Suppliers of public goods, works and services will be paid promptly. A procuring entity will be required to settle any invoice submitted by a supplier within thirty days from the date of receipt of the invoice, unless the procurement contract provides an alternative settlement date. This is if a legislative proposal pending before the Departmental Committee on Finance and National Planning is recommended for publication, published as a Bill, and passed by Parliament.
The Proposed Public Procurement and Asset Disposal (Amendment) Bill, 2023 is a legislative proposal sponsored by Hon. Elijah Memusi, Member of Parliament for Kajiado Central Constituency.
The principal object of the legislative proposal is to amend the Public Procurement and Asset Disposal Act, No. 33 of 2015, to provide for the prompt payment of suppliers of public goods, works and services. The legislative proposal also seeks to provide a timeline for the approval or disapproval of payment against invoices submitted by suppliers of public goods, works and services. The legislative proposal seeks to remedy the current situation where accounting officers for public bodies possess absolute discretion in deciding when to settle invoices for the supply of public goods, works and services.
Clause 2 of the legislative proposal provides for the insertion of new sections.
New Section 146A provides as follows—
(1) A procuring entity shall settle any invoice submitted by a supplier within thirty days from the date of receipt of the invoice, unless the procurement contract provides an alternative settlement date.
(2) A supplier may make written inquiry on an invoice after thirty days from the date of receipt of the invoice by the procuring entity.
(3) Where a procuring entity fails to settle an invoice, the procuring entity shall inform the supplier in writing within ten days from the date of receipt of the invoice settling out the reasons for non-settlement of the invoice.
(4) A supplier who is aggrieved by the decision of a procuring entity may appeal to the Public Procurement Administrative Review Board in accordance with Part XV of the Act.
New Clause 146B provides as follows—
For purposes of subsection (1), failure to approve or disapprove payment for supply of public goods, works or services shall be evidence of non-compliance or inducement of non-compliance with the provisions of this Act.
Prepublication scrutiny
Standing Order 114(7) of Kenya’s National Assembly Standing Orders provides that the Departmental Committee to which a legislative proposal is referred to for prepublication scrutiny shall consider the proposal and submit a report to the Speaker within thirty (30) days recommending whether or not the proposal should be proceeded with.
Prepublication scrutiny is a winnowing process where the Committee broadly scrutinizes a legislative proposal for soundness of policy in order to determine whether it should recommend whether the legislative proposal should be published as a Bill or not.
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