Schedule

3. The substitution in section 3(2) for paragraph (cA) of the following paragraph:

‘‘(cA) determine a procurement policy[, by no later than April 2002, which is consistent with section 217 of the Constitution] in relation to housing development subject to the Public Procurement Act, 2024;’’.

4. The substitution in section 26(1) for paragraph (n) of the following paragraph:

‘‘(n) prescribing procedures for the allocation of water by means of [public tender] a bid, as defined in section 1 of the Public Procurement Act, 2024, or an auction, subject to the Public Procurement Act, 2024,;’’.

5. The substitution in section 45(2) for paragraph (f) of the following paragraph:

‘‘(f) allocated to every other applicant by [public tender] means of a bid, as defined in section 1 of the Public Procurement Act, 2024, or an auction, subject to any regulation made under section 26(1)(n).’’.

6. The insertion after section 7(7) of the following subsection:

‘‘(7A) When information technology goods or services are procured through the Agency in terms of this section, the Agency must comply with the Public Procurement Act, 2024.’’.

7. The substitution in section 23(1) for paragraph (a) of the following paragraph:

‘‘must, subject to the Public Procurement Act, 2024, make regulations regarding the manner in which procurement in terms of section 7(3) to (7) must take place, [subject to the approval] with the concurrence of the Minister of Finance; and’’.

8. The substitution in section 103 for subsection (1) of the following subsection:

‘‘(1) The Minister may, subject to [any law governing the award of contracts by the State] the Public Procurement Act, 2024, with the concurrence of the Minister of Finance and the Minister of Public Works, enter into a contract with any party to design, construct, finance and operate any correctional centre or part of a correctional centre established or to be established in terms of section 5.’’.

9.  The deletion of section 38(1)(a)(iii).

10. The substitution in section 38(1) for paragraph (g) of the following paragraph:

‘‘(g) on discovery of unauthorised, irregular or fruitless and wasteful expenditure, must immediately report, in writing, particulars of the expenditure to the relevant treasury and in the case of irregular expenditure involving the procurement of goods or services, also to the [relevant tender board] Public Procurement Office established by section 4 of the Public Procurement Act, 2024;’’.

11. The deletion of section 51(1)(a)(iii).

12. The deletion of section 76(1)(k).

13. The deletion of section 76(4)(c).

14. The substitution for section 43 of the following section:

‘‘Procurement

43. Any procurement under this Act must be undertaken in [terms of the prescribed procedures] accordance with the Public Procurement Act, 2024.’’.

16.  The substitution in section 62 of subsection (6) for the following subsection:

‘‘(6)(a) The provisions of this section do not detract from any appropriate appeal procedure provided for in any other applicable law.

(b) This section does not apply to disputes provided for in Chapter 6 of the Public Procurement Act, 2024.’’.

17. The substitution in section 83 of—

(a)  paragraph (a) of subsection (1) for the following paragraph:

‘‘(a) comply with [Chapter 11 of the Municipal Management Act] the Public Procurement Act, 2024;’’; and

(b)  subsection (2) for the following subsection: ‘‘(2) Subject to the provisions of the [Preferential Procurement Policy Framework Act, (Act No. 5 of 2000)] Public Procurement Act, 2024, a municipality may determine a preference for categories of service providers in order to advance the interest of persons disadvantaged by unfair discrimination, as long as the manner in which such preference is exercised does not compromise or limit the quality, coverage, cost and developmental impact of the services.’’.

18.  The insertion in section 1 after the definition of ‘‘project’’ of the following definition:

‘‘‘Public Procurement Office’ means the Public Procurement Office, established by section 4 of the Public Procurement Act, 2024;’’;

19.  The insertion after section 5(1) of the following sub-section:

‘‘(1A) When acting in terms of subsection (1) on matters regulated by the Public Procurement Act, 2024, the Board must comply with that Act and consult the Public Procurement Office.’’.

20.  The substitution in section 5(3) for paragraph (c) of the following paragraph:

‘‘(c) must, [within the framework of the procurement policy of Government] subject to the Public Procurement Act, 2024, and in consultation with the Public Procurement Office, promote the standardisation of the procurement process with regard to the construction industry’’

21.  The substitution in section 5 for subsection (4) of the following subsection:

‘‘(4) To promote uniform and ethical standards within the construction industry, the Board

(a)  must, in consultation with the Public Procurement Office, publish a code of conduct for all public sector construction-related procurement and all participants involved in public sector procurement process; and

(b)  may, in consultation with the Public Procurement Office, initiate, promote and implement national programmes and projects aimed at the standardisation of procurement documentation, practices and procedures.’’;

22.  The substitution in section 16 for subsection (3) of the following subsection:

‘‘(3) The Minister must, with the concurrence of the Minister of Finance, prescribe the manner in which public sector construction contracts may be invited, awarded and managed within the framework of the register and [within the framework of the policy on procurement] the Public Procurement Act, 2024.’’.

23.  The substitution in section 33 for subsection (1) of the following subsection:

‘‘(1)(a) The Minister may, by notice in the Gazette, make regulations not inconsistent with this Act with regard to any matter that is required or permitted to be prescribed in terms of this Act and any other matter for the better execution of this Act or in relation to any power granted or function or duty imposed by this Act.

(b) Regulations in terms of subsection (1) on matters regulated by the Public Procurement Act, 2024, must be made with the concurrence of the Minister of Finance.’’.

24. The substitution in section 2(4) for the words preceding paragraph (a) of the following words:

‘‘(4) Subject to this Act and the Public Procurement Act, 2024, the Corporation may—’’.

25. The insertion after section 9(1) of the following sub-section (1):

‘‘(1A)(a) The Minister must review a code of good practice insofar as applicable to organs of state and public entities regarding qualification criteria for preferential purposes for procurement, envisaged in subsection (1)(b), to ensure alignment with the Public Procurement Act, 2024.

(b) When issuing a new or revised code envisaged in paragraph (b), ensure alignment with the Public Procurement Act, 2024.’’;

25.  The substitution in section 9 for subsection (5) of the following subsection:

‘‘(6) If requested to do so, the Minister may, with the concurrence of the Minister of Finance and by notice in the Gazette, permit organs of state or public entities to specify qualification criteria for procurement and other economic activities which exceed those set by the Minister in terms of subsection (1).’’.

26. The substitution in section 10(1) for paragraph (b) of the following paragraph:

‘‘(b) developing and implementing a preferential procurement policy aligned with the Public Procurement Act, 2024;’’.

27.  The substitution in section 13P for subsection (1) of the following subsection:

‘‘(1) Any person convicted of an offence in terms of this Act may not, for a period of 10 years from the date of conviction, contract or transact any business with any organ of state or public institution and must for that purpose be entered into the [register of tender defaulters which the National Treasury may maintain for that purpose] Register for Tender Defaulters established in terms of section 29 of the Prevention and Combating of Corrupt Activities Act, 2004 (Act No. 12 of 2004).’’.

28.  The substitution in section 1 for paragraph (d) of the definition of ‘irregular expenditure’ of the following paragraph:

‘‘(d) expenditure incurred by a municipality or municipal entity in contravention of, or that is not in accordance with, the Public Procurement Act, 2024, a requirement of the [supply chain management policy] procurement system of the municipality or entity or any of the municipality’s by-laws giving effect to such policy, and which has not been condoned in terms of such policy or by-law,’’.

29. The deletion of section 2(f).

30.  The substitution in section 14 for subsection (5) of the following subsection:

‘‘(5) Any transfer of ownership of a capital asset in terms of subsection (2) or (4) must be fair, equitable, transparent, competitive and consistent with the [supply chain management] procurement policy which the municipality must have and maintain in terms of [section 111] the Public Procurement Act, 2024.’’.

31. The deletion of section 33(4).

32.  The substitution in section 65(2) for paragraph (i) of the following paragraph:

‘‘(i) that the municipality’s [supply chain management policy referred to in section 111] procurement system complies with the Public Procurement Act, 2024 [is implemented in a way that is fair, equitable, transparent, competitive and cost-effective] and”.

33.  The substitution in section 73 of paragraph (a) for the following paragraph:

‘‘(a) any failure by the council of the municipality to adopt or implement a budget-related policy [or a supply chain management policy referred to in section 111]; or’’.

34. The deletion of section 75(1)(g) and ((j).

35. The substitution in section 81(1) for paragraph (e) of the following paragraph:

‘‘(e) must perform such budgeting, accounting, analysis, financial reporting, cash management, debt management, [supply chain] procurement management, financial management, review and other duties as may in terms of section 79 or other legislation be delegated by the accounting officer to the chief financial officer.”.

36.  The substitution in section 90 for subsection (5) of the following subsection:

‘‘(5) Any transfer of ownership of a capital asset in terms of subsection (2) or (4) must be fair, equitable, transparent and competitive and consistent with the [supply chain management] procurement policy which the municipal entity must have and maintain in terms of [section 111] the Public Procurement Act, 2024.’’.

37. The deletion of section 99(2)(h).

38. The repeal of Chapter 11.

39. The deletion of section 163(2)(b).

40. The substitution in section 168(1) for paragraph (g) of the following paragraph:

‘‘(g) the alienation, letting or disposal of assets by municipalities or municipal entities, subject to the Public Procurement Act, 2024;’’.

41. The deletion of section 173(1)(a)(ii) and (a)(iv)(bb).

42.  The substitution in section 173(2)(a) for subparagraph (iii) of the following subparagraph:

‘‘(iii) fails to take all reasonable steps to prevent corruptive practices in the management of the entity’s assets[,] or receipt of money [or supply chain management system];’’.

43. The substitution in section 173(5) for paragraph (e) of the following paragraph:

‘‘(e) contravenes a provision of section [115 (2), 118 or] 126 (5); or’’.

44. The substitution in section 34(1)(e) for subparagraph

(i) of the following subparagraph:

‘‘(e) subject to the Public Procurement Act, 2024, be established through a [tendering] bid procedure which is fair, equitable, transparent, competitive and cost-effective;’’.

45. The substitution in section 49 of subsection (5) for the following subsection:

‘‘(5) If external engineering services are installed by an applicant instead of payment of development charges, the [provision of the Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003)] Public Procurement Act, 2024, pertaining to procurement and the appointment of contractors on behalf of the municipality does not apply.’’.

46.  The substitution in section 8 for subsection (2) of the following subsection:

‘‘(2) If the Commission designates a strategic integrated project which must be implemented, it must determine whether the state has the capacity to implement the project or whether the whole or part of the project must be [put out to tender or] procured [through another form of procurement allowed by the Public Finance Management Act, 1999 (Act No. 1 of 1999)] in terms of the Public Procurement Act, 2024.’’.

47.  The substitution in section 12 for subsection (4) of the following subsection:

‘‘(4) The Director-General or accounting authority of a public entity responsible for an aspect of infrastructure remains the accounting officer or accounting authority in terms of the Public Finance Management Act, 1999 (Act No. 1 of 1999) [, the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000),] or the Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003).’’.