COMMISSION ON AUDIT MEMORANDUM NO.

98-016 June 16, 1998

TO

All COA Directors of Central and Regional Offices, Heads of Auditing

Units/Teams, and Others Concerned.

SUBJECT:Amendment to COA Memorandum No. 87-492 dated July 27, 1987 re: Posting
of COA Signboards and Blackboards Publicizing Government Projects.
Quoted hereunder is the full text of the letter dated March 26, 1998 of Mr. Froilan
S. Castro, Executive Director, Philippine Contractors Accreditation Board (PCAB) to the
COA Chairman:
Republic of the Philippines
Department of Trade and Industry
Construction Industry Authority of the Philippines
PHILIPPINE CONTRACTORS ACCREDITATION BOARD
7th Floor, Peninsula Court Building
8750 Paseo de Roxas corner Makati Avenue
Makati City, Metro Manila Philippines
Tel. Nos. : 750-2271/72/78
March 26, 1998
Hon. Celso D. Gagan
Chairman
Commission on Audit
COA Bldg., Commonwealth Ave.
Quezon City, M.M.
Dear Chairman Gagan
We would like to seek your support and cooperation in the
implementation of R.A. 4566 otherwise known as the Contractor's Licensing
Law, more particularly in insuring that only duly licensed contractors (local or
foreign) are allowed to bid and undertake construction projects in the
Philippines. In this connection, may we quote the pertinent provisions of
R.A. 4566 for your perusal, to wit:
"Sec.33. Enforcement by officers of the law. It shall be the duty of all
duly constituted law enforcement officers of the national, provincial, city and
municipal government or any political subdivision thereof, to enforce the
provisions of this Act and report to the Board any violation of the same."
Sec. 34. x x x
Sec. 35 x x x
Sec. 36. License required in bidding. All architects and engineers
preparing plans and specifications for work to be contracted in the
Philippines shall include in their invitation to bidders and in their
specifications a copy of this Act, or such portions thereof as are deemed
necessary to convey to the invited bidder, whether he is a resident of the

Philippines or not, the information that it will be necessary for him to have a
license before his bid is considered."
In order to readily pinpoint whether or not a particular contractor is
indeed a holder of contractor's license, we would like to request your office
to impose the following requirements on the said contractor:
a.
Presentation of a valid contractor's license prior to project
bidding and subsequently verifying the authenticity of the same from PCAB
before any award is made; and
b.
Installation of a signboard or billboard at the project site
indicating the contractor's name, contractor's license number, and relevant
license classification.
Thank you for assisting us in this endeavor.
Very truly yours,
(Signed) FROILAN S. CASTRO
Executive Director
In view of the following foregoing request, the contents of Figure 1, an attachment
to COA Memorandum No. 87-492 dated July 27, 1987, is hereby amended to include the
following:
1.
2.

Contractor's License Numbers

Contractor's License Classifications

See attached sheet for the revised format of Figure I.

(SGD.) CELSO D. GAGAN, Chairman

Republic of the Philippines

COMMISSION ON AUDIT
ProvincialGovernmentofMisamisOriental

Project:__________
Location:_________
Cost:_____________
Implementing Agency:______________________
Participating Bidders:
(3 lowest bidders)
Contractor's
Name of Company Address
License Number
_______________ _________
______________
_______________ _________
______________
_______________ _________ ______________

License
Classification
_______________
_______________
_______________

Date Project Started :___________________________________________

Target Date:__________________________________________________
Winning Bidder: (Name and Address of the Company)
------------------------------------------------(Name and Title of President or General Manager)
Under Audit By:_____________________________
Auditor (Agency)
For particulars contact the
Commission on Audit, Regional
Office No. __________________
Address :____________________