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RA 9184 Government Procurement Reform 7.

Award of contract
Act f. Consulting Services services for projects and
activities requiring adequate external
Article I General Provisions technical and professional expertise that are
beyond and or capacity of the government to
Sec 2. Declaration of Policy to promote the
undertake such.
ideals of good governance in all its branches,
g. (G-EPS) Government Electronic Procurement
departments, agencies, subdivisions, and
System see Sec 8
instrumentalities, including GOCCS, and LGUs.
h. Goods refer to all items, supplies, materials
and general support services except
Sec 3. Governing Principles on Government
consulting services and infrastructure projects
Procurement
in pursuit of any government undertaking.
a. Transparency in procurement process and
i. Government Procurement Policy Board (GPPB)
implementation of contracts
see Article 10.
b. Competitiveness equal opportunity
j. Head of Procuring Entity
c. Streamlined procurement process
a. NGA Head of Agency or authorized official
uniform, simple, adaptable to modern tech
b. GOCC governing Board or authorized
d. System of accountability public officials
official
(whether directly or indirectly involved) can
c. LGU local chief executive
be held liable when warranted by
d. Dept/office/agency for decentralized
circumstance
procurement Head of Unit
e. Public monitoring of procurement process
k. Infrastructure Projects include construction,
and implementation of awarded contracts
improvement, rehabilitation, demolition,
contracts awarded according to guidelines
repair, restoration, maintenance
and implemented according to
l. Implementing Rules and Regulations (IRR)
specifications
Sec 75
m. Portal refers to website that aggregates a
Sec 4. Scope and Application applies to
wide variety of content for purpose of
procurement of infrastructure projects, goods, and
attracting a large number of users
consulting services, regardless of source of fund,
n. Procurement refers to the acquisition of
of all government instrumentalities.
Goods, Consulting Services and contracting for
Infrastructure projects by the procuring entity.
Sec 5. Definition of Terms
Also includes lease of goods and real estate
a. Approved Budget for the Contract (ABC)
(governed by RA 8974 Act to facilitate the
budget for contract duly approved by Head of
acquisition of right of way site or location for
Procuring Entity as provided by:
NG Infrastructure Projects and for other
1. GAA for NGA
purposes)
2. Corporate Budget approved by Board
o. Procuring Entity refers to any branch, dept,
pursuant to EO # 518 of 1979 for GOCC,
office, agency or instrumentality of the govt.
GFI and SUC
3. Budget for the Contract approved by
Sec 6. Standardization of Procurement
Sanggunian for LGUs
Process and Forms To systematize the
b. Bids and Awards Committee (BAC) see Art V.
process, avoid confusion, and ensure
c. Bidding Documents docs issued by Procuring
transparency. GPPB to develop generic
Entity as basis for bids
procurement manuals and standard bidding forms
d. Bid signed offer or proposal submitted by a
to be used mandatorily by all Procuring Entities.
supplier, manufacturer, distributor, contractor
or consultant as response to bidding docs
Article II Procurement Planning
e. Competitive Bidding method of procurement
that is open to participation by any interested
Sec 7. Procurement Planning and Budgeting
party. It consists of the ff processes:
Linkage
1. Advertisement
Procurement within approved budget and
2. Pre-bid conference
meticulously and judiciously planned
3. Eligibility screening of prospective bidders
No govt procurement shall be undertaken
4. Receipt and opening of bids
5. Evaluation of bids unless it is in accordance with approved
6. Post qualifications Annual Procurement Plan.
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Annual Procurement Plan Recommend imposition of sanctions
- Approved by Head of Procuring Entity Creation of Technical Working Group (TWG)
- Consistent with approved yearly budget Recommend the use of Alternative Methods of
- Formulated and revised in accordance with Procurement
IRR Ensures that the PE abides by this act and IRR
- For Infrastructure Projects, should include Prepares procurement monitoring report that
engineering design and acquisition of right is approved and submitted by Head of PE to
of way. GPPB on semestral basis.
Article III Procurement by Electronic Means
Sec 13. Observers
Sec 8. Procurement by Electronic Means Representative of COA, 2 observers, 1 from
Information and communications technology recognized private group without interest in
shall be utilized in procurement procedures contract to be bid out, will sit on proceedings
G-EPS shall serve as primary source of info for Observers should be duly registered with SEC
govt procurement. and meet criteria in IRR.
GPPB is authorized to approve changes in
procurement process to adapt to modern Sec 14. BAC Secretariat main support of the
technology BAC created by Head of PE. Can be designated an
Common supplies Procuring Entity to use existing organic office.
GEPS;
Sec 15. Honoraria of BAC Members
Sec 9. Security, Integrity, and Honoraria not to exceed 25% of their base pay
Confidentiality subject to fund availability as per DBM guidelines.
Docs submitted through the system is ensured
by G-EPS Sec 16. Professionalization of BAC, BAC
Includes a feature providing audit trail Secretariat and TWG Members GPPB to
establish a sustained training program for
Article IV Competitive Bidding developing the capacity of BAC, BAC Secretariat
and TWG
Sec 10. Competitive Bidding All procurement
done through Competitive Bidding except Art. 16 Article VI Preparation of Bidding
(Alternative Procurement Methods) Documents

Article V Bids and Awards Committee Sec 17. Form and Contents of Bidding
Documents is prepared by the PE following the
Sec 11. The BAC and its Composition standard forms and manuals prescribed by GPPB.
one single BAC per PE It includes the following:
Composed of at least 5-7 members a. Approved Budget
Chaired by at least a third ranking permanent b. Instruction to Bidders
official other than its head c. TOR
BAC members are designated by Head of d. Eligibility Requirements
Procuring Entity with 1 yr appointment, e. Plans and Technical Specifications
renewable at discretion of Head f. Form of Bid, Price Form, and List of Goods
In case member unable to finish the 1 yr, the or Bill of Quantities
replacement to serve for unexpired term. g. Delivery Time or Completion Schedule
Member can be suspended or removed by h. Form and Amount of Bid Security
Head of PE i. Form and Amount of Performance Security
and Warranty; and
Sec 12. Functions of the BAC j. Form of Contract, and General and Special
Perform process of competitive bidding, Conditions of Contract
except award, they can only recommend k. Other additional requirements to complete
whom to award. In case Head of PE information
disapproves the recommendation it shall be
based on valid grounds that is in writing cc to Sec 18. Reference to Brand Names specs of
BAC. goods based on relevant characteristics.
Reference to brand names shall not be allowed.
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Eligibility requirements should provide for fair
Sec 19. Access to Information - all should and equal access to all prospective bidders
have equal access to information docs submitted by bidder should be made
under oath for completeness and authenticity
Article VII Invitation to Bid Prospective bidder can submit it electronically
but later certify under oath.
Sec 20. Pre-Procurement Conference
Held for each procurement above a certain Sec 24. Eligibility Requirements and Short
level specified in IRR. Below this level or Listing for Consulting Services
amount Pre-Procurement Conference is Bidders compliance determined by eligibility
optional. requirements
Assesses the readiness of the procurement in docs submitted by bidder should be made
confirming fund availability, review of relevant under oath for completeness and authenticity
docs. Prospective bidder can submit it electronically
Attended by BAC, the unit/officials who but later certify under oath.
prepared the bidding docs and draft of Eligible prospective bidders shall then be
invitation to bid, consultants hired and evaluated using numerical ratings on the basis
representative of end-user of short listing requirements.
Sec 25. Submission and Receipt of Bids
Sec 21. Advertising and Contents of Bid shall have 2 components; Technical and
Invitation to Bid Financial submitted simultaneously in separate
Advertising in posting in PEs premises, sealed envelopes
newspapers og general circulation, G-EPS, Deadline is fixed by BAC. Submissions after
website of PE to ensure widest possible deadline is not accepted
dissemination
Invitation to Bid shall contain: Sec 26. Modification and Withdrawal of Bids
a. Brief description of subject matter of Modification done before deadline for receipt
procurement of bids; submitted in a sealed envelope duly
b. General statement on the criteria for identified as modification and stamped
eligibility check, short-listing, examination received by BAC.
and evaluation of bids, and post- Withdrawal expressed through a letter before
qualification deadline of receipt of bid. No longer allowed to
c. Date, time, and place of deadline for submit another bid for same contract.
submission and receipt of eligibility
requirements, pre-bid conference, Sec 27. Bid Security
submission and receipt of bids, and Accompanies the bid security shall serve as a
opening of bids.
guarantee that after receipt of notice of
d. Approved budget for contract to be bid
award, the winning bidder shall enter into
e. Source of fund
contract with PE within the stipulated time and
f. Period of availability of bidding docs and
furnish the required performance security.
place where these may be secured
g. Contract duration
Sec 28. Bid Validity
h. Other necessary info
Valid for period of time indicated in the bid
docs.
Sec 22. Pre-Bid Conference
At least 1 Pre-Bid Conference per procurement
Sec 29. Bid Opening
May be conducted upon reque3st of any
BAC to publicly open all bids at time and date
prospective bidder
specified in bid docs. Minutes of bid opening
Held within reasonable period before the
shall be made available to the public upon
deadline for receipt of bids written request and payment of specified fee.
Article VIII Receipt and Opening of Bids Article IX Bid Evaluation
Sec 23. Eligibility Requirements for the Sec 30. Preliminary Examination of Bids
Procurement of Goods and Infrastructure
Projects
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Open and examine Technical component Instances of failure of bidding:
(using Pass/fail) if pass/complete Open - No bids are received
Financial Component. - No bid qualifies
- Bidder refuses to accept the award of
Sec 31. Ceiling for Bid Prices contract
ABC is upper limit for bid prices. Bid exceeding Contract shall be re-advertised and re-bid and
this ceiling shall be disqualified BAC to follow same process
No lower limit as to amount If 2nd bidding fails, BAC may resort to
negotiated procurement as per Sec 53.
Sec 32. Bid for Procurement of Goods and
Infrastructure Projects Sec 36. Single Calculated/Rated and
BAC to evaluate financial component of bids. Responsive Bid Submission
Bids that passed are ranked from lowest to Single calculated/rated and responsive bid
highest of their calculated prices. shall be considered for award if it:
Lowest Calculated bid bid with lowest a. After advertisement, only 1 prospective
calculated price. bidder submits a letter of Intent and or
applies for eligibility check and meets the
Sec 33. Bid Evaluation of Short Listed eligibility rqts or criteria, after which it
Bidders for Consulting Services submits a bid which is found to be
Bids are evaluated and ranked from highest to responsive to the bidding rqts
lowest using numerical ratings according to b. If after advertisement, more than 1
evaluation criteria such as: experience, prospective bidder applies for eligibility
performance, quality of personnel, price and check but only 1 bidder meets the
methodology. eligibility rqts or criteria, after which it
Highest Rated Bid bid with highest calculated submits a bid which is found to be
rating responsive to the bidding rqts
After approval of Head of PE the Highest Rated c. If after the eligibility check, more than 1
Bidder is invited for negotiation. If negotiation bidder meets the eligibility rqts, but only 1
fails, the second rank bidder is opened for bidder submits bid which is found to be
negotiations provided total contract amount responsive to the bidding rqts
indicated in the financial envelope shall not Article XI Post-Qualification
exceed the ABC.
Sec 37. Notice and Execution of Award
Article X Post-Qualification Within 15 days from determination of lowest
calculated responsive bid or highest rated
Sec 34. Objective and Process of Post- responsive bid, Head of PE shall
Qualification approve/disapprove said recommendation.
Post-Qualification stage where the lowest If approved issue the Notice of Award
calculated bid and highest rated bid Within 10 days after receipt of Notice of
undergoes verification and validation whether award, winning bidder shall formally enter into
he has passed all the requirements and contract with the Procuring Entity.
conditions specified in bid docs Max of 20 days is given for
Bidder passed the post-qualification: approval/disapproval of higher authority
*Lowest calculated bid lowest calculated In case of GOCC, Board to take action on
responsive bid recommendation within 30 days
*Highest Rated Bid Highest Rated Pe to issue Notice to Proceed to the winning
Responsive Bid bidder not later than 7 calendar days from
Bidder fails the post-qualification post- date of approval.
disqualified
In all cases, the contract shall be awarded only Sec 38. Period of Action on Procurement
to the bidder with the Lowest Calculated Activities
Responsive Bid or Highest Rated Responsive Opening of bids up to award shall not exceed 3
Bid mos.

Sec 35. Failure of Bidding -

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If no action on the contract is taken by Head of Infra proj and priority programs funded from
PE or Board within periods specified, the GAA intended within the province is subjected
contract shall be deemed approved. to public bidding

Sec 39. Performance Security Sec 45. Provincial Bidders


Bidder, as a measure of guarantee for faithful A contractor with principal office within the
performance and compliance, be required to province, who submits the lowest bid among
post a performance security in such form and provincial bidders that is higher than the
amount as specified in the Bidding docs. lowest bid made by another contractor with
principal office outside the province shall be
Sec 40. Failure to Enter into Contract and granted the privilege to match the bid made
Post Performance Security by the latter. Provided, that the release of
Bidder is disqualified funds for said project is published in a local
BAC undertakes post-qualification for next- newspaper with wide circulation and DBM
rank. Procedure is repeated until an award is website.
made. If no award is possible, the contract Mechanisms in IRR
shall be subjected to a new bidding.
In case of failure to post the required security Article XIV Lease of Computers,
performance, the bid security shall be Communications, Information and Other
forfeited. Equipment

Sec 41. Reservation Clause Sec 46. Lease Contracts


Head of Agency reserves the right to reject ICT equipment are subject to public bidding
any and all bids, declare a failure of bidding, or
not award the contract in the following Article XV Disclosure of Relations
situations:
a. There is prima facie evidence of collusion Sec 47. Disclosure of Relations
between public officers/employees, BAC, All bid docs submitted as accompanied by a
and any of bidders or collusion between sworn affidavit that the bidder or any officer of
the bidders themselves or bidder and third their corporation is not related to the Head of
party. PE by consanguinity or affinity up to third civil
b. BAC failed to follow prescribed bidding degree.
procedures Non-compliance disqualified
c. Grounds where award of contract will not
redound to the benefit of the government Article XVI Alternative Methods of
Procurement
Sec 42. Contract Implementation and
Termination prescribed by IRR; rules and Sec 48. Alternative Methods subject to
guidelines include standard general and special approval from Head of PE; alternative methods
conditions for contracts. are:
a. Limited source bidding (Selective Bidding)
Article XII Domestic and Foreign direct invitation to bid by PE from a set of
Procurement selected suppliers/consultants
b. Direct Contracting (Single Source
Sec 43. Procurement of Domestic and Procurement) supplier is asked to submit
Foreign Goods a price quotation
May procure domestically and foreign, c. Repeat Order direct procurement of
however PE may give preference to domestic goods from previous winning bidder
goods in interest of availability, efficiency, and whenever the need to replenish goods
timely delivery d. Shopping PE requests submission of price
quotations for readily available off-the-
Article XIII Bidding of Provincial Projects shelf Goods or ordinary equipment from
known suppliers
Sec 44. Bidding of Provincial Projects e. Negotiated Procurement PE directly
negotiates a contract with a technically,

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legally and financially capable supplier, a. In case of 2 failed biddings
contractor or consultant. b. In case of imminent danger to life or
property during a state of calamity,
Sec 49. Limited Source Bidding natural/man made calamities where
Resorted to in any of ff conditions: immediate action is necessary
a. Procurement of highly specialized type of c. Take-over contracts that have been
Goods and Consulting Services known to rescinded or terminated and immediate
be obtainable from a limited number of action is necessary
sources d. Subject contract is adjacent to an ongoing
b. Procurement of major plant components to infra project provided original project was
limit bidding in order to maintain optimum competitively bided out
and uniform level of quality and e. Subject to guidelines in IRR
performance of the plant
Sec 54. Terms and Conditions for use of
Sec 50. Direct Contracting Alternative Methods - application of each
Resorted to in any of ff conditions: alternative methods is specified in IRR
a. Procurement of goods of proprietary nature
obtained only from a proprietary source Article XVII Protest Mechanism
(Ex. Patents, trade secret)
b. Procurement of critical components from a Sec 55. Protests on Decisions of BAC
specific manufacturer, supplier or BAC decisions in all stages may be protested
distributor to hold the contractor to to Head of PE and shall be in writing and by
guarantee project performance paying a non-refundable protest fee
c. Those sold by an exclusive dealer or Amt of protest fee specified in IRR
manufacturer with no sub-dealers with
lower price and no suitable substitute can Sec 56. Resolution of Protests
be obtained PE Heads to decide up to certain amounts in
IRR; decision deemed final
Sec 51. Repeat Order
Allowed if provided in APP subject to ff Sec 57. Non-interruption of Bidding Process
conditions: No protest shall delay the bidding process.
a. Unit price original contract Protests must first be resolved before award is
b. Repeat order does not result in splitting of made
requisitions or POs
c. Availed within 6 mos from date of notice to Sec 58. Report to Regular Courts; Certiorari
proceed from original contract (also see Resorted to only after completion of protest
special circumstances in IRR) process
d. Repeat order not to exceed 25% of Cases of violation of process shall be
quantity of each item of the original dismissed for lack of jurisdiction
contract RTC to rule over final decisions of Head of PE
Court actions governed by Rule 65 of 1997
Sec 52. Shopping Rules of Civil Procedure
Resorted to in ff conditions:
a. Unforeseen contingency requiring Article XVIII Settlement of Disputes
immediate purchase; amount not to
exceed P50K Sec 59. Arbitration
b. Procurement of office supplies and All disputes from contract implementation
equipment not available in Procurement covered by RA 9184 shall be submitted for
Service; amount not to exceed P250K. arbitration in accordance with RA 876
Provided: Arbitration Law. Provided:
1. Procurement does not result in splitting 1. Disputes within competence of
of contracts Construction Industry Arbitration
2. 3 price quotations were obtained Commission shall be resolved therein.
Sec 53. Negotiated Procurement
Resorted to in ff conditions:
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2. By mutual agreement, parties may agree a. Protect national interest in all matters
to resort to alternative modes to resolve affecting public procurement
dispute b. Formulate and amend the IRR and
standard forms as necessary
Article XIX Contract Prices and Warranties c. Ensure that PEs regularly conduct
procurement training programs and
Sec 61. Contract Prices prepare procurement manual
All bid prices shall be considered as fixed d. Conduct annual review of the effectiveness
prices and not subject to escalation during of this Act and recommend any
contract implementation, except under amendments as necessary
extraordinary circumstances and prior GPPB to convene in 15 days to formulate IRR
approval by GPPB GPPB supported by a technical office
Extraordinary circumstance events as GPPB to absorb Procurement Policy Board
determined by NEDA and upon created under EO 359 of 1989.
recommendation of PE concerned GPPB to absorb functions of Infrastructure
Committee NEDA
Sec 62. Warranty
For procurement of Goods Sec 64. Membership
- Period defined by IRR GPPB is composed of:
- covered by either retention of money in a. Chair - DBM Sec
equivalent to percentage of payment b. Alternate Chair NEDA Dir. Gen
progress or special bank guarantee c. Members: Sec of DPWH, DOF, DTI, DOH,
equivalent to a percent of total contract DND, DepEd, DILG, DOST, DOTC, DOE or
price; amounts to be released after lapse their duly authorized reps and reps from
of warranty period and goods are free from private sector as appointed by the
defects President upon recommendation of GPPB.
Procurement of Infrastructure projectrs d. Resource Person COA; as per invitation by
- Period defined by IRR in consideration with GPPB
scale and coverage of project from its final
acceptance by the govt Article XXI Penal Clause
- Contractor responsible for:
any damage except those occasioned Sec 65. Offenses and Penalties
by force majeure. Public officers who commit the ff acts shall
Safety, protection, security and suffer a penalty of 6yrs 1 day 15 yrs
convenience of his personnel, third imprisonment:
parties, and l=public 1. Open any sealed bid prior to appointed
- Contractor to put up warranty security time for public opening of bids
(cash/bank guarantee, letter of credit GSIS 2. Delaying without justifiable cause of
bond, or callable surety bond) screening for eligibility, opening of bids,
- Repair works undertaken at contractors evaluation and post-evaluation, and
expense within 90 days from time the awarding
Head of PE issued the order to undertake 3. Undue influence on any BAC member or
repair. Failure to comply/refusal, Govt to officer of PE to take favors or favor a
undertake such repair works and shall be particular bidder
entitled to full reimbursement of expenses 4. Splitting of contracts which exceed
upon demand. Contractor to be perpetually procedural purchase limits and competitive
disqualified from any public bidding and his bidding
properties shall be subject to attachment 5. Head of PE abuse his power to reject any or
to recover the costs. all bids with manifest preference to any
bidder.
Article XX The Government Procurement Private individuals, including any public officer
Policy Board who conspires with the, who commit the ff
acts shall suffer a penalty of 6yrs 1 day 15
Sec 63. Organization and Functions yrs imprisonment and disqualification from
GPPB is established to: transacting business with the Govt:

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1. 2 or more bidders agree (collude) where
contract will surely be awarded to pre- Sec 68. Liquidated Damages
arranged lowest bid All contracts shall contain a provision for
2. Bidder maliciously submits different bids liquidated damages in case of breach.
through 2 or more persons, partnerships or Amount specified in IRR
corp to create appearance of competition
3. 2 or more bidders agree to call upon one to Article XXIII Administrative Sanctions
refrain from bidding or withdraw bid
submitted intended to secure undue Sec 69. Imposition of Administrative
advantage Penalties
4. When a bidder employ schemes to restrain Head of PE to impose sanctions (may be
natural rivalry of parties or operates to delegated to BAC)
suppress competition and thus produce Admin penalties for the ff violations:
result disadvantageous to the public 1. Submission of eligibility rqts containing
Private individuals, including any public officer false info or falsified docs
who conspires with the, who commit the ff 2. Submission of bids containing false info or
acts shall suffer a penalty of 6yrs 1 day 15 falsified docs
yrs imprisonment: 3. Allowing use of ones name or using the
1. Submit eligibility rqts that contain false name of another in bidding
information or falsified documents or 4. Withdrawal of bid, refusal to accept award
conceal information to influence the or enter into contract without justifiable
outcome of eligibility screening cause
2. Submit bid docs that contain false 5. Refusal or failure to post the required
information or falsified documents or performance security within the prescribed
conceal information to influence the time
outcome public bidding 6. Termination of contract due to default of
3. Participate in a public bidding using the bidder
name of another or allow another to use 7. Refusal to clarify its bid within 7 days from
ones name receipt of request for clarification
4. Withdraw a bid, after it qualifies as lowest 8. Any documented unsolicited attempt by a
calculated bid/highest rated bid, or refuse bidder to duly influence the outcome of
to accept an award without just cause to bidding in his favor
force PE to award the contract to another Admin penalties being given:
bidder. This includes non-submission within 1. ART 21 criminal liability imprisonment
prescribed time, delaying submission of (6yrs 1 day 15 yrs)
rqts. 2. Art 22 civil liability restitution for
When bidder is a juridical entity, criminal damage or forfeiture or both
liability and accessory penalties imposed on 3. Suspension
its directors, officers/ employees who commit 1st offense 1 year
any of foregoing acts. 2nd offense 2 years
4. Forfeiture of security posted
Sec 66. Jurisdiction
Belong to appropriate courts accdg to existing Sec 70. Preventive Suspension
laws at time of commission of the offenses Head of PE to preventively suspend TWG,
Secretariat, or BAC if there are prima facie
Article XXII Civil Liability evidence that the officials/employees are
guilty of dishonesty, or those defined in Art 21
Sec 67. Civil Liability in Case of Conviction and 22
Conviction under this act or RA 3019 Anti
Graft and Corrupt Practices shall carry for Sec 71. Lifting of Suspension and Removal
civil liability which may consist of: of Administrative Disabilities
restitution for damage done or In accordance with Sec 52 & 53, Ch6, (Civil
forfeiture in favor of government of any Service Commisision) Book 5 of EO # 292 the
unwarranted benefit derived from the act/s Administrative Code of 1987
or
both, at courts discretion
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Article XXIV Legal Assistance and President and Chairman of the House
Indemnification of BAC Members Committee on Appropriations, and 2 members
appointed by House Speaker
Sec 72. Private Legal Assistance
BAC members are authorized to hire private Sec 75. Implementing Rules and Regulations
lawyers and Standard Forms
IRR shall be formulated within 60 days from
Sec 73. Indemnification of BAC members promulgation by GPPB and Oversight
GPPB to establish indemnification package for Committee
BAC members in connection with any civil or IRR to be approved by President
criminal action, suit or proceeding in the Standard forms of Procurement shall be
performance of their duties UNLESS they are formulated and approved within 30 days of IRR
finally adjudged to be liable for gross approval
negligence or misconduct or grave abuse of
discretion. Sec 76. Repealing Clause
Assistance in the form of free legal assistance, Repeals: EO# 40 of 2001; EO#262 series of
liability insurance, medical assistance, etc 2000; Sec 3 pf EO#201 series of 2000; EO#
Settlement or compromise indemnification 302 series of 1996, PD# 1594
only on matters covered by settlement Amends: Title 6, Book 2 of RA# 7160; EO#
provided they have not committed gross 164 Series of 1987 and RA#7898
negligence, misconduct or are dishonest
Sec 77. Separability Clause
Article XXV Final Provisions If any provisions is declared invalid, unaffected
provisions to remain valid
Sec 74. Oversight Committee
Joint Congressional Oversight Committee Sec 78. Effectivity Clause
oversees the implementation of this Act This Act shall take effect 15 days after
(effectivity date to 5 yrs) publication in Official Gazette or in 2
Composed of Chairman of Senate Committee newspaper of general circulation
on Constitutional Amendments and Revision of
Laws, 2 members appointed by Senate

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