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PIA Press Release
2010/02/08

No procurement irregularities, no award of contracts yet - DPWH

by Rutchie Cabahug-Aguhob

Cagayan de Oro City (8 February) -- The Department of Public Works and Highways (DPWH), region 10, is still in the process of bid evaluation and post qualifying of bidders to determine the lowest calculated and responsive bids. Hence, it has not done any awarding of contracts, yet.

Thus clarified Engr. Mauro D. Bravo, Jr., Asst. Regional Director of DPWH-10 and Chairperson of the Bids and Awards Committee (BAC), in response to allegations that irregularities were committed in the procurement of contracts for nine (9) infrastructure projects in the region, amounting to P1.37B.

Bravo stressed the procurement procedure was conducted through open competitive bidding in accordance with Republic Act No. 9184 and its revised Implementing Rules and Regulations (IRR) and therefore, considered the allegations truly unfair.

He said bidders for the contracts were required to submit letters of intent (LOI), purchase bid documents and the following major criteria: Prior registration with DPWH, Filipino citizenship or 75% Filipino-owned partnership, corporation, cooperative or joint venture and with Philippine Contractors Accreditation Board (PCAB) license applicable to the type and cost of the contracts.

Also required was a certificate of completion of a similar contract costing at least 50% of approved budget for the contract (ABC) within a period of 10 years and a net financial contracting capacity of at least equal to the ABC or credit line commitment of at least equal to 10 percent (%) of ABC.

However, the law allows certain exceptions to the general rule and enumerates the instances or conditions when procuring entities may resort to alternative methods of procurement in order to promote economy and efficiency.

"In the case of procurement of civil works contracts, prior authority from the DPWH Secretary, Head of the Procuring Entity, is required before we can resort to the alternative method of procurement," he said.

This alternative process entails the determination of contractors with good track records for the last three (3) years, the names of whom are drawn from the DPWH Registry of Contractors who meet the financial, technical and legal requirements, Bravo added. (PIA 10) [top]

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