Ministry of Public Works and Transport Kingdom of Cambodia

Ministry of Public Works and Transport Kingdom of Cambodia

PROVINCIAL AND RURAL INFRASTRUCTURE PROJECT (PRIP)

(PHRD GRANT NO: TF 056974)

FINAL REPORT (CS-2)

On

CAPACITY BUILDING IN PROCUREMENT AND GOOD GOVERNANCE ACTION PLAN IMPLEMENTATION FOR

MPWT AND MRD

“Group Photo of officials who participated in a Specific Training Session conducted as part of CS-2 Assignment”

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December 20, 2010

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Capacity Building in Procurement and Good Governance Action Plan Implementation for MPWT and MRD 2

Table of Contents CHAPTER 1: INTRODUCTION .................................................................................... 5

1.0 Introduction .............................................................................................................. 5

1.1 Objectives and Scope of Work ................................................................................ 5

1.2 Approach, Methodology and Detailed Tasks ........................................................... 6

CHAPTER 2: CAPACITY BUILDING IN PROCUREMENT ................................... 8 2.0 Evolution of Procurement Procedures ..................................................................... 8

2.1 Review of Revised IRRPP and Suggestions for Improvement .............................. 10

2.1.1 Procurement of Goods and Works ..................................................................... 10

2.1.2 Procurement of Consultancy Services ................................................................ 14

2.1.3 Procurement Process .......................................................................................... 15

2.2 Modifications suggested to Procurement Procedures of EAPs.............................. 17

2.3 Capacity Development: Training Sessions ............................................................ 24

2.3.1 Program on Procurement of Civil Works ........................................................... 28

2.3.2 Program on GGF / GGPA .................................................................................. 29

2.3.3 Program on Web Site Enhancement ................................................................... 29

2.3.4 Program on Procurement of Goods .................................................................... 30

2.3.5 Program on Procurement of Consultant Services .............................................. 31

2.4 Overall Findings of Specified Training Sessions and Recommendations ............. 32

2.5 Recommendations and Action Plan (Capacity Building) ...................................... 33

CHAPTER 3: GOOD GOVERNANCE ACTION PLAN IMPLEMENTATION ... 34

3.0 Good Governance .................................................................................................. 34

3.1 Good Governance Frame Work ............................................................................. 35

3.2 Ministry Wide Good Governance Action Plan Implementation ............................ 45

3.3 Website Enhancement ............................................................................................ 53

3.4 Recommendations and Action Plan (GGAP) ........................................................ 57

CHAPTER 4: CHECKS AND BALANCES FOR MPWT ......................................... 58

4.0 Need for Checks and Balance System ................................................................... 58

4.1 Introduction of procurement checks and balance system by creation of an enabling environment ...................................................................................................................... 59

4.2 Recommendations and Action Plan (Procurement Checks and Balances) .......... 64

Annex – 1: Questionnaire on Training Needs ................................................................... 65

Annex – 2: Training Inauguration Address ...................................................................... 68

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Annex – 3: Schedule for Training Program on Procurement of Civil Works ................. 70

Annex – 4: Summary of Feedback: Training on Procurement of Civil Works ................ 73

Annex – 5: Schedule for Training Program on Good Governance Framework (GGF) and Good Governance Action Plan (GGAP) Training ............................................................ 74

Annex – 6: Summary of Feedback: Training on Good Governance Framework / Good Governance Action Plan ................................................................................................... 76

Annex – 7: Training Workshop on Web Site Enhancement ............................................. 77

Annex – 8: Summary of Feedback: Training on Web Site Enhancement ........................ 79

Annex – 9: Schedule for Training Program on Procurement of Goods ............................ 80

Annex – 10: Summary of Feedback: Training on Procurement of Goods ....................... 82

Annex – 11: Schedule for Training Program on Procurement of Consultant Services .... 83

Annex – 12: Summary of Feedback: Training on Consultant Services ............................ 85

Annex – 13: Performa Formats for PMIS ......................................................................... 86

Annex – 14: Performa for Analysis of Major Deviations (Procurement Performance Indicator- wise) ................................................................................................................. 93

Annex – 15: Views expressed by Participating Officials in the Workshop held on December 16, 2010 on Suggestions given regarding the Revised IRRPP and Procurement Manual ………………………………………………………………………………......97

Attachment 1: User Guide for Including Additional Web Pages

Attachment 2: Training Material (View Graphs) for all 5 Specific Training Sessions (An Optical Disc handed over to the client)

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ABBREVIATIONS

ADB : Asian Development Bank BOT : Build, Operate and Transfer CAS : Country Assessment Strategy COM : Council of Ministers CPAR : Country Procurement Assessment Report CSO : Civil Society Organizations DA : Donor Agency DPP : Department of Public Procurement DRR : Department of Rural Roads EA : Executing Agency FMM : Financial Management Manual GDP : Gross Domestic Product GDTA : General Department of Technical Affairs GGAP : Good Governance Action Plan GGF : Good Governance Framework GPCL : Global Procurement Consultants Limited ICT : Information and Communication Technology IDA : International Development Association IPA : Independent Procurement Agency IRRPP : Implementation Rules and Regulations governing Public Procurement MEF : Ministry of Economy and Finance MIS : Management Information System MPWT : Ministry of Public Works and Transport MRD : Ministry of Rural Development NPRS : National Poverty Reduction Strategy PAD : Project Appraisal Document PDRD : Provincial Department of Rural Department PDWT : Provincial Department of Public Works PGL : Procurement Guidelines of the World Bank PM : Procurement Manual for Goods, Works and Services PRC : Procurement Review Committee PRIP : Provincial and Rural Infrastructure Project RAMP : Road Asset Management Project RGC : Royal Government of Cambodia RID : Rural Infrastructure Department RIRRPP : Revised Implementation Rules and Regulations governing Public

Procurement SFKC : Social Fund of the Kingdom of Cambodia SFM : Supplementary Finance Manual for RAMP TA : Technical Assistance TOR : Terms of Reference WB : The World Bank

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FINAL REPORT ON CAPACITY BUILDING IN PROCUREMENT AND GOOD GOVERNANCE ACTION PLAN IMPLEMENTATION (PRIP:

CS2)

CHAPTER 1: INTRODUCTION

1.0 Introduction The Kingdom of Cambodia has received financial assistance in the form of a Grant from the Japanese Policy and Human Resource Development (PHRD) Fund (Trust Fund No: TF056974) in conjunction with the International Development Association (IDA) for the Provincial and Rural Infrastructure Project (PRIP). As a part of the provisions in the Grant Agreement to undertake the assignment of Capacity Building in Procurement and Good Governance Action Plan implementation (GGAP) to be implemented before December 31, 2010, the Ministry of Public Works and Transport (MPWT) has appointed M/s. Global Procurement Consultants Limited (GPCL) for the assignment.

GPCL team has initiated the assignment with familiarization on various aspects of procurement management both funded by Externally Aided / Assisted Project (EAP) and Royal Government of Cambodia (RGC) funds based on the documents made available and discussions. GPCL team had discussions with Mr. Douk Narin, Project Manager of PRIP-MPWT, Mr. Pheng Sovicheano, Project Director of RAMP, Mr. Tunn Chandara, Project Director of PRIP-MRD and other senior officials. Apart from discussions with senior officials of Project Implementation Units (PIUs) in PRIP-MPWT and PRIP-MRD (Ministry of Rural Development), the team had discussions with officials of the Ministry of Economy and Finance (MEF).

Based on the documents made available/collected and discussions held with project/ministry officials, a draft inception report was submitted on May 10, 2010 and the final inception report was submitted on May 25, 2010 after duly incorporating comments from the Bank and the project.

1.1 Objectives and Scope of Work The primary objective of GPCL’s assignment is to assist the MPWT with capacity building in procurement and with implementation of the GGAP, extensive to the Ministry of Rural Development (MRD), in order to improve oversight in procurement activities, strengthen transparency and reduce the risk of corrupt practices. Further it is to provide assistance to MPWT and MRD in the disclosure of project information to the public through expanding the ministries’ website and making available project information. The generalized outcome of this intervention is to suggest systems, procedures, and manuals in order to sustain the procurement and good governance practices of the MPWT and MRD.

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1.2 Approach, Methodology and Detailed Tasks GPCL approach and methodology was clearly laid out in the final inception report submitted on 25th May 2010. GPCL strategy for this assignment with in the time framework available was inclusive one and many rounds of discussions were held with all levels of functionaries not only in MPWT and MRD but also in Department of Public Procurement (DPP) and MEF in order to arrive at a proper understanding of the situation in the procurement function. To the extent permitted, documents were collected from these ministries and these went a long way in furthering the understanding of procurement processes followed by the ministries.

GPCL approach was formulated to address the assignment objectives in view of the initial observations and other identified issues for consideration. Following discussions on the initial and later findings, and the issues and challenges as appreciated; GPCL strategy was firmed up in terms of each of 6 areas as derived from the TOR of the assignment. The six areas of intervention were:

1) Capacity building in procurement through specific training sessions; 2) Review of procurement procedures for the government-funded projects; 3) Review of procurement procedures for the externally-funded projects; 4) Review of Good Governance Action Plan implementation based on Good

Governance Framework: 5) Enhancing disclosure through web site enhancement, and 6) Improving checks and balances system in MPWT.

The capacity building in procurement was carried out by conducting three specified training sessions for the MPWT / MRD identified counterpart staff on the procurement of civil works, goods and consultant services. As a part of Good Governance Action Plan implementation, two training sessions were organized. The first training session dealt with various aspects of the Good Governance Action Plan implementation and the second one was on web site enhancement to address the issues involved in enhanced disclosure of project information to the public. The five specified training sessions were conducted over a period of two months (2nd August to 29th September) so that the counterpart staff will have the opportunity of interacting with the faculty of the training sessions to receive on-the-job training / guidance.

While reviewing the current procurement procedures utilized by MPWT where appropriate with the externally assisted project procurement manual for goods, works and services (PM) mandated by the Sub-Decree No. 14 dated February 26, 2007, some points were identified in the procedures and practices of the procurement procedures with a view to improve transparency, prevent collusion and improve oversight. Also some points were identified in revised IRRPP with a view to improve the transparency, prevent collusion and improve oversight.

It is pertinent to note that most of the procedures enunciated both in Revised IRRPP and the procurement procedures for the EAPs are robust and address the issues adequately such as transparency and prevention of collusion except for the

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following points given in the subsequent pages. However, based on GPCL understanding and reading of the current procurement systems and environment, some modifications have been suggested for further strengthening the public procurement in Cambodia.

As part of the assignment, a system of checks and balances in order to improve the internal controls of the MPWT to ensure the proper reporting mechanisms and oversight has been dealt with. These checks and balances are identified on the basis of understanding of the current situation and what is felt as essential by GPCL team to strengthen the internal controls by MPWT.

The summarized approach and methodology of GPCL included review of the prevalent procurement procedures, institutional arrangements, and GGF implementation plan, disclosure of project information to public through website enhancement, and checks and balances of the current system. It also included the training of counterpart staff of MPWT and MRD in the use of procurement procedures, effective implementation of GGF as well as expansion and management of website and checks and balances in MPWT.

The detailed tasks of GPCL in Parts A, B, and C as given in TOR are as under:

Part A: Capacity Building in Procurement;

Part B: Good Governance Action Plan Implementation;

Part C: Improvement of checks and balances system of MPWT

This report has been organized into 4 chapters with a separate Executive summary. The first chapter gives the introduction and subsequent chapters are structured based on the detailed tasks.

Chapter 1: Introduction

Chapter 2: Capacity Building in Procurement

Chapter 3: Good Governance Action Plan

Chapter 4: Checks and Balances in MPWT.

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CHAPTER 2: CAPACITY BUILDING IN PROCUREMENT

2.0 Evolution of Procurement Procedures Prior to 1995, the public procurement in RGC was conducted by each line Ministry and agencies under line Ministries in a largely uncoordinated manner with variations in procedures as deemed fit by the respective line Ministries and agencies. In 1994, the ADB accorded a TA grant to RGC to prepare Public Procurement Legislation and guidelines to streamline the procurement procedures with a view to ensure consistency in the procurement activities of all line Ministries and Agencies. The draft public procurement procedures prepared under the ADB TA in 1995 was promulgated as a Sub-decree by the Council of Ministers having almost the same legal sanctity of a public procurement law. The 1995 Sub-decree No. 60 dealt with applicability to all public entities in Cambodia, detailed implementation in accordance with IRRPP; methods and procedures for procurement of goods and works; acceptable procedures for hiring of consultants; role; structure and responsibility of the Department of Public Procurement (DPP) under the Ministry of Economy and Finance; applicable procurement procedures for externally funded projects; and penal provisions to deter abuse of powers as well as legal action.

Implementation Rules and Regulations Governing Public Procurement (IRRPP – 1998):

The draft rules, regulations and guidelines to support the law were translated into Khmer and issued as IRRPP by Prakas (directives) of the MEF on August 31, 1998. The important provisions of the IRRPP include the authority of Council of Ministers (COM), through MEF, for making final decisions on all procurement contracts worth more than KHR 1,300,000,000 (then equivalent of about US $500,000) and also contracts of a lower value that might be politically, morally, socially or environmentally sensitive; and procedures for categorization and registration of civil works contractors. The IRRPP has several annexed guidelines regarding preparing bidding documents: evaluation of bids (supply contracts); pre-qualification of contractors; hiring of consultants; contracts for goods and civil works procurements, and supporting forms.

The other draft also produced under the ADB TA included sample bidding documents for the procurement of goods and works and guidelines for the categorization and registration of contractors. The 1998 IRRPP principally addressed to identify / amend the agencies responsible for procurement and to update thresholds for various procurement and review procedures. The other rules and guidelines in RGC are (i) Provincial and local district projects handled under the RGC decentralization policy by the Social Fund of the Kingdom of Cambodia (SFKC), the National Committee for supporting the Communes (the Commune-Sangkat initiative) and agreed with the Bank in April 2002 (ii) Privatized concession and /or build-operate-transfer (BOT) projects.

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Though the Sub-decree for competitive bidding was issued in 1995, the competitive bidding was introduced only in January 2002 for projects handled by four Ministries (Agriculture, Education, Health and Rural Development); and under a Sub-decree issued in September 2002, competitive bidding was extended to projects of all ministries. Due to budgetary constraints, RGC embarked in 1998 on a policy of increased private sector participation in the delivery of public services and infrastructure projects, utilizing private sector finance. The policy was supported by a BOT Sub-decree issued in February 1998.

Country Procurement Assessment Report (CPAR) of the World Bank:

The CPAR of Cambodia was drawn between September 2002 and April 2003 by a team of staff from the WB working in close cooperation with the staff of the ADB and several ministries / agencies of RGC. The Final CPAR Report was issued in May 2004 recommended the immediate need to put in place simple and continual improvements to meet development needs and at the same time to reduce the opportunity for corruption. This report emphasized the need for highest priority and schedule for the implementation, drafting of a sovereign procurement law, including BOT and concession contracts, increased responsibility for the line agencies in the procurement process; strengthening of procurement skills through training, suggestion on creation of a procurement monitoring office in MEF that would monitor and oversee all public procurement.

Procurement Manual:

Pursuant to the recommendations of the CPAR, the Senior Minister, MEF issued two Prakas on September 19, 2005 promulgating SOP and PM followed by another Sub-decree no. 14 on February 26, 2007 mandating both SOP and PM for the General Secretariat, Cabinet, all relevant departments of MEF, and all relevant executive agencies to comply with. The Manual shall also be implemented for other externally financed projects if agreed to by other donors and was issued in three volumes. The volume I dealt with policies and procedures, the other two volumes provided the national bidding documents for procurement of goods and civil works respectively. RGC has put in place a legal frame work supported by issue of PM and SBDs. However it is seen that the policies and procedures have not percolated down to the implementing agencies. Many of the recommendations of CPAR as mentioned are yet to be implemented.

PRIP Project:

In the PRIP launch Workshop carried out by the WB in association with the MPWT, the salient procurement aspects were covered in 2003. Further, the programs were conducted on project implementation and financial management, procurement (bid preparation and evaluation), contract supervision and management for the staff of MPWT over the last six years. In case of MRD, a number of training programs were done on various topics related with project implementation, but none on the procurement management and contract administration. However, whenever the programs were conducted by MPWT, the officials of MRD were also invited to attend them. An orientation workshop of one-day on the WB procurement procedures was organized by the WB for

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contractors and their representatives in later part of 2009 which was attended by almost 100 participants.

Independent Procurement Agency (IPA):

In the absence of procurement capacity and to expedite implementation of the World Bank funded PRIP, an Independent Procurement Agency (IPA) was mobilized in 2007 to prepare the bidding documents, advertise for bids, conduct bid openings, prepare the evaluation reports, obtain the clearances of the PRC and the WB if need be and forward the contracts to MPWT/MRD for signing the contracts. IPA is handling all works contracts costing above US$50,000 and goods packages of less than $50,000 for MPWT.

Revised Implementation Rules and Regulations Governing Public Procurement (RIRRPP):

After going through the process of consultations with the government, the IRRPP was revised in June 2010 and the revised rules and regulations governing public procurement were disseminated in a workshop hosted by the DPP under MEF of RGC on August 20, 2010. A copy of the revised IRRPP in Khmer was collected from DPP by GPCL and translated it in to English.

GPCL team analyzed the data collected from MPWT, MRD and MEF, held discussions with various officials in RGC and appraised itself with IRRPP and the revised IRRPP along with best practices of the WB (including the Bank’s anti-corruption strategy) and the Transparency International’s Project Anti-corruption standards (PACS) for construction projects. Further some of the contemporaneous issues faced by the counterpart staff of MPWT and MRD while conducting the procurement actions provided basis for considering some improvements to the guidelines of IRRPP and externally funded projects, and these were discussed by the counterpart staff with the faculty during the specified training sessions.

2.1 Review of Revised IRRPP and Suggestions for Improvement

2.1.1 Procurement of Goods and Works

The four methods of procurement for goods are given as (i) International Competitive Bidding, (ii) Domestic Competitive Bidding, (iii) Shopping, and (iv) Domestic Canvassing. Some of the provisions in RIRRPP, which needs further clarifications, are discussed hereunder along with suggestions for improvement:

I. International Competitive Bidding (ICB):

In section 3 dealing with the procurement types, methods and procedures and under 3.2.1 of ICB procedures, it is mentioned about advertisement as under.

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(i) “that bids will be advertised in national and foreign languages in national newspapers with wide circulation that have been continuously publishing at least 2 years and open to all interested bidders; period – at least 60 days”.

(ii) “Bid security: minimum of 2% of the bid price”.

Implication of the above and Suggestions for Improvement:

The process of advertisement is limited to newspapers published only in the country will lead to limited publicity of opportunities available in the country thereby may not attaining the economy and efficiency in the public procurement. Also the current procedures don’t prescribe transmission of notifications to commercial sections of the embassies located in the country. It is suggested that suitable bid advertisement mechanism may be incorporated in the procedures such as publication at least in one international newspaper of relevance, announcement over the national and the ministry’s website as well as project’s and also communication to commercial sections of embassies. This may improve competition and may also result in economy.

(ii) The threshold limits for bid security may be mentioned as “not less than 2% and not more than 5% of the bid price” to provide better clarity to the procurement authorities. By specifying a range, adequate flexibility is provided to the procurement authorities to decide on an appropriate amount towards bid security based on the type of procurement.

(iii) When it is International Competitive Bidding, there is a need to introduce preference for domestic manufacturers/contractors to encourage local industrial community/contracting community and foster growth of industrialization. The national procurement manual may address it in a suitable manner and percentage price preparations may be included for domestic manufacturers/contractors.

(iv) Further, it is advisable to provide threshold limits for International Competitive Bidding specifying that beyond a certain estimated value contracts must be procured through ICB only so that benefits of economy and efficiency will accrue to the country.

(v) It is also necessary to specify some broad policy guidelines in International Competitive Bidding such as acceptance of joint ventures, rights of bidders, etc.

(v) Also standard bidding documents need to be attached to the revised procedures with immediate effect to bring in consistency among the procurement entities.

II. Domestic Competitive Bidding:

The following clauses were mentioned under the Domestic Competitive Bidding.

(i) “Advertised in national language in national newspaper widely circulated and has been continuously publishing at least 2 years in the country and all local and foreign bidders are eligible to bid and no domestic preference for local bidder; Period: at least 30 days”.

(ii) “Bid security: minimum of 2% of the bid price”.

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And in the clauses ITB 19.1 and 23.5 of the standard bidding document (given in Annex 3 (Goods), the following were mentioned.

(i) ITB clause 19.1: “that the bank guarantee towards the bid security shall be submitted by the prospective bidder either from the Treasury General Department of Royal Government of Cambodia or from the National Bank of Cambodia”.

(ii) ITB clause 23.5: “that no copies of minutes of bid opening shall be provided to the bidders”.

And in the clauses ITB 15.1 and 20.5 of the Standard Bidding Document (given in Annex 3 (Works), the following are mentioned.

(i) ITB clause 15.1: “that the bank guarantee towards the bid security shall be submitted by the prospective bidder either from the Treasury General Department of Royal Government of Cambodia or from the National Bank of Cambodia”.

(ii) ITB clause 20.5: “that no copies of minutes of bid opening shall be provided to the bidders”.


(i) The process of advertisement is limited to national language newspapers published in the country. In order to provide wide publicity regarding the business opportunities available in the government, it is suggested that suitable bid advertisement mechanism may be incorporated in the procedures such as publication at least in one national language newspaper and one English language newspaper in the country, announcement over the national and the ministry’s website as well as project’s.

(ii) The threshold limits for bid security may be mentioned such as “not less than 2% and not more than 5% of the bid price” to provide better clarity to procurement authorities. By specifying the range, adequate flexibility is provided to the procurement authorities to decide on an appropriate amount towards bid security based on the type of procurement.

(iii) Further, it is advisable to provide a lower and an upper threshold limit for Domestic Competitive Bidding to facilitate usage of this method by the procurement authorities so that the benefits of economy and efficiency will accrue to the country.

(iv) It is also necessary to specify some policy guidelines for the Domestic Competitive Bidding such as acceptance of joint ventures, rights of bidders, etc, and suitable procedures may be included in the standard bid documents.

(v) The clause pertaining to submission of bank guarantee towards the bid security from the Treasury General Department or the National Bank of Cambodia (ITB clause 15.1 of SBD for Goods procurement given in Annex 3) may discourage the participation of foreign bidders as the time required to complete the formalities to obtain the bid security for foreign bidders is longish given the current banking situation with the result that competition may get

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severely restricted in certain procurement. Hence the procedures prescribed in the procurement guidelines (PGL) of the Bank may be followed (refer to footnote no. 30 and sub-clause no. 2.14 in page no. 16 of PGL of the Bank).

(vi) ITB clause 23.5 in SBD for Goods procurement and ITB clause 20.5 in SBD for Works Procurement mentions that no copies of minutes of bid opening shall be provided to the bidders. This will result in lack of adequate transparency and fairness to the participating bidders. If this is shared as in the case of procurement procedures for the Externally Aided Projects, the bidders can use the information for their record and decide on a better bidding strategy so that the benefit of competition will accrue to the country.

III. Shopping:

The following clause for Procurement of Goods is mentioned.

“Advertised in national language in national newspaper widely circulated and has been continuously publishing at least 2 years in the country or invite bids from the shortlist of bidders at least three”.

The following clause for Procurement of Works is mentioned.

(i) “Advertised in national language in national newspaper widely circulated and has been continuously publishing at least 2 years in the country or invite bids from the shortlist of bidders at least three”.

(ii) “as per ITB clause 14 of shopping SBD (provided in Annex 3), the information pertaining to minutes of bid opening shall not be provided”.


(i) The process of advertisement is limited to national language newspapers published in the country. In order to increase the publicity of available business opportunities in the government, it is suggested that suitable bid advertisement mechanism may be incorporated in the procedures such as publication at least in one national language newspaper, one regional language news paper and optionally one English language newspaper in the country, announcement over the national and the ministry’s website as well as project’s.

(ii) Further it is advisable to provide lower and upper threshold limits for shopping to facilitate usage of this method by the procurement authorities so that benefits of economy and efficiency will accrue to the country.

IV. Domestic Canvassing:

In the sample bidding document provided in Annex 3 (Goods procurement), there was no mention of whether public bid opening would be conducted after receipt of the bids.


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(i) It may be made clear whether public bid opening would be conducted or not in the sample bidding document. If it is conducted, the procedures shall be mentioned and shall be the same as in Domestic Competitive Bidding to achieve the same level of transparency in procurement.

(ii) Further it is advisable to provide threshold limits for domestic canvassing to the various line ministries depending on the procurement capacity of the line ministry to facilitate usage of this method by the procurement authorities so that benefits of economy and efficiency will accrue to the country.

V. Direct Procurement:

The Direct Procurement method has been suggested for use in case of (i) Equipment and specification that used have only one source (ii) disaster or an emergency that requires response with in short period, (iii) research experiments or development, and (iv) no competition or no response from bidders.


(i) There is a need to redefine / add the circumstances under which the direct procurement method can be adopted by projects. Example, procurement of accessories/add-on goods for previously procured goods on competitive basis.

(ii) The direct procurement should be initiated only after obtaining prior approval from the competent authority in the line ministry/MEF depending upon the estimated to cost. After the contract signature, the Ministry shall publish in its website the name of the contractor / supplier, price, duration and summary of scope of contract as part of transparency.

(iii) In the revised IRRPP, the threshold limits along with the procedures for direct procurement of goods or works need to be provided. This is desirable.

2.1.2 Procurement of Consultancy Services

Some of the points for consideration of inclusion to the procedures of procurement of consultancy services are given below.

(i) The threshold limits for various methods of procuring the consultancy services are not given in the revised IRRPP. Such fixing of thresholds would avoid inconsistent application by different procurement entities.

(ii) Also there is a need to specify the minimum number of firms in the short list of consultants.

(iii) Enunciate guidelines for stipulating minimum qualifying marks by consulting firms in case of QBS or International or National QCBS or FBS or LCS method of hiring of consultancy services.

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2.1.3 Procurement Process

Some of the existing provisions of RIRRPP and suggestions for their further improvement are given below:

Sl No Clause in RIRRPP Suggestion(s) for Further Strengthening

(i) RIRRPP clause 3.10.4: All clarifications or queries shall be submitted by bidder in writing only.

The clause should also include that all replies shall be sent to all bidders who have purchased bid documents and shall be given to bidders who purchase the bid document thereafter.

(ii) RIRRPP clause 3.10.4.4: Procurement authority shall respond to queries or clarification from bidders within 7 days of receipt of the query or clarification from the bidder.

Stipulate the difference (number of days) between the date of communicating clarification to all the potential bidders and stipulated date of bid opening in order to ensure that the clarification was communicated to all bidders who have purchased the document already and shall be incorporated into the bid document that purchases the bid thereafter to clarification. In case of inordinate delay, the date of bid submission/opening would be appropriately extended.

(iii) RIRRPP clause 3.11.3: Time for opening of bids is immediately after receipt of bids.

It is advisable to allow between 15 - 30 minutes for opening of bids after stipulated deadline (time) for receipt of bids for centralized/single bid collection point and opening.

The appropriate guidelines for time for opening of bids of decentralized bid collection and opening may be included.

(iv) RIRRP clause 3.11.7.4: Not very clear that the withdrawn bids shall not be opened and shall be returned to the bidder unopened.

Modify corresponding clause saying that “the withdrawn bids shall be returned unopened to the bidder”.

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(v) RIRRPP sub-clause 3.11.8, Pages need to initial:

Not included the sub clause for corrections and over writings.

Another sub-clause may be included under 3.11.8, all corrections or over-writings must be countersigned by all members of the bid opening committee and the signed ones shall be considered during the bid examination / evaluation

(vi) RIRRPP clause 3.13.2.2: The purchaser’s right to vary quantities prior to the contract award is not a negotiable issue.

Specify range of variation over/under the solicited quantity and appropriately built-in into the bid document at the time of award. Normally it is an accepted international practice that the purchaser is allowed variation of +15% or -15% of the quantity mentioned in the bid document in case of procurement of goods.

(vii) RIRRPP sub-clause 3.12.6.6: when prices are not given for some items in the bid, those bids will be rejected.

In the context of this sub-clause needs to consider probable scenarios.

(i) In case of goods procurement, when the evaluation is based on the price quoted for each item, the bids need not be rejected. However when bids are invited on lump sum basis (for all items together), then the bids can be rejected.

(ii) In case of civil works procurement, when prices are not quoted by the bidder for some items of work in the Bill of Quantities / bid, it is normally considered that the bidder has included the price of carrying out of these items of work in prices quoted for other items of work. While implementing the contract, no additional payments will be considered or made for carrying out these items of work by the successful bidder.

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(viii) RIRRPP Clause 3.13.2: Negotiation of procurement of goods, works and services; The EA is allowed to negotiate the price with the lowest price quoted bidder to reduce the bid price rather than re-bid.

The sub-clause may be suitably redrafted to include the situations under which the negotiations are permitted as well as formation of a committee for negotiation and procedure for conducting the negotiations including analysis of budgetary estimates, current market rates and detailed rate analysis and seeking clarification from the bidder (s) if any. Further we suggest that a threshold limit may be specified (over or under the estimate of prices by the EA before inviting quotations) when to negotiate with bidders.

A quantitative assessment on the outcomes of negotiations may be conducted based on the sample contracts over a period of time to draw comparison with likely gain in the cost with delay/time taken for negotiation.

2.2 Modifications suggested to Procurement Procedures of EAPs

The PM dealing with policies and procedures, Standard Bidding Documents for procurement of works and goods in three volumes along with SOP for externally financed projects in Cambodia was approved in September 2005 in consultation with WB and ADB. Pursuant to the recommendations of CPAR, the Senior Minister, MEF issued two Prakas on September 19, 2005 promulgating SOP and PM, followed by the Sub-decree no. 14 on February 26, 2007 mandating both SOP and PM. General Secretariat, Cabinet, all relevant departments of MEF, and all relevant executive agencies shall have to comply with this Sub-decree. The Manual shall also be implemented for other externally financed projects if agreed to by other donors. The procedures enunciated in the above procurement manual are in implementation for all externally funded projects from February 2007 onwards. GPCL team has reviewed the procedures in comparison with the WB’s procurement and consultancy guidelines as well as other good procurement practices in public procurement. Some of the modifications which appear reasonable to make the procurement procedures for externally funded projects more robust are mentioned below.

(i). In the volume I of the PM, Para 2.21 under Section 2 mentions that with regard to economy (lines no. 3 and 4) users of the procurement manual should always bear

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in mind that value for money is represented by a number of factors, not only by the price paid for the goods.

Implication of the above clause and Suggestions for Improvement: Normally the price paid is basic price quoted by the bidder and is used for comparison and evaluation purposes of prices quoted by all bidders to select the lowest evaluated responsive bidder. Apart from the basic price payable to the bidder, some other factors are also considered and the price of them are computed (such as useful life, O&M and servicing costs, onward transportation costs, etc) and added in arriving at the final price to the purchaser. Hence there is a need to clarify this as ‘Basic Price’ in the relevant paragraph.

(ii). In the volume I of the PM, Para 2.8.9 under Section 2 deals with non-acceptance of business gifts either from the current or potential government suppliers (bidders) unless such gifts are of very small intrinsic value such as a calendar or a business dairy.

Implication of the above clause and Suggestions for Improvement: It is a common practice among the business community (suppliers, contractors and consultants included) to hand over business gifts during certain occasions like local festivals or international relevant occasions such as a New Year day. In order to put a cap on this, it is advisable to specify the value of the gifts in terms of either US dollars or in Cambodian currency and shall include all bidders and potential bidders.

(iii). In the Volume I of the PM Para 3.1.1 in Section 3 deals with the highest standards of ethics to be observed by the EAs and oversight agencies as well as current and potential bidders during the selection and execution of contracts and the terms are set forth including corrupt practices, fraudulent practices, collusive practices and coercive practices.

Implication of the above clause and Suggestions for Improvement: In the recent past, the World Bank added ‘Obstructive Practices’ to the list of practices that are considered as part of fraud and corruption in the procurement function of WB funded projects. In order to update the practices under fraud and corruption clauses as part of policy, it is advisable to add the ‘obstructive practices’ clause to this list in alignment with other clauses as given in the Procurement Guidelines of the Bank, May 2010. On the same lines, Clause 3 on Fraud and Corruption in Section I – ITB of SBD of procurement of goods in Volume II and procurement of works in Volume III of PM may be modified.

(iv). In the Volume I of the PM, Para 4.5 in Section 4 deals with availability of Standard Bidding Documents from ADB and WB and the list of SBDs / RFPs as of 2005.

Implication of the above clause and Suggestions for Improvement: The WB and the ADB have been revising their Standard Bidding Documents / Request for Proposals in the light of revisions made to the procurement and consultancy guidelines from time to time. The WB issued new guidelines in May 2010 of its guidelines as of October 1, 2006. It is advised that the current guidelines of the WB and ADB shall be adopted by the projects in Cambodia in consultation with

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DPP and to that effect, the wording of this paragraph may be appropriately modified. Further, the DPP, RGC may be entrusted with the responsibility of disseminating information on the revised Standard Bidding Documents and Request for Proposals of the World Bank and the Asian Development Bank to all projects.

(v). In the Volume I of the PM, Para 5.1.2 in Section 5 (advertising of opportunities) deals with publication of specific procurement notices (SPN) for Shopping – Goods and Works above the threshold stated in Annex V of PM. It is mentioned that the SPNs would be published in one Khmer language newspaper national or provincial circulation.

Implication of the above clause and Suggestions for Improvement: In this instance, when we refer to Shopping method of procurement, we refer always to national shopping method that allows all bidders located in the country to get the information on the business opportunities generated by the Bank funded projects on par with provincial bidders. In view of this, it is suggested that the advertisement / notification may be published not only in national Khmer newspaper (s) but also in provincial Khmer newspaper (s) and Clause 10.3.4 may be revised accordingly.

(vi). In the Volume I of the PM, Para 5.3.6 Section 5 (publication of contract awards) deals with the publication of summary of evaluation, goods and works contracts as well as services contracts.

Implication of the above clause and Suggestions for Improvement: The intension of the above procedure augurs well to enhance transparency in public procurement. However, if any bidder (suppliers, contractors and consultants included) who wishes to ascertain the grounds on which its bid / proposal was not selected could request a de-briefing or explanation with regard his bid / proposal from the Employer/Purchaser. This point may be also included in the format of the summary of evaluation when it is taken for revision so that the same may be published in relevant papers.

(vii). In the Volume I of the PM, Paragraphs 16.1.5 (bid opening procedures) and 16.5 (pages to be initialed) in Section 16 deal with bid opening procedures and pages to be initialed. The procedure as to how to handle in case of alterations or corrections or overwriting of either prices or any other pages in the bids submitted at the time of bid opening has not been dealt with.

Implication of the above clause and Suggestions for Improvement: In order to deter or avoid any alterations or corrections to the bids submitted and opened at a later date, it is advisable to include the procedures as to how to handle by the procurement review committee in case of alterations or corrections or overwriting of either prices or some other points in any other pages of the bids submitted at bid opening. The suggested procedure is that the overwriting or alterations or corrections in bids submitted shall be circled and all members of the procurement review committee or bid opening committee shall sign all of them at the time of bid opening, and the same shall be read out and recorded in the bid opening minutes. Once this procedure is adopted, corrections or overwriting or alterations

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initialed by all members of PEC or bid opening committee shall only be considered appropriately during preliminary examination or detailed evaluation of bids.

(viii).In the Volume I of the PM, Para 18.2.5 (negotiations, goods and works) in Section 18 deals with the procedure to be adopted in case the proposed contract price exceeds the pre-bid cost estimates by a substantial margin. The possible causes for the cost difference is to be assessed by the EA and approval of the Procurement Review Committee and where required of the DA, is to be obtained on the proposed next steps, which may include re-invitation of bids after revision of bidding documents to address the identified causes.

Implication of the above clause and Suggestions for Improvement: In order to avoid any hasty decisions on the basis of information collected by the EA if such a situation arises while carrying out the procurement; it is advisable to seek clarifications from the bidders on breakdown of unit rates or detailed rate analysis for the items of work that exceeded the pre-bid cost estimate. This has been already under clarifications of bids under Section I – Instruction to Bidders in the standard bid document for works procurement (Annex IIIC of PM). Further the information on the budget estimates may be revised in line with the market rates for the items of the work or goods by the purchaser. The information from both bidder (s) and the market rates may be compared and contrasted to facilitate the work of the procurement committee before arriving at a suitable decision. To carry out this, a suitable procedure may be evolved on these lines and prescribed in the procurement manual.

(ix). In the Volume I of the PM, Para 18.2.6 (negotiations, goods and works) in Section 18 deals with the procedure to be adopted in case of face-to-face negotiations.

Implication of the above clause and Suggestions for Improvement: In order to avoid any problems after completion of negotiations, the outcome and results of the face-to-face negotiations conducted in the past may be compiled to find the veracity or the authenticity of negotiations. GPCL is of the opinion that face to face negotiations may be allowed only under exceptional circumstances with the prior approval of DA and a suitable mechanism may be introduced in the manual.

(x). In the volume I of the PM, Para 18.3.1 (the notification of award / letter of acceptance) in Section 18 deals with the format to be sent to the successful bidder.

Implication of the above clause and Suggestions for Improvement: In order to expedite the whole process of contract signing with a successful bidder, the format of Letter of Acceptance may be revised to include details of the adjudicator, submission of construction methodology and proforma for advance processing, if any.

(xi). In the volume I of the PM, Para 18.7.2 (failure of a bidder to sign the contract or provide the performance security) in Section 18 mentions that when the successful bidder fails to sign the contract will result in the forfeiture of the bid and performance securing declaration and the bidder being disbarred from all

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public procurement for a period of three years or the bidder paying a penalty of 2% of the contract award value to compensate the EA.

Implication of the above clause and Suggestions for Improvement: In order to deter the successful bidders in not signing the contract or provide the performance security, it is suggested that the failure to sign or provide performance security should result in the forfeiture of the bid security /security declaration or the bidder being disbarred from all public procurement for a period of three years. The contracts shall be signed only after receipt of the performance security subsequently validation of the PS with the issue bank. The clause may be suitably worded to reflect this new approach.

(xii). In the volume I of the PM, Para 20.4.7 (pre-shipment inspection of goods) mentioned that when pre-shipment inspection is required, the bidding document will instruct the bidder to nominate a reputable pre-shipment inspection company, acceptable to the tender committee based at or close to the location of the goods to be supplied, it will also specify the type of inspection and tests to be carried out. The cost of pre-shipment inspection will be shown in the bidders bid as a separate item and included in any resulting contract but not included in the evaluation of bids. The pre-shipment inspection of drugs must include random sampling and analysis. The pre-shipment of second hand and reconditioned equipment needs to include the start up and running the equipment.

Implication of the above clause and Suggestions for Improvement: If the bidder is instructed to suggest an inspection agency, this is a sure case of conflict of interest. It is advisable for the EA to identify the inspection agency on its own, arrive at the type of inspection and tests to be carried out, and appoint the agency to carry out the inspection under its instructions. The clause may be suitably redrafted to reflect the new approach but also avoid the conflict of interest.

(xiii).In the volume I of the PM, Para 20.6.2 (receipt and inspection and issue of goods) mentions that within three days following the arrival of goods the procurement officer or technical officer (any other individual authorized by the project), in the presence of supplier’s representative if they choose to attend as per the conditions [(i) – (v)] listed in PM for rejecting the goods.

Implication of the above clause and Suggestions for Improvement: The time period specified is very restrictive. Instead, it is suggested to specify the three working days from the date of arrival of goods for conducting the inspection of goods received in the presence of supplier’s representative if they choose to attend as per the conditions [(i) – (v)] listed in PM for rejecting the goods.

(xiv). In the Volume I of the PM, Para 20.8 (contract supervision and administration – works contracts) in Section 20 deals with the tasks to be carried out under contract supervision and administration.

Implication of the above clause and Suggestions for Improvement: In order to get the work done by the contractors as per standards and specifications mentioned in the contract, the role of the project manager shall be redefined and included in the tasks list such as the supervision of contractor’s works and adherence of the

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contractor to carry out works according to the proposed construction methodology, standards and technical specifications, accepted schedule of items of work, and conducting & recording of management meetings periodically.

(xv). In the Volume I of the PM, Para 24.4.3 (claims against a sea carrier) in Section 24 (insurance for goods) deals with the time line to get the claims resolved within the period and it is mentioned that extension shall be agreed with the carrier before actual expiry of the nine months period.

Implication of the above clause and Suggestions for Improvement: GPCL is of the view that normally where a discrepancy certificate is given, six months is usually allowed from the date of cargo offloading from the ocean vessel to lodge a claim against the carrier. Hence suitable changes may be considered after confirmation with the insurance / sea carrier companies.

(xvi). In Volume I of the PM, Para 24.5.2 (claims against an air carrier) in Section 24 (insurance for goods) deals with the time line regarding submission of written claims within 120 days from the date of Air Way bill.

Implication of the above clause and Suggestions for Improvement: We are of the view that normally when a non-delivery of whole consignment takes place, written claims must be made within 60 days from the date of the Air Way bill. Hence suitable changes may be considered after confirmation with the air freight / insurance companies.

(xvii). In Volume II of PM, Clause 34 in Section I -ITB doesn’t mention whether the employer can make the award to the next lowest evaluated bidder or call for new bids when the successful bidder fails to comply with the requirements of ITB Clause 34.

Implication of the above clause and Suggestions for Improvement: If the successful bidder fails to comply with the requirements of ITB Clause 34, then to facilitate the employer to go ahead with next lowest evaluated bidder, the clause may be restated as follows “Failure of the successful bidder to comply with the requirements of ITB Clause 34 shall constitute sufficient grounds for cancellation of the award and forfeiture of the bid security or execution of the Bid Declaration, in which event the Employer may make the award to the next lowest evaluated bidder or call for new bids”.

(xviii). In Volume II of PM, Clause 13 in Section III –GCC (payment) doesn’t mention the outer limit for payment towards goods supplied and also doesn’t specify if the supplier is eligible for any interest on the late payment.

Implication of the above clause and Suggestions for Improvement: It is common good practice of any procurement system to specify the outer time limit for making the payment to the supplier. Hence a sub clause may be added as follows “payment shall be made promptly by the purchaser, but in no case later than sixty (60) days after submission of an invoice or request for payment by the supplier and after the purchaser has accepted it”. Further another sub-clause may be added as follows “in the event that the purchaser fails to pay the supplier any payment by its due date or within period set forth in the SCC, the purchaser shall pay to the

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supplier interest on the amount of such delayed payment at the rate shown in the SCC, for the period of delay until payment has been made in full, whether before or after judgment or arbitrage award”. Suitable sub-clause may be introduced in SCC to reflect this change.

(xix). In Volume III of PM, Clause 42 in Section III –GCC (payments to the contractor) doesn’t mention the outer limit for payment towards the work completed by the contractor and also doesn’t specify if the contractor is eligible for any interest on the late payment.

Implication of the above clause and Suggestions for Improvement: It is common good practice of any procurement system to specify the outer time limit for making the payment to the contractor. Hence a sub clause may be added as follows “the employer shall pay the contractor the amounts certified by the project manager within 28 days of the date of each certificate. If the employer makes the late payment, the contractor shall be paid interest on the late payment in the next payment. Interest shall be calculated from the date by which payment should have been made up to the date when the later payment is made at the prevailing rate of interest for commercial borrowing for each of the currencies in which payment s are made and if the amount certified is increased in a later certificate or as a result of an award by the Adjudicator or an Arbitrator, the contractor shall be paid interest upon the delayed payment as set out in this clause. Interest shall be calculated from the date upon which the increased amount would have been certified in the absence of dispute”. Further the relevant sub-clause in SCC may be changed suitably.

(xx). In Volume III of PM, Clause 26 in Section I – Instructions to Bidders doesn’t deal with situations that may arise when the successful bidder’s bid is seriously unbalanced in relation to the Engineer’s estimate of the cost of the work to be performed under the contract.

Implication of the above clause and Suggestions for Improvement: There are possibilities for the successful contractor only to complete the items of work that are beneficial to them and desert the work at some stage when it is not remunerative to them. To avoid or deter the contractor in case of submission of seriously unbalanced bids in relation to the engineer’s estimate, the following additional sub-clause may be introduced under Clause 26 of Section I – ITB of SBD - civil works procurement. It may be stated like “If the bid of the successful bidder is seriously unbalanced in relation to the Engineer’s estimate of the cost of the work to be performed under the contract, the employer may require the bidder to produce detailed price analyses for any or all items of the Bill of Quantities to determine the internal consistency of those prices with the construction methods and schedule proposed. After evaluation of the price analyses, the employer may require that the amount of performance security set forth in Clause 31 be increased at the expense of the successful bidder to a level sufficient to protect the employer against financial loss in the event of default of the successful bidder under the contract”. If the above is acceptable, further the Clause 31.1 in Section I – ITB may be revised as follows “Within fourteen (14) days of the receipt of notification of award and Letter of Acceptance from the employer, the successful

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bidder shall furnish the Performance Security in an amount specified in the GCC, plus additional Performance Security for unbalanced bids in accordance with Clause 26 of ITB, denominated in the currency of the contract and in accordance with the GCC”.

Consolidation of suggestions made in sections 2.1 and 2.2 Several changes suggested under sections 2.1 and 2.2 of chapter 2 with regard to revised IRRPP and PM for EAPs were consolidated in a table for easy readying and taking appropriate actions. Further these were discussed with the participating officials of MPWT and MRD who participated in the Workshop conducted on 16th December 2010 in the office of H.E. Dr. Lim Sidenine. Their views were recorded and further identified the ministry or department which can take suitable actions on these suggestions. The details of the consolidated suggestions made in sections 2.1 and 2.2 are given in Annex -15 of this report.

2.3 Capacity Development: Training Sessions The five specific training sessions identified by GPCL in consultation with the Client were program on procurement of civil works, goods, consultancy services, GGF/GGAP implementation and website enhancement, operation and maintenance. As per schedule mentioned in the Inception Report, all five specific training sessions were completed by end of September 2010.

A specially developed questionnaire to assess the knowledge of counterpart personnel identified for training in the MPWT and MRD was distributed in the first week of June 2010. The objective of this exercise was to gauge the knowledge of counterpart staff with regard to national procurement procedures, procurement procedures for the Externally Aided Projects, and GGF/GGAP implementation. Further, information was collected on the topics to be covered in each of the proposed specific training sessions. A copy of the questionnaire is attached as Annex- 1.

By the middle of July 2010, GPCL team received 8 questionnaires from the identified counterpart staff and the results were consolidated and analyzed. Many identified officials had exposure to the national procurement procedures but little / no to the procurement procedures / activities of Externally Aided Projects. Most of them wanted to know the World Bank’s general procurement policies and procedures as well as the bid evaluation procedures as applicable to Externally Aided Projects. On the basis of consolidated results of questionnaires and discussions with the key staff of PRIP and RAMP, the team firmed up the content, curriculum and faculty of the training programs on Procurement of Civil Works (four days), GGF/GGAP and Website Enhancement (two days each).

It was agreed in the meetings with the officials of PRIP and RAMP that emphasis of these training sessions on procurement of civil works, goods and consultancy services shall be on the procedures and processes enunciated in the

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approved procurement manual by the Royal Government of Cambodia in 2007. Similarly it was agreed that the emphasis of GGF/GGAP implementation shall be on the basis of experience of adoption of the same for PRIP and RAMP projects. As for web site enhancement the emphasis was to be on the experiences of MPWT and MRD plus the project disclosure policy as agreed for these projects.

In addition to the team members, the GPCL enlisted the support of Mr. N. Raman, who has worked with the WB office of South Asia as Principal Procurement Specialist and Procurement Hub Coordinator during late ‘90s and even now is working as a consultant to the Bank at New Delhi office. Mr. Raman participated as one of the key faculty for training sessions on procurement of civil works and goods in August and September 2010 respectively. The team members played the role of key faculty and shared the workload in all training sessions.

The content and curriculum of the three training programs were communicated to the Project Directors of PRIP-MPWT, PRIP-MRD and RAMP for their review and comments before commencement of the programs. Also two sets of hard copies of reading materials along with the detailed schedule of the training sessions were distributed to participants of each specific training session and soft copies were also submitted to PRIP-MPWT for record.

Since the training hall proposed by PRIP was not found suitable, at the suggestion of the project authority, all arrangements were made for all the five training sessions in Phnom Penh Hotel which was the venue for the National Seminar of MPWT in May 2010. The intimation was sent to all the identified counterpart staff of PRIP-MPWT, PRIP-MRD and RAMP-MPWT by the project authority in advance including the identified counterpart staff from provinces.

In August 2010, a total of three specific training sessions were organized and in September, the remaining two training sessions were conducted as shown in the Table 1. A total list containing names of 26 officials was received as the counterpart staff identified for attending the training sessions. All of them were either from MPWT or MRD. The client informed that there would be some drop outs and no advance intimation would come from them.

The schedule and the reading material kits were sent electronically to the client in advance of the program. Further, two sets of the reading material kits of each program were also provided to the client. The session-wise schedule of each of five training sessions conducted as per Table 1 is given respectively in Annex 3, 5, 7, 9 and 11. The reading material kit of all five training sessions (on a separate optical disc) has been handed over to the client for subsequent internal training.

The programs were conducted as per schedule circulated in advance. After the inauguration of each program, the counterpart officials were asked to state their expectations from the program which were compared with the curriculum of the program to make suitable changes with regard to emphasis on certain aspects of program.

Since on-the-job training was an important aspect to be covered in GPCL assignment, all the participants were encouraged to raise questions and seek

Table 1. Detail of Capacity Development Trainings (Planned and Actual) Sl. No

Title of the Training Program Profile of participants

No. of participants Duration of Training (days)

Date of Training

Proposed Actual Proposed Actual Proposed Conducted1 Civil works Procurement –

General policies and procedures, Preparation of bidding documents, invitation of bids, advertisement, receipt and evaluation of bids, and award of contract.

Middle level officials connected with Civil Works procurement

20 (10 each from

MPWT and

MRD)

D1: 31; D2: 23; D3: 25; D4:26;

Feedback provided

by 16. ( Annex –

4)

4 4 July 27 to 30, 2010

August 2 to 5, 2010 Schedule (Annex 3)

2 GGF/GGAP – General framework, Issues involved and actions to mitigate risk, target/ monitoring,

Middle level officials connected with GGAP/GGF implementation

15 to 20 (Equal number

from MPWT

and MRD)

D1:27; D2:26;

Feedback provided

by 16. ( Annex –

6)

2 2 August 12 to 13, 2010


3 a) Additional webpage design. Development of database &database dictionary

b) Uploading of data.

Using MIS. Regular maintenance of website

Middle level officials connected with Website

10 (from MPWT

and MRD)

D1:25; D2:22;

Feedback provided

by 19 ( Annex –

8)

2 2 August 19 to 20, 2010


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Sl. No

Title of the Training Program Profile of participants

No. of participants Duration of Training (days)

Date of Training

Proposed Actual Proposed Proposed

Actual Proposed

4 Goods Procurement – General policies and procedures, Preparation of bidding documents, invitation of bids, advertisement, receipt and evaluation of bids, and award of contract.

Middle level officials connected with Goods procurement

20 (10 each from

MPWT and

MRD)

D1:18; D2:14; D3:18; D4:18;

Feedback provided

by 10 ( Annex –

10)

4 4 September 27 to 30, 2010

September 20 to 23, 2010 Schedule (Annex 9)

5 Consultants Procurement – General Policies and procedures, preparation of ToR and RFP, receipt and evaluation of proposals, negotiations and award of contract

Middle level officials connected with procurement of consultants services

20 (10 each from

MPWT and

MRD)

D1:21; D2:20; D3:19;

Feedback provided

by 16 ( Annex –

12)

3 3 October 4 to 6, 2010

September 27 to 29, 2010 Schedule (Annex 11)

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clarifications required with regard to procurement activities carried out in their respective projects. These were taken up for discussion and various options and solutions or approaches were listed down as well as consequences of these actions. The relevant clauses were identified in the PM for External Aided Projects of RGC and were explained including principles behind these clauses. The participants were encouraged to debate these procurement issues / concerns before arriving at a suitable approach within the framework of the PM of RGGC.

Further, the participants were given a number of case studies and hands-on exercises in each training session to enhance learning from these sessions. Almost all training sessions were attended by more than the number of staff proposed in the Inception Report as shown in the Table. To facilitate better understanding of topics covered in each training session, GPCL engaged an interpreter for simultaneous translation in to Khmer. After conclusion of each training session, its usefulness as well as the emphasis and topics to be covered in the next training session were solicited through the feedback format. Thereby GPCL covered not only pre-testing of their knowledge but also the knowledge gained by participants during the training session.

All the officials working in PRIP-MPWT extended excellent cooperation in smooth conduct of all the 5 specific training sessions specially, Ms. Tep Bonita, Mr. Dor Mao and Ms. San Solyna.

2.3.1 Program on Procurement of Civil Works

At the invitation of GPCL, the first training session was inaugurated by H.E. Dr. Lim Sidenine, Secretary of State, MPWT and attended by Mr. Tunn Chandara, Project Director, PRIP, MRD. A note on inaugural address was submitted to His Excellency by GPCL with a view to facilitate him not only to inaugurate the program but also to explain the importance, relevance and background of the capacity building project (CS-2) on procurement and GGF / GGAP and is given as Annex - 2.

The participants were divided into 3 groups to carry out exercises and case studies with 7 to 8 officials in each group. Further Do-it-Yourself exercise on carrying out evaluation of bids received for procurement of civil works was handed over to the participants. Some of the live issues faced by officials in carrying out procurement activities in their projects were also discussed. One of them was pertaining to procurement of civil works when two bidders quoted the same lowest price. The issue was discussed considering the procedure mentioned in the PM of RGC and the procurement guidelines of WB. Information pertaining to country specific experiences in India and other South Asian countries along with Iran and Indonesia were shared with the participants. The informal feedback on the program exceeded the expectations. Only 16 participants handed over the written feedback and the consolidated feedback is given as Annex – 4. Almost two-thirds of participants of the program rated the program ‘Excellent’ and mentioned that they would be in a position to utilize the program not only in appreciation of steps involved in procurement of civil works but also facilitate the procurement actions effectively. Regarding the transfer of knowledge to other staff in the department, only 50% of the participants were confident of doing that. Further all participants identified

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that the learning from the program would help them in discharge of their duties and responsibilities.

2.3.2 Program on GGF / GGPA

During the program, many of the live issues faced by officials in carrying out GGF / GGPA implementation in their projects were discussed. The information pertaining to India’s specific experiences in implementation of GGF / GGPA was also shared with the participants.

The informal feedback on the program exceeded the expectations. Only 16 participants handed over the written feedback and the consolidated feedback / summary is given in Annex – 6. A strong majority of participants felt that the sessions delivered in the program were useful and most of the participants mentioned that they would be in a position to utilize the program not only in appreciation of steps involved in GGF / GGPA but also to facilitate the GGF / GGPA actions effectively. Regarding the transfer of knowledge to other staff in the department, only 50% of the participants were confident of doing that. Further all participants identified that the learning from the program would help them in discharge of their duties and responsibilities with regard to implementation of GGF/GGPA.

Participants for GGF and GGAP Training with Faculty

2.3.3 Program on Web Site Enhancement

During the program, some of the live issues faced by officials in carrying out web site enhancement in their projects were discussed. The information pertaining to specific experiences in implementation of web site enhancement in the ministries of public works

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and transport in India’s provinces / states such as Maharashtra, Madhya Pradesh, etc, was also shared with the participants.

The informal feedback on the program exceeded the expectations. Only 19 participants handed over the written feedback and the consolidated feedback / summary is given in Annex – 8. A strong majority of participants felt that the sessions delivered in the program were useful and most of the participants mentioned that the participants would be in a position to utilize the program not only in appreciation of steps involved in Web site enhancement (69% of participating officials) but also to facilitate the web site enhancement actions effectively. Further all participants identified that the learning from the program would help them in discharge of their duties and responsibilities with regard to implementation of web site enhancement. Regarding the transfer of knowledge to other staff in the department, only 47% of the participants were confident of doing that.

Participants for Website Enhancement Training with Faculty

2.3.4 Program on Procurement of Goods

During training, many of the live issues faced by officials in carrying out procurement of goods and equipment in their projects were discussed. The information pertaining to specific experiences in procurement of goods and equipments in India and Iran was also shared with the participants.

The participants were encouraged to bring the procurement issues encountered irrespective of category. One such procurement issue was discussed pertaining to procurement of civil works (culverts) and the faculty of the program provided various options available as per the PM of RGC as well as the procedures of the World Bank.

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The informal feedback on the program exceeded the expectations. Only 10 participants handed over the written feedback and the consolidated feedback / summary is given as Annex – 10. A majority of the participants felt that the sessions delivered in the program were useful. Most of the participants mentioned that the they would be in a position to utilize the program not only in appreciation of steps involved in procurement of goods (100% of all participants) but also to work as member of procurement review committee as well as to facilitate the goods procurement (90% of participants) effectively. Regarding the transfer of knowledge to other staff in the department, only 60% of the participants were confident of doing that.

Participants for Procurement of Goods Training with Faculty

2.3.5 Program on Procurement of Consultant Services

Many of the live issues faced by officials in carrying out procurement of consultant services in their projects were discussed. The participants wanted to know specifically the differences between principles and procedures of civil works / goods and consultancy services, and the principles underlying these principles and procedures. The differences as well as the comparisons between civil works / goods procurement and consultancy services were provided by the faculty along with underlying principles. The various aspects of inviting expressions of interest, short listing, preparation and receipt of RFP, evaluation of proposals, important of limited negotiations, and salient features of contracts were explained. Further, the evaluation of proposals citing examples of recruitment of consultancy firms in Iran (recruitment of an international consultant for

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providing monitoring advisory services with QCBS method of selection) was provided. The procedures for recruitment of individual consultants were also discussed.

In the informal feedback given by the participants (16 were received and consolidated feedback is given in Annex – 12.), most of the participants felt that the training sessions were excellent and sessions delivered in the program were useful. Many of the participants mentioned that they would be in a position to utilize the program not only in appreciation of steps involved in procurement of consultant services (82% of participants) but also to work as a member of procurement review committee as well as to facilitate the consultant services procurement effectively. Regarding the transfer of knowledge to other staff in the department, only 68% of the participants were confident of doing that. Further, all the participants identified that the learning from the program would help them in discharge of their duties and responsibilities with regard to implementation of procurement of goods.

2.4 Overall Findings of Specified Training Sessions and Recommendations Most of participants had very little exposure to the procurement procedures applicable to the Externally Aided Projects; however, some of them had exposure to the national procurement procedures. Further, they were involved mostly in procurement of goods but not in procurement of civil works or consultancy services. The bi-polar exposure of participants nominated by MPWT and MRD was a challenge to the faculty to develop the curriculum as well as to delivery of sessions to the participants. Though dates for the specific training sessions were indicated in GPCL Inception Report and advance actions were taken to inform the nominated officials of dates of programs, the other training activities of both ministries of public works and transport and the rural development were at variance with dates of proposed training sessions. This put the counterpart staff in predicament to attend all sessions of the specific trainings thereby affecting the continuous attendance in the training sessions as well as continual learning of participants.

Since the specific training sessions were conducted over a period of two months (from August 2 to September 29, 2010), the faculty and team members could debate and discuss the issues pertaining to the on-going procurement activities in their departments and helped the participants to evolve solutions to overcome the hurdles. While carrying out the specific training sessions, the team members / faculty members could provide on-the-job consultation and training to the participants.

Though all specific training sessions were received well by the counterpart staff, there is a need to give them opportunities to carry out the real-time procurement activities of the Bank funded projects in future so that this will help to hone up their procurement management skills further.

Many of counterpart staff was not confident of transferring the knowledge to the other staff working in their projects or departments.

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2.5 Recommendations and Action Plan (Capacity Building) Sl No Recommendation Year 1 Year 2 Year 3

i. IRRPP periodically to be updated (with a preset/stipulated time interval at least bi-annually) to incorporate modification(s) as deemed to be fit

- x -

Develop Procurement category-wise /method-wise Guidance Note in Khmer and in English to percolate procurement policies and procedure in the implementing agencies/procurement entities at all tiers (Central/Provincial/District or Sub-district)

- - x

ii. Update PM including model bidding documents periodically (with a preset/stipulated time interval at least bi-annually) to incorporate modification(s) as deemed to be fit

x -

Develop Model documents for BOT and procurement of Plants and Equipments

x - -

iii. Create a procurement forum of procurement practitioners from the list of trained counterpart staff to facilitate the problem based learning

x x x

iv. Archive and share a data base of case studies through intranet (Internal Network) and these may be organized according to the public procurement sub domains (procurement planning/packaging, preparation of bid documents, advertisement and opening of bid documents, evaluation (technical/commercial), and contract management) and they shall be made freely shared within the department to facilitate cross/continuous learning

- x x

v. Carryout Ministry/Project wide staff Training Need Analysis (TNA) periodically to asses further gaps/overlaps of requirement training at an individual/organization level. These details should be used as a base for preparation of Master/Annual training Plans and for deputing/conducting future training/capacity development programs

- x x

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CHAPTER 3: GOOD GOVERNANCE ACTION PLAN IMPLEMENTATION

3.0 Good Governance Good Governance is the sine qua non of public administration in order to respond to the public needs in a transparent, accountable, efficient manner. Good Governance has a major role to play in facilitating economic development of which the road network is a prime driver. Governance is the way public officials and institutions acquire and exercise authority to provide public goods and services. Bad governance is not synonymous with corruption but it breeds corruption which is an outcome of poor governance reflecting the breakdown of accountability. Hence to preempt such a breakdown of accountability it becomes necessary to implement Good Governance through a GGF and to monitor it through a GGAP.

Good Governance, in its ideal state, is a bipartite activity in which both the citizenry and the administration participate. An aware citizenry willingly assists the administration and an equally willing administration takes suggestions of citizens and implements them within permissible limits. There is universal awareness now that Good Governance provides the enabling ambience to deliver services to the citizens in a cost effective and prompt manner. Ultimately Good Governance leads to citizen empowerment.

In the backdrop of this rationale and imperatives of Good Governance it is noted that the RGC in its Rectangular Strategy emphasized that “Good Governance is the most important pre-condition to economic development and sustainability, equity and social justice.” That Cambodia faces major governance challenges is acknowledged by the RGC and Good Governance is identified as the most important of such challenges. In this specific context Good Governance becomes an identified issue to be dealt with in MPWT participating in RAMP and PRIP and MRD is participating in PRIP.

Beyond the Cambodia specific needs there are universal imperatives for Good Governance as world economies having become increasingly interconnected and interdependent the world looks for certain administrative and financial bench marks in a country before interacting with it. This calls for Good Governance, strong institutions and control of corruption which are important for development to succeed.

Transparency International, a prestigious and respected international body committed to fighting corruption, has developed the concept of National Integration System (NIS) which is a holistic approach to combat corruption. It encompasses the key institutions, sectors or specific activities (‘the pillars’) that contribute to integrity, transparency and accountability in a society. Transparency International carried out a ‘Country Study’ of Cambodia in 2006 which was the Cambodia specific National Integration System Study. It was found by the Study that ‘Overall, Cambodia’s integrity system is quite weak.’ It was also found by the Study: ‘The main hindrance in dealing with corruption in Cambodia is the undeniable lack of separation of powers between the executive and other pillars of the NIS. Existing legal mechanisms designed to ensure checks and balances within all sectors of Cambodian society are not being adhered to in practice, due primarily to an apparent lack of regard for the constitution as well as the absence of financial independence within various oversight bodies.’ At the same time the Study also recognizes that there is political will and awareness in the RGC of the needs of key reforms.

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The Project Anti Corruption System (PACS) of Transparency International is an integrated and comprehensive system designed to assist in the prevention and detection of corruption on construction projects. It uses a variety of anti-corruption measures, which can be integrated into project management. The PACS Standards recommend and describe anti-corruption measures which should be integrated into the management of construction projects. There are twelve PACAS Standards, each of which deals with a separate anti-corruption measure. These PACAS Standards are as below:

Independent Assessment Transparency Procurement Pre-contract disclosure Project anti-corruption commitments Funder anti-corruption commitments Government anti-corruption commitments Raising awareness Compliance Audit Reporting, and Enforcement.

PACS is recommended for use in public sector projects (those which are wholly or partly owned, financed or guaranteed by the government or tax-payer funded body). As public money is at stake, it is vital that proper ant-corruption controls are put in place. It is in this context that the GGF and GGAP have been mandated in RAMP and PRIP. In the larger background set above the project GGAP and GGF elements were reviewed in depth in order to find out the extent and satisfactoriness of compliance of each element by MPWT and MRD. The two days training on GGAP and GGF held on 12th and 13th of August 2010 for the designated officials of MPWT and MRD was based on this review and it formed template of training.

3.1 Good Governance Frame Work GGF template has been devised into 8 main Elements to monitor GGAP as below: (i) Procurement (ii) Financial Management (iii) Disclosure (iv) Civil Society Role (v) Complaints and Remedies mechanism (vi) Code of Ethical Conduct (vii) Sanctions (viii) Project Specific Elements Each of the above 8 Elements has been sub-divided into various sub-elements to help fine monitoring of implementation of GGF. As public authorities, MPWT and MRD, in their implementation of the mandates contained in executing RAMP and PRIP respectively, have to adhere to the GGF and GGAP which is a covenant with the WB.

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3.1.1 For PRIP-MPWT GGAP, the Bank’s mission in its Aide Memoirs1 has identified highlights of achievements and outstanding matters are under:

(i) Elements 1 2 and 8–Procurement, Financial Management and Project Specific

Elements: Compliance with Fiduciary aspects is largely satisfactory. MPWT keep monitoring this compliance.

(ii) Element 3–Disclosure: The mission is pleased that more information was

disclosure in PRIP website (www.rid-mpwt.gov.kh). Such update was regularly uploaded. PRIP committed to continue this activity and disclose all available information for public and, furthermore PRIP created the link from PRIP website to main MPWT website (www.mpwt.gov.kh ) to ease the visitor access to the information. The mission suggested PRIP to develop a hit counter on the website to record the number of visitors, as well as feedback from for visitors to express their opinions and the link from MPWT to PRIP website.

(iii) Element 4–Civil Society Role: Due to the difficulty of requesting CSO

involvement in an observer role of PRIP, media including TV channels and newspapers were invited to play such civil society role.

(iv) Element 5–Complaints and Remedies Mechanism: The mission recognized that

PRIP has progressively advanced in designing the Complaints Handling Mechanism and will update as per the Bank’s comments on May 17,2010 and submit to IDA for NOL by end of July 2010.

(v) Elements 6 and 7–Code of Conduct and Sanctions: MPWT adopts the common

statute of Civil Servants (1994) which has been posted on the website.

3.1.2 For PRIP-MRD GGAP, the Bank’s mission in its Aide Memoirs1 has identified highlights of achievements and outstanding matters are under:

(i) Elements 1, 2 and 8 – Procurement, Financial Management and Project Specific

Elements: Compliance with Fiduciary Aspects is ongoing and largely satisfactory. (ii) Element 3- Disclosure: The mission noted that PRIP did have their own website

due to the policy of having one website for whole ministry of MRD. Furthermore there is limited space for PRIP because it is under the form of one directory with the attachment. However PRIP committed to upload more recent information and other available information for policy by July 15, 2010. The mission strongly urged that MRD considers placing a hit counter to the website to record the number of visitors, as well as a feedback form for visitors to express their opinions. The mission is pleased to learn that GGF was translated into Khmer language and disseminated to all the staff.

1 Bank’s Mission dated June 21 – July 3, 2010.

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(iii) Element 4- Civil Society Role: PRIP planned to invite media to be observers. However, PRIP was not informed the event date such as bid opening. Hence, MRD could not take action as agreed since last mission in February 2010.

(iv) Element 5- Complaints and Remedies Mechanism: PRIP adopted the Complaints

Handling Mechanism as agreed in the Anti-Corruption Plan. The mission is suggested PRIP to extract only the CHM and submit to IDA for NOL as well as make it available in the website, Ministry and project areas MRD will submit the CHM to IDA for NOL and disclose by July 2010.

(v) Elements 6 and 7- Code of Conduct and Sanctions: MRD adopts the common

statute of Civil Servants (1994) as its code and sanctions. MRD has also disseminated to all the project staff in October 2009. The mission received the statement in Khmer instructing staff to comply, which was issued since 2007.

3.1.3 For RAMP-MPWT GGAP, the Bank’s mission in its Aide Memoirs2 has identified

highlights of achievements and outstanding matters are under:

(i) Element 1- Procurement: The IPA is in place from December 2007 onwards, the RAMP team is fully aware of fiduciary requirements of procurement and the compliance is ongoing.

(ii) Element 2 – Financial Management: Compliance with financial aspects is

ongoing and largely satisfactory with the receipt of approval for the supplementary financial management manual, installation of accounting software.

(iii) Element 3- Disclosure: The schedule of disclosure of project information suggested by the WB’s Senior Governance Specialist has been adopted. A new website has been created and the team has begun to upload data, limited at present to some aspects. Some examples were provided by the WB for consideration of the project to minimize the conflict of interest of project staff.

(iv) Element 4- Civil Society Role: An initial approach has been made to three NGOs

to explore their interest in selected aspects of the project and further it has been agreed that media will be invited for contract signing and other opening events.

(v) Elements 5, 6 and 7: No progress has yet been made on designing complaints and

remedies Mechanism and a code of ethical conduct with sanctions. The WB team had earlier provided some examples of these elements from other IDA-funded projects in Cambodia and, on 19th February 2010, sent a further comprehensive set of 14 examples together with the WB Group’s Anti-corruption guidelines and sanctions regime. The mission further agreed to support the team with the WB’s Senior Governance Specialist and Governance Consultant to develop these elements of GGF.

2 Bank’s Mission in the month of Feb, 2010 RAMP-MPWT.

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(vi) Element 8 – Project Specific Elements: Actions are to be initiated to recruit the required staff for the identified sub-elements.

3.1.4 For RAMP-MPWT GGAP, the Bank’s mission in its Aide Memoirs3 has identified 3

outstanding matters are under:

(i) There is no progress since last mission in February due to shortage of staffing. The website (www.mpwt.gov.kh/externnalfund/ramp/) still contains very limited information on project information, agreed procurement plan and safeguard policies while other are still under construction. However, RMAP committed to upload and update more information available on July 30, 2010.

(ii) RAMP invited in April 2010 three NGOs observers to increase the transparency

under element 4. Only two NGOs (Wanthankpheap and Habitat for Humanity) were interested in participation in. However, RAMP has not budget to support these NGO’s involvement. The mission agreed with RAMP to invite two Khemer TV channels and one newspaper to involve in this civil society role by charging the service IOC category.

(iii) No progress has been made since the last mission on designing a complaints and

remedies mechanism and a code of ethical conduct with sanction (elements 5, 6 and 7). The mission informed RAMP that PRIP-MPWT has been more advance in developing such mechanism and suggested to having one complain Handling Mechanism (CHP) for MPWT. The decision will be informed to IDA by end of August 2010.

It may observe that little element wise GGAP progress has been between these 2 Banks missions. The consultant had prepared CHM for RAMP and included in this chapter.

3.1.5 The scope of the two projects PRIP and RAMP has been considered in detail based on all the relevant project documentation made available by MPWT and MRD. GGAPs for PRIP in both MPWT and MRD have been perused in detail. The larger background provided by the World Bank Anti-corruption Strategy and the Transparency International’s Project Specific Anti-Corruption Standards (PACS) for Construction Projects have been studied and The extent of Element wise compliance is set below:

(i) Element 1 – Procurement: Risk of collusion during bidding process and biased bid evaluation are identified as sub elements and the action to mitigate these risks was to use the services of an International Procurement Agent (IPA). The RGC has engaged an IPA to prepare bids based on the Bill of Quantities, Technical Specifications prepared by the Technical Research Centre (TRC) of the General Department of Public Works (GDPW).

Another sub-element of Procurement is the risk of suppliers and contractors offering informal payments as incentives for favorable treatment. The mitigating action for this risk is that of mandatorily obtaining Declaration on Ethical Conduct and Fraud and

3 Bank’s Mission June 21-29, 2010 for RAMP-MPWT

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Corruption from contractors, suppliers and consultants as per Procurement Manual (PM) with Amended Item 5, which amendment is in the nature of an abundant caution that not only at the beginning but during the entire contract implementation no such informal payments are made. Such declarations are being obtained as mandated thus complying with this mandate.

Procedures and thresholds of procurement is another sub-element of Procurement which risk is planned to be offset by adhering to Standard Operating Procedures (SOP) and PM and Financial Management Manual (FM). This risk is being obviated by the IPA adhering to SOP, PM and FM.

Another sub-element under Procurement is that of Insufficient Procurement Capacity of

MPWT. This risk is intended to be obviated by MPWT engaging a qualified and experienced individual consultant as Procurement Coordinator to coordinate procurement activities among MPWT, IPA, MEF, and IDA. The proposed Procurement Coordinator is also to provide on-the-job training to procurement staff of GDPW. The Procurement Coordinator was to be provided through consultant contract for the Project Advisor Team. As of date a Procurement Coordinator is not yet mobilized. The Coordinator needs to be mobilized without further delay so that training of the relevant procurement staff can commence in right earnest and continue over the period of the Project to produce optimal results as the training needs to be a sustained one to equip the staff well.

Another sub-element of Procurement is Incomplete or delayed Procurement Plans. The GGAP has intended to obviate this risk by preparing Procurement Plans tied to Annual Work Plans (AWP), regularly updating this plan. Such AWP and Procurement Plan are to be prepared by the GDPW and the budget prepared by the Department of Accounts and Finance (DAF). The Project Technical Committee (PTC) is to oversee the process and it needs to be got approved by the Inter-ministerial Committee for Road Repairs and Maintenance (ICRRM). As for the first 18 months the Procurement Plan was agreed by the IDA at the time of Project Appraisal. As for the present status the updated plans are agreed y the IDA and Asian Development Bank (ADB) during the February Mission.

Another sub-element of Procurement foreseen by the GGAP is the risk of informal payments by contractors, suppliers and consultants during procurement and contract implementation which is a continuous risk prevailing over the entire project period. This risk is intended to be offset by obtaining from all contractors, suppliers and consultants whether firms or individuals and whether national or international the Declaration on Ethical Conduct and Fraud and Corruption in the SOP/PM as amended by item 5. Such declarations are being obtained both for the bids and contracts prepared by them and for bids and contracts prepared by the IPA.

(ii) Element 2 – Financial Management: The first sub-element of Financial Management is

insufficient financial management capacity. This risk is intended to be obviated by mobilizing a financial management advisor. Such an FM Advisor was mobilized in October 2008 and contract was concluded and a new one is to be provided under contract. The earlier FM Advisor had conducted training of DAF staff for over twelve months

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from the time he was mobilized in 2008. Further trainings need to be conducted by the new FM Advisor when the person is in place.

The second sub-element of FM is to strengthen weak internal controls. This is intended to

be done by ensuring that the MPWT and DAF use SOP and FMM. This sub-elemental risk is obviated as both the MPWT and DAF are using SOP and FMM. Besides they are also using the Supplementary FM Manual specific to RAMP approved by IDA in June 2009.

The third sub-element of FM is Readiness of Proprietary Accounting Software. IDA

having approved the Quick Book software it has been installed and used. As such action has been taken to mitigate this sub-elemental risk.

The fourth sub-element of FM is to minimize cash transactions in order to ensure proper

use of funds. This risk was intended to be mitigated by following the mandate of SOP/FMM to issue checks for all transactions above $ 500 and to resort to cash transactions only up to $ 500. This mandate is being adhered to and the risk has been mitigated.

The fifth sub-element of FM is Delayed or Non-existent Reconciliation of Advances for

Operating Costs and Expenses. This risk was intended to be mitigated by seeing to it that accounts and reconciliations for advances were completed within one week of the end of the month with the added caveat that no further advances were to be paid in default. No advances are made in violation of this mandate and thus the action is ongoing.

The sixth sub-element of FM was the inconsistency in allowances paid to staff attending

training, workshops and study tours. This was to be offset by adopting the agreed action of the November 2007 Joint Country Portfolio Performance Review Action Plan. Action on this is ongoing as agreed thus effectively mitigating the risk foreseen.

The seventh sub-element of FM was Planning of Training and Workshops and

establishment of cost guidelines and rules for reimbursement of expenses with the added caveat that the Project would not fund overseas training and study tours without prior approval of IDA. An Annual Training Plan was to be prepared towards this end which was done and it is required to be updated for December 2009. A Consultant on IDA funded PFMAP was preparing the guidelines and this study was to be completed by mid 2010. It is expected that once this is done this risk will be fully mitigated.

The eighth sub-element of FM was that the MPWT’s internal audit department scope of

work did not cover the project. The mitigating measure for this risk was to mobilize an Internal Audit Consultant who then was to train and accredit the staff of the Internal Audit Department to develop a project internal audit plan and also prepare an internal audit manual for MPWT. Such an Internal Audit Consultant has not yet been mobilized and the recruitment was to commence in August 2010. It is necessary to put this in place to obviate the foreseen risk.

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The ninth sub-element of FM was to put in place an external audit in addition to internal audit in tune with the healthy international audit practice. TOR for such an external audit was to be got up by MPWT in agreement with MEF and IDA, if need be, as part of a bundled external audit process covering IDA, ADB, Aus Aid, OFID and Korea TF. First such external audit was due in 2010. It can be expected that once the planned external audit is through it becomes a regular annual practice the foreseen risk would be mitigated.

The tenth sub-element of FM was the lack of comprehensive FM reporting and risk of

delay in submission of reports. This risk was intended to be mitigated by adopting the format of Interim Financial Report (IFR) as agreed in the Supplementary FM in June 2009. The first IFR was to be the one for the Second Quarter of 2010. Once this IFR is submitted and such a process of submitting quarterly IFRs becomes routine the risk foreseen can be expected to be mitigated.

The eleventh and last sub-element of FM is that of Merit-Base Performance Incentive

(MBPI) in the project which was in force as per the Sub-decree No.29 of April 2008 but cancelled by RGC from January 2010. In its place Priority Operating Cost (POC) has been approved by RGC in June 2010 and RAMP is to immediately start on it to ensure staff mobilization from September 2010. MPWT is to seek participation for MPWT in MBPI. MPWT is also to draft MBPI Manual and seek MEF and IDA to agree to cost sharing.

(iii) Element – 3 Disclosure: Disclosure of project information strengthens GG and vice versa. Disclosure facilitates coordination and harmony with citizenry. Voluntary disclosure of project information will preempt any acrimony with citizenry. In the absence of a Disclosure Law in Cambodia, project based exhaustive disclosure is a necessary step to take the citizenry along in trust and confidence.

The first sub-element of Disclosure is Minimizing the conflict of interest (COI) of the project staff. This risk is intended to be offset in GGAP by mandating that GDPW ask for and retain written disclosures from all project staff regarding their public and private affiliations before becoming involved in any project related transaction such as contract award. Towards this end the example provided by the WB in February 2010 is still under consideration of MPWT. Once this is done across board in the Project this risk can be taken as mitigated.

The second sub-element of Disclosure is to enhance transparency through greater public disclosure of project information. This is proposed to be done by enhanced uploading of data on a continued basis which is currently hindered by staff constraints. The GPCL is specifically adding new web pages to the existing web sites of MPWT and MRD to enhance disclosure. Once this task is completed and is sustained by MPWT and MRD this risk would be mitigated to a great extent.

(iv) Element – 4 Civil Society Role: Civil Society is the citizenry and its representatives in

the ideal understanding of the term. Involving Civil Society is a pro-active step of a

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project, going one step beyond even Disclosure as it actively solicits and invites Civil Society’s participation in the project. Any project is ultimately meant for the citizenry i.e. civil society which till now has only been a silent recipient of a project/service. Civil Society was not sensitized of its role in a project as it unfolded. Creating such a role is therefore a positive step as it takes the citizenry on board of a project. A list of Civil Society Organizations (CSOs) may be drawn up with their addresses and their structure, aims, objectives and their areas of operation. Preliminary meetings may be held with CSOs and areas of their interest may be discussed with them and how they can be involved in ensuring transparency, accountability in conceptualization of a project and its implementation. CSOs may be invited to bid openings. They may be invited to foundation laying and opening ceremonies. All CSO participations may be uploaded in the enhanced web pages being created. As for PRIP there is a proposal to invite media for selected events like bid openings. Media, though not strictly a CSO, can nevertheless be an effective substitute if no CSOs can be taken on board at present. Both RAMP and PRIP can host open invitation on their websites for CSOs and Media to attend selected events which is missing now.

(v) Element – 5 Civil Society Role: Complaints and Remedies Mechanism Complaint is

different from an enquiry or a request for service. It occurs when a citizen thinks that a service is delivered in an unsatisfactory manner, that the government has failed to take action to his request within the accepted time or that the conduct of an officer is not satisfactory. Complaint can be procurement related or service related. Any citizen or a group of them who avail of the services of a project or are in any way affected by a project or an aggrieved party can complain.

Complaints and Remedies Mechanism has to be yet institutionalized and the detailed

procedure for the same containing the following is yet to be announced by the projects:

How to submit a complaint? In person/by post/electronically. Who will receive a complaint? Officer/authority. How the complaints shall be acknowledged and registered? How the complaints will be dealt with by following internal guidelines? What is the time frame to resolve the complaint? How the complainant will be kept informed? If complainant is not satisfied, then

what appeal mechanism is there?

The Bank has recommended ministry wide CHM rather than a project specific CHM. CHM for assigning all procurement monitoring to a single office. Awaiting the establishment of such a single office to handle all complaints and remedies SOP has recommended that the procedure under ‘Complaints Procedure’ as in the PM be followed for complaints against procurement.

As for PRIP the complaints handling mechanism has progressively advance and it is to

be updated and submitted to IDA for NOL. MRD executed PRIP intends to set up a committee of five members for investigation of complaints. To facilitate ease of filing complaints, e-filing/Feedback form in their website needs to be adopted in addition to the

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more traditional written method. Both MPWT and MRD have their web sites which are to be enhanced with additional web pages and complaints handling can be a part of this enhancement.

(vi) Element – 6 Code of Ethical Conduct: Civil servants i.e. government employees need

to observe a code of ethical conduct. In most governments these are called ‘Conduct Rules’ and apply across board to all the government employees of all the departments. They are essentially rules for ethical conduct in discharging public duties and while exercising public authority. Conduct rules are the ‘Dos and Don’ts’ of what a civil servant can do and cannot do while working as a government employee. Without such conduct rules it becomes impossible to enforce ethical conduct. Without the means of enforcing there is a risk of widespread unethical conduct. As public funds and public power are entrusted to civil servants i.e. government officials, this can result in a widespread misuse of public funds and power. With higher funds at the disposal of infrastructure departments and projects the risk is proportionately higher. Renowned international organizations like ‘Transparency International’ lay high stress on avoiding corruption in projects. The ‘Project Anti-Corruption System’ (PACS) of TI is a system devised to ensure ethical execution of construction projects. Thus ethical conduct carries a high premium universally in the field of construction works.

At present there is no overall Code of Conduct for civil servants in RGC applicable to one and all of government employees of all departments and all grades apart from ‘Civil Service Code’ of 1994. In the absence of a Code of Conduct applicable to all government employees PAD of RAMP has recommended action to mitigate this risk. MPWT/GDPW and Department of Human Resources (DHR) were entrusted with the responsibility of designing and adopting a code of conduct for all the project staff and contract staff to sign individually. Such a Code is not yet designed as in June 2010 though IDA had provided several examples from other IDA funded projects. June 2010 was the earlier target set by WB which had been extended to September 2010 vide the Aide Memoire of 21-29 Juen2010. With the examples in hand, the Code needs to be designed quickly. In case of PRIP, MRD adopts the ‘Common Statute of Civil Servants 1994’ as its code and has disseminated it to its entire project staff in 2009. MRD has also made a statement in Khmer instructing its staff to comply. In the circumstances a Code of Conduct is to be drafted for RAMP waiting an across the board code applicable to all RGC employees.

(vii) Element – 7 Sanctions: Code of Ethical Conduct and Sanctions go together. Code of

Ethical Conduct without provision of Sanctions is powerless. It is the apprehension of sanctions that compel and impel compliance to ethical conduct. Ethical conduct applies to the project staff and also to contractors, suppliers of goods and services i.e. consultants. Usually there are separate codes of conduct for staff and for contractors and suppliers of goods and services. No one is above the need to adhere to ethical conduct. RGC is committed to eliminate corruption. As part of its ‘Rectangular Strategy’ a new anti-corruption law is developed and an Anti-corruption body has been established. These complement and further strengthen the policies of donor agencies in this regard. GGF and GGAP being a part of the Project Documents, the Sanctions are a covenant of the WB

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loan for the project. Therefore whenever non-compliance to the stipulated ethical conduct is noticed imposition of sanctions is obligatory.

Action to mitigate this risk in the first instance was to design and adopt a code of conduct which was to be done by MPWT/GDPW initially by October 2008 and extended up to September 2010. This needs to be based on the examples provided by IDA from other funded projects as guidance and by adopting relevant material from ‘Civil Service Code 1994’. Action in the second instance is to identify, categorize and disseminate to project staff sanctions available under current Cambodian law and any applicable MPWT regulations. One such applicable regulation being ‘Civil Service Code 1994’, the sanctions available in it are to be disseminated to the staff which is not yet done. Once this is done the risk can be mitigated to a large extent.

(viii) Element – 8 Project Specific Elements: Any project is bound to have project specific

issues. There cannot be ‘one size fit all’ type of GGAP for all projects without exception. Accordingly RAMP and PRIP too have their project specific elements.

The first sub-element is to ensure ‘Systematic Selection and Prioritization of Repair and

Maintenance Works’. To mitigate the risk of non systematic selection of repair and maintenance works that would be obviously wasteful selection and prioritization procedures were agreed by WB with the GDPW including use of ‘Road Management Decision Support System’ to develop and list works in Annual Work Plan (AWP). A consultant is to be mobilized for assisting in preparing the second year AWP which is yet to be done. Once it is done this risk would stand mitigated.

The second sub-element is the risk of poor quality of design of maintenance and repair

works. To mitigate this risk the GGAP has provided mobilization of a consultant to help GDPW to design appropriate and optimal repair and maintenance works and to prioritize them as part of the AWP. Once the consultant is on board this risk would be mitigated. The third sub-element is the risk of low quality construction and supervision. To mitigate it GGAP has provided for mobilization of an experienced maintenance construction supervision consultant to assist GDPW. Once this consultant is on board this risk would stand mitigated.

The fourth sub-element is the risk of poor quality of finished works despite actions in the

first three sub-elements. The GGAP has provided for employing an experienced individual consultant to undertake an annual independent technical audit. He would review and assess the scope, location and quality of all activities implemented under the Project in reference to achievement of the Project Development Objectives and physical outputs. Such an individual consultant was to be mobilized by August 2010. With his mobilization and once he starts functioning regularly this risk will stand mitigated.

The Project Specific Elements of PRIP are three as below: (i) The first is quality assurance for document control. MRD had intended to carry

out trainings by its own Financial Advisor which is yet to be done and its results are to be gauged.

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(ii) The second is Project Oversight for which improved lines of communication with advice by the Financial Advisor are ongoing and are expected to serve the purpose. This is to be put in place and the results evaluated.

(iii) The third is Poor Quality of Finished Woks. To mitigate this risk independent technical audit at regular intervals by recruiting an individual consultant is planned. This needs to be implemented early so that the risk is mitigated.

3.1.6 MPWT needs to be strengthened in its ability to detect fraud and corruption, discourage

collusion among contractors and in implementation of governance reforms. RAMP, which is a project financed by WB is implemented in MPWT and GGF and GGAP are an integral part of RAMP. The GGF includes 8 elements namely strengthened procurement; strengthened financial management; public disclosure; involvement of civil society; complaints and remedies mechanism; code of ethical conduct; sanctions; and project-specific implementation needs.

3.2 Ministry Wide Good Governance Action Plan Implementation GGF provides the frame work of governance reforms for RAMP and GGAP is the action plan to implement the governance reforms envisaged by GGF and is also the monitoring tool to measure the progressive implementation of GGF. The prime concern however is that GGF being a project specific activity it is limited in its applicability only to RAMP and lacks the reach out to MPWT. RAMP being a time bound activity GGF will also remain so and will be coterminous with RAMP. But the desirable activities undertaken through GGF and the results achieved should ideally have a lasting effect on MPWT in all its future activities be they externally aided or RGC ones. In short, there is a need to have a ministry wide GGAP in order to strengthen MPWT.

A MPWT-wide GGAP would call for an Institutional Study of MPWT in all its aspects i.e. technical, administrative, financial, legal, regulatory and human resource management. Such a comprehensive study of MPWT not being in the ambit of this assignment, the now suggested GGAP for MPWT is based only on the RAMP specific GGF and GGAP and the limited lessons learnt from them. It is however deemed an apt moment to recommend that a comprehensive institutional study of MPWT be carried out so that a full-fledged institutional development plan can be got prepared with a recommended, time bound strategy and an implementation plan.

The ministry-wide good governance plan for MPWT is laid out in a similar pattern as was adopted in the RAMP specific GGAP. Therefore the proposed ministry-wide good governance plan is divided in to 8 items following the pattern of the 8 elements as adopted in the RAMP GGAP and element wise recommendations are as follows:

3.2.1 Procurement

Risk of collusion among bidders is an omnipresent, universal threat. It is especially so for those public bodies that lack an adequate procurement capacity and due institutional and legal arrangements like a national procurement law and a right to information law. To counter and deal with this risk in a sustained manner MPWT may in the first instance create a dedicated Procurement Department (PC) in the ministry entrusted with the task of all procurements. Please refer Para 2.0.2 of Chapter 4 for duties and responsibilities of

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procurement department. PC may initially be lead by an outsourced procurement expert whose tenure can be of at least five years. The PC may be filled up with appropriate staff of MPWT with a similar tenure of 5 years. Such PC staff may be trained intensively in all aspects of procurement activity by the outsourced head of PC. This can be expected to equip MPWT in a period of 5 years with a core procurement group of departmental staff who are well versed in various nuances of procurement activity.

Creation of such a PC in MPWT is suggested because employing an independent procurement agency (IPA) cannot be the long term solution to the basic problem of insufficient procurement capacity and capability in MPWT. IPA also being a project / time based activity it will be coterminous with the project life period, in this case RAMP, thus leaving MPWT, at the end of the day, without resolving the problem of inadequate procurement capacity and capabilities in the department.

Risk of collusion among bidders needs to be countered with an efficient procurement process from the stage of getting up an estimate of work to putting it out to bid and bid evaluation. It is a whole chain of activities that need to be geared up. The estimates must be prepared well in advance leaving enough time for the activity so that adequate survey and geophysical investigations are done and realistic quantities of work expected to be executed are arrived at. It is suggested that MPWT prepare a Shelf of Projects or Sample Projects (with a mechanism to update the prices on the basis of market rates) or Schedule of Standard Rates so that no project is prepared in a hurry leading to inadequate estimates. A national procurement law with deterrent provisions against collusive practices is to be enacted as early as possible.

Any procurement should be preceded with an Annual Work Plan (AWP) to dovetail with which an Annual Procurement Plan (AWP). MPWT may prepare well before commencement of a financial year an AWP and APP for the succeeding financial year and accord approval to them. The APP should decide on the issues of bulking, centralized as against decentralized procurement. It is suggested that initially all procurements be done by the PC till adequate procurement capacity is built up in MPWT at all levels.

The administrative mechanism of according approvals to AWP and APP may be set up by an administrative order fixing responsibility and delegating authority for according such approvals. It is suggested that AWP and APP may be accorded approval at the highest level of the Secretary to the RGC in MPWT in case of original i.e. capital works and at the level of Chief Engineer in case of repair and maintenance works.

The bidding documents adopted for procurement have a crucial role to play in any procurement. Standard Bidding Documents (SBD) should be fair, equitable and risk sharing as conducive to efficient contract execution. MPWT may consider adopting the FIDIC (International Federation of Consulting Engineers, Geneva) procurement documents (especially the documents prepared for multi-lateral development agencies) with project based adaption in the form of Conditions of Particular Application (COPA). Such SBDs may be used across board for all the works of MPWT.

MPWT may consider registering contractors for small value works mainly of a repetitive and repairs and maintenance nature. Major capital woks of an original nature however ought to be awarded on the basis of pre or post qualification only without any reference

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to registration with the department. Maintaining a list of registered contractors in MPWT has the advantage of getting quick access to work execution in case of small works and those of repair and maintenance. The other advantage of registering contractors is that it will make it possible for MPWT to take action on them in case of defaults. Actions like demoting, suspending for a specific period, removing from registration list and even black listing the contractors would be possible. It will also lead in the longer run to create a body of competent contracting community in Cambodia. It is however reasserted that all major works of a capital nature be procured only on pre or post qualification system.

Procurement being a crucially important activity it is necessary to have an enabling legal ambience to promote equitable, fair, accountable and efficient procurement. This calls for putting in place a procurement law. MPWT may consider playing the role of initiator and promoter of such a procurement law in Cambodia.

In order to increase awareness in all bidders of the need to avoid fraud and corruption MPWT may consider obtaining from all contractors, suppliers and consultants a Declaration on Ethical Conduct as in the Standard Operating Procedures (SOP)/ Procurement Manual (PM) as amended by item 5. Though such a declaration may appear to lack teeth it is not so. In case of detection of fraud or corruption, such a signed declaration can prove fatal to the contractor.

3.2.2 Financial Management

The GGAP of RAMP has revealed the insufficient Financial Management Capacity of MPWT. This weakness of MPWT obviously needs to be alleviated and the financial management capacity of MPWT needs to be augmented. Weak financial management capacity in any infrastructure development department like MPWT will have detrimental effects on the whole RGC as a major chunk of the national budget is expended through MPWT. It is suggested that MPWT may recruit a Financial Management Advisor (FMA) initially for a period of five years. The major work of FMA would be training the MPWT staff in financial management. In addition FMA would attend to strengthening the MPWT’s weak internal financial reporting and control mechanisms. It is suggested that MPWT invariably use the financial procedures recommended in Standard Operating Procedures (SOP) and Financial Management Manual (FMM) / Supplementary FMM of RAMP for all the MPWT government funded works even after RAMP is completed. The FMA can be administratively located in the Internal Audit Department of MPWT. Having observed the weak financial reporting and control mechanisms in MPWT it is suggested that MPWT steer a Financial Manual (FM) for MPWT get the Ministry of Economy and Finance (MEF) agree to it and get it mandated by a sub-decree for use in MPWT. This task can be entrusted to the FMA in his terms of reference. It will stand MPWT in good stead in future with its own FM.

The weaknesses of cash transactions in place of check transactions and non-reconciliation of advances as observed by the RAMP GGAP are symptoms of the deeper malady of weak internal financial reporting and management mechanisms in MPWT which will be eliminated by the office of FMA, sustained training of MPWT staff and putting in place a robust FM for MPWT.

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MPWT may, as a standard auditing procedure, adopt Annual External Audit on selective basis whereby some of its administrative units are subject to external audit on a random selection basis. This needs to become an established auditing procedure of MPWT so that a best international auditing procedure is incorporated in MPWT. It will stand MPWT in good stead in the eyes of the international financial and external aid agencies. Such a mechanism can be incorporated in the MPWT FM so that it is sustained in the long term.

3.2.3 Disclosure

Disclosure of information strengthens good governance. Disclosure ought to be voluntary, prompt and unsolicited. All but confidential information ought to be disclosed to citizenry. Disclosure is the bedrock of transparency. ‘Transparency International’ has made transparency one of its 12 Project Anti-corruption Systems (PACS). It says ‘The government or project owner should disclose project information to the public on a website on a regular basis and in easily accessible and comprehensible form’.

GPCL has designed enhanced web pages as part of its assignment, with the express intention of assisting disclosure of project information to public. MPWT may resort to use of these web pages to disclose maximum information about its activities to the public through these web pages. It is suggested that as a part of good governance in MPWT, an IT cell be created which can be managed either by a core group of MPWT staff duly trained or in the initial stages outsourced staff can be engaged to man the IT cell. The IT cell can be entrusted with the responsibility of constantly updating the information on the web.

One of the good examples of disclosure is the ‘Pradhan Mantri Gram Sadak Yojana’ (Prime Minister’s Rural Road Project) (PMGSY) which is a massive rural road improvement project going on in India since almost a decade. It has the ambitious target of providing all weather surfaced roads to all the villages of India which are about 800,000 km in number. PMGSY has an excellent web based disclosure system which can be accessed on www.pmgsy.in. A massive quantity of information can be accessed by the public on it. Such disclosure systems may be perused by MPWT.

Voluntary disclosure is the best form of disclosure and it is way above providing information only when sought. But it needs to be noted that providing information about government activities is not the forte of many governments. In fact governments are reluctant to part with information about their activities even when there is nothing confidential about them. Good governance demands informed citizenry. The right of the citizen to have information of the government activities needs to be as his / her basic right. There are countries where this right of the citizens is enshrined in a law. ‘Right to Information Act’ of India is one such act and can be referred to for consideration to promulgate a similar one for Cambodia.

3.2.4 Civil Society Role

Civil society ought not to be treated as a silent and inactive recipient of government works and services. As the user, the civil society is the most important stake holder in all government tasks / works. As such civil society needs to be made a part of all MPWT works. Civil Society is to be given a formal role in the activities of MPWT, and more so in case of road and transport sectors.

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It is suggested that towards achieving this goal of good governance MPWT may create a formal forum for interaction with the civil society. This can come by in the form of a ‘Cambodia Highway, Transport and Traffic Authority’. This body can consist of ex-officio representatives from the MPWT, finance, traffic police, health, education departments and civil society representatives from truck transport, passenger bus transport and academia concerned with highway engineering, health and education. This body can meet periodically under the chairmanship of Secretary MEF or any other suitable officer at the highest level. Issues affecting citizenry regarding roads, transport, traffic, road accidents can be discussed in the meetings and thus the civil society can be taken on board formally on a long term basis.

To begin with it is suggested that MPWT maintain a list of Civil Society Organizations (CSO) by inviting them through an open advertisement. After preparing such a list MPWT can invite them to tender openings of at least major works, foundation laying and inaugural functions of works.

3.2.5 Complaints and Remedies Mechanism

A robust complaint and remedies mechanism needs to be set up in MPWT as an essential feature of good governance. SOP and CPAR have dealt with this issue. As recommended therein a well defined procedure for receipt, investigation and remedying of complaints is to set up in MPWT. It is recommended that the IT Cell may be vested with the role of a single window to handle complaints and remedies as progressively more and more complaints can be expected to come electronically rather than through the traditional mail.

Some of the government bodies have very good complaints and remedies mechanism put in place. One such example is the ‘Gas Authority Of India Limited’ (GAIL) whose web site can be perused on www.gail.com.

3.2.6 Proposed Complaint Handling Mechanism Complaint Handling Mechanism (CHM) is an important part of project governance’s monitoring framework that is essential for the anti-corruption action plan. The CHM, a RAMP mechanism handling measure, once put in place would improve transparency and accountability through strengthened procurement arrangement and financial management, and enhanced public disclosure. Well designed and implemented CHM would strengthen RAMP project management’s objectives of effective and efficient operation and good governance.

The steps on how to complain, how complaints are received, considered and adjudicated at all times during the implementation of the project are highlighted below for reference and guidance of all concerned departments.

Step in CHM

Details and Mechanics

Step 1: Publicize the

CHM is disclosed in project website:

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Step in CHM


Mechanisms www.mpwt.gov.kh/externalfund/ramp It should also be publicized in information boards of MPWT, Provincial Department of Public Works and Project sign board during the construction. In short all avenues for wide publication should be exploited.

Step 2: Receipt, Register and acknowledge

Receipt of Complaints

a) General public can file complaints through

(i) Postal address at the Ministry of Public Works and Transport (MPWT), Phnom Penh

(ii) E-mail: [email protected] (iii) Letter written directly to project Director of RAMP. (iv) In addition, complaints can be lodged in a complaint

box prominently kept in each project site and in another box also kept in the provincial department of Public Works.

(v) In cases a complainant has credible information on wrongdoings and corruption, he may choose to complain to the World Bank and Department of Institutional Integrity (INT); • World Bank, Task Team Leader, Email:

[email protected] • INT, Translation services available 24 hrs/day,

Toll-free 1-800-0831-0463, Email: [email protected]

b) In addition, verbal complaints(made either personally or

through telephone calls made to a notified dedicated phone number fitted with a recorder) or anonymous complaints received shall also be considered for due verification of their seriousness and validity.

c) The details of investigations, findings, internal discussions and conclusions should be recorded in a separate confidential file for each case. Complaints Register

a) Complaints received shall be recorded in a separate confidential register or in a file with unique reference number, date and time received, mode of receipt, complainant’s name and contact details. The register

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Step in CHM


should not contain any details of the person or organization against whom the complaint is being made.

b) Complaints (verbal and anonymous) shall also be taken into account and registered for further action if the committee perceives that they are falling under potential degree of seriousness.

c) The Register being a central record of all complaints should show a brief summary of the logistical steps (with dates) of the investigation process for each complaint as well as the final outcome.

d) Acknowledgement to the complaints should be given with reference number as per the register and date stamp signed with received officer.

Step 3: Review and Investigation

Complaints Committee Persons to be in charge of Complaints Handling Committee include: Government Level

1. H.E. Mr. Lim Sidenine, MPWT Secretary of State – Chairman

2. Mr. Pheng Sovicheano, Project Director-RAMP 3. Mr. Kang Phirith, RAMP Project Manager 4. Mr. Sar Vutha, Admin Manager RAMP 5. Mrs. Hem Pholy, Senior Accountant Manager – Secretary

to the Committee.

Note: If the complaint received involves any of the officers in the above Committee, then such a member shall be promptly replaced by another member appointed by the Minister of MPWT who would be the final authority to decide on the appeals / complaints. Process

a) The complaints received by the Secretary of the Committee shall be categorized under i) Department wise ii) Location wise, and iii) Subject wise for easy reference and analysis

b) Once in 15 days the committee members shall meet to

Member

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Step in CHM


review the complaints received and propose an action plan. c) Investigation shall begin quickly and diligently.

Investigations must be neutral. In cases where investigations are complex and unavoidably take longer, the complainant should be notified of progress at 14-day intervals.

d) Persons or entities accused of wrongdoing must be given a fair opportunity to present their side of the case.

e) Result from investigation will be reported to the committee who will take final adjudication within 10 days. During the investigation and consideration stages, confidentiality shall be maintained on the source and any person, company or entity accused of wrongdoing. Investigation findings should not be released beyond Committee members.

Step 4: Right to Appeal Adjudication

a) Complainants have a right of appeal to higher/involved authorities, if they are dissatisfied with the committee’s decision.

b) When final decision is reached, the outcome will be publicly disclosed website:

www.mpwt.gov.kh/external/fund/ramp.htm The disclosure of final decision/response on the complaints should be at the project area including MPWT/Provincial Department of Public Works etc, so that “access to information” is readily available to the public at large. c) In case where a complaint that may involve a breach of a

development partner’s legal agreement should be notified to the concerned partner immediately not after investigation and outcome, to enable the development partner to track the investigation process and status and keep its management informed.

Step 5: Monitoring and Evaluation

a) The complaints book (or computer file) and all notes, memos and letters relating to a complaint and its investigation shall be maintained for review for minimum of two years after the completion of the project.

b) Tracking and assessing the progress to resolve complaints. c) Analyze the complaint data for continual improvement in

complaints handling system.

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This Complaints and Remedies Mechanism shall take effect upon the date of its signature, and all the persons named in the Complaints Committee above shall be tasked to effectively implement the mechanism in its entirely.

3.2.7 Code of Ethical Conduct and sanctions

Invariably governments have a manual prescribing a code of conduct for its employees of all grades and ranks. No one is excluded from its ambit. Such codes contain both the codes of expected conduct and sanctions that would be imposed in case the code is breached by any one. At present there is no such comprehensive code of conduct in the RGC except the ‘Civil Service Code’ of 1994.

Awaiting such a comprehensive code of conduct applicable across board to all RGC employees MPWT may design its own code of conduct with sanctions. This work may be entrusted to the General Department of Public Works (GDPW). If need be an external consultant can be engaged for a short period of say six months to draft such a code and MPWT can get it enforced through a sub-decree so that it acquires legal force.

The above measures are suggested to lay the basis for an MPWT-wide GGF. It is however reasserted that a full-fledged Institutional Study of MPWT be carried out as a separate assignment.

3.3 Website Enhancement

The Capacity Building Project in Public Procurement and GGAP implementation with a component of information & communication technology (ICT) in government’s procurement systems can create a powerful medium of Disclosure for achieving higher standards of transparency, accountability and efficiency. GPCL has provided assistance to MPWT and MRD in the disclosure of project information to the public through expanding the ministries’ website and making available project information. The generalized outcome of this intervention has been the creation of additional web pages to disclose to the public, project information, bidding opportunities, award of contracts, project progress, project related representations, list of vendors to a name few. A first step towards establishing a Management Information System (MIS) is also envisaged in order to sustain the procurement and good governance practices in MPWT and MRD.

3.3.1 Requirement Gathering and Analysis

During the requirement gathering stages, IT Consultant of GPCL interacted with both MPWT & MRD officials and the outcomes are as follows: (i) Both MPWT & MRD have web presence with ministerial websites at addresses

www.mpwt.gov.kh and http://www.mrd.gov.kh respectively. The web pages use PHP scripting language for web pages and the backend database used being MySQL. During the interactions it was given to understand that web pages are hoisted on suitable web servers with adequate bandwidth. A maintenance plan is also in place for web servers and has necessary disk space for hoisting additional web pages, as may be required in the future.

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(ii) The IT personnel of both the Ministries are well versed with maintenance of their

respective websites and are comfortable using the PHP scripting language for creation of web pages and using the MySQL database.

(iii) Currently, the website contents are much static in nature and content management is

handled by the respective designated IT personals.

(iv) During the interactions, the possibility of creating dynamic web pages using MySQL database & PHP script were focused and accepted.

3.3.2 Scope of Website Enhancement subtask

The scope of work under this sub task covered, • Design of database schema. • Generate SQL Scripts to build the database and necessary tables which can hold

procurement & MIS related data. • Additional Web page design with content management. • Impart necessary training to both IT staff and end users in creating and using the

additional web pages thus designed. 3.3.3 Technology

Using internet technology, one can capture/view data from any computer that is connected to the internet. With suitable access control mechanism, the users can be granted restricted access to the data residing in a central respiratory through privileges accorded to them by the System Administrator. The internet enabled (IP enabled) website/portal essentially consists of Server computers installed with required operating systems and secured with firewalls and connected to the internet leased line with required band width depending upon the amount of traffic and data to be handled. The choice of Server Specifications, Server OS, Firewall requirements and connectivity bandwidth etc, are dependent on various factors. As such for the purpose of this assignment, the consultant presumes that, the Ministries have necessary IT infrastructure (hardware & software) and connectivity to internet with proper bandwidth.

3.3.4 Design Considerations

Web Pages can be static or dynamic. Dynamic Web Pages display content stored in a database dynamically based on the user requirements as opposed to a static webpage which shows static data which is embedded into the webpage. A website using dynamic Web Pages connect to database holding data, retrieve the data, format the data and send it to the user browser. A dynamic webpage is scripted using a suitable scripting language. Creation of a dynamic web page is recommended as the webpage content can be populated from the data residing in the database. Also the database can be queried as required; reports generated on various criteria facilitate an effective MIS system for procurement administration.

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Since IT personnel of both MPWT & MRD are comfortable using PHP scripting

language and are acquainted with administering MySQL database, GPCL recommends using the same combination i.e., PHP script and MySQL as backend database. PHP is preferred the scripting language for the following reasons: • PHP is Open Source and comes free of charge. In purely practical terms, it means that

no dependence on a manufacturer to fix things that don't work, nor is one forced to pay for upgrades every year to get a working version.

• According to ‘NetCraft’ survey, PHP is now the most popular scripting module running on something like two million web sites.

• PHP executes faster because it has a smaller footprint. It also integrates with existing software very well.

• PHP is a very stable and its own resource management system, has a sophisticated method for handling variables, making it intrinsically a robust system.

• PHP has high levels of in-built security system against threats and can be fine tuned based on business requirements as and when they demand.

• PHP is easy to learn. • PHP will run on almost any platform using the same code. • Can connect any database seamlessly with proper extensions installed. • MySQL database server is again preferred as this is also open source, free, fast,

reliable, secure, administration & maintenance is fairly easy. • As such for the purpose of this task, GPCL has used PHP & MySQL for creation of

dynamic WebPages. The required resources are listed as annexed below.

Sl. No Description Annexure

1 Database Schema. (This describes all the tables necessary, along with necessary fields required with their attributes)

Annex-1 of Attachment 1

2 SQL scripts to generate database with necessary tables. (Using these SQL Scripts, the database can be created on the fly without spending much time)


3 Additional dynamic web pages for inclusion into existing website


3.3.5 Other Considerations

The front-end interface to the end user is a web browser and shall contain minimal graphics and the size of all graphics shall be kept to bare minimum to reduce page loading time. The user interface may include menu, buttons, tree view, dropdown list, radio button, check mark as may be required. Wherever the data is to be entered from a set of predefined values, it may be populated from a table or as a list of the above alternatives. Since most data is populated from a database, it is advised to present the data

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in a columnar format, so that the columns can be sorted & filtered as needed by the user. The web page shall also provide data export facility to popular formats like, Excel, MS Word, CSV, HTML etc. As a value addition, the web page may also provide an e-mail interface through which the webpage can be mailed to anyone as a report. The web page shall also have a printer friendly support for printing the displayed webpage as reports.

3.3.6 MIS & Reporting (Refer 4.1.8 of Chapter 4)

The MIS system is intended in strengthening the procurement process of the respective ministries and helps them administer the procurement process with the aid of query and dynamic reports. To accomplish this task the MIS system takes various inputs from various stages of procurement process and produces the required reports as may be needed by the Administration. The MIS demonstrated here can be treated a starting point and may be expanded and fine tuned for future needs.

3.3.7 Training

For the purpose of imparting training, GPCL developed a prototype website with database and all dynamic web pages. During training the same was used in real time. The prototype website was hoisted locally on a laptop using IIS (Internet Information Server), PHP and MySQL database. The training was conducted by live running of this prototype. The benefits of this approach were to ensure that the GPCL’s knowledge and experience of procurement practice and transparency are incorporated into the electronic processing and web registry system and also the participants had hands on training.

GPCL conducted a two day training session to personal of both MPWT & MRD. The training sessions covered the following: (Please refer Para 4.3 of Chapter 2 for the feedback from the participants)

• Project information. • Bidding opportunities. • Award of contracts. • Project progress. • Project related representations. • List of vendors (Qualified & Disqualified) • Updating various master data and project information into the web database which

becomes part of the content management for the website. • Generate required reports using MIS and QBE (Query by Example), using query

builder.

3.3.8 Modified Web Site Screen Shots

The screen shots developed for the assignment in connection with the training program on web site enhancement and application of principles are given in Annex – 3 of Attachment 1.

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3.4 Recommendations and Action Plan (GGAP)

Essentially GGAP implementation is long drawn collective course of actions in terms of policy, structure, procedure and duties & responsibilities of functionaries, which requires continuous and focused efforts. In this context of ongoing and progressive GGAP implementation to yield benefits in short and long term, the consultant recommends are listed hereunder with action plan: Sl No Recommendation Year 1 Year 2 Year 3

i. Continue to augment procurement capacity in MPWT with re/fresh appointment of Independent Procurement Coordinator (IPC)

x x x

ii. Appoint Financial Management Advisor (FMA) to enhance the capacity

x - -

iii. Create and institutionalize Ministry wide functional Procurement Department (PC) with well defined roles, responsibilities and competent functionaries.

- x -

iv. Develop and adopt ministry-wide/ project-wide procurement related disclosure policy

x - -

Implement enhanced website to disclose ministry / project related information voluntarily for the benefit of all stakeholders. Update /Upload regularly with provision of hit counter and Feedback forms.

x x x

v. Draw list of CSOs and invite them for bid opening, foundation laying ceremony and inaugural function

x x x

vi. Setup ministry-wide robust and compliance friendly complaint handling mechanism

x x x

vii. Frame and adopt code of conduct for officials as well as contracting/supplier community

- x x

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CHAPTER 4: CHECKS AND BALANCES FOR MPWT

4.0 Need for Checks and Balance System

MPWT has primary responsibility for ensuring that the projects undertaken by it are implemented in accordance with the project plans and that resources are used effectively and efficiently and only for the project purposes. They are also accountable for all the financial aspects of the project and must ensure compliance with the applicable procurement procedures and provisions of the Financial Management Manual. MPWT executes both centralized and decentralized projects/programs funded by both RGC and international financing agencies. All the tasks and activities related to procurement of goods, works and services required for these projects/programs should be executed in strict conformity with agreed guidelines, systems and procedures governing use of project resources. In order to guard against arbitrarily decisions in its functioning and avoid fraudulent and corruptive practices, MPWT has to be set up a system of checks and balances so that the functional and financial powers are distributed in the various functionaries of the project implementing agencies of the Ministry. Once mandated it is extremely difficult for the implementing agencies to circumvent checks and balances, which ensures that the public interests are safe guarded. Installation of checks and balances systems through internal control set the tone of the organization of MPWT influencing / controlling the consciousness of the functionaries of the organization. It is the foundation for all the components of the internal control providing discipline and structures. Control environment factors include the integrity, ethical style; the way management assigns authority and competence of the functionaries in the ministry; management philosophy and operating style; the delegation of powers and responsibility to the various functionaries of the ministry.

4.0.1 The checks and balances system of MPWT should: • Comply with legislative, statutory requirements and adherence to the policies as

enunciated by RGC; • Ensure that the contracts are awarded as per procedure laid down by RGC from

time to time; • Ensure that the accounts and records are reliable and maintained as per standards

laid down; • Protect the assets from being lost or stolen, misused, and also safe guarding

assets against wastage, fraud and inefficiency; • Discourage dishonesty through the implementation system and procedures that

would make concealment of irregularities difficult and promote disclosure and transparency;

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4.0.2 To ensure satisfactory implementation of high quality projects/programs with no time and cost overruns, the ministry should adhere to the following general principles of internal control: • Deployment of component, reliable, honest functionaries/ upgrading competency of

the functionaries by careful selection, arranging periodical training, and use of their talent in its system & procedures with the duties and responsibility each functionary unambiguously laid down;

• Segregation of functional responsibilities/ separation of powers; Example:

• Works: Design and specification, contract award, contract management (technical) and financial management;

• Goods: Indenting, framing of specifications; procurement; inspection and acceptance; store management;

• Separation of accounts from custodianship by having adequate security measures such as:

• Physical protection of assets from misuse/misappropriation; • Record Management; Demarcation of approvals from proposals;

• Regular independent review by having periodical internal and external audits; • Introduction and implementation of proper management information system;

4.1 Introduction of procurement checks and balance system by creation of an enabling environment

4.1.1 Issue of Procurement Manual (PM) including Standard Bidding Documents (SBDs)

For External Assisted Projects: Royal Government of Cambodia has issued Prakas Promulgating Procurement Manual on September 19, 2005 followed by Sub-decree on February 26, 2007. The procurement pertaining RGC developmental initiatives shall be carried out in accordance with the revised IRRPP 2010. These procurements are implemented at two levels namely central and provincial. The central line ministry is responsible for all major procurements based on the threshold and medium & minor procurements including procuring periodic maintenance works at provincial level. The PM contains SBDs for preparation of bidding documents, guidelines for advertising, and formats for recording minutes of bid opening, guidelines for formation of evaluation committee, evaluation reports, and notification of award and signing of the contract.

The Supplement to the Financial Management Manual provides formats for monitoring physical progress of Works, Goods and Consultancy services. Also provides formats for recording acquisition and disposal of assets. The FM supplement does contain the procedure for processing the payment taking into account of retention money, deduction of mobilization advance and applicable taxes as per taxation laws of RGC. In addition to

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these the records the Bid security Register (Centralized), Performance Security Register (Centralized) and mobilization and retention money details are recommended to be maintained.

4.1.2 Establish Procurement Department MPWT shall establish a well trained and well equipped procurement Department in the

ministry under the control and superintendence of a senior level functionary (level of director) which will:

• Periodically inspect the offices of the various implementing agencies of the ministry as well as the provincial offices and guide them on the procurement procedures and proper record keeping;

• Issue formats for the collection of procurement information for review; • Conduct periodical training programs to the various functionaries involved in the

procurement activities such as preparation of bids documents, advertising and notification of IFB, recording of details of bids received, evaluation of bids, custody of original bids and other records, award of contract and contract management;

• Ensure that the disclosure of procurement information is as per agreed policy of RGC;

• Ensure proper maintenance of the Procurement Management Information system (PMIS) so that the periodical reports as required could be generated;and

• Ensure that the Complain Redressal Mechanism as put in place functions properly, updated regularly and generate reports as required.

4.1.3 Conduct periodical procurement review

Procurement review refers to auditing of files and documents relating to the procurement of goods, works and consultancy services. Procurement review is basically carried out to ascertain whether the procurement procedures were correctly and completely followed both in letter and spirit. It brings out omissions/commissions and lapses; whether on account of poor or inadequate understanding of the procedures or willful negligence including likely fraud/corruptive evidence during the review for taking administrative deterrent actions to ensure that such cases do not repeat in future. The report and observations of the procurement review also acts as a guide for taking corrective measures to streamline and improve the procurement system/procedures. The procurement review should cover in general the following aspects:

i. Whether the procurement plan was prepared? ii. Whether the procurement was made as per the approved procurement plan for the

project/program? iii. Whether the method adopted for procurement was as per the threshold limits as

specified in the Procurement Manual/IRRPP? iv. Whether the functionaries charged with the responsibility of procurement were

actually involved in the procurement?

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v. Whether the overall procurement was done within a reasonable period? vi. Whether there was any avoidable delay at any stage/stages of the procurement

process? vii. Whether the necessary approvals were taken from competent authorities wherever

required? viii. Whether proper and adequate documents relating to procurement were

maintained? ix. Whether the technical and financial evaluations were done properly and in a fair

manner/ x. Whether the contracted supplier/contractor supplied the goods/executed the works

as per quality, quantity and prices agreed upon/ xi. Whether there have been cost and time overruns?

xii. Whether the goods supplied or works executed in time and properly accounted/recorded/works registers after inspection?

xiii. Whether the payments were made to the suppliers/contractors in time; xiv. Whether the supplies/works have been taken in Assets register? The procurement review should be done periodically by officials of Procurement department as well as Internal and External Auditors appointed by the ministry. The external financing agencies would also conduct mandatory procurement reviews as laid down in the legal agreements.

4.1.4 Conduct appropriate Procurement Training Programs:

MPWT through the procurement Department should arrange for periodical training programs to the various functionaries (who are actually involved in the procurement process) of the ministry in various aspects of the procurement to cater to the specific needs of the project/program. These training programs should be conducted by reputed training agencies by experts in the appropriate field. The officials of the procurement department should train the functionaries at the provincial level by periodical training programs tailored to the specific needs. The procurement department should prepare a Training calendar both for the functionaries of the ministry as well as the provinces.

4.1.5 Ensure proper Record Keeping:

MPWT through the procurement department shall provide guidance to the various implementing agencies of the ministry as well as functionaries of the provinces in classification of documents, the proper up keep and storage of procurement documents and inventor records to ensure that all records regarding procurement activities under the ministry and provincial level are kept in an indexed and safe manner so that are easily retrievable for review by the procurement department, internal and external auditors as well as auditors of external financing agencies in respect of externally financed projects.

4.1.6 Disclose of procurement information: (Refer Para 3.3 of Chapter 3 for further details)

MPWT through the procurement department shall ensure that all procurement information (procurement plan, IFBs, bidding documents, award decisions etc.) as per agreed disclosure policy are placed in the web site of the ministry in time for information

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of the civil society, suppliers/contractors and public at large to enable them to make representations if any.

4.1.7 Set up Complaint Redressal Mechanism: (Refer Para 3.2.6 of Chapter 3 for CHM developed by GPCL)

MPWT shall set up a complaint redressal mechanism (to deal with complaints from bidders, contractors, suppliers, consultants and general public at large) and through the procurement department monitor closely the complaints received both at the ministry and provincial level. Immediate action should be initiated to redress the grievances. All complaints shall be registered and handled at a level higher than that that of the level at which the procurement process is being undertaken and the allegations made in the complaints shall be thoroughly enquired into and if found correct appropriate remedial/corrective measures should be taken by appropriate authorities. The ministry shall announce on its web site the complaint handling mechanism and place the periodic reports. In case of an individual officer/staff is found responsible and guilty, suitable disciplinary proceedings shall be initiated as per service rules.

A register of complaints redressal shall be prepared and maintained by each

implementing agency at the ministry and provincial level. The register shall capture the following information:

i. Serial number of the complaint; ii. Date on which the complaint was made/received;

iii. Particulars of the person making the complaint; iv. Name of the complainant; v. Brief details of the complaint;

vi. Complaint against whom if it is against an individual; vii. Details of actions taken and subsequent follow ups specifying on which

actions was taken; viii. Whether the complainant was satisfied, if not, why;

ix. Action taken against the guilty, if warranted; x. Remarks.

Subsequently a data base shall be created and incorporated into procurement MIS, which shall be regularly updated and capable of generating reports for monitoring.

4.1.8 Creation of Procurement Management Information System (PMIS):

The ministry shall develop an on line PMIS to ensure that all contract information and its related details are available from all implementing agencies in the ministry and provinces. Till such a time that all the procurement entities at the provincial level and ministry’s implementing agencies level are connected and an on line PMIS is established, the procurement shall receive the procurement information in the following formats: Procurement of Goods: Format PG1 Actual Expenditure: Completion Status of POs already placed up to Previous Month of Reporting Month Under (RGC/Name of Donor) Development Initiative since Inception.

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Format PG2: Committed Expenditure: Details of POs already placed up to Reporting Month under (RGC/Name of Donor) Development Initiative. Format PG3: Expenditure in Pipeline: Details of Bid/Quotations floated under (RGC/Name of Donor) Development Initiative (NCB/NS//Direct) up to Reporting Month. Procurement of Works: Format CW1: Completed Contracts: Completion Status of WO/Contracts already placed up to Previous Month of Reporting Month Under (RGC/Name of Donor) Development Initiative since Inception. Format CW2: Contracts in Progress: Completion Status of WO/Contracts already placed up to Previous Month of Reporting Month Under (RGC/Name of Donor) Development Initiative since Inception Format CW3: Committed Expenditure: Details of WO/Contracts already placed up to Reporting Month under (RGC/Name of Donor) Development Initiative. Format CW4: Expenditure in Pipeline: Details of Bid/Quotations floated under (RGC/Name of Donor) Development Initiative (NCB/NS//Direct) up to Reporting Month. These Formats are given in Annex – 13 of this Report. The information obtained in these formats would help in preparation of Procurement Monitoring Report (as given in Appendix 29.16 to 30.2 of the Supplementary Financial Manual (June 2009). The procurement department shall analyze the reports to see the trends, identify the issues; compute the following procurement performance indicators (Procurement category/Method wise) to enable the ministry to take proactive corrective steps as and when warranted.

i. Percentage of invitation of open bids publicly advertised; ii. Percentage of bids sold and received;

iii. Average number of days between bid advertisement and bid opening; iv. Average number of days between bid opening and award communication; v. Average number of days between bid award communication and signing of

contract agreement; vi. Percentage of item wise variation in estimated to cost to the quoted price by all

the bidders (to find out the quoting pattern/upfront/uniform loading/unbalanced item prices etc.,)

vii. Percentage of item wise / overall variation in estimated to cost and contract amount;

viii. Percentage of item wise / overall variation in contract amount and completion amount (Cost element wise such as extra items, quantity variation, price adjustments, rate comparison of items included later (not in BoQ)) ;

ix. Percentage of bids with two or fewer responsive bidder; x. Percentage of cases where the lowest bidder gave suo moto discounts after bid

opening;

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xi. Category wise number of complaints received, and resolved with period of resolution;

xii. Percentage of component (mile stone) wise delay between agreed and actual completion dates

xiii. Value for money analysis: Time Overruns; Actual Cost Overrun based on agreed and completed cost; Perceived Cost Overrun by considering the benefits of service delivery for timely completion including actual cost overrun.

xiv. Analysis of bidder profiles (Registration wise, country wise, provincial wise); Proforma for analysis of major deviations (procurement performance indicator wise) issued by the New Delhi World Bank office is attached as Annex – 14 for adopting after suitable customization to public procurement system in Cambodia.

4.1.9 Other measures to improve checks and balances in procurement: (i) Procurement Planning/Budgeting including periodic maintenance / performance

based contracts; (ii) Review the system of existing system of Registration of Contractors / Suppliers /

Consultants and streamlining of the same; (iii) Development of Unit Data base system (Scheduled Rates/ Standard Rates) to

ensure proper preparation of works estimates; (iv) Close coordination of the implementing agency with quality assurance section and

finance section for contract completion and closure. 4.2 Recommendations and Action Plan (Procurement Checks and Balances)

Sl No Recommendation Year 1 Year 2 Year 3i. Institutionalize project procurement

department with clearly defined roles, responsibilities and functions (also recommended for Ministry wide in GGAP)

x - -

ii. Setup and institutionalize web based Procurement Management Information System (PMIS) with an interoperable data exchange feature with the existing Financial Management Software.

- x x

Use enhanced website for internal data capturing, analysis and reporting

x x x

***

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Annex – 1: Questionnaire on Training Needs Questionnaire on Training Needs of Counter-part Staff in MPWT and MRD of various Proposed

Training Themes of Procurement and Good Governance Action Plan (GGAP) or Good Governance Framework (GGF) Implementation

1) Identification of the counter‐part staff:

a) Name of the staff: b) Designation: c) Qualification: d) Address along with e‐mail ID and Hand Phone no.:

2) Please TICK the Extent of your Knowledge on Procurement Procedures and good governance action plan implementation on a five point scale as given below.

⁽1⁾ ⁽2⁾ ⁽3⁾ ⁽4⁾ ⁽5⁾ No /Little Moderate Average Good Very Good

I) With the Procurement Procedures for the Externally Funded Projects in Cambodia (Standard Operating Procedures and Procurement Manual) for:

a) Civil Works: Little / Moderate / Average / Good / Very Good

b) Goods and Equipments: Little / Moderate / Average / Good / Very Good

c) Consultant Services: Little / Moderate / Average / Good / Very Good

II) With the Procurement Procedures of the Royal Government of Cambodia for:

a) Civil Works: Little / Moderate / Average / Good / Very Good

b) Goods and Equipments: Little / Moderate / Average / Good / Very Good

c) Consultant Services: Little / Moderate / Average / Good / Very Good

III) Good Governance Action Plan or Good Governance Framework Implementation

(Please TICK which of the following elements of GGAP / GGF you are familiar with):

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a) Procurement Management: Little / Moderate / Average / Good / Very Good b) Financial Management: Little / Moderate / Average / Good / Very Good c) Disclosure of project Information: Little / Moderate / Average / Good / Very Good d) Civil Society Role: Little / Moderate / Average / Good / Very Good e) Complaint and Remedies mechanism: Little / Moderate / Average / Good / Very Good f) Code of ethical conduct: Little / Moderate / Average / Good / Very Good g) Sanctions: Little / Moderate / Average / Good / Very Good h) Project specific issues: Little / Moderate / Average / Good / Very Good

3. Please Tick the topics you would like to be included in the following programs and also identify the topics to be included?

I) Four‐day Training program on procurement of Civil Works a) General Policies and Procedures: ( ) b) Preparation of Bidding Documents: ( ) c) Invitation for Bids, Advertisement, Sale, etc.: ( ) d) Receipt and Evaluation of Bids: ( ) e) Award of Contract: ( ) f) Please identify any other topic (s): II) Four‐day Training program on procurement of Goods: a) General Policies and Procedures: ( ) b) Preparation of Bidding Documents: ( ) c) Invitation for Bids, Advertisement, Sale, etc.: ( ) d) Receipt and Evaluation of Bids: ( ) e) Award of Contract: ( ) f) Please identify any other topic (s): III) Three‐day Training program on procurement of Consultants: a) General Policies and Procedures: ( ) b) Preparation of Terms of Reference and Request for Proposals: ( ) c) Invitation for Bids, Advertisement, Short‐listing, etc.: ( ) d) Receipt and Evaluation of Proposals: ( ) e) Negotiations and Award of Contract: ( ) f) Please identify any other topic (s):

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IV) Two‐day Training program on Good Governance Action Plan or Framework Implementation: a) General framework for GGAP and GGF: ( ) b) Issues and concerns involved in GGAP or GGF: ( ) c) Actions required to mitigate the risk: ( ) d) Setting Targets and Monitoring: ( ) e) Please identify any other topic (s): V) Two‐day Training program on Web‐Site Enhancement f) General Principles behind disclosure policy: ( ) g) Infrastructure required to support the above policy: ( ) h) Up‐loading of up‐dated data / information: ( ) i) Operational and maintenance aspects: ( ) a) Please identify any other topic (s):

Note: After filling up, please send it to Ms. Tep Borita, PRIP Project, MPWT, H/P: 011655623 (E‐mail: [email protected]). Thanks for your cooperation.

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Annex – 2: Inaugural Address for Specific Training Sessions

A Note handed over H.E. Dr. Lim Sidenine, Secretary of State, MPWT, on

‘Public Procurement’ to deliver the inaugural address for participating officials of MPWT and MRD on 2nd August, 2010 at Lotus Room, Phnom Penh Hotel conducted by Global Procurement Consultants Limited, India

(CS-2 Consultant, PRIP, MPWT)

Good Morning Friends. I considered that it is a great privilege and honor to be in the midst of all of you today morning to share my thoughts on procurement processes adopted by Royal Government of Cambodia. This program on procurement of Civil Works is being conducted by Global Procurement Consultants Limited, India (CS2 Consultant of PRIP, MPWT) as part of assignment with our Government.

1. “Procurement” refers to the process of engaging contractors, suppliers and consultants for the construction of various works, facilities or supply of goods or providing related services for developmental projects. Large amounts of money are invested by Governments (often 20 to 30% of the total budget) on procurement of goods, works and consultant services in creation and maintenance of public infrastructure.

2. Since the procurement function involves substantial investments, most of the developing countries seek from funds either multi-lateral or bilateral institutions. It is worth noting that two important multi-lateral development institutions are providing credits/grants and loans for our developmental activities namely, the World Bank and the Asian Development Bank to our country.

3. All multilateral development institutions in the World jointed together and harmonized

their Procurement and Consultant Guidelines in 2004. Keeping this in view, our government has developed a comprehensive Procurement Manual which is a culmination of procurement policies and procedures of the World Bank and the Asian Development Bank in 2005.

4. Broadly the five stages involved in a project are:

o Project appraisal and approval o Preparation of procurement plans o Preparation of bid documents and soliciting bids o Bid opening, evaluation and award of contract o Contract management and administration.

5. The deployment plans for procurement functions of implementing agencies are often

confronted with problems and delays due to lack of trained personnel. The trained officials, if available, can cope with and perform complex national and international procurement operations at every stage of the project in accordance with the guidelines and procedures of the funding agency. This has been identified as one of the major reasons for the delay in award of contracts and consequential time and cost overruns in many projects all over the World.

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6. In order to assist the project implementation units in the Ministry of Public Works and

Transport, and the Ministry of Rural Development, we have engaged a Consultant to carry out the ‘Capacity Building Program on Public Procurement and Good Governance Action Plan / GGF Implementation’. The name of the consultant is Global Procurement Consultants Limited, India and has engaged as CS2 consultant by Provincial and Rural Infrastructure Project funded by the World Bank.

7. The Consultant has identified five important training programs as part of its assignment with us. The five themes identified for capacity building are (1) Procurement Procedures for Civil Works (2) Procurement Procedures for Goods, (3) Procurement Procedures for Consultant Services, (4) Good Governance Action Plan / Good Governance Framework Implementation, and (5) Website Enhancement.

8. This is the first Program on Procurement of Civil Works and is being conducted over 4 day’s period, i.e. from August 2 to 5, 2010.

9. The aim of the Programme is to build capacities for better understanding of the

underlying principles of our Procurement Manual for Externally Funded Projects as applicable to various stages of the project from the planning to final award of contracts. The Programme provides principles and procedures to be followed by all Externally Funded Projects, based on the Procurement Manual of Royal Government of Cambodia.

10. The Programme addresses the main types of contracts and their application, and

describes the relevant procedures for preparation of bids, soliciting competitive bids and the subsequent processes for bid examination / evaluation and award of contract.

11. The Programme is conducted by Mr. N. Raman Ex-Principal Procurement Specialist of

the World Bank who has spent almost 24 years with the World Bank (and another 28 years with Government of India) and still continues to work as a Consultant to the World Bank along with Dr. B. S. Chetty, Chief Trainer of Global Procurement Consultants Limited who has got more than 16 years of experience in conducting training programs on Procurement Procedures of the World Bank and also assisting the World Bank funded projects in carrying out the procurement in India, Iran, Sri Lanka, Nepal, Kenya, Malaysia and Bangladesh.

12. All Participants officials are encouraged to raise the questions and the problems

confronted by their projects at the end of each session as this program is a dialogue-oriented program.

13. With these kind words, I inaugurate the program and wish all of you a happy learning

and best of luck in all your future endeavors in the procurement field.

*****

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Annex – 3: Schedule for Training Program on Procurement of Civil Works

GLOBAL PROCUREMENT CONSULTANTS LIMITED

MAKER CHAMBERS IV, 8TH FLOOR, NARIMAN POINT, MUMBAI – 400021, INDIA

PHONE: +91-22-2285-2518; FAX: +91-22-2285-5232; WEBSITE: www.gpcl.in

Training Program on Procurement of Civil Works for Officials of MPWT and MRD of Royal Government of Cambodia (CS2- PRIP, MPWT)

August 2 – 5, 2010 Venue: Lotus Room, Phnom Penh Hotel

Schedule

Monday, August 2, 2010 8.30 – 9.00 Registration

9.00 – 9.05 Welcome

9.05 --9.25 Inauguration of the Program and Inaugural Address by

H.E. Dr. Lim Sidenine, Secretary of State, MPWT, RGC.

9.25 – 9.45 Coffee Break

9.45—10.45 General Principles of Public Procurement

10.45-11.00 Questions and Answers (Q&A)

11.00-12.15 Procurement in Externally Funded Projects in Cambodia & Procurement Manual

12.15-12-30 Q&A

12.30-13.30 Lunch Break

13.30-15.30 Methods of Procurement for Civil Works - I

15.30-15.45 Tea Break

15.45-16.45 Methods of Procurement for Civil Works - II

16.45-17.00 Q&A

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Tuesday, August 3, 2010 9.00 – 10.15 Packaging and Planning for Procurement

10.15-10.30 Q & A

10.30-10.45 Coffee Break

10.45-12.15 Pre qualification for civil works, Fixing of qualification and evaluation criteria, for civil works (NCB and Shopping)

12.15-12-30 Q &A


13.30-15.30 Preparation of Bidding Documents (NCB and Shopping) - Preparation of technical specifications, Bid Data sheet, Special conditions of contract, etc.

15.30-15.45 Tea Break

15.45-16.30 Preparation of Bidding Documents (NCB) – Exercise

16.30-17.00 Q&A

Wednesday, August 4, 2010

9.00 – 10.15 Bidding Process, Bid Opening

10.15-10.30 Q & A


10.45-12.30 Bid evaluation & Preparation of Bid Evaluation Report (NCB) - I


13.30-15.15 Bid evaluation &Preparation of Bid Evaluation Report (NCB) - II

15.15-15.30 Q & A

15.30-15.45 Tea Break

15.45-17.00 Case Studies /Exercise on Bidding Process / Evaluation

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Thursday, August 5, 2010 9.00 – 10.15 Notification of Award and Signing of Contract

10.15-10.30 Q & A


10.45-12.30 Issues on Procurement


13.30-15.30 Group work on Issues on Procurement of Civil Works

15.30-15.45 Tea Break

15.45-16.30 Discussion on issues on procurement of civil works

16.30-16.45 Closing of the Training Program

------------------------------------------------------------------------------------------------------------- Speakers: (1) Mr. N. Raman, Ex-Principal Procurement Specialist, the World Bank (2) Dr. B. S. Chetty, CEO (Div), GPCL, India.

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Annex – 4: Summary of Feedback: Training on Procurement of Civil Works

Summary of Participants Assessment on the Training Session on the Procurement of Civil Works for the Counterpart Staff of the Ministries of Public Works and

Transport, and Rural Development (August 2 to 5, 2010)

The summary of responses of participants (16 counterpart staff) is mentioned in brackets below.

1. Perception about the Training Program: (a) How do you find the training program? Excellent (9) /Good (5) (b) List the sessions / topics which were most interesting for you.

No. Topics Please tick 1 General Principles and Procedures Excellent (7) / Good (11) 2 Methods of Procurement Excellent (8) / Good (10) 3 Preparation of bid documents Excellent (9) / Good (8) 4 Bidding Process Excellent (9) / Good (7) 5 Evaluation of Bids & Award of Contract Excellent (8) / Good (9) 6 Exercises and Case studies Excellent (6) / Good (12)

(c) Do you feel that the program could have been longer (tick)? Yes (11)/ No (7) (d) If ‘yes’, how long do you propose (mention number of days)? 10 days (8) / 1 week (3)

2. Utility of the Training Program: How does the training program help you?

(i) In appreciating the steps involved in Goods Procurement (12) (ii) In working as a member of Procurement Review Committee (5 ) (iii) In facilitating the Goods Procurement actions effectively (10) (iv) Any other (write): Improving and expanding the knowledge (1)

3. Knowledge Transfer:

(a) Would you be able to transfer this knowledge to staff in your department? Yes (8) / No (6) (b) If ‘Yes’, does the learning in the current program help you? Yes (13) / No (Nil)

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Annex – 5: Schedule for Training Program on Good Governance Framework (GGF) and Good Governance Action Plan (GGAP) Training


MAKER CHAMBERS IV, 8TH FLOOR, NARIMAN POINT, MUMBAI – 400021, INDIA PHONE: +91-22-2285-2518; FAX: +91-22-2285-5232; WEBSITE: www.gpcl.in

Training Program on Good Governance Framework (GGF) and Good Governance Action Plan

(GGAP) for Officials of MPWT and MRD of Royal Government of Cambodia (CS2- PRIP, MPWT)

August 12 – 13, 2010 Venue: Phnom Penh Hotel -4, 05th Floor

Schedule Thursday, August 12, 2010

8.30 – 9.00 Registration

9.00 – 9.05 Welcome

9.05 – 9.45 Introduction to Participants and their expectations

9.45—10.45 Rationale and Imperatives of Good Governance


11.15-12.15 Good Governance Framework (GGF) and Good Governance Action Plan (GGPA)

12.15-12-30 Q&A


13.30-15.15 Procurement and Financial Management

15.15-15.30 Questions and Answers (Q&A) session

15.30-15.45 Tea Break

15.45-16.30 Disclosure

16.30-16.45 Q&A

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Friday, August 13, 2010 9.00 – 9.45 Role of Civil Society

9.45-10.30 Complaints and Remedies Mechanism

10.30-10.45 Q & A


11.45-12.45 Sanctions

12.45-13-00 Q &A


14.00-15.00 Project Specific Elements

15.00-15.15 Q&A

15.15-15.30 Tea Break

15.30-16.30 Interactive Session and Closing of the Training Program

------------------------------------------------------------------------------------------------------------- Speakers: (1) Mr. G. C. Tallur, GPCL, India. (2) Dr. B. S. Chetty, GPCL, India.

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Annex – 6: Summary of Feedback: Training on Good Governance Framework / Good Governance Action Plan

Summary of Participants Assessment on the Training Session on Good

Governance Framework / Good Governance Action Plan Implementation for the Counterpart Staff of the Ministries of Public Works and Transport, and Rural

Development (August 12 to 13, 2010)



Sl. No. Topics Please tick

1 Rationale and Imperatives for Good Governance

Excellent (5)/ Good (11)

2 Good Governance Framework (GGF) / Good Governance Action Plan (GGPA)

Excellent (10)/ Good (6)

3 Procurement and Financial Management Excellent (8) / Good (9) 4 Disclosure Excellent (7) / Good (10) 5 Role of civil society Excellent (7) / Good (10) 6 Complaints and remedies mechanism Excellent (3) / Good (13) 7 Code of Ethical Conduct and Sanctions Excellent (6) / Good (10) 8 Project specific elements Excellent (8) / Good (8)

(c) Do you feel that the program could have been longer? Yes (8) / No (6) (d) If ‘yes’, how long do you propose? Three days (4) / Four days (3)


(i) In appreciating the steps involved in GGF / GGPA (13) (ii) In working as a member of GGF/GGAP implementation committee (8) (iii) In facilitating the GGF/GGPA actions effectively (10) (iv) Any other (write): In preparing the report and tracking performance (1).


(c) Would you be able to train the staff in your department / organization? Yes (7) / No (7) (d) If ‘Yes’, does the learning in the current program help you? Yes (9) / No (Nil)

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Annex – 7: Training Workshop on Web Site Enhancement


MAKER CHAMBERS IV, 8TH FLOOR, NARIMAN POINT, MUMBAI – 400021, INDIA. PHONE: +91-22-2285-2518; FAX: +91-22-2285-5232.

WEBSITE: www.gpcl.in

Training Workshop on Web Site Enhancement (Disclosure of Project Information to Public by expanding the website) for Officials of MPWT

and MRD of Royal Government of Cambodia (CS2- PRIP, MPWT) August 19-20, 2010

Venue: Lotus Room, Phnom Penh Hotel

Schedule Thursday, August 19, 2010


9.00 – 9.05 Welcome

9.05 – 9.45 Introduction to Participants and their expectations

9.45—10.45 Procurement Management and Disclosure Policy


11.15-12.30 Tasks and Objectives of the Program


13.30-14.15 Recommended Technology

14.15-15.00 Some Features of Web page design

15.30-15.45 Tea Break

15.45-17.00 Creation of Master Data

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Friday, August 13, 2010

9.00 – 10.30 Entering Bids and Contract Related Information - I


11.00-12.30 Entering Bids and Contract Related Information - II


13.30-14.30 Way forward for effective procurement administration

14.30-15.15 Disclosure of Information through Web pages

15.15-15.45 Tea Break

15.45-16.30 Question and Session

16.30-17.00 Interactive Session and Closing of the Workshop

---------------------------------------------------------------------------------------------------- Speakers: (1) Mr. P. V. Rao, GPCL, India. (2) Dr. B. S. Chetty, GPCL, India.

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Annex – 8: Summary of Feedback: Training on Web Site Enhancement

Summary of Participants Assessment on the Training Session on Web Site Enhancement for the Counterpart Staff of the Ministries of Public Works and

Transport, and Rural Development (August 19 to 20, 2010)


1. Perception about the Training Program: (a) How do you find the training program? Excellent/Good (b) List the sessions / topics which were most interesting for you.

Sl. No. Topics Please tick

1 Procurement Disclosure Policy Excellent (8) / Good (11) 2 Recommended Technology Excellent (4) / Good (15) 3 Some Features of Web Page Design Excellent (5) / Good (14) 4 Creation of Master Data Excellent (6) / Good (12) 5 Entering Bids and Contract Related

Information Excellent (6) / Good (13)

6 Way forward for effective procurement administration

Excellent (9) / Good (10)

7 Disclosure of information through web pages


8 Interactive session Excellent (4) / Good (16)

(c) Do you feel that the program could have been longer? Yes (5) / No (Nil) (d) If ‘yes’, how long do you propose? Three days (3) / Four days (2)


(i) In appreciating the steps involved in Web Site Enhancement (13 ) (ii) In working as a member of Web Site Enhancement implementation committee (6) (iii) In facilitating the Web Site Enhancement actions effectively (7 ) (iv) Any other (write): Share more development for our knowledge


(a) Would you be able to transfer this knowledge to staff in your department? Yes (9) / No (11) (b) If ‘Yes’, does the learning in the current program help you? Yes (11) / No (Nil)

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Annex – 9: Schedule for Training Program on Procurement of Goods



Training Program on Procurement of Goods for Officials of MPWT and MRD of Royal

Government of Cambodia (CS2- PRIP, MPWT) September 20 to 23, 2010


Schedule Monday, September 20, 2010


9.00 – 9.05 Welcome

9.25 – 9.45 Introductions to the Participants and their expectations


10.45-12.15 General Principles and Procedures for Procurement of Goods in Cambodia

12.15-12-30 Q & A (Question and Answer) Session


13.30-15.30 Methods for Procurement for Goods

15.30-15.45 Tea Break

15.45-16.45 Packaging & planning for Procurement for Goods

16.45-17.00 Q&A

Tuesday, September 21, 2010 9.00 – 10.15 Fixing Qualification criteria for procurement of goods (NCB and

Shopping)

10.15-10.30 Q & A


10.45-12.15 Preparation of Bidding Documents (NCB) - Preparation of technical specifications, Bid Data sheet, Special conditions of contract, Price variation in goods liquidated damages, payment terms, inspection clause, incidental services clause, etc.

12.15-12-30 Q &A

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13.30-15.30 Exercise on Preparation of Bidding Documents (NCB) - I

15.30-15.45 Tea Break 15.45-16.30 Exercise on Preparation of Bidding Documents (NCB) - II 16.30-17.00 Q&A

Wednesday, September 22, 2010 9.00 – 10.30 Bid evaluation & Preparation of Bid Evaluation Report (NCB) - I


11.00-12.15 Bid evaluation & Preparation of Bid Evaluation Report (NCB) –II

12.15-12.45 Q&A


13.45-15.15 Bid evaluation & Preparation of Bid Evaluation Report(NCB) –III

15.15-15.30 Q & A

15.30-15.45 Tea Break

15.45-16.45 Notification of Award, Preparation of Contract and Signing of Contract – Contract management, annual maintenance clauses, Warranty, Liquidated damages Termination for default, convenience, insolvency, etc - I

16.45-1700 Q&A

Thursday, September 23, 2010

9.00 – 10.30 Notification of Award, Preparation of Contract and Signing of Contract – Contract management, annual maintenance clauses, Warranty, Liquidated damages Termination for default, convenience, insolvency, etc - II


10.45-12.30 Exercises on Bidding Process / Evaluation


13.30-15.30 Group work on Issues on Procurement of Goods

15.30-15.45 Tea Break

15.45-16.15 Discussion on issues on procurement of civil works


Speakers: (1) Mr. N. Raman, Ex-Principal Procurement Specialist, the World Bank (2) Dr. B. S. Chetty, CEO (Div), GPCL, India.

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Annex – 10: Summary of Feedback: Training on Procurement of Goods Summary of Participants Assessment on the Training Session on the Procurement

of Goods for the Counterpart Staff of the Ministries of Public Works and Transport, and Rural Development (September 20 to 23, 2010)


1. Perception about the Training Program:

(a) How do you find the training program? Excellent /Good (b) List the sessions / topics which were most interesting for you.

No. Topics Please tick 1 General Principles for procurement of goods Excellent (5) / Good (5)2 Methods of Procurement of goods Excellent (3) / Good (7)3 Packaging and planning for procurement of goods Excellent (3) / Good (7)4 Preparing Qualification Criteria for procurement of

goods (NCB) Excellent (4) / Good (6)

5 Preparation of Bidding documents for NCB Excellent (5) / Good (5) 6 Exercise on preparation of bidding documents

(NCB/Shopping) Excellent (6) / Good (4)

7 Bid Evaluation and preparation of report Excellent (6) / Good (3)8 Notification of award, preparation of contract and

signing of contract Excellent (4) / Good (6)

9 Important issues in contract management Excellent (6) / Good (4)10 Case studies on goods procurement Excellent (4) / Good (6)

(c) Do you feel that the program could have been longer? Yes (5)/ No (2) (d) If ‘yes’, how long do you propose (mention number of days)? 1 week (1)

2. Utility of the Training Program:

How does the training program help you? (i) In appreciating the steps involved in Goods Procurement (10) (ii) In working as a member of Procurement Review Committee (9 ) (iii) In facilitating the Goods Procurement actions effectively (9) (iv) Any other (write): Nil


(a) Would you be able to transfer this knowledge to staff in your department? Yes (6) / No (1) (b) If ‘Yes’, does the learning in the current program help you? Yes (6) / No (Nil).

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Annex – 11: Schedule for Training Program on Procurement of Consultant Services



Training Program on Procurement of Consultant Services for Officials of MPWT and MRD of

Royal Government of Cambodia (CS2- PRIP, MPWT) September 27 - 29, 2010


Schedule

Monday, September 27, 2010


9.00 – 9.05 Welcome

9.05 --9.45 Introduction to the Program, Participants and their expectations

9.45 – 10.15 Coffee Break

10.15-10.45 General Principles of Procurement of Consultant Services

10.45-11.00 Questions and Answers (Q&A)

11.00-12.15 Methods of Procurement for Consultant Services – I

12.15-12-30 Q&A


13.30-15.30 Methods of Procurement for Consultant Services – II

15.30-15.45 Tea Break

15.45-16.45 Planning for Procurement of Consultant Services, Preparation of Terms of Reference

16.45-17.00 Q&A

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Tuesday, September 28, 2010

9.00 – 10.15 Advertising, Receipt of Expression of Interests; Preparation of Short List

10.15-10.30 Q & A


10.45-12.15 Preparation and Issue of Request for Proposals (RFP), Receipt and Opening of RFPs

12.15-12-30 Q &A


13.30-15.30 Evaluation of Consultants Proposals

15.30-15.45 Tea Break

15.45-16.30 Contract Award - Consultant Services

16.30-17.00 Q&A

Wednesday, September 29, 2010

9.00 – 10.15 Contract Supervision and Administration – Consultants Contracts

10.15-10.30 Q & A


10.45-12.30 Case Studies


13.30-15.30 Group work on Issues and Concerns on Procurement of Consultant Services

15.30-15.45 Tea Break

15.45-16.30 Discussion on issues and Concerns on Procurement of Consultant Services


------------------------------------------------------------------------------------------------------------- Speaker: (1) Dr. B. S. Chetty, CEO (Div), GPCL, India.

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Annex – 12: Summary of Feedback: Training on Consultant Services Summary of Participants Assessment on the Training Session on the Procurement of Consultant Services for the Counterpart Staff of the Ministries of Public Works

and Transport, and Rural Development (September 27 to 29, 2010) The summary of responses of participants (16 counterpart staff) is mentioned in brackets below.


No. Topics Please tick 1 General Principles of Procurement of Consultant

Services Excellent (5) / Good (11)

2 Methods for Procurement of Consultant Services Excellent (7) / Good (9) 3 Planning for procurement of Services and Preparation

of Terms of Reference Excellent (4) / Good (11)

4 Advertising, Receipt of Expression of Interests; Preparation of Short List


5 Preparation and Issue of Request for Proposals (RFP), Receipt and Opening of RFPs


6 Evaluation of Consultants Proposals Excellent (7) / Good (9) 7 Contract Award ‐ Consultant Services Excellent (7) / Good (8) 8 Contract Supervision and Administration –

Consultants Contracts Excellent (5)/ Good (11)

9 Exercises and Case studies on Procurement of Services


(c) Do you feel that the program could have been longer? Yes (8) / No (6) (d) If ‘yes’, how long do you propose (mention number of days)? 4 to 6 days (5) and 15 days (3)

3. Utility of the Training Program: How does the training program help you? (i) In appreciating the steps involved in Procurement of Consultant Services (13) (ii) In working as a member of Procurement Review Committee (7) (iii) In facilitating the Procurement actions of Consultants effectively (6) (iv) Any other (write): Share my knowledge (1)

4. Knowledge Transfer: (a) Would you be able to transfer this knowledge to staff in your department? Yes (11) / No (2) (b) If ‘Yes’, does the learning in the current program help you? Yes (9) / No (Nil).

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Annex – 13: Performa Formats for PMIS

PERFORMA - PG – 1: ACTUAL EXPENDITURE

Name of the Province:________________________ Reporting Month __________________ COMPLETION STATUS OF ORDERS ALREADY PLACED UPTO REPORTING MONTH (SINCE INCEPTION/ FINANCIAL YEAR )UNDER

__________ (RGC/EAP) (To Be Given Province Wise)

(KHR. in Million) S No. PO

Reference and Date

Description of Goods Method of Procurement NCB

/ NS / Direct/Others

Contract Amount (KHR in Million)

Actual Expenditure

including reporting month

Remarks

Equipments A 1.

…… Sub Total (Equipments)

Furniture

B

1

….. Sub Total (Equipments)

Vehicle

C

Sub Total (Vehicle)

Grand Total (Equipments + Furniture +Vehicle)

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PERFORMA - PG – 2:COMMITTED EXPENDITURE

Name of the Province:________________________ Reporting Month __________________

DETAILS OF PURCHASE ORDERS ALREADY PLACED DURING REPORTING MONTH UNDER __________ (RGC/EAP) (To Be Given Province Wise)

(KHR. in Million) S

No. Contract Ref and

Date

Description of Goods Method of Procurement NCB



Expected Date of Delivery/Receipt

Remarks

A Equipments

1. ……

Sub Total (Equipments)

B Furniture

1

…..


C Vehicle

1…

Sub Total (Vehicle)

Grand Total (Equipments + Furniture +Vehicle)

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PERFORMA - PG – 3: EXPENDITURE IN PIPELINE


DETAILS OF BIDS/QUOTATIONS (NCB/NS/Direct) FLOATED UNDER UNDER __________ (RGC/EAP) UPTO REPORTING MONTH (To Be Given Province Wise)

(KHR. in Million) S No. Description of Goods Method of

Procurement NCB / NS /

Direct/Others as per

Procurement Plan

Estimated Amount (KHR in Million)

Date of Bid/Quotation Likely Date of Placing the PO

Floating Actual

A Equipments

1. ……


B Furniture

1 …..


C Vehicle

1…

Sub Total (Vehicle)

Grand Total (Equipments + Furniture

+Vehicle)

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PERFORMA – CW1: COMPLETED CONTRACTS


STATUS OF COMPLETED WORKS UPTO REPORTING MONTH UNDER __________ (RGC/EAP) (To Be Given Province Wise)

(KHR. in Million) S No. Descriptio

n of Works

Description of Contract Method of Procurement NCB / NS /

Direct/Others

Completion Date Contract Amount (KHR in Million)

Remarks (Time / Cost Overrun)

Agreed Actual Estimated Actual

A Construction

1. ……

Sub Total (Construction)

B Rehabilitation

1 …..

Sub Total (Rehabilitation)

C Maintenance

1…

Sub Total (Maintenance)

Grand Total (Construction + Rehabilitation

+ Maintenance)

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PERFORMA - CW – 2: CONTRACTS IN PROGRESS


DETAILS OF WORK ORDERS ALREADY PLACED and IN PROGRESS UPTO REPORTING MONTH UNDER __________ (RGC/EAP) (To Be Given Province Wise)

(KHR. in Million) S

No. Contract Ref and

Date

Description of Contract Method of Procurement NCB



Expenditure Incurred

(KHR in Million)

Expected Date of Delivery/Receipt

A Construction

1. ……


B Rehabilitation

1

…..


C Maintenance

1…


Grand Total (Construction + Rehabilitation + Maintenance)

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PERFORMA - CW – 3: CONTRACTS IN PIPELINE


DETAILS OF BIDS/QUOTATIONS (NCB/NS/Direct) FLOATED UNDER UNDER __________ (RGC/EAP) UPTO REPORTING MONTH (To Be Given Province Wise)

(KHR. in Million) S No. Description of Contract Method of

Procurement NCB / NS /

Direct/Others as per

Procurement Plan

Estimated Amount (KHR in Million)

Date of Bid/Quotation Likely Date of Placing the WO/Contract

Floating Actual

A Construction

1. ……


B Rehabilitation

1 …..


C Maintenance

1…


Grand Total (Construction + Rehabilitation

+Maintenance)

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DETAILS OF CATEGORY WISE EXPENDITURE, COMMITTED EXPENDITURE AND EXPENDITURE IN PIPELINE As on --------------

Name of the Province: (KHR In Million)

Project / Programme Component

Total project

Allocations

Expenditure during the

month

Cumulative Exp. Up to

reporting month

Committed Expenditure

Expenditure in pipe line

Name of Component A. Name of Sub Component

(1) (2) (3) (4) (5) (I) INVESTMENT COST

Civil Works Equipment Furniture

Vehicles Consultants’ services & Research Studies Training/Study Tours (Local & Foreign)/ Workshops

Total (I) (II) INCREMENTAL OPERATING COST

Salaries for agreed additional Staff Consumables Operation and Maintenance Total (II)

Sub Total –A (Total of I+II)

GRAND TOTAL (A-I + A.II)

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Annex – 14: Performa for Analysis of Major Deviations (Procurement Performance Indicator- wise)

Name of the Project/line ministry:

S No Major Deviation Description Goods Works Consultancy No.

Contracts with Major

Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

DeviationsA Bidding

1 Was the procurement notice advertised in accordance with the loan agreement?

2 Was the procurement method required as per the proc. plan used?

3 Number of Bidding Documents Sold 4 Number of Bids Received 5 Request for Expressions of Interest Advertised? 6 Number of Expressions of Interest Received 7 Short List of Consultants on file 8 Number of RFPs Sent Out 9 Number of Proposals Received 10 Number of RFQs Sent Out 11 Number of Quotations Received 12 Number of Amendments to the Bidding Documents 13 Date of Invitation for Bids/RFP 14 Bid/Proposal submission deadline

15 Number of Bid/Proposal Submission Deadline Extensions

16 Bid Submission Deadline Extensions (in days) 17 Bid Validity Period (in days)

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Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations18 Number of Bid Validity Period Extensions 19 Bid Validity Extension Period (in days) B Evaluation and Award 1 Record of Bid Public Opening on file (y/n) 2 Bid opening Date 3 Bid Evaluation Report on file (y/n) 4 Technical Proposal Evaluation Report on file (y/n) 5 Financial Proposal Evaluation Report on file (y/n) 6 Bid Security / Bid Declaration on file (y/n)

7 Est. Contract Amount from Procurement Plan (enter 0 if not in plan)

8 Lowest Evalulated Bid Amount 9 Second Lowest Evaluated Bid Amount 10 Awarded Contract Amount 11 Type of Contract 12 Performance Security on file (y/n) C Contract 1 Delivery Period as per Awarded Contract (in days) 2 Number of Delivery Period Extensions 3 Amount of Delivery Period Extensions (in days) 4 Actual Delivery Period Including Extensions (in days) 5 Advance Payment Amount

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Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations6 Percentage of Goods Delivered to Date 7 Contract Amount Paid as of Date of PPR

8 Average Period from Payment Request to Payment Made (in days)

9 Number of complaints on file (in Bank complaints database or with Borrower)

10 Liquidated Damages Deducted from Payments (y/n) 11 Contract Termination Notice Issued (y/n) D Physical Inspection 1 Name & Title of IA Representative at Location 2 Location of Goods as per procurement plan (yes/no) 3 Country of Origin of Goods as per bid 4 Delivery Date 5 Final Acceptance Date 6 Defects Liability Period Completion Date 7 Warranty Period Completion Date 8 Put in Use Date 9 Name of Manufacturer 10 Country of Manufacturer 11 Model/ Catalogue Number 12 Overall Quality of Materials/ Equipment vs. Tech Specs 13 Overall Quality of Workmanship vs. Tech Specs 14 Quantities Count as per contract

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Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations

No. Contracts

with Major

Deviations

% of Contracts

with Major

Deviations15 Quantities Count as verified

16 Overall Dimensions as per contract (area/volume/length)

17 Overall Dimensions verified (area/volume/length) 18 Recorded Defects/ Deficiencies 19 Inventory / Asset Management Records In Use 20 Recorded Environmental Hazards

21 Storage, Packaging & Distribution System In Use (Pharmaceuticals & Perishable Goods only)

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Annex 15 - Views expressed by Participating Officials in the Workshop held on December 16, 2010 on Suggestions given

regarding the Revised IRRPP and Procurement Manual for Externally Assisted Projects (EAPs) No Ref to RGC/PM Clause and

Description Suggestion for Improvement Views expressed by Participating

Officials Ministry/Department for Action

Suggestions given on Revised IRRPP and Procurement Manual for EAPs

A. Revised IRRPP - Procurement Methods (Goods and Works Category) A(1). Under 3.2.1 of ICB -Publication

of Invitation for Bids (IFB) It is suggested that suitable bid advertisement mechanism may be incorporated in the procedures such as publication at least in one national language newspaper, one regional language news paper and one English language newspaper in the country mandatory for ICB and Domestic Competitive Bidding and optional for other methods, announcement over the national and the ministry’s website as well as project’s.

These were discussed in the Workshop conducted on 16th December 2010. All participating officials felt that the revised IRRPP were just issued under a sub-decree; hence they didn’t offer any comments.

MEF (DPP) and MPWT

A(2). ITB clause 23.5 in SBD for Goods procurement and ITB clause 20.5 in SBD for Works Procurement mentions that no copies of minutes of bid opening shall be provided to the bidders

It is suggested to circulate the minutes of the bid opening and as per GGAP (enhanced disclosure), the media / CSOs may also be invited to attend the bid opening ceremony.

A(3). Under 3.2.1 of ICB - Bid security: minimum of 2% of the bid price

The threshold limits for bid security may be mentioned such as “not less than 2% and not more than 5% of the bid price”

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No Ref to RGC/PM Clause and Description

Suggestion for Improvement Views expressed by Participating Officials

Ministry/Department for Action


A(4). Submission of the bid security ITB clause 19.1: “that the bank guarantee towards the bid security shall be submitted by the prospective bidder either from the Treasury General Department of Royal Government of Cambodia or from the National Bank of Cambodia”

It is suggested to prescribe procedure for submission of bids in the procurement guidelines (PGL) of the Bank may be followed (refer to footnote no. 30 and sub-clause no. 2.14 in page no. 16 of PGL of the Bank) “The bid security in the format prescribed as in SBD and shall be issued by a reputable bank or financial institution selected by the bidder. If the institution is located outside Cambodia, it shall have a correspondent financial institution located in Cambodia to make it enforceable”.


A(5). Domestic preference and Policy guidelines in International Competitive Bidding (ICB) such as acceptance of joint ventures, rights of bidders.

It is suggested to include policy guidelines for the Domestic Competitive Bidding such as acceptance of joint ventures, rights of bidders, etc, and suitable procedures may be included in the SBDs

B. Revised IRRPP Guidelines - Procurement Process B(1). RIRRPP clause 3.10.4: All

clarifications or queries shall be submitted by bidder in writing only

The clause should also include that all replies shall be sent to all bidders in writing only who have purchased bid documents and shall be given to bidders who purchase the bid document thereafter.


MEF (DPP) and MPWT

B(2). RIRRPP clause 3.10.4.4: Procurement authority shall respond to queries or clarification from bidders within 7 days of receipt of the query or clarification from the bidder

Stipulate the difference (number of days) between the date of communicating clarification to all potential bidders and stipulated date of bid opening in order to ensure that the clarification was communicated to all bidders who have purchased the document already and shall be incorporated into the bid document who purchases the bid thereafter to clarification. In case of inordinate delay, the date of bid submission/opening would be appropriately extended.

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B(3). RIRRPP clause 3.11.3: Time for opening of bids is immediately after receipt of bids.

It is advisable to allow between 15 - 30 minutes for opening of bids after stipulated deadline (time) for receipt of bids.


MEF (DPP) and MPWT

B(4). RIRRP clause 3.11.7.4: Not very clear that the withdrawn bids shall not be opened and shall be returned to the bidder unopened

Modify corresponding clause and procedure of bid opening may be revised by including “the withdrawn bids shall not be opened and shall be returned to the bidders”.

B(5). RIRRPP sub-clause 3.11.8, Pages need to initial:

Not included the sub clause for corrections and over writings

Another sub-clause may be included under 3.11.8, all corrections or over-writings must be countersigned by all members of the bid opening committee and the signed ones shall be considered during the bid examination / evaluation

B(6). RIRRPP clause 3.13.2.2: The purchaser’s right to vary quantities prior to the contract award is not a negotiable issue

Specify range of variation over/under the solicited quantity and appropriately built-in into the bid document. Normally it is an accepted international practice that the purchaser is allowed variation of +15% or -15% of the quantity mentioned in the bid document in case of procurement of goods at the time of award.

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B(7). RIRRPP sub-clause 3.12.6.6: when prices are not given for some items in the bid, those bids will be rejected

In the context of this, the sub-clause needs to consider probable scenarios.

(i) In case of goods procurement, when the evaluation is based on the price quoted for each item, the bids need not be rejected. However when bids are invited on lump sum basis (for all items together), then the bids shall be rejected.

(ii) In case of civil works procurement, when prices are not quoted by the bidder for some items of work in the Bill of Quantities / bid, it is normally considered that the bidder has included the price of carrying out of these items of work in prices quoted for other items of work. While implementing the contract, no additional payments shall be considered or made for carrying out these items of work by the successful bidder.


MEF (DPP) and MPWT

B(8). RIRRPP Clause 3.13.2: Negotiation of procurement of goods, works and services; The EA is allowed to negotiate the price with the lowest price quoted bidder to reduce the bid price rather than re-bid

The sub-clause may be suitably redrafted to include the situations under which the negotiations are permitted as well as formation of a committee for negotiation and procedure for conducting the negotiations including analysis of budgetary estimates, current market rates and seeking clarification on detailed rate analysis from the bidder (s) if any. Further we suggest that a threshold limit may be specified (over or under the estimate of prices by the EA before inviting quotations) when to negotiate with bidders.

Also we suggest that a quantitative assessment on the outcomes of negotiations may be conducted based on the sample contracts over a period of time to arrive at cost-benefit analysis and efficacy of negotiations.

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B(9). RIRRPP clause 3.10.4: All clarifications or queries shall be submitted by bidder in writing only.

It is suggested to include in the clause that all replies shall be sent to all bidders who have purchased bid documents and shall be given to bidders who purchase the bid document thereafter without disclosing the identity of the bidder.


MEF (DPP) and MPWT

C. Procurement Manual of EAPs C(1). PM, Para 2.21 under Section 2,

lines no. 3 and 4, Value for Money not only related to Basic Price.

Requires modification and clarification to specify that the total cost of the ownership shall be included such as O&M and servicing costs, onward transportation costs, etc to arrive at the final price.

These were discussed in the Workshop conducted on 16th December 2010. All participating officials felt that this can be accepted and could be incorporated in Procurement Manual for EAPs when it is taken up for revision.

MEF (DPP) and MPWT

C(2). PM, Para 2.8.9, Section 2: Non-acceptance of business gifts either from the current or potential government suppliers (bidders) unless such gifts are of very small intrinsic value such as a calendar or a business dairy.

It is recommended to specify Cap on the value of the gifts in USD or KHR rather than specifying items and include all bidders and potential bidders

These were discussed in the Workshop conducted on 16th December 2010. All participating officials felt that this revision may not be necessary.

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C(3). PM Para 3.1.1 in Section 3: Highest standards of ethics to be observed by the EAs and oversight agencies as well as current and potential bidders during the selection and execution of contracts and the terms are set forth including corrupt practices, fraudulent practices, collusive practices and coercive practices

In line with the World Bank guidelines, update the practices under fraud and corruption clauses as part of policy. It is advisable to add the ‘obstructive practices’ clause to this list to align with other clauses as given in the Procurement Guidelines of the Bank, May 2010. On the same lines, Clause 3 on Fraud and Corruption in Section I – ITB of SBD of procurement of goods in Volume II and procurement of works in Volume III of PM may be modified.


MEF (DPP) and MPWT

C(4). PM, Para 4.5 in Section 4: Standard Bidding Documents from ADB and WB and the list of SBDs / RFPs as of 2005

It is advised that the current guidelines and revised Standard Bidding Document of the World Bank and ADB shall be adopted by the projects in Cambodia to that effect; the wording of this paragraph may be appropriately modified.

C(5). Volume I of the PM, Para 5.1.2 in Section 5 Advertising of opportunities; Annex V: publication of specific procurement notices (SPN) for Shopping – Goods and Works above the threshold

It is suggested that the advertisement / notification may be published in national Khmer newspaper (s) and also in foreign languages newspaper (s); Clause 10.3.4 may be revised accordingly.

C(6). PM, Para 5.3.6 Section 5: Publication of contract awards

De-briefing or explanation with regards his bid / proposal from the Employer/Purchaser may be also included in the format of the summary of evaluation when it is taken for revision so that the same may be published in relevant news papers (Khmer and foreign language).

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C(7). PM, Paragraphs 16.1.5 Bid opening procedures and 16.5 Pages to be initialed

The suggested procedure is that the overwriting or alterations or corrections in bids submitted shall be circled and all members of the procurement review committee or bid opening committee shall sign all of them at the time of bid opening, and the same shall be read out and recorded in the bid opening minutes.


MEF (DPP) and MPWT

C(8). Volume I of the PM, Para 18.2.5 Negotiations, goods and works

It is advisable to seek clarifications from the bidders on breakdown of unit rates or detailed rate analysis for the items of work that exceeded the pre-bid cost estimate. This has been already under clarifications of bids under Section I – Instruction to Bidders in the standard bid document for works procurement (Annex IIIC of PM). A suitable procedure may be evolved on these lines and prescribed in the procurement manual

C(9). PM, Para 18.2.6 Negotiations, goods and works, procedure to be adopted in case of face-to-face negotiations

Compile the outcome and results of the face-to-face negotiations conducted in the past (for a period) may be compiled to find the veracity or the authenticity of negotiations. In line with the Bank’s guidelines GPCL is of the opinion that face to face negotiations may be allowed only under exceptional circumstances with the prior approval of DA and a suitable mechanism may be introduced in the manual.

C(10) PM, Para 18.3.1 The notification of award / letter of acceptance, the format to be sent to the successful bidder

The format of Letter of Acceptance may be revised to include details of the Adjudicator, submission of construction methodology and Proforma for advance processing, if any.

C(11) PM, Para 18.7.2 Failure of a bidder to sign the contract or provide the performance security

It is suggested that the failure to sign or provide performance security should result in the forfeiture of the bid security /enforcing bid security declaration or the bidder being disbarred from all public procurement for a period of three years

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C(12) PM, Para 20.4.7 Pre-shipment inspection of goods, the bidding document will instruct the bidder to nominate a reputable pre-shipment inspection company, acceptable to the tender committee based at or close to the location of the goods to be supplied, it will also specify the type of inspection and tests to be carried out. The cost of pre-shipment inspection will be shown in the bidders bid as a separate item and included in any resulting contract but not included in the evaluation of bids

It is advisable for the Executing Agency to identify the inspection agency on its own, arrive at the type of inspection and tests to be carried out, and appoint the agency to carry out the inspection under its instructions. The pre-shipment inspection of drugs must include random sampling and analysis. The pre-shipment of second hand and reconditioned equipment needs to include the start up and running the equipment.


MEF (DPP) and MPWT

C(13) PM, Para 20.8 Contract supervision and administration – works contracts: the tasks to be carried out under contract supervision and administration

It is suggested redefine the role of project manager and include the tasks list such as the supervision of contractor’s works and adherence of the contractor to carry out works according to the proposed construction methodology, standards and technical specifications, accepted schedule of items of work, and conducting & recording of management meetings periodically

C(14) PM, Para 24.4.3 Claims against a sea carrier, Insurance for goods

Incorporate suitable changes to incorporate normal practice of giving discrepancy certificate and usually six months is allowed from the date of cargo offloading from the ocean vessel to lodge a claim against the carrier. Advised to obtain confirmation with the insurance / sea carrier companies before revising this clause.

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C(15) PM, Para 24.5.2 Claims against an air carrier, insurance for goods, submission of written claims within 120 days from the date of Air Way bill

Suitable changes may be considered to incorporate that the written claims must be made within 60 days from the date of the Air Way bill.


MEF (DPP) and MPWT

C(16) Volume II of PM, Clause 34 in Section I -ITB doesn’t mention whether the employer can make the award to the next lowest evaluated bidder or call for new bids when the successful bidder fails to comply with the requirements of ITB Clause 34

The clause may be restated as follows “Failure of the successful bidder to comply with the requirements of ITB Clause 34 shall constitute sufficient grounds for cancellation of the award and forfeiture of the bid security or execution of the Bid Declaration, in which event the Employer may make the award to the next lowest evaluated bidder or call for new bids”

C(17) Volume II of PM, Clause 13 in Section III –GCC Payment doesn’t mention the outer limit for payment towards goods supplied and also doesn’t specify if the supplier is eligible for any interest on the late payment

A sub clause may be added as follows “payment shall be made promptly by the purchaser, but in no case later than sixty (60) days after submission of an invoice or request for payment by the supplier and after the purchaser has accepted it”. Further another sub-clause may be added as follows “in the event that the purchaser fails to pay the supplier any payment by its due date or within period set forth in the SCC, the purchaser shall pay to the supplier interest on the amount of such delayed payment at the rate shown in the SCC, for the period of delay until payment has been made in full, whether before or after judgment or arbitrage award”.

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C(18) Volume III of PM, Clause 42 in Section III –GCC Payments to the contractor doesn’t mention the outer limit for payment towards the work completed by the contractor and also doesn’t specify if the contractor is eligible for any interest on the late payment

A sub clause may be added as follows “the employer shall pay the contractor the amounts certified by the project manager within 28 days of the date of each certificate. If the employer makes the late payment, the contractor shall be paid interest on the late payment in the next payment. Interest shall be calculated from the date by which payment should have been made up to the date when the later payment is made at the prevailing rate of interest for commercial borrowing for each of the currencies in which payment s are made and if the amount certified is increased in a later certificate or as a result of an award by the Adjudicator or an Arbitrator, the contractor shall be paid interest upon the delayed payment as set out in this clause. Interest shall be calculated from the date upon which the increased amount would have been certified in the absence of dispute”

These were discussed in the Workshop conducted on 16th December 2010. All participating officials felt that this can be accepted and could be incorporated in Procurement Manual for EAPs when it is taken up for revision. However, the period may be changed to 60 days instead of 28 days for payments to be made to civil contractors (similar to goods suppliers).

MEF (DPP) and MPWT

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C(19) Volume III of PM, Clause 26 in Section I – Instructions to Bidders doesn’t deal with situations that may arise when the successful bidder’s bid is seriously unbalanced in relation to the Engineer’s estimate of the cost of the work to be performed under the contract

The following additional sub-clause may be introduced under Clause 26 of Section I – ITB of SBD - civil works procurement. It may be stated like “If the bid of the successful bidder is seriously unbalanced in relation to the Engineer’s estimate of the cost of the work to be performed under the contract, the employer may require the bidder to produce detailed price analyses for any or all items of the Bill of Quantities to determine the internal consistency of those prices with the construction methods and schedule proposed. After evaluation of the price analyses, the employer may require that the amount of performance security set forth in Clause 31 be increased at the expense of the successful bidder to a level sufficient to protect the employer against financial loss in the event of default of the successful bidder under the contract”. If the above is acceptable, further the Clause 31.1 in Section I – ITB may be revised as follows “Within fourteen (14) days of the receipt of notification of award and Letter of Acceptance from the employer, the successful bidder shall furnish the Performance Security in an amount specified in the GCC, plus additional Performance Security for unbalanced bids in accordance with Clause 26 of ITB, denominated in the currency of the contract and in accordance with the GCC”

These were discussed in the Workshop conducted on 16th December 2010. All participating officials felt that this can be accepted as it happened in a few cases in Cambodia and could be incorporated in Procurement Manual for EAPs when it is taken up for revision.

MEF (DPP) and MPWT

Ministry of Public Works and Transport Kingdom of Cambodia

PROVINCIAL AND RURAL INFRASTRUCTURE PROJECT (PRIP) (PHRD GRANT NO: TF 056974)

User guide for including Additional WebPages ATTACHMENT 1

to CAPACITY BUILDING IN PROCUREMENT AND

GOOD GOVERNANCE ACTION PLAN IMPLEMENTATION FOR MPWT AND MRD REPORT

“Home Page of Rural Infrastructure Department (RID) - MPWT”

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December 20, 2010

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Website User Guide: Attachment to Capacity Building in Procurement and Good Governance Action Plan Implementation for MPWT and MRD 2

Table of Contents – ATTACHMENT 1

1.0 Introduction ......................................................................................................................... 4

2.0 Action Plan Points for website Enhancement ...................................................................... 4

3.0 Using Enhanced web Pages and Content Management ....................................................... 5

3.1 Masters ................................................................................................................................ 5

3.2 Contracts .............................................................................................................................. 7

3.3 Enhanced Web Pages For Public Disclosure ....................................................................... 8

3.4 USING MIS ......................................................................................................................... 9

3.5 SITE MAP (www.rid-mpwt.gov.kh) ................................................................................... 9

3.6 SITE MAP (www.mrd.gov.kh) ......................................................................................... 14

Annex – 1: Details of Database Schema ....................................................................................... 17

Annex – 2: Website Enhancement Script ...................................................................................... 21

Annex – 10: Web Page design with Screen shots ......................................................................... 26

1. PROCUREMENT ENTITIES ............................................................................................... 29

2. A/C. HEADS ......................................................................................................................... 30

6. FUNDING SOURCES .............................................................................................................. 31

7. TENDER INFORMATION ...................................................................................................... 32

8. CONTRACT AWARDS ........................................................................................................... 33

9. CONTRACT PROGRESS ........................................................................................................ 34

10. REPRESENTATIONS ............................................................................................................ 35

11. VENDOR INFORMATION ................................................................................................... 36

12. TENDERS [MIS] .................................................................................................................... 37

13. TENDERS [MIS] – ADVANCED SEARCH/QUERY OPTION ........................................... 38

14. CONTRACT AWARDS [MIS] .............................................................................................. 39

15. CONTRACT PROGRESS [MIS] ............................................................................................ 40

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16. PROCUREMENT RELATED REPRESENTATIONS [MIS] ............................................... 41

17. TENDER NOTICES [WEB FORMAT] ................................................................................. 42

18. CONTRACT AWARDS [WEB FORMAT] ........................................................................... 43

19. CONTRACT PROGRESS [WEB FORMAT] ........................................................................ 44

20. PROCUREMENT RELATED REPRESENTATIONS [WEB FORMAT] ............................ 45

21. LIST OF VENDORS [WEB FORMAT] ................................................................................ 46

22. SAMPLE REPORT ................................................................................................................. 47

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ATTACHMENT 1

User guide for including Additional WebPages

1.0 Introduction Based on the interactions with the functionaries operating/maintain the website the following inferences were drawn:

1. IT personnel of both MPWT & MRD are comfortable using PHP scripting language and are acquainted with administering MySQL database, GPCL recommends using the same combination i.e., PHP script and MySQL as backend database

2. The Ministries have necessary IT infrastructure (hardware & software) and connectivity to internet with proper bandwidth.

3. The web pages use PHP scripting language for web pages and the backend database used being MySQL

4. Currently, the website contents are much static in nature and content management is handled by the respective designated IT personals

Information provided in the next paragraphs helps the designated IT personal to include the additional web pages. The Web administrator (Content Manager) is advised to login to the web server, where the content is hosted and adds additional pages as per the procedure described in the manual.

2.0 Action Plan Points for website Enhancement The following are the necessary actions to be taken by MPWT & MRD in order to implement enhancements as suggested by GPCL.

1. Ensure that the website is supporting PHP Scripting Language & MYSQL database is installed on the web server. Since the resultant enhanced web pages are dynamic in nature and are populated from the database, make sure you have adequate database space on the web server.

2. Create a new database on the web server using the database schema as described in Annexure –1, or run the SQL scripts as described in Annexure-2 of our report.

3. Create necessary web pages using PHP script. The sample web pages are shown in Annexure-3. To create these additional web pages, one can use readily available RAD (Rapid Application Tool) Software or hand code it, as may be necessary.

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4. Once the web page coding is complete, upload these pages on the web server and provide necessary links as may be necessary.

5. Start entering the data into the database using the developed web pages.

Please note that the data may be uploaded from any where which means, the respective entities can upload their data from their respective locations.

3.0 Using Enhanced web Pages and Content Management The enhanced web pages are arranged into four main groups. These are;

1. Masters 2. Contracts 3. MIS (Management Information System) 4. Web format 5. Sitemap

3.1 Masters These are the tables which hold all master data, which are updated once, used repetitively through out data entry and MIS query which also enhance procurement administration by building more detailed MIS & reporting system. All procurements are classified into three main categories namely, Goods, Works & Services. All procurements fall under any one of these main categories and are system defined categories and are defined as hard coded logics. The following are the master tables suggested.

1. Sub-Categories (Procurement Categories)

Within the master categories sub-categories are created. For example one can create Supply of Steel, Cement under Goods, New Roads, Up gradation of Roads, Bridges, Repairs to Roads under Works and Legal advisory services, Architectural Services etc under Services. This enables one to query procurements based on sub-categories.

This can be done on clicking the link Sub-Categories shown on the left frame of the sample webpage.

2. Procurement Methods

There are various procurement methods, through which procurement can be done for example, International Competitive Bidding (ICB), Limited International Bidding (LIB), National Competitive Bidding (NCB), Limited National Bidding (LNB), Direct Contracting/Single source (SS), Shopping (SH) etc and these are defined here in the master. This allows the system to filter the procurement details based on the methods used to procure.

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This can be done on clicking the link Methods shown on the left frame of the sample webpage.

3. Publication Types (Advertisement)

Procurement types are various ways how the procurements notices were advertised. These can be Notice Inviting Tenders (NIT), Expression of Interest (EOI) and Request for proposal (RFP) to name a few. One record each for each type is created and stored in the web registry system.

This can be done by clicking the link Types shown on the left frame of the sample webpage.

4. Entities (Procurement Entities: Central/Provincial)

Entities mean Procurement Entities. Typically entities are usually departmental provincial authorities who invite bids on behalf of the Royal Government of Cambodia. For example Phnom Penh, Preah Vihear, Kampong Thom are all treated as entities.

This can be done by clicking the link Entities shown on the left frame of the sample webpage.

5. Account heads

The procurement expenditure is usually charged to a chargeable account head which is generally coded and numbered. These account heads are defined here. These can come from/linked to existing legacy accounting system or created here independently. Some examples are account heads are New Roads(1004), Repairs to Roads(1008), Up gradation to Roads(2010) etc.

This can be done by clicking the link Account Heads shown on the left frame of the sample webpage.

6. Funding sources

Generally projects are funded either by internal budgetary Funds or by external funding agencies. Some examples are MDB, ADB, IADB, KFW & Local Funds.

This can be done by clicking the link Funding Sources shown on the left frame of the sample webpage.

These are some of the masters demonstrated here and more such masters can be created depending upon the MIS and reporting needs of MPWT & MRD. In general, more masters means more detailed MIS and reporting.

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3.2 Contracts These are the core web pages which capture procurement information, contract awards, contract progress, contract related representations (complaints & remedies) & List of vendors/suppliers/contractors/Consultants. The below described web pages are internal to the department and should be visible to the departmental personals only as this is where the data is entered with respect to various procurements. These pages should be made accessible to internal authorized personal only through assigning user name and passwords to each user which can be in encrypted format (AES).

1. Tender Information

This is where information relating to each bid invited is entered. The fields available for data entry are tender ref.no, procurement description, Estimated cost, EMD, period of completion, submission deadline (date & time), source of funds, procuring entity, sub-category, method of procurement, publication type, chargeable head (A/c.head), detailed tender notice, tender document, mode of enquiry (news paper, web, e-mail, fax etc, publication date.

This page can be accessed by clicking the link Tender Information and clicking inside link Add as shown in the screen shots.

2. Contract Awards

This is the webpage where information relating to contract award is to be entered. The fields available for entering information are tender reference no, name of the contractor, is he technically qualified or not (Y/N), reasons for non qualifications if dis-qualified, quoted price, evaluated price, contract awarded or not (Y/N), was he evaluated L1 (Y/N), contract price, if contract price is not the same as evaluated price, then reasons for variations in price, date of contract award, contract ref.no & contract date. There can be multiple rows for each procurement, as the data has to be entered for each participated bidder.

This page can be accessed by clicking the link Contract Award and clicking inside link Add as shown in the screen shots.

3. Contract Progress

The progress of procurement is recorded here. The available fields are tender reference no, actual start date, % completion, as on what date, actual completion date, contract status such as ongoing, completed, delayed or cancelled as the case may be and finally reasons for delay/cancellations if any.

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This page can be accessed by clicking the link Contract Progress and clicking inside link Add as shown in the screen shots.

4. Representations

All contract related representations (complaints) & actions taken by the respective authority is recorded here. The available fields for inputting data are tender reference no, received from whom, summary/description of representation, date of response by the department.

This page can be accessed by clicking the link Representations and clicking inside link Add as shown in the screen shots.

5. Vendors Information

This is the table which holds vendor information both empanelled and non empanelled. The fields available here are vendor name, empanelled or not, empanelled with which entity, main category for which he is empanelled (Goods, Works & Services), sub-category for which he is entitled to bid, currently is he allowed to bid (Y/N), his contact information such as City, phone no, mobile, e-mail & physical address.

This page can be accessed by clicking the link Vendor Information and clicking inside link Add as shown in the screen shots.

Hence this is the core section where the data is entered into the database/web registry and only authorized persons from designated departments shall have access to these pages and the data can uploaded from any where.

The data from these tables are retrieved as needed and necessary reports through MIS and data to the general public is populated into web pages as may be necessary.

3.3 Enhanced Web Pages for Public Disclosure For public disclosure the following web pages are included.

1. Tender notices (which displays all procurement opportunities) 2. Contract awards information 3. Contract Progress 4. Contract related representations 5. List of vendors.

The content that is to be displayed and common format is shown in screen shots and is annexed as Annexure-10. The bidder/public can filter the procurement information as the need may be, since the web page allows to filter procurement related information on almost all columns.

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3.4 Using MIS For administrative purposes, the same data residing in web respiratory can be used with few additional web pages. For this purpose the following web pages are grouped under MIS option on the left frame of the sample web pages.

1. Tender notices 2. Contract awards information 3. Contract Progress 4. Contract related representations 5. List of vendors.

Using these web pages you can query the database and filter information as necessary. To do this click on the required link below MIS and then click advanced search link provided in the web page. This brings up query builder page where you can define your filter criteria.

Finally the contents of any of the web page can printed, e-mailed, exported to popular formats as may be need using the links provided on the top of the sample web pages as shown in annexure-3.

3.5 Site Map (www.rid-mpwt.gov.kh) To assist the enhancement of the website, a sample site was selected Rural Infrastructure department (RID) under MPWT, where in most of the PRIP related information was hosted.

Existing Structure Additional Pages Suggested / Remarks 1. Home • Include website Search Box to enable the user to

input their queries and obtain the answers. • Include the website visitor. • Include the copyright statement and ownership of

the website at the bottom of the webpage. • Include the latest date of content

revision/uploading. • Best Practice: Link provided to the

www.mpwt.gov.kh a line ministry • Also, provide a link to the World Bank website

2. About US 2.1. Introduction Include detailed introduction about the department,

year of formation and reporting line to MPWT, a message from the minister and secretary to state

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Existing Structure Additional Pages Suggested / Remarks 2.2. Vision Include Vision statement in line with line ministry

MPWT 2.3. Mission Include Mission statement 2.4. Functions Include the functions (which was included in

Organization chart) 2.5. Organization Chart Already included organization chart for RID and

PRIP Project Implementation Unit. However remove the organization chart of MPWT and provide the link to the www.mpwt.gov.kh as the contents were managed exclusively by MPWT. It is suggested to include the Version and Date of creation to all the organization charts. It is recommended to include Organization chart in English and Khmer.

3. Royal Government of Cambodia Funds 3.1. Existing Road Network 3.2. Planned Network 3.3. Budget 3.4. Ongoing Projects and

Specific Details

Include this section needs and • Include Road Map in the main page (No need a

separate title in menu) • Include List of provinces and progressively

include their map, organization chart, functions and contact details.

• Include year wise budget line given to the Rural Infrastructure Department and provide a link to the MEF and MPWT for the user to navigate

• Include the list of ongoing projects with specific details such as amount allocated, description of the road and status of implementation

• Suggested to include in line with the PRIP project structure planning, budgetary allocation, and

1.1. Procurement (Include search box similar to PRIP to search the database)

1.1.1.1. Works 1.1.1.1.1. New Roads 1.1.1.1.2. Rehabilitation/Widening

of Existing Roads 1.1.1.1.3. Maintenance Works

1.1.1.2. Goods 1.1.1.3. Services

4. Provincial Rural Infrastructure (World Bank)Fund

• Describe the project with envisioned outputs and outcomes

• Provide a link to organization chart of PIU

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Existing Structure Additional Pages Suggested / Remarks

• Provide a link to the World Bank website • Include Provincial Road Maps (No need a

separate title in menu) 4.1. Project Objectives • As per PAD, list out envisioned project outcomes

and outputs, period of implementation etc., 4.2. Key Performance

Indicator • Already uploaded and advised to revise

periodically

4.3. Procurement Static Pages: Procurement Plan (Year wise) – Already uploaded Procurement Category wise (Works / Goods / Services )

Bidding Advertisements – Needs to be uploaded Bidding documents – Needs to be uploaded Contract Award details - Already uploaded Contract Status – Needs to be revised periodically

Create additional pages as recommended by the CS-2 Consultant

• Database Schema. (This describes all the tables necessary, along with necessary fields required with their attributes) – Annex -1 to this Manual

• SQL scripts to generate database with necessary tables. (Using these SQL Scripts, the database can be created on the fly without spending much time)- Annex -2 to this Manual

• Additional dynamic web pages for inclusion into existing website Annex -3 to this Manual as screen shots

Include a search box to enable the users to search procurement details such as

a. List of available contracts (Procurement Method/Category/Province/Status);

b. Names of winning and losing bidders, bid prices and

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Existing Structure Additional Pages Suggested / Remarks c. Contract award details with name of

the successful bidder, contract amount and stipulated period

d. Status of ongoing contracts and details of completed contracts

4.4. Project Documents • Include the list of project related documents and upload related documents includes loan agreement, PAD, all procurement related documents. Also a link may be created to MEF website for SOP and PM with Volumes and link to World Bank site for Project Documents, Procurement Plan and etc.,

4.5. Reports • Include Budget (Allocated for the Project) – Already uploaded and needs to reorganized to this page

• Include Financial Monitoring Reports - – Already uploaded and needs to reorganized to this page

• Include Consolidated Financial Monitoring Reports - – Already uploaded and needs to reorganized to this page

• Include Audit Reports (Year Wise) – Already uploaded and needs to reorganized to this page

• Include Procurement Post Review reports (Year Wise) -Not included and recommended to include on urgent basis

• Include Bank’s mission Aid Memoirs and Mid Term Review Report

• Include Study Reports like Reference Location Condition Survey (RLCS) Reports

• Include if any environmental safeguard reports • Include all the final reports submitted by

Consultants (CS -1, 2,3…)

4.6. Photographs and Video • Include project related photos and videos and link to the main page and Gallery appropriately in the home page.

5. Implementation Status This menu section and the content needs substantial revision in line with the proposed

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Existing Structure Additional Pages Suggested / Remarks website Map.

5.1. Progress Reports Reorganize RGC fund wise and PRIP (World Bank Project wise) and upload accordingly. Include Civil Works Progress Reports.

5.2. Completion Reports Reorganize RGC fund wise and PRIP (World Bank Project wise) and upload accordingly

5.3. Budget Plan Budget to be listed as per RGC funded projects and World Bank/Other Donor Agency Funded, these details may be reorganized as per the proposed sitemap.

5.4. Financial Monitoring Reports

5.5. Consolidated FMR 5.6. Key Performance

Indicator 5.7. Audit Reports

Reports in these sections may relocated to appropriate section as proposed

5.8. Studies and Surveys All reports of CS-1, 2, 3.. may be uploaded along with survey like reference location surveys.

6. Good Governance 6.1. Anti Corruption Plan Uploaded already

6.2. Good Governance Framework

GGAP implementation (PRIP – MPWT) has been uploaded already

6.3. Common Status for Civil Servants

Khmer version uploaded already

6.4. STANTEMENT ON ETHICAL CONDUCT AND FRAUD AND CORRUPTION 2009

Contract wise declaration was uploaded already

6.5. Statement of Conflict of Interest

Needs to be included

6.6. Complaints Handling Mechanism

Procedure in English uploaded and advised to upload procedure in Khmer version also. Include a simple feedback / Suggestion/ Complaint Form and a link to the department email. Include list of complaints received,

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Existing Structure Additional Pages Suggested / Remarks redressed/replied and their replies in English and Khmer

7. RGC Guidelines and Regulations 7.1. Human Resources 7.2. Environment 7.3. Social

Safeguard/Resettlement 7.4. Indigenous People Policy

• Uploaded already • List and upload all RGC guidelines, rules and

regulations pertaining to the department/line ministry.

• Advised to develop compendium of Government Orders and upload for future reference

8. Public Awareness (Citizen

Charter) 8.1. HIV/AIDS 8.2. UXO-Mines 8.3. Road Safety

• Revise the title as Citizen Charter • Include list of Civil Society Organizations/ NGOs • Include best practice of Civil society’s

participation in planning, bidding, contract implementation (in line with social audit), sustained usage and periodic maintenance

• Add gallery of awareness campaigns about the road safety

9. Capacity Development (Trainings/Awareness Campaigns/Seminars/Workshops)

• Training Plan – Uploaded already and may be revised periodically

• Training Reports - Few of the trainings already uploaded and the Capacity Development in Procurement Trainings may be uploaded.

• Include staff training reports who were deputed to short term / long term training programs

10. Contact Details • Included in the Homepage 11. Disclaimer • Recommended to include 12. Mail • Already included, however noted that the staff is

still using their personal email ids for communication and advised to switch over to the official email id.

3.6 SITE MAP (www.mrd.gov.kh) To assist the enhancement of the website, a sample site was selected (Rural Infrastructure department under MRD, where in most of the PRIP related information was Not hosted.

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1. Rural Infrastructure • Describe the project with envisioned outputs and outcomes

• Provide a link to organization chart of PIU • Provide a link to the World Bank website and also

www.rid-mpwt.gov.kh • Include Provincial Road Maps (No need a

separate title in menu) 1.1. Project Objectives • As per PAD, list out envisioned project outcomes

and outputs, period of implementation etc., 1.2. Key Performance

Indicator • Not uploaded and advised to include and revise

periodically

1.3. Procurement This complete section needs to be incorporated as suggested by GPCL Static Pages: – Needs to be uploaded Procurement Plan (Year wise) Procurement Category wise (Works / Goods / Services )

Bidding Advertisements Bidding documents Contract Award details

Contract Status Create additional pages as recommended by the CS-2 Consultant

• Database Schema. (This describes all the tables necessary, along with necessary fields required with their attributes) – Annex -1 to this Manual

• SQL scripts to generate database with necessary tables. (Using these SQL Scripts, the database can be created on the fly without spending much time)- Annex -2 to this Manual

• Additional dynamic web pages for inclusion into existing website Annex -3 to this Manual as screen shots

Include a search box to enable the users to search procurement details such as

a. List of available contracts (Procurement Method/Category/Province/Status);

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b. Names of winning and losing bidders, bid prices and

c. Contract award details with name of the successful bidder, contract amount and stipulated period

d. Status of ongoing contracts and details of completed contracts

1.4. Project Documents • Include the list of project related documents and upload related documents includes loan agreement, PAD, all procurement related documents. Also a link may be created to MEF website for SOP and PM with Volumes and link to World Bank site for Project Documents, Procurement Plan and etc.,

1.5. Reports • Include Budget (Allocated for the Project) • Include Financial Monitoring Reports • Include Consolidated Financial Monitoring

Reports • Include Audit Reports (Year Wise) • Include Procurement Post Review reports

(Year Wise) -y • Include Bank’s mission Aid Memoirs and Mid

Term Review Report • Include Study Reports and surveys, if any • Include environmental safeguard reports, if any • Include all the final reports submitted by

Consultants (CS -1, 2,3…)

1.6. Photographs and Video • Include project related photos and videos and link to the main page and Gallery appropriately in the home page.

• Include section Good Governance and upload relevant documents/information related to GGF and GGAP, CHM and Ethical code of conduct

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Annex – 1: Details of Database Schema Database Server version MySQL 4.0.14-nt

Database Name: bids_cambodia

Table: ac_heads [Chargable Heads]

Name Type NULL Extras Key Type ac_id int(11) auto_increment Primary Index ac_desc varchar(75)

Table: categories [Sub Categories]

Name Type NULL Extras Key Type

cat_id int(11) auto_increment Primary Index cat_desc varchar(50)

Table: entity [Procurement Entities]

Name Type NULL Extras Key Type ent_id int(11) auto_increment Primary Index entiry_desc varchar(75)

Table: p_methods [Procurement Methods]

Name Type NULL Extras Key Type pm_id int(11) auto_increment Primary Index pm_desc varchar(50)

Table: p_types [Procurement Types]


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pt_id int(11) auto_increment Primary Index pt_desc varchar(50)

Table: fund_source [Source of Funds]


Id Int((11) auto_increment Primary Index Fund_sources varchar(50)

Table: awards [Contracts Award]

Name Type NULL Extras Key Type awd_id int(11) auto_increment Primary Index bids_id int(11) bidder_name varchar(75) tech_qualified char(1) reasons_disqualification varchar(75) NULL quoted_price decimal(12,2) NULL evaluated_price decimal(12,2) NULL awarded char(1) NULL contract_price decimal(12,2) NULL reasons_variations varchar(50) NULL award_date date NULL arard_refno varchar(15) NULL contract_sign_date date NULL awarded_l1 char(1) NULL

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Table: bids [Tenders]

Name Type NULL Extras Key Type bids_id int(11) auto_increment Primary

Index ref_no varchar(17) bid_desc varchar(250) estd_cost decimal(12,2) emd decimal(10,2) period int(4) dead_date datetime main_cat_id char(1) cat_id int(11) ent_id int(11) pm_id int(11) pt_id int(11) ac_id int(11) file_name varchar(25) NULL doc_name varchar(25) NULL bid_type varchar(15) enq_mode char(2) NULL pub_date date NULL fund_source Int(11) NULL

Table: emp_bidders [Bidders List]

Name Type NULL Extras Key Type Id int(11) auto_increment Primary

Index bidder_name varchar(55) main_cat char(1) cat_id int(11) Allowed_to_bid char(1) City varchar(25) NULL Phone varchar(12) NULL e_mail varchar(50) NULL

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Mobile varchar(12) NULL address varchar(150) NULL empanelled char(1) NULL empanelled_with int(11) NULL

Table: progress [Contract Progress]


pg_id int(11) auto_increment Primary Index

bids_id int(11) contract_status char(1) NULL resons_delay_cancel varchar(50) NULL start_date date NULL completion_date date NULL percent_completed int(3) NULL as_on_date date NULL

Table: reps [Representations]


reps_id int(11) auto_increment Primary Index

bids_id int(11) NULL recd_from varchar(50) NULL date_recd date NULL summary varchar(200) NULL response_date date NULL

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Annex – 2: Website Enhancement Script SQL STATEMENTS FOR CREATING DATABASE & TABLES # Server version 4.0.14-nt CREATE DATABASE `bids_cambodia`; USE `bids_cambodia`; # # Table structure for table ac_heads # CREATE TABLE àc_heads` ( àc_id` int(11) NOT NULL auto_increment, àc_desc` varchar(75) NOT NULL default '', PRIMARY KEY (àc_id`) ) TYPE=MyISAM; # # Table structure for table awards # CREATE TABLE àwards` ( àwd_id` int(11) NOT NULL auto_increment, `bids_id` int(11) NOT NULL default '0', `bidder_name` varchar(75) NOT NULL default '', `tech_qualified` char(1) NOT NULL default '', `reasons_disqualification` varchar(75) default NULL, `quoted_price` decimal(12,2) default NULL, èvaluated_price` decimal(12,2) default NULL, àwarded` char(1) default NULL, `contract_price` decimal(12,2) default NULL, `reasons_variations` varchar(50) default NULL, àward_date` date default NULL, àrard_refno` varchar(15) default NULL, `contract_sign_date` date default NULL, àwarded_l1` char(1) default NULL, PRIMARY KEY (àwd_id`) ) TYPE=MyISAM;

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# # Table structure for table bids # CREATE TABLE `bids` ( `bids_id` int(11) NOT NULL auto_increment, `ref_no` varchar(17) NOT NULL default '', `bid_desc` varchar(250) NOT NULL default '', èstd_cost` decimal(12,2) NOT NULL default '0.00', èmd` decimal(10,2) NOT NULL default '0.00', `period` int(4) NOT NULL default '0', `dead_date` datetime NOT NULL default '0000-00-00 00:00:00', `main_cat_id` char(1) NOT NULL default '', `cat_id` int(11) NOT NULL default '0', ènt_id` int(11) NOT NULL default '0', `pm_id` int(11) NOT NULL default '0', `pt_id` int(11) NOT NULL default '0', àc_id` int(11) NOT NULL default '0', `file_name` varchar(25) default NULL, `doc_name` varchar(25) default NULL, `bid_type` varchar(15) NOT NULL default '', ènq_mode` char(2) default NULL, `pub_date` date default NULL, `fund_source` int(11) default NULL, PRIMARY KEY (`bids_id`) ) TYPE=MyISAM; # # Table structure for table categories # CREATE TABLE `categories` ( `cat_id` int(11) NOT NULL auto_increment, `cat_desc` varchar(50) NOT NULL default '', PRIMARY KEY (`cat_id`) ) TYPE=MyISAM; # # Table structure for table emp_bidders

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# CREATE TABLE èmp_bidders` ( Ìd` int(11) NOT NULL auto_increment, `bidder_name` varchar(55) NOT NULL default '', `main_cat` char(1) NOT NULL default '', `cat_id` int(11) NOT NULL default '0', Àllowed_to_bid` char(1) NOT NULL default '', `City` varchar(25) default NULL, `Phone` varchar(12) default NULL, è_mail` varchar(50) default NULL, `Mobile` varchar(12) default NULL, àddress` varchar(150) default NULL, èmpanelled` char(1) default NULL, èmpanelled_with` int(11) default NULL, PRIMARY KEY (Ìd`) ) TYPE=MyISAM; # # Table structure for table entity # CREATE TABLE èntity` ( ènt_id` int(11) NOT NULL auto_increment, èntiry_desc` varchar(75) NOT NULL default '', PRIMARY KEY (ènt_id`) ) TYPE=MyISAM; # # Table structure for table fund_source # CREATE TABLE `fund_source` ( Ìd` int(11) NOT NULL auto_increment, `fund_source` varchar(50) NOT NULL default '', PRIMARY KEY (Ìd`) ) TYPE=MyISAM; # Table structure for table p_methods

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CREATE TABLE `p_methods` ( `pm_id` int(11) NOT NULL auto_increment, `pm_desc` varchar(50) NOT NULL default '', PRIMARY KEY (`pm_id`) ) TYPE=MyISAM; # # Table structure for table p_types # CREATE TABLE `p_types` ( `pt_id` int(11) NOT NULL auto_increment, `pt_desc` varchar(50) NOT NULL default '', PRIMARY KEY (`pt_id`) ) TYPE=MyISAM; # # Table structure for table progress # CREATE TABLE `progress` ( `pg_id` int(11) NOT NULL auto_increment, `bids_id` int(11) NOT NULL default '0', `contract_status` char(1) default NULL, `resons_delay_cancel` varchar(50) default NULL, `start_date` date default NULL, `completion_date` date default NULL, `Percent_completed` int(3) default NULL, às_on_date` date default NULL, PRIMARY KEY (`pg_id`) ) TYPE=MyISAM; # # Table structure for table reps # CREATE TABLE `reps` ( `reps_id` int(11) NOT NULL auto_increment, `bids_id` int(11) default NULL,

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`recd_from` varchar(50) default NULL, `date_recd` date default NULL, `summary` varchar(200) default NULL, `response_date` date default NULL, PRIMARY KEY (`reps_id`) ) TYPE=MyISAM;

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Annex – 10: Web Page design with Screen shots 1. SUB CATEGORIES MASTER

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2. PROCUREMENT METHODS

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3. PROCUREMENT TYPES

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1. PROCUREMENT ENTITIES

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2. A/C. HEADS

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6. FUNDING SOURCES

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7. TENDER INFORMATION

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8. CONTRACT AWARDS

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9. CONTRACT PROGRESS

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10. REPRESENTATIONS

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11. VENDOR INFORMATION

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12. TENDERS [MIS]

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13. TENDERS [MIS] – ADVANCED SEARCH/QUERY OPTION

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14. CONTRACT AWARDS [MIS]

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15. CONTRACT PROGRESS [MIS]

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16. PROCUREMENT RELATED REPRESENTATIONS [MIS]

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17. TENDER NOTICES [WEB FORMAT]

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18. CONTRACT AWARDS [WEB FORMAT]

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19. CONTRACT PROGRESS [WEB FORMAT]

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20. PROCUREMENT RELATED REPRESENTATIONS [WEB FORMAT]

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21. LIST OF VENDORS [WEB FORMAT]

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22. SAMPLE REPORT