PROCUREMENT REFORM WITHIN THE CAYMAN ISLANDS GOVERNMENT SYSTEM

Current Challenges Economic downturn Making every dollar count Ensuring value for money Balancing the needs of their organization with the funds available Process must be open and transparent

Reforms in the Procurement Process Review and revision of the Public Management and Finance Law and the Financial Regulations Review of the requirements of the tendering process - the Open Tender Process Booklet Procurement focused conference Formal Training for persons involved in procurement

The Public Management and Finance Law and the Financial Regulations Procurement process in the Cayman Islands reviewed and amended in 2005, 2006 and Process is governed under the Public Management and Finance Law (2005) and the Financial Regulations (Amended 2006 and 2007).

Financial Regulations Depending on the cost of the service, supplies or assets the procurement process is required to follow specific procedures. All Ministries, Portfolios, Statutory Authorities and Government Companies, the Office of the Complaints Commissioner and the Audit Office are required to offer for public tender contracts for the purchase of supplies, services and assets over CI$50,000.

Financial Regulations Contracts with a value of CI$250,000 must be referred to the Central Tenders Committee Contracts with a value of CI$50,000 - $249,000 must be referred to a Department or Ministry Tenders Committee Contracts under $50,000 do not have to be tendered but in most instances require at least three quotes

A Review of the Tender Process In 2008 and 2009 the Central Tenders Committee reviewed the tendering process CTC produced a 36 page document entitled “Open Tender Process” which provides detailed guidelines regarding the tender process The document is available to all government entities and to the public

Tender Phase Broken down into 6 sections which are: Tender Preparation Tender Issue Bid Receipt Bid Opening Bid Evaluation Tender Recommendation and Award

Open Tender Process The booklet provides information regarding the importance of each phase It indicates the various steps within each phase It outlines the persons responsible and the requirements for each phase The booklet can be accessed at CY/CTC%20TENDERING%20BROCHURE%20FINAL.P DF CY/CTC%20TENDERING%20BROCHURE%20FINAL.P DF

Procurement Conference In 2009, the government of the Cayman Islands provided training to procurement staff in the Civil Service through a three day conference The conference was open to all government entities involved in procurement Presentations were given by various overseas organizations involved in procurement reform and effective procurement practices

Procurement Conference The Chief Secretary, publicly stated the need to raise procurement to a higher level within government The conference was used to launch formal training for civil servants as government recognized that this was critical to improving procurement

Formal Training – Chartered Institute of Purchasing and Supply (CIPS) Formal training provided in 2009 and will continue in 2010 Training provided by CIPS CIPS is a not for profit organization that operates as a Chartered Body in the United Kingdom. Largest professional body representing the purchasing & supply chain management profession. Has 50,000 members in 134 countries and in 2008 received 50,000 exam entries.

CIPS Qualifications in Purchasing and Supply  Level 2 Introductory Certificate in P&S (GCSE / “O” Level)  Level 3 Certificate in P&S (“A” Level)  Level 4 Foundation Diploma in P&S (1st year of Honours degree)  Level 5 Advanced Diploma in P&S (2nd year of Honours degree or Ordinary degree)  Level 6 Graduate Diploma in P&S (Together with L4 & L5 equated to UK Honours)

Training in 2009 and 2010 In 2009, Civil Servants involved in procurement were taught Level 2 and Level 3 of the CIPS Purchasing and Supply course and sat Level 2 and Level 3 examinations in purchasing and supply In these challenging economic times, the cost of travel and accommodations for the lecturers has resulted in a review of the most cost effective and practical way of continuing to deliver the CIPS course

Training in 2010 The government has liaised with CIPS and is offering a new pathway for learning with an aim to reducing the cost of training while still ensuring training The new learning pathway will provide civil servants with 24/7 CIPS tutor support and immediate and anytime access to the CIPS Learning materials

The Way Forward For procurement to be successful it must have: The support of the Government Adequate training Updated and effective laws

Conclusion As countries experience the economic challenges and budgets are drastically cut, the public sector must find adequate ways to ensure that every dollar counts while obtaining value for money