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OUTLINE

I. Procurement Standards
II. Alternative Methods
1. Limited Source Bidding*
2. Direct Contracting
3. Repeat Order
4. Shopping
5. Negotiated Procurement

2
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

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PROCUREMENT STANDARD

Procuring Entities shall adopt


Public Competitive Bidding as the
GENERAL mode of procurement.

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PROCUREMENT STANDARD

EXCEPTION
Alternative methods shall be resorted ONLY:
1. In highly exceptional case For any change in the method
2. To promote economy and efficiency of procurement, the APP shall
3. Justified by conditions specified in IRR be updated first prior 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).

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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.

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1. LIMITED SOURCE BIDDING

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
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1. LIMITED SOURCE BIDDING

 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 thelistrelevant government authority in which the PE
The pre-selected
may be
may be the accessed atgovernment authority.
relevant
http://www.gppb.gov.ph/
monitoring/pre_selected
 The pre-selected.php list shall be updated periodically and submitted to
the GPPB.
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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.

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2. DIRECT CONTRACTING

APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

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.
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2. DIRECT CONTRACTING

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
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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.

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3. REPEAT ORDER

APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

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;
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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

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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.

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4. SHOPPING

APPLICABILITY [Sec. 52.1(a) and Sec. 52.1(b)]:

GOODS INFRASTRUCTURE CONSULTING


 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 ot
analogous services. 19
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.

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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.
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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
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4. SHOPPING

THRESHOLD FOR Sec. 52.1 (b):


 NGAs, GOCCs, GFIs, SUCs and Autonomous Regional Government–
PhP1,000,000
 LGUs:
Maximum Amount (in Philippine Pesos)
Classification
Province City Municipality
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
In the case of Barangays, the maximum amount is PhP50,000
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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.

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5.a NEGOTIATED PROCUREMENT -
SMALL VALUE PROCUREMENT

Procurement of goods not covered by Shopping


under Sec. 52, infrastructure projects and consulting
services not exceeding the threshold.

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5.a NEGOTIATED PROCUREMENT -
SMALL VALUE PROCUREMENT

APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

  

 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.
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5.a NEGOTIATED PROCUREMENT -
SMALL VALUE PROCUREMENT

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.


5.a NEGOTIATED PROCUREMENT -
SMALL VALUE PROCUREMENT
THRESHOLD:
 NGAs, GOCCs, GFIs, SUCs and Autonomous Regional Government–
PhP1,000,000
 LGUs:
Maximum Amount (in Philippine Pesos)
Classification
Province City Municipality
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
In the case of Barangays, the maximum amount is PhP50,000 29
SHOPPING AND SMALL VALUE
PROCUREMENT
The PE should be able to
produce supporting
documents that it has
PROCEDURAL GUIDELINES:invited at least 3 suppliers.
Send RFQ/RFP to at
Post in PhilGEPS, PE’s
least 3 suppliers website and conspicuous
Prepare *May be 1 in case of 52.1(a) place for 3 cd
RFQ/RFP *Receipt of 3 RFQs for 52.1(b) is *Except 52.1(a) and ABC 50k and below
mandatory
*Extend deadline if no quotation is
Receipt of 1 RFQ in SVP will received
suffice

Award to LCB (for


SHP & SVP)/HRB
Prepare Abstract of
(for SVP) that
Quotations complies with specs
and ABC

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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

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5.b NEGOTIATED PROCUREMENT -
TWO FAILED BIDDINGS
APPLICABILITY:

1. No bids were received;


2. All prospective bidders are ineligible;
GOODS INFRASTRUCTURE 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
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5.b NEGOTIATED PROCUREMENT -
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)
suppliers/ Best Offer Awarding of
contractors/ contract
consultants Requirements, guidelines,
documents, clarifications, or other
information relative to the
negotiations shall be 33
communicated on an equal basis.
5.b NEGOTIATED PROCUREMENT -
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.
3. Best Offer

 Observers shall be invited in all stages

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5.b NEGOTIATED PROCUREMENT -
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.

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5.c NEGOTIATED PROCUREMENT -
EMERGENCY CASES
APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

  

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5.c NEGOTIATED PROCUREMENT -
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

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5.c NEGOTIATED PROCUREMENT -
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.

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5.d NEGOTIATED PROCUREMENT -
TAKE-OVER OF CONTRACTS

APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

  

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5.d NEGOTIATED PROCUREMENT -
TAKE-OVER OF CONTRACTS

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.

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5.d NEGOTIATED PROCUREMENT -
TAKE-OVER OF CONTRACTS

 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
negotiation fails. Authority to negotiate contracts
for projects under this modality
shall be subject to prior approval
 If negotiation fails, the BAC may either: by the 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.

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5.e NEGOTIATED PROCUREMENT -
ADJACENT OR CONTIGUOUS

Where the subject contract is adjacent or contiguous to


an on-going Infrastructure Project or Consulting
Service where the consultants have unique
experience and expertise to deliver the required
service.

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5.e NEGOTIATED PROCUREMENT -
ADJACENT OR CONTIGUOUS

APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

 

CONDITIONS:
1. Original contract is a result of competitive bidding;
2. Subject contract has similar or related scopes of work;
3. Within the contracting capacity of the contractor/consultant;
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5.e NEGOTIATED PROCUREMENT -
ADJACENT OR CONTIGUOUS
CONDITIONS: (Continuation)

4. In determining the SLCC, NFCC and PCAB license, the sum of the value
of the remaining works for the existing contract and the ABC of the
contiguous or adjacent work shall be considered;
5. The same prices or lower unit prices as the original contract
less mobilization cost,
6. The ABC of the contiguous or adjacent work involved does not
exceed the contract amount of the ongoing project.
7. No negative slippage/delay during the time of negotiation, and
8. Negotiations (e.g. scope of work or terms of reference, unit price and
other terms and conditions) commenced before expiry of original
contract.
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5.e NEGOTIATED PROCUREMENT -
ADJACENT OR CONTIGUOUS

WHEN ORIGINAL CONTRACT HAS ALREADY BEEN


COMPLETED

 The determination and decision to resort to the alternative modality


of Negotiated Procurement under Section 53.4 is subject to the prior
approval of the HOPE, upon favorable recommendation of the BAC,
provided that the conditions set forth therein are present, one of
which is that “the negotiations for the procurement are commenced
before the expiry of the original contract”.

45
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.

46
5.f NEGOTIATED PROCUREMENT -
AGENCY-TO-AGENCY
APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING

  
 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.
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5.f NEGOTIATED PROCUREMENT -
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;

48
5.f NEGOTIATED PROCUREMENT -
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.

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5.f NEGOTIATED PROCUREMENT -
AGENCY-TO-AGENCY
PROCEDURAL GUIDELINES:

The End-User
The End-User shall secure a The HoPE shall
shall justify to certificate from The BAC shall enter into a MOA
the BAC that the the relevant issue a with the
resort to A-to-A officer of the Resolution Servicing
is more efficient Servicing recommending Agency upon
and economical Agency that the the use of A-to-A approval of the
to the latter complies to the HoPE. BAC
government. with the recommendation
conditions.

50
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.

51
5.g NEGOTIATED PROCUREMENT
SCIENTIFIC, SCHOLARLY OR ARTISTIC WORK,
EXCLUSIVE TECHNOLOGY AND MEDIA SERVICES

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;

52
5.g NEGOTIATED PROCUREMENT
SCIENTIFIC, SCHOLARLY OR ARTISTIC WORK,
EXCLUSIVE TECHNOLOGY AND MEDIA SERVICES

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.

53
5.g NEGOTIATED PROCUREMENT
SCIENTIFIC, SCHOLARLY OR ARTISTIC WORK,
EXCLUSIVE TECHNOLOGY AND MEDIA SERVICES

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.

54
5.h NEGOTIATED PROCUREMENT
HIGHLY TECHNICAL CONSULTANTS

Procurement of consultancy contract involving an


individual consultant who is found to be legally,
technically and financially capable after negotiation.

55
5.h NEGOTIATED PROCUREMENT
HIGHLY TECHNICAL CONSULTANTS
APPLICABILITY:

GOODS INFRASTRUCTURE CONSULTING


CONDITIONS:
1. Work involves:
 Highly technical or proprietary; or
 Primarily confidential or policy determining, where trust and
confidence are the primary consideration; and
2. Term is, at the most, 1 year, renewable at the option of the appointing HOPE,
but in no case to exceed the term of the latter.
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5.j NEGOTIATED PROCUREMENT
LEASE OF REAL PROPERTY AND VENUE

Procurement covering lease of


real property and venue for official use.

58
5.j NEGOTIATED PROCUREMENT
LEASE OF REAL PROPERTY AND VENUE
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.
59
5.j NEGOTIATED PROCUREMENT
LEASE OF REAL PROPERTY AND VENUE
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 also use be
of thiswithin
modality so
thelongprevailing
as market
rates it covers lease of privately-
owned real property or venue.
2. Technical Specifications shall be prepared taking into
consideration the Rating Factors under Appendix B.
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DOCUMENTARY REQUIREMENTS

• The BAC shall indicate in the RFQ or RFP at what stage of the
procurement process these requirements must be submitted, i.e.,
submission of offer/s, evaluation of offer/s, before issuance of
Notice of Award or prior to payment.

79
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
above P500K P500K
P500K

80
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
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)

81
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
Highly Technical   
Consultant (Section
53.7)
Small Value      
Procurement (Section For ABCs For ABCs
53.9) above above P50K
P500K
Lease of Real Property   
Or Venue (Section Except for Except for Except
53.10) gov’t gov’t for gov’t
agencies agencies agencies
as lessors as lessors
as lessors
82
DOCUMENTARY REQUIREMENTS

• For individuals engaged under Sec. 53.6 (Scientific, Scholarly…), 53.7


(Highly Technical Consultant) and 53.9 (Small Value Procurement) 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 (Scientific, Scholarly…) 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.

83
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 or RFP) 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

84
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;

85
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 Two-Failed Biddings and LSB, 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

86
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.

87
REFERENCE TO BRAND NAMES

 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.

88
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 (b)
2. Negotiated Procurement under Emergency Cases
3. Small Value Procurement
4. Lease of Real Property and Venue

Shopping A and Emergency cases, the delegated authority can be until


award of contract
89
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.

90
PERFORMANCE and
WARRANTY SECURITIES
Alternative Method of Performance Warranty Security
Procurement Security
(PS)
Emergency Cases Procuring Entity may Procuring Entity may
require PS depending on require WS depending 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 procurement
PS is required. of Consulting Services.
Take-over of Contracts  
Adjacent/Contiguous  For Infrastructure Projects,
WS is required.
91
PERFORMANCE and
WARRANTY SECURITIES
Alternative Method of Performance Warranty Security
Procurement Security
Small Value Procurement (PS)
Procuring Entity may Procuring Entity may
require PS depending on require WS depending 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 procurement
PS is required. of Consulting Services.

92
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.

93
THANK YOU!!

94

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