Procurement Policy Office

(Established under section 4 of the Public Procurement Act 2006)

Ref: UG/SBD20/10/08

USER GUIDE
VOLUME I

Procurement Policy Office Ministry of Finance and Economic Empowerment Port Louis 08 October 2008

Foreword
The User Guide has been prepared pursuant to section 7(c) of the Public Procurement Act 2006 as a support to enable public officers to conduct procurement proceedings efficiently. The Guide may also be very helpful to senior officers on administrative procedures public bodies have to follow internally and interfacing with the institutions established under the Act. The Policy Office welcomes comments or suggestions on this document from interested parties.

Contact Address: The Director Procurement Policy Office Ministry of Finance and Economic Empowerment Level 8, Emmanuel Anquetil Building, Port Louis, Mauritius Tel: No. (230)201-3760 & Fax: No. (230)201-3758 Email: mof-pposecretariat@mail.gov.mu

TABLE OF CONTENTS

Introduction - Objectives and arrangements of this User Guide...........3 Part I Part 2. 2.1. 2.2. 2.3. 2.4. Part 3. 3.1. 3.2. 3.3. 3.4. 3.5. Language of Public Procurement Interpretation of terms used .........5 Institutional set-up..............8 The Three Organs. The Procurement Policy Office The Central Procurement Board The Independent Review Panel Arrangements for Procurement at the level of Public Bodies.................14 Primary Responsibility for Public Procurement Procurement Function within a public body Administrative structures of parastatal bodies Advice from the Procurement Policy Office Establishment and Procedure of Bid Evaluation Committee

Part 4. Procurement Planning.................18 4.1. Identifying the Need to Procure 4.2. Procurement Planning 4.3. Estimating the Cost and Identifying the Source of Funds 4.4. Calculating Estimated Value of Procurement Contracts 4.5. Possible environmental Protection Measures 4.6. Determination of Appropriate Contract Form 4.7. Organizing the Procurement Team Part 5. 5.1. 5.2. 5.3. 5.4. 5.5. Part 6. 6.1. 6.2. 6.3. 6.4. 6.5. 6.6. 6.7. 6.8. 6.9. Procurement Methods..................23 Choosing the Proper Method Conditions for use of a Particular Procurement Method Procedures for Negotiations Use of Information and Communications Technology Electronic Submission The Bidding Process: Standard Bidding Documents and Procurement Procedures........29 Standard Bidding Documents Procedures for Open Advertised Bidding Procedures for Procurement of Consultancy Services Procedures for Restricted Bidding Procedures for Request for Sealed Quotations (Goods/Works/Services) Emergency Procurement Direct Procurement Procurement through Community and End-User Participation Procurement by Departmental Execution

Part 7. 7.1. 7.2. 7.3. 7.4. 7.5. 7.6. Part 8. 8.1. 8.2. Part 9. 9.1. 9.2. 9.3. 9.4.

Contract administration.......70 Introduction Contract Terms Payment Contract Modifications Termination and Breach Record Keeping Challenge and Appeal .................74 Provisions of the Act Bid Challenge Procedure Procurement Integrity..................81 Conduct of Public Officials Conduct of Bidders and Suppliers Suspension and Debarment Procedures for Suspension and Debarment

Part 10. Miscellaneous ..................82 10.1. Oath of office 10.2. Declaration of Assets

INTRODUCTION
Objectives and Arrangements of this User Guide
This User Guide is intended to help officials of public bodies conduct public procurement in compliance with the Public Procurement Act 2006 (the Act) and the accompanying Regulations. The Act, together with the Regulations, establishes precise rules for eac h step of the process. Applying these procedures and rules properly requires knowledge and skills. Before the skills can be developed through experience, the rules and procedures must be learnt. The User Guide elaborates on procedures and rules in the sequence of the buying activity and provides instructions and aids for applying them correctly. Throughout the User Guide, the term User will be utilized in a general way to describe officials of the public bodies to whom the User Guide is addressed. Most often the User will be procurement officers charged with responsibilities to carry out procurement actions in accordance with the Act and the Regulations. The User Guide will also be a valuable resource for senior policy officials who want to understand the principles, standards and procedures involved in the public procurement system. Part 1 of the Guide relates to the language of public procurement. The interpretation of the terms used in the Act and the Regulations has been reproduced for the convenience of the User. Part 2 concerns the Procurement Policy Office and the relationship between public bodies and the Policy Office; the functions of the Central Procurement Board and the responsibility of the Board for approving major contracts ; and the role of the Independent Review Panel. Part 3 emphasises on the possibility of either operating under the PPA 2006 with existing organizational arrangements for procurement or expanding to accommodate specialized and complex types of procurement. This part also highlights the existence of particular administrative structures within each parastatal organization to cater for specific requirements. Part 4 discusses the first phase of the procurement cycle: procurement planning. A successful procurement begins with careful planning. The Regulations implementing the Act provide detailed rules and procedures regarding planning, but these rules are only addressed to the final step of the planning process. Other laws, particularly the budgetary framework, and internal administrative procedures, apply in planning for a procurement in the public sector. However, the final stage, choosing the proper procurement procedure, is governed by the Act and thus the process is explained in the User Guide. The Act authorizes the use of several procurement methods for the selection of suppliers. Part 5 of the User Guide sets out the instructions for use of each method. Users will choose the proper procurement method for the particular procurement activity, and then follow the instructions for the method chosen.

The contents of the main Standard Bidding Documents and the different stages that a bidding process goes through have been discussed in Part 6. This part will raise awareness of users in conducting procurement correctly irrespective of the chosen procurement method. Part 7 concerns issues of contract administration, including contract terms, payment, modification, termination and breach. Part 8 discusses the procedures for Challenge a Appeal by unsatisfied/potential nd bidders. Part 9 addresses the conduct of bidders, suppliers and public officials with emphasis on procurement integrity. Part 10 covers miscellaneous items.

PART I
Language of Public Procurement - Interpretation of Terms used in the Public Procurement Act 2006 and the Public Procurement Regulations 2008
Unless the subject or the context otherwise requires, the terms below shall be understood as follows: "Act" means the Public Procurement Act 2006; bid includes a proposal submitted in response to a request issued pursuant to section 24 of the Act; "bidder" means a participant or potential participant in procurement proceedings; bidding document (a) means any document issued by a public body on the basis of which bidders prepare bids; and (b) includes any document which contains instructions to bidders, specifications, maps, designs, terms of reference, work schedule, evaluation criteria, bills of quantities, conditions of contract or other similar items; bid security means the security instrument required to ensure that a bid will remain valid during the period stated in the bidding document; Board means the Central Procurement Board established by section 8 of the Act; Chairperson means the Chairperson of the Board or of the Review Panel, as the case may be; challenge means a challenge made pursuant to sections 24, 40, or 43 of the Act; consultant means a person under contract to provide consultancy services to a public body in relation to a procurement contract; consultancy services means services of an intellectual and advisory nature, not incidental to the supply of goods or to the execution of the works, such as design, supervision, training, analysis, auditing, software development, and similar services; contractor means a person who has entered into a procurement contract with a public body; "departmental work" means any public works to be carried out directly by the public body itself or by another public body without entering into any contract; "deposit"- (a) means the retention money, earnest money, bid security or performance security furnished for security or pending the settlement of any work; (b) includes any amount furnished for security owing for any other reasons, as well as the security associated with the filing of a complaint;

donor organization means an organization based outside Mauritius which provides or joins in providing grants, credits, or loans to the Government or its agencies; exempt organization means a public body, as specified in the First Schedule of the Act, which is excluded from the application of the Act; "goods" means objects of every kind and description including commodities, raw materials, manufactured products and equipment, industrial plant, objects in solid, liquid or gaseous form, electricity, as well as services incidental to the supply of the goods such as freight and insurance; "joint venture" means an association of two or more entities for the purposes of carrying out a procurement c ontract; local authority (a) has the same meaning as in the Local Government Act; and (b) includes the Rodrigues Regional Assembly; major contract means a contract for the procurement of goods or services or the execution of works (a) to which a public body is or proposes to be a party; and (b) the estimate of the fair and reasonable value of which exceeds the prescribed amount; member (a) means a member of the Policy Office, the Board, or the Review Panel, as the case may be; and (b) includes the Director, or the Chairperson of the relevant body, as the case may be; Minister means the Minister to whom responsibility for the subject of finance is assigned; officer means a person who is assigned to, or employed by, the Policy Office, the Board or the Review Panel; other services means any services other than consultancy services or services incidental to the supply of goods or the execution of works; parastatal body means an organisation established under an enactment whether body corporate or not and which depends wholly or partly on government funding; Policy Office means the Procurement Policy Office established under section 4 of the Act; prescribed amount means the amount specified in column 3 of the Schedule to the Act corresponding to the public body specified in column 1 in relation to the type of contract specified in column 2 of that Schedule; "procurement" means the acquisition by a public body by any contractual means of goods, works, consultant services or other services; "procurement contract" means a contract between the public body and a supplier, contractor or consultant resulting from procurement proceedings; public body - (a) means any Ministry or other agency of the Government; (b) includes (i) a local authority; (ii) a parastatal body; and (iii) such other bodies specified in the Schedule to the Act; but (c) does not include an exempt organization;

public official means (a) an officer; (b) a supplier, contractor or consultant or any of their agents; and (c) a public officer or other person employed by a public body; regional preference means the margin of preference applicable to suppliers of the countries of the region as per instructions issued by the Policy Office; responsive in relation to a bid, means responsive to the basic requirements of a bid regarding ability to perform and complete on time; Review Panel means the Independent Review Panel established under section 44 of the Act; supplier means a person delivering goods, works, consultancy services or other services; Vice Chairperson means either of the two Vice-Chairpersons of the Board; and "works" means a work associated with the construction, reconstruction, demolition, ny repair or renovation of a building, structure or works, such as site preparation, excavation, erection, building, installation of equipment or materials, decoration and finishing, as well as services incidental to construction such as drilling, mapping, satellite photography, seismic investigations and similar services.

PART 2
Institutional Set-up
2.1. The Three Organs
(1) The primary objective of the Public Procurement rules and regulations is to provide maximum value for money to the government by ensuring that public funds are spent in a transparent, efficient and fair manner. The Public Procurement Act 2006 establishes three administrative organs for the attainment of this objective viz the Procurement Policy Office (the Policy Office) the Central Procurement Board (the Board), and the Independent Review Panel (the Review Panel). (2) The functions of these three organizations do not replace or modify the fundamental responsibilities of public bodies in conducting procurement operations. Public bodies will, however, need to adjust the execution of their primary responsibilities for procurement with reference to the Policy Office, the Board, and the Review Panel. The Act and the Regulations provide detailed procedures for implementing these new relationships.

2.2

The Procurement Policy Office

2.2.1. Establishment of the Procurement Policy Office (the Policy Office)

(1) The Policy Office is the engine for effective procurement reform in Mauritius. Procurement officers in the various public bodies and others interested in procurement in Mauritius will want to have a deep understanding of the mandate, initiatives, and resources of the Policy Office. Productive working relationships between the public bodies and the Policy Office will allow a positive integration of developing procurement policy with the conduct of procurement operations. (2) The Policy Office is established under section 4 of the Act to serve as an independent policy-making, and monitoring body for public procurement in Mauritius. Similar Procurement Policy Offices have been set up by other countries modernizing their public procurement systems. (3) The Policy Office has broad responsibilities to oversee the implementation of the Act. The Office will not be involved operationally in the conduct of procurement proceedings or the resolution of procurement disputes. The Policy Office may request information from the public bodies and consult with them (and also the Board and the Review Panel) in the development of Government procurement policy.

2.2.2. Functions of the Procurement Policy Office

(1) Section 7 of the Act gives specific functions to the Policy Office: (a) issue instructions to public bodies concerning the coordination of their actions with the Policy Office, the Board and the Review Panel;

(b)

formulate policies relating to procurement, including directives, procedures, instructions, technical notes and manuals, for the implementation of this Act; issue standard forms of contracts, bidding documents, pre-qualification documents, requests for proposals and other similar documents for mandatory use by every public body implementing procurement; collect from the Board, the Review Panel and public bodies information on procurement activities and monitor their compliance with this Act; recommend and facilitate the implementation of measures to improve the functioning of the procurement system, including the introduction of information and communications technology and the dissemination of publications and the setting up of websites dedicated to procurement; prepare and conduct training programmes for public officials, contractors and suppliers concerning procurement; solicit the views of the business community on the effectiveness of the procurement system; present an annual report to the Minister regarding the overall functioning of the procurement system; communicate and cooperate with international institutions and other foreign entities on matters of procurement; advise on and monitor foreign technical assistance in the field of procurement; advise the Financial Secretary regarding delegation of financial authority to public officers enabling them to approve contract awards and changes to contracts of a financial nature and the annual review of such delegations; and perform such other functions as may be assigned to it by the Financial Secretary.

(c)

(d) (e)

(f) (g) (h) (i) (j) (k)

(l)

(2) Regulation 3 of the Public Procurement Regulations 2008 elaborates further the functions of the Policy Office particularly in the area of oversight, recommendations and reporting, public access, enhancing the efficiency o procurement operations, preparing and f issuing a public procurement bulletin, and procurement capacity building. These additional Policy Office functions, build on those laid down in the Act, constitute a mandate for modernization of procurement in Mauritius for the benefit of the public and the community of suppliers and contractors.

(a)

Oversight (i) The Policy Office is authorized to collect information and require reports from public bodies and end-users concerning the conduct of procurement activities in Mauritius. The Policy Office shall inform public bodies and end-users of the types of statistical and reporting information that are required to be furnished, and the periodicity of their submission. The Policy Office shall establish procedures and mechanisms to ensure the effective and timely solicitation of viewpoints of interested parties in the development of procurement policies, regulations, procedures, documents and forms.

(ii)

(iii)

(b)

Recommendations and Reporting (i) The Policy Office shall analyze the information collected and make recommendations to the government for improvements in the implementation of public procurement. The Policy Office shall submit reports to the Minister, on the implementation of the Act and the Regulations and on current issues of public procurement policy. The Policy Office shall provide advice and guidance to public bodies and to other interested parties in the application of the Act and the Regulations made thereunder.

(ii)

(iii)

(c)

Public Access The Policy Office shall take steps to ensure the availability and the accessibility to public officials and the general public of the Act and Regulations. Those measures may include: (i) publication of a periodic bulletin containing information about the procurement system and procurement proceedings in Mauritius, including, from time to time, compilations of legal instruments applicable to the procurement process; and verification of the extent of distribution of the applicable legal texts to public officials and other interested parties.

(ii) (d)

Procurement Capacity Building (i) The Policy Office shall devise measures to facilitate the implementation of strategies and programmes for the promotion of professional standards and development. Specific tasks to be undertaken by the Policy Office in order to fulfill its mandate shall include-

(ii)

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(a)

developing, and facilitating the institutionalization of, a training programme aimed at promoting professional skills and standards in procurement in Mauritius, including training courses that shall be made available upon induction to procurement functions, as well as on an ongoing and systematic basis continually to boost skill levels of officials; to that end, the Policy Office may recommend to the Government the designation of one or more entities as responsible for conducting procurement training on an ongoing basis; developing proposals and plans for the phased introduction of professional procurement staffing in the public bodies.

(b)

(e)

Training and Qualification Requirements The Policy Office is responsible under section 50(1) of the Act for the issuance of guidelines and qualification requirements for the training and qualification requirements of procurement officers in the public bodies.

(f)

Disqualification, Suspension and Debarment of Suppliers, The Policy Office is responsible to consider proposals from public bodies for the: disqualification of suppliers on ground of defaults or poor performance; and suspension or debarment of suppliers on ground of non-compliance with the provisions of the Act and/or Regulations concerning procurement integrity (fraud, collusion, and other misconduct by means of an administrative procedure set forth in the Public Procurement (Suspension and Debarment) Regulations 2008);

2.3. The Central Procurement Board

2.3.1. Establishment of the Central Procurement Board
A new Central Procurement Board is established under section 8 of the Act to replace the Central Tender Board.

2.3.2. Functions and Responsibilities of the Board

(1) The Boards primary area of responsibility is to oversee and approve the award of major contracts entered into by public bodies, taking care to achieve the highest standards of transparency and equity in the execution of its duties. In this regard, public bodies will need to work closely with the Board in the planning and execution of major contracts. Public bodies are

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specifically required to submit bidding documents and notices for major contracts to the Board for approval. (2) The Board has a special responsibility for constituting the Bid Evaluation Committee (BEC), from its own list of qualified and independent evaluators, for major contracts and to review the recommendations of the Committee before approving the proposed contract award. The Board may require the Bid Evaluation Committee to make fresh or further evaluation on specific grounds.

2.3.3. Bid Evaluation Procedures

(1) The d etailed procedures for bid e valuation of major contracts are set out in Regulation 4, which is reproduced hereunder: 4. Bid evaluation procedures for major contracts (1) (a) For the purposes of examination and evaluation of bids, the Board shall constitute a Bid Evaluation Committee within 15 days after the opening of bids. (b) A Bid Evaluation Committee set up under paragraph (a) shall be composed of at least 3 members who are knowledgeable about the goods or services under procurement and the public procurement procedures. (2) Subject to paragraph (3), the Board shall select from a list of qualified and independent evaluators maintained by it to act as members of the Bid Evaluation Committee. (3) (a) As far as possible, no public officer working in a public body shall act as member of the Bid Evaluation Committee where the evaluation relates to a procurement in respect of that public body. (b) No person shall act as a member of the Bid Evaluation Committee where his participation would constitute a conflict of interest. (4) Where necessary, the Board may, following a request from a Bid Evaluation Committee, appoint an adviser or a technical sub -committee to assist it. (5) The functions of the Bid Evaluation Committee shall include the examination, evaluation and comparison of bids and determination of the lowest evaluated substantially responsive bid for the award. (6) The Chief Executive Officer of the public body concerned with the procurement shall designate a member of his staff to act as Secretary of the Bid Evaluation Committee. (7) The members of a Bid Evaluation Committee may be paid such fees as may be determined by the Board.

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(8) The Secretary of the Bid Evaluation Committee shall take minutes of meetings of the committee and keep record of all matters considered by the committee. (9) The minutes and other records of the Bid Evaluation Committee shall be open for inspection by the Policy Office.

2.4. The Independent Review Panel

2.4.1 Establishment of the Independent Review Panel

(1) Section 44 of the Act establishes the Independent Review Panel (the Review Panel) for the purpose of considering applications for review from bidders or potential bidders or for the purpose of reviewing the decision of a public body appealed by an unsatisfied bidder. (2) Normally the Review Panel will suspend the procurement proceedings during the course of its deliberations. However, it will not do so if the public body concerned certifies that urgent public interest considerations require the procurement to proceed. Such a certification by the public body shall state specific grounds relied upon which shall form part of the record of the public procurement proceedings. If the proceedings are not suspended and a decision is favorable to the unsatisfied bidder, compensation will be limited to the recovery of the costs of bid preparation and participation in the procurement proceedings. If the proceedings are suspended, the Review Panel has a number of possible remedies to grant in favor of the unsatisfied bidder who persuades the Panel that its position has merit. These include the following corrective actions: (a) (b) (c) (d) prohibit the public body from acting or deciding in an unauthorized manner or from following an incorrect procedure; recommend the annulment in whole or in part of any unauthorised act or decision of the public body; recommend a re-evaluation of the bids or a review of the decision for an award, specifying the grounds for such recommendation; or recommend payment of reasonable costs incurred in participating in the bidding process where a legally binding contract has been awarded which, in the opinion of the Review Panel, should have been awarded to the applicant.

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PART 3
Arrangements for Procurement at the level of Public Bodies
3.1 Primary Responsibility for Public Procurement

(1) Under the Public Procurement Act (PPA) 2006 and the Public Procurement Regulations 2008, the various public bodies retain primary responsibility for the planning and conduct of their procurement. Public bodies, consistent with their particular mission and activities, continue to be responsible to prepare annual procurement plans and to prepare and conduct individual procurement actions. Public bodies are responsible for defining the particular procurement requirements and choosing the appropriate method of procurement and contract type. (2) For non-major procurement, public bodies issue appropriate solicitation documents, evaluate bids or proposals, select the contractor/supplier and administer the contract, keeping accurate records of all procurement actions. (3) Neither the Act nor the Regulations are intended to shift those responsibilities away from the public bodies. (4) With regard to the Policy Office, for example, public bodies will receive, from time to time, directives concerning policy aspects of public procurement operations such as instructions on the use of Standard Bidding Documents, advice on electronic procurement, requests for statistical reports of procurement actions taken, and information on procurement training opportunities. (5) With respect to the Board, public bodies will need to coordinate (as they used to do with the Central Tender Board under the CTB Act 2000) the conduct of their major procurement actions. For major procurement actions, the Board will have oversight and monitoring responsibility with regard to the bidding documents and will actively conduct the bid evaluation process. (6) With respect to the Review Panel (established to review bid protests or challenges from unsatisfied bidders), public bodies will consider as an initial matter any such challenge submitted to the public body in a timely fashion and will need to provide all necessary documentation to the Review Panel in the event the unsatisfied bidder pursues its challenge by submitting an application for review to the Review Panel. (7) A public body will also need to act in accordance with the Review Panel procedures under Part VI of the Act and Regulations 48 to 59 concerning the suspension of the procurement proceedings pending the Review Panels adjudication, and consider, in light of the public interest, whether it should go ahead with the procurement action notwithstanding the application for review.

3.2. Procurement function within a public body

(1) Public bodies may operate under the PPA with existing organizational arrangements for procurement. Neither the PPA nor the Regulations prescribe a particular

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structure for the procurement function within the various public bodies. Accordingly, each public body is permitted to retain or to modify its organization of the procurement function in the manner it considers most appropriate. (2) For example, where there is a Departmental Tender Committee, that Committee would now act upon the report of the Bid Evaluation Committees and shall not itself conduct evaluation of bids. The public body would have its own arrangements for the setting up of Bid Evaluation Committees with the assistance of experts from within the public body, supplementing or replacing those experts, as appropriate, in the case of highly specialized procurement. For example, in the case of information technology procurement, experts from the Central Informatics Bureau (CIB) are often asked to participate in bid evaluation. (3) Public bodies may wish to expand their organizational arrangements for procurement to accommodate specialized and complex types of procurement (4) Some public bodies have a wide range of procurement responsibilities. The Ministry of Health, for example, must procure both pharmaceuticals and medical equipment. Although such equipment purchases may resemble those of other Ministries (e.g., tractors for the Ministry of Agro Industry and Fisheries), the procurement of pharmaceuticals requires the substantial participation of medical professionals in the development of the technical requirements and in the evaluation of bids. For this reason, the Ministry of Health has separate units to perform these procurement functions for equipment and pharmaceuticals respectively, but has left the conduct of the bidding process and final approval of award decisions to the Departmental Tender Committee. (5) Other public bodies may wish to adopt similar organizational arrangements where it is necessary to accommodate a variety of specialized or complex procurement actions. (6) Public bodies may wish to modify or expand their organizational arrangements to accommodate a large volume of procurement. (7) Some public bodies have a large volume of procurement, or a procurement volume with significant seasonal fluctuations. In such a case it may be useful for the public body to consider establishing more than one tender committee according to threshold so that the procurement volume will not impair the quality or efficiency of the procurement process.

3.3. Administrative structures of parastatal bodies

Parastatal organizations also, subject to the Act and the accompanying Regulations, often have administrative structures which are different from those of Ministries, Departments or other public bodies. Typically they are governed by a Board of Directors and that Board may have some involvement in procurement decisions. At the Central Electricity Board, for example, the Board of Directors approves the award of large contracts. Of course if the contract value exceeds the threshold for major contracts, approval of the Central Procurement Board shall be necessary.

3.4

Advice from the Policy Office

(1) The Policy Office has general responsibility under the Act to recommend and facilitate the implementation of measures to improve the functioning of the procurement system.

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(2) In this context, the Policy Office will provide necessary guidance to public bodies regarding their organizational arrangements for procurement. Public bodies should anticipate this and initiate a dialogue with the Policy Office concerning any procurement organizational issues important to them.

3.5. Establishment and Procedures of Bid Evaluation Committee

(1) Bid Evaluation Committees are set up by public bodies to assist in contractor selection. It is not proper for the Chief Executive Officer of a public body to head the Bid Evaluation Committee. The Bid Evaluation Committee should include technical experts as required by the needs of the procurement. The Bid Evaluation Committees protect the interests of government and ensure that the public body realizes value for money and satisfies its needs as intended. (2) For bids evaluations at the level of a public body, a Bid Evaluation Committee (BEC) may be set up as described hereunder: (a) For each evaluation exercise, there shall be a BEC appointed by the Chief Executive Officer of the public body or by the Central Procurement Board (for major contracts), comprising at least 3 evaluators, who shall not have been, as far as possible, involved in the design of specifications. One member of the bid evaluation team shall be nominated as Chairman. The Chief Executive Officer of the public body shall nominate one of its personnel to act as the secretary of the BEC set by the CPB. For bids below the prescribed amount one member of the evaluation team shall assume the function of secretary as well. When deemed necessary, the BEC may request the assistance of an expert in the area covered by the bid document. Such assistance shall in no way relieve the BEC from being responsible for the evaluation process. To get the proper combination of expertise required, the evaluators shall be selected from among persons competent in matters of procurement law, technology, informatics, finance, administration and any other relevant field. The Central Procurement Board and public bodies shall maintain a list of evaluators as prescribed in Regulations 4(2) and 7(1), respectively. Where the necessary expertise is not available in the public body responsible for the evaluation, such expertise may be sought from other sources. The BEC shall continue in its functions until the evaluation report is submitted. Every evaluator shall endeavour to avail himself/herself for a prompt evaluation of the bids. Each evaluator shall evaluate without fear or favour. The evaluation shall be completed within the validity period so as to leave enough time for contract award.

(b)

(c)

(d)

(e) (f)

(g) (h)

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(i)

Upon completion, the evaluation report indicating the best evaluated bid as well as other substantially responsive and compliant bids in the order of their merit, shall be submitted to the Chairman of the Central Procurement Board or the Chairman of the Departmental Tender Committee, as the case may be. The evaluation report shall be signed by all members of the BEC and shall contain a declaration from each member that he/she had no conflict of interest in evaluating the bids. Record of all deliberations and other essential matters dealt with by the BEC shall be kept in the form of Minutes of Proceedings.

(j)

(k)

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PART 4
Procurement Planning
4.1. Identifying the Need to Procure
(1) Procurement begins with an identification of need for goods, works or services. The next step is to make a choice regarding the best method to satisfy the need, which may be through entering into a procurement contract or carrying the job in-house. For example, after a public body determines that it needs a report, it must then decide if the report should be done by the employees of the public body or whether it would be better to hire a consultant to do the report. If the decision is to hire a consultant, the need for procurement has been identified. (2) At this stage in the process, those who have the need for the procurement, i.e the end-users, are making the key decisions. However, the procurement professionals can help them by providing advice on such matters as availability of sources, market prices and conditions, production, delivery and performance lead times, a the best time to enter the nd market.

4.2. Procurement Planning

(1) A public body shall engage in procurement planning in order to ensure that procurement is carried out within financial estimates allocated to it. (2) A public body shall, in respect of every investment project, prepare a master procurement plan to cover the entire life of the project. (3) A public body shall, at the beginning of every financial year, prepare an annual procurement plan which shall include: (a) (b) (c) (d) (e) the type and quantity of the goods, works or services to be procured; the timing and implementation of the procurement; an indication of possible packages of procurement, and their value; an indication of possible pre-qualification proceedings and procurement methods to be used; such other information as may be required in accordance with instructions issued by the Policy Office.

(4) A public body shall publish on its website an annual procurement plan and periodically update and revise it. The annual plan to be published on the website shall indicate only those procurements which would be executed through O pen Advertised Bidding.

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(5) In planning procurement for a major contract, a public body shall t ke into a account the following: (a) (b) (c) identification and assessment of the need for the procurement; designation of procurement planning team; conducting market research in order to identify various technical solutions, in particular in the commercial market, to identify the range of available suppliers, and to determine the most favourable contractual and guarantee terms available in the commercial market that would be suitable for procurement; identification of the amount and sources of financing; studying acquisition history for similar goods, works or services; defining and describing the procurement requirements; estimate of the cost of a proposed procurement; possible aggregation of procurement requirements, taking into account factors such as achieving economies of scale in purchasing, optimising use of procurement and contract administration resources; possible slicing of the procurement into lots, provided that such slicing is not done to avoid thresholds beyond which more competitive procurement methods may be used, and where such slicing is indicated by factors such as whether an approach would provide the best overall value for the public body, possibility of technical compatibility regarding items purchased in separate lots, the possibility of allowing bidders to bid for individual lots or for the entire package, and measures to promote participation by small enterprises; the availability of any procedures for procurement of common-use items; selection of contracting approach and structure, including verification of possible availability of framework or indefinite quantity contract arrangements for the item in question; selection of appropriate procurement method in accordance with sections 15 to 25 of the Act, and the reasons for use of a procurement method other than open bidding, and any possible combination and package of task or contract; and determination and identification of required contract administration resources and responsibility.

(d) (e) (f) (g) (h)

(i)

(j) (k)

(l)

(m)

(6) A public body may establish a Committee of need in accordance with instructions issued by the Policy Office, to plan any individual procurement identified in its annual

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procurement Plan. A public body may find it useful to apply the general principles of para (5) to procurement for non-major contracts as well.

4.3

Estimating the Cost and Identifying the Source of Funds

(1) In planning for procurement, there must be a realistic assessment of the needs of the public body and the funds available. Budgets must be carefully formulated and based on the most reliable cost data available. This should include the final cost data from completed procurements. This information should be carefully maintained to build a reliable database to formulate realistic budgets for future procurements. (2) Before beginning the procurement procedure, it is important to ensure that funds are available and committed for the procurement. Suppliers and contractors quickly lose confidence in the procurement system when procurements are routinely cancelled for lack of funds or even worse when the public body lacks the funds to pay the suppliers and contractors the amounts due to them under a procurement contract. (3) In the case of major public projects, the public body must have funds available for the full value of the works and their supervision. When the schedule of building requires the continuation of construction beyond the current fiscal year, the budget of future years should include the continuing costs of the project.

4.4

Calculating Estimated Value of Procurement Contracts

(1) The calculation of the estimated value of a proposed contract shall be based on the total amount [net of VAT] payable as estimated by the public body. This calculation shall take account of the estimated total amount, including any form of option, any and all lots that may be awarded, any renewals of the contract, and, the maximum estimated value [net of VAT] of all the contracts envisaged for the total term of a framework agreement. (2) After the preparation of a cost estimate under this rule, it shall be examined by the technician or group of technicians, one level higher in rank than the technician who has prepared it. In examining, if there are mistakes, they shall be corrected and reliable cost estimate shall be prepared. If there is no higher-level technician than the technician who prepared cost estimate in the Office, the Departmental Head shall arrange to examine such a cost estimate.

4.5

Possible Environmental Protection Measures

The consideration of measures of environmental protection may be appropriate in the process of procurement planning in accordance with the guidance set forth in Appendix K.

4.6

Determination of Appropriate Types of Contract

In the planning and preparation of procurement actions, the public body shall determine the appropriate contracting approach and structure to be utilized for any given procurement, taking into account standard contract forms promulgated by the PPO and the conditions for their use. The standard types of contracts and the appropriate circumstances for their use are set forth in Appendix L.

20

4.7

Organizing the Procurement Team

(1) A procurement team shall be established for all major procurements. However it may also be established for any procurement where it is deemed appropriate. (2) A successful procurement requires the expertise and effort of many persons. These persons must be organized into a team that brings together all of the skills and authority needed to manage and conduct the procurement. As far as possible, the following functions should be represented on the team: procurement, program/operations, budget, and technical. PROCUREMENT FUNCTION : The person responsible for this function is in charge of the procurement activity and should be fully trained and qualified in all aspects of procurement and this User Guide before taking on the responsibilities of this function. PROGRAM OR OPERATIONS FUNCTION : The person responsible for this function should understand the specific objectives of the procurement and ensure that these objectives remain in focus throughout all stages of the procurement activity. For example, in the case of procuring computers, this function might be performed by a person who will use one of the computers. In the case of a road building project, this function might be performed by the project manager. BUDGET FUNCTION : The person responsible for this function must ensure that the procurement remains within the limits of the approved budget and that the funds have actually been designated and put aside for this purpose. The procurement officer may seek the assistance of a legal officer at any stage of the procurement process and execution of the contract, if so required. TECHNICAL FUNCTION : The person responsible for this function should have technical expertise in the object of the procurement. He or she should have a major role in developing the technical specifications (3) The composition of the team may vary depending on the size and complexity of the procurement and the availability of qualified staff to serve on the team. (4) In very complex procurements, the public body may need to organize a specialized technical group to assist in developing specifications . (5) When appointing members of the procurement team it is important to look for potential conflict of interest situations and avoid appointing members who may have a personal financial interest in the outcome of the procurement. (6) The procurement team should ensure that the proper procurement procedure is used, that a record of the procurement is maintained, that all time periods and deadlines are observed, that all procurement documents and forms are completed and issued properly and that all communication with candidates is proper. The procurement team protects the process and focuses on maintaining the fundamental honesty, fairness and transparency of the procurement proceeding.

21

(7) The team approach also establishes a system of checks and balances that helps to keep the entire process transparent and honest. It is important that each member of the team understands his or her functions and responsibilities.

22

PART 5
Procurement Methods
5.1. Choosing the Proper Method
(1) Once a public body identifies a procurement need and has funds available and committed to meet that need, the next step is to select the appropriate procurement method. The procurement professional should take the lead in this decision. (2) Part IV of the Act sets out the rules and procedures for selecting the appropriate procurement method. For procurement of goods, other services and works, the available methods are Open Advertised Bidding, Restricted Bidding, Request for Sealed Quotations, Emergency Procurement, Direct Procurement, Community or End-user Participation and Departmental Execution. For Consultancy Services, Requests for Proposals (with a number of variations) and Direct Procurement are the methods to be used. Direct procurement method should be resorted to only in specific circumstances. (3) When a public body chooses a procurement procedure other than Open Advertised Bidding, the justification for using the method chosen should be noted in the record of procurement proceedings. The Standard Procurement Forms have a section for recording the justification for using a particular procurement method other than Open Advertised Bidding. (4) Some of the circumstances for using a procurement procedure other than Open Advertised Bidding depend upon the estimated cost of the procurement. The procurement regulations prohibit any action to split-up procurement in order to qualify the procurement for an exception to Open Advertised Bidding. In fact, it is not permitted to use direct procurement to avoid competition or to favour a particular supplier.

5.2. Conditions for use of a particular procurement method

Procurement Method Conditions for Use

Open Advertised This method is ideal to obtain value for money through increased Bidding competition and should be used for high value procurements where there is a large number of suppliers. It may also be used in situations where there is a limited number of unknown suppliers. Restricted Bidding Where: (a) the goods, works or services are available only from a limited number of suppliers and all of them are known; (b) suppliers of specialized goods and services have been pre-approved by the public body, and are part of a supplier eligibility list (section 19 of the Act); c) the time and cost of considering a large number of bids is

23

disproportionate to the value of the procurement, provided the estimated value of the contract does not exceed five million rupees, and at least 5 bidders are directly solicited; or (d) the evaluation of the financial proposal cannot be based solely on the quoted price per item for small value procurement as other factors such as operational costs, performance, reliability etc. have to be included to determine the evaluated cost. Two Stage Bidding (section 29 of the Act) Request for Sealed Quotations (section 20 of the Act) Direct Procurement (section 25 of the Act) In the case of large or complex contracts for goods or works, for which open or restricted bidding is not suitable because of the difficulty in defining precisely the goods or works. For the purchase of readily available goods or procurement of small works or small other services for which there is an established market, so long as the estimated value of the contract does not exceed five million rupees, and where price is the only determining factor. (1) For procurements not exceeding the following prescribed thresholds (Regulation 44 as amended): (a) in the case of procurement of goods, where the value does not exceed 500,000 rupees provided the total cost per single item does not exceed 100,000 rupees; and (b) in the case of procurement of works, consultancy services or other services, where the value does not exceed 500,000 rupees. (2) Where one supplier has the exclusive right to manufacture the goods, carry out the works, or perform the services to be procured, and no suitable alternative is available; (3) For additional deliveries by the original supplier which are intended either as replacement parts for existing supplies, services, or installations, or as the extension of existing supplies, services, or installations where a change of supplier would compel the public body to procure equipment or services not meeting requirements of interchangeability with already existing equipment or services, provided that the value does not exceed 50 % of the initial contract value; (4) Where additional works, which were not included in the initial contract have, through unforeseeable circumstances, become necessary and the separation of the additional works from the initial contract would be difficult for technical or economic reas ons, provided that the value does not exceed 30 % of the initial contract value. (5) Where the nature of the consultancy services requires that a particular consultant be selected due to unique qualifications.

24

Emergency Procurement (section 21 of the Act)

(1) A public body may procure goods, works or other services from a single supplier without competition, in case of emergency or extreme urgency. The scope of the emergency procurement shall, as far as possible, be limited to the period of the emergency, so that appropriate competitive procurement methods may be utilised at the conclusion of the emergency period. "Extreme urgency" includes a situation wherein: (a) (b) the country is either seriously threatened by or actually confronted with a disaster, catastrophe, war or Act of God; life or the quality of life or environment may be seriously compromised.

(2) Where the condition or quality of goods, equipment, building or publicly owned capital goods may seriously deteriorate unless action is urgently and necessarily taken to maintain them in their actual value or usefulness; and (3) Where investment project may be seriously delayed for want of an item of a minor value. Community or end-user participation (section 22 of the Act) Where: (1) community or end-user participation may result in enhancing the economy, quality or sustainability of the service to be procured; and (2) the objective of a project is to create employment and community involvement. Departmental Execution (section 23 of the Act) Where: (1) an activity is not likely to attract bidders or may impose unacceptable risks on the contractor as the cost cannot be pre-determined; or (2) the risk of unavoidable interruptions can be better borne by the public body; or (3) an activity requires practical method for construction, maintenance and conservation under special conditions; or (4) in the case of a pilot project for the development of a technology, where work cannot be carried out by a contractor; or (5) works have to be carried out without disrupting existing operations; or (6) there is an emergency such as a national disaster which calls for immediate action

25

Request for Proposals (section 24 of the Act)

When the public body seeks to obtain consulting services or other services for which Open Advertised Bidding is not suitable because of the difficulty in defining precisely the services.

5.3. Procedures for Negotiations

Procedures for negotiations under Regulation 8 of the Public Procurement Regulations 2008 shall be carried out as described hereunder: (a) Negotiations with a bidder shall be resorted to only in the following circumstances: (i) the lowest evaluated substantially responsive bid is substantially above the updated estimated costs and a re-bid exercise is considered not practical; direct procurement from a single source under section 25(2)(b) of the Act is resorted to; or emergency procurement under section 21 of the Act is resorted to.

(ii) (iii) (b)

For non-major contracts, the Chief Executive Officer of the public body shall appoint a Negotiator or a Negotiating Team, depending on the value and complexity of the procurement contract, from among officers who are knowledgeable in all aspects of the procurement. For major contracts related to para 1 (a) and 1(b), the appointment of the negotiator or negotiating team shall be by the Central Procurement Board in the following manner: (i) where negotiation is required following an evaluation of bids the Negotiating Team shall consist of members of the Bid Evaluation Team and employees of the public body concerned who are well conversant with the requirements in the bid document and are specialized in the specific procurement; where negotiations are to be carried out with respect to para 1(b) independent negotiators shall be appointed to form a team with the employees of the public body.

(c)

(ii)

(d)

The Chief Executive Officer or the Central Procurement Board, as the case may be, shall oversee the negotiations process in the following manner: (i) (ii) carrying out a pre-negotiation review and approving the agenda; requiring the team to seek approval at a given stage before finalizing the terms of the agreement.

26

(e)

The review is conducted so that the Chief Executive or the Central Procurement Board can be assured that the Team Leader is well prepared and that the other members of the team are agreeable with the strategy of negotiations in order to achieve the expectations of Management or the Central Procurement Board. From the Negotiator(s)'s point of view, the advantage of the review is the opportunity to understand the expectation of management and to obtain the authority to handle particular problems. The review can be a quick run-down of the facts and the objective in five minutes or less if it is a small deal. It can be a formal presentation by the negotiating team to an assemblage of top procurement management. It can be a written justification and request for clearance to proceed.

(f)

(g)

The public body concerned shall provide a member of its staff as secretary to attend the negotiation sessions and to maintain record of the proceedings. Such record shall be part of the procurement records. The outcome of a negotiation shall only be executed after approval of the Central Procurement Board/Chief Executive of the public body depending on whether the procurement is for a major or minor contract. Exceptionally in case of emergency referred to in para 1(c) for major contract, when the situation warrants for immediate start of negotiation, the public body shall initiate procurement procedures for immediate action after negotiation with Contractors/Service Providers based on its own past experience of costs and resources, ascertaining due diligence to obtain value for money. The decision of having recourse to emergency procurement and defining the scope of the emergency shall rest upon the public body. The public body shall as far as possible arrange with the Contractor/Service Provider that the scope of the works are subject to variations and approval of Central Procurement Board.

(h)

(i)

(j)

For procurement under emergency as mentioned in para 9, the public body shall as soon as possible report the situation of emergency to the Central Procurement Board giving details of actions initiated. The Central Procurement Board may thereafter discuss with the public body for any fine tuning in respect of the scope of works and any other relevant detail to render the procurement more effective.

27

5.4. Use of Information and Communications Technology

(1) The use of information and communications technology shall be introduced in a gradual and steady manner depending on the readiness of procuring entities to apply such measures. (2) Pursuant to the mandate set forth in section 7(e) of the Act, the Policy Office shall examine, recommend and, where appropriate, implement ways of introducing in public procurement, at appropriate stages, the use of information and communications technology, and other technical innovations. (3) Public bodies are encouraged, in consultations with the Policy Office, to devise and implement measures aimed at employing information and communications technology in the procurement process. In issuing approvals, the Policy Office shall ensure that the proposed measure promotes the objectives of economy and efficiency, competition and openness of the procurement system to wider participation, transparency, and accountability.

5.5. Electronic Submission

A Request for Sealed Quotations may provide for submission of quotations by facsimile subject to the following: (i) (ii) the fax machine is secured under lock and key; and opening procedures similar to those for submission through a bid box are applied.

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PART 6
The Bidding Process: Standard Bidding Documents and Procurement Procedures
6.1. Standard Bidding Documents
6.1.1. Use of Standard Bidding Documents
(1) There are separate Standard Bidding Documents for the different types of procurement: large and complex works (and a companion document for prequalification for such procurement), procurement of works, procurement of goods, selection of consultants through Request for Proposals, procurement of security/cleaning services and procurement of services/non-Consultancy. Users should consult the instructions for use contained in each of these Standard Bidding Documents. (2) As an introduction to these documents, you will find below some general observations about the Standard Bidding Documents.

6.2. Procedures for Open Advertised Bidding (Goods, Works and Other Services)
6.2.1. Announcement of Invitation to Bid
(1) At the commencement of each Open Advertised Bidding proceeding, an invitation to bid shall be published in a national newspaper in accordance with section 16 of the Act, and shall provide potential bidders a period of at least 30 days from the date of publication to prepare and submit bids. Such an invitation to bid may be displayed at the office of the public body and shall, where feasible, also be published on the website of the public body and/or the Procurement Policy Office. (2) The Chief Executive Officer of the public body, prior to the issuance of an invitation to bid or to apply for prequalification, shall ascertain the following: (a) (b) availability of a sufficient number of copies of the bidding documents; and compliance with the requirements of the Act and the Regulations.

(3) For Open International Bidding, the diplomatic missions accredited to the Government of Mauritius, whose countries are potential sources for the procurement, may also be served with the invitation to bid, or the invitation to apply for pre-qualification.

6.2.2. Provision of Bidding Documents

(1) In accordance with section 28 of the Act, the public body shall provide a complete set of bidding documents to all bidders who have responded to the invitation to bid, or to all bidders that passed prequalification, if prequalification proceedings were held.

29

(2) Where public bodies do not offer free direct access to the entire bidding documents and any supporting document by electronic means, the bidding documents shall be promptly sent to bidders on receipt of the request to participate, and payment of the price, if one is charged. (3) The public body shall ensure that all interested bidders have access to bidding documents, including by making those documents available for purchase in more than one location, if deemed necessary, and whenever feasible, by download over the internet. No bidder, who pays the price that may be charged for the bidding documents, shall be denied the documents. (4) Bidders interested in the bidding proceedings may preview the bidding documents at the office of the public body indicated in the Invitation to Bid. (5) In response to a written request and payment of the cost and postage, the public body may mail/courier the documents; however the public body shall not be responsible if the documents are not received in time. (6) The details of sale of the bidding documents and submission of the bids shall be recorded in a register maintained for the purpose. After the expiry of the time for submission of bids, the designated office employee shall close the register.

6.2.3. Preparation of Bidding Documents

(1) Preparation of the bidding documents shall be the responsibility of the procurement unit of the public body, if one has been established, in consultation with the end user that submits a requisition for the procurement. (2) Public bodies shall use the appropriate Standard Bidding Documents issued by the PPO for the type of procurement in question. The information specific to the procurement in hand shall be inserted in the spaces provided. The completed bidding documents should be approved by the public body or the Central Procurement Board as the case may be, prior to publication of the Invitation to Bid.

6.2.4. Contents of Bidding Documents

(1) While the exact contents of the bidding documents will vary according to the nature and complexity of the procurement, the bidding documents shall include, at a minimum, the following: (a) (b) (c) a copy of the Invitation to Bid; Instructions to Bidders, consisting of standard instructions that remain constant from one procurement action to the next; and the Bidding Data Sheet provides information specific to a procurement.

Bidding Data Sheet The Bidding Data Sheet complements the Instructions to Bidders. On this form, the public body identifies itself and provides general information about the

30

circumstances of the procurement. Here the public body sets out specific requirements that the bidder must follow in preparing and submitting the bid, including the following: (i) (ii) (iii) any descriptive literature bidders are required to submit with their bids; any requirement that bidders provide samples, and the number and type of such samples; any requirement that bidders view samples to which supplies must conform, and the circumstances under which such requirements would be waived; any requirement that bidders submit a table of spare parts recommended by the manufacturer along with the manufacturers stock number for each item, the quantity, unit price, and an indication of any escalation of prices for spare parts after the contractually guaranteed period for spare-parts prices; any requirement that the bidder should state in the bid the country of origin of the supplies, the name of the manufacturer, the brand name, model and catalogue number; if alternatives to the characteristics of the goods, works, services, contractual terms and conditions or other requirements set forth in the bidding documents are permitted, a statement to that effect, and a description of the manner in which alternative bids are to be evaluated and compared; if bidders are permitted to submit bids for only a portion of the goods, works or services to be procured, a description of the portion or portions for which bids may be submitted; the manner in which the bid price is to be formulated and expressed, including a statement as to whether the price is to cover elements other than the cost of the goods, works or services themselves, such as any applicable transportation and insurance charges, customs duties and taxes; whether the prices are to be fixed or adjustable and, if so, the formula therefore; use of standard trade terms such as the INCOTERMS is highly recommended to avoid disputes on the scope of supplier obligations under the contract; the currency or currencies in which the bid price is to be expressed; the language or languages in which bids are to be prepared; any requirement of the public body with respect to the issuer and the nature, form, amount and other principal terms and conditions of any bid, and any performance security to be provided by the successful bidder;

(iv)

(v)

(vi)

(vii)

(viii)

(ix) (x) (xi)

31

(xii)

when a bid security is required, an indication of the form in which the bid security must be issued in order to be in conformity with Regulation 28; an indication that (a) the withdrawal or modification of a bid after the deadline for submission of bids has expired will result in forfeiture of the bid security amount, and (b) bidder may withdraw its bid prior to the deadline for the submission of bids without forfeiting its bid security; the manner, place and deadline for the submission of bids, in conformity with sections 31 and 32 of the Act and Regulations 26; the means by which b idders may seek clarifications of the bidding documents, and a statement as to whether the public body intends, at this stage, to convene a meeting of bidders, and, where applicable, how to arrange site visits; the period of time during which bids shall be valid, in conformity with section 34 of the Act; the place, date and time for the opening of bids, in conformity with section 36 of the Act; the procedures to be followed for opening of bids; the criteria and methodology to be used by the public body for the examination, evaluation and comparison of bids and the determination of the successful bidder, including any criteria other than price to be used pursuant to section 37 of the Act and in accordance with the Regulations; the currency that will be used for the purpose of comparing bids and either the exchange rate that will be used for the conversion of bids into that currency or a statement that the selling rate for that currency published by the Bank of Mauritius prevailing on the closing date of bids will be used; references to the Act, Regulations and other laws and regulations directly pertinent to the procurement proceedings, provided, however, that the omission of any such reference shall not constitute grounds for review under section 45 of the Act or give rise to liability on the part of the public body; the functional title, address and other contact information (telephone, fax and e-mail) of one or more officers or employees of the public body who are authorised to communicate directly with and to receive communications directly from bidders in connection with the procurement proceedings, without the intervention of an intermediary; any commitment such as the transfer of technology to be made by the bidder under the procurement contract;

(xiii)

(xiv) (xv)

(xvi) (xvii) (xviii) (xix)

(xx)

(xxi)

(xxii)

(xxiii)

32

(xxiv)

notice of the right provided to a bidder under section 45 of the Act to lodge a complaint against an unlawful act or decision of, or procedure followed by, the public body in relation to the procurement proceedings; a statement to the effect that the public body reserves the right to reject all bids and to cancel the procurement proceedings pursuant to section 39 of the Act; in the absence of pre-qualification, the criteria and methodology for the evaluation of the qualifications of bidders; any formality that will be required once a bid has been accepted for a procurement contract to enter into force, including, where applicable, the execution of a written procurement contract in accordance with the bidding documents; any other requirement established by the public body in conformity with the Act and Regulations relating to the preparation and submission of bids and to other aspects of the procurement proceedings; and the requirements as to documentary evidence or other information that must be submitted by bidders to demonstrate their eligibility and qualifications.

(xxv)

(xxvi) (xxvii)

(xxviii)

(xxix)

(2)

The following also form part of the Bidding documents: (a) Schedule of Requirements and Technical Specifications, describing the nature and required technical and quality characteristics of the goods, works or services to be procured, including, but not limited to: (i) (ii) (iii) (iv) (v) (vi) technical specifications and/or desired function or performance, plans, drawings and designs as appropriate; the bill of quantities [in the case of a unit price works contract]; the quantity of the goods; any incidental services to be performed; the location where the goods are to be delivered, works are to be effected or the services are to be provided; the desired or required time, if any, when the goods are to be delivered, the works are to be effected or the services are to be provided; any warranty and maintenance requirements; the tests, standards and methods to be employed to judge the conformity of goods or works with technical specifications provided in the bidding documents; and

(vii)

33

(viii) (b)

any requirement that supplies, materials, spare parts should be brand new and original.

Bid Evaluation Methodology: the criteria and methodology to be used by the public body for the examination, evaluation and comparison of bids and the determination of the successful bidder, including any criteria other than price to be used pursuant to section 37 of the Act; Contract Forms: the terms and conditions of the proposed procurement contract, and the contract form, if any, to be signed by the parties, consisting of the General Conditions of Contract, which remain constant from one procurement proceeding to the another, and the Special Conditions of Contract, in which conditions specific to the particular procurement are set forth; and Standard Forms for the bid, bid security, agreement, performance security and advance payment security.

(c)

(d)

Technical Specifications for Procurement of Goods

(3) Technical specifications for procurement of goods shall contain the following elements and descriptions of requirements, to the extent applicable in the procurement proceeding at hand: (a) listing of the goods to be procured, including the required performance characteristics, quantity, delivery times and incidental services (e.g., operating or descriptive manuals, training of public body's personnel, installation, supplier's on-site personnel required, after sale service, etc.); required availability of spare parts and service during life of goods; descriptive literature or samples to be provided with the bid; description of any required performance or quality guarantee; technical configurations; inspection and quality testing to be conducted, including pre-shipment testing and inspection; environmental impact and safety standards to be met by the goods; and criteria and performance tests or inspections for final acceptance.

(b) (c) (d) (e) (f) (g) (h)

Technical Specifications for Procurement of Works

(4) Elements to be addressed in technical specifications for procurement of works shall contain the following elements and descriptions of requirements, to the extent applicable in the procurement at hand:

34

(a) (b)

general description of the scope and purpose of the works; precise description of scope of work to be carried out, i.e., elements such as design, construction, erection, any manufacturing, installation of equipment, etc.; physical nature and conditions of construction site; detailed listing of any equipment and components to be supplied; detailed design and drawings of work to be performed, to the extent they are to be supplied by the public body under the contracting arrangement in question; description of the works in terms of design details, drawings and/or performance characteristics, including specific technical descriptions and standards as to items such as plumbing, and electrical installations; environmental impact and safety standards to be met; description of performance and quality guarantees required; inspection and testing to be conducted at various stages of construction; completion tests; technical documentation, drawings, operating manuals to be provided by suppliers; type and extent of training and supervision to be provided by suppliers, to the extent applicable; inspection and performance tests to be passed for acceptance; and schedule of starting and completion time.

(c) (d) (e)

(f)

(g) (h) (i) (j) (k) (l) (m) (n)

6.2.5. Bills of Quantities and Activity Schedules for Works

(1) Bidding documents for unit-priced works contract shall require bidders to quote their prices for the items listed in the Bill of Quantities included in the bidding documents. The price quoted shall include all quantities of materials, labour and the other inputs required to be provided by the contractor in order to carry out the works. (2) Bidding documents for lump-sum-priced contracts shall require bidders to submit a priced activity schedule, on which the bidder breaks down the lump-sum price according to the main activities involved in the progressive implementation of the procurement contract.

35

6.2.6. Description of Services Other than Consultancy Services

(1) Technical specifications for procurement of services other than consultancy services shall contain the following elements and descriptions of requirement: (a) (b) (c) (d) (e) (f) (g) (h) general description of the scope and purpose of the service; description of the service and the tasks to be performed by the supplier, as much as possible as performance requirements; conditions under which the service is to be performed; descriptive literature or samples to be provided with the bid; inspection and quality testing to be conducted; criteria and methods by which the public body intends to judge the performed services; description of performance and quality guarantees required; and type and extent of training and supervision to be provided by supplier.

6.2.7. Price Adjustment

(1) A procurement contract may provide for the possibility of price adjustment to take into account changes in economic circumstances. Price adjustment is not permitted unless provided for in the procurement contract. (2) Generally, price adjustment will not be permissible in the case of contracts with a performance period of less than 12 months, and during the period of delay in performance if the delay is caused by the supplier/contractor. (3) If the procurement contract provides for the possibility of price adjustment, it shall stipulate the conditions, such as increases or decreases in the cost of materials, labour, and energy, in which price adjustment would be permitted, the formulas and indices to be referred to in order to determine whether economic conditions have altered to a significant enough degree to justify a price adjustment and to identify the amount of increase or decrease, the frequency with which price adjustments may be implemented, and the procedures to be followed. (4) The procurement contract may provide that, when the application of price adjustment leads to a modification exceeding the initial price by the percentage stipulated in the contract or by a percentage of the initial price of the balance of the contract, the entity may terminate the contract. (5) If the contractor fails to complete the works to be carried out under the work schedule within the time limit as prescribed in the contract agreement due to unjustified delays and taking more time than was prescribed to complete such a work, such a contractor shall not be given the increased price amount as referred to in (1) above.

36

6.2.8. General observations Qualification

(1)

concerning

Standard

Documents

for

Pre-

Application of Pre-qualification Procedures The Act authorizes the use of pre-qualification procedures in order to determine whether applicants are qualified before requesting the applicants to submit bids. Prequalification is used especially for procurements of large or complex works.

(2)

Invitation to Pre-Qualify This document announces the procurement and is intended to provide applicants with sufficient information to determine their interest in the procurement for which the pre-qualification procedure is being conducted. The form is published in the same manner as the Invitation to Bid in Open Advertised Bidding

(3)

Instructions to Applicants This document informs applicants of the rules and procedures the public body will follow in conducting the pre-qualification. Applicants should be encouraged to review this document carefully, and public bodies should understand the document and be able to answer questions from applicants regarding the sections of the documents.

(4)

Summary of Procurement Data - Goods/Works or Services The appropriate form must be completed for each pre-qualification proceeding that is a preliminary to a procurement action. The information in each of these forms provides the applicant with essential facts about the planned procurement. The applicant needs this information in order to know if he is interested in participating and for assessing his own capability to perform.

(5)

Pre-qualification Data Sheet (PDS) The information in the PDS complements and completes the instructions to the candidates. The PDS is in two sections. In Section A, the public body identifies itself and provides general information about the circumstances of this proceeding. Here also the public body nominates a particular person as the contact person for the public body. This is the person that applicants should contact for any question about the procurement. To ensure fairness and confidentiality of the process, it is important that all c ommunication between applicants and the public body flow through this contact person. In Section B, the public body sets out specific requirements that the applicant must follow in preparing and submitting its application. To complete this section, the public body fills the place for submission and the precise date and time of the deadline for submitting applications.

37

(6)

Schedule of Qualification Requirements (a) This document informs the applicant about what he, as an entity, must satisfy to be qualified to participate in this procurement. As proof that it satisfies these requirements, the applicant must submit the specific documentary evidence required. In the second section of this Schedule, the public body must identify the specific qualification requirements that are considered necessary to demonstrate that an applicant is capable of performing this particular procurement.

(b)

(7)

Application Form This document is to be completed by the supplier or contractor when submitting application.

(8)

Pre-bid Conference (a) The public body may organize a conference for the purpose of briefing bidders and taking their questions on the bidding documents, including the technical specifications and other requirements. Any such conference should take place at an early point following the distribution of the bidding documents to all the bidders who have responded, so as to allow bidders to take into account the information they obtain at the conference in preparing their bids. Clarification at the conference of defects or ambiguities in the bidding documents does not relieve the public body in such cases of the obligation to amend the bidding documents. If the public body convenes a meeting of bidders, it shall prepare minutes of the meeting containing the questions submitted at the meeting and its responses to those questions, without identifying the sources of the questioner. The minutes shall be provided promptly to all bidders to which the public body provided the bidding documents so as to enable those bidders to take the minutes into account in preparing their bids. The public body shall issue an amendment to the bidding documents if the pre-bid conference or other requests for clarification submitted in writing result in a modification of any technical or commercial aspect of the bidding documents. The amendment shall be mailed to all those who purchased or received the bidding documents.

(b)

(c)

(9)

Site Visits In the case of major construction or industrial projects, the public body shall arrange for site visits during or after the pre-bid conference, where such site visits would facilitate the understanding of site realities on the part of potential bidders.

38

6.2.9. Submission of Bids

(1) Bids shall be submitted to only one location, in accordance with the instructions in the bidding documents. (2) The bidder shall submit the bid signed, and accompanied by a power of attorney, if so required, in the required number of copies and in a sealed envelope, as prescribed in the bidding documents. (3) If the bid is delivered by hand the public body shall, on request, provide a receipt showing the date and time when its bid was received.

6.2.10. Reception and Security of Bids

(1) A public body shall maintain a securely-locked bid box into which bidders may deposit their bids. (2) If the size of the offer envelope makes it impossible to place them in the bid box, such envelope shall be handed over to the officer in charge of the Registry of the public body, who shall record the date and time of receipt, ensure that the bids are kept in a secure area and handed over to the tender committee at the bid opening. (3) In addition to direct deposit in the bid box, bids may be submitted by registered mail, courier or any other means that may be specified in the bidding document. (4) Any bid received in the manner provided for in paragraph (3) shall be promptly placed in the bid box or secured and kept confidential. (5) A public body shall ensure that all bids received are kept in a secure manner so as not to permit the bids to be opened by accident or viewed. (6) A bid received without proper sealing of the envelope or one accidentally opened or opened by mistake, shall be resealed and inserted in the tender box or other safe location together with other bids (7) No disclosure of the bids shall be made to any person prior to opening of bids.

(8) Any sample submitted should be handled in a confidential and secure manner so as not to lead to the disclosure of their characteristics prior to the opening of bids.

6.2.11. Bid Securities

(1) Requirements Applicable to Bid Securities (a) A bid security shall be required in procurement where time is of the essence, and the failure of the winning bidder to sign the procurement contract would result in unacceptable delay. Prior to submitting a bid, a bidder may request the public body to confirm the acceptability of a proposed issuer or confirmer of a bid security and the public body shall respond promptly to such a request.

(b)

39

(c)

Confirmation of the acceptability of a proposed issuer or of any proposed confirmer does not preclude the public body from rejecting the bid security on the ground that the issuer or the confirmer, as the case may be, has subsequently become insolvent or otherwise lacks creditworthiness; in such an event, the bidder shall be permitted to replace the unacceptable security by an acceptable one. The bid security shall be subject to a demand for payment only in the following cases: (i) (ii) if the bidder withdraws, cancels or substantially modifies the bid after the bid opening, during its period of validity; if the bidder does not accept a correction of an arithmetical error; or

(d)

(iii) if the bidder, having been notified of the acceptance of its bid during the validity of the bid, fails to sign the contract if so required or fails to furnish a performance security if so required. (e) The public body shall make no claim to the amount of the bid security, and shall promptly return, or procure the return of, the bid security, after whichever of the following occurs earliest: (i) (ii) the expiry of validity period of the bid security; the entry into force of a procurement contract and the provision of a security for the performance of the contract, if such a security is required by the bidding documents;

(iii) the termination of the bidding proceedings without the entry into force of a procurement contract; or (iv) the withdrawal of the bid prior to the deadline for the submission of bids. (2) Required Validity Period of Bid Security (a) The bidding documents shall require that the bid securities provided by bidders should have a validity period extending for a period of thirty days beyond the expiry of the validity period of bids, in order to allow the public body sufficient time to make a demand for payment under the bid security in accordance with section 34 of the Act. Bid securities shall be returned to unsuccessful bidders once it is determined that their bids will not be selected.

(b)

6.2.12. Bid Validity Period

(1) The bidding documents shall set a bid validity period that is of a sufficient length of time to enable the public body to complete the examination, evaluation and comparison of

40

bids and to obtain all the necessary approvals so that the contract award can be notified within that period. (2) The bid validity period shall normally be 90 days for local bidding, 120 days for international bidding, and a maximum of 180 days for exceptionally complex major projects. (3) If, prior to the expiry of the validity period of bids the public body feels that additional time will be required to complete all steps and notify an award, it should request all bidders to extend the validity by the minimum period required to do so. (4) Extension of validity is a decision of the bidder. A refusal to extend the bid validity period shall not result in forfeiture of the bid security. Extension of the bid validity period shall, however, be subject to extension of the bid security if one was required in the first place. Without such an extension of the bid security, a bid shall be deemed not extended.

6.2.13. Cancellation of Proceedings before Opening of Bids

(1) Cancellation of procurement proceedings should be avoided unless it is clearly in the public interest to do so. Cancellation is in the public interest in cases such as the following: (a) (b) when the object of the procurement is no longer required; or when the bidding documents have to be modified so substantially that it would be more efficient and simple to cancel the bid invitation, revise the documents and re-issue the invitation.

(2) If the procurement proceedings are cancelled before opening of bids, any bid that have been received shall be returned unopened.

6.2.14. Opening and Evaluation of Bids

(1) Opening of Bids (a) (b) Bids shall be opened in only one location and at the time specified in the bidding documents. At the opening of bids, in addition to the name and address of each bidder whose bid is opened, the bid price and the price of any alternative bid(s), shall be announced to those persons present and recorded in the minutes of the bid opening, in accordance with section 36 of the Act. No decision as to the acceptance or rejection of any bid shall be taken or announced in the bid opening session. Any important infirmity noticed such as the absence of a bid security or discrepancy between figures and words, absence of signature, unsigned corrections, or any other material deviation from the bidding documents shall be announced and recorded in the minutes.

(c)

41

(2)

Rejection of Late Bids (a) In accordance with section 32 of the Act, a bid received by the public body after the deadline for the submission of bids shall not be opened and shall be returned to the bidder that submitted it. The date and time of receipt of a late bid shall be noted in the report of the procurement proceedings.

(b) (3)

Examination of Bids (a) The process of examination and evaluation of bids shall be carried out promptly after opening of bids, in an efficient manner, taking particular account of the validity period of the bids. After the initial opening of bids in accordance with section 36 of the Act, a preliminary examination of bids shall be carried out. The purpose of the preliminary examination is to determine whether bids are substantially responsive, i.e., whether they comply with the requirements of the bidding documents as to the bids themselves and the accompanying documents. This involves examining: (i) whether all the required documents, including any standard forms supplied with the bidding documents, have been submitted fully completed; whether the bidder has met the eligibility requirements, including the requirements applicable by virtue of the involvement of a financing institution; whether the bid complies with bid validity period requirements set forth in the bidding documents; whether the bid substantially conforms with the contractual terms and technical requirements set out in the Invitation to Bid and Instructions to Bidders (e.g., with respect to scope of work, delivery schedule, completeness of price quotation for the full scope of work, compliance with key technical and commercial requirements); whether the bid is conditional; whether the bid has been signed by an authorized representative of the bidder; and whether a bid security (when one is required), in the amount and format prescribed, has been provided.

(b)

(ii)

(iii) (iv)

(v) (vi) (vii) (c)

At the stage of preliminary examination, bids may be classified in the following categories according to whether they contain deviations from

42

the technical specifications and contractual terms set forth in the bidding documents: (i) (ii) those bids that do not contain any deviation or reservation; those that contain major deviations; a material deviation or reservation is one which affects in any substantial way the scope, quality or performance of the works; which limits in any substantial way, inconsistent with the bidding documents, the rights of the public body or the bidders obligations under the procurement contract; or whose rectification would affect unfairly the competitive position of other bidders presenting substantially responsive bids.

(iii)

A bid shall be rejected if: the bidder that submitted the bid does not meet the prescribed eligibility and qualification criteria, including bidders that are debarred or suspended; the bidder appears as prime bidder as well as a partner in a joint venture (both bids shall be rejected); the bidder that submitted the bid does not accept a correction of an arithmetical error made; the bid is not substantially responsive to the technical and commercial requirements; a bid security in the amount and format prescribed was not provided, if such a security was required by the bidding documents; the bid form issued by public body has not been filled up and submitted; the bid is not signed; the contractor working in joint venture has failed to submit a certified copy of the joint venture agreement; and the corrections in the Bill of Quantities are not signed or initialed.

43

(iv)

those bids that contain minor deviations or reservations, but that may be considered substantially responsive, shall be included in the detailed evaluation and comparison of bids; in the evaluation process the cost implication of the minor deviations, if any, shall be taken into account. A substantially responsive bid is one that conforms to all the terms, conditions and specifications of the bidding documents, without material deviation or reservation.

(4)

Evaluation of Plans and Schedules In procurement of works, the Bid Evaluation Committee shall examine construction and mobilization schedules, plans for the contractors site organization, contract management and other relevant documents in order to determine whether they comply with the requirements set forth in the bidding documents.

(5)

Correction of Errors (a) The Bid Evaluation Committee shall correct any arithmetical error appearing on the face of the bid, or in the Bill of Quantities, and inform the bidder in question of the correction. The bid shall be rejected if the bidder refuses the correction, and the bid security is thereby subject to forfeiture. If there is a discrepancy between the unit price and the line item total that is obtained by multiplying the unit price and quantity, the unit price shall prevail and the total price shall be corrected, unless, in the opinion of the public body, there is an obviously gross misplacement of the decimal point in the unit rate or a similarly obvious gross mathematical error, in which cases the line item total, or total price, as the case may be, as quoted will govern and the unit rate will be corrected. Where there is a discrepancy between the amounts in figures and in words, the amount in words will govern. Should any contradiction occur in the information between the submitted copies, the copy marked as the original shall prevail. The Bid Evaluation Committee may regard a bid as substantially responsive even if it contains minor deviations that do not materially alter or depart from the characteristics, terms, conditions and other requirements set forth in the bidding documents or if it contains errors or oversights that are capable of being corrected without touching on the substance of the bid. The bidding documents shall distinguish between errors and omissions that are properly subject to correction and those that are not, in both prequalification and presentation of bids. A bidder shall not be automatically disqualified for not having presented complete information, either unintentionally or because the requirements in the bidding documents were not clear. Provided that the error or omission in question is subject to correction, the Bid Evaluation Committee shall

(b)

(c) (d) (e)

(f)

44

permit the bidder to promptly provide the missing information or correct the mistake. (g) Certain errors or omissions, such as the failure to sign a bid or present a guarantee, are not subject to correction. Nor shall a bidder be permitted to correct errors or omissions that alter the substance of the bid or in any way improve it.

(6)

Detailed Evaluation of Bids (a) Following the preliminary examination of bids, the Bid Evaluation Committee shall proceed with the detailed evaluation and comparison of the bids that have not been rejected in the preliminary examination stage. In the detailed evaluation of bids, the Bid Evaluation Committee shall evaluate and then compare bids in order to determine the lowest evaluated bid. In doing so, the Bid Evaluation Committee shall apply only the evaluation criteria and methodology, if any, set forth in the bidding documents. Any deviation shall be quantified, to the extent possible, and appropriately taken into account of in the evaluation and comparison of bids, by way of adjustments to bid prices that are for purposes of comparing bids only and that are not to be reflected in the price of the procurement contract. In accordance with the requirements and evaluation criteria as set forth in the bidding documents, the detailed evaluation of bids will involve the evaluation of the technical, commercial and financial aspects of the bid.

(b)

(c)

(d)

(7)

Domestic and Regional Margin of Preference Where applicable, the financial evaluation stage shall involve the application of price preference in favour of domestically manufactured goods and materials, if any, and a regional price preference where the regional preference is applicable. Any applicable preference must be stated in the bidding documents.

(8)

Evaluation of Bids in Different Currencies When bid prices are expressed in many currencies, for the purpose of evaluating and comparing bids, the bid prices of all bids shall be converted to a single currency, in accordance with the exchange rates prevalent on the closing date of the bids as obtained from the Bank of Mauritius. Provision should be made in the bidding documents accordingly.

(9)

Detailed Evaluation of Bids for Civil Works (a) The detailed evaluation of bids for civil works shall be conducted, in general, along the lines mentioned above, with particular attention being paid to the aspects specific to the civil works context, including:

45

(i)

consistency of work plans and schedules with the requirements in the bidding documents, including with respect to aspects such as timing of mobilization and construction methodology; examination and analysis of reasonableness and reliability of unit rates quoted for items listed in the Bill of Quantities; and identification of unbalanced bids, in which unusually high p rices are quoted for items of work to be performed at an early stage in the implementation of the contract (frontloading), or for items that the contractor believes were underestimated in the bill of quantities.

(ii) (iii)

(b)

When Bills of Quantity form part of the bidding documents, the Bid Evaluation Committee shall verify that prices are not so low that the bidder, if awarded the contract, would incur substantial financial losses and, therefore, fail to complete the work satisfactorily, or that any unrealistically low price reflect a misunderstanding of the specifications. The Bid Evaluation Committee shall identify unbalanced bids by comparing unit prices quoted by bidders with the public bodys estimates and corresponding prices quoted by other bidders. The Bid Evaluation Committee may reject a bid that is unrealistically low or a bid that is unbalanced to the point that the frontloading substantially impairs the ability of the public body to ensure it will obtain value for money and otherwise properly manage the contract.

(c)

(d)

6.2.15. Cancellation of Procurement Proceedings after Opening of Bids

(1) In order to protect the integrity of the public procurement process, it is essential that cancellation of procurement proceedings after opening of bids be avoided to the greatest extent possible and strictly limited to exceptional cases. (2) Cancellation of procurement proceedings after opening of bids is subject to approval by the Chief Executive Officer of the public body, and may be permitted only in the following cases: (i) (i) (iii) (iv) (v) all the bids are non-responsive; the lowest evaluated bid is substantially above the applicable updated cost estimate; the object of the procurement is no longer required; it has become necessary, in the public interest, to modify the specifications or critical aspects of contract conditions; defects or gaps in the specifications have been revealed, which prevent consideration of a substantially less expensive and functionally equivalent item other than the one called for in the bidding documents, or which

46

prevent consideration of all items of cost to the public body in the evaluation process; or (vi) there is evidence of collusion among bidders in setting bid prices. As per section 39(1)(d) of the Act.

6.2.16. Rejection of all bids/Cancellation of procurement proceedings

In accordance with section 39 of the Act, notice of the rejection of all bids, or of cancellation of the procurement proceedings, shall be given promptly to all bidders that submitted b ids. The notice shall state the grounds for the rejection of all bids, or for the cancellation of the procurement proceedings.

6.2.17. Award of Contract

(1) Determination of the Lowest Evaluated Substantially Responsive Bid (a) After completing the technical, commercial and financial evaluation, the lowest evaluated substantially responsive bid shall be determined in accordance with the provisions of the bidding documents. If no prequalification proceedings have taken place, the public body shall conduct post-qualification proceedings to ensure that the bidder whose bid has been evaluated as the lowest evaluated substantially responsive bid has the financial and technical capability to execute the contract satisfactorily, in accordance with the qualification requirements set forth in the bidding documents. An affirmative determination shall be a prerequisite for award of the contract to the bidder. A negative determination shall result in rejection of the bid, in which event the public body will proceed to the next lowest evaluated bid to make a similar determination of that bidders capabilities to perform satisfactorily. If prequalification proceedings have been held, the public body may request the bidder whose bid has been evaluated as the lowest evaluated substantially responsive bid to confirm its qualification information in order to ensure that it still has the financial and technical capability to execute the contract satisfactorily. Subject to section 40 of the Act, the contract shall be awarded to the bidder that submitted the lowest evaluated substantially responsive bid. Such bidder shall not be required, as a condition of contract award, to undertake responsibilities or works not stipulated in the bidding documents or to modify the bid.

(b)

(c)

(d)

(2)

Notification of Proposed Award (applicable to Major Contracts) (a) Following the identification of the successful bidder in accordance with section 40 of the Act, the public body shall provide notice of the proposed award within five days from the date of receipt of approval from the Central Procurement Board to the selected bidder.

47

(b)

Bidders shall be given a period of 7 days in the case of national bidding or 15 days in the case of international bidding from date of notification to challenge the award.

(3)

Acceptance and Entry into Force of Contract (a) In the absence of a challenge for a major contract, a letter of acceptance shall be promptly issued to the successful bidder. In the case of a non-major contract the letter of acceptance shall be promptly issued to the successful bidder after approval of the award. (b) Unless the bidding documents indicate that a procurement contract is required to be signed by both parties, the bidding documents shall indicate that a contract in accordance with the terms and conditions of the accepted bid and the bidding documents enters into force when that notice is dispatched to the selected bidder provided that it is dispatched while the bid is still valid. The notice is dispatched when it i properly s addressed or otherwise directed and transmitted to the bidder. When a procurement contract is required to be signed, the bidder shall do so within a reasonable period of time after the notice is dispatched to the bidder, in accordance with the time period indicated in the bidding documents and the notice; between the time when the notice is dispatched to the bidder and the entry into force of the procurement contract, neither the public body nor the bidder shall take any action that interferes with the entry into force of the procurement contract or with its performance. In the event of failure of the bidder to sign a written procurement contract in accordance with the bidding documents, if required to do so, or to provide any required security for the performance of the contract, the public body shall select the next lowest evaluated bid in accordance with the evaluation criteria set forth in the bidding documents from among the remaining bids that are in force. Public bodies shall not request or require the successful bidder to sign a contract at variance with the terms and conditions set forth in the bidding documents. In accordance with section 40 of the Act, the procurement contract shall not be signed until 15 days have elapsed in case of international procurement or 7 days in the case of local procurement since the giving of notice to the successful bidder of the proposed award.

(c)

(d)

(e)

(f)

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6.2.18.
(1)

Award of contract on an item-wise or lot basis.

Opening of Bids (a) Where the bid documents allow for the evaluation of bids and award of contract on an item-wise/lot basis, the total amount as well as the number of items/lots for which the bidder has quoted shall be announced and recorded in the minutes of the Bid Opening. Where the lowest quote for any single item/lot, or the total of the lowest quotes exceeds the prescribed amount, the matter together with all bidding documents shall be referred to the Central Procurement Board (CPB).

(b)

(2)

Evaluation of Bids In situations other than that described in 1(b) above the public body may proceed with the evaluation of bids as per established procedures. Bids in respect of all items/lots shall be evaluated by the public body.

(3)

Award of Contract Following evaluation of bids in situations falling under 2 above, the public body may proceed with the award of contract, subject to the following: (a) (b) the total contract value with any single bidder does not exceed the prescribed amount; and the total value of the lowest evaluated bids falling under the bid exercise does not exceed the prescribed amount.

Where the total contract value with any single bidder or the total value of the lowest evaluated bids would exceed the prescribed amount, the public body shall not proceed with the award of any contract falling under the said bidding exercise without approval of the CPB. Worked Examples: Award of Contract on an item-wise basis Case A public body intends to purchase four items and the estimated costs is Rs 13.5 million. The prescribed amount for the public body is Rs 15 million.

49

Scenario 1 A. Item No 1 2 3 4 Bid Price Details of the offers received are as follows: Bidder A (Rs) 1 million* 8 million* 800,000 3.1 million 12.9 million N/A N/A 500,000* N/A 500,000 Bidder B (Rs) Bidder C (Rs) 1.2 million N/A 700,000 3.3 million 5.2 million Bidder D (Rs) 1.1 million N/A 850,000 3 million* 4.95 million

*Lowest Quote In this scenario, the public body conducts the evaluation exercise as: (a) (b) The lowest bid (Rs 0.5 million) does not exceed Rs 15 million (prescribed amount); and The total amount for the lowest price for each item does not exceed Rs 15 million.

The total amount is Rs 12.5 million (1m + 8m + 500,000 + 3m) B. After examination and evaluation of bids, the following lowest substantially responsive bids have been identified: Bidder A (Rs) 1 million* 8 million* 800,000* 3.1 million N/A N/A 500,000 N/A Bidder B (Rs) Bidder C (Rs) 1.2 million N/A 700,000 3.3 million Bidder D (Rs) 1.1 million N/A 850,000 3 million*

Item No 1 2 3 4

*Lowest substantially responsive bid The public body approves the contract for all the items as: (a) Each contract is below Rs 15m Bidder A = Rs 9.8m Bidder D = Rs 3m

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(b)

The total amount for all the lowest evaluated substantially responsible bids does not exceed Rs 15m Total amount = Rs 12.8m Scenario 2

Details of the offers received are as follows: Item No 1 2 3 4 Bid Price Bidder A (Rs) 4 million 8 million 800,000 N/A 12.8 million N/A N/A 650,000 5 million 5.65 million Bidder B (Rs) Bidder C (Rs) 5 million N/A 700,000 5 million 10 million Bidder D (Rs) 5.1 million N/A 850,000 4 million 9.95 million

In this case, the public body should refer to Central Procurement Board for evaluation and approval as: (a) The total amount for the lowest price for all the 4 items exceeds Rs 15 million.

The total amount is Rs 16.65 million. Please note that CPB should be referred to even if the lowest bid (Rs 5.65 million) is below the prescribed amount. Scenario 3 A. Item No 1 2 3 4 Bid Price Details of the offers received are as follows: Bidder A (Rs) 4 million 8 million 800,000 N/A 12.8 million N/A N/A 500,000 5 million 5.5 million Bidder B (Rs) Bidder C (Rs) 5 million N/A 700,000 5.1 million 10.8 million Bidder D (Rs) 6 million 5 million 1 million N/A 12 million

51

The public body may proceed with the evaluation of the bids as: (a) (b) The lowest bid (Rs 5.5 million) does not exceed Rs 15 million (prescribed amount); and The total amount for the lowest price for all the 4 items does not exceed Rs 15 million.

The total amount is Rs 14.5 million (4m + 5m + 500,000 + 5m). B. After examination and evaluation of bids, the following lowest substantially responsive bids (in bold) have been identified: Bidder A (Rs) 4 million 8 million 800,000 N/A N/A N/A 500,000 5 million Bidder B (Rs) Bidder C (Rs) 5 million N/A 700,000 5.1 million Bidder D (Rs) 6 million 5 million 1 million N/A

Item No 1 2 3 4

The public should not approve the award of contract as: (a) The total amount for the lowest evaluated substantially responsive bids for all the four items exceeds Rs 15 million (prescribed amount).

The total amount for the lowest evaluated substantially responsive bids is Rs 17.5 million (4m + 8m + 500,000 + 5m). The matter and the bidding documents must be referred to Central Procurement Board.

6.2.19. Return of Samples

A sample having a material value submitted by a bidder shall be promptly returned after any of the following occurs earliest: (a) (b) it is determined that his bid will not be selected; and it is established that the supply is in conformity with the sample provided.

6.3.

Procedures for Procurement of Consultancy Services

6.3.1. Descriptions of Consultancy Services (Terms of Reference)

The Terms of Reference (TOR) shall specify the description of the consultants services, such as: (a) a description of the background of the assignment;

52

(b)

objectives, goals and scope of the assignment (including a list of existing relevant studies and basic data) to facilitate the consultants preparation of their proposals; scope of work and tasks to be performed and the deliverables to be submitted (for example, reports, data, maps, surveys); outline of any transfer of knowledge or training that is required, including details of number of staff to be trained; functions and qualifications of key personnel, and an estimate of the level of key staff inputs (in staff-months) required of the consultants; location where the services are to be provided; desired or required time, if any, when the services are to be provided; anticipated date on which the selected bidder shall be expected to commence the work; inputs to be supplied by the public body (e.g., services, facilities, equipment); and reporting requirements and procedures.

(c) (b) (e) (f) (g) (h) (i)

6.3.2. Invitation for Expressions of Interest and Preparation of Shortlist

(1) The public body shall seek Expressions of Interest through a public advertisement in accordance with section 24 of the Act for the purposes of creating the shortlist in the following cases: (a) (b) when the public body does not have information in its possession in order to provide effective competition; and when the assignment for which the consultancy is sought is complex or its estimated value exceeds 10 million rupees.

(2) The information requested shall be the minimum required to make a judgment on the firms suitability and not be so complex as to discourage consultants from expressing interest. (3) The notice seeking Expressions of Interest shall include the following information: (a) (b) identification of and contact information of the public body; identification and general description of the assignment or project in question, including the working location, and any project identification codes; date of issuance of the notice, and closing date and instructions for submission of expressions of interest; the funding source; the projected time period for implementation and completion of the assignment; the qualification criteria to be met to be short-listed;

(c) (d) (e) (f)

53

(g)

in order to determine the capability and experience of consulting firms seeking to be short-listed, the information requested shall include the following: a profile of the company, its organisation and staffing; in the case of associations between two or more firms, the name, address and profile of the participating firm(s), and nature of the association (e.g., joint venture, subcontract and the like). The lead firm must be clearly identified; details of experience or similar assignments undertaken in the previous five years, including their locations; focus on the firms role in similar assignments in the region or elsewhere; and CVs of staff who could be available to work on the assignment.

(h) (i) (j)

in the case of individual consultants, a CV shall be solicited; a statement that short-listed consultants will be invited to submit proposals; and the number of copies of the requested information to be submitted, and the address to which submission is to be made, and from which additional information may be obtained.

(4) A minimum of 15 days from the date of publication of the notice shall be provided for submission of Expressions of Interest. (5) Consultants that expressed interest shall be informed of the final short list of firms.

(6) A short list of preferably six but not less than three firms shall be prepared pursuant to the assessment of the information furnished. In preparing the shortlist, the public body should endeavour to include different nationalities and backgrounds and, if possible, at least one local firm. The object is to provide a wide variety of approaches for the client to choose from. (7) If there is not adequate number of responses to result in the minimum number of three qualified firms, the advertisement shall be repeated. (8) The final shortlist may also include well-qualified consultants that did not respond to the solicitation of Expressions of Interest if there is a need to make up a minimum number.

6.3.3. Preparation of Shortlist in Other Cases

In all cases not covered above, the shortlist of three to about six qualified consultants shall be prepared by the public body from past experience, institutional knowledge, or by contacting local embassies, consultant associations, and other organisations without any public invitation of Expressions of Interest.

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6.3.4. Letter of Invitation to Shortlisted Consultants and Issuance of Request for Proposals
(1) The public body shall provide the Request for Proposals (RFP) to the short-listed consultants containing preferably six bidders but not less than three, in accordance with section 24 of the Act. (2) The letter of invitation shall inform consultants of the identity of the other consultants on the short list of bidders being invited to submit proposals, and whether or not associations between short-listed consultants are acceptable. (3) The letter to the short-listed consultants shall request each invited firm to (i) acknowledge receipt of the Request for Proposals , and (ii) inform the public body whether or not it will be submitting a proposal.

6.3.5. Content of Request for Proposals for Services

In accordance to section 24 of the Act, the RFP, which is to be provided to consultants on the short list, shall include: (a) (b) a copy of the letter of invitation; a requirement that consultants identify the proposed key personnel that will carry out the assignment and that consultants provide the curriculum vitae of each proposed key person, which must be accurate, complete, and signed by an authorised official of the consultant and the individual proposed; information for consultants, including: (i) details of the selection procedure to be followed, including: a description of the two-step process in all cases, even in the fixed budget selection procedure, with price envelope to be opened only after completion of technical evaluation; the criteria, the sub-criteria and weight to be assigned to each criteria such as experience, methodology, and key staff to be used in the evaluation of the technical proposals; the details of the financial evaluation; where applicable, the relative weights for quality and cost for the combined evaluation (the weight for cost shall normally be in the range of 10 to 20 percent, but in no case shall exceed 30 percent out of a total score of 100); the minimum pass score for quality;

(c)

55

(ii)

how the details on the public opening of financial proposals, where applicable, will be communicated to participants, after the completion of the technical evaluation; an indication that consultants may propose their own methodology and staffing, and may comment on the terms of reference in their proposals; an indication of minimum experience, academic achievement, and so forth, expected of key staff; a statement that the firm and any of its affiliates shall be disqualified from providing downstream goods, works, or services under the project if, in the public bodys judgment, such activities constitute a conflict of interest with the services provided under the assignment; notice of conflict of interest restrictions and anti-fraud and anticorruption rules; details of the procedure for clarification and modification of the RFP; the manner of preparation of technical proposals; the manner of preparation of financial proposals; the manner and language in which the proposal shall be submitted, including the requirement that the technical proposals and price proposals be sealed and submitted separately in a manner that shall ensure that the technical evaluation is completed before opening price proposals; the procedure for opening proposals; details of evaluation and selection procedures; the procedures and purpose of negotiations; the award procedure; confidentiality rules;

(iii)

(iv) (v)

(vi) (vii) (viii) (ix) (x)

(xi) (xii) (xiii) (xiv) (xv)

(xvi) whether a pre-proposal conference will be held; (xvii) inputs to be provided by the public body; (xviii) the period for which the consultants proposals shall be held valid (normally 60-90 days) and during which the consultants shall undertake to maintain, without change, the proposed key staff, and shall hold to both the prices and the total price proposed; in case of extension of the validity period, the right of the consultants not to maintain the validity of their proposal;

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(xix)

statement indicating whether or not the consultants contract and personnel shall be subject to tax, and where tax information can be obtained; and a statement requiring that the consultant should include in its financial proposal a separate amount, clearly identified, to cover taxes; the phasing of the assignment, if appropriate; and likelihood of followup assignments;

(xx)

(xxi) any condition pertaining to subcontracting part of the assignment; and (xxii) forms including: Standard forms for technical proposal; Standard forms for financial proposal; and The Terms of Reference (TOR).

6.3.6. Proposal Data Sheet (1) Proposal Data Sheet complements the instructions to the candidates. On this sheet the public body identifies itself and provides general information about the circumstances of the procurement. Here the public body sets out specific requirements that the candidate must follow in preparing and submitting its proposal. On this form the public body informs candidates of the date, time and place of opening of proposals. (2) The terms and conditions of the proposed contract, and the contract form, if any, to be signed by the parties, consisting of the General Conditions of Contract, which remain constant from one procurement proceeding to another, and the Special Conditions of Contract, in which conditions specific to the particular procurement are set forth, also form part of the Proposal Data Sheet.

6.3.7. Choice of Selection Procedure

(1) The public body shall use one of the following procedures for selection of the winning proposal, in accordance with the notice provided to bidders in the Request for Proposals: (a) (b) (c) Quality and Cost Based Selection (QCBS), which takes into account both the quality and the cost aspects in selecting the winning proposal; Quality-Based Selection (QBS), which considers quality alone in selecting the winning proposal; or Budget-Ceiling Selection, in which the contract is awarded to the proponent of the highest rated technical proposal, whose financial proposal is within the available budget; and

57

(d)

Least Cost Selection, in which the contract is awarded to the lowest priced proposal among those that have attained the minimum technical score.

The successful proposal shall be determined only on the basis of the selection procedure indicated in the Request for Proposals. (2) Subject to paragraphs 3 and 4 below, the QCBS method shall be utilised as the standard procedure. (3) Use of the QBS method is appropriate for the following types of assignments: (a) complex or highly specialised assignments for which it is difficult to define precise TOR and the required input from the consultants, and for which the client expects the consultants to demonstrate innovation in their proposals (for example, country economic or sector studies, multi-sector feasibility studies, design of a hazardous waste remediation plant or of an urban master plan, financial sector reforms); assignments that have a high downstream impact and in which the objective is to have the best experts (for example, feasibility and structural engineering design of such major infrastructure as large dams, policy studies of national significance, management studies of large government agencies); and assignments that can be carried out in substantially different ways, such that the cost of competing proposals are not comparable (for example, management advice, and sector and policy studies in which the value of the services depends on the quality of the analysis).

(b)

(c)

(4) Use of the Least Cost Selection method is more appropriate for assignments of a standard or routine nature (audits, engineering/design of non-complex works, procurement agents, and so forth) where well-established practices and standards exist a in which the nd contract amount is small. (5) The public body shall include in its report a statement of the grounds and circumstances on which it relied to justify its choice of selection procedure.

6.3.8. Submission of Proposals

(1) In the case of all methods: (a) (b) the technical and financial proposals shall be submitted at the same time, in separate sealed envelopes; and the technical envelopes shall be opened in the first stage. The financial proposals shall remain sealed and in safe custody until the second stage.

(2) The public body shall set the deadline for submission of proposals providing not less than thirty days from the date of the issuance of the Request for Proposals.

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6.3.9. Evaluation and Selection

(1) Any award by the public body shall be made to the consultant whose proposal best meets the needs of the public body as determined in accordance with the criteria and methodology for evaluating the proposals and final selection procedures set forth in the Request for Proposals. (2) The e valuation of the proposals shall be carried out in two stages: first the quality, and then the cost. Evaluators of technical proposals shall not have access to the financial proposals until the technical evaluation is concluded. Financial proposals shall be opened only thereafter. (3) The Evaluation Committee report shall contain a record of the evaluation of each proposal and the comparison between them. The report shall be submitted to the Board for major contracts, along with the committees recommendation for award. After approval the CPB shall forward the report to the head of the public body who will be responsible for the safe custody of the report. In the case of non-major contracts, the report shall be forwarded by the committee directly to the Departmental Tender Committee.

6.3.10. Substitution of Key Staff

The selected consultant shall not be permitted to substitute key staff, unless both parties agree that undue delay in the selection process makes such changes unavoidable or that such changes are critical to meet the objectives of the assignment. The key staff proposed for substitution shall have qualifications equal to or better than the key staff initially proposed.

6.3.11. Evaluation of Proposals in Quality-And-Cost-Based Selection Procedure (QCBS)

(1) The evaluation of the proposals shall be carried out in two stages. The first stage of the evaluation shall concern only the quality and technical aspects of proposals. Evaluators of technical proposals shall not have access to the financial proposals until the technical evaluation is concluded. (2) Financial proposals of only those that have achieved the minimum pass marks shall be opened thereafter. The evaluation shall be carried out in full conformity with the provisions of the Request for Proposals.

6.3.12. Criteria for Evaluation of Quality

(1) The criteria used to assess the technical merit of proposals shall be formulated in a clear, precise, and objective manner. (2) Each technical proposal shall be evaluated using the following criteria: (a) (b) (c) the bidders relevant experience for the assignment; the quality of the methodology proposed; the qualifications of the key staff proposed;

59

(d) (e)

transfer of knowledge, and the extent of participation by nationals among key staff in the performance of the assignment.

(3) Use of sub-criteria of the above general criteria should be limited to what is essential to conduct the evaluation. The key personnel of the consultants shall be rated according to the following sub-criteria, as relevant to the task: (a) general qualifications: general education and training, length of experience, positions held, time with the consulting firm as staff, experience in developing countries, and so forth; adequacy for the assignment: education, training, and experience in the specific sector, field, subject, and so forth, relevant to the particular assignment; and experience in the region: knowledge of the local language, culture, administrative system, government organization, and so forth.

(b)

(c)

(4) The criteria and sub-criteria referred to above are indicative only and must be formulated taking into account the specific circumstances of each procurement of consultancy services. (5) principles: Each of the criteria shall be assigned a weight, in accordance with the following (a) the weight given to experience can be relatively modest, since this criterion has already been taken into account when short-listing the consultant; more weight shall be given to the methodology and responsiveness to the terms of reference in the case of more complex assignments (for example, multidisciplinary feasibility or management studies); more weight shall be assigned to the qualifications and experience of key personnel if the proposed assignment is complex; and when the assignment depends critically on the performance of key staff, such as a project manager in a large team of specified individuals, it may be desirable to conduct interviews.

(b)

(c) (d)

(6) The following weights are indicative, and may be adjusted for specific circumstances. The proposed weights shall be disclosed in the Request for Proposals, and shall be formulated taking into account the following general guidelines:

60

Consultants specific experience Methodology and responsiveness to TOR Key personnel:

Transfer of knowledge Participation by nationals: Total

Up to 10 percent of score 20 to 50 percent of score 30 to 60 percent of score 0 to 10 percent of score 0 to 10 percent of score 100 percent of score

(7) The RFP shall establish a minimum passing mark for consideration and those scoring below the minimum shall be rejected and excluded from further consideration.

6.3.13. Rejection of Proposals Based on Quality

Following the technical evaluation, the public body shall reject proposals that fail to achieve the minimum threshold score as specified in the Request for Proposals.

6.3.14. Notification of Results of First Stage Quality Evaluation

(1) After the evaluation of quality is completed, the public body shall notify those Consultants whose proposals failed to secure the minimum qualifying score, indicating that their financial proposals will be returned unopened after completion of the selection process. (2) The public body shall simultaneously notify the consultants that have secured the minimum qualifying mark, and indicate the date and time set for opening the financial proposals. The opening date shall not be earlier than two weeks after the notification date.

6.3.15. Quality Evaluation Report and Retention of Evaluation Records

The Technical Evaluation Committee shall prepare an evaluation report on the quality of the proposals. The report shall substantiate the results of the evaluation and describe the relative strength and weaknesses of the proposals. All records relating to the evaluation, such as individual mark sheets, shall be retained until completion of the project and its audit, subject to the requirements of section 42 of the Act.

6.3.16. Opening of Financial Proposals

The financial proposals shall be opened publicly in the presence of representatives of the consultants who choose to attend. The name of the consultant, the quality scores, and the proposed prices shall be read aloud and recorded when the financial proposals are opened. The public body shall prepare the minutes of the public opening, which shall form part of the record of the procurement proceedings.

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6.3.17. Evaluation of Financial Proposals

(1) For the purpose of evaluation, cost shall include Mauritius taxes, unless otherwise specified, and also shall include other reimbursable expenses, such as travel, translation, report printing, or secretarial expenses. (2) The proposal with the lowest cost may be given a financial score of 100 and other proposals given financial scores that are inversely proportional to their prices. Alternatively, a directly proportional or other methodology may be used in allocating the marks for the cost. The methodology to be used shall be described in the Request for Proposals.

6.3.18. Combined Quality and Cost Evaluation

(1) If the successful proposal is selected on the basis of a combined evaluation of quality and price aspects, the total score shall be obtained by weighing the quality and cost scores and adding them. Award shall be made to the proposal with the best combined score, in accordance with the criteria and weighting disclosed in the Request for Proposals. (2) The consultant submitting the proposal determined to be successful in accordance with (1) above shall be invited for technical discussions aimed at finalization of the contract. (3) The negotiations may include discussions of the Terms of Reference, the methodology, staffing, the clients inputs, and special conditions of the contract. The discussions shall not substantially alter the original Terms of Reference or the terms of the contract. Financial negotiations may include clarification of the consultants tax liability (if any) and how this tax liability has been or would be reflected in the contract. Proposed unit rates for staffmonths and reimbursables shall not be negotiated, so as not to alter the cost structure that has resulted in the ranking of the proposals. Major reductions in work inputs shall not be made solely to meet the budget. The final Terms of Reference and the agreed methodology shall form part of the contract under scope of services (which replaces the terms of reference). (4) The selected Consultant shall not be allowed to substitute key staff, unless both parties agree that undue delay in the selection process makes such substitution unavoidable or that such changes are critical to meet the objectives of the assignment. If this is not the case and if it is established that key staff were offered in the proposal without confirming their availability, the consultant may be disqualified and the process continued with the next ranked proponent. The key staff proposed for substitution shall have qualifications equal to or better than the key staff initially proposed.

6.3.19. Failure to Reach Agreement with Successful Consultant

(1) If the discussions with the first selected consultant fail to result in an acceptable contract, the public body shall, by letter addressed to that consultant, terminate the discussions and invite the next ranked firm for discussions. (2) The consultant with whom discussions are being terminated shall be informed of the reasons for the termination. Once discussions are commenced with the next ranked firm, the public body shall not re-open the earlier discussions. After discussions are successfully

62

completed, the public body shall promptly notify other bidders on the short list that they were unsuccessful.

6.3.20. Rejection of All Proposals

The public body will be justified in rejecting all proposals only if all proposals are nonresponsive and unsuitable either because they present major deficiencies in complying with the Terms of Reference, or all of them fail to score the minimum pass marks, or because they involve costs substantially higher than the original estimate. 6.3.21. Selection Procedure Based on Quality (QBS) Where the public body, in accordance with section 24 of the Act, uses the Quality Based Selection, the selection process shall be identical to that applied in the Quality and Cost-based Selection procedure, except as otherwise specified in this section. The public body shall observe the following steps: (a) (b) establish a pass mark for quality; open the technical proposals and conduct the evaluation, comparison and ranking of technical proposals; after opening the price proposal of the highest ranked bidder, the consultant shall be invited for negotiations on price and technical issues; inform the consultants that did not attain the required minimum pass marks of the fact and return their price proposals after the contract is signed with the successful consultant; if it becomes apparent to the public body that the negotiations with the consultant invited pursuant to (b) above will not result in an acceptable contract, inform that consultant that it is terminating the negotiations; and the public body shall then invite for negotiations the consultant that attained the second best rating; if the negotiations with that consultant do not result in a procurement contract, the public body shall invite the other consultants for negotiations on the basis of their ranking until it arrives at a procurement contract or rejects all remaining proposals.

(c)

(d)

(e)

6.3.22. Selection Based on Least Cost

If, in accordance with the Request for Proposals, the Least-Cost Selection method is to be used for determining the successful proposals, the QCBS procedure referred to above shall be applied, except that the consultant whose financial proposal is the lowest among those consultants whose proposals attained the minimum technical pass m arks, is invited for technical and cost clarifications and negotiations with a view to conclusion of a procurement contract.

6.3.23. Selection Based on Budget-Ceiling

If, in accordance with the Request for Proposals, the selection based on maximum budget is chosen, the QCBS procedure referred to above shall be applied, except that:

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(a) the proposals with price above the budget will be rejected and the proposal with the highest score among the rest will be selected; and (b) the selected consultant will be invited for detailed discussions of the technical proposal to arrive at a satisfactory contract. If this discussion fails, the public body will terminate the negotiations and initiate discussions with the next ranked consultant.

6.3.24. Design Contests

In appropriate cases, such as the procurement of architectural designs or urban planning designs, the public body may conduct a design contest for the purposes of selecting a design in accordance with procedures approved by the PPO.

6.4.

Procedures for Restricted Bidding

6.4.1. Limitation
(1) Restricted bidding may be used only in the limited circumstances detailed in paragraph 5 Restricted Bidding. (2) The proceeding applicable shall be the same as for open advertised bidding.

6.4.2. Database of Suppliers/Contractors

(1) The Restricted Bidding method presupposes that the public body has a database or a list of potential suppliers. (2) The following shall apply to the maintenance and use of registration and classification systems in Restricted Bidding procedures, and to any database and list of interested or approved parties: (a) the database or list shall be maintained only for the information of various public bodies, and non-inclusion in the database or list shall not preclude consideration of a supplier if it meets the eligibility and qualifications prescribed in the invitation documents; and requests to be classified, or to be entered in the database or list, shall be receivable at any time from any interested party and shall be acted upon within a reasonably short period of time.

(b)

(3) The existence of the classification system, database or list, the conditions to be satisfied by parties to be entered in the classification system, database or list, the methods according to which satisfaction of each of those conditions is to be verified, the period of validity of an entry in the classification system, database or list and the procedures for entry and for

64

renewal of the entry shall be generally and regularly publicized in a manner to bring them to the attention of interested parties; and listed parties shall be given prompt notice of their inclusion or removal from the classification system, database or list in Mauritius may be required to provide information and documents as prescribed by PPO.

6.5. Procedures for Works/Services)

Request

for

Sealed

Quotations

(Goods/

6.5.1. Use of the Request for Sealed Quotations

Request for Sealed Quotations, is a procurement method used for readily available commercially standard goods not spec ially manufactured to the particular specifications of the public body, small works, or small other services. The guidelines below are designed to provide all the necessary information to conduct procurement through Request for Sealed Quotations.

6.5.2. Letter of Invitation

This section announces the procurement and is intended to provide bidders with details of the contact person to whom request for clarifications on the bid document should be addressed. To ensure fairness and confidentiality of the process it is important that all communications between prospective bidders and the public body flow through this contact person.

6.5.3. Contents of bid documents

A. Part 1 - Quotations Procedures

This section contains the Instructions to Bidders informing them of the rules and procedures the public body will follow in conducting the procurement. Bidders should be encouraged to read this document carefully, and public bodies should understand the document and be able to answer questions from bidders regarding this section of the documents. This section also contains the Quotation Submission Sheet to enable bidders to submit their total quoted amount for the procurement and their conditions in respect of the validity period of the bid. They also make their declaration in respect of their eligibility, and undertake to observe the ethical values as required by the Act. B. Part 2 - Statement of Requirements

This section provides a brief of the goods, scope of works/services required and the expected performance. It also contains a detailed list of goods /activity schedule which would enable the bidders to provide a detailed breakdown of their quoted price mentioned in Part 1. The specifications are also provided in a tabular form in this section, and bidders are invited to state their compliance as well as to qualify their deviations, if any.

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C.

Part 3 - Conditions of Contracts

This section states the General Conditions of Contract that will be applicable as well as the data in respect of certain special conditions of the contract. D. Schedules

This section contains format of Bid and Performance securities that should be submitted by bidders, if so required.

6.5.4. Schedule of Qualification Requirements

(1) This section informs the candidate about what it must satisfy to be qualified to participate in this procurement. As proof that it satisfies these requirements, a candidate may be required to submit the specific documentary evidence. (2) The public body must identify the specific qualification requirements that the public body has decided are necessary to demonstrate that a candidate is capable of performing this particular procurement.

6.5.5. Standard Quotation Documents for Goods: Technical Specifications

Here the public body states the needs to be satisfied by the procurement. The technical specifications define what the public body wishes to buy and in turn what the supplier is expected to supply or perform. Specifications must contain information to permit competition. While specifications should be drafted in a manner that is not unreasonably restrictive, they must still describe clearly and accurately all technical and other minimum needs of the public body.

6.5.6. Schedule of Delivery

Here the public body must describe the details for delivery of the goods, quantity, date, place and means. If the goods are to be delivered in lots, the schedule needs to list the delivery details for each lot.

6.5.7. Standard Quotation Documents for Works

Implementation Designs and Technical Specifications: Here again the public body states the needs to be satisfied by the procurement. The same principles referred to above for goods, also apply to the design and specifications for works.

6.5.8. Schedule for Performance of Works

Here the public body should provide the key milestones and critical path for performing the works. This schedule is used to monitor performance and also may be used to determine the milestones for making progress payments.

6.5.9. Standard Quotation Documents for Services (non-Consultancy)

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Here the public body states the needs to be satisfied by the procurement. The scope of services defines what the public body wishes to procure and in turn what the service-provider is expected to perform including results expected. The public body should describe the services, set out the schedule for performance, and list the key personnel requirements.

6.5.10. Quotation and Acceptance Procedures

(1) The lowest priced quotation from among those that are fully compliant with the technical and commercial terms in the invitation, shall be selected and a purchase order/Letter of Acceptance issued to it. (2) The public bodys purchase order constitutes an acceptance of the winning bidders quotation and forms a legally binding contract. (3) Any term or condition in the bidders confirmation of a purchase order that change or alter the terms of the order shall be valid only if approved in writing by the public body.

6.6. Emergency Procurement

6.6.1. Extreme Urgency
The conditions for use of this method are detailed in paragraph 5.2 Emergency Procurement.

6.6.2. Limitations of Use

In the case of direct procurement without competition on the grounds of extreme urgency referred to in section 21 of the Act, the public body shall limit the procurement to the quantity and duration needed to deal with the urgent circumstances.

6.7. Direct Procurement

6.7.1. Permissibility of Direct Procurement
(1) A public body may resort to direct procurement: (a) where only one supplier has the exclusive right to manufacture the goods, carry out the works, or perform the services to be procured, and no suitable alternative is available; for procurement not exceeding the thresholds as detailed in paragraph 5 Direct Procurem ent; for additional deliveries of goods by the original supplier which are intended as partial replacement or extension of existing goods, services or installation service, subject to the cost involved do not exceed 50% of the original contract [section 25(c) of the Act and Regulation 44(3)]; and

(b) (c)

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(d)

where additional works, which were not included in the initial contract have, through unforeseeable circumstances, become necessary and the separation of the additional works from the initial contract would be difficult for technical or economic reasons; provided the extra costs do not exceed 30% of the original contract - [section 25(d) of the Act and Regulation 44(3)].

6.7.2. General Policy of Diligence

(1) Prior to awarding the procurement contract by way of direct procurement, the public body shall ascertain that: (i) (ii) (iii) (iv) the item to be procured is not available in existing stores or under applicable framework agreements; the provider possesses the qualifications required to perform the procurement contract, the quality and technical aspects of the providers proposal meet the public bodys requirements; and the price to be paid to the provider is fair and reasonable.

6.7.3. Procurement of Functionally Equivalent Goods

Direct procurement may not be justified on the grounds that only one bidder has the capacity or the exclusive right to manufacture or deliver goods, works or services if functionally equivalent goods, works or services from other bidders would meet the needs of the public body.

6.8. Procurement through Community and End-User Participation

6.8.1. Use of the procurement through Community and End-User Participation Method
(1) In the interest of providing employment to local communities and the involvement of end-users, a public body may decide to execute small construction works, including maintenance and repair, through local User Committees. The applicable maximum threshold value, the public bodys obligation to provide design and technical inputs, responsibilities for supervision and quality control and other related matters shall be specified by the public body in consultation with the PPO. (2) to ensure: For procurement through a User Committee, the PPO shall establish procedures

(a)

clarity as to the cases in which a users committee can be utilised, which should normally be labour intensive and where better value may be obtained by the participation of the community and end user; that the arrangement with the User Committee is on the basis of an agreement signed between the public body and the User Committee,

(b)

68

which stipulates the outputs, the users role, mechanisms for community representation, reporting obligations, budget, and procedures for supplementary procurement; (c) (d) (e) effective mechanisms for representation of the user; effective and accountable use of the funds involved for the specified objectives and outputs, including the monitoring of implementation; and record-keeping obligations.

6.9. Procurement by Departmental Execution

6.9.1. Use of the Procurement Method
Procurement by departmental execution may be effected only in the limited circumstances as detailed in paragraph 5 Departmental Execution.

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PART 7
Contract Administration
7.1. Introduction
(1) Selecting the right supplier or contractor is only the first phase of public procurement for which the public body is responsible. Contract administration is of critical importance to the proper functioning of the procurement system and to the assurance that the purposes of the procurement will be achieved. The subject is covered in Part VII of the Act and in Regulations 60 to 67 of the Public Procurement Regulations 2008. (2) It is often important for the public body to establish a contract administration team to organize the effort. For example, for a contract for works, the initial steps in contract administration include the following: (a) (b) (c) holding post-award conferences with the successful bidder, where necessary, and devising a specific contract administration plan; development of a contract implementation work plan and schedule; monitoring progress, including determination of extent of performance accomplished periodically according to the work plan, and inspection and testing of quality aspects; arranging possession of and access to site; management of the financial aspects of contract implementation, including payments to suppliers, and budgetary and cost accounting aspects; organisation of files relating to contract implementation, preparing periodic reports on the implementation of contracts; and certifying due performance

(d) (e)

(f) (g)

(3) For goods contracts it will be important to arrange for pre-shipment inspection, perhaps engaging an external agent, and for receiving and acceptance of the goods in accordance to Regulations 60 and 61, reproduced hereunder: 60. Inspection and Acceptance of Goods (1) The public body shall establish appropriate procedures and mechanisms for inspecting and examining supplied goods in accordance with applicable supply management procedures.

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(2)

The public body may designate one or more agencies to supervise and inspect the performance with the technical requirements of procurement contracts and applicable quality standards. The inspecting official or agency designated under paragraph (2) shall inspect and examine the supplied items and compare with the stamped and approved samples and other specifications, putting aside the rejected goods to be returned to the supplier. The inspecting official or agency shall examine varying percentages following principles of statistical sampling methods. The inspecting official shall prepare an inspection report indicating acceptance or rejection of the goods. The report shall indicate the percentage that the inspecting official has examined, the names, specifications, results of testing. In the event of a dispute between the supplier and the inspecting official or agency, such dispute shall be submitted to the dispute settlement procedures under the procurement contract.

(3)

(4)

(5)

61.

Acceptance report (1) An acceptance report by the public body shall contain the following (a) (b) (c) (d) the contract reference number; a description of the item or service received; the date of delivery and acceptance; the authorised signature in writing, or in electronic form where that form is acceptable to the public body and provides the requisite security.

(2)

An acceptance report shall be transmitted promptly to the appropriate disbursement authorities for payment.

7.2. Contract Terms

The procurement contract must be as per the terms and conditions set out in the bidding documents.

7.3. Payment
(1) Payment to contractors on a timely basis in accordance with contract terms is essential to the integrity of the procurement system. Section 47 of the Act emphasizes the importance of timely payment. Unpaid contractors lose their incentive to do good work and inevitably raise their prices in future procurements. (2) Subject to the terms of the procurement contract, payment shall be made on the basis of the submission and acceptance of a proper invoice. Upon receipt of an invoice, the public body shall promptly notify the supplier within 5 days in the event that the invoice is not deemed proper, stating the grounds for that determination. The procurement contract shall define the manner and timing of payment.

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(3) In the case of procurement of goods, the invoice shall be accompanied by any shipping or other required documents, in the prescribed form which may be obtained from the public body. Prior to effecting payment, the officer responsible for payment shall establish the availability of the appropriate supporting documents, including payment vouchers attached to relevant invoices, local purchase orders, and cross-references to local purchase orders or procurement reference numbers. (4) Payments that become due to the supplier shall be made in accordance with the deadlines set forth in the procurement contract, failing which, the supplier shall be compensated by payment of interest in accordance with the provisions of the procurement contract. If the procurement contract provides for a prompt payment discount, such a discount shall be applied if the public body makes payment in accordance with the terms of the prompt payment discount provision. (5) An advance payment may be made against an advance payment security wherever applicable in an amount in accordance with the procurement contract, as set out in the Standard Bidding Documents issued by the Policy Office, and as indicated in the procurement contract. (6) The procurement contract may provide for the making of progress payments, for example on a monthly basis, based on the actual work performed as measured by the Engineer/Project Manager and recorded in the measurement book or in accordance with performance milestones identified in the contract and having been achieved, or based on actual quantities delivered or completed. Progress payments shall be issued in accordance with the contract, upon presentation and acceptance of such documentation as required by the procurement contract to evidence the progress in performance. Notwithstanding the above, where progress payments are made, the procurement contract may provide that a percentage of amounts due may be withheld until performance of the procurement contract is completed. (7) Final payment shall be made once performance of the procurement contract has been completed and accepted by the public body. The procurement contract may mandate that the contractor provides to the public body a release from claims related to the contract as a condition for final payment, subject to exceptions including: (a) (b) (c) specified claims; contractors liability to third parties stemming from performance of the procurement; and claims for reimbursement of costs based on liability incurred to third parties in performance of the procurement contract, provided the claims are not known to the Contractor as at the date of signature of the release.

7.4. Contract Modifications

(1) The public body and the contractor must agree in writing to any contract amendment or modification that alters the basic nature or scope of the contract. Section 46 of the Act provides that, except in certain cases, an amendment that increases the contract value by more than 25 percent requires fresh procurement proceedings.

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(2) For the purpose of dealing with unforeseen circumstances that may occur, the contract may permit the public body to issue a variation order requiring the supplier to implement technical changes in the quantity or delivery time of the goods, construction works or services to be supplied. Issuance of variation orders shall be subject to budgetary provisions, and when the use of such orders is more likely to achieve value for money than engaging in bidding proceedings in accordance with the restrictions on use of direct procurement without competition.

7.5. Termination and Breach

(1) Section 48 of the Act establishes a particular authority for the public body to terminate a procurement contract for its convenience, upon a determination that because of changed circumstances the continuation of the contract is not in the public interest. This remedy is specifically intended for special and unforeseen cases, and should be sparingly utilized. (2) In the event of a termination for convenience, the contractor is entitled to reimbursement of expenses incurred in contract performance, but not the recovery of profits anticipated on the completion of the contract. (3) In the event of breach of contract by the supplier/contractor, the procurement contract shall specify remedies available to the public body. Those remedies include, but are not limited to: (a) rejection for unsatisfactory performance; (b) prompt removal and replacement of defective goods; (c) liquidated damages for delay, in accordance with a rate set for each week or other unit of time, or part thereof, of delay; (d) termination of the contract and purchase of replacement performance, at the expense of the defaulting party; and (e) such other remedies as may be available pursuant to the contract or to applicable law.

7.6. Record Keeping

Section 50(3) of the Act makes clear the responsibilities of every public body to record and preserve all documentation relating to any procurement proceedings in such manner as may be prescribed. Such documents are given at the Appendices.

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PART 8
CHALLENGE AND APPEAL
8.1. Provisions of the Act
The Act contains a modern system for the adjudication of challenges presented to the public bodies during the course of the procurement. The system provides assurances to the public of the transparency and integrity of the public procurement system.

8.2. Bid Challenge Procedure

The Act provides that a bidder or potential bidder who claims to have suffered, or to be likely to suffer loss or injury due to a breach of duty imposed on a public body or the Board by the Act may challenge the procurement proceedings at any time before the entry into force of the procurement contract. The challenge is first directed to the Chief Executive Officer of the public body involved. If the bidder is not satisfied with the decision of the Chief Executive Officer, he may submit an application for review to the Review Panel. An application for review after the entry into force of a procurement contract shall be made directly to the Review Panel. Sections 43 and 45 of the Act and Regulations 48 to 59 reproduced hereunder contain detailed procedures concerning the disposition of the challenge and review. (a) 43. Sections 43 & 45 of the Act: Challenge (1) A bidder who claims to have suffered, or to be likely to suffer, loss or injury due to a breach of a duty imposed on a public body or the Board by this Act may challenge the procurement proceedings at any time before the entry into force of the procurement contract. A challenge shall be in writing to the Chief Executive Officer of the public body concerned and identify the specific act or omission alleged to contravene this Act. A challenge shall not be entertained unless it is submitted (a) (b) (4) in the case of a challenge under section 24(12) or 40(4), within the time specified in the relevant subsection; or in any other case within such time as may be prescribed.

(2)

(3)

Unless the challenge is resolved, the Chief Executive Officer of the public body shall suspend the public procurement proceedings and shall, within such time period as may be prescribed, issue a written decision, stating his reasons, and, if the challenge is upheld, indicating t e corrective h measures to be taken.

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45.

Right of review (1) An unsatisfied bidder shall be entitled to ask the Review Panel to review the procurement proceedings where (a) (b) (c) the Chief Executive Officer of the public body does not issue a decision within the time specified in section 43(4); he is not satisfied with the decision; or before or after the entry into force of a procurement contract the value of which is above the prescribed threshold, he is not satisfied with the procurement proceedings on a ground specified in section 43(1).

(2)

An application for review under subsection (1) shall (a) (b) (c) be in writing; specify the reasons for making the application; and be made within such time as may be prescribed. An applicant for a review shall be required to make a deposit as may be prescribed for filing the application. Where the Review Panel determines that the application was frivolous, the deposit made shall be forfeited.

(3)

(a) (b)

(4)

Where an application for review is made in accordance with this section, the procurement proceedings shall, subject to subsection (5), be suspended until the appeal is heard and determined by the Review Panel. The suspension provided by subsection (4) shall not apply where the public body certifies that urgent public interest considerations require the procurement proceedings to proceed. A certificate issued by a public body pursuant to subsection (5) shall expressly state the grounds of the urgent public interest considerations and shall be made a part of the record of the public procurement proceedings. A certificate issued by a public body pursuant to subsection (5) shall be binding on the Review Panel and the procurement proceedings shall proceed unless an application for leave to seek a judicial review is successful.

(5)

(6)

(7)

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(8)

The Review Panel shall make a decision under this section within 1 month of the date of submission of an application for review under subsection (2). Where the procurement proceedings have not been suspended under subsection (5), and the application for review of an unsatisfied bidder is determined in his favour, the Review Panel shall award him compensation limited to the recovery of the costs of bid preparation and participation in the procurement proceedings. The Review Panel may dismiss an application for review or may, if it determines that there is merit in it, order one or more of the following remedies (a) (b) (c) (d) prohibit the public body from acting or deciding in an unauthorised manner or from following an incorrect procedure; recommend the annulment in whole or in part of any unauthorised act or decision of the public body; recommend a re-evaluation of the bids or a review of the decision for an award, specifying the grounds for such recommendation; or recommend payment of reasonable costs incurred in participating in the bidding process where a legally binding contract has been awarded which, in the opinion of the Review Panel, should have been awarded to the applicant.

(9)

(10)

(b) 48.

Regulations 48 to 59: Challenge and appeal procedures (1) (2) A challenge under section 43 of the Act shall be made in the form set out in the Second Schedule. For the purposes of section 43(3)(b), a challenge shall not be entertained unless it is submitted within 5 days from the invitation to bid or from the opening of bids. Where the challenge concerns any aspect of the procurement process prior to the award of the contract, the Chief Executive Officer of the public body concerned shall in the case of a major contract, obtain all relevant information from the Board. Unless the challenge is resolved by mutual agreement, the Chief Executive Officer of the public body shall issue a written decision stating his reasons within 15 days of the filing of the application. Where the Chief Executive Officer of the public body fails to issue a decision within 15 days or if the bidder is not satisfied with his decision, the bidder may submit an application for review to the Review Panel,

(3)

(4)

(5)

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provided that the application is filed within 15 days of receipt of the decision of the public body or the time when that decision should have been received. (6) (7) For the purposes of section 45(1) (c) of the Act the threshold shall be 1million rupees. An application for review under section 45(1)(c) of the Act, from an unsatisfied bidder after the entry into force of a procurement contract the value of which is above the prescribed threshold, as specified in paragraph (6), stating that he is not satisfied with the procurement proceedings on a ground specified in section 43(1), shall be made within 5 days of the date the applicant becomes aware of alleged breach.

49.

Required contents of application for review

An application for review by the Review Panel shall be made in writing in the form set out in the Third schedule .

50.

Filing of application
(1) (2) A challenge or an application for review may be filed by hand delivery, mail or commercial courier. A challenge or an application for review is deemed to be filed on a particular day when it is received by the public body, or, where applicable, by the Review Panel, by close of business on that day.

51.

Security Deposit for an application for review

(1) The submission of an application for review shall be accompanied by a deposit as follows (a) (b) (2) where the application relates to the award of a major contract, an amount equivalent to the bid security; in any other case 10,000 rupees or 50 per cent of the bid security, whichever is the higher.

The security deposit shall be forfeited where the Review Panel dismisses the application as frivolous.

52.

Notice of application for review (1) Where an application for review is made to the Review Panel, the Review Panel shall notify the public body within one day after the filing of the application and, unless the application for review is dismissed, shall promptly send a written confirmation to the public body and an acknowledgment to the applicant.

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(2)

Where the application for review is filed in the first instance with the Review Panel, the applicant shall furnish a complete copy of the application for review, including all attachments, to the public body not later than one day after the application for review is filed with the Review Panel.

53.

Disclosure by public body

(1) The public body shall promptly make available to the Review Panel any information and documentation that the Review Panel may request, including:(a) (b) (c) (d) (e) (f) (g) (2) the bid or proposal submitted by the applicant; the bid or proposal of the bidder that is being considered for award, or whose bid or proposal is being reviewed; all qualification assessment and evaluation documents; the invitation to bid or Request for Proposals, including the specifications; the abstract of bids or proposals; requests for clarification of the bidding documents or Request for Proposals and responses thereto; and any other relevant documents.

In appropriate cases, the Review Panel may request the applicant to produce relevant documents, that are not in the custody of the public body. The Review Panel may request or allow the submission of additional statements by the parties and by other parties not participating in the application for review as may be necessary for the fair resolution of the application for review.

(3)

54.

Expeditious delivery of communications

All communications related to the application for review shall be sent promptly to the Review Panel.

55.

Comments by public body on application for review by Independent Review Panel

(1) Where an application for review is filed with the Review Panel, the public body shall provide to the Review Panel comments on the application within 10 days of the notice of the filing of the application for review with the Review Panel.

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(2)

The comments of the public body shall include (a) a statement of the relevant facts; (b) a best estimate of the contract value ; (c) an assessment of the grounds for review; and (d) a list of all documents relevant to the procurement proceedings.

(3) (4)

The public body, may file a request for dismissal before filing the comments referred to under paragraph (1). The public body shall simultaneously send a copy of its comments on the application for review to the applicant within one day of the submission of the comments to the Review Panel. The applicant shall be given an opportunity to comment on the comments of the public body on the application for review. The applicant may submit to the Review Panel a reply on the comments made by the public body within 7 days of the receipt by the applicant of the public body s comments, and copied to the public body.

(5) (6)

56.

Dismissal of Application for Review

An application for review may be dismissed for (a) (b) (c) failure to comply with any of the requirements of sections 43 to 45 of the Act, and these Regulations; setting forth allegations that do not state a valid basis for an application for review, or that do not set forth a detailed legal and factual statement; having been filed in an untimely manner, either at the initial level of review by the public body, or with respect to deadlines for filing an application for review by the Review Panel; or contract implementation or administration instead of contract award.

(d)

57.

Hearings
(1) (2) (3) At the request of the applicant for review or on its own initiative, the Review Panel may, where it deems appropriate, conduct a hearing. A hearing shall be conducted as soon as practicable after receipt of comments and relevant documents from the public body. The Review Panel shall request the applicant and the public body concerned to attend a hearing.

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(4) (5)

The Review Panel may restrict attendance during all or part of the proceeding where it considers appropriate. During the hearing all proceedings shall be recorded and transcribed.

58.

Recording of dispositions
Any decision by the public body or the Review Panel pursuant to section 45 of the Act, shall be made part of the record of the procurement proceedings.

59.

Notice to the Independent Review Panel

The public body shall promptly notify the Review Panel and the Policy Office of the action it has taken in response to the decision of the Review Panel.

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PART 9
Procurement Integrity
9.1. Conduct of Public Officials

(1) A central theme of the procurement reform is procurement integrity, evident in transparency, fairness and accountability of the procurement proceedings. It is also manifest in the high standards for professional conduct of the public officers involved in procurement. (2) These standards are spelt out in section 51 of the Act. They include the impartial discharge of public duties; conduct in the public interest; avoidance of conflict of interest; refusal to commit corrupt or fraudulent acts or to solicit or accept improper inducements; keeping proprietary information confidential; and refraining from accepting a position of authority for a period of 2 years after leaving public service in a private concern with which an officer has had official dealings. . (3) No public official and close relative shall participate as a bidder or supplier in the public procurement proceedings of that public body. (4) No award of a procurement contract shall be made directly to such official or any body in which he or his close relative is employed in a management capacity or has substantial financial interest.

9.2.

Conduct of Bidders and Suppliers

(1) Procurement integrity depends upon good conduct by the community of bidders and suppliers as well. Section 52 of the Act clearly describes certain conduct, most especially corrupt or fraudulent conduct, including the offering or giving of improper inducements intended to influence a procurement process or the execution of a contract. Collusion between bidders is also forbidden. (2) If an improper inducement or other corrupt practice is identified, the public body shall reject the bid and notify the Policy Office accordingly. (3) A bidder is restricted from participating in a procurement where he previously was responsible for preparing the specifications or the bidding documents.

9.3. Suspension and Debarment

A bidder or supplier who is debarred implies that he is precluded from future government contracts for a determined period.

9.4.

Procedure for Suspension and Debarment

The Public Procurement (Suspension and Debarment) Regulations 2008 reproduced at Appendix B1 lay down the procedure and other aspects of suspension and debarment of potential bidders and suppliers.

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PART 10
Miscellaneous
10.1 Oath of Office
The form for the Oath of Office for public officers involved in procurement, and members of the Policy Office, the Board, and the Review Panel provided in the Fourth Schedule of the Public Procurement Regulations 2008 is reproduced below:

OATH
I, _______________________, being appointed Chairman/Vice Chairman/Member/Officer* of the Procurement Policy Office, the Central Procurement Board, or the Independent Review Panel do hereby swear/solemnly affirm that I shall, to the best of my judgment, act for the furtherance of the objectives of that organisation and shall not, on any account and at any time, disclose, otherwise than with proper authorization or where it is strictly necessary for the performance of my duties, any confidential information obtained by me in virtue of my official capacity. Taken before me, __________________________________________________________ ________________________________________________________________________ Master and Registrar of the Supreme Court

*delete as necessary

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10.2 Declaration of Assets

The form for the Declaration of Assets by public officers involved in procurement, and members of the Policy Office, the Board, and the Review Panel provided in the Fifth Schedule of the Public Procurement Regulations 2008 is reproduced below : DECLARATION OF ASSETS I,______________________________ of __________________________________ make oath/solemn affirmation as a ___________________________________ and declare that 1. I am unmarried/married under the system of _______________________________

(matrimonial regime). 2. My assets (extent, nature of interests therein, liabilities regarding these assets) are as follows (a) landed property: ___________________________________________________ (b) residential, commercial or industrial building: _____________________________ (c) motor vehicles: ____________________________________________________ (d) boats: ___________________________________________________________ (e) shares: __________________________________________________________ (f) interest in partnership or socit: _______________________________________ 3. The assets of my spouse/minor children (extent, nature of interests therein, liabilities regarding these assets) are as follows: (a) landed property: ___________________________________________________ (b) residential, commercial or industrial building: _____________________________

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(c) motor vehicles: ____________________________________________________ (d) boats: ___________________________________________________________ (e) shares: __________________________________________________________ (f) interest in partnership or socit: _______________________________________ 4. My liabilities (other than those relating to the assets referred to at paragraph 2) are as follows:__________________________________________________________________ __________________________________________________________________ __________________________________________________________________ 5. The liabilities of my spouse/minor children (other than those relating to the assets referred to at paragraph 3) are as follows:__________________________________________________________________ __________________________________________________________________ __________________________________________________________________

Signature _____________________________________________________________ Sworn/solemnly affirmed by the above-named before me at this day ________________ of 20..

Master and Registrar Supreme Court

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