Legal Basis and Program Context
- Section 1 ties NCC’s authority to Section 4 of Executive Order (EO) No. 262 (s. 2000), which designates the Agency Bids and Awards Committee (BAC) to determine the eligibility of prospective bidders.
- Section 1 recognizes that agencies require documentary evidence to support claims of technical capability for bids.
- Section 1 establishes the need for an accreditation framework to reduce recurring paperwork in public bidding.
- Section 1 grounds NCC’s policy in Section 2(c) of Presidential Decree (PD) No. 1480, requiring NCC to formulate policies and prescribe standards on computerization-related acquisitions and utilization, including data communications, information systems, and manpower development.
Policy Purpose: Reduce Paperwork, Facilitate Bids
- Section 1 establishes an accreditation framework to reduce paperwork in the government bidding process.
- Section 1 provides readily available lists of accredited IT suppliers for use by government agencies for at least one (1) year, renewable and updated annually.
- Section 1 directs and guides government agencies in applying an accreditation scheme for prospective IT suppliers/bidders in government.
- Section 1 also serves as a guide to IT suppliers/bidders seeking accreditation from NCC.
Key Definitions of Accreditation and IT Providers
- Section 2.1 defines “Accreditation” as formal recognition of competence to execute a specific service within a field of application, covering independence and integrity, technical qualification, experience, training of personnel, maintained technical qualification supported by suitable and validated calibration/testing/inspection/certification procedures, clear decisive criteria, and an effective Quality Management System ensuring systematic quality of services and products.
- Section 2.2 limits applicants to two (2) types of IT vendor/supplier that may apply.
- Section 2.2(a) (Type A) covers a firm (local or foreign) that intends to provide required IT products and services directly (not through dealers/distributors), engaged in one or more of: (a) manufacture/development/supply of computer hardware and/or software; (b) computer consulting and/or systems development; (c) provision of telecommunications and/or network products and/or services; and (d) maintenance of the foregoing.
- Section 2.2(b) (Type B) covers a joint venture or consortium of several firms (local or foreign, or a combination) that can include hardware/software manufacturers/developers/suppliers, computer consulting and systems development firms, and telecommunications and network providers/services.
- Section 2.3 provides that NCC issues a Certificate of Accreditation in four (4) IT vendor/supplier categories:
- Technology Provider (TP): an organization or team providing hardware, software, or network products in response to government requirements as spelled in the Invitation to Bid or Request for Bids; support services may or may not be bundled.
- I.T. Solutions Provider: an organization/team acting as both technology provider and service provider to meet agency functional requirements; it may offer the full extent of electronic buying services and may include card issuers and technology providers of electronic commerce solutions; the products in the solution package may not be its own products.
- I.T. Consultancy Service Provider: a group or organization/team providing high-level management and technical consultancy services to government agencies on IS Strategic Planning, Project Management, Systems Integration, Contract Management, IS/IT Program Audit, and similar undertakings guiding IT planning, procurement, and implementation decisions.
- I.T. Services Provider: an organization, group of IT professionals, or team whose business operations predominantly provide direct IT services to agency-clients in support of implementing IS Plans; such entities usually compete for outsourced bids/contracts.
Coverage, Accreditation Routes, and Applicants
- Section 5.1 establishes two (2) ways to undertake the accreditation process:
- A government agency may require prospective bidders to write/contact NCC for accreditation; or
- IT suppliers/bidders may apply directly to NCC for accreditation on their own, even without immediate projects to bid or even if not currently involved in IT bidding projects.
- Section 3 requires participating IT suppliers/bidders to provide documentary evidence by completing Information Sheet (Annex A) for submission to NCC for registration.
- Section 3 states that NCC, through an IT advisory, requires some of the listed documents for issuance of a Certificate of Registration.
- Section 4 requires qualification through submission of the Information Sheet and required documents under Section 3, and compliance with eligibility requirements under Section 4.1 and Section 4.2.
Documentary Requirements for Accreditation
- Section 3 requires attachment of specified documents with the accomplished Information Sheet for BAC screening references.
- Section 3 lists the following documentary requirements (as applicable) for accreditation processing:
- A) SEC Certificates of Registration and Incorporation
- A) Audited Financial Statements for the last 3 years as of the last calendar year
- A) Special-Power-of-Attorney to represent the foreign (Type A) bidders
- A) Sworn statement of IT experiences of Type A bidders
- A) List of computerization projects undertaken and completed by Type A bidders in the last 3 years stating contact persons
- A) List of clients in the last 3 years provided with post-sales services by Type A bidders
- A) Certificate of VAT Registration
- A) Latest VAT Return
- A) Certificate of SSS Remittances
- A) Increased Paid-Up Capital approved by SEC, if any
- A) Registration with DTI
- A) Business Registration Certificates of each member-firm
- A) Audited Financial Statements for the last 3 years as of the last calendar year of each member-firm
- A) Written Commitment to Register with the SEC
- A) Authentication of Business Documents from their embassies in the Philippines
- A) Special-Power-of-Attorney to represent foreign member-firms of Type B bidders
- A) Sworn statement of IT experiences of member-firm of Type B bidders
- A) List of computerization projects undertaken and completed by each member-firm of Type B bidders in the last 3 years stating contact persons
- A) List of clients in the last 3 years provided with post-sales services by each member-firm of Type B bidders
- A) Corporate Profile
- A) Annual Report as of the last calendar year including organizational details (indicate position in the company, citizenship, and length of stay within the company)
- A) Income Tax Return with the BIR stamp (receipt copy) for the past two (2) fiscal years
- A) List of Ongoing Projects in the Government Sector including references/contact persons/details
- A) Sworn Statement Undertaking
- Section 3 provides a joint venture/consortium rule: the members/participating firms must be identified by the main proponent and must submit a Sworn Statement undertaking that if awarded the contract, they shall bind themselves jointly and severally responsible for contract obligations.
- Section 3 provides an exception where the joint venture/consortium organizes as a corporation under Philippine laws: members’ liabilities under the contract shall follow the corporation’s legal basis under Philippine law.
Eligibility Criteria for Accreditation
- Section 4.1 requires applicants to demonstrate firm experience/track record as follows:
- Applicants and/or their contractor(s) must have successfully undertaken and completed at least two (2) project(s) similar or related to the project under bid, attested by the concerned agency.
- Individual firms and/or their contractor(s) may specialize in any or several phases of the project.
- Joint venture/consortium proponents are evaluated based on an aggregate of individual/collective experience of the joint venture/consortium member-firms and of the contractor(s) engaged for the project.
- Applicants must have been in operation in the Philippines in the IT field (e.g., supply of hardware, software, systems integration, networking, etc.) for at least three (3) years.
- New companies formed specifically for new services such as web services must be in operation for at least one (1) year.
- Section 4.2 requires applicants, as reflected in financial statements, to be liquid and to have other financial resources necessary to sustain financing requirements for detailed engineering design and construction of the project/bid requirements.
Accreditation Process and Phases
- Section 5.2 provides that accreditation passes through the following phases once either application route is adopted.
- Section 5.2.1 (Application Phase) requires:
- An application letter addressed to the NCC Agency Head (Director General) submitted to NCC with the supporting documents prescribed in the circular.
- NCC to inform applicants regarding filling up the Information Sheet (Annex A), available at NCC or through its website.
- Section 5.2.2 (Documentation Review) requires:
- NCC Accreditation Committee members to perform a completeness check of the Information Sheet and submitted documents.
- The Committee to inform applicants in writing when papers are incomplete.
- Section 5.2.3 (Conformity Assessment) requires:
- A thorough evaluation phase done en banc by the NCC Accreditation Committee.
- Conformity Assessment cannot be conducted unless Section 5.2.2 completeness is satisfied.
- Point-assignment per predetermined evaluation parameters based on information from the Information Sheet and documents submitted under Section 3.
- Major assessed criteria to include Citizenship, Business Credibility, Financial Stability, Technical Capability, and Site Visit Results.
- Section 5.2.4 (Onsite visit) requires the NCC Accreditation Committee to conduct an en banc onsite visit to check physical location/existence of the IT supplier/bidder.
- Section 5.2.5 (Certificate of Accreditation Preparation) provides that:
- After successfully passing the evaluation process, NCC prepares a Certificate of Accreditation.
- The Certificate of Accreditation is good for one year.
- The Certificate is forwarded to the accredited applicant.
Accreditation Criteria and Committee Structure
- Section 6 reiterates that major assessment items are Citizenship, Business Credibility, Financial Stability, Technical Capability, and Site Visit Results.
- Section 7.1 establishes that the accreditation process is conducted by the Director General through a constituted committee consisting of selected NCC technical staff and provisional members from:
- One (1) representative from Commission on Audit, Technical Service Office (TSO, COA)
- One (1) representative from GO-IT
- One (1) representative from CIO Forum
- One (1) representative from an IT Consultant (free-lance)
- One (1) representative from relevant IT associations in the private sector
- Section 7.1 provides that a secretariat with at least two (2) members from NCC assists the committee administratively.
- Section 7.2 assigns the committee these functions:
- Application Phase: ensure forms/Information Sheets are properly filled-up as application starts, and ensure sheets are updated regularly.
- Documentation Review: conduct paper screening against Section 3 requirements.
- Conformity Assessment: conduct thorough en banc evaluation/screening after paper screening, consistent with Section 5.2.3.
- Certificate Preparation: prepare and issue the Certificate of Accreditation after passing both documentation and conformity assessment.
- Database Maintenance: maintain a database of accredited IT suppliers outside the accreditation process to store and keep an updated listing, provide information upon request, and establish a link on the NCC website to make the database interactive.
Sanctions, Penalties, and Repeal
- No penalties, fines, or sanction provisions are established in the memorandum circular.
- No repeal or sunset clause is established in the memorandum circular.