Government Procurement (Application) Order

Government Procurement Act

(Chapter 120, Section 4)

O 1

G.N. No. S 217/2002

REVISED EDITION 2004

(29th February 2004)

[13th May 2002]

Citation

1. This Order may be cited as the Government Procurement (Application) Order.

Definitions

2. In this Order, unless the context otherwise requires —

“contract document” means a document which sets out the invitation to tender for or to negotiate a procurement contract, the terms and conditions of the contract, the specifications or descriptions of the goods or service, or goods and service, to be procured under the contract, or a document supplementary to any of these documents;

“goods and services tax” means the goods and services tax chargeable under the Goods and Services Tax Act (Cap. 117A);

“recurring contract” means one of 2 or more contracts resulting from a single requirement for a procurement.

Contracting authorities

3. The bodies set out in the First Scheduleshall be contracting authorities for the purposes of the Act.

Procurements subject to Act

4. A procurement —

(a)

by a contracting authority set out in Part I or II of the First Schedule of —

(i)	goods;
(ii)	one or more of the services set out in the Second and Third Schedules; or
(iii)	a combination of goods and one or more of such services; or

(b)

by a contracting authority set out in Part III of the First Schedule of any of the goods set out in the Fourth Schedule or a combination thereof,

is a procurement subject to the Act if the value of the contract in relation to the procurement is equal to or exceeds the threshold applicable to the procurement under paragraph 8.

Exclusions

5.—(1) Notwithstanding paragraph 4, a procurement —

(a)	set out in the Fifth Schedule; or
(b)	made by a contracting authority on behalf of an entity which is not a contracting authority,

is not a procurement subject to the Act.

(2) For the purposes of sub-paragraph (1)(b), “entity” includes —

(a)	any person; or
(b)	a department of the Government or of a statutory body.

(3) Notwithstanding paragraph 4, a contracting authority may exclude a procurement, or an act or measure in relation to a procurement, from the application of all or any regulations made under section 6 of the Act, if —

(a)

such exclusion is necessary for reasons of national security;

(b)

such exclusion is necessary to protect public morals, order or safety, human, animal or plant life, or any intellectual property right of the Government or any other party;

(c)

the contract of procurement is or is intended to be awarded to an institution assisting handicapped persons, a non-profit organisation or a penal institution; or

(d)

the procurement concerned is a procurement of one or more of the services set out in the Second Schedule, and such exclusion is consistent with —

(i)	the terms, conditions, limitations and qualifications set out in Singapore’s Schedule of Commitments under the General Agreement on Trade in Services; or
(ii)	the exemptions set out in Singapore’s List of Article II Exemptions under the General Agreement on Trade in Services.

Effect of exclusion

6. Where a contracting authority is entitled under paragraph 5(3) to exclude a procurement or an act or measure in relation to a procurement from the application of all or any regulations made under section 6 of the Act, the contracting authority shall not be required, in carrying out the procurement, act or measure, to comply with those regulations from which application the procurement, act or measure has been excluded.

Value of procurement contract

7.—(1) For the purposes of paragraph 4, the value of a contract of procurement shall be the estimated value of the contract less the goods and services tax chargeable on that value.

(2) Subject to sub-paragraphs (3) to (9), the estimated value of a contract of procurement shall be the value of the consideration which the contracting authority expects, at the relevant time, to give under the contract, taking into account all forms of remuneration, including any premiums, fees, commissions and interest receivable.

(3) The value of the consideration which the contracting authority expects, at the relevant time, to give under a contract which is a recurring contract shall be based on either —

(a)

the aggregate of the value of the consideration given by the contracting authority under similar recurring contracts concluded —

(i)	during the last financial year of the contracting authority ending before the relevant time; or
(ii)	during the period of 12 months ending immediately before the relevant time,

adjusted, where possible, for anticipated changes in quantity and value over the period of 12 months commencing at the relevant time; or

(b)

the aggregate of the estimated value of the consideration which the contracting authority expects, at the relevant time, to give under all recurring contracts which are part of the same procurement as the first-mentioned recurring contract —

(i)	in the next financial year of the contracting authority commencing on or after the date which the contracting authority expects to award the initial recurring contract of that procurement; or
(ii)	during the period of 12 months commencing immediately after the date referred to in sub-paragraph (i).

(4) Notwithstanding sub-paragraph (3), where the goods or service, or combination of goods and service, to be procured under a recurring contract are required for the sole purposes of a discrete unit of a contracting authority and —

(a)	the decision of whether to procure the goods or service of that type, or goods and service of those types, has been devolved to that unit; and
(b)	that decision is taken independently of any other part of the contracting authority,

the valuation methods described in sub-paragraph (3) shall be adapted by aggregating only the value of the consideration —

(i)	which the contracting authority has given for similar recurring contracts which were required for the sole purposes of that unit; or
(ii)	which the contracting authority expects, at the relevant time, to give for recurring contracts which are part of the same procurement as the first-mentioned recurring contract and which are required for the sole purposes of that unit,

as the case may be.

(5) The estimated value of a contract —

(a)	for the lease, rental or hire purchase of goods or service, or a combination of goods and service; or
(b)	which does not specify a total price,

shall be based on —

(i)	the total estimated value of the consideration which the contracting authority expects, at the relevant time, to give under the contract for the duration of the contract, where the duration is a fixed period of 12 months or less;
(ii)	the total estimated value of the consideration which the contracting authority expects, at the relevant time, to give under the contract for the duration of the contract without making any deduction for the estimated residual value of the contract, where the duration is a fixed period which exceeds 12 months; or
(iii)	the estimated value of consideration which the contracting authority expects, at the relevant time, to give under the contract in respect of each month of the contract multiplied by 48, where the contract is of indefinite duration.

(6) Where there is any doubt as to whether a contract referred to in sub-paragraph (5)(a) or (b) is for a fixed or indefinite duration, the basis for determining its estimated value shall be that referred to in sub-paragraph (5)(iii).

(7) Where any contract of procurement specifies a requirement for an option to buy goods, service, or a combination of goods and service, the value of the maximum permissible procurement under the option shall form part of the estimated value of the contract.

(8) Where any of the goods or service to be procured are goods or service the procurement of which is not subject to the Act, the value of those goods or service need not be included as part of the estimated value of the contract.

(9) A contracting authority shall not use a basis of valuation referred to in this paragraph for a contract of procurement, or divide a procurement requirement, with the intention of avoiding the application of the Act.

(10) For the purposes of this paragraph, the relevant time is —

(a)	the date on which the Invitation to Participate referred to in regulation 11 of the Government Procurement Regulations (Rg 2) is sent, or the date it ought to have been sent, to the Government Printer for publication in the Gazette (whichever is the earlier); or
(b)	the date on which the Invitation to Participate is published, or the date it ought to have been published, in the Government Electronic Business (GeBIZ) (whichever is the earlier),

as the case may be, if the requirement to publish the Invitation to Participate in an approved medium applies to the procurement in question.

Thresholds

8.—(1) The threshold applicable to a contract for the procurement of —

(a)	goods;
(b)	one or more of the services set out in the Second Schedule; or
(c)	a combination of goods and one or more of such services,

by a contracting authority set out in Part I of the First Schedule shall be 130,000 Special Drawing Rights.

(2) The threshold applicable to a contract for the procurement of —

(a)	goods;
(b)	one or more of the services set out in the Second Schedule; or
(c)	a combination of goods and one or more of such services,

by a contracting authority set out in Part II of the First Schedule shall be 400,000 Special Drawing Rights.

(3) The threshold applicable to a contract for the procurement of one or more of the services set out in the Third Schedule by a contracting authority set out in Part I or II of the First Schedule shall be 5 million Special Drawing Rights.

(4) The threshold applicable to a contract for the procurement of any of the goods set out in the Fourth Schedule or a combination thereof by a contracting authority set out in Part III of the First Schedule shall be 130,000 Special Drawing Rights.

(5) The threshold applicable to a contract for the procurement of —

(a)	goods, one or more of the services set out in the Second Schedule, or a combination of goods and one or more of such services; and
(b)	one or more of the services set out in the Third Schedule,

by a contracting authority shall be —

(i)	130,000 Special Drawing Rights if the contracting authority is a contracting authority set out in Part I or III of the First Schedule and the estimated value of the contract for the part of the procurement referred to in sub-paragraph (a) exceeds the estimated value of the contract for the part of the procurement referred to in sub-paragraph (b);
(ii)	400,000 Special Drawing Rights if the contracting authority is a contracting authority set out in Part II of the First Schedule and the estimated value of the contract for the part of the procurement referred to in sub-paragraph (a) exceeds the estimated value of the contract for the part of the procurement referred to in sub-paragraph (b); or
(iii)	5 million Special Drawing Rights if the estimated value of the contract for the part of the procurement referred to in sub-paragraph (a) is less than or equal to the estimated value of the contract for the part of the procurement referred to in sub-paragraph (b).

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