Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth
Second 
Introduced by Representatives 
LORDAN G. SUAN, CHRISTIAN S. UNABIA, and BAMBI B. EMANO 
EXPLANATORY NOTE 
Republic Act No. 9184 (RA 9184), also known as The Government 
Procurement Reform Act, was passed in 2003 with the best interest of the state 
and the welfare of the people in mind. It is governed by the principles of 
transparency, competitiveness, efficiency, accountability, and responsibility. 
These are enshrined in the statute to provide for the efficient procurement of 
public goods and services and eradicate graft and corruption in the procurement 
process. It also enhances public participation in public sector transactions. 
After the passage of RA 9184, we witnessed the gains attained in terms of 
curbing corruption. At the same, we also witnessed the different circumventions 
to the law perpetrated by government officials and personnel, contractors, and 
private individuals. Their scheme necessitated our country’s slippage in the 
world corruption index. Significantly, it stagnated our country’s development 
and ballooned our public debt. 
This Bill seeks to address the weaknesses inherent in the present law. It 
also aims to enhance the provisions found to be effective in eradicating 
corruption. In the process of crafting this legislation, the paramount 
consideration is the need to balance the need to fast-track the implementation 
of needed development projects and public service programs and to ensure that 
public funds will not end up in private pockets. In short, the efforts to 
August 16, 2023
11:02 am
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continuously guard people’s money should not be compromised in the name of 
necessity. 
Among the highlights of this Bill are: 
1.
Clearing the intent of the law concerning international
agreements;
2.
Creating special rules for overseas procurements, those
involving international agreements and those with national
security considerations;
3.
Introducing Best Value Procurement;
4.
Professionalizing the members of the Bids and Awards
Committee through a system of certification;
5.
Providing new guidelines in the eligibility of bidders for
particular projects;
6.
Strengthening transparency through the introduction of video
recording in bidding conferences;
7.
Setting the number of appearances of Observers to avoid
possible collusion between them and the bidders;
8.
Providing a Floor for bid prices and automatic disqualification
of bidders with below floor-bids;
9.
Increasing the threshold for Shopping under alternative
procurement;
10. Amending the membership of the GPPB to include other
departments; and
11. Blacklisting of suppliers, contractors, and consultants,
including corporations and joint ventures or consortiums.
In light of the preceding, this bill’s approval is fervently sought. 
HON. CHRISTIAN S. UNABIA 
1st District, Misamis Oriental 
HON. BAMBI B. EMANO 
2nd District, Misamis Oriental 
HON. LORDAN G. SUAN 
1st District, Cagayan de Oro City 


Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth
Second 
Introduced by Representatives 
LORDAN G. SUAN, CHRISTIAN S. UNABIA, and BAMBI B. EMANO 
AN ACT 
AMENDING REPUBLIC ACT NO. 9184, OTHERWISE KNOWN AS THE 
GOVERNMENT PROCUREMENT REFORM ACT, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Section 4 of Republic Act No. 9184 is hereby amended to read as follows:
1 
"Section 4. Scope and Application.- This Act shall apply to the Procurement of 
2 
Infrastructure Projects, Goods and Consulting Services, regardless of the source of 
3 
funds, whether local or foreign, by all branches and instrumentalities of government, 
4 
its departments, offices and agencies, including government-owned and/or controlled 
5 
corporations and local government units, subject to the provisions of Commonwealth 
6 
Act No. 138. Any treaty, or international or executive agreement [affecting the subject 
7 
matter] ENTERED INTO BY THE PHILIPPINE GOVERNMENT BEFORE THE PASSAGE of 
8 
this Act [to which the Philippine government is a signatory] shall be observed. 
9 
PROVIDED, THAT THE GOVERNMENT POLICY PROCUREMENT BOARD (GPPB) SHALL 
10 
PROMULGATE RULES AND REGULATIONS GOVERNING THE FOLLOWING CLASSES OF 
11 
PROCUREMENT, 
ADHERING 
TO 
THE 
PRINCIPLES 
OF 
TRANSPARENCY, 
12 
ACCOUNTABILITY, SUSTAINABILITY AND BEST INTEREST OF THE COUNTRY: 
13 
(a)
THOSE FOR THE USE OF THE PHILIPPINE GOVERNMENT OVERSEAS;
14 
(b)
THOSE INVOLVING INTERNATIONAL GRANTS, ASSISTANCE, LOANS,
15 
AND JOINT PROJECTS COVERED BY BILATERAL, MULTILATERAL OR
16 
INTERNATIONAL AGREEMENTS; AND
17 
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(c) 
THOSE DETERMINED AS VITAL NATIONAL SECURITY PROCUREMENTS, 
18 
DULY APPROVED AND CERTIFIED BY THE PRESIDENT. 
19 
SEC. 2. Definition of Terms. — For this Act, the following terms are defined as follows: 
20 
(a) BEST VALUE PROCUREMENT – A PROCUREMENT METHOD WHERE LIFE CYCLE 
21 
COST, QUALITY OF GOODS AND SERVICES, RISKS, AND BENEFITS ARE 
22 
CONSIDERED TO MAXIMIZE THE VALUE FOR MONEY OF EVERY GOVERNMENT’S 
23 
PROGRAM AND PROJECT AND MEET THE REQUIREMENTS AND OBJECTIVES OF 
24 
THE END USER. 
25 
(b) KEY PERFORMANCE INDICATORS (KPI) – REFERS TO QUANTIFIABLE AND 
26 
MEASURABLE CRITERION TO GAUGE PERFORMANCE TOWARDS ACHIEVING 
27 
SPECIFIC OBJECTIVES. 
28 
(c) LIFE-CYCLE COST – REFERS TO THE TOTAL COST OF OWNERSHIP OF A GOOD 
29 
FROM ITS ACQUISITION, OPERATION, MAINTENANCE AND TO DISPOSAL. 
30 
(d) MULTI-YEAR PROJECT REFERS TO THE PROGRAM OR PROJECT WHICH WILL TAKE 
31 
MORE THAN ONE (1) YEAR TO COMPLETE THAT REQUIRES MULTI-YEAR 
32 
APPROPRIATIONS. 
33 
(e) MULTI-YEAR 
CONTRACTUAL 
AUTHORITY 
(MYCA) 
– 
REFERS 
TO 
THE 
34 
AUTHORIZATION AWARDED TO A MULTI-YEAR PROJECT OR PROGRAM  
35 
(f) PERFORMANCE-BASED SPECIFICATIONS - REFER TO A SPECIFICATION 
36 
DESCRIBING THE DESIRED OUTCOMES OR RESULTS IN TERMS OF FUNCTIONAL 
37 
OR PERFORMANCE REQUIREMENTS RATHER THAN IN TERMS OF TECHNICAL 
38 
DETAILS. THIS SPECIFICATION IS USED IN CASES WHEN THE PROCURING ENTITY 
39 
IS UNCERTAIN OF THE BEST PROCESS OR METHOD TO DELIVER THE 
40 
REQUIREMENTS WHEN HIGH-LEVEL TECHNOLOGY IS REQUIRED, WHEN 
41 
SUPPLIERS ARE KNOWN TO HAVE THE CAPABILITY TO DESIGN FIT-FOR-PURPOSE 
42 
SOLUTIONS, OR WHEN PAST PERFORMANCE OR OTHER NON-IINANCIAL 
43 
CONSIDERATIONS MAY BE BENEFICIAL IN THE PROCUREMENT.  
44 
(g) PHILGEPS - REFERS 
TO THE PHILIPPINE GOVERNMENT ELECTRONIC 
45 
PROCUREMENT SYSTEM  
46 
(h) VALUE ENGINEERING – REFERS TO THE SYSTEMATIC AND ORGANIZED PROCESS 
47 
OF REVIEWING AND ASSESSING A PROJECT, DURING THE PLANNING, 
48 
DEVELOPMENT, AND DESIGN PHASES TO DETERMINE QUALITY, RELIABILITY, 
49 
EFFICIENCY AND LIFE CYCLE COST. 
50 
SEC. 3. Section 7 of Republic Act No. 9184 is hereby amended to read as follows: 
51 
“Section 7. Procurement Planning and Budgeting Linkage. - (A) All 
52 
procurement should be within the approved budget of the Procuring Entity and should 
53 
be meticulously and judiciously planned by the Procuring Entity concerned. Consistent 
54 
with government fiscal discipline measures, only those considered crucial to the 
55 
efficient discharge of governmental functions shall be included in the Annual 
56 
Procurement Plan (APP) to be specified in the IRR.  
57 
(B) No government procurement shall be undertaken unless per approved APP 
58 
of the Procuring Entity. The APP shall be approved by the Head of the Procuring Entity 
59 
and must be consistent with its duly approved yearly budget. The APP shall be 
60 


formulated and revised only per the guidelines outlined in the IRR. In the case of 
61 
Infrastructure Projects, the APP shall include engineering design and acquisition of 
62 
right-of-way.  
63 
(C) IN CASES OF INFRASTRUCTURE PROJECTS WITH A TOTAL PROJECT COST 
64 
OF AT LEAST ONE HUNDRED MILLION PESOS (P100,000,000), VALUE ENGINEERING 
65 
SHALL BE CONDUCTED ACCORDING TO ACCEPTED STANDARDS AND PRACTICES AND 
66 
GUIDELINES TO BE ISSUED BY THE GPPB.  
67 
THE THRESHOLD VALUE OF ONE HUNDRED MILLION PESOS (P100,000,000) 
68 
SHALL BE ADJUSTED BY THE NATIONAL ECONOMIC DEVELOPMENT AUTHORITY 
69 
(NEDA), WHENEVER NECESSARY, TO ITS PRESENT VALUE USING THE CONSUMER 
70 
PRICE INDEX (CPI) AS PUBLISHED BY THE PHILIPPINE STATISTICS AUTHORITY (PSA).  
71 
THE ABOVE AMOUNT SHALL BE SUBJECT TO A PERIODIC REVIEW BY THE 
72 
GPPB, WITH THE ASSISTANCE OF THE NEDA, TO DETERMINE IF THERE IS A NEED TO 
73 
INCREASE OR DECREASE THE SAID AMOUNT TO REFLECT CHANGES IN ECONOMIC 
74 
CONDITIONS AND FOR OTHER JUSTIFIABLE REASONS.  
75 
(D) IN CASE THE INFRASTRUCTURE PROJECT SHALL BE DONE IN PHASES, THE 
76 
PROCURING ENTITY SHALL INDICATE IN THE APP OR AN ATTACHED DOCUMENT TO 
77 
BE PROVIDED IN THE IRR:  
78 
1. THE TOTAL PROJECT COST;  
79 
2. THE DESCRIPTION OF THE WHOLE PROJECT;  
80 
3. THE PROGRAM OF WORKS FOR EACH OF THE PHASES; AND  
81 
4. THE APPROVED BUDGET FOR THE CONTRACT THEREOF.  
82 
THE PROCURING ENTITY SHALL ENSURE THAT EACH PHASE IS USABLE AND 
83 
FUNCTIONAL UPON COMPLETION OF SUCH PHASE.  
84 
(E) IN CASES OF PROJECTS REQUIRING PERFORMANCE-BASED SPECIFICATIONS OR 
85 
WHEN IT IS IN THE BEST INTEREST OF THE PROCURING ENTITY, AS DETERMINED BY 
86 
THE END-USER UNIT AND SUBJECT TO THE APPROVAL OF THE HEAD OF THE 
87 
PROCURING ENTITY, THE PROCURING ENTITY SHALL HAVE THE OPTION TO UTILIZE 
88 
THE BEST VALUE PROCUREMENT OF GOODS OR INFRASTRUCTURE PROJECTS AS 
89 
PROVIDED IN ARTICLE IV, SECTION 11 OF THIS ACT.  THE PROCURING ENTITY SHALL 
90 
STATE THE SAME IN THE APP.  
91 
(F) THE PROCUREMENT PLANNING DOCUMENTATION SHALL PROVIDE ACCURATE 
92 
AND CONCISE INFORMATION ON:  
93 
1. THE REQUIREMENT EOR THE PROCUREMENT; AND  
94 


2. A STATEMENT OR EXPLANATION ON HOW VFM CONTRACTING WAS 
95 
CONSIDERED AND ACHIEVED.  
96 
(G) NATIONAL GOVERNMENT AGENCIES, LOCAL GOVERNMENT UNITS, 
97 
CONSTITUTIONAL OFFICES, AND STATE UNIVERSITIES AND COLLEGES SHALL 
98 
REQUEST THE DEPARTMENT OF BUDGET AND MANAGEMENT (DBM) FOR THE 
99 
ISSUANCE OF A MULTI-YEAR CONTRACTUAL AUTHORITY (MYCA) BEFORE ENTERING 
100 
INTO CONTRACTS TO COVER THE TOTAL PROJECT COSTS OF MULTI-YEAR PROJECTS, 
101 
WHETHER 
LOCALLY-FUNDED 
OR 
FOREIGN-ASSISTED. 
IN 
THE 
CASE 
OF 
102 
GOVERNMENT-OWNED AND/OR CONTROLLED CORPORATIONS (GOCCS), THEY 
103 
SHALL SECURE PRIOR AUTHORITY PROM THEIR RESPECTIVE GOVERNING BOARDS 
104 
BEFORE ENTERING INTO MULTI-YEAR PROJECTS AND PROCEEDING WITH THEIR 
105 
PROCUREMENT.  
106 
THE DBM OR GOVERNING BOARD, AS THE CASE MAY BE, SHALL IDENTIFY THE 
107 
REQUIREMENTS AND/OR PRESCRIBE GUIDELINES BEFORE PROCURING ENTITIES 
108 
MAY ENTER INTO MULTI YEAR CONTRACTS AND BEFORE THE ISSUANCE OF A MYCA.  
109 
ALL EXISTING MULTI-YEAR OBLIGATIONAL AUTHORITY (MYOA) SHALL BE 
110 
UNDERSTOOD TO REFER TO THE MYCA.  
111 
(H) 
TO 
ENSURE 
FULL 
BUDGET 
UTILIZATION, 
TIMELY 
CONTRACT 
112 
IMPLEMENTATION, AND EFFICIENT DELIVERY OF SERVICES, THE PROCURING 
113 
ENTITIES ARE AUTHORIZED TO UNDERTAKE PROCUREMENT ACTIVITIES FROM THE 
114 
PRE-PROCUREMENT CONFERENCE UNTIL POST- QUALIFICATION OF BIDS BASED ON 
115 
THEIR PROPOSED BUDGET IN THE NATIONAL EXPENDITURE PROGRAM (NEP), 
116 
CORPORATE OPERATING BUDGETS, OR APPROPRIATIONS ORDINANCE.  
117 
THE PROCURING ENTITIES SHALL PROCEED WITH THE AWARDING OF 
118 
CONTRACT ONLY UPON APPROVAL OR ENACTMENT OF THEIR RESPECTIVE 
119 
APPROPRIATIONS OR BUDGET AUTHORIZATION DOCUMENT, AS THE CASE MAY BE, 
120 
AND BASED ON THE AMOUNT AUTHORIZED THEREIN.” 
121 
SEC. 4. Section 8 of Republic Act No. 9184 is hereby amended to read as follows: 
122 
“Section. 8. Procurement by Electronic Means. – To promote transparency and 
123 
efficiency, information and communications technology shall be utilized in the 
124 
conduct of procurement procedures. Accordingly, there shall be a single portal that 
125 
shall serve as the primary source of information on all government procurement. The 
126 
[G-EPS] PHILGEPS shall serve as the primary and definitive source of information on 
127 
government procurement. Further, the GPPB is authorized to approve changes in the 
128 
procurement process to adapt to improvements in modern technology, provided that 
129 
such modifications are consistent with the provisions of Section 3 of this Act.  
130 
[To take advantage of the significant built-in efficiencies of the G-EPS and the 
131 
volume discounts inherent in bulk purchasing, all Procuring Entities shall utilize the G-
132 
EPS for the procurement of common supplies under the rules and procedures to be 
133 


established by the GPPB. Concerning the procurement of non-common use items, 
134 
infrastructure projects and consulting services, agencies may hire service providers to 
135 
undertake their electronic procurement provided these service providers meet the 
136 
minimum requirements set by the GPPB.] 
137 
ALL PROCURING ENTITIES SHALL UTILIZE THE PIIILGEPS FOR THE 
138 
PROCUREMENT OF GOODS AND SERVICES UNDER THE RULES AND PROCEDURES TO 
139 
BE ESTABLISHED BY THE GPPB. 
140 
SEC. 5. Section 10 of Republic Act No. 9184 is hereby amended to read as follows: 
141 
“Section 10. Competitive Bidding – All Procurement shall be done through 
142 
Competitive Bidding BY LOWEST BID METHOD WHICH SHALL BE THE DEFAULT MODE 
143 
OF PROCUREMENT except as provided FOR IN SECTION 11 OF THIS ACT.” 
144 
SEC. 6. Republic Act No. 9184 is hereby amended by inserting a new section designated 
145 
as Section 11 in Article IV. 
146 
“SECTION 11. BEST VALUE PROCUREMENT. – PROCUREMENT OF NON-
147 
COMMON USE GOODS, INFRASTRUCTURE PROJECTS AND CONSULTANCY SERVICES 
148 
MAY BE DONE THROUGH THE BEST VALUE PROCUREMENT METHOD.  
149 
THE FOLLOWING FACTORS SHALL BE CONSIDERED IN OPTING FOR THE BEST-
150 
VALUE METHOD OF PROCUREMENT: 
151 
(a) THE QUALITY OF THE GOODS AND SERVICES;  
152 
(b) FITNESS FOR THE PURPOSE OF THE PROPOSAL;  
153 
(c) THE POTENTIAL BIDDER'S RELEVANT EXPERIENCE AND PERFORMANCE 
154 
HISTORY;  
155 
(d) FLEXIBILITY OF THE PROPOSAL, INCLUDING INNOVATION AND 
156 
ADAPTABILITY OVER THE LIFE CYCLE OF THE PROCUREMENT;  
157 
(e) ENVIRONMENTAL SUSTAINABILITY OF THE PROPOSED GOODS AND 
158 
INFRASTRUCTURES, SUCH AS ENERGY EFFICIENCY AND ENVIRONMENTAL 
159 
IMPACT;  
160 
(f) LIFE CYCLE COSTS, INCLUDING MAINTENANCE COSTS, UTILITY COSTS, 
161 
DISPOSAL COSTS, LICENSING COSTS (WHEN APPLICABLE), TFIE COST OF 
162 
ADDITIONAL FEATURES PROCURED AFTER THE LMTIAL PROCUREMENT, AND 
163 
CONSUMABLE COSTS;  
164 
(g) TIMELINESS; 
165 
(h) COST OF NECESSARY TRAINING;  
166 


(i) QUALIFICATIONS OF TECHNICAL PERSONNEL INVOLVED IN THE 
167 
PROCUREMENT OF GOODS AND SERVICES; 
168 
(j) REALISTIC RISK ASSESSMENT OF THE PROPOSED SOLUTION; AND 
169 
(k) AVAILABILITY AND COST OE TECHNICAL SUPPORT. 
170 
SEC. 7. Section 13 of Republic Act No. 9184 is hereby amended to read as follows: 
171 
“Section 13. Observers. -  “To enhance the transparency of the process, the BAC 
172 
shall, in all stages of the procurement process, invite, in addition to the representative 
173 
of the Commission on Audit, at least two (2) observers to sit in its proceedings, one (1) 
174 
from a duly recognized private group in a sector or discipline relevant to the 
175 
procurement at hand, and the other from a non-government organization: Provided, 
176 
[however,] that they do not have any direct or indirect interest in the contract to be 
177 
bid out. PROVIDED, FURTHER, THAT IN NO CASE SHALL THEY BE INVITED BY THE BAC 
178 
MORE THAN FIVE (5) TIMES IN A YEAR. The observers should be [duly registered with 
179 
the SEC] MEMBERS IN GOOD STANDING OF THE SECTOR OR DISCIPLINE OR NON-
180 
GOVERNMENT ORGANIZATION FROM WHICH THEY BELONG TO, AS DULY CERTIFIED 
181 
BY THEIR HEAD OR CHAIRPERSON and should meet the criteria for observers [as] 
182 
outlined in the IRR.” 
183 
SEC. 8. Section 16 of Republic Act No. 9184 is hereby amended to read as follows: 
184 
“Section. 16. Professionalization of BAC, BAC Secretariat and Technical 
185 
Working Group Members. – The GPPB shall establish a sustained training program for 
186 
developing the capacity of the BACs, BAC Secretariats and Technical Working Groups 
187 
of Procuring Entities, and professionalize the same.  
188 
FOR THIS PURPOSE, THE GPPB SHALL DEVELOP A PROCUREMENT 
189 
CERTIFICATION PROGRAM FOR THE MAJORITY OF THE BAC, THE BAC SECRETARIATS, 
190 
AND MEMBERS OF THE TECHNICAL WORKING GROUPS OR FOR ANYONE 
191 
INTERESTED TO WORK AS SUCH IN THE GOVERNMENT, TO GAIN NATIONALLY 
192 
RECOGNIZED QUALIFICATIONS AND CERTIFICATIONS AND TO MEET THE 
193 
REQUIREMENTS OF QUALIFICATION STANDARDS FOR PROCUREMENT POSITIONS IN 
194 
THE GOVERNMENT TO BE PRESCRIBED BY THE CIVIL SERVICE COMMISSION. THEY 
195 
SHOULD 
SATISFACTORILY 
COMPLETE 
SUCH 
PROGRAM 
AND 
PASS 
THE 
196 
EXAMINATIONS THEREOF, CONDUCTED, AUTHORIZED, OR ACCREDITED BY THE 
197 
GPPB.  
198 
THE GPPB SHALL PROVIDE GUIDANCE AND POLICY DIRECTIONS CONCERNING 
199 
THE CONDUCT OF TRAINING, THE PREPARATION OF CERTIFICATION EXAMINATIONS, 
200 
AND THE CREATION OF TRAINING INSTITUTE(S) AND/OR ACCREDITATION OF 
201 
TRAINING INSTITUTIONS, INCLUDING TRAINING OF TRAINERS.” 
202 
SEC. 9. Section 18 of Republic Act No. 9184 is hereby amended to read as follows: 
203 


“Section 18. Reference to Brand Names. – Specifications for the Procurement 
204 
of Goods AND GOODS COMPONENT TO INFRASTRUCTURE PROJECTS AND 
205 
CONSULTING SERVICES shall be based on relevant characteristics and/or performance 
206 
requirements. Reference to brand names shall [not be allowed] BE AVOIDED. 
207 
IN CASES WHERE IT IS NECESSARY TO QUOTE A BRAND NAME OF A 
208 
MANUFACTURER, THE PHRASE “OR EQUIVALENT’’ SHALL BE ADDED AFTER SUCH 
209 
REFERENCE. THE SPECIFICATIONS SHALL PERMIT THE ACCEPTANCE OF OFFERS 
210 
WHICH HAVE SIMILAR CHARACTERISTICS AND WHICH PROVIDE PERFORMANCE AND 
211 
QUALITY EQUIVALENT TO THAT SPECIFIED.  
212 
REFERENCE TO BRAND NAMES SHALL BE ALLOWED FOR GOODS THAT ARE 
213 
COMPATIBLE WITH THE PROCURING ENTITY’S EXISTING FLEET OR EQUIPMENT OF 
214 
THE SAME MAKE AND BRAND, AND TO MAINTAIN THE PERFORMANCE, 
215 
FUNCTIONALITY, AND USEFUL LIFE OF THE EQUIPMENT.” 
216 
SEC. 10. Section 23 of Republic Act No. 9184 is hereby amended to read as follows: 
217 
“Section 23. Eligibility Requirements for the Procurement of Goods and 
218 
Infrastructure Projects. – The BAC or, under special circumstances specified in the IRR, 
219 
its duly designated organic office shall determine the eligibility of prospective bidders 
220 
for the procurement of Goods and Infrastructure Projects, based on the bidders’ 
221 
compliance with the eligibility requirements within the period outlined in the 
222 
Invitation to Bid. The eligibility requirements shall provide for fair and equal access to 
223 
all prospective bidders. The documents submitted in satisfaction of the eligibility 
224 
requirements shall be made under oath by the prospective bidder or by his duly 
225 
authorized representative certifying the correctness of the statements made and the 
226 
completeness and authenticity of the documents submitted.  
227 
A prospective bidder may be allowed to submit his eligibility requirements 
228 
electronically. However, said bidder shall later on certify under oath as to the 
229 
correctness of the statements made and the completeness and authenticity of the 
230 
documents 
submitted. 
PROVIDED, 
THAT 
FOR 
THE 
PROCUREMENT 
OF 
231 
INFRASTRUCTURE PROJECTS, THE PARTICIPATION OF PROSPECTIVE BIDDERS SHALL 
232 
BE DETERMINED BASED ON THE APPROVED BUDGET FOR THE CONTRACT (ABC) AS 
233 
FOLLOWS: 
234 
(a) ABC OF ONE HUNDRED MILLION PESOS (PHP100,000,000) AND BELOW. – THE 
235 
LOCATION OF THE MAIN OFFICE OF THE BIDDER MUST BE WITHIN THE 
236 
PROVINCE WHERE THE PROJECT SHALL BE IMPLEMENTED; 
237 
(b) ABC OF ABOVE ONE HUNDRED MILLION PESOS (PHP100,000,000) AND 
238 
BELOW TWO HUNDRED MILLION PESOS (PHP 200,000,000). – THE LOCATION 
239 
OF THE MAIN OFFICE OF THE BIDDER MUST BE WITHIN THE REGION WHERE 
240 
THE PROJECT SHALL BE IMPLEMENTED; 
241 
(c) ABC OF ABOVE TWO HUNDRED MILLION PESOS (PHP2000,000,000). – THE 
242 
LOCATION OF THE MAIN OFFICE OF THE BIDDER CAN BE ANYWHERE IN THE 
243 
PHILIPPINES. 
244 


SEC. 11. Republic Act No. 9184 is hereby amended by inserting under ARTICLE IX the 
245 
following sections: 
246 
ARTICLE IX 
247 
VIDEO RECORDS OF ALL BIDDING CONFERENCES 
248 
"Section 30-A. VIDEO RECORDING OF ALL PROCUREMENT-RELATED 
249 
CONFERENCES. TO ENHANCE THE TRANSPARENCY OF THE PROCUREMENT PROCESS, 
250 
THE PROCURING ENTITY SHALL KEEP A VIDEO RECORDING OF ALL PROCUREMENT-
251 
RELA TED CONFERENCES INCLUDING BUT NOT LIMITED TO PRE-PROCUREMENT 
252 
CONFERENCE, PRE-BID CONFERENCE, BID OPENING, AND ALL MEETINGS OF THE 
253 
BIDS AND A W ARDS COMMITTEE (BAC), FOR ALL PROCUREMENT PROJECTS EQUAL 
254 
OR EXCEEDING THE AMOUNT OF ONE MILLION PESOS (PHP 1,000,000. 00).  
255 
ALL PROCUREMENT-RELATED CONFERENCES MAY NOT COMMENCE 
256 
WITHOUT A VIDEO RECORDING INITIATED BY THE CHAIR OF THE BAC.  
257 
 
VIOLATIONS OF THIS SECTION SHALL BE COVERED BY ARTICLES XXI, XXII, AND 
258 
XXIII OF THIS ACT.  
259 
Section 30-B. SPECIFICATIONS OF THE VIDEO RECORDING. - THE VIDEO 
260 
RECORDING SHALL BE CLEAR AND SHALL PROVIDE A CLOSE-UP VIEW OF THOSE 
261 
PRESENT IN THE CONFERENCE. DURING THE RECORDING, THE MEMBERS OF THE 
262 
BAC, THE PROSPECTIVE AND/OR QUALIFIED BIDDERS, THE REPRESENTATIVE OF THE 
263 
COMMISSION ON AUDIT AND THE TWO (2) OBSERVERS INVITED UNDER THE 
264 
PROVISION OF THIS ACT, SHALL BE INTRODUCED ONE BY ONE.  
265 
Section 30-C. COPIES OF THE VIDEO RECORDING. - THERE SHALL BE MADE 
266 
THREE (3) COPIES OF THE VIDEO RECORDING FOR THE PERUSAL AND/OR RECORD OF 
267 
THE BAC, THE GOVERNMENT PROCUREMENT POLICY BOARD (GPPB), AND THE 
268 
COMMISSION ON AUDIT (COA). THE VIDEO COPIES SHALL BE MADE A V AVAILABLE 
269 
TO THE PUBLIC UPON WRITTEN REQUEST AND PAYMENT OF A SPECIFIED FEE.  
270 
Section 30-D. WRITTEN AND VIDEO RECORDS AS EVIDENCE IN COURT. - IN 
271 
CASE OF ANY PERTINENT LEGAL ACTION, THE VIDEO RECORDS MAY BE SUBJECT TO 
272 
SUBPOENA DUCES TECUM AND MAY BE USED AS EVIDENCE IN COURT AS IT FINDS 
273 
APPROPRIATE.  
274 
THE BAC, GPPB, AND COA SHALL STORE THE VIDEO RECORDS FOR NOT LESS THAN 
275 
TWENTY (20) YEARS AND MAY DISPOSE OF THEM THEREAFTER.  
276 
THE BAC AND THE GPBB SHALL ENSURE THAT THE COPIES OF THE RECORDING ARE 
277 
REGULARLY CHECKED TO ASCERTAIN THAT THEY ARE IN GOOD CONDITION AND NOT 
278 
DETERIORATING, SUBJECT TO THE RECOMMENDED CONSERVATION PRACTICES FOR 
279 
THE STORAGE OF THE SAME.  
280 


Section 30-E. LOGISTICS OF VIDEO RECORDING. - THE BAC OF EACH 
281 
PROCURING ENTITY SHALL BE IN CHARGE OF THE LOGISTICS OF VIDEO RECORDING 
282 
AND OTHER RELATED TECHNICAL MATTERS, SUCH AS BUT NOT LIMITED TO AUDIO, 
283 
ARCHIVING, AND SUCH OTHER MATTERS NECESSARY TO CARRY OUT THE 
284 
PROVISIONS OF THIS ACT.  
285 
Section 30-F. PROCUREMENT OF VIDEO RECORDING EQUIPMENT. - THE GPPB 
286 
SHALL BE IN CHARGE OF THE PROCUREMENT OF THE VIDEO RECORDING EQUIPMENT 
287 
AND RELATED SUPPLIES TO BE ALLOCATED TO THE PROCURING ENTITIES.” 
288 
SEC. 12. Section 31 of Republic Act No. 9184 is hereby amended to read as follows: 
289 
“Section 31. Ceiling AND FLOOR for Bid Prices. – The ABC shall be the upper 
290 
limit or ceiling for the Bid prices. Bid prices that exceed this ceiling OR ARE LOWER 
291 
THAN THIRTY (30%) PERCENT OF THE ABC shall be disqualified outright from further 
292 
participating in the bidding. [There shall be no lower limit to the amount of the award.] 
293 
SEC. 13. Section 36 of Republic Act No. 9184 is hereby amended to read as follows: 
294 
“Section 36. Single Calculated/Rated and Responsive Bid Submission. – A single 
295 
calculated/rated and responsive bid shall be considered for award SUBJECT TO THE 
296 
APPROVAL OF THE GPPB AND if it falls under any of the following circumstances:  
297 
(a) If after advertisement, only one prospective bidder submits a Letter of 
298 
Intent and/or applies for eligibility check, and meets the eligibility 
299 
requirements or criteria, after which it submits a bid, which is found to be 
300 
responsive to the bidding requirements;  
301 
(b) If after the advertisement, more than one prospective bidder applies for an 
302 
eligibility check, but only one bidder meets the eligibility requirements or 
303 
criteria, after which it submits a bid which is found to be responsive to the 
304 
bidding requirements; or  
305 
(c) If after the eligibility check, more than one bidder meets the eligibility 
306 
requirements, but only one bidder submits a bid, and its bid is found to be 
307 
responsive to the bidding requirements.  
308 
In all instances, the Procuring Entity shall ensure that the ABC reflects the most 
309 
advantageous prevailing price for the Government.” 
310 
SEC. 14. Section 42 of Republic Act No. 9184 is hereby amended to read as follows: 
311 
“Section 42. Contract Implementation and Termination. - (A) THE PROCURING 
312 
ENTITY OR ITS REPRESENTATIVE SHALL HAVE THE RIGHT TO INSPECT AND/OR TEST 
313 
THE GOODS TO CONFIRM THEIR COMPLIANCE WITH THE TECHNICAL 
314 
SPECIFICATIONS. THE CONTRACT SHALL SPECIFY KEY PERFORMANCE INDICATORS 
315 
(KPI), THE REQUIRED INSPECTIONS AND/OR TESTS, AND WHERE THEY ARE TO BE 
316 


CONDUCTED. THE PROCURING ENTITY SHALL BEAR ALL THE COSTS AND EXPENSES 
317 
THAT IT WILL INCUR TO ATTEND THE TESTS AND/OR INSPECTIONS INCLUDING, BUT 
318 
NOT LIMITED TO, TRAVELLING AND BOARD AND LODGING EXPENSES.  
319 
THE PROCURING ENTITY MAY REJECT ANY GOODS OR ANY PART THEREOF 
320 
THAT FAIL TO PASS ANY TEST AND/OR INSPECTION OR DO NOT CONFORM TO THE 
321 
SPECIFICATIONS. THE SUPPLIER SHALL EITHER RECTIFY OR REPLACE SUCH REJECTED 
322 
GOODS OR PARTS THEREOF OR MAKE ALTERATIONS NECESSARY TO MEET THE 
323 
SPECIFICATIONS, AT NO COST TO AND AS MAY BE REASONABLY DETERMINED BY, 
324 
THE PROCURING ENTITY. THE SUPPLIER SHALL REPEAT THE TEST AND/OR 
325 
INSPECTION, AT NO COST TO THE PROCURING ENTITY.  
326 
NEITHER THE EXECUTION OF A TEST AND/OR INSPECTION OF THE GOODS OR 
327 
ANY PART THEREOF NOR THE ATTENDANCE BY THE PROCURING ENTITY OR ITS 
328 
REPRESENTATIVE E THEREIN SHALL RELEASE THE SUPPLIER EROM ANY WARRANTIES 
329 
OR OTHER OBLIGATIONS UNDER THE CONTRACT.  
330 
(B) FAILURE OF THE SUPPLIER, CONTRACTOR, OR CONSULTANT TO DELIVER 
331 
THE QUALITY REQUIRED UNDER THE CONTRACT SHALL CONSTITUTE THE CRIME OF 
332 
ESTAFA, PUNISHABLE UNDER THE PROVISIONS OF  ARTICLE 315, PARAGRAPH 1 (a) 
333 
OF ACT NO. 3815, OTHERWISE KNOWN AS THE REVISED PENAL CODE. IF THE 
334 
VIOLATION OR OFFENSE IS COMMITTED BY A CORPORATION, PARTNERSHIP, 
335 
ASSOCIATION, OR OTHER JURIDICAL ENTITIES, THE PENALTY SHALL BE IMPOSED 
336 
UPON THE DIRECTORS, OFFICERS, EMPLOYEES, OR OTHER OFFICIALS OR PERSONS 
337 
THEREIN RESPONSIBLE FOR THE CRIME, WITHOUT PREJUDICE TO THE CIVIL 
338 
LIABILITIES ARISING FROM THE CRIMINAL OFFENCE AND OTHER ADMINISTRATE E 
339 
LIABILITIES.  
340 
(C) TO PROMOTE TRANSPARENCY AND EFFICIENCY, INFORMATION AND 
341 
COMMUNICATIONS TECHNOLOGY, SUCH AS BUT NOT LIMITED TO, GEO-TAGGING 
342 
AND AUTOMATED PROJECT MONITORING SYSTEMS, SHALL BE UTILIZED BY THE 
343 
PROCURING ENTITY IN THE IMPLEMENTATION OF CONTRACTS, REGARDLESS OF THE 
344 
AMOUNT, AND SHALL BE POSTED IN THE WEBSITE OF THE PROCURING ENTITY.  
345 
(D) TO ENSURE THE ACTUAL PERFORMANCE OF PROJECTS AND THE DELIVERY 
346 
OF GOODS AND INFRASTRUCTURE PROJECTS, THE PROCURING ENTITY SHALL INVITE 
347 
MONITORS FROM A DULY RECOGNIZED PRIVATE GROUP OR A NON- GOVERNMENT 
348 
ORGANIZATION IN A SECTOR OR DISCIPLINE RELEVANT TO THE PROJECT AT HAND 
349 
DURING THE IMPLEMENTATION OF CONTRACTS EXCEPT THOSE PROCURED 
350 
THROUGH NEGOTIATED PROCUREMENT IN EMERGENCY CASES, SHOPPING, OR 
351 
SMALL- VALUE PROCUREMENT AS DEFINED IN THE RULES: PROMDED, HOWEVER, 
352 
THAT BOTH THE INVITED ENTITY AND/OR THE INDIN IDEALS DO NOT HAVE ANY 
353 
DIRECT OR INDIRECT INTEREST IN THE CONTRACT BEING IMPLEMENTED. THE 
354 
MONITORS SHOULD BE DULY REGISTERED WITH THE SECURITIES AND EXCHANGE 
355 
COMMISSION (SEC) AND SHOULD MEET THE CRITERIA FOR CONTRACT 
356 
IMPLEMENTATION MONITORS AS OUTLINED IN THE RULES.  
357 


(E) 
ALL 
PROCURING 
ENTITIES 
IMPLEMENTING 
GOVERNMENT 
358 
INFRASTRUCTURE PROJECTS ARE MANDATED TO EVALUATE THE PERFORMANCE OF 
359 
THEIR 
CONTRACTORS 
USING THE 
NEDA-APPROVED 
CONSTRUCTORS 
360 
PERFORMANCE EVALUATION SYSTEM (CPES) GUIDELINES FOR THE TYPE OF PROJECT 
361 
BEING IMPLEMENTED. CPES EVALUATION SHALL BE UNDERTAKEN DURING 
362 
CONSTRUCTION AND UPON COMPLETION OF EACH GOVERNMENT PROJECT. TO 
363 
ENSURE CONTINUOUS IMPLEMENTATION OF CPES, ALL PROCURING ENTITIES 
364 
CONCERNED ARE REQUIRED TO INCLUDE IN THEIR PROJECTS’ ENGINEERING AND 
365 
ADMINISTRATIVE OVERHEAD COST THE  BUDGET FOR THE IMPLEMENTATION OF 
366 
CPES ACCORDING TO THE NEDA GUIDELINES.  
367 
FOR GOODS AND CONSULTING SERVICES, THE PROCURING ENTITIES ARE 
368 
MANDATED TO EVALUATE THE PERFORMANCE OF THEIR SUPPLIERS AND 
369 
CONSULTANTS USING THE CONTRACT PERFORMANCE ASSESSMENT REPORT 
370 
SYSTEM (CPARS) ACCORDING TO THE GUIDELINES TO BE ISSUED BY THE GPPB.  
371 
PURSUANT TO SECTION 8 OF R.A. 9184, THE PHILGEPS SHALL HAVE A 
372 
CENTRALIZED ELECTRONIC DATABASE OF ALL MANUFACTURERS, SUPPLIERS, 
373 
DISTRIBUTORS, CONTRACTORS, AND CONSULTANTS, WITH THEIR CORRESPONDING 
374 
REGISTRATION NUMBERS WITH CONTRACTS WITH THE GOVERNMENT FOR 
375 
FEEDBACK MECHANISM AND PERFORMANCE TRACKING. THE REGISTRATION 
376 
NUMBER SHALL BE A PRE-REQUISITE FOR PARTICIPATION IN ANY GOVERNMENT 
377 
PROCUREMENT.  
378 
THE GPPB SHALL PROVIDE THE DETAILS AND MECHANICS FOR THE 
379 
IMPLEMENTATION OF THE FEEDBACK MECHANISM WHICH SHALL BE FAIR AND 
380 
EQUITABLE. AFTER PROPER VERIFICATION, THE RESULTS THEREOF SHALL BE MADE 
381 
AVAILABLE TO OTHER GOVERNMENT AGENCIES TO ENSURE THAT THE 
382 
GOVERNMENT ONLY DOES BUSINESS WITH MANUFACTURERS, SUPPLIERS, 
383 
DISTRIBUTORS, CONTRACTORS, AND CONSULTANTS THAT PROVIDE QUALITY 
384 
PRODUCTS AND SERVICES ON TIME.  
385 
The OTHER rules and guidelines for the implementation and termination of contracts 
386 
awarded under the provisions of this Act shall be prescribed in the IRR. The rules and 
387 
guidelines shall include standard general and special conditions for contracts. 
388 
SEC. 15. Section 52 of Republic Act No. 9184 is hereby amended to read as follows: 
389 
“Section 52. Shopping. - Shopping may be resorted to under any of the 
390 
following instances:  
391 
(a) When there is an unforeseen contingency requiring immediate 
392 
purchase: Provided, however. That the amount shall not exceed [Fifty 
393 
Thousand Pesos (P50,000)] TWO HUNDRED THOUSAND PESOS (P200,000); or  
394 
(b) Procurement of ordinary or regular office supplies and equipment 
395 
not available in the Procurement Service involving an amount not exceeding 
396 
[Two Hundred Fifty Thousand Pesos (P250,000)] FIVE HUNDRED THOUSAND 
397 


PESOS (P500,000): Provided, however. That the procurement does not result 
398 
in Splitting of Contracts: Provided, further. That at least three (3) price 
399 
quotations from bonafide suppliers shall be obtained. IN CASE THE REQUIRED 
400 
NUMBER OF QUOTATIONS FROM BONA FIDE SUPPLIERS ARE NOT RECEIVED, 
401 
THE PROCURING ENTITY, AFTER EXTENDING THE DEADLINE FOR SUBMISSION 
402 
OF QUOTATIONS AT LEAST ONCE, MAY CANA ASS ON ITS OWN FOR THE ITEM 
403 
TO BE PROCURED FROM AT LEAST THREE (3) SLPPLIEF^S, INCLUDING THOSE 
404 
WHO MAY HAVE ALREADY SUBMITTED THEIR QUOTATIONS, WHO ARE 
405 
KNOWN TO BE CONSISTENTLY SUPPLYING QUALITY GOODS AT ACCEPTABLE 
406 
AND REASONABLE PRICE. THE PROCURING ENTITY IS ALSO TASKED TO KNOW 
407 
THE REASONS WHY NOT ENOUGH SUPPLIERS SUBMITTED QUOTATIONS IN 
408 
ORDER IOR HIE PROCURING ENTITY, IN COORDINATION WITH THE GPPB, TO 
409 
ADDRESS THE PROBLEM(S), IF ANY, FOR ITS FUTURE PROCUREMENTS.  
410 
PROCUREMENT OF GOODS INVOLVING AN AMOUNT NOT EXCEEDING FIVE 
411 
THOUSAND PESOS (P5,000) UNDER THE PETTY CASH FUND FOLLOWING THE 
412 
RULES AND REGULATIONS OF THE COMMISSION ON AUDIT SHALL NOT 
413 
REQUIRE ANY QUOTATION OR CANVASS: PROVIDED, HOWEVER, THAT THE 
414 
OFFICIAL RECEIPT SHALL BE SUBMITTED AS PROOF OF PAYMENT AND SUCH 
415 
OTHER REQUIREMENTS AS MAY BE REQUIRED IN THE IRR UNDER THIS ACT; 
416 
PROMDED, FURTHER, THAT THE PROCUREMENT DOES NOT RESULT IN 
417 
SPLITTING OF CONTRACTS. 
418 
SEC. 16. Section 53 of Republic Act No. 9184 is hereby amended to read as follows: 
419 
“Section 53. Negotiated Procurement. – Negotiated Procurement shall be 
420 
allowed only in the following instances:  
421 
(a)  In cases of two failed biddings, as provided in Section 35 hereof;  
422 
(b)  In case of imminent danger to life or property BEFORE, during OR AFTER a 
423 
state of calamity, or when time is of the essence arising from natural or man-
424 
made calamities or other causes where immediate action is necessary to 
425 
prevent damage to or loss of life or property or to restore vital public services, 
426 
infrastructure facilities and other public utilities;  
427 
(c) Take-over of contracts, which have been rescinded or terminated for causes 
428 
provided for in the contract and existing laws, where immediate action is 
429 
necessary to prevent damage to or loss of life or property or to restore vital 
430 
public services, infrastructure facilities and other public utilities;  
431 
(d) Where the subject contract is adjacent or contiguous to an ongoing 
432 
infrastructure project, as defined in the IRR: Provided, however, That the 
433 
original contract is the result of a Competitive Bidding; the subject contract to 
434 
be negotiated has similar or related scopes of work; it is within the contracting 
435 
capacity of the contractor; the contractor uses the same prices or lower unit 
436 
prices as in the original contract less mobilization cost; the amount involved 
437 


does not exceed the amount of the ongoing project; and, the contractor has 
438 
no negative slippage: Provided, further, That negotiations for the procurement 
439 
are commenced before the expiry of the original contract. Whenever 
440 
applicable, this principle shall also govern consultancy contracts, where the 
441 
consultants have unique experience and expertise to deliver the required 
442 
service; or,  
443 
(e) Subject to the guidelines specified in the IRR, purchases of Goods from 
444 
another agency of the Government, such as the Procurement Service of the 
445 
DBM, which is tasked with a centralized procurement of commonly used 
446 
Goods for the government under Letters of Instruction No. 755 and Executive 
447 
Order No. 359, series of 1989.  
448 
IN 
ALL 
CASES 
OF 
NEGOTIATED 
PROCUREMENT, 
ALL 
SUPPLIERS, 
449 
CONTRACTORS, AND CONSULTANTS ARE MANDATED TO SUBMIT DOCUMENTS TO 
450 
PROVE THEIR FINANCIAL, TECHNICAL, AND LEGAL CAPACITY THAT SHALL BE DULY 
451 
VALIDATED BY THE PROCURING ENTITY.” 
452 
SEC. 17. Section 64 of Republic Act No. 9184 is hereby amended to read as follows:  
453 
“Section 64. Membership. - The GPPB shall be composed of the Secretary of the 
454 
Department of Budget and Management, as [Chairman] Chairperson, the Director-
455 
General of NEDA, as Alternate [Chairman] Chairperson, with the following as 
456 
Members; the Secretaries of the Departments of AGRICULTURE, Education, Energy, 
457 
ENVIRONMENT AND NATURAL RESOURCES, Finance, FOREIGN AFFAIRS, Health, 
458 
INFORMATION AND COMMUNICATIONS TECHNOLOGY, Interior and Local 
459 
Government, MIGRANT WORKERS, National Defense, Public Works and Highways, 
460 
Science and Technology, SOCIAL WELFARE AND DEVELOPMENT, Tourism, Trade and 
461 
Industry, Transportation and Commission on Audit or their duly authorized 
462 
representatives, and a representative from the private sector to be appointed by the 
463 
President upon the recommendation of the GPPB. The GPPB may invite a 
464 
representative from the LEGISLATIVE OR JUDICIAL BRANCH to serve as resource 
465 
person.” 
466 
SEC. 18. Section 65 of Republic Act No. 9184 is hereby amended to read as follows: 
467 
“Section 65. Offenses and Penalties. – (a) Without prejudice to the provisions 
468 
of Republic Act No. 3019, otherwise known as the “Anti-Graft and Corrupt Practices 
469 
Act” and other penal laws, public officers who commit any of the following acts shall 
470 
suffer the penalty of imprisonment of not less than six (6) years and one (1) day, but 
471 
not more than fifteen (15) years:  
472 
1. Open any sealed Bid including but not limited to Bids that may have been 
473 
submitted through the electronic system and any documents required to be 
474 
sealed or divulging their contents, before the appointed time for the public 
475 
opening of Bids or other documents.  
476 


2. Delaying, without justifiable cause, the screening for eligibility, opening of 
477 
bids, evaluation and post-evaluation of bids, and awarding of contracts beyond 
478 
the prescribed periods of action provided for in the IRR.  
479 
3. Unduly influencing or exerting undue pressure on any member of the BAC 
480 
or any officer or employee of the procuring entity to take a particular action 
481 
which favors, or tends to favor a particular bidder.  
482 
4. Splitting of contracts which exceed procedural purchase limits and 
483 
competitive bidding.  
484 
5. When the head of the agency abuses the exercise of his power to reject any 
485 
bids as mentioned under Section 41 of this Act with manifest preference to any 
486 
bidder who is closely related to him under Section 47 of this Act. 
487 
6. RECOMMENDING, APPROVING, AND/OR AWARDING A CONTRACT TO A 
488 
BIDDER THAT IS NOT LEGALLY, TECHNICALLY, AND/OR FINANCIALLY 
489 
CAPABLE. 
490 
7. APPROVING AND/OR ACCEPTING GOODS, PRODUCTS, AND/OR SERVICES 
491 
DIFFERENT FROM THOSE APPROVED BY THE PROCUREMENT ENTITY, AND OR 
492 
THOSE INDICATED IN THE SUPPLY CONTRACT. 
493 
8. FOR NO LAWFUL CAUSE, CHANGING OR CAUSING THE CHANGE OF 
494 
SPECIFICATIONS AND/OR OTHER TECHNICAL REQUIREMENTS TO FAVOR A 
495 
PARTICULAR SUPPLIER. 
496 
When any of the foregoing acts is done in collusion with private individuals, 
497 
the private individuals shall likewise be liable for the offense.  
498 
In addition, the public officer involved shall also suffer the penalty of 
499 
temporary disqualification from public office, while the private individual shall be 
500 
permanently disqualified from transacting business with the Government.  
501 
(b) Private individuals who commit any of the following acts, including any 
502 
public officer, who conspires with them, shall suffer the penalty of imprisonment of 
503 
not less than six (6) years and one (1) day but not more than fifteen (15) years:  
504 
(1) When two or more bidders agree and submit different Bids as if they 
505 
were bona fide when they knew that one or more of them was so much 
506 
higher than the other that it could not be honestly accepted and that 
507 
the contract will surely be awarded to the pre-arranged lowest Bid.  
508 
(2) When a bidder maliciously submits different Bids through two or 
509 
more persons, corporations, partnerships or any other business entity 
510 
in which he has an interest to create the appearance of competition 
511 
that does not exist to be adjudged as the winning bidder.  
512 


(3) When two or more bidders enter into an agreement which calls 
513 
upon one to refrain from bidding for Procurement contracts, or which 
514 
calls for the withdrawal of Bids already submitted, or which is 
515 
otherwise intended to secure an undue advantage to any one of them.  
516 
(4) When a bidder, by himself or in connivance with others, employs 
517 
schemes which tend to restrain the natural rivalry of the parties or 
518 
operate to stifle or suppress competition and thus produce a result 
519 
disadvantageous to the public.  
520 
In addition, the persons involved shall also suffer the penalty of temporary or 
521 
perpetual disqualification from public office and be permanently disqualified from 
522 
transacting business with the Government.  
523 
(c) Private individuals who commit any of the following acts, and any public 
524 
officer conspiring with them, shall suffer the penalty of imprisonment of not less than 
525 
six (6) years and one (1) day but not more than fifteen (15) years:  
526 
(1) Submit eligibility requirements of whatever kind and nature that 
527 
contain false information or falsified documents calculated to influence 
528 
the outcome of the eligibility screening process or conceal such 
529 
information in the eligibility requirements when the information will 
530 
lead to a declaration of ineligibility from participating in public bidding.  
531 
(2) Submit Bidding Documents of whatever kind and nature that 
532 
contain false information or falsified documents or conceal such 
533 
information in the Bidding Documents, to influence the outcome of the 
534 
public bidding.  
535 
(3) Participate in public bidding using the name of another or allow 
536 
another to use one’s name to participate in public bidding.  
537 
(4) Withdraw a Bid, after it shall have qualified as the Lowest Calculated 
538 
Bid/Highest Rated Bid, or refuse to accept an award, without just cause 
539 
or to force the Procuring Entity to award the contract to another 
540 
bidder. This shall include the non-submission within the prescribed 
541 
time, or delaying the submission of requirements such as, but not 
542 
limited to, performance security, preparatory to the final award of the 
543 
contract.  
544 
(d) When the bidder is a juridical entity, criminal liability and the accessory 
545 
penalties shall be imposed on its directors, officers or employees who commit any of 
546 
the foregoing acts.” 
547 
SEC. 19. Section 74 of Republic Act No. 9184 is hereby amended to read as follows: 
548 
“Section 74. Oversight Committee. - There is hereby created a Joint 
549 
Congressional Oversight Committee to oversee the implementation of this Act for a 
550 


period not exceeding five (5) years from ITS [the] effectivity AND UNDERTAKE A 
551 
MANDATORY REVIEW of this Act AT LEAST ONCE EVERY FIVE (5) YEARS AND AS 
552 
OFTEN AS IT MAY DEEM NECESSARY, WITH THE END GIVEN, PROVIDING A 
553 
PROCUREMENT PROCESS THAT IS SIMPLE AND REASONED AND ALLOWS FOR THE 
554 
EFFECTIVE, EFFICIENT, ECONOMIC, AND ETHICAL USE OF GOVERNMENT RESOURCES. 
555 
The Committee shall be composed of the Chairman of the Senate Committee on 
556 
FINANCE [Constitutional Amendments and Revision of Laws] and two (2) members 
557 
thereof appointed by the Senate President; the Chairman of the House Committee on 
558 
Appropriations, and two (2) members thereof to be appointed by the Speaker of the 
559 
House of Representatives. 
560 
SEC. 20. Republic Act No. 9184 is hereby amended by inserting a new section 
561 
designated as Section 71-A to read as follows: 
562 
“Section 71-A. Blacklisting. – THE BLACKLISTING OF NON-COMPLIANT 
563 
SUPPLIERS, CONTRACTORS, AND CONSULTANTS SHALL BE ALLOWED UPON RELEASE 
564 
OF THE GUIDELINES BY THE GPPB. THEY SHALL NOT BE ALLOWED TO PARTICIPATE 
565 
IN THE BIDDING OF ALL GOVERNMENT PROJECTS DURING THE PERIOD OF 
566 
DISQUALIFICATION.  
567 
A JOINT VENTURE OR CONSORTIUM WHICH IS BLACKLISTED OR WHICH HAS 
568 
BLACKLISTED MEMBER(S) AND/OR PARTNER(S), AS WELL AS A PERSON/ENTITY 
569 
WHO IS A MEMBER OF A BLACKLISTED JOINT VENTURE OR CONSORTIUM, ARE, 
570 
LIKEW ISE, NOT ALLOW ED TO PARTICIPATE IN ANY GOVERNMENT PROCUREMENT 
571 
DURING THE PERIOD OF DISQUALIFICATION.  
572 
IN THE CASE OF CORPORATIONS, A SINGLE STOCKHOLDER, TOGETHER WITH 
573 
HIS/HER RELATIVES UP TO THE THIRD (3RD) CIVIL DEGREE OF CONSANGUINITY OR 
574 
AFFINITY, AND THEIR ASSIGNEES, HOLDING AT LEAST TW ENTV PERCENT (20%) OF 
575 
THE SHARES THEREIN, ITS CHAIRMAN OR PRESIDENT REGARDLESS OF THE NUMBER 
576 
OF SHARES THEY HOLD IN SUCH CORPORATION OF WHICH THEY ARE CHAIRMAN OR 
577 
PRESIDENT, SHALL BE BLACKLISTED AFTER THEY HAVE BEEN DETERMINED TO HOLD 
578 
THE SAME CONTROLLING INTEREST IN ANOTHER BLACKLISTED CORPORATION. THE 
579 
CORPORATIONS OF WHICH THEY ARE PART OF SHALL ALSO BE BLACKLISTED.  
580 
BIDDERS BLACKLISTED OR BARRED FROM BIDDING BY OTHER FOREIGN 
581 
GOVERNMENT/FOREIGN OR INTERNATIONAL FINANCING INSTITUTIONS ARE ALSO 
582 
NOT ALLOWED TO PARTICIPATE IN THE BIDDING OF ALL GOVERNMENT PROJECTS, 
583 
PROGRAMS AND SERVICES. 
584 
SEC. 21. Renumbering of Affected Articles and Sections. — Articles and Sections of 
585 
Republic Act No. 9184 affected by the amendments made herein shall be renumbered 
586 
accordingly. 
587 
SEC. 22. Appropriations. — The amount necessary for the implementation of this Act 
588 
shall be included in the annual General Appropriations Act. 
589 


SEC. 23. Implementing Rules and Regulations. — Within sixty (60) days from the 
590 
promulgation of this Act, the GPPB shall formulate the necessary rules and regulations for its 
591 
effective implementation. 
592 
SEC. 24. Transitory Provision. — Procurement transactions commenced before the 
593 
effectivity of this Act shall be governed by Republic Act No. 9184 
594 
SEC. 25. Separability Clause. — Any portion or provisions of this Act that may be 
595 
declared unconstitutional or invalid shall not have the effect of nullifying other portions or 
596 
provisions hereof as long as such remaining portions or provisions can still subsist and be given 
597 
effect in their entirety. 
598 
SEC. 26. Repealing Clause. — All laws, presidential decrees, executive orders, 
599 
memoranda, circulars, and other issuances, or parts thereof, which are inconsistent with the 
600 
Act, are hereby repealed or modified accordingly. 
601 
SEC. 27. Effectivity. — This Act shall take effect fifteen (15) days from the date of its 
602 
publication in the Official Gazette or a website provided for by law.
603 
Approved,