Article 1(Purpose) #
The purpose of this Decree is to prescribe special cases concerning the Enforcement Decree of the Act on Contracts to Which the State Is a Party with respect to the processing of contract affairs, etc. in procuring goods, etc. by contract made through international tendering. <Amended on Jul. 6, 1995>
Article 2(Definitions) #
The terms used in this Decree are defined as follows: <Amended on Dec. 23, 1994; Feb. 29, 2008; Mar. 23, 2013>
1. The term "specific goods, etc." means those prescribed by Ordinance of the Ministry of Economy and Finance among goods, excluding cash and securities, and programs;
2. The term "government procurement" means the purchase (including installment purchase) or lease of specific goods, etc., or the lease of facilities, etc. by a State agency prescribed by Ordinance of the Ministry of Economy and Finance (hereinafter referred to as "central government agency");
3. The term "program" means a program expressed in a series of instructions and commands used directly or indirectly in a computer or other information processing device to obtain a specific result;
4. The term "special procurement contract" means a contract concluded for the procurement of specific goods, etc. (including a contract accompanied by the provision of services, such as transportation, loading, unloading, insurance, etc. incidental to the procurement of contracted goods, etc., insofar as the value of such services does not exceed the value of the relevant specific goods, etc.), the estimated value of which is not less than the amount determined by the Minister of Economy and Finance;
5. The term "estimated value" means the value estimated by the budget allocation amount and basic data, etc. on budget calculation before the estimated price of specific goods, etc. is determined;
6. The term "recurring procurement contract" means a contract entered into with the same person on at least 2 occasions during the same year for the procurement of the same goods or the same kind of goods, among special procurement contracts;
7. The term "foreigner" means a person who does not hold the nationality of the Republic of Korea, a person who has dual nationality of the Republic of Korea and a nationality other than the Republic of Korea, and a foreign corporation (referring to a corporation established under the statutes or regulations of a foreign country);
8. The term "list of certified suppliers" means a list in which the qualifications for participation in tendering for each type of goods, etc. are determined in advance and then those who are eligible to participate in tendering are recorded;
9. The term "public announcement" means announcing tenders and soliciting all qualified persons to participate in a tendering procedure in the case of general competition and limited competition, and announcing tenders irrespective of the solicitation of tenders in the case of selective competition.
Article 3(Scope of application) #
(1) This Decree shall apply to special procurement contracts.
(2) This Decree shall apply to foreigners only where the relevant foreign country guarantees the same treatment for nationals of the Republic of Korea in the country as provided in this Decree.
Article 4(Determination of estimated values) #
In determining the estimated value at the time of concluding a special procurement contract, the head of a central government agency or a public official delegated by him or her shall determine the estimated value in accordance with the following subparagraphs in cases falling under any of the following subparagraphs:
1. In the case of a unit price contract, the amount obtained by multiplying the unit price of the relevant goods by the estimated procurement quantity;
2. In the case of a recurring procurement contract, the total amount to be contracted within the same year;
3. In the case of a contract for the lease of goods or facilities, etc. with a specified contract period, the estimated value shall be the total contract price, and if there is no specified contract period, the estimated value shall be the amount calculated by multiplying the 1-month rent by 48.
Article 5(Principles of contracting) #
(1) In concluding a special procurement contract, the head of a central government agency or a public official delegated by him or her shall not establish any special agreement, terms and conditions, etc. that unreasonably restrict contractual benefits on the grounds of the nationality of the other party to the contract or the place of production, etc. of the goods.
(2) The head of a central government agency or a public official delegated by him or her shall fairly select the other party to a contract and shall not discriminately provide information related to contracts for government procurement.
Article 6(Qualifications for participation in tendering procedures and examination) #
(1) Matters necessary for the qualifications of foreigners to participate in tendering procedures and public announcement, etc. thereof shall be prescribed by Ordinance of the Ministry of Economy and Finance. <Amended on Dec. 23, 1994; Mar. 23, 2013>
(2) The head of a central government agency or a public official delegated by him or her shall receive an application for examination of qualification for participation in a tendering procedure from a person who intends to participate in a tendering procedure, examine whether he or she is qualified to participate in a tendering procedure, and notify the relevant applicant of the results of such examination.
(3) If there is no time to conduct an examination of qualifications by the day immediately preceding the date of tender since an application for examination of qualifications for participation in a tendering procedure under paragraph (2) arrives late, the head of a central government agency or a public official delegated by him or her may allow the applicant to participate in the tendering procedure on condition that the applicant satisfies the qualifications for participation in a tendering procedure.
(4) In the examination of qualification for participation in a tendering procedure under paragraph (2), the head of a central government agency or a public official delegated by him or her may apply the results of the examination of qualification for participation in a tendering procedure conducted by another agency to the same goods, etc. without a separate examination.
(5) The head of a central government agency or a public official delegated by him or her may prepare and manage a list of certified suppliers in order to simplify procedures for verifying qualifications.
Article 7(Public announcement on general competition and limited competition) #
(1) When the head of a central government agency or a public official delegated by him or her intends to call for a general competition or limited competition for a special procurement contract, he or she shall make a public announcement in accordance with the Enforcement Decree of the Act on Contracts to which the State is a Party. In such cases, "by means of publishing in the Official Gazette or daily newspapers or posting on the bulletin boards, etc." in Article 33 (1) of the Enforcement Decree of the Act on Contracts to Which the State is a Party shall be construed as "publishing in the Official Gazette or posting in publications"; "10 days prior" in Article 35 (1) as "40 days prior" (25 days prior in cases of recurring procurement contracts, other than the initial contract) ; "5 days prior" in Article 35 (2) as "10 days prior"; and "5 days prior" in Article 35 (2) of that Decree as "40 days prior" in the case of a tender re-announced. <Amended on Jul. 6, 1995>
(2) Notwithstanding paragraph (1), if it is deemed impracticable to procure specific goods, etc. in a timely manner in cases where a revised public announcement is made to modify the details of the public announcement of a tender, where no tenderer or successful tenderer exists, or where a re-announcement is made because a successful tenderer fails to conclude a contract, the public announcement may be made not later than 10 days before the date of the tender or the date of opening of the tender.
(3) Except as provided in Article 36 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party, the following matters shall be included in the details of the public announcement of a tender: <Amended on Jul. 6, 1995>
1. Economic and technological requirements, financial guarantee, and information to be provided by suppliers;
2. Matters regarding issuance of bidding prospectus;
3. Method of determining a successful tenderer under Articles 42 through 47 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party.
(4) If it is impracticable to fully explain the specifications, quality, etc. of goods to be procured without mentioning a specific trademark, trade name, design, place of production, or manufacturer, etc. in the public announcement of a tender, the public announcement of tender may specify the trademark, trade name, design, place of production, or manufacturer, etc. and state to the effect that tenders are invited for goods equivalent in size, quality, etc. to the specified goods. In such cases, a tenderer shall prove that the goods to be supplied are equivalent to the goods stated in the public announcement in terms of size, quality, etc.
Article 8(Public announcement of selective competition) #
(1) When the head of a central government agency or a public official delegated by him or her intends to call for selective competition for a special procurement contract, he or she shall make a public announcement in accordance with Article 7, but the criteria for participation in the selective competitive tendering procedure shall be included in the details of such public announcement.
(2) In a selective competitive tendering procedure under paragraph (1), if the list of certified suppliers under Article 6 (5) has not been prepared or it is necessary to separately determine persons to be selected for the relevant tendering procedure before the date of public announcement of the tender due to other reasons, the qualifications for participation in the tendering procedure may be examined by receiving opinions on the relevant tender or a written request for participation in the relevant tendering procedure from persons who intend to participate in the tendering procedure in advance.
(3) Matters necessary for the public announcement, notification, etc. of selective competition shall be prescribed by Ordinance of the Ministry of Economy and Finance. <Amended on Dec. 23, 1994; Mar. 23, 2013>
Article 9(Issuance of tender prospectus) #
(1) If the head of a central government agency or a public official delegated by him or her intends to call for a competitive tendering procedure for a special procurement contract, he or she shall give persons who intend to participate in the tendering procedure an equal opportunity to be issued with the tender prospectus, and shall immediately comply with a request for explanation, etc. of the tender prospectus upon receiving such request.
(2) Matters necessary for the details of tender prospectus, methods of issuance, etc. shall be prescribed by Ordinance of the Ministry of Economy and Finance. <Amended on Dec. 23, 1994; Mar. 23, 2013>
Article 10(Public notice and notification of successful tenderer) #
(1) When the head of a central government agency or a public official delegated by him or her determines a successful tenderer or the other party to a negotiated contract with respect to a special procurement contract, he or she shall publicly notify the matters prescribed by Ordinance of the Ministry of Economy and Finance in the Official Gazette within 60 days from the day following the date of such determination. <Amended on Dec. 23, 1994; Mar. 23, 2013>
(2) When the head of a central government agency or a public official delegated by him or her determines a successful tenderer for a special procurement contract by competitive tendering, he or she shall notify all tenderers, other than the successful tenderer, of the fact that he or she has determined the successful tenderer, the name (trade name) and address of the successful tenderer, the successful tender price, etc. in writing or by means of publications, etc. within 7 days from the day following the date of such determination, unless there is a compelling reason not to do so.
(3) When an unsuccessful tenderer requests to provide the reasons for not winning the bid or data, etc. related to the relevant bid, the head of a central government agency or a public official delegated by him or her shall comply with such request unless there is a compelling reason not to do.
Article 11(Grounds for negotiated contract) #
Grounds provided in Article 26 (1) 4 and 5 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party, subparagraph 6 (a) of that paragraph (limited to cases under Article 4 of the Addenda of the Quality Management Promotion Act), subparagraph 7 (a) through (e) of that paragraph and subparagraph 8 (a) and (b) of that paragraph shall be excluded from those subject to negotiated contracts.
[This Article Wholly Amended on Jul. 6, 1995]
Article 12 #
Deleted. <Dec. 31, 1996>
Article 13(Records of contracts) #
(1) When the head of a central government agency or a public official delegated by him or her determines a successful tenderer through competition for a special procurement contract, he or she shall record and manage the following matters:
1. Names of tenderers and persons participated in the opening of tenders;
2. Qualifications of tenderers to apply for participation;
3. Name of the successful tenderer, the value of the successful tender, and the explanation of the reasons why the successful tenderer is selected;
4. If a tender becomes invalid, details of the tender and the reasons for its invalidity;
5. If notification is given under Article 10 (2), matters regarding the relevant notification;
6. Other matters deemed necessary.
(2) Upon entering into a negotiated contract for special procurement, the head of a central government agency or a public official delegated by him or her shall record and manage the following matters:
1. The purpose of the contract;
2. Name, specifications, quantity, unit price, amount, etc. of goods;
3. Provisions of the statutes or regulations applied, and the detailed grounds for applying them;
4. Name (trade name) and address of the other party to the contract;
5. Name of the country of origin of goods;
6. Other matters deemed necessary.
Article 14(Handling objections) #
(1) The head of a central government agency shall take appropriate measures against an objection raised by an unsuccessful tenderer in a bid for a special procurement contract, if an objection is raised by the tenderer.
(2) Any person who are dissatisfied with the measures taken by the head of a central government agency under paragraph (1) may file a petition for reexamination for mediation with the International Contract Dispute Mediation Committee under Article 28 of the Regulations on Special Cases concerning the Enforcement Decree of the Act on Contracts to Which the State Is a Party in Specific Procurement, within 15 days from the date on which such measures are taken or they become aware of such measures. <Amended on Dec. 31, 1996>
Article 15 #
Deleted. <Dec. 31, 1996>
Article 16 #
Deleted. <Dec. 31, 1996>
Article 17(Relationship to Enforcement Decree of the Act on Contracts to Which the State Is a Party) #
Except as otherwise provided in this Decree, the Enforcement Decree of the Act on Contracts to Which the State Is a Party and the Regulations on Special Cases concerning the Enforcement Decree of the Act on Contracts to Which the State Is a Party in Specific Procurement shall apply to matters regarding special procurement contracts. <Amended on Jul. 6, 1995; Dec. 31, 1996>
[Title Amended on Jul. 6, 1995]