GROUP 04 PUBLIC FRAMEWORK FOR CONSULTANCY ACTIVITIES PRESENTATION.pptx

A presentation about Public framework for consultancy services in Tanzania

1. NATIONAL(PUBLIC) LEGAL FRAMEWORK FOR CONSULTANCY: PUBLIC PROCUREMENT ACT REGULATION PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES

2. MG: CONSULTING MANAGEMENT Group Assignment Instructor: Prof B.A.T KUNDI GROUP 4 ZUBEDA SAIDI 2021-06-01854 DEONATUS SAMIKE MANAE 2021-06-02427 TULINAGWE MSOMBA 2021-06-00535 NTUAH ABNERY NZAGA 2021-06-02449 AMANI KICHERE 2021-06-01618 AGNES SIMWANZA 2021-05-00041 2

3. NATIONAL(PUBLIC) LEGAL FRAMEWORK FOR CONSULTANCY: PUBLIC PROCUREMENT ACT REGULATIONS 1

4. Procurement Legal And Regulatory Framework Procurement Legal And Regulatory Framework refers to the policies, laws, guidelines or regulations that govern procurement in an organization. Every organization (public sector, private sector or third sector entities) have some rules governing the acquisition of goods, works and services to ensure fulfillment of its goals. 4

5. PROCUREMENT 5

6. PROCUREMENT Introduction Procurement means buying, purchasing, renting, leasing or otherwise acquiring any goods, works or services by a procuring entity and includes all functions that pertain to the obtaining of any goods, works or services, including description of requirements, selection and invitation of tenderers, preparation and award of contracts. 6

7. 7 PROCUREMENT PROCEDURES

8. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) 8

9. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) Public procurement  is the organized process of acquiring goods, works and services by public sector organizations, usually through contracts.  The PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) is a regulatory body established under the public procurement act,2004 as repealed by the public procurement act,2011.the authority is charged with regulatory functions and vested with oversight powers and responsibilities on all public procurement activities carried by all public bodies in the mainland Tanzania. The objectives of PPRA are:- to ensure the application of fair, competitive, transparent, non-discriminatory and value for money procurement standards and practices; set standards for the public procurement systems in united republic of  Tanzania; monitor compliance of procuring entities; and build ,in collaboration with public procurement policy division and other relevant professional bodies, procurement capacity in the united republic. VISION : "a public procurement system with integrity, offering best value for money" MISSION : "to regulate public procurement system and promote best practices in order to attain best value for money and other desired socio-economic outcomes" 9

10. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) Public procurement act no. 3 of 2001(repealed by act no.23 of 2004) contain a limited number of laws within the branches of the law. First, there is the law of contract expressed by contractual relations entered between two parties (both individuals and public bodies), commercial law expressed by tendering process, labour law which belongs to civil law as expressed by employment of consultants and contractors. Secondly , the public law which includes criminal law and administrative law and criminal law deals with matters of fraud and corruption . . The public procurement act 2004 has the following objectives : Ensure the application of fair, competitive, transparent non- discriminatory and value for money procurement standards and practices. Harmonize the procurement policies systems and practices of the central governments, local governments and statutory bodies. Set standard for the public procurement systems in the united republic of Tanzania. Monitor compliance of procuring entities. In collaboration with relevant professional bodies build procurement capacity in the United Republic of Tanzania 10

11. PPRA ORGANAZATION STRUCTURE 11

12. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) 12 Coordinate capacity building of Pes and Bidders Store and disseminate information On procurement opportunities and tender awareness Offer advisory services to public bodies and any other Monit or and Enforce compliance with the Act Issue standard bidding docum ent and guidelines Resolution of disputes PPRA Functions 👉

13. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) I n this world of globalization, efficiency, transparency and accountability in public procurement activities are amongst of foremost considerations in the industry. Below are some remarkable impacts of efficiency in public procurement activities. The benefits of an efficient public procurement system are: Enhancement of the effective use of public financial resources; Improvement of the availability, quality, reliability and cost of public services; Encouragement of accountability and responsibility in the supply management process; Improvement of participation and growth of the private sector; and May become an integral part of any good governance process. 13

14. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) Inefficient Public procurement has the following implications: Encourages corruption and malpractice; Leads to delays in delivery of essential public services; Can result into de-motivation of private sector suppliers leading to lack of competition; and Can result into an increase in the cost of items. In general, an inefficient public procurement results into A LOSS OF SCARCE PUBLIC FINANCIAL RESOURCES . 14

15. PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA ) 15 In Tanzania, procurement is done by Procuring Entities (PEs) which include government ministries, departments and agencies headed by the chief accounting officers. After the requirement for procurement has been raised by the user department and upon approval to proceed with procurement by the tender board, the Procurement Management Unit (PMU) prepares and submits bidding documents for procurement in which qualities, quantities and prices are spelt out to the Tender Board (TB). The TB then evaluates them and makes recommendations. If the bidding documents are approved, they are distributed to bidders

16. 16 Board of Directors Tender evaluation Committee Accounting Officer Establishes a tender board; Appoints the members of the tender board; Establishes a Procurement Management Unit Tender Boards (TB) Adjudicate recommendations from the PMU and award of contracts; Review applications for variations, addenda or amendments to ongoing contracts; Approves tendering and contract documents; Approves procurement and disposal by tender procedures; Ensure that best practices in relation to procurement and disposal by tender are strictly adhered to by Procuring Entities; Ensure compliance with Procurement Policy; and Advises the CEO on procurement matters, policy or otherwise Procurement Management Unit (PMU) Manage all procurement and disposal by tender activities of the PE except approvals done by the Tender Board; Support the functioning of the Tender Board; Implement the decisions of the Tender Board; Act as a secretariat to the Tender Board User Departments liaise with and assist the PMU throughout the procurement Initiate procurement and disposal by tender requirements and forward to the PMU; Propose technical inputs to statements of requirements; Input with technical evaluation of received tenders as required by the PMU; Certify for payments to suppliers, contractors or consultants; Report any departure from the terms and conditions of an awarded contract to the PMU; Forward details of any required contract amendments to the PMU for action; Maintain and archive records of contracts management; Prepare any reports required for submission to the PMU, the Board of Directors, Tender Board or the Accounting Officer; TYPICAL ORGANIZATION STRUCTURE OF A PROCURING ENTITY

17. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY 17

18. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY CONSULTANT is a firm, company, corporation, organization, partnership or an individual person engaged in or able to be engaged in the business of providing services in architecture, economics, engineering, surveying or any field of professional services, and who is, according to the context, a potential party or the party to a contract with the procuring entity CONSULATANCY means professional practice that gives expert advice within a particular field. PUBLIC PROCUREMENT LEGAL AND REGULATORY FRAMEWORK FOR CONSULTANCY (also called the procurement rules) in a country includes the constitution of the country, national procurement policies/laws, regulations, organizational procurement policies and the standard bidding documents.  Procurement Legal And Regulatory Framework refers to the policies, laws, guidelines or regulations that govern procurement in an organization. Every organization (public sector, private sector or third sector entities) have some rules governing the acquisition of goods, works and services to ensure fulfillment of its goals. When we speak of public procurement legal and regulatory framework, we mean the set of laws, regulations, and policies that govern the implementation of the procedures and processes necessary to acquire goods, works and services of public sector organizations.  18

19. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY The components of public procurement legal and regulatory framework are:- Constitution National Procurement Law Procurement Regulation Standard Bidding Documents And Related Standard Template Procurement Manual Organization Procurement Policies Contracts .  19

20. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY The significance of procurement legal and regulatory framework is to clearly define the rules that govern the procedures and processes of every aspect of public procurement management and ensure achievement of the principles of public procurement to the fullest. The legal and regulatory framework for procurement in every country is also usually intended to support the economic development policies of that country. It is important to note that public procurement is a part of the actual implementation of government expenditure in the Gross Domestic Production(GDP) economic model. How procurement is conducted is very important to the achievement of delivery of public goods and services and economic development. public procurement legal and regulatory framework is intended to ensure this.  NB:- Gross Domestic Production(GDP) is final value of the goods and services produced within the geographic boundaries of a country during a specified period of time, normally a year. 20

21. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY The significance of procurement legal and regulatory framework is to clearly define the rules that govern the procedures and processes of every aspect of public procurement management and ensure achievement of the principles of public procurement to the fullest. The legal and regulatory framework for procurement in every country is also usually intended to support the economic development policies of that country. It is important to note that public procurement is a part of the actual implementation of government expenditure in the Gross Domestic Production(GDP) economic model. How procurement is conducted is very important to the achievement of delivery of public goods and services and economic development. public procurement legal and regulatory framework is intended to ensure this.  NB:- Gross Domestic Production(GDP) is final value of the goods and services produced within the geographic boundaries of a country during a specified period of time, normally a year. 21

22. NATIONAL(PUBLIC) LEGAL FRAME WORK FOR CONSULTANCY Public Procurement Regulations For Consultant Services ( GN 98) Of 2005 Preparation Of Procurement Plan Preparation Of Terms Of Reference (TOR) Preparation Of Request For Proposal (RFP) Letter Of Invitation (Reg. 53) Information To Consultants (Reg. 54) Proposed Contract (Reg. 55) Evaluation Of Proposals Contract Negotiations Contract Administration And Procurement Record Keeping Approvals And Prohibitions Under The Regulations GN 98 Of 2005 22

23. FLOW CHART PROCUREMENT FOR CONSLULTANCY SERVICE 23

24. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 2

25. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA) Is a regulatory body established under public procurement act, 2004 as repealed by the public procurement act, 2011. It has oversight powers and responsibility on all public procurement activities carried by public bodies in Tanzania mainland PPRA OBJECTIVES Insure application of fair, competitive, transparent, non discriminatory and value for money procurement standards and practices Set standards for public procurement systems in the united republic of Tanzania Monitor compliance of procuring entities Build procurement capacity in the united republic in collaboration with public procurement policy division and other relevant professional bodies 25

26. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES WORLD BANK GROUP The World Bank Group is a unique grobal partnership consisting os five institutions that work for sustainable solutions that reduce poverty and build shared prosperity in developing countries CURRENT MISSION To end extreme poverty To promote shared prosperity It makes one of the world’s largest source of funding for developing countries, Borrowers in over 170 countries around the globe spend billions procuring works, goods and services from third part suppliers, contractors and consultants The bank has procurement regulations which guide the borrowers in the process and help them achieve the bank’s core procurement principles: Value for money Integrity Economy Fit for purpose Transparence and fairness 26

27. WORLD BANK GROUP -5 INSTITUCTION 27

28. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Advise the Government, local Government authorities and statutory bodies on procurement principles and practices; Monitor and report Prepare, update and issue authorized versions of the standardized tendering documents, procedural forms to procuring entities; conduct periodic inspections of the records and proceedings of the procuring entities WORLD BANK Granting development loans to developing countries Provision of economic, monetary and technical advice to member countries in any of their projects 28 Functions 👉

29. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES Public Procurement (Selection and Employment of Consultants) Regulations, 2005: Regulations applies to: Consultancy services which are required by a procuring entity in connection with public financed projects Acquisition of consultancy services undertaken within the framework of financing through other sources of funds managed by public bodies Consulting services of an intellectual and advisory nature. Guidelines: Selection and Employment of Consultants by World Bank Borrowers (2004) Revised (2006). Define the Bank’s policies and procedures for selecting, contracting, and monitoring consultants required for projects that are financed in whole or in part by loans from IBRD, credits or grants from IDA, or grants from the Bank or trust funds administered by the Bank and executed by the beneficiary. 29 SELECTION AND EMPLOYMENT OF CONSULTANTS 👉

30. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES Preparation Of The Terms Of Reference Preparation Of Cost Estimate And The Budget Advertising The Acquisition Of Services Preparation Of The Short List Of Consultants Determination Of The Selection Procedures And Criteria For Selection Preparation And Issuance Of The Request For Proposals inviting the consultants to submit proposals receipt of proposals evaluation of technical proposals evaluation of financial proposal final evaluation of quality and cost negotiations and award of the contract to the selected consultant signing the contract. 30 BASIC PRINCIPLES FOR SELECTION OF CONSULTANTS 👉

31. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 31 TERMS OF REFERENCE (TOR) 👉 Precise Statement Of The Objectives And Goals Sought Clear Description Of The Nature And Scope Of The Services Required And Their Context, Time Interval In Which They Shall Be Provided A Description Of The Duties And Responsibilities Of The Consultant A Description Of The Duties And Responsibilities Of The Procuring Entity Information On Any Counterpart Staff And Its Role Information On Training And The Transfer Of Technology, Where Necessary; A Summary Of The Data, A List Of All Available Studies And Information On The Assignment, Facilities And Services Which The Procuring Entity Will Provide To The Consultant A Clear Statement Of The Criteria To Be Used In The Selection Procedure

32. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Procuring entity uses standard request for proposals which have been issued by PPRA WORLD BANK RFP is prepared by the borrower using standard request for proposals issues by the bank 32 PREPARATION OF STANDARD REQUEST FOR PROPOSAL 👉

33. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 33 CONTENTS OF THE STANDARD REQUEST FOR PROPOSALS (SRFP) 👉 Letter Of Invitation States the intention of the PE/ Borrower to enter into a contract for the provision of consulting services, the source of funds, the details of the client and the date, time, and address for submission of proposals. Information To Consultants Terms Of Reference Proposed Contract Standard Form For Technical And Financial Proposals

34. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Brief Description Of The Assignment The Names And Contact Information Of Officials To Whom Clarifications Shall Be Addressed And With Whom The Consultants’ Representative Shall Meet, If Necessary Selection Procedure To Be Followed An Estimate Of The Level Of Key Staff Inputs Details And Status Of Internal And External Financing Information On Negotiations WORLD BANK Brief Description Of The Assignment Standard Formats For The Technical And Financial Proposals The Names And Contact Information Of Officials To Whom Clarifications Shall Be Addressed And With Whom The Consultants’ Representative Shall Meet, If Necessary Selection Procedure To Be Followed An Estimate Of The Level Of Key Staff Inputs Details And Status Of Any External Financing Information On Negotiations 34 INFORMATION TO CONSULTANTS 👉

35. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA A procuring entity use the appropriate Standard Form of Contract issued by the Authority with minimum changes as necessary to address specific project issues. Changes in the standard contract shall be introduced only through Contract Data Sheets or through Special Conditions of Contract. WORLD BANK Borrowers use appropriate Standard Form of Contract issued by the Bank with minimum changes, acceptable to the Bank to address specific country and project issues through Contract Data Sheets or through Special Conditions of Contract 35 PROPOSED CONTRACT 👉

36. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 36 RECEIPT OF PROPOSALS 👉 The procuring entity/Borrower allows enough time after issuing request for proposal for the consultants to prepare their proposals depending on the assignment. For PPRA normally not less and not more than the time prescribed in the Third Schedule of the Regulations depending on the nature of the assignment. During this time clarification on the RFQ can be sought by the consultants

37. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA PE evaluates each technical proposal submitted Evaluation committee - five or more specialists Evaluation of proposals to be carried in two stages he quality , and then the cost Use criteria set out in the RFP Evaluation committee shall not have access to the financial proposals until the Tender Board reviews and approves the report PE notifies who proposals did not meet the minimum qualifying mark or were considered nonresponsive that their proposals will be returned unopened, also notifies consultants who have secured the minimum qualifying mark, the date, time, and place set for opening the financial proposals WORLD BANK Procuring Agencies s hall evaluate each technical proposal submitted Evaluation committee – three or more specialists Use criteria set out in the RFP Evaluation of proposals to be carried in two stages, quality then the cost access to the financial proposals is until the Tender Board and the Bank reviews and approves the first stage report Procuring Agency notifies whose proposals did not meet the minimum qualifying mark or were considered nonresponsive that their proposals will be returned unopened, it also notifies consultants who have secured the minimum qualifying mark, the date, time, and place set for opening the financial proposals 37 EVALUATION OF PROPOSALS 👉

38. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Experience Of The Consultant In The Same Field As That Of The Assignment And On Similar Projects Professional Reputation Of The Consultant And Previous Performance And Experience With The Procuring Entity Knowledge Of The Project Environment In The Country And In The Region And Their Implications For The Project WORLD BANK The Consultant’s Relevant Experience For The Assignment The Quality Of The Methodology Proposed The Qualifications Of The Key Staff Proposed 38 CRITERIA FOR TECHNICAL PROPASAL EVALUATION 👉

39. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Inclusion of local firms and experts in the assignment understanding of the terms of reference overall quality of the proposal, plan and methodology proposed qualification of experts and experience in the field of the assignment ability to deal with national personnel and agencies and language proficiency WORLD BANK Transfer Of Knowledge, If Required In The TOR The Extent Of Participation By Nationals Among Key Staff In The Performance Of The Assignment 39 CRITERIA FOR TECHNICAL PROPASAL EVALUATION 👉

40. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 40 CRITERIA FOR TECHNICAL PROPASAL EVALUATION 👉 Relative importance of the criteria and sub-criteria rated out of 100 varies with the nature of the assignment

41. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA WORLD BANK 41 CRITERIA FOR TECHNICAL PROPASAL EVALUATION 👉 Specific experience 5-10 Methodology 20-50 Key professional staff 30-60 Transfer of knowledge 55-60 Local participation 0-10 Specific experience 5-15 Methodology 25-40 Key professional staff 55-60 Transfer of knowledge 5-10 Local participation 5-15

42. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA Public opening of financial proposals is done after review and approval of Tender Board Financial proposals shall be opened publicly in the presence of representatives of the consultants who choose to attend WORLD BANK Public opening of financial proposals is done when a no objection of evaluation of quality is granted by the Bank Financial proposals shall be opened publicly in the presence of representatives of the consultants who choose to attend (in person or online) 42 EVALUATION OF FINANCIAL PROPOSAL 👉

43. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA The name of the consultant , the technical points , and the proposed prices shall be read out P roposed weightings for quality and cost shall be specified in the RFP. Evaluation Committee review the financial proposal for consistency and check for arithmetic errors WORLD BANK The name of the consultant , the technical points , and the proposed prices shall be read out (and posted online and recorded a copy of this record shall be promptly sent to the Bank. P roposed weightings for quality and cost shall be specified in the RFP When evaluating, cost shall exclude local taxes on the contract and income tax payable to Borrower’s country on the remuneration of services rendered by a non resident 43 EVALUATION OF FINANCIAL PROPOSAL 👉

44. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA For the purpose of evaluation, cost shall include other reimbursable expenses, such as travel, translation, stationeries and printing expenses The proposal with lowest cost shall be given a financial score of 100 and others given financial scores inversely proportional to their prices WORLD BANK The cost shall include all consultants’ remuneration and other expenses such as travel, translation, report printing, or secretarial expenses. The proposal with the lowest cost may be given a financial score of 100 and other proposals given financial scores that are inversely proportional to their prices 44 EVALUATION OF FINANCIAL PROPOSAL 👉

45. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES PPRA The weight of cost normally is 20 points out of total score of 100 depends on the complexity and relative importance of the quality but not to exceed 30 points WORLD BANK Total Scores Obtained By Adding Quality And Cost Scores And The Weight For The “Cost” Shall Be Chosen, Taking Into Account The Complexity Of The Assignment And The Relative Importance Of Quality The Weight For Cost Shall Normally Be 20 Points Out Of A Total Score Of 100 The Firm Obtaining The Highest Total Score Shall Be Invited For Negotiations. 45 COMBINED QUALITY AND COST 👉

46. PPRA AND WB STANDARD BIDDING AND BID EVALUATION PROCEDURE AND GUIDELINES 46 NEGOCIATION AND AWARD OF CONTRACT 👉 Areas Of Negotiation The Terms Of Reference Comments Made By The Consultant On The Scope Of Services The Methodology Staffing, Counter Part Staff And Training Procuring Entity’s;/Borrower’s Inputs, And Special Conditions Of The Contract Consultant’s Proposed Work Programme Clarifying Details That Were Not Apparent Or Could Not Be Finalised At The Time Of Evaluation.

47. TANZANIA NATIONAL e-PROCUMENT SYSTEM 47 This supports the public procurement circle from planning to contract management which governs the procedure for electronic procurement. Comprises the following major features User registration e - Tendering e –Purchasing e - Auction e - payment and e - Contract Management

48. TANZANIA NATIONAL e-PROCUMENT SYSTEM 48 The procedure of Evaluation in TANePs Eligibility of Bidder. Eg Bid security, company registration, Business license, Power of Attorney, Bid forms, bid validity period Technical Evaluation but not limited to Financial Evaluation

49. TANZANIA NATIONAL e-PROCUMENT SYSTEM 49

50. TANZANIA NATIONAL e-PROCUMENT SYSTEM 50

51. TANZANIA NATIONAL e-PROCUMENT SYSTEM 51

52. TANZANIA NATIONAL e-PROCUMENT SYSTEM 52