Requesting Entity: Department of Budget and Management
Issues Concern: Documentary Requirements for Negotiated Procurement (Two Failed Biddings)
Clarification on whether the procuring entity (PE) has the discretion or reasonable leeway to change the required documents enumerated under the 2016 IRR of RA No. 9184 and which documents it can legally waive or dispense with.
With the effectivity of the 2016 IRR and its Consolidated Guidelines for the Alternative Methods of Procurement (Annex “H”), the requirements for Negotiated Procurement (Two Failed Biddings) have been simplified consistent with the principle of a streamlined procurement process. One of the authority given to the PE is to determine the documentary requirements that must be submitted in case of procurement undertaken through Negotiated Procurement (Two Failed Biddings). To properly undertake this task, the Bids and Awards Committee, as assisted by the Secretariat, Technical Working Group and End-User Unit, shall conduct a mandatory review of the terms, conditions, cost estimates and procurement project, and on the basis thereof decide on the necessary adjustments in the technical, legal, financial eligibility requirements.
The PEs are given the discretion on which eligibility documents are necessary for their procurement project provided that a mandatory review has been conducted to determine the adjustments needed to address the previous failure of bidding. PEs should likewise bear in mind its responsibility to ensure that it is entering into a contract with a technically, legally, and financially capable supplier, contractor, or consultant. The PEs should see to it that the documents it will be requiring will enable it to select a capable supplier and address the failure of bidding that preceded.