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Query: Consignment

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Query: Consignment

Post by onat_TSUIAS on Mon Apr 11, 2011 11:54 am

Our Business Center sells consigned items in which our agency gets 15% of sales made. My question is "Are consigned items required to undergo the usual applicable procurement method which are bidding and the alternative methods?" Thank you. I hope you could help me on this one.

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Re: Query: Consignment

Post by misty on Tue Apr 12, 2011 9:40 am

just a thought. . .
isn't it that under consignment the consignor retains ownership of the goods? so how can there be procurement?
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Re: Query: Consignment

Post by onat_TSUIAS on Tue Apr 12, 2011 4:39 pm

thanks, that would greatly support my case.

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Re: Query: Consignment

Post by engrjhez® on Tue Apr 12, 2011 9:40 pm

onat_TSUIAS wrote:Our Business Center sells consigned items in which our agency gets 15% of sales made. My question is "Are consigned items required to undergo the usual applicable procurement method which are bidding and the alternative methods?" Thank you. I hope you could help me on this one.

"...consignment refers to an arrangement where the following requisites are present: (a) delivery of goods by their owner (consignor), without sale, to a government agency (consignee); (b) consignee must try to sell the goods and remit the price of the sold goods to the consignor; (c) consignee accepts without any liability except for failure to reasonably protect them from damage; (d) no disbursement of government funds is involved; and (e) at terms
not disadvantageous to the GOP."(Sec.7.3.2)

If there are no sale, no acquisition, and no government funds disbursed, no procurement was undertaken. Hence, GPRA ma not apply.

You may see links similar on your query by clicking the titles below:
Consignment as a Mode of Procurement
Consignment and Procurement Activities

Smile
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Re: Query: Consignment

Post by onat_TSUIAS on Wed Apr 13, 2011 10:13 am

@engrhez thank you so much Very Happy

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Re: Query: Consignment

Post by engrjhez® on Wed Apr 13, 2011 8:39 pm

onat_TSUIAS wrote:@engrhez thank you so much Very Happy

You're welcome. I hope you could "tweet" that mention (@engrjhez) Smile
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Re: Query: Consignment

Post by beyonce_2011 on Wed Oct 03, 2012 2:03 am

i have a question pls help me. is the consignment of drugs in a pharmacy economic enterprise established by a LGU violative of RA9184? Said pharmacy enterprise caters the LGU's devolved hospitals please advise.. ty po.

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Re: Query: Consignment

Post by engrjhez® on Wed Oct 03, 2012 12:37 pm

beyonce_2011 wrote:i have a question pls help me. is the consignment of drugs in a pharmacy economic enterprise established by a LGU violative of RA9184? Said pharmacy enterprise caters the LGU's devolved hospitals please advise.. ty po.

It depends on the terms. If the items will be chargeable to the PE, such that acquisition and later disbursement did not pass thru the process of procurement, then there may be a circumvention. Smile
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Re: Query: Consignment

Post by beyonce_2011 on Thu Oct 04, 2012 2:49 pm

hi. pls advise what is the meaning of PE.. ty..

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Re: Query: Consignment

Post by engrjhez® on Thu Oct 04, 2012 3:20 pm

beyonce_2011 wrote:hi. pls advise what is the meaning of PE.. ty..

Procuring Entity. The procuring agency concerned. Smile
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Re: Query: Consignment

Post by beyonce_2011 on Thu Oct 04, 2012 4:40 pm

what if payment comes from philhealth refunds? will u consider the same as ABC? ty for the help Smile

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Re: Query: Consignment

Post by engrjhez® on Thu Oct 04, 2012 5:53 pm

beyonce_2011 wrote:what if payment comes from philhealth refunds? will u consider the same as ABC? ty for the help Smile

For as long as acquisition will involve public funds, procurement is the proper procedure. Smile
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