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Streamline procurement system to prevent delays - solon

By Zaldy De Layola

June 5, 2023, 5:30 pm

<p>House Majority Leader Aurelio Gonzales Jr. <em>(Photo courtesy of HOR)</em></p>

House Majority Leader Aurelio Gonzales Jr. (Photo courtesy of HOR)

MANILA – A bill seeking to shorten the government procurement process from 45 to 27 calendar days will end recurring delays, particularly in the implementation of infrastructure projects.

Under House Bill (HB) 7944 or the “Ang Bagong Pilipinas Government Procurement Reform Act” authored by House Majority Leader Aurelio Gonzales Jr., the procurement process will do away with post-qualification as it is a duality to the requirement of pre-qualification.

The bill that would repeal Republic Act (RA) No. 9184 or the Government Procurement Reform Act would apply to all government agencies and offices, including local government units, state corporations, and state universities and colleges.

Gonzales said the delays in post-qualification are usually due to the agency’s lack of manpower, distance of the location of the project and limited expertise of the contractor.

Gonzales said the government procurement system “needs to be updated and streamlined to put an end to recurring delays in the acquisition of goods and services, and the awarding and implementation of infrastructure projects like roads, expressways and school buildings.”

The fact that bids and awards committees are ad hoc bodies, with members also performing functions and duties in their respective offices, also contributes to the procurement delays, he said.

Gonzales proposed the creation of full-time bids and awards committees, whose secretariats should be allowed to receive bids and other procurement documents, a function they do not possess under the present law.

HB 7944 was initially discussed by the Committee on Revision of Laws, chaired by Manila Fourth District Rep. Edward Maceda, before Congress adjourned on Friday.

He noted that the huge increase in state expenditures since 2003, when RA 9184 was enacted, necessitates the updating of the law.

Infrastructure spending alone jumped from PHP121 billion 20 years ago to PHP1.311 trillion this year, he said.

He added that agencies often blame procurement issues for their perennially low fund utilization rates.

Gonzales said his measure is based on extensive consultations with government agencies.

Included in the proposed reform is the one-time posting, instead of two publications, of notice of award and notice to proceed with the approved contract, and allowing the winning bidder to start work or delivery of goods immediately upon his receipt of the notice of award.

He also asked that relevant provisions of Presidential Decree (PD) No. 1870, which authorizes the government to take over delayed infrastructure projects, and PD No. 1795, which penalizes contractors and subcontractors who violate any provision of their contracts, be included in the proposed new procurement law insofar as they affect the acquisition of goods and services.

“They will have a huge impact in addressing delays in the procurement process. Most importantly, they will further improve the timelines of the completion of projects of the entire government and their use and enjoyment by our people,” he said. (PNA)

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