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Bid Evaluation

Post by Gilbert D. Solidum on Wed Feb 03, 2010 3:23 pm

Good day everyone. Please enlighten us how we will we do on this situation. After the bid evaluation we discover that the lowest bidder was not suppose to be lowest for he computed his tax at 5% only which is suppose to be 12% as indicated in program of works and detailed estimates forms issued by the procuring entity as part of bidding documents.
If the tax is computed in 12% the said lowest bidder will be the third lowest . Taxes shall be included in the bid as stipulated in ITB 27.6. Shall we issue a notice of disqualification or notice bid evaluation informing him the result of evaluation?
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Re: Bid Evaluation

Post by Niwram on Wed Feb 03, 2010 3:46 pm

you can issue a notice of disqualification because there is a veracity in the documents the bidder submitted.
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Re: Bid Evaluation

Post by charlie brown on Wed Feb 03, 2010 5:34 pm

Gilbert D. Solidum wrote:Good day everyone. Please enlighten us how we will we do on this situation. After the bid evaluation we discover that the lowest bidder was not suppose to be lowest for he computed his tax at 5% only which is suppose to be 12% as indicated in program of works and detailed estimates forms issued by the procuring entity as part of bidding documents.
If the tax is computed in 12% the said lowest bidder will be the third lowest . Taxes shall be included in the bid as stipulated in ITB 27.6. Shall we issue a notice of disqualification or notice bid evaluation informing him the result of evaluation?

Based on the info you provided it would seem that you have already conducted a detailed evaluation, the final output of which would be the Abstract of Bids ranked in ascending order (after adjusting for computational errors and ommissions). Unless the adjusted bid exceeds the ABC the bidder will not be disqualified as yet. it will be included in the ranking. It should be noted that there is still the possibility that the lowest calculated bid will not pass the post qualification. If that happens the said lowest bidder shll be notified of its post disqualification (sec 34.5 of the IRR) and then proceed to post qualify the next lowest calculated and so on...

it is thus important that this bidder whose adjusted rank is third will not be disqualified as yet until it gets a shot at post qualification.
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Re: Bid Evaluation

Post by sunriser431 on Thu Feb 04, 2010 12:21 am

Gilbert D. Solidum wrote:Good day everyone. Please enlighten us how we will we do on this situation. After the bid evaluation we discover that the lowest bidder was not suppose to be lowest for he computed his tax at 5% only which is suppose to be 12% as indicated in program of works and detailed estimates forms issued by the procuring entity as part of bidding documents.
If the tax is computed in 12% the said lowest bidder will be the third lowest . Taxes shall be included in the bid as stipulated in ITB 27.6. Shall we issue a notice of disqualification or notice bid evaluation informing him the result of evaluation?
are you refering to the SF-INFR-66 or SF-GOOD-50 (Notification of Bidding Results)? or SF-INFR-63 or SF-GOOD-47 (Notice of Post Disqualification)?
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Re: Bid Evaluation

Post by Gilbert D. Solidum on Thu Feb 04, 2010 10:09 am

Good day. I'm refering to infra. this is procurement of 2 storey six classroom building.
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Re: Bid Evaluation

Post by charlie brown on Thu Feb 04, 2010 10:23 am

Gilbert D. Solidum wrote:Good day. I'm refering to infra. this is procurement of 2 storey six classroom building.

Actually, whether it is infra or goods, the method of the detailed evaluation would be the same.
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Re: Bid Evaluation

Post by Gilbert D. Solidum on Thu Feb 04, 2010 11:03 am

Are we going to inform him that his bid is no longer the lowest after the bid evaluation?
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Re: Bid Evaluation

Post by charlie brown on Thu Feb 04, 2010 11:33 am

Gilbert D. Solidum wrote:Are we going to inform him that his bid is no longer the lowest after the bid evaluation?

My reading of the IRR is that after the bidders have passed the eligibility checking and unless they are post disqualified, the only next update they will have is when the PE posts the NOA. this is really a bit tricky since the law requires that their is no contact during detailed evaluation until issuance of the NOA - unless initiated in writiung by the BAC. the rationale as i came to undetrstand is to prevent undue influence by the bidders as the BAC undertakes the evaluation and the post qual. However, since the law also requires that the detailed evaluation is done immidiately after the eligibility checking, it is actually my experience that the bidders are still there as we conduct the detailed evaluation. The upside to this is that all the bidders will have a fairly good idea of their rank as adjusted and not just as read. If they are not present during the detailed eval they might have the wrong impression that they are the LCB and would thus stard to wonder that they were not issued the Notice of Award and was not post disqualified either.
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Re: Bid Evaluation

Post by Gilbert D. Solidum on Fri Feb 05, 2010 10:25 am

Thanks. If we issue the NOA meaning we are already through with the postqua, what if the lowest didder as read question our action through a motion for reconsideration, it will became mote and academic since we are already issuing a NOA. Is it correct that we have to issue a bid evaluation results before issuing a notice for postqua?
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Re: Bid Evaluation

Post by Niwram on Fri Feb 05, 2010 10:41 am

Gilbert D. Solidum wrote:Thanks. If we issue the NOA meaning we are already through with the postqua, what if the lowest didder as read question our action through a motion for reconsideration, it will became mote and academic since we are already issuing a NOA. Is it correct that we have to issue a bid evaluation results before issuing a notice for postqua?

Yes if you issue NOA meaning you're done with the Post-Qual.. you must answer the MR of the bidder within 7 days if they filed it on time which is 3 calendar days after receipt of notice.. for your last query, it is the discretion of the PE to issue such bid evaluation..
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Re: Bid Evaluation

Post by fe a. araya on Fri Feb 05, 2010 4:28 pm

Notice of Bid Evaluation Results are issued to complying bidders who submitted their proposals. Only bidder with the lowest calculated bid is subject to post qua. As in the case you mentioned, the bidder was not declared the Lowest Calculated Bidder (though his bid is the lowest as read. Hence it is just right to inform him of the bid evaluation results before the postqua. Specific reason why he was not declared the LCB should be indicated in the Notice.

If the bidders are present during the opening of bids, the BAC should make it clear to them that their proposals are still subject to detailed evaluation para naman di sila umasa na sila na ang nanalo.
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Re: Bid Evaluation

Post by RDV @ GP3i on Sat Feb 06, 2010 7:47 am

charlie brown wrote:
Gilbert D. Solidum wrote:Are we going to inform him that his bid is no longer the lowest after the bid evaluation?

My reading of the IRR is that after the bidders have passed the eligibility checking and unless they are post disqualified, the only next update they will have is when the PE posts the NOA. this is really a bit tricky since the law requires that their is no contact during detailed evaluation until issuance of the NOA - unless initiated in writiung by the BAC. the rationale as i came to undetrstand is to prevent undue influence by the bidders as the BAC undertakes the evaluation and the post qual. However, since the law also requires that the detailed evaluation is done immidiately after the eligibility checking, it is actually my experience that the bidders are still there as we conduct the detailed evaluation. The upside to this is that all the bidders will have a fairly good idea of their rank as adjusted and not just as read. If they are not present during the detailed eval they might have the wrong impression that they are the LCB and would thus stard to wonder that they were not issued the Notice of Award and was not post disqualified either.

True, charlie brown, the "No Contact Rule" is really quite tricky. It is not absolute though.

While it is provided in the IRR that the detailed evaluation is done "immediately" after the preliminary examination of bids it is better to conduct the detailed evaluation in the next day when the bidders are no longer there, in order to comply with the Rule. Should the BAC decides to do the detailed evaluation immediately, it is better to adjourn the opening of the bid first so you can already dismiss the bidders present. If you do the detailed evaluation in the presence of bidders (which includes correction of arithmetical errors, determination of the completeness of the bids, including the correction the the computation of taxes as what Gilbert should have done during bid evaluation in order to put all bidders in equal footing as required in the IRR), the pressures from bidders, which the "No Contact Rule" precisely intends to avoid, will not be avoided.
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Re: Bid Evaluation

Post by charlie brown on Mon Feb 08, 2010 12:41 pm

RDV wrote:
charlie brown wrote:
Gilbert D. Solidum wrote:Are we going to inform him that his bid is no longer the lowest after the bid evaluation?

My reading of the IRR is that after the bidders have passed the eligibility checking and unless they are post disqualified, the only next update they will have is when the PE posts the NOA. this is really a bit tricky since the law requires that their is no contact during detailed evaluation until issuance of the NOA - unless initiated in writiung by the BAC. the rationale as i came to undetrstand is to prevent undue influence by the bidders as the BAC undertakes the evaluation and the post qual. However, since the law also requires that the detailed evaluation is done immidiately after the eligibility checking, it is actually my experience that the bidders are still there as we conduct the detailed evaluation. The upside to this is that all the bidders will have a fairly good idea of their rank as adjusted and not just as read. If they are not present during the detailed eval they might have the wrong impression that they are the LCB and would thus stard to wonder that they were not issued the Notice of Award and was not post disqualified either.

True, charlie brown, the "No Contact Rule" is really quite tricky. It is not absolute though.

While it is provided in the IRR that the detailed evaluation is done "immediately" after the preliminary examination of bids it is better to conduct the detailed evaluation in the next day when the bidders are no longer there, in order to comply with the Rule. Should the BAC decides to do the detailed evaluation immediately, it is better to adjourn the opening of the bid first so you can already dismiss the bidders present. If you do the detailed evaluation in the presence of bidders (which includes correction of arithmetical errors, determination of the completeness of the bids, including the correction the the computation of taxes as what Gilbert should have done during bid evaluation in order to put all bidders in equal footing as required in the IRR), the pressures from bidders, which the "No Contact Rule" precisely intends to avoid, will not be avoided.

You are right, RDV. The presure is there particularly if the bidders are "actually competing" Thus, adjournment and continuing the process in the afternoon or the following day as applicable can be resorted to. The chair can assess the situation and decide the best option. If an adjournment is the better option the chair must explain the process that will follow and its ramifications to their bids so there is less possibility of confusion or wrong assumptions on the part of the bidders.
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Re: Bid Evaluation

Post by Alpha on Fri Dec 07, 2012 8:37 pm

Good day! I would like to seek enlightenment on the below situation.


A public bidding for procurement of services was conducted and opening of sealed bids was made according to schedule. 2 bidders passed the eligibility check as well as the technical and financial requirements.

However, during the detailed bid evaluation conducted on both the bids, it was found out that the bid of the LCB as read have inputs that may or may not be intentionally provided, specifically the data with regard the employer's share for PhilHealth (PhilHealth had recently issued new schedule of premiums that will effect on Jan 2013).

Is the BAC allowed to correct the subject bid considering the new issuance by PhilHealth? If so, the consequence may result to any of the following:

1. That the bid declared as the LCB may tie with the bid of the second LCB. 2. That subject bid may become the second LCB.
3. The subject bid may still be the LCB.

Thank you very much.

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Re: Bid Evaluation

Post by jcolas on Sat Dec 08, 2012 12:40 pm

"Alpha wrote"
Good day! I would like to seek enlightenment on the below situation.
A public bidding for procurement of services was conducted and opening of sealed bids was made according to schedule. 2 bidders passed the eligibility check as well as the technical and financial requirements.

However, during the detailed bid evaluation conducted on both the bids, it was found out that the bid of the LCB as read have inputs that may or may not be intentionally provided, specifically the data with regard the employer's share for PhilHealth (PhilHealth had recently issued new schedule of premiums that will effect on Jan 2013).

Is the BAC allowed to correct the subject bid considering the new issuance by PhilHealth? If so, the consequence may result to any of the following:

1. That the bid declared as the LCB may tie with the bid of the second LCB. 2. That subject bid may become the second LCB.
3. The subject bid may still be the LCB.

Thank you very much


If that inputs that "may or may not have been intentionally provided is a requirement by the procuring entity and so provided in your bidding documents, then, to me, the bid, under Section 30.1 should have been considered as failed.

The BAC, under Section 32 shall conduct Bid Evaluation to determine the LCB and under Section 34 conduct Post-Qualification to come up with the LCRB. In no instance is the BAC allowed to "correct" the subject bid solely for the purpose of coming up with the LCB or the LCRB.
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