NPM 088-2014

Requesting Entity: Department of Education Regional Office III (DepED RO III)

Issues Concern: Lease of Venue



Whether there is a maximum amount of Approved Budget for the Contract (ABC) allowed in resorting to Negotiated Procurement (Lease of Real Property) under Section 52.10 of the IRR of RA 9184.

A careful review of the Implementing Guidelines for Lease of Privately-Owned Real Estate and Venue (Guidelines) shows no ceiling in the amount of ABC before a Procuring Entity (PE) can use such modality. In addition, prior resort to competitive bidding is not a pre-condition for the PE to be able to use such modality. The Guidelines merely requires PE to conduct cost-benefit analysis to assess feasibility of leasing a privately-owned real estate or venue as against purchasing or leasing from a government-owned real estate or venue.