EXECUTIVE ORDER NO. 301 July 26, 1987
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...
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Executive Orders
Decentralizing Actions on Government Negotiated Contracts, Lease Contracts and Records Disposal
Executive Order No. 301
EXECUTIVE ORDER NO. 301
Decentralizing Actions on Government Negotiated Contracts, Lease Contracts and Records Disposal
A. Decentralization of Negotiated Contracts
- Guidelines for Negotiated Contracts (Sec. 1):
• Contracts for public services or furnishing supplies, materials and equipment to the government can be entered into without public bidding in the following situations:
• Supplies urgently needed to meet an emergency involving loss of, or danger to, life and/or property. (Sec. 1a)
• Supplies to be used in a project or activity which cannot be delayed without causing detriment to public service. (Sec. 1b)
• Materials sold by an exclusive distributor or manufacturer with no suitable substitute available at more advantageous terms. (Sec. 1c)
• Supplies unsuccessfully placed on bid for at least two consecutive times due to lack of bidders or exorbitant/non-conforming offers. (Sec. 1d)
• Negotiated purchase is most advantageous to the government as determined by the Department Head. (Sec. 1e)
• Purchase is made from a government agency. (Sec. 1f)
- Jurisdiction over Negotiated Contracts (Sec. 2):
• Department or agency heads or governing boards of government-owned or controlled corporations can enter into negotiated contracts without prior approval, subject to availability of funds, compliance with Sec. 1 guidelines, and audit jurisdiction of Commission on Audit.
• Negotiated contracts involving P2,000,000 up to P10,000,000 shall be signed by the Secretary and two Undersecretaries.
- Abolition of the Presidential Committee on Negotiated Contracts (Sec. 3)
- Presidential Approval still required for contracts awarded through public bidding or negotiation (Sec. 4)
- Coverage limited to contracts for public services or furnishing supplies, materials or equipment, excluding infrastructure or public works contracts (Sec. 5)
B. Decentralization of Lease Contracts
- Guidelines for Lease Contracts (Sec. 6):
• Department of Public Works and Highways (DPWH) shall formulate uniform standards or guidelines for determining reasonableness of lease contract terms and rental rates.
- Jurisdiction Over Lease Contracts (Sec. 7):
• Agency heads can determine reasonableness of lease terms and rental rates, and enter into lease contracts without prior approval, subject to DPWH guidelines and audit jurisdiction of Commission on Audit.
- Periodic Reports on lease status and occupancy to be submitted to DPWH by agency heads (Sec. 8)
C. Decentralization of Records Disposal
- Guidelines for Records Disposal (Sec. 9):
• Records Management and Archives Office of the Department of Education, Culture and Sports shall prescribe uniform standards or guidelines for disposal or destruction of valueless or unnecessary records.
- Jurisdiction Over Records Disposal (Sec. 10):
• Government agencies can dispose of valueless records through their record units, subject to audit jurisdiction of Commission on Audit and compliance with guidelines prescribed by Records Management and Archives Office.
- Reporting Requirement for every records disposal to Records Management and Archives Office (Sec. 11)
D. Miscellaneous Provisions
- Repealing Clause for inconsistent laws, decrees, executive orders and other issuances (Sec. 12)
- Effectivity clause for immediate implementation (Sec. 13)
Decentralizing Actions on Government Negotiated Contracts, Lease Contracts and Records Disposal
A. Decentralization of Negotiated Contracts
- Guidelines for Negotiated Contracts (Sec. 1):
• Contracts for public services or furnishing supplies, materials and equipment to the government can be entered into without public bidding in the following situations:
• Supplies urgently needed to meet an emergency involving loss of, or danger to, life and/or property. (Sec. 1a)
• Supplies to be used in a project or activity which cannot be delayed without causing detriment to public service. (Sec. 1b)
• Materials sold by an exclusive distributor or manufacturer with no suitable substitute available at more advantageous terms. (Sec. 1c)
• Supplies unsuccessfully placed on bid for at least two consecutive times due to lack of bidders or exorbitant/non-conforming offers. (Sec. 1d)
• Negotiated purchase is most advantageous to the government as determined by the Department Head. (Sec. 1e)
• Purchase is made from a government agency. (Sec. 1f)
- Jurisdiction over Negotiated Contracts (Sec. 2):
• Department or agency heads or governing boards of government-owned or controlled corporations can enter into negotiated contracts without prior approval, subject to availability of funds, compliance with Sec. 1 guidelines, and audit jurisdiction of Commission on Audit.
• Negotiated contracts involving P2,000,000 up to P10,000,000 shall be signed by the Secretary and two Undersecretaries.
- Abolition of the Presidential Committee on Negotiated Contracts (Sec. 3)
- Presidential Approval still required for contracts awarded through public bidding or negotiation (Sec. 4)
- Coverage limited to contracts for public services or furnishing supplies, materials or equipment, excluding infrastructure or public works contracts (Sec. 5)
B. Decentralization of Lease Contracts
- Guidelines for Lease Contracts (Sec. 6):
• Department of Public Works and Highways (DPWH) shall formulate uniform standards or guidelines for determining reasonableness of lease contract terms and rental rates.
- Jurisdiction Over Lease Contracts (Sec. 7):
• Agency heads can determine reasonableness of lease terms and rental rates, and enter into lease contracts without prior approval, subject to DPWH guidelines and audit jurisdiction of Commission on Audit.
- Periodic Reports on lease status and occupancy to be submitted to DPWH by agency heads (Sec. 8)
C. Decentralization of Records Disposal
- Guidelines for Records Disposal (Sec. 9):
• Records Management and Archives Office of the Department of Education, Culture and Sports shall prescribe uniform standards or guidelines for disposal or destruction of valueless or unnecessary records.
- Jurisdiction Over Records Disposal (Sec. 10):
• Government agencies can dispose of valueless records through their record units, subject to audit jurisdiction of Commission on Audit and compliance with guidelines prescribed by Records Management and Archives Office.
- Reporting Requirement for every records disposal to Records Management and Archives Office (Sec. 11)
D. Miscellaneous Provisions
- Repealing Clause for inconsistent laws, decrees, executive orders and other issuances (Sec. 12)
- Effectivity clause for immediate implementation (Sec. 13)