NPM No. 056-2015

Requesting Entity: Philippine Ports Authority PMO- Zamboanga

Issues Concern: Letter of Intent; Submission of Tax Clearance Certificate; Minimum Eligibility Requirements for the Conduct of Shopping and Small Value Procurement



1. Whether the submission of a Letter of Intent (LOI) is a mandatory requirement to be able to participate in public bidding activities;

The revised Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 9184 has abandoned the requirement for the submission of LOI under Section 21.3 of IRR Part A of RA 9184 prior to the submission of bids.

Furthermore, the Government Procurement Policy Board (GPPB) thru Resolution No. 27-2012 removed the submission of LOI as a requirement to signify a bidder#&39;s intent to participate in procurement activities by deleting Section 23.4.3 and Section and thereafter issued Guidelines for the Use of the Government of the Philippines - Official Merchants Registry (GOP-OMR).

In view thereof, the submission of LOI is no longer required. Under the rules, prospective bidders, after purchasing the Bidding Documents, shall submit their eligibility requirements together with its technical and financial tender on or before the deadline for submission and receipt of bids.

2. Whether a Tax Clearance Certificate (TCC) is a mandatory requirement in the conduct of Shopping and Small Value Procurement, and what are the minimum eligibility requirements for Shopping and Small Value Procurement

The IRR of RA 9184 is silent on whether or not eligibility documents mentioned under Section 23.1 must be submitted when resorting to any of the Alternative Methods of procurement, except those where competitive bidding or a semblance thereof is still present. This being the case, the Procuring Entity (PE) has the discretion to require the submission of the legal, technical, and financial eligibility documents or not, in line with Section 3(j) of GPPB Resolution No. 09-2009 which mandates the PE to validate whether it is entering into a contract with a technically, legally, and financially capable supplier, contractor, or consultant.