Section 15Sec./Art. 15

Engagement of a Procurement Agent. - As part of strategic procurement planning, the HoPE may authorize the engagement of a government procurement agency, which shall undertake the functions of the BAC, if the Procuring Entity does not have the capability or proficiency to undertake a particular procurement: Provided, That the Procuring Entity cannot delegate the issuance of the notice of award and the award of contract to the procurement agent and there shall be no transfer of funds to the procurement agent, except for the payment of service fee, if applicable.

The engagement of a procurement agent shall be further subject to the following conditions:

(a) Made on a per procurement project basis;

(b) Limited to procurement undertaken through competitive bidding: Provided, That in instances where the Procuring Entity lacks sufficient qualified personnel to constitute its own BAC, the Procuring Entity may engage a procurement agent to undertake other modes of procurement;

(c) The procurement agent should be another government agency expert in the field which is the subject of procurement. This shall be expressly provided in the Memorandum of Agreement (MOA) with the Procuring Entity;

(d) Have at least one (1) representative from the Procuring Entity to be designated as a member of the TWG of the procurement agent to ensure that technical specifications or terms of reference of the Procuring Entity are properly reflected in the budding documents;

(e) Have a representative from the Procuring Entity designated as a provisional member of the BAC of the procurement agent; and

(f) Covered by a MOA that is executed between the Procuring Entity and the procurement agent providing the details of the project to be procured; the accountabilities and obligations of the two (2) parties; the ABC; services, fees, if applicable; and such other details as may be necessary. The MOA shall be in effect at least six (6) months before the end of the validity of the relevant appropriations as authorized in the relevant appropriations law, or in the corporate operating budgets or appropriations ordinances, in the case of GOCCs, GFIs, and LGUs respectively. In no case shall the undertakings of the MOA contravene this provision and its IRR to be issued by the GPPB.

Procuring Entities with existing MOAs with the procurement agent which have not yet been implemented upon the effectivity of this Act are encouraged to revisit the same and amend as may be necessary to conform with this provision.