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Clarification on GPPB Reso. 06-2022

Clarification on GPPB Reso. 06-2022

by Ronald Lizardo -
Number of replies: 8

I just want to clarify po regarding the guidelines set under GPPB Reso 06-2022. For regular and recurring services, do we still need to request for MYCA before we can renew the contract?

In reply to Ronald Lizardo

Re: Clarification on GPPB Reso. 06-2022

by Jessie Salvador -

The answer is in Item.7.6 " x x x No EPA may be conducted without an indicative APP duly approved by the HoPE and the MYCA issued by the DBM, in the case of multi-year projects. x x x"

In reply to Jessie Salvador

Re: Clarification on GPPB Reso. 06-2022

by Ronald Lizardo -
Thank you po for this. I was just confused when I read the rationales regarding the issuance of GPPB Reso 06-2022 where it stated that one of the reason for its issuance is due to the issues by PEs regarding the complications and difficulties in complying with the requirements of MYCA.
In reply to Ronald Lizardo

Re: Clarification on GPPB Reso. 06-2022

by Jessie Salvador -
Sorry for the confusion. The sentence I cited from Sec. 7.6 of the IRR pertains to the requirement of MYCA for EPA involving multi-year contracts. Because renewal may be also be undertaken as EPA.

Under the revised guidelines, RENEWAL of regular and recurring services need not secure MYCA but there is a need to conduct Cost-Benefit Analysis (CBA) as basis for renewal (or non-renewal). Again, this process may now be undertaken as part of EPA.

As opposed to EXTENSION, the contract is only partly renewed. Extension covers the possible hiatus of not being able to award a new contract prior to expiration of the original contract. In such case, if the procurement involves a multi-year contract, then MYCA shall be required.

The two are mutually exclusive.
In reply to Jessie Salvador

Re: Clarification on GPPB Reso. 06-2022

by Ronald Lizardo -
Thank you very much sir for the clarification.
In reply to Ronald Lizardo

Re: Clarification on GPPB Reso. 06-2022

by Edita Nota -

GPPB Resolution No. 06-2022 prescribes the guidelines on the renewal of regular and recurring services.  Upon its effectivity, inconsistent provisions in RA 9184 were amended.  The guidelines did not require MYCA before regular and recurring expenses can be renewed.

The guidelines provide among others, "A provision for renewal of contract, including the performance evaluation of the service provider, must be incorporated in the Philippine Bidding Documents 
(PBD), particularly in Special Conditions of the Contract and Technical Specifications, and in the Request for Quotation of the original contract;"

In reply to Edita Nota

Re: Clarification on GPPB Reso. 06-2022

by Ronald Lizardo -
Thank you po for the further clarifications ma'am.

May I inquire po further, since we are planning to procure COS/Outsourcing Supplier for 2024, does this mean po na for the succeeding year (i.e. 2025, 2026), we can renew the contract upon full compliance with the provisions of GPPB reso 06-2022, without requesting for MYCA?
In reply to Ronald Lizardo

Re: Clarification on GPPB Reso. 06-2022

by Edita Nota -

Yes, MYCA is no longer required for 2025-2026 provided what you are going to procure in 2024 are Regular and Recurring Services:

i. defined under DBM NBC No. 570, s. 2017 and other issuances that may be issued for the purpose, such as (i) janitorial services; (ii) security services; (iii) telecommunication requirements; (iv) supply of drinking water; and (v) rental of office space, venue, and equipment;
ii. which by their nature are deemed essential, indispensable, or necessary to the day-to-day operations of the PE; or
iii. procured repeatedly by the PE in the last three (3) years

and compliance with the other conditions in the GPPB Resolution

In reply to Edita Nota

Re: Clarification on GPPB Reso. 06-2022

by Ronald Lizardo -
Thank you very much po ma'am for the detailed clarification.