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proposal for the decentralization of public procument in liberia

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proposal for the decentralization of public procument in liberia
PROPOSAL FOR THE DECENTRALIZATION OF PUBLIC PROCUREMENT IN LIBERIA

1. Introduction
This report is prepared to serve as a tool for discussion on the decentralization of public procurement (spending of public funds) in Liberia. As an addition to the steps to be taken to ensure decentralization, requirements for the effective maintenance of a decentralized public procurement system are also outlined.

2. The preparation of this report is the result of studies made by procurement specialists in 2003. It was revealed from the studies, that the centralized public procurement practiced in Liberia since the 1960s with the General Services Agency (GSA) as the sole purchasing agency of government was bad. The centralized system used procedures that were discriminatory, non-transparent, and non-competitive, exclusive and did not give equal opportunity to all capable providers of goods and services. The studies therefore declared the centralized system as bad.

3. The Scope of Public Procurement In Liberia
Public procurement generally refers to the acquisition of goods and services for government or public institutions. It also covers purchases for private sector institutions operating on government funding or subsidy. It is strategic component of a proper budget use that begins with planning and ends with the post contract phase. It involves the purchasing of the right quality and quantity, at the right time, from the right source, for the right price and also to be delivered to the right location. It ensures an efficient and economic use of public fund. The efficient and economic use of public funds is vital to socio-economic development.

2. It is discovered that the existing centralized public procurement procedures the following problems:

The use of discretionary procedures,
Non-transparency,
Does not provide equal opportunity for capable suppliers of goods and services,

These findings means that the procedures used provided room for no

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