G.R. No. 230322 , February 19, 2020
Jessie L. Jomadiao and Wilma F. Pastor, Petitioners, v. Manuel L. Arboleda, Respondent.

FACTS

The Bureau of Soils and Water Management (BSWM) allotted Nine Million Pesos (P9,000,000.00) for the rehabilitation of canals and dams under a Small Water Impounding Project (SWIP) in the Municipality of Looc, Romblon. The Bids and Awards Committee (BAC) of Looc, which included petitioners Jessie L. Jomadiao and Wilma F. Pastor as provisional members, convened on September 24, 2007. The BAC decided to subdivide the P9,000,000.00 fund into seven smaller projects, justifying publication of the Invitation to Apply for Eligibility and to Bid (IAEB) in a local newspaper instead of a national one. The IAEB was published in the Romblon Sun, a local newspaper, on September 25 to October 1, 2007, and October 2 to 8, 2007, and posted on the municipal bulletin board. R.G. Florentino Construction and Trading was the lone bidder and was awarded the contract. A Commission on Audit (COA) report later observed violations of Republic Act No. 9184 (the Government Procurement Reform Act) and its Implementing Rules. Respondent Manuel L. Arboleda filed a complaint before the Office of the Ombudsman against the BAC members and the Mayor, citing irregularities including the non-posting of the project on the Philippine Government Electronic Procurement System (PhilGEPS), allowing the bidder to pay for the IAEB publication, and accepting a bid with an insufficient bid security. The Ombudsman found petitioners and others guilty of Grave Misconduct and imposed the penalty of dismissal. The Court of Appeals affirmed the Ombudsman’s decision.

ISSUE

Whether the Court of Appeals erred in affirming the Office of the Ombudsman’s finding that petitioners are guilty of Grave Misconduct for violations of Republic Act No. 9184 and its Implementing Rules and Regulations.

RULING

The Supreme Court denied the petition and affirmed the findings of the Office of the Ombudsman and the Court of Appeals, but modified the penalty. The Court held that petitioners, as BAC members, failed in their duty to ensure strict compliance with RA 9184. The act of allowing the bidder, R.G. Florentino, to pay for the publication of the IAEB in the Romblon Sun constituted a clear violation of the law, which mandates that the cost of advertisement be for the account of the procuring entity. Furthermore, the BAC accepted R.G. Florentino’s bid despite the absence of the required bid security at the time of the bid opening, another violation. The Court also noted the failure to post the invitation on the PhilGEPS website. However, the Court found that these acts, while constituting violations, did not amount to Grave Misconduct, which requires a corrupt intent or a willful disregard of established rules. Instead, the Court found petitioners guilty of Simple Neglect of Duty for their failure to exercise due diligence in the performance of their official functions. Consequently, the penalty was modified from dismissal to suspension for six months.