Top House leaders seek authority for LGUs to buy COVID-19 vaccines on their own

House Speaker Lord Allan Velasco meets with Health Secretary Francisco Duque III and vaccine czar Secretary Carlito Galvez Jr. on February 10, 2021.
Release/Office of Speaker Lord Allan Velasco

MANILA, Philippines — Top leaders of the House of Representatives have filed a bill which seeks to authorize local governments to purchase coronavirus vaccines on their own without having to go through public bidding.

Currently, local governments have to strike a tripartite agreement with the national government and vaccine manufacturers to secure doses of the globally coveted shots.

But under the House Bill No. 8648 filed by Speaker Lord Allan Velasco (Marinduque), Majority Leader Ferdinand Romualdez (Leyte) and Minority Leader Joseph Stephen Paduano (Abang Lingkod party-list), local governments may directly purchase COVID-19 vaccines from manufacturers.

Velasco said this is to ensure that COVID-19 vaccines are “procured and administered in an expeditious, effective, efficient and equitable manner.”

“Time is of the essence. Each day of delay is very costly for the government, and leaves many of our vulnerable countrymen exposed to the dangers of this disease,” he said.

The bill also provides for another exemption to regular procurement rules by allowing advanced payments of up to 50% to COVID-19 drug and vaccine manufacturers if they require it. The president may change the amount allowed for advanced payments.

Foreign manufacturers that demanded advanced payments are required under the bill to deliver the vaccines within six months from the perfection of the contract.

The measure also exempts COVID-19 drugs and vaccines from the requirement that they pass Phase IV trials before the government can procure them.

Under the bill, local governments can only buy COVID-19 vaccines which are registered with the Food and Drug Administration or have been issued an emergency use authorization. 

Vaccines which would be bought by local governments would also be exempt from customs duties, value-added tax, excise tax and other fees related to their procurement, importation, storage, transport, distribution and administration.

The bill also seeks to create an indemnification fund which would be used to pay individuals who would experience adverse effects due to the vaccine.

Should the measure be enacted, it will only remain in effect during the state of calamity and public health emergency due to the COVID-19 pandemic.

Senate Majority Leader Juan Miguel “Migz” Zubiri has filed a similar bill in the upper chamber.

Local governments will be at the forefront of the government’s vaccination drive against COVID-19, with the national government putting the burden of the implementation of the planned inoculation campaign.

However, the national government has insisted that local governments would have to deal with them and drugmakers so they can purchase doses of COVID-19 vaccines, saying that this is to “align efforts” on vaccination.

Show comments