Government Procurement Reform Act
Procurement
Procurement is obtaining or purchasing goods or services, typically for business purposes.
Procurement is most commonly associated with businesses because companies must solicit
services or purchase goods, usually on a relatively large scale.
Governing Principles:
All procurement of the national government, its departments, bureaus, offices and agencies,
including state universities and colleges, government-owned and government-controlled
corporations, government financial institutions and local government units, shall in ALL CASES be
governed by these principles:
(1) Transparency
Clear in the procurement process and in the implementation of procurement
contracts
(2) Competitiveness
Competitive by extending equal opportunity to enable private contracting parties
who are ELIGIBLE and QUALIFIED to participate in PUBLIC BIDDING
(3) Streamlined procurement process
Process that will uniformly apply to all government procurement.
The procurement process shall SIMPLE and MADE ADAPTABLE TO ADVANCES IN
MODERN TECHNOLOGY in prder to ensure an effective and efficient method
(4) System of accountability
Accountability where both the public officials directly or indirectly involved in the
procurement process as well as in the implementation of procurement contracts
and the private parties that deal with government are investigated and held liable
for their actions relative thereto when warranted by circumstances
(5) Public monitoring
Monitoring of the procurement process and the implementation of awarded
contracts with the end in view of guaranteeing that these contracts are awarded
pursuant to the provisions of this Act and its implementing rules and regulations,
and that all these contracts are PERFORMED STRICTLY according to
SPECIFICATIONS
Scope and Application of GPRA
Apply to:
1. Procurement of Infrastructure Projects
2. Procurement of Goods
3. Procurement of Consulting Services
Regardless of source of funds, whether local or foreign, by all branches and instrumentalities of
government, its departments, offices and agencies, including GOCC corporations and LGU, subject to
the provisions of the Commonwealth Act No. 138
Any treaty or international or executive agreement affecting the subject matter of this Act to which
the Philippine government is signatory shall be observed
10 Steps of Procurement Process
(A) Pre-procurement conference
(B) Advertisement of the invitation to bid
(C) Pre-bid conference
(D) Eligibility check of prospective bidders
(E) Submission and receipts of bids
(F) Modification and withdrawal of bids
(G) Bid opening and examination
(H) Bid evaluation
(I) Post qualification
(J) Award of contract and notive to proceed
Preparation of Bidding Documents
Form and content of Bidding Documents:
o Bidding documents shall be prepared by the Procuring Entity following the standard forms
and manuals prescribed by the Government Procurement Policy Board [GPPB]
o Bidding Documents shall include:
1. Approved Budget for the contract
2. Instructions to Bidders, including criteria for eligibility, bid evaluation,
post-qualification, and the date, time and place of the pre-bid Conference
(where-applicable, submission of bids and opening of bids
3. Terms of reference
4. Eligibility requirements
5. Plans and technical specifications
6. Form of Bid, Price form, and List of goods (Bill of Quantities)
7. Delivery Time (Completion Schedule)
8. Form and Amount of Bid security
9. Form and Amount of Performance security and warranty
10. Form of Contract, and General and Special Conditions of contract
o Procuring entity MAY REQUIRE ADDITIONAL DOCUMENT requirements or specifications
necessary to complete the information required for the bidders to prepare and submit their
respective bids
Respective to Brand Names:
Specifications for the Procurement of Goods shall be BASED ON RELEVANT
CHARACTERISTICS and/or PERFORMANCE requirements.
Reference to brand names SHALL NOT BE ALLOWED
Access to information
In ALL STAGES of the preparation of the Bidding Documents, the procuring entity SHALL
ENSURE EQUAL ACCESS to information
Prior to their official release, NO ASPECT of the Bidding Document shall be divulged or
released on any prospective bidder or having direct or indirect interest in the project to be
procured
o Before the start of the bidding, the bidding document shall not be disclosed
Invitation to Bid
Pre-procurement Conference:
Prior to the issuance of the invitation to bid, the Bids and Awards Committee
[BAC] is mandated to hold a pre-procurement conference on EACH AND EVERY
PROCUREMENT
Exception: Those contracts below a certain level or amount specified in the
Implementing Rules and Regulations [IRR], in which case, the holding of the same is
optional
Pre-procurement conference SHALL ASSESS the READINESS of the procurement in
terms of confirming the certification of availability of funds, reviewing all relevant
documents and the draft “Invitation to Bid”, and consultants hired by the agency
concerned and representative of the end-user
Advertising and Contents of the invitation to Bid
In line with the principle of “Transparency and Competitiveness”, ALL INVITATIONS
TO BID contracts under competitive bidding shall be advertised by the Procuring
Entity in such manner and for such length of time as may be necessary under the
circumstances, in order to ensure the widest possible dissemination thereof, such
as, but not limited to:
Posting in the procuring Entity’s premises
In newspapers of general circulation
The Government Electronic Procurement System [G-EPS], a system where
you can see available projects where you can bid
The website of the Procuring entity if available
Pre-bid Conference:
At least 1 pre-bid conference SHALL BE CONDUCTED for EACH PROCUREMENT,
unless otherwise provided in the IRR
Subject to the approval of BAC, a pre-bid conference may also be conducted upon
the written request of any prospective bidder
Holding of a pre-procurement conference MAY NOT BE REQUIRED FOR small
procurement:
1. Procurement of Infrastructure Projects costing P 5M below
2. Procurement of Goods costing P 2M below
3. Procurement of Consulting Services costing P 1M below
