INSTRUCTIONS ON THE PROCEDURAL STEPS FOR THE PROCUREMENT OF

INFRASTRUCTURE PROJECTS ............................................................... 23

COMPETITIVE BIDDING................................................................................ 25
What is Competitive Bidding?
STEP 1 :ADVERTISE AND POST AN INVITATION TO APPLY FOR ELIGIBILITY AND
TO BID (IAEB) .......................................................................................... 26
Legal Reference .....................................................................................................26
What is the IAEB?...................................................................................................26
Why do you post an IAEB?.......................................................................................26
What does an IAEB contain? ....................................................................................26
When, where, and for how long do youpost an IAEB?.................................................27
Which unit shall ensure that the advertising/posting requirements of
the IAEB are complied with? .......................................................................................................28
Methodology: How are IAEBs advertised and posted?.................................................28
When may the Procuring Entity exercise its right to reject bids, declare a failure of bidding, or not award
the contract? ..........................................................................29
STEP 2: ACCEPT LOIS, ISSUE ELIGIBILITY DOCUMENTS, AND CONDUCT
ELIGIBILITY CHECK..................................................................................... 30
Legal Reference .....................................................................................................30
When should Letters of Intent and Applications for Eligibility be submitted? ...................30
When should the Eligibility Forms be released?...........................................................30
What happens if no prospective bidder submits a Letter of Intent? ...............................30
How do you determine the eligibility of the prospective bidders? ..................................31
Who may be eligible to participate in a public bidding for infrastructure projects? ...........31
Can entities with a majority of foreign ownership participate in the bidding? ..................33
When is a prospective bidder eligible to bid? ..............................................................33
What are the minimum eligibility requirements? .........................................................34
What are the eligibility requirements of a prospective bidder that is a
foreign entity? ..................................................................................................................36
How and when must the Eligibility Envelope be submitted?..........................................37
What happens if only one prospective bidder submits an Eligibility Envelope? ................37
How long should the process of Eligibility Check/Screening take? .................................37
Who are involved in the Receipt and Opening of the Eligibility Envelopes? .....................37
Methodology: How should Eligibility Envelopes be received? ........................................37
Methodology: How is an Eligibility Check/Screening conducted? ...................................38
What can a prospective bidder do if it is found ineligible? ............................................38
What happens if questions/doubts have been raised about the eligibility of a
Prospective bidder after it had been declared as eligible?............ ............................................39
What happens if only one prospective bidder is declared eligible? .................................39
What happens if no prospective bidder is declared eligible?..........................................40
STEP 3: ISSUE THE BIDDING DOCUMENTS........................................................ 41
Legal Reference .....................................................................................................41
When must the bidding documents be made available to eligible bidders? .....................41
How much must eligible bidders pay for the bidding documents?..................................41
Methodology: How are the bidding documents issued? ...............................................42
What are the responsibilities of an eligible bidder with regard to the bidding
documents? ...........................................................................................................42
STEP 4: CALL APRE-BID CONFERENCE AND, IF NECESSARY,ISSUE
SUPPLEMENTAL/BID BULLETINS..................................................................... 44
Legal Reference .....................................................................................................44
What is a Pre-Bid Conference? .................................................................................44
When do you hold a Pre-Bid Conference? ..................................................................44
Who are the participants of a Pre-Bid Conference?......................................................44
How should the participants conduct themselves during the Pre-Bid Conference and
stages of the procurement process? ...........................................................45
Methodology: How is the Pre-bid Conference conducted?.............................................45
What happens if there is a need for clarification or interpretation on the Bidding
Documents after the Pre-bid Conference had been held. .............................................45
Who is involved in the Issuance of the Supplemental/Bid Bulletin? .............................46
Page iii Manual of Procedures for the Procurement of Infrastructure Projects Methodology:
How is a Supplemental/Bid Bulletin issued?........................................... 46
STEP 5: RECEIVE AND OPEN THE TECHNICAL AND FINANCIAL ENVELOPES................ 47
Legal Reference ..................................................................................................... 47
What is a Bid? ....................................................................................................... 47
What are the contents of the Technical Proposal?....................................................... 47
What are the contents of the Financial Proposal? ....................................................... 48
When should the bids be submitted? ........................................................................ 48
Who are involved in the Receipt and Opening of Bids? ................................................ 49
Methodology: How are the bids received, opened and preliminarily examined? ............. 49
Are eligible bidders allowed to modify or withdraw their bids? ..................................... 51
What happens if an eligible bidder fails to comply with the Technical and Financial requirements of the
Bid? ........................................................................................ 51
To what extent can a contractor subcontract work?.................................................... 51
When should the Procuring Entity be informed of subcontracting arrangements? ........... 52
STEP 6: EVALUATE THE BIDS........................................................................ 53
Legal Reference ..................................................................................................... 53
What is the purpose of Bid Evaluation? ..................................................................... 53
When should the bids be evaluated? ........................................................................ 53
Who are the participants in Bid Evaluation?............................................................... 53
Methodology: How are bids evaluated?.................................................................... 53
What happens if a bidder does not accept the arithmetical corrections done by the BAC on its
bid? ...................................................................................................... 55
What happens if no bid complies with all bid requirements? ........................................ 55
STEP 7: POST-QUALIFY............................................................................... 56
Legal Reference ..................................................................................................... 56
What is Post-qualification? ...................................................................................... 56
What does Post-qualification entail? ......................................................................... 56
What is the Timeline for the conduct of Post-qualification? .......................................... 58
Who are the parties involved in the conduct of Post-qualification?................................ 58
Methodology: How is Post-qualification conducted? ................................................... 58
What happens if a bidder is found to have been included in any government blacklist of
contractors? .......................................................................................... 58
What happens if a bidder or its employees is related within the third civil degree of consanguinity to the
Head of the Procuring Entity or any of officials of employees of the Procuring Entity with
direct access to information
that my substantially affect the results of the bidding? ........................................................... 59
What happens if a bidder is found to have committed an act that constitutes fraud or misrepresentation or
to have colluded with others for the purpose of influencing the outcome of the
Bidding?.................................................................................... 59
What happens if the bidder with the LCB fails Post-qualification? ................................. 59
What happens if all qualified bidders fail Post-qualification?......................................... 59
STEP 8: AWARD THE CONTRACT.................................................................... 61
Legal Reference ..................................................................................................... 61
What is the rule on Contract Award? ........................................................................ 61
What is the Timeline for Contract Award? ................................................................. 61
Who are involved in the Award of the Contract?......................................................... 61
Methodology: How is a contract awarded? ............................................................... 62
STEP 8: HAVE THE CONTRACT SIGNED AND APPROVED AND ISSUE THE NTP .....63
Legal Reference ..................................................................................................... 63
When must the winning bidder and the Procuring Entity enter into a contract? .............. 63
What are the timelines to be considered with respect to contract approval? .................. 63
When should the Procuring Entity issue the NTP? ....................................................... 63
When is a contract “effective”? ................................................................................ 63
Who are the Parties involved in Contract Signing and Approval and Issuance of the NTP?............. 64
What documents form part of the contract? .............................................................. 64
Methodology: ........................................................................................................ 64
What are the rules governing the review and approval of government contracts?........... 65
Page iv Manual of Procedures for the Procurement of Infrastructure Projects What happens if the bidder
with the LCRB or SCRB refuses or is unable, through its own fault, to post the performance security
and sign the contract within the prescribed
period? ..................................................................................................66
What happens if the failure of the bidder with the LCRB or SCRB to sign the contract within
the prescribed period is not its own doing? ..........................................67
RESERVATION CLAUSE................................................................................. 68
Legal Reference .....................................................................................................68
When may the Procuring Entity exercise its right to reject bids, declare a failure of bidding, or not award
the contract? ..........................................................................68
BIDDING OF PROVINCIAL PROJECTS................................................................ 69
Legal Reference .....................................................................................................69
What are provincial projects? ...................................................................................69
How are provincial projects procured?.......................................................................69
Is there any additional requirement for the advertisement and posting of opportunities for
provincial projects? ........................................................................70