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The document ceased to be valid since  May 14, 2015 according to article 56 of the Law of the Kyrgyz Republic of  April 3, 2015 No. 72

LAW OF THE KYRGYZ REPUBLIC

of May 24, 2004 No. 69

About public procurements

(as amended on 17-05-2014)

Accepted by General Court of Jogorku Kenesh of the Kyrgyz Republic on April 2, 2004

This Law establishes the general legal, economic and technical principles of purchases of goods, works, services and consulting services by state bodies, local government bodies, public and local government offices and companies, services and funds, and also joint-stock companies in which there are state or municipal shares.

The purposes of this Law are:

- ensuring the maximum profitability and efficiency of purchases;

- expansion of participation and development of the competition between suppliers (contractors) in the course of implementation of purchases;

- providing the fair attitude towards all suppliers (contractors);

- ensuring openness of procedures of purchases.

Chapter 1. General provisions

Article 1. The concepts used in this Law

This Law operates with the following concepts which mean:

authorized state body - the state body authorized by the Government of the Kyrgyz Republic in system of the executive authority pursuing state policy in the field of purchases of goods, works, services and consulting services;

currency - settlement monetary unit of the Kyrgyz Republic - som or settlement monetary unit of other state;

public procurements - the acquisition by the buying organization of goods, works, services and consulting services as any methods established by this Law financed fully or partially by public funds;

public funds - the following sources of financing provided:

- at the expense of means of the republican and local budgets directed to implementation of the activities and capital investments;

- the means determined by the law on the budget as "extrabudgetary funds", joint-stock companies where the state or municipal share constitutes more than 50 percent, means of the funds created at the expense of the public or municipal funds and means of the state or municipal companies and organizations;

- the means provided as the foreign help based on international agreements if agreements do not provide different ways of use of means;

- the public credit guaranteed and secure funds;

the purchase agreement - the contract between the buying organization and the supplier (contractor) signed as a result of procedures of purchases;

the buying organization (buyer) - the state-financed organization having the status of the legal entity, created by state body or local government body, financed by means of republican or local budgets, the state or municipal authorities, services, funds and the companies, joint-stock companies in which the state or local government bodies own more than 50 percent of shares;

warranty providing the tender - the ensuring execution of any obligation provided to the buying organization by the supplier (contractor), including such methods of providing as bank guarantees, reserve letters of credit, checks on which primary obligation is incurred by any bank, deposits in cash, simple and drafts;

warranty ensuring agreement performance of purchase - the provided ensuring the obligation fulfillment connected with the purchase agreement performance, including the providing methods provided by paragraph 9 of this Article buying the organizations by the supplier (contractor);

the supplier (contractor) - depending on context - any potential party or the specific agreement party about purchases with the buying organization meeting the requirements of article 8 of this Law;

delivery - all stages of process of purchases of raw materials, finished goods, the equipment and other goods delivered the buying organization;

works - all activities connected with construction, reconstruction, demolition, repair or updating of the building, construction or object including preparation of the building site, digging of ditch, construction of construction, installation of equipment or materials, exterior and internal finish, and also the accompanying construction services, such as drilling, geodetic works, satellite shooting, seismic researches and other services provided according to the purchase agreement if the cost of these services does not exceed the cost of the construction;

the tender (biddings) - tender by means of which the winner on delivery of goods, works, services and consulting services according to the procedure, provided by this Law is determined;

goods - products of work of any kind and the description, including raw materials, products, the equipment and objects in strong, liquid or gaseous state, electrical energy, and also the services accompanying deliveries of goods if the cost of such accompanying services does not exceed the cost of goods;

services - any purchases, except for goods, works and consulting services, or any purchases according to the tender for the purpose of the conclusion of the agreement, on the basis of efficiency rate of measurable physical result, including without limitation drilling, survey, content and cleaning of buildings, machines and the equipment; transportation by land, to air, sea or down the river; telecommunication services; insurance services; designing, installation and current technical support of computers and software; publication, distribution and typographical services; sewage treatment; services of security service and financial services;

consulting services - the services of intellectual or consulting nature provided by the individual consultants or consulting firms having necessary specialized professional knowledge, experience and the corresponding qualification;

internal suppliers (contractors) are the individual entrepreneurs or legal entities registered as those in the territory of the Kyrgyz Republic;

the state or municipal needs - the requirements of state bodies or local government bodies for goods, works, services and consulting services satisfied at the expense of means of the relevant budgets;

the threshold amounts - the size of the amounts by means of which the choice of method of public procurements is determined by each expenditure item. The size of the threshold amounts and method of their application are established by the Government of the Kyrgyz Republic;

types of the threshold amounts - the maximum threshold amount, the minimum threshold amount;

the tender - the offer on delivery of goods, rendering services, implementation of works and rendering consulting services when tendering;

lot - indivisible subject of purchase sale;

the tender documentation - the document package provided by the buying organization to the supplier (contractor) for preparation of the tender containing conditions and procedure for tendering;

the valid requests - the tenders meeting in essence the requirements of the tender documentation;

the estimated cost - bid price taking into account correction of arithmetic mistakes, the applied privileges provided to internal producers and domestic contractors and also transfer of the prices of all offers to common currency and other criteria specified in tender documents;

the consultant - the physical person or legal entity rendering consulting services;

the international press - the mass media extended in all countries of the United Nations of "Development Business" and (or) widely distributed international trade editions, can also mean electronic means according to regulatory legal acts;

the bulletin of public procurements - the state information publication which contents are constituted by normative, instructive, promotional and reference materials, including goods prices, works and services, wholesale and retail, published authorized state body on public procurements in electronic or printed form on a grant basis.

Article 1-1. Legislation on public procurements

The legislation on public procurements consists of this Law, other regulatory legal acts, and also come in the procedure established by the law into force of international treaties and agreements which participant is the Kyrgyz Republic.

Article 2. Regulation subject

1. This Law is applied to the purchases of goods, works, services and consulting services performed fully or partially at the expense of public funds.

2. This Law does not regulate the purchases which are directly connected with state security, national defense, protection of the state secret, ensuring food security and natural disasters which procedure for the organization is determined by the Government of the Kyrgyz Republic.

3. The buying organization has no right to divide purchases into parts or to reduce the cost of purchases to avoid application of this Law.

Article 3. The privileges provided to internal suppliers (contractors)

1. The buying organization can provide privileges for suggested price to 20 percent in case of assessment of tenders on the goods made in the territory of the Kyrgyz Republic in comparison with tenders on goods of foreign production, and also for work to 10 percent on proposals of internal contractors in comparison with offers of foreign firms.

1-1. When carrying out the tender the buying organization shall take necessary measures by placement in mass media of the announcement of the invitation of internal suppliers to participation in the tender for provision of domestic goods, works, services and consulting services.

2. If subject of purchases are the works which are carried out in the territory of the Kyrgyz Republic, the buying organization provides privileges to internal contractors on condition of use of local manpower, and also at least 30 percent of local raw materials and materials.

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