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Salient IRR Revisions
Procurement of Infrastructure
IRR Revisions: Infra
Eligibility Requirements (Sec. 23)
Legal Documents DTI / SEC / CDA Registration Mayor’s permit for principal place of business
Technical Documents Statement of all on-going and completed contracts PCAB license and registration
Unless otherwise stated in treaty or international or executive agreement
IRR Revisions: Infra Eligibility Requirements (Sec. 23)
Financial Documents Audited Financial Statement received by the BIR NFCC computation or Credit Line Commitment from
a universal or commercial bank For LGUs, other banks authorized by BSP to issue said
instrument
IRR Revisions: Infra Eligibility Requirements (Sec. 23)
If Joint Venture - JVA If no JVA, sworn statements by each partner that
they will enter into and abide by provisions of the JVA if awarded the contract
IRR Revisions: Infra
Eligibility Criteria (Sec. 23)
Legal Eligibility General rule: 75% Filipino (LOI 630) If joint venture, less than 75% is allowed if -
Not less than 25% Filipino Structures to be built require techniques not
possessed by 75% Filipinos Foreign contractors allowed if stated in treaty
or international or executive agreement
IRR Revisions: Infra
Eligibility Criteria (Sec. 23)
Technical Eligibility PCAB License (RA 4566) Satisfactory CPES rating and/or certificate of
completion and acceptance
IRR Revisions: Infra
Eligibility Criteria (Sec. 23)
Technical Eligibility Track Record: Single Largest Contract for Infra
Retain at 50% But within a period of ten years
For foreign funded procurement, a different track record may be agreed upon
IRR Revisions: Infra
Eligibility Criteria (Sec. 23)
Financial Eligibility NFCC at least equal to ABC Credit Line Certificate at least equal to 10% of
ABC Issued by Universal or Commercial Bank For LGUs: other banks certified by BSP as authorized
to issue said CLC Option to submit cash deposit certificate
deleted
IRR Revisions: Infra
Submission and Receipt of Bids (Sec. 25)
Two-Envelope System (Eligibility requirements included in the Technical Proposal)
Technical (including eligibility requirements) and Financial Proposals will now be submitted at the same time
IRR Revisions: Infra
Submission and Receipt of Bids (Sec. 25)
First Envelope Eligibility requirements Bid security Project requirements Omnibus sworn statement
IRR Revisions: Infra
Submission and Receipt of Bids (Sec. 25)
Second Envelope Financial information/documents specified in
the Philippine Bidding Documents
IRR Revisions: Infra
Post-qualification (Sec. 34)
Submission of the ff documents: Tax clearance Latest income and business tax returns Certificate of PhilGEPS registration Other appropriate licenses and permits
required by law and stated in the Bidding Documents.
IRR Revisions: Infra
Notice of Award (Sec. 37)
Conditioned on the following: If joint venture, submission of JVA If foreign-funded and stated in treaty or
international or executive agreement, PCAB License
Posting of Performance Security Signing of Contract If required, approvals by higher authority
IRR Revisions: Infra Bid & Performance Securities (Secs. 27 & 39)
Deleted certified check from acceptable forms
In general, bank issued securities must be issued by a universal/commercial bank
However, in biddings conducted by LGUs, securities may be issued by banks certified by BSP as authorized to issue said instruments
Surety Bonds must be accompanied by certification from Insurance Commission that issuer is authorized to issue such security
IRR Revisions: InfraForm of Bid and
Performance SecurityAmt of Bid Security
(% of the ABC)Amt of Performance
Security (% of Contract Price)
a) Cash, cashier’s/manager’s check, bank guarantee/ draft 2% 10%
b) Irrevocable LC
c) Surety bond callable upon demand
5% 30%
d) Combination of the foregoing
Proportionate to share of form with respect to the total amount of security
Proportionate to share of form with respect to the total amount of security
IRR Revisions: Infra
Warranty Security (Sec. 62) Warranty period vs. Warranty security
period Warranty security period reduced to 1 year Liability per stage
From project construction to final acceptance From project completion to final acceptance From final acceptance to warranty security
period
IRR Revisions: Infra
Liquidated Damages (Sec. 68)
Adopted formula of Goods One-tenth of one percent (1%) of the cost of
the unperformed portion for every day of delay
Thank you
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