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CHAPTER 42:08
PUBLIC PROCUREMENT AND ASSET DISPOSAL

ARRANGEMENT OF SECTIONS

    SECTION

PART I
Preliminary

    1.    Short title

    2.    Interpretation

PART II
Scope of the Act

    3.    Application

    4.    External obligations

    5.    Procurement for external obligations

    6.    Derogation

    7.    Fair treatment

    8.    Contribution to other entities

    9.    Discrimination and underpricing

PART III
Establishment, Constitution and Membership of the Board

    10.    Establishment of the Board

    11.    Composition of the Board

    12.    Appointment to the Board

    13.    Conditions of service

    14.    Tenure of Board members

    15.    Termination of membership to the Board

    16.    Resignation

    17.    Filling of vacancies of the Board

PART IV
Meetings and Proceedings of the Board

    18.    Meetings of the Board

    19.    Signification of documents

    20.    Method of work of the Board

    21.    Appointment of Secretary to the Board

    22.    Functions of the Secretary

    23.    Accountability to the Board

    24.    Conditions of service of Secretary

    25.    Co-option of advisory personnel

PART V
Functions and Powers of the Board

    26.    Functions and powers of the Board

    27.    Compliance with the Act

    28.    Advise stakeholders

    29.    Standardised bidding package

    30.    National standards specification

    31.    Derogation by Board

    32.    Approval of specific instructions

    33.    Revision of bid packages

    34.    Legal status of bid packages correspondence

    35.    Evaluation procedures

    36.    Evaluation and adjudication

    37.    Power to adjudicate

    38.    References

    39.    Industry standards

    40.    Precedent to be followed

    41.    Alterations to awarded bids

    42.    Changes in bidder's circumstances

    43.    Inclusion of all relevant clauses in bidding packages

    44.    Retroactive approval

    45.    Availability of funds

    46.    End of activity report

    47.    Resiling from agreements

    48.    Recommendation of systemic improvements

    49.    Management of contractors registration system

    50.    Establishment of committees and delegation of power

    51.    Operational modalities of sub-committees

    52.    Obtaining of information

    53.    Redressing complaints

    54.    Dispute resolution

    55.    Methods of procurement

    56.    Electronic procurement

    57.    Medium of communication

PART VI
Financial and Administrative Provisions

    58.    Financing of the Board

    59.    Technology, data-bases and manpower

    60.    Annual and medium term plans

PART VII
Devolution of Public Procurement and Asset Disposal Management

    61.    Establishment of Ministerial Committees

    62.    Responsibilities of Ministerial procurement and Asset disposal Committees

    63.    Special Procurement Committee

    64.    District Administration Committees

    65.    Financial ceilings

PART VIII
Reserved and Preferential Treatment

    66.    Economic and social objectives and procurement

    67.    Empowerment of citizen contractors

    68.    Process for preferential schemes

    69.    Certification of eligibility

    70.    Eligibility for preference

    71.    Reserved schemes

    72.    Procurement preferences and reservation schemes

    73.    Scale of preference

    74.    Ranking of bids

    75.    Preference for supplies

    76.    Prime contractor and subcontractor

PART IX
Accountability and Transparency: Audit and Ethics

    77.    Independent auditor

    78.    Liability of auditor

    79.    Audit by the Auditor General

    80.    Audit recommendation and the Board

    81.    Availability and comments on report

    82.    Co-operation with the auditors

    83.    Facilitating investigations

    84.    Maintenance of records

    85.    Access to documentation and data bases

    86.    Obligation to advertise

    87.    Publicity and the media

    88.    Disclosure of interest by members of the Board

    89.    Confidentiality obligations

    90.    Code of ethics and declaration of business interests

    91.    Classification of information

    92.    Rights of review and research

    93.    Declassification of information

    94.    Transmission of documents

PART X
Establishment of the Independent Complaints Review Committee

    95.    Independent Committee

    96.    Composition

    97.    Appointment

    98.    Levels and institutional representation

    99.    Conditions of service of Committee

    100.    Secretary of Independent Committee

    101.    Co-option of experts

    102.    Modalities of operation

    103.    Scope of responsibilities

    104.    Requirements in respect of grievances

    105.    Exemption

    106.    Meeting of costs

    107.    Imposition of fines

    108.    Award of costs

    109.    Co-operation with the Secretary

PART XI
Advisory Committee on Public Procurement and Asset Disposal

    110.    Establishment of Advisory Committee

    111.    Membership of Advisory Committee

    112.    Meetings and functions of Advisory Committee

    113.    Appointment to Advisory Committee

    114.    Conditions of service of Advisory Committee

    115.    Method of work of Advisory Committee

PART XII
Registration of Contractors

    116.    Register of contractors

    117.    Requirements to be registered

    118.    Domicile and registration

    119.    Registration and pre-qualification

    120.    Non-eligibility for non-registered contractors

    121.    Classification of contractors

    122.    Review of register

    123.    Code of conduct of contractors

    124.    Suspension and de-listing from the register

    125.    Non-registration of suspended contractors

    126.    Restriction on defaulting contractor

    127.    Procedures and regulations

PART XIII
General Provisions

    128.    Offences

    129.    Immunities

    130.    Regulations

    131.    Repeal and savings

    132.    Transitional period

Act 12, 2008,
S.I. 72, 2008.

An Act to establish the Public Procurement and Asset Disposal Board and its committees and provide for the procurement of works, supplies and services, for the disposal of public assets and related matters.

[Date of Commencement: 2nd July, 2002]

PART I
Preliminary (ss 1-2)

1.    Short title

    This Act may be cited as the Public Procurement and Asset Disposal Act.

2.    Interpretation

    In this Act, unless the context otherwise requires—

    "Advisory Committee" means the Advisory Committee on Public Procurement and Asset Disposal established under section 110;

    "any combination thereof, however classified" means turnkey projects, build own operate projects, build operate and transfer projects or any arrangement following in this genre, which may also include management, maintenance, testing, commissioning or training;

    "bid" means tender and vice versa or an invitation by—

    (a)    a procuring entity for a provider (works, supplies or services); or

    (b)    a disposing entity for interested parties,

to submit a competitive offer in relation to a public solicitation for a specific activity which shall include design assignments;

    "bidding document" means a standard bidding package, which shall include, in relation to—

    (a)    works—

        (i)    invitation to bid;

        (ii)    specific instructions to bidders;

        (iii)    form of bid;

        (iv)    form of contract;

        (v)    conditions of contract (general and particular);

        (vi)    specifications and design drawings,

        (vii)    bills of quantities or equivalent documents approved by the Board;

        (viii)    schedule of commencement, delivery, completion, etc.; and

        (ix)    securities; or

    (b)    services—

        (i)    letter of invitation;

        (ii)    instructions or briefs to bidders;

        (iii)    description of services to be supplied;

        (iv)    terms of reference;

        (v)    technical proposal;

        (vi)    financial proposal (where applicable);

        (vii)    schedules; or

        (viii)    standard forms of contracts; and

    (c)    supplies—

        (i)    letter of invitation;

        (ii)    instructions to suppliers;

        (iii)    description of supplies;

        (iv)    technical specifications;

        (v)    financial proposal (where applicable);

        (vi)    schedules relating to delivery, payment, etc., or

        (vii)    standard forms of contracts; and

    (d)    in respect of paragraphs (a), (b) and (c) above, any other relevant forms, documents, correspondences and clarification.

    "Board" means the Public Procurement and Asset Disposal Board established under section 10;

    "Citizen Contractor" means a natural person or an incorporated company wholly owned and controlled by persons who are citizens of Botswana;

    "Committee" means a Committee of the Public Procurement and Public Asset Disposal Board, established by a decision of the Board, and delegated specific functions and powers by the Board in respect of public procurement or the disposal of public assets under the Act;

    "contract" means an agreement between a procuring entity or a disposing entity and a contractor resulting from the application of the appropriate and approved procurement or disposal procedures and proceedings, and shall be concluded in pursuance of a bid award decision by the Board or one of its Committees;

    "Contractor" or "provider" are used interchangeably and mean a natural person or an incorporated body licensed by the competent authority to undertake works, services, supplies, or any combination thereof, however classified;

    "Department" means a public entity, an extra ministerial body or a subdivision of the central Government, including schools and hospitals that derive their regular funding from the Consolidated Fund;

    "disposal" means the divestiture of public assets, including intellectual property rights and goodwill, and any other rights of the State, by any means, including sale, rental, lease, licences, tenancies, franchises, auction or any combination thereof, however classified;

    "disposing entity" means any Ministry or department duly authorised to engage in public procurement;

[12 of 2008, s. 2.]

    "District Committees" means the District Administration Public Procurement and Asset Disposal Committees established under section 64;

    "Executive Chairperson" means the Executive Chairperson of the Public Procurement and Asset Disposal Board appointed under section 12(1);

    "Independent Committee" means the Independent Complaints Review Committee established under section 95;

    "industry standards" means best practices which shall include practices and standards which—

    (a)    are safe and environmentally friendly;

    (b)    are innovative and increase efficiencies;

    (c)    save time and costs;

    (d)    relate to materials, processes, methods, designs, equipment, products, services and practices; and

    (e)    are as defined and coded by internationally recognised contractors' associations and professional bodies in the concerned fields;

    "local contractor" means a contractor whose operation is based in Botswana irrespective of the contractor's nationality or domicile;

    "Minister" means the Minister for Finance;

    "Ministerial Committee" means the Ministerial Public Procurement and Asset Disposal Committee established by the Public Procurement and Asset Disposal Board at the ministerial level and vested with authority to conduct public procurement and the disposal of public assets on behalf of its departments, consistent with the procedures set out in this Act;

    "pre-qualification" means a screening process designed to ensure that invitations to bid are confined to capable firms;

    "procurement" means the acquisition in the public interest by any means, including by purchase, rental, lease, hire-purchase, licences, tenancies, franchises, etc., of any type of works, services or supplies or any combination thereof, however classified, and shall include management, maintenance and commissioning;

    "procuring entity" means any Ministry or department duly authorised to engage in public procurement;

    "Public Oversight Agencies" means the Attorney-General's Chambers, the Auditor General's Office, the Directorate on Corruption and Economic Crime, the Office of the Ombudsman and any other institution charged with a responsibility to oversee the activities of other Government departments;

    "Registered Contractor" means a contractor registered with the Public Procurement and Asset Disposal Board in terms of this Act and any regulations made thereunder;

    "services" means all services, other than works and supplies, including banking services, insurance coverage, travel services, cleaning services, etc., and includes consultancy services;

    "specifications" means National Standards Specifications, and includes—

    (a)    a generic or functional description of the qualities required of a procurement item;

    (b)    the relevant industry standards of approaching and executing the assignment in question; and

    (c)    the appropriate good practice tests that are to be used to verify the specified quality and performance of the procured item before delivery, on delivery, during installation, and in the course of operation, as applicable and the use of which shall be mandatory in all bidding packages;

    "supplies" means goods, raw materials, products, equipment or objects of any kind and description in solid, liquid or gaseous form, and in the form of electricity, as well as services incidental to the provision of such supplies;

    "Tender Notice" means any invitation to eligible contractors to submit written offers to provide works, services and supplies, or any combination thereof; and

    "works" means any work associated with the construction, reconstruction, demolition, repair, or renovation of a building or structure, on the surface or underground, on and under water, and includes the preparation, excavation, erection, assembly, installation, testing and commissioning of any plant, equipment or materials, decoration and finishing, as well as services incidental to or independent of the foregoing works such as drilling, mapping, satellite photography, seismic investigations, similar services, and any combination thereof provided pursuant to a procurement contract.

PART II
Scope of the Act (ss 3-9)

3.    Application

    The provisions of this Act shall apply to—

    (a)    all entities of the central Government which are involved in public procurement or the disposal of public assets, whether they are located abroad or within Botswana;

    (aa)    all land boards;

[12 of 2008, s. 3.]

    (ab)    all parastatals, statutory organisations and local authorities, in accordance with the provisions of section 8, except where exempted by the Minister by notice published in the Gazette;

[12 of 2008, s. 3.]

    (b)    the procurement or disposal of all assets acquired by any means, including—

        (i)    purchase;

        (ii)    rental;

        (iii)    lease;

        (iv)    hire-purchase;

        (v)    licences;

        (vi)    tenancies;

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