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BIDDING PROCEDURES FOR THE

PROCUREMENT OF
GOODS
Salient Features
Procurement of all government agencies
Public Bidding
Approved Budget for the Contract (ABC)
Use of transparent, objective and non-
discretionary criteria
Increase Transparency in the
procurement process
Inclusion of Penal and Civil Liabilities
Governing Principles
Public Monitoring
Accountability
Competetiveness
Transparency
Streamlined Process
Definition of Terms

Procurement - refers to the acquisition of goods, consulting


services, and the contracting for infrastructure projects by
procuring entity. (Sec. 5(aa), IRR, R.A. 9184)

Goods and Services - refer to all items, supplies, materials and


general support services, except consulting services and
infrastructure projects, which may be needed in the
transaction of public businesses or in the pursuit of any
government undertaking, project or activity. (Sec. 5(r), IRR,
R.A. 9184)
Standardized Bidding Procedures
Pre- Procurement
Advertisement Pre-Bid Conference
Conference

Opening of
Opening of
Submission of Bids 1st Envelope - Eligibility
2nd Envelope - Financial
Docs & Technical
Proposal
Proposal

Bid Evaluation &


Post Qualification Contract Award
Ranking
PREPARATION OF BIDDING
DOCUMENTS
Preparation of Bidding Documents
Prepare the Bidding Documents following the
standard forms prescribed by the GPPB;

Specifications and other terms in the Bidding


Documents shall reflect the minimum
requirements or specifications required to meet
the needs of the procuring entity;

Use clear and unambiguous terms in your


specifications;

Reference to brand names not allowed


Preparation of Bidding Documents
Bidders will be asked to pay for the Bidding
Documents to recover the cost of its preparation
and development;

BAC shall issue the bidding document upon


payment of the standard rate, as follows:
Approved Budget Maximum cost of
for the Contract Bidding Document
Php 500,000.00 & Below Php 500.00
> 500,000.00 to 1M Php 1,000.00
> 1M to 5M Php 5,000.00
> 5M to 10M Php 10,000.00
>10M to 50M Php 25,000.00
>50M to 500M Php 50,000.00
>500M Php 75,000.00
Preparation of Bidding Documents
Bidding Document must be available on the same date the
advertisement and/or posting of the Invitation to Bid is made;

Bidding Document shall be posted at the PhilGEPS website and the


Procuring Entitys website wherein prospective bidders may download,
provided that, bidders shall pay the fee for the Bidding Documents on
or before submission of their bids;

The Bidding Document shall include the following:


a. Approved Budget for the Contract;
b. Invitation to Bid;
c. Minimum eligibility requirements;
d. Instruction to Bidders;
e. Technical Specifications;
INVITATION TO BID
Pre-Procurement Conference
Purpose: Determine readiness to proceed
with the bidding process
Conducted before advertisement/posting of the Invitation to
Bid

Mandatory for the procurement of Goods with ABC above


Php 2M;
Attended by the following:
a.BAC
b.BAC Secretariat
c.TWG
d.Consultants
e.End-user unit/Other officials
Contents of the Invitation to Bid
I. Name of contract to be bid and brief description of the goods to
be procured;
II. A general statement on the criteria to be used for eligibility
check, evaluation of bids, and post-qualification;
III. The date, time and place of the deadline for submission and
receipt of the eligibility requirements and bids; pre-bid
conference, if any, and the opening of bids;
IV. The ABC;
V. The funding source;
Contents of the Invitation to Bid
VI. Period of availability of bidding documents, place where they
may be secured, the website where bidding documents may
be downloaded, and price where applicable;
VII. Contract duration or delivery schedule;
VIII. The name, address, telephone number, fax number, e-mail,
and website address of the procuring entity and designated
contact person;
IX. The Reservation Clause; and
X. Other necessary information deemed relevant by the
procuring entity.
Advertising and Posting of Invitation to Bid
At least once in one (1) newspaper of general nationwide
circulation, which has been regularly published for at least two
(2) years before advertisement date;.

To be a newspaper of general nationwide circulation, it is


enough that it is published for the dissemination of local
news and general information, that it has a bona fide
subscription list of paying subscribers, and that it is
published at regular intervals. Over and above all these, the
newspaper must be available to the public in general, and
not just to a select few chosen by the publisher. (Efren L.
Alvarez vs. People of the Philippines; G.R. No. 192591; June
29, 2011)
Advertising and Posting of Invitation to Bid
Not required for projects with ABC of 2M and below

Posted continuously for 7 calendar days


a. PhilGEPS;
b. website of the PE, if any; and
c. At any conspicuous place in the premises of
the PE.
Penalty for Non-Posting
E.O. No. 662 dated 27 Sept. 2007, as amended by E.O. No. 662-
A & 662-B, reiterated posting of all procurement opportunities
and awards, and other related information in the PhilGEPS
bulletin board;

Failure to post the Invitation to Bid in the PhilGEPS will hold


accountable officials, particularly the BAC, liable for dereliction
of duty and conduct grossly prejudicial to the best interest of
the service, without prejudice to other charges, whether
administrative, civil or criminal, that may be filed under
appropriate laws and regulation.
Pre-Bid Conference
Mandatory for projects with ABC of 1M or more;

Held at least 12cd before deadline for bid submission. For


complex items as to method and nature of the contract, PBC may
be held at least 30cd before deadline for bid submission.

At the option of procuring entity, only bidders who purchased bid


documents are allowed to attend or ask questions

Attendance of prospective bidders is not mandatory.


Supplemental Bid Bulletin
Statements made in pre-bid shall not modify the terms of bidding
documents unless issued as a supplemental/bid bulletin;
Issued to answer written requests for clarification or interpretation
submitted by prospective bidders at least 10 c.d. before deadline for
bids; or
Issued also upon BACs initiative to clarify or modify any provision of
Bidding Docs.
Issued by BAC at least 7 c.d. before deadline for submission of bids;
posted in PhilGEPS and agencys website, if any;
Bidders who have submitted bids before issuance of
Supplemental/Bid Bulletin to be informed in writing and allowed to
modify or withdraw their respective bids.
Supplemental Bid Bulletin
22.5.2 RA 9184 IRR allows PEs to issue Supplemental/Bid Bulletins
upon their initiative for the purpose of clarifying or modifying any
provision in the Bidding Documents, including the IB.
Accordingly, PE cannot compel prospective bidders or the winning
bidder to submit or comply with requirements not initially provided
in the Bidding Documents or through any Supplemental/Bid Bulletin
issued by the PE for the project that must be posted at the PhilGEPS
and the PEs website.
In the event no supplemental/bid bulletin was issued and posted, the original
provisions contained in the Bidding Documents remain and the prospective bidder,
including the winning bidder cannot be compelled to abide or comply with the
changes made by the PE. (NPM 24-2013)
Modification and Withdrawal of Bids
A bidder may modify its bid, provided it is done before the deadline
for the submission and receipt of bids;
A bidder modifying his bid will only be allowed to send another bid
equally sealed, properly identified, linked to the original and marked
as a modification;
Bid modifications received after the deadline shall not be considered
and shall be returned to the bidder unopened;
A bidder may withdraw his bid before the deadline for the receipt of
bids;
The bidder who withdraws its bid shall not be permitted to submit
another bid, directly or indirectly, for the same contract.
Submission and Receipt of Bids
Receipt and Opening of Bids
BAC opens bid envelopes in public to determine each bidders
compliance with the documents required to be submitted;

BAC shall check the submitted documents of each bidder against a


checklist of required documents using a non-discretionary pass/fail
criteria

If a bidder submits the required documents, it shall be rated


passed for that particular requirement.

Bids that fail to include any of the requirement or are incomplete or


patently insufficient shall be considered as failed.
Eligibility Requirements
Class A Documents
SEC/DTI/CDA Registration Certificates;

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Eligibility Requirements
Class A Documents
Mayors Permit

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Eligibility Requirements
Class A Documents
Tax clearance per Executive Order 398, series of 2005, as
finally reviewed and approved by the BIR;
(GPPB Resolution No.21-2013)

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Eligibility Requirements
Class A Documents
Net Financial Contracting Capacity; and Audited
Financial Statement

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Eligibility Requirements
Class B Documents
Joint Venture Agreement or notarized statement from the partners
that they will enter into joint venture if awarded the contract.

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Eligibility Requirements
FOR FOREIGN BIDDERS, Class A Documents may be
substituted by:

Equivalent documents issued by country


Accompanied by English translation certified by
appropriate embassy or consulate in the Philippines
(Sec. 23.2 Revised IRR of R.A. 9184)
Only upon actual determination and confirmation of this equivalence
through post qualification by the BAC may it be categorically resolved
that the foreign documents submitted are acceptable substitutes of
the required eligibility documents pursuant to 23.2 of the IRR. (NPM
42-2013)
Eligibility Requirements
FOR FOREIGN BIDDERS:
As a form of Tax Clearance, the Delinquency
Verification Certificate issued to Non-Resident
Foreign Corporations (NRFC)/Non-Resident
Aliens Not Engaged in Trade or Business
(NRANETB) pursuant to BIR RR 3-2005, may
be submitted by foreign bidders.