PM 001-2011

Requesting Entity: Department of Budget and Management (DBM)

Issues Concern: Head of Procuring Entity in Local Governments



Who is the Head of the Procuring Entity (HOPE) in the case of Sanggunian procurements - the Local Chief Executive (LCE) or the Vice-LCE who is the Presiding Officer of the Sanggunian? [T]he procurement activities of the Sanggunian should not be isolated from the procurement activities of the local government as a whole. The GPPB believes that the Sanggunian should be considered as an end-user similar, to other bureaus or offices in the local government, and not as a separate procuring entity. Thus, the procurement activities of the Sanggunian remains part of the local government, where the LCE continues to be regarded as the HOPE. May a separate Bids and Awards Committee (BAC) be created for Sanggunian procurements? In case a separate BAC may be created for Sanggunian procurements, who may be the members of such BAC and who should designate them? RA 9184 and its IRR, specifically Section 11.1.2 thereof, allows procuring entities to create separate BACs where the number and complexity of the items to be procured so warrant when deemed necessary by the HOPE, and composed of members as required under Section 11.2.3 thereof. As such, if the LCE deems necessary, in view of the number and complexity of items to be procured, he/she may create a separate BAC for Sanggunian procurements, which shall be composed of representatives from the regular offices under the Office of the LCE and a representative from the Sanggunian as end user unit. It should be emphasized, however, that such separate BAC does not in any way affect the fact that the HOPE in a local government is the LCE.