Law Summary
Transparency Measures and Reporting Requirements
- Mandates all National Government Agencies (NGAs), Government-Owned and Controlled Corporations (GOCCs), Government Financial Institutions (GFIs), State Universities and Colleges (SUCs), and Local Government Units (LGUs) to post procurement-related reports online.
- Required reports include:
- Annual Procurement Plan
- Procurement Monitoring Report
- List of NGOs and civil society observers invited
- Blacklisting orders against contractors and suppliers
- Government Procurement Policy Board (GPPB) must maintain a database of public contracts worth ₱100 million and above.
Posting in the Philippine Government Electronic Procurement System (PhilGEPS)
- All procuring entities are required to post procurement opportunities, outcomes, and related information on PhilGEPS.
- Failure to comply results in accountability charges for officials, including dereliction of duty and gross misconduct, and possible administrative, civil, or criminal liability.
Creation of the Procurement Transparency Group
- A multi-agency group headed by the GPPB is established to monitor transparency, including representatives from:
- Presidential Anti-Graft Commission
- National Economic and Development Authority
- Department of Justice
- Department of Budget and Management
- Department of Interior and Local Government
- NGOs focused on human development and accountability
- NGOs must designate permanent authorized representatives by written authority.
Appointment and Participation of Government Representatives
- Heads of government agencies must designate permanent authorized representatives to the Group by written authority.
- NGOs involved with procurement reforms and observer training similarly must designate representatives.
Functions and Responsibilities of the Procurement Transparency Group
- Evaluates and monitors contracts of ₱100 million and above entered by government entities.
- Requires an NGO member to serve as an Observer in the Bids and Awards Committee for such contracts.
- NGO Observers identify and report possible non-compliance with procurement laws.
- The Group makes recommendations on remedial actions and improvements to procurement and contract monitoring.
- Agency heads, Office of the Executive Secretary, and other relevant offices receive the Group's reports and recommendations.
- Additional functions to enhance monitoring and accountability as needed.
Access to Documents and Information
- Government agencies must promptly provide all relevant documents and contract information requested by the Group without delaying bidding procedures.
Enforcement and Sanctions
- The Group may recommend to the Presidential Anti-Graft Commission sanctions, remedial measures, and legal actions (criminal, civil, administrative) upon identifying non-compliance.
Scope and Non-Interference with Existing Agency Functions
- The Executive Order does not alter existing functions of government entities in processing, awarding, or reviewing procurement except where explicitly stated.
Guidelines, Deputization, and Financial Assistance
- The Group issues guidelines for compliance and monitoring activities.
- May use personnel and facilities of member agencies or deputize experts, local governments, NGOs, and communities to aid in monitoring.
- Can provide financial assistance to deputized entities, subject to available funds.
Separability Clause
- Any unconstitutional provisions that may be invalidated will not affect the validity of the remaining provisions if they can stand independently.
Effectivity
- The Order became effective immediately upon issuance on September 20, 2007.