2011-12-28

NPM 033-2011

Requesting Entity: City of Digos, Davao del Sur

Issues Concern: Accreditation System for Bidders

 

Details

Whether the system of accreditation suppliers/contractors being implemented by the City of Digos is in accordance with Republic Act (RA) 9184 and its Implementing Rules and Regulations.

[T]he enactment of RA 9184 brought about major reforms in the procurement system, the most significant of which is the use of competitive bidding in all government procurement as a matter of policy. Consequently, the creation of an accreditation system is not in accordance with the mandate of the present procurement law because it is fact contravenes the very basic principles of competitive bidding. As it was previously discussed in Non-Policy Matter 28-2005, the establishment of an accreditation system within the agency would limit the participation of bidders only to the accredited suppliers, to the exclusion and prejudice of the bidders in the market.

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[I]t is our considered view that the accreditation of suppliers/contractors system being undertaken by the City of Digos is not in accordance with the principles set forth under the rules. It bears stressing that the process of competitive bidding as mandated by RA 9184 and its IRR must be observed accordingly, being the default mode for all government procurement transactions.