PUBLIC WORKS DEPARTMENT (Tender and contract system)

Mr S. V. Lingam asked the Minister for Law and National Development whether the present system adopted by the Public Works Department of inviting tenders and giving out contracts is satisfactory; and whether he plans to reorganise it.

Mr E. W. Barker: Mr Speaker, Sir, to answer this question, I will have to outline briefly the tender system adopted by the Public Works Department.

Tenders for public works projects are normally invited by means of tender notifications published in the Government Gazette and in cases where the value of the project is estimated to exceed $50,000, a tender notice is also advertised in the Press. Only registered contractors are selected and may tender for public works. These contractors are selected and classified on the basis of sound finance, good experience and satisfactory performance for past work, technical knowledge and availability of plant and good organising ability.

Registered contractors call personally with their registration cards to collect the various tender documents, such as forms of tenders, specifications, bills of quantities and drawings. To safeguard the secrecy of the competitive nature of the tender system, all tenders must be enclosed in a sealed envelope and deposited in the locked tender box provided for the purpose before the closing time for receipt of tenders. At the appointed time on the closing date, a Tenders Opening Committee opens the tender box, collects the tenders and opens them in the presence of all the members. It is the duty of the Tenders Opening Committee to number and initial each and every tender received and to prepare a precis of tenders containing such information as the names of the tenderers and the amounts of tenders. The precis and the tender forms are then processed and recommendations made to the appropriate Tenders Board for consideration and decision.

In the case of minor works valued at less than $10,000, consideration for acceptance or rejection is undertaken by an Assistant Director of the Public Works. After approval has been given by the appropriate Tenders Board or the Assistant Director of Public Works, checks are made to ensure that the rates and the bills of quantities and schedule of rates are arithmetically correct. These approvals are then conveyed to the successful tenderers by means of letters of acceptance, and action is then taken to prepare and sign the necessary contract documents.

The system, as I have outlined, has worked satisfactorily and there is no reason why it should be changed.