Public Procurement Regulatory Commission

Is led by 3 Board members proposed by the Government, and nominated by

• the Assembly, with a 5-year mandate

- PPRC is competent for the overall development, functioning;

• and supervision of the public procurement system in Kosovo;

- Conducts investigations of procurement activities and contract management;

- Performs monitoring of procurement activities in Kosovo;

- Prepares and publishes the complete secondary legislation on procurement;

- Publishes all types of notices on public procurement;

- Prepares training programs in public procurement;

- Monitors the contract implementation by the contracting authorities;

- Cooperates with foreign institutions in the field of public procurement;

- Prepares and submits to the Government and Assembly of Kosovo the

• Annual Report on public procurement activities.

Procurement Review Body

Is led by 5 Board members proposed by the Government and nominated by the • Assembly, with a 5-year mandate. PRB members must be qualified as judges;

• PRB has the following competencies:

- Reviews all complaints addressed to the PRB regarding the possible violations • of the PPL;

- Implements investigation on its own initiative or upon request of any party • involved in the procurement process relating to any irregularities during • the performing of procurement activities; • - Complaints are reviewed by the Review Panel, formed by the PRB, consisting • of one, three or five members;

- PRB prepares and submits to the Assembly of Kosovo the Annual Report on • performance of procurement complaints.

Central Procurement Agency

CPA is established within the Ministry of Finance

Executive Director of CPA is elected in the same manner as the Secretary

• General in the Ministries, with a 3-year mandate

• CPA has the following competencies:

• - Collects procurement planning from all contracting authorities in Kosovo;

• - Manages and performs centralized contracts, for the Kosovo in overall,

• if authorized by the Government of Kosovo;

• - Performs procurements on behalf of the contracting authorities

• when dealing with complex procurements (requested by the CA).

Technical assistance for the development of PP system in Kosovo

Since the introduction of the public procurement system in Kosovo in 1999, World Bank and

the European Commission are the biggest donors:

Currently EC is supporting the Public Procurement System in Kosovo:

• 1. Improving Administrative Capacities in the Area of Public Procurement in Kosovo (

2013 - 2015 )

While the World Bank is supporting the Public Procurement System in Kosovo with several

projects:

1. Development of e-procurement system, including ICT infrastructure and contract

management information system (2013-2015);

2. Implementation of Centralized Procurement Procedures based on Quick Gains Diagnostic

Report - (2013-2014);

3. Under IDF Grant (Institutional Development Fund) there are 4 components:

• (i) Preparation of a unit prices manual for works, goods and services in Kosovo

• (2013-2015);

• (ii) Designing a public procurement compliance and performance monitoring system in

• Kosovo (2013-2015);

• (iii) Capacity Building in investigation of Fraud and Corruption in procurement with ACA;

• (iv) Capacity Building in auditing of procurement with Kosovo Auditor General.

Public procurement activities in Kosovo in 2013

Public procurement activities in Kosovo are summarized in the Annual Report

• of PPRC which was submitted to the Government and Assembly of Kosovo

• (Approved by Assembly).

The number of contracts signed in Kosovo based on PPL during 2013 is

• = 12.551;

Total budget for 2013 for procurement is = 654.728.020 €;

The value of budget for procurements in report to GDP = 12.72 % ;

Used procurement procedures during 2013

Open procedures = 87.8 %

Restricted procedures = 0 %

Negotiated procedures without publication = 5.6 %

Negotiated procedures after the publication = 0.2 %

Price quotations = 5.7 %

Minimal value procedures = 0,5 %

Design contests = 0,2 %

Implementing capacities

On December 31, 2013, in Kosovo existed 173 contracting authorities, with

• around 560 licensed procurement officers;

Compared to the number of contracts (12,551 ), and with an annual budget of 654

• million €, the number of around 560 procurement officers, can be ascertained that

• still is very small;

Based on PPL No. 04/L-042, procurement officers in Kosovo are obligated to

• attend training courses having duration of at least 15 days;

Training in public procurement are categorized into two levels;

• - Basic Training

• - Advanced Training

After each training level procurement officers are obliged to undergo examination,

• and all those who pass the exam are provided with procurement certificate valid

• for three years;

Trainings in public procurement organized by the PPRC in collaboration with

• Kosovo Institute for Public Administration;

Planned future activities

Complete e-procurement system by April 2015 - (WB assistance).

• - Pilot will be carried out in January 2015 in five to six contracting

• authorities who have better IT infrastructure.

• - Selection of the CAs will be done by PPRC.

Complete overall National Public Procurement Strategy for Kosovo by October

• 2014.

Finalize the manual for Monitoring Performance in Public Procurement system

• in Kosovo, and start the measurement of this performance;

Preparation of a unit prices strategy for works, goods and services in Kosovo by

• middle 2015;

Continue Training of Public Procurement Officers on a regular basis;

Start amending of current Public Procurement Law by December 2014.

Obstacles and challenges in development of public procurement system

The pressure made to procurement officers during the performance of

• procurement activities, especially on the contract award;

Non-appropriate implementation of public procurement legislation;

Frequent replacing the procurement officers in Contract Authorities;

Very small number of licensed procurement officers in Kosovo, comparing with

• budget spent for procurement;

Lack of e-procurement

Not enough training of procurement officers in the public sector and in the

• private sector;

Faleminderit !