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New purchase rules eyed during crises

/ 05:30 AM June 12, 2017

Speaker Pantaleon Alvarez has filed a bill proposing to loosen restrictions on negotiated procurement in cases of “extreme urgency and necessity,” and allow the government to skip public bidding in purchasing cheaper goods.

House Bill No. 5521 seeks to amend several provisions of Republic Act No. 9184 or the Government Procurement Reform Act, which was enacted in 2003.

The law considers negotiated procurement and direct contracting as alternative procurement methods to public bidding. The former refers to the method used in extraordinary circumstances such as during the failure of bidding and in times of emergency.


Under Alvarez’ bill, negotiated procurement will be allowed “before, during, or after a calamity.” Currently, this mode is applicable “during a state of calamity,” which requires an actual declaration by the affected government unit.

Alvarez said that current regulations “unduly delay and hamstring the delivery of services” in times of calamity.

The proposed measure also provides for an additional criteria to resort to direct contracting, which currently sees the agency ask for a price quotation from the exclusive supplier of goods of critical or proprietary nature.

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TAGS: Government Procurement Reform Act, House Bill No. 5521, Philippine news updates, Speaker Pantaleon Alvarez
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