Department of Public Works and Highways: Central Office
Department of Public Works and Highways: Central Office
Department of Public Works and Highways: Central Office
DEPARTMENT MEMORANDUM )
)
41 )
CIRCULAR NO. ---~-....,... )
Series of 2020 r OS' 7:1.~"Z0
FOR/TO UNDERSECRETARIES
ASSISTANT SECRETARIES
• SERVICE DIRECTORS
BUREAU DIRECTORS
REGIONAL DIRECTORS
HEADS OF UPMOs
DISTRICT ENGINEERS
BAC CHAIRPERSONS AND MEMBERS
This Department
For information and guidance of all concerned Bids and Awards Committees in the Central,
Regional, and District Offices, attached is a copy of Government Procurement Policy Board (GPPB)
Resolution No. 09-2020 dated May 7, 2020 entitled: "APPROVING MEASURES FOR EFFICIENT
CONDUCT OF PROCUREMENT ACTIVTIES DURING A STATE OF CALAMITY, OR
IMPLEMENTATION OF COMMUNITY QUARANTINE OR SIMILAR RESTRICTIONS".
Said GPPB Resolution may be downloaded from the DPWH website: http://dpwhweb and GPPB
website: https://www.qpPb.qov.ph/issuances/Resolutions. If an office cannot access the DPWH
website, a hard copy may be obtained from the Records Management Section, HRAS, upon
request.
~
MARICHU A. PALAFOX, CESO III
Assistant Secretary for Support Services
12.1 MPOA/MVSG
brout
WHEREAS, Republic Act (RA) No. 9184, otherwise known as the “Government
Procurement Reform Act”, took effect on 26 January 2003, while its 2016 revised
Implementing Rules and Regulations (IRR) took effect on 28 October 2016;
WHEREAS, Section 63 of RA No. 9184 and its 2016 revised IRR authorizes the
Government Procurement Policy Board (GPPB) to formulate public procurement policies,
rules and regulations, and amend its IRR, whenever necessary;
WHEREAS, Sections 37 and 38 of RA No. 9184 provides that the Head of the
Procuring Entity (HoPE) has a fifteen-day (15 day) period to approve the recommendation of
the award by the Bids and Awards Committee (BAC) as well as issue the Notice of Award and
has a three-month (3-month) period within which to complete the procurement process from
the opening of bids up to the award of contract, respectively;
WHEREAS, the recommended earliest possible time and maximum period allowed for
the procurement of goods and services, infrastructure projects and consulting services are in
Annex “C” of the 2016 revised IRR of RA No. 9184 pursuant to the specific provisions on each
procurement activity provided for by the foregoing law and rules;
WHEREAS, the Supreme Court held in the case of Reynaldo M. Jacomille v. Hon.
Joseph Emilio A. Abaya, et al.,1 that the different periods provided by RA No. 9184 within
which certain stages of the procurement process must be completed is not merely directory
but mandatory;
Whereas, Section 25.1 of the 2016 revised IRR of RA No. 9184 provides that bidders
shall submit their bids through their duly authorized representative using the forms specified
in the Bidding Documents in two (2) separate sealed bid envelopes, and which shall be
submitted simultaneously. The first shall contain the technical component of the bid, including
the eligibility requirements and the second shall contain the financial component of the bid;
Whereas, Section 8.1.1 of the 2016 revised IRR of RA No. 9184 provides that the
Philippine Government Electronic Procurement System (PhilGEPS) shall serve as the primary
and definitive source of information on government procurement while the GPPB is authorized
to approve changes in the procurement process to adapt to improvements in modern
technology pursuant to Section 8.3.2 of the same IRR;
1
G.R. No. 212381, April 22, 2015.
WHEREAS, given the COVID-19 pandemic, the GPPB issued Resolution No. 03-
3
2020 allowing Procuring Entities (PEs) to apply the rules on Negotiated Procurement
(Emergency Case) during a State of Calamity and simplifying the process therefor. This was
followed by more issuances such as GPPB Resolution No. 05-20204 and GPPB-TSO Non-
Policy Matter Opinion (NPM) No. 03-20205 which enable PEs to efficiently and expediently
undertake procurement during a State of Calamity;
WHEREAS, on 16 March 2020, due to the rapid increase of cases of infection in the
country, the President signed Proclamation No. 929 declaring a State of Calamity throughout
the Philippines for a period of six (6) months or up to 12 September 2020, unless lifted earlier
or extended as circumstances may warrant, and further providing for the implementation of
"Enhanced Community Quarantine (ECQ)" over the entire Luzon until 12 April 2020. Following
this, a Memorandum Circular6 was issued by the Executive Secretary implementing, among
others, work from home arrangement for the Executive Branch and the suspension of mass
public transport services and other businesses that do not render critical services;
WHEREAS, on 24 March 2020, the President signed RA No. 11469 or the Bayanihan
to Heal as One Act, which granted the President temporary emergency powers to address the
national emergency brought about by the COVID-19 pandemic. Relative thereto, Joint
Memorandum Circular No. 17 was issued by the Commission on Audit and the GPPB to
support the government’s efforts to mitigate, if not contain the transmission of COVID-19
through the expedient procurement of Goods, Infrastructure Projects and Consulting Services
needed by frontline workers. This was followed with the issuance of a Memorandum from the
Executive Secretary,8 GPPB Resolution No. 06-2020,9 GPPB-TSO NPM No. 004-2020,10 and
Department of Budget and Management (DBM) National Budget Circular (NBC) No. 58011 in
order to implement the temporary emergency measures provided under the Bayanihan Act;
WHEREAS, on 7 April 2020, the Office of the Executive Secretary, upon the
recommendation of the Inter-Agency Task Force for the Management of Emerging Infectious
Disease (IATF), issued a Memorandum extending the ECQ over the entire Luzon until 30 April
2
Memorandum Circular on Stringent Social Distancing Measures and Further Guidelines for the Management of the COVID-19
Situation dated 13 March 2020.
3
Adoption of Efficient, Effective, and Expedient Procurement Procedures during a State of Public Health Emergency dated 9
March 2020 and published on 13 March 2020 in the Philippine Daily Inquirer.
4
Approving the Acceptance of an Expired Mayor's Permit with Official Receipt for the Renewal Application and Unnotarized
Omnibus Sworn Statement as basis for award under the Negotiated Procurement (Emergency Cases) Modality dated 20 March
2020 and published on 24 March 2020 in the Philippine Daily Inquirer.
5
Negotiated Procurement under Emergency Cases dated 23 March 2020 and may be accessed through this link:
https://gppb.gov.ph/assets/pdfs/NPM%203-2020_Negotiated%20Procurement%20(Emergency%20Cases).pdf.
6
Memorandum Circular on Community Quarantine over the Entire Luzon and Further Guidelines for the Management of the
COVID-19 Situation dated 16 March 2020.
7
Emergency Procurement by the Government during a State of Public Health Emergency Arising from the Coronavirus Disease
2019 (COVID-19) dated 26 March 2020 and published on 28 March 2020 in the Philippine Daily Inquirer.
8
Implementation of Temporary Emergency Measures under RA No. 11469, Otherwise Known as the Bayanihan to Heal as One
Act dated 28 March 2020.
9
Approving the Circular setting the Guidelines on the Emergency Procurement under RA No. 11469 or the Bayanihan Act and
Recommending for Approval of the President the Increase of Advance Payment to 30% for Procurement Projects covered under
the Bayanihan Act dated 6 April 2020 and published on 12 April 2020 in the Philippine Star.
10
Emergency Procurement under RA No. 11469 or the Bayanihan to Heal as One Act dated 16 April 2020 and may be accessed
through this link: https://www.gppb.gov.ph/assets/pdfs/NPM%20004-
2020_Emergency%20Procurement%20under%20Bayanihan%20Act.pdf.
11
Adoption of Economy Measures in the Government Due to the Emergency Health Situation dated 22 April 2020.
WHEREAS, on 8 April 2020, during a virtual press briefing,13 Cabinet Secretary Karlo
Nograles stated that for areas outside Luzon, local government units (LGUs) have the
discretion to implement community quarantines if they deem necessary as long as local
officials coordinate with the Department of the Interior and Local Government and the
Department of Health on their decisions. Afterwards, this was superseded by Executive Order
No. 112,14 wherein the President specifically identified areas under ECQ and General
Community Quarantine and announced that no LGU shall declare its own community
quarantine without observing the procedures set forth by the IATF;
NOW, THEREFORE, for and in view of all the foregoing, We, the Members of the
Government Procurement Policy Board, by virtue of the powers vested on Us by law and
other executive issuances, hereby RESOLVE to confirm, adopt, and approve, as We hereby
confirm, adopt, and approve the following measures, as recommended by the GPPB-TSO,
for the efficient conduct of all procurement activities, regardless of procurement modality,
during a nationally or locally declared State of Calamity arising from natural or human-induced
hazard that may cause loss of life, injury or other health effects or impacts, property damage,
loss of livelihood and services, social and economic disruption, or environmental damage, or
implementation of community quarantine, or similar restrictions where movement of people
and mass public and private transport are limited:
1. PEs to ASSESS AND REVIEW all of their planned and ongoing procurement for the
fiscal year 2020 and identify which shall be discontinued or terminated pursuant to the
DBM NBC No. 580 and other subsequent similar issuances. For those to be continued,
PEs shall review the existing project requirements to ensure that the same cover only
what they need and can actually implement within the year, taking into consideration
the PE’s available budget in light of the implementation of DBM NBC No. 580 and other
similar issuances.
12
Presidential Communications Operations Office Press Release dated 24 April 2020 and may be accessed through this link:
https://pcoo.gov.ph/news_releases/president-duterte-extends-restriction-in-metro-manila-central-luzon-other-areas-until-may-
15/
13
Video and transcription may be accessed through this link: https://pcoo.gov.ph/press-briefing/inter-agency-task-force-virtual-
presser-with-cabinet-secretary-karlo-nograles-3/
14
Imposing an Enhanced Community Quarantine in High-risk Geographic Areas of the Philippines and a General Community
Quarantine in the Rest of the Country from 01 to 15 May 2020, Adopting the Omnibus Guidelines on the Implementation Thereof,
and for Other Purposes dated 30 April 2020.
These measures shall be allowed at any time, not just during a State of Calamity, or
implementation of community quarantine or similar government restrictions.
4. In light of the unavailability of the online bidding facility under the modernized Philippine
Government Electronic Procurement System (mPhilGEPS), AUTHORIZE the online or
electronic submission and receipt of bids for procurement modalities where a two-
envelope procedure or sealed price quotation is required. The BAC shall decide
whether to allow the online or electronic submission and receipt of bids based on the
PE’s procurement needs and capabilities.
4.1 The GPPB Online Portal established under Item 9.0 of the GPPB Circular No.
1-202017 shall be further developed to allow for the online submission and
receipt of bids. The GPPB Online Portal shall ensure the security, integrity and
confidentiality of the bids submitted and generate an audit trail of transactions
for the security, integrity and authenticity of the bid submissions.
The GPPB-TSO shall issue the procedure for the use of the GPPB Online
Portal for the online submission and receipt of bids, once it becomes
operational.
4.2 Bid submission may be done through any electronic means available to the
PEs, provided that the same:
15
GPPB Resolution No. 24-2018 dated 4 December 2018.
16
GPPB Resolution No. 16-2019 dated 17 July 2019.
17
Guidelines for Emergency Procurement under Republic Act No. 11469 or the Bayanihan to Heal as One Act dated 6 April 2020.
For this purpose, the highest official managing the Information Technology
system of the agency shall issue a Certification describing the electronic
system or procedure to be used by the PE for the electronic submission and
receipt of bids and a statement that the same is compliant with the foregoing
requirements. The said Certification shall be submitted to the GPPB-TSO
through ITcertification@gppb.gov.ph prior to posting of the Bidding Documents
allowing for electronic submission and receipt of bids.
5. Moreover, PEs shall ensure ADOPTION of the following procedure for online or
electronic bid submission:
5.1 The Invitation to Bid, including the Bidding Documents shall clearly state
whether the PE shall allow the submission and receipt of bids through
electronic means;
5.2 Bidders shall submit their Bids through any of the abovementioned online or
electronic facilities at any time before the closing date and time specified in the
Bidding Documents;
5.3 Upon receipt of the first and second envelopes, PEs shall generate a Bid
receipt page for the official time of submission which can be saved or printed
by the bidder; and
5.4 As with manual submission, Bidders may modify or withdraw their Bid at any
time before the deadline for the submission and receipt of bids. Where a bidder
modifies its Bid, it shall not be allowed to retrieve its original Bid and shall only
be allowed to submit another. For electronic bid submission, Bidders shall send
another Bid equally secured, properly identified, and labelled as a
“modification” of the one previously submitted. The time indicated in the latest
Bid receipt page generated shall be the official time of submission. Bids
submitted after the deadline shall not be accepted.
The use of the aforesaid online or electronic bid submission shall be allowed until such
time as the online bidding facility under the mPhilGEPS becomes fully operational. For
this purpose, the PhilGEPS shall submit to the GPPB-TSO the proposed guidelines for
the use of the online bidding facility during its testing stage to ensure the timely review
and approval of the Board.
6.2 Expired Business or Mayor's permit with Official Receipt of renewal application,
subject to submission of Business or Mayor's permit after award of contract but
before payment;
c. The end-user may require the winning bidder to replace the submitted PSD
with a performance security in any of the prescribed forms under Section
39.2 of the 2016 revised IRR of RA No. 9184 upon lifting of the State of
Calamity, or community quarantine or similar restrictions, as the case may
be.
The BAC shall determine or validate the existence of the State of Calamity, or
implementation of community quarantine or similar restrictions and may require the
submission of documentary proof for this purpose.
7. ALLOW the BAC to suspend the conduct of procurement activities adversely affected
or interrupted by the declaration of a State of Calamity, or implementation of
community quarantine or similar restrictions at any time during the existence of such
calamity, or quarantine or similar restrictions, and when it has assessed or determined
that:
7.1 No Bidder will be able to submit a Bid or comply with the requirements of the
procurement rules due to the limitations resulting from the declaration of a State
of Calamity, or implementation of a community quarantine or similar restrictions;
or
In case of suspension, the BAC shall notify all prospective bidders and post a notice
on the PE’s website, if any. The notice shall include the suspension of the conduct of
procurement activities for a specific Procurement Project,18 its estimated date of
resumption and all the implications of such suspension which shall include, but not
limited to the fixed price rule in procurement, extension of the bid validity and security,
validity of the eligibility requirements prior to the award of contract, conditions of award,
and revised date of delivery.
18
As defined under GPPB Circular No. 06-2019 dated 17 July 2019, a Procurement Project shall refer to a specific or identified
procurement covering goods, infrastructure project or consulting services. A Procurement Project shall be described, detailed,
and scheduled in the Project Procurement Management Plan prepared by the agency which shall be consolidated in the procuring
entity's APP.
8. ALLOW the subsequent tolling of the periods for the Procurement Projects covered by
the suspension, including the running of the 3-month period to award the contract and
terminate the procurement process under Section 38 of RA No. 9184, during the
suspension of the conduct of procurement activities, as determined by the BAC.
The period for the conduct of procurement activities shall run again upon posting of
the notice of resumption of procurement activities on the website of the PE, if any, or
in the absence thereof, any conspicuous place in the premises of the PE. The PE shall
likewise inform the affected bidders of the resumption of procurement activities for the
participation and/or compliance, as the case may be.
The period of action on procurement activities shall not commence anew but rather,
grants the PE the balance of the remaining period available for the conduct of
procurement activities which has been tolled or suspended.
9. Without prejudice to Section 35.1 of the 2016 revised IRR of RA No. 9184, ALLOW
the BAC, upon consultation with the end-user unit, to cancel or terminate the conduct
of procurement activities for any justifiable reason, such as but not limited to:
9.1 the physical and economic conditions have significantly changed so as to render
the project no longer economically, financially, or technically feasible, as
determined by the end-user unit;
9.3 the source of funds for the project has been withheld or reduced through no fault
of the PE; or
The cancellation or termination authorized herein shall be allowed at any time, not just
during a State of Calamity, or implementation of community quarantine or similar
government restrictions.
A copy of the relevant provisions and guidelines on submission and receipt of bids as
well as on suspension and termination that are amended as a consequence of the
foregoing is attached as Annex “B” and made an integral part hereof.
____________________________________ ____________________________________
NATIONAL ECONOMIC AND DEPARTMENT OF EDUCATION
DEVELOPMENT AUTHORITY
Sgd.
____________________________________ ____________________________________
DEPARTMENT OF ENERGY DEPARTMENT OF FINANCE
Sgd. Sgd.
____________________________________ ____________________________________
DEPARTMENT OF HEALTH DEPARTMENT OF THE INTERIOR AND
LOCAL GOVERNMENT
Sgd. Sgd.
____________________________________ ____________________________________
DEPARTMENT OF NATIONAL DEPARTMENT OF PUBLIC WORKS AND
DEFENSE HIGHWAYS
Sgd. Sgd.
____________________________________ ____________________________________
DEPARTMENT OF SCIENCE AND DEPARTMENT OF TRADE AND INDUSTRY
TECHNOLOGY
____________________________________ ____________________________________
DEPARTMENT OF TRANSPORTATION DEPARTMENT OF INFORMATION AND
COMMUNICATIONS TECHNOLOGY
Sgd.
____________________________________
PRIVATE SECTOR REPRESENTATIVE
x------------------------------------------------------x
2. I/We accept that: I/we will be automatically disqualified from bidding for any
procurement contract with any procuring entity for a period of one (1) year if in case it
is my first offense, or two (2) years if I have a prior similar offense upon receipt of your
Blacklisting Order if I/we have violated my/our obligations under the Contract.
3. I/We understand that this Performance Securing Declaration shall cease to be valid
upon:
IN WITNESS WHEREOF, I/We have hereunto set my/our hand/s this ____ day of [month]
[year] at [place of execution].
ORIGINAL AMENDED
Section 25. Submission and Receipt Section 25. Submission and Receipt
of Bids of Bids
25.1 Bidders shall submit their bids 25.1. Bidders shall submit their bids
through their duly authorized through their duly authorized
representative using the forms specified representative using the forms specified
in the Bidding Documents in two (2) in the Bidding Documents in two (2)
separate sealed bid envelopes, and separate sealed bid envelopes, or two (2)
which shall be submitted simultaneously. password-protected Bidding
The first shall contain the technical Documents in compressed archive
component of the bid, including the folders, in case of electronic bid
eligibility requirements under Section submission, and which shall be
23.1 of this IRR for the procurement of submitted simultaneously. The first shall
Goods and Infrastructure Projects, and contain the technical component of the
the second shall contain the financial bid, including the eligibility requirements
component of the bid. under Section 23.1 of this IRR for the
procurement of Goods and Infrastructure
Projects, and the second shall contain the
financial component of the bid.
25.6 Bids, including the eligibility 25.6 Bids, including the eligibility
requirements under Section 23.1 of this requirements under Section 23.1 of this
IRR, submitted after the deadline shall IRR, submitted after the deadline shall not
not be accepted by the BAC. The BAC be accepted by the BAC. The BAC shall
shall record in the minutes of bid record in the minutes of bid submission
submission and opening, the bidder’s and opening, the bidder’s name, its
name, its representative and the time the representative and the time the late bid
late bid was submitted. was submitted or in case of online or
electronic bid submission, generate a
Bid receipt page for the official time of
late submission which can be saved or
printed by the bidder.
26.1 A bidder may modify its bid, provided 26.1 A bidder may modify its bid, provided
that this is done before the deadline for that this is done before the deadline for
the submission and receipt of bids. the submission and receipt of bids. For
Where a bidder modifies its bid, it shall manual submission and receipt of
not be allowed to retrieve its original bid, bids, where a bidder modifies its bid, it
but shall only be allowed to send another shall not be allowed to retrieve its original
bid equally sealed, properly identified, bid, but shall only be allowed to send
linked to its original bid and marked as a another bid equally sealed, properly
“modification,” thereof, and stamped identified, linked to its original bid and
“received” by the BAC. Bid modifications marked as a “modification,” thereof, and
received after the applicable deadline stamped “received” by the BAC. Bid
shall not be considered and shall be modifications received after the
returned to the bidder unopened. applicable deadline shall not be
considered and shall be returned to the
bidder unopened.
The BAC shall open the bids immediately The BAC shall open the bids immediately
after the deadline for the submission and after the deadline for the submission and
receipt of bids. The time, date, and place receipt of bids. The time, date, and place
of the opening of bids shall be specified in of the opening of bids shall be specified in
the Bidding Documents. the Bidding Documents.
35.1. The BAC shall declare the bidding a (NEW) Section 35.6
failure when:
a) No bids are received; Without prejudice to Sec. 35.1 hereof, the
b) All prospective bidders are declared BAC is authorized, upon consultation
ineligible; with the end-user unit, to cancel or
c) All bids fail to comply with all the bid terminate the conduct of procurement
requirements or fail post- activities, for any justifiable reason, such
qualification, or, in the case of as but not limited to:
Consulting Services, there is no
successful negotiation; or a) the physical and economic
d) The bidder with the LCRB, HRRB, conditions have significantly
SCRB or SRRB refuses, without changed so as to render the
justifiable cause, to accept the award project no longer economically,
of contract, and no award is made in financially, or technically feasible,
accordance with Section 40 of the as determined by the end-user
Act and this IRR. unit;
b) the project is no longer necessary
as determined by the end-user
unit;
c) the source of funds for the project
has been withheld or reduced
through no fault of the PE; or
d) brought about by the declaration
of a State of Calamity, or
implementation of community
quarantine or similar restrictions.
38.1. The procurement process from the 38.1. The procurement process from the
opening of bids up to the award of contract opening of bids up to the award of contract
shall not exceed three (3) months, or a shall not exceed three (3) months, or a
shorter period to be determined by the shorter period to be determined by the
Procuring Entity concerned. All members of Procuring Entity concerned. All members of
the BAC shall be on a “jury duty” type of the BAC shall be on a “jury duty” type of
assignment until the Notice of Award is assignment until the Notice of Award is
issued by the HoPE in order to complete the issued by the HoPE in order to complete the
entire procurement process at the earliest entire procurement process at the earliest
possible time. possible time.
xxx xxx
38.2. The maximum periods and the 38.2. The maximum periods and the
recommended earliest possible time for recommended earliest possible time for
action on specific procurement activities are action on specific procurement activities are
provided for in Annex “C” of this IRR. In case provided for in Annex “C” of this IRR. In case
the deadline for each activity falls on a non- the deadline for each activity falls on a non-
working day (i.e. Saturday and Sunday), working day (i.e. Saturday and Sunday),
legal holiday, or special non-working legal holiday, or special non-working holiday,
holiday, or other nonworking days duly or other nonworking days duly declared by
declared by the President, Governor, Mayor the President, Governor, Mayor or other
or other Government Official authorized to Government Official authorized to make
xxx xxx
xxx xxx
ORIGINAL AMENDED
V. Specific Guidelines V. Specific Guidelines
xxx xxx
xxx xxx
xxx xxx
a) The BAC shall invite at least three (3) a) The BAC shall invite at least three (3)
prospective Lessors to submit sealed price prospective Lessors to submit sealed price
quotations. quotations or password-protected price
quotations in compressed archive
folders, in case of electronic
submission of price quotations.
xxx xxx
6.2 After the required posting period, the 6.2 After the required posting period, the
procuring entity shall invite at least three (3) procuring entity shall invite at least three (3)
prospective NGOs to submit sealed price prospective NGOs to submit sealed price
quotations. quotations or password-protected price
quotations in compressed archive
folders, in case of electronic submission
of price quotations.
xxx xxx
19
As amended by GPPB Resolution 03-2011, dated 28 January 2011, published in the Manila Times on 6 April 2011.