NPM 113-2013

Requesting Entity: Home Development Mutual Fund (PAG-IBIG) Calapan Branch

Issues Concern: Lease of Office Space



Whether Pag-IBIG Calapan Branch can directly transact with a compliant building owner without need of inviting other prospective lessors in relation to the procurement of lease of office space for its Palawan Branch.

Under Republic Act No. (RA) 9184 and its revised Implementing Rules and Regulations (IRR), there are only two modalities that would permit direct transaction with a building owner without need of inviting other owners, i.e., Negotiated Procurement (Emergency Cases) under Section 53.2 and Negotiated Procurement (Take Over of Contracts) under Section 53.3. In both these instances, the procuring entity must establish that immediate action is necessary in order to prevent damage to or loss of life or property, or to restore vital public services, infrastructure facilities, and public utilities. In case the conditions allowing the afore-mentioned modalities of procurement cannot be established, please note that Pag-IBIG may resort to any of the alternative modalities provided that it can establish and justify the existence of the conditions warranting its use.

In addition, the accountability and responsibility in identifying the existence of such conditions rest with the Head of the Procuring Entity, upon recommendation of the Bids and Awards Committee.