NPM 065-2004

Requesting Entity: Home Development Mutual Fund

Issues Concern: Extent of Participation of Consultants in Procurement Activities



Whether or not the Implementing Rules and Regulations Part A (“IRR-A”) of Republic Act 9184 (“R.A. 9184”) allows a procuring entity to engage the services of consultants to assist in all stages of a procurement activity, i.e., from pre-procurement up to contract implementation.

The IRR-A of R.A. 9184, under Section 24.3 thereof, allows procuring entities to engage the services of consultants for government projects or related activities when the magnitude and/or scope of which would require a level of expertise or attention that is beyond the in-house capability of the procuring entity. Moreover, Section 53(e) of the said IRR-A permits procuring entities from recruiting and hiring consultants or procurement agents to assist them directly and/or train their staff in the management of the procurement function in case they may not have the proficiency or capability to undertake a particular procurement.

Please note that the functions mentioned in Section 20.1 of the IRR-A pertains to the pre-procurement stage of the procurement process and would therefore be limited to pre-procurement functions that consultants may provide. As such, the functions of consultants enumerated in the above-quoted provision should not be interpreted as exclusive.

In view of the above-mentioned provisions (Sec. 24.3 and 53(e), IRR-A) of the IRR-A of R.A. 9184, we are of the opinion that the services of consultants may be engaged for the entire procurement activity, including contract implementation. The extent of the participation of consultants in a procuring entity’s procurement activity is defined in the contract and the Terms of Reference (TOR), which should adequately define the objectives, scope, and expected outputs of the proposed work.