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Alternative Methods of Procurement 23 April 2021
Alternative Methods of Procurement 23 April 2021
OF PROCUREMENT
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1. Identify and differentiate the various alternative methods of
procurement; and
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and
distribution without the author’s approval is prohibited.
GENERAL GUIDELINES
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General Guidelines
Justified by conditions
In highly To promote economy specified in the
exceptional cases and efficiency IRR of RA No. 9184
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without the author’s approval is prohibited.
General Guidelines
Mode of
Procurement
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without the author’s approval is prohibited.
General Guidelines
- (NPM 020-2019)
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without the author’s approval is prohibited.
General Guidelines
Reference to Brand Names
Reference to brand names shall not be allowed except for items or parts that are compatible
with the existing fleet or equipment of the same make and brand and will maintain the
performance, functionality and useful life of the equipment.
This rule shall also apply to the goods component of infrastructure projects and consulting
services.
Delegation of Authority
The conduct of the following may be delegated to End-user unit or any other appropriate
bureau, committee, or unit duly authorized by BAC through a Resolution approved by the
HoPE:
Shopping Nego. Proc. Small Value Lease of Real Direct Purchase of POL
[Sec 52.1(a)(b)] Emergency Cases Procurement Property &Venue and Airline Tickets
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without the author’s approval is prohibited.
General Guidelines
PhilGEPS Registration
Bidders are mandated to register with PhilGEPS, and provide PhilGEPS
Registration Number as a condition for award for the following modalities:
👨👩
Lease of Real Scientific, Scholarly or Artistic Highly
Property Work, Exclusive Technology Technical
&Venue and Media Services Consultants
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without the author’s approval is prohibited.
General Guidelines
For alternative methods of procurement, the Procuring Entity may dispense with the advertisement in
the newspaper and posting requirement as prescribed in Section 21.2.1 of the IRR of R.A. 9184.
For the following alternative methods, however, the BAC, through its Secretariat, shall post the
procurement opportunity:
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without the author’s approval is prohibited.
Transparency Requirements for
Procuring Entities
11distribution
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without the author’s approval is prohibited.
Posting In Official Website and
Social Media Platforms
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without the author’s approval is prohibited.
General Guidelines
In all procurement activities, PEs shall ensure to get the most advantageous price
for the government
PEs shall ensure that the objectives & purpose of the contract do not constitute
unnecessary, excessive, extravagant or unconscionable expenditure
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Additional Transparency Requirements of
Post-award Information of Procurement Projects
Posting of Procurement Documents
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without the author’s approval is prohibited.
General Guidelines
GPPB Resolution No. 09-2020
Latest Updates:
Measures for Efficient Conduct of Procurement Activities during a State of
Calamity, or Implementation of Community Quarantine or Similar Restrictions
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Alternative Methods of Procurement
3
Repeat Order
2 4
Direct Contracting Shopping
1 5
Limited Source Bidding Negotiated Procurement
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without the author’s approval is prohibited.
Limited Source Bidding
“Selective
Bidding” Highly specialized
Goods equipment/services
Direct invitation to
pre-selected
suppliers or
consultants Consulting Major plants
Services components
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without the author’s approval is prohibited.
Limited Source Bidding
Financial position
https://www.gppb.gov.ph/preselectedSuppliers.php
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without the author’s approval is prohibited.
Limited Source Bidding
???
=
Who prepares the pre- It is the relevant government
selected list of agency expert in the procurement
suppliers/consultants? concerned. In the absence of
relevant government agency, the
PE through its BAC, with
assistance of its TWG, shall
prepare the preselected list.
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without the author’s approval is prohibited.
Direct Contracting
“Single Source
Procurement” Items of proprietary Mayor’s Permit
nature (i.e. patents, copyrights)
Does not require
elaborate bidding
Goods PhilGEPS Reg. No.
documents Critical components
from a specific supplier
Offer may be
accepted Income/Business
immediately or after Tax Return
some negotiations. Items sold by exclusive For ABCs above
manufacturer PhP500,000.00
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without the author’s approval is prohibited.
Direct Contracting
Procedural Guidelines
Preparation of Request Simplified
Market Study Award of Contract
for Quotation (RFQ) Negotiations
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without the author’s approval is prohibited.
Repeat Order
Background
Procurement from the previous winning bidder,
whenever there is a need to replenish goods
procured under a contract previously awarded
through Competitive Bidding.
Applicability
Goods
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Repeat Order
Conditions
???
=
Repeat order may be undertaken any time
within the 6-month period reckoned from
What stage in the contract effectivity date which should in
procurement process no case be later than 7 calendar days from
can repeat order be the issuance of the NTP & if such mode of
considered to be within procurement has been duly approved by
the reglementary the HoPE and the previous winning
period of 6 months? supplier has been notified before the lapse
of said period. (NPM 003-2010)
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without the author’s approval is prohibited.
Shopping
Background Documentary
Applicability Conditions Requirements
PE requests price
quotations
Shopping A Shopping B
Procurement of [ Section. 52.1(a) ] [ Section. 52.1(b) ]
readily available off-
the-shelf goods or Goods
ordinary/regular
equipment Mayor’s Permit
Shopping B
[ Section. 52.1(b) ]
Procured directly
PhilGEPS Reg. No.
from suppliers of
know qualifications
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without the author’s approval is prohibited.
Shopping
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without the author’s approval is prohibited.
Shopping
Threshold Threshold
Shopping A Shopping B
[ Section. 52.1(a) ] [ Section. 52.1(b) ]
PhP200,000.00 Vs.
PhP1,000,000.00
for NGAs, GOCCs, GFIs, for NGAs, GOCCs, GFIs,
SUCs & Autonomous SUCs & Autonomous
Regional Government Regional Government
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without the author’s approval is prohibited.
Shopping
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Shopping
Procedures Procedures
Shopping A Shopping B
[ Section. 52.1(a) ] [ Section. 52.1(b) ]
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
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without the author’s approval is prohibited.
Negotiated Procurement
Applicability
Background Conditions
Undertaken when there has been All prospective bidders are ineligible
failure of competitive bidding or All bids failed to comply with all of the bid
limited source bidding for the requirements, post-qualification, or there is no
second time successful negotiation; or
The Single/LCRB/HRCB refuses, without justifiable
cause, to accept the award or no award was made
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without the author’s approval is prohibited.
Negotiated Procurement
Exception
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without the author’s approval is prohibited.
Negotiated Procurement
Applicability
Emergency Cases
Goods Infrastructure Consulting
Projects Services
Conditions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Applicability
Emergency Cases
Goods Infrastructure Consulting
Projects Services
Reminders
PE should consider appropriate timing or the proximity of time between the actual
procurement activity to be conducted and the emergency sought to be addressed.
When the reason or cause for the emergency has already been abated, adoption of
competitive bidding shall be considered.
When the ground is based on imminent danger to life during a state of calamity, there
must be a declaration by a competent authority of a state of calamity before any
procurement activity may be undertaken.
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Emergency Cases
Documentary Requirements
Mayor’s Permit
Emergency Cases
Goods Infrastructure Consulting
Projects Services
Procedural Guidelines
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Applicability
Take-Over of
Contracts Goods Infrastructure Consulting
Projects Services
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Take-Over of Contracts
Documentary Requirements
Mayor’s Permit
Professional
License/CV
(for Consulting Services)
PCAB License
(for Infra.)
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Background
Conditions
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without the author’s approval is prohibited.
Negotiated Procurement
Conditions
Adjacent or
Contiguous In determining the SLCC, NFCC & PCAB license, the sum of the
value of remaining works for the existing contract and the ABC of
contiguous or adjacent work shall be considered;
Applicability
Same prices or lower unit prices as the original contract less
mobilization cost,
Infrastructure ABC of contiguous or adjacent work involved does not exceed the
Projects
contract amount of ongoing project.
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without the author’s approval is prohibited.
Negotiated Procurement
Background
Agency-To-Agency Procurement from another government agency (Servicing
Agency) that has the mandate to deliver goods or services
Applicability or to undertake infrastructure projects or consultancy
services as required by the PE.
Goods
Conditions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Agency-To-Agency
Procedural Guidelines
The End-User
The End-User shall secure a
The HoPE shall
shall justify to certificate The BAC shall
enter into a MOA
the BAC that from the issue a
with the
the resort to relevant Resolution
Servicing
A-to-A is more officer of the recommending
Agency upon
efficient and Servicing the use of A-
approval of the
economical to Agency that to-A to the
BAC
the the latter HoPE.
recommendation
government. complies with
the conditions.
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Documentary Requirements
Mayor’s Permit
Professional License/CV
(for Consulting Services)
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Procedural Guidelines
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Background
Applicability
Conditions
Highly
Technical
Consultants
Documentary Requirements
Mayor’s Permit
Professional
License/CV
(for Consulting Services)
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Background
Applicability Conditions
DND may directly negotiate with an entity of another
country with which Philippines has entered into a DCA
subject to the following conditions:
Goods Secretary of National Defense deemed it necessary
to protect the interest of the country
Expertise or capability required is not available locally
Consulting The procurement requirements are included in the
Services AFP Modernization Program previously approved by
the President of the Philippines
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 23-2018
Defense Inventory- The Secretary of National Defense shall now be the final authority
Based Items to approve procurement of defense inventory-based items or
defense related consultancy services as the President has already
approved the AFP Modernization Program
Conditions
DND may directly negotiate with a supplier or manufacturer of defense
inventory-based items subject to the following conditions:
Secretary of National Defense deemed it necessary to protect the interest of the
country
Direct negotiation will address compatibility, interoperability and sustainability
Prospective bidder/s had fully and satisfactorily implemented a contract of the
same item with DND or any of its attached agencies
Prospective bidder/s shall provide performance security
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Applicability
Small Value
Procurement
Goods Infrastructure Consulting
Projects Services
Background
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Documentary Requirements
Mayor’s Permit
Professional
License/CV
(for Consulting Services)
Income/Business Tax
Return
For ABCs above PhP500,000.00
Omnibus Sworn
Statement
For ABCs above PhP50,000.00
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Background
Lease of Procurement covering lease of
Real Property & Venue real property/venue for official use.
Conditions
The End-User shall prepare a Cost-Benefit Analysis indicating that leasing
privately-owned real property or venue is more efficient and economical
Technical Specifications shall be prepared taking into consideration the Rating
Factors under Appendix B.
Procedural Guidelines
BAC shall invite at least 3 prospective lessors/venues within the vicinity of the
selected location to submit sealed price quotations for real-property & open
price quotations for venue.
Receipt of at least one (1) quotation is sufficient to proceed with the evaluation.
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Lease of
Real Property & Venue
Documentary Requirements
Mayor’s Permit
Except for gov’t agencies as lessors
Income/Business
Tax Return
Except for gov’t agencies as lessors
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Applicability
NGO Participation
Goods Infrastructure Consulting
Projects Services
Conditions
PE may opt to conducting public bidding or enter into a MOA with an NGO
References
Goods
Community Participation in Procurement Manual
Supplemental Guidelines for Community Participation in
Procurement Method for Foreign Assisted Projects
Infrastructure
Projects
Supplemental Guidelines for Community-Managed
Procurement in Locally-Funded Projects
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Community Participation
Opening &
Preparation of RFQ Posting Award of Contract
Evaluation
BAC, through its Secretariat, shall post the RFQ in the website of the PE (if
2 any), the premises of the PE, & in at least 3 conspicuous places where the
project will be implemented for a period of at least 3 calendar days
Should less than 3 quotations is obtained, the BAC shall continue the
3 procurement process. The opening of sealed quotations shall use a non-
discretionary pass or fail criterion
In case of approval, the HOPE shall issue the notice of award within a
4
period not exceeding 15 calendar days
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
Applicability
United Nations Agencies,
International Organizations or
International Financing Infrastructure Consulting
Goods
Institutions Projects Services
Conditions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 24-2019 & 05-2022
Direct Retail Purchase of POL Products and Airline Tickets and Online Subscriptions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 24-2019
Direct Retail Purchase of POL Products and Airline Tickets
Direct Purchase must be made from any commercial airline at fairly reasonable
rates
Payment may be made through cash advance, reimbursement or other
allowable payment modalities
Must be in accordance with existing rules and regulations governing official local
and foreign travels of government personnel
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 24-2019 & 05-2022
Direct Retail Purchase of POL Products and Airline Tickets
& Online Subscriptions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 24-2019 & 05-2022
Direct Retail Purchase of POL Products and Airline Tickets
& Online Subscriptions
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Negotiated Procurement
GPPB Resolution No. 24-2019 & 05-2022
Direct Retail Purchase of POL Products and Airline Tickets
& Online Subscriptions
Alternative Method of
Performance Security Warranty Security
Procurement
No Yes
Repeat Order
Yes
Yes (in no case shall WS be required for
Two-Failed Biddings Consulting Services)
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Performance and Warranty Securities
Alternative Method of
Performance Security Warranty Security
Procurement
Yes Yes
Take-Over of Contracts
For Infrastructure
Yes Projects,
Adjacent or Contiguous WS is required
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
Latest Updates on Performance Security
This learning module was developed by the Government Procurement Policy Board – Technical Support Office, and any form of reproduction and distribution
without the author’s approval is prohibited.
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