Government Procurement

Government Procurement Reform Act (RA 9184)

The Government Procurement Reform Act (RA 9184) and its Implementing Rules and Regulations (IRR) govern the procurement activities of the government, including infrastructure projects, goods, and consulting services.

Principles of Government Procurement

1. Transparency: All procurement activities must be open to the public.
2. Competitiveness: Procurement should be competitive and open to all eligible suppliers, manufacturers, distributors, contractors, and consultants.
3. Streamlined Process: The procurement process should be simple and efficient, adapting to modern technology.
4. Accountability: Public officials and employees involved in procurement are accountable for their actions.
5. Public Monitoring: Procurement proceedings must be monitored by civil society organizations.

The Bids and Awards Committee (BAC)

Each procuring entity (e.g., DPWH, Local Government Unit) establishes a Bids and Awards Committee (BAC).

Functions of the BAC:

• Advertise and/or post the invitation to bid/request for expression of interest.
• Conduct pre-procurement and pre-bid conferences.
• Determine the eligibility of prospective bidders.
• Receive and open bids.
• Conduct the evaluation of bids.
• Post-qualify the lowest calculated bid.
• Recommend award of contracts to the Head of the Procuring Entity (HOPE).

The Bidding Process (Infrastructure Projects)

Alternative Methods of Procurement

While competitive bidding is the default, RA 9184 allows alternative methods in exceptional cases:

• Limited Source Bidding (specialized goods/consulting)
• Direct Contracting (proprietary source)
• Repeat Order (goods)
• Shopping (off-the-shelf goods)
• Negotiated Procurement (failed biddings, emergency, small value)