Procurement

Daily Procurement Decisions

PROCUREMENT: DEFINITION
Procurement is the purchase of goods, works or services from third parties. Common terms used internationally for procurement are purchasing, solicitation, acquisition, supply chain management, and buying.
Good procurement means getting value for money that is, buying a product that is fit for purpose, taking account of the whole-life cost.

EXAMPLES OF GOODS AND SERVICES

SUPPLIES: e.g. equipment, food stuff, vehicles, computers SERVICES: e.g. catering, janitorial, air-conditioning, maintenance

EXAMPLES OF GOODS AND SERVICES

CAPITAL WORKS: (a) Construction -e.g. schools, hospitals, police stations (b) Civil- e.g. roads, bridges, drains, harbours, treatment plants
CONSULTING SERVICES: e.g. project management, architectural, civil/mechanical /electrical engineering, IT specialist, etc.

CENTRAL TENDERS BOARD AND SUB-COMMITTEES FINANCIAL LIMITS

CENTRAL TENDERS BOARD over $1,000,000.00 Office Machines, Appliances and Furniture No Financial Limit

Ministerial/Departmental Tenders Committee $500,000.00 - $1000,000.00

Regional Corporation Tenders Committee $50,000.00 - $100,000.00

City and Borough Corporation Tenders Committee $50,000.00 - $100,000.00

Tobago House of Assembly Tenders Committee $50,000.00 - $100,000.00

Permanent Secretary/ Departmental Head up to $500,000.00

Special Ministerial Committee $50,000.00 - $100,000.00

City Clerk, Town Clerks up to $50,000.00

Chief Administrative Officer, Tobago House of Assembly up to $50,000.00

Chief Executive Officer up to $50,000.00

CONSULTANCY SERVICES P.S. - $500,000.00 M.T.C. - $200,000.00 - $1,000,000.00 C.T.B. - OVER $1,000,000.00

UNSERVICEABLE/SURPLUS ARTICLESDISPOSALS P.S. - $250.00 M.T.C. - $250.00 - $1000.00 C.T.B. - OVER $1000.00

CENTRAL TENDERS BOARD PROCUREMENT CYCLE

Report on the performance of the Contractor/Consultant

12

Determine needs/Quantity/ Scope of Works/Terms of Reference

Make payment Receive goods monitor work

11
10

2 3

Reconcile needs with funds Prepare bid packages/RFPs Choose Procurement method

Issue Orders/ Instructions

9 8 7 6

Issue letter of acceptance Select supplier/contractor/ consultant

Invite Tenders

Receive and evaluate tenders

PURPOSE OF RFP/BID PACKAGE

To attract responsive bids at realistic prices with the ultimate goal that whoever is selected as the supplier/contractor/ consultant will deliver the goods/works/ services at the right quality/quantity/price at the right time. What is Public Procurement

CHARACTERISTICS OF THE RFP/BID PACKAGE

All documents must be clear, precise and logical

Information in the documents must be comprehensive

Documents must give clear instructions on the procedures for submitting a bid

CHARACTERISTICS OF THE RFP/BID PACKAGE

Documents must indicate clearly the basis of bid evaluation Documents should not contain non-essential conditions which might restrict competition.

CONTENTS OF A BID PACKAGE SUPPLY ITEM

Tender Notice Instructions to Tenderers Specifications Evaluation criteria

Performance Bond

CONSTRUCTION/CIVIL WORKS BID PACKAGE

Tender Notice

Instructions to Bidders
Scope of Works Bills of Quantity General Conditions of Contract Special Conditions of Contract Drawings Evaluation Criteria Draft Contract Agreement Civil Works Bid Evaluation Framework

CONTENTS OF A BID PACKAGE FOR SECURITY SERVICES

Tender Notice
Scope of Services Instruction to Bidders Conditions of Contract Evaluation Criteria Cost Schedule Main Summary sheet Form of Tender Performance Bond

Draft Agreement

CONTENTS OF THE RFP FOR CONSULTING SERVICES

Tender Notice / Expression of Interest Request
Instructions to Consultants

Terms of Reference (TORs)

Evaluation Criteria

Draft Contract
Selection Procedures for Consultants

CONTENTS OF A PRE-QUALIFICATION PACKAGE

Pre-qualification Advertisement Pre-qualification Overview Instructions to Applicants Application Data Sheet Evaluation Criteria Application Forms Scope of Services

WHO PREPARES RFPS/BID PACKAGES

Can be prepared in-house

If expertise is not available in-house, assistance can be sought from other agencies within the Public Service
Hiring of an individual consultant /consulting firm

MEANS OF ADVERTISING PROCUREMENT NOTICES

Publicly: Tender Notice is published in the Press and Trinidad and Tobago Gazette at least two newspapers of wide circulation (local) Development Business Journal or reputable journals (international) Selectively: From registered contractors or from short-listed firms after a pre-qualification exercise

MEANS OF ADVERTISING PROCUREMENT NOTICES

Publicly: Tender Notice is published in the Press and Trinidad and Tobago Gazette at least two newspapers of wide circulation (local) Development Business Journal or reputable journals (international) Selectively: From registered contractors or from short-listed firms after a pre-qualification exercise