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PIA Press Release
Sunday, January 08, 2012


DBM reiterates call for gov’t offices to use procurement service, PhilGEPS

TACLOBAN CITY Leyte, January 8 (PIA) -- Department of Budget and Management Region 8 Director Imelda Laceras reiterated the call for all government offices to use the Procurement Service (PS) and the Philippine Government Electronic Procurement System in procurement activities.

This is in compliance to President Benigno S. Aquino’s Administrative Order No. 17 series of 2011 directing the use of the Procurement Service (PS) and the Philippine Government Electronic Procurement System (PhilGEPS) in procurement activities, in accordance with Republic Act No. 9184.

AO No. 17 reiterates the policy that the procurement of government supplies, materials and equipment shall be done in the most transparent and competitive manner and that all government agencies shall procure their common-use supplies from the PS and use the PhilGEPS in all government activities, including publishing all their bid opportunities and posting all their awards and contracts in it.

In order to improve service delivery further, the PS shall strengthen its operations and shall undertake the following activities on a regular basis: Review of Product Standards and Specifications; Expansion of Product List; Price Monitoring; Expansion of Distribution System; Improvement of Inventory Management; and Additional Phil-GEPS features, Director Laceras said.

Director Laceras added that the AO shall apply to all National Government Agencies (NGAs), including Military and Police Units, Government-Owned and/or Controlled Corporations (GOCCs), Government Financial Institutions (GFIs), State Universities and Colleges, and Local Government Units.

Before the end of 2011, all agencies were directed to submit their Annual Procurement Plan which will serve as a basis for PS' projection of inventory requirements, scheduling of procurement activities and over-all management of the central procurement of common-use supplies and equipment.

Director Laceras said that the Procurement Service-DBM Depot became operational and open to business effective December 1, 2005.

All government agencies and instrumentalities including local government units were directed to procure all their common-use supplies through the depot and enjoy advantages such as significant cost savings due to bulk purchase direct from suppliers and manufacturers.

The use of the Procurement Service eliminates middlemen and the withholding tax which is usually added to the selling price, simplified and efficient negotiated procurement process, and items are covered by appropriate warranties, Director Laceras said. (PIA 8)

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