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PRRD's Memorandum Order 51 to facilitate COVID-19 vaccine acquisition - DILG

Published Feb 22, 2021 02:22 pm

The Department of the Interior and Local Government (DILG) welcomed on Monday, Feb. 22, the signing of the Memorandum Order 51 that authorizes Local Government Units (LGUs)  to make advance payments for the purchase of Corona Virus Disease (COVID-19) vaccines, saying it will expedite the procurement to counter the threat of the fatal virus infection.

(JANSEN ROMERO / MANILA BULLETIN)

On February 18, President Duterte signed M.O. 51 that allowed the local government units (LGUs) to make advance payments for the acquisition of COVID-19 vaccines that exceeds the 15 percent limit set under procurement laws. 

The Implementing Rules and Regulations (IRR) of the Government Procurement Reform Act states that an advance payment “shall be made only after prior approval of the President and shall not exceed 15 percent of the contract amount, unless otherwise directed by the President.”

DILG officer-in-charge (OIC) Bernardo C. Florece, Jr.  said that this development will ascertain that both the national Task Force (NTF) and the LGUs will speed up the process of securing COVID-19 vaccines for their constituents. 

He added that M.O. 15 and the possible enactment of House Bill No. 8648 that would allow the importation of COVID-19 vaccines tax free and Senate Bill No.2057 seeking to fast-track the purchase and roll-out of COVID-19 together with the P500-million indemnification fund removes the barriers to the early delivery of vaccines to our country.

“M.O. 15 also authorizes the NTF and the Department of Health (DOH) to make advance payments exceeding 15 percent of the total contract amount for the procurement of COVID-19 vaccines.  The said M.O. takes effect immediately after its issuance and will remain until the lifting of the State of Calamity due to COVID-19,’’ stated the DILG.

Florece reminded all LGUs that the procurement and payment of vaccines is subject to authorization from NTF COVID-19 chief Implementer Carlito Galvez Jr. as well as “subject to the criteria and limits to be identified by the NTF and Department of Health (DOH) consistent with applicable laws, rules, and regulations.”

“We wish to remind the LGUs that all negotiations must follow the tripartite process involving the national government and the pharmaceutical companies they wish to purchase from,” Florece said.

Florece warned that “corruption has no place amid the COVID-19 pandemic and all those who will be proven to have engaged in illegal acts will be dealt with under the full power of the law.” 

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