Nov 28,2007
Chapter III Methods of Government Procurement
Article 26 The following methods shall be adopted for government procurement:
(1) public invitation;
(2) invited bidding;
(3) competitive negotiation;
(4) single-source procurement;
(5) inquiry about quotations;
(6) other methods confirmed by the department for supervision over government
procurement under the State Council.
Public invitation shall be the principal method of government procurement.
Article 27 Where public invitation is required for procurement of goods or services by the procuring entity, if such goods or services are included in the government procurement items covered by the central budget, the specific quotas shall be determined by the State Council; if the items covered by local budgets, the specific quotas shall be determined by the people's government of a province, autonomous region or municipality directly under the Central Government. Where it is necessary to adopt a method other than public invitation under special circumstances, the matter shall be subject to approval by the department for supervision over procurement under the people's government at or above the level of the city divided into districts or of the autonomous prefecture, before procurement is conducted.
Article 28 No procuring entity may avoid public invitation required for procuring certain goods or services by breaking them up into parts or by any other means.
Article 29 Under one of the following conditions, goods or services may be procured by invited bidding in accordance with this Law:
(1)where the goods or services in question are special in character and can only be procured form a limited number of suppliers;
(2)where the cost of public invitation forms an excessive proportion of the total value of the government procurement items.
Article 30 Under one of the following conditions,goods or services may be procured through competitive negotiation in accordance with this Law:
(1)where, after bidding is invited, no supplier submits any tender, or qualified tender is lacking, or re-invitation fails;
(2)where it is hard to determine the detailed specifications or specific requirements because of technical complexity or special nature;
(3)where bid invitation takes so long a time that it is hard to satisfy the urgent needs of the procuring entity;
(4)where the total value of the goods or services to be procured cannot be determined in advance.
Article 31 Under one of the following conditions, goods or services may be procured through single-source procurement in accordance with this Law:
(1) where goods or services can be procured from only one supplier;
(2) where goods or services can not be procured from other suppliers due to an
unforeseeable emergencies;
(3)where consistency of the items or com
patibility of the services procured requires procurement of additional items or services from the same supplier, provided that the total value of the additional procurement does not exceed 10 percent of the value of the base procurement contract.
Article 32 Inquiry about quotations may be adopted in accordance with this law for government procurement of those goods the specifications and standards of which are uniform, the supply of which for spot transaction is sufficient and the prices of which fluctuate very little.
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