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Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003)


Municipal Supply Chain Management Regulations, 2005

Chapter 2: Framework for Supply Chain Management Policies

Part 2: Acquisition management

22. Public invitation for competitive bids


(1) A supply chain management policy must determine the procedure for the invitation of competitive bids, and must stipulate—
(a) that any invitation to prospective providers to submit bids must be by means of a public advertisement in newspapers commonly circulating locally, the website of the municipality or municipal entity or any other appropriate ways (which may include an advertisement in the Government Tender Bulletin); and
(b) the information a public advertisement must contain, which must include—
(i) the closure date for the submission of bids, which may not be less than 30 days in the case of transactions over R10 million (VAT included), or which are of a long term nature, or 14 days in any other case, from the date on which the advertisement is placed in a newspaper, subject to subregulation (2); and
(ii) a statement that bids may only be submitted on the bid documentation provided by the municipality or municipal entity.


(2) A supply chain management policy may allow the accounting officer to determine a closure date for the submission of bids which is less than the 30 or 14 days requirement, but only if such shorter period can be justified on the grounds of urgency or emergency or any exceptional case where it is impractical or impossible to follow the official procurement process.


(3) Bids submitted to the municipality or municipal entity must be sealed.


(4) Where bids are requested in electronic format, such bids must be supplemented by sealed hard copies.