Recently, the Ministry of Finance once again solicited opinions from the public on the "Government Procurement Law of the People's Republic of China", and the deadline for soliciting opinions was August 14, 2022.

Recently, the Ministry of Finance once again solicited opinions from the public on the "Government Procurement Law of the People's Republic of China (Draft for Comments for Revised Draft)" (hereinafter referred to as the "Draft for Comments for Comments"). The deadline for soliciting opinions is August 14, 2022. The main contents of the revision of the draft for soliciting opinions include improving the scope of application of the Government Procurement Law, giving full play to the functions of government procurement policies, strengthening the management of government procurement demand, improving the government procurement methods and procedures, improving the government procurement contract system, strengthening the main position of the purchaser, simplifying supplier qualification conditions and improving legal responsibilities. The draft for soliciting opinions has added the requirement of "promoting the construction of nationwide unified market for " to the legislative purpose and purpose, and has also adjusted the scope and definition of the Government Procurement Law. In the procurement policy goals, the contents of supporting innovation and safeguarding the interests of vulnerable groups are added, and the specific contents of various policy goals are enriched, the main body of policy formulation and policy implementation measures are clearly stipulated, and a new government procurement safety review system is proposed. In terms of government procurement methods and procedures, the draft for soliciting opinions has added a new method of innovative procurement. For government procurement contract , the draft for soliciting opinions stipulates diverse contract pricing methods such as fixed prices, cost compensation, and performance incentives based on the contract subject and performance targets, improves the terms of contract performance, contract change, or termination, performance acceptance, etc., and adds a contract dispute resolution mechanism.

The content related to the project for soliciting opinions is:

Article 2 [Scope of application and definition] 1 Government procurement carried out in of the People's Republic of China shall apply to this Law. Government procurement referred to in this Law refers to the act of state organs, institutions, groups and other procurement entities at all levels, using fiscal funds, or other state-owned assets to obtain goods, projects and services by contract, including purchase, leasing, entrustment, government and social capital cooperation, etc. The fiscal funds referred to in this Law refer to funds included in budget management. The goods referred to in this Law refer to items of various forms and types, including raw materials, fuel, equipment, etc. The project referred to in this Law refers to construction projects, including the new construction, reconstruction, expansion, decoration, demolition, and repair of buildings and structures. The service referred to in this Law refers to other government procurement objects other than goods and projects.

Article 23 [Support the domestic industry] Except that it cannot be obtained in China or cannot be obtained under reasonable commercial conditions, government procurement shall purchase domestic goods, projects and services. If the products produced in China meet the prescribed added value ratio and other conditions, they shall enjoy the evaluation discount in government procurement activities. The definition of domestic goods, projects and services shall be implemented in accordance with relevant regulations of the State Council.

Article 34 [Classification and Subcontracting] Government procurement projects should comprehensively consider factors such as technology and cost-effectiveness, promote effective competition, and support the development policies of small and medium-sized enterprises, and purchases should be classified according to professional types and professional fields. is inseparable due to technology, cost and other reasons. If mixed procurement is required, the procurement method, evaluation method and applicable procurement policy shall be determined based on the procurement target with the highest estimated value among goods, projects and services. However, the parts that have provisions in the procurement policy of this Law shall be subcontracted or separately listed for the requirements. Innovative procurement, government and social capital cooperation projects, such as procurement projects with solutions as the main competitive content, follow the relevant regulations on service procurement.

Article 35 [Determine the procurement method] The purchaser shall reasonably determine the procurement method according to the characteristics of the procurement project and the applicable circumstances stipulated in this Law. General goods and services with clear technical and service standards, unified engineering construction has been completed by and purchased by bidding or inquiry. Large-scale equipment with complex technology, special instruments and equipment such as experiments and testing are required to provide solutions such as design consultation, information application system construction, and other services, innovative procurement and government-social capital cooperation, and procurement through competitive negotiation.

Article 41 [Government Procurement Limit Standard Management] If the purchaser purchases the same item or the same category of goods, projects and services within a financial year, if the estimated value of the purchaser purchase method, procedure, information disclosure and performance acceptance of the purchase method, procedure, information disclosure and acceptance of the performance of this Law may not be implemented.

Article 42 [Applicability of the scope of competition] Government procurement shall implement open competition. Open competition should invite unspecified suppliers to bid in the form of issuing procurement announcements. Limited competition can be implemented if one of the following circumstances meets one of the following circumstances:

(I) is restricted by infrastructure, administrative licensing, irreplaceable patents or proprietary technologies, and can only be purchased from suppliers of a limited range;

(II) There are too many bidding suppliers.

Limited competition shall invite specific suppliers who meet the qualification requirements to bid in the form of bid invitation letter. Bidding referred to in this Law includes bidding in bidding, competitive negotiation and negotiation response in innovative procurement methods, quotation in inquiry methods, and solicitation response in framework agreement procurement methods.

Article 47 [Evaluation Factors and Applications] If uses comprehensive scoring method , the purchaser shall reasonably set the review factors according to the characteristics of the procurement target. The review factors should be directly related to the procurement target, mainly including price or cost, quality, supplier performance capabilities, business conditions, and procurement policy requirements. The score settings in the evaluation factors should correspond to judgmentable and verifiable indicators. Design consulting services, large-scale infrastructure projects, innovative procurement, government and social capital cooperation and other projects need to consider the experience in supplier's performance capabilities, performance requirements can be used as evaluation factors, but the purchaser shall not put forward performance requirements for specific projects.

Article 62 [Applicable circumstances of inquiry] Inquiry refers to the procurement method of inviting suppliers to quote goods, projects and services with objective and clear requirements, and purchase amount is small. If meets one of the following circumstances, it can be purchased through inquiry: (1) Unified specifications and standards, and sufficient supply of goods; (2) Unified technology and service standards, and existing services and projects in fixed markets. The procurement amount standard for applying the inquiry method shall be determined by the government procurement supervision and management department at or above the provincial level.

Article 64 [Applicable circumstances of innovative procurement] Innovation procurement is a procurement method in which the existing products in the market cannot meet the needs of the department itself to perform its duties or provide public services, and invite suppliers to develop, produce innovative products and share risks according to the relevant requirements of the national scientific and technological innovation plan. If one of the following situations meets one of the following situations, an innovative procurement method can be purchased: (I) The goods required by this department contain major technological breakthroughs and can be promoted and used; (II) The network infrastructure construction projects such as public transportation and intelligent urban construction can form a new management model by applying new technologies or new concepts, which can significantly improve performance goals.

Article 101 [Supervision of Major Investment Projects] The realization of performance goals of national major investment projects or government and social capital cooperation projects and the implementation of this Law shall be included in the final accounts after special audit and submitted to the Standing Committee of the People's Congress at the same level for review and approval. Procurement for use outside the country;

(III) Other laws and administrative regulations provide otherwise.

The definition of the domestic goods, projects and services referred to in the preceding paragraph shall be implemented in accordance with relevant regulations of the State Council.

Article 122 [About the legal application of government procurement project bidding and tendering] Government procurement project shall apply to bidding and tendering.

The original text is as follows:

About "Government Procurement Law of the People's Republic of China

(Draft for Soliciting Comments on the Revision Draft)"

Notice on public soliciting opinions from the public again

In order to implement the relevant requirements of the "Plan for Deepening the Reform of the Government Procurement System" and improve the government procurement legal system, the Ministry of Finance studied and drafted the "Government Procurement Law of the People's Republic of China (Draft for Soliciting Opinions)" in the early stage and solicited opinions. Since then, the Ministry of Finance has revised and improved the "Government Procurement Law of the People's Republic of China (Draft for Soliciting Opinions on the Revised Draft)" based on public feedback. In order to further promote scientific legislation , democratic legislation , and legislation in accordance with the law, and improve the quality of legislation, we are hereby soliciting public opinions again. Any unit or individual can put forward opinions through the following channels and methods before August 14, 2022:

1. It provides opinions through the "Financial Regulations Opinions Collection Information Management System" (website: http://fgk.mof.gov.cn) of the Ministry of Finance of the People's Republic of China (website: http://www.mof.gov.cn).

2. Send opinions to czbzfcgf@163.com by email, and indicate the words "Solic Opinions for the Government Procurement Law of the People's Republic of China" in the topic.

3. Send the opinions (double copies) to: Ministry of Finance, Treasury Department (Position Code 100820) by letter, and indicate the words "Solic Opinions for the Government Procurement Law of the People's Republic of China" on the envelope.

Attachment:

1. "Government Procurement Law of the People's Republic of China (Draft for Soliciting Opinions on the Revision Draft)"

2. Note on the "Government Procurement Law of the People's Republic of China (Draft for Soliciting Opinions for the Revised Draft)"

Ministry of Finance

July 15, 2022

Click to view Notice on the "Government Procurement Law of the People's Republic of China (Draft for Soliciting Opinions for the Revised Draft)" publicly soliciting opinions from the public

Source: Ministry of Finance