RES

SOLUTIO
ON NO. 04-2012
0

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APPR
ROVING AND AD
DOPTING
G THE GU
UIDELIN
NES ON THE
T
SAL
LE OF
BIDDIN
NG DOCU
UMENTS
WHEREAS, Section 6 of
o Republicc Act No. (R
RA) 9184 provides
p
thaat to systemaatize the
procureement proccess, avoidd confusio
on, and ensure
e
trannsparency, the Govvernment
Procureement Policcy Board (G
GPPB) shalll formulate and amend
d public proocurement policies,
p
rules aand regulattions, and amend, whenever
w
neecessary, the Implem
menting Ruules and
Regulattions (IRR) of RA 91844;
RR of RA 91184 providees that biddeers may be asked to
WHEREAS, Section 177.4 of the IR
pay for the biddingg documentss to recoverr the cost off its preparattion and devvelopment;
ment Manuall provides that
t in deterrmining the price of
WHEREAS, the Generiic Procurem
t cost reccovery objeective to
the Biddding Docuuments, the BAC mustt only be gguided by the
ensure tthat the sam
me would noot have an effect
e
of disscouraging competition
c
n. For cost recovery
r
the folllowing costs will be considerred: (i) Diirect Costss that inclu
ude, devellopment,
reproduuction and communica
c
ation costs, and the (iii) Indirect Costs
C
that includes,
i
ovverhead,
supervision, adminnistrative coosts allocateed to the biidding activvity, and may also incoorporate
the costts of payingg honoraria;
WHEREAS, the GPPB--Technical Support Offfice (GPPB
B-TSO) has issued Nonn-Policy
Matter opinions (N
NPMs) prooviding thatt in the abssence of an
ny IRR pro
ovision, cirrcular or
f or rate for the payyment of bidding
b
doccuments,
guidelinnes that preescribe the standard fee
procurinng entities may prescrribe their reespective guuidelines on
n how to coompute the price of
their biidding docu
uments. However, suchh fees shouuld not be excessive, and shouldd be fair
enough to recover the cost of its
i preparatiion and devvelopment;
WHEREAS, to determiine how varrious procuuring entities compute and prescribe a fee
mpled data by
b requestinng thirty
or rate for the price of biddingg documentts, the GPPB-TSO sam
ment agenciees (15 from
m NGAs, 9 from GOCC
Cs, 2 from SUCs, andd 5 from
four (344) governm
LGUs) to providee informatiion on the price of ttheir biddinng documeents. Based on the
modes used
d in determ
mining the price of
submittted informaation, there are three identified m
biddingg documentss, namely, (i) Fixed raange/costs, (ii) Percenttage of the ABC, and the (iii)
Hybrid approach;
WHEREAS, there is a need to rationalizee and stanndardize the sale of bidding
ompetition, regulate
documeents to prevent excessivve and unreeasonable feees; and, to promote co
its pricee, and proviide a uniform
m rate appliicable to alll procuring entities;
WHEREAS, in its 2nd joint
j
GPPB
B and IATW
WG Meetinng held on 24 Februarry 2012,
after caarefully revviewing thee options presented, thhe GPPB and
a its IAT
TWG resolvved and
approveed the issuaance of guiidelines pro
oviding for the standarrd fees in the
t sale of bidding
documeents using thhe fixed ratee based on a fixed rangge approachh;

GPPB Reesolution No.004-2012, dated 24 Februarry 2012

paage 1 of 5

NOW,

THEREFORE, for and in consideration of the foregoing, WE, the Members of

the GOVERNMENT PROCUREMENT POLICY BOARD, by virtue of the powers vested on US by
law, hereby RESOLVE to confirm, adopt, and approve, as WE hereby confirm, adopt, and

approve the issuance of the guidelines providing the standard fees on the sale of bidding
documents using the fixed rate on a fixed range approach, attached hereto as Annex A, and
made an integral part hereof.
This resolution shall take effect immediately.
APPROVED this 24th day of February 2012 at Pasig City, Philippines.

(Sgd.)
_____________________________________
DEPARTMENT OF BUDGET AND
MANAGEMENT

(Sgd.)
_____________________________________
NATIONAL ECONOMIC AND
DEVELOPMENT AUTHORITY

(Sgd.)
_____________________________________
DEPARTMENT OF EDUCATION

(Sgd.)
_____________________________________
DEPARTMENT OF ENERGY

(Sgd.)
_____________________________________
DEPARTMENT OF FINANCE

(Sgd.)
_____________________________________
DEPARTMENT OF HEALTH

(Sgd.)
_____________________________________
DEPARTMENT OF THE INTERIOR
AND LOCAL GOVERNMENT

(Sgd.)
_____________________________________
DEPARTMENT OF NATIONAL
DEFENSE

(Sgd.)
_____________________________________
DEPARTMENT OF PUBLIC WORKS
AND HIGHWAYS

(Sgd.)
_____________________________________
DEPARTMENT OF SCIENCE AND
TECHNOLOGY

(Sgd.)
_____________________________________
DEPARTMENT OF TRADE AND
INDUSTRY

(Sgd.)
_____________________________________
DEPARTMENT OF
TRANSPORTATION AND
COMMUNICATIONS

(Sgd.)
_____________________________________
PRIVATE SECTOR REPRESENTATIVE
GPPB Resolution No.04-2012, dated 24 February 2012

page 2 of 5

Attested by:
(Sgd.)
____________________________________
DENNIS S. SANTIAGO
Board Secretary, GPPB
Executive Director, GPPB-TSO

GPPB Resolution No.04-2012, dated 24 February 2012

page 3 of 5

ANN
NEX A
___________________
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GUIDEL
LINES ON
O THE SALE
S
OF BIDDING DOCU
UMENTS
1.

POLICY STATEME
S
ENT
As provideed in Sectioon 17.4 of the Implem
menting Ruules and Reegulations ((IRR) of
Republic Act
A 9184, biddders may be
b asked to pay for bid
dding docum
ments to reccover the
cost of their preparaation and developmen
d
nt. The BAC
B
shall issue the bidding
p
of the corresponding costt thereof
documents to the prosppective biddders upon payment
to the collecting/disburrsing officeer of the proocuring entitty concerneed.

2.

PURPOSE
E
These guiddelines are formulatedd to providee standard rates for the
t sale of bidding
documents to rationallize the feees primarilyy to regulatte its pricee and to lesssen the
g entities soo as not to discourage
d
market
m
partiicipation
exercise off discretion oof procuring
and compettition.

3.

SCOPE AN
ND APPLIICATION
These guiddelines shalll apply to the
t nationall governmen
nt, its brancches, constiitutional
offices, dep
partments, bureaus,
b
offfices and agencies,
a
inncluding staate universiities and
colleges, governmentg
-owned andd/or controolled corpo
orations, goovernment financial
f
institutions, and local government
g
t units.

4.

GENERAL
L GUIDEL
LINES
4.1.

Prrocuring enntities shall make the bidding

b
doccuments avaailable on thhe same
daate the advvertisement and/or possting of thee Invitationn to Bid waas made
pu
ursuant to Section
S
17.3 of the IRR
R of RA 9184.

4.2.

As
A required in Section 21.1(f) off the IRR of
o RA 91844, the pricee of the
biidding docuuments musst be includded in the Invitation to Bid/Reqquest for
Exxpression of
o Interest inn order to inform
i
all prospective
p
bidders of the cost
off its acquisittion.

4.3.

Thhe BAC shaall issue thee bidding documents too any prosppective biddder upon
paayment of thhe standard rate of the bidding doccuments.

4.4.

Thhe standardd rate for thhe sale of bidding

b
doccuments shaall be basedd on the
fixxed rate on
o a fixed range appproach andd shall be applicablee in the
prrocurement of goodss, consultinng servicees, and thhe contractting for

Annex A
A of GPPB Resolution
R
No..04-2012, dateed 24 Februaary 2012

paage 4 of 5

infrastructure projects by the procuring entity, whether procured by way of

public bidding or any of the alternative methods of procurement that utilize
processes and procedures in competitive bidding.

5.

4.5.

Procuring entities are proscribed to adopt any internal rule or practice that
establish fees that are inconsistent or beyond the standard rate for the sale of
bidding documents set forth in these guidelines.

4.6.

The proceeds from the sale of the bidding documents shall continue to be
used for the payment of honoraria as provided for in Budget Circular No.
2004-5A, dated 7 October 2005, or to augment the funds for the procuring
entitys legal assistance and indemnification package as provided in the
Guidelines for Legal Assistance and Indemnification of Bids and Awards
Committee Members and its Support Staff.

STANDARD RATES
The cost of bidding documents shall correspond to the ABC range as indicated in the
table below. This shall be the maximum amount of fee that procuring entities can set
for the acquisition of bidding documents.
Approved Budget for the Contract
500,000 and below
More than 500,000 up to 1 Million
More than 1 Million up to 5 Million
More than 5 Million up to 10 Million
More than 10 Million up to 50 Million
More than 50 Million up to 500 Million
More than 500 Million

6.

Maximum Cost of Bidding Documents

(in Philippine Peso)
500.00
1,000.00
5,000.00
10,000.00
25,000.00
50,000.00
75,000.00

REPEALING CLAUSE
Any other guidelines, administrative order, office order, rule or regulation and/or parts
thereof contrary to or inconsistent with the provisions of these Guidelines is hereby
repealed, modified, or amended accordingly.

7.

EFFECTIVITY
These guidelines shall take effect fifteen (15) days after publication in the Official
Gazette or in a newspaper of general nationwide circulation and upon filing with the
University of the Philippines Law Center of three (3) certified copies of these
guidelines.

GPPB Resolution No.04-2012, dated 24 February 2012

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