In the government procurement activities, from time to time there will be insufficient competition for procurement projects, less than three suppliers. Here is a case to further explore and analyze such issues.
Case Replay
A city hospital open tender procurement of medical equipment, to the bidding deadline, there are three suppliers to participate in the bidding, in the bidding evaluation process, there are two suppliers due to the qualification conditions do not meet the requirements of the bidding documents, resulting in the bidding to meet the requirements of the supplier only 1 left. The purchaser believes that the equipment for the hospital's urgent need to use, if re-tendering, the need for a fairly long procurement cycle, the hospital is difficult to bear the re-tendering of the loss of time, and then submit an application report to the government procurement supervision department, suggesting that the site to change the procurement method to determine the success of the supplier.
In the application report, the purchaser in conjunction with the expert evaluation team to analyze the situation of the procurement project, and ultimately by the expert jury issued a comprehensive opinion.
The government procurement regulatory authorities have carefully studied this, and in accordance with the "Administrative Measures for Bidding and Tendering of Government Procurement of Goods and Services" (hereinafter referred to as ? Ministry of Finance Decree No. 18?) Article 43 of the provisions, agreed with the purchaser's opinion, the site will be changed to single-source procurement.
The purchaser and the remaining of this supplier after negotiations, each unit of equipment and concessions of 2000 yuan, and ultimately 147,000 yuan / unit sold.
Case Study
Generally speaking, the procurement project less than three valid bids should include two situations, one is the bidding time deadline less than three suppliers. The second is the evaluation of the bidding documents substantially respond to the requirements of less than 3. This case deals with the second situation, as an individual case, its handling should be reasonable and lawful, but does not represent a universal.
Currently, in the actual operation of government procurement bidding projects, for the opening of the tender before the supplier less than 3, the government procurement regulatory authorities are generally accustomed to refer to the "Bidding Law" in the provisions of the ? Bidders less than three, the bidder shall re-tender in accordance with this law? Implementation. This habit makes the problem into a single option: as long as the bidding time deadline for less than three suppliers, the purchaser is required to announce the abolition of the tender and then re-organize the bidding, while ignoring the "Government Procurement Law" and its accompanying regulations and change the procurement mode of handling provisions.
In this case, two unqualified suppliers for various reasons as qualified suppliers? The company's business is to provide the best possible service to the public.
In this case, two unqualified suppliers for various reasons as qualified suppliers? The conditions for the opening of the bid, and then occurred. The conditions for the opening of the tender, and then occurred to substantially meet the requirements of the tender only 1 supplier. But the assumption that the bidding time deadline only 1 supplier to participate in the bidding, the buyer and how to deal with it?
Through the "Government Procurement Law" and the Ministry of Finance Decree No. 18 of the relevant provisions of the analysis, it can be concluded that the government procurement bidding projects, regardless of the end of the bidding deadline or evaluation of the bidding documents for the substantive response to the bidding documents less than three suppliers, are statutory circumstances of the abolition of the bidding can only be declared abolition of the bidding can not continue to carry out the activities of the bidding evaluation. As for the practice after the abolition of the tender, in addition to the cancellation of the procurement task, the purchaser may choose to re-organize the bidding, or may change the procurement method with the approval of the government procurement supervisory authority. Moreover, there are two options for handling the change of procurement method, one is to re-issue the procurement documents in accordance with the changed procurement method and then enter into the relevant 'procurement procedures. The second is to conduct on-site negotiation and quotation directly with the qualified suppliers present or remaining in accordance with the changed procurement method. Obviously, the former requires an additional amount of procurement time and is faced with uncertain suppliers; the latter improves the efficiency of the procurement and enables the procurement task to be completed as quickly as possible. How to choose, depending on the specific circumstances of each procurement project, weigh the pros and cons, respectively.
From the point of view of improving the efficiency of government procurement, if the procurement project by the expert review team review, meet the following 2 conditions, a more reasonable solution is to change the procurement method of the site, the purchaser continues to negotiate with the presence or remaining suppliers to request quotations.
First, according to the Ministry of Finance Order No. 18 in the relevant provisions, focusing on the analysis of the bidding documents have no unreasonable provisions, the bidding announcement time and procedures are in line with the provisions of the review of the next step after no problem, otherwise, the purchaser should modify the bidding documents and re-organize the bidding.
Secondly, the review of the procurement project bidding is competitive. The author believes that: the measure of whether there is a competitive standard not only in the number of bidders, but also should be shown in the bidder's offer is reasonable. For example, public tenders only one opportunity to quote, as long as it is not crosstalk with the bidder, the bidder does not know how many competitors to participate in, also do not know which bidding documents will be rejected in the case, the reported price should be well thought out, profit reasonable, competitive, that is to say, although the effective bidding suppliers less than 3, but did not make the bidding lack of competition, and in fact, still in line with the principle of competition in public tenders. In other words, although there were fewer than three valid bidders, it did not make the bid uncompetitive, and in fact still complied with the principle of competitiveness of public bidding.
Extended reading: less than three bidding suppliers to deal with the provisions
Article 36 of the Government Procurement Law: In the bidding for procurement, one of the following circumstances shall be abolished: (a) meet the professional conditions of the supplier or the bidding documents to respond substantially to the supplier less than three?
Article 37: After the abolition of the bid, in addition to the procurement task to cancel the situation, should be re-organized bidding; the need to take other ways of procurement, should be in the procurement activities before the start of the people's government of the city, autonomous region above the procurement supervision and management department or the relevant government departments for approval.
"Government Procurement of Goods and Services Bidding Management Measures" Article 43: After the end of the bidding deadline to participate in the bidding of less than three suppliers, in addition to the cancellation of the procurement task, the bidding procurement unit shall report to the people's government of the city, autonomous region, above the financial sector, the financial sector in accordance with the following principles: (a) the bidding documents do not have any unreasonable terms and conditions, bidding announcement time and procedures in line with the provisions of the agreement to take the procurement of goods and services, and to take the procurement of goods and services. and procedures in line with the provisions of the agreement to take competitive negotiations, request for quotations or single-source procurement?
During the evaluation of tenders, there are less than three suppliers who meet the professional conditions or respond substantively to the bidding documents, the provisions of the preceding paragraph may be applied mutatis mutandis.