QuestionsQuestions (MEMORANDUM ORDER NO. 171)
It approves an amendment to Section 23.11.2 No. 3 of the IRR-A of RA 9184 to provide for an additional allowance mechanism tied to a prospective bidder’s Allowable Ranges Contract Cost (ARCC) and largest single completed contract requirement.
Section 23.11.2 No. 3 of the Implementing Rules and Regulations—Part A (IRR-A) of RA 9184.
The text cites the Supreme Court decision in Macalintal vs. Comelec (G.R. No. 157013, July 2003) declaring the joint participation of the Congressional Oversight Committee in formulating implementing rules unconstitutional.
The bidder’s largest single completed contract, adjusted to current prices using the PSA consumer price indices available at the G-EPS website and similar to the contract to be bid, must be at least 50% of the approved budget for the contract to be bid.
To ensure comparability by updating the value of the prospective bidder’s prior completed contract to current price levels at the time of procurement.
It requires that the bidder’s largest single completed contract be of a comparable nature to the contract being bid, consistent with the purpose of demonstrating relevant experience.
It must be at least 50% of the approved budget for the contract to be bid.
In the case of contractors under Small A and Small B categories without similar experience on the contract to be bid, they may still be allowed to bid if the cost of the prospective contract is more than 50% of the ARCC of their registration.
Contractors classified under Small A and Small B categories.
It replaces the “largest single completed contract must be at least 50% of the approved budget” requirement with an ARCC-based allowance: the cost of the contract to be bid must be more than 50% of the ARCC of the contractor’s registration.
Allowable Ranges of Contract Costs, which are tied to the contractor’s registration and are used to determine the contractor’s allowable contract cost range.
The Philippine Contractors Accreditation Board (PCAB) guidelines are referenced; classification determines whether a contractor falls under the Small A or Small B categories relative to the ARCC framework.
It clarifies that Memorandum Order No. 171 only amends Section 23.11.2 No. 3 and does not alter any other rules or provisions in IRR-A.
It takes effect immediately.
It implies that the GPPB-Technical Support Office formulated and proposed the amendment, which was then endorsed by the GPPB.
The GPPB-Technical Support Office proposed the amendment; the GPPB endorsed it per Resolution No. 013-2004 (August 20, 2004); then the President approved it by Memorandum Order No. 171.
By allowing Small A and Small B contractors without similar experience to bid based on ARCC limitations, rather than strictly requiring prior comparable experience meeting the 50% approved budget benchmark.