Caution Required on Changes to Public Procurement Law

In El Salvador, there is a demand that the updating of the Law on Public Administration Procurement and Contracting that the deputies seek to make be carried out without neglecting the principles of competition and transparency.

Tuesday, January 14, 2020

After the Executive submitted the amendments to the draft reform of the Public Administration Procurement and Contracting Law (LACAP) to the Legislative in 2019, a sub-committee of the Assembly is examining the proposals.

Given this situation, the Foundation for Economic and Social Development (FUSADES) demands that an in-depth technical analysis be made of the reforms, so that the legal framework is provided with greater transparency and competition.

Laprensagrafica.com reviews that "... The first call of FUSADES is to expressly leave in the law the constitutional faculty that the Attorney General of the Republic has to represent the State in the acquisition of real estate, as established in Article 193 of the Constitution, in its numeral five."

The article adds that "... One of the reforms presented proposes the adoption of bidding by framework agreement, 'which would centralize the supply of common and standardized goods, obligating any institution that wishes to obtain such products, to buy directly from suppliers with whom a framework agreement has been signed,' warns FUSADES. Suppliers would be selected through an online product catalog."

In this type of tender, greater levels of transparency will be required to avoid arbitrariness, says FUSADES.

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