RA9184 GPRA Dir.bedonia

7/28/2019 RA9184 GPRA Dir.bedonia

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RA 9184Government Procurement Reform Act

65th PICPA National Convention23-26 November 2010


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DOING THE RIGHT THINGSDOES NOT ONLY MAKE SENSEMORALLY, BUT TRANSLATESINTO ECONOMIC VALUE ASWELL!


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Republic Act No. 9184

An Act providing for theModernization, Standardization andRegulation of the Procurement

Activities of the Government and for

other Purposes

GPRA

01/26/03


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What is Procurement?Acquisition of goods, consulting

services and contracting of

infrastructure projects by the

procuring entity IRR of GPRA


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Scope and Coverage

Procurement Principles

Procurement PlanningProcurement Organization

Observers

Public Bidding

Alternative MethodsOther Updates

E-procurement

Topics

Changes &

modifications


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Scope, Coverage, ApplicationR.A. 9184 Governs the Procurement of:

Infrastructure Projects (Civil Works)construction, repair, improvement of physical

facilities

Goods (Supplies, Materials, Equipment,

Janitorial, Security, and Related Services

Consult ing Services hiring of professional

external expertise (advisory, design, specialstudies, management services)

R.A. 9184 Covers Procurement Planning

up to Contract Implementation


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Application

R.A. 9184 Applies to public sector:

National Government Agencies (NGAs)

State Universities and Colleges (SUC)Government Owned or Controlled

Corporations (GOCC)

Government Financial Institution (GFI)

Local Government Units (LGUs)

including barangays


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SCOPE AND APPLICATIONCOVERAGE (Revised IRR)

All domestically-funded procurement activities

of the GOP NGAs, GOCCs, GFIs, SUCs, LGUs

All foreign-funded procurement activities,except when the treaty, international orexecutive agreement expressly provides the

use of foreign govt./international financing

institution procurement rules But procurement funded thru foreign grants are

excluded


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ClarificationIn case of conflict between IRR andTreaty/Intl. Agreement the LATTER shall

prevail

GOP negotiating panels shall:

Adopt as default position, use of the IRR or

selection thru competitive bidding Explain in writ ing if treaty, international or

executive agreement states otherwise

SCOPE AND APPLICATION


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Procurement of goods, infra or consultingservices funded from foreign grants or

ODA covered by RA 8182/8555 except when

GOP and foreign grantor agree otherwise

Acquisition of real property i.e. right- of-

way covered by RA 8974

Public-Private sector infrastructure or devt.

projects covered by RA 6957/7718 such asBOT except portion by GOP regardless of

source of funds

IRR DOES NOT COVER . .


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PROCUREMENT TOOLKITSImplementing Rules and Regulations Part A

signed by PGMA thru MO 119 on Sept. 23, 2003,took effect Oct. 8, 2003

Standard Bidding Documents and Forms

issued May 26, 2005 to be used by PEs startingJ uly, 2005Procurement Manuals

Generic Issued Dec. 26, 2006 to beused Jan. 2007

LGU Customized

2 versions

Issued Nov. 29, 2007

took effect Feb 1, 2008


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Revised IRR approved per GPPB Res. 2009-03, July 22, 2009, took effect Sept. 2, 2009

Philippine Bidding Documents (PBDs), 3rd

Edition, issued Oct. 2009

Standard Forms revision on-going; issued

so far: APP, PPMP, PMR

PROCUREMENT TOOLKITS

Use of GPM, PBDs and Forms is mandatory

modification may be made to suit particular need of

PEs


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GPRA PrinciplesHOW

HOW

HOW

HOW

GPRA

Wide dissemination of

procurement opportunities

Observers presence

Equitable treatment of

bidders

Fair grounds for competition

Simple; non discretionary

Adaptable to changes in

technology

Responsibilities clear &

legally identifiable

Sanctions for erring

officials/private parties


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Harmonization - alignment with

international best practices

Application of Domestic

Preference AO 227, Flag Law

Learn from experience addressconcerns raised by procuring

entities

Other Considerations


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RULE II (Section 7)

DOs and DONTsAll procurement within the approved budget

Procurement in accordance with APP dulyapproved by HOPE or his authorized 2nd

ranking designated officialWHAT TO INCLUDE IN APP? - thoseconsidered crucial to discharge of officialfunctions required in day-to-day operation

or pursuit of PEs mandateAPP to include provision for emergenciesbased on historical records to avoid piece-meal approval of the HOPE

PROCUREMENT PLANNING


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ABC Approved Budget for the Contract (ABC)

Refers to budget for the contract dulyapproved by the Head of the ProcuringEntity

Approved Budget is CEILING for bid

prices Invitation to Bid should specify the

APPROVED BUDGET for the contract andthe source of funding

In determining ABC, consider:Appropriation for the project/procurement

Market price

Inflation and cost of money directly related to

the procurement timetable


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NGAs/SUCsSpecifically appropriated items in the budget:full cost of single year project

Lump sum approp. allocation of specificimplementing unit as determined by the headof the dept/agency

GPPB Joint Circular No. 01-2009 Approved Budget for the Contract (ABC)

GOCCs/LGUs

Amount of fund transfer received from thenational government


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To facilitate implementation of projects, ABCshall be based on the budget levels in the NEP

Lump sum approp. head of agency to notifyIUs of allocation for projects to be imlemented

GPPB Joint Circular No. 01-2009 Can procurement be carried out without an

approved budget?

BUT NOTICE OF AWARD TO BE ISSUED

Upon receipt of ABM or SARO NGAsReceipt of actual cash transfer GOCCs/LGUs


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Purchase

of office

supplies

Bidding

NegoP

PDA

F

Farm to

Market

Roads

GF/20%DF


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End-user unit Budget Officer End user/BAC

Start of the year,prepare PPMP

for Programs,

Projects

Support budget

proposal for

MOOE & CO


Evaluate PPMPs;

include in Budget

Proposal for

approval of HOPE

Furnish BAC Sec.

Copy of budgetproposal with

the PPMP

Upon budget

enactment,

revise/adjust

PPMP

BAC finalizes

procurementmode and

APP

Starts/ synchronized with Budget Preparation


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PPMP - serves as a guide document in

procurement and contract implementationContent (Sec. 7.3.2 IRR)

information whether projects will be contracted out

or implemented by Administrationtype and objective of contract

extent/size of contract packages

procurement methods to be adopted indicating if

procurement is to be outsourcedtime schedule of procurement and implementation

estimated budget for general component



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Responsibility

to update PPMP

Consolidate PPMPs

into the APP

Approves the APP

End-user

unit

BAC

Secretariat

HOPE


Updating of PPMP every 6 months or as

often required by the HOPE (addtl. allotment;change in procurement method)

At all times, ABC as reflected in the PPMP and APP

consistent with the appropriations in the budget

in the GAA, continuing/automatic appropriations

PROCUREMENT ORGANIZATION


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Bids and Awards Committee (BAC)

General Rule:Single BAC in Head Office- to consolidateprocurement

Exception:

To expedite the procurement and where the numberand complexity of the items to be procured warrants

HOPE may create separate BAC

BAC organized according to:Geographical location of PMO or end-user

Nature of procurement




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Bids and Awards Committee (BAC)

Composition:At least FIVE (5) MEMBERS, but not more than SEVEN(7) MEMBERS

Qualification:Personnel of unquestionable integrity andprocurement proficiency

Occupying plantilla position NOT THE TENUREOF INCUMBENT

Chairman at least 3rd ranking permanent official

TenureFixed term of 1 year unless sooner removed; canbe renewed at the option of HOPE



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Alternate BAC allowed (Sec. 11.2.4)

HOPE may designate alternate members

Same qualification and term as principalAttend meetings and receive honoraria

when principals are absent

Accountability limited to their acts and

decisions

Advisable HOPE to identify whocompose the principal BAC and the

Alternates

Functions of the BAC (Sec 12 1)


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1. Advertise/Post Invitation to Bid/RFEI

2. Conduct Pre-Procurement & Pre-Bid

3. Determine eligibility of bidders

4. Receive bids

5. Conduct evaluation of bids6. Undertake Post Qualification

7. Resolve Motion for Reconsideration

8. Recommend award of Contracts

9. Recommend Imposition of Sanctions10. Recommend use of Alternative Methods

11. Create TWG

Functions of the BAC (Sec. 12.1)

Other BAC Responsibil it ies (Sec 12 2)


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Prepare

Procurement Monitor ing Report

covering all activities specified in theAPP (pre-proc. to award of contract

HOPE

GPPB

For Approval and submission to

In printed & electronic form within

14 c.d after end of Semester

Other BAC Responsibil it ies (Sec. 12.2)

Ensure that PE abides by standards

of GPRA and its IRR


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Procurement OrganizationHead of the Procuring Entity shall createa BAC Secretariat to serve as the mainsupport unit of the BAC

OPTIONSHe may designate an existing organicoffice to serve as BAC Secretariat

To promote professionalization, he may

reorganize the organic office bydesignating it as BAC Secretariat andredeploying appropriate existingpersonnel to it to perform this function

and other procurement related tasks

The BAC Secretariat

Functions BAC Secretariat (Sec 14 1)


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1. Provide administrative support to the BAC

2. Organize and make arrangements for BACmeetings and conferences

3. Prepare minutes and resolutions of the BAC

4. Take custody of procurement documents and

other records5. Manage sale/distribution of Bid docs

6. Advertise/post bid opportunities, bid docs andnotice of awards

7. Assist in managing procurement process8. Monitor procurement activities/milestones

9. Consolidate PPMPs from various units of PE

10. Central channel of communications

Functions - BAC Secretariat (Sec. 14.1)


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Procurement Organization

Assist BAC in preparing biddingdocuments

Assist BAC in eligibility check/short-listing

Assist BAC in bid evaluation andpreparation of reports

Assist BAC in post-qualification and

prepare the post-qualification summaryreport

Assist BAC and BAC Secretariat prepareResolution Recommending Award, withregard to technical aspect, if necessary

TWG created by the BAC from a pool of

technical, financial and/or legal expertsResponsibilities of the TWG


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In addition to COA representative, theBAC shall invite, IN ALL STAGES of theprocurement process, at least TWO (2)OBSERVERS to sit and monitor theprocurement proceedings, to wit:

Duly recognized private sector association

relevant to procurement at handNon-government organization (NGO)

Observers To enhance Transparency

No right

to Vote

CRITERIA: Selection of Observers


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Observers shall come from an organizationduly registered with the SEC or CDA, andshould:

Have knowledge, experience or expertisein procurement or subject matter ofcontract to be bidHave no actual or potential interest in

the contract to be bidAny other relevant criteria determined bythe BAC

CRITERIA: Selection of Observers

DOs and DONTs


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Observers Invited in writing at least 3 days

prior to procurement stage/activityAbsence of observers will not nullify BAC

proceedings

Allowed access upon request subject tosigning of confidentiality agreement:

- minutes of BAC meetings

- abstract of bids

- post qualification report

- APP and related PPMP

- opened proposals

DO s and DON T s

COA Repnot required

to sign

Observers Responsibilities


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Prepare report re: observation on

procurement activity, assessment of BACscompliance with IRR, suggestions for areasof improvement HOPE cc: BAC

Submit report to PE cc: GPPB and

Ombudsman/Resident Ombudsman

IF NO REPORT SUBMITTED IT ISUNDERSTOOD THAT BIDDING FOLLOWED

CORRECT PROCEDURES Inhibit and notify in writing the PE of any

actual or potential interest in the contract tobid

Observers Responsibilities

Bidding Documents (Sec 17)


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Bid Docs prepared following standard forms

and manual prescribed by GPPB Made available from time Invitation to

Bid/Request for Expression of Interest isadvertised

BAC to issue Bid docs to bidders upon paymentof prescribed fee

PE to post Bid docs at website and PhilGEPSwebsite from time of advertisement

Bidders may download Bid docs and pay feeupon submission of Bids

Bidding Documents (Sec. 17)


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Bidding Documents(Sec. 17)

Bid Docs follows forms and manuals of GPPB include:

ABC

Invitation to Bid/REI

Eligibili ty Requirements

Instruct ions to Bidders

Technical specificationsForm of Bid, Price form, and List of Goods

Delivery Time

Form, Amount and validity of Bid Security

Form, Amount and Validity of Performance

Security and WarrantyForm of Contract and General and Special

Conditions of Contract


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IAEB change to:

Advertising of Invitation to Bid (Sec. 21)

Invitation

to Bid

Request forExpression of

Interest

GOODS & INFRA CONSULTING

Period/Manner of Advertising


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If ABC exceeds P 2 M for Goods;

P 5 M for Infra; P 1 M for consulting

PhilGEPS websitePEs own website

Conspicuous place reserved for

the purpose

Continuously

for 7 CD

Once in

newspaper

of nationwide

general

circulation

Period/Manner of Advertising

Posted in the website prescribed

by foreign govt./foreign or intl .

funding institution

For foreign-

funded

procurement


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Amendments

Pre Bid Conference (Sec 22)


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To be held at least 12 cd before

deadline of bid submission

May be extended at least 30 cdbefore bid submission IF:

Method, nature and complexity ofcontract

International participation is moreadvantageous

At the option of PE, only bidders whopurchased bid documents areallowed to attend or ask questions

Pre-Bid Conference (Sec. 22)

Submission and Receipt of Bids (Sec 25)


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Eligibility requirementsplus Technical Proposal

Envelope 1

Submission and Receipt of Bids (Sec. 25)

Two separately sealed Envelopes

Envelope 2

Financial Proposal

Both envelopes are submitted

simultaneously

Submission & Receipt of Bids (Sec. 25)


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For Infrastructure Projects:

Technical (incl. eligibilityrequirements), and Financial

Proposals will now be submitted at

the same time

For Technical Proposal CLC or Cash

Deposit Certificate NOT REQUIRED

Submission & Receipt of Bids (Sec. 25)


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Resolution No. 13-2009Amendment to Section 29 of the IRR

Eligibili ty Requirements (Secs. 23 & 24)


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Number of Required documents reduced

from 11 to 6


Legal Documents

Technical Documents

DTI/SEC/CDA registration

Mayors permit from principal place of business

Statement of all on-going and completed contractsIn case of Infra, PCAB l icense and registration

In case of consulting, statement of nationality and

confirmation that personnel are registered

professionals

Eligibili ty Requirements (Secs 23 & 24)


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Financial Documents

Audited Financial Statement received by the BIR

NFCC computation or Credit Line Commitment(CLC) from a universal or commercial bank

For LGUs, other banks authorized by BSP to

issue said instrument

If Joint Venture (Class B) Joint Venture Agreement (JVA)

If no JVA, sworn statements by each partner that theywill enter into and abide by provisions of the JVA if

awarded the contract


Cash or Hold out on cash deposit equal

to 10% of ABC

Not allowed



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To facili tate determination of Eligibil ity BAC maymaintain Registry System (Sec. 23.4)

Using PhilGEPS, Manual or electronic

Class A documents (legal, technical &financial)

To be maintained current and updated

Certification in lieu of eligibi lity documents

Letter of Intent/Application for eligibili ty or updates

Deadline stated in bid documents

Not later than date of bid submission

Documents submitted after shall not beconsidered


Submission and Receipt of Bids (Sec. 25)


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Documentary requirements for 1ST envelope(Technical proposal) trimmed down

Documents requiring Sworn Statement

lumped into one document (Omnibus

certif ication prescribed in PBD)

p ( )

Not blacklisted or barred from bidding by GOP, LGU or

foreign govt/IFI

Authenticity of documents submitted

Authority to HOPE to ver ify documents submitted

Authority and power of signatory as representative

Compliance with disclosure of relations

Compliance with responsibilit ies of prospective bidder

Compliance with labor laws and standards (services)

Bid & Performance Securities


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Deleted certified check from acceptable

forms

In general, bank issued securities must beissued by a universal/commercial bank

However, in biddings conducted by LGUs,securities may be issued by banks certifiedby BSP as authorized to issue saidinstruments

Surety Bonds must be accompanied bycertification from Insurance Commission thatissuer is authorized to issue such security

(Secs. 27 & 39)

Bid & Performance Securities


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Form of Bid andPerformance Security

Amt of BidSecurity

(% of the ABC)

Amt of PerformanceSecurity

(% of Contract)

a) Cash,cashiers/managerscheck, bankguarantee/ draft

2%Goods and

Consulting (5%)

InfrastructureProjects (10%)

b) Irrevocable LC

c) Surety bond callableupon demand

5% 30%

d) Combination of theforegoing

Proportionate toshare of form

with respect tothe total amount

of security

Proportionate toshare of form withrespect to the totalamount of security

(Secs. 27 & 39)

1%/1

2

Amendments


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Amendments

Post-qualification (Sec 34)


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Within 3 cd from receipt of Notice from BAC,LCB/HRB submit following documents: Tax clearance

Latest income and business tax returns

Certif icate of PhilGEPS registration Other appropriate licenses and permits required

by law and stated in the Bidding Documents.

Post qualification (Sec. 34)

Originally part of

Eligibility requirement

Notice of Award (Sec. 37)


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BAC to recommend to HOPE Award of Contract

to LCRB/HRRB subject to the following: If joint venture, submission of JVA

If foreign-funded and stated in treaty, international

or executive agreement, PCAB License

Posting of Performance Security

Signing of Contract

If required, approvals by higher authority (GOCC)

o ce o a d (Sec 3 )

BAC Secretariat to post within 3 cd from

issuance notice of Award in PhilGEPS, PE

website, conspicuous place

Failure of Bidding (Sec. 35)


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Mandatory review and evaluation of

terms and conditions and specs aftereach failed bidding

Based on f indings Revise terms, conditions, specifications

Adjust ABC, subject to required approvals

Rebid Previous bidders declared eligible or short

listed in previous biddings allowed tosubmit new bids

g ( )


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Grand

Father

Uncle

1st

Cousin

Father

JUAN(Point of

Reference)

Brother

Mother

1st

2nd3rd

4th2nd

Degrees of Relationship

*Conflict of interest covers only relationship byconsanguinity or affinity up to the 3rd civil degree


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Alternative Methods of Procurement


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Clearer rules on Negotiated Procurement (2-failed Biddings)

Additional instances of Negotiated Procurement

Procurement from UN AgenciesCommunity Participation

Lease (includes venue)

Distinguished between agency-to-agency andprocurement agent

(Secs. 48 to 53)

Brings

instances to

13



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Higher thresholds set for

shopping (Sec. 52.1) andsmall value procurement

(Sec. 53.9)

Guidelines to follow

(Secs. 48 to 53)

Depending on

economic class

of LGUs



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Higher Threshold Amount for Unforeseen

Contingencies (Shopping) Sec. 52.1(a)

NGAs, GOCCs, GFIs, SUCs from P50,000 toP100,000

LGUs

Classification Maximum Amount (in Philippine Pesos)Province City Municipality

1st Class 100,000 100,000 50,000

2nd Class 100,000 100,000 50,000

3rd

Class 100,000 80,000 50,0004th Class 80,000 60,000 50,000

5th Class 60,000 50,000 50,000

6th Class 50,000 50,000 50,000

In case of Barangays, maximum amount is P 50,000



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Higher Threshold Amount forRegular Office Supplies

and Small Value Procurement (Secs. 52.1(b) & 53.9)

NGAs, GOCCs, GFIs, SUCs P500,000

LGUs

In the case ofBarangays, maximum of P50,000

ClassificationMaximum Amount (in Philippine Pesos)

Province City Municipality

1st Class 500,000 500,000 100,000

2nd Class 500,000 500,000 100,000

3rd Class 500,000 400,000 100,000

4th Class 400,000 300,000 50,000

5th Class 300,000 200,000 50,000

6th Class 200,000 100,000 50,000

FROM: Sec. 52.1(b) P250,000;

Sec. 53.9 P50,000


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Resolution No. 09-2009 Guidelines for Shopping and Small Value

Procurement Approved by GPPB via Referendum on November

23, 2009

For Publication on December 2, 2009

SCOPE:a) shopping of readily-available

off-the-shelf goods, ordinary/regularequipment under Section 52.1

b) Small Value Procurement of goods,infrastructure and consult ing services perSection 53.9


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Resolution No. 09-2009Procedural Guidelines

RFQ to be sent to at least 3 suppliers, contractor,consultant of known qualification. For shopping due

unforeseen contingencies (Sec. 52.1(a) one

supplier only

POSTING seven (7) calendar daysPhilGEPS

LGU website

Conspicuous place

POSTING NOT REQUIRED:

shopping during unforeseen contingency,

and

if ABC is P50 T and below


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Resolution No. 09-2009Procedural GuidelinesSubmission of price quotation may be extended after

the deadline if none or less than the required numberof price quotations are received. Extended deadlineto be posted

Abstract of Quotation

Names of those who submitted quotationPrice Quotations

Lowest quotation (goods/Infra) highest ratedoffer (consulting)

Award of Contractmade to lowest quotation (goods/Infra)

highest rated offer (consulting)


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Resolution No. 09-2009Procedural Guidelines

Posting of Award for Information purposes

PhilGEPS

LGU Website

Conspicuous place

EXCEPT IF ABC IS P50,000 AND BELOW

Alternative Methods of Procurement(S 54)


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Bid securities not necessary, exceptLimited Source Bidding

Performance and Warranty securities not

necessary for: Shopping (Sec. 52)

Negotiated Procurement during emergencycases (Sec. 53.2)

Small value procurement (Sec. 53.9) Lease of real property (Sec. 53.10)

Procurement from UN agencies (Sec. 53.13)

(Sec. 54)


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Resolution No 07-2009


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Resolution No. 07 2009

Revised Guidelines on Implementation of

Infrastructure Projects by Administration

Approved by GPPB on Sept. 30, 2009

RATIONALE: Need to update Guidelines

in view of increase in thresholds in the2009 GAA and 2010 NEP

Resolution No 07 2009


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Resolution No. 07-2009

Resolution No 07 2009


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Resolution No. 07-2009

THRESHOLDS


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P 5 M orless

P5 M toP 20 M

No approval

DPWH

approval

P20 M orless

P20 M upto P50 M

Before Revised

P20 M upto P 50 M

More thanP50 M

Presidents

approval


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SINGLE PORTAL serving as primarysource of information on all Governmentprocurement required for all NGAs, GOCCsand LGUs including BARANGAYS

PURPOSE 1: G-EPS shall be util ized forprocurement of common-use goodsrequired for all NGAs, LGUs and GOCCs

PURPOSE 2: For posting of procurement

opportunit ies (from advertisement to Award)PURPOSE 3: Source of information forother procurement needs (accredited &blacklisted suppliers/contractors,specification, etc.)


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ITB for competitive bidding and Notices ofother procurement using Alternative modes

Supplemental Bid Bulletins

Contract awards, Notices of awards,including reasons for award of contract

Results of Bidding and related information

Other Notices, announcements, informationto interested parties

Failure to post a procurementopportunity will render resulting

contract NULL and VOID

Procuring entities are required to postthe following:


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FEATURES (Operational)Electronic Bulletin BoardPosting of procurement opportunities,

notices of awards, electronic distribution ofbid documents and automatic notification ofamendments.

RegistryData base of all manufacturers, suppliers,distributors, contractors and consultants.Registrants to indicate Account Number fromBSP licensed bank for posting/payment of

bid/performance security also required toobtain digital certificate

Electronic CatalogueA centralized price list of commodities that

can be procured without bidding


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ADDITIONAL FEATURESVirtual Storeonline procurement of both common and non-

common use item from suppliers declared by

PS-DBM as LCRB in previous bidding

Electronic PaymentSupport e-payment for goods purchased thru

Virtual Store; can generate POs and payment

of Bids

Electronic Bid SubmissionE-bid submission: electronic bid forms, bid

box, delivery of bid submission, notif ication to

bidders of bid receipt, bid receiving and bid

evaluation

2nd Qtr, 2011


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www.philgeps.net


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For more updates, visithttp://procurementshoutbox.blogspot.comhttp://www.gppb.gov.phhttp://dbmro6.org/v1

Follow us on:http://www.twitter.com/dbmro6_twitshttp://www.twitter.com/Poncet

Email us: [email protected]@ yahoo.com

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RA9184 GPRA Dir.bedonia

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Transcript of RA9184 GPRA Dir.bedonia