Non-Policy Opinions

2012-12-20

NPM 153-2012

Requesting Entity: Department of Budget and Management (DBM)

Issues Concern: Definition of Procurement Project

 

Details

Whether the Project Procurement Management Plan (PPMP) submitted by the end user units or various Project Management Offices (PMOs) within the Procuring Entity is the appropriate document which determines what constitutes a procurement project.

[T]he Guidelines on the Establishment of Procurement Systems and Organizations under the Generic Procurement Manual (GPM) provides that:

A procurement project refers to the entire project identified, described, detailed, scheduled and budgeted for in the PPMP prepared by the agency.

[E]ach PPMP is reflective of a particular procurement activity to be undertaken by the Procuring Entity, and in as much as the PPMP contains information as to the scope, extent, size or packages of the procurement project, any activity within such scope, extent, size or packages is deemed to be integral to the entire project regardless of the project's divisibility in lots or smaller sizes.

Based on the foregoing discussions, x x x the determination of what a procurement project depends on the procurement activity identified, described, detailed, scheduled and budgeted in the PPMP.

Whether an Invitation to Bid (IB) may contain or describe more than one procurement project.

Section 21 of RA 9184 and its associated IRR do not proscribe the inclusion of packages or lots involving a particular project identified in specific PPMPs. As a matter of fact, the Instruction to Bidders (ITB), specifically Clause 1.2 on Scope of Bid, provides that "the procuring entity may state the name, identification, and number of lots specific to the particular bidding."

[T]he IB may contain and describe more than one procurement project by way of bid packaging or lots.