Public Procurement and Asset Disposal Act — Esheria

Statute

Public Procurement and Asset Disposal Act

Cap. 412C Country: Kenya As of: 31 Dec 2022 Status: In force Sections: 183
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Section 1

PRELIMINARY - 1. Short title

Part I: PRELIMINARY

Section 1. Short title Section This Act may be cited as the Public Procurement and Asset Disposal Act.

Section 2

PRELIMINARY - 2. Interpretation

Part I: PRELIMINARY

Section 2. Interpretation Section the national government or any organ or department of the national government;

Section 3

PRELIMINARY - 3. Guiding principles

Part I: PRELIMINARY

Section 3. Guiding principles Section the national values and principles provided for under Article 10;

Section 4

PRELIMINARY - 4. Application of the Act

Part I: PRELIMINARY

Section 4. Application of the Act Section 4(1)(a) procurement planning; Section 4(1)(b) procurement processing; Section 4(1)(c) inventory and asset management; Section 4(1)(d) disposal of assets; and Section 4(1)(e) contract management. Section 4(2)(a) the retaining of the services of an individual for a limited term if, in providing those services, the individual works primarily as though he or she were an employee, but this shall not apply to persons who are under a contract of service; Section 4(2)(b) the transfer of assets being disposed off by one state organ or public entity to another state organ or public entity without financial consideration; Section 4(2)(c) acquiring of services provided by government or government department; Section 4(2)(d) acquisition and sale of shares or securities, fiscal agency by a public entity, investments such as shares purchased by cooperative societies, state corporations or other public entities; Section 4(2)(e) procurement and disposal of assets under Public Private Partnerships Act (Cap. 430); and Section 4(2)(f) procurement and disposal of assets under bilateral or multilateral agreements between the Government of Kenya and any other for...

Section 5

PRELIMINARY - 5. Conflicts with other Acts

Part I: PRELIMINARY

Section 5. Conflicts with other Acts Section 5(1) This Act shall prevail in case of any inconsistency between this Act and any other legislation or government notices or circulars, in matters relating to procurement and asset disposal except in cases where procurement of professional services is governed by an Act of Parliament applicable for such services. Section 5(2) A provision of an Act that provides for a person or body to approve any work or expenditure shall not be construed as giving that person or body any power with respect to the entire procurement proceedings.

Section 6

PRELIMINARY - 6. Conflict with international agreements

Part I: PRELIMINARY

Section 6. Conflict with international agreements Section 6(1) Subject to the Constitution, where any provision of this Act conflicts with any obligations of the Republic of Kenya arising from a treaty, agreement or other convention ratified by Kenya and to which Kenya is party, the terms of the treaty or agreement shall prevail. Section 6(2)(a) in discrete activities where possible; and Section 6(2)(b) subject to the applicable provisions of this Act. Section 6(3) The disposal of any or all of the goods or public assets accruing to Kenya as a result of procurement activities to which subsections (1) apply shall be subject to the provisions of this Act. Section 6(4)(a) the procurement through contributions made by Kenya, shall be undertaken in Kenya through contractors registered in Kenya; and Section 6(4)(b) all relevant insurances shall be placed with companies registered in Kenya and goods shall be transported in carriages registered in Kenya.

Section 7

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 7. Role of the National Treasury on public procurement and assets disposal

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 7. Role of the National Treasury on public procurement and assets disposal Section 7(1) The National Treasury established under section 11 of the Public Finance Management Act ( Cap. 412A ), shall be responsible for public procurement and asset disposal policy formulation. Section 7(2)(a) formulate, evaluate, promote and research on national and county public procurement and asset disposal policy and standards; Section 7(2)(b) develop policy guidelines for the efficient procurement management and disposal system for national executive; Section 7(2)(c) design and prescribe an efficient procurement management system for the national and county governments to ensure transparent procurement and asset disposal as contemplated by Article 227 of the Constitution: Provided that the National Treasury shall prescribe through Regulations a system under this paragraph which operates, respects and promotes the distinctiveness of the national and county levels of government; Section 7(2)(d) provide technical assistance on procurement and assist in the implementation and operation of the public procurement and asset disposal system; Section 7(2)(e) manage and administer the scheme of serv...

Section 8

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 8. The Public Procurement Regulatory Authority

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 8. The Public Procurement Regulatory Authority Section 8(1)(a) suing and being sued; Section 8(1)(b) acquiring, safeguarding, holding, charging and disposing of moveable and immoveable property; and Section 8(1)(c) doing or performing all such other things or acts for the proper discharge of its functions under this Act, which may be lawfully done by a body corporate. Section 8(2) The Authority may for the purposes of ensuring access to its services in accordance with Article 6 of the Constitution establish such offices in regional locations as it may deem necessary for its operations.

Section 9

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 9. Functions of Authority

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 9. Functions of Authority Section 9(1)(a) monitor, assess and review the public procurement and asset disposal system to ensure that they respect the national values and other provisions of the Constitution, including Article 227 and make recommendations for improvements; Section 9(1)(b) monitor the public procurement system and report on the overall functioning of it and present to the Cabinet Secretary and the county executive member for finance in each county, such other reports and recommendations for improvements; Section 9(1)(c) enforce any standards developed under this Act; Section 9(1)(d) monitor classified procurement information, including that of specific items of security organs and make recommendations to the Cabinet Secretary; Section 9(1)(e) monitor the implementation of the preference and reservation schemes by procuring entities; Section 9(1)(f) prepare, issue and publicise standard public procurement and asset disposal documents and formats to be used by public entities and other stakeholders; Section 9(1)(g) provide advice and technical support upon request; Section 9(1)(h) to investigate and act on complaints received on procurement and asset disposal p...

Section 10

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 10. Public Procurement Regulatory Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 10. Public Procurement Regulatory Board Section 10(1)(a) a chairperson nominated by the Cabinet Secretary and appointed by the President; Section 10(1)(b) the Institute of Certified Public Accountants of Kenya, and Section 10(1)(b)(i) the Institute of Certified Public Accountants of Kenya, and Section 10(1)(b)(ii) the Kenya Institute of Supplies Management; Section 10(1)(c) deleted by ActNo. 15 of 2017, s. 55; Section 10(1)(d) the Cabinet Secretary or his or her representative; Section 10(1)(e) the Attorney-General or his or her representative; and Section 10(1)(f) four other persons appointed by the Cabinet Secretary. Section 10(2) In the appointment of the chairperson and members under this section, the appointing authority shall ensure regional and gender balance. [Act No. 15 of 2017 , s. 55.]

Section 11

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 11. Qualifications of members of the Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 11. Qualifications of members of the Board Section 11(1)(a) possesses a university degree in a relevant field from a university recognised in Kenya; Section 11(1)(b) procurement and supply chain management; Section 11(1)(b)(i) procurement and supply chain management; Section 11(1)(b)(ii) finance; Section 11(1)(b)(iii) law; Section 11(1)(b)(iv) accounting; or Section 11(1)(b)(v) economics; and Section 11(1)(c) meets the requirements of Chapter Six of the Constitution. Section 11(2)(a) holds a university degree from a recognized university in Kenya; Section 11(2)(b) has knowledge and relevant experience of not less than five years in a management position; and Section 11(2)(c) meets the requirements of Chapter Six of the Constitution.

Section 12

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 12. Functions of the Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 12. Functions of the Board Section 12(1)(a) ensure the proper and effective performance of the functions of the Authority; Section 12(1)(b) approve and ratify the policies of the Authority; Section 12(1)(c) oversee the management, control and administration of the assets of the Authority in a manner and for purposes that promote the object and purpose of the Authority; Section 12(1)(d) receive any gifts, grants, donations or endowments made to the Authority; Section 12(1)(e) determine the provisions to be made for capital and recurrent expenditure, and for the reserves of the Authority; Section 12(1)(f) open bank accounts for the funds of the Authority in accordance with the Public Finance Management Act ( Cap. 412A ); Section 12(1)(g) subject to the approval of the Cabinet Secretary, invest any of the Authority funds not immediately required for the purposes of this Act, as it may determine; and Section 12(1)(h) co-operate with other organizations undertaking functions similar to its own, whether within or outside Kenya as it may consider appropriate and in furtherance of the functions of the Authority; Section 12(2) Subject to this Act, the Board may, by resolution either...

Section 13

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 13. Tenure of office

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 13. Tenure of office Section A member of the Board of the Authority including the chairperson shall hold office for a term of three years but shall be eligible for re-appointment for a further term of three years.

Section 14

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 14. Procedures of the Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 14. Procedures of the Board Section 14(1) The business and affairs of the Board shall be conducted in accordance with the First Schedule. Section 14(2) Except as provided in the First Schedule, the Board may regulate its own procedure. Section 14(3) Five members of the Board shall constitute a quorum for the transaction of any business of the Board. Section 14(4) The Board may invite a technical person to attend any of its meetings and to participate in its deliberations, except where the subject is of classified nature and such an invitee shall not have a vote in any decision of the Board.

Section 15

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 15. Director-General of the Authority

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 15. Director-General of the Authority Section 15(1) There shall be a Director-General of the Public Procurement Regulatory Authority appointed by the Cabinet Secretary on the advise of the Board. Section 15(2)(a) is a citizen of Kenya; Section 15(2)(b) has a degree in a related field of study from a university recognised in Kenya, and can demonstrate a logical progression in acquiring the academic qualifications; Section 15(2)(c) has at least ten years' experience in senior management position in procurement and supply chain management; and Section 15(2)(d) meets the requirements of Chapter Six of the Constitution. Section 15(3) The Director-General shall be the Chief Executive Officer of the Authority and the Secretary to the Board.

Section 16

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 16. Term of office of Director-General

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 16. Term of office of Director-General Section The Director-General appointed under section 15 (1) shall hold office for a term of three years but shall be eligible for re-appointment for a further term of three years.

Section 17

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 17. Functions of the Director-General

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 17. Functions of the Director-General Section 17(1) The Director-General shall be responsible for the day to day management of the affairs of the Authority and shall be answerable to the Board in the performance of his functions under this Act. Section 17(2) The Director-General shall perform any other functions determined by the Board or as provided for under this Act.

Section 18

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 18. Restrictions on activities of Director-General

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 18. Restrictions on activities of Director-General Section be employed in any gainful employment work or business; or

Section 19

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 19. Terms and conditions of service of Director-General and staff

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 19. Terms and conditions of service of Director-General and staff Section 19(1) The terms and conditions of service of the Director-General, and the staff of the Authority shall be determined by the Board in consultation with the Cabinet Secretary, the Public Service Commission and the Salaries and Remuneration Commission. Section 19(2) The schemes of service of the Authority shall be determined by the Board in consultation with the Cabinet Secretary and the Public Service Commission.

Section 20

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 20. Vacancy of office

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 20. Vacancy of office Section dies; or

Section 21

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 21. Removal of Director-General

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 21. Removal of Director-General Section 21(1) The appointment of the Director-General may be terminated only in accordance with this section. Section 21(2)(a) violates the Constitution or any other written legislation; or Section 21(2)(b) is incompetent; or Section 21(2)(c) is of unsound mind; or Section 21(2)(d) is convicted of a criminal offence and sentenced to a term of imprisonment exceeding six months or a fine exceeding one million Kenya shillings; or Section 21(2)(e) contravenes terms and conditions of service; or Section 21(2)(f) is adjudged bankrupt. Section 21(3)(a) inform the Director-General in writing of the reasons for the intended removal; and Section 21(3)(b) give the Director-General the opportunity to be heard in accordance with the principles of fair administrative action provided for under Article 47 of the Constitution.

Section 22

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 22. Acting Director-General

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 22. Acting Director-General Section The Board may designate a member of the staff of the Authority to act as the Director-General during the illness or absence of the Director-General or during a vacancy in the office for a period not exceeding three months within which time the Public Service Commission will have reconstituted the Recruitment Panel to recruit another Director-General.

Section 23

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 23. Staff of the Authority

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 23. Staff of the Authority Section The Board may, upon such terms and conditions of service as it may determine, employ management staff of the Authority as may be necessary for the proper performance of its functions taking into account the need for ethnic and regional balance and gender parity.

Section 24

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 24. Financial arrangements

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 24. Financial arrangements Section 24(1) The financial year of the Authority shall be the period of twelve months ending on the 30th June in each year or any other day prescribed by national legislation. Section 24(2) At least five months before the commencement of each financial year, the Board shall cause estimates of the revenue and expenditures of the Authority for that year to be prepared and submitted to the Cabinet Secretary for approval. Section 24(3)(a) the estimates of revenues accruing to the Authority; Section 24(3)(b) the payment of salaries, allowances and other charges in respect of the staff of the Authority; Section 24(3)(c) the payment of pensions, gratuities and other charges in respect of former staff of the Authority; Section 24(3)(d) the proper maintenance of buildings and grounds of the Authority; Section 24(3)(e) the maintenance, repair and replacement of the equipment and other property of the Authority; and Section 24(3)(f) the payment of allowances and expenses of the Board; and Section 24(3)(g) capital expenditure to be undertaken by the Authority. Section 24(4) The Authority shall make provision for the renewal of depreciating assets and the pay...

Section 25

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 25. Audit

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 25. Audit Section The Authority shall be audited by the office of the Auditor-General in accordance with Articles 226(3) and 229 of the Constitution and the Public Audit Act ( Cap. 412B ).

Section 26

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 26. Annual reports

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 26. Annual reports Section 26(1) For each financial year, the Board shall cause an annual report to be prepared. Section 26(2) The Board shall submit to the Cabinet Secretary the quarterly reports within thirty days after the end of the quarter and the annual report within three months after the end of the year to which the report relates. Section 26(3)(a) a description of the activities of the Authority; Section 26(3)(b) a report on how the public procurement and disposal systems are working and those that are subject of controversy or litigation; Section 26(3)(c) a report on the overall functioning of the public procurement system; Section 26(3)(d) a report on matters under Article 227(2) of the Constitution; and Section 26(3)(e) a report on the compliance with this Act by each county government. Section 26(4) In addition to what is required under subsection (3), each annual report shall include the financial statements of the Authority for the year to which the report relates. Section 26(5) The Cabinet Secretary shall, within thirty days after receiving a report, transmit it to Parliament and the relevant county assembly. Section 26(6) The Board shall publish and publici...

Section 27

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 27. Establishment of the Public Procurement Administrative Review Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 27. Establishment of the Public Procurement Administrative Review Board Section 27(1) There shall be a central independent procurement appeals review board to be known as the Public Procurement Administrative Review Board as an unincorporated Board. Section 27(2) The Review Board shall ensure reasonable access to its services in all parts of the Republic, as far as it is appropriate to do so.

Section 28

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 28. Functions and powers of the Review Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 28. Functions and powers of the Review Board Section 28(1)(a) reviewing, hearing and determining tendering and asset disposal disputes; and Section 28(1)(b) to perform any other function conferred to the Review Board by this Act, Regulations or any other written law. Section 28(2) In performance of its functions under subsection (1)(a) of this section, the Review Board shall have powers to develop rules and procedures to be gazetted by the Cabinet Secretary. Section 28(3) The Authority shall provide secretariat and administrative services to the Review Board.

Section 29

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 29. Composition of the Review Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 29. Composition of the Review Board Section 29(1)(a) a chairperson whose qualifications and experience shall be as that of a Judge of the High Court; Section 29(1)(b) seven other members whose qualifications and experience shall be as prescribed in the regulations; and Section 29(1)(c) seven other persons appointed by the Cabinet Secretary. Section 29(2)(a) two persons nominated by the Law Society of Kenya; Section 29(2)(b) one person nominated by the Chartered Institute of Arbitrators, Kenya Chapter; Section 29(2)(c) one person nominated by the Kenya Institute of Supplies Management; Section 29(2)(d) one person nominated by the Institute of Certified Public Accountants of Kenya; Section 29(2)(e) one person nominated by the Institute of Engineers of Kenya; and Section 29(2)(f) one person nominated by the Architectural Association of Kenya. Section 29(3) The procedure for nominating the persons mention under subsection (2) shall be as prescribed. [Act No. 15 of 2017 , s. 56.]

Section 30

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 30. Qualifications of members of the Review Board

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 30. Qualifications of members of the Review Board Section 30(1)(a) possesses a university degree from a university recognised in Kenya; Section 30(1)(b) has knowledge and experience of not less than seven years in the relevant field; Section 30(1)(c) is a professional of good standing in his or her respective professional body; and Section 30(1)(d) meets the requirements of Chapter Six of the Constitution. Section 30(2) The Chairperson appointed under this Act shall be a person who qualifies to be a judge of the High Court and shall meet the requirements of Chapter Six of the Constitution.

Section 31

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 31. Tenure of office

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 31. Tenure of office Section 31(1) The Chairperson and the members of the Review Board shall hold office for a term of three years and shall be eligible for a further term of three years. Section 31(2) For continuity of the Review Board's functions and responsibilities, the appointment of the Review Board Members shall be on a staggered period of six months. Section 31(3) The provisions set out in the Second Schedule shall have effect in relation to the conduct of business and affairs of the Review Board.

Section 32

BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL - 32. Terms and conditions of service of the Review Board members

Part II: BODIES INVOLVED IN THE REGULATION OF PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 32. Terms and conditions of service of the Review Board members Section 32(1) The terms and conditions of service of the Review Board shall be determined by the Cabinet Secretary and the Salaries and Remuneration Commission. Section 32(2) The members of the Review Board shall serve on a part time basis.

Section 33

COUNTY GOVERNMENT RESPONSIBILITIES WITH RESPECT TO PUBLIC PROCUREMENT AND ASSET DISPOSAL - 33. Roles and Responsibilities of the County Government

Part III: COUNTY GOVERNMENT RESPONSIBILITIES WITH RESPECT TO PUBLIC PROCUREMENT AND ASSET DISPOSAL

Section 33. Roles and Responsibilities of the County Government Section 33(1) A County Treasury shall be the organ responsible for the implementation of public procurement and asset disposal policy in the county. Section 33(2)(a) implement public procurement and asset disposal procedures; Section 33(2)(b) coordinate administration of procurement and asset disposal contracts; Section 33(2)(c) coordinate consultations with county stakeholders of the public procurement and asset disposal system in liaison with the National Treasury and the Authority; Section 33(2)(d) advise the accounting officers of county government entities on public procurement and asset disposal matters; Section 33(2)(e) co-ordinate county government monitoring and evaluation of the supply chain function of county government entities including ensuring compliance; Section 33(2)(f) promote preference and reservations schemes for small and micro enterprises and other disadvantaged groups, citizen contractors, women, youth, persons with disabilities, minorities and marginalized groups in public procurement at the county; Section 33(2)(g) promote preference and reservation schemes for residents of the county to ensur...

Section 34

POWERS TO ENSURE COMPLIANCE - 34. Powers to ensure compliance

Part IV: POWERS TO ENSURE COMPLIANCE

Section 34. Powers to ensure compliance Section A public entity shall provide the National Treasury or the Authority with such information relating to procurement and asset disposal as may be required in writing.

Section 35

POWERS TO ENSURE COMPLIANCE - 35. Investigations

Part IV: POWERS TO ENSURE COMPLIANCE

Section 35. Investigations Section 35(1) The Authority, may undertake investigations, at any reasonable time, by among other things examining the records and accounts of the procuring entity and contractor, supplier or consultant relating to the procurement or disposal proceeding or contract with respect to a procurement or disposal with respect to a State organ or public entity for the purpose of determining whether there has been a breach of this Act or the Regulations made thereunder. Section 35(2) An investigation under sub-section (1) may be initiated by the Authority or on request in writing by a public institution or any other person. Section 35(3) Investigation shall be conducted by an investigator appointed for the purpose by the Authority.

Section 36

POWERS TO ENSURE COMPLIANCE - 36. Powers of investigators

Part IV: POWERS TO ENSURE COMPLIANCE

Section 36. Powers of investigators Section 36(1)(a) with prior notification to the procuring entity, the investigator shall have access to all relevant premises, books, records, returns, reports and other documents of the procuring entity or a person who participated in the procurement or asset disposal proceedings, including electronic documents; Section 36(1)(b) the investigator may remove or make copies of any documents the investigator has access to under paragraph (a); Section 36(1)(c) where an investigator removes a document from the premises, the investigator shall certify a copy of the document to be left with the procuring entity; and Section 36(1)(d) an employee or officer of the procuring entity; or Section 36(1)(d)(i) an employee or officer of the procuring entity; or Section 36(1)(d)(ii) an employee or officer of a person who participated in the procurement or asset disposal proceedings. Section 36(2) In addition to the powers under subsection (1), an investigator shall have such other powers as may be prescribed by Regulations. Section 36(3) The powers of an investigator are subject to such conditions and limitations as may be prescribed by regulations.

Section 37

POWERS TO ENSURE COMPLIANCE - 37. Report of investigation

Part IV: POWERS TO ENSURE COMPLIANCE

Section 37. Report of investigation Section After completing his or her investigation, an investigator shall prepare and submit a report to the Authority.

Section 38

POWERS TO ENSURE COMPLIANCE - 38. Order by the Director-General

Part IV: POWERS TO ENSURE COMPLIANCE

Section 38. Order by the Director-General Section 38(1)(a) direct the procuring entity to take such actions as are necessary to rectify the contravention; Section 38(1)(b) terminate the procurement or asset disposal proceedings; Section 38(1)(c) prepare and submit a summary of the investigator's findings and recommendations to the relevant authorities for action; or Section 38(1)(d) require the procuring entity to transfer procuring responsibilities of the subject procurement to another procuring entity. Section 38(2)(a) the procuring entity; and Section 38(2)(b) any other person whose legal rights the Director-General believes may be adversely affected by the order.

Section 39

POWERS TO ENSURE COMPLIANCE - 39. Request for a Judicial review

Part IV: POWERS TO ENSURE COMPLIANCE

Section 39. Request for a Judicial review Section The procuring entity and any other person who was entitled to be given an opportunity to make representations under section 38 (2) may request for Judicial Review against an order of the Director-General to the High Court within fourteen days after the order is made. [Act No. 32 of 2022 , s. 5.]

Section 40

POWERS TO ENSURE COMPLIANCE - 40. No investigation if issue before Review Board

Part IV: POWERS TO ENSURE COMPLIANCE

Section 40. No investigation if issue before Review Board Section 40(1) No investigation shall be commenced or continued under this Part, and no order shall be made under this Part, in relation to an issue that the Review Board is reviewing or has reviewed under the relevant provisions of this Act. Section 40(2) Subsection (1) ceases to apply if, after the Review Board has completed its review, information comes to the attention of the Director-General that was not brought before the Review Board in the course of its review. [Act No. 32 of 2022 , s. 6.]

Section 41

POWERS TO ENSURE COMPLIANCE - 41. Debarment

Part IV: POWERS TO ENSURE COMPLIANCE

Section 41. Debarment Section 41(1)(a) has committed an offence under this Act; Section 41(1)(b) has committed an offence relating to procurement under any other Act or Law of Kenya or any other jurisdiction; Section 41(1)(c) has breached a contract for a procurement by a public entity including poor performance; Section 41(1)(d) has, in procurement or asset disposal proceedings, given false information about his or her qualifications; Section 41(1)(e) has refused to enter into a written contract as required under section 135 of this Act; Section 41(1)(f) has breached a code of ethics issued by the Authority pursuant to section 181 of this Act or the code of ethics of the relevant profession regulated by an Act of Parliament; Section 41(1)(g) has defaulted on his or her tax obligations; Section 41(1)(h) is guilty of corrupt or fraudulent practices; Section 41(1)(i) is guilty of a serious violation of fair employment laws and practices; or Section 41(1)(j) is determined by the Review Board to have filed a request that is frivolous or vexatious or was made solely for the purpose of delaying the procurement proceeding or a performance of a contract. Section 41(2)(a) has breached the r...

Section 42

POWERS TO ENSURE COMPLIANCE - 42. Judicial Review

Part IV: POWERS TO ENSURE COMPLIANCE

Section 42. Judicial Review Section A party to the debarment may seek Judicial Review from the decision of the Authority to the High Court within fourteen days after the decision is made.

Section 43

POWERS TO ENSURE COMPLIANCE - 43. Inspections, Assessments and Reviews relating to contracts, procurement and asset disposal proceedings

Part IV: POWERS TO ENSURE COMPLIANCE

Section 43. Inspections, Assessments and Reviews relating to contracts, procurement and asset disposal proceedings Section 43(1) The Authority, or anyone authorised by the Authority, may inspect, assess, review or audit at any reasonable time, the records and accounts of the procuring entity and contractor relating to the procurement or disposal proceeding or contract and the procuring entity and contractor or tenderer shall co-operate with and assist whoever does such an inspection. Section 43(2) The Authority shall conduct procurement audits during the tender preparation, contract audit in the course of execution of an awarded tender; and performance audit after the completion of the contract in respect of any procurement or asset disposal as may be required. Section 43(3) The inspector shall have access to all relevant books, records, returns, reports and other documents of the procuring entity or a person who participated in the procurement or asset disposal proceedings, including electronic documents. Section 43(4) The inspector may remove or make copies of any documents he or she has access to. Section 43(5) Where an inspector removes a document from the promises, the inspect...

Section 43A

POWERS TO ENSURE COMPLIANCE - 43A. Authority to enter premises.

Part IV: POWERS TO ENSURE COMPLIANCE

Section 43A. Authority to enter premises. Section 43A(1) When conducting investigations, inspections, assessments and reviews relating to contracts, procurement and asset disposal proceedings, anyone authorized by the Authority may enter any premises of a procuring entity, at a reasonable time and inspect the premises to make any inquiries that may be necessary for the collection of information. Section 43A(2) Where an authorized person is refused entry or is prevented from entering premises, a magistrate may, on application by the Authority, issue a warrant authorizing the Police to enter the premises, using such force as may be reasonably necessary and to conduct the search and obtain the required information. [Act No. 32 of 2022 , s. 8.]

Section 91

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 91. Choice of procurement procedure

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 91. Choice of procurement procedure Section 91(1) Open tendering shall be the preferred procurement method for procurement of goods, works and services. Section 91(2) The procuring entity may use an alternative procurement procedure only if that procedure is allowed and satisfies the conditions under this Act for use of that method. Section 91(3) Despite sub-sections (1) and (2) open tendering shall be adopted for procurement of goods, works and services for the threshold prescribed in the respective national and county Regulations.

Section 92

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 92. Methods of procurement

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 92. Methods of procurement Section 92(1)(a) open tender; Section 92(1)(b) two-stage tendering; Section 92(1)(c) design competition; Section 92(1)(d) restricted tendering; Section 92(1)(e) direct procurement; Section 92(1)(f) request for quotations; Section 92(1)(g) electronic reverse auction; Section 92(1)(h) low value procurement; Section 92(1)(i) force account; Section 92(1)(j) competitive negotiations; Section 92(1)(k) request for proposals; Section 92(1)(l) framework agreements; and Section 92(1)(m) any other procurement method and procedure as prescribed in regulations and described in the tender documents. Section 92(2) The procedure for competitive negotiations set out in sections 131 , 132 and 133 of this Act shall apply, with necessary modifications, to procurement of goods, works and non-consultancy services. [Act No. 32 of 2022 , s. 22.]

Section 93

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 93. Pre-qualification

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 93. Pre-qualification Section 93(1) Subject to provisions of subsection (2), an accounting officer of a procuring entity where applicable, may conduct a pre-qualification procedure as a basic procedure prior to adopting an alternative procurement method other than open tender for the purpose of identifying the best few qualified firms for the subject procurement. Section 93(2) Pre-qualification shall be for complex and specialized goods, works and services. Section 93(3) In conducting a pre-qualification procedure an accounting officer of a procuring entity shall publish an invitation notice to candidates to submit applications to be pre-qualified. Section 93(4)(a) the name, address and contact details of the procuring entity; Section 93(4)(b) outline of the procurement requirement, including the nature and quantity of goods, works or services and the location and timetable for delivery or performance of the contract; Section 93(4)(c) statement of the key requirements and criteria to pre-qualify; Section 93(4)(d) instructions on obtaining the pre-qualification documents, including any price payable and the language of the documents; and Section 93(4)(e) instructions on the...

Section 94

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 94. Pre-qualification documents

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 94. Pre-qualification documents Section 94(1) An accounting officer of a procuring entity shall promptly issue pre-qualification documents to all candidates who request them and shall maintain a record of all candidates to whom documents are issued. Section 94(2) The pre-qualification document shall contain all the information specified in section 93 and any other information necessary for the potential candidates to prepare and submit applications to be pre-qualified. Section 94(3)(a) the name, address and contact details of the procuring entity; Section 94(3)(b) details of the procurement requirements, including the nature and quantity of goods, works or services and the location and timetable for delivery or performance of the contract; Section 94(3)(c) instructions on the preparation of applications to pre-qualify, including any standard forms to be submitted and the documentary evidence and information required from candidates; Section 94(3)(d) instructions on the sealing, labelling and submission of applications to pre-qualify, including the location and deadline for submission; and Section 94(3)(e) information on how applications will be evaluated. Section 94(4) The...

Section 95

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 95. Approval of pre-qualified candidates

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 95. Approval of pre-qualified candidates Section 95(1) The evaluation committee shall, in writing, record the results of its evaluation of applications for pre-qualification using the evaluation criteria in the pre-qualification documents and shall state which candidates were found to be qualified and the reasons why any candidates were not qualified. Section 95(2) The record of results prepared under subsection (1) shall be submitted with recommendations of the evaluation committee and the professional opinion of the head of procurement function to the accounting officer for approval. Section 95(3) A procuring entity shall invite tenders from only the approved persons who have been pre-qualified. Section 95(4) A procuring entity shall notify every candidate who submitted an application for pre-qualification but did not qualify.

Section 96

METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES - 96. Advertisement

Part IX: METHODS OF PROCUREMENT OF GOODS, WORKS AND SERVICES

Section 96. Advertisement Section 96(1) The accounting officer of a procuring entity shall take such steps as are reasonable to bring the invitation to tender to the attention of those who may wish to submit tenders. Section 96(2) Despite the provisions of subsection (1), if the estimated value of the goods, works or services being procured is equal to, or more than the prescribed threshold for county, national and international advertising, the procuring entity shall advertise in the dedicated Government tenders' portals or in its own website, or a notice in at least two daily newspapers of nationwide circulation or a notice in at least two free to air television stations and two radio stations of national reach. Section 96(3)(a) use Kenya's dedicated tenders portal or any other electronic advertisements as prescribed; and Section 96(3)(b) post advertisements at any conspicuous place reserved for this purpose in the premises of the procuring entity. Section 96(4) In regard to county-specific procurements pursuant to section 33 , the procuring entity shall advertise the notice inviting expressions of interest in the dedicated Government tenders portal; in its own website, or in at...