The main opposition in Parliament, the People’s National Congress Reform (PNCR), following strong objections to the tendering process contained in the Bill, walked out.

In an effort to inform the public about the Procurement Bill 2003, we today publish one section of the legislation.

PART 11 - GENERAL PROVISIONS
International obligations
4. THE provisions of this Act shall apply to any procurement unless they conflict with any provisions made applicable by virtue of an international agreement.

Qualification of suppliers and contractors
5. (1) Every supplier or contractor wanting to participate in procurement proceedings must qualify by meeting such of the following criteria as the procuring entity considers appropriate -

(i) that it possesses or has access to the technical competence, financial resources, equipment and other physical facilities, managerial capability, reliability, experience and other physical facilities, managerial capability, reliability, experience, and reputation, and the personnel, to perform the contract:

(ii) that it has legal capacity to enter into the contract:

(iii) that it is not insolvent , in receivership , bankrupt or being wound up, its affairs are not being administered by a court or a judicial officer, its business activities have not been suspended, and it is not the subject of legal proceedings for any of the foregoing:

(iv) that it has fulfilled its obligations to pay taxes and social security contributions of its employees;

(v) that it has not , and its directors or officers have not, been convicted of any criminal offence related to its professional conduct or the making of false statements or misrepresentations as to its qualifications to enter into a procurement contract within a period of ten years preceding the commencement of the procurement proceedings, or has not been otherwise disqualified pursuant to administrative suspension or debarment proceedings in this or other jurisdictions over the last three years;

(vi) that its past performance substantiated by documentary evidence would commend it for serious consideration for the award of the contract.

(2) Subject to the right of suppliers or contractors to protect he intellectual property or trade secrets, the procuring entity may require suppliers or contractors participating in procurement proceedings to prove such appropriate documentary evidence or other info as it may deem useful to satisfy itself that the suppliers or contractors are qualified in accordance with the criteria set forth in subsection (1).

(3) Any requirement mentioned in this section shall set forth in the prequalification documents, if any, or in the solicitation documents and shall apply equally to all suppliers or contractors. A procuring entity shall impose no criterion, requirement or procedure with respect to the qualifications of suppliers or contractors other than those set forth in this section or the regulations.

(4) Subject to section 39(6)(b), the procuring entity shall establish no criterion, requirement or procedure with respect to the qualifications of suppliers or contractors that discriminates against or among suppliers or contractors or against categories thereof on the basis of nationality.

(5) (a) A procuring entity may disqualify a supplier or contractor if it finds any time that the supplier or contractor knowingly submitted information concerning the qualifications of the supplier or contractor that was materially inaccurate , incomplete, or false. A supplier or contras the National Board may impose.

(b) Other than in a case to which paragraph (a) applies, a procuring entity may not disqualify a supplier or contractor on the ground that information submitted concerning the qualifications of the supplier or contractors was inaccurate or incomplete in a non-material respect. The supplier or contractor may be disqualified if it fails to remedy such non-material deficiencies promptly upon request by the procuring entity.

Talking points on Procurement Bill 2003
1. THE Bill enhances the transparent process of procurement began by the PPP/C Administration: it gives legislative effect to Government’s efforts and it is a testimony of the Government’s commitment to transparency and accountability.

2. Government has a proud record of achievements in procurement. We now have a well-regulated system governed by well-laid out procedures which is in accordance with international standards and international best practices.

3. Before 1992, the system of procurement was not in accordance with formal procedures. Most was done by single sourcing and few ads inviting tenders were in the newspapers. Public tendering was non-existent. Central and Local Government agencies like National Democratic Council’s had no record of public procurement.

4. Pre-1992, the Auditor General had no role to play in public procurement: he had no role in the public accounts, much less in procurement. Today, that role is very much entrenched.

5. The Bill is the most comprehensive piece of procurement legislation in the Caribbean:

- It replaces a few pages of guidelines written in the 1950’s;

- Old regulations are being reformed;

- This bill contains amendments to improve the Bill of 2002.

6. The new Bill speaks of the following obligations: -

- Maximizing economy and efficiency in procurement;

- Fostering and encouraging participation in procurement proceedings by suppliers and contractors;

- Promoting competition among suppliers and contractors for the supply of goods, services and or the provision of construction works;

- Providing for the fair and equitable treatment of all suppliers and contractors;

- Promoting the integrity and fairness and public confidence in the procurement process; and

- Transparency in the procedures relating to procurement.

7. The Bill also speaks to a number of features including: -

- The appointment and composition of Boards -Boards are now Awards Boards. The criteria is set out for the appointment of members of the Boards;

- The Private Sector is now represented on the National Board (this never happened before);

- The role of the Ministry of Finance (this role has been criticized by the Opposition). The Ministry of Finance is the responsible authority and the custodian of the nation’s finances and procurement must fall within the portfolio of the relevant Minister as it is in any country. The law has not changed and the Ministry of Finance has no greater powers than before;

- The role of The Cabinet - this role will fade away when the Public Procurement Commission comes into being;

- Margin of Preference of 10 per cent for local contractors;

- Standard Bidding documents evaluation criteria is written into the document;

- Independent Review Process - Bids Protest Committee to be set up.

8. Other features of the Procurement Bill 2003:

- Methods of procurement for consultancy finances;

- Qualification of suppliers, contractors and consultants;

- Publication of awards;

- Types of tenders, e.g. restricted, open, sole sourcing;

- Procurement by public Corporation;

- Community participation;

- Evaluation of proposals;

- Confidentiality and breaches.

9. Regulations will be subsequently brought into force to support the Act. Any deficiencies short of amending the Act can be provided for the Regulations.

10. The Bill has benefited from consultations both within and outside of Guyana. It also satisfies the World Bank requirements.