THE Commission on Audit (COA) has upheld the validity of the claim for payment filed by Accent Micro Technologies Inc. (AMTI) against the Department of Social Welfare and Development (DSWD) for the unpaid balance of the laptop computers it delivered in 2021 amounting to P13.98 million.
However, the commission en banc said the supplier is liable for liquidated damages totaling P898,175.99 on delayed deliveries, which reduced the payment due to P13.08 million.
Records showed the DSWD posted an invitation to bid on its contract for delivery of 269 desktop computers with a budget of P16.14 million and 270 laptop computers with an approved appropriation of P17.55 million or a total of P33.69 million.
The contract for the desktop computers was awarded to Advance Solutions Inc. while Accent Micro won the contract for the delivery of laptop computers.
AMTI received the Notice to Proceed on February 22, 2021 notifying it that it has 60 days or up to April 23, 2021 to fulfill the contract.
On April 14, 2021, the supplier filed a request for extension of another 60 days citing factory and material constraints caused by the COVID-19 pandemic but was turned down by the DSWD.
Despite this, the AMTI completed the deliveries from June 23 to July 2, 2021 to the DSWD Central Office and Field Offices as acknowledged by the recipients through the issuance of Inspection and Acceptance Reports (IARs).
In its petition, the supplier said it only received payment in the sum of P1.747 million which was subjected to a deduction of P198,434.50 as penalty, leaving a balance of P13.98 million.
While admitting the delivery of laptop computers, the DSWD Procurement Management Service noted that the source of funding for the procurement was the agency’s 2019 budget for continuing appropriations while the contract provided that delivery, inspection, and acceptance shall not be later than June 30, 2021.
Due to the delays incurred, the DSWD said AMTI is liable for liquidated damages and tax deductions from the total amount being claimed.
The COA said the supplier is entitled to receive payment for completing the delivery even if it failed to meet the deadline.
“Considering that the laptop computers were completely delivered in accordance with the specifications of the contract, the goods had been duly inspected and accepted by DSWD, and the certification from DSWD that the balance in the amount of P13,979,392.80 had not been paid to AMTI, this Commission finds factual and legal basis for the claim,” the COA declared.
However, it also upheld the DSWD’s stand that the payment is subject to liquidated damages for non-compliance with the timetable of the contract.
“Thus, AMTI is liable for liquidated damages in the amount of P898,175.99 which can be deducted from its total claim from DSWD. In view of the foregoing, this Commission rules to partially grant the money claim in the amount of P13,081,216.81,” it added.
