CIRCULAR ON CONTRACTS WITH IMPLEMENTATION CHALLENGES
REF: PPRA/P&R/06 VOL. 1(117)
PPRA CIRCULAR NO. 01/2020
All Accounting Officers, National & County Governments
All Clerks, Senate, National & County Assembly (ies)
Chief Registrar, the Judiciary and the Courts
All Secretaries/CEOs/Accounting Officers, Constitutional Commissions & Independent Offices
All CEOs, State Corporations
All Vice Chancellors, Public Universities
All Ambassadors/High Commissioners, Kenya Diplomatic Missions
All Principals, Public Colleges, Polytechnics, Training Institutes, Primary & Secondary Schools
All Trustees, Public Pension Funds
All County Commissioners, County Service Delivery Coordination Units
All Fund Account Managers, NG-CDFs
All County Coordinators, NGAAFs
RE: INFORMATION ON CONTRACTS WITH IMPLEMENTATION CHALLENGES AND COMPLIANCE WITH THE EXECUTIVE ORDER NO. 2 OF 2018
- CONTRACT IMPLEMENTATION CHALLENGES
It has come to the attention of Public Procurement Regulatory Authority (the Authority) that a number of contracts executed by procuring entities have been encountering challenges during implementation. This has resulted in delays in contract completion; incomplete, stalled and abandoned projects; contracts being frustrated leading to disputes and litigation. These challenges in implementation of the contracts and delivery of projects have had a negative impact on service delivery by the concerned PEs to the citizens and invariably lead to additional costs being incurred by the PEs.
The Authority has commenced an exercise to assess and review the magnitude of contracts and projects which are experiencing challenges in their implementation, and their impact on the public procurement and asset disposal system. Pursuant to Section 9(1)(m) of the Public Procurement and Asset Disposal Act, 2015, the Authority therefore requires your entity to submit information on status of contracts/projects experiencing implementation challenges as per the enclosed template. The template can be accessed via the link: http://ppra.go.ke/download/challenges/.
You can also download it directly below:
All columns in the template are mandatory fields and must be filled.
The report should cover all contracts with implementation challenges entered into in the 2016/2017, 2017/2018, 2018/2019 and 2019/2020 financial years, resulting from all procurement methods. The report should be compiled and submitted in both soft and hard copy. The soft copy of the report must be submitted in excel format (and not in PDF/picture format) and should be sent to the Authority through reports@ppra.go.ke so as to reach the Authority by 28th February, 2020. The Authority is available to provide any clarifications required.
- COMPLIANCE WITH THE EXECUTIVE ORDER NO. 2 OF 2018
Following the issuance of the Executive Order No. 2 of 2018 – Procurement of Public Goods, Works and Services by Public Entities (the Executive Order) and subsequent communication by the Head of Public Service vide Circular Ref No. OP/CAB 39/1A of 28th June, 2018 all Public Entities (PEs) were required to implement the Executive Order by publication of contract awards in the format and manner stated therein. The Authority continues to receive reports from PEs through the Public Procurement Information Portal (PPIP). However, the Authority has noted that contrary to the directive contained in the Executive Order, procuring entities are not publishing contracts awarded as directed. We have further noted that not all PEs have registered with the Authority to facilitate publishing of the required information in the PPIP.
In view of the above, all Accounting Officers are reminded that it is mandatory to comply with the requirements of the Executive Order and the National Treasury Circular Ref. NT/PPD.1/2/02Vol (93) of 24th August, 2018 including submission of details of their authorized officers to the Authority. Submission of details of authorized officers will facilitate creation of log-in credentials for the officers to enable them access the PPIP so as to upload/publish information of all contracts awarded except low value procurements in the manner contained in the Executive Order and the reporting template provided in the PPIP. Such request should reach the Authority not later than 14th February, 2020.
The Authority is continuously enhancing the PPIP by developing new modules to ensure it is user friendly and captures the needs of stakeholders. You are therefore reminded to ensure compliance with the reporting requirements of the Executive Order by publishing contracts in the PPIP, and the additional reporting requirements as per PPRA Circular No.1/2016 of 16th December, 2016 on Mandatory Reporting Requirements. The Authority shall be submitting quarterly reports to the National Treasury and Planning on the status of PE’s compliance with the reporting requirements of the Executive Order for appropriate action.
Please bring the contents of this circular to the attention of all officers involved in the public procurement and disposal processes within your entities for compliance.
To download the circular as a PDF, use the download link below:
MAURICE J.O. JUMA, MBS
DIRECTOR GENERAL
Copy to: Dr. Joseph K. Kinyua, EGH
Head of Public Service
Office of the President
Harambee Avenue
NAIROBI
Mr. Nzioka Waita
Chief of Staff and Head of President’s Delivery Unit
Office of the President
Harambee Avenue
NAIROBI
Hon. Justice (Rtd.) Paul Kihara Kariuki, EGH
Attorney General
Office of Attorney General
and Department of Justice
NAIROBI
Dr. Julius Muia, EBS
Principal Secretary
The National Treasury
The National Treasury and Planning
Treasury Building
NAIROBI
The Auditor General
Kenya National Audit Office
Anniversary Towers
NAIROBI
Jacqueline Mogeni (Mrs)
Chief Executive Officer
Council of Governors
Delta Corner House, Off Waiyaki Way
NAIROBI