Public Procurement and Disposal of Public Property Act

The Public Procurement and Disposal of Public Property Act provides the legal framework for transparent, competitive, and efficient acquisition and disposal of government-owned goods, services, and assets in Dominica. Its purpose is to ensure public confidence in procurement, prevent misuse of public resources, and uphold accountability by enforcing clear standards and procedures across all public agencies and bodies.

Legal and Institutional Foundations

This Act complements the overarching fiscal laws, including the Public Finance Management Act, Finance Administration Act of 1994, and Audit Act of 1994, by focusing specifically on procurement integrity. It establishes procedures that public entities must follow every time they engage contractors, purchase goods or services, or dispose of assets. The Central Procurement Unit (CPU) acts as the operational backbone, providing guidance, issuing templates, and maintaining procurement records.

Public entities subject to the Act include government ministries, departments, state-owned enterprises, statutory bodies, and local government agencies. They are obligated to follow transparent selection processes, whether through open tendering, restricted tendering, or direct procurement, depending on the value and nature of the contract.

Procurement Procedures and Thresholds

Under this legislation, procurement is classified into clearly defined thresholds, each triggering specific procurement methods and approval processes:

• Open Tendering: Mandated for high-value contracts to facilitate broad competition.
• Restricted Tendering: Used when services require specialised expertise or limited bidders.
• Direct Procurement: Permitted under defined thresholds or in exceptional cases such as emergencies or proprietary solutions.

The CPU establishes standardised bidding documents, evaluation criteria, and conflict-of-interest guidelines. Evaluations are conducted by committees that must document their decisions and disclose any conflicts of interest or potential biases. Signed award notifications and contracts are stored and made publicly available to enhance transparency.

Asset Disposal and Transparency Measures

A key component of the Act is its approach to the disposal of public assets. The government must adhere to prescribed methods such as:

• Public Auction: To sell used vehicles, equipment, or other government property.
• Tender or Negotiation: For specialised or high-value assets, where public bidding or evaluation is appropriate.
• Donation or Write-Off: Allowed only under strict criteria, such as when items are obsolete, unsellable, or in disrepair.

Regular inventory audits are mandated, with written records maintained by statutory authorities. Disposal decisions must be accompanied by justifications, and proceeds from sales must be deposited in the Consolidated Fund. These records are subject to audit by the Director of Audit and review by the Public Accounts Committee (PAC).

Key Procurement Standards

• Competitive sourcing ensures fairness and value for money.
• Conflict-of-interest policies require officials to declare personal or familial interests.
• Documentation and archiving of tender processes aid accountability and support future audits.

Disposal Principles

• Competitive sales methods ensure transparency in the valuation of government assets.
• Prior notice and reporting safeguard against undervalued or unauthorised disposals.

Role of Audit and Oversight Bodies

Implementation of this Act is monitored through multiple channels:

• The Director of Audit evaluates procurement and disposal compliance during annual audits. Any instances of rule-breaking, favouritism, or inefficiency are recorded in audit reports.
• The PAC scrutinises audit findings related to procurement and asset disposal, convening public hearings to address issues and ensure that corrective measures are implemented.
• The Minister for Finance has the authority to issue regulations, set procurement thresholds, and issue directives in consultation with the CPU.

Through this system, procurement practices are continuously reinforced by oversight and subject to parliamentary review, preventing misuse of public funds.

Evolving Practices and Reform Initiatives

To improve efficiency and transparency, the government is digitising key procurement functions. E-procurement systems are being introduced to handle tender publishing, submission, evaluation, and award notices online, thereby reducing paper-based delays and increasing public access to information.

Training programs facilitated by the Eastern Caribbean Central Bank, the World Bank, and regional agencies such as CARICOM help strengthen capacity within procurement teams. The CPU is also developing standardised modules on contractor risk assessment, sustainability criteria, and gender-inclusive procurement.

These reforms aim to streamline operations and foster a culture of ethical procurement, aligning public policy objectives with resource stewardship.