Lex et Mercatura by BantayBid · RA 12009 Updates

RA 12009 Procurement Mode Decision Tree - What It Does and Does Not Decide

Published: September 6, 2026

Republic Act No. 12009 uses a fit-for-purpose procurement approach. GPPB Resolution No. 12-2025 approved a Procurement Mode Selection Decision Tree to guide Procuring Entities in choosing a mode suited to the circumstances of a project.

What the decision tree covers

The law and IRR recognize several modes, including Competitive Bidding, Limited Source Bidding, Competitive Dialogue, Unsolicited Offer with Bid Matching, Direct Contracting, Direct Acquisition, Repeat Order, Small Value Procurement, Negotiated Procurement, Direct Sales, and Direct Procurement for Science, Technology and Innovation.

A guide, not an automatic legal conclusion

The decision tree is intended to guide procurement-mode selection. The Procuring Entity remains responsible for validating the facts, conditions and legal requirements applicable to its project.

Why suppliers should understand procurement modes

The procurement mode affects the type of notice, competition, documentary requirements, timeline and evaluation process a supplier may encounter. Suppliers should nevertheless rely on the actual procurement notice and bidding documents rather than infer the mode from project value or a brief description alone.

Official source

GPPB Resolution No. 12-2025 - Procurement Mode Selection Decision Tree