EXECUTIVE ORDER NO. 301
EXECUTIVE ORDER NO. 301 -
DECENTRALIZING ACTIONS ON GOVERNMENT NEGOTIATED CONTRACTS, LEASE
CONTRACTS AND RECORDS DISPOSAL
WHEREAS,
it is the policy of the government to promote economy, efficiency and
effectiveness in the delivery of public services;
WHEREAS, under the present set-up, a centralized administrative system
is provided for reviewing and approving negotiated contracts under
Executive Order No. 298 (issued August 12, 1940), as amended; for
determining the reasonableness of government lease contracts under
Executive Order 290 (issued March 14, 1958), as amended, and for the
disposal of government records under Executive Order No. 290,
supra;
WHEREAS, such centralized administrative system is not at all
“facilitative” particularly in emergency situations, characterized as
it is by red tape and too much delay in the processing and final
approval of the required transaction or activity; and
WHEREAS, for expeditious action, there is need to decentralize the
processing and final approval of negotiated contracts, lease contracts
and records disposal to the agencies concerned, subject to compliance
with prescribed uniform standards or guidelines and to the review and
audit jurisdiction of the Commission on Audit (COA) or its duly
authorized representative.
NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by
virtue of the powers vested in me by the Constitution, do hereby
order:
A.
DECENTRALIZATION OF NEGOTIATED CONTRACTS
Section 1. Guidelines for Negotiated Contracts. — Any
provision of law, decree, executive order or other issuances to the
contrary notwithstanding, no contract for public services or for
furnishing supplies, materials and equipment to the government or any
of its branches, agencies or instrumentalities shall be renewed or
entered into without public bidding, except under any of the following
situations:
a.
Whenever the supplies are urgently needed to meet an
emergency which may involve the loss of, or danger to, life and/or
property;
b. Whenever
the supplies are to be used in connection with a project or activity
which cannot be delayed without causing detriment to the public
service;
c. Whenever
the materials are sold by an exclusive distributor or manufacturer who
does not have subdealers selling at lower prices and for which no
suitable substitute can be obtained elsewhere at more advantageous
terms to the government;
d. Whenever
the supplies under procurement have been unsuccessfully placed on bid
for at least two consecutive times, either due to lack of bidders or
the offers received in each instance were exorbitant or non-conforming
to specifications;
e. In cases
where it is apparent that the requisition of the needed supplies
through negotiated purchase is most advantageous to the government to
be determined by the Department Head concerned;
f. Whenever
the purchase is made from an agency of the government.
Sec. 2. Jurisdiction over Negotiated Contracts. —
In line with the principles of decentralization and accountability,
negotiated contracts for public services or for furnishing supplies,
materials or equipment may be entered into by the department or agency
head or the governing board of the government-owned or controlled
corporation concerned, without need of prior approval by higher
authorities, subject to availability of funds, compliance with the
standards or guidelines prescribed in Section 1 hereof, and to the
audit jurisdiction of the Commission on Audit in accordance with
existing rules and regulations.
Negotiated contracts involving P2,000,000 up to P10,000,000 shall be
signed by the Secretary and by two other Undersecretaries.
Sec. 3. Abolition of the Presidential Committee on
Negotiated Contracts. — The Presidential Committee on Negotiated
Contracts created under Executive Order No. 298 dated August 12, 1940
as amended, is hereby abolished: Provided, however, That all negotiated
contracts pending with the abolished Presidential Commission on
Negotiated Contracts shall be processed in accordance with existing
procedures and shall be signed by the Secretary of General Services.
Sec. 4. Presidential Approval. — Provisions of
existing laws requiring approval by the President of contracts of
national government offices, agencies and instrumentalities, including
government-owned or controlled corporations, awarded through the public
bidding or by negotiation, shall continue to be in force and effect.
Sec. 5. Coverage. — With particular reference to
negotiated contracts, this Executive Order covers only contracts for
public services or for furnishing of supplies, materials or equipment
to the government under Executive Order No. 298, as amended, and does
not apply to, among others, infrastructure or public works contracts
and to government contracts for which ceilings for approval by the
Department Heads concerned have been prescribed under Executive Order
No. 104 dated May 5, 1987.
B.
DECENTRALIZATION OF LEASE CONTRACTS
Sec. 6. Guidelines for Lease Contracts. — Any
provisions of law, decree, executive order or other issuances to the
contrary notwithstanding, the Department of Public Works and Highways
(DPWH), with respect to the leasing of privately-owned buildings or
spaces for government use or of government-owned buildings or space for
private use, shall formulate uniform standards or guidelines for
determining the reasonableness of the terms of lease contracts and of
the rental rates involved.
Sec. 7. Jurisdiction Over Lease Contracts. — The
heads of agency intending to rent privately-owned buildings or spaces
for their use, or to lease out government-owned buildings or spaces for
private use, shall have authority to determine the reasonableness of
the terms of the lease and the rental rates thereof, and to enter into
such lease contracts without need of prior approval by higher
authorities, subject to compliance with the uniform standards or
guidelines established pursuant to Sec. 6 hereof by the DPWH and to
the audit jurisdiction of COA or its duly authorized representative in
accordance with existing rules and regulations.
Sec. 8. Periodic Reports. — The abovementioned
heads of agency, with respect to the buildings or space rented by them
or leased by them to private parties, shall be considered respectively
as the administrators of said properties and shall prepare and submit
such periodic reports on the status of the lease and occupancy thereof
to, and as may be required by, the DPWH.
C.
DECENTRALIZATION OF RECORDS DISPOSAL
Sec. 9. Guidelines for Records Disposal. — Any
provision of law, decree, executive order or other issuances to the
contrary notwithstanding, the Records Management and Archives Office of
the Department of Education, Culture and Sports shall prescribe uniform
standards or guidelines to be followed by government agencies in the
disposal or destruction of their valueless or unnecessary records.
Sec. 10. Jurisdiction Over Records Disposal. — The
government agencies concerned, through their respective record units or
their equivalent, shall have authority to dispose of their valueless
records subject to the audit jurisdiction of the Commission on Audit or
its duly authorized representative, in accordance with existing rules
and regulations, and subject further to compliance with the uniform
standards or guidelines on records disposal prescribed by the Records
Management and Archives Office.
Sec. 11. Reporting Requirement. — For every
records disposal undertaken by an agency, a report thereon shall be
prepared and submitted to the Records Management and Archives Office,
describing briefly the records disposed of and the manner of their
disposition.
D.
MISCELLANEOUS PROVISIONS
Sec. 12. Repealing Clause. — All laws, decrees,
executive orders and other issuances or part thereof, which are
inconsistent herewith, are hereby repealed or modified accordingly.
Sec. 13. Effectivity. — This Executive Order shall
take effect immediately.
APPROVED in the City of Manila,
this 26th day of July, in the year of Our Lord, nineteen hundred and
eighty-seven.
chanrobles virtual law library
Back to Main
chan
robles virtual law library
Since 19.07.98.