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(NAR) VOL. 10 NO. 2 / APRIL - JUNE 1999

[ MEMORANDUM CIRCULAR NO. 24, January 18, 1999 ]


WHEREAS, being a public entity, the government recognizes the necessity of maintaining transparency in all its transactions, especially those involving disbursement or acquisition of funds such as the sale of government assets, awarding of contracts and projects, and procurements, through public biddings;

WHEREAS, with the aid of new technology and innovation, a new bidding procedure, named Electronic Billboard Bidding (EBB), was found to be cost-efficient and effective in upholding the integrity of public bidding;

WHEREAS, the Commission on Audit (COA), which exercises authority to validate all public biddings, has stated that the EBB is perfectly in accord with existing laws and issuances requiring public bidding as the primary mode of awarding government contracts, procurement, and other similar activities;

NOW THEREFORE, I, JOSEPH EJERCITO ESTRADA, President of the Republic of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby direct all heads of departments, bureaus, offices and agencies of the government, including government-owned and/or controlled corporations to adopt and implement the Electronic Billboard Bidding (EBB) system for all public biddings.

For purposes of clarification, attached is the procedure of conducting the EBB system.

This directive shall take effect immediately.

Adopted: 18 Jan. 1999



1. Prior to the financial bidding done in the EBB system, all proponents should undergo and pass the standard pre-qualification review. In this stage, the proposals are evaluated and determined if they comply to the technical specifications/requirements of the project. Proponents, therefore, should submit only their sealed technical bids containing product specification, among others. After the technical review, qualified proponents are invited to submit their financial bids and join the EBB.

2. The financial bids shall be written and contained in two (2) official forms (to be prepared by the Bidding Committee) — one to be printed in transparency and another in ordinary bond paper. Bid forms should contain only important information such as price, validity, terms and conditions, leadtime, etc. Proponents shall each be given the official bid forms, duly authenticated by the Bidding Committee Chairman, a week before the bidding date. The proponents shall reflect their bids only on the forms provided and shall bring the same on the bidding date in sealed envelops.

3. On the bidding date and at a prescribed time, all bids shall be registered at a reception desk. The Chairman of the Bidding Committee then countersigns the bids on the lapel of each sealed envelop.

4. At a given signal during the bidding proper, the proponents shall leave the sealed paper-printed bids on their assigned trays placed on tables located between the proponents' seats and the projector screens. The sealed transparencies shall be left on top of the projectors which are also provided for each proponent.

5. At a given signal, the proponents' representatives shall open the bids in transparencies and place these on their assigned overhead projectors.

6. The Committee Chairman shall then turn on the central switch for the projectors, thereby, simultaneously showing all bids on the screens.

7. Thereafter, the Chairman shall open the sealed paper-printed bids and announce these aloud. He then countersigns after announcing each bid and hands it to the other members of the Committee for their confirmation and counter-signature.

8. The paper-printed version of the bids shall be considered the official bid. In case of discrepancy between the projected bid versus the written version, the latter shall prevail. In case of discrepancy between the amount in figures and the amount in words, the amount in words shall prevail.

9. The Committee Chairman shall then announce the three (3) most advantageous bids to the audience after verification of the Committee and/or the COA representative. After which, the three chosen bids shall still be reviewed vis-a-vis their technical superiority. From there, the winning bidder is chosen.

10. All other required submissions of the winning bidder shall then be submitted to the Bidding Committee Chairman.

11. In case of a tie for the most advantageous bid, the Committee shall call on the tying bidders to improve their offers. Another bidding shall be immediately called to break the tie among the tying bidders.
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