Government procurement - AbsoluteAstronomy.com

Government procurement, also called public tendering or public procurement, is the procurement

Procurement

Procurement is the acquisition of goods or services. It is favourable that the goods/services are appropriate and that they are procured at the best possible cost to meet the needs of the purchaser in terms of quality and quantity, time, and location...

of good

Good (economics and accounting)

In economics, a good is something that is intended to satisfy some wants or needs of a consumer and thus has economic utility. It is normally used in the plural form—goods—to denote tangible commodities such as products and materials....

s and services on behalf of a public authority, such as a government

Government

Government refers to the legislators, administrators, and arbitrators in the administrative bureaucracy who control a state at a given time, and to the system of government by which they are organized...

agency. With 10 to 15% of GDP in developed countries, and up to 20% in developing countries, government procurement accounts for a substantial part of the global economy.

To prevent fraud

Fraud

In criminal law, a fraud is an intentional deception made for personal gain or to damage another individual; the related adjective is fraudulent. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and also a civil law violation...

, waste

Waste

Waste is unwanted or useless materials. In biology, waste is any of the many unwanted substances or toxins that are expelled from living organisms, metabolic waste; such as urea, sweat or feces. Litter is waste which has been disposed of improperly...

, corruption

Political corruption

Political corruption is the use of legislated powers by government officials for illegitimate private gain. Misuse of government power for other purposes, such as repression of political opponents and general police brutality, is not considered political corruption. Neither are illegal acts by...

or local protectionism

Protectionism

Protectionism is the economic policy of restraining trade between states through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to allow "fair competition" between imports and goods and services produced domestically.This...

, the law of most countries regulates government procurement more or less closely. It usually requires the procuring authority to issue public tenders if the value of the procurement exceeds a certain threshold.

Government procurement is also the subject of the Agreement on Government Procurement

Agreement on Government Procurement

The Agreement on Government Procurement is legally binding and plurilateral agreement in the World Trade Organization focusing on the subject of government and local government agencies procurement. The procurement in the Agreement includes goods, ranging from commodities to high technology...

, a plurilateral international treaty under the auspices of the WTO.

Phases

Usually there are some distinct phases in the whole procedure:

Project/Service/Supply preparation/maturity period, sometimes including a Prior Information Notice
Call for bids or Request for proposals
Request for information
Request for Information
A request for information is a standard business process whose purpose is to collect written information about the capabilities of various suppliers. Normally it follows a format that can be used for comparative purposes....

, prior to bid
Bid delivery
Evaluation of the bid (awarding procedure)
Contract award

European Union

Government procurement in the European Union is regulated and harmonized by community law

European Union law

European Union law is a body of treaties and legislation, such as Regulations and Directives, which have direct effect or indirect effect on the laws of European Union member states. The three sources of European Union law are primary law, secondary law and supplementary law...

since the 1970s. European regulations also provide for electronic procurement

Public eProcurement

The term Public eProcurement refers, in Singapore, Europe and Canada, to the use of electronic means in conducting a public procurement procedure for the purchase of goods, works or services.-Phases:...

Russia

Russian Federal Law N94-ФЗ of 21.07.2005 require all federal, regional and municipal government customers to publish all information about government tenders, auctions and other purchase procedures on special public government websites.

The Soloviev Institute of Government Procurement is active in procurement certification and training.

United States

US government procurement is generally governed by the Federal Acquisition Regulation, which appears in title 48 of the Code of Federal Regulations.

The National Institute of Governmental Purchasing

National Institute of Governmental Purchasing

The is a national, membership-based non-profit organization providing support to professionals in the public sector purchasing profession. NIGP provides its members with many services, including education, professional networking, research, and technical assistance.Organized in 1944, NIGP is an...

and the Federal Acquisition Institute are active in procurement certification and training. A specialized program in procurement law in the United States is located at The George Washington University Law School

The George Washington University Law School

The George Washington University Law School, commonly referred to as GW Law, is the law school of The George Washington University. It was founded in 1825 and is the oldest law school in Washington, D.C. The school is accredited by the American Bar Association and is a charter member of the...

External links

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