Deals with sourcing activities, negotiation and strategic selection of goods or services that are usually of
importance to an organization.
Procurement Planning
It entails ensuring that detailed engineering investigations are conducted, plans for procurement
are linked to budgets, preparing the PPMP (Project Procurement Management Plan) and
consolidating all PPMPs into the APP.
Competitive Bidding or Public Bidding - is a method of procurement that is open to any interested and
qualified party. It is preferred over other methods of procurement.
How much must prospective bidders pay for the bidding documents?
The cost of bidding documents shall correspond to the ABC range. This shall be the maximum
amount of fee that Procuring Entities can set for the acquisition of bidding documents.
Bidding documents fee may be refunded based on the grounds provided for under Section 41 of
the Act and its 2016 IRR.
Step 4: Receive, Open and Examine the Technical and Financial Envelopes
Post-qualification involves the BAC verifying, validating and ascertaining that the bidder satisfies
the following requirements: (2016 IRR Section 34.3)
1. Legal Requirements.
a. PCAB (Philippine Contractors Accreditation Board) license;
b. Registration Certificate coming from SEC, DTI for sole proprietorship, or CDA
(Cooperatives Development Authority) for cooperatives;
c. Mayor’s/Business Permit or the equivalent document for Exclusive Economic Zones or
Areas; and d. Tax Clearance per EO 398, s. 2005.
2. Technical Requirements.
3. Financial Requirements.
a. Examination of the Bill of Quantities, Detailed Estimates and Cash Flow;
b. Ascertaining of the updated NFCC taking into consideration the up-to-date value of all
outstanding or unfinished works under ongoing and awarded contracts coinciding with
the contract being procured; and
c. Examination of the BIR-audited financial statement.
What are the requirements to be submitted by the Bidder that Submitted the LCB/SCB?
(Lowest Calculated Bid)?
Within five (5) calendar days from receipt by the bidder of the Notice from the BAC that
it has submitted the LCB/SCB, the bidder shall submit the following documentary
requirements to the BAC (2016 IRR Section 34.2):
1. Latest income and business tax returns; and
2. Other appropriate licenses and permits required by law and stated in the
Bidding Documents.
Who are the Parties involved in Contract Signing and Approval and Issuance of the NTP
(Notice to Proceed)?
The following parties are involved in contract signing and approval and in the issuance of the
NTP:
1. The Procurement Unit/BAC Secretariat;
2. The HoPE and/or higher contract approving authority; and
3. The winning bidder.
How long is the entire process of public bidding for infrastructure projects?
From advertisement/posting of the procurement opportunity to issuance of the NTP,
the minimum and maximum periods are estimated to be 26 and 156 calendar days,
respectively.
One of the reasons for the use of alternative methods of procurement is for Administrative
convenience.
For the procurement of infrastructure projects, negotiated procurement is the only alternative
method of procurement that may be used.
REPORTERS/DISSCUSSANTS:
ROQUID, SHAYNE O.
RUILES, MARY JOY D.
BSCE 5B