The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Public Procurement Act’s implementation will take place two months later than other key financial reforms to give all government ministries and agencies time to adapt, it was revealed yesterday.

The Act, which will govern all public sector bidding processes and contract awards, will take legal effect on September 1, 2021, whereas the Public Finance Management Act, Public Debt Management Act and the Statistics Act will all come into force from July 1.

Marlon Johnson, the acting financial secretary, explained in a statement that the Ministry of Finance asked that the Public Procurement Act’s “appointed day” be pushed back a few months given the significant operational changes it requires within the government.

He explained: “The Procurement Act requires changes at all central government ministries and departments, as well as state-owned enterprises and authorities. It will require significant staff training, vendor education and awareness, and the establishment of new functions such as a tribunal to handle disputes,” he said.

Speaking to the importance of the legal reforms, Senator Kwasi Thompson, minister of state for finance, added: “These substantial new pieces of legislation are truly transformative and will revamp the way the public sector works regarding financial and data management.

“Each Act raises the standards of existing government processes to meet global best practices with a focus on transparency and accountability. The laws mandate that all information regarding budgets, public sector data, debt management plans, procurement opportunities and awarded government contracts be published within a specific timeframe.

“Importantly, it permits the government to carve out certain procurement activities for small Bahamian businesses, which will help entrepreneurs to have better access to potentially substantial government contracts.”

Mr Johnson, meanwhile, said: “The new Public Finance Management and Public Debt Management Acts require enhanced accounting in certain instances and, in every instance, enhanced reporting. There are new accountability features for permanent secretaries, heads of departments, and heads of state-owned enterprises and authorities.

“Under the Public Finance Management Act, implementation dates will be staggered from 2021 through 2025 to allow for process changes and capacity building.”

The government said it will embark upon an aggressive education campaign to engage both internal and external stakeholders on the impact and intent of the new Acts, and to heighten awareness around new roles, procedures and responsibilities outlined in each. The new committees, boards and institutions created will also be formalised over this period.