Property procurement bidding package with a package price of not more than VND 100 million in the case of application of the form of contractor appointment; however, if agencies or units consider it necessary to organize bidding to ensure the goal of effective management and use of the state budget, they shall organize public bidding according to regulations.

Ms. Do Thi Thuy's unit (in Kon Tum Province) was assigned by her superiors to buy a photocopier worth VND 50 million. Units applying shortened appointment of contractor according to Clause 2, Article 15 of Circular No. 58/2016/TT-BTC guiding bidding packages for procurement of assets, goods and services including in regular procurement that estimates with bid package prices more than 100 million.

Ms. Thuy would like to ask, did the unit apply this in accordance with regulations or must apply the competitive offer method in Clause 1, Article 18 of Circular No. 58/2016/TT-BTC of the Ministry of Finance?

Regarding this issue, The Ministry of Finance has following opinions:

According to the provisions of Circular No. 58/2016/TT-BTC dated March 29, 2016 detailing the use of State capital for procurement in order to maintain regular operations of State agencies and units under the Government's forces. armed forces, public non-business units, political organizations, socio-political organizations, socio-professional organizations, social organizations, socio-professional organizations:

- Clause 3 Article 3 stipulates: “3. For the cases where requirements have been satisfied to conduct the procurement of assets, goods and services without the bidding, if the purchasing agency believes that the bidding should be carried out in order to ensure managerial objectives and use funding from the state budget in an effective manner, the purchasing agency shall apply the competitive bidding as regulated and report the competent authority of results of the purchase of assets, goods and services.”.

- Article 15 stipulates cases in which appointment of contractors is applicable; which includes the bidding package specified in Clause 2: “2. The bidding package for the procurement of assets, goods and services under the regular procurement scheme or estimate must have a bid package price not exceeding VND 100,000,000 (one hundred million dong)”.

According to the above provisions, the bidding package for procurement of assets with a bidding package price of not more than VND 100 million is eligible for the form of contractor appointment; However, if agencies or units consider to be necessary to organize bidding to ensure the goal of effective management and use of the state budget, they shall organize public bidding according to regulations.