NPM 013-2007

Requesting Entity: Morong Water District

Issues Concern: Small Value Procurement



Requesting that the purchase of goods amounting to Ten Thousand Pesos (Php10,000.00) and below be exempt from competitive public bidding.

Section 10 of R.A. 9184 prescribes, as a general rule, that the procuring entity adopts public bidding as a mode of procurement. However, in order to promote efficiency and economy, the procuring entity may resort to any alternative mode of procurement, subject to the approval of the head of the procuring entity and whenever justified by the conditions provided therein (Section 48, R. A. No. 9184).

If the procurement does not fall under either of the two (2) cases for shopping under Section 52 of the IRR-A of R.A. 9184, the procuring entity may resort to negotiated procurement under Section 53 (h) of the IRR-A of R. A. 9184. The GPPB, in its Resolution 04-2006 dated 20 January 2006, approved the amendment of Sections 53 and 54 of the IRR-A of R.A. 9184 for the procurement of goods, to allow negotiated procurement for small value contracts amounting to Fifty Thousand Pesos (Php. 50,000.00) and below.