Government Procurement Policy Board Technical Support Office(GPPB)

November 10, 2022 Dear Atty. Ferraris, Greetings! Thank you for your request dated Oct 28, 2022 01:29:46 PM under Executive Order No. 2 (s. 2016) on Freedom of Information in the Executive Branch. Your Request You asked for a list of laws, rules and regulations that regulates or provides the maximum period within which a buyer must pay its supplier. Response to Request Your FOI request is approved. At the outset, we emphasize that in every procurement project, the Procuring Entity is allowed to determine the terms of payment on the partial or staggered delivery of the Goods/ Projects, provided such partial payment shall correspond to the value of the goods delivered and accepted in accordance with prevailing accounting and auditing rules and regulations (General Conditions Clause (GCC) of the Philippine Bidding Documents (PBD). Thus, the Bidding Documents for the procurement of a project, particularly under its GCC and Special Conditions Clauses, should spell out such terms. As requested, attached herewith, for your reference, are copy of some relevant laws, rules and regulations on payment. Note that all the foregoing documents are available online. 1. Presidential Decree No. 1445 otherwise known as the Government Auditing Code of the Philippines Section 88 Prohibition against advance payment on government contracts Section 91 Payment to creditors Section 92 Persons authorized to draw warrants or checks for payment out of government funds 2. Office of the President Memorandum Order No. 48 Increasing the Allowable Amount of Advance Payment for Procurement Activities under Republic Act No. 11469 or the Bayanihan to Heal as One Act 3. Annex D of the 2016 revised IRR of RA No. 9184 Contract implementation Guidelines for the Procurement of Goods, Supplies and Materials Item 4 Advance Payment 4. Annex E of the 2016 revised IRR of RA No. 9184 Contract Implementation Guidelines for the Procurement of Infrastructure Projects Item 4 Advance Payment Item 5 Progress Payment Item 6 Retention Money 5. Latest edition of PBD for Procurement of Goods 6. Latest edition of PBD for Procurement of Infrastructure Projects 7. COA Circular No. 2021-014 Your right to request a review      If you are unhappy with this response to your FOI request, you may ask us to carry out an internal review of the response by writing to Executive Director, Atty. Rowena Candice M. Ruiz, thru e-mail address at [email protected]. Your review request should explain why you are dissatisfied with this response and should be made within fifteen (15) calendar days from the date when you received this letter. We will complete the review and tell you about the result within thirty (30) calendar days from the date when we receive your review request.     If you are not satisfied with the result of the review, you then have the right to appeal to the Office of the President under Administrative Order No. 22 (s. 2011).   FOI Feedback To help us in our constant endeavor to provide excellent service, we would sincerely appreciate if you shared your thoughts, concerns, comments, and suggestions through this brief customer feedback form provided in the link below:  https://docs.google.com/forms/d/e/1FAIpQLSdBVxTLWNjqp0_NjPnVKIHRvsnup28mywfmLv_JU4FZfW6EKQ/viewform    Thank you.      Respectfully,   FOI Officer