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3. 3 PROTESTS ON DECISIONS OF BAC Filing of Request for Reconsideration (3) calendar days upon receipt of written notice or upon verbal notification BAC Resolution Within seven (7) calendar days from receipt of MR If MR is DENIED, decision of the BAC may be protested in writing (Verified Position Paper) to the HOPE Decisions of the BAC at any stage of the procurement process may be questioned by filing a request for reconsideration Provided: 1.That a prior request for reconsideration should have been filed by the party concerned in accordance with the preceding Section, and 2.Request for reconsideration has been resolved.

4. 4 REQUISITES FOR THE FILING OF A VALID PROTEST 1.Must be in writing (Verified Position Paper); 2.Addressed to the HOPE; 3.Filed within seven (7) cd from receipt by the party concerned of the resolution of the BAC denying its request for reconsideration; and 4.Accompanied by the payment of a non-refundable protest fee within the reglementary period.

5. 5 VERIFIED POSITION PAPER The verified position paper shall contain the following information: 1.The name of bidder; 2.The office address of the bidder; 3.The name of project/contract; 4.The implementing office/agency or procuring entity; 5.A brief statement of facts; 6.The issue to be resolved; 7.Such other matters and information pertinent and relevant to the proper resolution of the protest; and 8.Certification against forum shopping

6. 6 VERIFIED POSITION PAPER To be considered verified, the position paper shall contain an affidavit stating that the affiant: 1.has read and understood the contents thereof, and 2.allegations therein are true and correct of based on authentic records or on his personal knowledge.

7. 7 VERIFIED POSITION PAPER In addition, the bidder shall likewise execute under oath a certification against forum shopping stating that: 1.he has not commenced any action or filed any claim in any court, tribunal or quasi-judicial agency, involving the same issue; 2.to the best of his knowledge, no such other action or claim is pending therein; 3.shall include a complete statement of the present status of the pending claim or action, should there be any; and 4.should he thereafter learn that the same or similar action or claim is pending, he shall report that fact to the Procuring Entity wherein his protest is filed within 5 days therefrom.

8. 8 VERIFIED POSITION PAPER  An unverified position paper shall be considered unsigned, produces no legal effect, and results to the outright dismissal of the protest.  Failure to comply with the requirements shall not be curable by mere amendment of the verified position paper.

9. 9 RESOLUTION OF PROTESTS HOPE shall resolve the protest within 7 calendar days from receipt thereof Head of BAC Sec shall furnish a copy of the decision within 7 calendar days from receipt. Denied Request for Reconsideration Protest must be filed within 7 calendar days from receipt by the party concerned of the resolution of the BAC denying its request for reconsideration. In the form of a Verified Position Paper Payment of non- refundable protest fee

10. 10 RESORT TO REGULAR COURTS  Court Action may be resorted to only after the protest shall have been resolved with finality. (Doctrine of Exhaustion of Administrative Remedies) Land Bank of the Philippines v Atlanta Industries, Inc., G.R. No. 193796, July 2, 2014  Non-compliance with this statutory requirement, under Section 58 of R.A. No. 9184, constitutes a ground for the dismissal of the action for lack of jurisdiction. Dimson (Manila), Inc. and Phesco, Inc. v Local Water Utilities Administration, G.R. No. 168656, September 22, 2010.  Regional Trial Court under Certiorari (Rule 65)

11. 11 RESORT TO REGULAR COURTS  Protest must comply with Section 55 of R.A. 9184. Where the protest was not verified and the protest fee was not paid, respondent was held to have failed to avail of the correct protest procedure before it filed its petition for annulment of the award before the RTC. Land Registration Authority, et. al. vs Lanting Security and Watchman Agency, G.R. No. 181735

12. 12 PROTEST FEES GPPB Resolution 05-2012 ABC RANGEPROTEST FEE 50 million pesos and below0.75% of the ABC More than 50 million pesos to 100 million pesos PhP 500,000.00 More than 100 million pesos to 500 million pesos 0.5% of the ABC More than 500 million pesos to 1 billion pesos PhP 2,500,000.00 More than 1 billion pesos to 2 billion pesos 0.25% of the ABC More than 2 billion pesos to 5 billion pesos PhP 5,000,000.00 More than 5 billion pesos0.1% of the ABC

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14. 14 STANDARD OF ETHICS Highest Standard of Ethics The standard of ethics required to be observed by procuring entities and bidders, manufacturers, suppliers or distributors during the procurement and execution of contract. Bidders determined to have committed corrupt, fraudulent, collusive and coercive practices by the government will not be eligible to bid in its projects.

15. 15 PENAL PROVISIONS

16. 16 COVERAGE Without prejudice to the provisions of Republic Act No. 3019, otherwise known as the “Anti-Graft and Corrupt Practices Act” and other penal laws. COVERAGE: 1.Public officers who commit any of the acts enumerated under Section 65.1 of the IRR, and the private individuals who collude with them. 2.Private individuals who commit any of the following acts enumerated under Sections 65.2 and 65.3 of the IRR, and public officer who conspires with them.

17. 17 COVERAGE  It shall cover all types of procurement whether done manually or electronically.  When the bidder is a juridical entity, criminal liability and the accessory penalties shall be imposed on its directors, officers or employees who actually commit any of the foregoing acts.

18. 18 COVERAGE  If a person previously held liable or found guilty under the provisions of the Act and this IRR has a controlling interest in a prospective bidder-entity the said bidder- entity shall be disqualified to participate in any procurement activity being conducted by the Government.

19. 19 APPLICABLE PENALTY  Imprisonment for not less than six (6) years and one (1) day but not more than fifteen (15) years.  Penalty of temporary or perpetual disqualification from public office (Public Official)  Permanent disqualification from transacting business with the government (Private Individual)

20. 20 JURISDICTION Jurisdiction over the offenses defined under this Rule shall belong to the appropriate courts, according to laws existing at the time of the commission of the offenses.

21. 21 OFFENSES COMMITTED BY PUBLIC OFFICERS OFFENSES COMMITTED BY PUBLIC OFFICERS Section 65(a) of RA 9184 1.Opening of sealed bid/document or divulging their contents 2.Delaying without justifiable cause the procurement process 3.Unduly influencing or exerting undue pressure 4.Splitting of contracts 5.Abuse of power by the Head of Agency

22. 22 OFFENSES COMMITTED BY PUBLIC OFFICERS OFFENSES COMMITTED BY PUBLIC OFFICERS 1.Open any sealed Bid including but not limited to Bids that may have been submitted through the electronic system and any and all documents required to be sealed or divulging their contents, prior to the appointed time for the public opening of Bids or other documents. 2.Delaying, without justifiable cause, the screening for eligibility, opening of bids, evaluation and post evaluation of bids, and awarding of contracts beyond the prescribed periods of action.

23. 23 OFFENSES COMMITTED BY PUBLIC OFFICERS OFFENSES COMMITTED BY PUBLIC OFFICERS 3.Unduly influencing or exerting undue pressure on any member of the BAC or any officer or employee of the procuring entity to take a particular action which favors, or tend to favor a particular bidder. 4.Splitting of contracts which exceed procedural purchase limits and competitive bidding. 5.When the head of the agency abuses the exercise of his power to reject any and all bids as mentioned under Section 41 of this Act with manifest preference to any bidder who is closely related to him in accordance with Section 47 of this Act.

24. 24 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS Section 65(b) of RA 9184 1.Agreement and submission to submit bids with pre- arranged lowest bid 2.Malicious submission of different bids through two or more persons 3.Agreement to secure undue advantage 4.Employment of scheme disadvantageous to the public *Public officers conspiring with the private individuals are also liable under the provision.

25. 25 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS 1.When two or more bidders agree and submit different bids as if they were bona fide, when they know that one or more of them was so much higher than the other that it could not be honestly accepted and that the contract will surely be awarded to the pre-arranged lowest bid. 2.When a bidder maliciously submits different bids through two or more persons, corporations, partnerships or any other business entity in which he has interest to create the appearance of competition that does not in fact exist so as to be adjudged as the winning bidder.

26. 26 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS 3.When two or more bidders enter into an agreement which call upon one to refrain from bidding for procurement contracts, or which call for withdrawal of Bids already submitted, or which are otherwise intended to secure an undue advantage to any one of them. 4.When a bidder, by himself or in connivance with others, employs schemes which tend to restrain the natural rivalry of the parties or operates to stifle or suppress competition and thus produce a result disadvantageous to the public.

27. 27 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS Section 65(c) of RA 9184 1.Submission of eligibility requirements containing false information of falsified documents or concealment of such information 2.Submission of bidding documents containing false information of falsified documents or concealment of such information 3.Using name of another or allowing another to use one’s name 4.Withdrawal of bid * Public officers conspiring with the private individuals are also liable under the provision.

28. 28 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS 1.Submit eligibility requirements of whatever kind and nature that contain false information or falsified documents calculated to influence the outcome of the eligibility screening process or conceal such information in the eligibility requirements when the information will lead to a declaration of ineligibility from participating in public bidding. 2.Submit Bidding Documents of whatever kind and nature that contain false information or falsified documents or conceal such information in the Bidding Documents, in order to influence the outcome of the public bidding.

29. 29 OFFENSES COMMITTED BY PRIVATE INDIVIDUALS 3.Participate in a public bidding using the name of another or allow another to use one’s name for the purpose of participating in a public bidding. 4.Withdraw a Bid, after it shall have qualified as the Lowest Calculated Bid/Highest Rated Bid, or refuse to accept an award, without just cause or for the purpose of forcing the Procuring Entity to award the contract to another bidder. This shall include the non-submission within the prescribed time, or delaying the submission of requirements such as, but not limited to, performance security, preparatory to the final award of the contract.

30. 30 CIVIL LIABILITY

31. 31 Without prejudice to administrative sanctions that may be imposed in proper cases, a conviction under the Act and this IRR or R.A. 3019 shall carry with it civil liability, which may either consist of:  Restitution for the damage done; or  Forfeiture in favor of the government of any unwarranted benefit derived from the act or acts in question or both, at the discretion of the courts. CIVIL LIABILITY

32. 32 ADMINISTRATIVE SANCTIONS

33. 33 In addition to the penal and civil sanctions, the HOPE, subject to the authority delegated to the BAC, if any, shall impose on bidders or prospective bidders, the administrative penalty of:  Suspension for 1 year (first offense); for 2 years (second offense) from participating in the public bidding process, and disqualification from further participating in the public bidding being undertaken by the PE  Forfeiture of Bid Security or the Performance Security ADMINISTRATIVE SANCTIONS

34. 34  The procedures for the blacklisting of manufacturers, suppliers, distributors, contractors, or consultants for Government projects shall be undertaken in accordance with the guidelines to be issued by the GPPB. (GPPB Resolution No. 09-2004 pursuant to 69.4 of the Revised IRR) ADMINISTRATIVE SANCTIONS

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36. 36 BLACKLISTING AND SUSPENSION BLACKLISTING  An administrative penalty disqualifying a person or an entity from participating in any government procurement for a given period. SUSPENSION  The administrative penalty imposed for infractions committed by a contractor during competitive bidding stage, whereby such contractor is prohibited from further participation in the bidding process of an agency.

37. 37 SANCTIONS I. FIRST OFFENSE:  Suspension for one (1) year II. SECOND OFFENSE:  Suspension for two (2) years III. Bid Security or Performance Security is also forfeited -without prejudice to the imposition of additional administrative sanctions as the internal rules of the agency may provide and/or further criminal prosecution.

38. 38 COMPETITIVE BIDDING STAGE

39. 39 GROUNDS FOR BLACKLISTING 1.Submission of eligibility requirements containing false information or falsified documents. 2.Submission of Bids that contain false information or falsified documents, or the concealment of such information in the Bids in order to influence the outcome of eligibility screening or any other stage of the public bidding. 3.Allowing the use of one’s name, or using the name of the name of another for purpose of public bidding.

40. 40 GROUNDS FOR BLACKLISTING 4.Withdrawal of a bid, or refusal to accept an award, or enter into contract with the government without justifiable cause, after he had been adjudged as having submitted the Lowest Calculated Responsive Bid or Highest Rated Responsive Bid. 5.Refusal or failure to post the required performance security within the prescribed time.

41. 41 GROUNDS FOR BLACKLISTING 6.Refusal to clarify or validate in writing its Bid during post qualification within a period of seven (7) calendar days from receipt of the request for clarification. 7.Any documented unsolicited attempt by a bidder to unduly influence the outcome of the bidding in his favor. 8.All other acts that tend to defeat the purpose of the competitive bidding, such as habitually withdrawing from bidding or submitting late bids or patently insufficient bids, for at least three (3) times within a year, except for valid reasons.

42. 42 PROCEDURE FOR BLACKLISTING Initiation of Action Who may initiate? Any bidder/prospective bidder Duly authorized observer BAC BAC notifies Contractor in writing upon verification of existence of grounds That a complaint has been filed That he has opportunity to show cause That a hearing shall be conducted, upon request The consequence of being blacklisted Contractor shall submit its written answer to BAC with documentary evidence and request for hearing, if he so desires, within 5 cd from receipt of notification NO TIME EXTENSION SHALL BE ALLOWED

43. 43 PROCEDURE FOR BLACKLISTING CONTRACTORCONTRACTOR BAC recommends to the HOPE the suspension of the Contractor and the forfeiture of bid security. Within 5 cd from receipt of notification from BAC Does NOT Submit answer Within 15 cd from receipt of BAC resolution and records of BAC Proceeding, HOPE determines existence of reasonable cause IF CONTRACTOR DOES NOT SUBMIT ANSWER NO DISMISS T HE CASE YES HOPE issues a Suspension Order and forfeiture of bid security

44. 44 PROCEDURE FOR BLACKLISTING CONTRACTORCONTRACTOR BAC conducts hearing Within 5 cd from receipt of notification from BAC Submits answer Request for hearing YES NO IF CONTRACTOR SUBMITS ANSWER BAC determines existence of fault BAC immediately sets the date and time for hearing Base on the complaint, answer and documentary evidence and facts verified NO YES DISMISS T HE CASE HOPE issues a Suspension Order and forfeiture of bid security

45. 45 PROCEDURE FOR BLACKLISTING EFFECT OF DECISION: 1.Contractor is suspended upon receipt of the notice of decision. 2.The suspension shall remain in effect during the period of motion for reconsideration and protest and shall terminate only upon a reversal of the decision by HOPE or appellate authority. 3.If no motion for reconsideration or protest is filed, the decision shall become final and executory after the lapse of 7 calendar days from the receipt of the notice of decision.

46. 46 PROCEDURE FOR BLACKLISTING CONTRACTORCONTRACTOR Within 3 cd from receipt of notice of decision, base on the ff: 1.Decision does not conform with the evidence/facts 2.Newly discovered evidence Files MR HOPE resolves motion within 7 cd from receipt NO IF CONTRACTOR FILES MOTION FOR RECONSIDERATION HOPE issues Blacklisting Order Appellate Authority resolves protest within 7cd Protest Filed with the appellate authority within 7 cd from receipt of notice YES If protest is NOT granted, HOPE issues Blacklisting Order.

47. 47 PROCEDURE FOR BLACKLISTING CONTRACTORCONTRACTOR Within 3 cd from receipt of notice of decision, Does NOT file MR HOPE issues Blacklisting Order IF CONTRACTOR DOES NOT FILE MOTION FOR RECONSIDERATION Agency submits copy of Blacklisting Order to GPPB within 7 cd after its issuance GPPB posts the Blacklisting Order in the GPPB Website

48. 48 STATUS OF BLACKLISTED PERSON/ENTITY When does Blacklisting Order become final and executory? 1.If the bidder did not file a MR on the Decision to Suspend, said Decision becomes final and executory after the lapse of 7 days counted from receipt of the Notice of the Decision; or, 2.If the bidder did not file a Protest after his MR has been denied, the Decision becomes final and executory after the lapse of 7 days counted from receipt of the resolution on the motion for reconsideration; or, 3.If a Protest was filed and the same was denied, the Decision becomes final and executory upon receipt by the agency and person/entity concerned of the Decision on the protest.

49. 49 CONTRACT IMPLEMENTATION STAGE

50. 50 GROUNDS FOR BLACKLISTING 1.Failure of the contractor, due solely to his fault or negligence, to mobilize and start work or performance within the specified period in the Notice to Proceed (“NTP”); 2.Failure by the contractor to fully and faithfully comply with its contractual obligations without valid cause, or failure by the contractor to comply with any written lawful instruction of the procuring entity or its representative(s) pursuant to the implementation of the Contract;

51. 51 GROUNDS FOR BLACKLISTING 3.Assignment and subcontracting of the contract or any part thereof or substitution of key personnel named in the proposal without prior written approval by the procuring entity; 4.For the procurement of goods, unsatisfactory progress in the delivery of the goods by the manufacturer, supplier or distributor arising from his fault or negligence and/or unsatisfactory or inferior quality of goods, as may be provided in the contract;

52. 52 GROUNDS FOR BLACKLISTING 5.For the procurement of consulting services, poor performance by the consultant of his services arising from his fault or negligence; 6.For the procurement of infrastructure projects, poor performance by the contractor or unsatisfactory quality and/or progress of work arising from his fault or negligence as reflected in the Constructor's Performance Evaluation;

53. 53 GROUNDS FOR BLACKLISTING 7.Willful or deliberate abandonment or non-performance of the project or contract by the contractor resulting to substantial breach thereof without lawful and/or just cause; In addition to the penalty of suspension, the performance security shall also be forfeited.

54. 54 PROCEDURE FOR BLACKLISTING 1.Undertake Contract Termination Proceedings: Refer to Guidelines on Termination of Contracts under GPPB Resolution No. 18-2004 dated 22 December 2004 2.HOPE shall immediately issue a Blacklisting Order disqualifying the erring contractor from participating in the bidding of all government projects upon termination of the contract due to default of contractor. 3.Forfeiture of performance security

55. 55 BLACKLISTING UNDER ALTERNATIVE METHODS OF PROCUREMENT Suspension or blacklisting of suppliers, contractors, or consultants shall be made in accordance with the Uniform Guidelines for Blacklisting of Manufacturers, Suppliers, Distributors, Contractors, and Consultants. A suspended or blacklisted supplier, contractor or consultant shall not be allowed to participate in all procurement opportunities of the government for the duration of the suspension or blacklisting, regardless of the modality of procurement employed by the Procuring Entity.

56. 56 DELISTING  Removal of a person/entity from the Consolidated Blacklisting Report.  Automatically delisted after the period of the penalty shall have elapsed, unless blacklisting agency requests the GPPB to maintain the blacklisted person/entity in the list for justifiable reasons. Delisting shall be made after the issuance of the agency of a Delisting Order.

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58. 58 GROUNDS FOR TERMINATION 1.Termination for Default; 2.Termination for Convenience; 3.Termination for Insolvency; 4.Termination for Unlawful Acts; and 5.Termination by Contractor / Consultant.

59. 59 TERMINATION FOR DEFAULT The PE shall terminate a contract when any of the following conditions attend its implementation: 1.In contracts for Goods a.outside force majeure, the Supplier fails to perform or deliver any or all of the Goods, wherein such failure amounts to at least 10% of the contract price; b.As a result of force majeure, the Supplier is unable to deliver or perform any or all of the Goods, wherein such failure amounts to at least 10% of the contract price, for a period of not less than 60 cd after receipt of notice from the PE that the force majeure is deemed to have ceased; c.The Supplier fails to perform any other obligation under the Contract.

60. 60 TERMINATION FOR DEFAULT 2. In contracts for Infrastructure Projects a.Due to Contractor’s fault and while the project is on-going, it has incurred a negative slippage of 15% or more; b.After the expiration of the contract time, the Contractor incurred negative slippage of 10% or more, due to its own fault; or

61. 61 TERMINATION FOR DEFAULT 2. In contracts for Infrastructure Projects c. The Contractor commits any or all of the following: i.Abandons the contract works, refuses or fails to comply with a valid instruction of the PE or fails to proceed expeditiously and without delay despite a written notice by the PE; ii.Does not have the listed minimum essential equipment in the project site in accordance with the approved work plan and equipment deployment schedule;

62. 62 TERMINATION FOR DEFAULT 2. In contracts for Infrastructure Projects c.The Contractor commits any or all of the following: iii. Does not execute the works in accordance with the contract or neglects to carry out its contractual obligations; iv. Neglects or refuses to remove materials or perform a new work that has been rejected as defective or unsuitable; or v.sub-lets any part of the works without approval of the PE.

63. 63 TERMINATION FOR DEFAULT 3. In contracts for Consulting Services a.outside force majeure, the Consultant fails to deliver or perform the Outputs and Deliverables within the period specified in the contract, or within any granted extension; b.As a result of force majeure, the Consultant is unable to deliver or perform a material portion of Outputs and Deliverables for a period of not less than 60 cd after receipt of notice from the PE that the force majeure is deemed to have ceased; c.The Consultant fails to perform any other obligation under the Contract.

64. 64 TERMINATION FOR CONVENIENCE  The PE may terminate the contract at any time for its convenience.  The HOPE shall determine the existence of conditions that would make the project implementation economically, financially or technically impractical and/or unnecessary.

65. 65 TERMINATION FOR INSOLVENCY  The PE shall terminate the contract if the Supplier/Contractor/Consultant is declared bankrupt or insolvent.  The bankruptcy/insolvency of the Supplier/Contractor/ Consultant must be that as determined by a court of competent jurisdiction.

66. 66 TERMINATION FOR UNLAWFUL ACTS  The PE may terminate the contract in case it is determined prima facie that the Supplier/ Contractor/ Consultant has engaged, before or during the implementation of the contract in unlawful deeds and behaviors relative to the contract acquisition and implementation.

67. 67 TERMINATION FOR UNLAWFUL ACTS  Unlawful acts include, but not limited to, the following: i. Corrupt, fraudulent, collusive and coercive practices; ii. Drawing up or using forged documents; iii. Using adulterated materials, means or methods, or engaging in production contrary to rules of science or the trade; iv. Any other act/s analogous to the foregoing.

68. 68 TERMINATION BY CONTRACTOR/CONSULTANT 1.In contracts for Infrastructure Projects  The Contractor may terminate his contract with the PE if the works are completely stopped for a continuous period of at least 60 cd, through no fault of its own for the following reasons: i.Failure of PE to deliver supplies, materials, right-of- way, or other items under the terms of the contract; or ii.Works is disrupted by adverse peace and order situation, certified by the AFP Provincial Commander and approved by the Secretary of National Defense.

69. 69 TERMINATION BY CONTRACTOR/CONSULTANT 2. In contracts for Consulting Services  The Consultant may terminate its agreement with the PE if the latter is in material breach of its contractual obligations and has not remedied the same within 60 cd from receipt of the Consultant’s notice specifying such breach.

70. 70 PROCEDURES FOR TERMINATION OF CONTRACTS 1.Verification  The implementing unit shall, within 7cd from receipt of written report of acts or causes which may constitute ground/s for termination, verify the existence of such grounds, and shall execute a Verified Report, with all relevant evidence attached.

71. 71 PROCEDURES FOR TERMINATION OF CONTRACTS 2. Notice to Terminate  The HOPE shall terminate contract only by written notice to the Contractor/Supplier stating therein the following: i. the grounds and the statement of the acts that constitute the grounds for which the contract is being terminated; ii. extent of termination; iii. an instruction to the Supplier/ Contractor/Consultant to show cause why the contract should not be terminated; and iv. special instruction of the PE, if any.

72. 72 PROCEDURES FOR TERMINATION OF CONTRACTS 2. Notice to Terminate  The PE may withdraw the Notice to Terminate, at any time before the receipt of the Supplier’s/ Contractor’s/ Consultant’s position paper.  Withdrawal of Notice to Terminate shall be based on PE’s determination that items or works, subject of the notice, had been completed, delivered, or performed.

73. 73 PROCEDURES FOR TERMINATION OF CONTRACTS 3. Show Cause  A Verified position paper shall be submitted by the Supplier/ Contractor/ Consultant to the HOPE within 7cd from receipt of the Notice of Termination.  Failure by the Supplier/ Contractor/ Consultant to submit the verified position paper within the reglementary period shall cause the HOPE to issue an Order of termination.

74. 74 PROCEDURES FOR TERMINATION OF CONTRACTS 4. Decision  Within a non-extendible period of 10 cd upon receipt of the verified position paper, the HOPE shall decide, whether or not to terminate the contract.  Failure by the Supplier/ Contractor/ Consultant to submit the verified position paper within the reglementary period shall cause the HOPE to issue an Order of termination.

75. 75 PROCEDURES FOR TERMINATION OF CONTRACTS 4. Decision  Termination shall be based only on the ground/s stated in the Notice to Terminate.  HOPE may create Contract Termination Review Committee (CTRC) to assist him in the discharge of his function.  All findings or decisions of the CTRC are subject to the approval of the HOPE.

76. 76 PROCEDURES FOR TERMINATION OF CONTRACTS 5. Take-over of Contracts  If a PE terminates a contract due to default, insolvency, or for a cause, it may enter into a Negotiated Procurement pursuant to Section 53(c) of RA 9184 and 53.3 of its IRR.

77. 77 PROCEDURES FOR TERMINATION OF CONTRACTS  Sections 53.3.1 to 53.3.3 of the IRR of RA 9184 provides for the procedures in conducting the negotiation, thus: 1.The contract may be negotiated starting with the second lowest calculated/highest rated bidder for the project under consideration at the bidder’s original bid price. 2.If negotiation fails, then negotiation shall be done with the third lowest calculated/highest rated bidder at his original price. If the negotiation fails again, a short list of at least three (3) eligible contractors shall be invited to submit their bids, and negotiation shall be made starting with the lowest calculated/highest rated bidder.

78. 78 PROCEDURES FOR TERMINATION OF CONTRACTS  Sections 53.3.1 to 53.3.3 of the IRR of RA 9184 provides for the procedures in conducting the negotiation, thus: 3. Authority to negotiate contracts for projects under these exceptional cases shall be subject to prior approval by the Heads of the Procuring Entities concerned, within their respective limits of approving authority.

79. 79 PROCEDURES FOR TERMINATION OF CONTRACTS 6. PE’s options in Termination for Convenience  Applies only to contract for Goods  Goods shall be accepted if performed or are ready for delivery within 30 cd after receipt of Supplier’s Notice to Terminate at the contract terms and prices.  Goods not yet performed or ready for delivery, PE may elect: i.to have any portion delivered or performed and paid at the contract terms and prices; and/or ii. to cancel the remaining and pay to the Supplier an agreed amount for partially completed or performed goods and for materials and parts previously procured by the Supplier

80. 80 PROCEDURES FOR TERMINATION OF CONTRACTS 7. Notice by Contractor/Consultant  Written notice must be served to the PE at least 30 cd before its intended termination.  Contract is deemed terminated if it is not resumed in 30 cd after receipt of such notice by the PE.

81. 81 THANK YOU!! Contact us at: Unit 2506 Raffles Corporate Center F. Ortigas Road, Ortigas Center Pasig City, Philippines 1605 TeleFax: (632)900-6741 to 44 Email Address: gppb@gppb.gov.ph