Dizon sets new budget guidelines for public works

Public Works Secretary Vivencio Dizon has issued new budget guidelines for the Department of Public Works and Highways (DPWH), starting with a new policy on proposed budgets for project consultants.

- By RAINIER ALLAN RONDA

In an order issued Sept. 22, Dizon outlined guidelines on the preparation, review and updating of Approved Budget for the Contract (ABC) for consulting services under locally funded and foreign-assisted projects of the agency.

Under Department Order No. 184, Dizon said the ABC will now strictly serve as the ceiling for bid prices in locally funded consulting projects. Any offer that goes beyond the ABC will be disqualified outright.

For foreign-assisted projects, the ABC is referred to as the estimated project cost. The agency said EPCs must follow the rules of donor or lending institutions, but stressed that no increase beyond the approved loan or grant amount may proceed without clearance from oversight agencies such as the Department of Budget and Management or the Department of Economy, Planning and Development.