Government Procurement Policy Board Technical Support Office

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guidelines on unbalanced bidding

Requested from GPPB by Richard Villaroza at 10:43 AM on Dec 12, 2018.
Purpose: Research and development
Date of Coverage: 12/12/2018 - 12/12/2018
Tracking no: #GPPB-101077979583

Richard 10:43 AM, Dec 12, 2018

Hi! I would like to request information on what are the guidelines in placed to prevent incurring financial losses caused by unbalanced bidding. Here is the case:

- In procurement of civil works projects, a bidder who has reason to believe that the quantities given in the Bill of Quantities for one or more work items are underestimated will quote unduly high prices for those items. Eventually, the price to be used for the additional quantities is the price quoted by the bidder, which is overpriced.

FOI Receiving 11:01 AM, Dec 12, 2018

December 12, 2018

Dear Mr. Villaroza,

Thank you for your request dated Dec 12, 2018 under Executive Order No. 2 (s. 2016) on Freedom of Information in the Executive Branch, for guidelines on unbalanced bidding.

We received your request on Dec 12, 2018 and will respond on or before Jan 02, 2019 10:43:14 AM, in accordance with the Executive Order's implementing rules and regulations.

Should you have any questions regarding your request, kindly contact me using the reply function on the eFOI portal at https://www.foi.gov.ph/requests/aglzfmVmb2ktcGhyHgsSB0NvbnRlbnQiEUdQUEItMTAxMDc3OTc5NTgzDA, for request with ticket number #GPPB-101077979583.

Thank you.

Respectfully,

FOI Receiving Officer

Richard 11:05 AM, Dec 12, 2018

Also, similar to the first case, this time the bidder have a reason to believe that certain item/s are no longer necessary during implementation of the contract will quote at significantly low price. Since the item/s are unnecessary, the same will be deducted from the contract at the price quoted by the contractor, which is at a very low price.

FOI Decision Maker, 04:31 PM, Jan 07, 2019

January 7, 2019

Dear Mr. Villaroza,

In response to your query, we regret to inform you that the Government Procurement Policy Board does not have any guidelines in place as regards the handling of unbalanced bids.  Please note however that a material consideration with respect to submitted bids is the Approved Budget of the Contract (ABC) or that which represents the ceiling for bid prices.  It bears stressing that for as long as the bid is within the ABC, then such bid is accepted for consideration.

Thank you.

Respectfully,

GPPB-TSO FOI Officer

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