COA QUESTIONS BOGO’S P3.9M ROAD PROJECTS

State auditors say implementation of projects did not follow government procurement rules and procedures.

The Commission on Audit called the attention of the Bogo City Government over the bidding of infrastructure projects worth P3.9 million last year.

In their annual audit report for 2016, state auditors said that the City invited three contractors for its road rehabilitation and opening projects.

These were RDY Constructor, Barte Construction and Anthony Construction.

But instead of holding a public bidding, the City opted to canvass the contractor’s services, which is a small value procurement.

The City’s Bids and Awards Committee (BAC) passed a resolution covering the matter and awarded the project to RDY.

COA, however, said that BAC’s choice of procuring the services was “inappropriate.”

Based on Republic Act (RA) 9184 or the Government Procurement Reform Act, small value procurement can only be done if the amount of goods, projects and services involved does not exceed P300,000.

COA also said that the City’s 2016 Annual Procurement Plan, which was submitted to them, did not indicate whether the projects were undertaken through small value procurement.

They also said that advertisement and posting for alternative methods of procurement were not followed.

Aside from that, COA said that the use of small value procurement also resulted to the splitting of contracts.

“The splitting of contracts mean the breaking up of contracts into smaller quantities and amounts, or dividing the contract implementation into artificial phases or subcontracts, for the purpose of making it fall below the threshold for the shopping and small value procurement, or evading or circumventing the requirement of public bidding,” the state auditors said.

COA then asked BAC to adopt public bidding as a customary mode of procurement and stop the practice of resorting to alternative modes of procurement, unless in exceptional cases.

BAC officials, in response to the audit report, vowed to comply with COA’s recommendation. /