Mandatory JVA Submission in Infrastructure Bids

Bidders for infrastructure projects must have a license issued by the Philippine Contractors Accreditation Board (PCAB) in accordance with RA 4566.
Section 38 of RA 4566 prohibits contractors who are individually licensed from acting jointly without obtaining a special additional license.
Joint Ventures (JVs) must secure a Special PCAB license as required by RA 4566 and its IRR.

Prior to amendment, bidders could submit a valid JVA or, in absence of it, notarized statements from JV partners committing to enter into a JVA if awarded.
The amended rules now require mandatory submission of an authentic Joint Venture Agreement for all JV bidders in infrastructure projects.
Failure to enter into a JV after contract award leads to forfeiture of bid security.

The PCAB flagged noncompliance of procuring entities allowing bids without the required special JV license, violating RA 4566.
PCAB insists on strict adherence to licensing provisions and does not accept notarized statements as substitutes for a valid JVA.
PCAB processes special JV licenses within five days of application.

The GPPB resolved to amend Section 23.1(b) of the IRR of RA 9184, along with Clauses 12.1(a)(viii) and 30.3(a)(i) of the Instructions to Bidders (ITB) for infrastructure projects.
The amendments require only the submission of a valid JVA as Class "B" eligibility document; notarized statements from JV partners are no longer acceptable.
The requirement aligns procurement rules with the provisions of RA 4566 regarding licensing and JV agreements.

Section 23.1(b) of IRR of RA 9184 now specifies that JV bidders in infrastructure projects must submit a JVA compliant with RA 4566 and its IRR.
Clause 12.1(a)(viii) of the ITB under the Philippine Bidding Documents (PBDs) for infrastructure projects requires submission of a valid JVA; notarized statements are removed as acceptable documents.
Clause 30.3(a)(i) of the ITB eliminates the previous requirement for JVA submission within ten days after Notice of Award, making JVA submission mandatory with the bid.

The amendments emphasize the legal necessity of securing a special JV license under RA 4566 and IRR prior to bidding.
Procurement entities must reject bids lacking a valid JVA from JV bidders in infrastructure projects.
Compliance failure may result in disqualification or forfeiture of bid security.

The resolution took effect 15 days after publication in the Official Gazette or a newspaper of general nationwide circulation.
The resolution was signed by representatives of key government agencies and the private sector and duly attested by the GPPB Board Secretary.