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Public Procurement and Disposal of Assets- User Guide

1

User Guide

to

The Public Procurement and Disposal

of Public Assets (PPDA) Act 2003 and

Regulations, 2014

Draft Report

July 2015

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Table of Contents INTRODUCTION ................................................................................................................................ iii

WHO DOES WHAT? ........................................................................................................................... 1

Procuring and Disposing Entities ...................................................................................................... 2

Accounting Officer ............................................................................................................................ 2

Contracts Committee ......................................................................................................................... 3

Procurement and Disposal Unit ........................................................................................................ 3

User Departments .............................................................................................................................. 4

Evaluation Committee ....................................................................................................................... 4

Bidders and Providers ....................................................................................................................... 4

Board of Survey ................................................................................................................................. 5

The PPDA Appeals Tribunal ............................................................................................................ 5

Attorney General/ Solicitor General ................................................................................................. 6

HOW TO CONDUCT PROCUREMENT ............................................................................................ 7

Procurement Planning ....................................................................................................................... 7

Initiating Procurement Requirements .............................................................................................. 7

Selecting a Procurement Method ...................................................................................................... 7

Drafting Solicitation Documents ....................................................................................................... 9

Inviting Bids ....................................................................................................................................... 9

Public bid opening ........................................................................................................................... 12

Evaluation ........................................................................................................................................ 12

Post Qualification ............................................................................................................................ 13

Negotiation ....................................................................................................................................... 13

Award Decision ................................................................................................................................ 14

Notice of Best Evaluated Bidder ..................................................................................................... 14

Awarding a Contract ....................................................................................................................... 14

Contracts Management ................................................................................................................... 14

HOW TO CONDUCT DISPOSAL ..................................................................................................... 16

Disposal planning and initiating disposal requirements ................................................................. 16

Selecting a disposal method ............................................................................................................. 16

Drafting solicitation documents ...................................................................................................... 17

Inviting, Receiving and Opening Bids ............................................................................................. 17

Evaluation ........................................................................................................................................ 18



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Negotiations ..................................................................................................................................... 18

Contract Management ..................................................................................................................... 19

Disposal Process for Trade-In ......................................................................................................... 19

Disposal Process for Transfer to another Procuring and Disposing Entity ................................... 19

Disposal Process for Conversion or Classification into another Form .......................................... 19

Disposal Process for Destruction of Assets ..................................................................................... 19

HOW TO FILE A COMPLAINT ....................................................................................................... 20

How to File a Compliant .................................................................................................................. 20

Tier 1: Compliant to Accounting Officer ........................................................................................ 20

Tier 2: Compliant to the Authority ................................................................................................. 20

Tier 3: Complaint to the PPDA Appeals Tribunal ......................................................................... 21

WHAT DOCUMENTS DO I HAVE TO USE? .................................................................................. 22

Standard Forms and Documents for Procurement and Disposal .................................................. 22

Reporting Requirements ................................................................................................................. 22

Obligation to provide information to the Authority ....................................................................... 22

ANNEX A: LEGAL FRAMEWORK FOR PUBLIC PROCUREMENT AND DISPOSAL OF

PUBLIC ASSETS ................................................................................................................................ 23

.............................................................................................................................................................. 23

ANNEX B: WHO DOES WHAT? ...................................................................................................... 24

ANNEX C: THE PROCUREMENT PROCESS ................................................................................ 25

ANNEX D: THE DISPOSAL PROCESS ........................................................................................... 26

ANNEX E: FEES FOR ADMINISTRATIVE REVIEW ................................................................... 27

ANNEX F: SUMMARY OF STANDARD FORMS ........................................................................... 28

Summary of Procurement and Disposal Forms and Regulations from Initiation to Contract

Management Stage .......................................................................................................................... 32



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INTRODUCTION

This User Guide is designed to assist various stakeholders in the procurement process in following

the Public Procurement and Disposal of Public Assets Act 2003 and Regulations. This User Guide

is not intended to be a replacement of the PPDA Act and PPDA Regulations. The User Guide is

intended for guidance purposes. Use of this Guide does not relieve staff of any obligations under

Regulations or the PPDA Act. The details should always be read with the law.

What is the purpose of the Act and Regulations?

The Act provides rules governing all procurement and disposal activities of Procuring and

Disposing Entities. The reprinted Act incorporates all amendments to the Parent Act of 2006 and

2011.

The Regulations provide a comprehensive set of rules governing all procurement and disposal

activities of Procuring and Disposing Entities.

The Regulations are issued under the Public Procurement and Disposal of Public Assets Act, 2003

and give detailed rules to supplement the principles outlined in the Act. The Act takes precedence

over the Regulations, but the Regulations incorporate virtually all provisions of the Act and can

be used as a detailed reference to the government’s rules on public procurement and disposal.

Structure of the Regulations

The Regulations are divided into 11. Each covers a different subject area as summarized below:

The PPDA Regulations, 2014 includes introduction, operations, powers and functions of the

Authority. This regulation also covers details about registration of providers by the Authority (Part

II, Section 5-23 of the Act)

The PPDA (Procuring and Disposing Entities) Regulations, 2014 includes details about Procuring

and Disposing Entities. These include procurement planning, appointment, membership and

operations of Contracts Committee, management of procurement and disposal processes by

Procurement and Disposal Unit, contracting out of procurement and disposal functions to another

Procuring and Disposing Entity or third party and standard documents. It also covers preference

schemes, reservation schemes, due diligence, role of internal audit and procurement and disposal

notice board (Part III, Section 24-42; Part V, Section 59A-59B of the Act).

The PPDA (Rules and Methods for Procurement of Supplies, Works and Non-Consultancy

Services) Regulations, 2014 includes rules and methods for procurement of supplies, works and

non-consultancy services. It gives details about initiation of procurement requirements, methods

of procurement, prequalification, bidding documents, and the bidding process (Part V, Section 55-

78 of the Act).

The PPDA (Evaluation) Regulations, 2014 includes evaluation of bids. It includes the Evaluation

Committee, membership and meetings. It also includes evaluation of bids, request for clarification

of bids and correction of non-conformities and omissions and post qualification evaluation (Part

V, Section 71-75 of the Act)



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The PPDA (Procurement of Consultancy Services) Regulations, 2014 is about procurement of

consultancy services. It includes initiation of procurement requirement, methods for procuring

consultancy services, evaluation of proposals, and selection of individual consultants (Part VI,

Section 88A of the Act).

The PPDA (Procurement of Medicines and Medical Supplies) Regulations, 2014 deals with

procurement of medicines and medical supplies. It includes methods of procurement and the

bidding process. It also provides a schedule of different categories of medical supplies (Part III,

Section 40A of the Act).

The PPDA (Procuring and Disposing Entities outside Uganda) Regulations, 2014 is about

Procuring and Disposing Entities outside Uganda. It provides for Contracts Committee, Evaluation

Committee and Procurement and Disposal Unit and reporting to the Authority procedures. It also

provides for procurement method, minimum bidding period, bid security and selection of disposal

method (Part VIII, Section 96 of the Act).

The PPDA (Disposal of Public Assets) Regulations, 2014 is about disposal of public assets. It

provides conditions and rules for the various methods of disposal, the processes for disposal and

evaluation of bids for disposal (Part VI, Section 87 of the Act).

The PPDA (Contracts) Regulations, 2014 is about contracts. It includes details on awarding of

contract, types of contract, contract pricing and payment and contract management (Part VIA,

Section 88B-88L of the Act).

The PPDA (Force Account Mechanism) Regulations, 2014 is about force account mechanism (use

of internal personnel and equipment to undertake works). It includes details on determination of

costs, procurement of equipment and supplies, appointment of supervisor and other officers (Part

VIII, Section 95A of the Act).

The PPDA (Administrative Review) Regulations, 2014 is about administrative review. It provides

procedures of handling complaints by Accounting Officer, the Authority and Tribunal (Part VII,

Section 89-91 of the Act).

The Regulations also contain Schedules which include all standard Forms 1-4 (Procuring and

Disposing Entity Regulations); 5-12 (rules and methods for procurement of supplies, works and

services); 13-17 (evaluation); 18-26 (consultancy services); 27 (out of the country); 28-48

(disposal); and 49 (contracts).

What the Regulations apply to

The Regulations apply to all public procurement and disposal activities in Procuring and Disposing

Entities in Uganda.

Public procurement is all procurement that is funded by Public Funds including the Consolidated

Fund, any other sources of public funds and any funds generated by a Procuring and Disposing

Entity (Part I, Section 2 of the Act).



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Public disposal is the disposal of any government owned assets, with the exception of those

regulated by the Public Enterprise Reform and Divesture Statute, 1993 (Part I, Section 3 of the

Act).

Where an international agreement, such as a financing agreement with a donor conflicts with the

Regulations, the terms of the international agreement will apply, rather than the Regulations (Part

I, Section 4 of the Act).

Any uncertainty or dispute regarding whether the Regulations apply must be referred to the

Authority for its decision (Part 1, Section 2(2) of the Act).

Where there is need to deviate from the use of standardized bidding documents, procedural forms

and any other attendant documents, this will only be effected after the prior written approval of

the Authority (Part II, Section 7(e) of the Act; PPDA (Procuring and Disposing Entities)

Regulations, 2014, Regulation 26).



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WHO DOES WHAT?

This section describes the institutional framework of the public procurement system, explaining

the different roles and responsibilities of each person or organization. This is shown in Annex B.

Each Procuring and Disposing Entity is responsible for its own procurement and disposal

activities, subject to the guidance and supervision of the Authority.

The Public Procurement and Disposal of Public Assets Authority

The Act created a principal regulatory body called the Public Procurement and Disposal of Public

Assets Authority. Its overall role is to set standards for procurement and disposal systems in

Uganda and enforce them.

The Authority is an autonomous body, governed by a Board of Directors appointed by the Minister

responsible for Finance.

The day to day work of the Authority is carried out by the Executive Director and the staff of its

six departments: Executive Director and Corporate Office, Procurement Audit and Investigations,

Finance and Administration, Internal Audit, Legal and Advisory Services and Compliance and

Training and Capacity Building.

The Authority has the following functions (Part II, Section 7 of the Act, PPDA Regulations, 2014,

Regulations 8-14):

1. Policy functions, which includes advising government and entities on procurement and

disposal, issuing guidelines to the PPDA Act, accreditation of an alternative system for a

procuring and disposing entity procurement and disposal system, specify contracts to be

subject to a reservation scheme.

2. Regulatory functions, which includes compliance with the law, issuing standard

documents, approving any deviations from the use of standard bidding documents,

procedural forms and any other attendant documents, where applicable, issue prices of

common user items, investigating breaches of the PPDA Act, Regulations or guidelines by

Procuring and Disposing Entities or providers, right of entry into an entity premises,

instituting procurement or disposal and performance audits, directing a Procuring and

Disposing Entity to take corrective action and suspension of providers.

3. Data Management functions, which includes maintaining system-wide databases and

technology of providers and other databases and maintaining a website and other systems

for publishing procurement notices on procurement opportunities, awards any other

information.

4. Capacity Building functions, which includes setting standards for the training and

professional development of procurement staff and coordinating capacity building

activities in the area of procurement and disposal, establishing and maintaining institutional

linkages with entities with professional and related interest in public procurement and

disposal, undertake procurement and disposal research and surveys.

Commented [s1]: Legal and Advisory Services



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The Authority may contract a third party to carry out procurement audits, investigations and

inspections.

Procuring and Disposing Entities

Procuring and disposing entities include central government departments, statutory bodies, Local

Governments and any other body established by the government or intended to carry out public

functions.

Procuring and disposing entities are responsible for managing their own procurement and disposal

activities. Each Procuring and Disposing Entity consists of: Accounting Officer, the Contracts

Committee, the Procurement and Disposal Unit and the User Departments. There is also an

Evaluation Committee for specific procurement and disposal activities, which is ad hoc. Each of

these five parts must act independently and not to interfere unduly in the operations of others.

Accounting Officer

The Accounting Officer has the overall responsibility for procurement and disposal within the

Procuring and Disposing Entity, but is not involved in detailed procurement or disposal work or

in taking contract decisions.

The Accounting Officer’s functions and powers are given in full in Part III, Section 26 of the Act.

The main areas of responsibility are:

1. Establishment of Contracts Committee: The Accounting Officer appoints the members of

the Contracts Committee (subject to approval of the Permanent Secretary/Secretary to the

Treasury) and has powers of delegation (in writing) of functions within the Procuring and

Disposing Entity.

2. Funding: The Accounting Officer confirms the availability of funds for any procurement

activity, ensures that procurement planning is conducted and integrated with the budgeting

process, commits funds for procurement contracts and authorizes payments.

3. Communications: the Accounting Officer communicates contract award decisions to

successful bidders.

4. Investigations: the Accounting Officer investigates any complaints from bidders.

5. Takes decisions in emergency situations: in the case of emergency situations, the

Accounting Officer signs contracts in emergency situations without approval of Contracts

Committee and thereafter informs the committee.

6. Assessment of market price: the Accounting Officer undertakes an assessment of the

market price of the supplies, services or of the unit costs of the works prior to the

commencement of the procurement process and confirmation that contract price is not

higher than the established market price before signing the contract.

7. Terminate a contract upon consultation with the Attorney General.

8. Submit procurement plan to the Permanent Secretary/Secretary to the Treasury and the

Authority and notify them of any changes made during the financial year.

9. Submit administrative review decisions to the Authority for review. An Accounting Officer

should not sign a contract with a provider during the period of administrative review.



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10. Cause the Entity’s assets to be reviewed each financial year to identify items to be disposed

of.

11. Causing to be established a Procurement and Disposal Unit staffed at an appropriate level.

12. Advertising bid opportunities

13. Signing contracts for procurement and disposal activities on behalf of the Procuring and

Disposing Entity; and

14. Ensuring that the implementation of the awarded contract is in accordance with the terms

and conditions of the award.

Contracts Committee

The Contracts Committee’s main responsibility is to ensure that procurement and disposal

activities are conducted in compliance with the Act and Regulations. This is done by approving or

rejecting recommendations from the Procurement and Disposal Unit at key stages throughout the

procurement or disposal process, particularly contract award decisions. The Contracts Committee

also sends a representative to attend pre-bid meetings and witnesses bid closure and opening (Part

III, Section 27-29 of the Act; PPDA (Procuring and Disposing Entities) Regulations, 2014,

Regulation 9-18).

The chairperson of the Contract Committee chairs the meetings and in the absence of the

chairperson, the members elect from amongst themselves a member to chair the meeting. The

quorum for a meeting of the Contracts Committee is any three members present at a meeting (Part

III, Section 27(2)(b) of the Act PPDA (Procuring and Disposing Entities) Regulations, 2014,

Regulation 15).

Details are given below on how submissions should be made to the Committee and how the

Committee should conduct and record its meetings,

A Contracts Committee consists up to five members (in their individual capacities):

1. A Chairperson

2. A Secretary

3. A maximum of three other members, including one lawyer.

A Procuring and Disposing Entity which does not have a legal staff to be a member of the

Committee, may request a member from the Ministry of Justice and Constitutional Affairs.

In order to maintain independence of functions between each part of the Procuring and Disposing

Entity, neither the Accounting Officer nor a member of the Procurement and Disposal Unit may

be a member of the Contracts Committee.

Procurement and Disposal Unit

The Procurement and Disposal Unit’s overall function is to manage all procurement and disposal

activities of the Procuring and Disposing Entity, working in conjunction with User Departments

and seeking approval of Contracts Committee where appropriate. The Procurement and Disposal

Unit’s full functions and powers are given (Part III, Section 30-32 of the Act; PPDA (Procuring

and Disposing Entities) Regulations, 2014, Regulation 19).

Commented [s2]: It is only Regulation 15 that provides for the conduct of meetings of the Contracts Committee and not Section 27 (2) (b) of the Act.



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The Procurement and Disposal Unit should be staffed with professional procurement staff. The

size and structure of the unit, numbers and grades of staff is determined by the procurement

workload of the Procuring and Disposing Entity.

User Departments

The functions and powers of the User Departments of a Procuring and Disposing Entity are given

in full in Part III, Section 34-36 of the Act; PPDA (Procuring and Disposing Entities) Regulations,

2014, Regulations 3 and 19(2).

The main areas of responsibility are:

1. Preparation of annual procurement plans, initiating procurement and disposal requirements

and defining needs;

2. Providing technical inputs to the procurement and disposal process;

3. Undertake delegated micro procurements; and

4. Managing contracts once placed.

Evaluation Committee

The description, chairperson and conduct of Evaluation Committee meetings are given in Part III,

Section 37 of the Act ; PPDA (Evaluation) Regulations, 2014, Regulations 3-5.

Members of the Evaluation Committee are recommended by the Procurement and Disposal Unit

and approved by the Contracts Committee. They should have the relevant technical skills and

experience. They include a person representing the User Department and a member of the

Procurement and Disposal Unit.

All members of the Evaluation Committee sign a code of ethics to declare that they do not have

conflict of interest in the procurement in question.

Bidders and Providers

Bidders and Providers are essential stakeholders in the Public Procurement and Disposal system.

The Regulations aim to give bidders fair opportunities to participate in government procurement

system, developing the private sector in Uganda as well as obtaining value for money in the use

of public funds (Part II, Section 43-54 of the Act; PPDA (Rules and Methods for Procurement of

Supplies, Works and Non-Consultancy Services) Regulations, 2014, Regulations 8(3), 37(4) and

29(e).

The Authority has an online Register of Providers, which creates a sustainable and vibrant web-

based forum and focal point for entities. The Register website has a range of uses for the collected

data that support entities, the Authority and other agencies in their work. The Register has a

comprehensive database that links providers' data on matters such as past performance, geographic

location and current projects.

Bidders with valid registration status are exempted from the requirement to submit a certificate of

incorporation and a trading license when bidding. The website also provides extra options for



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providers such as direct advertising on the system (Part II, Section 7(h) of the Act; PPDA

Regulations, 2014, Regulation 16(k))

In order to develop the private sector in Uganda, the Regulations provide for Preference and

Reservation schemes. For bidders who meet the requirements for the Preference scheme, a margin

of preference of 15% is granted for goods manufactured, mined, extracted or grown in Uganda

while a margin of preference of 7% is granted for works by Ugandan contractors or services

provided by Ugandan consultants (Part IV, Section 50 of the Act; PPDA (Procuring and Disposing

Entities) Regulations, 2014, Regulation 29).

When the best evaluated bidder notice is displayed, the unsuccessful bidders are notified of the

stage at which their bid failed or was eliminated. The Procuring and Disposing Entity cannot enter

into a contract during the 10 days after display of the best evaluated bidder notice, to allow bidders

sufficient time to lodge complaints with the Accounting Officer if any.

There are grounds and procedures for suspension of providers, who breach the Code of Ethics for

providers. Procuring and Disposing Entities cannot suspend providers, but may recommend to the

Authority, which will investigate and decide (Part VIII, Section 94-95 of the Act; PPDA


Board of Survey

(Part II, Section 28 (1) of the Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulation

2(2) provides for the Board of Survey. This is a team which identifies the public assets in a

Procuring and Disposing Entity to be disposed of. It consists of at least a member with technical

knowledge on the asset being disposed of. It is appointed by the Accounting Officer with the

following specific duties:

1. Carry out physical inspection of assets to be disposed of;

2. Undertake valuation of the assets to be disposed of;

3. Determination of the reserve price;

4. Assess costs and benefits of various disposal methods; and

5. Recommend the best disposal method.

The PPDA Appeals Tribunal

The PPDA Appeals Tribunal consists of a Chairperson who is qualified to be a Judge of the High

Court and four other members with relevant knowledge and experience in public procurement,

finance, commerce, business administration and law.

PPDA Appeals Tribunal reviews PPDA decisions where:

1. A bidder is aggrieved by a decision made by the Authority;

2. A bidder alleges that the Authority has a conflict of interest in respect of a matter before

the Authority and who believes that the matter cannot be handled impartially by the

Authority; and

3. A Procuring and Disposing Entity or any person’s rights are adversely affected by a

decision made by the Authority.

Commented [s3]: Its section 28 (1) (ca) (i) that provides for the Board of survey.

Commented [s4]: No reference to the law. Part VIIA, of the PPDA Act, 2003 provides for review of decisions of the Authority and Establishment of the PPDA Appeals Tribunal



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The PPDA Appeals Tribunal has powers of a High Court and has to issue a decision within ten

working days after receiving an application for review.

Powers of the PPDA Appeals Tribunal

1. Suspend any action by the concerned Procuring and Disposing Entity, until the Tribunal

makes a decision on the matter;

2. Direct the Procuring and Disposing Entity, with respect to anything to be done or redone

in the procurement or disposal process;

3. Order that the procurement or disposal process be terminated;

4. Direct the Procuring and Disposing Entity to cancel the contract of the bidder where the

Tribunal establishes that a bidder is involved in a fraudulent practice;

5. Require the payment of compensation for any costs, reasonably incurred by the bidder who

is a party to the proceedings, as a result of an unlawful act or decision of the Procuring

and Disposing Entity or of the Authority; and

6. May in respect of a decision of the Authority, affirm it, vary it or set it aside and make a

decision in substitution for the decision set aside or refer the matter back to the Authority

for reconsideration in accordance with any directions or recommendations.

A party to proceedings before the Tribunal who is aggrieved by the decisions of the Tribunal may

within thirty days lodge a notice of appeal with the Registrar of the High Court.

Attorney General/ Solicitor General

The role of the Attorney General in public procurement and disposal is executed by the Solicitor

General. The following are the roles (PPDA (Contracts) Regulations, 2014, Regulations 55(6c)

and 56(3) :

1. Providing legal advice to the entities; and

2. Clearing contracts above UGX Two Hundred Million (Exemption of Particular Contracts

from Attorney General’s Legal Advice) (Amendment) Instrument, 2014.

Commented [s5]: The following should be inserted “In accordance with The Constitution…”



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HOW TO CONDUCT PROCUREMENT

PPDA (Rules and Methods for Procurement of Supplies, Works and Non-Consultancy Services)

Regulations, 2014 give the basic procurement process from procurement planning right through to

contracts management. Although the procurement process may vary slightly for different methods

of procurement and depending on whether the requirement is for supplies, works, or services, all

procurement processes will follow the same basic steps.

The basic steps of the procurement process are briefly described below, with some key rules or the

options relating to each method or type of procurement. This is shown diagrammatically in Annex

C.

Procurement Planning

Entities must plan their procurements each year, so as to be able to aggregate requirements into

larger contracts, gain economies of scale and avoid emergency procurements wherever possible.

Planning allows the Procuring and Disposing Entity to spread the procurement workload according

to its resources and also allows entities to undertake common procurement, where similar items

are purchased. Annual procurement plans any subsequent updates are submitted to Permanent

Secretary/ Secretary to the Treasury and the Authority and displayed on the entity notice board

and Authority website (Part IV, Section 58 of the Act; PPDA (Rules and Methods for Procurement

of Supplies, Works and Non-Consultancy Services) Regulations, 2014, Regulations 3-7).

Initiating Procurement Requirements

For any procurement process to be started, there should be a signed confirmation and approval

from the authorized official that funds will be available for the purchase. Procurement

requirements must be initiated using Form 5, which requires signature to confirm the availability

of funds and give approval for the procurement to proceed (Part IV, Section 59 of the Act; PPDA

(Rules and Methods for Procurement of Supplies, Works and Non-Consultancy Services)

Regulations, 2014, Regulation 3-4).

Selecting a Procurement Method

There are seven different methods of procurement, each with different conditions of use. The

estimated value of works, services and supplies is usually the key factor in deciding which

procurement method to use. Thresholds for use of each method are given in Guideline Reference

1/2014 as provided under (Section VI, Section 79 of the Act; PPDA (Rules and Methods for

Procurement of Supplies, Works and Non-Consultancy Services) Regulation, 2014, Regulation

6(4).

A summary of the thresholds is in the following table;

Estimated Value (UGX)

of Works


of Consultancy Services


of Supplies and Non-

Consultancy Services

Procurement Method

Above 500 million Above 200 million (for

consultancy firms)

Above 50 million (for

individual consultants)

Above 200 million Open Domestic Bidding

or Open International

Bidding



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Value greater than 200

million but not to exceed

500 million



200 million

Restricted Domestic

Bidding or Restricted

International Bidding



200 million



200 million (for

consultancy firms)

Value less than 50 million

(for individual

consultants)



100 million

Request for Quotation or

Request for Proposal –

without Expression of

Interest (in case of

Consultancy Services)

Not to exceed 10 million Not to exceed 5 million Micro Procurement

Special thresholds for the procurement of medicines and other health supplies are in the table

below: Method of procurement Threshold (Value in UGX) Conditions for use

Open Bidding Default method – may be used irrespective of

the value of procurement

Providers should be registered by

National Drug Authority except

where no registration has been

done

Restricted Bidding Above 2 billion for National Medical Stores

Above 500 million for other entities

Invite at least 5 bidders, unless

shortlist has less than 5.

Request for Quotations Above 1 billion for National Medical Stores


Invite at least 3 quotations, unless

shortlist has less than 3 providers

Micro Procurement Above 100 million for National Medical

Stores


Invite at least 3 quotations, unless

providers are less than three

Direct Procurement No limit Where there is only a single or sole

provider, where there is need for

continuity

Other factors may sometimes determine the choice of procurement method e.g. the urgency of the

requirements or limited number of potential providers (Section VI, Section 79 of the Act; PPDA


Regulations, 2014, Regulation 6). Procurements must not be split up to avoid the use of a

procurement procedure.

The methods are:

1. Open Domestic Bidding: Is the preferred method of procurement, as it is open to all bidders

following public advertising and involves maximum competition.

2. Open international bidding: Is similar to Open Domestic Bidding, except that a special

effort is made to attract foreign bidders.

3. Restricted Domestic Bidding: Is similar to Open Domestic Bidding, except that there is no

advertising, so bidders are invited from shortlists. It may be used where only a limited

number of providers exist, in emergency situations and for procurement under a certain value

threshold.

4. Restricted International Bidding: Is the same as Restricted Domestic Bidding, except that

shortlist includes foreign bidders.



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5. Quotations and Proposals Procurement: Is a simplified method, with quicker and simpler

procedures and documentation, intended primarily for low value procurement, which is

under a certain value threshold. It may also be used in emergency situations.

6. Micro Procurement: Is a very quick and simple method for very low value procurement,

which allows items to be purchased directly from a single provider, without competition and

with minimal documentation, where the value is under a certain threshold.

7. Direct Procurement: Is a method which allows items to be purchased directly from a single

provider without competition, regardless of their value, in exceptional circumstances only.

These circumstances include emergency situations, the items only being available from a

single provider and contract extensions within certain limits.

8. Force Account Mechanism: Is undertaking the works of a Procuring and Disposing Entity

using the personnel and equipment of the entity or another entity. The supplies to be used for

the assignment are procured in accordance with the PPDA Act. The Procuring and Disposing

Entity determines that the direct, indirect and overhead costs to be incurred are less than

would be incurred if the assignment was executed by a contractor. However, this condition

does not apply where there is an emergency situation or where no contractor is willing to

execute the assignment.

Drafting Solicitation Documents

All solicitation documents must be drafted using one of the standard solicitation documents issued

by the Authority. The standard documents include documents for high value or complex

requirements and Request for Quotations and Purchase Order documents for simple, low value

requirements. Different documents are provided for works, services and non-consultancy services.

The standard solicitation documents are listed on the Authority website. It is important to select

the most appropriate document before drafting begins. Before issue, the solicitation documents are

authorized by the Contracts Committee (Part III, Section 29 of the Act; PPDA (Rules and Methods

for Procurement of Supplies, Works and Non-Consultancy Services) Regulations, 2014,

Regulation 28(4). The User Guide guides on when each document should be used.

The standard bidding document has sections which must be used without changes e.g. the

instruction to bidders, which may only be modified through special conditions of contract (Part

V, Section 62 of the Act; PPDA (Rules and Methods for Procurement of Supplies, Woks and Non-

Consultancy Services) Regulations, 2014,Regulation 23(3)(b) provide details on solicitation

documents.

Solicitation documents must contain a statement of Requirements, which clearly defines what is

to be purchased by means of specifications, terms of reference, bills of quantities, drawings etc.

Statements of Requirements must include common specification standards issued by the

international recognized trade associations and professional bodies in the appropriate fields (Part

V, Section 61 of the Act; PPDA (Rules and Methods for Procurement of Supplies, Works and Non-

Consultancy Services) Regulations, 2014, Regulation 30).

Inviting Bids

The method for selecting bidders varies according to the procurement method used.



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For Open Bidding, bidders will be selected either by publication of a Bid Notice to offer the

opportunity to all interested bidders or through a prequalification where a short list of prequalified

bidders is generated (See Part V, Section 51, 64, 70 and 71, Part VI, Section 80-81 of the Act;


Regulations, 2014, Regulations 12-13).

For Restricted Bidding and Quotations and Proposals Procurement, bidders will be selected

from a shortlist. Bidders to include on a shortlist can be identified from the Authority’s Register

of Providers, market knowledge, previous experience of providers or through a previous

prequalification for a group of contracts (Part VI, Section 82-84 of the Act; PPDA (Rules and

Methods for Procurement of Supplies, Works and Non-Consultancy Services) Regulations, 2014,

Regulations 14-15 ).

For Direct Procurement, it is a method which allows items to be purchased directly from a single

provider without competition, regardless of their value, in exceptional circumstances only. These

circumstances include emergency situations, the items only being available from a single provider

and contract extensions within the limits with a maximum of 25% (Part VI, Section 85 of the Act;



For Micro Procurement, the item is purchased directly from a single provider and no written bid

is required (Part VI, Section 86 of the Act; PPDA (Rules and Methods for Procurement of Supplies,

Works and Non-Consultancy Services) Regulations, 2014, Regulation 16).

A minimum of three quotations must be sourced and details on how to invite bids and the minimum

bidding periods for various methods of procurement are provided (Part VI, Section 79 of the Act;


Regulations, 2014, Regulation 15):

The minimum periods within which bids must be submitted are as follows:

Method of Procurement Bidding Period (Working Days)

Open International Bidding 30

Open Domestic Bidding 20

Restricted International Bidding 20

Restricted Domestic Bidding 12

Request for Quotations 5

Micro Procurement Not Applicable

Direct Procurement Not Applicable

The minimum bidding period for the restricted bidding for medicines is 15 days (Part III, Section

40A of the Act; PPDA (Procurement of Medicines and Medical Supplies) Regulations, 2014,

Regulation 11(6)(4).



11

The minimum bidding periods for prequalification (Part V, Section 64 of the Act; PPDA (Rules

and Methods for Procurement of Supplies, Works and Non-Consultancy Services) Regulations,

2014, Regulation 20) are as follows:

Method of Procurement Bidding Period (Working Days)

Open International Bidding 20

Domestic Bidding 15

At any time before deadline for bid submission, a procuring and disposing entity may on its own

initiative or in response to a request for clarification by a bidder, modify the solicitation documents

by issuing an addendum. Correspondingly, the procuring and disposing entity should extend the

closing date (Part V, Section 65 of the Act; PPDA (Rules and Methods for Procurement of Supplies,

Works and Non-Consultancy Services) Regulations, 2014, Regulation 49(6).

Submission and receipt of bids

The Procuring and Disposing Entity may invite bids to be submitted using one of the four different

submission methods. The appropriate method will depend on the type of procurement and the

evaluation methodology used (Part V, Section 67 of the Act; PPDA (Rules and Methods for

Procurement of Supplies, Works and Non-Consultancy Services) Regulations, 2014, Regulation

56). The four methods are:

1. One stage – single envelope

2. One stage – two envelope

3. Two stage – two envelope

4. Two stage

Correct management of the receipt of bids is essential to a transparent procurement process, as it

ensures that no late bids are accepted. There are two methods of receiving bids and the choice is

at the discretion of the Procuring and Disposing Entity.

1. Bids can be received in person by staff of the Procuring and Disposing Entity, with the

staff issuing receipts for bids, marked with the date and time of receipt. Bids must be kept

in a secure place until the time for the public bid opening (Part VI, Regulation 59; PPDA


Regulations, 2014, Regulations 62-65).

2. Bids can be received in a Bid Box, bidders are responsible for placing their bid in the box

and staff seals the box at the date and time of the deadline. A Procuring and Disposing

Entity may choose to register bids and issue receipts before they are placed in the bid box.

Whichever method is used, it is essential that sufficient staff is available at the precise time and

date of the deadline to close bidding and ensure that no late bids are received. A member of the

Contracts Committee is required to witness the bid closing. A Procuring and Disposing Entity

should maintain a record of the bids received person on Form 11 or have a member of the

Procurement and Disposal Unit and the Contracts Committee sign the form to confirm that the box

was sealed at the precise time of the deadline. There are detailed rules on the receipt of bids (Part



12

V, Section 69 of the Act; PPDA (Rules and Methods for Procurement of Supplies, Works and Non-

Consultancy Services) Regulations, 2014, Regulations 59-60).

Public bid opening

All methods of procurement under open bidding and restricted bidding methods must have a public

bid opening and the Procuring and Disposing Entity must inform all bidders of the date, time and

location of the opening to enable them attend. At least a member of the Contracts Committee, or a

person nominated by the User Department is required to witness the public bid opening. It is

important that all staff involved in the bid agree on their respective responsibilities prior to the

opening, to ensure that it proceeds smoothly. The information to be read out at the public opening

must also be agreed on in advance and must be in accordance with the solicitation document (Part

V, Section 69 of the Act; PPDA (Rules and Methods for Procurement of Supplies, Wor ks and Non-

Consultancy Services) Regulations, 2014, Regulations 62-65. For Micro Procurement and request

for Proposals/Quotations, closed bid opening is allowed. The bidders are not invited to attend.

Evaluation

Evaluation is the process by which the best evaluated bidder is selected for award of contact from

among all the bids received. The evaluation process has to be concluded within 20 working days

for supplies and non-consultancy services and 40 working days for works, from the date of opening

bids. Evaluations must be conducted by a team of at least three staff, who are approved by the

Contracts Committee (Part V, Section 71 of the Act; PPDA (Evaluation) Regulations, 2014,

Regulation 5).

All evaluations consist of three stages:

1. Preliminary Examination: is a brief assessment of whether each bidder is eligible as per

the requirements of the solicitation document. This is used to eliminate unsuitable bidders,

such as those who are not registered companies or are not complying with legal requirements

such as the payment of tax (Part V, Section 70 of the Act; PPDA (Evaluation) Regulations,

2014, Regulations 16 and 22). .It also eliminates the weakest bids, such as those which don’t

contain the correct bid security or are not signed, etc.

2. Detailed Evaluation: determines whether bids are substantially responsive to the

commercial and technical requirements of the solicitation document and assessing its

technical quality, either by comparison to the specifications in the solicitation document or

by awarding merit points.

3. Financial comparison: Determines the evaluated price of each bid, following the correction

of any errors or inclusion of any necessary adjustments and determines the best evaluated

bid, which may be the lowest price, highest quality or best points score, depending on the

evaluation methodology.

There are five different evaluation methodologies. Depending on type of methodology and

circumstances, an appropriate evaluation methodology should be used (Part V, Section 71 of the

Act; PPDA (Evaluation) Regulations, 2014, Regulations 6-31). The five methodologies are

summarized below.



13

1. Quality and Cost Based Selection- considers both the technical quality and the cost of each

bid, with the relative weighting of technical and cost elements decided in advance. In the

first stage, points are awarded to the technical quality of each bid, using predefined criteria

and maximum scores and bids which do not reach a predefined minimum technical score are

rejected. In the second stage, technically acceptable bids are awarded a final score, based on

the lowest best bid. The best evaluated bid is the one with the highest combined technical

and financial score.

2. Quality Based Selection- focuses on quality only, using merit points to determine the best

quality technical bid. The best quality bid is the best evaluated bid, regardless of price and

only the financial bid of the best technical scoring bidder is considered

3. Fixed Budget Selection- is used to obtain the highest quality bid which is within the

Procuring and Disposing Entity’s budget. Bidders are informed of the budget in the

solicitation document. Merit points are used to determine the best quality technical bid. The

best evaluated bid is the one which scores the most points and remains within the given

budget.

4. Least Cost Selection- is used to obtain the lowest priced bid which meets the technical

standard required by the Procuring and Disposing Entity. Merit points are used to determine

which bids meet the minimum technical standard required. The best evaluated bid is the

lowest priced one which meets this minimum technical standard.

5. Technical Compliance Selection- is also used to obtain the lowest priced bid which meets

the technical standard required by the procuring and Disposing Entity. Bids are compared to

the statement of requirements on a pass or fail basis to determine whether they meet the

technical standard required. The best evaluated bid is the lowest priced one which is

substantially responsive.

Post Qualification

The best evaluated bidders may be subject to post qualification to check whether they have the

capability and resources to effectively carry out the contract. Post qualification may only use the

criteria given in the solicitation document. Post qualification will typically look at the provider’s

experience, past performance, equipment of other facilities and financial situation. Where post-

qualification is conducted bidders may be rejected if they fail the post qualification assessment

Part V, Section 70 of the Act; PPDA (Evaluation) Regulations, 2014, Regulation 34.

Negotiation

Negotiations should not be carried out between a Procuring and Disposing Entity and a bidder

except where only one bid was received where competitive procurement method was used, direct

procurement was used or procurement is for consultancy services. Negotiations should only be

carried out where the best evaluated bid or proposal exceeds the budget of the Procuring and

Disposing Entity. In such circumstances, the Procuring and Disposing Entity should investigate

why the cost of the procurement exceeds the budget. The Procuring and Disposing Entity may

cancel the procurement process and request for new proposals; or negotiate with the best evaluated

bidder in order to obtain a reduction of the scope or the quantities of the procurement (Part V,

Section 74 of the Act). Negotiation teams are approved by the Contracts Committee (Part III;

Section 28 of the Act).



14

Award Decision

Any recommendation to award a contract (with the exception of Micro Procurement) must be

submitted to the Contracts Committee for approval prior to any commitment being made. The

Contracts Committee will review the recommendations made, including the Evaluation Report and

the results of any post qualification or negotiations.

A decision by the Contracts Committee to approve a recommendation for award does not constitute

a binding contract (Part V, Section 76 (1) of the Act; PPDA (Contracts) Regulations, 2014,

Regulation 11).

Notice of Best Evaluated Bidder

Following an award decision by the Contracts Committee, the Procuring and Disposing Entity

must display a notice of Best Evaluated Bidder on the entity notice board and Authority website

for a certain period of time, before placing a contract. The notice must also be sent to all Bidders.

The notice must be published for a minimum of ten working days under Open Restricted Bidding

and a minimum of five working days under quotations and Proposals Procurement or Direct

Procurement. No notice is required under Micro procurement and where there is an emergency

situation (Part V Section 76(2) a & 76 (4) of the Act; PPDA (Rules and Methods for Procurement

of Supplies, Works and Non-Consultancy Services) Regulations, 2014, Regulation 16(1).

For the procurement of medicines and medical supplies, the notice should be published for a

minimum of five working days for open or restricted procurement method and three working days

for request for quotations method (Part III, Section 40A of the Act; PPDA (Procurement of

Medicines and Medical Supplies) Regulations, 2014, Regulation 13). For procurement of medicine

and medical supplies, notice of best evaluated bidder is not issued in case of direct procurement

method, micro procurement method, where only one bid is received under competitive

procurement and for procurement in an emergency situation.

Awarding a Contract

Following the Contract Committee’s award decision, Accounting Officer’s confirmation that the

contract price is not higher than the market price, the display of the Notice of Best Evaluated

Bidder, Accounting Officer’s conformation that the procurement is not subject to any

administrative review, the full amount of the funding is committed, relevant agencies like Attorney

General have made necessary approvals, a contract may be awarded. It is important to note that a

contact award is the point at which a legally binding contract is formed.

Contracts Management

Once a contract has been placed, it must be managed to ensure that the provider performs in

accordance with the terms and conditions of the contract and that the Procuring and Disposing

Entity meets all its obligations under the contract. Contracts management is the responsibility of

the User Department, but an external contracts manager may be appointed where appropriate.



15

The contracts manager, or other official stated in the contract, may issue contract variations or

change orders, where required, in accordance with the conditions of the contract. Where an

amendment to the contract is required, it must be passed to the Procurement and Disposal Unit for

preparation and must be approved by the Contracts Committee prior to issue. Individual contract

amendments must not increase the original contract value by more than 15%. Where more than

one amendment is issued, the cumulative value of all amendments must not increase the contract

value by more than 25% (Part III, Section 29(a) of the Act; PPDA (Contracts) Regulations, 2014,

Regulation 55(5).



16

HOW TO CONDUCT DISPOSAL

PPDA (Disposal of Public Assets) Regulations, 2014 gives all the rules and methods of disposal.

The disposal process is shown diagrammatically in Annex D.

Disposal planning and initiating disposal requirements

Disposal requirements should be planned in order to maximize the number of assets which can be

disposed of at a time and reduce administration costs. Where appropriate, a board of survey can

be used to identify assets which need to be disposed of.

The disposal process must be started by means of a requisition, which must be signed by the

Accounting Officer to confirm that the asset may be sold.

In most cases, a valuation of assets should be obtained before the disposal starts. Where the cost

of obtaining a valuation is likely to be greater than the money obtained from the sale, no valuation

is required. Where appropriate, the valuation should be used to set a reserve price, below which

the asset will not be sold (Part V, Section 58-59 of the Act; PPDA (Disposal of Public Assets)

Regulations, 2014 Regulations 1-3).

Selecting a disposal method

There are eight methods of disposal, each of which is summarized below:

1. Public auction: this may be used where there is a high volume of assets to dispose of/or no

need to control who buys or uses the assets. Auctions must be conducted by a registered

auctioneer in accordance with normal auction practices.

2. Public bidding: this may be used for high value assets or where there are conditions or

restrictions attached to the sale. This follows similar rules as open bidding for procurement.

3. Sale to public officials: this is not encouraged, but may be used in limited circumstances,

such as when the assets are of low value or there is unlikely to be any benefit in using any

other method or where specific items are offered to the public officials of a Procuring and

Disposing Entity subject to internal advertisement and competition (Part V, Section 78 of the

Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulations 11-12).. It follows a

similar process to public bidding.

4. Direct negotiations: this allows sales directly to a single bidder, without competition, in

exceptional circumstances, such as where a potential buyer is the occupier or user of the asset

and should be given the first option to buy or where public interests are served by disposal

directly to a single bidder.

5. Trade-in: this may be used where it is an economic and efficient way to upgrade equipment.

Once the use of trade-in has been approved, it becomes an integral part of the relevant

procurement process.

6. Transfer to another Procuring and Disposing Entity: this may be used where another

Procuring and Disposing Entity can make further use of an asset. The cost and other

arrangements are agreed between the two entities, in writing, and signed by the Accounting

Officers.



17

7. Conversion or classification of assets into another form; this may be used for public interest

reasons for where the assets have no value. This would typically be used for converting assets

into scrap metal.

8. Destruction is the least favored disposal method, but may be used for public interest reasons

or where no other is possible.

9. Donation; this is a new disposal method and will only be applicable for obsolete items where

no other form of payment can be obtained for the asset.

The first four methods follow a process similar to the procurement process of inviting bids,

evaluating and awarding a contract, this is described below. The other four differ more from the

standard process and are described more fully at the end of this section.

A Procuring and Disposing Entity should not dispose of a strategic asset without the consent of

the Minister of Finance Planning and Economic Development. A “strategic asset” means land, a

building, a ship, shares and any other asset as may be prescribed, belonging to the Government,

situated within or outside Uganda (Part VI, Section 87-88 of the Act).

Drafting solicitation documents

Solicitation documents must be drafted using the appropriate standard document issued by the

authority. The document must contain a description of the assets. Normally, the document must

state that the assets are sold on an “as is, where is” basis, which means that the Procuring and

Disposing Entity has no further liability for the condition of the asset after the sale. The Procuring

and Disposing Entity must therefore provide as accurate a description of the asset as possible and

must make arrangements for bidders to be able to inspect the assets prior to submitting bids.

Under Public Auction, no solicitation document is required, but any other document, such as an

auctioneer’s catalogue, must clearly state that the assets are sold on an “as is, where is” basis (Part

VI, Section 87(1) of the Act; PPDA (Disposal of Public Assets) Regulations, 2014 Regulation 12(5)

(b).

Inviting, Receiving and Opening Bids

The method of inviting bids depends on the disposal method used. For Public Auction and Public

Bidding, a public notice must be published, notifying the public of the date of the auction or where

to obtain bidding documents, as appropriate. Under sale to Public Officials, a notice must be

displayed on the procuring and disposing entities notice board in a location where all public

officials can see it.

Under Direct Negotiation, the solicitation document should be sent directly to the selected bidder.

The receipt of bids is the same for disposal as for procurement, with the exception of the Public

Auction method. Under Public Auction, bids are submitted orally to the auctioneer. For other

methods, bids can be received either in person or by use of a Bid Box.

For Public Bidding, a public bid opening must be held. For sale to public Officials, the bid opening

must be open to all public officials and follows the same procedure as a public bid opening (Part

VI, Section 79 of the Act; PPDA (Disposal of Public Assets) Regulations, 2014 Regulation 5-22).



18

Evaluation

Evaluations under disposal must be conducted by a team and an Evaluation Report produced, with

the, where the auctioneers determine the best evaluated bid and awards the contract at the auction.

There are two evaluation methodologies for disposal:

1. Evaluation based on price only; and

2. Evaluation based on price and other factors.

Evaluation based on price only is the preferred methodology. Other factors may only be taken into

account where there are end user or export restrictions or a need to attach conditions to the sale.

Where evaluation is based on price only, the Evaluation Team, or auctioneer, determines the

highest priced bid and this is the best evaluated bid.

Where evaluation is based on price and other factors, the other factors must be assessed on a pass

or fail basis wherever possible, but merit points may be used in exceptional circumstances. Where

other factors are taken into account, the evaluation must be conducted in accordance with the

methodology given in the solicitation document.

Where identical highest priced bids are submitted more than one bidder, the Procuring and

Disposing Entity must organize a re-bidding procedure for those bidders only.

The Evaluation Team must produce an Evaluation Report for the Contracts Committee,

recommending the best evaluated bid. Where the best evaluated bid is less than the reserve price,

if any was set, the Evaluation Team should submit recommendations as to the best action to take

(Part IV, Regulation 52 of the Act; PPDA (Disposal of Public Assets) Regulations, 2014,

Regulations 40-41).

Negotiations

Under competitive methods of disposal, negotiations may be held on any conditions of sales, but

may not relate to the price of the bid. The price may be negotiated under Direct Negotiations.

Negotiations can only be carried in accordance with the. The procedure for negotiations is the

same as under procurement. The negotiations must be conducted by a team, approved by the

Contracts Committee. The team must plan their negotiations in advance and seek Contracts

Committee’s approval of the agreement reached, before committing the entity (Part V, Section 74

of the Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulation 43).

Contracts Award and Placement

With the exception of Public Auction, where a contract award is made by the auctioneer, all

contract award decisions are made by the Contracts Committee, in response to a recommendation

from the Procurement and Disposal Unit (Part III, Section 28 & 76 (3) of the Act; PPDA (Disposal

of Public Assets) Regulations, 2014, Regulation 41(5).

No notice of Best Evaluated Bidder is required under disposal. Following a Contracts Committee

decision, the contracts should be placed by means of a written contract document.

A procuring and disposing entity should not enter into contract with its members like members of;

Contracts Committee, Evaluation Committee, Board of Survey or employees, Accounting Officer,

Commented [s6]: Section 52 of the PPDA ACT, REGULATIONS 40 – 41 OF THE PPDA (DISPOSAL OF PUBLIC ASSETS) REGULATIONS



19

Minister responsible for the entity, member of governing body of the entity and a company where

a prohibited person indicated above has a controlling interest.

Contract Management

Under disposal, the manager’s responsibilities include obtaining payment for the asset from the

successful bidder, handing over the asset and any documentation to the buyer and obtaining a

signed receipt of the asset. The contract manager must also ensure that the Procuring and Disposing

Entity’s asset register is updated, that the payment is credited to the appropriate account and that

the Procuring and Disposing Entity doesn’t have any outstanding liabilities.

Disposal Process for Trade-In

Where the use of Trade–In is approved, the disposal process becomes an integral part of the

relevant procurement rules and certain additional rules on trade-in apply (Part VI, Section 87(1)

(g) of the Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulation 18).

Disposal Process for Transfer to another Procuring and Disposing Entity

Where the use of Transfer to another Procuring and Disposing Entity is approved, the two entities

should discuss and agree on terms and conditions of the transfer, including any costs to be paid.

The agreement must be recorded in writing, approved by the Contracts Committee and signed by

the Accounting Officers of both entities before the transfer takes place (Part VI, Section 87(1) (h)

of the Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulation 19).

Disposal Process for Conversion or Classification into another Form

Where the use of conversion or classification into another form method is approved, the Procuring

and Disposing Entity should identify a competent authority or provider to undertake the

conversation or classification. The competent authority or provider shall submit evidence of the

conversion or classification undertaken and this will be part of the record of disposal proceedings

(Part VI, Section 87(1) (f) of the Act; PPDA (Disposal of Public Assets) Regulations, 2014,

Regulation 16).

Disposal Process for Destruction of Assets

Where the use of destruction of assets method is approved, the Procuring and Disposing Entity

should identify a suitable competent authority or provider to undertake the destruction. The

Accounting Officer will give approval prior to destruction. After undertaking the destruction, the

competent authority or provider shall issue a certificate of destruction to the procuring and

disposing entity and this will be part of the record of disposal proceedings (Part VI, Section 87(1)

(e) of the Act; PPDA (Disposal of Public Assets) Regulations, 2014, Regulation 14).



20

HOW TO FILE A COMPLAINT

How to File a Compliant

A bidder who is aggrieved by a decision of a Procuring and Disposing Entity or Authority may

file a complaint, and seek administrative review. Once a complaint is filed, it has to be investigated

in specified time (Part VII. Sections 89-91 of the Act; PPDA (Administrative Review) Regulations,

2014, Regulations 6(4) and 10(b)).

A dissatisfied bidder has three possible tiers to go through in seeking an administrative review:

Tier 1: Complaint to Accounting Officer

A bidder, upon payment of a prescribed administrative review fee to the Procuring and Disposing

Entity (Schedule of fees for administrative review is in Appendix E) should, in writing, be

addressed to the Accounting Officer of the Procuring and Disposing Entity, and copy to the

Authority, within ten working days from the date that the bidder first became aware of the

circumstances leading to the complaint.

On receiving the complaint, the Accounting Officer immediately suspends the procurement

proceedings and makes a decision in writing within fifteen working days, which should be copied

to the Authority (Part VII, Section 90(4) of the Act; PPDA (Administrative Review) Regulations,

2014, Regulation 5).

Tier 2: Complaint to the Authority

Where an Accounting Officer does not make a decision within fifteen working days or the bidder

is not satisfied with the decision made, the bidder may make a complaint to the Authority within

ten working days from the date of communication of the decision by the Accounting Officer.

On receiving the complaint, if the Authority does not dismiss the compliant, the Authority should

notify the concerned Procuring and Disposing Entity of the complaint and suspend any further

action thereon by the Procuring and Disposing Entity until the matter is settled.

The Authority should use the records of the procurement or disposal process from the Procuring

and Disposing Entity, consider information and evidence provided, information given by staff of

the Procuring and Disposing Entity and interested bidders and any other relevant information to

review the decision of the Procuring and Disposing Entity and give its decision within twenty one

working days (Part VII, Section 91(4) of the Act). The Administrative Review fee is refundable if

the complaint is upheld, following completion of the Administrative Review process (Part VII of

the Act; PPDA (Administrative Review) Regulations, 2014, Regulations 11).



21

Tier 3: Complaint to the PPDA Appeals Tribunal

Where the bidder is not satisfied with the decision of the Authority or who alleges existence of

conflict of interest in respect of the matter before the Authority, such a bidder may appeal against

the decision to the PPDA Appeals Tribunal (Part VIIA of the Act; PPDA (Administrative Review)

Regulations, 2014, Regulation 10). The Tribunal can also review the decision of the Authority

where a Procuring and Disposing Entity or any person whose rights are adversely affected by a

decision made by the Authority.

Once the Tribunal receives a complaint, it may suspend any action by the Procuring and Disposing

Entity till a decision is made, direct the concerned Procuring and Disposing Entity to do or redo

any wrong part of the procurement or disposal process, terminate the procurement or disposal

process, order for compensation to the aggrieved bidder.

The Tribunal will make a decision in writing; to affirm, vary or set aside the decision of the

Authority within ten working days after receiving an application for review.

A party to proceedings before the Tribunal may be aggrieved by the decision of the Tribunal. Such

a party may within thirty days after being notified of the decision of the Tribunal or within such

further time as the Court may allow, lodge a notice of appeal with the Registrar of the High Court.



22

WHAT DOCUMENTS DO I HAVE TO USE?

Standard Forms and Documents for Procurement and Disposal

The authority issues standard forms and documents which must be used for all procurement and

disposal activities. These are listed in the Schedules of the Regulations. Forms 1 -49, sample price

adjustment formula and fees for administrative review. The standard form and documents are

issued electronically, as well as in hard copy, to facilitate their use by procuring and Disposing

Entities.

Annex E contains a summary of all the standard forms, including the purpose of each form and the

procurement or disposal method or other purpose for which it should be used.

Reporting Requirements

Procuring and Disposing Entities are required to submit various reports to the Authority, to enable

it monitor procurement and disposal activities on a government wide basis. Form 2 in the schedule

provides the details to report on and format to be used and the frequency of reporting.

Reports that should be submitted on a monthly basis, on procurement and disposal activities

undertaken by the Procuring and Disposing Entity.

Obligation to provide information to the Authority

Procuring and Disposing Entities are required to provide documents, records and reports to the

Authority in respect of any aspect of the public procurement and disposal process where a breach,

mismanagement or collusion has been alleged, reported or proven against any Procuring and

Disposing Entity or provider. The Authority also powers to summon witnesses, commission or

undertake investigations (Part II, Section 8 of the Act; PPDA Regulations, 2014, Regulation 14).

Procuring and Disposing Entities are also required to submit information which the Authority

needs to display on its website. This includes bid notices (Part VI, Section 79 of the Act; PPDA


Regulations, 2014, Regulation 14), notice of best evaluated bidder (Part VI, Section 79 of the Act;

PPDA (Contracts) Regulations, 2014, Regulation 4(1) public invitation notice and notification of

public auction (Part VI, Section 79 of the Act; PPDA (Disposal of Public Assets) Regulations,

2014, Regulation 5(5).



23

ANNEX A: LEGAL FRAMEWORK FOR PUBLIC PROCUREMENT AND DISPOSAL

OF PUBLIC ASSETS

PUBLIC PROCUREMENT

AND DISPOSAL OF

PUBLIC ASSETS ACT 2003

Passed by parliament

Establishes by the public procurement and disposal of public Assets Authority, as a regulatory

body

Contains: frame work of rules and procures for both procurement and disposal

Authorises: the issue of Regulations and Guidelines

PUBLIC PROCUREMENT

AND DISPOSAL OF PUBLIC

ASSETS REGULATIONS

2014

PROCUREMENT AND

DISPOSAL FORMS

GUIDELINES

STANDARD

SOLICITATION

DOCUMENT

Issued by the ministry of finance

Contains detailed rules and procedures for both procurement and disposal for

the operation of both the Authority and Procuring and Disposing Entities.

Includes schedules with standard forms

Issued by the Authority

Contains additional details, procedures and arrangements which are likely to

change over time

Includes guidelines on thresholds, reference numbers, securities, etc.

Issued by the Minister for Finance as Schedules to the Regulations

Used to document and record procurement and disposal process

Includes standard forms for submitting reports to the Authority and for

notices for publication

Issued by Authority with approval of Solicitor General

Contains standard invitation & contract documents for procurement of all

values

Includes documents for disposal



24

ANNEX B: WHO DOES WHAT?

Procurement

and Disposal

Unit

User

Dept

Negotiatio

n Teams Evaluation

Teams

1. Appoints Board members 2. Receives Authority reports and

submits to Parliament (S. 11 of the Act)

1. Advises Government on policy 2. Issues standard documents 3. Monitors and audits entities 4. Coordinates capacity building 5. Records and analyses data

(Section 7 of the Act)

Approves appointments of Contracts

Committee members (S.27(2) of the Act)

Supervises procurement and disposal – like market price checks Confirm and commit funding Investigates complaints (S.26 of the Act)

Approves key documents and recommendations Reviews reports (Section 27-28 of the Act)

Permanent department of professionals (PDU) 1. Select procurement methods 2. Prepare solicitation documents 3. Manage evaluation and negotiation teams 4. Prepare contracts & contract amendments -

(Section 31-32 of the Act)

Existing Department (Section 34 and 35 of the Act)

1. Initiate requirements 2. Provide technical input 3. Manage contracts

Team created for each assignment Conduct evaluations and negotiations Section 37 of the Act

Board/ Tribunal

Accounting Officer

Contracts Committee

Minister for

Finance

Board

ED

Staff

Public Procurement

and Disposal of

Public Assets

Authority

PS/ST or Board



25

ANNEX C: THE PROCUREMENT PROCESS

Procurement Plans

Assessment of Market Price

Requisitions

Contract Management

Select Procurement Method

Invite Bids

Receive Bids

Public Bid Opening

Evaluation

Post Qualification (if applicable)

Negotiation (if applicable)

Award Decision

Best Evaluation Bidder Notice – if

applicable

Award Contract

1. Open Domestic

Bidding

2. Open International

Bidding

3. Restricted


4. Restricted


5. Micro Procurement

6. Direct Procurement

1. Bid Notice 2. Pre-qualification 3. Shortlist 4. Single or Sole

Source

Letter of Bid Acceptance Contract Document

1. Quality & Cost Based Selection

2. Quality Based Selection

3. Fixed Budget Selection

4. Least Cost Selection 5. Technical

Compliance Selection Selection

6.

Use appropriate

Standard Solicitation

Document for Works,

Services or Supplies

1. In Person

2. By Bid Box

Three Stages: 1. Preliminary

Examination 2. Detailed

Evaluation 3. Financial

Comparison

1. Contract Variations

2. Contract Amendments



26

ANNEX D: THE DISPOSAL PROCESS

Compile Details of Items for

Disposal

Requisition

Obtain Valuation (if necessary)

Select Disposal Method

1. Public Auction 2. Public Bidding 3. Sale to Public Officers 4. Direct Negotiations

Draft Solicitation Document

Invite Bids Allow Inspection of Assets

Receive Bids

Contract Management

Bid Opening

Evaluation

Negotiations (if applicable)

Award Decision

Award and Place Contract

Trade-In; include in

procurement

process

Transfer to another entity

Agree in writing with

recipient entity

Transfer

Use appropriate

Standard Solicitation

Document (no

document required for

Public Auction)

Oral for Public Auction Written for other

methods

1. Based on Price Only

2. Based on Price and other factors

Oral Contract for Public Auction

Written contract for other methods

Conversion or Classification to another Form Destruction of Asset

Identify official or

provider and cost

Proceed with

Conversion or

Destruction

1. Public Invitation Notice/

2. Notification of Auction

3. Non Public Invitation Notice

4. Single Source

Public Bid Opening

except for Sale to

Public Officials

1. By the Auctioneer for Public Auction

2. By the Contracts Committee for the other methods

Key Responsibilities Obtain Payment Handover Assets & any Documents



27

ANNEX E: FEES FOR ADMINISTRATIVE REVIEW No Value of procurement Fees payable for administrative

review in Shillings

1 Procurements or disposal of a value of up to shillings 100,000,00 500,000

2 Procurements or disposal of a value of more than shillings

100,000,000 up to shillings 500,000,000

1,500,000


500,000,000 up to shillings 1,000,000,000

2,500,000


1,000,000,000 up to shillings 50,000,000,000

5,000,000


50,000,000,000 up to shillings 100,000,000,000

10,000,000


100,000,000,000

15,000,000



28

ANNEX F: SUMMARY OF STANDARD FORMS

The Standard Forms are grouped as follows:

Number Sequence Category of Forms

Form 1-4 PDE Regulations

Form 5-12 Rules and Methods for Procurement of Supplies, Works and Services

Form 13-17 Evaluation

Form 18-26 Consultancy services

Form 27 Out of the country

Form 28-48 Disposal

Form 49 Contracts

The table below provides a summary of each of the Forms, including the purpose of the form, the

type and method of procurement for which it should be used. Forms are suitable for works,

services and supplies, unless stated otherwise.

Form

No

Form Name Purpose of the Form Applicable Method

and Type of

Procurement

PDE Regulations

1 Letter of appointment to Contracts

Committee

Used to appoint members of

the Contracts Committee

All methods and types

2 Monthly report on procurement To report, on a monthly basis

activities undertaken in the

Procuring and Disposing

Entity


3 Delegation of procurement functions by

Accounting Officer

Request of procurement

functions by Contracts

Committee/ Procurement

and Disposal Unit to a sub

division or member of staff,

including conditions of

delegation and decision of

Accounting Officer


4 Delegation of disposal functions by

Accounting Officer

Request of disposal

functions by Contracts

Committee/ Procurement

and Disposal Unit to a sub

division or member of staff

including conditions of

delegation and decision of

Accounting Officer


Rules and Methods for Procurement of Supplies, Works and Services

5 Request for approval of procurement and

submission to Contracts Committee

To start off the procurement

process, by documenting

what is required, confirming

availability of funds and

authorizing the procurement

All types and methods

6 Request by the Procurement and Disposal

Unit for approval of pre- qualification

7 Report of assessment and prequalification

evaluation

To document the pre-

qualification process and

results

Open (Domestic or

International)

Biddings or a pre-



29

qualification for a

group of contracts

8 Record of sale or issue of bidding documents

or addenda

To record solicitation

document issued to bidders

and payment of the fee

Open (Domestic or

international) Bidding

restricted (Domestic or

International) Bidding

9 Request for approval of addendum to

bidding document

10 Record of minutes of the pre-bidding

meeting

To record the proceeds of

any pre-bid meeting,

including the attendance and

the issues discussed

Open (domestic or


Restricted(domestic or


unlikely under any

other method

11 Record of bids received To record bids receive and

certify that no late bid were

accepted where no bid box

is used

All methods

12 Record of bid opening To document public bid

opening, including

attendance at the opening,

bidder’s names and any

other relevant details, such

as bid securities received or

prices read out.

All methods

(Excluding Micro

procurements and

request for

Quotations)

Evaluation

13 Declaration to abide by Code of Ethical

Conduct in business

For Evaluation Committee

members to declare that they

will do their work as per

code of conduct and that they

have no conflict of interest


14 Technical evaluation report under quality

and cost based evaluation method

To document the evaluation

process and results under

quality and cost based

evaluation method

All methods

15 Record of financial bid opening

16 Evaluation report under technical

compliance method



technical compliance

method

All methods

17 Financial evaluation report under quality and

cost based evaluation method

To document the financial

evaluation process and

results under quality and cost

based evaluation method

All methods

Consultancy Services

18 Requisition for procurement for consultancy

services and submission to Contracts

Committee

To start the procurement

process and to seek approval

by Contracts Committee

All methods

19 Evaluation report for expression of interest

for consultancy services



consultancy services

All methods under

expression of interest

20 Record of issue of request for proposals or

addenda

To record request for

proposals or addenda issued

All methods

21 Record of minutes of pre proposal meeting To record proceedings of the

pre-proposal meeting

All methods



30

22 Record of receipt of expression of interest

/proposals

To record which expressions

of interest/ proposals have

been received

All methods

23 Record of opening of technical proposals To document opening of

technical proposals and

relevant details

All methods

24 Technical evaluation report for consultancy

services




All methods

25 Record of financial proposal opening To document opening of

financial proposals

All methods

26 Evaluation report for consultancy services To document the evaluation



All methods

Out of the Country

27 Quarterly report on procurement and

disposal contracts

To document contracts

awarded, amended or varied,

completed, micro

procurements and disposal

All methods

Disposal

28 Requisition for disposal To start off the disposal

process and to provide

details of the asset to be

disposed



Unit to Contracts Committee for disposal by

public bidding

Request for approval of

disposal by public bidding

Public bidding method

30 Record of issue or sale of bidding documents

or addenda

To record the bidding

documents/ addenda issued

or sold

Public bidding, sale to

public officials, direct

negotiations, public

bidding, direct

negotiations, donation



public auction


disposal by public auction

Public auction



direct negotiations


disposal by direct

negotiations

Direct negotiations



Sale to public officers


disposal by sale to public

officers

Sale to public officers



destruction


disposal by destruction

destruction

35 Approval of destruction of public assets To communicate the

approval of destruction

decision

Destruction method

36 Request of the Procurement and Disposal


conversion or classification of asset into

another form


disposal by conversion or

classification of asset into

another form

Conversion or

classification of asset

into another form

37 Certificate of conversion or classification of

asset into another form

Evidence of the conversion

or classification undertaken

Conversion of

classification method



31



Trade-In.


disposal by Trade-In

Trade-In



transfer to another Procuring and Disposing

Entity


disposal by Transfer to

another Procuring and

Disposing Entity

Transfer to another

Procuring and

Disposing Entity

40 Agreement for the transfer of an asset to

another Procuring and Disposing Entity

To document arrangements,

terms, or any agreement for

the transfer of an asset

Transfer to another

Procuring and

Disposing Entity

41 Request for Procurement and Disposal Unit

to Contracts Committee for disposal by

donation


disposal by donation

Donation

42 Confirmation of donation of asset to confirm that the asset has

been donated

Donation

43 Record of receipt of bids or bid closing To confirm that the bidding

was closed at the precise

time of the deadline of

submission of bids



negotiations

44 Record of bid opening To document key details of

opened bids like name and

address of bidder, currency,

bid securities and prices read

out



negotiations

45 Disposal evaluation report To document the evaluation

process and results where the

evaluation is based on price

and other factors

Public bidding, direct

negotiations

46 Negotiation plan Request by Evaluation

Committee to Contracts

Committee with issues for

negotiation, objective and

negotiation parameters



negotiations

47 Record of public auction To record the result of any

public auction held, where

an alternative format is

provided by the auctioneer.

Public auction

48 Monthly report on disposal To document monthly

disposal proceedings

All methods

Contracts

49 Contract management plan For the contract manager to

record which contract events

should take place when, to

facilitate proactive contracts

management

All methods

(excluding Micro

procurement)



32

Summary of Procurement and Disposal Forms and Regulations from Initiation to Contract

Management Stage

The summary below provides the steps of the procurement and disposal process and the relevant

Regulations and Forms.

Procurement proceedings activity PROVISION IN THE ACT/ REGULATIONS

FORM NUMBER INITIATION OF PROCUREMENT REQUIREMENT AND CHOICE OF PROCUREMENT METHOD

1 User to document the procurement requirement, confirm

funding and obtain authorization for the procurement by

completing a requisition form. Pass completed form to

Procurement and Disposal Unit

Section 59 of the Act

PPDA (Rules and Methods for Procurement of

Supplies, Woks and Non-Consultancy

Services) Regulations, 2014, Regulation 3

Form 5

2 Assess the market price Section 26(4) of the Act


Supplies, Woks and Non-Consultancy Services)

Regulations, 2014, Regulation 5

3 Select the appropriate method of procurement Section 79 of the Act




4 Consider whether prequalification is required PPDA (Rules and Methods for Procurement of


Regulations, 2014, Regulation 12 and 13

Form 6

5 Request approval from the Contracts Committee for the

choice of procurement method




Form 5

6 Obtain Contracts Committee approval for the choice of

procurement method prior to drafting pre-qualification or

bidding documents

Section 79 of the Act;




PRE-QUALIFICATION (WHERE APPLICABLE)

7 Draft an Invitation to Pre-qualify Notice and if required,

choice of procurement method



Regulations, 2014, Regulation 19(1)

8 Consider publication(s) for pre-qualification notice which

must be published in at least one publication of wide

national circulation



Regulations, 2014. Regulation 19(2)

9 Consider advertising period, which must be a minimum of

4 working days and bidding period, which must be a

minimum of 10 working days




10 Request approval from Contracts Committee for the pre-

qualification notice and pre-qualification document, if

applicable



Regulations, 2014Regulation 19(7)

Form 6

11 Obtain Contracts Committee approval for the pre-

qualification notice and document prior to their issue.






33

12

13

Advertise pre-qualification notice in appropriate

publications and on the procurement and Disposal Notice

Board.

Issue any pre-qualification document and receive

submissions.




SOLICITATION DOCUMENTS AND SELECTION POTENTIAL BIDDERS

14 Prepare or finalise Statement of Requirements, consisting

of technical specification.




Regulations, 2014, Regulation 24-27

15 Draft bidding document. Section 62 of the Act




16 Draft invitation to bid Notice, unless pre-qualification was

undertaken.



Regulations, 2014. Regulation 42

Standard Bid Notice 17 Consider publication (s) for bid notice, which must be at

least in one publication of wide national circulation.




Standard Bid Notice

18 Consider the bidding period, which should be sufficient to

allow bidders to prepare and submit their bids. The bidding

period should not be reduced with the aim of limiting

competition





19 Consider sale cost, if any, of the bidding document PPDA (Rules and Methods for Procurement of



20 Evaluate pre-qualification submissions, if pre-

qualification was undertaken




Form 7

21 Draft shortlist of qualified providers if pre-qualification

was undertaken





22 Consider membership of Evaluation Team PPDA (Evaluation) Regulations, 2014,

Regulation 3

23 Obtain Contracts Committee approval for the (1) draft

bidding document, (2) Invitation to Bid Notice or shortlist,

and (3) proposed Evaluation Team.

Section 31(a) of the Act



34

24 Obtain Contracts Committee approval for the (1) draft

bidding document (2) Bid Notice or shortlist

Section 28-29 of the Act

BIDDING, BID RECEIPT AND BID OPENING 25 Advertise Bid Notice, if applicable in appropriate

publications and on the Procurement and Disposal Notice

Board





26 Prepare Addenda to bidding documents if required PPDA (Rules and Methods for Procurement of



27 Request approval from Contracts Committee for any

addenda to bidding documents




Form 9

28 Obtain approval from Contracts Committee for any

addenda to bidding documents prior to their issue


29 Record the issue of any addenda to bidding documents PPDA (Rules and Methods for Procurement of



Form 8

30 Hold a pre- Bid Meeting where necessary PPDA (Rules and Methods for Procurement of



31 Receive Bids until the deadline for bidding, either in

person or using a bid box





32

33

Hold a public bid opening

Display bid opening record on procurement and disposal

Notice Board




Regulations, 2014, Regulation 62-65

EVALUATION 34 Obtain approval of the Evaluation Team prior to

commencement of evaluation.

Section 28, 29 and 71 of the Act

PPDA (Evaluation) Regulations, 2014,

Regulation 3

35 Clarify bid details with bidders if required Section 73 of the Act


Regulation 10

36 Conduct a preliminary examination to determine whether

bidders are eligible and compliant to the instructions and

requirements of the bidding document. Reject any non-

responsive bids



Regulation 16 & 22

37 Conduct a detailed examination to determine whether

bidders are eligible and compliant to the instructions and

requirements of the bidding document. Reject any non-

responsive bids


Regulation 19 & 23



35

38 Conduct a financial comparison to determine the lowest

priced, eligible, compliant, substantially responsive bid

which will be the best- evaluated bid


Regulation 30

Form 17

39 Consider whether post-qualification is required PPDA (Evaluation) Regulations, 2014,

Regulation 34

40 Consider whether negotiations are required. If so consider

the membership of the negotiation team and the objectives

of the negotiations



Regulation 35(2b)

41 Evaluation Team to compile Evaluation Report indicating

1) The Best Evaluated Bidder 2)Whether negotiations are

required and 3)Whether Post Qualification is required


Regulation 35

Form 17

42 Request Approval from the Contracts Committee of the

Evaluation Report, including 1) the recommendations of

the Best Evaluated Bid (2) Any recommended post

qualifications (3) Any recommended negotiations and the

negotiation team


Regulation 35 Form 17, Form 16

43 Obtain Contracts Committee approval for the evaluation

report and recommendations prior to undertaking any post-

qualification or negotiations or awarding the contract.


AWARD OF CONTRACT RECOMMENDATION 44 Undertake post – qualification if required, in accordance

with the criteria in the bidding document



Regulation 34

45 Negotiation team to hold negotiation if required PPDA (Evaluation) Regulations, 2014,

Regulation 35(2)

46 Prepare a Notice to Best Evaluated Bidder, unless not

required

Section 76(1) of the Act

Best Bidder Notice

47 Prepare a Letter of Bid Acceptance if required PPDA (Evaluation) Regulations, 2014,

Regulation 52(3d) Standard Letter of Bid

Acceptance

48 Request the Contracts Committee for 1) the results of any

post- qualification (2) the outcome of any negotiations and

3) the ward of contract recommendation


Regulation 52(3d)

49 Obtain contract committee approval for the award of

contract recommendation


CONTRACT PLACEMENT 50 Publish the Notice of the Best Evaluated Bidder on the

Procurement and Disposal Notice Board and Authority

website for a minimum of 10 working days prior to

contract place

Section 76 (1) of the Act

Best Evaluated Bidder Notice



36

51 Assess the market price to ensure that the price quoted by

the bidder does not exceed the earlier established price


PPDA (Contracts) Regulations, 2014,

Regulation 7(1b)

52 If using a letter of bid acceptance, submit it to the

Accounting Officer to be signed, with instructions that it

should not be issued until a minimum of 10 working days

have elapsed from the date of publication of the Notice of

Best Evaluated Bidder, and subject to confirmation that the

procurement is not subject to administrative review.



Regulation 5

Standard Letter of Bid Acceptance

Section

53 If using a Letter of bid acceptance, commit funds for the

total contract value prior to issuing the letter of bid

acceptance



Regulation 8-9

54 Draft the contract PPDA (Contracts) Regulations, 2014,

Regulation 10

Contract from the bidding document

Section


55 Request approval of from the Contracts Committee for the

draft contract document

PPDA (Procuring and Disposing Entities)


56 Obtain contract committee approval for the contract

document prior to its issue




57 If not done previously, commit funds for the total contract

value prior to contract placement



Regulation 8-9

58 Obtain clearance for the contract from the Attorney

General, where required, prior to issue of contract

document

PPDA (Contracts) Regulations, 2014;

Regulation 7(f)

59 Submit the contract document to the Accounting Officer

to be signed, with instructions that it should not be issued

until a minimum of 10 working days have elapsed from the

date of publication of the notice of Best Evaluated Bidder

, and subject to confirmation that the procurement is not

subject to administrative review

Section 76(3) and 89-91 of the Act

Contract from the bidding document

60 Display a notice of contract award on the Procurement and

Disposal Notice Board

Notification of Contract Award

61 Include all contracts placed on the monthly report to the

Authority

Section 31(r) of the Act


Regulations, 2014, Regulation 20.

Form 2

CONTRACT MANAGEMENT



37

62 Hand over a copy of the contract to the User Department –

transfer responsibility to the User Department


Regulation 51

63 User Department to appoint a contract manager PPDA (Contracts) Regulations, 2014,

Regulation 51

64 Contract manager to draft a contract implementation plan

and copy to the Procurement and Disposal Unit


Regulation 51(3)

Form 49

65 User Department to manage the contract PPDA (Contracts) Regulations, 2014,

Regulation 51

66 Contract Manager (or authorized official) to issue any

variations allowed with the terms and conditions of the

contract


Regulation 53(3b)

User format specified in contract

67 Contract Manager to pass details of any required contract

amendments to the Procurement and Disposal Unit


Regulation 53(3c)

68 If required, draft any contract amendments. Any additional

supplies must not increase the value of the contact by more

than 15% of the original value. The cumulative value of all

contract amendments must not increase the value of the

contract by more than 25%of the original value

Section 62 of the Contract


Regulation 55(4-5)

69 Request approval from the contract committee for any

contact amendments


Regulation 55

70 Obtain Contracts Committee approval for any contract

amendments prior to their use

Section 28 and 29 of the Act

71 Commit funds and obtain clearance from the Attorney

General if required (if value is above UGX 200,000,000)


Regulation 7(1f)

72 Include all contract amendments and variations on the

monthly report to the authority


Regulation 53(3g)

73 User Department to report any substantial departures from

the terms and conditions of the contract to the Procurement

and Disposal Unit


Regulation 53(3c)

74 Procuring and Disposing Entity to arrange all payments PPDA (Contracts) Regulations, 2014,

Regulation 42

75 Include all contracts completed on monthly report to the

authority

Section 31 (p and r) of the Act
