Procurememt of Govt Agencies in Foreign Post

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Procurememt of Govt Agencies in Foreign Post

Post by roy90 on Wed May 06, 2009 2:46 pm

I believe procurement activity/processes of government agencies in foreign post (embassies, etc) is not clear in the IRR. CAn i be appraised of any policy?
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Re: Procurememt of Govt Agencies in Foreign Post

Post by engrjhez® on Thu May 07, 2009 2:33 pm

It is (clear). Let me quote Section 4 of RA.9184.

  • SEC. 4. Scope and Application. – This Act shall apply to the Procurement of Infrastructure Projects, Goods, and Consulting Services, regardless of source of funds, whether local or foreign, by all branches and instrumentalities of government, its department, offices and agencies, including government-owned and/or controlled corporations and local government units, subject to the provisions of Commonwealth Act No. 138. Any treaty or international or executive agreement affecting the subject matter of this Act to which the Philippine government is a signatory shall be observed.

The issue here is, as long as government funds are being used to purchase from any (legal, technical, and financially capable) entity, it doesn't matter. For as long as all existing international or executive agreement shall be observed pacta sunt servanda, the law still applies.
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Re: Procurememt of Govt Agencies in Foreign Post

Post by roy90 on Thu May 07, 2009 2:51 pm

Ok...just further clarification...is there a customized procurement manual for DFA?
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Re: Procurememt of Govt Agencies in Foreign Post

Post by RDV @ GP3i on Fri May 08, 2009 11:23 am

roy90 wrote:Ok...just further clarification...is there a customized procurement manual for DFA?

DFA has no customized procurement manual. You can use the Generic Procurement Manual.
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Re: Procurememt of Govt Agencies in Foreign Post

Post by shobe on Mon May 11, 2009 12:55 pm

roy90 wrote:I believe procurement activity/processes of government agencies in foreign post (embassies, etc) is not clear in the IRR. CAn i be appraised of any policy?


Your query really got me thinking.

There are various issues to be considered in this case. For although it would be easy to simply cite Section 4 of R.A. 9184, its applicability in the different embassies quite obviously posts a huge problem.

Imagine the Chargés d’affaires or ambassadors acting as the head of the procuring entity, as in this case the particular embassy to which they have been assigned to, and trying their best to apply and implement the provisions of the GPRA in their respective territories.

Unless DFA would be willing to procure in bulk and distribute these supplies to the different embassies all over the world, I really find it impracticable and legally impossible to apply the GPRA provisions on these Philippine embassies.

If it can be proven though that GPRA is, in a way, promoting or adhering to the International Competitive Bidding (ICB) procedures/rules of the different donor institutions, then I would probably answer differently.


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Re: Procurememt of Govt Agencies in Foreign Post

Post by RDV @ GP3i on Mon May 11, 2009 5:00 pm

roy90 wrote:I believe procurement activity/processes of government agencies in foreign post (embassies, etc) is not clear in the IRR. CAn i be appraised of any policy?

While there is no mention of the coverage of foreign posts in the GPRA and IRR-A, they are certainly covered by the provisions of the law. Since foreign posts are under the direct supervision of the DFA, it would now depend on the DFA on the level of decentralization and authority given to foreign posts for all their procurement activities. Whether separate BACs need to be created for all or for some of the foreign posts will depend on the assessment of the DFA.

However, there are certain administrative constraints that need to be addressed, particularly on the conduct of public biddings, such as on newspaper advertisement (which newspaper - Philippines or local newspaper in the foreign country), and who will be the invited Observers.

Likewise, there may not be enough staff in the foreign posts that would be able to comprise the minimum of 5 BAC members. In that case, a BAC may compose several nearby foreign posts, such as one BAC for the European countries, while the HOPE would be an Undersecretary duly authorized by the DFA Secretary.
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Re: Procurememt of Govt Agencies in Foreign Post

Post by shobe on Wed May 13, 2009 11:42 am

To add, will the constructors winning in a procurement activity of a Philippine embassy be willing to get a PCAB license?

Unless the Philippine embassies decide to procure through the available alternative methods of procurement under the law, I cannot see how they can legally comply and follow to the letter the mandatory provisions of the GPRA.
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Re: Procurememt of Govt Agencies in Foreign Post

Post by roy90 on Thu Jul 16, 2009 11:23 am

Citing provisions in the IRR is will be based on how it is understood..lets take an example...Procurement of a vehicle as a staff car in a foreign post...this activity is common for a fixed post, how about for a UN Contigent (military) that is temporary. What process do you recommend?
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Re: Procurememt of Govt Agencies in Foreign Post

Post by RDV @ GP3i on Thu Jul 16, 2009 12:03 pm

roy90 wrote:Citing provisions in the IRR is will be based on how it is understood..lets take an example...Procurement of a vehicle as a staff car in a foreign post...this activity is common for a fixed post, how about for a UN Contigent (military) that is temporary. What process do you recommend?

Is the procurement already included in the approved APP? If not, it has to be included first in the APP.

The mode of procurement (most likely Public Bidding unless conditions would warrant any of the Alternative methods) has to be recommended also by the BAC and approved by the HOPE. If the vehicle will only be for temporary use (short period of time), maybe leasing or renting (if available) would be the better option than outright purchase.

Since it is a foreign post, DFA may create a Special BAC (SBAC) in the foreign post for the purpose. Who should be invited? Any supplier interested, but most likely those in the country or nearby countries could be invited under the "Reciprocity Rule" of R.A. 5183. The equivalent of the documents (eligibility, technical and financial) required under RA 9184 and IRR-A will be required from prospective bidders.
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