Introduction
This document sets out the procurement policies and procedures of the Afghan Coordination & Logistic Unit (ACLU) to ensure transparency, accountability, and cost-effectiveness in the acquisition of goods, services, and works. These procedures are aligned with donor requirements and applicable Afghan laws.
The ACLU Procurement Policy is designed to support effective program implementation by promoting best practices, ensuring competition, and managing procurement risks appropriately.
1. Objectives
The objectives of this procurement policy are to:
- Ensure value for money in all procurement activities
- Promote competition, fairness, and transparency
- Mitigate procurement risks and maintain accountability
- Comply with donor regulations and national laws
2. Scope
This policy applies to all ACLU staff involved in the procurement of goods, works, and services, regardless of the funding source. It includes purchases under operational, project, and emergency contexts.
3. Roles and Responsibilities
3.1 Procurement Committee (PC)
The PC oversees and approves major procurement decisions, ensuring compliance with policy and fairness in the process. Members include representatives from Admin, Finance, and Programs.
3.2 Procurement Officer
Responsible for the day-to-day execution of procurement activities including sourcing, bidding, evaluation, and contracting.
3.3 Finance Department
Verifies budget availability and ensures timely payment upon proper documentation.
3.4 Requesting Units
Define specifications, confirm delivery, and support technical evaluation.
3.5 Executive Director
The final authority for approving contracts above threshold levels as defined in the procurement thresholds table.
4. Procurement Principles
All procurement must adhere to the following principles:
- Transparency: All processes must be documented and open to review
- Competition: Ensure fair opportunity through competitive bidding
- Accountability: Clear roles, signatures, and oversight
- Integrity: Avoid conflicts of interest and maintain ethical standards
- Economy and Efficiency: Optimize cost and quality
5. Procurement Planning
ACLU departments must prepare annual procurement plans aligned with the approved budget and program needs. These plans should identify anticipated procurements, estimated costs, and timing.
The Procurement Officer consolidates the departmental plans and reviews them with the Finance Department for budget validation before submission to the Executive Director.
6. Procurement Methods
The selection of procurement methods depends on the nature and value of the procurement. The following methods are used:
- 6.1 Direct Purchase: For low-value items under AFN 10,000. Requires a single quote and approval.
- 6.2 Request for Quotation (RFQ): For procurements between AFN 10,001 and 100,000. At least three written quotes are required.
- 6.3 Request for Proposal (RFP): Used for complex goods or services where price is not the sole criterion. Technical and financial proposals are evaluated.
- 6.4 Open Tender: For procurements above AFN 100,000. Advertised publicly and follows competitive bidding procedures.
- 6.5 Framework Agreements: Long-term agreements for frequently procured items or services.
- 6.6 Sole Source Procurement: Allowed only with justification and prior approval. Must be documented and limited to emergency or proprietary cases.
7. Procurement Thresholds
The following thresholds determine the method and level of approval:
| Value Range (AFN) | Procurement Method | Approval Required |
|---|---|---|
| 0 – 10,000 | Direct Purchase | Procurement Officer |
| 10,001 – 100,000 | RFQ | Procurement Committee |
| 100,001 and above | Open Tender / RFP | Executive Director |
8. Procurement Procedures
8.1 Requisition
Departments submit a purchase requisition form with specifications, estimated cost, and budget code.
8.2 Quotation/Tender
Based on method, the Procurement Officer collects bids or publishes tenders, ensuring deadlines and fair competition.
8.3 Evaluation
The PC evaluates quotations based on price, quality, delivery, and other criteria. Evaluation forms must be signed and filed.
8.4 Approval
The authorized person approves based on the threshold table.
8.5 Purchase Order
Issued by the Procurement Officer and signed by Finance and the supplier.
8.6 Delivery and Inspection
Requesting units confirm receipt and quality. A Goods Received Note is prepared.
8.7 Payment
Finance processes payments upon receipt of complete documentation including invoice, GRN, and delivery note.
8.8 Record Keeping
All procurement documents must be filed for a minimum of five years.
9. Emergency Procurement
In urgent situations, the Executive Director may authorize emergency procurement using expedited procedures. Documentation and justification must still be submitted after the fact.
10. Conflict of Interest
All staff involved in procurement must avoid real or perceived conflicts of interest. Staff must declare any potential conflict to the Procurement Committee or Director.
Suppliers related to staff members may not participate unless fully disclosed and approved.
11. Ethical Standards
All procurement staff and suppliers must comply with ethical standards, including honesty, integrity, and anti-corruption principles. Any suspected fraud must be reported immediately.
12. Monitoring and Audit
Procurement activities are subject to internal and external audit. Documents must be made available for review. The Procurement Officer will submit monthly and annual reports to the Director.
13. Policy Review
This policy will be reviewed every two years or as needed to reflect changes in donor rules, legal requirements, or organizational priorities.
Approval and Sign-Off
This Procurement Policy has been reviewed and approved for implementation by the leadership of Afghan Coordination & Logistic Unit (ACLU).
| Prepared By: | Procurement Officer |
| Reviewed By: | Finance and Admin Managers |
| Approved By: | Executive Director |
Date of Approval: [Insert Date]
Signatures are maintained in the official files of ACLU.