pag on competitive bidding-infra

7/28/2019 PAG on Competitive Bidding-Infra

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Prepared by: Technical Services Office

Special Services SectorCommission on AuditRepublic of the Philippines

On the Procurement Procedures:

COMPETITIVE / PUBLIC BIDDINGFOR THE PROCUREMENT OFINFRASTRUCTURE PROJECTS

----------------------------------------------------------------------------------------------------------GUIDE IN THE AUDIT OF PROCUREMENT

First Update - December 2009

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Procurement Procedures:COMPETITIVE / PUBLIC BIDDING FOR THE

PROCUREMENT OF INFRASTRUCTURE PROJECTS

I. PREPARATORY ACTIVITY: BIDDING DOCUMENTS

Bidding documents are documents issued by the Procuring Entity to provideprospective bidders all the necessary information that they need to prepare their bids.

A. AUDIT OBJECTIVE:

To verify if the Bidding Documents for the specific procurement followed thestandard forms and manuals prescribed by the Government Procurement PolicyBoard (GPPB)

B. SUB-OBJECTIVES, CRITERIA, VALIDATION PROCEDURES & SUGGESTED WORKING PAPER

Document needed for evaluation:

1. The procuring entitys Customized Bidding Documents for InfrastructureProjects;2. Bidding Documents for the specific procurement.

Audit Sub-objective

Audit Criteria Audit ActivitiesSuggested Audit Working Paper

Audit Question Yes No Particulars ofthe Answer

1. To verify if theBidding Documents forthe specificprocurement includethe information and areaccording to the forms

indicated in theCustomized BiddingDocuments approved bythe GPPB or thePhilippine BiddingDocuments for theProcurement ofInfrastructure Projects,3rd Edition (October2009) or 4th Edition(December 2010) issuedby the GPPB andSection 17 of the

Implementing Rules andRegulations of RA 9184as amended onSeptember 2, 2009:a. Approved Budget for

the Contract;b. Invitation to Bid;c. Eligibility

Requirements;d. Instruction to

Bidders, includingscope of bid,documents

1. If the procuring entityadopted customizedBidding Documents andthe results of the earliervalidation of this elementshowed that these arecompliant with the

Philippine BiddingDocuments for theProcurement ofInfrastructure Projectsand Section 17.1 of theImplementing Rules andRegulations of RA 9184,secure from the BACSecretariat duly certifiedcopies of the BiddingDocuments for thespecific procurement andcompare these with thecustomized Bidding

Documents of theprocuring entity.

If the customizedBidding Documents arenot compliant, comparethe procurement-specificBidding Documents withthe Philippine BiddingDocuments for theProcurement ofInfrastructure Projectsissued by the GPPB.

Are the BiddingDocuments/Informationcomplete:

a. ApprovedBudget for the

Contract?

b. Invitationto Bid?

c. EligibilityRequirements?

d. Instructionto Bidders,includingscope of bid?

- documents

comprisingthe bid?

- criteria foreligibility?

- bidevaluationmethodology/criteria?

- post-qualificationmethodology?



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Audit Sub-objective



comprising the bid,criteria foreligibility, bidevaluationmethodology/criteria

in accordance withthe Act, and post-qualification, as wellas the date, timeand place of the pre-bid conference(where applicable),submission of bidsand opening of bids;

e. Scope of work,where applicable;

f. Plans/Drawings andTechnical

Specifications;g. Form of Bid, Price

Form, and List ofGoods;

h. Delivery Time orCompletionSchedule;

i. Form, Amount, andValidity Period of BidSecurity;

j. Form, Amount, andValidity ofPerformanceSecurity andWarranty; and

k. Form of Contract andGeneral and SpecialConditions ofContract.

Implementing Rules andRegulations (IRR) of RA 9184,as amended on September 2,2009:

17.1. The BiddingDocuments shall be

prepared by the procuringentity following thestandard forms andmanuals prescribed by theGPPB.a.Approved Budget for the

Contract;b. Invitation to Bid;c. Eligibility Requirements;d. Instruction to Bidders,

including scope of bid,documents comprisingthe bid, criteria for

- date of thepre-bidconference?

- time of thepre-bidconference?

- Place of thepre-bidconference?

- Deadline forsubmission ofbids?

- Place ofsubmission ofbids?

- Date ofopening ofbids?

- Time ofopening ofbids?

- Place ofopening ofbids?

e. Scope of work?

f. Plans/Drawings and

TechnicalSpecifications?

g. Form of Bid, Price Form,and Bill ofQuantities?

h. CompletionSchedule?

i. Form,Amount, andValidity Period ofBid Security?

j. Form,Amount, andValidity ofPerformanceSecurity andWarranty?

k. Form ofContract and



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Audit Sub-objective



eligibility, bid evaluationmethodology/criteria inaccordance with the Act,and post-qualification, aswell as the date, time and

place of the pre-bidconference (whereapplicable), submission ofbids and opening of bids;

e. Scope of work, whereapplicable;

f. Plans/Drawings andTechnical Specifications;

g. Form of Bid, Price Form,and Bill of Quantities;

h. Completion Schedule;i. Form, Amount, and

Validity Period of BidSecurity;

j. Form, Amount, and

Validity of PerformanceSecurity and Warranty;and

k. Form of Contract andGeneral and SpecialConditions of Contract.

GPPB Resolution No. 05-2009dated 30 September 2009:

all branches, agencies,departments, bureaus,offices and instrumentalitiesof the Government,including government-

owned and/or controlledcorporations, governmentfinancial institutions, stateuniversities and college, andlocal government units, arehereby mandated to use thePhilippine BiddingDocuments Third Edition forall of their procurementactivities.

General andSpecialConditions ofContract?

Are the BiddingDocuments in therequired form:

a. Invitationto Bid?

b. Instructions to Bidders?

c. Bid DataSheet?

d. GeneralConditions of

the Contract?

e. SpecialConditions ofContract?

f. ScheduleofRequirements?

g. TechnicalSpecifications?

h. Bidding

Forms?

EVALUATING AUDIT EVIDENCES GATHERED AND COMMUNICATING THE RESULTS OFAUDIT

1. To verify the effectsof instances of non-compliance on the:

a. validity of theprocurementactivities and outputsincluding the validityof the resultingcontract;

b. validity of anypayment to be madeon the basis of the

Analyze the instances ofnon-compliance toestablish the effects anddevelop appropriateaudit recommendations.

Also determine ifappropriate actions weretaken by the auditee inregard to instances ofnon-compliance.

NOTE:

Appropriate Audit Working Papers



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Audit Sub-objective



contract;

c. etc.

and developappropriate auditrecommendations

Implementing Rules andRegulations (IRR) of RA9184, as amended onSeptember 2, 2009:

Observers shall be invited

at least three (3) calendardays before the date of the

procurementstage/activity. The absenceof observers will notnullify the BAC

proceedings, providedthat they have beenduly invited in writing.

Also refer to theOFFENSES ANDPENALTIES portion ofthisAudit Guide.

2. To verify the causesof instances of non-compliance and developappropriate auditrecommendations

Analyze the instances ofnon-compliances toestablish the cause(s)and develop appropriateaudit recommendations.

Also determine ifappropriate actions weretaken by the auditee inregard to instances of

non-compliance.

NOTE:Also refer to theOFFENSES ANDPENALTIES portion ofthisAudit Guide.


3. To communicate theresults of the audit withthe auditeesManagement

COA Circular No. 2009-006

dated September 15, 2009re- Prescribing the Use ofthe Rules and Regulationson Settlement of Accounts

Prepare the appropriateaudit/ validationdocument reflecting theresults of the

audit/validation andtransmit to Management

Audit Observation Memorandum (AOM), ifapplicable



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I. PREPARATORY ACTIVITY: PRE-PROCUREMENT CONFERENCE(For procurement of infrastructure projects costing more than P5

million)

The pre-procurement conference is the forum where all officials involved in the

procurement meet and discuss all aspects of a specific procurement activity, whichincludes the technical specifications, the Approved Budget for the Contract (ABC), theapplicability and appropriateness of the recommended method of procurement andthe related milestones, the bidding documents, and availability of the pertinentbudget release for the project.

A. AUDIT OBJECTIVES:

1. To verify if the Pre-Procurement Conference was conducted within therequired time;

2. To verify if the participants to the Pre-Procurement Conference were asrequired;

3. To verify if during the Pre-Procurement Conference the participants, led by theBids and Awards Committee (BAC), performed the required tasks and attainedthe objectives of the Conference.

B. SUB-OBJECTIVES, CRITERIA, VALIDATION PROCEDURES & SUGGESTED WORKINGPAPER

Documents needed for evaluation:1. copy of the approved Minutes of Pre-Procurement Conference duly certified by

the BAC Secretariat;2. Invitation to Bid;3. Duly certified copies of the documents (Office Orders, contracts,

Organizational/Functional Charts, etc) which the BAC Secretariat used as basesfor identifying and notifying the participants to the Pre-ProcurementConference, including duly certified copies of the notices issued with evidenceof receipt by the participants.

Audit Sub-objective

Audit CriteriaAudit Activities

Suggested Audit Working Paper

Audit Question Yes

No Particulars ofthe Answer

1. To verify if the BACconducted the Pre-Procurement Conferenceprior to the advertisementor the issuance of theInvitation to Bid

Implementing Rules andRegulations (IRR) of RA 9184, asamended on September 2, 2009:

20.1. Prior to theAdvertisement or the issuanceof the Invitation to Bid for each

procurement undertaken

1. Secure from the BACSecretariat a dulycertified copy of theMinutes of Pre-Procurement Conferenceand compare the datethe conference was heldwith the date indicatedin the newspaper or inthe print-out of websitepage where Invitation toBid waspublished/posted .

Did the BACconduct the Pre-ProcurementConference prior tothe advertisementor issuance of theInvitation to Bid?



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Audit Sub-objective



Audit Question Yes


through public bidding, theBAC, through its Secretariatshall call for a Pre-Procurement Conference.

2. To verify if theparticipants to the Pre-Procurement Conferenceincluded the BAC, theSecretariat, the unit orofficials, includingconsultants hired by theprocuring entity, whoprepared the Bidding

Documents and the draftInvitation to Bid


20.1. The pre-procurementconference shall be attendedby the BAC, the Secretariat,the unit or officials, includingconsultants hired by the

procuring entity, who preparedthe Bidding Documents andthe draft Invitation to Bid, for

each procurement.

2. Secure from the BACSecretariat duly certifiedcopies of the documents(Office Orders, contracts,Organizational/Functional Charts, etc) which itused as bases foridentifying and notifyingthe participants to thePre-ProcurementConference, includingduly certified copies ofthe notices issued withevidence of receipt bythe participants.

3. From the Minutes ofPre-ProcurementConference look for thenames of the membersof the BAC, the membersof the Secretariat, theofficials and/orconsultants whoprepared the Bidding

Documents and the draftInvitation to Bid.

Did theparticipants to thePre-ProcurementConference includethe:

a. BAC?

b. Secretariat?

c. unit orofficials whoprepared theBiddingDocuments andthe draftInvitation toBid?

d. consultantshired by theprocuring entity,who preparedthe Bidding

Documents andthe draftInvitation toBid?

3. To verify if during thePre-ProcurementConference theparticipants, led by theBAC, performed thefollowing tasks andattained the relatedobjectives:

a. Discussed relevantinformation and confirmedthe description of thescope of the contract, theABC, and contractduration;

b. Discussed relevantinformation and confirmedthat the procurement is inaccordance with theproject procurement

4. From the Minutes ofPre-ProcurementConference look forinformation on thepresentation of thescope of the contract,the ABC, and contractduration, the deliberationthereon, and the

conclusions reached as aresult of the deliberation;and analyze if they led tothe confirmation of thedescription of the scopeof the contract, the ABC,and the contractduration.

Did theparticipants led bythe BAC discussand confirm the:

a. Descriptionof the scope ofthe contract?

b. ABC?

c. Contractduration?



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Audit Sub-objective



Audit Question Yes


management plan (PPMP)and annual procurement

plan (APP);c. Discussed relevant

information and confirmedreadiness of theprocurement at hand onthe following:

c.1. the availability ofappropriations andprogrammed budget forcontract;c.2. completeness of theBidding Documents andtheir adherence torelevant generalprocurement guidelines;c.3. completion of thedetailed engineeringaccording to theprescribed standards inthe case ofinfrastructure projects;c.4. confirmation of theavailability of ROW andthe ownership ofaffected properties.

d. Reviewed, modifiedand agreed on the criteriafor eligibility screening,evaluation, and post-qualification;

f. Reviewed andadopted the procurementschedule, includingdeadlines and timeframes,for the different activities;and

g. Reiterated andemphasized the

importance ofconfidentiality and theapplicable sanctions andpenalties, as well asagreed on measures toensure compliance withthe foregoing.


20.1. During the

conference, the participants,

5. From the Minutes ofPre-ProcurementConference look forinformation on thepresentation of thereview of the PPMP andAPP, the deliberationthereon, and theconclusions reached as aresult of the deliberation;

and analyze if they led tothe confirmation if theprocurement is inaccordance with thePPMP and APP andavailability ofappropriations andprogrammed budget forthe contract.

Did theparticipants led bythe BAC discussand confirm thatthe:

a.procurement isin accordancewith the PPMPand APP?

b.appropriationsandprogrammedbudget for thecontract areavailable?

6. From the Minutes ofPre-ProcurementConference look forinformation on the

presentation ofinformation, thedeliberation thereon,and the conclusionsreached as a result ofthe deliberation; andanalyze if they led to theconfirmation of thereadiness of theprocurement at hand asto:a. availability of

appropriations andprogrammed budget

for the contract,b. completeness of the

Bidding Documentsand their adherenceto the PhilippineBidding Documents(PBDs)/ customizedBidding Documents,

c. completion of thedetailed engineeringaccording to theprescribed standards;

d. availability of ROWand the ownership of

Did theparticipants led bythe BAC discussand confirm that

the procurement athand is ready asto:

a. availabilityof appropriationsand programmedbudget for thecontract?

b. completeness ofthe BiddingDocuments?

c. adherence of theBiddingDocuments withthe PBDs/customizedBiddingDocuments?

d. completionof the detailedengineeringaccording to theprescribed



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Audit Sub-objective



Audit Question Yes


led by the BAC, shall:a. Confirm the description and

scope of the contract, theABC, and contract duration;

b. Ensure that the procurementis in accordance with the

project and annualprocurement plans;

c. Determine the readiness ofthe procurement at hand,including, among other aspects,the following:

i) availability ofappropriations and

programmed budget forthe contract;

ii) completeness of the

Bidding Documents andtheir adherence torelevant general

procurement guidelines;iii) completion of the

detailed engineeringaccording to the

prescribed standards inthe case ofinfrastructure projects;

iv) confirmation of theavailability of ROW andthe ownership ofaffected properties.

d. Review, modify and agreeon the criteria for eligibilityscreening, evaluation, and

post-qualification;e. Review and adopt the

procurement schedule,including deadlines andtimeframes, for thedifferent activities; and

f. Reiterate and emphasizethe importance ofconfidentiality and theapplicable sanctions and

penalties, as well as agree

on measures to ensurecompliance with theforegoing.

7.2. No procurement shall be

affected properties. standards?

e. availability ofROW and theownership ofaffectedproperties?

7. From the Minutes ofPre-ProcurementConference look forinformation on thepresentation of thecriteria for eligibilityscreening, bidevaluation, and post-qualification, thedeliberation thereon, andthe conclusions reachedas a result of thedeliberation; and analyzeif they led to theconfirmation of thecriteria for eligibilityscreening, bidevaluation, and post-qualification.

Did theparticipants led bythe BAC discussand confirm thecriteria for:

a. Eligibilityscreening?

b. Bidevaluation?

c. Post-qualification?

8. From the Minutes ofPre-ProcurementConference look for

information on thepresentation of theprocurement schedule,including deadlines andtimeframes for thedifferent activities, theno-contact rule, thedeliberation thereon, andthe conclusions reachedas a result of thedeliberation; and analyzeif they led to theconfirmation of theadoption of the

procurement scheduleincluding deadlines andtimeframes for thedifferent activities.

Did theparticipants led bythe BAC discuss

and confirm theadoption of theprocurementschedule includingdeadlines andtimeframes for thedifferent activities?



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Audit Sub-objective



Audit Question Yes


undertaken unless it is inaccordance with theapproved APP of the

procuring entity. The APPshall bear the approval ofthe Head of the ProcuringEntity or second-rankingofficial designated by theHead of the Procuring Entityto act on his behalf, andmust be consistent with itsduly approved yearlybudget.

GPPB Circular 01-2009 dated20 January 2009:

4.2. To facilitate the immediate

implementation of projectseven pending approval ofthe GAA, the ABC shall bebased on the budget levelsunder the NationalExpenditure Program (NEP)submitted to Congress.

4.3. For specificallyappropriated projects,agencies can proceed withthe procurement activities

prior to issuance of the

notice of award using asbasis the NEP figures.

4.4. For lump-sumappropriations andCentrally Managed Items(CMIs) under the agencysbudget, the head of theagency shall identify andthereafter notify theimplementing units (IUs) ofthe amount allocated forthe projects they are toimplement. On the basis ofsaid notification, the heads

of the respective IUs, asprocuring entities, canproceed with theprocurement activities priorto issuance of the notice ofaward.

4.5. For Multi-Year Projects(MYPs), for which the initialfunding sourced fromeither the existing/current

years budget or the NEP is not sufficient to cover thetotal cost of the project, it isrequired that a Multi-Year

9. From the Minutes ofPre-ProcurementConference look forinformation on thereiteration and emphasisof the importance ofconfidentiality and theapplicable sanctions andpenalties, as well as theagreement on measuresto ensure compliance.

Did theparticipants led bythe BAC reiterateand emphasize theimportance ofconfidentiality andthe applicablesanctions andpenalties, as wellas the agreementon measures toensurecompliance?



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Audit Sub-objective



Audit Question Yes


Obligational Authority(MYOA) must already havebeen issued in accord withDBM Circular Letter 2004-012 prior tocommencement of any

procurement activity.Thus, the MYOA shall be

a pre-requisite forprocurement of a multi-yearcontract. All procurementactivities should be withinthe total project cost andcategories reflected in theMYOA issued by DBM for thesaid MYP.

4.6. As prescribed under Section

47, Chapter 8, Subtitle B,Title I, Book V of the

Administrative Code of1987, no contract involvingthe expenditure of publicfunds shall be entered intounless the properaccounting official of the

procuring entity shall havecertified as to theavailability of funds and theallotment to which theexpenditure or obligationmay be properly charged.

Definition:3.1. Allotment - document

issued by the Departmentof Budget andManagement (DBM) whichauthorizes an agency toincur obligations for aspecified amount ascontained in a legislatedappropriation. Theallotment issued mayeither be trough the

Agency Budget Matrix

(ABM) which covers thecomprehensive release ofspecifically appropriateditems in the agencysbudget or through theSpecial Allotment ReleaseOrder (SARO).

3.2. Annual ProcurementPlan (APP) the requisitedocument that theagency must prepare toreflect the entire

procurement activity (i.e.,



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Audit Sub-objective



Audit Question Yes


goods, services, civilworks to be procured)that it plans to undertakewithin the calendar year.This document containsthe following information:

3.2.1. Name of theprocurementprogram/project;

3.2.2. Project managementoffice or end-user unit;

3.2.3. General description ofthe procurement;

3.2.4. Procurement methodto be adopted;

3.2.5. Time schedule foreach procurement

activity;3.2.6. Source of fund; and3.2.7. Approved Budget for

the Contract.

3.3. Approved Budget forthe Contract (ABC) refersto the following:NGs including SUCs (referredto in Section 2.1)3.3.1. For specificallyappropriated items asreflected in the annualbudget of the national

government agency, theamount corresponding toeither the full costof asingle year or multi-year

program/project/ activity.For multi-year projects, forwhich a Multi-YearObligational Authority hasbeen issued, the ABC shallbe the amount reflected inthe Multi-Year Obligational

Authority.GOCCs and LGUs (referred toin Section 2.2)

3.3.3. In the case of GOCCs,including governmentfinancial institutions as wellas LGUs, the ABC representsthe amount of fund transferswhich they receive from anational government agencyto implement a

program/project/activity.

3.5. Lump-SumAppropriations and CentrallyManagement Items (CMIs) those itme in the budget of



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Audit Sub-objective



Audit Question Yes


agencies for which theImplementing Units and thespecific amounts allocatedfor each have not beenidentified in the NationalExpenditure Program (NEP)or the General

Appropriations Act (GAA).

3.8. Multi-Year ObligationalAuthority (MYOA) adocument issued by theDBM either for locally funded

projects or foreign assistedprojects implemented byagencies in order toauthorize the latter to enter

into multi-year contracts forthe full project cost. AMYOA, which contains anannual breakdown of the full

project cost, obligatesagencies to include in theirbudget proposal for theensuring years the amount

programmed for the saidyear(s).

3.9. National ExpenditureProgram (NEP) the

proposed national budget

submitted by the Presidentto Congress in accord withSection 22, Article VII of theConstitution. The NEP shallbe the basis of the generalappropriations bill, whichupon its enactment,becomes the General

Appropriations Act (GAA).

EVALUATING AUDIT EVIDENCES GATHERED AND COMMUNICATING THE RESULTS OF AUDIT1. To verify the effects ofinstances of non-compliance on the:

a. validity of theprocurement activitiesand outputs includingthe validity of theresulting contract;

b. validity of any paymentto be made on the basisof the contract;

c. etc.

and develop appropriateaudit recommendations

Analyze the instancesof non-compliance toestablish the effects

and developappropriate auditrecommendations.

Also determine ifappropriate actionswere taken by theauditee in regard toinstances of non-compliance.

NOTE:




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Audit Question Yes


Implementing Rules and

Regulations (IRR) of RA 9184,as amended on September 2,2009:

Observers shall be invited at

least three (3) calendar daysbefore the date of the

procurement stage/activity.The absence of observers willnotnullify the BAC

proceedings, providedthat they have been dulyinvited in writing.

Also refer to theOFFENSES AND

PENALTIES portionof thisAudit Guide.

2. To verify the causes ofinstances of non-compliance and developappropriate auditrecommendations

Analyze the instancesof non-compliances toestablish the cause(s)and developappropriate auditrecommendations.


NOTE:Also refer to theOFFENSES ANDPENALTIES portionof thisAudit Guide.



COA Circular No. 2009-006dated September 15, 2009 re-Prescribing the Use of theRules and Regulations onSettlement of Accounts

Prepare theappropriate audit/validation documentreflecting the results ofthe audit/validationand transmit toManagement


III. ADVERTISING AND POSTING OF THE INVITATION TO BID(For procurement of infrastructure projects costing more than P5

million)



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Advertising and posting are conducted to ensure transparency of theprocurement process, widest possible dissemination to increase the number ofprospective bidders, and intensify competition for the procurement activity or project

A. AUDIT OBJECTIVE:

To verify if the Invitation to Bid was advertised and posted in the media andwithin the specified time as required


Documents needed for evaluation:1. Entire page of the newspaper where the Invitation to Bidwas advertised;2. Document used by the BAC Secretariat to verify from the publisher the extent

of circulation of the newspaper and the first day of its publication;3. Printout of the web page where the Invitation to Bid was posted in the PhilGEPS

website, the website of the procuring entity concerned, if available, andwebsite prescribed by the foreign government/ foreign or international

financing institution, if applicable for the first day and at least the last day ofposting;

4. Certification by the head of the BAC Secretariat of the procuring entity that theinvitation was posted at any conspicuous place reserved for the purpose in thepremises of the procuring entity for 7 calendar days.

Audit Sub-objective

Audit Criteria Audit Activities

Suggested Audit Working PaperAudit Question Ye

sNo Particulars

of theAnswer

1. To verify if the BACadvertised the Invitation

to Bid in a newspaper ofgeneral nationwidecirculation which hasbeen regularly publishedfor at least 2 years beforethe date of issue of theadvertisement

Implementing Rules andRegulations (IRR) of RA 9184, asamended on September 2,2009:

21.2.1. Except as otherwise

provided in Sections 21.2.2and 54.2 of this IRR and forthe procurement of common-use goods and supplies, theRequest for Expression ofInterest shall be:a. Advertised at least once ina newspaper of generalnationwide circulation whichhas been regularly publishedfor at least 2 years before thedate of issue of theadvertisement

1. From the entire pageof the newspaper where

the Invitation to Bidwasadvertised, to besubmitted to the Auditoron the day ofadvertisement, validatethe advertisement.

2. From the verificationdocument obtained bythe BAC Secretariat fromthe publisher, check theextent of circulation ofthe newspaper and thefirst day of publication.

Did the BACadvertise the

Invitation to Bidina newspaper ofgeneral nationwidecirculation whichhas been regularlypublished for atleast 2 yearsbefore the date ofissue of theadvertisement?



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Audit Sub-objective



sNo Particulars

of theAnswer

2. To verify if the BACposted the Invitation to

Bid continuously in thePhilGEPS website, thewebsite of the procuringentity concerned, ifavailable, and thewebsite prescribed by theforeigngovernment/foreign orinternational financinginstitution, if applicable,for 7 calendar daysstarting on the date ofadvertisement



provided in Sections 21.2.2and 54.2 of this IRR and forthe procurement of common-use goods and supplies, theInvitation to Bid shall be:a. b. Posted continuously in the

PhilGEPS website, the

website of the procuringentity concerned, ifavailable, and the website

prescribed by the foreigngovernment/foreign orinternational financinginstitution, if applicable, for7 calendar days starting onthe date of advertisement

3. Ahead of anyprocurement, requestthe BAC Secretariat foradvance information onthe first day of anyposting.

4. On the first day ofposting access thePhilGEPS website, thewebsite of the procuringentity concerned, ifavailable, and websiteprescribed by the foreigngovernment/ foreign orinternational financinginstitution, if applicable.Print the page where thenotice was posted (toform part of the auditevidences).

5. Access the websites atrandom during the 7-dayperiod to verify thepostings.

ORFrom the printouts of theweb pages indicating thedates of printing,

obtained from and dulycertified by the BACSecretariat as a true andcorrect, compare thesedates with the requireddates of posting.

Did the BAC postthe Invitation toBid continuously inthe:

1. PhilGEPSwebsite for 7calendar daysstarting on thedate ofadvertisement?

2. website of the

procuring entityconcerned, ifavailable, for 7calendar daysstarting on thedate ofadvertisement?

3. websiteprescribed bythe foreigngovernment/foreign orinternationalfinancinginstitution, ifapplicable, for 7calendar days

starting on thedate ofadvertisement?

3. To verify if the BACposted the Invitation toBid continuously at anyconspicuous placereserved for the purposein the premises of theprocuring entity for 7calendar days, ascertified by the head ofthe BAC Secretariat ofthe procuring entity


6. Ahead of anyprocurement, requestthe BAC Secretariat for

advance information onthe first day of anyposting.

7. Conduct ocularinspection on the firstday of posting.

8. Repeat the ocularinspections (may be atrandom) during the 7-day period to verify thepostings.

Did the BAC postthe Invitation toBid:

1. continuously forseven (7) calendardays?

2. at theconspicuous placereserved for thepurpose in thepremises of theprocuring entity?

3. as certified bythe head of the



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sNo Particulars

of theAnswer


provided in Sections 21.2.2

and 54.2 of this IRR and forthe procurement of common-use goods and supplies, theInvitation to Bid shall be:a.b. c. Posted at any conspicuous

place reserved for thepurpose in the premises ofthe procuring entity for 7calendar days, as certifiedby the head of the BACSecretariat of the procuringentity.

9. Request for thecertification of the headof the BAC Secretariat.

BAC Secretariat ofthe procuringentity?

EVALUATING AUDIT EVIDENCES GATHERED AND COMMUNICATING THE RESULTS OFAUDIT1. To verify the effects ofinstances of non-compliance on the:


b. validity of any

payment to be made onthe basis of thecontract;

c. etc.


Implementing Rules andRegulations (IRR) of RA9184, as amended onSeptember 2, 2009:






Also determine ifappropriate actions weretaken by the auditee inregard to instances ofnon-compliance.



2. To verify the causes ofinstances of non-compliance and developappropriate audit





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Audit Sub-objective



sNo Particulars

of theAnswer

recommendationsAlso determine ifappropriate actions were

taken by the auditee inregard to instances ofnon-compliance.




Prepare the appropriateaudit/ validationdocument reflecting theresults of theaudit/validation andtransmit to Management




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IV. POSTING OF THE INVITATION TO BID(For procurement of infrastructure projects costing P5 million and

below)

A. AUDIT OBJECTIVE:

To verify if the Invitation to Bid was posted in the media as required and withinthe specified time


Documents needed for evaluation:1. Printouts (duly certified by the BAC Secretariat as true and correct) of the web

pages where the Invitation to Bid was posted in the PhilGEPS website, thewebsite of the procuring entity concerned, if available, and website prescribedby the foreign government/ foreign or international financing institution, ifapplicable, for every day of the posting, indicating the dates of printing

2. Certification by the head of the BAC Secretariat of the procuring entity that the

invitation was posted at any conspicuous place reserved for the purpose in thepremises of the procuring entity for 7 calendar days.

Audit Sub-objective


Suggested Audit Working PaperAudit Question Yes No Particulars

of theAnswer

1. To verify if the BACposted the Invitation toBid continuously in thePhilGEPS website, thewebsite of the procuringentity concerned, ifavailable, and the websiteprescribed by the foreigngovernment/foreign orinternational financinginstitution, if applicable,for 7 calendar daysstarting on the date ofadvertisementImplementing Rules andRegulations (IRR) of RA 9184, asamended on September 2, 2009:

21.2.1. Except as otherwiseprovided in Sections 21.2.2and 54.2 of this IRR and for the

procurement of common-usegoods and supplies, theInvitation to Bid shall be:b. b. Posted continuously in the

PhilGEPS website, thewebsite of the procuringentity concerned, ifavailable, and the website

prescribed by the foreigngovernment/foreign orinternational financing

1. Ahead of anyprocurement, requestthe BAC Secretariat foradvance informationon the first day of anyposting.

2. On the first day ofposting access thePhilGEPS website, thewebsite of theprocuring entityconcerned, if available,and website prescribedby the foreigngovernment/ foreign orinternational financinginstitution, ifapplicable. Print thepage where the notice

was posted (to formpart of the auditevidences).

3. Access the websitesat random during the7-day period to verifythe postings.

ORFrom the printouts ofthe web pagesindicating the dates ofprinting, obtained fromand duly certified by

Did the BAC postthe Invitation toBid continuously inthe:

1. PhilGEPS

website for 7calendar daysstarting on thedate ofadvertisement?

2. website of the

procuring entityconcerned, ifavailable, for 7calendar daysstarting on thedate ofadvertisement?

3. websiteprescribed bythe foreigngovernment/foreign orinternationalfinancinginstitution, ifapplicable, for 7calendar daysstarting on thedate ofadvertisement?



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Audit Sub-objective



of theAnswer

institution, if applicable, for7 calendar days starting onthe date of advertisement

the BAC Secretariat asa true and correct,compare these dateswith the required datesof posting.

2. To verify if the BACposted the Invitation toBid continuously at anyconspicuous placereserved for the purposein the premises of theprocuring entity for 7calendar days, as certifiedby the head of the BACSecretariat of theprocuring entity



provided in Sections 21.2.2and 54.2 of this IRR and for the

procurement of common-usegoods and supplies, theInvitation to Bid shall be:a.b. c. Posted at any conspicuous

place reserved for thepurpose in the premises ofthe procuring entity for 7calendar days, as certifiedby the head of the BACSecretariat of the procuringentity.

4. Ahead of anyprocurement, requestthe BAC Secretariat foradvance informationon the first day of anyposting.

5. Conduct ocularinspection on the firstday of posting.

6. Repeat the ocularinspections (may be atrandom) during the 7-day period to verify thepostings.

7. Request for thecertification of thehead of the BACSecretariat.

Did the BAC postthe Invitation toBid:

1. continuously forseven (7) calendardays?

2. at theconspicuous placereserved for thepurpose in thepremises of theprocuring entity?

3. as certified bythe head of theBAC Secretariat ofthe procuringentity?


1. To verify the effects ofinstances of non-compliance on the:



c. etc.





NOTE:




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Audit Sub-objective



of theAnswer






Also refer to theOFFENSES AND

PENALTIES portionof thisAudit Guide.

2. To verify the causes of

instances of non-compliance and developappropriate auditrecommendations

Analyze the instances

of non-compliances toestablish the cause(s)and developappropriate auditrecommendations.





COA Circular No. 2009-006dated September 15, 2009 re-

Prescribing the Use of theRules and Regulations onSettlement of Accounts

Prepare theappropriate audit/validation documentreflecting the results ofthe audit/validationand transmit toManagement




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V. ISSUANCE OF BIDDING DOCUMENTS FOR THE PROCUREMENT OFINFRASTRUCTURE PROJECTS

The bidding documents must be made available to the prospective biddersfrom the time the Invitation to Bid is advertised until immediately before the deadline

for submission of bids.

A. AUDIT OBJECTIVE:

To determine whether the prescribed procedures and timelines in the issuance ofbidding documents were followed


Documents needed for evaluation:1. Invitation to Bid;2. Printouts (duly certified by the BAC Secretariat as true and correct) of the web

pages where the Bidding Documents were posted in the PhilGEPS website, thewebsite of the procuring entity concerned, if available, and website prescribedby the foreign government/ foreign or international financing institution, ifapplicable, for every day of the posting, indicating the dates of printing;

3. Records of the BAC on issued bidding documents (with information on OfficialReceipt numbers) for the procurement at hand.

Audit Sub-objective


Audit Question Yes


1. To verify if the BACobserved the time

required in making theBidding Documentsavailable, that is, from thetime the Invitation to Bidwas first advertised up tothe deadline for thesubmission and receipt ofbids


17.3. To provide prospective

bidders ample time to examinethe Bidding Documents and toprepare their respective bids,the concerned BAC shall makethe Bidding Documents for thecontract to be bid available forthe following period:

a) For the procurement ofgoods and infrastructure

projects, from the time theInvitation to Bid is firstadvertised/posted until thedeadline for the submissionof bids.

1. Compare the period ofavailability of the BiddingDocuments indicated inthe Invitation to Bid withthe dates of the dailyprintouts of the web pagesday of advertising/postingof the Invitation to Bid (day1 of period) and thedeadline for thesubmission of bids (lastday of period).

Did the BACmake the biddingdocumentsavailable fromthe time theInvitation to Bidwas firstadvertised/posted up to thedeadline for thesubmission andreceipt of bids?



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Audit Sub-objective


Audit Question Yes


2. To verify if the BAC

posted the BiddingDocuments at the websiteof the procuring entityand at the PhilGEPSwebsite from the timethat the Invitation to Bidwas advertised up to thedeadline for thesubmission and receipt ofbids

Implementing Rules andRegulations (IRR) of RA 9184, as

amended on September 2, 2009: Section 17.5 The procuring

entity shall also post theBidding Documents at itswebsite and at the PhilGEPSwebsite from the time that theInvitation to Bid is advertised.Prospective Bidders maydownload the BiddingDocuments from any of thesaid websites; Provided that,bidders shall pay the fee forthe Bidding Documents uponsubmission of their Bids.

2. Ahead of any

procurement, request theBAC Secretariat foradvance information onthe first day of any postingof Bidding Documents.

3. On the first day ofposting access thePhilGEPS website, thewebsite of the procuringentity concerned, ifavailable.

Print the page where the

notice was posted (to formpart of the auditevidences).

4. Access the websites atrandom from the first dayof posting up to thedeadline for thesubmission and receipt ofbids to verify the postings.

Did the BAC post

the BiddingDocuments atthe:

a. PhilGEPSwebsitestarting on thefirst day ofadvertisement

b. website

of theprocuringentity

concerned, ifavailable,starting on thefirst day ofadvertisement

3. To verify if all biddersthat secured BiddingDocuments paid to theauthorized collectingofficer of the procuringentity


17.4. Bidders may be asked

to pay for the BiddingDocuments to recover the cost

of its preparation anddevelopment. The BAC shallissue the Bidding Documentsupon payment of thecorresponding cost thereof tothe collecting/ disbursing officerof the procuring entityconcerned.

17.5. Prospective biddersmay download the BiddingDocuments from any of the saidwebsites; Provided that, biddersshall pay the fee for the BiddingDocuments upon submission of

5. Compare the records ofthe BAC on issued biddingdocuments (withinformation on OfficialReceipt numbers) for theprocurement at hand withcopies of Official Receipts(ORs) issued by authorizedcollecting officers for thesale of bidding documents.

6. After submission of bids,for bidders thatdownloaded biddingdocuments, compare theOR numbers indicated inthe records of the BACSecretariat with copies ofthe ORs or Report ofCollection of authorizedcollecting officers.

Did all thebidders whosubmitted bidspay the correctamount for thebiddingdocuments tothe authorizedcollecting officerof the procuringentity?



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Audit Sub-objective


Audit Question Yes


their bids.

EVALUATING AUDIT EVIDENCES GATHERED AND COMMUNICATING THE RESULTS OFAUDIT1. To verify the effects ofinstances of non-compliance on the:



c. etc.and develop appropriateaudit recommendations


Observers shall be invited atleast three (3) calendar daysbefore the date of the

procurement stage/activity.

The absence of observers willnotnullify the BAC


Analyze the instances ofnon-compliance toestablish the effects anddevelop appropriate auditrecommendations.

Also determine ifappropriate actions weretaken by the auditee inregard to instances of non-compliance.




Analyze the instances ofnon-compliances toestablish the cause(s) anddevelop appropriate auditrecommendations.

Also determine ifappropriate actions were

taken by the auditee inregard to instances of non-compliance.



3. To communicate theresults of the audit with

Prepare the appropriateaudit/ validation document Audit Observation Memorandum (AOM), if



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Audit Sub-objective


Audit Question Yes


the auditeesManagement

COA Circular No. 2009-006

dated September 15, 2009 re-Prescribing the Use of theRules and Regulations onSettlement of Accounts

reflecting the results of theaudit/validation andtransmit to Management

applicable

VI. PRE-BID CONFERENCEFor the procurement of infrastructure projects with an

Approved Budget for the Contract of at least One Million Pesos (P 1Million)

The pre-bid conference is the initial forum where the Procuring Entitysrepresentatives and the prospective bidders discuss the different aspects of theprocurement at hand.

A pre-bid conference must be held for contracts with ABCs of at least OneMillion Pesos (P 1 Million). For contracts with ABCs of less than P 1 million, pre-bidconferences may or may not be held at the discretion of the BAC. The BAC may alsodecide to hold a pre-bid conference upon the written request of a prospective bidder.

A. AUDIT OBJECTIVES:

1. To verify if the BAC conducted a Pre-Bid Conference for a contract with ABC ofat least P1 million;

2. To verify if the BAC conducted the Pre-Bid Conference within the requiredtime;

3. To verify if during the Pre-Bid Conference the participants, led by the BAC,performed the required tasks.


Documents needed for evaluation:

1. Invitation to Bid;2. Minutes of the pre-bid conference approved by the BAC;3. Letters to the participants of the Pre-Bid Conference with evidence of receipt

by the intended receipt and the date of such receipt;4. Minutes of the BAC meeting on the selection of the Observer from the pool;5. Invitations to the Observers with evidence of receipt,6. Reports of the BAC Observers.

Audit Sub-objective


Audit Question Yes


1. To verify if the BACconducted a Pre-Bid

1. If the ABC is at leastP1 million, obtain

Did the BAC holda Pre-Bid



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Audit Sub-objective


Audit Question Yes


Conference for a contractwith ABC of at least P1million

Implementing Rules and Regulations(IRR) of RA 9184, as amended onSeptember 2, 2009:

22.1. For contracts to be bid withan approved budget of One MillionPesos (P1,000,000.00) or more,the BAC shall convene at least one(1) pre-bid conference to clarifyand/or explain any of therequirements, terms, conditions,and specifications stipulated in theBidding Documents.

certified copies of theInvitation to Bid andMinutes of the Pre-Bid

Conference.

Conference for acontract withABC of at least

P1 million?

2. To verify if the Pre-BidConference was held at leasttwelve (12) calendar daysbefore the deadline for thesubmission and receipt ofbids


22.2 The pre-bid conference shall

be held at least twelve (12)calendar days before the deadlinefor the submission and receipt ofbids. If the procuring entitydetermines that, by reason of themethod, nature, or complexity ofthe contract to be bid or wheninternational participation will bemore advantageous to the GOP,alonger period for the preparationof bids is necessary, the pre-bidconference shall be held at leastthirty (30) calendar days beforethe deadline for the submission

and receipt of bids.

2. Based on thedeadline for thesubmission andreceipt of bidsindicated in theInvitation to Bid,determine the 12thday before suchdeadline.

3. Compare the datedetermined in 2.above with thedate of holding thePre-Bid Conferenceindicated in thecertified copy of theMinutes of Pre-BidConference .

Did the BAChold the Pre-Bid Conferenceat least twelvecalendar daysbefore thedeadline for thesubmission andreceipt of bids

3. To verify if during theConference the BACperformed the followingtasks and attained therelated objectives:a. Presented the eligibility

requirements as well asthe technical and financialcomponents of the contractto be bid, the evaluationprocedures, evaluation

4. From the Minutes ofPre-Bid Conferencelook for information onthepresentation/discussion, issues/questionsraised by prospectivebidders, andclarifications madethereon relative to thefollowing:a. eligibility

Did the BACpresent, discuss,and answerqueries on thefollowing:

a. eligibilityrequirements?

b. technicalcomponent of



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Audit Sub-objective


Audit Question Yes


criteria, and possiblecauses of failure of thebidding;

b. Discussed therequirements in the ITB,replied to the biddersqueries about therequirements,specifications and otherconditions of the project,the procedures on the bidevaluation of all biddersand post-qualificationevaluation of the lowestcalculated bidder.

Emphasized the warrantyrequirement of the projectand the different offensesand penalties provided forin IRR of RA 9184


22.3 The pre-bid conference shalldiscuss, among other things, theeligibility requirements and the

technical and financialcomponents of the contract to bebid. However, at the option of theProcuring Entity, only those whohave purchased the BiddingDocuments shall be allowed to

participate in the pre-bidconference and raise or submitwritten queries or clarifications.[amendment per Annex A of GPPBResolution No. 06-2009 dated 30September 2009]

Generic Procurement Manual,Volume 2, Manual of Procedures

for the Procurement ofInfrastructure Projects issued bythe GPPB:

The manner by which the pre-bidconference is conducted dependson the discretion of the BAC.However, several events need totake place in the conference,namely:a.The presentation by the BAC of

the eligibility requirements aswell as the technical andfinancial components of thecontract to be bid, the

requirements,b. technical component

of the contract to be

bid,c. financial componentof the contract to bebid,

d. bid evaluationcriteria,

e. bid evaluationprocedures,

f. post-qualificationcriteria,

g. post-qualificationprocedures,

h. possible causes offailure of the

bidding,i. requirements in theInstructions toBidders,

j. specifications,k. other conditions of

the project,l. warranty

requirement of theproject,

m. different offensesand penaltiesprovided for in IRRof RA 9184

the contractto be bid?

c. financialcomponent ofthe contractto be bid?

d. bid evaluation

criteria?

e. bid evaluationprocedures?

f. post-qualificationcriteria?

g. post-qualificationprocedures?

h. possiblecauses offailure of thebidding?

i. requirementsin theInstructions toBidders?

j. specifications?

k. otherconditions ofthe project?

l. warranty

requirementof theproject?

m. differentoffenses andpenalties

provided forin IRR of RA9184?



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Audit Sub-objective


Audit Question Yes


evaluation criteria, and possiblecauses of failure of the bidding.

b. The BAC chairperson shall

also discuss the requirements inthe ITB, the replies to thebidders queries about therequirements, specifications andother conditions of the project,the bid evaluation of all biddersand post-qualification evaluationof the lowest calculated bidder.Emphasis should also be givento the warranty requirement ofthe project and the differentoffenses and penalties provided

for in IRR-A of R.A. 9184.

4. To verify if the BACSecretariat recorded theproceedings of the Pre-BidConference and made theMinutes available to allparticipants not later thanthree (3) calendar days afterthe pre-bid conference


22.4 The minutes of the pre-bid

conference shall be recorded andmade available to all participantsnot later than three (3) calendardays after the pre-bid conference.

5. Count the number ofdays after the date ofthe Pre-Bid Conferenceup to the date ofapproval of theMinutes.

6. Count the number ofdays after the date ofthe Pre-Bid Conferenceup to the date of

receipt of the Minutesby its participants asindicated in thereceiving portion ofthe letter.

Did the BACSecretariat makeavailable theMinutes of thePre-BidConference notlater than three(3) calendardays after thepre-bidconference?

5. To verify if the BACinvited Observers:a. representing the COA, the

duly recognized private groupin a sector or disciplinerelevant to the procurementat hand, and a non-government organization

(NGO) from the procuringentitys Pool of Observers;

b. that have:b.1. knowledge, experience or

expertise in procurement or inthe subject matter of thecontract to be bid;

b.2. no actual or potentialconflict of interest in thecontract to be bid; and

b.3. conformed with otherrelevant criteria determined by

the BAC;

7. From the Minutes ofthe BAC meeting onthe selection of theObserver from thepool, check forinformation on theBACs evaluation inregard to:

the selection of theorganization fromwhich the Observerwill be invited;

knowledge,experience orexpertise inprocurement or inthe subject matterof the contract tobe bid;

no actual orpotential conflict ofinterest in the

Did the BACchoose theObserversconsidering:

a. onerepresentingthe COA?

b. Onerepresentingthe dulyrecognizedprivate groupin a sector ordisciplinerelevant totheprocurementat hand?

c. One



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Audit Sub-objective


Audit Question Yes


c. at least 3 calendar daysprior to the start of theactivity


Section 13. Observers13.1. To enhance the transparencyof the process, the BAC shall, in allstages of the procurement process,invite, in addition to therepresentative of the COA, at leasttwo (2) observers, who shall nothave the right to vote, to sit in its

proceedings where:

a) At least one (1) shall come from aduly recognized private group in asector or discipline relevant to the

procurement at hand, for example:i) For infrastructure projects,

national associations ofconstructors duly recognized bythe Construction Industry

Authority of the Philippines(CIAP), such as, but not limitedto the following:(1) Philippine Constructors

Association, Inc.;(2) National Constructors

Association of thePhilippines, Inc.; and

(3) Philippine Institute of CivilEngineers (PICE).

ii) iii) and

b) The other observer shall comefrom a non-governmentorganization (NGO).

13.2. The observers shall come froman organization duly registered withthe Securities and ExchangeCommission (SEC) or the

Cooperative Development Authority(CDA), and should meet thefollowing criteria:a) Knowledge, experience or

expertise in procurement or in thesubject matter of the contract tobe bid;

b) Absence of actual or potentialconflict of interest in the contractto be bid; and

c) Any other relevant criteria thatmay be determined by the BAC.

13.3. Observers shall be invited

contract to be bid;and

conformed with

other relevantcriteria determinedby the BAC.

representinga non-government

organization?

d. Withknowledge,experience orexpertise inprocurementor in thesubjectmatter of thecontract to bebid?

e. With no

actual orpotentialconflict ofinterest in thecontract to bebid?

f. Conformedwith otherrelevantcriteriadeterminedby the BAC?

8. From certifiedcopies of theinvitations to theObservers withevidence of receipt,compare the date ofreceipt with the 3-dayminimum requirement.

Did the BACinvite theObservers atleast 3 daysbefore the dateof the pre-bidconference?



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Audit Sub-objective


Audit Question Yes


1. To verify the effects ofinstances of non-complianceon the:

a. validity of theprocurement activities andoutputs including thevalidity of the resultingcontract;

b. validity of any payment tobe made on the basis ofthe contract;

c. etc.



Observers shall be invited at least

three (3) calendar days before thedate of the procurementstage/activity. The absence ofobservers will notnullify theBAC proceedings, providedthat they have been dulyinvited in writing.




NOTE:

Also refer to theOFFENSES ANDPENALTIES portionof thisAudit Guide.


2. To verify the causes ofinstances of non-complianceand develop appropriateaudit recommendations

Analyze the instances

of non-compliances toestablish the cause(s)and developappropriate auditrecommendations.






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Audit Sub-objective


Audit Question Yes


3. To communicate theresults of the audit with theauditees Management

COA Circular No. 2009-006 dated

September 15, 2009 re-Prescribing the Use of the Rulesand Regulations on Settlement of

Accounts

Prepare theappropriate audit/validation document

reflecting the results ofthe audit/validationand transmit toManagement


VII. SUPPLEMENTAL / BID BULLETINSFOR THE PROCUREMENT OF INFRASTRUCTURE PROJECTS

Supplemental/Bid Bulletins may be issued upon the procuring entitys initiative forpurposes of clarifying or modifying any provision of the Bidding Documents at leastseven (7) calendar days before the deadline for the submission and receipt of bids.Any modification to the Bidding Documents shall be identified as an amendment.



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A. AUDIT OBJECTIVE:

To verify if Supplemental / Bid Bulletins were issued as required


Documents needed for evaluation:1. Minutes of the Pre-Bid Conference approved by the BAC;2. Copy of the Supplemental/Bid Bulletin;3. Copies of Requests for Clarification submitted by bidders with evidence of

receipt by the BAC Secretariat;4. Printouts of PhilGEPS web page evidencing posting of the Supplemental/Bid

Bulletin;5. Printout of the procuring entitys web page evidencing posting of the

Supplemental/Bid Bulletin.

Audit Sub-objective

Audit Criteria

Audit Activities


s

N

o

Particulars

of theAnswer

1. To verify if the BACissued Supplemental / BidBulletins in regard tostatements made at thepre-bid conference thatcould modify the terms ofthe Bidding Documents


22.4. Anystatement made at the pre-bidconference shall not modify theterms of the Bidding Documents,unless such statement isspecifically identified in writingas an amendment thereto andissued as a Supplemental/ BidBulletin.

22.5.1. The BAC shallrespond to the said request byissuing a Supplemental/BidBulletin, duly signed by the BAC

Chairman, to be made availableto all those who have properlysecured the Bidding Documents,at least seven (7) calendar daysbefore the deadline for thesubmission and receipt of bids.

1. Go over the Minutes ofthe Pre-BidConference and checkfor statements thatcould modify theterms of the BiddingDocuments.

2. Obtain a copy of therelatedSupplemental / BidBulletin and check for

the signature of theBAC Chairman.

3. From certified copiesof the letters tobidders whopurchased the BiddingDocuments, look forevidences of theirreceipt of theSupplemental/BidBulletins.

Did the BAC issueSupplemental/BidBulletins in regardto statementsmade at the pre-bid conferencethat could modifythe terms of theBiddingDocuments to allbidders thatproperly secured

BiddingDocuments?

Did the BACChairman sign theSupplemental / BidBulletin?



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Audit Sub-objective



sNo

Particularsof the

Answer

2. To verify if:a. requests for

clarification(s) on anypart of the BiddingDocuments or for aninterpretation were inwriting and submittedto the BAC of theprocuring entity atleast ten (10) calendardays before thedeadline set for thesubmission andreceipt of bids;

b. the Supplemental/ BidBulletin was dulysigned by the BACChairman;

c. the Supplemental/ BidBulletin was issued atleast seven (7)calendar days beforethe deadline for thesubmission andreceipt of bid.


22.5.1 Requests forclarification(s) on any part ofthe Bidding Documents or foran interpretation must be inwriting and submitted to theBAC of the procuring entity atleast ten (10) calendar daysbefore the deadline set for thesubmission and receipt of bids.The BAC shall respond to thesaid request by issuing aSupplemental/Bid Bulletin,duly signed by the BACChairman, to be madeavailable to all those who have

properly secured the BiddingDocuments, at least seven (7)calendar days before thedeadline for the submissionand receipt of bids.

3. Obtain copy/ies ofRequests forClarification and check(date of receiptstamped on the letters)whether these weresubmitted at least ten(10) calendar daysbefore the deadline setfor the submission andreceipt of bids.

Were Requests forClarificationsubmitted at leastten (10) calendardays before thedeadline set for thesubmission andreceipt of bids?

4. Obtain duly certifiedcopies ofSupplemental/BidBulletins and check forthe signature of theBAC Chairman.


5. From the records ofthe BAC (copies ofSupplemental/BidBulletins with evidenceof the date of issuance)count the number of

days from said issuanceand the deadline for thesubmission and receiptof bids; compare withthe 7-day requirement.

Did the BAC issueSupplemental/ BidBulletins atleast seven (7)calendar daysbefore the

deadline for thesubmission andreceipt of bid?



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Audit Sub-objective



sNo

Particularsof the

Answer

3. To verify if:

a. Supplemental/BidBulletins initiated bythe procuring entity forpurposes of clarifying ormodifying any provisionof the BiddingDocuments were issuedat least seven (7)calendar days beforethe deadline for thesubmission and receiptof bids;

b. Modifications to theBidding Documentswere identified asamendments;

c. the Supplemental/ BidBulletin was duly signedby the BAC Chairman


22.5.1. issuing a

Supplemental/Bid Bulletin,duly signed by the BACChairman

22.5.2 Supplemental/BidBulletins may be issued uponthe procuring entitys initiativefor purposes of clarifying ormodifying any provision of theBidding Documents at leastseven (7) calendar days beforethe deadline for thesubmission and receipt of bids.

Any modification to the

Bidding Documents shall beidentified as an amendment.

6. From the records ofthe BAC (copies ofSupplemental/BidBulletins with evidenceof the date of issuance)count the number ofdays from said issuanceand the deadline for thesubmission and receiptof bids; compare withthe 7-day requirement.

Did the BAC issueSupplemental/ BidBulletins atleast seven (7)calendar daysbefore thedeadline for thesubmission andreceipt of bid?

7. Go through thecontents ofSupplemental/BidBulletins and check ifamendments wereidentified as such.

Did the BACidentifymodifications tothe BiddingDocuments asamendments?

8. Go through theSupplemental/BidBulletins and check forthe signature of theBAC Chairman.


4. To verify if the BACposted Supplemental/BidBulletins it issued on thePhilGEPS and the websiteof the procuring entityconcerned, if available


22.5.3 Any Supplemental/ Bid

9. In advance of theposting, request the BACSecretariat for print-outs(printed on the day ofthe posting) ofSupplemental/ BidBulletins as posted onthe PhilGEPS and at theirwebsite.

10. Obtain the printouts

Did the BAC postSupplemental/BidBulletins:

a. on the PhilGEPS?

andb. the website of

the procuringentityconcerned?



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Audit Sub-objective



sNo

Particularsof the

AnswerBulletin issued by the BACshall also be posted on thePhilGEPS or [OR waschanged to AND per AnnexA of GPPB Resolution No. 06-2009 dated September 30,2009] the website of the

procuring entity concerned, ifavailable. It shall be theresponsibility of all those whohave properly secured theBidding Documents to inquireand secure Supplemental/BidBulletins that may be issuedby the BAC. However, bidderswho have submitted bidsbefore the issuance of theSupplemental/Bid Bulletinmust be informed and allowedto modify or withdraw theirbids in accordance withSection 26.1 of the IRR.

requested as evidence ofthe posting.

5. To verify if the BACinformed and allowed tomodify or withdraw theirbids those bidders whohave submitted bidsbefore the issuance of theSupplemental/Bid Bulletin


22.5.3 However, bidders

who have submitted bidsbefore the issuance of theSupplemental/ Bid Bulletinmust be informed andallowed to modify orwithdraw their bids inaccordance with Section

26.1 of the IRR.

11. From the BACrecords on submission ofbids, identify the bidderswho have submitted bidsbefore the issuance ofSupplemental/BidBulletins.

12. Go through copies ofletters sent by the BACto these bidders andcheck if they wereinformed and allowed tomodify or withdraw theirbids in accordance withSection 26.1 of the IRR.

Did the BAC informand allow tomodify or withdrawtheir bids inaccordance withSection 26.1 of theIRR the bidderswho have

submitted bidsbefore theissuance ofSupplemental/BidBulletins?


1. To verify the effects ofinstances of non-compliance on the:



Also determine ifappropriate actions weretaken by the auditee inregard to instances of




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Audit Sub-objective



sNo

Particularsof the

Answer

b. validity of any paymentto be made on the basis

of the contract;c. etc.





procurement stage/activity.

The absence of observers willnotnullify the BAC


non-compliance.




Also determine ifappropriate actions weretaken by the auditee in

regard to instances ofnon-compliance.





Prepare the appropriateaudit/ validationdocument reflecting the

results of theaudit/validation andtransmit to Management




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VIII. SUBMISSION, RECEIPT, OPENING& PRELIMINARY EXAMINATION OF BIDS

FOR THE PROCUREMENT OF INFRASTRUCTURE PRO