Tender Regulations
Introductory Chapter
General Provisions for Tenders
Article 1
The provisions of these Tender Regulations shall apply to the purchase of articles and materials for Government bodies and the implementation of projects to be undertaken by such bodies, with the exception of special tenders for defence installations and anything which is excepted by a particular provision in the Tender Law or in these regulations.
Article 2
The tender may be public or restricted, international or local.
Article 3
Public tender refers to a number of procedures advertised in accordance with the conditions set out in these Regulations, with the aim of obtaining the most suitable bid. It may be either local and advertised in the Sultanate, or international and advertised in the Sultanate and abroad.
Article 4
Restricted tender is a kind of public tender, participation in which is confined to companies or establishments considered qualified by the Government bodies concerned to take part in a tender of a specialized and precise character once it has been advertised in the Sultanate or abroad. Lists of these companies and establishments shall be referred to the Tender Board for approval.
All provisions applicable to public tenders shall likewise apply to restricted tenders and bidders shall be invited to participate therein by registered letter. Such tenders may also be advertised through the various forms of media and publication available in the Sultanate.
Article 5
International tender is one in which international companies and establishments not registered in the Sultanate shall be permitted to take part on condition that they register according to the regulations in force in the Sultanate within on month from the date of having been awarded the contract.
Article 6
Local tender is one in which participation is confined to companies and establishments registered in the Commercial Register, and whose names the Tender Board has decide to include on the list prepared for such purpose, after first having categorized them in accordance with the system in force.
Article 7
Where necessary, Government bodies may award a contract directly, provided that its value does not exceed R.O. 25,000 and provided that the prices are acceptable along with a declaration of the reasons necessitating such. This must be done with the approval of the Minister or a person to whom he has given his authority. It shall also be permitted to conclude contracts for the direct purchase of articles and materials imported from abroad with the Government bodies concerned with importing them if they are the sole importers in the Sultanate, even if their value exceeds R.O. 25,000, provided the provisions of the Decree on the Procedure for Signing Foreign and Internal Financial Transactions are complied with. Should it prove necessary to exempt the articles purchased in this way from analysis, the matter must be referred to the Minister for approval, and the official responsible for the payment Vouchers must give Written confirmation that the articles and works are according to order and that the prices are acceptable.
Article 8
It shall be forbidden to purchase articles or carry out contracting work not required by the demands of the job during the final month of the fiscal year, unless the payment Vouchers are accompanied by a memorandum approved by the Minister or Head of the unit explaining the reasons for the contract being concluded at the end of the fiscal year.
Article 9
Government employees and officials shall not be permitted to bid for tenders put out by the sections in which they are employed.
It shall be forbidden to purchase articles from such persons or commission them to implement work. This shall be without prejudice to Royal Decree No.39/82 and the interpretation thereof, though exceptions may be made where necessary in favor of purchasing their publications and technical work. In such cases, authorization will come from the head of the unit where the cost does not exceed R.O. 1,000 and by a substantiated decision from the Financial Affairs Council where the cost is greater than this.
Article 10
If necessary, when concluding the contract, the provision allowing for adjustment of prices agreed upon in relation to increases that may occur, during implementation, to the prices of certain materials and laborers’ wages, the provision in the contract must include an upper limit to the increase the government shall retain the right to benefit from any decreases that may occur in prices or wages. In this situation the Governmental authority must hold a reserve sum of the credit designated for the operation sufficient to cover the probable permissible increase.
Article 11
At the time of putting gout to tender, it shall be forbidden to add, remove or alter any condition or article of the general or particular terms on which draft contracts are issued in the Sultanate, except with the approval from the office of the Deputy Prime Minister of Legal Affairs and provided that the agreement on additions, removals or alterations is made in accordance with the provisions of the aforementioned Law on the Procedure for Signing Foreign and Internal Financial transactions.
Article 12
In compliance with the contents of Article 1, the provisions of these Regulations shall apply to the purchases and work of Government bodies. An internal committee within the body concerned, headed by the Minister, shall be entrusted with the Tender Board’s powers in accordance with these Regulations and in relation to contracts and works, the value of which does not exceed R.O. 250,000.
Chapter One
General Tenders
1. Procedures Prior to Submission of Tenders
Article 13
The authorities subject to the provisions of these regulations must, before putting out to public tender for importing articles or for contracting work, provide detailed and accurate specifications for each article or piece of work, but avoid indicating (except in the case of technical precision instruments and medical drugs) the brand, description or number found in the lists or publications of a particular company. Nor must they mention specific trade marks or set specifications which apply to a particular or distinct model. The specifications shall be set by a committee that has experience as regards the articles for which application has been made to import or as regards the work required. Technical personnel from other administrative units may be co-opted into the membership of such committees.
Where necessary, it shall also be permitted to seek advice from consultancies in the Sultanate or abroad in preparing such specifications. The committee must also ensure that the specifications conform with the type of local products whenever possible and ensure that they conform to the technical specifications designated by the Ministry of Commerce and Industry. When required, the Tender Board shall ensure the appropriateness and safety of the technical specifications, and shall employ technical personnel and consultancies in the Sultanate or abroad for such purposes.
Article 14
When advertising tenders for which the specifications set conform with local products, either in supplies or works contracts, the provision in the advertisement or the terms of the tender must stipulate that the articles concerned be local products.
Article 15
In tenders for articles where samples are required there must be a provision stipulating the weight, dimensions or volume of the samples to be submitted with the tender. Such samples should be adequate for the purpose of inspection or analysis. The bidder’s label shall be affixed to them in such a way as to make it difficult to remove.
Article 16
Before publicizing confirmation of tenders, the competent Government laboratory must be sent a list of the articles that need to be inspected or analysed with the knowledge of the laboratory. The laboratory must reply promptly to the authorities sending it the articles, and inform such authorities of the period needed for inspection or analysis.
The competent Government authorities shall bear this in mind when fixing the appointment for opening the envelopes and the period of validity of tenders, whereby the period of validity shall extend beyond the period set by the laboratory, allowing enough time for a decision to be reached on the tenders.
Article 17
It shall not be permitted to put to tender for articles, except where necessary. If the stores contain articles of similar types, of which use can be made, it shall not be permitted to buy new quantities, unless required in order to satisfy consumer demands.
Article 18
The purchase of required articles or necessary work must be advertised at the appropriate time and without delay thereby leaving sufficient time to re-advertise the tender if necessary. The advertisement shall appear in the press and other media available in the Sultanate in both Arabic and English. Tenders with a value of more than R.O.500,000 shall also be published in the official Gazette.
Article 19
The Tender Board may consider disregarding infringements of publication which is not done in accordance with the previous Article, depending on the circumstances of the tender, and the effect of publication on the number of bids actually submitted in the tender.
Article 20
When advertising tenders which require the transportation of goods inside or outside the Sultanate, Ministries and Government bodies must include a condition obliging bidders to insure the goods with Omani insurance companies and registered insurance agencies in the Sultanate, or obtain from them, before insuring with other parties, confirmation of their refusal to carry out such insurance.
Article21
The advertisement shall specify the authority to which the tenders are to be submitted, the final submission date, the article and work required to be imported or implemented, the bond to be deposited, the price of a copy of the tender conditions, postal charges, and conditions for advance payment.
Article 22
The conditions of the tenders, lists of articles and works and their appendices must be prepared before publication of the advertisement for tender, so that they can be supplied on request.
Article 23
The Government bodies collect amount of R.O.25 as the price of copies of the tender conditions and specifications, of which its value is less than R.O.100,000. The Tender Board decides the price of the copy of the tender which its value is more than R.O.100,000.
Article 24
A period of at least 30 days shall be set for the submission of bids for public tenders from the date of the first advertisement for the tender. The Tender Board may, at the request of the body concerned, reduce this period on condition that it is not less than 15 days. This will not apply in the case of public tenders related to annual supplies unless they are being issued for the first time.
Article 25
The period of validity of bids in public tenders where there are no samples requiring chemical analysis shall be 90 days. This period may be extended in the case of tenders involving samples requiring analysis due to the time required for such analysis. In the case of annual supplies and certain urgent work and contracting operations the period may be reduced. However, in all circumstances the period must not be less than 60 days, and shall be determined according to the nature of the tender.
Article 26
A decision must be made on the tender and notification of acceptance given before the expiry of the period of validity of bids. If this should not prove feasible, the body concerned shall apply through the Tender Board, in good time, for the bidders to have the validity of their tenders extended for the necessary period.
Article 27
If the tender is cancelled before the appointed time for opening the envelopes, the price of the list of terms and specifications and their appendices shall be returned to the purchasers on demand. The price, however, shall not be returned.
2. Submission of Tenders
A. General Conditions
Article 28
In supplying articles to Government bodies or in the case of necessary works and construction contracts, bidders must adhere to the provisions found in the Tender Law and these Regulations.
Article 29
Tenders shall be submitted to the Tender Board, stamped and signed by their originators on the form prepared for tenders, if one exists, and on the attached Schedule of Rates, and shall be sent in an envelope sealed with red wax and bearing the words “Tender Number …”, to the Chairman of the Tender Board. They shall be sent by registered post or placed inside the box designated for such purpose at the Tender Board.
Article 30
The bidder shall observe the following when preparing the Schedule of Rates:
1) The tender prices shall be written in ink and in Omani currency in figures and in longhand. The price of each individual item of each article shall be in accordance with whatever appears on the Schedule of rates in terms of number, weight, dimension or otherwise, without alteration of, or adjustment to the item.
It shall be permitted, in the case of a tender being submitted by an individual or company abroad, to write the prices in foreign currency, though the equivalent in Omani currency must be mentioned. The price-list must also be dated, stamped and signed by the bidder.
2) Erasures or deletions on the Schedule of Rates shall be not be permitted. All corrections of prices, or of other items must be re-written in ink in figures and longhand, and signed.
3) The bidder may not erase or amend any of the tender’s clauses or technical specifications, irrespective of the type of amendment.
If he wishes to set special conditions or make amendments he must send them in a letter accompanying his tender. Moreover, he must refer to the letter in the tender itself, otherwise the tender shall not be accepted.
4) If the bidder in tenders for supplying articles does not set the price of any article to be supplied on the price-list which he submits, he shall be considered as having been disqualified from entering the tender in relation to the article in question.
In the case of works contracts, the Tender Board (while reserving the right to disqualify the bid) shall regard clauses passed over by a bidder when fixing his rates at the highest rate for the clause concerned in the tenders submitted, for purposes of comparison between his own bid and other bids. If he wins the tender, it shall be deemed that he accepts the calculation on the basis of the lowest rate for the clause concerned from among the tenders submitted.
5) The Schedule of Rates shall indicate whether the article was manufactured in the Sultanate of Oman or abroad. Inaccuracy in all or some of these declarations shall result in rejection of the article, in addition to the deletion of the bidder’s name from among those having dealings with the Government.
6) The rates set by the bidder on the Schedule of Rates shall include and cover all expenses and liabilities, of whatever kind, which he may incur in relation to every clause. They shall also include completion and delivery of all works, and maintenance thereof during the guarantee period in accordance with the terms of the contract. The final bill shall be calculated at these rates, regardless of market fluctuations, customs duties and other fees, without prejudice to the provision of Article 10 of these Regulations.
Article 31
In advertising works contracts it shall be permitted to instruct bidders to show, in a separate letter accompanying the tender, the value of works (and their type and date) which they have carried out for the Government and bodies belonging to it and to indicate the companies which own a share of not less than 25% of their capital. If they have not previously carried out works of this sort, they may be instructed to present the Tender Board with evidence that they have recently carried out works of a type similar to those put out to tender, and indicate their location, total value and dates of completion, as well as provide the necessary facilities for inspecting such works.
Inaccuracy in all or some of these declarations shall result in cancellation of the contract and confiscation of the bond paid, in addition to prohibition of the contractor from dealing with the Government and bodies belonging to it.
Article 32
A bid for supplying articles shall be according to the specimen sample from the Government body originating the tender and according to the approved specifications and plans with which the bidder must familiarize himself. His submission of a bid shall be considered an affirmation of his familiarity with them and an undertaking to provide supplies in accordance therewith.
If the Government body does not have specimen samples, it shall be permitted to oblige the bidder to submit samples. Supplies shall then be on the basis of the technical specifications, even though they may differ from the samples, as long as the circumstances of the contract do not show that those particular samples are intended.
Article 33
The bid shall remain valid from the time of its issue by the bidder, regardless of the required date of receipt by the Tender Board, until the end of the validity period of the tender. Nevertheless, any reductions in prices indicated in the tender which arrive before the date fixed for opening the envelopes shall be effective.
Article 34
The bidder must be resident in the Sultanate of Oman, have an address where he can be contacted and have sponsor or agent whose name is to be indicated in his bid. If the bid is submitted by the bid, certified by the competent authorities in the bidder’s country.
Article 35
Every bid submitted by a company or institution must be accompanied by a list of the names of the persons authorized to make contracts on behalf of that company or institution, the extent of this right and its limitations, and samples of their signatures, legally approved, and another list of the names of members of the Tender Board who are taking part in it, or have an interest in it, as laid down in Article 17 of the Tender Law, or names of officials in the body which originated the tender bid and who have such an interest in it, if the value of the tender bid does not exceed a R.O.100,000.
Article 36
Tenders must reach the Tender Board or Government body, whichever is appropriate, no later than
Article 37
The Tender Board or Government body, whichever is appropriate, shall have the right to review prices submitted, whether individual or collective, and to put into effect material corrections if the matter so requires. It shall rely on the price written in longhand, and no consideration shall be given to tenders based on a percentage reduction below the lowest bid submitted in the tender.
Article 38
If the invitation to tender includes a request to extend credit facilities, the bids associated with these facilities will be given priority consideration when the decision is made. The head of the authority concerned with signing the contract shall have the right to cancel the tender if it does not result in the credit facilities needed to finance the operation.
Article 39
A) Supply of articles shall be in accordance with the contents of the tender document, and, in fixing the prices of the tender, the following shall be adhered to:
i) If the consignment is required to be delivered by ship (F.O.B.), the statement must comprise the price of the materials, in addition to the costs of packing, carriage and loading.
ii) If the consignment is required to be delivered C & F, the statement must comprise the price of the materials in addition to the cost of packing, carriage, loading, and freight.
iii) If the consignment is required to be delivered CIF, the statement must comprise the price of the materials in addition to the cost of packing, carriage, loading, freight and insurance.
iv) If the consignment is required to be delivered at the port of arrival, the statement must comprise the price of the materials in addition to the cost of packing, carriage, loading, freight, insurance and unloading.
v) If the consignment is required to be delivered at the purchaser’s stores or work sites, the statement must comprise the price of the materials in addition to the cost of packing, carriage, loading, freight, insurance, unloading, customs duties, and any additional fees and expenses incurred by inland transport.
B) The company or contractor concluding a contract with the government directly shall bear all the expenses of opening the letter of credit, though the Minister may charge the Government the cost of opening the credit if he sees fit, on condition that, in such cases, such expenses be taken into consideration when comparing different tenders from the point of view of the conditions and prices submitted.
C) Without prejudice to the principle of payment in Omani Rials, the company or contractor must show the overall cost in his tender, in terms of the section pertaining to foreign currency and the section pertaining to Omani Rials.
Article 40
The Tender Board shall announce the results of the opening of the envelopes on the following day by displaying a list on the Board’s notice board.
Article 41
The Tender Board may, following agreement with the Government body concerned, divide the articles or works or their quantities between more than one entrepreneur or contractor without giving reasons for such.
Article 42
The Board or Government body concerned may (without infringing the provisions appearing in the standard contracts, and for the purposes of comparative or contrasting) increase the percentage of advance payment and stipulate this in the terms of the tender. They shall also have the right to select the proposal that will lead to a lowering of the other prices, on condition that, when comparing bids, they take into consideration the addition of current interest to the value of the tenders associated with advance payment on the above-mentioned amounts up to the date of payment. This shall be on condition that there is co-ordination with the financial authorities before accepting the proposal in which the proportion of advance payment exceeds that laid down in the standard contracts, and that a bank guarantee for such payment being put forward.
B: Bonds
Article 43
A temporary bond of not less than 2% of the total value of the tender must be submitted with each bid. No consideration will be given to bids not accompanied by a temporary bond. The temporary bond may be in the form of an unconditional bank guarantee in which the bank affirms that it shall pay on the order of the Government a sum equal to the aforementioned bond.
If the guarantee is of fixed period, the period of its validity must be not less than the period set for the validity of the tenders. Government bodies and establishments, and companies in which the Government owns a share of at least 51% of the capital, may be exempted from this bond.
Article 44
Without prejudice to the provision of article 33, the temporary bond shall be returned to unsuccessful bidders after the expiry of the period for the validity of the tender, or before that if one of the bidders wins the tender.
Article 45
The successful bidder must submit a bank guarantee equivalent to 5% of the value of the tender which he has been awarded, as insurance to guarantee proper execution of the contract, within a period of not more than 10 days following his being informed by registered letter that his bid has been accepted, or 20 days in the case of contracts concluded outside the Sultanate.
Article 46
The provisions valid for the guarantee are the same as those for the temporary bond appearing in article 43, apart from those connected with the period of its validity. Its validity shall be for a period beginning from the time of its issue until after the expiry of the maintenance period or the date of the final handing-over certificate, whichever is longer, unless there is agreement otherwise in accordance with the nature of the work required to be executed.
Article 47
While taking into account the provisions of Section B of Part Three of these Regulations, if the successful bidder does not submit a guarantee of proper execution within the set period, the Government body concerned may on the basis of notice given by registered letter and without needing to resort to any procedures, cancel the tender awarded to him and confiscate the temporary bond, or execute the operation by means of one of the bidder next in line to his bid, after coordinating with the Tender Board. All this shall be conditional upon the right of the Government body concerned to demand compensation for loss and damage beyond that covered by the recovery of the temporary bond.
3. Examination of Tenders
A: Opening of Envelopes
Article 48
At the Tender Board there must be a tender box with its opening devised in such a way that it is not possible to extract any of its contents. The box must have two locks, one of which should be kept by the Chairman of the Board or his deputy and the other by the Secretary of the Board, and this box shall be designated for the purpose of keeping the tender envelopes.
Article 49
a) The Chairman of the Board or his appointed deputy shall open the tender box at 11 a.m. on the day specified for opening the envelopes, after first ensuring that the seals are secure. He shall confirm the number of envelopes in the register for opening the envelopes, and shall mark them with serial numbers. He shall then open them, confirming the number of papers of which the bid consists, and shall read the name of the bidder, the prices and the whole of the bid in full in the hearing of those present. The Chairman shall then sign them and enter such information in the register prepared for this purpose.
The Chairman of the Board or his appointed deputy shall indicate each deletion or correction with a red circle, and shall mark by underlining each article which has not been priced in the bid. He shall also write in red ink and in longhand the amounts that have been written in figures only.
b) The bonds shall be handed over to the representative of the Accounts Administration, who shall sign the register on the same day or the following day at the latest, confirming that the bonds recorded therein have been checked and entered in the Securities Account. Then the tenders, all documents relating thereto, and the envelopes in which they came along with the register shall be handed over to the Secretariat of the Board for safe-keeping.
c) The Board shall check the samples submitted by the bidders, against the list on which such samples were recorded when received, after first ensuring their seals and covers are secure. The Chairman shall sign the list, as well as the person who made up the list of tender envelopes, after having checked them against a special list. All samples shall be handed over to the Secretariat of the Board in the same manner as the bid papers themselves.
Article 50
The opening of the envelopes must be on the day and hour specified for such, which must be 11 a.m. The Secretariat of the Tender Board shall ensure that incoming mail to the Board on the morning of the appointed day continues to be delivered right up to the time of opening the envelopes.
Article 51
No consideration shall be given to any bid or amendment to a tender bid arriving after the date fixed for opening the envelopes, even if it was issued by the bidder on a date previous to the opening of the bids.
Nevertheless, it shall be permitted to consider overlooking the delay in cases where bids have been sent by post before the Board has finished opening the envelopes, on condition that the delay is due to reasons beyond the bidder’s control and that the late proposal is in the Treasury’s interest. However, if the bid is received after the opening of the envelopes has been concluded, it shall not be permitted to accept it.
Article 52
Samples submitted with tenders which, dependent on their nature, can be ascertained as conforming to the specifications or specimen samples, by means of simple examination, should be sent to the Government Technical Laboratory designated to inspect and test such samples, if the value of the article exceeds R.O.100,000. a detailed list shall be sent with them, indicating their individual components, the purpose for purchase thereof, and the quantity required. Care should be taken not to mix them up and to ensure that they are not substituted by others. The date fixed for the tender decision should be mentioned so that the competent laboratory can inform the competent authority of the result of the inspection before the above-mentioned date, with sufficient notice to allow for inspection of the tenders I the light of the laboratory report, and for the presentation of the necessary recommendations to the Board for deciding on the tender decision at the appointed time.
Article 53
The Tender Board shall charge one or more officials with the task or checking the bids in arithmetical detail before discharging them, and putting their signatures to the result of this check. If a difference is found between the price of an individual item and the overall price of all items together, the price of the individual item shall be taken as correct. If there is a difference between the price shown in longhand and the price shown in figures, the price shown in longhand shall be taken as correct.
Article 54
The Chairman of the Tender Board shall charge on or more officials under his supervision with the task of preparing three copies on the form provided. Categorizing the bids and recording all the bidders’ remarks and conditions which conflict with the terms of the tender.
Article 55
If the bidder complains of a material error in his bid, the decision on the complaint shall be the prerogative of the Tender Board.
B: Procedures for Awarding Tenders
Article 56
The Tender Board shall ensure the conformity of categorization as regards the tenders themselves and shall inspect the samples and rates and compare them with each other.
After receiving the result of the chemical or technical inspection, in cases where this is necessary, and receiving analyses of bids from the Government bodies concerned, and decisions on cases of disqualification, the Board shall award the tenders and show in sufficient detail on the tender disqualified list the areas of deficiency or violation of the terms and specifications in the bids that have led it to decide to disqualify. The Board shall record its discussions in the minutes.
Article 57
In cases where bids are associated with credit facilities, and where a request appears among the terms of the tender, the recommendations of the Government body concerned shall be submitted to the competent financial authorities before awarding the tender or concluding the contract.
Article 58
When deciding on bids, the Board may use as a guide the most recent prices according to which dealings took place, locally or abroad. These prices must be shown on the categorization list, with mention of the date of the transaction. Market prices may also serve as a guide.
After obtaining the opinion of the Government body concerned the Board may cancel the tender or re-advertise it, on account of the high prices. It must show in the register the steps it has taken, and the documents of the cancelled tender must accompany the documents for the new tender.
Article 59
The tender shall be put out again if only one tender bid is received, even if it conforms to the terms, and the bid shall be considered as only one, even if a number of other bids are received, if the other bids violate the terms of the tender in such a way that they are unfit to be considered.
If the tender is put out again and only one bid is submitted, the Board may accept it if the Government body concerned so requests and if it considers that acceptance is beneficial to the Government. In re-advertising the tender it shall be permitted to reduce the times for submitting bids by half.
Article 60
In the event of the prices of two or more bids being equal, the Tender Board may, following agreement with the Government body concerned divide the quantities announced between the bidders if such is in the interests of the work. This shall also be permissible if the lowest bidder stipulates a long period for supply which does not suit the work situation in the Government body concerned. In all cases preference will be given to bids for national products, provided that they conform to the terms and specifications. This preference shall include preference in prices, within maximum increase limits of 10%.
Article 61
The Chairman of the Tender Board shall inform the Directorate General of Finance and the head of the Government body concerned of the result of the award of tender. The latter, in his turn, shall notify the successful contractors and entrepreneurs of the result of the tender within one week at most from the date of confirmation of the tender, provided that the bidder has not set a longer period in his tender bid, in which case notification shall take place in sufficient advance of its expiry. In the notification itself, the submission of a guarantee must be requested within the period specified in Article 45. Information communicated to the bidder shall include a lack of legal commitment to the tender on the Government’s part until the signing of the contract.
Article 62
If the person to whom the tender is awarded fails to deposit the final bond within the period of notice set for him mentioned in the previous Article, the head of the Government body concerned may overlook such delay provided that the bond is submitted before the signing of the contract. Otherwise, the provisions of Article 47 of these regulations shall apply.
Article 63
If there is an alteration in the type of article or work contracted for, or in their specifications, the matter must be put before the Tender Board in accordance with the rules given in these Regulations.
Chapter Two
Contracting by Negotiation
Article 64
With the exception of articles and materials imported from abroad via the Government companies designated to import them, it shall be permitted to purchase articles or agree on the execution of works by means of negotiation in special cases or in any of the following cases:
1) Items where there is a monopoly on their manufacture or importation.
2) Items which can only be found in the possession of one person.
3) Items which cannot be defined by precise specification.
4) Technical work required to be carried out by specific technical personnel or specialists.
5) Various types of animals, birds and poultry.
6) Supplies, contracting for works, and transport, the urgent nature or unexpected circumstances of which rule that the carrying out of a tender is not feasible.
7) Materials and goods, the nature of which, or the purpose of obtaining which, rule that they be purchased from the places where they are produced.
8) Supplies, and contracting for works and transport where no bids have been submitted in the tenders, or where bids have been submitted at unacceptable prices and the need for them is such that it does not allow for them to be put out to tender again.
In the preceding cases the Tender Board may also, after opening and studying the bid envelopes I public tenders, refer them to negotiation among the bidders, if such is in the interests of the State Treasury.
Article 65
In all cases specified in the preceding Article, negotiation shall be undertaken by a committee formed by the Tender Board, chaired by one of the Deputy Chairmen of the Board, with member ship consisting of the Under-Secretary for Financial Affairs, a representative of the Ministry concerned, and a competent official whose position, grade and technical experience ar appropriate to the importance and type of tender.
This committee shall also under take negotiations with the companies and establishments that are entrusted with the task of executing projects in cases of special nature.
Article 66
Government bodies may purchase their requirements and execute their projects by means of negotiation in the cases specified in Article 64 of this law, but only in instances where the value does not exceed R.O.100,000 and without prejudice to the aforementioned Decree on the Procedure for signing Foreign and Internal Financial Transactions.
A Negotiating Committee shall be formed in the Government bodies, chaired by the Under-Secretary to the Ministry or his legal deputy, with membership consisting of competent officials whose positions, grades and technical experience are all appropriate to the importance and type of tender.
Article 67
The Negotiating Committee shall compile a detailed record of the steps it has taken, and it must obtain signed declarations from the traders and contractors with whom it has negotiated the tender showing their prices and conditions. Before concluded a contract, the committee shall present its recommendations to the competent minister.
Article 68
If the articles which must be purchased by negotiation need chemical analysis or technical inspection, that cannot easily be carried out at the time of purchase, an affirmation shall be obtained from the seller specifying the conformity of the articles with the technical specifications on the basis of which the purchase was made, and holding him responsible for lack of conformity when analyses or technical inspections are made.
Article 69
The Negotiating Committee shall follow the general conditions for tenders appearing in these regulations, and the supplies shall be exempted from payment of bond if the articles required to be purchased are in fact present in his shop or at his disposal and if it is possible to inspect them and receive final delivery thereof immediately on concluding the contract.
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