Renewal of Consultancy Contracts

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Renewal of Consultancy Contracts

Post by ziaragabriel on Wed Oct 21, 2009 5:22 pm

Guys, kindly clarify me on this matter.........
Are renewal of consultancy contracts subject to public bidding? What are the instances wherein this could not be subjected to public bidding? Are there exemptions? It's been the inherent practice of our LGU of just renewing the contracts without the benefit of public bidding.
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Re: Renewal of Consultancy Contracts

Post by engrjhez® on Thu Oct 22, 2009 5:41 am

ziaragabriel wrote:Guys, kindly clarify me on this matter.........
Are renewal of consultancy contracts subject to public bidding? What are the instances wherein this could not be subjected to public bidding? Are there exemptions? It's been the inherent practice of our LGU of just renewing the contracts without the benefit of public bidding.

Again, we would like to emphasize that public bidding is the general rule of procurement. Resort to alternative methods of procurement shall only be on highly exceptional cases - not the other way around. An alternative would be Negotiated Procurement:

53.4. Adjacent or Contiguous. Where the subject contract is adjacent or contiguous to
an on-going Infrastructure Project or Consulting Service where the consultants have
unique experience and expertise to deliver the required service
: Provided, however,
That (a) the original contract is the result of a Competitive Bidding; (b) the subject
contract to be negotiated has similar or related scopes of work; (c) it is within the
contracting capacity of the contractor/consultant; (d) the contractor/consultant uses
the same prices or lower unit prices as in the original contract less mobilization cost;
(e) the amount involved does not exceed the amount of the ongoing project; and (f)
the contractor/consultant has no negative slippage/delay: Provided, further, That
negotiations for the procurement are commenced before the expiry of the original
contract.

Provided all conditions are met, and it is in the approved APP of the Procuring Entity, with the method of procurement recommended by the BAC, 'renewal' of consultants may therefore be allowed. Very Happy
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