8 May 2019 in National Assembly:
Hon. Temporary Deputy Chairlady, I beg to move: THAT, the Schedule to the Bill be amended in the proposed amendments to the Public Procurement and Asset Disposal Act – (3) Delete and substitute therefor the following new subsection— “(3) The provisions of subsection (1) shall not apply to tenders related to consultant services, works and supplies where their estimated value does not exceed one hundred thousand shillings, or works and supplies reserved for persons with disabilities and other disadvantaged groups, and for these categories, the performance securities shall not be more than ten per cent of the contract price.”
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8 May 2019 in National Assembly:
The import of this section is to set out exclusions for requirements of performance security when it relates to contracts that do not exceed Kshs100,000 and those which are reserved for people with disabilities and disadvantaged groups like women and youths.
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8 May 2019 in National Assembly:
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8 May 2019 in National Assembly:
Hon. Temporary Deputy Chairlady, I beg to move: THAT, the Schedule to the Bill be amended in the proposed amendments to the Public Procurement and Asset Disposal Act -
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8 May 2019 in National Assembly:
s.143 Delete and substitute therefor the following new section— Nature of performance security. 143. The performance security referred to in section 142(1) may not generate interest and it shall be determined in accordance with the form provided for in the tendering document, and may be paid in the form of— (a) a bank guarantee issued by an authorised financial institution; (b) an insurance guarantee issued by an authorized insurance institution approved by the Insurance Regulatory Authority; or (c) an irrevocable letter of credit.
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8 May 2019 in National Assembly:
This basically defines the nature of performance security which is a bank guarantee, an insurance guarantee or an irrevocable letter of credit to define how it should come.
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8 May 2019 in National Assembly:
I respect the fact that Hon. Kajwang’ comes from a place where English is common and, therefore, he is a black English man. Maybe, he is making some sense though if you use the word “shall” it will make it compulsory. The word “may” will give some flexibility.
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8 May 2019 in National Assembly:
I may not be an expert in drafting but if, indeed this is a housekeeping issue which will make the draft better, then I will not resist that one, but subject to technical advice from the drafters.
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8 May 2019 in National Assembly:
Hon. Temporary Deputy Chairlady, having listened carefully and having considered the debate, we amend it to replace the word “may” with the word “shall’. It will read that “it shall not generate” instead of “it may not”.
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8 May 2019 in National Assembly:
Hon. Temporary Deputy Chairlady, I beg to move: THAT, the Schedule to the Bill be amended in the proposed amendments to the Public Procurement and Asset Disposal Act ─ s. 144(2) Delete and substitute therefor the following new subsection— “(2) The bank, authorised financial institution or insurance shall be obliged to give to the procuring entity all the amount of the performance security upon claim by the latter.”
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