guidelines for the procurement and implementation … · 2016. 7. 22. · budget for the contract...

ANNEX“G”GUIDELINESFORTHEPROCUREMENTANDIMPLEMENTATIONOFCONTRACTSFORDESIGNANDBUILDINFRASTRUCTUREPROJECTS

1.SCOPEANDAPPLICATION2.PURPOSE3.GUIDINGPRINCIPLES4.DEFINITIONOFTERMS5.CONDITIONSFORTHEUSEOFTHEDESIGNANDBUILDSCHEME6.CREATIONOFDESIGNandBUILDCOMMITTEE7.PRELIMINARYDESIGNANDCONSTRUCTIONSTUDIES8.DETAILEDENGINEERINGREQUIREMENTS9.ELIGIBILITYREQUIREMENTS10.SUBMISSIONANDRECEIPTOFBIDS11.BIDEVALUATION12.POST-QUALIFICATIONandAWARDOFTHECONTRACT13.CONTRACTIMPLEMENTATION14.AMENDMENTSANDFORMS

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ANNEXHTHRESHOLDSFORSHOPPINGANDSMALLVALUEPROCUREMENT

1.Shopping[Section52.1.(a)].Whenthereisanunforeseencontingencyrequiringimmediatepurchase,theamountshallnotexceedthefollowing:a)ForNGAs,GOCCs,GFIs,andSUCs,OneHundredThousandPesos(P100,000).b)ForLGUs,inaccordancewiththefollowingschedule:DOFClassificationofLGUsMaximumAmount(inPhilippinePeso)ProvinceCityMunicipality1stClass100,000100,00050,0002ndClass100,000100,00050,0003rdClass100,00080,00050,0004thClass80,00060,00050,0005thClass60,00050,00050,0006thClass50,00050,00050,000Inthecaseofbarangays,FiftyThousandPesos(P50,000).

2.Shopping[Section52.1.(b)]andSmallValueProcurement[Section53.9].Procurementshallnotexceedthefollowing:a)ForNGAs,GOCCs,GFIs,andSUCs,FiveHundredThousandPesos(P500,000).b)ForLGUs,inaccordancewiththefollowingschedule:DOFClassificationofLGUsMaximumAmount(inPhilippinePeso)ProvinceCityMunicipality1stClass500,000500,000100,0002ndClass500,000500,000100,0003rdClass500,000400,000100,0004thClass400,000300,00050,0005thClass300,000200,00050,0006thClass200,000100,00050,000Inthecaseofbarangays,FiftyThousandPesos(P50,000).

3.ForForeign-fundedProcurement,thethresholdsshallbedeterminedineachcase,takingintoaccountthenatureofthegoods,works,orassignment,byagreementbetweentheGOPandtheforeigngovernment/foreignorinternationalfinancinginstitution.

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a)Procurementforgoods,infrastructureprojects,andconsultingservicesfundedfromForeignGrantscoveredbyR.A.8182,asamendedbyR.A.8555,entitled"AnActExcludingOfficialDevelopmentAssistance(ODA)fromtheForeignDebtLimitinordertoFacilitatetheAbsorptionandOptimizetheUtilizationofODAResources,AmendingforthePurposeParagraph1,Section2ofRepublicActNo.4860,AsAmended",unlesstheGOPandtheforeigngrantor/foreignorinternationalfinancinginstitutionagreeotherwise;

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b)AcquisitionofrealpropertywhichshallbegovernedbyR.A.8974,entitled"AnActtoFacilitatetheAcquisitionofRight-of-WaySiteorLocationforNationalGovernmentInfrastructureProjectsandforOtherPurposes,"andotherapplicablelaws;and

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c)Public-PrivatesectorinfrastructureordevelopmentprojectsandotherprocurementcoveredbyR.A.6957,asamendedbyR.A.7718,entitled"AnActAuthorizingtheFinancing,Construction,OperationandMaintenanceofInfrastructureProjectsbythePrivateSector,andforOtherPurposes,"asamended:Provided,however,ThatfortheportionsfinancedbytheGOP,regardlessofsourceoffunds,whetherlocalorforeign,theprovisionsofthisIRRshallapply.(1a)

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a)Act.ReferstoR.A.9184,entitled"AnActProvidingfortheModernization,StandardizationandRegulationoftheProcurementActivitiesoftheGovernmentandforotherPurposes,"otherwiseknownastheGovernmentProcurementReformAct.

Section5.DefinitionofTerms

b)ApprovedBudgetfortheContract.ReferstothebudgetforthecontractdulyapprovedbytheHeadoftheProcuringEntity,asprovidedforintheGeneralAppropriationsAct(GAA),continuing,andautomaticappropriations,inthecaseofnationalgovernmentagencies(NGAs);thecorporatebudgetforthecontractapprovedbythegoverningboard,pursuanttoExecutiveOrderNo.518,seriesof1979(E.O.518),inthecaseofGOCCsandGFIs,andR.A.8292inthecaseofSUCs;thebudgetapprovedbytheSanggunianinthecaseofLGUs;andtheestimatedcontractcostinthecaseofForeign-fundedProcurement.Forpurposesof,andthroughoutthisIRR,theterms"ABC","ApprovedBudgetfortheContract",and"ApprovedBudget"shallhavethesamemeaningandshallbeusedinterchangeably.ForForeign-fundedProcurement,theestimatedcontractcostfortheprojectreferstothecostestimatepreparedbytheprocuringentityandapprovedbytheforeigngovernment/foreignorinternationalfinancinginstitutionasspecifiedintheTreatyorInternationalorExecutiveAgreement.(a)


c)BAC.ReferstotheBidsandAwardsCommitteeestablishedinaccordancewithRuleVofthisIRR.


d)Bid.ReferstoasignedofferorproposaltoundertakeacontractsubmittedbyabidderinresponsetoandinconsonancewiththerequirementsoftheBiddingDocuments.Forpurposesof,andthroughoutthisIRR,theterm"Bid"shallbeequivalenttoandbeusedinterchangeablywith"Proposal"and"Tender".


e)Bidder.Referstoaneligiblecontractor,manufacturer,supplier,distributorand/orconsultantcompetingfortheawardofacontractinanyprocurementbytheGOP.Acontractor,manufacturer,supplier,distributororconsultantissaidtobeeligibleifitmeetsalltheeligibilityrequirementsissuedbytheprocuringentity.


f)BiddingDocuments.Refertothedocumentsissuedbytheprocuringentityasthebasisforbids,furnishingallinformationnecessaryforaprospectivebiddertoprepareabidfortheinfrastructureprojects,goodsand/orconsultingservicesrequiredbytheprocuringentity.


g)Common-UseSupplies.Refertothosegoods,materialsandequipmentthatareusedintheday-to-dayoperationsofProcuringEntitiesintheperformanceoftheirfunctions.ForthepurposeofthisIRR,common-usesuppliesshallbethoseincludedintheElectronicCatalogueofthePhilGEPS.(a)


h)CompetitiveBidding.Referstoamethodofprocurementwhichisopentoparticipationbyanyinterestedpartyandwhichconsistsofthefollowingprocesses:advertisement,pre-bidconference,eligibilityscreeningofprospectivebidders,receiptandopeningofbids,evaluationofbids,post-qualification,andawardofcontract.Forpurposesof,andthroughoutthisIRR,theterms"CompetitiveBidding"and"PublicBidding"shallhavethesamemeaningandshallbeusedinterchangeably.


i)ConsultingServices.RefertoservicesforinfrastructureprojectsandothertypesofprojectsoractivitiesoftheGOPrequiringadequateexternaltechnicalandprofessionalexpertisethatarebeyondthecapabilityand/orcapacityoftheGOPtoundertakesuchas,butnotlimitedto:(i)advisoryandreviewservices;(ii)preinvestmentorfeasibilitystudies;(iii)design;(iv)constructionsupervision;(v)managementandrelatedservices;and(vi)othertechnicalservicesorspecialstudies.GeneralprinciplesonconsultingservicesareprovidedforinAnnex"B"ofthisIRR.(a)


j)DomesticBidder.Referstoanypersonorentityofferingunmanufacturedarticles,materialsorsuppliesofthegrowthorproductionofthePhilippines,ormanufacturedarticles,materials,orsuppliesmanufacturedortobemanufacturedinthePhilippinessubstantiallyfromarticles,materials,orsuppliesofthegrowth,production,ormanufacture,asthecasemaybe,ofthePhilippines.(n)


k)DomesticEntity.ReferstoanindividualorasoleproprietorwhoisacitizenofthePhilippinesorapartnership,corporation,cooperative,orassociationdulyorganizedunderthelawsofthePhilippinesandofwhichatleastseventyfivepercent(75%)oftheinterestoroutstandingcapitalstockbelongstocitizensofthePhilippines,habituallyestablishedinbusinessandhabituallyengagedinthemanufactureorsaleofthemerchandisecoveredbyhisbid,andthebusinesshasbeeninexistenceforatleastfive(5)consecutiveyearspriortotheadvertisementand/orpostingoftheInvitationtoBid.(n)


l)ExecutiveAgreements.RefertoInternationalAgreementsexceptthattheydonotrequirelegislativeratification.(n)


m)ExpendableSupplies.Refertoarticleswhicharenormallyconsumedinusewithinone(1)yearorconvertedintheprocessofmanufactureorconstruction,orthosehavingalifeexpectancyofmorethanone(1)yearbutwhichshallhavedecreasedsubstantiallyinvalueafterbeingputtouseforonlyone(1)year(e.g.,medicines,stationery,fuel,andspareparts).(n)


n)ForeignBid.Referstoanyofferofarticles,materialsorsuppliesnotmanufacturedornottobemanufacturedinthePhilippines,substantiallyfromarticles,materials,orsuppliesofthegrowth,production,ormanufacture,asthecasemaybe,ofthePhilippines.(n)


o)Foreign-fundedProcurement.Referstotheacquisitionofgoods,consultingservices,andthecontractingforinfrastructureprojectsbytheGOPwhicharewhollyorpartlyfundedbyForeignLoansorGrantspursuanttoaTreatyorInternationalorExecutiveAgreement.Forpurposesof,andthroughoutthisIRR,theterm"foreignfundedprocurement"shallhavethesamemeaningasandshallbeusedinterchangeablywith"foreign-fundedprojects"or"foreign-assistedprojects".(n)


p)ForeignGrants.Refertograntswithnorepaymentobligationsandareprovidedinmonetaryform,goods,works,andconsultancyservices,amongothers.(n)


q)ForeignLoans.Refertoloans,credits,andindebtednesswithprivateforeignbanksorwithforeigngovernments,agencies,orinstrumentalitiesofsuchforeigngovernments,foreignfinancialinstitutions,orotherinternationalorganizationswithwhom,orbelongingtocountrieswithwhich,thePhilippineshasdiplomaticrelations,asmaybenecessaryanduponsuchtermsandconditionsasmaybeagreedupon,toenabletheGOPtofinance,eitherdirectlyorthroughanygovernmentoffice,agencyorinstrumentalityoranygovernment-ownedandcontrolledcorporation,industrial,agriculturalorothereconomicdevelopmentpurposesorprojectsauthorizedbylaw.(n)


r)Goods.Refertoallitems,supplies,materialsandgeneralsupportservices,exceptconsultingservicesandinfrastructureprojects,whichmaybeneededinthetransactionofpublicbusinessesorinthepursuitofanygovernmentundertaking,projectoractivity,whetherinthenatureofequipment,furniture,stationery,materialsforconstruction,orpersonalpropertyofanykind,includingnon-personalorcontractualservices,suchas,therepairandmaintenanceofequipmentandfurniture,aswellastrucking,hauling,janitorial,security,andrelatedoranalogousservices,aswellasprocurementofmaterialsandsuppliesprovidedbytheprocuringentityforsuchservices.Theterm"related"or"analogousservices"shallinclude,butnotbelimitedto,leaseorpurchaseofofficespace,mediaadvertisements,healthmaintenanceservices,andotherservicesessentialtotheoperationoftheprocuringentity.


s)GPPB.ReferstotheGovernmentProcurementPolicyBoardcreatedinaccordancewithRuleXXofthisIRR.


t)HeadoftheProcuringEntity.Refersto:

theheadoftheagencythegoverningboardthelocalchiefexecutive


u)InfrastructureProjects.Includetheconstruction,improvement,rehabilitation,demolition,repair,restorationormaintenanceofroadsandbridges,railways,airports,seaports,communicationfacilities,civilworkscomponentsofinformationtechnologyprojects,irrigation,floodcontrolanddrainage,watersupply,sanitation,sewerageandsolidwastemanagementsystems,shoreprotection,energy/powerandelectrificationfacilities,nationalbuildings,schoolbuildings,hospitalbuildings,andotherrelatedconstructionprojectsofthegovernment.Forpurposesof,andthroughoutthisIRR,theterm"InfrastructureProjects"shallhavethesamemeaningas,andshallbeusedinterchangeablywith,"civilworks"or"works".


v)InternationalAgreement.Referstoacontractorunderstanding,regardlessofnomenclature,enteredintobetweentheGOPandanothergovernmentorforeignorinternationalfinancinginstitutioninwrittenformandgovernedbyinternationallaw,whetherembodiedinasingleinstrumentorintwo(2)ormorerelatedinstruments.(n)


w)Non-expendableSupplies.Refertoarticleswhicharenotconsumedinuseandordinarilyretaintheiroriginalidentityduringtheperiodofuse,whoseserviceablelifeismorethanone(1)yearandwhichaddtotheassetsoftheGOP(e.g.,furniture,fixtures,transportandotherequipment).(n)


x)PhilGEPS.ReferstothePhilippineGovernmentElectronicProcurementSystemasprovidedinSection8ofthisIRR.Forpurposesof,andthroughoutthisIRR,theterm"PhilGEPS"shallhavethesamemeaningas,andshallbeusedinterchangeablywith,"G-EPS"referredtointheAct.(a)


y)PhilippineNational.ReferstoanindividualorasoleproprietorwhoisacitizenofthePhilippinesorapartnership,corporation,cooperative,orassociationorganizedunderthelawsofthePhilippinesofwhichatleastsixtypercent(60%)ofthecapitalorinterestisownedbycitizensofthePhilippines.(n)


z)Portal.Referstoawebsitethatintegratesawidevarietyofcontentsforthepurposeofattractingandaggregatingmultipleuserstogetherinacentralvirtualspace.


aa)Procurement.Referstotheacquisitionofgoods,consultingservices,andthecontractingforinfrastructureprojectsbytheprocuringentity.Incaseofprojectsinvolvingmixedprocurements,thenatureoftheprocurement,i.e.,goods,infrastructureprojects,orconsultingservices,shallbedeterminedbasedontheprimarypurposeofthecontract.Procurementshallalsoincludetheleaseofgoodsandrealestate.Withrespecttorealproperty,itsprocurementshallbegovernedbytheprovisionsofR.A.8974andotherapplicablelaws,rulesandregulations.


bb)ProcuringEntity.Referstoanybranch,constitutionalcommissionoroffice,agency,department,bureau,office,orinstrumentalityoftheGOP(NGA),includingGOCC,GFI,SUCandLGUprocuringgoods,consultingservicesandinfrastructureprojects.


cc)Treaties.RefertointernationalagreementsenteredintobytheGOPwhichrequirelegislativeratificationafterexecutiveconcurrence.(n)


dd)UniversalorCommercialBanks.RefertouniversalorcommercialbanksdulyauthorizedunderR.A.8791,otherwiseknownas"TheGeneralBankingActof2000".(n)


7.3.1.Atthestartofeverybudgetperiod,theprocuringentityshallprepareitsproposedbudgetforthesucceedingcalendaryear,takingintoconsiderationthebudgetframeworkforthatyearinordertoreflectitsprioritiesandobjectivesforthebudgetperiod.(n)

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7.3.2.Theend-userunitsoftheprocuringentityshallpreparetheirrespectiveProjectProcurementManagementPlan(PPMP)fortheirdifferentprograms,activities,andprojects(PAPs).ThePPMPshallinclude:a)informationonwhetherPAPswillbecontractedout,implementedbyadministrationinaccordancewiththeguidelinesissuedbytheGPPB,orconsigned;

b)thetypeandobjectiveofcontracttobeemployed;

c)theextent/sizeofcontractscopes/packages;

d)theprocurementmethodstobeadopted,andindicatingiftheprocurementtasksaretobeoutsourcedasprovidedinSection53.6ofthisIRR;

e)thetimescheduleforeachprocurementactivityandforthecontractimplementation;and

f)theestimatedbudgetforthegeneralcomponentsofthecontract.

ForpurposesofthisSection,consignmentreferstoanarrangementwherethefollowingrequisitesarepresent:(a)deliveryofgoodsbytheirowner(consignor),withoutsale,toagovernmentagency(consignee);(b)consigneemusttrytosellthegoodsandremitthepriceofthesoldgoodstotheconsignor;(c)consigneeacceptswithoutanyliabilityexceptforfailuretoreasonablyprotectthemfromdamage;(d)nodisbursementofgovernmentfundsisinvolved;and(e)attermsnotdisadvantageoustotheGOP.(n)

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7.3.3.ThePPMPshallthenbesubmittedtotheprocuringentity'sBudgetOffice.Theprocuringentity'sBudgetOfficeshallevaluateeachend-user'ssubmittedPPMPand,ifwarranted,includeitintheprocuringentity'sbudgetproposalforapprovalbytheHeadoftheProcuringEntity.(n)

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7.3.4.AfterthebudgetproposalhasbeenapprovedbytheHeadoftheProcuringEntityand/orotheroversightbodies,theprocuringentity'sbudgetofficeshallfurnishacopyoftheprocuringentity'sbudgetproposalaswellasthecorrespondingPPMPstotheBACSecretariatforitsreviewandconsolidationintotheproposedAPP.TheproposedAPPshallbeconsistentwiththeprocuringentity'sbudgetproposal.(n)

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7.3.5.AssoonastheGAA,corporatebudget,orappropriationordinance,asthecasemaybe,becomesfinal,theend-userunitsshallreviseandadjustthePPMPtoreflectthebudgetaryallocationfortheirrespectivePAPs.TherevisedPPMPsshallbesubmittedtotheBAC,throughitsSecretariat,forthefinalizationofthemodesofprocurementundertheproposedAPP.TheAPPshallthenbeapprovedinaccordancewithSection7.2ofthisIRR.(n)

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8.1.1.Topromotetransparencyandefficiency,informationandcommunicationstechnologyshallbeutilizedintheconductofprocurementprocedures.Accordingly,thereshallbeasingleportalthatshallserveastheprimarysourceofinformationonallgovernmentprocurement.ThePhilGEPSshallserveastheprimaryanddefinitivesourceofinformationongovernmentprocurement.Forthispurpose,theElectronicProcurementSystem(EPS)establishedinaccordancewithExecutiveOrderNo.322,seriesof2000,andExecutiveOrderNo.40,seriesof2001(E.O.40),shallcontinuetobemanagedbythePS-DBMunderthesupervisionoftheGPPB,asthePhilGEPS,inaccordancewiththisIRR.

8.1.ThePhilGEPS

8.1.2.Totakeadvantageofthesignificantbuilt-inefficienciesofthePhilGEPSandthevolumediscountsinherentinbulkpurchasing,allProcuringEntitiesshallutilizethePhilGEPSfortheprocurementofCommon-UseSuppliesinaccordancewiththerulesandprocedurestobeestablishedbytheGPPB.Withregardtotheprocurementofnon-commonuseitems,infrastructureprojects,andconsultingservices,agenciesmayhireserviceprovidersthroughcompetitivebiddingtoundertaketheirelectronicprocurement:Provided,however,Thattheseserviceprovidersmeetthefollowingminimumrequirements:a)Complywiththeprovisionsb)LinkedtothePhilGEPSc)Allowparallelmanualsubmissiond)EnsurethattheBACe)Itssystemmustbevirus-resilientf)Mustprovidefortheuseofelectronicsignaturesg)Musthavesufficientredundanth)Musthaveprovisionsforlinkagei)Electronicpaymentfacilities

8.1.ThePhilGEPS

8.1.3.TheGPPBshalldetermineandcertifycompliancewiththeaboverequirements.However,theGPPBmaydelegatethistasktotechnicallycapableagencies/offices/unitsoftheGovernment.

8.1.ThePhilGEPS

8.2.1.TheElectronicBulletinBoard

a)ThePhilGEPSshallhaveacentralizedelectronicbulletinboardforpostingprocurementopportunities,notices,awardsandreasonsforaward.AllProcuringEntitiesarerequiredtopostallprocurementopportunities,resultsofbiddingandrelatedinformationinthePhilGEPSbulletinboard.

b)ProcuringEntitiesshallposttheInvitationtoBidforgoodsandinfrastructureprojectsortheRequestforExpressionofInterestforconsultingservices,intheelectronicbulletinboardinaccordancewithSection21ofthisIRR.

8.2.FeaturesofthePhilGEPS

8.2.2.RegistryofManufacturers,Suppliers,Distributors,ContractorsandConsultants

a)ThePhilGEPSshallhaveacentralizedelectronicdatabaseb)Registrationshallentailthesubmissionoftherequirementsc)Manufacturers,suppliers,distributors,contractorsandconsultantsd)ThePhilGEPSshalldenyregistratione)Amanufacturer,supplier,distributor,contractororconsultantapplyingforregistrationf)Registeredmanufacturers,suppliers,distributors,contractorsandconsultantsg)RegistrationwiththePhilGEPS


8.2.3.TheElectronicCatalogue

a)ThePhilGEPSshallhaveacentralizedelectroniccatalogueb)ProcuringEntitiesshallprocurecommon-usegoodsc)ProcuringEntitieswithoutinternetaccessd)TheElectronicCatalogue


8.2.4.AdditionalFeaturesThePhilGEPSshallalsofeatureaVirtualStore,ElectronicPayment,ElectronicBidSubmission,andsuchotherfeaturesasmaybedevelopedinthefuture.

8.2.4.1.VirtualStore8.2.4.2.ElectronicPayment8.2.4.3.ElectronicBidSubmission


8.3.1.AllProcuringEntitiesaremandatedtofullyusethePhilGEPSinaccordancewiththepolicies,rules,regulations,andproceduresadoptedbytheGPPBandembodiedinthisIRR.Inthisconnection,allProcuringEntitiesshallregisterwiththePhilGEPSandshallundertakemeasurestoensuretheiraccesstoanon-linenetworktofacilitatetheopen,speedyandefficienton-linetransmission,conveyanceanduseofelectronicdatamessagesorelectronicdocuments.ThePS-DBMshallassistProcuringEntitiestoensuretheiron-lineconnectivityandhelpintrainingtheirpersonnelresponsiblefortheoperationofthePhilGEPSfromtheirterminals.

8.3.UseofthePhilGEPS

8.3.2.TherulesandregulationsgoverningthemanualmethodofprocurementshallapplywhenevertherulesinthisSectionaresilent.Further,theGPPBisauthorizedtoapprovechangesintheprocurementprocesstoadapttoimprovementsinmoderntechnology,providedthatsuchmodificationsareconsistentwiththeprovisionsofSection3oftheActandthisIRR.

8.3.UseofthePhilGEPS

8.4.1.Pre-bidconferencesshallbeconductedinaccordancewithSection22ofthisIRR:Provided,however,Thattherequirementforface-to-facebiddingconferencemaybereplacedoncevideoconferencing,webcasting,orsimilartechnologybecomesthenorminbusinesstransactionsinthecountry.ProcuringEntitieswithvideoconferencingcapabilitiesthathavemanufacturers,suppliers,distributors,contractorsand/orconsultantsthatalsohavevideoconferencingcapabilitiesmayconducttheirpre-biddingconferenceselectronically.

8.4.Pre-bidConferencesandNoticesunderthePhilGEPS

8.4.2.RequestsforclarificationfrombiddersmaybesentelectronicallytotheBAC.Tobebindingonbidders,clarificationsandamendmentstotheInvitationtoBid/RequestforExpressionofInterestandtotheBiddingDocumentsshallbeintheformofSupplemental/BidBulletinswhichshallbepostedinthePhilGEPSbulletinboard.


8.4.3.TheSupplemental/BidBulletinsmentionedintheimmediatelyprecedingSubsectionaswellasallothernoticestobemadebytheBACtothebiddersorprospectivebiddersshallbepostedinthePhilGEPSbulletinboardandsentelectronicallytothee-mailaddressindicatedinthebidders'registration.


8.5.1.ToensurethewidestdisseminationoftheInvitationtoBid/RequestforExpressionofInterest,manufacturers,suppliers,distributors,contractorsand/orconsultantsshallregisterwiththePhilGEPS.AllProcuringEntitiesalreadymaintaininganelectronicregistryupontheeffectivityofthisIRRshallintegratethesamewiththatofthePhilGEPS.Amanufacturer,supplier,distributor,contractororconsultantdulyregisteredwiththePhilGEPSmayparticipateinaprocurementundertakenbyanyprocuringentity,providedthatthesaidmanufacturer,supplier,distributor,contractororconsultantmaintainsitsregistrationcurrentandupdatedinaccordancewiththeprovisionsofthisIRR,anditsregistrationisproperandrelevanttotheparticulartypeofprocurement.(a),(23a)

8.5.Registration,EligibilityRequirementsandSubmissionofBidsunderthePhilGEPS

8.5.2.EligibilityrequirementsmaybesentelectronicallytoaprocuringentitythroughthePhilGEPS:Provided,however,ThattheprospectivebidderconcernedshallsubmitacertificationtotheBACatleastseven(7)calendardaysbeforethedeadlineforthesubmissionandopeningofthetechnicalandfinancialenvelopesthatthedocumentssubmittedareauthenticcopiesoftheoriginal,complete,andallstatementsandinformationprovidedthereinaretrueandcorrect:Provided,further,ThatthePhilGEPSshallallowmanualsubmissionofeligibilityrequirements.ThePhilGEPSshallgenerateandsendanacknowledgementofanyeligibilityrequirementreceivedbyit.(a)


8.5.3.RegisteredbiddersdeterminedtobeeligiblemaysubmittheirbidsatanytimebeforetheclosingdatespecifiedintheBiddingDocuments.ThePhilGEPSshallbarallincomingbidsaftersuchdate.


8.5.4.ThePhilGEPSshallhaveafeaturethatallowstheelectronicsubmissionofeligibilityrequirementsandbids.


8.5.5.Uponreceiptofabid,thePhilGEPSshallgenerateandsendamessagetothebidderacknowledgingsuchreceipt.


8.6.1.TheBACshallhavethesoleauthoritytoopenthebids.

8.6.OpeningofBidsunderthePhilGEPS

8.6.2.Onlythefinancialproposalsofbidderswhosetechnicalproposalsmeettheminimumtechnicalrequirementsshallbeopenedordecrypted.


8.6.3.Anupdateofallprocurementcontracts,regardlessofwhetherprocurementisdoneelectronicallyormanually,shallbepostedonthePhilGEPSbulletinboard.Theupdateshallinclude,butshallnotbelimitedto,thestatusofprocurementcontracts,includingthenamesofcontractawardeesandtheamountofthecontract.


8.6.4.WithoutprejudicetocriminalprosecutionundertheapplicableprovisionsoftheActandthisIRR,R.A.8792,R.A.3019,otherwiseknownasthe"Anti-GraftandCorruptPracticesAct,"andotherapplicablepenallaws,publicofficialsandemployeeswhocommitanyofthefollowingactsshallbedeemedtohavecommittedgravemisconductandshallbesanctionedand/orpenalizedinaccordancewiththeapplicableCivilServicerulesandregulations:a)Openingordecryption,bywhatevermeans,ofbidssubmittedthroughthePhilGEPSaheadoftheappointedtimefortheopeningordecryptionofsuchbids;b)CausingtheunauthorizeddisclosureofanyinformationordocumentsubmittedthroughthePhilGEPS;c)HackingintoorcrackingthePhilGEPS,oraidinganotherpersontohackintoorcrackthesame;ord)Anyotheractthatbreachesorviolatesthesecurity,integrity,andconfidentialityofthePhilGEPS.


8.6.5.Whenanyoftheforegoingactsisdonebytheadministrator(s)oremployee(s)ofaserviceproviderhiredbyaprocuringentity,orincollusionwith,orbyaprivatepartywhoisaparticipantinthebiddingprocess,saidadministrator(s),employee(s)orprivatepartyshallbeimposedthecorrespondingsanctionsand/orpenaltiesunderthisIRR.


a)Security-ThePhilGEPSshallbeprotectedfromunauthorizedaccessorinterferencethroughtheincorporationofsecurityfeaturessuchas,butnotlimitedto,firewalls.Periodictestsshallbeconductedtoensurethatthesystemcannotbebreached.

Section9.Security,IntegrityandConfidentiality

b)Integrity-ThePhilGEPSshallensurethatnoperson,includingthesystemadministratorsandchairpersonandmembersoftheBAC,shallbeabletoalterthecontentsofbidssubmittedthroughthesystemorreadthesameaheadofthestipulatedtimeforthedecryptionoropeningofbids.Forthispurpose,bidssubmittedthroughthePhilGEPSshallbesealedthroughelectronickeys.TheauthenticityofmessagesanddocumentssubmittedthroughthePhilGEPSshallalsobeensuredbytheuseofelectronicsignatures.


c)Confidentiality-ThePhilGEPSshallensuretheprivacyofpartiestransactingwithit.Forthispurpose,noelectronicmessageordocumentsentthroughthesystemshallbedivulgedtothirdpartiesunlesssuchelectronicmessageordocumentwassentafterthesenderwasinformedthatthesamewillbemadepubliclyavailable.ThePhilGEPSshallprotecttheintellectualpropertyrightsoverdocuments,includingtechnicaldesigns,submittedinresponsetoInvitationstoBid.


d)AuditTrail-ThePhilGEPSshallincludeafeaturethatprovidesforanaudittrailforonlinetransactions,andallowstheCommissiononAudit(COA)toverifythesecurityandintegrityofthesystematanytime.


e)PerformanceTracking-Theperformanceofmanufacturers,suppliers,distributors,contractorsandconsultantsshallbetrackedtomonitorcompliancewithdeliveryschedulesandotherperformanceindicators.Similarly,theperformanceofProcuringEntitiesshallbetrackedtomonitorthesettlementoftheirobligationstomanufacturers,suppliers,distributors,contractorsandconsultants.


11.1.1.EachprocuringentityshallestablishinitsheadofficeasingleBACtoundertakethefunctionsspecifiedinSection12ofthisIRRinordertofacilitateprofessionalizationandharmonizationofproceduresandstandards.Inlinewiththestandardizationofprocurementproceduresandthethrusttowardsstrengtheningtheprocurementfunctiontoincreaseoperationalefficiencyandeffectiveness,HeadsofProcuringEntitiesshallaimtoconsolidateorunifyallprocurementactivitiesoftheorganization,whetherlocally-fundedorforeign-assisted,andwhetherpertainingtogoods,infrastructureprojects,orconsultingservices.(a)

11.1.BACStructure

11.1.2.However,toexpeditetheprocurementprocessforpracticalintentsandpurposes,theHeadoftheProcuringEntitymaycreateseparateBACswherethenumberandcomplexityoftheitemstobeprocuredshallsowarrant.TheBACsmaybeorganizedeitheraccordingto:(a)geographicallocationofPMOorend-userunitsoftheprocuringentity;or(b)natureofprocurement.SimilarcommitteesfordecentralizedandlowerlevelofficesmayalsobeformedwhendeemednecessarybytheHeadoftheProcuringEntity.(a)

11.1.BACStructure

11.2.1.TheHeadoftheProcuringEntityshalldesignateatleastfive(5)butnotmorethanseven(7)memberstotheBACofunquestionableintegrityandprocurementproficiency.(a)

11.2.BACComposition

11.2.2.TheBACforNGAs,departments,bureaus,offices,orinstrumentalitiesoftheGOP,includingthejudicialandlegislativebranches,constitutionalcommissions,SUCs,GOCCs,andGFIsshallbecomposedofthefollowing:RegularMembers:a)Chairman,whoisatleastathirdrankingpermanentofficialoftheprocuringentity;

b)Anofficer,whoisatleastafifthrankingpermanentofficial,withknowledge,experienceand/orexpertiseinprocurementwho,totheextentpossible,representsthelegaloradministrativeareaoftheprocuringentity,providedthatinthecaseofbureaus,regionalofficesandsubregional/districtoffices,BACmembersshallbeatleastathirdrankingpermanentpersonnel;

c)Anofficer,whoisatleastafifthrankingpermanentofficial,withknowledge,experienceand/orexpertiseinprocurementwho,totheextentpossible,representsthefinanceareaoftheprocuringentity,providedthatinthecaseofbureaus,regionalofficesandsub-regional/districtoffices,BACmembersshallbeatleastathirdrankingpermanentpersonnel;ProvisionalMembers:

d)Anofficerwhohastechnicalexpertiserelevanttotheprocurementathand,and,totheextentpossible,hasknowledge,experienceand/orexpertiseinprocurement;and

e)Arepresentativefromtheenduserunitwhohasknowledgeofprocurementlawsandprocedures.TheChairmanandtheVice-ChairmanshallalsobedesignatedbytheHeadoftheprocuringentity.Moreover,theVice-ChairmanshallbearegularmemberoftheBAC.ForpurposesofthisIRR,theterm"permanent"shallrefertoaplantillapositionwithintheprocuringentityconcerned.(a)

11.2.BACComposition

11.2.3.TheBACforLocalGovernmentUnitsshallbecomposedofthefollowing:a)OnerepresentativeeachfromtheregularofficesundertheOfficeoftheLocalChiefExecutivesuchas,butnotlimitedto,thefollowing:OfficeoftheAdministrator,BudgetOffice,LegalOffice,EngineeringOffice,GeneralServicesOffices;and

b)Arepresentativefromtheenduserunit.ThemembersshallelectamongthemselveswhoshallactastheChairmanandVice-Chairman.TheChairmanoftheBACshallbeatleastathirdrankingpermanentofficialoftheprocuringentity.ThemembersoftheBACshallbepersonneloccupyingplantillapositionsoftheprocuringentityconcerned.(a)

11.2.BACComposition

11.2.4.TheHeadoftheProcuringEntitymaydesignatealternatememberstotheBAC,whoshallhavethesamequalificationsastheirprincipalsassetintheActandthisIRR.ThealternatemembersshallattendmeetingsoftheBACandreceivethecorrespondinghonoraria,whenevertheirprincipalsareabsent.Thealternatemembersshallhavethesametermastheirprincipals.Theaccountabilityoftheprincipalandthealternatemembershallbelimitedtotheirrespectiveactsanddecisions.(n)

11.2.BACComposition

11.2.5.InnocaseshalltheHeadoftheProcuringEntityand/ortheapprovingauthoritybetheChairmanoramemberoftheBAC.

11.2.BACComposition

11.2.6.Unlesssoonerremovedforacause,themembersoftheBACshallhaveafixedtermofone(1)yearreckonedfromthedateofappointment,renewableatthediscretionoftheHeadoftheProcuringEntity.Uponexpirationofthetermsofthecurrentmembers,theyshallcontinuetoexercisetheirfunctionsuntilnewBACmembersaredesignated.Incaseofresignation,retirement,separation,transfer,re-assignment,removal,ordeath,thereplacementshallserveonlyfortheunexpiredterm:Provided,however,Thatincaseofleaveorsuspension,thereplacementshallserveonlyforthedurationoftheleaveorsuspension.Forjustifiablecauses,amembershallbesuspendedorremovedbytheHeadoftheProcuringEntity.(a)

11.2.BACComposition

i)Forinfrastructureprojects,nationalassociationsofconstructorsdulyrecognizedbytheConstructionIndustryAuthorityofthePhilippines(CIAP),suchas,butnotlimitedtothefollowing:(1)PhilippineConstructorsAssociation,Inc.;(2)NationalConstructorsAssociationofthePhilippines,Inc.;and(3)PhilippineInstituteofCivilEngineers(PICE).

13.1.Toenhancethetransparencyoftheprocess

ii)Forgoods,aspecificrelevantchamber-memberofthePhilippineChamberofCommerceandIndustry.


iii)Forconsultingservices,aproject-relatedprofessionalorganizationaccreditedordulyrecognizedbytheProfessionalRegulationCommissionortheSupremeCourt,suchas,butnotlimitedto:(1)PICE;(2)PhilippineInstituteofCertifiedPublicAccountants(PICPA);and(3)ConfederationofFilipinoConsultingOrganizations;and


i)availabilityofappropriationsandprogrammedbudgetforcontract;

20.1.Priortotheadvertisement

ii)completenessoftheBiddingDocumentsandtheiradherencetorelevantgeneralprocurementguidelines;


iii)completionofthedetailedengineeringaccordingtotheprescribedstandardsinthecaseofinfrastructureprojects;and


iv)confirmationoftheavailabilityofROWandtheownershipofaffectedproperties.


i)Goods,thenameofthecontracttobebidandabriefdescriptionofthegoodstobeprocured;

21.1.ContentsoftheInvitationtoBid/Request

ii)Infrastructureprojects,thenameandlocationofthecontracttobebid,theprojectbackgroundandotherrelevantinformationregardingtheproposedcontractworks,includingabriefdescriptionofthetype,size,majoritems,andotherimportantorrelevantfeaturesoftheworks;and


iii)Consultingservices,thenameofthecontracttobebid,ageneraldescriptionoftheprojectandotherimportantorrelevantinformation;


21.2.1.ExceptasotherwiseprovidedinSections21.2.2and54.2ofthisIRRandfortheprocurementofcommon-usegoodsandsupplies,theInvitationtoBid/RequestforExpressionofInterestshallbe:a)Advertisedatleastonceinone(1)newspaperofgeneralnationwidecirculationwhichhasbeenregularlypublishedforatleasttwo(2)yearsbeforethedateofissueoftheadvertisement;b)PostedcontinuouslyinthePhilGEPSwebsite,thewebsiteoftheprocuringentityconcerned,ifavailable,andthewebsiteprescribedbytheforeigngovernment/foreignorinternationalfinancinginstitution,ifapplicable,forseven(7)calendardaysstartingondateofadvertisement;andc)Postedatanyconspicuousplacereservedforthispurposeinthepremisesoftheprocuringentityconcernedforseven(7)calendardays,ifapplicable,ascertifiedbytheheadoftheBACSecretariatoftheprocuringentityconcerned.(a)

21.2.AdvertisingandPostingoftheInvitation

21.2.2.AdvertisementoftheInvitationtoBid/RequestforExpressionofInterestinanewspaperofgeneralnationwidecirculationprovidedinSection21.2.1(a)shallnotberequiredforcontractstobebidwithanapprovedbudgetofTwoMillionPesos(P2,000,000.00)andbelowfortheprocurementofgoods,FiveMillionPesos(P5,000,000.00)andbelowfortheprocurementofinfrastructureprojects,andOneMillionPesos(P1,000,000.00)andbeloworthosewhosedurationisfour(4)monthsorlessfortheprocurementofconsultingservices.(a)

21.2.AdvertisingandPostingoftheInvitation

22.5.1.Requestsforclarification(s)onanypartoftheBiddingDocumentsorforaninterpretationmustbeinwritingandsubmittedtotheBACoftheprocuringentityconcernedatleastten(10)calendardaysbeforethedeadlinesetforthesubmissionandreceiptofbids.TheBACshallrespondtothesaidrequestbyissuingaSupplemental/BidBulletin,dulysignedbytheBACchairman,tobemadeavailabletoallthosewhohaveproperlysecuredtheBiddingDocuments,atleastseven(7)calendardaysbeforethedeadlineforthesubmissionandreceiptofbids.(a)

22.5.Supplemental/BidBulletins

22.5.2.Supplemental/BidBulletinsmaybeissuedupontheprocuringentity'sinitiativeforpurposesofclarifyingormodifyinganyprovisionoftheBiddingDocumentsatleastseven(7)calendardaysbeforethedeadlineforthesubmissionandreceiptofbids.AnymodificationtotheBiddingDocumentsshallbeidentifiedasanamendment.(a)


22.5.3.AnySupplemental/BidBulletinissuedbytheBACshallalsobepostedonthePhilGEPSorthewebsiteoftheprocuringentityconcerned,ifavailable.ItshallbetheresponsibilityofallthosewhohaveproperlysecuredtheBiddingDocumentstoinquireandsecureSupplemental/BidBulletinsthatmaybeissuedbytheBAC.However,bidderswhohavesubmittedbidsbeforetheissuanceoftheSupplemental/BidBulletinmustbeinformedandallowedtomodifyorwithdrawtheirbidsinaccordancewithSection26.1ofthisIRR.(a)


i)RegistrationcertificatefromSEC,DepartmentofTradeandIndustry(DTI)forsoleproprietorship,orCDAforcooperatives,oranyproofofsuchregistrationasstatedintheBiddingDocuments.

23.1.Forpurposesofdeterminingtheeligibility

ii)Mayor'spermitissuedbythecityormunicipalitywheretheprincipalplaceofbusinessoftheprospectivebidderislocated.TechnicalDocuments


iii)Statementoftheprospectivebidderofallitsongoingandcompletedgovernmentandprivatecontracts,includingcontractsawardedbutnotyetstarted,ifany,whethersimilarornotsimilarinnatureandcomplexitytothecontracttobebid,withintherelevantperiodasprovidedintheBiddingDocuments.ThestatementshallincludeallinformationrequiredinthePBDsprescribedbytheGPPB.


iv)Inthecaseofprocurementofinfrastructureprojects,avalidPhilippineContractorsAccreditationBoard(PCAB)licenseandregistrationforthetypeandcostofthecontracttobebid.FinancialDocuments


v)Theprospectivebidder sauditedfinancialstatements,showing,amongothers,theprospectivebidder stotalandcurrentassetsandliabilities,stampedreceivedbytheBIRoritsdulyaccreditedandauthorizedinstitutions,fortheprecedingcalendaryearwhichshouldnotbeearlierthantwo(2)yearsfromthedateofbidsubmission.


vi)Theprospectivebidder scomputationforitsNetFinancialContractingCapacity(NFCC)oracommitmentfromaUniversalorCommercialBanktoextendacreditlineinfavoroftheprospectivebidderifawardedthecontracttobebid(CLC).


23.4.1.TheregistrysystemshallcontaintheforegoingClassAdocumentswhichshouldbemaintainedcurrentandupdatedbythebidderconcernedatleastonceayearormorefrequentlywhenneeded.(a)

23.4.Tofacilitatedeterminationofeligibility

23.4.2.AbidderwhomaintainsacurrentandupdatedfileofhisClassADocumentsshallbeissuedacertificationbytheBACtothateffect,whichcertificationmaybesubmittedtotheprocuringentityconcernedinlieuoftheforegoingClassAdocuments.(a)


23.4.3.IftheprocuringentitymaintainsaregistrysystemusingthePhilGEPSoritsownelectronicsystem,aprospectivebidder,whetherornotdulyregisteredineithersystem,shallsubmitawrittenletterofintentand/oritsapplicationforeligibilityandlatestClassAdocuments,totheBAConorbeforethedeadlinespecifiedintheBiddingDocuments.Anyapplicationforeligibilityorupdatessubmittedafterthedeadlineforthesubmissionoftheletterofintentshallnotbeconsideredforthebiddingathand.(a)


23.5.1.Fortheprocurementofgoods:

23.5.1.1.Thefollowingshallbeeligible23.5.1.2.Foreignbiddersmaybeeligible23.5.1.3.Theprospectivebidder23.5.1.4.Iftheprospectivebiddersubmitsacomputation

23.5.EligibilityCriteria

23.5.2.Fortheprocurementofinfrastructureprojects:

23.5.2.1.Thefollowingpersons/entities23.5.2.2.Foreignbidders23.5.2.3.InaccordancewithR.A.456623.5.2.4.TheConstructorsPerformanceEvaluationSummary(CPES)23.5.2.5.Theprospectivebidder23.5.2.6.Iftheprospectivebiddersubmitsacomputation


i)RegistrationcertificatefromSEC,DepartmentofTradeandIndustry(DTI)forsoleproprietorship,orCDAforcooperatives,oranyproofofsuchregistrationasstatedintheBiddingDocuments;

24.1.Thefollowingdocumentsshallbesubmitted

ii)Mayor spermitissuedbythecityormunicipalitywheretheprincipalplaceofbusinessoftheprospectivebidderislocated;TechnicalDocuments


iii)Statementoftheprospectivebidderofallitsongoingandcompletedgovernmentandprivatecontracts,includingcontractsawardedbutnotyetstarted,ifany,whethersimilarornotsimilarinnatureandcomplexitytothecontracttobebid,withintherelevantperiodasprovidedintheBiddingDocuments.ThestatementshallincludeallinformationrequiredinthePBDsprescribedbytheGPPB.


iv)Statementoftheconsultantspecifyingitsnationalityandconfirmingthatthosewhowillactuallyperformtheserviceareregisteredprofessionalsauthorizedbytheappropriateregulatorybodytopracticethoseprofessionsandalliedprofessions.FinancialDocument


v)Theconsultantsauditedfinancialstatements,showing,amongothers,theconsultantstotalandcurrentassetsandliabilities,stampedreceivedbytheBIRoritsdulyaccreditedandauthorizedinstitutions,fortheprecedingcalendaryearwhichshouldnotbeearlierthantwo(2)yearsfromthedateofbidsubmission.


24.3.1.Thefollowingpersons/entitiesshallbeallowedtoparticipateinthebiddingforconsultingservices:a)DulylicensedFilipinocitizens/soleproprietorships;

b)PartnershipsdulyorganizedunderthelawsofthePhilippinesandofwhichatleastsixtypercent(60%)oftheinterestbelongstocitizensofthePhilippines;

c)CorporationsdulyorganizedunderthelawsofthePhilippinesandofwhichatleastsixtypercent(60%)oftheoutstandingcapitalstockbelongstocitizensofthePhilippines;

d)CooperativesdulyorganizedunderthelawsofthePhilippines,andofwhichatleastsixtypercent(60%)belongstocitizensofthePhilippines;or

e)Persons/entitiesformingthemselvesintoajointventure,i.e.,agroupoftwo(2)ormorepersons/entitiesthatintendtobejointlyandseverallyresponsibleorliableforaparticularcontract:Provided,however,ThatFilipinoownershiporinterestthereofshallbeatleastsixtypercent(60%).Forthispurpose,FilipinoownershiporinterestshallbebasedonthecontributionsofeachofthemembersofthejointventureasspecifiedintheirJVA.(n)


24.3.2.Whenthetypesandfieldsofconsultingservicesinwhichtheforegoingpersons/entitieswishtoengageinvolvethepracticeofprofessionsregulatedbylaw,thosewhowillactuallyperformtheservicesshallbeFilipinocitizensandregisteredprofessionalsauthorizedbytheappropriateregulatorybodytopracticethoseprofessionsandalliedprofessions.(a)


24.3.3.InordertomanifesttrustandconfidenceinandpromotethedevelopmentofFilipinoconsultancy,foreignconsultantsmaybehiredintheeventFilipinoconsultantsdonothavethesufficientexpertiseandcapabilitytorendertheservicesrequiredundertheproject,asdeterminedbytheHeadoftheProcuringEntity.Foreignconsultantsmaybeeligibletoparticipateintheprocurementofconsultingservices,subjecttothefollowingqualifications:a)mustberegisteredwiththeSECand/oranyagencyauthorizedbythelawsofthePhilippines;and

b)whenthetypesandfieldsofconsultingservicesinwhichtheforeignconsultantwishestoengageinvolvethepracticeofregulatedprofessions,theforeignconsultantmustbeauthorizedbytheappropriateGOPprofessionalregulatorybodytoengageinthepracticeofthoseprofessionsandalliedprofessions:Provided,however,Thatthelimitsofsuchauthorityshallbestrictlyobserved.(a)


24.4.1.TheeligibilityenvelopesofprospectivebiddersforprocurementofconsultingservicesshallbesubmittedonorbeforethedeadlinespecifiedintheRequestforExpressionofInterest,andshallbeopenedbeforethedatesofthepre-bidconferenceandbidopeningtodetermineeligibilityofprospectivebidders,whoshallthenbeallowedtoacquireorpurchasetherelevantBiddingDocumentsfromtheprocuringentity.AprospectivebiddermaybeallowedtosubmithiseligibilityrequirementselectronicallyinaccordancewithSection8.5ofthisIRR.(a)

24.4.EligibilityCheckofProspectiveBidders

24.4.2.SubjecttotheshortlistingofconsultantsasprovidedinthisIRR,thedeterminationofeligibilityofconsultantsshallbebasedontheevaluationoftheeligibilitydocumentsprescribedaboveinaccordancewiththeproceduresprovidedinSections30.1and30.3ofthisIRR.


24.4.3.Tofacilitatedeterminationofeligibility,theBACofaprocuringentitymaymaintainaregistrysystemusingthePhilGEPSoritsownmanualorelectronicsystemthatallowssubmissionand/orrecording/entryofeligibilityrequirementssimultaneouslywithregistration.(a)24.4.3.1.Theregistrysystem24.4.3.2.Abidderwhomaintainsacurrentandupdatedfile24.4.3.3.Iftheprocuringentitymaintainsaregistrysystem


24.5.1.Withrespecttoaparticularcontractforconsultingservicestobebid,theconcernedprocuringentityshallonlyconsiderforshortlistingthoseconsultantswhosecontracts,asidentifiedintheeligibilitydocumentssubmittedforregistration,aresimilarinnatureandcomplexitytothecontracttobebid,basedontheRequestforExpressionofInterest.

24.5.ShortListingofProspectiveBidders

24.5.2.TheBACshalldrawuptheshortlistofconsultantsfromthosewhohavebeendeterminedaseligible,andwhohavesubmittedtheirLOI,bothinaccordancewiththeprovisionsofthisIRR.Thenumberofshortlistedconsultants,whichshallbedeterminedinthepre-procurementconference,shallconsistofthree(3)toseven(7)consultants,withfive(5)asthepreferablenumber.Shouldlessthantherequirednumberapplyforeligibilityandshortlisting,passtheeligibilitycheck,and/orpasstheminimumscorerequiredintheshortlisting,theBACshallconsiderthesame.


24.5.3.TheBACshallspecifyintheRequestforExpressionofInterestthesetofcriteriaandratingsystemforshortlistingofconsultantstobeusedfortheparticularcontracttobebid,whichshallconsiderthefollowing,amongothers:a)Applicableexperienceoftheconsultantandmembersincaseofjointventures,consideringboththeoverallexperiencesofthefirmor,inthecaseofnewfirms,theindividualexperiencesoftheprincipalandkeystaff,includingthetimeswhenemployedbyotherconsultants;b)Qualificationofpersonnelwhomaybeassignedtothejobvis-ŕ-visextentandcomplexityoftheundertaking;andc)Currentworkloadrelativetocapacity.(a)


24.5.4.TheBACshallrecommendtheshortlistofconsultantstotheHeadoftheProcuringEntityforconsiderationandapproval.Theentireprocessofeligibilitycheckandshortlistingshallnotexceedtwenty(20)calendardays.


i)EligibilityrequirementsunderSection23.1ofthisIRR;

25.2.Thefirstenvelope

ii)Thebidsecurityintheprescribedform,amountandvalidityperiod;


iii)Technicalspecifications,whichmayincludeproduction/deliveryschedule,manpowerrequirements,and/orafter-salesservice/parts,ifapplicable;and


iv)SwornstatementbytheprospectivebidderoritsdulyauthorizedrepresentativeintheformprescribedbytheGPPBastothefollowing:(1)ItisnotblacklistedorbarredfrombiddingbytheGOPoranyofitsagencies,offices,corporations,orLGUs,includingforeigngovernment/foreignorinternationalfinancinginstitutionwhoseblacklistingruleshavebeenrecognizedbytheGPPB;

(2)Eachofthedocumentssubmittedinsatisfactionofthebiddingrequirementsisanauthenticcopyoftheoriginal,complete,andallstatementsandinformationprovidedthereinaretrueandcorrect;

(3)ItisauthorizingtheHeadoftheProcuringEntityorhisdulyauthorizedrepresentative/stoverifyallthedocumentssubmitted;

(4)Thesignatoryisthedulyauthorizedrepresentativeoftheprospectivebidder,andgrantedfullpowerandauthoritytodo,executeandperformanyandallactsnecessaryand/ortorepresenttheprospectivebidderinthebidding,withthedulynotarizedSecretarysCertificateattestingtosuchfact,iftheprospectivebidderisacorporation,partnership,cooperative,orjointventure;

(5)ItcomplieswiththedisclosureprovisionunderSection47oftheActinrelationtootherprovisionsofR.A.3019;

(6)ItcomplieswiththeresponsibilitiesofaprospectiveoreligiblebidderprovidedinthePBDs;and

(7)Itcomplieswithexistinglaborlawsandstandards,inthecaseofprocurementofservices.(a)


i)EligibilityrequirementsunderSection23.3ofthisIRR;


ii)Bidsecurityintheprescribedform,amountandvalidityperiod;


iii)ProjectRequirements,whichshallincludethefollowing:(1)Organizationalchartforthecontracttobebid;

(2)Listofcontractor spersonnel(viz,ProjectManager,ProjectEngineers,MaterialsEngineers,andForemen),tobeassignedtothecontracttobebid,withtheircompletequalificationandexperiencedata;

(3)Listofcontractor sequipmentunits,whichareowned,leased,and/orunderpurchaseagreements,supportedbycertificationofavailabilityofequipmentfromtheequipmentlessor/vendorforthedurationoftheproject;and


iv)SwornstatementbytheprospectivebidderoritsdulyauthorizedrepresentativeintheformprescribedbytheGPPBastothefollowing:(1)ItisnotblacklistedorbarredfrombiddingbytheGOPoranyofitsagencies,offices,corporations,orLGUs,includingforeigngovernment/foreignorinternationalfinancinginstitutionwhoseblacklistingruleshavebeenrecognizedbytheGPPB;



(4)Thesignatoryisthedulyauthorizedrepresentativeoftheprospectivebidder,andgrantedfullpowerandauthoritytodo,executeandperformanyandallactsnecessaryand/ortorepresenttheprospectivebidderinthebidding,withthedulynotarizedSecretarysCertificateattestingtosuchfact,iftheprospectivebidderisacorporation,partnershiporjointventure;



(7)Itcomplieswithexistinglaborlawsandstandards.(a)


i)Thebidsecurityintheprescribedform,amountandvalidityperiod;


ii)Organizationalchartforthecontracttobebid;


iii)Listofcompletedandon-goingprojects;


iv)Approach,workplan,andschedule:Provided,however,Thatforarchitecturaldesign,submissionofarchitecturalplansanddesignsshallnotberequiredduringtheconsultantsselectionprocess;


v)Listofkeypersonneltobeassignedtothecontracttobebid,withtheircompletequalificationandexperiencedata;and


vi)SwornstatementbytheprospectivebidderoritsdulyauthorizedrepresentativeintheformprescribedbytheGPPBastothefollowing:(1)ItisnotblacklistedorbarredfrombiddingbytheGOPoranyofitsagencies,offices,corporations,orLGUs,foreigngovernment/foreignorinternationalfinancinginstitutionwhoseblacklistingruleshavebeenrecognizedbytheGPPB;



(4)Thesignatoryisthedulyauthorizedanddesignatedrepresentativeoftheprospectivebidder,andgrantedfullpowerandauthoritytodo,executeandperformanyandallactsnecessaryand/ortorepresenttheprospectivebidderinthebidding,withthedulynotarizedSecretarysCertificateattestingtosuchfact,iftheprospectivebidderisacorporation,partnershiporjointventure;



(7)Itcomplieswithexistinglaborlawsandstandards.(a)


32.2.1.TheBACshallimmediatelyconductadetailedevaluationofallbidsusingnondiscretionarycriteriainconsideringthefollowing:a)Completenessofthebid.UnlesstheInstructionstoBiddersspecificallyallowpartialbids,bidsnotaddressingorprovidingalloftherequireditemsintheBiddingDocumentsincluding,whereapplicable,billofquantities,shallbeconsiderednon-responsiveand,thus,automaticallydisqualified.Inthisregard,wherearequireditemisprovided,butnopriceisindicated,thesameshallbeconsideredasnon-responsive,butspecifyinga0(zero)forthesaiditemwouldmeanthatitisbeingofferedforfreetotheGovernment;andb)Arithmeticalcorrections.Considercomputationalerrors,omissions,andotherbidmodifications,ifallowedintheBiddingDocuments,toenablepropercomparisonofalleligiblebids.Anyadjustmentshallbecalculatedinmonetarytermstodeterminethecalculatedprices.(a)

32.2.Fortheprocurementofgoods

32.2.2.TheBACshallevaluateallbidsonanequalfootingtoensurefairandcompetitivebidcomparison.Forthispurpose,allbiddersshallberequiredtoincludethecostofalltaxes,suchas,butnotlimitedto,valueaddedtax(VAT),incometax,localtaxes,andotherfiscalleviesanddutieswhichshallbeitemizedinthebidformandreflectedinthedetailedestimates.Suchbids,includingsaidtaxes,shallbethebasisforbidevaluationandcomparison.(a)


32.2.3.Incaseofdiscrepanciesbetween:(a)bidpricesinfiguresandinwords,thelattershallprevail;(b)totalpriceperitemandunitpricefortheitemasextendedormultipliedbythequantityofthatitem,thelattershallprevail;(c)statedtotalpriceandtheactualsumofpricesofcomponentitems,thelattershallprevail;(d)unitcostinthedetailedestimateandunitcostinthebillofquantities,thelattershallprevail.


32.2.4.Bidsshallthenberankedintheascendingorderoftheirtotalcalculatedbidprices,asevaluatedandcorrectedforcomputationalerrors,andotherbidmodifications,toidentifytheLowestCalculatedBid.Totalcalculatedbidprices,asevaluatedandcorrectedforcomputationalerrors,andotherbidmodifications,whichexceedtheABCshallbedisqualified.(a)


33.2.1.TheBACshallconductadetailedevaluationofbidsusingeitherofthefollowingevaluationproceduresasspecifiedintheBiddingDocuments:a)Quality-BasedEvaluationProcedure

i)Atwo-stageprocedureii)Afterreceiptofbidsiii)TheHeadoftheProcuringEntityiv)AfterapprovalbytheHeadv)Negotiations

b)Quality-CostBasedEvaluationProcedure

i)Thetechnicalproposalii)Thefinancialandtechnicalproposalsiii)TheHeadoftheProcuringEntityiv)AfterapprovalbytheHeadoftheProcuringEntity

33.2.Thepurposeofbidevaluation

33.2.2.ThetechnicalproposalsofconsultantsshallbeevaluatedbasedonthefollowingcriteriaandusingthecorrespondingnumericalweightsindicatedintheBiddingDocuments:a)Qualityofpersonneltobeassignedtotheprojectwhichcoverssuitabilityofkeystafftoperformthedutiesoftheparticularassignmentsandgeneralqualificationsandcompetenceincludingeducationandtrainingofthekeystaff;

b)Experienceandcapabilityoftheconsultantwhichincluderecordsofpreviousengagementandqualityofperformanceinsimilarandinotherprojects;relationshipwithpreviousandcurrentclients;and,overallworkcommitments,geographicaldistributionofcurrent/impendingprojectsandattentiontobegivenbytheconsultant.Theexperienceoftheconsultanttotheprojectshallconsiderboththeoverallexperiencesofthefirmandtheindividualexperiencesoftheprincipalandkeystaffincludingthetimeswhenemployedbyotherconsultants;and

c)Planofapproachandmethodologywithemphasisontheclarity,feasibility,innovativenessandcomprehensivenessoftheplanapproach,andthequalityofinterpretationofprojectproblems,risks,andsuggestedsolutions.Forcomplexoruniqueundertakings,suchasthoseinvolvingnewconcepts/technologyorfinancialadvisoryservices,participatingshortlistedconsultantsmayberequired,attheoptionoftheagencyconcerned,tomakeanoralpresentationtobepresentedbyeachconsultant,oritsnominatedProjectManagerorhead,incaseoffirms,withinfifteen(15)calendardaysafterthedeadlineforsubmissionoftechnicalproposals.


33.2.3.Inordertoeliminatebiasinevaluatingthetechnicalproposals,itisrecommendedthatthehighestandlowestscoresforeachconsultantforeachcriterionshallnotbeconsideredindeterminingtheaveragescoresoftheconsultants,exceptwhentheevaluationisconductedinacollegialmanner.(a)


33.2.4.Allparticipatingshortlistedconsultantsshallbefurnishedtheresults(rankingandtotalscoresonly)oftheevaluationaftertheapprovalbytheHeadoftheProcuringEntityoftheranking.SaidresultsshallalsobepostedinthePhilGEPSandthewebsiteoftheprocuringentity,wheneveravailable,foraperiodofnotlessthanseven(7)calendardays.(a)


33.2.5.Negotiationsshallcoverthefollowing:a)DiscussionandclarificationoftheTORandScopeofServices;

b)Discussionandfinalizationofthemethodologyandworkprogramproposedbytheconsultant;

c)Considerationofappropriatenessofqualificationsandpertinentcompensation,numberofman-monthsandthepersonneltobeassignedtothejob,takingnoteofover-qualifiedpersonnel,tobecommensuratewiththecompensationofpersonnelwiththeappropriatequalifications,numberofman-monthsandscheduleofactivities(manningschedule);

d)Discussionontheservices,facilitiesanddata,ifany,tobeprovidedbyprocuringentityconcerned;

e)Discussiononthefinancialproposalsubmittedbytheconsultant;and

f)Provisionsofthecontract.Exceptformeritoriousreasons,negotiationswithanyoneconsultantshallbecompletedwithinten(10)calendardays.(a)


33.2.6.Totalcalculatedbidprices,asevaluatedandcorrectedforminorarithmeticalcorrections,suchascomputationalerrors,whichexceedtheABCshallnotbeconsidered.(a)


i)Verificationandvalidationofthebidder sstatedcompetenceandexperience,andthecompetenceandexperienceofthebidder skeypersonneltobeassignedtotheproject,fortheprocurementofinfrastructureprojectsandconsultingservices;

34.3.Thepost-qualificationshallverify,validate,andascertainallstatements

ii)Verificationofavailabilityandcommitment,and/orinspectionandtestingfortherequiredcapacitiesandoperatingconditions,ofequipmentunitstobeowned/leased/underpurchasebythebidderforuseinthecontractunderbidding,aswellascheckingtheperformanceofthebidderinitsongoinggovernmentandprivatecontracts(ifanyoftheseon-goingcontractsshowsareportednegativeslippageofatleastfifteenpercent(15%),orsubstandardqualityofworkaspercontractplansandspecifications,orunsatisfactoryperformanceofthecontractor sobligationsaspercontracttermsandconditions,atthetimeofinspection,andiftheBACverifiesanyofthesedeficienciestobeduetothecontractor sfaultornegligence,theagencyshalldisqualifythecontractorfromtheaward),fortheprocurementofinfrastructureprojects;


iii)Verificationand/orinspectionandtestingofthegoods/product,after-salesand/ormaintenancecapabilities,inapplicablecases,fortheprocurementofgoods;and


iv)Ascertainmentofthesufficiencyofthebidsecurityastotype,amount,formandwording,andvalidityperiod.


37.1.1.TheBACshallrecommendtotheHeadoftheProcuringEntitytheawardofcontracttothebidderwiththeLowestCalculatedResponsiveBid/HighestRatedResponsiveBidortheSingleCalculated/RatedResponsiveBidafterthepost-qualificationprocesshasbeencompleted.Tofacilitatetheapprovaloftheaward,theBACshallsubmitthefollowingsupportingdocumentstotheHeadoftheProcuringEntity:a)ResolutionoftheBACrecommendingaward;

b)AbstractofBids;

c)Dulyapprovedprogramofworkordeliveryschedule,andCostEstimates;

d)Documentissuedbyappropriateentityauthorizingtheprocuringentitytoincurobligationsforaspecifiedamount;ande)Otherpertinentdocumentsrequiredbyexistinglaws,rules,and/ortheprocuringentityconcerned.(a)

37.1.ContractAward

37.1.2.Withinaperiodnotexceedingseven(7)calendardaysfromthedateofreceiptoftherecommendationoftheBAC,theHeadoftheProcuringEntityshallapproveordisapprovethesaidrecommendation.However,forinfrastructureprojectswithanABCofFiftyMillionPesos(P50,000,000)andbelow,theHeadoftheProcuringEntityshallapproveordisapprovethesaidrecommendationwithinfour(4)calendardays.InthecaseofGOCCsandGFIs,theperiodprovidedhereinshallbefifteen(15)calendardays.Withinthesameperiodprovidedherein,theBACshallnotifyalllosingbiddersofitsdecision.

37.1.ContractAward

37.1.3.Incaseofapproval,theHeadoftheProcuringEntityshallimmediatelyissuetheNoticeofAwardtothebidderwiththeLowestCalculatedResponsiveBid/HighestRatedResponsiveBid.IntheeventtheHeadoftheProcuringEntityshalldisapprovesuchrecommendation,suchdisapprovalshallbebasedonlyonvalid,reasonable,andjustifiablegroundstobeexpressedinwriting,copyfurnishedtheBAC.(n)

37.1.ContractAward

37.1.4.NotwithstandingtheissuanceoftheNoticeofAward,awardofcontractshallbesubjecttothefollowingconditions:a)Submissionofthefollowingdocumentswithintheprescribedperiod:

i)ValidJVA,ifapplicableii)Inthecaseofinfrastructureprojects

b)PostingofperformancesecurityinaccordancewithSection39ofthisIRR;

c)SigningofthecontractasprovidedinSection37.2ofthisIRR;and

d)Approvalbyhigherauthority,ifrequired,asprovidedinSection37.3ofthisIRR.(n)

37.1.ContractAward

37.1.5.ContractawardshallbemadewithinthebidvalidityperiodprovidedinSection28ofthisIRR.(a)

37.1.ContractAward

37.1.6.TheBAC,throughtheSecretariat,shallpost,withinthree(3)calendardaysfromitsissuance,theNoticeofAwardinthePhilGEPS,thewebsiteoftheprocuringentity,ifany,andanyconspicuousplaceinthepremisesoftheprocuringentity.(n)

37.1.ContractAward

37.2.1.ThewinningbiddershallposttherequiredPerformanceSecurityandenterintocontractwiththeprocuringentitywithinten(10)calendardaysfromreceiptbythewinningbidderoftheNoticeofAward.(a)

37.2.ContractSigning

37.2.2.Theprocuringentityshallenterintocontractwiththewinningbidderwithinthesameten(10)dayperiodprovidedthatallthedocumentaryrequirementsarecompliedwith.(a)


37.2.3.Thefollowingdocumentsshallformpartofthecontract:a)ContractAgreement;

b)BiddingDocuments;

c)Winningbidder sbid,includingtheEligibilityrequirements,TechnicalandFinancialProposals,andallotherdocuments/statementssubmitted;d)PerformanceSecurity;e)CreditlineinaccordancewiththeprovisionsofthisIRR,ifapplicable;f)NoticeofAwardofContract;andg)Othercontractdocumentsthatmayberequiredbyexistinglawsand/ortheprocuringentityconcernedintheBiddingDocuments,suchastheconstructionscheduleandS-curve,manpowerschedule,constructionmethods,equipmentutilizationschedule,constructionsafetyandhealthprogramapprovedbytheDepartmentofLaborandEmployment,andPERT/CPMforinfrastructureprojects.(a)


37.4.1.TheprocuringentityshallissuetheNoticetoProceedtogetherwithacopyoftheapprovedcontracttothesuccessfulbidderwithinthree(3)calendardaysfromthedateofapprovalofthecontractbytheappropriategovernmentapprovingauthority.However,forinfrastructureprojectswithanABCofFiftyMillionPesos(P50,000,000)andbelow,themaximumperiodistwo(2)calendardays.ThecontracteffectivitydateshallbeprovidedintheNoticetoProceedbytheprocuringentity,whichdateshallnotbelaterthanseven(7)calendardaysfromitsissuance.(a)

37.4.NoticetoProceed

37.4.2.Theprocuringentity,throughtheBACSecretariat,shallpostacopyoftheNoticetoProceedandtheapprovedcontractinthePhilGEPSorthewebsiteoftheprocuringentity,ifany,withinfifteen(15)calendardaysfromtheissuanceoftheNoticetoProceed.(n)

37.4.NoticetoProceed

43.1.1.ConsistentwiththeGOPsobligationsunderinternationaltreatiesoragreements,goodsmaybeobtainedfromdomesticorforeignsources:Provided,however,Thattheprocurementthereofshallbeopenonlytoeligiblesuppliers,manufacturersanddistributors:Provided,further,That,intheinterestofavailability,efficiencyandtimelydeliveryofgoods,theprocuringentitymaygivepreferencetothepurchaseofdomestically-producedandmanufacturedgoods,suppliesandmaterialsthatmeetthespecifiedordesiredquality,inaccordancewiththeprovisionsofCommonwealthActNo.138.(a)

43.1.ScopeandApplication

43.1.2.Theprocuringentityshallgivepreferencetomaterialsandsuppliesproduced,madeandmanufacturedinthePhilippinesandtoDomesticEntities,subjecttotheconditionshereinbelowspecified.TheawardshallbemadetothelowestDomesticBidderorlowestDomesticEntity,providedhisbidisnotmorethanfifteenpercent(15%)inexcessofthelowestForeignBid.(n)


43.1.3.ADomesticEntitycanonlyclaimpreferenceifitsecuresfromtheDTIacertificationthatithasallthequalificationsrequiredunderthisIRR,incaseofsoleproprietorships,SEC,incaseofpartnershipsandcorporations,orCDA,incaseofcooperatives.(n)


43.1.4.ADomesticBiddercanonlyclaimpreferenceifitsecuresfromtheDTIacertificationthatthearticlesformingpartofitsbidaresubstantiallycomposedofarticles,materials,orsuppliesgrown,produced,ormanufacturedinthePhilippines.(n)


43.2.1.Thepreferenceshallbeappliedwhen(a)thelowestForeignBidislowerthanthelowestbidofferedbyaDomesticBidder,or(b)thelowestbidofferedbyanon-PhilippinenationalislowerthanthelowestbidofferedbyaDomesticEntity.TheprocuringentityshallensurethatbothbidsareresponsivetotheminimumrequirementsasspecifiedintheBiddingDocuments.(n)

43.2.ProceduresandGuidelines

43.2.2.Forevaluationpurposes,thelowestForeignBidorthebidofferedbyanon-Philippinenationalshallbeincreasedbyfifteenpercent(15%).(n)


43.2.3.Intheeventthat(a)thelowestbidofferedbyaDomesticBidderdoesnotexceedthelowestForeignBidasincreased,or(b)thelowestbidofferedbyaDomesticEntitydoesnotexceedthelowestbidofferedbyanon-Philippinenationalasincreased,thentheprocuringentityshallawardthecontracttotheDomesticBidder/EntityattheamountofthelowestForeignBidorbidofferedbyanon-Philippinenational,asthecasemaybe.(n)


43.2.4.IftheDomesticEntity/BidderrefusestoaccepttheawardofcontractattheamountoftheForeignBidorbidofferedbyanon-Philippinenationalwithintwo(2)calendardaysfromreceiptofwrittenadvicefromtheBAC,theprocuringentityshallawardtothebidderofferingtheForeignBidorthenon-Philippinenational,asthecasemaybe,subjecttopost-qualificationandsubmissionofallthedocumentaryrequirementsunderthisIRR.(n)


53.1.1.Afterconductofthemandatoryreviewoftheterms,conditions,specifications,andcostestimates,asprescribedinSection35ofthisIRR,theBACshallreviseandagreeontheminimumtechnicalspecifications,andifnecessary,adjusttheABC,subjecttotherequiredapprovals.However,theABCcannotbeincreasedbymorethantwentypercent(20%)oftheABCforthelastfailedbidding.(n)

53.1.TwoFailedBiddings

53.1.2.TheBACshallinviteandengageinnegotiationswithasufficientnumberofsuppliers,contractorsorconsultantstoensureeffectivecompetition.(a)53.1.2.1.Inthecaseofinfrastructureprojects53.1.2.2.AllProcuringEntities


53.1.3.Anyrequirements,guidelines,documents,clarifications,orotherinformationrelativetothenegotiationsthatarecommunicatedbytheprocuringentitytoasupplier,contractor,orconsultantshallbecommunicatedonanequalbasistoallothersuppliers,contractors,orconsultantsengaginginnegotiationswiththeprocuringentityrelativetotheprocurement.(n)


53.1.4.Followingcompletionofthenegotiations,theprocuringentityshallrequestallsuppliers,contractors,orconsultantsremainingintheproceedingstosubmit,onaspecifieddate,abestandfinalofferwithrespecttoallaspectsoftheirproposals.(n)


53.1.5.TheprocuringentityshallselectthesuccessfulofferonthebasisofsuchbestandfinalofferswhichshouldmeettheprocuringentitysminimumtechnicalrequirementsandshouldnotexceedtheABC.(n)


53.1.6.Inallstagesofthenegotiations,observersshallbeinvited.(n)


53.3.1.Thecontractmaybenegotiatedstartingwiththesecondlowestcalculated/highestratedbidderfortheprojectunderconsiderationatthebidder soriginalbidprice.(a)

53.3.Take-OverofContracts

53.3.2.Ifnegotiationfails,thennegotiationshallbedonewiththethirdlowestcalculated/highestratedbidderathisoriginalprice.Ifthenegotiationfailsagain,ashortlistofatleastthree(3)eligiblecontractorsshallbeinvitedtosubmittheirbids,andnegotiationshallbemadestartingwiththelowestcalculated/highestratedbidder.(a)


53.3.3.AuthoritytonegotiatecontractsforprojectsundertheseexceptionalcasesshallbesubjecttopriorapprovalbytheHeadsoftheProcuringEntitiesconcerned,withintheirrespectivelimitsofapprovingauthority.(a)


53.9.1.Theprocuringentityshalldrawupalistofatleastthree(3)suppliers,contractors,orconsultantsofknownqualificationswhichwillbeinvitedtosubmitproposals,inthecaseofgoodsandinfrastructureprojects,orcurriculumvitae,inthecaseofconsultingservices.(a)

53.9.SmallValueProcurement

53.9.2.ThethresholdsprescribedinAnnexHofthisIRRshallbesubjecttotheperiodicreviewbytheGPPB.Forthispurpose,theGPPBshallbeauthorizedtoincreaseordecreasethesaidamountinordertoreflectthechangesineconomicconditionsandforotherjustifiablereasons.(n)

53.9.SmallValueProcurement

62.2.1.Fromthetimeprojectconstructioncommenceduptofinalacceptance,thecontractorshallassumefullresponsibilityforthefollowing:a)anydamageordestructionoftheworksexceptthoseoccasionedbyforcemajeure;and

b)safety,protection,security,andconvenienceofhispersonnel,thirdparties,andthepublicatlarge,aswellastheworks,equipment,installationandtheliketobeaffectedbyhisconstructionwork;(a)

62.2.Fortheprocurementofinfrastructureprojects

62.2.2.One(1)yearfromprojectcompletionuptofinalacceptanceorthedefectsliabilityperiod.62.2.2.1.Thecontractorshallundertaketherepairworks,athisownexpense,ofanydamagetotheinfrastructureonaccountoftheuseofmaterialsofinferiorquality,withinninety(90)daysfromthetimetheHeadoftheProcuringEntityhasissuedanordertoundertakerepair.Incaseoffailureorrefusaltocomplywiththismandate,theprocuringentityshallundertakesuchrepairworksandshallbeentitledtofullreimbursementofexpensesincurredthereinupondemand.

62.2.2.2.ThedefectsliabilityperiodshallbecoveredbythePerformanceSecurityofthecontractorrequiredinSection39.1ofthisIRR,whichshallguaranteethatthecontractorperformshisresponsibilitiesstatedintheimmediatelyprecedingSection.IfthecontractorfailstocomplywithitsobligationsunderSection62.2.2.1ofthisIRR,theprocuringentityshallforfeititsperformancesecurity,subjectitsproperty(ies)toattachmentorgarnishmentproceedings,andperpetuallydisqualifyitfromparticipatinginanypublicbidding.AllpayablesoftheGOPinhisfavorshallbeoffsettorecoverthecosts.(a)


62.2.3.FromfinalacceptanceoftheprojectuptotheperiodprescribedinSection62.2.3.2.62.2.3.1.Thefollowingshallbeheldresponsible62.2.3.2.ThewarrantyagainstStructuralDefects62.2.3.3.Toguaranteethatthecontractor62.2.3.4.Thewarrantysecurity


62.2.4.IncaseofStructuralDefects/FailureoccurringduringtheapplicablewarrantyperiodprovidedinSection62.2.3.2hereof,theprocuringentityshallundertakethenecessaryrestorationorreconstructionworksandshallbeentitledtofullreimbursementbythepartiesfoundtobeliableforexpensesincurredthereinupondemand,withoutprejudicetothefilingofappropriateadministrative,civil,and/orcriminalchargesagainsttheresponsiblepersonsaswellastheforfeitureofwarrantysecuritiespostedinfavoroftheprocuringentity.(a)


1.Detailedengineeringshallproceedonlyonthebasisofthefeasibilityorpreliminaryengineeringstudymadewhichestablishesthetechnicalviabilityoftheprojectandconformancetolanduseandzoningguidelinesprescribedbyexistinglaws.Thefindingscontainedinthefeasibilitystudy,ifundertakenfortheproject,shallbeexamined.If,inthecourseofthisexercise,itisfoundthatchangeswouldbedesirableinthedesignstandardsofprincipalfeatures,asproposed,specificrecommendationsforsuchchangesshallbesupportedbydetailedjustifications,includingtheireffectsonthecost,and(ifnecessary)theeconomicjustification.

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2.Ascheduleofdetailedengineeringactivitiesshallincludethefollowing:a)Surveyb)SiteInvestigationc)SoilsandFoundationInvestigationd)ConstructionMaterialsInvestigatione)PreparationofDesignPlansf)PreparationofTechnicalSpecificationsg)PreparationofQuantityandCostEstimatesh)PreparationofProgramofWorki)PreparationofProposedConstructionSchedule(andestimatedCashFlowforprojectswithScheduleoverSix(6)Months)j)PreparationofSiteorRight-of-WayPlansincludingScheduleofAcquisitionk)PreparationofUtilityRelocationPlanl)PreparationandSubmissionofDesignReportm)EnvironmentalImpactStatementforcriticalprojectasdefinedbytheDepartmentofEnvironmentandNaturalResources(DENR)n)PreparationofminimumrequirementsforaConstructionSafetyandHealthProgramfortheprojectbeingconsideredo)PreparationofBid/TenderDocuments

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3.Workunderdetailedengineeringshallinclude,butnotnecessarilybelimitedto,thefollowing:a)DesignStandardsb)FieldSurveysAndInvestigationsc)ContractPlansd)Quantitiese)SpecialProvisionsf)UnitPricesg)ApprovedBudgetfortheContracth)BiddingDocumentsi)ProgramofWorkj)ContractTimeorDurationk)WarrantyPeriodl)ValueEngineeringm)SiteorRight-of-WayAcquisitionPlansandResettlementActionPlans

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4.Asarequirementfortheprocurementofinfrastructureworks,theconcernedconsultants/governmentofficialswhopreparedandapprovedthedetailedengineeringshallissueacertificationthatthedetailedengineeringsurveysanddesignshavebeenconductedaccordingtotheprescribedagencystandardsandspecificationsinconformancewiththeprovisionsofthisAnnex,andthatthedetailedengineeringoutputsareadequatefortheprocurementathand.Theapprovalbytheauthorizedgovernmentofficialsofdetailedengineeringsurveysanddesignsundertakenbyconsultantsneitherdiminishestheresponsibilityofthelatterforthetechnicalintegrityofthesurveysanddesignsnortransferanypartofthatresponsibilitytotheapprovingofficials.

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5.Theaboverulesshallapplytotheimplementationofinfrastructureprojectsundernormalorordinaryconditions.However,underemergencyorextraordinarycasesinvolvingmajorcalamitiesanddisastersasdeclaredbythePresidentwheretimeisoftheessencetosavelivesandpropertiesandrestoredamagedinfrastructures,detailedengineeringworksshallbeconductedinaccordancewiththeguidelinesandprocedures,asprescribedbytheheadoftheappropriateinfrastructureagencyandapprovedbytheInfrastructureCommitteeoftheNationalEconomicandDevelopmentAuthorityBoard,toenablequickresponsetosaidcases,whilemaintainingthesafetyandintegrityofthestructure.

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1.Definition

Anaturalorjuridicalperson,qualifiedbyappropriateeducation,trainingandrelevantexperiencetorenderanyorallofthetypesandfieldsofconsultingservicesasdefinedinthisIRR,shallbeconsideredasaConsultant,subjecttotherequirementsprovidedinthisIRRforeligibilitycheckandpost-qualification.

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2.TheNeedforConsultants

Theservicesofconsultantsmaybeengagedbyanyprocuringentityforgovernmentprojectsorrelatedactivitiesofsuchmagnitudeand/orscopeaswouldrequirealevelofexpertiseorattentionbeyondtheoptimumin-housecapabilityoftheprocuringentityconcernedandconsistentwiththeGovernmentspolicynottocompetewiththeprivatesector.

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3.IndependenceofConsultants

Toensuretheconsultantsprofessionalindependence,integrity,andobjectivity,consultants,aswellaskeystaffworkingfortheconsultingentity,whomaybedirectlyorindirectlyassociatedwithnon-consultingfirmsthatmayhaveaninterestinorbiastowardstheprojectconcerned,shallbeselectedonlyiftheyagreetolimittheirroletothatofconsultantsandwilldisqualifythemselvesandtheiraffiliatesforbiddingforproductsandservicesofthesamegovernmentproject.

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4.HiringofConsultants

4.1.Consultantsshallbehiredonthebasisoftheirprovenexpertise,experienceandcapability.Undercertainconditionsprovidedherein,costmaybeincludedasafactorintheselectionofconsultants.

4.2.InordertomanifesttrustandconfidenceinandpromotethedevelopmentofFilipinoconsultancy,FilipinoconsultantsshallbehiredwhenevertheservicesrequiredfortheprojectarewithintheexpertiseandcapabilityofFilipinoconsultants:Provided,however,ThatintheeventFilipinoconsultantsdonothavethesufficientexpertiseandcapabilitytorendertheservicesrequiredundertheproject,asdeterminedbytheHeadoftheProcuringEntity,foreignconsultantsmaybehired.

4.3.Inthehiringofforeignconsultants,allpertinentlawsandregulationsofthePhilippinesshallbefollowed.

4.4.Technologyandknowledgetransfertotheprocuringentityshallberequiredintheprovisionofconsultingservices,whereapplicable.

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5.OrganizationofConsultants

5.1.TheumbrellaorganizationofconsultantsrecognizedbytheGovernmentshallbecomposedofthevariousorganizationsofconsultantsthatmaybeengagedbytheGovernmentunderthisIRRandshallaccredititsmembersonthetypesofservicesandfieldsofprofessionswherethemembersaretechnicallyandfinanciallyqualifiedtooffertheirservices.TheumbrellaorganizationshallprepareandcertifyalistoffieldsandexpertiseinsuchfieldsavailablewiththenamesoftheaccreditedlocalconsultantswhichshallbeupdatedannuallyorasoftenasnecessaryanddisseminatesuchlisttoconcernedagenciesoftheGovernment.Itshalllikewiseregulateitsmembersforthedevelopmentoftheindustry.TheGovernmentmayconsultanddealwiththisumbrellaorganizationonmattersrelatingtotheindustry.TheGPPBshallbetheappropriategovernmentbodythatshallrecognizetheconsultantsumbrellaorganization.

5.2.TheumbrellaorganizationmaysubmititsfilesofaccreditedconsultantstotheBACoftheprocuringentityinaccordancewiththeformprescribedbytheBACwhichcanserveasregistrationoftheconsultantsunderthenextsucceedingSubsection:Provided,however,ThateachsuchaccreditedconsultantshallcomplywiththeeligibilityrequirementsprovidedinthisIRR.Suchqualificationstatements,togetherwiththelistofaccreditedconsultantspreparedinaccordancewiththeimmediatelyprecedingsection,shallguidetheBACindeterminingthefieldswhereFilipinoconsultantsarealreadyqualifiedandcapableandwhereforeignconsultantsmaynotberequired.

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6.TypesofConsultingServicesTheservicestobeprovidedbyconsultantscanbedividedintosix(6)broadcategories,namely:(a)advisoryandreviewservices;(b)pre-investmentorfeasibilitystudies;(c)design;(d)constructionsupervision;(e)managementandrelatedservices;and(f)othertechnicalservicesorspecialstudies.

6.1.AdvisoryandReviewServices6.2.Pre-InvestmentorFeasibilityStudies6.3.Design6.4.ConstructionSupervision6.5.ManagementandRelatedServices6.6.OtherTechnicalServicesorSpecialStudies

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LATESTALLOWABLETIME

StageActivitiesDeadlineGoodsInfrastructureProjectsConsultingServicesForABC50MandbelowForABCabove50M

1Advertisement/PostingofInvitationtoBid/RequestforExpressionofInterest7cd7cd7cd7cd2EligibilityCheck(andShortListing,incaseofConsultingServices)RefertoStage5RefertoStage5RefertoStage520cd3IssuanceandavailabilityofBiddingDocumentsFrom1stdayofStage1untilStage54Pre-bidConference12cdbeforeStage51cd1cd1cd1cdRequestforclarification10cdbeforeStage5Supplemental/BidBulletin7cdbeforeStage55SubmissionandreceiptofBids45cdfromlastdayofStage1forGoods.50/65cdfromlastdayofStage1forInfrastructureProjects.75cdfromlastdayofStage1forConsultingServices.1cd(includesopeningofbidsandeligibilitycheck)1cd(includesopeningofbidsandeligibilitycheck)1cd(includesopeningofbidsandeligibilitycheck)1cd(includesopeningofbids)Submissionofadditionalrequirements3cdafterStage56BidEvaluation7cd5cd7cd21cd+2cdforapprovalofranking7Notificationfornegotiationn/an/an/a3cd8Negotiationn/an/an/a10cd9Post-qualification30cd30cd30cd30cd10Approvalofresolution/IssuanceofNoticeofAward7cd4cd7cd7cd11Contractpreparationandsigning10cd10cd10cd10cd12Approvalofcontract15cd5cd15cd15cdbyhigherauthority13IssuanceofNoticetoProceed3cd2cd3cd3cdTotalTime124cd113cd144cd170cd

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EARLIESTPOSSIBLETIME

StageActivitiesDeadlineGoodsInfrastructureProjectsConsultingServices

1Advertisement/PostingofInvitationtoBid/RequestforExpressionofInterest7cd7cd7cd2EligibilityCheck(andShortListing,incaseofConsultingServices)RefertoStage5RefertoStage53cd(1cdforeligibility,1cdforshortlisting,and1cdfornotice)3IssuanceandavailabilityofBiddingDocumentsFrom1stdayofStage1untilStage54Pre-bidConference12cdbeforeStage51cd1cd1cdRequestforclarification10cdbeforeStage5Supplemental/BidBulletin7cdbeforeStage55SubmissionandreceiptofBids1cd(includesopeningofbidsandeligibilitycheck)1cd(includesopeningofbidsandeligibilitycheck)1cd(includesopeningofbids)Submissionofadditionalrequirements3cdafterStage56BidEvaluation1cd1cd1cd+1cdforapprovalofranking7Notificationfornegotiationn/an/a1cd8Negotiationn/an/a1cd9Post-qualification1cd1cd1cd10Approvalofresolution/IssuanceofNoticeofAward2cd(1cdforBACresolutionand1cdforNOA2cd(1cdforBACresolutionand1cdforNOA2cd(1cdforBACresolutionand1cdforNOA11Contractpreparationandsigning2cd(1cdforcontractpreparationand1cdforcontractsigning2cd(1cdforcontractpreparationand1cdforcontractsigning2cd(1cdforcontractpreparationand1cdforcontractsigning12Approvalofcontract1cd1cd1cdbyhigherauthority13IssuanceofNoticetoProceed1cd1cd1cdTotalTime28cd28cd34cd

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1.AmendmenttoOrder

1.1.Subjecttotheconditions1.2.Anamendmenttoordermaybeissuedonlyinemergencycases1.3.Anamendmenttoordermayalsobeissuedbytheconcernedprocuringentity1.4.Undernocircumstances

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2.SuspensionofWork

2.1.Theprocuringentitymaysuspendtheworkwhollyorpartlybywrittenorderforacertainperiodoftime,asitdeemsnecessaryduetoforcemajeureoranyfortuitouseventsasdefinedinthecontract.Thesupplierorconsultantshalltakeallreasonablestepstominimizethecostsallocabletotheworkcoveredbysuchorderduringworkstoppage.

2.2.Beforethesuspensionorderexpires,theprocuringentityconcernedshalleitherliftsuchorderorterminatetheworkcoveredbythesame.Ifthesuspensionorderislifted,oriftheperiodoftheorderexpires,thesupplierorconsultantshallhavetherighttoresumework.Appropriateadjustmentsshallbemadeinthedeliveryorcontractschedule,orcontractprice,orboth,andthecontractshallbemodifiedaccordingly.

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3.LiquidatedDamages

3.1.Whenthesupplierfailstosatisfactorilydelivergoodsunderthecontractwithinthespecifieddeliveryschedule,inclusiveofdulygrantedtimeextensions,ifany,thesuppliershallbeliablefordamagesforthedelayandshallpaytheprocuringentityliquidateddamages,notbywayofpenalty,anamountequaltoone-tenth(1/10)ofonepercent(1%)ofthecostofthedelayedgoodsscheduledfordeliveryforeverydayofdelayuntilsuchgoodsarefinallydeliveredandacceptedbytheprocuringentityconcerned.

3.2.Theprocuringentityneednotprovethatithasincurredactualdamagestobeentitledtoliquidateddamages.Suchamountshallbedeductedfromanymoneydueorwhichmaybecomeduetothesupplier,orcollectedfromanysecuritiesorwarrantiespostedbythesupplier,whicheverisconvenienttotheprocuringentityconcerned.Innocaseshallthetotalsumofliquidateddamagesexceedtenpercent(10%)ofthetotalcontractprice,inwhicheventtheprocuringentityconcernedshallautomaticallyrescindthecontractandimposeappropriatesanctionsoverandabovetheliquidateddamagestobepaid.

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4.AdvancePayment

4.1.InaccordancewithPresidentialDecree14454.2.Allprogresspayments4.3.Asingleadvancepayment4.4.Advancepayment4.5.Forgoodssupplied

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5.OtherRulesandGuidelines

TherulesandregulationsfortheotheraspectsofcontractimplementationshallbeincludedinthemanualstobeissuedbytheGPPB,suchas,butnotlimitedto,thefollowing:a)IncidentalServices;b)SpareParts;c)DelaysintheSupplier sPerformance;d)Purchaser sResponsibilities;e)Prices;f)Payment;g)TaxesandDuties;h)Subcontracts;i)Standards;j)Packing;k)Insurance;l)Transportation;m)InspectionsandTests;n)PatentRights;o)LimitationsofLiability;p)TerminationforDefault;q)TerminationforInsolvency;r)TerminationforConvenience;ands)Assignment.

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1.VARIATIONORDERS-CHANGEORDER/EXTRAWORKORDER

1.1.VariationOrders1.2.AChangeOrder1.3.AnExtraWorkOrder1.4.AnycumulativepositiveVariationOrder1.5.InclaimingforanyVariationOrder

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2.ADDITIONAL/EXTRAWORKCOSTING

2.1.ForVariationOrders,thecontractorshallbepaidforadditionalworkitemswhoseunitpricesshallbederivedbasedonthefollowing:a)Foradditional/extraworksdulycoveredbyChangeOrdersinvolvingworkitemswhichareexactlythesameorsimilartothoseintheoriginalcontract,theapplicableunitpricesofworkitemsoriginalcontractshallbeused.b)Foradditional/extraworksdulycoveredbyExtraWorkOrdersinvolvingnewworkitemsthatarenotintheoriginalcontract,theunitpricesofthenewworkitemsshallbebasedonthedirectunitcostsusedintheoriginalcontract(e.g.,unitcostofcement,rebars,formlumber,laborrate,equipmentrental,etc.).Allnewcomponentsofthenewworkitemshallbefixedprices,providedthesameisacceptabletoboththeGovernmentandthecontractor,andprovidedfurtherthatthedirectunitcostsofnewcomponentsshallbebasedonthecontractor'sestimateasvalidatedbytheprocuringentityconcernedviadocumentedcanvassinaccordancewithexistingrulesandregulations.Thedirectcostofthenewworkitemshallthenbecombinedwiththemark-upfactor(i.e.,taxesandprofit)usedbythecontractorinhisbidtodeterminetheunitpriceofthenewworkitem.

2.2.Requestforpaymentbythecontractorforanyextraworkshallbeaccompaniedbyastatement,withtheapprovedsupportingforms,givingadetailedaccountingandrecordofamountforwhichheclaimspayment.Saidrequestforpaymentshallbeincludedwiththecontractor'sstatementforprogresspayment.

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3.CONDITIONSUNDERWHICHCONTRACTORISTOSTARTWORKUNDERVARIATIONORDERSANDRECEIVEPAYMENTS

3.1.UndernocircumstancesshallacontractorproceedtocommenceworkunderanyChangeOrderorExtraWorkOrderunlessithasbeenapprovedbytheHeadoftheProcuringEntityorhisdulyauthorizedrepresentative.Exceptionstotheprecedingrulearethefollowing:

a)TheHeadoftheProcuringEntityb)ForaChangeOrderorExtraWorkOrder

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4.ADVANCEPAYMENT

4.1.Theprocuringentityshall,uponawrittenrequestofthecontractorwhichshallbesubmittedasacontractdocument,makeanadvancepaymenttothecontractorinanamountnotexceedingfifteenpercent(15%)ofthetotalcontractprice,tobemadeinlumpsumor,atthemost,twoinstallmentsaccordingtoaschedulespecifiedintheInstructionstoBiddersandotherrelevantTenderDocuments.

4.2.Theadvancepaymentshallbemadeonlyuponthesubmissiontoandacceptancebytheprocuringentityofanirrevocablestandbyletterofcreditofequivalentvaluefromacommercialbank,abankguaranteeorasuretybondcallableupondemand,issuedbyasuretyorinsurancecompanydulylicensedbytheInsuranceCommissionandconfirmedbytheprocuringentity.

4.3.Theadvancepaymentshallberepaidbythecontractorbydeductingfifteenpercent(15%)fromhisperiodicprogresspaymentsapercentageequaltothepercentageofthetotalcontractpriceusedfortheadvancepayment.

4.4.ThecontractormayreducehisstandbyletterofcreditorguaranteeinstrumentbytheamountsrefundedbytheMonthlyCertificatesintheadvancepayment.

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5.PROGRESSPAYMENT

5.1.Onceamonth,thecontractormaysubmitastatementofworkaccomplished(SWA)orprogressbillingandcorrespondingrequestforprogresspa