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Lump Sum in PPMP and APP

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Lump Sum in PPMP and APP

Post by ombudsboy on Thu May 03, 2012 1:01 pm

In the preparation of the PPMP, one bureau within a government agency does not itemize the contracts consisting a project but instead provides a lump sum.

For example, there is a project for the "REPAIR OF A ROAD", which consists of three (3) contracts, i.e. Contract 1, Contract 2 and Contract 3. The ABC of these three contracts are different, e.g. 1 million for Contract 1; 2 million for Contract 2; and 3 million for Contract 3. However, instead of listing these three contracts in the PPMP individually so that the ABC for each project can be determined, what is listed is "REPAIR OF A ROAD" and the lump sum amount of 6 million (1M + 2M + 3M).

Is this allowed? Are there guidelines in the preparation of the PPMP, aside from those found in the IRR of RA 9184, GPPB Manual Vol. 1, or sample forms? Is this also allowed in the preparation of the APP, or is it okay that the lump sum is provided.

It would seem that this practice allows end-users to use the budget for other projects on another project because in the PPMP the ABC for a specific contract is not designated. I'd appreciate any insight on this. Thanks.

ombudsboy
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