(NAR) VOL. 24 NO. 4 / OCTOBER - DECEMBER 2013
WHEREAS, Section 63(b) of the IRR of RA 9184 authorizes the Government Procurement Policy Board (GPPB) to formulate public procurement policies, rules and regulations, and amend, whenever necessary, the IRR;
WHEREAS, Sections 23.6 and 24.6 of the IRR of RA 9184 provide that government corporate entities (GCEs) may participate in Competitive Bidding activities of procuring entities if they can establish that they are (a) legally and financially autonomous, (b) operate under commercial law, and (c) not dependent agencies of the GOP or the procuring entity;
WHEREAS, considering that GCEs depend on the GOP to some extent, the condition that they should not be dependent agencies of the GOP to be deemed eligible to participate in competitive bidding activities effectively disqualifies all GCEs;
WHEREAS, the GOCC Governance Act of 2011 provides a technical definition of GCEs which may sow confusion as to the intended application of Sections 23.6 and 24.6 of the IRR as to be limited only to the GCEs defined in the GOCC Governance Act of 2011.
WHEREAS, these considerations necessitate appropriate revisions to Sections 23.6 and 24.6 of the IRR in order to properly implement the policy and meet the objectives for which they were adopted;
WHEREAS, Section 53.5 of the IRR of RA 9184, and the Implementing Guidelines on Agency-to-Agency Agreements issued through GPPB Resolution 18-2007, allows the procurement of goods, infrastructure projects, and consulting services, from another agency of the GOP, but excludes Government Owned or Controlled Corporations (GOCCs) incorporated under Batas Pambansa Blg. 68 (non-chartered GOCCs), otherwise known as the “Corporation Code of the Philippines”, from being engaged as a servicing agency;
WHEREAS, there is a need to revisit the prohibition on non-chartered GOCCs from being engaged as servicing agency in an Agency to Agency Agreement under Section 53.5 of the IRR of RA 9184 in order to attain a more efficient and streamlined public procurement process;
WHEREAS, in its 3rd Meeting held on 26 April 2013, the GPPB carefully reviewed and deliberated on the issues and recommendations presented by the GPPB-TSO on the proposed amendments to Sections 23.6, 24.6, and 53.5 of the IRR of RA 9184, as well as the implementing guidelines of Section 53.5 of the IRR;
NOW, THEREFORE, for and in view of 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:
This Resolution shall take effect immediately.
Signed by the Representatives of the Following Agencies:
DEPARTMENT OF BUDGET AND MANAGEMENT
DEPARTMENT OF EDUCATION
DEPARTMENT OF FINANCE
DEPARTMENT OF HEALTH
DEPARTMENT OF NATIONAL DEFENSE
DEPARTMENT OF TRANSPORTATION AND COMMUNICATIONS
PRIVATE SECTOR REPRESENTATIVE
Attested by:
(SGD) DENNIS S. SANTIAGO
Board Secretary, GPPB
Executive Director, GPPB-TSO