The simplified procurement regulations have been signed into law.
In a release yesterday, Finance Minister Colm Imbert announced that on April 5, 2024, he signed into law, with the agreement of the Office of Procurement Regulation (“OPR”), the Public Procurement and Disposal of Public Property (Simplified Procurement) Regulations, 2024, that is applicable to the procurement of all goods, services and works valued up to $1 million or less (inclusive of taxes, duties and other charges).
The release said Minister Imbert is confident that the regulations will improve the ease of business relative to participating in procurement proceedings issued by procuring entity, while still ensuring that the objects of the Public Procurement and Disposal of Public Property Act are achieved.
The release stated the regulations were published as Legal Notice No. 65 of 2024 and have undergone months of formulation and dialogue between the Finance Minister and the OPR.
The Regulations are on the amendment in section 58A of the Public Procurement and Disposal of Public Property Act which was passed by Parliament in July, 2023, the release stated.
The Ministry explained, "The Act proposes to introduce a streamlined procurement process for both public bodies and participating suppliers, contractors and consultants up to $1 million."
The Regulations contain guidance for conducting micro-procurements such as the procurement of goods, services or works for which the value of the procurement does not exceed $75,000, inclusive of taxes, duties and other charges.
It would also cover small-scale procurements (procurement of goods, services or works for which the value of the procurement exceeds $75,000 but does not exceed $1 million, inclusive of taxes, duties and other charges).
The release however stated the simplified procurement regulations does not remove the regulatory or supervisory role and function of the OPR but, conversely, augments their role.
The release explained it would grant special provision for the OPR to issue guidelines on due diligence requirements for micro and small-scale procurements; Maintaining a registry of suppliers/contractors/consultants by a procuring entity micro-procurements; The registration of suppliers/contractors/consultants on procuring entity’s registry for micro-procurements; and the registration of suppliers/contractors/consultants on the Procurement Depository for small-scale procurements.
The Ministry also explained all existing procurement methods are still applicable to micro-procurements and small-scale procurements, the regulations reduces a number of the applicable time periods, makes provision for direct contracting, which is a new method of procurement, and introduces the use of verbal quotations (which must be reduced in writing and kept in the prescribed form).