REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
Quezon City

Eighteenth Congress
First Regular Session

House Bill No. 829

Introduced by Rep. AURELIO "DONG" D. GONZALES, JR.

EXPLANATORY NOTE

It is unfortunate that the procurement activities on government infrastructure projects are
invariably characterized by delays. Some of which are caused by loopholes in the law — which are
likewise exploited by the concemed officials of the procuring entity. Thus, resulting sometimes in
the reversion of the funds for the projects.

In view of the Build Build policy the administration and likewise of the 2017 State of the
Nation Address, the amendments mentioned in this house bill focus on the two reasons. Firstly, to
improve the infrastructure facilities of the country under the GAA of 2018. Secondly, to expedite
procurement process for government infrastructure contracts.

It is only fair and just that these amendments will be considered as the government allocates
huge amount for infrastructure projects which are intended primarily to alleviate poverty by
accelerating and giving impetus to economic activities only through accelerated and increased
spending.

REP. AURE! IG” p. GONZALES, JR.
3" District, Pampanga


HOUSE OF REPRESENTATIVES
Quezon City

Eighteenth Congress
First Regular Session

House Bill No. _°#9

Introduced by Rep. AURELIO "DONG" D. GONZALES, JR.

AN ACT AMENDING SECTIONS 37 AND 38 OF REPUBLIC ACT NO. 9184,
OTHERWISE KNOWN AS GOVERNMENT PROCUREMENT REFORM ACT AND
PROVIDING FOR ADDITIONAL PROVISIONS NOT PRESENTLY INCLUDED IN
THE LAW

t,

2.

Section 37. Notice and Execution of Award is hereby amended as follows:

Within a period not exceeding seven (7) calendar days from the determination and
declaration by the BAC of the Lowest Calculated Responsive Bid or Highest Rated
Responsive Bid and the recommendation of the award, the Head of the Procuring Entity or
his duly authorized representative shall approve or disapprove the said recommendation. In
case of approval, the Head of the Procuring Entity or his duly authorized representative shall
immediately issue the Notice of Award to the Bidder with the Lowest Calculated
Responsive Bid or the Highest Rated Responsive Bid.

In case the Head of the Procuring Entity disapproves the recommendation of the BAC
to award the contract to the bidder with the Lowest Calculated Responsive Bid or the
Highest Rated Responsive Bid, the Head of the Procuring Entity shall state the specific
reasons for the disapproval and return the same to the BAC immediately on the day of
the disapproval.

Within five (5) calendar days from receipt of the Notice of Award, the winning bidder
shall formally enter into contract with the Procuring Entity. When further approval of higher
authority is required, the approving authority for the contract shall be given a maximum of
five (5) calendar days to approve or disapprove it, otherwise the contract shall be deemed
approved by the Head of the Procuring Entity or his authorized representative.

In case the Head of the Procuring Entity disapproves the contract, the reason or
reasons for the disapproval shall be stated in clear and unmistakable terms and the
disapproved contract shall be returned immediately on the day the contract is
disapproved to the implementing unit of the project which shall take action thereon
within two (2) days from its receipt of the disapproved contract.

The Head of the Procuring Entity or his authorized representative shall issue the
Notice to Proceed to the winning bidder on the day immediately following the approval


S

hel

of the contract and shall cause the service of the Notice to Proceed through the fastest
means of communication recognized as valid mode of service of notice under existing
law.

Section 38. Period of Action on Procurement Activities is hereby amended as follows:

The procurement process, starting from the date of the publication of the invitation to
bid, which shall be published only once in a newspaper of national circulation for
projects costing fifteen million pesos and above up the issuance of the Notice to
Proceed shall not exceed three (3) months or a shorter period as may be warranted for
justifiable cause to be determined by the Head of the Procuring Entity.

For contracts wherein there is only one bidder, the procurement process starting from
the date of submission and opening of bids up to issuance of the Notice to
Commence/Proceed shall not exceed fifteen (15) days.

No project shall be included for funding in the General Appropriations Act unless the
detailed plans and specifications therefor have been duly completed and approved by
the Head of the Procuring Entity and the right-of-way or site for the project have been
acquired by the Procuring Entity either through negotiated sale or by expropriation.

‘The Chairman of the Bids and Awards Commitice, its members and the members of
the Secretariat and/or Technical Working Group shall give first priority to the
discharge of their duties and functions 2s BAC members and members of the
Secretariat and/or Technical Working Group, to ensure that the timelines for
procurement activities are attained.

Repealing Clause — All provisions of existing laws, rules and regulations contrary to
inconsistent with the foregoing are hereby repealed or amended accordingly.

Scparability of Provisions — If any part, section or provision of the foregoing amendments
shall be held invalid or unconstitutional, no other parts, section or provision hereof shall be
affected thereby.

Effectivity - These amendments shall take effect after fifteen (15) days from their
publication in the Official Gazette or in a newspaper of national circulation.