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clarification on small value procurement..

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clarification on small value procurement..

Post by PPA-TWG on Thu Aug 06, 2015 3:19 pm

5 August 2015

ATTY. DENNIS SANTIAGO
Executive Director
Government Procurement Policy Board
Unit 2506 Raffles Corp. Center
F. Ortigas Jr. Ave., Ortigas Center
Pasig City

Dear Atty. Santiago:

Good Day!

This is to follow-up on our earlier request for clarification posted last 24 July 2015 in GPPB account.

Our concern is pertaining to the small value procurement on the hiring of draftsman.

Through the Request For Quotation (RFQ), this Office received and post evaluated offer, as follows:

Prospective Bidder Agency Fee Offered % Total Contract Cost Offered
Bidder A 1,650.00 9.993 61,021.74
Bidder B 1,651.23 10.000 61,025.49

All of our previous procurements were done through bidding process where this Office prescribed that prospective bidders in their Bids has to be compliant with DOLE DO 18-A i.e. Standard Administrative Fee (Agency Fee) should not be less than ten percent (10%) of the total contract cost. However, considering that GPPB Resolution No. 26-2013 stated that DOLE DO 18-A is violative of Sec. 31 of RA 9184, this Office contemplates as to the applicability of the DOLE DO 18-A on the present issue.

In this connection, we would like to request clarification as to 1) which ruling this Office should apply; and 2) whether the 0.007 difference in the bid submitted could be considered in the bid as negligible, thus, we can award to the other bidder who bid at 10% of the Agency Fee.

For your consideration.




ROSENDA G. SUMAGAYSAY
Port Manager

PPA-TWG
New Member
New Member

Female Number of posts : 5
Company/Agency : Philippine Ports Authority
Occupation/Designation : Port Operations
Registration date : 2015-07-23

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