Download - Procurement Processes and Opportunities
![Page 1: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/1.jpg)
1
![Page 2: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/2.jpg)
• The Millennium Challenge Corporation is a U.S. Government agency designed to reduce poverty through economic growth in select developing countries that practice good governance and demonstrate a commitment to economic growth and investments in their citizens.
• The MCC Difference: Competitive selection; Country-led design; Country-led implementation; Focus on results
• Two types of poverty reduction programs– MCC Compacts: 5-year grants involving large-scale and complex projects
• Infrastructure: Transportation (roads, bridges, airports, seaports); agricultural irrigation; water and sanitation; facility construction (agriculture storage, education/training, administration)
• Agricultural development, primary and technical education, health system management• Policy reforms: Anti-corruption initiatives, judicial reforms, economic/tariff reforms, etc.
– Threshold Program: 2-3 year grants that are smaller in scale and objective• Policy reforms• Microfinance, macro-finance and enterprise development• Primary, secondary and technical education infrastructure and training
2
![Page 3: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/3.jpg)
3
Procurement Processes and Opportunities
![Page 4: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/4.jpg)
4
MCC Program Procurement Guidelines
Similar to World Bank Procurement Guidelines with Important Exceptions:• Provides broader advertising requirements for procurement opportunities • Tightens restrictions on currency use• Prohibits national preference in the procuring of goods, works and services• Includes the excluded parties list under U.S. laws and policies • Identifies English as the official operating language for MCC funded
procurements• Excludes Government Owned Enterprises from being awarded MCC
funded contracts
Principles
Fair
Transparent Competitive
Open
![Page 5: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/5.jpg)
5
MCC Model: A More Level Playing Field
• No preferences for U.S. or domestic contractors: Compacts are “untied”.• No Government Owned Enterprises may bid (new requirement).• Past experience & environmental, health, safety, labor standards matter.• Open and competitive procurements.• Award decisions made by technically qualified experts.• Price reasonableness – low bid doesn’t always win if it doesn’t make
sense.• Professional independent oversight of contract performance.• Checks and balances to guard against abusive discretion.
![Page 6: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/6.jpg)
6
• In Nov 2007, MCC created Standard Bidding Documents for:• Consulting services• Small works• Large works – Design-Bid-Build• Large Works – Design-Build• Goods• And others
• Why?• Consistent approach• International standards known in the market• Cost/price management• Risks consistent from contract to contract• A bidder on a road in one country can count on the same general
conditions of contract if/when they bid on a road in another country
MCC Standard Bidding Documents
![Page 7: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/7.jpg)
7
Forms of Contract
Large Works
• MCC has purchased licenses from the International Federation of Consulting Engineers (FIDIC) for large works:
• Design-Bid-Build (Red Book)• Design-Build (Yellow Book)
• MCC General Conditions – identical in all FIDIC contracts• Conditions of Particular Application (COPAs) supplement and
amend the General Conditions
Small Works, Goods & Consulting Services
• For these contracts MCC is using World Bank standards with minor accommodations to reflect MCC regulatory requirements.
![Page 8: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/8.jpg)
Evaluation Criteria
Eligibility• No conflicts of interest• No GOEs• Any nationality (with
few restrictions)• No debarred and
excluded parties• No history of non-
performing contracts or of litigation
• Other disqualifiers
Technical• General, similar &
specific experience• Environmental and
social documents• Health and safety
documents• Technical offer – work
program, method statement, cash flow projection
• Construction equipment
• Project management organization & personnel 8
Financial• Audited financial
statements• Size (turnover) in
relation to contract• Financial ratios (current
ratio, debt ratio)• Financial resources
(cash flow requirement)• Able to obtain
securities (bid, performance, advance payment)
![Page 9: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/9.jpg)
9
www.MCC.gov: One-stop-shop for Bidders
Open, Planned & Awarded Opportunities at/above $200k all posted tohttp://www.mcc.gov/pages/business
![Page 10: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/10.jpg)
10
Compact procurements• Administered by MCA Entities. • Contract opportunities are
published to:1. http://www.mcc.gov/2. http://mcc.dgMarket.com/ 3. http://www.devbusiness.com/
Threshold procurements• Administered by USAID.• Most tied to US companies.• Opportunities published to
http://www.FedBizOpps.gov/
MCC corporate procurements• Administered by MCC.• Some tied to US companies.• Opportunities published to
http://www.FedBizOpps.gov/
Procurement Opportunities
![Page 11: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/11.jpg)
11
What MCC Funds$7.9 Billion in 22 Compacts
In the pipeline: Malawi, Zambia, Indonesia;2nd Compacts for Cape Verde, Georgia, Ghana
![Page 12: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/12.jpg)
Infrastructure -- Services Procured
By MCC• Due Diligence
Support• Feasibility Studies,
EIAs, RAPs• Independent
Engineering Services• Specialty Consulting
By MCAs• Project Management
Consulting• Feasibility Studies • SEAs, EIAs, RAPs• Design & Preparation
of Bidding Documents• Construction
Supervision• Construction • Specialty Consulting
12
![Page 13: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/13.jpg)
Planned & Awarded Contracts
13http://www.mcc.gov/business/compactprocurements
![Page 14: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/14.jpg)
14
United States; 616497305.97; 15%
China; 405616918.37; 10%
France; 294338056.3; 7%
Costa Rica; 200816528.28; 5%
Ghana; 145083512.92; 4%
Portugal; 143609462.43; 4%Germany; 133892774.87; 3%Canada; 161279317.93; 4%Netherlands; 124091033.02; 3%
Morocco; 121614161.17; 3%Lesotho; 119063608.04;
3%
Azerbaijan; 109248237.4; 3%
South Africa; 110778857.99; 3%
Honduras; 105238310.91; 3%
El Salvador; 88171689.4000001; 2%
Israel; 84230897.93; 2%Armenia; 81226911.39; 2%
India; 58178467.26; 1%
Italy; 46222318.21; 1%
All Others; 941272620.210001; 23%
Contractor Nationality of all MCC-Funded Contracts (Worldwide)
![Page 15: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/15.jpg)
Upcoming OpportunitiesJordan: As-Samra Construction Manager; Program Management Consultant (PMC) Water
and Wastewater Networks Projects; Wastewater Construction (3 Packages/Lots); Water Networks Construction (3 Packages); Water Smart Homes (WSH): Infrastructure Project
Morocco: Fez Medina Place Laila Yeddouna (PLY) demolition & construction works Mozambique: Rehabilitation of 3 Cities Sanitation, Rehabilitation of 5 Cities – Nacala
Sanitation and Gurúè Water Supply, Construction of 290 Rural Water Points, Small Scale Solar Systems, Construction of Sanitaries for Schools and Markets in Nampula and Quelimane City.
El Salvador: Supervision of Construction for Water and Sanitation Projects Moldova: Road Rehabilitation Works, Supervision of Road RehabilitationLesotho: Construction of Urban & Rural Water and Sanitation systems; Rehabilitation and
Restoration of WetlandsNamibia: Construction of SchoolsSenegal: Construction works of Delta project site; Road Rehabilitation ConstructionTanzania: Renewable/Solar Works, KigomaBurkina Faso: Rehabilitation Works of the Léry Dam, Including Design, Supply and
Installation of Waterlogs; Road Construction (various); Construction of a Small Water Supply Network
Mongolia: Contractor to implement road traffic injury prevention interventions
15
![Page 16: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/16.jpg)
MCC Policy on Government Owned Enterprises
• Transparency and open competition in procurement lead to the best value for taxpayer money and stretches MCC’s resources. – Companies from 54 countries have won MCC-funded contracts. No
single nation’s companies have dominated MCC contracting.• Noting that GOEs often compete with some form of support from
their home government, MCC took action to help ensure a level playing field for commercial firms from all countries to compete for MCC-funded contracts.
• MCC revised the PPG to exclude from GOEs competing for MCC-funded contracts, except in certain cases. – The restriction on the eligibility of GOEs does not apply to Government-
owned educational, research, and statistical institutions and other technical units of government not formed primarily for a commercial or business purpose.
16
![Page 18: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/18.jpg)
18
![Page 19: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/19.jpg)
Additional Slides (Q&A)
19
![Page 20: Procurement Processes and Opportunities](https://reader035.vdocuments.mx/reader035/viewer/2022081604/5681685d550346895dde9d5e/html5/thumbnails/20.jpg)
20
Compact Implementing Structure
MCCWashington, DC
MCC Resident Mission
Host Country Government
$$
$$
Project Manager 1
AccountableEntity (MCA)
Project Manager 2
ContractorContractor Contractor
ProcurementAgent
Fiscal Agent/Funds Control
Project Manager 3
Common Payment System (Paid from
US Treasury)
Bank Account
Ensures Sound Fiscal Accountability