NPM No. 053-2017


Issues Concern: Approval of GPPB prior to Procuring Entity’s Resort to Alternative Methods of Procurement



What documents must be submitted in order to secure approval from the GPPB prior to the conduct of a procurement activity under any of the alternative methods of procurement?

    It will be recalled that Section 4 of Executive Order (EO) No. 423 s. 2005, as amended by Executive Order No. 645 s. 2007, once required the approval of the GPPB for the use of alternative method of procurement with an approved budget for the contract (ABC) of at least PhP 500,000,000.00.

    However, by way of further amendment to EO 423, through Executive Order No. 34 s. 2017, prior approval from GPPB for the use of any of the alternative methods of procurement with an ABC of at least PhP 500,000,000.00 is no longer required. At present, for procurement (through any of the alternative methods) of “[G]overnment contracts involving an amount of at least PhP 500 Million, the Head of the Procuring Entity issues a certification under oath that the contract falls within the exceptions from public bidding, is being entered into in faithful compliance with all applicable laws, rules and regulations, and is advantageous to the government.” Notably, the requirement of securing approval from GPPB has already been removed by EO 34 s. 2017.