On COA’s Audit Observation Memorandum AOM 11-004 (2010) dated
25 February 2011, PNCC invoked the ruling stated in PNCC vs. Pabion&
Ramiro (GR No. 131715, 8 December 1999) that PNCC is a private corporation
long before the promulgation of Republic Act 9184, and being so,
PNCC has its own Board approved policy on procurement. PNCC’s
procurement manual is moreover certified under ISO. An examination
of PNCC’s procurement manual and the provisions of R.A. 9184
(from which PhilGEPs draw its inspiration) will show that the state’s
policy on procurement and that of PNCC are identical, and does not
depart from one another. PNCC’s Procurement Manual is consistent
with best practices in the industry.
At best, the provisions in the government procurement system can
only be applied to PNCC suppletorily.