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LEGAL NOTICE NO……………………

THE PUBLIC PROCUREMENT AND DISPOSAL REGULATIONS, 2006

ARRANGEMENT OF REGULATIONS

Regulation

PART 1 - PRELIMINARY 1. Short Title and Commencement 2. Interpretation 3. Public Entity 4. Capacity Building Levy

PART II - BODIES INVOLVED IN REGULATION OF PUBLIC PROCUREMENT

5. Composition of the Advisory Board 6. Composition of the Review Board

PART III - INTERNAL ORGANISATION OF PUBLIC ENTITIES

7. Threshold Matrix 8. Functions of the Accounting Officer 9. Tender Committee 10. Procurement Unit 11. Procurement Committee 12. Functions of User Departments 13. No retroactive approval

PART IV - GENERAL PROCUREMENT RULES 14. Transferring Procuring responsibility to another procuring entity 15. Transferring entire procurement responsibility 16. Procuring Agents 17. Limitation on functions to be transferred to a procuring agent 18. Administrative sanctions 19. Standard Tender Document 20. Pre-qualification procedures for large or complex contracts 21. Pre-qualifications procedure for simple and routine contracts 22. Limitations to contracts with relatives 23. Preference and Reservations 24. Amendments or Variations to contracts

PART V - OPEN TENDERING 25. Time for preparing tenders 26. Provision of tender documents 27. Tender Security 28. Opening of tenders 29. Extension of tender validity 30. Debriefing

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31. Creation of contracts

PART VI - ALTERTATIVE PROCUREMENT PROCEDURES

32. Restricted tendering 33. Procedure for restricted tendering 34. Reports on alternative procurement methods 35. Methods for evaluation of proposals 36. Predetermined rates 37. When low value procurement may be used 38. Procedure for low value procurement 39. Specially permitted procurement procedure 40. Procedure for specially permitted procurement 41. Feasibility Study 42. Public Private Partnership 43. Permission of the Authority 44. Invitation to bid 45. Award of project, signature of agreement and contract

PART VII - ADMINISTRATIVE REVIEW 46. Request for a review 47. Formal grounds for rejection of a review

PART VIII - AUTHORITY POWERS TO ENSURE COMPLIANCE 48. Further powers of investigators 49. Conditions and limitations of the power of the investigator

PART IX - DEBARMENT FROM PARTICIPATING IN PROCUREMENT PROCEEDINGS

50. Grounds for Debarment by Director – General 51. Recommendation to debar 52. Content of debarment notice 53. Fee for Debarment Review PART X - DISPOSAL OF STORES AND EQUIPMENT 54. Procedure for valuation for disposal 55. Disposal Committee 56. Authority’s directions 57. Methods of disposal 58. Disposal to employees 59. Procedure for Disposal to employee PART XI - MISCELLANEOUS 60. Consultative meetings

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SCHEDULES First - Thresholds for periods, Fees and levels of preference

Second - Composition and Membership of the Public Procurement

Administrative Review Board

Third - Threshold Matrix for Procurement Methods

Fourth - (a) Composition of Tender Committee

(b) Procedure of Tender Committee

Fifth - Thresholds for Adjudication by Tender Committees, Procurement

Committees and Special Tender Committees

Sixth - Procedure and Forms for Filling a Review

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IN EXERCISE of the powers conferred by section 140 of the Public Procurement and Disposal Act, 2005, the Minister for Finance makes the following Regulations-

THE PUBLIC PROCUREMENT AND DISPOSAL REGULATIONS, 2006

PART 1 - PRELIMINARY Short title and commencement.

These Regulations may be cited as the Public Procurement and Disposal Regulations, 2006.

Interpretation. 1 In these Regulations, unless the context otherwise requires, -

"Affordable", in relation to an agreement, means that the procuring entity is able to meet any financial commitment likely to be incurred in relation to that agreement, from its existing or future budgetary funds;

“Agreement” means an understanding between the Procuring Entity and

another party for purposes of an undertaking to execute a project or any other assignment;

“Appeal” means a request for administrative review filed with the Review

Board under section 93, 106 or 117 of the Act;

“ Asset” means movable and immovable property, tangible and intangible, including but not limited to a physical property, land, stores, equipment, shares, intellectual rights vested in the state or proprietary rights

“Common user items or services” refers to those goods , materials and

equipment or services that are repetitively used in the day to day operations of procuring entities in the performance of their functions. For the purpose of these regulations, common user items are those items included in the price list /catalogue of Supplies Branch.

“Competent authority;” a government recognized office which has the mandate to perform a specified function

“Consortium buying” means a procurement arrangement where several user department or several procuring entities enter into an agreement with either one contractor or several contractors where the purchase or offer of goods, works and services is conglomerated for the purposes of reducing costs and encouraging economy of scale

‘Contingent liability’ includes Government guarantee for loan or foreign currency transfer by a procuring entity in the event that the entity defaults to service the terms of the agreement then the Government may step in.

“Contracting strategy,” means the strategy, which is adopted by a procuring entity to procure supplies, services or engineering and construction works, to hire or let moveable or immovable assets, to undertake, disposal, or to operate concessions in the most advantageous and cost effective manner.

“Framework contracts” means a contractual arrangement which allows a

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procuring entity to procure goods, works or services that are needed continuously or repeatedly at an agreed price over an agreed period of time, through placement of a number or orders which may include consortium buying.

‘ Joint venture’ means an association or consortium of enterprises combining their expertise, property, capital, efforts, resources, skills and knowledge in order to bid for or perform a contract or a portion thereof;

“Low value procurement” means a procurement activity or initiative where the total amount of expenditure incurred on the consolidated purchase is of a value whose combined cost is less than the cost of preparing and adjudicating a quotation and such item can be obtained as easily as possible from as many sources without necessarily incurring preparations, acquisition, delivery, packaging and any other relating costs.

“Private party” in relation to an agreement, means a party to the agreement other than a procuring entity.

"Project" means a project to be implemented under an agreement;

“Prequalification procedure” means a procedure by which candidates are invited to demonstrate their qualifications prior to, and as a condition for, being invited to tender or submit proposals’

“Scrap” means goods or material that is damaged, defective or deteriorated howsoever caused, to the extent that it has no value except for its basic material content;

“Standard” means a characteristic or set of characteristics of an item which for reasons of quality, level or compatibility with other products is generally accepted by the manufacturers and users of that item as a required characteristic of all item of that type.

Tender” means; - a bid or an offer in writing by a tenderer to provide or acquire goods works or services or any combination thereof, at a price and may include pre-qualification.

“Tenderer” Means; a physical or artificial person participating in public procurement or disposal proceedings”

“Tender documents” means: the documents provided by the procuring entity to tenderers as a basis for preparation of their tenders.

“Tender opening date” means: a date and time designated by the procuring entity for the opening of tenders.

The Act” means: the Public Procurement and Disposal Act, 2005,

“Threshold” means the monetary limit or period at which a particular method of procurement must be followed;

“Threshold matrix” means tabulated data showing the financial ceiling of the, procurement methods and the authorizing authority;.

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“User department” means a department of an organization that initiates procurement proceedings.

Public Entity 3. (1) This Regulation shall apply to all public procurement and disposal by all public entities.

(2) For avoidance of doubt and not limiting the provisions of section

3 of the Act, a public entity shall include: -

(a) any body that uses public funds (b) Any body that uses public assets in any form of contractual

undertaking. (c) Private companies owned by a public entity to carry out functions

that would have otherwise been performed by the public entity. (d) any body where the government has interest and it is the opinion of

the Authority that it is a public entity

Capacity Building levy. 4. (1) The capacity building levy payable under section 18 (5) (d) of the Act shall be as specified in paragraph 2 (a) of the First Schedule to these Regulations.

(2) The capacity building levy referred to in sub regulation (1) shall not

apply where the contract is one hundred per cent funded by a donor.

(3) Where the project is partly funded by a donor, only the portion

funded by the Government shall be levied.

PART II BODIES INVOLVED IN REGULATION OF PUBLIC PROCUREMENT

Composition of the

Advisory Board

5. The composition of the Public Procurement Oversight Advisory Board under section 22(1)(a) of the Act shall be as specified in the Eighth Schedule to these Regulations

Composition of the Review Board

6. The composition of the Review Board under section 25 of the Act shall be as specified in the Second Schedule to these Regulations.

PART III INTERNAL ORGANIZATION OF PUBLIC ENTITIES

RELATING TO PROCUREMENT

Threshold matrix

7. A procuring entity shall, pursuant to section 26(3) (b) of the Act, undertake procurement in accordance with the threshold matrix set out in the Third Schedule to these Regulations.

Functions of the Accounting Officer

8. The accounting officer of a procuring entity shall have the overall responsibility for the execution of the procurement process in the procuring entity, and in particular, shall be responsible for: -

(i) establishing a tender committee in accordance with the Act

and these Regulations (ii) establishing a procurement unit staffed to an appropriate level

with procurement professionals.

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(iii) appointing tender evaluation committee; (iv) communicating tender award decisions; (v) Signing contracts for the procurement activities on behalf of the

procuring entity for contracts entered into in accordance with the Act and these Regulations;

(vi) ensuring that the procurement plans are approved and

reviewed as necessary. (vii) Ensuring all contracts are complied with.

(viii) Any other functions as provided for in the Act and these

Regulations

Tender committee 9. (1) Every procuring entity shall establish a tender committee in the manner set out in the Fourth Schedule to these Regulations-

(2) The functions of the tender committee shall be-

(a) to review, verify and ascertain that all procurement and disposal

has been undertaken in accordance with the Act, these Regulations and the terms set out in the bidding documents.

(b) to award procurement contracts where the value exceeds the

threshold prescribed in the Fifth Schedule

(c ) to approve sale of assets irrespective of the amount.

(d) to approve variations of contracts it previously awarded subject to Regulation 24.

(e) to award contracts for renting, leasing, hiring, letting or sub

contracting.

(f) approve extension of the tender validity period

(g) to undertake any other functions and duties as are provided under the Act and these Regulations.

Procurement unit

10.(1) A procuring entity shall establish a procurement unit in accordance with this regulation

(2) The functions of the procurement unit shall be-

(a) to manage all procurement and disposal activities of the procuring

entity

(b) to implement the decisions of the tender committee including coordinating all activities of the tender committee.

(c) to liase with the Authority and other bodies on matters related to

procurement and disposal.

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(d) to act as a secretariat to the tender committee

(e) to recommend procurement and disposal procedures.

(f) to co-ordinate the advertising of procurement and disposal opportunities

(g) to maintain and archive records of the procurement and disposal record for the required period.

(h) to prepare and submit to the Authority reports required under the

Act, these Regulations and guidelines of the Authority. (i) to issue bidding documents to candidates

(j) to coordinate the evaluation of bids

(k) to maintain a suppliers list

(l) to monitor contract management by user departments to ensure implementation of contracts in accordance with the terms and conditions of the contracts.

(m) to liase with the Authority in respect of the Authority’s register of

suppliers.

(n) to report any significant departures from the terms and conditions of the contract to the accounting officer.

(o) to recommend a negotiating team for appointment by the accounting officer where negotiations are allowed by the Act and these Regulations.

(p) to recommend for delegation of a procurement or disposal function to another entity by the accounting officer whenever need arises.

(q) to prepare procurement plans

(r) to advise the procuring entities on the economies of scale buying.

(s) to co-ordinate internal monitoring and evaluation of the supply

chain function

(t) to carry out market survey prior to placing of orders or adjudication by the tender committee

(u) to conduct periodic and annual stock taking.

(v) to certify invoices and coordinating payment to suppliers.

(w) to carry out any other functions and duties as are provided under

the Act and these Regulations.

Procurement committee 11. (1) A procuring entity shall establish a procurement committee to enable adjudication of tenders in accordance with sub-regulation (2).

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(2) The procurement committee shall be responsible for procurement below the threshold of the tender committee

Functions of user department

12. The functions of a user department in procurement shall be-

(a) to initiate procurement and disposal requirements and forward them to the procurement unit

(b) to propose technical inputs to statement of requirements

(c ) to participate in the evaluation of bids

(d) to report any departure from the terms and conditions of

the contract to the procurement unit

(e) to forward details of any required variations to contracts to the procurement unit for action

(f) to maintain and archive records of contract management

(g) to prepare any reports required for submission to the procurement unit, the procurement committee, the tender committee and the accounting officer

(h) to undertake conformity assessment on specifications

(i) to prepare technical specifications and submit the same to the procurement unit

(j) to prepare work/procurement plans (k) to make clarifications on tenders (l) to carry out any other functions and duties as are provided under

the Act and these Regulations

No retroactive approval 13. There shall be no retroactive approval on procurement and disposal proceedings by the Authority, Procurement committee and tender committees of a procuring entity.

PART IV GENERAL PROCURMENT RULES

Conditions for transferring procuring responsibility to another procuring entity

14. (1) Subject to the provisions of Section 27(6) of the Act the Authority shall transfer the procuring responsibility of a procuring entity to another procuring entity or procuring agent in the following circumstances:

(a) where the procuring entity is unable to comply with the Act,

these Regulations or the guidelines due to its size, capacity or any other reason;

(b) where the accounting officer decides that it would be more

economical or efficient to delegate the function and so requests the Authority to do so;

(2) The functions contracted out may have value limitations or other

limitations or exceptions. (3) The accounting officer who requests the Authority to delegate its

function shall remain accountable for all decisions taken by the

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procuring entity to which the function is contracted out.

Transferring entire

Procurement Responsibility

15.(1) Where the entire procuring and disposal function is transferred to

another procuring entity, the accounting officers of the two procuring entities shall agree on:

(a) any function that may be excluded from the contract; (b) the mechanism for implementation of a procurement and

disposal requirement; (c) reporting and monitoring procedures and responsibilities (d) any limitations or exceptions to the contract; and (e) any costs to be paid

(2) The agreement for transferring the procuring responsibility shall

be confirmed in writing and signed by the accounting officers of the two procuring entities.

Procuring Agents

16. (1) Subject to sub- regulation (2), a public entity may appoint a procurement agent, on competitive basis, to carry out such

procurement proceedings on its behalf using a procurement procedure allowed by these regulations.

(2) The Authority shall pre-qualify procuring agents to be engaged

by a procuring entity pursuant to sub-regulation (1) and the agent shall pay registration fee to the Authority.

(3) For avoidance of doubt, the procuring entity shall meet the cost

of the services offered by the procuring agent (4) Where the procuring agent is engaged, the contract award or

procurement process shall still be adjudicated by the tender committee or by any specified committee as prescribed in these regulations.

(5) The procuring entity shall prepare the terms of reference for the

procuring agent assignment in accordance with the provisions of the Act and these Regulations.

(6) The procuring entity shall be responsible for the actions of the

procuring agent.

Limitation on functions to be transferred to a procuring agent

17. (1) A Procuring entity shall not contract out both the procurement functions and the contract management functions to the same procuring agent.

(2) The functions of the accounting officer and the tender committee

shall not be contracted out to a procuring agent (3) Where a Procuring agent pre-qualified by the Authority is not

competent to provide services for a particular specialized

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procurement requirement, a procuring entity may identify a competent procuring agent and apply to the Authority to pre-qualify that procuring agent.

Administrative sanctions 18. For purposes of section 30(4) of the Act, public official involved in

transactions where goods, services and works are obtained at inflated prices shall suffer the following administrative sanctions;

a) Suspension or interdiction by the relevant authority b) Dismissal from employment c) Any other as the Authority may issue from time to

time.

Standard Tender Documents

19. The Procuring Entity shall use such Standard Tender Documents as the Authority may issue from time to time.

Pre-qualification procedures for large or complex contracts

20. (1) For purposes of section 32 of the Act, a procuring entity may require pre-qualification of large or complex contracts or concession contracts to ensure, in advance of tendering, that invitations to tender are confined to capable firms.

(2) Pre-qualification may be required for suppliers of goods or

equipment, where quality and or performance is of primary importance and or suppliers’ back up and maintenance services are critical.

(3) If a procuring entity engages in pre-qualification proceedings, it

shall provide a set of pre-qualification documents to each supplier or buyer that requests them in accordance with the invitation to pre-qualify upon paying the fees set out in paragraph 2 (b) of the First Schedule

(4) An invitation to pre-qualify shall contain, the following

information- (a) the name and address of the procuring entity: (b) the nature and quantity and place of delivery of the goods to

be supplied or the nature, quantity and location of the works to be effected and the location where they are to be provided;

(c) the desired or required time for the supply of the goods or

for the completion of the works; (d) the criteria and procedures to be used for evaluating the

qualification of suppliers or contractors in conformity with the Act;

(e) a declaration that participation is limited pursuant to

regulation 23 if applicable. (f) the price, currency and terms of payment for the pre-

qualification documents; (g) the means of obtaining the pre-qualification documents and

the place from which they may be obtained;

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(h) the language in which the pre-qualification documents are

available and (i) the place and deadline for the submission of application to

pre-qualify.

(5.) The invitation to pre-qualify shall be prepared by the procurement unit and approved by the tender committee, and shall be advertised in accordance with the Act

(6.) A minimum period for open competitive tendering shall be

allowed for the preparation and submission of pre-qualification applications as set out in paragrapgh.1 of the First Schedule to these Regulations.

(7.) The pre-qualification documents shall include, at a minimum the

following information:

(a) Instructions for preparing and submitting pre-qualification applications;

(b) a summary of the required terms and conditions of the

procurement proceedings; (c) any documentary evidence or other information that must

be submitted by suppliers to demonstrate their qualifications;

(d) the manner and place for the submission of applications to

pre-qualify ; (e) the deadline for the submission, expressed as a specific date

and time and allowing sufficient time for suppliers to prepare and submit their applications, taking into account the reasonable needs of the procuring entity; and

(f) any other requirements that may be established by the

procuring entity in conformity with these Regulations relating to the preparation and submission of applications to pre-qualify and to the pre-qualification proceedings.

(g) The specific parameters that the Procuring entity may use a

criteria for evaluation which may include:

i. their experience and past performance on similar contracts;

ii. their knowledge of local working conditions;

iii. their capabilities with respect to personnel, equipment

and construction or manufacturing facilities;

iv. their financial position; and

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v. their current commitments.

(8) A procuring entity shall respond to any request by a supplier for clarification of the pre-qualification documents that is received by the procuring entity within one week prior to the deadline for the submission of applications to pre-qualify. The response by the procuring entity shall be given within three days so as to enable the supplier make timely submission of its application to pre-qualify.

(9.) Applications received for pre-qualification shall be analysed by

the procuring entity, using the criteria for qualification explicitly stated in the invitation to pre-qualify and an evaluation report shall be prepared recommending a list of firms to be considered as pre-qualified.

(10.) The evaluation report shall be submitted to the tender committee

for approval and shall indicate the criteria used as well as the justification or the choice made, in respect of the pre-qualified and the non-pre-qualified firms.

(12) Pre-qualification shall not be used to limit the number of

suppliers on a shortlist or pre-qualification list so that all firms found capable of performing the contract satisfactorily in accordance with the approved pre-qualification criteria shall be pre-qualified.

(13) All suppliers who pre-qualify to take part in a tender shall be

invited to do so unless disqualified under the Act.

(14) A joint venture of firms may pre-qualify by combining their capabilities and past experience and firms, which have been individually pre-qualified, may form a joint venture in order to submit a tender.

(15) Firms meeting the pre-qualification criteria and approval by the

appropriate tender committee shall be so notified by the procuring entity and invited to tender.

(16) The notification shall indicate the terms and conditions under

which tender documents shall be obtained as well as the date, hour and place for submission of tenders by the tenderer, and of the tender opening.

(17) Applicants who are not successful in the pre-qualification shall

be accordingly informed, by the procuring entity after receipt of all the required approvals to the pre-qualification. Only suppliers that have been pre-qualified are entitled to participate further in the procurement proceedings.

(18) A procuring entity shall make available to any member of

public, upon request, the names of all suppliers that have been pre-qualified.

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(19) A procuring entity shall, upon request, communicate to

suppliers that have not been pre-qualified the grounds thereof, but the procuring entity is not required to specify the evidence or give the reasons for those grounds.

(20) Verification of the information provided in the submission for

pre- qualification shall be confirmed at the time of award of contract, and award may be denied to a tenderer that is assessed to no longer have the capability or resources to successfully perform the contract.

Pre qualification list for simple and routine contracts

21 (1). The following additional procedure shall be used with the necessary modification for goods, services and works that is of relative simple and routine nature in respect to the procurement of goods, works and services that are readily obtainable.

(2) The names of the pre-qualified suppliers shall be placed in a box

and five suppliers picked randomly by a committee duly appointed by the procurement unit for that purpose

(3) The short listed suppliers shall be invited to submit tenders and be

evaluated competitively.

(4) An electronic database, which complies with the guidelines of the Authority, may be used to prepare a short list.

Limitations to contracts with relatives

22. For purposes of section 33(2) of the Act a relative is limited to spouse and children.

Preference and Reservations

23. (1) Pursuant to section 39 of the Act, candidates shall participate in

procurement proceedings in accordance with the preferences and reservations set out in these regulations.

(2) In order to promote the empowerment of citizen contractors, the

Procuring Entity shall -

(a) In relation to their respective classification, treat them fairly in respect of procurement and disposal activities;

(b) Extend a reservation or preference proportional to their

assessed capacities to fully comply with the applicable specifications, specific instructions and conditions in the relevant bidding packages;

(c) Award bids strictly on competitive basis among firms of a

given grade, code and classification in relation to the preference and reservation schemes; and

(d) Require that they attach to their bidding document, a

certificate of entitlement from the competent authority in order to be eligible for a specific preference or reservation.

(3) Reservations schemes shall apply to procurement and disposal

activities of the following nature-

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(a) low complexity;

(b) limited scale;

(c) Repetitive in nature;

(d) Have a financial ceiling;

(e) based only on competition among the eligible contractors in the classification in question;

(f) works, services and goods or any combination thereof; (g) Identified regions

(4) A procuring entity may apply any of the preference and reservation

methods set out in sub regulations (5), (6), (7) and (8) of these Regulations.

(5) A procuring entity may apply a preferencing method which may

involve-

(a) Incorporating tender evaluation criteria in order to give a weighting to a policy objective along with the usual commercial criteria at award stage;

(b) granting a margin of preference of up to 15% in the

evaluation of bids to candidates offering goods manufactured, mined, grown, and extracted in Kenya;

(c) Granting a margin of preference in accordance with

Schedule 1 to these Regulations for both national and international competitive tenders

(6) A procuring entity may apply a reservation method in which-

(a) Enterprises that have prescribed characteristics are allowed

to compete for contracts or portions thereof which have been reserved for their exclusive execution;

(b) Exclusive preference is given to citizen contractors where

the funding is 100% from the Government or from a Kenyan body and the cost of the goods; works or services do not exceed prescribed amounts in the First Schedule.

(7) A procuring entity may apply an indirect approach in which: -

(a) a product or service stated requirement can be incorporated in

specifications for example labour-based construction methods to benefit the targeted groups or contractors;

(b) sub contractors are engaged in terms of contract, which are

recorded in writing; (c) joint ventures are designed with the purpose of promoting the

transfer of technology, improvement of managerial and

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technical skills and facilitating access to finance for the local and citizen contractors in which;

(i) there is no sub-contracting of more than 10% of the

contract price (excluding provisional sums) to foreign firms, provided that the domestic partner or partners are qualified to carry out the contract in accordance with the qualification criteria, including any services provided by the partners and fees and expenses paid to the partner.

(ii) There are no arrangements whereby any major part of

the net profits will accrue or be paid to persons not citizens of Kenya or to companies not be eligible under this regulation;

(d) The use of any other approach that may involve giving general

assistance to the targeted group to compete in tendering;

(8) The Authority shall issue detailed guidelines for preference and reservation schemes

Amendments or variations to contracts

24. (1) No unit price variations shall be permitted on contract over a period of less than one year.

(2) In case of goods the quantity required shall be specified at the

initiation of procurement process, quantity variation that arises as a consequence of unforeseen circumstances shall not exceed 10% of the original contract.

(3) In case of services quantity variations that arise as a consequence of

unforeseen circumstances shall not exceed, 10% of the original contract price.

(4) No variations in quantities that arise out of specification changes in

the service shall be permitted. A variation caused by change of specifications or scope of the contract must only be addressed within the confines of contingency element in bills of quantity. This shall be confined to 10% and must be supported by engineer’s estimates and be subject to the approval of tender committee.

(5) A contract variation order may either be in form of a change order

or extra work order and shall not exceed 15% of the original contract price.

(6) The following is the procedure for approval of a variation order.

(a) The project manager shall process the proposed variation

order, accompanied with notices submitted by the contractor, indicating quantities of additional works, specific stations where such works are required, date of his inspections and investigations, detailed estimate of the unit cost of such items of work and his justification for the need of such variation order and shall submit the same to the project supervisor or equivalent official. Upon receipt of the proposed variation

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order, the project supervisor shall immediately instruct the technical staff to conduct an on the spot investigation to verify the need for the work and prepare a report.

(b) The project supervisor or equivalent official once satisfied

that such change order or extra work order is justified and necessary, shall forward the proposal with the supporting documentation to the procuring entity.

(c) If, after review of the plans, quantities and estimated unit cost

of the items of work involved, the proper office of the procuring entity once satisfied shall forward it to the tender committee for review/ consideration.

(d) The timeframe for the processing of variation orders from the

preparation up to the approval by the procuring entity concerned shall not exceed thirty days

PART V OPEN TENDERING

Time for preparing tenders 25. For the purpose of section 55 (1) in the Act, the time for preparation of tenders shall be as specified in the First Schedule to these Regulations

Provision of tender documents

26. For purposes of section 56 (2) of the Act the fees chargeable for the tender documents shall be as specified in the First Schedule to these Regulations

Tender security 27. (1) The procuring entity may include in the tender documents a

condition that tenders must be accompanied by a tender security in the form of guarantee issued by a reputable bank, reputable insurance company or any registered financial institution and the amount of such security shall be within the range set out in paragraph 2 (c) of the First Schedule.

(2) The procuring entity shall verify the authenticity of the tender

security.

(3) Any tender security shall be forfeited if a tenderer withdraws its tender within the validity period thereof or rejects a correction of an arithmetic error or, in the case of a successful tenderer, if the tenderer repudiates the contract or fails to furnish performance security, if so required.

(4) The procuring entity shall immediately release any tender security

if-

(a) The procurement proceedings are terminated (b) The procuring entity determines that none of the submitted

tenders is responsive or

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(c) a contract for the procurement is entered into.

(5) No tender security shall be required for contracts for goods, works or services that are adjudicated by the procurement committee and where direct procurement method is used.

Opening of tenders 28. (1) For the purposes of section 60 (5) (b) of the Act, the total price of

the tender shall be read out except:

(a) where a tender consist of numerous items that are quoted for separately and reading the total prices may be misleading to the bidders

(c) where two envelopes system is used the financial

envelopes shall be opened and read out in public after the technical evaluation is finalized.

(2) where a tender requires that samples be submitted, the procuring entity shall come up with modalities of ensuring that the tenders are properly received and safely kept.

Extension of tender validity period

29. For the purposes of section 61 (3) of the Act, the tender validity period may be extended with the prior approval of the tender committee.

Debriefing 30. If after an award of contract an unsuccessful bidder wishes to ascertain

the grounds on which its bid was not selected, it should do so in writing and the procuring entity shall promptly provide an explanation either in writing and or in a debriefing meeting. In the correspondence or discussion, only the bidder’s bid can be discussed and not the bids of competitors. The bidder shall bear all the cost of attending such a debriefing meeting.

Creation of Contract 31. (1) For purposes of section 68(3) of the Act, a Local Purchase Order or

Local Service Order shall only be issued after signing a contract. (2) To facilitate efficiency in the procurement process the signing of a

contract shall take place in not more than 30 days after the notification of award for tenders where there is no appeal.

PART VI ALTERTATIVE PROCUREMENT PROCEDURES

Restricted tendering

32.The provisions relating to open tendering shall apply with respect to restricted tendering, subject to the modifications in these regulations.

Procedure for restricted tendering

33. (1) Where restricted tendering is used pursuant to section 73(2) (a) of the Act, the procuring entity may use pre-qualification procedures provided in Regulation 20. (2) Where restricted tendering is used pursuant to section 73(2) (b) of

the Act, the procuring entity shall, instead of advertising the invitation to tender, may with the approval of the tender committee, give the invitation to tender to at least ten persons selected in a fair and non discriminatory manner from a list of pre-qualified persons kept and up dated bi- annually by the procuring entity or use pre-qualified results of another procuring entity.

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(3) Where restricted tendering is done pursuant to section 73(2)(c) of

the Act the procuring entity shall give the invitation to tender to all known suppliers of the goods, works or services.

(4) For each candidate to whom the invitation to tender is given, the

time allowed for the preparation of tenders, must not be less than the minimum period of time provided for in the First Schedule.

(5) For the purpose of sub-regulation (3); the time allowed for the

preparation of tenders is the period of time between the time of the invitation to tender and the deadline for submitting tenders

Reports on alternative procurement methods

34. The procuring entity shall give a written report to the Authority with respect to each procurement where restricted tendering or direct procurement methods have been used. The report shall be given within thirty days after the contract is entered into and shall contain: -

(a) the reasons for using the method of tendering; (b) such other information as may be necessary to support the

action and: (c) A summary report of the evaluation process

Methods for Evaluating request for proposals

35. The procedure and criteria for comparing and evaluating proposals may include;

(a) Quality and cost based selection (QCBS) Quality and cost based selection uses a competitive process among short-listed firms that takes into account the quality of the proposal and the cost of the services in the selection of the successful firm. Cost as a factor of selection shall be used judiciously. The relative weight to be given to the quality and cost shall be determined for each case depending on the nature of the assignment.

(b) Fixed Budget Selection (FBS) This method is appropriate only when the assignment is simple and can be precisely defined and when the budget is fixed. The request for proposal shall indicate the available budget and request the consultants to provide their best technical and financial proposals in separate envelopes.

(c) Least-Cost Selection (LCS) This method is only appropriate for selecting consultants for

assignments of a standard or routine nature (for example audits, engineering design of non-complex works, and so forth where well established practices and standards exist.) Under this method, a

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minimum ‘qualifying mark for the’ quality’ is established. Proposals, to be submitted in two envelopes, are invited from a short list. Technical proposals are opened first and evaluated. Those securing less than the minimum qualifying mark are rejected, and the financial proposals of the rest are opened in public. The firm with the lowest price shall then be selected. Under this method, the firms which attain the minimum qualifying marks shall only compete on ‘cost”. The minimum qualifying mark shall be stated in the request for proposal.

(d) Consultants’ Qualifications Selection (CQS)

This method may be used for assignments for which the need for preparing and evaluating competitive proposals is not justified. In such cases, the procuring entity shall prepare the terms of reference, request expressions of interest and information on the consultants experience and competence relevant to the assignment, establish a short list, and select the firm with the most appropriate qualifications and references. The selected firm shall be asked to submit a combined technical and financial proposal and then be invited to negotiate the contract.

(e) Quality-Based Selection (QBS)

Quality-based selection is appropriate for the following types of assignments:

(i) Complex or highly specialized assignments for which it is

difficult to define precise terms of reference 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-sectoral feasibility studies, design of a hazardous waste remediation plant or of an urban master plan, financial sector reforms;)

(ii) 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

(iii) Assignments that can be carried out in substantially

different ways, such that proposals will not be comparable for example, management advice and sector and policy studies in which the value of the services depends on the quality of the analysis

Predetermined rates 36. Where a relevant professional body has established pre- determined

rates for consultancy services, this may be used to establish standard costs of a consultancy. A successful bidder can be selected from a list of pre-qualified consultants, through a ballot, on rotation basis.

When low value 37. (1) For the purposes of Section 90 (2) a procuring entity may use a low

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procurement may be used. value procurement procedure if-

(a) the estimated cost of the goods, works or services being procured per item is less than or equal to the prescribed maximum value procurement procedure as set out in the Third Schedule;

(b) no advantage to a procuring entity is likely to be obtained by

seeking further quotations or by using other procurement methods and shall not be repetitive

(c) shall not be used to avoid competition.

(2) The following shall be the conditions applicable for low value

procurement:

(a) the authorization for procurement of low value items shall only be authorized by the head of department, the procuring unit shall confirm in writing from the officer in charge of stores that the items are out of stock before processing the procurement.

(b) items shall be procured at prevailing market prices after

market survey to accompany the recommendations to the Procurement Committee.

(c) items under a framework contract shall not be procured

outside this arrangement unless authorized by the accounting officer

(d). the respective Procurement Committee shall approve

reputable outlets from where low value items shall be procured

(3) An original invoice or receipt for the low value procurement of

goods, works or services and the price paid shall be obtained and initialled by the official undertaking the procurement.

(4) Low-value procurement comparative price analysis shall be

reported to the accounting officer or duly authorized representative in a report prepared once every monthly by the procurement unit

(5) A procurement entity may, where appropriate, use a framework

contract for the procurement of regularly required items.

Procedure for low value procurement

38.(1) A procuring entity may for purposes of low value procurement buy directly from reputable manufacturers and distributors.

(2) The Authority shall maintain a list of manufacturers and

distributors which procuring entities may use in buying low value items.

(3) The procuring entity may select the outlets from which to buy

from

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(4) There shall be a rotation of different suppliers for successive

requirements through the use of a secret ballot conducted by at least three officers one of whom shall be from the user department.

(5) The procuring entity shall ensure that the selected suppliers are

eligible and qualified prior to finalizing the recommendation for procurement.

Specially permitted procurement procedure

39.A procuring entity may use a procurement procedure specially permitted by the Authority if, the circumstances are exceptional and the use of the permitted procedure is justified on sound economic grounds. Such specially permitted procedure may include concessioning and design competition as provided in section 92 of the Act.

Procedure for concessioning

40. (1) Subject to sub-regulation (2), a procuring entity shall for the purpose of this Regulation.

(a) identify, appraise, develop and monitor a project to be

implemented under these Regulations; (b) submit the feasibility study to the cabinet for its approval; (c) prepare a request for proposal on the approval of the feasibility

study and, where the terms of the model agreement impact on public finance, seek the approval of the Permanent Secretary, Treasury.

(2) Any project for which there is no financial or contingent liability

for Government shall be exempt from the approval of the Permanent Secretary/Treasury.

Responsibility of the

Procuring Entity

(3) The procuring entity;

(a) shall be responsible for ensuring transparency and equity in the bidding procedures;

(b) shall examine and evaluate the bids received; (c) shall approve the award of the project, through its tender

committee

(4) In the discharge of its functions under these Regulations, the procuring entity may :

(a) commission any studies relevant to the determination of the

award of a project (b) request any professional or technical assistance from any

appropriate body or person in Kenya or elsewhere;

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Feasibility study 41. (1) Every procuring entity shall undertake or cause to be undertaken a feasibility study where it considers that a project may be implemented under an agreement, to assess whether the proposed project is feasible as a concessioning project.

(2) The feasibility study shall –

(a) Demonstrate comparative advantage in terms of strategic

and operational benefits for implementation under a concessioning agreement;

(b) describe in specific terms –

(i) the nature of the procuring entity functions, the

specific functions to be considered in relation to the project, and the expected inputs and deliverables;

(ii) the extent to which those functions can lawfully and

effectively be performed by a private party in terms of an agreement; and

(iii) the most appropriate form by which the procuring

entity may implement the project under an agreement;

(c) demonstrate that the agreement shall –

(i) be affordable to the procuring entity; (ii) provide value for money; and (iii) transfer appropriate technical, operational or

financial risk to the private party;

(d) explain the capacity of the procuring entity to effectively enforce the agreement, including the ability to monitor and regulate project implementation and the performance of the private party in terms of the agreement.

Private Partnership Agreement

42. (1) Notwithstanding any other enactment, but subject to these Regulations, a procuring entity may enter into an agreement with a

private party for the performance of one or more of the functions of that procuring entity.

(2) Every agreement shall -

(a) identify the responsibilities of the procuring entity and the private party;

(b) specify the relevant financial terms; (c) provide for the sharing of risks between the procuring

entity and the private party;

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(d) provide for its duration; and (e) contain such other information as may be included in the

operational manuals and bidding documents.

(3) Every agreement shall be governed by and construed in accordance with the laws of Kenya.

Permission of the Authority

43. (1) The procuring entity shall consult the Authority to obtain its written authorization to conduct a pre-qualification exercise.

(2) The pre-qualification document shall be prepared by the procuring entity and shall include a public invitation for applicants to apply for pre-qualification.

(3) Every pre-qualification document shall be subject to the written approval of the Authority before its issue and publication.

(4) The procuring entity shall carry out a pre-qualification exercise to

select potential bidders or may delegate its powers under this sub- regulation to a procuring agent where the procuring entity considers that it does not have the necessary expertise to undertake the pre-qualification.

Invitation to Bids 44. (1) The procuring entity shall prepare and submit to the request for

proposal to the Authority for its written approval,

(2) No document pertaining to a request for proposal shall be issued to pre-qualified bidders or other bidders unless approved by the Authority.

(3) The procuring entity shall not accept any unsolicited proposals in

regards to public private partnerships.

Award of project, signature of agreement and contract

45. (1) No procuring entity shall award a project or sign an agreement unless

(a) the award of the project has been approved by the tender

committee of the procuring entity; and

(b) the necessary approvals are granted by the Treasury and the Authority.

(c) Prior written approval of Authority is required for any material

amendment to a public–private partnership agreement. The Authority will approve a material amendment only if it is satisfied that the public–private partnership agreement, if so amended will continue to provide.

(i) Value for money

(ii) Affordability and (iii) Substantial technical, operational and financial

risk transfer to the private party.

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PART VII ADMINISTRATIVE REVIEW

Request for a review 46. For the purposes of section 93 (1) of the Act the procedure for seeking administrative review shall be as set out in the Sixth Schedule to these Regulations

Formal grounds for

Rejection of request for

review.

47.The formal grounds upon which the Secretary of the Review Board may reject a request for review shall be: -

(a) Where the procuring entity decides to reject all tenders in

accordance with section 36 of the Act.

(b) Where a contract has been signed in accordance with section 68 of the Act..

(c) Where the period within which an appeal is too be filed has elapsed

(d) Choice of procurement procedure.

PART VIII AUTHORITY POWERS TO ENSURE COMPLIANCE

Further powers of investigators

48.For the purposes of Section 103 (2) of the Act additional powers of the investigator shall be:

(a) To access any premises for the purposes of the investigation (b) To compel any witness to provide information relating to the

investigation

(c) To access information and documents in any jurisdiction for the purposes of the investigation

Conditions and limitations of the Powers of the investigator

49. The powers of the investigator under Section 103 (3) shall be subject to the following conditions and limitations:

(a) The investigation shall be conducted within normal working

hours (b) Answerable to the appointing authority

(c) Subject to the Terms of Reference issued by the Director-

General.

(d) Prior notice must be given to the procuring entity to provide the necessary information and documents.

PART IX DEBARMENT FROM PARTICIPATING IN PROCUREMENT

PROCEEDINGS

Grounds for debarment by Director-General

50. For the purposes with the approval of the Section 115 (2) of the Act, the Director – General and the Advisory Board may debar a person on any other reasonable ground

Recommendation to debar 51. (1) A recommendation to debar a person from participating in public

procurement shall be submitted to the Director General in writing.

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(2) The recommendation to debar a person shall include-

(a) the name of the candidate;

(b) the reasons for the recommendation to debar the candidate (c) details of the procurement proceedings or contract to which the

recommendation relates;

(d) Documentary or other evidence supporting the recommendation; and

(e) Any other information relevant to the recommendation.

(3) Upon receipt of a recommendation to debar a candidate, the

Director General shall immediately-

(a) notify the candidate, giving full details of the recommendation and inviting the candidate to submit information or evidence in defence.

(b) Institute an investigation into the recommendation.

Content of debarment notice

52.(1) A debarment under the Act shall state-

(a) that the candidate is excluded from participating in any public procurement and disposal proceedings for the period of debarment;

(b) the reasons and period of debarment

(c) that the debarment also applies to any “successor in interest” which shall include any entity that is substantially similar to a debarred entity or which employs, or is associated with any partner, member, officer, director, responsible managing employee of a debarred business entity and

(d) that the debarment does not relieve the contractor of responsibility for obligations under any existing contract placed prior to the debarment.

(2) The Director General shall ensure that such a debarment decision

is communicated to the debarred candidate, the affected procuring entity and also have the debarment published.

Fee for debarment review. 53.For the purposes of section 117 (3) of Act, the fee payable for a

debarment review shall be as set out in paragraph 2 (e) of the First Schedule

PART X

DISPOSAL OF STORES AND EQUIPMENT

Procedure for valuation for disposal

54. (1) A procuring entity shall undertake annual stocktaking of stores and equipment that are to be disposed and shall maintain a register which

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shall include:

(a) a disposal plan shall include the likely method of disposal for each requirement and details of measures to be taken to prevent recourse to the use of another disposal method unless that approved by the tender committee

(b) Planning for a disposal activity shall take into account the

allocation of biddable lots to ensure that requirements are not split up without justifiable reason

(c) The disposal stores and equipments shall be aggregated for all departments of a procuring entity;

(d) The aggregation of disposal requirements shall take into account-

(i)the market relationships between the items if any; (ii)items which are of a similar nature and are likely to attract the same potential bidders; (iii)the optimum size and type of contract to attract the greatest and most responsive competition or the best prices;

(iv)items which shall be subject to the same method of procurement and bidding conditions; (v)items which shall be subject to the same conditions of contract; (vi)the appropriate size of contract to facilitate the application of any preference and reservation scheme.

(e) a procuring entity shall not, with the intention of avoiding a

particular method of disposal or the benefits of scale, split up disposal requirements which can be disposed of as a unit.

(f) Splitting of disposal requirements, which are broadly similar or

related, shall only be permitted when the split offers clear and calculable economic or technical advantages.

(2) Where assets have been identified for disposal, the procuring

entity shall undertake the valuation of the assets or property either using its own staff or an independent valuation expert in order to determine the estimated reserve price which shall be confidential and shall not be disclosed to the bidders..

Disposal committee 55. (1) A public entity shall establish a disposal committee for the purpose

of recommending the best method of disposing of unserviceable, obsolete or surplus stores, or equipment

(2) The disposal committee will comprise at least three responsible

members, who shall be appointed by the accounting officer from various departments of the public entity.

(3) Representatives from the relevant technical department should

be included in the disposal committee

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Authority’s directions 56. (1) The Authority may issue written directions to public entities with respect to the disposal of unserviceable, obsolete or surplus assets.

(2) When items have been disposed of through any of the methods

allowed, a standard disposal certificate(s) shall be prepared accordingly

Methods of disposal

57. A procuring entity may use any of the following methods of disposal for disposal of its stores and equipment:

Transfer with financial Adjustment

(1) A procuring entity may transfer assets to another procuring entity with financial adjustment where the receiving procuring entity shall make further use of the procuring entities stores, assets or equipment and an arrangement for transfer shall be agreed mutually between the two procuring entities.

Transfer without Financial adjustment

(2) A Procuring entity may transfer assets to another procuring entity without financial adjustment where

(a) The stores or equipment have residual value, they may be transferred to another procuring entity and entered into its register and at the same time a write off should be done and recorded in the books of the issuing procuring entity.

(b) it is uneconomical to charge the asset and therefore, transfer should be done at no cost

(c) item(s) shall be transferred to the approved entity using the appropriate documents.

(d) the tender committee shall approve the transfer assets to another procuring entity.

Sale by public Tender

(3) The procedure for disposing by public tender shall be similar but with appropriate modifications to those of procurement of goods, works and services through open tender, restricted tender or request for quotations but the award shall be made to the highest rated bidder which shall be equal to or above the reserve price

Sale by public Auction

(4) The procuring entity may use an auctioneer from the pre- qualified list

or through appropriate competitive method. And shall be approved by the tender committee.

Destruction Dumping, burying Burning

(5) A procuring entity after considering the environmental effects may

destroy, dump, bury or burn assets only when all other disposal options have been eliminated and no conversion into another form or recycling possibilities can be identified.

Trade-in conditions (6) A procuring entity may use trade-in as a method of disposal subject to

the approval of the tender committee under the following circumstances;

a) Trade-in may be used where the trade-in of surplus assets offset the purchase price of new items provides a

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convenient, economic and efficient way of upgrading equipment.

b) Notwithstanding sub-regulation (i), trade-in shall not be used where it reduces the value for money in a procurement process.

c) Trade-in shall not be used where factors other than price have to be taken into account in the disposal process.

Direct negotiations (7) A procuring entity may apply direct negotiations method as a disposal

procedure i.e. sale by negotiation by dealing with a single buyer. Conversion or Classification into another form or recycling condition

(8) A procuring entity may use conversion or recycling as a disposal procedure where;

(a) assets have no identifiable residual usefulness to the procuring entity and may still have some value that may be obtained through conversion into another form or recycling.

(b) on grounds of national security or public interest,

legal or human rights issues or environment considerations or

(c) There is potential for obtaining monetary return from

conversion or recycling. Fixed price Sale

(9) A procuring entity may use fixed price sale as a disposal procedure where for some items, best net outcome may be obtained by displaying goods for sale with a market price. In choosing this method, procuring entity may consider:

(a) the cost of valuing the assets; (b) wages and other administrative costs; (c) the direct and indirect costs of warehousing;

(d) the extent to which the procuring entity may be expected to warrant the condition of fixed price sale.

(e) the cost of advertising; and (f) the tender committee shall approve the use of this

procedure

Disposal to employees e.t.c

58. (1) Pursuant to section 131 of the Act, a disposal to employee, board member and committee of the public entity may be made where-

(a) the items are of low value; (b) there is no likely benefit or financial advantage to a

procuring entity, in using any other disposal method

(c ) where the personal use of disposal of asset would directly benefit the performance of a public officer in the execution of his or her duties within a procuring entity; or

(d) the employee is possession of the asset to be disposed is given the first priority to purchase the same

(e) Items are in remote locations, where any other method of disposal would be impracticable

(f) An employee, board member or committee shall

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not be permitted to purchase more than one similar item under a single disposal process.

(g) An employee, board member or committee involved in initiating the disposal process, valuation or managing the disposal process shall not participate in that particular disposal as a bidder.

(2) The disposal process by sale to public officials may be contracted to

an independent agent who shall be selected competitively.

Procedure for Disposal to employee e.t.c.

59.(1) Pursuant to Section 131 of the Act, the disposal procedure to employee, board member and committee of the public entity shall be as follows:

(a) A bid shall be solicited by the publication of a non-public

invitation notice, indicating that a public officer interested in bidding may obtain the tender documents from a procurement unit.

(b) A non-public invitation notice shall be displayed on a notice

board, and copies circulated through the heads of departments and where possible posted on the entity’s website

(c) The advertising period for sale to public officers shall be at

least ten days.

(d) Disposal documents shall be drafted in accordance with these Regulations and may be sold at the fee prescribed in paragraph 2 of the First Schedule

(e) A procuring entity shall request for written sealed bids from

public officers.

(f) Evaluation for sale to public officers shall be based on price only.

(g) A post-bid negotiation shall not be permitted.

(h) The award shall be by the tender committee in response to a

recommendation from the procurement unit.

(i) Every disposal to an employee shall be reported promptly to the Authority.

PART XI MISCELLANEOUS

Consultative meetings 60. Pursuant to Section 134 (4) of the Act, the procedure for conducting

consultative meetings shall be as follows:

(a) the agenda shall be derived from memoranda submitted by the interested persons/ organizations from the private and public sectors on matters related to procurement, that the Director General and Permanent Secretary/Treasury may consider necessary.

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(b) Individual procurement shall not be a subject of discussion at a

meeting convened under this Regulation.

(c) Reports of the consultative meetings shall be available to the public on the Authority’s website.

(d) Attendance shall be open to those registered in accordance with

an advertisement placed in the local media

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FIRST SCHEDULE

THRESHOLDS

1. Periods

Provision in the Act Activity Period

s. 55 Time for preparation of tenders for open national tender 21 days

s. 71 (b) Minimum advertisement period for international tenders 30 days

s. 73 Period for preparation of Standard Tender Documents by suppliers for restricted tendering

14 days

s.66 (6) Maximum period for evaluation 30 days

s.97 (2) Maximum period for completing a review by the Review Board

30 days

s.128 (2) Period within which the disposal committee must meet and deliberate after its appointment

14 days

s.129 (4) Period within which the accounting officer must act on the disposal committees report

14 days

s. 129 (4)

Period within which all boarded items must be disposed off after the accounting officer approval

60 days

s. 135 (1) (c) Awarding of contract by tender committee after completion of evaluation

7 days

2 Fees

Provision in the Act (s. 18(5) (d)

Capacity building levy Contract Price Percentage (%) levy charges on contract price to the Authority

Below 2 million 0 Between 2 and below 10

million 0.5%

Between 10 and below 50 million

0.25%

50 million and above 0.05%

(b) Price of Tender or pre-qualification Documents,

Provision in the Act, S 56(2)

Nature of procurement Goods and Services Works

Complex from Kshs 3,000.00 Kshs.5,000.00

Medium from Kshs 2,500.00 Kshs 3,000.00

Simple from Kshs 2,000.00 Kshs 2,000.00

(a) Tender security or bid bond, Provision in the Act s.57 (2)

0.5 – 2% of bid price

(d). Fee to accompany the review of Director General’s order Provision in the Act s.106(3)

Kshs.5,000/=

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(e). Filing fees on each request for a review on debarment order Provision in the Act s. 117(3)

Kshs.10,000

(f). Charges for sale disposal documents to public officers Provision in the Act s. 113

Kshs 200

3. The level of preference to be applied in an arrangement between citizen sub contractors and

foreign contractors based on the in put of Kenyan firms, Provision in the Act s.39

s. 39 4. Threshold for exclusive preference reserved for citizen contractors

Goods Does not exceed 50 million schillings

Works Does not exceed 200 million shillings

Services Does not exceed 50 million schillings

% Input of citizen contractor Margin of preference (%)

20 – 39 6

40 – 59 8

60 – 79 10

80 – 100 15

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SECOND SCHEDULE

COMPOSITION AND MEMBERSHIP OF THE PUBLIC PROCUREMENT

ADMINISTRATIVE REVIEW BOARD

Provision in the Act s. (s. 25)

Appointment and tenure of members.

-The members of the Review Board shall be appointed for a term of three years and shall be eligible for reappointment for one further term of three years

-A member shall hold and vacate office in accordance with the terms of appointment.

Chairman. To be appointed by the Minister from the private sector

Members. The Permanent Secretary, Treasury or designated appointee who should be a senior member of the public service.

The Solicitor-General or designated appointee who should be a senior member of the public service.

Six members appointed by the Minister from among persons nominated by the following organizations-

(a) Kenya Association of Manufacturers;

(b) Law Society of Kenya

(c) The Architectural Association of Kenya

(d) The Institution of Engineers of Kenya

(e) Institute of Certified Public Accountants of Kenya

(f) Kenya Institute of Supplies Management

(g) Institute of Certified Public Secretaries of Kenya

(h) Chartered Institute of Arbitrators

(i) Kenya National Chamber of Commerce and Industry

(j) Kenya Institute of Management

(k) Computer Society of Kenya

(l) Pharmaceutical Society of Kenya

Two members may be co-opted by the Review Board one of whom shall be an expert in procurement matters

Secretary. To be appointed by the Director General.

Quorum. The quorum of the Review Board shall be five members including the chairman. Members shall not be allowed to delegate their responsibility to any other person.

Panels The chairman in consultation with the Review Board may constitute a panel of

at least five members to hear and determine an appeal incase numerous appeals are filed at the same time.

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Absence of chairman.

In the absence of the chairman, the Review Board may designate one member to act as chairman for the purpose of that meeting

Majority

decision.

Decision shall be taken by simple majority. In case of a tie the proposal supported by the Chairman shall prevail, and shall be signed by the members agreeing thereto

Disclosure of interest.

If any member of the Review Board has any conflict of interest in any particular proceedings before the Review Board he shall inform the Chairman of the session and in consultation with the other members present, decide whether or not the concerned member may cease from participating in that particular proceedings.

Venue. The Review Board shall sit at such place as it may consider convenient, having regard to all the circumstances of the particular proceedings.

Resignation. Any member may at any time, by notice to the Minister, resign from his office.

Vacancy. Where the office of any member becomes vacant, the Minister shall request any

of the nominating bodies to nominate a person for appointment. The Minister shall appoint such person to be a member of the Review Board for the remainder of the term of the member whose vacancy is intended to be filled.

Termination of

appointment.

The Minister, on the recommendation of the Review Board, may terminate a person’s appointment as a member of the Review Board only if the person-

(a) is unable to perform the functions of his office by reason of a mental or physical infirmity;

(b) is adjudged bankrupt;

(c) is convicted of an offence under the Penal code or the Act, or these

Regulations or an offence involving dishonesty;

(d) is absent from three consecutive meetings of the Review Board without reasonable excuse; or

(e) is under disciplinary proceedings from the nominating body for professional

or other misconduct

Allowances. The Authority shall pay the members of the Review Board such allowances as are determined by the Minister

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THIRD SCHEDULE

THRESHOLD MATRIX FOR PROCUREMENT METHODS

Provision in the Act s.26

Procurement method Procurement initiation

Awarding authority

Threshold amount in shillings

Open tender, Pre-qualification ( ab ove Kshs. 5,000,000)

End user/ section head/ AIE holder

Tender committee 5,000,000 and above

Request for proposals

End user/ section head/ AIE holder

Tender committee

No limit

Direct procurement

End user/ section head/ AIE holder

Tender committee

No limit

Restricted tendering

End user/ section head/ AIE holder

Tender committee No limit

Request for quotations

End user/ section head/ AIE holder

Tender committee Procurement committee

As per the indicated threshold for respective tender committee adjudication Below indicated threshold for respective tender committee adjudication

Low value procurement

End user Procurement unit Be low 10,000 per item

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FOURTH SCHEDULE

A. COMPOSITION OF TENDER COMMITEES

Provision in the Act s.26 (4)

1. Ministerial Tender Committee or Self Accounting Unit Tender Committee

Membership Structure:

Chairman A person appointed in writing by the Accounting Officer

Deputy Chairman Chief Finance Officer or, if there is no such officer, the Head of the Finance Unit appointed in writing by the Accounting Officer.

Members Deputy Secretary (Administration) Head of Accounting Division Four other Departmental Heads appointed in writing by the accounting officer, one of whom shall represent a user department concerned

Secretary The officer heading the Procurement Unit of the Ministry

2. District Tender Committee

Membership Structure:

Chairman A Head of Department appointed in writing by the District Commissioner.

Deputy Chairman District Officer 1 appointed in writing by the District Commissioner

Members Chairman, County Council appointed in writing by the District Commissioner.

District Departmental Heads of the following Ministries- Agriculture; Health; Environment and Natural Resources; Roads and Public Works; Education.

The District Accountant The District Development Officer and The District Trade /Officer.

Secretary The District Procurement Officer

3. State Corporations Tender Committee

Membership Structure:

Chairman A member of the Board, who is neither the Chairman of the Board nor a public officer, appointed in writing by the Board.

Deputy Chairman The Deputy Chief Executive Officer

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Members The General manager The Chief Finance Officer The Chief Technical Officer and; At least two Departmental Heads, of which one is from a user department, appointed in writing by the Chief Executive Officer

Secretary The Head of the Procurement Division of the Corporation

4. Public Universities Tender Committee

Membership Structure

Chairman A Council member who is not a public officer, appointed in writing by the Council.

Deputy Chairman A Council member who is not a public officer, appointed in writing by the Vice Chancellor

Members The Head of Administration, The Head of Academic Affairs, A Principal of a College appointed by the Vice Chancellor, Two Heads of a Faculty or School, one of whom is from a user Faculty or School, appointed by the Vice Chancellor. The Head of the Legal Affairs Department.

Secretary The Head of the Procurement Department

5. Local Authorities Tender Committee

Membership Structure:

Chairman For city class of local authorities the Deputy Clerk (Nairobi, Mombasa, Kisumu) For Urban or County councils be the Clerk

Deputy Chairman A Head of Department

Members The Finance officer/Treasurer Seven Heads of Departments, appointed by the Clerk of the Local Authority.

Secretary The officer, heading the procurement division of the Local Authority

6. Colleges Tender Committee

Membership Structure:

Chairman A member of the Board of Governors, appointed in writing by the Board of Governors.

Deputy Chairman A member of the Board of Governors, appointed in writing by the Board of Governors

Members The Deputy Principal, Finance Officer/Bursar Four Departmental Heads, one of who is from a user department Matron/Officer in charge of boarding facilities

39

Secretary Officer-in-Charge of the Procurement Unit

7. Schools Tender Committee

Membership Structure:

Chairman A member of the Board of Governors who is not a public officer, appointed in writing by the Principal/ Headmaster

Deputy Chairman A member of the Board of Governors appointed by the Principal/ Headmaster

Members The Deputy Principal or Deputy Headmaster Finance officer/Bursar Four members of the teaching staff appointed by the Principal or Headmaster, The Matron or officer-in-charge of the boarding facilities.

Secretary Officer in-charge of procurement unit

8. Co-operative Societies Tender Committee

Membership Structure:

Chairman A member of the governing body of the Society appointed in writing by the governing body

Deputy Chairman A member of the governing body of the Society appointed in writing by the governing body

Members The Deputy Chief Executive of the Society, The Finance officer of the Society, Four members of the Society, appointed by the governing body of the Society

Secretary The officer-in-charge of the Procurement Unit

9. Voluntary Organizations/ Institutions Tender Committee

Membership Structure:

Chairman A member of the governing body appointed in writing by the governing body

Deputy Chairman A person appointed in writing by the Institution

Members The Deputy Chief Executive The Treasurer, Three members of the governing body of the Institution appointed by the governing body

Secretary The officer in-charge of the Procurement Unit

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10 Central Bank of Kenya Tender Committee

Membership Structure:

Chairman A member of the Board who is not public officer, appointed in writing by the Board

Deputy Chairman A member of the Board, appointed in writing by the Board

Members The Deputy Governor Five Departmental Heads, one of whom is from a user department, appointed by the Governor

Secretary The officer in-charge of the Procurement Unit

11. Special Security Tender Committee

The membership of each special security tender committee shall be determined by the Director General of the Authority in consultation with the respective security organ

12. Commissions (Permanent) Tender Committees Membership Structure Chairman A Commissioner, who is not a public officer, appointed in writing by the

Commission.

Deputy Chairman A member of the Commission appointed in writing by the Commission

Members The Deputy Chief Executive Officer or if there is no such position, the Head of Administration or the Registrar The Finance Officer The Chief Technical Officer At least two Departmental Heads, one of them from a user department

Secretary The officer in-charge of the Procurement Unit

13. Semi Autonomous Government Agencies

Membership Structure:

Chairman A member of the governing body, appointed in writing by the governing body

Deputy Chairman A member of the governing body appointed in writing by the governing body.

Members The Deputy Chief Executive The Finance Officer The Chief Technical Officer At least two Board members At least two Departmental Heads, one of them from a user Department

Secretary The officer in-charge of the Procurement Unit

B. PROCEDURE OF TENDER COMMITEES

Quorum The quorum of a tender committee meeting shall be five members including the chairman of the Committee

41

including the chairman of the Committee.

No delegation of Responsibility

Members shall not be allowed to delegate their responsibilities to their subordinate staff.

Decisions Decisions shall be by consensus, otherwise through voting by simple majority and incase of a tie, the Chairman shall have a second or casting vote

Observers in

procurement proceedings

To enhance transparency of the procurement process the procuring entity may invite in addition to the representative of various departments, at least two (2) observers to sit in its proceedings at the pre-bid conference, opening of bids, evaluation stage and contract award meetings of the tender committee

At least one (1) observer shall come from a duly recognized private sector

organization or discipline relevant to the procurement at hand. For example, for infrastructure projects; Institution of Engineers of Kenya; for goods, Kenya National Chamber of Commerce and Industry; for consultancy services, a project related professional organization. The other observer shall come from a Non-governmental organization.

Responsibility of observers

The observer shall prepare a report indicating their observations made on the procurement proceedings conducted by a tender committee of the procuring entity.

Observers will be informed at least 7 days before the date of the meeting. The absence of observers will not nullify the procurement proceedings, provided that they have been duly invited in writing.

Honoraria Members of the tender committee may be paid such honoraria as the procuring entity may determine with the approval of the Authority determine.

42

FIFTH SCHEDULE

THRESHOLDS FOR ADJUDICATION BY TENDER COMMITTEES,

PROCUREMENT COMMITTEES AND SPECIAL TENDER COMMITTEES

Provision in the Act, s.26 (1)

CATEGORY OF PROCURING ENTITY

AWARDING AUTHORITY

ADJUDICATION THRESHOLD (KSHS.)

RESTRICTED TENDER

tender committer 1,000,000 and above above 1,000,000 1(a) Ministry (b) Departments Procurement

committee Below 1,000,000 not applicable

tender committee 1,000,000 and above above 2,000,000 2. State corporations procurement

committee below 1,000,000 not applicable

tender committee 500,000 and above above 1,000,000 3. Districts procurement committee

below 500,000 not applicable

tender committee 1,000,000 and above above 1,000,000 4.Public Universities procurement

committee below 1,000,000 not applicable

5. Local Authority (a)Nairobi Mombassa Kisumu, Nakuru

tender committee

500,000 and above above 1,000,000

(b)Other local authorities

procurement committee

250,000 and above above 1,000,000

tender committee 500,000 and above above 5,000,000 6. Colleges procurement committee

below 500,000 not applicable

tender committee above 500,000,300,000 and 100,000 for national /provincial secondary schools, and Primary schools respectively

above threshold for tender Committee adjudication

7. Schools

procurement committee

below tender Committee adjudication threshold

not applicable

tender committee

500,000 and above 500,000 and above 8.Co-operative Societies

procurement committee

below 500,000 not applicable

tender committee 500,000 and above above 500,000 9.Voluntary organizations procurement

committee

below 500,000 not applicable

43

Tender committee

1,000,000 and above

Above 1,000,000

10. Central Bank of Kenya

procurement committee

below 1,000,000 not applicable

tender committee 500,000 and above Below 500,000 11.Permanent Commission procurement

committee below 500,000 not applicable

12.Semi autonomous agencies

tender committee 100,000 and above not applicable

13. Security organs (classified security items)

Special tender committee

above 500,000,000 Above 500,000,000

14. Constituency Development Fund

District Projects Tender Committee

Multi-district projects (No limit) Above 10,000,000

Above 1,000,000 Above 10,000,000

Constituency Development Tender Committee

Above 5,000,000 Above 1,000,000

Projects Tender Committee

Below 5,000,000 Above 500,000

44

SIXTH SCHEDULE

PROCEDURE AND FORMS FOR FILING APPEALS RELATED TO PROCUREMENT

Mode of filing 1. (1) An application to the Review Board shall in the format shown in Form RB 1 set out in the Appendix to these Rules-

(2) The application referred to in paragraph (1) shall- (a) shall state the reasons for the complaint, including the alleged breach of the Act or these Regulations; (b) be accompanied by such statements as the applicant considers necessary in support of its application; (c) be made within fourteen (14) days after the notification of the award to the successful and the unsuccessful tenderer in accordance with the Act; (d) be submitted in fifteen bound copies and a soft copy; (e) be accompanied by such fees as prescribed in the Appendix.

(3 ) Every application shall be sent to the Secretary of the Review Board but no

application shall be accepted after the lapse of fourteen days from the date of notification of an award in accordance with section 68 of the Act.

(4) Upon acknowledgement of an application, the Secretary shall give it a serial

number by which such application shall thereafter be referred.

(5) All filed documents shall be duly pigmented Payment of fees 2. (1) The fees shall be paid to the Secretary and such fees shall not be refundable.

(2) Where the amount of the fees cannot be conveniently ascertained when the service is

required, the Secretary will charge fees for tenders of unascertainable value as indicated the Appendix.

(3) The Secretary may, upon ascertaining the fee chargeable for any service, demand additional fee if the fee paid was below that ascertained.

(4) The Secretary may require payment in advance for any other service to be rendered.

(5) No application shall be heard by the Review Board unless the required fee is paid Notification to procuring entity

3. (1) The Secretary shall within seven days of receipt of every such application serve a copy thereof on the accounting officer of the procuring entity.

(2). Upon being served with a notification of an application, the procuring entity shall within seven days, submit to the Secretary a written memorandum of response to the grounds of appeal together with such documents as the Secretary may specify in accordance with the Regulations.

. (3)The Secretary shall also serve the interested candidate with the application. Notice of Hearing

4. (1) The Secretary shall give all parties to an appeal reasonable notice of the date fixed for hearing in the format shown in Form RB 2.

(2) Hearing of procurement review shall be open to all parties to the review. Communication outside hearing

5. No party or interested candidate to the review shall communicate outside the hearing of the application with the Chairman or any other member of the Review Board other than the Secretary.

Representation at hearing

6. At the hearing, the Applicant, procuring entity or any other interested candidate may seek the services of a legal expert to assist in the presentation of its case.

45

7. At the hearing, the Review Board may-

(a) Determine the number of representatives of parties and interested candidates that may attend the hearing. (b) Exclude any person from the hearing who it deems is unruly, interruptive or otherwise conducts himself in an unreasonable manner.

Questions at Hearings

8. The Chairman or a member of the Review Board may at any stage of the hearing ask any questions to the parties, interested candidates or their representatives, which he considers necessary to the determination of the appeal.

Proof of documents

9. An order of the Review Board certified by the Chairman to be a true copy thereof shall in any legal proceedings be prima facie evidence of the order.

Review Board may engage Experts

10. The Review board may seek the services of a professional to analyse cases in which it feels it lacks the necessary expertise.

46

APPENDIX

FORM RB 1 (section 93(1)

REPUBLIC OF KENYA PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO…………….OF…………..……….20……...

BETWEEN

……………………………………………….APPLICANT

AND …………………………………PROCURING ENTITY

Appeal against the ……………of the Tender Committee of …………(Procuring Entity) dated the …..day of ………….20……….in the matter of Tender No………..…of …………..20…

MEMORANDUM OF APPEAL

I/We……………………………,the above named Applicant(s), of address: Physical address…………….Fax No……Tel. No……..Email ……………, hereby appeal to the Public Procurement Administrative Review Board against the whole/part of the above mentioned decision on the following grounds , namely:- 1. 2. . By this memorandum, the Applicant requests the Board for an order/orders that: - 1. 2. SIGNED ……………….(Applicant) Dated on…………….day of ……………/…..20…... FOR OFFICIAL USE ONLY Lodged with the Secretary Public Procurement Administrative Review Board on…………day of ………....20….……… SIGNED Board Secretary

47

APPENDIX

FORM RB 2 (section 93(1) REPUBLIC OF KENYA

PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO. …………………… OF………………/2005

BETWEEN

………………...………………………………….., APPLICANT

AND

……………………………………………………….., PROCURING ENTITY

TO: 1) ………………………………………. (Applicant)

2) …………………………………………… (Procuring Entity)

NOTIFICATION OF APPEAL

TENDER NO. ……………………………………………….

ITEM: …………………………………………………………………

You are hereby notified that on the. …DATE, MONTH, YEAR a Memorandum of Appeal was

filed with the Public Procurement Administrative Review Board in respect of the above-mentioned

tender.

Under the Public Procurement Regulation 2006, no contract shall be signed between the Procuring

Entity and the tenderer awarded the contract unless the Appeal has been finalized.

A copy of the Memorandum of Appeal is forwarded herewith to the Procuring Entity

DATED ON DATE DAY MONTH, YEAR

…………………………………. Board Secretary

48

FORM RB 3 REPUBLIC OF KENYA

PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO…………….OF………….….20……...

BETWEEN

…………………………………………………APPLICANT AND

……………………………………PROCURING ENTITY

TO: 1) ……………………………….(Procuring Entity) 2) ………………………………….(Applicant)

HEARING NOTICE

Whereas …………..the Applicant herein has instituted a complaint against ……………(Procuring Entity) on………. (Date) particulars of which were set out in a Memorandum of Appeal served upon you on ……………………… You are hereby required to appear on the…day of …………..20……….at………..am/pm when the complaint against you will be heard by this Board sitting at ……………………………………….. If you fail to appear the Applicant may proceed with the complaint and determination by order of the Board may be made in your absence. Dated on………..day of…………….20………… BOARD SECRETARY

49

FORM RB 4 REPUBLIC OF KENYA

PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD FEES REGISTRATION FEES FOR APPEALS 1. Appeal fees on application - Kshs. 2,000 2. Upon lodging a Memorandum of Appeal the fees payable shall be as follows- Amount of Tender Fees

A – For Tenders of Ascertainable Value (a) Does not exceed Kshs 2,000,000 1% subject to a minimum of Kshs. 10,000 (b) Exceeds Kshs. 2,000,000 but not over Kshs. 50,000,000

The fees for Kshs. 2,000,000 plus an additional fee of 0.1% on the amount above Kshs. 2,000,000

(c) Exceeds Kshs. 50,000,000 The fees for Kshs. 50,000,000 plus an additional fee of 0.025% on the amount above Kshs.50,000,000 subject to a maximum fee of Kshs.80,000

B – For Tenders of Unascertainable Value (d) Pre-qualification Simple tenders Kshs 10,000 Medium tenders Kshs 20,000 Complex tenders Kshs 40,000 (e) “As and When Required Tenders” Simple tenders Kshs 10,000 Medium tenders Kshs 20,000 Complex tenders Kshs 40,000 (f) Any other Tenders Fees as determined by the Secretary subject to a minimum of

Kshs. 10,000 and a maximum of Kshs. 20,000 3. Upon grant of an adjournment to a party by the Board - Kshs.5, 000

50

SEVENTH SCHEDULE

PROCEDURE AND FORMS FOR FILING REVIEWS (S.106 or 117)

Mode of filing 1. (1) An application to the Review Board shall in the format shown in Form RB 5 set out in the Appendix to these Rules-

(2) The application referred to in paragraph (1) shall- (a) shall state the reasons for the complaint, including the alleged breach of the Act or these Regulations; (b) be accompanied by such statements as the applicant considers necessary in support of its application; (c) be made within twenty one (21) days after the notification of the decision taken by the Director General in accordance with the Act and the regulations; (d) be submitted in fifteen bound copies and a soft copy; (e) be accompanied by such fees as prescribed in the First Schedule

(3 ) Every application shall be sent to the Secretary of the Review Board but no

application shall be accepted after the lapse of 21 days from the date of notification.

(4) Upon acknowledgement of an application, the Secretary shall give it a serial number by which such application shall thereafter be referred.

(5) All filed documents shall be duly pigmented Payment of fees 2. (1) The fees shall be paid to the Secretary and such fees shall not be refundable.

(2) Where the amount of the fees cannot be conveniently ascertained when the service is

required, the Secretary will charge fees for tenders of unascertainable value as indicated the Appendix.

(3) The Secretary may, upon ascertaining the fee chargeable for any service, demand additional fee if the fee paid was below that ascertained.

(4) The Secretary may require payment in advance for any other service to be rendered.

(5) No application shall be heard by the Review Board unless the required fee is paid Notification to procuring entity

3. (1) The Secretary shall immediately after receipt of every such application serve a copy thereof on the Director General.

(2). Upon being served with a notification of an application, Director General shall within seven days, submit to the Secretary a written memorandum of response to the grounds of appeal together with such documents as the Secretary may specify in accordance with the Regulations.

(3) The Secretary shall also serve the interested candidates with the application. Notice of Hearing

4. (1) The Secretary shall give all parties to an appeal reasonable notice of the date fixed for hearing in the format shown in Form RB 7.

(2) Hearing of review proceedings shall be open to all parties to the review as provide in the Act and these Regulations

Communication outside hearing

5. No party or interested candidate to the review shall communicate outside the hearing of the application with the Chairman or any other member of the Review Board other than the Secretary.

Representation at hearing

6. At the hearing, the Applicant, the Director General or any other interested candidate may seek the services of a legal expert to assist in the presentation of its case.

51

7. At the hearing, the Review Board may-

(a) Determine the number of representatives of parties and interested candidates that may attend the hearing. (b) Exclude any person from the hearing who it deems is unruly, interruptive or otherwise conducts himself in an unreasonable manner.

Questions at Hearings

8. The Chairman or a member of the Review Board may at any stage of the hearing ask any questions to the parties, interested candidates or their representatives, which he considers necessary to the determination of the appeal.

Proof of documents

9. An order of the Review Board certified by the Chairman to be a true copy thereof shall in any legal proceedings be prima facie evidence of the order.

Review Board may engage Experts

10. The Review board may seek the services of a professional to analyse cases in which it feels it lacks the necessary expertise.

52

FORM RB 5

REPUBLIC OF KENYA PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO…………….OF…………..……….20……...

BETWEEN

………………..……………………APPLICANT

AND DIRECTOR GENERAL

TO: (1) Director General)

(2)……………………………….(Applicant) Appeal against the decision of the Director General in the matter of ………………….dated the …..day of ………….20……….

MEMORANDUM OF REVIEW I/We……………………………,the above named Applicant(s), of address: Physical address…………….Fax No……Tel. No……..Email ……………, hereby appeal to the Public Procurement Administrative Review Board against above mentioned decision on the following grounds , namely:- 1. 2. . By this memorandum, the Applicant requests the Board for an order/orders that: - 1. 2. SIGNED ……………….(Applicant) Dated on…………….day of ……………/…..20….. . FOR OFFICIAL USE ONLY Lodged with the Secretary Public Procurement Administrative Review Board on…………day of ………....20….……… ……………………………………………………………….. SIGNED Board Secretary

53

APPENDIX

FORM RB 6 (section 106 or 117) REPUBLIC OF KENYA

PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO. …………………… OF………………

BETWEEN

………………….., APPLICANT

AND

DIRECTOR GENERAL TO:

i. ……………. (Applicant)

ii. DIRECTOR GENERAL

NOTIFICATION OF REVIEW PROCEEDINGS

You are hereby notified that on the. …DATE, MONTH, YEAR a Memorandum of Appeal was

filed with the Public Procurement Administrative Review Board in respect of the above-mentioned

decision by the Director General.

A copy of the Memorandum of Appeal is forwarded herewith to the Director General’s office.

DATED ON DAY, MONTH, YEAR

…………………………………. Board Secretary

54

FORM RB 7 REPUBLIC OF KENYA

PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD

APPLICATION NO…………….OF………….….20……...

BETWEEN

…………………………………………………APPLICANT AND

DIRECTOR GENERAL

TO: 1). DIRECTOR GENERAL 2)…………………….(Applicant)

HEARING NOTICE Whereas …………..the Applicant herein has instituted a complaint against the decision of the Director General on (Date) particulars of which were set out in a Memorandum of Appeal served to the Director General on ……………… You are hereby required to appear on the…day of …………..20……….at………..am/pm when the complaint against the Director General will be heard by this Board sitting at ……………………………………….. If you fail to appear the Applicant may proceed with the complaint and determination by order of the Board may be made in your absence. Dated on………..day of…………….20………… BOARD SECRETARY

55

EIGHTH SCHEDULE

COMPOSITION OF THE PUBLIC PROCUREMENT OVERSIGHT ADVISORY BOARD

Composition of the

Advisory Board

For the purposes of section 22(1)(a) of the Act the following shall be members of the Public Procurement Oversight Advisory Board: -

(1) Permanent Secretary of the Treasury or his alternate appointee who is

a senior public officer. (2) Attorney General or his alternate appointee who is a senior public

officer.

(3) Seven Members appointed by the Minister from persons nominated by the following organizations-

(a) Kenya Institute of Supplies Management;

(b) Institute of Certified Public Accountants of Kenya;

(c) Institution of Engineers of Kenya;

(d) Kenya National Chambers of Commerce and Industries

(e) Kenya Institute of Management

(f) Kenya Association of Manufacturers

(g) Law Society of Kenya

(h) Institute of Certified Public Secretaries of Kenya

(i) Marketing Society of Kenya

(j) Architectural Association of Kenya

(k) Institute of Surveyors of Kenya

(l) Computer Society of Kenya

(4) Each organization referred to in sub regulation (3) shall nominate and submit to the Minister the names and curriculum vitae of two members one of whom shall be a woman

Made on the………20…

AMOS KIMUNYA, Minister for Finance