Lawyers, architects and quantity surveyors could lose out on government contracts if they flout a key procurement rule. The agency in charge of procurement has banned the three groups of professionals from charging less to manipulate government agencies into awarding them contracts.
Although there is a minimum fee that lawyers, architects and surveyors can charge, some go below this to win contracts. After winning the bids, they later adjust charges or provide substandard services because of the low fee.
In a move to streamline procurement services, Public Procurement Oversight Authority director-general Morris Juma has said government agencies would only invite bids for technical proposals. “Thereafter, they can negotiate the contract price with technically qualified bidders,” he said.
Mr Juma said the authority had received complaints from professionals that some individuals or firms were quoting charges outside the stipulated rates. The new regulations will affect about 13,000 lawyers, architects and quantity surveyors.
A total 9,253 lawyers have signed the roll of advocates, meaning they can represent clients in the High Court. According to the Public Procurement and Disposal Act 2000, organisations should call for both technical and financial proposals when procuring intellectual and professional services.
Mr Juma said basic fees for lawyers were set by the Advocates Remuneration Order, while those for architects and quantity surveyors were governed by the Architects and Quantity Surveyors Act. “These legal documents provide a minimum percentage of fees chargeable for services,” he said.
“They do not oust the requirement for competition over prices quoted above the legal minimum,” he said, implying professionals were free to charge more for services. Mr Juma urged government organisations to award contracts to firms that adhered to the regulations.
On Monday, Law Society of Kenya chief executive Apollo Mboya welcomed the new rule, saying there had been an increase in complaints about undercharging. “If they go below the scale, then they are breaching the law,” he said.
“Contracts awarded on this basis can be declared null and void,” he added. He said some organizations were condoning professions who were charging below the required scale. Already, Mr Mboya has written to members asking them to obey the directive to help level the playing field.
The government chief quantity surveyor, Mr Moses Nyakiongora, said some professionals were quoting less for jobs only for them to deliver shoddy jobs because the fees charged do not allow them to provide quality services.
“In competing, they charge less but when they are awarded the contracts, they deliver poor quality,” he said of the professionals. It was common, Mr Nyakiongora said, for professionals to compromise on quality of staff and material to enable them to make a profit.
Mr Juma’s circular was copied to acting Head of Public Service Francis Kimemia, Finance permanent secretary Joseph Kinyua and Attorney General Githu Muigai.
It was also sent to comptroller and auditor-general Edward Ouko.
However, a quick comment from a blogger is noted below:
If I was an architect (or any professional), I might want to “low-ball” my bid, take a pay cut for myself to get a job that might prove my abilities, creativity, or get me a share of the market in the future, and that should be my right. What the government should focus on is writing contract language that ensures quality and performance to standards. If a professional loses money by underbidding they must still perform to the standards set in the contract or lose it. ENFORCE the standards of the work no matter who gets the job!
Source: Daily Nation
The post is well written and a good read. Thumbs up for your work!
true.
very true.