MVP’s speech debacle is turning out to be a blessing for the COMELEC since the public isn’t talking too much about the overpriced folder procurement issue which was raised by Senator Pimentel. To those who don’t know about this let me explain briefly what happened. The COMELEC was set to purchase 1.8M folders at 380 pesos each. This is the official response of COMELEC based on the article posted on Inquirer.Net:
MANILA, Philippines – The Commission on Elections (Comelec) decided to recall its decision to award the contract for the procurement of 1.8 million ballot secrecy folders to OTC paper supply after finding out that each would cost P380, spokesperson James Jimenez said on Monday.
Jimenez said the Comelec made the discovery two weeks ago and was investigating how the amount got approved.
He also said the actual contract was not yet drawn up when the poll body found out how much each folder would cost.
“The direction [of the en banc] is toward the cancellation of the award,” he told reporters.
Here are my questions for Mr. Jimenez:
1. You said that the amount was approved but the actual contract was not yet drawn up? That’s a bit inconsistent?
2. Who is responsible for approving the amounts for projects like this?
3. You said that the COMELEC found out about this two weeks ago. I don’t think it takes a genius to figure out that 380 pesos per folder is insanely overpriced. Why didn’t COMELEC shoot this down at the get-go?
I can’t fathom how this deal got through unless there’s a long line of corruption which extends all the way to the top. Hopefully that’s not the case.
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In answer to your queries:
1. There is no inconsistency in the amount being approved and the contract not being drawn up or signed yet. In government procurement, the first order of business is to award the project and then to draw up the contract based on the award. When an award is made, the award includes an indication of how much the contract price will be. The actual contract formalizes the procurement. Of course, all of this is drastically simplified, but you get the drift.
2. Procurement is the responsibility of the Bids and Awards Committee. The BAC makes a recommendation to the en banc and the en banc either accepts or rejects the recommendation.
3. We’re reviewing the paperwork on this for precisely that reason: why wasn’t it spotted earlier? However, the fact remains that the processes of checks and counter-checks DID, in fact, work. And that’s the reason why this deal did NOT “go through.”
I hope this helps.
Hi Sir!
Thanks for the reply. I’m amazed you actually found time to read this and even post a comment.
My only concern is that we award projects to suppliers even if we don’t know the price yet? That’s a bit hard to swallow. Shouldn’t we finalize the price before we award projects to suppliers?
Lastly, I have the impression that Senator Pimentel’s exposure brought about the cancellation because it put pressure on the COMELEC. Kindly correct me if I’m wrong.
We might disagree on things but let me just thank you again for your attention.
Cheers,
Carlo
wow!!! nice one Carlo….. I thought busy people like him would not read some blogs…
That’s not James… That’s Sheyms…
Hi,
The bidding proceeds only if you have an Approved Budget for the Contract – or ABC. That’s what happened here. The problem is that there have been claims that the ABC was misunderstood to have been 3.80 pesos per folder instead of 380 pesos. And that’s exactly what is being investigated now: whether or not there was a deliberate attempt to mislead.
I’m sorry I wasn’t so clear in my first post, but I hope I’ve resolved it. Just as an added clarification, the price isn’t arrived at in the contract. The ABC is known well in advance of contract signing.
Senator Pimentel’s expose brought it to the public’s attention, certainly. But the problem was identified internally before the Holy Week, so our rectification (funny word, that) of the issue actually pre-dated Senator Pimentel’s announcement.
Hope this helps.
James – sometimes called Sheyms, right Paul?
Mr. JIMENEZ,
I am a Barangay Official somewhere in Quezon City.. i just heard from fellow brgy officials that the October 2010 Barangay Elections is planned to postpone due to budget constraints.
This postponement will benefit the incumbent officials as well for the last term.
Is it possible? TNX…….
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