NPM 055-2007

Requesting Entity: Bureau of Animal Industry

Issues Concern: Procurement of Construction Materials



1. Whether shopping can be used in the procurement of one (1) piece of plywood, lumber, one (1) kilo of nails, one (1) roof sealant with a total cost of less than Fifty Thousand Pesos (Php50,000.00)

As clarified under GPPB Resolution 012-2006 dated 14 June 2006, ordinary or regular office supplies or equipment refer to those supplies, commodities or materials which, depending on the procuring entity's mandate and nature of operations, are necessary in the transaction of its official businesses; and consumed in the day-to-day operations of said procuring entity. Thus, shopping may be resorted to if any of the foregoing cases are present and the supplies or materials intended to be purchased are considered ordinary or regular office supplies or equipment.

If, however, the procurement does not fall under either of the two (2) cases for shopping, the procuring entity, upon recommendation of its Bids and Awards Committee and upon approval of the head of the procuring entity, may still resort to negotiated procurement for the procurement of goods, infrastructure projects or consulting services as long as the total amount to be procured does not exceed Fifty Thousand Pesos (Php50,000.00), whether or not an urgency exists (Section 53 (h) of the IRR-A). In such a case, the procuring entity shall ensure that the procurement does not result to splitting of contracts and shall draw up a list of at least three (3) suppliers, contractors or consultants of known qualifications which will be invited to submit proposals.

2. Whether competitive bidding is required to procure the repair of the roof with the total cost of One Hundred Sixty-six Thousand Pesos (Php166,000.00).

[N]ote that as a general rule, the procuring entity shall adopt 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 under the law (Section 48, R. A. No. 9184).