Requesting Entity: City Legal Officer of Tacloban
Issues Concern: Procurement of Financial Management Information System Software and other Issues
1. Whether or not the Financial Management Information System Software may be obtained through Negotiated Procurement under Section 53(e) of the IRR-A of R.A. 9184.
Assuming that there are justifiable reasons for the City Government of Tacloban to resort to Negotiated Procurement under Section 53 (e) in the procurement of its application system software, we agree with the observation made by the Bids and Awards Committee of your City Government that the procurement of such software might conflict with the Commission on Audit (COA) Circular No 2001-003 dated October 2, 2001. We have observed that such circular advises all government agencies and instrumentalities, including local government units (LGUs) to put on hold all computerization projects on their respective accounting or financial management information systems.
It appears that the City Government of Tacloban cannot enter into a Memorandum of Agreement with the Development Bank of the Philippines Data Center Inc., (DBP-DCI) for the procurement of government application system software as it is barred by the clear proscription of COA Circular No. 2001-003. This is in line with the development of the New Government Accounting System which necessitates a common computer platform and solutions for a seamless government bureaucracy.
2. Whether or not there is still a need to post/advertise items already delivered and those procured on emergency.
It is clear from the above-quoted provision (Section 21.2.4, IRR-A) that posting at the website of the procuring entity, if any, the G-EPS, and at any conspicuous place reserved for that purpose in the premises of the procuring entity concerned is required even for alternative methods of procurement.
Accordingly, emergency procurements through the alternative methods of Shopping, when there is an unforeseen contingency requiring immediate purchase as provided for under Section 52 (a) of the IRR-A, and Negotiated Procurement, in case of imminent danger to life or property, or when time is of the essence where immediate action is necessary under Section 53 (b) of the IRR-A, are required to be posted at the internet, specifically, at the G-EPS website or at the website of the procuring entity as mandated by law. However, unlike in competitive bidding, the period of posting may be waived or shortened in such alternative methods of procurement pursuant to Sections 54.2 (h) and 54.2 (d) of the IRR-A of R.A. 9184.
Lastly, we would like to stress that the posting requirement for the alternative methods of procurement under the IRR-A of R.A. 9184 should be complied with prior to the procurement activity and not after the goods have been delivered. If posting at the website of the procuring entity, the G-EPS, and at any conspicuous place reserved for that purpose is done after the goods have been procured, then we are of the opinion that such procuring entity has committed a breach of such mandatory requirement of law.