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Pursuant to Sections 6-a(iii), and (v), 6-b(vi) of Presidential Decree No. 857, as amended, and PPA Board Resolution No. 2223, adopted during the 367th  Meeting of the PPA Board of Directors on May 1, 2010, the Title of Article III of PPA Administrative Order No. 01-2006, as amended, and the provisions of Section 21 thereof are hereby amended and modified as follows:

“ARTICLE III

Guidelines in the Provision of Cargo Handling and Related Services

21.   Policy in the Selection of CH Services

Cargo Handling and other related port services may be provided by PPA under any of the following circumstances:

1.   On its own or by administration where PPA procures directly the labor services,  equipment and other logistics requirements for the handling of cargoes and other related port services.

2.   By contract, either as a result of competitive bidding or negotiation under the prevailing circumstances in the port:

2.1 By Competitive Bidding following the guidelines set forth under Article III of PPA Administrative Order No. 01-2006, as amended; and

2.2  By Negotiation under the following circumstances:

2.2.1  In ports with low-volume traffic;

2.2.2  Renewal of existing contracts as set forth   in Article V of the aforementioned administrative order or issuance of new contracts with cargo   handlers of proven operational expertise, financial capacity and with at least ten (10) years experience in the port applied for; and

2.2.3  Newly Constructed Ports - For development and promotion of new ports where there is no history or recorded traffic which can be used as basis for the preparation of the terms or reference and other bidding parameters.”

This Order shall take effect after fifteen (15) calendar days from its publication in the Official Gazette or in a newspaper of general circulation and a copy filed with the University of the Philippines Law Center.

Adopted: 03 June 2010


(SGD.) ATTY. OSCAR M. SEVILLA
General Manager