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Public Procurement Procedure – Bidding Documents

Anura Lokugamage

MA (Finance Econ) , PGD (Econ), PGD (Corporate finance) , Dip in IT (SLIDA) , Dip in IT (Thailand), HNDA , DPFM , Dip in Eng , DIPCA , MAAT, IPFDA

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BIDDING DOCUMENTS

Purpose

1. To give Instructions and information to bidders on procedure.

1. To describe works to be done

2. To inform criteria for evaluation and qualification

3. To define conditions of contract

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SBDs must be ensured

• Value for Money• Transparency• Accountability• Fairness• Efficiency

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BIDDING DOCUMENTSROLE IN PUBLIC PROCUREMENT

Lay down rules of the Competition How to price How to prepare and submit bids What will be the selection criteria What will be the qualification criteria

Scope of the obligation Technical Specifications Bill of Quantities Delivery/Completion Time Warranty/Service Obligations

Conditions of Contract Payment Terms Price Adjustments Liability Insurance Dispute Resolution

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FEATURES OF STANDARD PROCUREMENT DOCUMENTS

Sharing of risks between the parties of the contract;

Incorporation of suitable qualification criteria;

Incorporation of precise and fair evaluation criteria;

Incorporation of non-discriminatory technical specification;

Ensure transparency and Value for money

Incorporation of a suitable dispute resolution mechanism

Market oriented payment terms

Fair Conditions of Contract

Satisfactory award appeal/challenge Procedures

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STANDARD BIDDING DOCUMENTFOR PROCUREMENT OF GOODS

FORMAT

Invitation for Bids (IFB) Instructions to Bidders (ITB) Bid Data Sheet Qualification and Evaluation Criteria Bidding Forms Schedule of Requirements (SOR) General Conditions of Contract (GCC) Special Conditions of Contract (SCC) Contract Forms Specifications Price schedule

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- Details of goods / Services to be procured.- Name of procuring agency.- Details to procure Bidding Documents.- Bid receipt & opening details.- Brief eligibility criteria and qualification requirements.- Disclaimer.- Correspondence/ contact details.

Invitation For Bids (IFB)

Bidding Documents

Appropriate and relevant basic information required to invite the attention of prospective bidders.

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Instruction to Bidders (ITB)

Bidding Documents

Information to help bidders to prepare bids, besides information on submission, opening, evaluation & award.

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Instruction to Bidders (ITB)

Bidding Documents

A. GeneralScope, Source of funds, Eligibility.

B. Contents of Bidding DocumentsSections, Clarification & Amendment procedure.

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Instruction to Bidders (ITB)

Bidding Documents

C. Preparation of Bids

Language of bidQualification RequirementDocuments comprising the bidAlternative bidsBid prices & discountsCurrencies of BidValidity of BidBid SecurityFormat & Signing of Bid

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Instruction to Bidders (ITB)

Bidding Documents

D. Submission & Opening of BidsSubmission, Sealing & Marking of BidsBid Opening

E. Evaluation & Comparison of BidsConfidentiality & Clarification of BidsResponsiveness of BidsConversion to single currencyTechnical evaluationCommercial evaluationDomestic preference

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Instruction to Bidders (ITB)

Bidding Documents

F. Award of Contract

Award criteriaQuantity variationNotification of AwardSigning of contractPerformance security

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Conditions of Contract

Bidding Documents

- General Conditions of Contract (GCC)

Standard conditions for a typical procurement.

To be read in conjunction with SCC.

- Special Conditions of Contract (SCC)

Conditions that govern execution of the Contract.

Includes provisions that are specific to each procurement.

The specific data shall supplement or amend the provisions in the GCC.

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Conditions of Contract

Bidding Documents

A. Contract & InterpretationDefinitionsContract Documents & InterpretationNotices & Governing lawSettlement of Disputes

B. Subject matter of ContractScope of facilitiesTime for commencement & completionContractor’s responsibilitiesEmployer’s responsibilities

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Conditions of Contract

Bidding Documents

C. PaymentContract PriceTerms of paymentSecuritiesTaxes & Duties

D. Intellectual PropertyCopyrightConfidential information

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Conditions of Contract

Bidding Documents

E. Execution RepresentativesWork programSubcontractingSpecification & standardsProcurement / InstallationTest & InspectionCompletion / Commissioning & Operational Acceptance

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Conditions of Contract

Bidding Documents

F. Guarantees & Liabilities

- Completion Time Guarantee / Liquidated Damages- Defect Liability- Functional guarantees- Patent Indemnity- Limitation of Liability

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Conditions of Contract

Bidding Documents

G. Risk Distribution • Transfer of ownership• Care of facilities• Loss or Damage • Indemnification • Insurance• Unforeseen conditions • Change in Laws & regulations

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Conditions of Contract

Bidding Documents

H. Change in Contract Elements• Change in facilities• Extension of Time for completion• Suspension• Termination• Assignment

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Technical Specifications

Bidding Documents

Details of Technical specification and

Bid Price Schedules

• Forms of Bid submission• Formats for Contract Agreement• Other forms• Data Requirement Sheets.

Drawings, Maps etc.

Ancillary Documentation

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End