In the previous administration, the Procurement Service of the Department of Budget and Management was at the heart of a scandal involving the Department of Health’s multibillion-peso procurement, through the PS-DBM, of personal protective equipment or PPEs including supposedly overpriced face shields as the COVID-19 pandemic was starting.
If Commission on Audit reports released recently prove accurate, the PS-DBM also procured P1.38 billion worth of PPEs that were not registered with the Food and Drug Administration. And health items weren’t the only questionable PS-DBM procurements, according to the COA.
A congressional inquiry looms into the COA report that the Department of Education’s central office, through the PS-DBM, purchased P2.4 billion worth of laptops that were “pricey” for entry-level laptops and reportedly had “outdated” processors that seemed “too slow” for online learning. The PS-DBM has promised a “thorough examination” of the cost and technical specifications of the laptops.
When the scandal broke over the PPE procurements, mostly from the apparently well-connected but little-known Pharmally Pharmaceutical Corp., several lawmakers proposed the dismantling of the PS-DBM. Then president Rodrigo Duterte’s strenuous defense of the government’s role in the procurements derailed efforts to implement necessary reforms.
The latest controversies should revive the urgency of reviewing the government’s procurement system and the role of the PS-DBM. Republic Act 9184 or the Government Procurement Reform Act, passed in 2003, has undergone several revisions in its implementing rules and regulations. The IRR may need further fine-tuning, or a new law may have to be enacted to plug loopholes that open opportunities for corruption in government purchases.
The procurements examined so far by state auditors cover those of the previous administration. By the time the COA focuses on procurements under the watch of President Marcos, the reforms must be in place.