1
OUTLINE
I.
II.
III.
IV.
V.
VI.
General Overview of RA 9184 and its IRR
Definition of Terms
Principles of Public Procurement / 5 Rights
Procurement Methods and Procedures
Procurement Organizations / GPPB and its TSO
2016 Revised IRR
2
SCOPE
COVERAGE
JSDFAND
PROJECT
R.A. 9184 applies to all branches and/or instrumentalities
of the government:
1. National Government Agencies (NGAs)
2. State Universities and Colleges (SUCs)
3. Government Owned or Controlled Corporations
(GOCCs)
4. Government Financial Institutions (GFIs)
5. Local Government Units (LGUs)
3
SCOPE AND COVERAGE
 It shall apply to all procurement activities involving:
1. Goods and Services
2. Infrastructure Projects
3. Consulting Services
4
SCOPE AND COVERAGE
Section 4, Revised IRR
 All fully domestically-funded procurement activities
 All foreign-funded procurement activities, unless
otherwise provided in a treaty or int’l/executive
agreement
Mandates adherence to RA 9184 or selection through
competitive bidding. Otherwise, negotiating panel shall
ensure that the reasons for the adoption of a different rule or
method of procurement are clearly reflected in the records of
discussion. (Sec. 4.3, 2016 IRR of RA 9184)
5
SCOPE AND COVERAGE
Section 4, Revised IRR
 As may be agreed upon by the GOP and IFI in their
treaty or int’l/executive agreement
•
•
•
Projects funded from foreign grants
Projects for International Competitive Bidding
Consulting Services for National Competitive
Bidding
6
SCOPE AND COVERAGE
EXCEPT:
1. Procurement for goods, infrastructure projects, and consulting
services funded from Foreign Grants covered by R.A. 8182, as
amended by R.A. 8555, entitled “An Act Excluding Official
Development Assistance (ODA) from the Foreign Debt Limit in
order to Facilitate the Absorption and Optimize the Utilization of
ODA Resources, Amending for the Purpose Paragraph 1, Section 2
of Republic Act No. 4860, as amended”, unless the GOP and the
foreign grantor/foreign or international financing institution agree
otherwise;
2. Acquisition of real property which shall be governed by R.A. 8974,
as amended by RA 10752 entitled “An Act to Facilitate the
Acquisition of Right-of-Way Site or Location for National
Government Infrastructure Projects and for Other Purposes,” and
other applicable laws;
7
SCOPE AND COVERAGE
3. Public-Private sector infrastructure or development
projects and other procurement covered by R.A. 6957,
as amended by R.A. 7718 (BOT Law), entitled “An Act
Authorizing the Financing, Construction, Operation
and Maintenance of Infrastructure Projects by the
Private Sector, and for Other Purposes,” as amended;
4. Disposal of government properties;
Commission on Audit Circular No. 86-264
DBM National Budget Circular No. 425
8
SCOPE AND COVERAGE
Enumerated activities that are not considered as procurement
undertakings under RA 9184 and its IRR:
1. Direct financial or material assistance to beneficiaries
2. Participation to scholarships, trainings, continuing
education, etc.
3. Lease of government property for private use
4. Job order workers
5. Joint Venture Agreements between Private Entities and
GOCCs or LGUs
6. Disposal of property and assets
Sec. 4.5, 2016 IRR of RA 9184
9
SCOPE AND COVERAGE
Leasing out of publicly-owned real property for private use
 Transactions where a government agency leases out its
real property for private use, such as in the case of a
canteen or food concessionaire, are governed by Executive
Order 301 (Series of 1987), particularly Section 7 thereof,
and its associated guidelines.
 Implementing Guidelines for Lease of Privately-Owned
Real Estate guidelines will only apply to lease of privatelyowned real estate by government agencies for official use.
NPM 50-2013
10
SCOPE AND COVERAGE
Leasing Out of Government Properties for Private Use
 As long as lease out undertakings do not involve expenditure of
public funds for the procurement of goods, works and
consulting services, RA 9184, its IRR, and its associated rules will
not apply.
 Transactions involving lease of government properties for
private use are covered by Executive Order No. 301, series of
1987 (EO 301). Other laws and issuances that may be looked into
are RA 6957, as amended by RA 7718, for lease out of
undertakings that require infrastructure or development
projects, or the Revised Joint Venture Guidelines issued by the
NEDA in case of JV.
NPM 10-2014
11
DEFINITION OF TERMS
12
What is PROCUREMENT?
Procurement refers to the acquisition of goods, consulting
services, and the contracting for infrastructure projects by
procuring entity.
(Sec. 5(aa), IRR, R.A. 9184)
13
GOODS
Refer to:
 All items, supplies and materials
 Including general support services
 Needed in the transaction of public businesses or in the
pursuit of any government undertaking, project or activity
 Whether in the nature of equipment, furniture, stationery,
materials or construction, personal property, including nonpersonal or contractual services, such as:
1. repair and maintenance of equipment and furniture
2. trucking, hauling, janitorial and security and other related
and analogous services.
Except: Infrastructure projects and consulting services
14
INFRASTRUCTURE PROJECTS
Refer to:
 construction, improvement, demolition, rehabilitation, repair,
restoration or maintenance of civil works components of :
1. IT projects
2. irrigation
3. flood control and drainage
4. water supply
5. sanitation, sewerage and solid waste management
6. national buildings, hospital buildings, and other related
constructions projects of the Government.
15
CONSULTING SERVICES
Refer to services for Infrastructure Projects and other types of
projects or activities of the Government requiring adequate
external technical and professional expertise that are beyond
the capability and/or capacity of the Government to undertake
such as, but not limited to:
1.
2.
3.
4.
5.
6.
advisory and review services;
pre-investment or feasibility studies;
design;
construction supervision;
management and related services; and
other technical services or special studies.
16
MIXED PROCUREMENT
 In case of projects involving mixed procurements, the
nature of the procurement, shall be determined based
on the primary purpose of the contract.
 Determination shall be made by the procuring entity.
 In mixed procurements, the PE shall specify in the Bidding
Documents all requirement applicable to each
component of the project. In the preparation of Bidding
Documents, the PE shall ensure compliance with existing
laws, rules and regulations, especially those concerning
licenses and permits required for the project (Sec. 17.2, 2016
IRR of RA 9184)
17
DETERMINATION OF TYPE OF
PROCUREMENT
 PE is in the best position to determine the correct
classification of its procurement based on its identified
needs and the best way by which these needs may be
addressed, managed, and satisfied.
 It is the motivation or intention of the PE in pursuing
the project that will determine the primary purpose of a
project.
NPM 11-2013
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PRINCIPLES OF PUBLIC
PROCUREMENT
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Public Procurement Principles
•
•
•
•
•
•
•
Transparency
Efficiency – Streamlined Procurement Process
Equity – Fairness
Competition
Accountability
Public Monitoring
Economy – Value for Money
(TEE-CAPE)
5 “Rights” in Public Procurement
Value for Money
Source
Time/
Delivery
Quantity
Procurement
Price
Quality
PROCUREMENT METHODS
AND PROCEDURES
22
PROCUREMENT METHODS
All Procurement shall be done through competitive
bidding except as provided in R.A. 9184.
Resort to alternative methods shall be made:

Only in highly exceptional cases

To promote economy and efficiency

Justified by conditions specified in R.A. 9184 and its
IRR
23
PROCUREMENT METHODS
24
BIDDING PROCESS FOR
GOODS & INFRA PROJECTS
PreProcurement
Conference
Bid
Submission
Bid Evaluation
Advertisement
and/or
Posting
Opening of
Technical Proposal
(incl. eligibility docs)
Post-qualification
Pre-Bid
Conference
Opening of
Financial Proposal
Contract
Award
25
BIDDING PROCESS FOR
CONSULTING SERVICES
PreProcurement
Conference
Pre-Bid
Conference
Bid Evaluation
(QBE or QCBE)
Advertisement
and/or
Posting
Bid
Submission
Post-qualification
Eligibility and
Shortlisting
Opening of
Bids
(QBE or QCBE)
Contract
Award
Negotiation
26
PROCUREMENT
ORGANIZATIONS
27
2016 Revised IRR of RA 9184
The GPPB and its TSO:
•The GPPB is the central procurement policy making body
of the government under the Government Procurement
Reform Act
– Section 63 of RA 9184 and its IRR authorizes the Government
Procurement Policy Board (GPPB) to formulate public
procurement policies, rules and regulations, and amend,
whenever necessary, the IRR.
•The GPPB-TSO is the technical, research, monitoring and
administrative arm of the GPPB.
28
2016 Revised IRR of RA 9184
On Authority Over Procuring Entities
It cannot dictate to the procuring entity how to
decide or resolve issues relative to its procurement
activities. The GPPB is a quasi-legislative body
mandated to formulate and amend the IRR. It has no
quasi-judicial powers and functions; hence, cannot
investigate and ascertain the existence of facts, hold
hearings, and exercise discretion of a judicial nature
over actual controversies with regard to the conduct
of bidding by procuring entities.
29
2016 Revised IRR of RA 9184
On Granting exemption from application of RA
9184
It
is beyond the authority of the GPPB to grant
exemptions from the application of RA 9184 and its
IRR as it does not have the mandate to legislate nor
determine the coverage of the law. The GPPB
however,
may
render
contemporaneous
construction of the provisions of the law pursuant to
its quasi-legislative fiat, and issue rules and
regulations on the basis of its rule-making power.
30
2016 Revised IRR of RA 9184
On Resolving issue on post-disqualification
GPPB cannot grant a bidder’s request to resolve
the issue of their post-disqualification. Nonetheless,
they are urged to follow the prescribed rules and
procedures on Protest Mechanism laid down in
Section 55 of the IRR of RA 9184.
31
2016 Revised IRR of RA 9184
On Declaring Failure of Bidding
GPPB is not vested with the authority to declare a
PE’s procurement activity to have incurred a failure
of bidding.
Declaration of failure of bidding is within the
authority and accountability of the Bids and Awards
Committee and the Head of the Procuring Entity to
exercise, under Sections 35 and 41 of the IRR of RA
9184, respectively.
32
PROCUREMENT ORGANIZATIONS
Head of the Procuring Entity (HOPE)
Bids and Awards Committee (BAC)
BAC Secretariat
Technical Working Group (TWG)
Observers
33
HEAD OF PROCURING ENTITY (HOPE)
Refers to:
 Head of the agency or body, or his duly authorized
official, for NGAs and the constitutional commissions or
offices, and other branches of government;
 Governing Board or its duly authorized official, for
GOCCs, GFIs and SUCs; or
 Local Chief Executive, for LGUs
Note: In an agency, department, or office where the
procurement is decentralized, the head of each
decentralized unit shall be considered as the HoPE,
subject to the limitations and authority delegated by the
head of the agency, department, or office
34
HEAD OF PROCURING ENTITY (HOPE)
FUNCTIONS AND RESPONSIBILITIES:
1. Establishes BAC and appoints its members
 Ensures that BAC members give their utmost priority
to duties
 Ensures professionalization of members of the
procurement organization
Within six (6) months upon designation, the BAC, its
Secretariat and TWG members should have satisfactorily
completed such training or
program conducted,
authorized or accredited by the GPPB through its TSO.
(Sec. 16, 2016 IRR of RA 9184)
35
HEAD OF PROCURING ENTITY (HOPE)
2. Approves the Annual Procurement Plan (APP)
3. Approves/Disapproves the Contract Award
4. Resolves Protests
36
BIDS AND AWARDS COMMITTEE (BAC)
As a general rule, HOPE must create a single BAC.
However, separate BACs may be created under any of the
following conditions:
1. The items to be procured are complex or specialized;
2. If the single BAC cannot reasonably manage the
procurement transactions as shown by delays beyond
the allowable limits; or
3. If the creation is required according to the nature of the
procurement.
37
BIDS AND AWARDS COMMITTEE (BAC)
FUNCTIONS AND RESPONSIBILITIES:
 Recommends Procurement Method
 Creates a Technical Working Group (TWG)
 Conducts the bidding activities
 Resolves Requests for Reconsideration
 Recommends Imposition of Sanctions
 Invites Observers during all stages of the procurement
process
 Conducts due diligence review or verifications of the
qualifications of observers
 Prepares Procurement Monitoring Report
38
BIDS AND AWARDS COMMITTEE (BAC)
FUNCTIONS AND RESPONSIBILITIES:
 Advertise and/or post the IB/REI
 Conduct pre-procurement and pre-bid conferences;
 Determine the eligibility of prospective bidders;
 Receive and open bids;
 Conduct the evaluation of bids;
 Undertake post-qualification proceedings;
 Recommend award of contracts to the HoPE or his duly
authorized representative;
 Recommend to the HoPE the use of Alternative Methods of
Procurement
39
BIDS AND AWARDS COMMITTEE (BAC)
FUNCTIONS AND RESPONSIBILITIES:
 Conduct any of the Alternative Methods of Procurement;
 Conduct periodic assessment of the procurement processes and
procedures
 Perform such other related functions as may be necessary
(Sec. 12.1, 2016 IRR of RA 9184)
40
BIDS AND AWARDS COMMITTEE
(BAC)
MEMBERSHIP AND QUALIFICATIONS:
 BAC members should occupy plantilla positions with
the procuring entity concerned.
 All members are regular members except the end-user
member who is considered as a provisional member.
The members, whether regular or provisional, are
equally entitled to participate and to vote during
deliberations.
41
BIDS AND AWARDS COMMITTEE (BAC)
COMPOSITION: 5 but not more than 7 MEMBERS
designated by the HOPE
1. Regular Members:
 Chairperson (3rd Ranking Permanent Official);
 Member representing the Legal or Administrative
areas (5th Ranking Permanent Personnel); or if not
available, an officer of the next lower rank;
 Member representing the Finance Area (5th Ranking
Permanent Personnel); or if not available, an officer
of the next lower rank;
42
BIDS AND AWARDS COMMITTEE (BAC)
COMPOSITION: 5 but not more than 7 MEMBERS
designated by the HOPE
2. Provisional Members
 Officer possessing Technical expertise relevant to the
procurement.
 End user unit Representative. In case of procurement
outsourcing, a representative from the Procuring Entity
may be designated as a provisional member
43
BIDS AND AWARDS COMMITTEE (BAC)
COMPOSITION: 5 but not more than 7 MEMBERS
designated by the HOPE
Members for LGUs (Regular Offices under OLCE):
1. Administrator’s Office
2. Budget Office
3. Legal Office
4. Engineering Office
5. General Services Office
6. End User Office
44
BIDS AND AWARDS
COMMITTEE (BAC)
 The BAC members shall elect among themselves
who shall act as the Chairman and ViceChairman.
The BAC Chairman and Vice-Chairman shall be
designated by the LCE
QUALIFICATIONS:
 BAC members should occupy plantilla positions
with the procuring entity concerned
 BAC Chairperson shall be at least a third ranking
permanent official
45
Procurement Organizations:
LGU BAC
BAC Composition in Local Government Units (LGUs)
 While the list of offices mentioned in Sec 11.2.3 of the IRR of RA
9184 is not exclusive, it is necessary that the BAC members shall
come from the regular offices under the Office of the Local Chief
Executive (LCE), except the Chief Accountant and any personnel
from the Accounting Unit.
Term of Office of BAC Members in LGUs
 The LCE was given the discretion to designate the members of the
BAC for the period of one (1) year, and to extend the terms of office
of BAC Members granting that the extension will be most desirable
and advantageous for the PE.
NPM 36-2014
46
ALTERNATE BAC MEMBERS
 Same qualifications as their principals.
 Same term as the principal.
 Presence of alternate BAC members in BAC meetings
are considered for purposes of quorum.
 The relationship of the principal and the alternate is of
co-equal nature, rather than hierarchical.
 Accountability shall be limited to their respective acts
and decisions.
 Shall be entitled to the proportionate honoraria for
attendance in meetings.
47
BIDS AND AWARDS COMMITTEE (BAC)
TERMS OF MEMBERSHIP:
The BAC members shall be designated for a term of one
(1) year only, reckoned from the date of designation.
However, the HOPE may renew or terminate such
designation at his discretion.
Upon expiration of the terms of the current members, they
shall continue to exercise their functions until new BAC
members are designated.
48
BIDS AND AWARDS COMMITTEE (BAC)
TERMS OF MEMBERSHIP:
In case of resignation, retirement, separation, transfer, reassignment, or removal of a BAC member, the HOPE shall
designate a replacement that has similar qualifications as
the official replaced. The replacement shall serve for the
unexpired term. In case of leave or suspension, the
replacement shall serve only for the duration of the leave
or suspension.
49
PROHIBITED BAC MEMBERS
1. Head of the Procuring Entity
2. Official who approves procurement contracts;
3. Chief
Accountant
or
Head
of
the
Provincial/City/Municipal Accounting Office and
his/her staff, unless the Accounting Department is the
end-user unit, in which case the Chief Accountant,
Head of the Accounting Department or his/her staff
may be designated as an end-user member. (COA
Circular Letter No. 2004 – 3)
50
BAC SECRETARIAT
 HOPE may create a new office or designate an existing
organic office to act as BAC Secretariat
In case of ad hoc BAC Secretariat, the HOPE shall assign
full-time support staff in its BAC Secretariat (Sec. 14.2)
 There is no minimum or maximum number of
members of the BAC Secretariat.
 Head of the BAC Secretariat must be at least a 5th or 3rd
ranking permanent employee or, if not available, a
permanent official of the next lower rank
51
BAC SECRETARIAT
FUNCTIONS:
 Provide administrative support to the BAC and TWG
 Organize BAC and TWG meetings and conferences
 Take custody of procurement documents and other
records
 Manage the sale and distribution of bidding documents
 Advertise/post bidding opportunities, including Bidding
Documents, and notices of awards
 Assist in managing the procurement process
 Monitor procurement activities and milestones
 Consolidate PPMPs
 Act as central channel of communications
 Prepare minutes of meetings and resolutions of the BAC
52
TECHNICAL WORKING GROUP (TWG)
 Created by the BAC from a pool of legal, technical and
financial experts
-
those experts outside the procuring entity concerned
may be included, i.e. government personnel and
officials and consultants from the private sector and
academe with proven expertise on the sourcing of
goods, works or consulting services. (GPPB
Resolution No. 07-2012, GPPB Circular No. 02-2012)
 BAC may create separate TWGs to handle different
procurements
53
TECHNICAL WORKING GROUP (TWG)
FUNCTIONS:
Assist BAC in the following activities:
 Eligibility screening
 Bid evaluation
 Post-qualification
 Review of the Technical Specifications, Scope of Work, and
Terms of Reference
 Review of Bidding Documents
 Shortlisting of consultants
 Resolution of Request for Reconsideration
(Sec. 12.1, 2016 IRR of RA 9184)
54
OBSERVERS
 Observers represent the public, the taxpayers who are
interested in seeing to it that procurement laws are
observed and irregularities are averted.
 At least three (3) Observers shall be invited coming
from:
 COA
 Duly recognized private group in the sector or
discipline of the particular type of procurement
involved
 Non-Government Organization (NGO)
55
OBSERVERS
 In all stages of procurement process, During the 1)
eligibility checking, 2) shortlisting, 3) pre-bid
conference, 4) preliminary examination of bids, 5) bid
evaluation, and 6) post-qualification, the BAC must
invite, in writing, at least three (3) Observers, at least 3
cd 5cd before the date of the procurement stage/activity
56
OBSERVERS
Observers shall be allowed access or be provided with the
following documents free of charge upon their request,
subject to signing of a confidentiality agreement:
1.
2.
3.
4.
5.
Minutes of BAC meetings;
Abstract of Bids;
Post-qualification summary report;
APP and related PPMP; and
Opened proposals
In all instances, observers shall be required to enter into a
confidentiality agreement with the concerned Procuring Entity in
accordance with the form prescribed by the GPPB.
57
OBSERVERS
RESPONSIBILITIES:
1. Prepare report (jointly or separately) indicating their
observations on the procurement activities
2. Submit report to the PE and furnish a copy to the GPPB
and the Office of the Ombudsman/Resident
Ombudsman.
3. Immediately inhibit and notify in writing the PE of any
actual or potential conflict of interest
If no report is submitted by the observer within seven (7)
calendar days after each procurement activity, then it is
presumed that the bidding activity conducted by the BAC
followed the correct procedure
58
GRANT OF HONORARIA
 PE is authorized to grant honoraria to the members of
the BAC, the TWG, and the BAC Secretariat provided
the amount so granted does not exceed twenty-five
percent (25%) of their respective basic monthly salary,
subject to the following conditions:
• funds are available for the purpose; and
• the grant of honoraria conforms to the guidelines
promulgated by the DBM. (Section 15, IRR of
R.A. 9184)
59
GUIDELINES ON THE GRANT
OF HONORARIA
 DBM Budget Circular No. 2004-5A, dated 7 October
2005, as amended by DBM Budget Circular No. 2007-3,
dated 29 November 2007.
 Only for successfully completed procurement
projects
 Limited to procurement that involves competitive
bidding – Competitive Bidding, LSB and Nego
Proc-Two Failed Bidding.
 Granted to Chair or Members of the BAC or the
TWG by the PE concerned.
60
GUIDELINES ON THE GRANT
OF HONORARIA
 BAC Secretariat performing attendant functions in
addition to their regular duties and functions may be
paid honoraria at the same rate as the TWG Chair and
Members
 Those who are receiving honoraria shall no longer be
entitled to overtime pay for procurement-related
services rendered.
 Payment of overtime services may be allowed for the
administrative staff, (clerks, messengers and drivers
supporting the BAC, the TWG and the Secretariat), for
procurement activities rendered in excess of official
working hours.
61
FUNDING SOURCE
 Collections from successfully completed procurement
projects, limited to activities prior to the awarding of
contracts to winning bidders:





proceeds from sale of bid documents;
fees from contractor/supplier registry;
fees charged for copies of minutes of bid openings,
BAC resolutions and other BAC documents;
protest fees; and
proceeds from bid security forfeiture
62
CEILING FOR HONORARIA
Maximum Honorarium rate
per procurement project
BAC Chair
Php 3,000.00
BAC Members
Php 2,500.00
BAC Secretariat
TWG Chair and Members
Php 2,000.00
Members of the BAC Secretariat whose positions are in the Procurement
Unit of the agency shall not be entitled to honoraria although the payment of
overtime services may be allowed, subject to existing policy on the matter.
63
THE 2016 REVISED IRR
(SALIENT FEATURES)
64
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Free Trade
Negotiations
Mandates adherence to RA 9184
or selection through competitive
bidding. Otherwise, negotiating
panel shall ensure that the
reasons for the adoption of a
different rule or method of
procurement are clearly reflected
in the records of discussion. (Sec.
4.3)
Provide
guidance and
directive in
negotiations
for
international
agreements
and executive
agreements
(i.e. FTA)
65
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Varying
interpretations
on what are
covered by RA
9184
Enumerated activities that are not
considered
as
procurement
undertakings under RA 9184 and its
IRR:
Clarification on
the
applicability of
RA 9184 and
its IRR
1. Direct
financial
or
material
assistance to beneficiaries
2. Participation
to
scholarships,
trainings, continuing education etc.
3. Lease of gov’t property for private
use
4. Job order workers
5. Joint Venture Agreements between
Private Entities and GOCCs or LGUs
6. Disposal of property and assets
(Sec. 4.5)
66
2016 Revised IRR of RA 9184
Issue/s
Poor
planning;
Delay in
budget
approval;
Delay in
procurement
Underspending
Revision
Impact
a. MYOA for Multi-year projects Improved
linkage of
(Sec. 5(b), 7.6);
b. Preparation of Indicative APP
upon issuance of budget call or
similar document (7.3)
c. Undertaking Procurement Short
of Award (7.6)
d. Require submission of APP and
changes thereto to GPPB (7.4)
budget to
procurement;
Efficiency in
procurement;
Improved
monitoring;
Avoid splitting
of contracts
67
2016 Revised IRR of RA 9184
Issue/s
Lack of
members to
constitute
BAC
Revision
Allows designation of an officer of the
next
lower
rank,
in
case
of
unavailability
of
5th
ranking
permanent official (except for BAC
Chairperson) (Sec. 11.2.2)
Impact
Increases the
pool from
which HOPE
select its BAC
members
In case of procurement outsourcing, a
representative from the Procuring
Entity may be designated as a
provisional member
The Chairperson and Vice-chairperson
shall be designated by the local chief
executive
(Sec.11.2.2,
11.2.3(a),
11.2.3(b)(iii))
68
2016 Revised IRR of RA 9184
Issue/s
Lack of fulltime BAC Sec
members to
support the
BAC in every
procurement
activity
Revision
Impact
Allows designation of an officer of Fast-track
the next lower rank, in case of procurement
unavailability of 5th ranking
permanent official
In case of ad hoc BAC Secretariat,
the HOPE shall assign full-time
support staff in its BAC Secretariat
(Sec. 14.2)
69
2016 Revised IRR of RA 9184
Issue/s
Role of
TWG
Revision
Duties of TWG:
1.) Review of the Technical
Specifications, Scope of Work, and
Terms of Reference;
2.) Review of Bidding Documents;
3.) Shortlisting of Consultants;
4.) Eligibility Screening;
5.) Evaluation of Bids;
6.) Post-Qualification; and
7.) Resolution of Request for
Reconsideration (12.1)
Impact
Avoids
pinpointing of
responsibilities
70
2016 Revised IRR of RA 9184
Issue/s
Lack of
training of
HOPE, BAC,
Secretariat
and TWG
Revision
Impact
The HoPE shall ensure that the BAC, Procurement
its Secretariat and TWG members, Professionaliincluding
other
relevant zation
procurement personnel are sent to
attend procurement training or
capacity development program.
Within
six
(6)
months
upon
designation, the BAC, its Secretariat
and TWG members should have
satisfactorily
completed
such
training or
program conducted,
authorized or accredited by the
GPPB through its Technical Support
Office.
71
2016 Revised IRR of RA 9184
Issue/s
Low-turn out
of
procurement
observers
Revision
Impact
a. Identify stages of procurement Increase
observers’
when observers are invited;
participation
b. Increase the period of notice
from 3 to 5 days
c. Allow access or provide copy of
bidding documents
d. If no observer report within 7
days from activity, there is a
presumption
that
the
BAC
followed the correct procedure
(Sec. 13)
72
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
a. Bid documents shall reflect the Quality of
Poor
specifications necessary specifications required Goods for the
lowest prices
to meet the needs of the PE
NonRefundable
Fee
For bid docs
b. For mixed procurement, PE
shall
specify
all
relevant
requirements
for
each
procurement type (Sec. 17.2)
Provide instances when bid doc Fairness in
fees may be refunded to the procurement
bidder, i.e. declaration of failure of
bidding under Section 41. (Sec.
17.5)
73
2016 Revised IRR of RA 9184
Issue/s
Revision
Reference to brand names is
allowed for items or parts that are
compatible with the existing fleet or
equipment of the same make and
brand
and
will
maintain
the
Reference to
performance,
functionality
and
Brand Names
useful life of the equipment.
Difficulty in
preparing
technical
specifications
Impact
Ensure
compatibility,
performance,
functionality
and useful life
of the
equipment.
Prohibition on brand names likewise
apply to the goods component of
Infrastructure
Projects
and
Consulting Services. (Sec. 18)
74
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Poor Quality
of Works
Requirement on detailed
Quality of
engineering is emphasized. (17.6) Goods for the
Delay in
procurement
due to issues
on right of
way
Commencement of the
procurement process for civil
works short of award, until a
permit to enter, deed of
sale/donation, writ of possession
is issued (17.6)
Institutionalize procurement by lot
(Sec. 21.1(b))
Volume of
Procurement
Requests
lowest prices
Fastrack
procurement
activities
Efficiency in
procurement
75
2016 Revised IRR of RA 9184
Issue/s
Revision
a.
Increase
thresholds
Newspaper
advertisement advertisement requirement
Low
participation
of bidders in
pre-bid
Impact
for Reduce
government
cost for
newspaper
on advertisements
b. 2 years sunset clause
advertisement requirement (Sec.
21.2.1)
a. Allow conduct of pre-bid via Clarifies
procurement
video-conferencing, webcasting
requirements;
Reduce
b. Allow all prospective bidders disqualification;
(even those who did not buy bid Increase
competition
docs) to raise queries (Sec. 22)
76
2016 Revised IRR of RA 9184
Issue/s
Revision
registration
under
Disqualification a. Mandatory
of Bidders/
Platinum Membership (Sec. 8.5.2,
Failure of
25.2)
Biddings due
to
b. Mayor’s permit:
documentary
requirements
- Allows submission of recently expired
mayor’s permit with official receipt of
Low turn-out
application for renewal of permit
of bidders
- Allows
equivalent
document
for
economic zones (Sec. 23.1(a)(ii),
24.1(a)(ii))
Impact
Easier
eligibility
check
Reduce
disqualification
of bidders/
failure of
biddings
Increase
competition
c. For goods procurement, submission
of a Credit Line, as an alternative to
NFCC (Sec. 23.1(a)(viii))
77
2016 Revised IRR of RA 9184
Issue/s
Disqualification
of
Bidders/Failure
of Biddings
due to
documentary
requirements
Low turn-out
of bidders
Revision
Impact
d. For goods and infrastructure projects, Easier
fixing the NFCC’s K factor at 15, eligibility
regardless of contract duration (Sec. check
23.4.1.4, 23.4.2.7)
e. For individual consultants not
registered as sole proprietors, they can
submit BIR Certificate of Registration
instead of DTI and Mayor’s Permit (Sec.
24.1(a)(ii))
Reduce
disqualification
of bidders/
failure of
biddings
Increase
competition
f. In consulting services, submission of
foreign bidders’ SEC Certificate of
Registration and/or PRC permit is
moved from eligibility to contract award
(Sec. 37.1.4(a)(iv))
78
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Strict rules on Bid envelopes that are not properly Reduce
sealed and marked, as required in the disqualification
marking/
sealing of bids bidding documents, shall be accepted, of bidders
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)
79
2016 Revised IRR of RA 9184
Issue/s
Revision
Bid Rigging/ a. BAC Secretariat shall notify in
writing all bidders whose bids it
Simulation of
has received through its PhilGEPSbids;
registered physical address or
official e-mail address (25.7)
Impact
Ensure
transparency
and accurate
representation
of the bid
submission
b. The BAC shall notify all other
bidders,
in
writing,
of
its
recommendation to HOPE of award
of contract to LCRB/HRRB within 3
Calendar Days. (37.1.1)
80
2016 Revised IRR of RA 9184
Issue/s
Procurement
by Foreign
Service Posts
Revision
Impact
a. Exempts the bidder from the mandatory Encourage
PhilGEPS Certificate of Registration (Sec. participation
25.2)
of foreign
b. Winning bidder shall be required to bidders in the
register (Registration Number only) prior procurement
to contract signing. (Section 37.1.4(a)(ii)
by FSPs
Bid and
Performance
Securities
a. Allows the bidder to choose their Avoid undue
preferred form of bid security (Sec. 27.2)
disqualification
b. Clarifies that the amount for Bid
Security shall not be less than the amount
of the ABC; in case of the Performance
Security, the Contract Price. (Secs. 27.2
and 39.2)
of bidders who
posted more
than the
required
amount.
81
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Strengthen post-qualification process:
Technical
capability of
a. For Goods, BAC shall check:
suppliers and
1. Delay in the partial delivery of goods
contractors
Ensures
technical
capability of
bidders from
amounting to ten percent (10%) of the
their past or
contract price in its ongoing contracts;
on-going
2. Bidder’s failure to deliver within the contracts
period(s) specified in the contract or
within any extension thereof and such
failure amounts to at least ten percent
(10%) of the contract price; or
3. Unsatisfactory performance of the
supplier’s obligations as per contract
terms and conditions at the time of
inspection (Sec. 34.3(b)(iii))
82
2016 Revised IRR of RA 9184
Issue/s
Technical
capability of
suppliers and
contractors
Revision
Impact
b. For Infrastructure Projects, BAC shall Ensures
check:
technical
1. Negative slippage of at least 15% in
any one project or a negative slippage
of at least 10% in each of 2 or more
contracts;
2. Failure of
the contractor
to
commence repair works on ongoing
contracts in accordance with Section
34.3
3. Failure of the contractor
to
commence repair works on contracts
with pending certificates of acceptance
in accordance with Sec. 34.3
4. Substandard quality of work or
unsatisfactory performance at the time
of inspection.
capability of
bidders from
their past or
on-going
contracts
83
2016 Revised IRR of RA 9184
Issue/s
Revision
Period of
Action per
procurement
activity
a. Re-scheduling of bid opening
(due to justifiable reasons, i.e
lack of quorum, cancellation of
office work due to bad weather):
Impact
BAC/HOPE is
given a
standardized
time to
determine the
-reschedule on the next working day of eligibility and
at the soonest possible time (Sec. 29)
capability of
bidders
b. Standardize/adjusted period of
action:
Bid Evaluation for goods and infra
– 7 calendar days, regardless of amount
of ABC (Sec. 32.4)
84
2016 Revised IRR of RA 9184
Issue/s
Period of
Action per
procurement
activity
Revision
Impact
Post-qualification:
May be conducted up to 12 calendar
days, or up to 45 calendar days in
exceptional
cases
for
goods
&
infrastructure projects, or up to 30
calendar days for consulting services.
In case of post-disqualification of the
LCB/HRB, the BAC is given a fresh
period
to
post-qualify
the
next
LCB/HRB. (Sec. 34.8)
Contract Approval
Authority:
by
BAC/HOPE is
given more
time to
determine the
eligibility and
capability of
bidders
Higher
NGAs, SUCs, LGUs, - 20 cd
GOCCs – 30 cd (Sec. 37.3)
85
2016 Revised IRR of RA 9184
Issue/s
Retention
Money
Revision
Impact
For Goods, retention money is Reduce
reduced from 10% to at least 1% transaction cost
results to lower
(Sec. 62)
bid prices
For Infrastructure Projects, retention
money is retained at 10%
Termination
of contract/
Liquidate
damages
Once the cumulative amount of
liquidated damages reaches ten
percent (10%) of the amount of the
contract, the Procuring Entity may
rescind or terminate the contract,
without prejudice to other courses of
action and remedies available under
the circumstances. (Sec. 68)
PE has the
discretion w/n to
terminate the
contract,
especially when
the Project is
near completion
(but LD already
reached 10%)
86
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
Procurement
Agent
Removed Procurement Agent as an
alternative modality. However, PE may
still
outsource
their
procurement
activities by:
Clarified that
Procurement
Agent is not a
method of
a) Requesting other GoP agencies to procurement.
undertake such procurement
them
b) Engaging
agents in
Guidelines
for
private
procurement
accordance with GPPB
c) Recruiting or engaging consultants to
assist them directly and/or train their
staff (Sec. 7.3.3)
87
2016 Revised IRR of RA 9184
Issue/s
Difficulty in
procuring the
following:
-Media
services;
-Scientific,
academic
references,
works
- life-saving
equipment
-Legal services
-Artistic works
- Infra projects
with exclusive
technology
Revision
New Alternative Modality:
Section
53.6
Scientific,
Scholarly or Artistic Work,
Exclusive
Technology
and
Media Services.
Impact
Efficiency in
procurement
considering
that only 1
supplier/contr
actor could
provide the
needs of the
PE
88
2016 Revised IRR of RA 9184
Issue/s
Engaging the
services of
International
Organizations
or
International
Financial
Institutions
Revision
Impact
Expanded the coverage of Section 53.13, To better
to include IOs and IFIs for the following facilitate the
procurement:
engagement
a. small quantities of off-the-shelf goods, of the services
primarily in the fields of education and UN agencies,
health;
IOs and IFIs.
b. specialized products where the number
of suppliers is limited, such as but not
limited to vaccines or drugs;
c. Goods, Infrastructure Projects and
Consulting Services, involving advanced
technologies, techniques and innovations
not locally available as certified by the
HoPE, when it is most advantageous to the
government. (Sec. 53.13)
89
2016 Revised IRR of RA 9184
Issue/s
Revision
Impact
a. 3-day posting shall be required for Standardize
the following modalities:
AMP rules
Posting
Requirements
for Alternative
1. Limited Source Bidding;
Methods of
Procurement
2. Shopping under Section
52.1
above P50K
3. Two Failed Biddings
4. Small Value Procurement
5. NGO Participation (Sec. 54.2)
b. Posting of awards for all Alternative
Methods, excepts for ABCs P50K and
below (Sec. 54.3)
90
2016 Revised IRR of RA 9184
Issue/s
PhilGEPS
Registration
Requirement
s for
Alternative
Methods of
Procurement
Revision
Impact
PhilGEPS Registration Number, as a Standardize
condition for award on the following AMP rules
modalities:
1. Direct Contracting
2. Shopping under Sec. 52.1(b)
3. Take over of contracts (new bidders)
4. Scientific, Scholarly, Artistic Works etc.
5. Highly Technical Consultants
6. Small Value Procurement
7. Lease of Real Property and Venue
For Limited Source Bidding and Two-Failed
Biddings,
PhilGEPS
Certificate
of
Registration is required. (Sec. 54.6)
91
Annex “H” of the 2016 Revised IRR
Issue/s
Revision
Different
guidelines for
alternative
method of
procurement
Issuance of Annex “H” of the 2016
Revised IRR of RA 9184. Consolidated
Guidelines for the following Alternative
Methods of Procurement:
Various
2. Repeat Order
interpretations
of
stakeholders
on the
procedures of
AMPs
1. Direct Contracting;
3. Shopping
4. Negotiated Procurement (Two Failed
Biddings; Emergency Cases; TakeOver
of
Contracts;
Adjacent/Contiguous;
Agency-toAgency; Scientific, Scholarly, Artistic
Works
etc.;
Highly
Technical
Consultants; and Lease of Real
Property and Venue)
Impact
Single
reference on
the
procurement
procedures
and
requirements
for the
commonlyresorted
Alternative
Modalities
92
Annex “H” of the 2016 Revised IRR
Issue/s
The number of
quotation that
the BAC has to
obtain, in
order to
proceed with
the negotiation
Revision
a. Shopping
52.1(a)
and
Procurement– send at least 1 RFQ
Emergency
b. Shopping 52.1(b) – send at least 3 RFQs, receive
at least 3 quotations
c.
Two
Failed
Biddings,
Small
Value
Procurement, Lease of Real Property/Venue send at least 3 RFQs, receive at least 1 quotation will
suffice
93
Annex “H” of the 2016 Revised IRR
Issue/s
25%
threshold
requirement
for Agency to
Agency
procurement
Revision
25% threshold requirement is removed, provided that
the servicing agency has the mandate and absorptive
capacity to undertake the project
Procurement
of Publicowned real
property/ven
ue for public
use
Negotiated Procurement under Section 53.10 on lease
of real property and venue for public-use cover both
publicly-owned and privately-owned.
Thresholds
for SH & SVP
Doubled the thresholds for all PEs, except for Barangays
(maintained at P50,000)
94
THANK YOU…
Atty. Dennis S. Santiago
Executive Director V, GPPB-TSO

Telephone/Fax: (+632) 900-6741 to 44

Website: http://www.gppb.gov.ph

Email: gppb@gppb.gov.ph