form, including the Schedule
of Prices, under Section VIII hereof, shall be signed by the duly authorized
representative/s of the Bidder. Failure to do so shall be a ground for the
rejection of the bid.
123
ESSENTIAL CONTENTS
Additional clause in the Bid Form:
“We acknowledge that failure to sign each and every page of

this Bid Form, including the Bill of Quantities (infra) or Price
Schedules (for goods), shall be a ground for the rejection of
our bid.”
124
ESSENTIAL CONTENTS
SEALING AND MARKING OF BIDS
NOTE:
• Enclose the ORIGINAL Technical and Financial Proposals in

separate envelopes.
• Must be MARKED “ORIGINAL TECHNICAL/FINANCIAL
COMPONENT” – Outer Envelope marked Original Bid
• Same with the copies – Copy No. __, Technical Component
125
ESSENTIAL CONTENTS
NOTE:
• The ORIGINAL Technical/Financial Envelope and the COPY
Envelopes shall be CONTAINED in ONE ENVELOPE.
• All envelopes shall have the required data.
• Procuring Entity not be responsible for misplaced bid docs
and premature opening.
126
ESSENTIAL CONTENTS
127
ESSENTIAL CONTENTS
128
ESSENTIAL CONTENTS
129
Section II
AMMENDMENT TO THE
5th EDITION OF THE PHILIPPINE BIDDING DOCUMENTS FOR THE PROCUREMENT OF GOODS
ORIGINAL AMENDED
Instruction to Bidders Clause 12.1(a)(i) Instruction to Bidders Clause 12.1(a)(i)

PhilGEPS Certificate of Registration and membership in accordance with PhilGEPS Certificate of Registration and membership in accordance with
Section 8.5.2 of the IRR, except for foreign bidders participating in the Section 8.5.2 of the IRR, except for foreign bidders participating in the
procurement by a Philippine Foreign Service Office or Post, which shall procurement by a Philippine Foreign Service Office or Post, which shall
submit their eligibility documents under Section 23.1 of this IRR: Provided, submit their eligibility documents under Section 23.1 of this IRR: Provided,
That the winning bidder shall register with the PhilGEPS in accordance That the winning bidder shall register with the PhilGEPS in accordance with
with Section 37.1.4 of this IRR. Section 37.1.4 of this IRR. For procurement to be performed overseas, it
shall be subject to the Guidelines to be issued by the GPPB.
Instruction to Bidders Clause 21 Instruction to Bidders Clause 21

Bids must be received by the Procuring Entity’s BAC at the address and or Bids must be received by the Procuring Entity’s BAC at the address and or
before the date and time indicated in the BDS. before the date and time indicated in the BDS. In case the deadline for
submission of bids fall on a non-working day duly declared by the president,
governor or mayor or other government official authorized to make such
declaration, the deadline shall be the next working day.
Instruction to Bidders Clause 31.3(a) Instruction to Bidders Clause 31.3(a)

Submission of the following documents within ten (10) calendar days from Submission of valid JVA, if applicable, the following documents within ten
Notice of Award: (10) calendar days from receipt of the Notice of Award;:

i) Valid JVA, if applicable; or i) Valid JVA, if applicable;
ii) In the case of procurement by a Philippine Foreign Office or Post, the ii) In the case of procurement by a Philippine Foreign Office or Post, the
PhilGEPS Registration Number of the winning foreign bidder; PhilGEPS Registration Number of the winning foreign bidder;
Section II
AMMENDMENT TO THE
5th EDITION OF THE PHILIPPINE BIDDING DOCUMENTS FOR THE PROCUREMENT OF GOODS
ORIGINAL AMENDED
Instruction to Bidders

20.4 All envelopes shall: x x x c) be addressed to the procuring Entity’s BAC in 20.4 All envelopes shall: x x x c) be addressed to the procuring Entity’s BAC in
accordance with ITB Clause 1.1; accordance with ITB Clause 21;
Bid Data Sheet
1.1 The Procuring Entity is [insert name of purchasing organization] 1.1 The Procuring Entity is [insert name of purchasing organization]
1.2 The name of the contract is [insert the name of the contract].
The name of the contract is [insert the name of the contract].
The identification number of the contract is [insert identification number of
The identification number of the contract is [insert identification number of the contract as provided in the Invitation to Bid]
the contract as provided in the Invitation to Bid]
The lot(s) and reference is/are: [insert name]
12.1(a) No further instructions. 12.1 No further instructions.

General Conditions of the Contract
10. Payments 10. Payments
10.1 xxx Ten percent (10%) of the amount of each payment shall be retained 10.1 xxx At least one percent (1%) but shall not exceed five percent (5%) of the
by the Procuring Entity to cover the Supplier’s warranty obligations under amount of each payment shall be retained by the Procuring Entity to cover the
this Contract as described in GCC Clause 17. Supplier’s warranty obligations under this Contract as described in GCC Clause
17.
17. Warranty 17. Warranty
17.3 xxx The obligation for the warranty shall be covered by, at the Supplier’s 17.3 xxx The obligation for the warranty shall be covered by, at the Supplier’s
option, either retention money in an amount equivalent to at least one option, either retention money in an amount equivalent to at least one
percent (1%) of every progress payment, or a special bank guarantee percent (1%) but shall not exceed five percent (5%) of every progress payment,
equivalent to at least one percent (1%) of the total Contract Price or other or a special bank guarantee equivalent to at least one percent (1%) but shall
such amount if so specified in the SCC. xxx not exceed five percent (5%) of the total Contract Price or other such amount if
so specified in the SCC. xxx
Section II
2016 REVISED IMPLEMENTING RULES AND REGULATIONS (IRR) OF REPUBLIC ACT (RA) NO. 9184
GPPB RESOLUTION NO. 21-2017
ORIGINAL AMENDED
Section 38.2 Section 38.2

The maximum periods and the recommended earliest possible The maximum periods and the recommended earliest possible time
time for action on specific procurement activities are provided for for action on specific procurement activities are provided for in
in Annex “C” of this IRR. In case the deadline for each activity falls Annex “C” of this IRR. In case the deadline for each activity falls on
on a non-working day (i.e. Saturday and Sunday), legal holiday, or a non-working day (i.e. Saturday and Sunday), legal holiday, or
special nonworking holiday, the deadline shall be the next special nonworking holiday, the deadline shall be the next working
working day. day.

However, for purposes of expediency, economy, and efficiency, as
determined by the BAC, specific procurement activities may be held
on a Saturday, Sunday, nonworking day or holiday: provided, that
the BAC, secretariat and TWG members shall be available on such
date, and the appropriate supplemental/bid bulletin is issued and
posted pursuant to the posting requirements embodied in section
22.5.3 of this IRR.
A man dressed in all black is
walking down a street. Suddenly, a
large black car without any lights
on comes round the corner and
screeches to a halt. How did the
car know he was there?
ANSWER:
It was day time.

STATEMENT OF ALL ONGOING CONTRACTS
(GOODS)
The Statement of All Ongoing Contracts and Statement of SLCC shall indicate,
for each contract, the following:
(1) name of the contract;
(2) date of the contract;
(3) contract duration
(4) owner’s name and address;
(5) kinds of Goods;
(6) amount of contract and value of outstanding contracts; and
(7) date of delivery.
*Statement of all ongoing contracts requirement is merely a “statement” of

all ongoing contracts. It refers to a “statement” to be made by the bidder
relative to all its ongoing and private contracts, and not the actual
submission of the physical NOA, NTP or contracts.
136
STATEMENT OF SINGLE LARGEST COMPLETED
CONTRACT (GOODS)
SLCC shall indicate, for each contract, the following:
(1) name of the contract;
(2) date of the contract;
(3) Contract duration;
(4) owner’s name and address;
(5) kinds of Goods;
(6) amount of completed contracts, adjusted by the Bidder to current
prices using PSA’s consumer price index, if necessary for the
purpose of meeting the SLCC requirement
(7) date of delivery; and
(8) end user’s acceptance or official receipt(s) or sales invoice* issued
for the contract, if completed, which shall be attached to the
statements.
137
2016 IRR AMENDMENTS
Amendment in the PBDs to conform with the 2016 IRR.
The first envelope shall contain the following eligibility and technical
documents:
(a) Eligibility Documents –
Class “A” Documents:
(i) PhilGEPS Certificate of Registration and Membership in
accordance with Section 8.5.2 of the IRR of RA 9184, except for
foreign bidders participating in the procurement by a Philippine
Foreign Service Office or Post, which shall submit their eligibility
documents under Section 23.1 of the IRR of RA 9184, provided,
that the winning bidder shall register with the PhilGEPS in
accordance with Section 37.1.4 of the IRR of RA 9184.
138
2016 IRR AMENDMENTS
Submission and Receipt of Bids
• The original copy of the bid form shall be typed or written in

ink and shall be signed by the bidder or its duly authorized
representative.
• Unsealed or unmarked bid envelopes shall be rejected.

However, bid envelopes that are not properly sealed and
marked, as required in the Bid Docs, shall be accepted,
provided that the bidder or its duly authorized representative
shall acknowledge such condition of the bid as submitted.
The BAC shall assume no responsibility for the misplacement
of the contents of the improperly sealed or marked bid, or for
its premature opening
139
ESSENTIAL CONTENTS
DEADLINE FOR THE SUBMISSION OF BIDS
NOTE:
• Bids must be received at the address and on or before the date and
time indicated in the BDS.
• Bids submitted after deadline shall be declared “LATE” and shall not
be accepted by the BAC.
• The BAC Secretariat shall notify in writing all bidders whose bids it
has received through its PhilGEPS-registered physical address or
official e-mail address. The notice shall be issued within seven (7)
cd from the date of the bid opening
140
ESSENTIAL CONTENTS
MODIFICATION OF BIDS
CAN BIDS BE MODIFIED?
• Bids may be submitted prior to and may be MODIFIED before the

deadline.
• To be instructed to submit another Bid equally sealed, properly
identified and linked to its original bid.
• Envelope marked as TECHNICAL / FINANCIAL Modification.
• No Bids may be modified after the deadline for submission and
receipt of Bids.
141
ESSENTIAL CONTENTS
WITHDRAWAL OF BIDS
CAN BIDS BE WITHDRAWN?
• Bids may be WITHDRAWN through a LETTER of WITHDRAWAL,

which must be received prior to the deadline for submission and
receipt of bids
• Withdrawing bidder NOT allowed to submit another Bid.
• For bids withdrawn within the interval between the deadline and
expiration of Bid validity, the Bid Security shall be FORFEITED
142
Section II
Original Amended
13. Documents Comprising the Bid: 13. Documents Comprising the Bid:
Financial Component Financial Component
13.1 Unless otherwise stated in the BDS, 13.1 The financial component of the bid
the financial component of the bid shall shall contain the following:
contain the following:
BID DATA SHEET (BDS)
Section III
Purpose
oThe BDS supplements the ITB as it provides

specific information on the procurement at
hand in relation to corresponding clauses in
the ITB.
BID DATA SHEET
NOTE:
• This section is intended to assist the Procuring Entity in

providing the specific information in relation to corresponding
clauses in the ITB
• It has to be prepared for each specific procurement.
• It should specified in the BDS the information and
requirements specific to the circumstances of the Procuring
Entity, the processing of the procurement, the applicable rules
regarding bid price and currency, and the bid evaluation
criteria that will apply to the bids.
145
BID DATA SHEET (BDS)
Section III
Original Amended
13.1 List any additional requirements or state 13.1 List any additional requirements or state
“No additional requirements.” “No additional requirements.”
15.4(b) Maintain the ITB Clause and state here 15.4(b)(i) Maintain the ITB Clause and state
“Not applicable”, “The price of the Goods shall here “Not applicable”, “The price of the Goods
be quoted DPP [state place of destination]”, or shall be quoted DPP [state place of
the applicable INCOTERMS for this Project. destination]”, or the applicable INCOTERMS for
this Project.
List here the incidental services that are 15.4(b)(ii) List here the incidental services that
required as part of the Bidder’s bid cross are required as part of the Bidder’s bid cross
referencing to the technical specifications and referencing to the technical specifications and
SCC as appropriate. SCC as appropriate.
If none, state “No incidental services are If none, state “No incidental services are
required.” required.”
GENERAL CONDITIONS OF
CONTRACT(GCC)
Section IV
Purpose
oProvide the standard terms and provisions of the
Contract applicable to all contracts in general,
without detailed information and data specific to the
contract at hand.
oThe GCC defines the contractual requirements and
obligations of both the Procuring Entity and the
merchant for the contract at hand.
oNOTE: The GCC shall remain unchanged.

CONTRACT(GCC)
Section IV
Content of GCC:  Delays in Supplier’s

 Procuring Entity’s Performance
Obligations  Liquidated Damages
 Supplier’s Obligations  Termination
 Performance Security  Settlement of disputes
 Subcontracting  Liability of Supplier
 Payment Terms and  Place, date, and time
Conditions for opening of bids
 Warranty Security  Assignment of rights
 Inspections and Tests  Contract amendment
CONTRACT(GCC)
Section IV (5th Edition of PBD)
Original Amendment
GCC Clause 23. Termination of GPPB Reso No. 07-2019 dtd.
Contract March 08, 2019
23.1 The Procuring Entity shall 23.1 The Procuring Entity may
terminate a contract for default when rescind or terminate a contract
any of the following conditions for default, without prejudice to
attends its implementation: other courses of action and
a) Outside force majeure, the remedies available under the
Supplier fails to deliver or perform circumstances when, outside
any or all of the Goods within the force majeure, the Supplier fails to
period(s) specified in the contract, or deliver or perform any or all of the
within any extension thereof granted Goods within the period(s) specified
by the Procuring Entity pursuant to a in the contract, or within any
request made by the Supplier prior to extension thereof granted by the
the delay, and such failure amounts Procuring Entity pursuant to a
to at least 10% of the contract price; request made by the Supplier prior to
CONTRACT(GCC)
Section IV (5th Edition of PBD) (NEW)
Original Amendment
GCC Clause 23.2 Termination of GPPB Reso No. 07-2019 dtd.
b) As a result of force majeure, the 23.2 The Procuring Entity may
Supplier is unable to deliver or terminate the contract when, as
perform any or all of the Goods, a result of force majeure, the
amounting to at least 10% of the Supplier is unable to deliver or
contract price, for a period of not perform any or all of the Goods
less than sixty (60) calendar days amounting to at least 10% of the
after receipt of the Notice from the contract price, for a period of not
Procuring Entity stating that the less than sixty (60) calendar days
circumstance of force majeure is after receipt of the Notice from the
deemed to have ceased: or Procuring Entity stating that the
circumstance of force majeure is
deemed to have ceased ;
CONTRACT(GCC)
Section Original
IV (5th Edition of PBD) (NEW)
Amendment
GCC Clause 23.3 Termination of GPPB Reso No. 07-2019 dtd.
c) The Supplier fails to perform 23.3 The Procuring Entity
ant other obligation under the shall terminate the contract
Contract. when, the Supplier fails to
perform any other obligations
under the Contract.
GCC Clause 23.4
23.2 23.4
GCC Clause 23.5
23.3 23.5
CONTRACT(GCC)
Section IV (5th Edition of PBD)
Original Amendment
GCC Clause 19. Liquidated Damages GPPB Reso No. 07-2019 dtd.
March 08, 2019
Subject to GCC Clause 18 and 22, if the Supplier Subject to GCC Clause 18 and 22, if the Supplier
fails to satisfactorily deliver any or all of the fails to satisfactorily deliver any or all of the Goods
Goods and/or perform the Services within the and/or perform the Services within the period(s)
period(s) specified in this Contract, inclusive of specified in this Contract, inclusive of duly granted
duly granted time extensions if any, the time extensions if any, the Procuring Entity shall,
Procuring Entity shall, without prejudice to its without prejudice to its other remedies under this
other remedies under this Contract and under Contract and under applicable law, deduct from
applicable law, deduct from the Contract Price, the Contract Price, as liquidated damages, the
as liquidated damages, the applicable rate of applicable rate of one tenth (1/10) of 1% of the
one tenth (1/10) of 1% of the cost of the cost of the unperformed portion for every day of
unperformed portion for every day of delay until delay until actual delivery or performance. The
actual delivery or performance. The maximum maximum deduction shall be 10% of the amount
deduction shall be 10% of the amount of of contract. Once the maximum is reached,
contract. Once the maximum is reached, the amount of liquidated damages reaches
Procuring Entity may rescind or terminate the 10%, the Procuring Entity may rescind or
Contract pursuant to GCC Clause 23, without terminate the Contract pursuant to GCC Clause
prejudice to other course of action and 23, without prejudice to other course of action
remedies open to it. and remedies open to it.
ANNEX “I” OF THE 2016 R-IRR OF RA
9184 OR GUIDELINES ON
TERMINATION OF CONTRACT
CONDITIONS Original OF CONTRACT(GCC) Amendment
Section IV (5th for
Item III(A). Termination
Edition
Default
ofGPPB
PBD)
Reso No. 07-2019 dtd.
March 08, 2019
In contracts for Goods In contracts for Goods
The Procuring Entity shall terminate a The following are grounds for
contract for default when any of the termination of contract for default:
following conditions attend its
implementation: a) Pursuant to Sec. 68 of the 2016 R-
IRR, the Procuring Entity may
a) Outside force majeure, the Supplier terminate the contract when outside
fails to deliver or perform any or all of force majeure, the Supplier fails to deliver
or perform any or all of the Goods within
the Goods within the period(s) specified
the period(s) specified in the contract, or
in the contract, or within any extension
within any extension thereof granted by
thereof granted by the Procuring Entity the Procuring Entity pursuant to a request
pursuant to a request made by the made by the Supplier prior to the delay,
Supplier prior to the delay, and such and such failure amounts to at least 10%
failure amounts to at least 10% of the of the contract price;
contract price;
CONTRACT(GCC)
Original Amendment
Item III(A). Termination of GPPB Reso No. 07-2019 dtd.
b) As a result of force majeure, the b) Pursuant to Sec. 68 of the
Supplier is unable to deliver or 2016 R-IRR, the Procuring
perform any or all of the Goods, Entity may terminate the
amounting to at least 10% of the contract when, as a result of force
contract price, for a period of not majeure, the Supplier is unable to
less than sixty (60) calendar days deliver or perform any or all of the
after receipt of the Notice from the Goods amounting to at least 10% of
Procuring Entity stating that the the contract price, for a period of not
circumstance of force majeure is less than sixty (60) calendar days
deemed to have ceased: or after receipt of the Notice from the
Procuring Entity stating that the
circumstance of force majeure is
deemed to have ceased ;
CONTRACT(GCC)
Original Amendment
Item III(A). Termination for GPPB Reso No. 07-2019 dtd.
Default March 08, 2019
c) The Supplier fails to perform c) The Procuring Entity shall
ant other obligation under the terminate the contract when,
Contract. the Supplier fails to perform any
other obligations under the
Contract.
SPECIAL CONDITIONS OF
CONTRACT (SCC)
Section V
Purpose:
Provide contract-specific information in relation

to corresponding clauses in the GCC.
The SCC shall specify contractual requirements

linked to the special circumstances of the
Procuring Entity and of works procured.
SPECIAL CONDITIONS OF
CONTRACT (SCC)
Section V
Content of SCC:
oIntended completion date
oStart date
oTerms and conditions of delivery
oInspection and Tests
No special condition which defeats or

negates the general intent of the GCC
should be incorporated in the SCC.
GCC and SCC
PROCURING ENTITY’S RESPONSIBILITIES
 PE to make best effort to assist the Supplier in obtaining

permits, approvals, import, and other licenses required for the
performance of the obligations in the Contract.
 PE shall pay all costs involved in the performance of its

responsibilities.
158
GCC and SCC
PRICES
 All bid prices are considered fixed prices, and therefore not
subject to price escalation during contract implementation,
except under extraordinary circumstances and upon prior
approval of the GPPB in accordance with Section 61 of R.A.
9184 and its IRR or except as provided in this Clause.
159
GCC and SCC
INSPECTION AND TESTS
 PE or its representative has the right to inspect and/or test the

GOODS at no extra cost in order to confirm their conformity to
the Contract specifications.
 SCC specifies what inspections and/or tests the PE requires
 If applicable, inspections and tests may be conducted on the
premises of the Supplier or its subcontractor(s), at point of
delivery, and/or at the GOODS’ final destination.
 PE may reject any GOODS or any part thereof that fail to pass
any test and/or inspection or do not conform to the
specifications.
160
GCC and SCC
INSPECTION AND TESTS
 Supplier to rectify or replace such rejected GOODS or parts

thereof or make alterations necessary to meet the
specifications, and shall repeat the test and/or inspection at
no cost to the PE.
 Supplier agrees that neither the execution of a test and/or
inspection of the Goods or any part thereof, nor the
attendance by the PE or its representative, shall release the
Supplier from any warranties or other obligations under this
Contract.
161
GCC and SCC
DELAYS IN THE SUPPLIER’S PERFORMANCE
 Delivery of Goods and/or performance of Services shall be made in

accordance with the Section VI. Schedule of Requirements.
 In case of perceived delay, Supplier shall promptly Notify the Procuring
Entity in writing, together with its likely duration and causes.
 Except as provided under GCC Clause 22, a delay by the Supplier in the
performance of its obligations shall render the Supplier liable to the
imposition of liquidated damages pursuant to GCC Clause 19, unless
an extension of time is agreed upon pursuant to GCC Clause 29
without the application of liquidated damages.
162
GCC and SCC
FORCE MAJEURE
 Winning Bidder is not liable for delay in performance or other
failure to perform obligations under the Contract if such is
caused by force majeure.
 “Force majeure” and “fortuitous event” interpreted to mean an
event which the Winning Bidder could not have foreseen, or
which though foreseen, was inevitable.
 Does not include conditions the effects of which could have
been avoided with the exercise of reasonable by the Winning
Bidder.
 Winning Bidder to promptly notify the PE if a force majeure
situation arises.
163
SCHEDULE OF REQUIREMENTS
Section VI
Purpose:
Provides the delivery schedule expressed as

weeks/months or a delivery date which is the
date of delivery to the project site
Section VII
Purpose:
o Provide prospective bidders a clear, accurate and full
description of the Procuring Entity’s needs to enable
them to propose a solution to meet these needs.
Includes the standards that need to be met by the
supplier of the goods to be manufactured and services
to be rendered as set by the End User Unit in terms of
the physical, functional, performance, environmental
interface and design requirements.
o Also includes the testing parameters for goods, when
such testing is required in the contract.
Section VII
Factors to be Considered in Crafting

Technical Specifications:
oThe Specs shall reflect the necessary requirements.

o The Specs should promote the broadest possible
competition in procurement, while assuring the quality,
integrity and performance of the goods and services to
be provided
TECHNICAL
SPECIFICATIONS
Factors to be Considered in Crafting Technical
Specifications: (Cont…)
oAs far as possible, the End User Unit/TWG should

specify standards that are internationally or nationally
acceptable.
oThe Specs should require that all goods and materials
to be incorporated in the Works be new, unused, and
of the most recent or current applicable models, and
incorporate all recent improvements in design and
materials unless provided otherwise in the Contract.
oThe Specs should ensure that they are not restrictive
or tailored to specific brands.
BIDDING FORMS
Section VIII
Purpose:
Provides the required forms to be used by the

prospective bidders.
BIDDING FORMS
Section VIII
“Amendments to the Philippine Bidding Documents for the Procurement of
Goods”
Original Amended
xxx xxx
We agree to abide by this Bid for the We agree to abide by this Bid for the
Bid Validity Period specified in the Bid Validity Period specified in the
BDS provision for ITB Clause 18.2 BDS provision for ITB Clause 17.1
and it shall remain binding upon us and it shall remain binding upon us
and may be accepted at any time and may be accepted at any time
before the expiration of that period. before the expiration of that period.
STANDARD RATES OF PBDs
Approved Budget for the Contract Maximum Cost of Bidding

(in Philippine Peso) Documents (in Philippine
Peso)
500,000 and below 500.00

More than 500,000 up to 1 Million 1,000.00
More than 1 Million up to 5 Million 5,000.00
More than 500 Million 75,000.00
• Bidding Documents Fee may be refunded if there is failure of

bidding based on the grounds provided for under Section 41 of RA
9184 and its IRR
170
ACTIVITIES IN
COMPETITIVE
BIDDING
SECTION 10 OF
R.A. 9184
ALL PROCUREMENT SHALL BE DONE

THROUGH COMPETITIVE BIDDING,
EXCEPT AS PROVIDED IN RULE XVI
THE IRR (ALTERNATIVE METHOD OF
PROCUREMENT).
COMPETITIVE BIDDING
WHAT IS COMPETITIVE BIDDING?

It is a method of procurement which is open to
participation by any interested party and which consists
of the following processes: advertisement, pre-bid
conference, eligibility screening of prospective bidders,
receipt and opening of bids, evaluation of bids, post-
qualification, and award of contract. (Section 5(h), IRR of
RA 9184)
173
COMPETITIVE BIDDING
Municipal Order requiring an accreditation process for

Bidders as a condition precedent for their participation in
procurement activities of the local government unit runs
counter RA 9184 and its IRR as it would limit the
participation of bidders only to those accredited suppliers,
to the exclusion and prejudice of other bidders in the
market, it in fact contravenes the very basic principles of
competitive bidding.
NPM 80-2014
174
COMPETITIVE BIDDING
PROCESS (GOODS)
Advertisement/
Pre-Procurement Conference Pre-Bid Conference
Posting
Opening of Technical Proposal Opening of Financial

Bid Submission
(Incl. Eligibility) Proposal
Bid Evaluation Post-Qualification Contract Award

PRE-PROCUREMENT
CONFERENCE
Purpose: Determine the readiness of the procurement
Conducted prior to advertisement/posting of the Invitation to Bid
Mandatory for projects with ABC above PhP2M
Attended by the following:

a) BAC
b) BAC Secretariat
c) TWG
d) Consultants
e) End-user unit/Other officials
PRE-PROCUREMENT
CONFERENCE
Agenda: cont…
oAgree on criteria for eligibility screening,
evaluation of bids, and post-qualification.
oAdopt procurement schedule.
oEmphasize confidentiality, and applicable
sanctions and penalties.
oEnsure that requirements for goods and services
are in accordance with the ABC
oFinalize and approve IB.
REFERENCE TO BRAND NAMES
Sec. 18 of RA 9184 and its IRR

 The prohibition applies to the procurement of goods,
and goods component of Infrastructure Projects and
Consulting Services.
 Specifications should be based on relevant

characteristics, functionality and performance
requirements, except for items or parts that are compatible
with the existing fleet or equipment of the same make and
brand, and to maintain the performance, functionality and
useful life of the equipment.
178
 Prohibition includes reference to country of origin

pursuant to Sec. 43.1.1 of the IRR of RA 9184.
- PEs are precluded from requiring specific country of
origin as part of the technical specifications for the
project.
- Specifications shall be based on the performance
requirements and recognized industry standards and
not on the basis of country of origin.
NPM 22-2013
179
ADVERTISEMENT/POSTING
OF INVITATION TO BID
Importance:
Signals the start of the bidding process
Signals the availability of the bidding

documents to the prospective bidders
Advertise IB at least once in a newspaper of general

nationwide circulation which has been regularly published for
at least two (2) years before advertisement date for contracts
with ABC of more than PhP10M
- 2 years after the effectivity of the 2016 Revised IRR,
advertisement in a newspaper of general circulation shall no
longer be required
- THIS IS NO LONGER REQUIRED EFFECTIVE OCT. 29,
2018 (GPPB Circular 08-2018 dtd. Oct. 8, 2018)
Post IB continuously on the following websites,

for 7 cal days starting on date of advertisement:
oDPWH website www.dpwh.gov.ph
oPhilGEPS website www.philgeps.gov.ph
Also post the BDs on the two websites.
Post IB at any conspicuous place in premises of
the Procuring Entity for 7 calendar days starting
on date of advertisement.
ADVERTISEMENT/POSTING OF
INVITATION TO BID
Above 2M 10M for 2M 10M and below
Medium
Goods for Goods
Newspaper of General Nationwide

Circulation  
PhilGEPS website
 
PE’s Website, if available
 
Conspicuous Place  
Website prescribed by the foreign
government/foreign or international funding
institution, in case of foreign funded
procurement  
183
Charging of Fees
Reference: NPM-68-2013
Decision in charging fees for bidding documents, whether for the first bidding or any
subsequent re-bidding, depends upon the procuring entity, taking into account the need to
recover the cost of its preparation and development vis-à-vis the effects in competition and
participation of bidders.
However, fees must conform with the standard rates for the sale of bidding documents under GPPB
Res. No. 04-2012, which took effect on 4 September 2012.
NPM-51-2014 Sale of bidding Documents in case of re-bidding

Sec 17.4 of the IRR of RA 9184 provides that the bidders may be requested to pay for the Bidding
Documents to recover the cost of its preparation and development.
The decision to charge bidders for the payment of Bidding Documents, whether for the first bidding or
any a subsequent re-bidding, depends upon the PE, taking into account the need to recover the cost of
its preparation and development vis-à-vis the effects on competition and participation of bidders
Payment for the 2nd Bidding
Reference: NPM 163-2013
Where there was a failure of bidding for the first time, the
decision of charging fees for the Bidding Documents for the
subsequent re-bidding depends upon the discretion of the
procuring entity, taking into account the need to recover the
cost of its preparation and development vis-à-vis the effects on
competition and participation of bidders.
The preparation and development of the revised Bidding Documents
may entail upon the procuring entity another set of cost and
expenses. Based on these costs and expenses, procuring entities
may deem it necessary to charge bidders anew for the purpose of
recovering the costs for its development and preparation
NPM 83-2014 Sale of Bidding Documents in Negotiated
Procurement through Emergency Cases
The Guidelines on the Sale of Bidding Documents do not apply to all
alternative modalities, but only to those that adopt processes and
procedures akin to competitive bidding, such as Limited Source
Bidding under section 49 and negotiated Procurement Under
section 53.1 (Two-failed Biddings) of the IRR of RA 9184.
The Guidelines finds no application for acquisition, through negotiated
procurement under Emergency Case modality. Thus, procuring entities
are allowed to directly negotiate with a legally, technically, and
financially capable supplier or contractor for the procurement of the
goods, works, and/or consulting services, provided that the required
conditions, parameters or instances are present.
ISSUANCE OF
BIDDING DOCUMENTS
(BDs)of BDs
Availability
 BDs must be made available to prospective bidders
from the time the IB is first advertised or posted until
the deadline for submission and receipt of bids.
 The Procuring Entity shall issue hard copies of the BDs
to prospective bidders, upon payment of the fee.
 Prospective bidders, as well as other interested parties,
may download the BDs from the DPWH and PhilGEPS
websites starting on the first day of advertisement of
the IB. They shall pay the fee for the BDs when they
submit their bids to the BAC.
PRE-BID CONFERENCE
(PBC)
Required for contracts with ABC of at least P1M.
Time: At least 12 days before deadline for bids
submission, but not earlier than 7 days after posting of
IB.
Attendance: Open to prospective bidders, but
attendance is not mandatory.
*Pre-Bid Conference may be conducted in person or face-to-face through video
conferencing, webcasting or similar technology, or a combination thereof.
Procuring Entities with videoconferencing capabilities that have manufacturers,
suppliers, distributors, contractors and/or consultants that also have
videoconferencing capabilities may conduct their pre-bidding conferences
electronically.
PRE-BID CONFERENCE
 May be held at least 30 cd before the deadline for the
submission and receipt of bids considering the following:
a) Method, nature, and complexity of contract

b) International participation is more advantageous
 The pre-bid conference shall discuss, clarify and explain,

among other things, the eligibility requirements and the
technical and financial components of the contract to be
bid including questions and clarifications raised by the
prospective bidders before and during the Pre-Bid
Conference. (Sec. 22.3, IRR of RA 9184)
189
PRE-BID CONFERENCE
 Section 22 affords bidders the opportunity to raise

concerns or clarifications on the requirements, terms,
conditions, and specifications stipulated in the bidding
documents for the contract to be bid.
 Questions or clarifications pertaining to the matters that

may be discussed during the pre-bid conference must
be raised at least ten (10) cd before the deadline set for
the submission and receipt of bids.
NPM 49-2013
190
CLARIFICATION OF BIDDING
DOCUMENTS
 Supplemental/Bid Bulletins– issued by BAC to answer
requests for clarification (query submitted 10 cd before
deadline) or interpretation, and upon BAC’s initiative to
clarify or modify any provision of Bidding Docs. (at least
7 cd before deadline for bids).
 Posted in PhilGEPS and PE’s website, and at any

conspicuous place within the premises of the Procuring Entity.
(Sec. 22.5.3, 2016 IRR of RA 9184)
 Bidders who have submitted bids before issuance of

Supplemental/Bid Bulletin must be informed in writing
and allowed to modify or withdraw their respective bids
191
ADDITIONAL REQUIREMENTS
 PE cannot compel prospective bidders or the winning bidder to

submit or comply with requirements not initially provided in the
Bidding Documents or through any Supplemental/Bid Bulletin
issued by the PE for the project that must be posted at the
PhilGEPS’ and the PE’s website.
 If no Supplemental/Bid Bulletin is issued to reflect changes in the

Bidding Documents, or even if the same was issued but not posted
at the PhilGEPS’ and PE’s websites, the original provisions
contained in the Bidding Documents remain and the prospective
bidder, including the winning bidder cannot be compelled to abide
or comply with the changes made by the PE.
NPM 24-2013
192
PRE-BID CONFERENCE
(PBC)
Sec. 22.1 of the IRR of RA 9184 provides that at least one
(1) pre-bid conference should be conducted by the
procuring entity for projects costing at least Php 1 Million,
in order to afford prospective bidders the opportunity to
inquire on or clarify any of the requirements, terms,
conditions, and specifications stipulated in the Bidding
Documents.
Failure to conduct a pre-bid conference for the Project

amounts to a violation of a mandatory provision of law,
which will render the procurement activity void under Art. 5
of the Civil Code of the Philippines.
PRE-BID CONFERENCE
(PBC)
GPPB Circular 02-2018 dated March 9, 2018
Conduct of Pre-Bid Conference
Maximize the conduct of Pre-Bid Conference
- initiate the discussion on the requirements of the project

- discuss common reasons for bidders disqualifications
- entertain questions from bidders who purchased or not
bid docs
- post the Minutes of the Pre-Bid Conference in the
procuring entity’s website (within 5 days after the
conduct of the activity)
SUPPLEMENTAL/BID
BULLETINS
Supplemental Bulletin
 BAC may issue a Supplemental
Bulletin to amend BDs at least
7 cd before the deadline for
receipt of bids (IRR Sec.
22.5.1).
SUPPLEMENTAL/BID
BULLETINS
Bid Bulletin
 BAC may also issue a Bid Bulletin to clarify any
provision of the BDs in response to a request
from prospective bidders at least 10 cd before
the deadline for the receipt of bids (IRR Section
22.5.1).
 BAC may, at its own initiative, also issue a Bid
Bulletin to clarify any provision of the BDs.
 In all cases, the Bid Bulletin shall be issued at least

7 cd before the deadline for the receipt of bids.
(IRR Section 22.5.2).
SUPPLEMENTAL/BID
BULLETINS
Pre-Bid Conference
Section 22.5
Request for clarifications or interpretations on the bid documents must be in
writing and submitted at least 10 cds before deadline of submission
and receipts of bids.
A Procuring Entity must issue a Supplemental Bid Bulletin at least 7 cds
before deadline of submission and receipt of bids in response to
clarifications from the PE arising from the pre-bid conference.
Supplemental/Bid Bulletin posted on the Philgeps and website of the PE.
Responsibility of the bidders to inquire and secure Supplemental/Bid Bulletin.
BUT, bidders who have submitted bids before issuance of Supplemental/Bid
Bulletin must be informed in writing and allowed to modify or withdraw their
bids
A truck driver is going down
a one way street the wrong
way, and passes at least ten
cops. Why is he not caught?
Answer:
Because he was not driving!

He’s walking on the
sidewalk.
SUBMISSION AND
RECEIPT OF BIDS
Re-scheduling of bid opening (due to justifiable
reasons, i.e lack of quorum, cancellation of office
work due to bad weather)
In case the bids cannot be opened as scheduled due to

justifiable reasons, the BAC shall take custody of the bids
submitted and reschedule the opening of bids on the next
working day or at the soonest possible time through
the issuance of a Notice of Postponement to be
posted in the PhilGEPS website and the website of the PE
(Sec. 29, 2016 IRR of RA 9184)
200
SUBMISSION AND
RECEIPT OF BIDS
 Two-Envelope System
 1st Envelope – Eligibility Requirements and Technical Component
 2nd Envelope – Financial Component
 Submitted to the BAC on the date, time, and place specified in the Invitation
to Bid. Bids submitted after the deadline should not be accepted.
 Date of submission should not be later than the following period from the
last day of posting of the Invitation to Bid (Sec. 25.4) (Sec. 25.5, 2016 IRR of
RA 9184)
Category Maximum Period (cd)

Goods 45
201
SUBMISSION AND
RECEIPT OF BIDS
Bidders are no longer required to submit a written
LOI together with their application for eligibility as
previously required in IRR Part A of RA 9184.
NPM 101-2013
Bidders only have to submit their bids not later than the
deadline for the submission and receipt of bids, which can
be extended or rescheduled together with the opening of
bids as provided in Section 29 of the IRR of RA 9184.
NPM 55-2013
202
OPENING AND EVALUATION OF
1ST ENVELOPE
CONTENTS:
1. Eligibility requirements (Legal, financial and technical)
2. Bid Security
3. Technical specifications (Goods) / Project requirements
(Infra)
4. Omnibus sworn statement (New Form, Sec. 25.3, 2016 IRR)
 Non-inclusion in blacklist  Responsibilities of bidders
 Authenticity of documents  Labor laws and standards
 Verification authority  Non-payment (directly or
indirectly) any commission,
 Signatory’s authority amount, fee, or any form of
 Disclosure of relations consideration in relation to
any procurement project or
activity
203
1ST ENVELOPE
 Section 30 requires that the preliminary examination of
bids be conducted by merely checking for the presence
or absence of documentary requirements using a non-
discretionary “pass/fail” criterion.
 However, the BAC has the right to review the

qualifications of a bidder during the same stage if it
has reasonable grounds to believe that a
misrepresentation has been made or there has been
changes in the bidder’s capability to undertake the
project.
NPM 54-2013
204
1ST ENVELOPE
BAC should open a reconsidered bid under the same

circumstances as it opened the bids that were not
disqualified, i.e., upon a duly scheduled opening of bid
with proper notices to the concerned entities.
NPM 69-2013
205
1ST ENVELOPE
To ensure transparency and accurate representation of the bid

submission, the BAC Secretariat shall notify in writing all
bidders whose bids it has received through its PhilGEPS-
registered physical address or official e-mail address. The
notice shall be issued within seven (7) cd from the date of the bid
opening. (Sec. 25.7, 2016 IRR of RA 9184)
206
1ST ENVELOPE
 Original copy of bid form shall be typed or written in ink

and shall be signed by the bidder or its duly authorized
representative (Sec. 25.8, 2016 IRR of RA 9184)
 Unsealed or unmarked bid envelopes shall be rejected.

However, bid envelopes that are not properly sealed and
marked, as required in the Bidding Documents, shall be
accepted, provided that the bidder or its duly authorized
representative shall acknowledge such condition of the bid as
submitted. The BAC shall assume no responsibility for the
misplacement of the contents of the improperly sealed or marked
bid, or for its premature opening. (Sec. 25.9, 2016 IRR of RA
9184)
207
ELIGIBILITY REQUIREMENTS
Requirements Under 2009 IRR of RA 9184

GOODS
Class A Documents
LEGAL:
1. DTI/SEC/CDA Registration
2. Mayor’s permit or equivalent document for Exclusive Economic Zones or
Areas
3. Tax clearance per Executive Order 398, series of 2005, as finally reviewed
and approved by the BIR.
208
GOODS
TECHNICAL:
1. Statement of all ongoing contracts.
2. Statement of SLCC
FINANCIAL:
1. Audited financial statement
2. NFCC computation
Class B Document
JVA or notarized statement from the partners that they will enter into joint
venture if awarded the contract.
209
Submission of PhilGEPS Certificate of Registration and

Membership in lieu of the Class “A” eligibility documents under
Sections 23.1(a) and 24.1(a)
Section 8.5.2, 2016 IRR of RA 9184 - All bidders shall upload and
maintain in PhilGEPS a current and updated file of the following
Class “A” eligibility documents under Sections 23.1(a) and 24.1(a):
a) Registration Certificate;
b) Mayor’s/Business Permit or its Equivalent Document;
c) Tax Clearance;
d) Philippine Contractors Accreditation Board (PCAB) license and
registration; and
e) Audited Financial Statements.
210
GPPB Circular 03-2016, dated 27 October 2016
The implementation of the mandatory submission of

PhilGEPS Certificate of Registration and Membership
under Platinum category for Competitive Bidding has
been deferred to May 1, 2017. From 28 October
2016 until 30 April 2017, bidders may still submit
their Class “A” Eligibility Documents under Sections
23.1(a) and 24.1(a).
211
GPPB Resolution No. 26-2017, dated 31 July

2017
The implementation of the mandatory submission
of PhilGEPS Certificate of Registration and
Membership under Platinum category for
Competitive Bidding has been deferred until
further notice. The Resolution also clarifies
the PhilGEPS Requirement for Alternative
Methods of Procurement.
212
GPPB Circular 07-2017, dated 31 July 2017
1. All procurement projects advertised and/or posted after
the effectivity of the Circular, bidders may still submit their
Class “A” Eligibility Documents required to be uploaded and
maintained current and updated in the PhilGEPS pursuant
to Section 8.5.2 of the 2016 Revised IRR, or if already
registered in the PhilGEPS under Platinum Category, their
Certificate of Registration and Membership in lieu of their
uploaded file of Class “A” Documents, or a combination
thereof. In case the bidder opted to submit their Class “A”
Documents, the Certificate of PhilGEPS Registration
(Platinum Membership) shall remain as a post-qualification
requirement to be submitted in accordance with Section
34.2 of the 2016 Revised IRR of RA 9184.
213
GPPB Circular 07-2017, dated 31 July 2017
2. For all procurement projects advertised and/or posted
starting May 01, 2017 until the effectivity of the Circular
(01 September 2017), procuring entities and bidders are
bound to observe the mandatory submission of their
PhilGEPS Certificate of Regitration under Platinum Category
in lieu of the Class “A” Documents required to be uploaded
and maintained current in the PhilGEPS, and
3. In cases where the advertisements or invitations for bids
were issued prior to May 01, 2017, Procuring Entities may
still allow bidders to submit either their Class “A”
Documents or the PhilGEPS Certificate of Registration under
the Platinum Category, or a combination thereof.
214
A man wanted to work, but he could not
log in to his computer terminal successfully.
He tried twice, but still his password did
not work. He suddenly remembered that
the passwords are reset every month for
security purposes. So, he called his boss
and said, “Hey boss, my password is out of
date.”
His boss replied, “Yes, that’s right. The
password is different. Listen carefully. I am
sure, you can figure out the new one. The
new one has the same amount of letters as
your old password, but only four of the
letters are the same.””Thanks boss.”With
that, the man could correctly log into his
station. What are both the new and old
passwords?
215
Answer:
The old one was “out
of date.” The new one
is “different.” Both
passwords contain
the letters d, f, e, and
t.
216
2017-12-29
NPM No. 147-2017 Requesting Entity: MUNICIPALITY OF SAN ISIDRO
Issues Concern: GPPB Circular No. 07-2017
Details: Clarification on Section 4.1.1 of GPPB Circular No. 07-2017 specially its last sentence
which states:
In case the bidder opted to submit their Class “A” Documents, the Certificate of Registration
(Platinum Membership) shall remain as a post-qualification requirement to be submitted in
accordance with Sections 34.2 of the 2016 revised Implementing Rules and Regulations (IRR)
of Republic Act (RA) No. 9184.
[F]or all procurement projects advertised and/or posted on 2 September 2017 onwards, a bidder may submit
their Class “A” Eligibility Documents in lieu of the PhilGEPS Certificate of Registration and Membership, if it
has not yet obtained a Platinum Membership; or if already registered under Platinum category, their PhilGEPS
Certificate of Registration and Membership in lieu of the uploaded file of Class “A” Documents, or a
combination thereof, in the event that some Class “A” documents earlier submitted with PhilGEPS already
expired, but a renewal thereof had already been secured. In case the bidder submits only its Class “A”
Documents, the PhilGEPS Certificate of Registration and Membership (Platinum Membership) shall still be
submitted as part of the post-qualification documents required under Section 34.2 of the 2016 IRR of RA
9184.
In view of the foregoing, we wish to clarify that the last sentence of Section 4.1.1 of the GPPB Circular allows
the bidder, for purposes of bid submission, to submit only its Class “A” Documents without requiring its
PhilGEPS Certificate of Registration and Membership (Platinum Membership). We wish to stress, however,
that the requirement of the PhilGEPS Certificate of Registration is not completely dispensed with as the same
shall still be required to be submitted by the bidder during the post-qualification period.
217
Submission of PhilGEPS Certificate of

Registration and Membership
 For foreign bidders participating in the procurement

by a Philippine Foreign Service Office or Post, they
shall submit their eligibility documents under
Section 23.1, 2016 IRR of RA 9184. Provided, that
the winning bidder shall register with the
PhilGEPS in accordance with Sec. 37.1.4 of the
2016 IRR of RA 9184.
218
Requirements Under 2016 IRR of RA 9184
GOODS
Class A Documents
LEGAL:
1. PhilGEPS Certificate of Registration and Membership (Also represents AFS in
addition to legal documents)
TECHNICAL:
1. Statement of all ongoing contracts.
2. Statement of SLCC
FINANCIAL:
1. NFCC computation or committed Line of Credit
219
GOODS
Class B Document
JVA or notarized statement from the partners that they will enter into
joint venture if awarded the contract.
220
MAYOR’S PERMIT
 Mayor’s Permit allows an entity to legally perform the

requirements and obligations of the project and the
resultant contract.
 Recently expired Mayor’s/Business permit shall be

accepted together with the official receipt as proof that
the bidder has applied for renewal within the period
prescribed by the concerned local government unit: Provided,
that the renewed permit shall be submitted as a post-
qualification requirement in accordance with Sec. 34.2 of
the 2016 IRR of RA 9184
221
TAX CLEARANCE
 EO 398 specifically requires the submission of Tax

Clearance issued by the BIR. It refers to the clearance
issued by the Collection Enforcement Division of BIR
attesting that the bidder has no outstanding Final
Assessment Notice and/or delinquent account.
 Hence, submission of tax clearance of the previous year

and application for tax clearance cannot be considered
as compliance.
NPM 02-2013
222
TAX CLEARANCE
 EO 398 requires that a bidder should not have any tax

liability with the government from the time of
submission of its bid up to the time of contract award.
 In the event that the submitted Tax Clearance expires

prior to award of contract, the bidder is obligated to
renew and update its Tax Clearance.
NPM 02-2016
223
TAX CLEARANCE
 Submission of BIR receipt for renewal of Tax Clearance

will not suffice in lieu of a valid Tax Clearance
Requirement since substitution is not allowed under
Section 34.2 of the IRR of RA 9184.
 Submission of Provisionary Tax Clearance issued by the

BIR for bidding purposes is not acceptable form of Tax
Clearance. (GPPB Resolution No. 01-2014)
224
TAX DELINQUENCY VERIFICATION
CERTIFICATE
Tax Delinquency Verification Certificate cannot be used

as a replacement thereto, except for Non-Resident Foreign
Corporations (NRFC) and Non-Resident Alien Not
Engaged in Trade or Business (NRANETB).
NPM 39-2014
225
COMMITTED LINE OF CREDIT
 In the case of procurement of Goods, a bidder may opt to

submit a committed Line of Credit (CLC) from a universal or
commercial bank, in lieu of its NFCC computation. (Sec. 23.1
(a) (viii), 2016 IRR of RA 9184)
 If the bidder submits a CLC, it must be at least equal to ten

percent (10%) of the ABC to be bid: Provided, that if the same
is issued by a foreign Universal or Commercial Bank, it shall be
confirmed or authenticated by a local Universal or Commercial
Bank.
226
NET FINANCIAL CONTRACTING
CAPACITY (NFCC)
 For goods and infrastructure projects, the NFCC’s K factor

shall be fixed at 15, regardless of contract duration
 The values of the domestic bidder’s current assets and current

liabilities shall be based on the latest Audited Financial
Statements submitted to the BIR .
 For purposes of computing the foreign bidder’s NFCC, the

value of the current assets and current liabilities shall be based
on their Audited Financial Statements prepared in
accordance with international financial reporting
standards.
227
STATEMENT OF ON GOING AND
COMPLETED CONTRACTS
 Statement of the prospective bidder of all its ongoing
government and private contracts, including contracts
awarded but not yet started, if any, whether similar or not
similar in nature and complexity to the contract to be bid.
(Sec. 23.1(a)(iv), IRR of RA 9184)
 For the procurement of Goods, the statement identifying

the bidder’s single largest completed contract similar to
the contract to be bid, except under conditions provided
for in Section 23.5.1.3 Section 23.4.1.3 of this IRR, must be
within the relevant period as provided in the Bidding
Documents.
228
ELIGIBILITY REQUIREMENTS FOR
FOREIGN BIDDERS
In the case of foreign bidders, appropriate equivalent
documents issued by the country of the foreign bidder
under Class “A” Documents shall be submitted, provided
that:
 The documents are in English, or
 If the documents submitted are in a foreign language
other than English, it must be accompanied by a
translation of documents in English by any of the
following:
a) relevant foreign government agency;
b) the foreign government agency authorized to
translate documents, or
c) a registered translator in the foreign bidder’s
country.
229
FOREIGN BIDDERS
 Shall be authenticated by the appropriate Philippine
foreign service establishment/post or the equivalent
office having jurisdiction over the foreign bidder’s affairs
in the Philippines.
 Only upon actual determination and confirmation of this

equivalence through post qualification by the BAC may
it be categorically resolved that the foreign documents
submitted are acceptable substitutes of the required
eligibility documents pursuant to Section 23.2 of the IRR.
(NPM 42-2013)
230
FOREIGN BIDDERS
 TAX CLEARANCE FOR FOREIGN BIDDERS
A Delinquency Verification Certificate issued to Non-

Resident Foreign Corporations (NRFC)/Non-Resident
Aliens Not Engaged in Trade or Business (NRANETB)
pursuant to BIR RR 3-2005, attesting to the fact that the
taxpayer has no outstanding Final Assessment Notice
and/or delinquent account may be submitted as a form
of Tax Clearance required under Section 34.2 of the IRR.
NPM 02-2013
231
JOINT VENTURES
GOODS
WITH AN EXISTING JOINT VENTURE: submission of a valid joint
venture agreement
WITHOUT AN EXISTING JOINT VENTURE: submission by each of

the potential JV members of a duly notarized statement stating that
they will enter into and abide by the provisions of the joint venture in
case their bid is successful. Failure to enter into a joint venture in the event
of a contract award shall be ground for the forfeiture of the bid security.
(Sec. 23.1(b), 2016 IRR of RA 9184)
232
JOINT VENTURES
SUBMISSION OF ELIGIBILITY REQUIREMENTS:
 All co-venturers shall submit their legal documents,

while any of the co-venturers shall submit technical and
financial documents.
 Each partner of the joint venture shall submit the PhilGEPS

Certificate of Registration in accordance with Sec. 8.5.2 of the
2016 IRR of RA 9184.
233
LEGAL ELIGIBILITY CRITERIA
GOODS
• General rule: 60% Filipino
• Foreign bidder allowed if:
1) Stated in treaty or international or executive agreement;
2) National of a country offering reciprocity rights to Filipinos;
3) Goods not available from local suppliers; or
4) To prevent situations that defeat competition or restrain trade
234
A man is headed to a mountain along with a lion, a goat,
and a basket of vegetables. On the way, he needs to cross
a river and the boat can only carry two things at a time. If
he takes the vegetables, the lion will eat the goat. If he
takes the lion, the goat will eat the vegetables. How does
he cross the river?
235
Trip 1: He takes the goat with him, leaving the lion and the vegetables
behind. On reaching the other riverbank, he drops off the goat.
Trip 2: He then comes back for the lion, leaving the vegetables behind.
On reaching the bank this time, he drops the lion, and again takes the
goat along.
Trip 3: He drops off the goat again and takes the vegetables with him
to the other shore.
Trip 4: Lastly, he comes back alone for the goat.
236
TECHNICAL ELIGIBILITY CRITERIA
SINGLE LARGEST COMPLETED CONTRACT
Previous contract
 Similar to the contract to be bid out (as defined by the
Bidding Documents)
 Completed within a period as defined by the Bidding
Documents
25% of the ABC (expendable supplies)
50% of the ABC (non-expendable supplies)
- Based on the value of the previous completed
contract, as adjusted to current prices using the NSO
PSA consumer price index.
237
GOODS – SINGLE LARGEST COMPLETED CONTRACT

General Rule Exceptions Then require the ff.:
1. Expendable Supplies If, at the outset and a) At least 2 similar
• 25% of the ABC after market contracts aggregate
research, applying amount at least
2. Services and Non- the general rule will equivalent to
expendable supplies likely result to: required percentage;
• 50% of the ABC and
1. Failure of bidding;
or b) Largest of the similar
contracts amounts to
2. Monopoly at least 50% of
required percentage
238
GOODS – SINGLE LARGEST COMPLETED CONTRACT
(Illustration)
Expendable Goods Non-expendable Goods
ABC = P1,000,000.00 ABC = P1,000,000.00
GR: 25% of the ABC GR: 50% of the ABC
THUS: Previous contract should be at least THUS: Previous contract should be at least
P250,000.00 (required percentage) P500,000.00 (required percentage)
EXCEPTION: The aggregate amount of at EXCEPTION: The aggregate amount of at

least 2 similar contracts is at least equivalent least 2 similar contracts is at least equivalent to
to the required percentage; and Largest of required percentage; and Largest of the similar
the similar contracts amounts to at least 50% contracts amounts to at least 50% of required
of required percentage. percentage.
THUS: 1st contract = P100,000.00 THUS: 1st contract = P300,000.00

2nd contract = P200,000.00 2nd contract = P200,000.00
239
FINANCIAL ELIGIBILITY CRITERIA
 Audited Financial Statement (showing prospective

bidder’s total and current assets and liabilities. )
 NFCC or CLC
240
NFCC COMPUTATION
Net Financial Contracting Capacity (NFCC) =

(current assets - current liabilities) (K) MINUS
(outstanding, uncompleted portions under ongoing
contracts + contracts awarded but not yet started)
(K) = 10 (contract is 1 year or less)

15 (contract is more than 1 year to 2 years)
20 (contract is more than 2 years)
The constant NFCC’s K factor is set at 15, regardless of

contract duration
241
NFCC COMPUTATION
Participating bidder should be required to submit an NFCC

that is at least equal to all the lots to which it participated
in, in order to establish the bidder’s financial liquidity and
absorptive capacity in carrying out the contractual
obligations required by the lots to which it participated in.
NPM 76-2013
242
BID SECURITY
 Only 1 form of Bid Security is required to be submitted
 In general, bank issued securities must be issued by a

universal or commercial bank
 However, in biddings conducted by LGUs, securities
may be issued by banks certified by BSP as
authorized to issue said instruments
 Surety Bonds must be accompanied by certification from
Insurance Commission that issuer is authorized to issue
such security
 Bidders have the option to choose their preferred form of bid

security (Sec. 27.2, 2016 IRR of RA 9184)
243
BID SECURITY
 Bid securities shall be returned only after the bidder

with the Lowest Calculated Responsive Bid has signed
the contract and furnished the performance security,
except to those declared by the BAC as failed or post-
disqualified in accordance with this IRR, upon
submission of a written waiver of their right to file a
request for reconsideration and/or protest.
244
BID SECURITY
Amount
Form of Bid Security Bid Security
(% = ABC)
a) Cash or cashier’s/manager’s check
b) Bank guarantee/draft or Irrevocable 2%

LC
c) Surety bond callable upon demand
5%
d) Combination of the foregoing Proportionate to share of form

with respect to the total amount of
security
e) Bid Securing Declaration No percentage required
245
Bid Securing Declaration
 an additional form of bid security
 A document/undertaking signed by the bidder

committing to pay the corresponding fine and be
suspended for a period of time from being qualified
to participate in any government activity in the event
of violation of any of the conditions stated therein as
required by the GPPB Guidelines. (GPPB Resolution
No. 03-2012, 27 January 2012)
246
Conditions:
 The Bid Securing Declaration shall be enforced when the
bidder commits any act resulting to the forfeiture of bid
security under:
- Section 23.1(b) – failure to enter into a joint venture in

the event of contract award
- Section 34.2 – failure to submit post-qualification
requirements on time or a finding against the veracity of
such (latest income and business tax returns and other
appropriate licenses and permits)
- Section 40.1 – failure to enter into a contract with the PE
- Section 69.1 – administrative sanctions
(GPPB Resolution No. 15-2014, 20 June 2014)
247
BID VALIDITY PERIOD
 Bids and bid securities (including bid securing

declaration) shall be valid for a reasonable period as
determined by the HOPE as indicated in the Bid Docs.
 Not to exceed 120 cd
 If the period is extended, PE shall request in writing all

those who submitted bids for such extension before the
expiration date. However, bidders have a right to refuse
to grant such extension without forfeiting their bid
security.
248
DISCLOSURE OF RELATIONS
Relatives within the third civil degree, by affinity or

consanguinity of the following shall be disqualified:
 Head of the procuring entity

 Members of the BAC, Secretariat and TWG
 Head of the end-user unit or project management
office or implementing unit
 Project consultants
249
2ND ENVELOPE
CONTENTS:
1. Financial Bid Form (includes bid prices and bill of

quantities, as well as applicable price schedules)
2. In case of Goods, Certification from the DTI if
claiming preference as Domestic Bidder (RA 10667)
3. Other documents required in the bidding documents
NOTE: Only the 2nd envelope of eligible bidders whose 1st

envelope have been rated “passed” shall be opened.
250
DETAILED EVALUATION
OF BIDS
 Purpose is to determine the Lowest Calculated Bid
(LCB), by:
1. Establishing correct calculated prices of bids; and
2. Ranking calculated total bid prices from lowest to
highest
 A non-discretionary criterion shall be used, which shall

include consideration of:
1. Completeness of bids; and
2. Minor arithmetical corrections
251
DETAILED EVALUATION
OF BIDS
In case of Discrepancies:
a. Bid Prices in Figures vs. Bid Prices in Words

b. Total Price per Item as extended or multiplied by the
quantity of that item vs. Unit Price per Item as
extended or multiplied by the quantity of that item
c. Stated Total Price vs. Actual Sum of Prices of
Component Items
d. Unit Cost in the Detailed Estimate vs. Unit Cost in the
Bill of Quantities
252
DETAILED EVALUATION
OF BIDS
 No Contact Rule - prohibition on communication w/ bidders
from bid evaluation until award of contract.
 The “no contact” rule applies only to those whose bids are
being evaluated by the BAC after passing the preliminary
examination until the issuance of Notice of Award.
 No communication should be made by bidders until a decision

to award a contract is made by the BAC.
 Bidders who waived their right to utilize the protest mechanism

or those whose request for reconsideration and/or protest were
subsequently denied are not covered by the prohibition under
Sec. 32.1 of RA 9184 IRR. (NPM 07-2013)
253
DETAILED EVALUATION
OF BIDS
 Unless the ITB specifically allows partial bids, those not

providing all required items shall be considered non-
responsive
 Placing no price is considered as non-responsive
 Specifying a “0” or “-” means it is offered for free
254
DETAILED EVALUATION OF
BIDS
NPM 111-2014 Lowest Bid “as read” as the LCB
Lowest bid “as read” during bid opening may not

necessarily be the bidder with the LCB until this is
confirmed during detailed bid evaluation.
It is only when the bidder has been determined to have

submitted the LCB after detailed evaluation, will it
receive notification from the BAC of such fact and be
requested to submit the required documents for
purposes of post-qualification under Section 34.2 of the
revised IRR.
BIDS
NPM 46-2014 Computation of Total Bid Price
Section 31.1 provides that, “The ABC shall be the upper limit
or ceiling for acceptable bid prices. If a bid price, as
evaluated and calculated in accordance with this IRR, is
higher than the ABC, the bidder submitting the same shall be
automatically disqualified…”
Discounts, to be considered in the computation of bid price

must be part of the bid proposal, should not be offered as an
afterthought or after the bids are opened.
BIDS
NPM 57-2014 Determination of Lowest
Calculated Bid
The lowest calculated bid (LCB) is identified or determined

only after the conduct of Bid Evaluation, wherein submitted
bids shall be ranked in the ascending order of their total
calculated bid prices, as evaluated and corrected for
computational errors, and other bid modifications.
A)The charming but pragmatic one.
People who have a ring finger longer than the

index finger tend to be charming and irresistible
to some at least. A’s are the ones who can talk
themselves out of just about any situation.
Additionally, they’re aggressive and excellent
problem solvers. They tend to be incredibly
compassionate and are often scientists, engineers,
soldiers, and crossword puzzle masters.
B) The confident, get-it-done type.
People with shorter ring fingers than index
fingers are the self-confident, get-it-done
types. They love solitude in which to work and
accomplish the things they need to do, but that
doesn’t necessarily indicate introversion.
They’re very goal oriented and don’t like to
be disturbed. They appreciate what they have
but often hunger for more.
C) The peacenik.
C’s are the peace-loving conflict-avoiding types.
People with even ring and index finger length are
well organized and want nothing but to get along
with everyone. They are faithful in relationships,
tender and caring partners, but beware: C’s
have a fiery core that while suppressed in normal
day-to-day activities can be dangerous if
unleashed. They might be peaceniks, but please,
stay on their good side.
If your left thumb is on top then the driving force
in your life is the desire for affection and you
are a great lover. Your dominant brain side is the
right and you have an intuitive approach.
If your right thumb is on top then the driving
force in your life is your intellect and you will
most likely be financially secure in your life
time. Your dominant brain side is the left and you
have an analytical approach.
POST-QUALIFICATION
 To determine whether bidder with LCB complies with

and is responsive to all requirements and conditions of
eligibility and the bidding of the contract – to be
declared the Lowest Calculated and Responsive Bid
(LCRB)
 A non-discretionary pass/fail criterion shall be used to

“Verify, Validate and Ascertain” all statements and
documents (licenses, certificates, etc.) submitted by the
LCB
265
POST-QUALIFICATION
 Completed in not more than 7 cd 12 cd, or up to 30 cd 45

cd in exceptional cases, upon approval of the HOPE.
 In case of post-disqualification of the LCB, the BAC shall be

given the same fresh period to conduct the post-
qualification of the next LCB. (Sec. 34.8, 2016 IRR of RA
9184)
 BAC will notify the Bidder with the Lowest Calculated

Bid that it was determined as such
266
POST-QUALIFICATION
 Within 3 cd 5 cd from receipt of Notice, submit the ff:

1. Latest Income and Business Tax Returns;
2. PhilGEPS Certification of Registration; and
3. Other appropriate Licenses and permits required by
law and stated in the Bidding Documents.
 Failure to submit any of the post-qualification

requirements on time, or a finding against the veracity
thereof, shall disqualify the bidder for award. Should there
be a finding against the veracity of any of the documents
submitted, the Bid Security shall be forfeited in accordance
with Sec. 69 of the 2016 IRR of RA 9184.
267
POST-QUALIFICATION
For Goods, the BAC shall check:
a) Delay in the partial delivery of goods amounting to ten percent
(10%) of the contract price in its ongoing government and private
contracts;
b) If any of these contracts shows the bidder’s failure to deliver or
perform any or all of the goods or services within the period(s) specified
in the contract or within any extension thereof granted by the PE
pursuant to a request made by the supplier prior to the delay, and such
failure amounts to at least ten percent (10%) of the contract price; or
c) Unsatisfactory performance of the supplier’s obligations as per
contract terms and conditions at the time of inspection.
If the BAC verifies any of these deficiencies to be due to the bidder's fault or
negligence, the BAC shall disqualify the bidder from the award, for the
procurement of Goods. (Sec. 34.3(b), 2016 IRR of RA 9184)
268
POST-QUALIFICATION
 The five (5) cd period under Sec. 34.2 of the IRR is

mandatory and should not be extended.
 In case PE accepts the post-qualification documentary
requirements beyond the reglamentary period, it must
show that there is a compelling, sufficient, valid,
reasonable, and justifiable cause for such extension, so
that penal sanction or liability will not set in.
Applicable administrative and civil sanctions or
liabilities may also be imposed against the concerned
officials.
NPM 27-2013
269
POST-QUALIFICATION
 PE may request for the submission of additional

documents from the bidder in support of the information
it has provided in the bidding documents.
 However, non-submission of the additional supporting

documents requested cannot be a ground for the
bidder’s post-disqualification, as a bidder may be post-
disqualified only upon ascertainment, validation, and
verification of its non-compliance with the legal, technical,
and financial requirements of the project as provided in
the bidding documents.
NPM 25-2013
270
RECOMMENDATION OF AWARD
 The BAC shall recommend award of contract to the

LOWEST CALCULATED AND RESPONSIVE BID
(LCRB) at submitted price or calculated price, whichever is
lower.
 The HOPE has 7 cd 15 cd to decide whether or not to

approve or disapprove the recommendation. For GOCCs
and GFIs, the period provided shall be 15 cd.
271
RECOMMENDATION OF AWARD
The BAC shall notify all other bidders, in writing, of its

recommendation to HOPE of award of contract to LCRB within
3 cd from the issuance of the resolution recommending award.
(Sec. 37.1.1, 2016 IRR of RA 9184)
272
FAILURE OF BIDDING
GROUNDS:
1) No bids received
2) Bids received but no one was eligible
3) All bids failed to post qualify
4) Someone post qualified but refused w/o justifiable
cause to accept the award.
(Sec. 35, IRR of RA 9184)
273
FAILURE OF BIDDING
EFFECTS:
1) Mandatory review shall be conducted by BAC

2) Based on findings, BAC shall:
 Revise terms, conditions, specifications
 Adjust ABC, subject to required approvals
3) Re-bidding
4) Re-advertisement
274
RESERVATION CLAUSE
 HOPE reserves the right to:
◦ Reject any and all bids;
◦ Declare a failure of bidding; or
◦ Not award the contract.
(Sec. 41, IRR of RA 9184)
 GROUNDS:
1. Prima facie evidence of collusion;
2. BAC is found to have failed in following the prescribed bidding
procedures;
3. For justifiable reasons, the award of contract will not redound to the
benefit of the Government:
 Physical and economic conditions have significantly changed;
 Project is no longer necessary
 Source of funds for the project has been withdrawn/reduced.
275
AWARD OF CONTRACT
 Contract shall be awarded to the bidder with the Lowest

Calculated and Responsive Bid (LCRB) at its submitted
price or total calculated bid price, whichever is lower.
 Notice of Award (NOA) is issued by the HOPE within

the following periods:
- NGAs and LGUs – 7 cd 15 cd

- GOCCs and SUCs – 15 cd
 The BAC Sec shall post the NOA in the PhilGEPS, PE’s
websites and in any conspicuous place within 3 cd
from its issuance.
276
AWARD OF CONTRACT
 Award of contract is subject to the following conditions

within 10 cd from issuance of NOA:
- If joint venture, submission of JVA

- In the case of procurement by a Philippine Foreign Office
or Post, PhilGEPS Registration Number
- Posting of Performance Security
- Signing of Contract upon compliance with all
documentary requirements
- If required, approvals by higher authority
277
PERFORMANCE SECURITY
 Posted by winning bidder to guarantee performance of

obligation, in such form and amount specified in the
Bidding Documents.
EFFECTS OF FAILURE TO POST:
1. Ground for disqualification

2. Next-ranked LCB shall undertake post-qualification
3. Bid security shall be forfeited without prejudice to the
imposition of sanctions
278
POST-QUALIFICATION OF
BIDDER W/ LCB
Failure to enter contract and post performance security:
Lowest Calculated and Responsive Bidder fails, refuses or is unable to
submit documents (in the post-qualification process), or enters into
contract, or post performance security – bid security forfeited and
appropriate sanctions imposed except where such failure, refusal or
inability not thru fault of the bidder
Failure, refusal or inability of the Lowest Calculated and Responsive Bidder

to submit documents or enter into contract and post performance
security --- disqualify said bidder and complete the post-
disqualification process on 2nd LCB
Failure, refusal or inability of the single calculated and responsive

bidder to submit documents or enter contract and post performance
security – disqualify said bidder and declare failure of bidding and
conduct rebidding with advertisement and/or posting.
PERFORMANCE SECURITY
Amount
Form of Performance Security Performance Security
(% equal to the Contract Price)
a) Cash or cashier’s/manager’s check
5%
b) Bank guarantee/draft or
Irrevocable LC
c) Surety bond callable upon
demand 30%
d) Combination of the foregoing Proportionate to share of form with

respect to the total amount of security
280
CONTRACT SIGNING
 When required, the approving higher authority or his

duly authorized representative shall be given a
maximum of 15 cd 20 cd from receipt to approve or
disapprove the contract.
281
PERIOD TO COMPLETE
PROCUREMENT PROCESS
PROCUREMENT PROCESS
From Opening of Bids to Award of Contract shall
NOT EXCEED 3 MONTHS
In the case of Jacomille v. Abaya, et al., the petitioner contends that

the public respondents failed to comply with the periods provided
by law, specifically the 3-month period from the opening of the bids
up to the award of the contract under Section 38 of RA 9184. The
Supreme Court held that “[t]he different periods provided by RA
9184 within which certain stages of the procurement process must
be completed is not merely directory but mandatory.” Thus, it
concluded that such irregularity rendered the procurement
process null and void. (G.R. No. 212381, 22 April 2015)
282
NOTICE TO PROCEED
 The concerned PE shall issue the Notice to Proceed

(NTP) together with a copy or copies of the approved
contract to the successful bidder within 3 cd 7 cd from
the date of approval of the contract by the appropriate
government approving authority.
 All notices called for by the terms of the contract shall be

effective only at the time of receipt thereof by the
successful bidder.
 The BAC Sec shall post the NTP and the approved
contract in the PhilGEPS and PE’s websites within 15 cd
from the issuance of the NTP.
283
WARRANTY SECURITY
Section 62
Minimum period of 3 months for Expendable
Minimum period of 1 year for Non-Expendable
In the form of: dated July 31, 2017
1. Retention money is 10% at least 1% but not to exceed five
percent (5%) of every progress payment or
2. A Special Bank Guarantee at least 1% but not to exceed five
percent (5%) of the total contract price
Released after the Warranty Period provided that the delivered
goods are free from patent and latent defects and all imposed
conditions have been fully met
284
LIQUIDATED DAMAGES
When the supplier fails to satisfactorily deliver goods

under the contract within the specified delivery
schedule, inclusive duly granted time extensions, if
any, the supplier shall be liable for damages for the
delay and shall pay the PE liquidated damages, an
amount equal to one-tenth (1/10) of one percent (1%)
or (0.001) of the cost of delayed goods scheduled for
delivery for every day of delay until such goods are
finally delivered and accepted by the PE concerned.
285
LIQUIDATED DAMAGES
Once the cumulative amount of liquidated damages

reaches ten percent (10%) of the amount of the contract,
the PE shall may rescind or terminate the contract,
without prejudice to other courses of action and remedies
available under the circumstances.
286
CONTRACT DELIVERY EXTENSION
2010-03-09
NPM No. 009-2010 Requesting Entity: Office of the ACoFAS for Logistics
Issues Concern: Contract Delivery Extension
Details: Clarification on the following:
1. May the procuring entity grant several extensions in the delivery of goods
upon determination that the grounds cited by the supplier are meritorious?
Yes, the procuring entity may grant several extensions in the delivery
period as long as these extensions are based on meritorious grounds.
2. If yes, what is the maximum period for every extension?
Based on the relevant provisions of the Generic Procurement Manual,
each extension should not exceed the initial delivery period as stated
in the original contract (Volume 2, p. 108). It bears stressing,
however that in every grant of extensions, the procuring entity must
validate the reasons cited by the supplier and determine that
extension is based on meritorious grounds.
287
RECOMMENDED EARLIEST TIME AND MAXIMUM
PERIOD ALLOWED FOR PROCUREMENT OF GOODS
Section Procurement Min. CD for Earliest Possible Maximum CD Maximum Conditions/
Activity Activity Time Allowed Period Remarks
20 Pre-Proc 1 cd Day 0 When necessary 0 Optional for 2M &

Conference below
21.2.1 Advertisement/ IB 7 cd Days 1 t0 7 7 cd Day 1 to 7 Start of Issuance

Posting of Docs
22.2 Pre-Bid 1 cd Day 8 When necessary Day 8 to 40 12 cd b4 SRB

Conference
25.5 Deadline of 1 cd Day 20 45 cd Day 52

SRB/B.O.
32.4 Bid Evaluation 1 cd Day 21 7 cd Day 53 to 59
34.8 Post-Qualification 2 cd Day 22 to 23 45 cd Day 60 to 104
37.1.2 Approval of 1 cd Day 24 15 cd Day 105 to 119

Resolution/Issuanc
e of NOA
37.2.1 Contract 1 cd Day 25 10 cd Day 120 to 129

Preparation &
signing
37.3 Approval of 1 cd 20 or 30 cds

Contract
37.4.1 Issuance of NTP 1 cd Day 26 7 cds Day 130 to 136
26 cds 136 cds

ALTERNATIVE METHODS OF
PROCUREMENT
Annex “H” of the 2016 IRR of RA 9184
289
OUTLINE
I. Procurement Standards
II. Alternative Methods
1. Limited Source Bidding*
2. Direct Contracting
3. Repeat Order
4. Shopping
5. Negotiated Procurement
290
OUTLINE
5. Negotiated Procurement:
a. Two Failed Biddings h. Defense Cooperation Agreement*
b. Take Over Contracts i. Small Value Procurement
c. Emergency Cases j. Lease of Real Property and Venue
d. Adjacent or Contiguous k. NGO Participation*
e. Agency-to-Agency l. Community Participation*
f. Scientific, Scholarly or Artistic Work, m. UN Agencies, International
Exclusive Technology and Media Organizations or International
Services Financing Institutions*
g. Highly Technical Consultants
291
PROCUREMENT STANDARD
Procuring Entities shall adopt

Competitive Bidding as the
GENERAL mode of procurement.
292
PROCUREMENT STANDARD
EXCEPTION
Alternative methods shall be resorted ONLY:
For any change in the
1. In highly exceptional case
2. To promote economy and efficiency method of procurement, the
3. Justified by conditions specified in IRR APP shall be updated first
4. prioramended)
GPPB approval as required under EO 423, S. 2005 (as to the conduct of the
procurement activity.
 No government procurement shall be undertaken unless it is in

accordance with the approved Annual Procurement Plan (APP) of
the Procuring Entity (PE).
293
Update!
 Executive Order 34
Signed 17 July 2017
 Authorizes the HoPE to proceed with the resort to alternative methods of

procurement, provided that for contracts with an amount of at least PhP 500
Million, the HoPE issues a certification under oath that the contract falls
within the exception of public bidding, is being entered into in faithful
compliance with all applicable laws, rules and regulations, and is
advantageous to the government.
Government Procurement Policy Board – Technical Support Office

1. LIMITED SOURCE BIDDING
Also known as “selective bidding” which involves

direct invitation to bid by the procuring entity from
the list of pre-selected suppliers or consultants.
295
APPLICABILITY:
GOODS INFRASTRUCTURE CONSULTING
 
CONDITIONS:
 Highly specialized types where only a few bidders are known
to be available, or
 Major plant components beneficial to limit bidding to known
qualified bidders to maintain uniform quality and
performance of the plant
296
 Pre-selection is based on capability and resources to perform the

contract taking into account:
 Experience and past performance on similar contracts;
 Capabilities with respect to personnel, equipment, and/or
manufacturing facilities; and
 Financial position.
 The pre-selected list of suppliers and consultants shall be

maintained by the relevant government authority in which the PE
The pre-selected list
may bemay
theberelevant
accessed atgovernment authority.
http://www.gppb.gov.
ph/monitoring/pre_sel
 The ected.php
pre-selected list shall be updated periodically and submitted to
the GPPB.
297
PRE-SELECTION PROCEDURE : IF PE is a RELEVANT
GOVERNMENT AUTHORITY
GPPB Resolution 06-2012
PE identifies LSB as Issues a Pre-selected

applicable mode List
HOPE transmits list

to the GPPB
PE posts GPPB-TSO
procurement acknowledges receipt
opportunity and and posts the list in
conducts LSB the website
298
PRE-SELECTION PROCEDURE : IF PE is NOT A RELEVANT

GOVERNMENT AUTHORITY
GPPB Resolution 06-2012
Relevant
Request for a
Government
List from RGA
Authority?
PE represents Y Limited Source

Issues a List?
itself as the RGA Bidding
Competitive
Bidding
299
2. DIRECT CONTRACTING
Single source procurement that does NOT require

elaborate Bidding Documents.
The supplier is simply asked to submit a price

quotation or a pro-forma invoice together with the
conditions of sale. The offer may be accepted
immediately or after some negotiations.
300
APPLICABILITY:
REQUIREMENTS PRIOR TO CONDUCT:

 End-user to conduct survey of the industry and determine the
supply source. End-user should also justify the necessity for the
item that may be only procured through Direct Contracting and
prove that there is no suitable substitute in the market.
301
CONDITIONS: (Continuation)
 Items of proprietary nature from proprietary source, i.e

patents, trade secrets, and copyrights;
 Critical components from a specific supplier to hold a
contractor to guarantee its project performance; or
 Items sold by an exclusive manufacturer or dealer, subject to
the following conditions:
 No other suppliers selling it at lower prices; and
 No suitable substitute can be obtained at more
advantageous terms to the Government
302
DIRECT CONTRACTING
Procedure:
 The BAC shall prepare the RFQ or pro-forma invoice together with the
terms and conditions of sale, and shall send the same to the
identified direct supplier.
 Simplified negotiations on the terms and conditions of the contract

may be conducted by the BAC to ensure that the supplier is
technically, legally and financially capable to deliver the goods at the
most advantageous price and contract for the Government.
 The BAC shall recommend to the HOPE the award of contract in favor
of the supplier. Award of contract shall be made in accordance with
Section IV(L) of this Guidelines.
3. REPEAT ORDER
Procurement from the previous winning bidder,

whenever there is a need to replenish goods procured
under a contract previously awarded through
Competitive Bidding.
304
3. REPEAT ORDER
APPLICABILITY:

CONDITIONS:
1. Same or lower unit prices than those in the original contract,
provided that such prices are still the most advantageous to the
GOP after price verification;
2. No splitting of contracts, requisitions and Purchase Orders;
305
3. REPEAT ORDER
CONDITIONS: (Continuation)
3. Availed of within 6 months from the date of the NTP arising from
the original contract, provided that there has been a partial delivery,
inspection and acceptance of the goods within the same period;
4. Not to exceed 25% of the quantity of each item in the original
contract;
5. Original contract awarded through competitive bidding; and
6. The goods under the original contract must be quantifiable, divisible
and consisting of at least four (4) units per item
306
REPEAT ORDER
Procedure:
i. Upon determination of the need to replenish the goods earlier procured through
competitive bidding, the End-User unit shall prepare the necessary Purchase
Request for the procurement of additional goods, after a careful study and
confirmation of the prevailing market price of the goods to be re-ordered and
comparing this with the price of the goods in the original contract, accompanied
by the appropriate justification why the re-ordering is being pursued.
ii. When all the conditions are present, the BAC shall recommend to the HOPE the
award of contract through Repeat Order. Award of contract shall be made in
accordance with Section IV(L) of this Guidelines.
1. TO WAIT
2. THE VALUE
3. VAIN TEA
4. SICK RATE
5. LONG QUOTE
6. LITURGY
7. SURVEY TEST
308
4. SHOPPING
Method where 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 qualifications.
309
4. SHOPPING
APPLICABILITY [Sec. 52.1(a) and Sec. 52.1(b)]:

 The phrase “ordinary or regular office supplies” are those supplies,
commodities, or materials which are necessary in the transaction
of official business, and consumed in the day-to-day operations.
This will not include services such as repair and maintenance of
equipment and furniture, as well as trucking, hauling and related
analogous services.
310
4. SHOPPING
CONDITIONS [SHOPPING UNDER Sec. 52.1(a)]:
1. There is an unforeseen contingency requiring immediate

purchase; and
2. Amount does not exceed the threshold.
 The RFQ may be sent directly to the supplier of known technical,

legal and financial qualifications. Sending of one (1) RFQ will
suffice.
 Posting of the RFQ may be dispensed with.
311
4. SHOPPING
CONDITIONS [SHOPPING UNDER Sec. 52.1(b)]:
1. Procurement of ordinary or regular office supplies and equipment

not available in PS-DBM; and
2. Amount does not exceed the threshold.
 The BAC shall send the RFQs to at least three (3) suppliers of known
qualifications, and at least three (3) price quotations must be
obtained.
 The deadline for submission may be extended thrice, if none or less than the
required number of quotations are received.
 In case no supplier responded after the third extension, the BAC shall conduct
a mandatory review in accordance with Section IV(K) of Annex H.
312
4. SHOPPING
THRESHOLD FOR UNFORESEEN CONTINGENCIES [Sec. 52.1(a)]

 NGAs, GOCCs, GFIs, SUCs and Autonomous Regional Government–PhP200,000
 LGUs :
Maximum Amount (in Philippine Pesos)

Classification
Province City Municipality
1st Class 200,000 200,000 100,000
2nd Class 200,000 200,000 100,000
3rd Class 200,000 160,000 100,000
4th Class 160,000 120,000 100,000
5th Class 120,000 100,000 100,000
6th Class 100,000 100,000 100,000
In the case of Barangays, the maximum amount is PhP50,000
313
4. SHOPPING
THRESHOLD FOR Sec. 52.1 (b):

 NGAs, GOCCs, GFIs, SUCs and Autonomous Regional Government–
PhP1,000,000
 LGUs:
Classification
1st Class 1,000,000 1,000,000 200,000
2nd Class 1,000,000 1,000,000 200,000
3rd Class 1,000,000 800,000 200,000
4th Class 800,000 600,000 100,000
5th Class 600,000 400,000 100,000
6th Class 400,000 200,000 100,000
314
4. SHOPPING
STANDARD FORM FOR RFQ
 There is no prescribed template or standard form for the RFQ.

 The RFQ must indicate the specification, quantity, ABC, and other
terms and conditions of the item to be procured pursuant to
Section 3(a) of the Guidelines.
 In addition, the RFQ must prescribe the manner by which price
quotations shall be submitted i.e., by sealed or open quotation.
315
4. SHOPPING
When the procurement falls under Section 52.1(b), no award

of contract can be made if only one supplier submitted a
price quotation. It is imperative upon the PE to obtain at least
three (3) quotations before awarding a contract that is
procured through Shopping under Section 52.1(b).
NPM 019-2014
316
4. SHOPPING
• NPM 127-2014
• Requesting Entity: Ms. Edcel Nacion
• Issues Concern: Shopping and Request for Quotation
• Details
• In Shopping, whether the requirement for three (3) quotations
is met when only one supplier offered a price while the other
two suppliers indicated "NONE" in compliance with the
Request for Quotation (RFQ) and the Guidelines for Shopping
and Small Value Procurement (Guidelines).
317
4. SHOPPING
• [W]hen the procurement method is Shopping under Section 52.1(b) of the

revised IRR (common-use supply and equipment not available in the
Procurement Service), the procuring entity is required to obtain at least
three (3) quotations. Thus, when the number of quotations obtained is less
than three (3), the procuring entity should extend the deadline for the
submission of quotations until it has obtained at least three (3) quotations.
Failure to comply with this requirement renders the procurement invalid,
and the responsible officials are accountable for non-compliance with
relevant rules and regulations. A response of "NONE" in the canvass is not
considered a price quotation for purposes of the Guidelines. Award of
contract shall then be made to the lowest quotation which complies with
the specifications and other terms and conditions stated in the RFQ.
318
5.a NEGOTIATED PROCUREMENT -
SMALL VALUE PROCUREMENT
APPLICABILITY:
  
 The BAC shall prepare and send the RFQs/RFPs to at least three (3)
suppliers, contractors or consultants of known qualifications.
 Receipt of at least one (1) quotation/proposal is sufficient to
proceed with the evaluation thereof.
319
AWARD OF CONTRACT TO A LONE BIDDER IN SVP
 In SVP, it is mandatory to send the RFQ to at least 3 prospective

bidders/proponents and invite them to submit proposals; but it is
not necessary to actually receive 3 proposals.
 It is enough that the PE receives at least one (1) bid/proposal on
the day of the deadline for submission of quotations.
 Thus, if the lone proposal already complies with the technical, legal
and financial requirements of the procuring entity, the contract can
be awarded to the lone offeror.
•
THRESHOLD:
 NGAs, GOCCs, GFIs, SUCs and Autonomous Regional Government–
PhP1,000,000
 LGUs:
Classification
1st Class 1,000,000 1,000,000 200,000
2nd Class 1,000,000 1,000,000 200,000
3rd Class 1,000,000 800,000 200,000
4th Class 800,000 600,000 100,000
5th Class 600,000 400,000 100,000
6th Class 400,000 200,000 100,000
321
The PE should be able to
SHOPPING AND SMALL VALUE produce supporting
documents that it has
PROCUREMENT invited at least 3
suppliers.
PROCEDURAL GUIDELINES:
Post in PhilGEPS, PE’s Send RFQ/RFP to at
website and conspicuous least 3 suppliers
Prepare place for 3 cd *May be 1 in case of 52.1(a)
RFQ/RFP *Except 52.1(a) and ABC 50k and *Receipt of 3 RFQs for 52.1(b)
below is mandatory
*Extend deadline if no quotation is Receipt of 1 RFQ in SVP will
received suffice
Award to LCRQ for

Shopping or
Prepare Abstract
S/LCRQ that
of Quotations complies with specs
and ABC
322
SHOPPING and SMALL VALUE
PROCUREMENT
 For both Shopping under Sec. 52.1(b) and Small Value

Procurement, posting of the following in the PhilGEPS website,
PE’s website, if available, and at any conspicuous place is
required if the ABC of the procurement project is more than
PhP50,000.00:
 Request for Quotation/Proposal (For 3 calendar days);

 Extension of deadline for submission of quotation (For 3
calendar days); and
 Award of contract
323
A man lives in the penthouse of an apartment
building. Every morning he takes the elevator
down to the lobby and leaves the building.
Upon his return, however, he can only travel
halfway up in the lift and has to walk the rest
of the way unless it's raining. What is the
explanation for this?
324
THE MAN IS A HOBBIT
He can't reach the upper elevator

buttons, but he can ask people to push
them for him. He can also push them with
his umbrella.
325
5.b NEGOTIATED PROCUREMENT -
TWO FAILED BIDDINGS
APPLICABILITY:
1. No bids were received;

GOODS 2. All prospective bidders
INFRASTRUCTURE are ineligible;
CONSULTING
3. All bids failed to comply with all the bid
requirements, post-qualification, or there is no
  successful negotiation; or 
4. The Single/LCRB/HRCB refuses, without justifiable
CONDITIONS: cause, to accept the award or no award was made
1. Failed competitive bidding or Limited Source Bidding for the
second time under Sec. 35; and
2. Mandatory review of the Terms, conditions and specifications,
and ABC, which may be adjusted up to 20% of ABC for the last
failed bidding
326
TWO FAILED BIDDINGS
PROCEDURAL GUIDELINES
- Disqualified bidders
in previous biddings
for the project shall
also be invited 2 Failed Mandatory Preparation of
- Even if only one (1) Competitive Review RFQ/Bid docs
bidder should Bidding/LSB
respond, the BAC
shall proceed with the
negotiation
Invite at least
three (3) Submission and
Negotiation opening of best Awarding of
suppliers/
and final offer contract
contractors/
consultants Requirements, guidelines,
documents, clarifications, or other
information relative to the
negotiations shall be communicated
on an equal basis.
327
TWO FAILED BIDDINGS
 Criteria in selecting the successful offer:
1. Offer should meet the PE’s minimum technical requirements;

and
2. Offer should not exceed ABC.
 Observers shall be invited in all stages
328
TWO FAILED BIDDINGS
FAILURE OF BIDDING AS DECLARED BY HOPE
 If the failure of bidding is due to the declaration by the HOPE

pursuant to Section 41 of the IRR , Negotiated Procurement (Two
Failed Biddings) cannot be resorted to.
329
TWO FAILED BIDDINGS
GPPB RESOLUTION NO. 30-2016 AND CIRCULAR 05-2016 BOTH
DATED DECEMBER 20, 2016
(Period for the conduct of Re-bidding and Negotiated Procurement
under Two Failed Biddings Modality)
a) The BAC shall endeavor to conduct the re-bidding of a procurement project
immediately, but it should not exceed fifteen (15) days after the declaration of the
first failure of bidding under Section 35 of RA and 2016 R-IRR. The period may be
extended up to 30 days upon approval of the HoPE;
b) The same period shall be observed for the conduct of Negotiated Procurement
under Two Failed Biddings modality reckoned from the declaration of the 2 nd failure
of bidding; and
c) If the procurement cannot be undertaken within such periods, the BAC shall make
a report to the HoPE so that the latter can make the appropriate decision to facilitate
the procurement or take other proper action.
330
5.c NEGOTIATED PROCUREMENT -
EMERGENCY CASES
APPLICABILITY:
  
331
EMERGENCY CASES
CONDITIONS:
 In case of imminent danger to life or property during a state of

calamity;
 When time is of the essence arising from natural or man-made
calamities; or
 Other causes where immediate action is necessary:
• To prevent damage to or loss of life or property
• To restore vital public services, infrastructure facilities and other
public utilities
332
EMERGENCY CASES
 In all instances, the HoPE shall confirm in writing the existence and
veracity of the ground/s relied upon before approving the contract.
 Considering that the underlying reason of this modality relates to “time
element”, the PE should consider appropriate timing or the proximity of
time between the actual procurement activity to be conducted and the
emergency sought to be addressed.
 When the reason or cause for the emergency has already been abated,
adoption of competitive bidding shall be considered.
 When the ground is based on imminent danger to life during a state of
calamity, there must be a declaration by a competent authority of a state
of calamity before any procurement activity may be undertaken.
333
5.d NEGOTIATED PROCUREMENT -
TAKE-OVER OF CONTRACTS
APPLICABILITY:
  
334
CONDITIONS:
 The contract, previously awarded through Competitive Bidding,

has been rescinded or terminated for causes provided for in the
contract and existing laws; and
 Immediate action is necessary:
 To prevent damage to or loss of life or property; or
 To restore vital public services, infrastructure facilities, and
other public utilities.
335
 The BAC shall post-qualify and negotiate starting with the 2nd LCB or
HRB at the said bidder’s original bid price, then on to the next if
Authority to negotiate
negotiation fails. contracts for projects under
this modality shall be subject
to prior approval by the
 If negotiation fails, the BAC may either: HoPE.
1. Invite a short list of at least three (3) suppliers, contractors or
consultants to submit bids and negotiate starting with the LCB or
HRB; or
2. Resort to any other appropriate alternative method of procurement.
336
8. LAUGH IS
9. TEA BALL
10. LOVING A NAME
11. STD
12. SHE FEEL YOU
13. SHE KISS
14. THE RICH ZOO
15. BIRDIE
341
5.f NEGOTIATED PROCUREMENT -
AGENCY-TO-AGENCY
Procurement from another agency of the government

(Servicing Agency) that has the mandate to deliver
goods or services or to undertake infrastructure
projects or consultancy services as required by the PE.
342
AGENCY-TO-AGENCY
APPLICABILITY:
  
 All procurement to be undertaken by the Servicing Agency, including
those required for the project, shall be governed by the provisions of RA
9184.
 All projects undertaken under A-to-A shall be subject to pertinent
budgeting, accounting, and auditing rules and regulations.
343
AGENCY-TO-AGENCY
CONDITIONS:
1. The PE shall justify that entering into an A-to-A with the Servicing
Agency is more efficient and economical to the government;
2. The Servicing Agency has the mandate to deliver the goods and
services required to be procured or to undertake the infrastructure
project or consultancy required by the Procuring Agency;
3. Servicing Agency has the absorptive capacity to undertake the
project;
4. Servicing Agency owns or has access to the necessary tools and
equipment required for the project;
344
AGENCY-TO-AGENCY
CONDITIONS:
5. Sub-contracting is not allowed. However, the servicing agency

may implement the infrastructure project in-house, by job-order, or
through the pakyaw contracting system; and
6. For procurement of infrastructure projects, the Servicing Agency
must have a track record of having completed, or supervised a
project, by administration or by contract, similar to and with a
cost of at least fifty percent (50%) of the project at hand.
345
AGENCY-TO-AGENCY
PROCEDURAL GUIDELINES:
The End-User
The HoPE shall
The End-User shall secure a
enter into a MOA
shall justify to the certificate from The BAC shall
with the
BAC that the the relevant issue a
Servicing
resort to A-to-A officer of the Resolution
Agency upon
is more efficient Servicing recommending
approval of the
and economical Agency that the the use of A-to-A
BAC
to the latter complies to the HoPE.
recommendation
government. with the
.
conditions.
346
5.g NEGOTIATED PROCUREMENT
SCIENTIFIC, SCHOLARLY OR ARTISTIC WORK,
EXCLUSIVE TECHNOLOGY AND MEDIA SERVICES
Where Goods, Infrastructure Projects and

Consulting Services can be contracted to a
particular supplier, contractor or consultant as
determined by the HoPE.
347
APPLICABILITY:
 All types of Procurement involving:
1. Work of art; commissioned work or services of an artist for

specific artistic skills (e.g., singer, performer, poet, writer,
painter, sculptor, etc.);
2. Scientific, academic, scholarly work or research, or legal
services;
3. Highly-specialized life-saving medical equipment, as certified
by the Department of Health;
348
APPLICABILITY: (Continuation)
4. Scientific, technical, economic, business, trade or legal journal,

magazine, paper, subscription, or other exclusive statistical
publications and references;
5. Media documentation, advertisement, or announcement through
television, radio, newspaper, internet, and other communication
media.
6. The construction or installation of an infrastructure facility where
the material, equipment, or technology under a proprietary right
can only be obtained from the same contractor.
349
CONDITIONS:
1. End-User shall conduct a market study and determine the
probable sources to justify the need to procure through this
negotiated modality;
2. The study should confirm that the supplier, contractor or
consultant could undertake the project at more advantageous
terms; and
3. The market study must be conducted prior to the commencement
of the procurement process.
350
5.i NEGOTIATED PROCUREMENT
DEFENSE COOPERATION AGREEMENT
APPLICABILITY:
 Goods and Consulting Services to be used by AFP
 major defense equipment or materiel
 defense-related consultancy services
CONDITIONS:
1. Prior approval of the President;
2. Expertise or capability required is not available locally;
3. DND Secretary has determined that the interests of the country shall be
protected by negotiating directly with an agency or instrumentality of
another country with existing defense cooperation agreement or
diplomatic relations with the Philippines; and
4. Performance security under §39 of IRR of RA 9184 shall be required to
supplier
357
5.j NEGOTIATED PROCUREMENT
LEASE OF REAL PROPERTY AND VENUE
Procurement covering lease of

real property and venue for official use.
358
APPLICABILITY:
 Goods (Real Property and Venue)
• It is preferred that government agencies lease publicly-owned

real property or venue from other government agencies.
• If there is an available publicly-owned real property or venue
that complies with the requirements of the PE, it may enter into a
contract of lease with the government-agency owner.
• In the event that the PE would resort to privately-owned real
property or venue, the End-User unit shall justify that the same
is more efficient and economical to the government.
359
CONDITIONS:
1. The End-User shall prepare a Cost-Benefit Analysis

indicating leasing privately-owned real property or venue
is more efficient and economical
The ABC shall be set using the mid point of the range
obtained from the results of the market analysis on the
prevailing lease rates. There is no threshold for the
Rental rates should alsouse ofbethiswithin
modality so
thelongprevailing
as market
it covers lease of privately-
rates
owned real property or venue.
2. Technical Specifications shall be prepared taking into
consideration the Rating Factors under Appendix B.
360
 The BAC shall invite at least three (3) prospective lessors/venues
within the vicinity of the selected location to submit sealed price
The RFQ is not required to
quotations. be posted in the PhilGEPS
be posted in the PhilGEPS
website
 Receipt of at least one (1) quotation is sufficient to proceed with the
evaluation.
 Lease contracts amounting to more than PhP50,000.00 shall be

posted in the PhilGEPS website.
361
5.k NEGOTIATED PROCUREMENT -
NGO PARTICIPATION
APPLICABILITY:
  
CONDITION:
 Appropriation law or ordinance earmarks an amount to be
contracted to NGOs
PE may opt to:
1. Conduct public bidding; or
2. Enter into a MOA with an NGO, subject to the guidelines issued
by the GPPB for the purpose
362
5.l NEGOTIATED PROCUREMENT -
COMMUNITY PARTICIPATION
APPLICABILITY:
 Delivery of goods, including non-consulting services and simple
infrastructure projects
CONDITION:
 In the interest of project sustainability or to achieve certain
specific social objectives
PROCEDURE:
 Subject to Community Participation Procurement Manual
(CPPM), approved for adoption on 23 May 2014 (GPPB
Resolution No. 09-2014
363
5.l NEGOTIATED PROCUREMENT -
COMMUNITY PARTICIPATION
THRESHOLDS:
MAXIMUM AMOUNT
PROCURING ENTITY (In Philippine Peso)
Goods Infrastructure Projects
NGAs, GOCCs, GFIs and SUCs 2,000,000 5,000,000

LGUs:
 1st-3rd Class Provinces 1,000,000 2,500,000
 1st-2nd Class Cities
 Highly Urbanized Cities
 4th Class Province 800,000 1,750,000
 3rd Class City
 5th Class Province 600,000 1,000,000
 4th Class City
 6th Class Province 500,000 750,000
 5th-6th Class Cities
 Municipalities
 Barangays
364
5.m NEGOTIATED PROCUREMENT -
UN AGENCIES, INTERNATIONAL ORGANIZATIONS OR
INTERNATIONAL FINANCING INSTITUTIONS
APPLICABILITY:
  
CONDITIONS:
Procurement from UN Agencies, IOs or IFIs, of any of the following:
a. Small quantities of off-the-shelf goods, primarily in the fields of education and
health;
b. Specialized products where the number of suppliers is limited; or
c. Goods, Infrastructure Projects and Consulting Services, involving advanced
technologies, techniques and innovations not locally available as certified by the
HoPE,.
365
DOCUMENTARY REQUIREMENTS
Alternative Modality Mayor’s/ Professional PhilGEPS PCAB NFCC Income/ Omnibus
Business License /CV Reg. License (Infra.) Business Sworn
Permit (Consulting Number (Infra.) Tax Statement
Services) Return
Direct Contracting   
[Section 50] For ABCs
above
P500K
Shopping [Sec 52.1(b)]  
Emergency Cases     
(Section 53.2)] For For ABCs For ABCs
ABCs above above P500K
GPPB Res.
above P500K
21-2017
P500K dated May 30,
2017
366
Business License /CV Reg. License (Infra.) Business Sworn
Permit (Consulting Number (Infra.) Tax Statement
Services) Return
Take-Over of Contracts     
(Section 53.3.2; for
new bidders)
Adjacent/ Contiguous  
(Section 53.4)
Scientific, Scholarly or    
Artistic Work, For ABCs
Exclusive Technology above
and Media Services P500K
(Section 53.6)
367
Sworn
Business License /CV Reg. License (Infra.) Business
Statement
Permit (Consulting Number (Infra.) Tax
Services) Return
Highly Technical Consultant   
(Section 53.7)
Small Value Procurement      
(Section 53.9) For ABCs For ABCs
above above P50K
P500K GPPB Res.
GPPB Res. 21-2017
21-2017 dated May 30,
dated May 2017
30, 2017
Lease of Real Property Or   

Venue (Section 53.10) Except for Except for Except for
gov’t gov’t gov’t
agencies as agencies as agencies as
lessors lessors lessors
GPPB Res. GPPB Res.
21-2017 21-2017
dated May dated May
30, 2017 30, 2017 368
*For individuals engaged under Sec. 53.6, 53.7 and 53.9 of the IRR
of RA 9184, only the BIR Certificate of Registration shall be
submitted in lieu of Mayor’s Permit.
**Requirements under Section 53.6 of the IRR of RA 9184 will not
apply to artists such as singer, performer, poet, writer, painter and
sculptor who are not engaged in business.
***For methods of procurement requiring Mayor’s Permit and
PhilGEPS Registration Number, Certificate of Platinum Membership
may be submitted in lieu of the said documents.
369
POSTING REQUIREMENTS
Advertisement in the newspaper and posting requirements may be

dispensed with provided that the BAC through its Secretariat shall
post the procurement opportunity (RFQ) in PhilGEPS, website of
PE if available, and conspicuous place in the premise of PE for a
period of at least three (3) calendar days, for the following
methods:
 Limited Source Bidding [Sec. 54.2]
 Shopping [Sec. 52.1(b)] above P50K
 Negotiated Procurement under Two Failed Biddings [Sec.
53.1]
 NGO Participation [Sec. 53.11]
 Small Value Procurement [Sec. 53.9] above P50K
370
PHILGEPS REGISTRATION
Bidders are mandated to register with PhilGEPS, and provide

PhilGEPS Registration Number as a condition for award on the
following modalities:
1. Sec. 50 – Direct Contracting;

2. Sec. 52.1(b) – Shopping for ordinary office supplies and
equipment not available in DBM-PS;
3. Sec. 53.3 – Take Over of Contracts (Only for New Bidders, if any.);
4. Section 53.6 – Scientific, Scholarly or Artistic Work, Exclusive
Technology and Media Services;
371
PHILGEPS REGISTRATION
Continuation:
5. Section 53.7 – Highly Technical Consultants;

6. Section 53.9 – Small Value Procurement; and
7. Section 53.10 – Lease of Real Property and Venue.
For Sec. 53.1 - Two Failed Biddings, the BAC shall require the
submission of a Certificate of PhilGEPS Registration in
accordance with Sec. 8.5.2 of the IRR of RA 9184
372
INVITATION OF OBSERVERS
 Generally, invitation of Observers are not required when resorting

to alternative methods of procurement except in those where
competitive bidding or semblance a semblance thereof is still
present, such as in Limited Source Bidding and Negotiated
Procurement (Two Failed Biddings) under Sec. 49 and Sec. 53.1,
respectively, of the revised IRR.
 Under Sec. 13.3 of the revised IRR of RA 9184, Observers shall be

invited at least five (5) cd before the date of the negotiation and the
absence of Observers will not nullify the BAC proceedings,
provided that they have been duly invited in writing.
373
 Reference to brand names shall NOT BE ALLOWED except for

items or parts that are compatible with the existing fleet or
equipment of the same make and brand and will maintain the
performance, functionality and useful life of the equipment.
 This rule shall also apply to the goods component of infrastructure

projects and consulting services.
374
DELEGATION OF AUTHORITY
The conduct of the following may be delegated to End-user unit or

any other appropriate bureau, committee, or support unit duly
authorized by the BAC through a Resolution approved by the HoPE:
1. Shopping
2. Negotiated Procurement under Emergency Cases
3. Small Value Procurement
4. Lease of Real Property and Venue
375
PERFORMANCE and
WARRANTY SECURITIES
Alternative Method of Performance Warranty Security
Procurement Security (PS) (WS)
Limited Source Bidding  
Direct Contracting x 
Repeat Order x 
Two-Failed Biddings  
In no case shall WS
be required in the
procurement of
Consulting Services.
376
PERFORMANCE and
WARRANTY SECURITIES
Procurement Security
(PS)
Emergency Cases Procuring Entity may Procuring Entity may
require PS depending require WS depending on
on the nature of the the nature of the
procurement project. procurement project.
However, for In no case shall WS be
Infrastructure Projects, required in the
PS is required. procurement of Consulting
Services.
Take-over of Contracts  
Adjacent/Contiguous  For Infrastructure Projects,
WS is required.
377
PERFORMANCE and
WARRANTY SECURITIES
Procurement Security
(PS)
Small Value Procurement Procuring Entity may Procuring Entity may
require PS depending require WS depending on
on the nature of the the nature of the
procurement project. procurement project.
However, for In no case shall WS be
Infrastructure Projects, required in the
PS is required. procurement of Consulting
Services.
378
OTHER TERMS AND CONDITIONS
 No procurement shall be undertaken unless in accordance

with APP.
 Most advantageous price for government should be obtained
(Sec. 48.1)
 Splitting of contracts is strictly prohibited (Sec. 54.1)
 Bid security NOT necessary, except in Limited Source Bidding.
 The Uniform Guidelines for Blacklisting of Manufacturers,
Suppliers, Distributors, Contractors, and Consultants also
apply to Alternative Methods of Procurement.
379
ISSUANCES TO CONDSIDER:
GPPB Resolution No. 20-2019 dated September 05, 2019

“Approving the Delisting of Motor Vehicles in the List of
Common Use Supplies and Equipment of the Procurement
Service”
GPPB Resolution No. 21-2019 dated September 05, 2019

“Approving the Delisting of Airline Tickets in the Government
Fares Agreement in the List of Common Use Supplies and
Equipment of the Procurement Service”
Executive Order No. 91 dated September 09, 2019

“Adopting the Cash Base Budgeting System Beginning Fiscal
Year 2019 and for Other Purposes”
380
WHY DO WE
HAVE OUR EYES
IN FRONT OF
OUR FACE?
382
“OUR EYES ARE
IN FRONT OF
OUR FACE
BECAUSE IT IS
BETTER TO LOOK
AHEAD THAN TO
LOOK BACK.”
383
WHY DO WE CLOSE OUR
EYES WHEN WE PRAY,
CRY, KISS OR DREAM?
384
“WHY DO WE CLOSE
OUR EYES WHEN WE
PRAY, CRY, KISS OR
DREAM? BECAUSE THE
MOST BEAUTIFUL
THINGS IN LIFE ARE
NOT SEEN BUT FELT BY
THE HEART.”
385
THANK YOU and
GOD BLESS!
ROBERTO P. TING, JR.
SAO, Goods and Services Division
Procurement Service
3043530/09328484241/09054403615

2016 R-IRR of RA 9184 Presentation To NCR - Manila, Sept. 27, 2019

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2016 R-IRR of RA 9184 Presentation To NCR - Manila, Sept. 27, 2019

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A Presentation on

2016 Revised IRR of

American Practice of NO CONTRACT SHALL

Revised IRR of 2009

Over 100 Procurement Rules and Regulations

• Inconsistent policies, rules, and • Creation of the Government

• Lack of check and balance • Participation of civil society

 Covers procurement of all government agencies

Goods - items, supplies, materials and

Common Use Supplies - goods, materials,

Non-Common Use Supplies - goods,

Expendable Supplies – Articles which are

Non-Expendable Supplies – Articles which are

• Review studies • Post/Advertise

Identify • Cost-benefit analysis • Oversee Implement

Capacity Development Division 17

Purpose of Procurement Planning

For the DPWH to schedule its procurement activities for

 Precludes occasions for unnecessary government purchases

 However, it must be done within budgetary context

 Within approved budget of procuring entity

• No procurement unless in accordance with the Annual

• Approval of Head of Procuring Entity (HOPE) or designated

BIDS AND AWARDS COMMITTEE (BAC)

 Minimize the practice of doing short-cuts

PROJECT PROCUREMENT MANAGEMENT PLAN FOR FY ___

________________________________ ___________________________ ____________________________

¹PR No. = Purchase Request No.

Prepared/Submitted by: APPROVED BY:

Supply Officer/Administrative Officer Head of Office

 Purchase Request (PR) – Request for purchase or requisition

 In no way that the End-user Unit submit their PR ahead of the

 Legal Basis: Section 7 of the IRR of RA 9184

 APP should be maintained and updated regularly

 In the consolidation of PPMPs, the BAC may adopt a strategy through

Per GPPB Resolution No. 20-2015

Procedure under the 2016 IRR of RA 9184

Prepared/Submitted by: Recommending Approval: Approved by:

 APP being referred to in the IRR of RA 9184 is different from the

 APP-CSE serves as basis of DBM – PS in projecting its inventory

 Common-use supplies – refers to those supplies and materials and

Purchase Request (PR) – Request for

Entity Name: _______________________ Fund Cluster: __________________

The specification is the “heart” of the procurement

• It defines client’s needs

ADVANCING PUBLIC PROCUREMENT TOWARDS GREEN AND SUSTAINABILITY

Green Public Procurement (GPP) is a process

whereby public authorities seek to procure goods,

services and works with a reduced environmental

impact throughout their life cycle when compared to

goods, and services and works with the same primary

function that would otherwise be procured.

Avoiding the use

CONCEPT AND BENEFITS

Which products? Based on which

The GPP Roadmap has identified and prioritized

… through an assessment based on distinct criteria

Support to government’s Driving innovation

*Used for currently prioritized

KEY ENVIRONMENTAL IMPACT

KEY ENVIRONMENTAL IMPACT

KEY ENVIRONMENTAL IMPACT

WHAT ARE POSSIBLE FUTURE

__________________ _ ________________

Entity Name: _____ Fund Cluster: