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Order No. 87 of the Ministry of Finance of the People’s Republic of China ——**Procedures for the Bidding and Tendering of Goods and Services Purchased Through Public Procurement Minister: Xiao Jie Date: July 11, 2017 Chapter I General Provisions Article 1 These procedures are formulated in order to regulate the procurement activities of parties involved in public procurement, strengthen the supervision and management of bidding and tendering processes for goods and services purchased through public procurement, and protect the interests of the state, the public interest, as well as the legitimate rights and interests of the parties participating in such bidding and tendering processes. They are established in accordance with the **Public Procurement Law of the People’s Republic of China** (hereinafter referred to as the “Public Procurement Law”), the **Regulations on the Implementation of the Public Procurement Law of the People’s Republic of China** (hereinafter referred to as the “Regulations on the Implementation of the Public Procurement Law”), and other relevant laws and regulations. Article 2 These measures apply to tendering and bidding activities for the procurement of goods and services (hereinafter referred to as goods and services) carried out within the territory of the People’s Republic of China. Article 3: Tendering for goods and services is divided into open tendering and invited tendering. Open tendering refers to a procurement method in which the purchaser, in accordance with the law, invites unspecified suppliers to submit bids through a tender announcement. Invited bidding refers to a procurement method in which the purchaser, in accordance with the law, randomly selects three or more suppliers who meet the relevant qualification requirements, and invites them to submit bids through bid invitation letters. Article 4: For procurement projects that fall under the local budget, the people’s governments of provinces, autonomous regions, and municipalities directly under the Central Government may, based on actual circumstances, determine separate thresholds for public bidding amounts applicable at the provincial, city-level, and county-level levels within their respective administrative regions. Article 5: The purchaser shall implement procurement policies such as energy conservation, environmental protection, support for underdeveloped and ethnic minority areas, and promotion of the development of small and medium-sized enterprises in activities related to the bidding for goods and services. Article 6: Procuring entities shall, in accordance with the requirements of internal control standards for administrative and public institutions, establish and improve their own **procurement internal control systems. They should strengthen internal control management in key areas such as the preparation of **procurement budgets and implementation plans, the determination of procurement needs, the organization of procurement activities, performance verification, responses to inquiries and complaints, assistance in handling complaints, as well as supervision and inspection. Purchasers shall not request or accept gifts, bribes, or other goods and services unrelated to the procurement from suppliers. Article 7: The purchaser shall determine the nature of the procurement project in accordance with the **Classification Catalogue of Procurement Items** established by the Ministry of Finance. If it cannot be determined in accordance with the **Classification Catalogue of Purchased Items**, it shall be determined in line with the principles that facilitate the implementation of the procurement project. Article 8 Where the purchaser entrusts a procurement agency to handle the bidding process, the procurement agency shall carry out procurement activities in accordance with the scope authorized by the purchaser and in compliance with the law. Purchasing agencies and their branches shall not bid or act as agents in bidding for the procurement projects they represent, nor shall they provide bidding consultation to bidders for such projects. Chapter 2 Tendering Article 9 For **procurement projects that are not included in the centralized procurement list, the purchaser may conduct tenders on their own or entrust a procurement agency to handle the tendering within the scope of the entrusted duties. If the purchaser organizes the bidding process on its own, it must meet the following conditions: (1) It must have the capability and resources to prepare the bidding documents and to organize the bidding process ； (II) There are professionals competent for the professionalism of the procurement project. Article 10 The purchaser shall conduct market research on the market technology or service standards, supply, prices, and other aspects of the items to be purchased. Based on the results of this research as well as asset allocation criteria, the purchaser shall determine the procurement requirements in a scientific and reasonable manner and calculate the prices accordingly. Article 11: Procurement requirements shall be complete and clear, including the following contents: (1) The functions or objectives to be achieved by the procurement item, as well as the requirements that must be met in order to implement the **procurement policies ； (II) **Relevant standards, industry standards, local standards, or other standards and specifications that must be applied to the subject of procurement** ； (III) Requirements regarding quality, safety, technical specifications, physical properties, etc., that the procurement subject must meet ； (IV) The quantity of the goods or services to be purchased, as well as the time and place for the delivery or implementation of the procurement project ； (5) Requirements regarding service standards, deadlines, efficiency, etc., that the subject of procurement must meet ； (VI) Acceptance criteria for the procurement subject ； (7) Other technical and service requirements regarding the subject of the procurement. Article 12: Based on price estimates, the purchaser may set a reasonable maximum price within the procurement budget limit, but shall not set a minimum price. Article 13 The public tender announcement shall include the following main contents: (1) The name, address, and contact information of the purchaser and the procurement agency entrusted by it ； (II) The name of the procurement project and the budget amount; if a maximum price limit is set, such limit shall also be made public ； (III) The purchaser’s procurement requirements ； (IV) Qualification requirements for bidders ； (5) Time limit, location, method for obtaining the tender documents, and price of the tender documents ； (VI) Announcement period ； (7) Bid submission deadline, bid opening time and location ； (8) Name and phone number of the contact person for the procurement project. Article 14: In the case of an invited tendering method, the purchaser or the procurement agency shall determine a list of qualified suppliers through the following methods, and then randomly select 3 or more suppliers to whom tender invitations will be sent: (1) Issuing pre-qualification announcements to solicit applications ； (II) Selected from the supplier database established by the financial departments of people’s governments at or above the provincial level (hereinafter referred to as financial departments) ； (III) Written recommendation from the purchaser. Where a list of qualified suppliers is generated in accordance with the method specified in item (1) of the preceding paragraph, the purchaser or the procurement agency shall conduct pre-qualification of potential bidders in line with the standards and methods set out in the pre-qualification documents. Where the list of qualified suppliers is generated in accordance with the second or third option of the first paragraph, the total number of alternative qualified suppliers shall not be less than twice the total number of suppliers intended to be selected randomly. Random selection refers to the process of choosing suppliers through methods such as drawing lots, which ensure equal opportunities for all qualified suppliers. When selecting suppliers randomly, at least two procurement staff members shall be present to supervise the process, and a written record shall be made, which shall be filed together with the procurement documents. The invitation to bid shall be sent to all invited suppliers simultaneously. Article 15 The prequalification announcement shall include the following main contents: (1) The contents of items 1 to 4, item 6, and item 8 of Article 13 of these Measures ； (II) Time limit, place, and method for obtaining the prequalification documents ； (III) The deadline, location for submitting the prequalification application documents, and the date of prequalification. Article 16 The publication period for the tender announcement and the prequalification announcement is 5 working days. The content of the announcement shall be subject to those published in the media designated by the financial authorities at the provincial level or above. The announcement period begins on the date when the media designated by the financial authorities at or above the provincial level first publish the announcement. Article 17: The purchaser and the procurement agency shall not use criteria such as a bidder’s registered capital, total assets, operating revenue, number of employees, profits, or tax payments as requirements for qualification or as factors in the evaluation process. Nor shall they treat different bidders differently or discriminate against them by requiring authorization, commitments, certificates, endorsements, etc., from the manufacturers, except in the case of imported goods. Article 18 The purchaser or the procurement agency shall provide the tender documents or prequalification documents at the time and place specified in the tender announcement, prequalification announcement, or invitation to bid, with the provision period starting from the date of issuance of such announcements and lasting no less than 5 working days. If, after the expiration of the submission deadline, there are less than 3 potential bidders who have obtained the tender documents or prequalification documents, the deadline may be extended, and this shall be announced. When prequalification is conducted through open tendering, the tender announcement and the prequalification announcement can be issued together, and the tender documents shall be provided to all suppliers who have passed the prequalification. Article 19 The purchaser or the procurement agency shall specify in the tender announcement, prequalification announcement, or invitation to bid whether joint bids are accepted, in accordance with the requirements for the implementation of the procurement project. Unless stated otherwise, joint bids shall not be rejected. Article 20 The purchaser or the procurement agency shall prepare the tender documents in accordance with the characteristics of the procurement project and the procurement requirements. The tender documents shall include the following main contents: (1) Invitation to bid ； (II) Instructions to Bidders (including requirements for sealing, signing, and stamping of tender documents, etc.) ； (III) Qualification and credit certification documents to be submitted by the bidder ； (IV) To implement the **procurement policies, the requirements that must be met by the procurement items, and the supporting documents that bidders must provide ； (5) Requirements for preparing the bid documents, requirements for bid pricing, methods for submitting and refunding bid bonds, as well as circumstances under which bid bonds shall not be refunded ； (VI) The budget amount for the procurement project; if a maximum price limit is set, this maximum price limit shall also be made public ； (7) Requirements for the technical specifications, quantities, service standards, acceptance, etc., of the procurement project, including attachments and drawings, etc ； (8) Draft text of the contract to be signed ； (IX) Time, place, and method of provision of goods and services ； (10) Methods, timing, and conditions for the payment of procurement funds ； (11) Bid evaluation methods, bid evaluation criteria, and circumstances under which bids are invalid ； (12) Validity period of the bid ； (13) Bid submission deadline, bid opening time and location ； (14) Standards and methods for charging agency fees by procurement agencies ； (15) Channels and deadline for querying bidders’ credit information, specific methods for retaining records and evidence of such queries, rules regarding the use of credit information, etc ； (16) Other matters specified by the financial departments at or above the provincial level. For the substantive requirements and conditions that permit no deviation, the purchaser or procurement agency shall specify them in the tender documents and indicate them in a prominent manner. Article 21 The procuring entity or procurement agency shall prepare prequalification documents based on the characteristics and requirements of the procurement project. The prequalification documents shall include the following main contents: (1) Prequalification invitation ； (II) Instructions for Applicants ； (III) Qualification requirements for applicants ； (IV) Qualification review criteria and methods ； (5) Content and format of the prequalification application documents to be submitted by the applicant ； (VI) Method, deadline, location for submitting prequalification application documents, and date for qualification review ； (7) Channels and deadlines for querying the applicant’s credit information, specific methods for retaining records of credit information queries and relevant evidence, rules regarding the use of credit information, etc ； (8) Other matters specified by the financial departments at or above the provincial level. The prequalification documents shall be provided free of charge. Article 22: Generally, the procuring entity and procurement agency shall not require bidders to provide samples, except in special circumstances where the procurement requirements cannot be accurately described solely through written means, or where a subjective judgment of the samples is necessary to determine whether they meet such requirements. Where samples are required from bidders, the tender documents shall clearly specify the standards and requirements for sample preparation, whether relevant test reports need to be submitted along with the samples, as well as the methods and criteria for evaluating the samples. If a test report is required to be submitted along with the sample, the requirements of the testing institution and the contents of the testing should also be specified. After the procurement process is completed, the samples provided by those who did not win the bid should be returned promptly or disposed of as appropriate with their consent ； The samples provided by the winning bidder shall be stored and sealed in accordance with the provisions of the tender documents, and used as a reference for performance acceptance. Article 23 The validity period of a bid shall commence from the date of submission of the bid documents. The bid validity period stated in the bid document shall be no shorter than the bid validity period specified in the tender document. If the bidder withdraws the bid document within the validity period of the bid, the purchaser or the procurement agency may refuse to return the bid security. Article 24: The price of the tender documents shall be determined in accordance with the principle of covering the costs of preparation and mailing. It shall not be set for profit purposes, nor shall the amount of the tender procurement serve as a basis for determining the price of the tender documents. Article 25: The contents of the tender documents and prequalification documents shall not violate laws, administrative regulations, mandatory standards, **procurement policies, nor shall they violate the principles of openness and transparency, fair competition, fairness, and good faith. In the cases specified in the preceding paragraph, if such circumstances affect the bidding of potential bidders or the results of the prequalification process, the purchaser or the procurement agency shall revise the tender documents or prequalification documents and issue a new call for bids. Article 26: The purchaser or the procurement agency may, after the deadline for submitting tender documents has passed, organize on-site visits for potential bidders who have obtained the tender documents, or hold a Q&A session prior to the opening of bids. If on-site inspections are to be organized or Q&A sessions held, this shall be specified in the tender documents, or all potential bidders who have obtained the tender documents shall be notified in writing after the deadline for submitting the tender documents. Article 27 The purchaser or the procurement agency may make necessary clarifications or modifications to the issued tender documents, prequalification documents, and invitation to bid, but shall not change the subject matter of the procurement or the qualification requirements. Clarifications or modifications shall be published as a clarification notice in the same medium where the original announcement was issued. The clarified or amended content constitutes part of the tender documents, prequalification documents, and invitation to bid. If the clarifications or modifications might affect the preparation of the tender documents, the purchaser or the procurement agency shall notify all potential bidders who have obtained the tender documents in writing at least 15 days before the deadline for submission of bids ； If the period is less than 15 days, the purchaser or the procurement agency shall extend the deadline for submitting tender documents. If the clarifications or modifications may affect the preparation of the prequalification application documents, the purchaser or the procurement agency shall notify all potential bidders who have obtained the prequalification documents in writing at least 3 days before the deadline for submitting such applications ； If the period is less than 3 days, the purchaser or the procurement agency shall extend the deadline for submitting the prequalification application documents. Article 28: Before the deadline for bidding, the purchaser, the procurement agency, and relevant personnel shall not disclose to any third party the names and numbers of potential bidders who have obtained the tender documents, nor any other information related to the tendering process that could affect fair competition. Article 29: After issuing a tender announcement, a prequalification announcement, or sending out invitation to bid, the purchaser or the procurement agency shall not terminate the tendering process on their own initiative, unless the procurement task is canceled due to major unforeseen circumstances. In the event that the bidding process is terminated, the purchaser or the procurement agency shall promptly issue a termination announcement in the same medium where the original announcement was published, notify in writing those who have obtained the bidding documents, prequalification documents, or who were invited as potential bidders, and report the progress of the project and the reasons for canceling the procurement task to the financial authorities at the corresponding level. If fees for the tender documents or bid guarantees have already been collected, the purchaser or the procurement agency shall refund such fees as well as the bid guarantees, along with any interest earned on them in the bank, within 5 working days after terminating the procurement process. Chapter 3 Bidding Article 30 A bidder refers to a legal person, other organization, or natural person that responds to a tender call and participates in the bidding competition. Article 31: In procurement projects that employ the lowest bid price method, where different bidders offering products of the same brand submit bids for the same contract, only those who have passed the qualification review and compliance check and whose bid prices are the lowest shall be considered for evaluation ； In the case of identical quotes, the purchaser or the evaluation committee appointed by the purchaser shall determine one bidder to participate in the evaluation in accordance with the methods specified in the tender documents; if no such methods are specified, random selection shall be used, and all other bids shall be invalid. For procurement projects that use a comprehensive scoring method, if different bidders offering products of the same brand and having passed the qualification and compliance checks submit bids for the same contract, they are counted as one bidder; the bidder of the same brand with the highest score after evaluation is deemed eligible for recommendation as the winner ； In the event that the evaluation scores are equal, the purchaser or the evaluation committee appointed by the purchaser shall determine which bidder is eligible to be recommended as the winner in accordance with the methods specified in the tender documents; if no such methods are specified, random selection will be used, and other bids from the same brand will not be considered as candidates for winning the bid. For procurement projects that involve multiple products, the purchaser shall reasonably determine the core products based on the technical composition of the project and the proportion of the prices of various products, and specify these in the tender documents. If multiple bidders offer core products of the same brand, the provisions of the preceding two paragraphs shall apply. Article 32: Bidders shall prepare their bid documents in accordance with the requirements set out in the tender documents. The bid document shall clearly respond to the requirements and conditions set out in the tender document. Article 33: The bidder shall deliver the tender documents to the tendering location in sealed form before the deadline specified in the tender documents for submission of such documents. Upon receiving the tender documents, the purchaser or the procurement agency shall accurately record the time of delivery and the sealing condition of the documents, sign for their receipt and keep them, and issue a receipt to the tenderer. No unit or individual shall open the tender documents prior to the bid opening. Bids that are submitted after the deadline or that are not sealed in accordance with the requirements specified in the tender documents shall be rejected by the purchaser or the procurement agency. Article 34: Before the deadline for submission of bids, bidders may supplement, modify, or withdraw the bid documents they have submitted, and must notify the purchaser or the procurement agency in writing. The supplementary and revised content must be signed, sealed, and stamped in accordance with the requirements of the tender documents, and then served as part of the bid document. Article 35: If, in accordance with the provisions of the tender documents and the actual circumstances of the procurement project, the bidder intends to subcontract non-core and non-critical tasks of the awarded project after winning the bid, it shall specify the entity responsible for such subcontracting in the tender documents. The entity undertaking the subcontracting must possess the appropriate qualifications and shall not subcontract further. Article 36 Bidders shall adhere to the principle of fair competition, shall not engage in malicious collusion, shall not obstruct the competitive efforts of other bidders, and shall not infringe upon the legitimate rights and interests of the purchaser or other bidders. If the bidder is found to be in the aforementioned situation during the bid evaluation process, the bid evaluation committee shall declare its bid invalid and submit a written report to the finance department at the corresponding level. Article 37 In any of the following circumstances, it shall be deemed that bidders have colluded in bidding, and their bids shall be invalid: (1) The bid documents of different bidders are prepared by the same entity or individual ； (II) Different bidders entrusting the same entity or individual to handle bidding matters ； (III) The project management team members or contact persons specified in the bid documents of different bidders are the same person ； (IV) Abnormally high consistency in the bid documents of different bidders, or regular differences in their bid prices ； (5) The bid documents of different bidders are mixed together ； (VI) The bid bonds of different bidders are transferred from the account of the same entity or individual. Article 38: If a bidder withdraws the submitted bid document before the bid deadline, the purchaser or the procurement agency shall refund the bid security received within 5 working days from the date of receiving the bidder’s written withdrawal notice, unless timely refund is not possible due to reasons attributable to the bidder himself/herself. The purchaser or the procurement agency shall return the bid security of the unsuccessful bidders within 5 working days as of the date the notice of award is issued, and shall return the bid security of the successful bidder or convert it into a performance bond for the successful bidder within 5 working days as of the date the procurement contract is signed. If the purchaser or the procurement agency fails to return the bid security within the prescribed time, it shall not only return the principal amount of the bid security but also pay a penalty for the overdue use of funds at an interest rate that is 20% higher than the benchmark lending rate set by the People’s Bank of China for the same period, unless the delay in return is due to reasons on the part of the bidder itself. Chapter 4 Bid Opening and Evaluation Article 39 The bid opening shall be conducted at the same time as the deadline for submitting bids specified in the tender documents. The bid opening location shall be the location predetermined in the tender documents. The purchaser or the procurement agency shall record audio and video of all activities at the bid opening and evaluation site throughout the process. The audio and video recordings must be clear and readable, and such materials shall be archived together with the procurement documents. Article 40: The bid opening shall be presided over by the purchaser or the procurement agency, with bidders invited to attend. Members of the bid evaluation committee shall not participate in the bid opening ceremony. Article 41: At the time of bid opening, the bidder or a representative appointed by them shall check the sealing of the bid documents ； Once verified to be correct, the purchaser or a staff member of the procurement agency shall open the package in public and announce the bidder’s name, bid price, and any other information specified in the tender documents that needs to be disclosed. If there are less than 3 bidders, the bid opening shall not take place. Article 42: The bidding process shall be recorded by the purchaser or the procurement agency, and after being signed for confirmation by the representatives of each bidder present at the bidding session as well as the relevant staff, it shall be filed together with the procurement documents. If the bidder’s representative has doubts regarding the bid-opening process and the records of the bid opening, or believes that relevant staff members of the purchaser or the procurement agency should be recused, they shall raise questions or submit a recusal request on the spot. The purchaser and the procurement agency shall handle promptly any inquiries or requests for recusal submitted by the bidder’s representative. If a bidder does not attend the bid opening, it is deemed that they accept the results of the bid opening. Article 43: For procurement projects exceeding the threshold for public bidding, if there are less than 3 bidders by the deadline for submissions, or if less than 3 bidders pass the qualification or compliance review, except in cases where the procurement task is cancelled, the matter shall be handled as follows: (1) If the bidding documents contain unreasonable terms or the bidding procedures do not comply with regulations, the purchaser or the procurement agency shall make the necessary corrections and then conduct a new bidding process in accordance with the law ； (II) If the tender documents contain no unreasonable clauses and the tendering procedures comply with regulations, and it is necessary to adopt other procurement methods, the purchaser shall submit an application to the financial authorities for approval in accordance with the law. Article 44: After the opening of bids for publicly tendered procurement projects, the purchaser or the procurement agency shall, in accordance with the law, examine the qualifications of the bidders. If there are less than 3 qualified bidders, no bid evaluation shall be conducted. Article 45 The purchaser or the procurement agency is responsible for organizing the bid evaluation process and shall perform the following duties: (1) Verify the identities of the evaluation experts as well as the authorization letters from the representatives of the purchaser, keep records of how well the evaluation experts carry out their duties in the procurement process, and promptly report any illegal or irregular activities to the financial authorities ； (II) Announcement of bid evaluation discipline ； (III) Publish the list of bidders and inform the evaluation experts of the circumstances under which they should recuse themselves ； (IV) Organize the bid evaluation committee to elect a bid evaluation team leader; the representative of the purchaser shall not serve as the team leader ； (5) Implement necessary communication management measures during the bid evaluation process to ensure that the bid evaluation is not disrupted by external factors ； (VI) Present the relevant procurement policies and regulations, as well as the tender documents, as requested by the bid evaluation committee ； (7) Maintain order in the bid evaluation process, supervise the bid evaluation committee to conduct independent evaluations in accordance with the procedures, methods, and standards specified in the tender documents, and promptly stop and correct any biased statements or illegal or irregular actions by representatives of the purchaser or evaluation experts ； (8) Verify the results of the bid evaluation; if any of the circumstances specified in Article 64 of these measures apply, request the bid evaluation committee to conduct a re-evaluation or provide a written explanation. If the committee refuses, this shall be recorded and reported to the financial authorities at the corresponding level ； (IX) After the evaluation process is completed, payment for the services rendered by the evaluation experts and reimbursement for travel expenses related to evaluations conducted in other locations shall be made in accordance with relevant regulations; no payments for evaluation services shall be made to any persons other than the evaluation experts ； (10) Handle other matters related to bid evaluation. The purchaser may provide information on the project background and procurement requirements prior to the bid evaluation; such information must not contain discriminatory or biased opinions, nor shall it go beyond the scope specified in the tender documents. It should be noted that written materials must be submitted and filed together with the procurement documents. Article 46 The bid evaluation committee is responsible for the actual bid evaluation tasks and independently performs the following duties: (1) Examine and evaluate whether the bid documents meet the substantive requirements, including those of a commercial and technical nature, specified in the tender documents ； (II) Require the bidder to provide clarifications or explanations regarding relevant matters in the bid document ； (III) Compare and evaluate the tender documents ； (IV) Determine the list of candidates for winning the bid, and directly determine the winner of the bid as entrusted by the purchaser ； (5) Report any illegal acts discovered during the bid evaluation to the purchaser, the procurement agency, or the relevant authorities. Article 47: The bid evaluation committee shall consist of representatives of the purchaser and evaluation experts. The number of members shall be an odd figure of five or more, with the evaluation experts accounting for no less than two-thirds of the total number of members. If a procurement project falls under any of the following circumstances, the number of members on the evaluation committee shall be an odd number of 7 or more: (1) The procurement budget amount is 10 million yuan or more ； (II) Technical complexity ； (III) It has a significant social impact. Review experts may only participate in the bid evaluation for the procurement projects of their own organization as representatives of the purchaser, except in the circumstances specified in Paragraph 2 of Article 48 of these regulations. Staff members of the procurement agency shall not participate in the evaluation of the **procurement projects for which they act as an agent. The list of members of the bid evaluation committee shall be kept confidential until the announcement of the bid evaluation results. Article 48 The purchaser or the procurement agency shall select evaluation experts through random drawing from the **procurement evaluation expert database established by the financial departments at the provincial level or above. For procurement projects that are technically complex and require high levels of expertise, and for which it is difficult to identify suitable evaluation experts through random selection, the purchaser may, with the approval of the budgetary authority in charge, select evaluation experts from the relevant professional fields on their own. Article 49: If, during the bid evaluation process, the composition of the bid evaluation committee does not comply with the provisions of these measures due to special reasons such as the absence of committee members, their withdrawal from the process, or health issues, the purchaser or the procurement agency shall, in accordance with the law, fill the vacancies and proceed with the bid evaluation. The evaluation opinions issued by the replaced members of the bid evaluation committee are invalid. If it is not possible to replenish the members of the bid evaluation committee in a timely manner, the purchaser or the procurement agency shall suspend the bid evaluation process, seal all bid documents as well as the materials related to the bid opening and evaluation, and re-form a bid evaluation committee in accordance with the law to carry out the evaluation. The evaluation opinions rendered by the original evaluation committee are invalid. The purchaser or the procurement agency shall record any changes or reconstitution of the bid evaluation committee, and file such records together with the procurement documents. Article 50 The bid evaluation committee shall conduct a compliance review of the bid documents submitted by qualified bidders to determine whether they meet the substantive requirements specified in the tender documents. Article 51: In the case of unclear statements in the bid documents, inconsistent expressions regarding similar issues, or obvious errors in wording and calculations, the bid evaluation committee shall require the bidder in writing to provide necessary clarifications, explanations, or corrections. The bidder’s clarifications, explanations, or corrections shall be in written form, stamped with the official seal, or signed by the legal representative or their authorized representative. The bidder’s clarifications, explanations, or corrections shall not go beyond the scope of the bid documents nor alter the substantive content thereof. Article 52 The bid evaluation committee shall, in accordance with the bid evaluation methods and standards specified in the tender documents, conduct commercial and technical evaluations of the bid documents that have passed the compliance review, and carry out comprehensive comparison and assessment. Article 53 The bid evaluation methods are divided into the lowest bid price method and the comprehensive scoring method. Article 54 The minimum bid price method refers to a bid evaluation method in which the bidder whose bid meets all the substantive requirements specified in the tender documents and whose bid price is the lowest becomes the candidate for winning the bid. For goods and services whose standards for technology, services, etc. are unified, the lowest bid price method should be adopted. When using the lowest bid price method for evaluation, no adjustments can be made to the bidders’ bid prices, aside from arithmetic corrections and price deductions required to comply with **procurement policies. Article 55 The comprehensive scoring method refers to a bid evaluation method in which the bidder whose bid documents meet all the substantive requirements specified in the tender documents and who obtains the highest score based on the quantitative criteria for the evaluation factors is considered the candidate for winning the bid. The evaluation criteria should be related to the quality of the goods and services provided by the bidders, including bid prices, technical or service standards, capacity to fulfill obligations, after-sales service, etc. Qualification requirements shall not be used as evaluation criteria. The evaluation criteria should be specified in the tender documents. The evaluation criteria should be detailed and quantified, and correspond to the relevant commercial terms and procurement requirements. Where business terms and procurement requirement criteria specify ranges, the evaluation factors should be quantified within those corresponding ranges, with different scores assigned to each range. During the bid evaluation, each member of the evaluation committee shall independently assess each bidder’s bid documents and compile the scores for each bidder. The price score of the goods items must account for no less than 30% of the total score ； The score for service items must account for no less than 10% of the total score. For projects that implement **uniform pricing standards and fixed-price procurement, the price is not considered a factor in the evaluation.** The price score should be calculated using the lowest-price priority method; that is, the bid that meets the requirements specified in the tender documents and has the lowest bid price serves as the benchmark for scoring, and its price score is given the full score. The price scores for other bidders are calculated uniformly using the following formula: Bid score = (Base evaluation price / Bid price) × 100. Total evaluation score = F1×A1 + F2×A2 + …… + Fn×An. F1, F2……Fn represent the scores for each evaluation factor respectively ； A1, A2, …… An represent the weights assigned to each evaluation factor (A1 + A2 + …… + An = 1). During the bid evaluation process, the highest and lowest bids in the list of prices must not be excluded. In the case of price adjustments implemented in accordance with **procurement policies, the adjusted prices shall be used to determine the base price for evaluation and the bidding prices. Article 56: When the lowest bid price method is used, the results of the bid evaluation are arranged in ascending order based on the bid prices. Ties when the bid prices are the same. The bidder whose bid documents meet all the substantive requirements specified in the tender documents and whose bid price is the lowest shall be the top-ranked successful bidder. Article 57: Where the comprehensive scoring method is adopted, the results of the bid evaluation shall be ranked in descending order based on the scores obtained after evaluation. In case of a tie, they are ranked in ascending order of bid price. Ties occur when the scores are equal and the bid prices are the same. The bidder whose bid documents meet all the substantive requirements specified in the tender documents, and who obtains the highest score based on the quantitative criteria for evaluation, shall be ranked as the top candidate for winning the bid. Article 58 The bid evaluation committee prepares a bid evaluation report based on the original bid evaluation records signed by all bid evaluation members and the bid evaluation results. The bid evaluation report shall include the following contents: (1) The name of the media in which the tender announcement was published, as well as the date and location of the bid opening ； (II) List of bidders and list of members of the bid evaluation committee ； (III) Bid evaluation methods and criteria ； (IV) Records of bid opening and evaluation, along with explanations, including a list of invalid bidders and the reasons therefor ； (5) The results of the bid evaluation, including the list of candidates selected as winners or the winner directly determined upon the entrustment of the purchaser ； (VI) Other circumstances that need to be explained, including clarifications, explanations, or corrections made by bidders in accordance with the requirements of the bid evaluation committee during the bid evaluation process, as well as the replacement of members of the bid evaluation committee. Article 59: If there is a discrepancy between the prices stated in the bid documents, unless otherwise specified in the tender documents, the following rules shall apply for correction: (1) If the contents of the bid opening schedule (price list) in the bid documents differ from the corresponding contents in the bid documents themselves, the bid opening schedule (price list) shall prevail ； (II) If the amount in capital letters and the amount in lowercase letters do not match, the amount in capital letters shall prevail ； (III) If there is a significant misalignment in the decimal point or percentage of the unit price, the total price listed in the bid breakdown shall prevail, and the unit price shall be adjusted accordingly ； (IV) If the total amount does not match the amount calculated based on unit prices, the result calculated using unit prices shall prevail. If two or more inconsistencies occur simultaneously, they shall be corrected in the order specified in the preceding paragraph. The revised quote becomes binding upon confirmation by the bidder in accordance with the provisions of Paragraph 2, Article 51 of these rules; if the bidder does not confirm it, their bid shall be invalid. Article 60 If the bid evaluation committee believes that a bidder’s bid price is significantly lower than those of other bidders who have passed the compliance review, and that this might affect product quality or prevent honest performance of the contract, it shall require such bidder to provide a written explanation within a reasonable time at the bid evaluation site, and submit relevant supporting documents if necessary ； If a bidder fails to justify the reasonableness of its bid, the evaluation committee shall deem it an invalid bid. Article 61 Where the members of the bid evaluation committee have disputes over matters that require joint determination, a decision shall be made in accordance with the principle of the minority yielding to the majority. Members of the bid evaluation committee who disagree should sign their dissenting opinions and reasons on the bid evaluation report; otherwise, it shall be deemed that they agree with the report. Article 62 The bid evaluation committee and its members shall not engage in the following behaviors: (1) Establishing contact with bidders in private from the time they participate in the bid evaluation until it is completed ； (II) Accept clarifications or explanations submitted by bidders that differ from those in the bid documents, except in the circumstances specified in Article 51 of these measures ； (III) Expressing biased opinions in violation of bid evaluation rules, or seeking biased opinions from the purchaser ； (IV) Negotiated scoring for subjective evaluation factors that require professional judgment ； (5) Failing to remain at one’s post during the bid evaluation process, thereby affecting the proper progress of the bid evaluation procedure ； (VI) Recording, copying, or taking away any bid evaluation materials ； (7) Other acts of failing to abide by the bid evaluation discipline. If a member of the bid evaluation committee commits any one of the acts listed in items 1 to 5 of the preceding paragraph, their evaluation opinions shall be invalid, and they shall not be entitled to remuneration for their evaluation work nor to reimbursement for travel expenses incurred when conducting evaluations in other locations. Article 63 A bid shall be invalid if the bidder falls under any of the following circumstances: (1) Failing to submit a bid security in accordance with the provisions of the tender documents ； (II) The bid documents are not signed and sealed in accordance with the requirements specified in the tender documents ； (III) Failing to meet the qualification requirements specified in the tender documents ； (IV) The bid amount exceeds the budget specified in the tender documents or the maximum limit set therefor ； (5) The bid document contains additional conditions that are unacceptable to the purchaser; (6) Other circumstances that render it invalid as stipulated by laws, regulations, and the bidding documents. Article 64: After the compilation of the bid evaluation results is completed, no one shall modify them, except in the following circumstances: (1) An error has occurred in the calculation of the total scores ； (II) Sub-item scores exceeding the range of the scoring criteria ； (III) When the members of the bid evaluation committee give different scores for the objective evaluation criteria ； (IV) Those deemed to have abnormally high or abnormally low scores by the bid evaluation committee. Before signing the bid evaluation report, if any of the above circumstances are identified upon rechecking, the bid evaluation committee shall modify the bid evaluation results on the spot and record it in the bid evaluation report ； After the bid evaluation report is signed, if the purchaser or the procurement agency discovers any of the above circumstances, it shall organize the original bid evaluation committee to conduct a re-evaluation. If the re-evaluation results in a change to the original bid evaluation outcome, a written report shall be submitted to the finance department at the corresponding level. If the bidder raises objections to the situation described in the first paragraph of this article, the purchaser or the procurement agency may organize the original evaluation committee to conduct a re-evaluation. If the re-evaluation results in a change to the original evaluation outcome, a written report must be submitted to the financial authorities at the corresponding level. Article 65: If the bid evaluation committee discovers that the tender documents contain ambiguities or significant defects that prevent the bid evaluation process from proceeding, or if the contents of the tender documents violate **relevant mandatory provisions, it shall suspend the bid evaluation process, communicate with the purchaser or the procurement agency, and make a written record of such communication. After confirmation by the procuring entity or the procurement agency, the bidding documents shall be amended and the procurement process shall be reorganized. Article 66 The purchaser and the procurement agency shall take necessary measures to ensure that the bid evaluation is conducted under strict confidentiality. Apart from the purchaser’s representatives and the personnel responsible for organizing the bid evaluation, no other employees of the purchaser or anyone not related to the bid evaluation process shall be allowed to enter the bid evaluation site. The relevant personnel are obligated to keep confidential the details of the bid evaluation as well as any **confidential or trade secrets learned during that process. Article 67 If the bid evaluation committee or its members are in any of the following situations that render the bid evaluation results invalid, the purchaser or the procurement agency may reconstitute a bid evaluation committee to conduct the evaluation, and shall submit a written report to the financial department at the corresponding level, except where the procurement contract has already been fulfilled: (1) The composition of the bid evaluation committee does not comply with the provisions of these measures ； (II) In the cases specified in items 1 to 5 of Article 62 of these Measures ； (3) Unlawful interference in the independent evaluation of bids by the bid evaluation committee and its members ； (IV) There are illegal acts as stipulated in Article 75 of the Regulations for the Implementation of the Procurement Law. Former members of the bid evaluation committee who have committed violations of laws or regulations shall not participate in the newly formed bid evaluation committee. Chapter 5 Award of Contract and Contract Article 68 The procurement agency shall submit the bid evaluation report to the purchaser within 2 working days after the completion of the bid evaluation. The purchaser shall, within 5 working days from the date of receipt of the bid evaluation report, determine the winning bidder in order from the list of candidates identified in the bid evaluation report. In the event that there is a tie among the candidates winning the bid, the purchaser or the evaluation committee appointed by the purchaser shall determine the winner of the bid in accordance with the methods specified in the tender documents ； If not specified in the tender documents, it shall be determined by random selection. If the purchaser organizes the bidding process on its own, it shall determine the winning bidder within 5 working days after the evaluation of bids is completed. If the purchaser fails to determine the winning bidder within 5 working days of receiving the bid evaluation report, in accordance with the order of candidates recommended in that report, and cannot provide a legitimate reason for this, it shall be deemed that the candidate ranked first as recommended in the bid evaluation report is the winning bidder. Article 69 The purchaser or the procurement agency shall, within 2 working days as of the date when the winning bidder is determined, announce the result of the bidding process in the media designated by the financial authorities at the provincial level or above; the bidding documents shall also be announced together with the result of the bidding process. The content of the winning bid announcement shall include the name and address as well as contact information of the purchaser and the procurement agency entrusted by it, the name and project number of the project, the name, address of the winner and the amount of the bid won, the name, specifications, model, quantity, unit price of the main items subject to the bid, the period for publishing the winning bid announcement, and the list of evaluation experts. The period for announcing the winning bid is 1 working day. Where the inviting tenderer uses a written recommendation method to identify qualified potential bidders, the list of all recommended suppliers along with the reasons for their recommendation shall also be published together with the results of the award. Upon announcing the results of the bidding, the purchaser or the procurement agency shall issue a notice of award to the winning bidder ； Bidders who fail the qualification review should be informed of the reasons for their failure ； When evaluation is carried out using a comprehensive scoring method, the unsuccessful bidders should also be informed of their respective scores and ranking. Article 70: After the notice of award is issued, the purchaser shall not unlawfully change the result of the award, and the winner shall not waive the award without proper reason. Article 71 The purchaser shall, within 30 days as of the date of issuance of the winning bid notice, enter into a written contract with the winner of the bid in accordance with the provisions of the tender documents and the bidder’s proposal. The contract signed shall not make any substantial changes to the matters specified in the tender documents or to the bidder’s submission. The purchaser shall not impose any unreasonable requirements on the winning bidder as conditions for signing the contract. Article 72 **A procurement contract shall include the names and addresses of the purchaser and the winning bidder, the subject matter, quantity, quality, price or remuneration, the time and place as well as the method of performance, acceptance requirements, liability for breach of contract, and methods for resolving disputes. Article 73 The purchaser and the winning bidder shall perform their contractual obligations in accordance with the law as stipulated in the contract. **The performance of procurement contracts, liability for breach of contract, and methods for resolving disputes are governed by the Contract Law of the People’s Republic of China. Article 74 The purchaser shall promptly inspect and accept the procurement project. The purchaser may invite other bidders for this project or third-party agencies to participate in the acceptance process. The opinions of the bidders or third-party agencies involved in the acceptance process are archived as reference material for the acceptance certificate. Article 75 The purchaser shall strengthen the performance management of the winning bidder and, in accordance with the terms of the procurement contract, pay the procurement funds to the winning bidder in a timely manner. In the event that the winning bidder violates the provisions of the procurement contract, the purchaser shall take prompt action to hold them accountable for their breach of contract in accordance with the law. Article 76: The procuring entity and procurement agency shall establish true and complete archives regarding tendering and procurement, and properly preserve the procurement documents related to each procurement activity. Chapter 6 Legal Liability Article 77 If a purchaser falls under any of the following circumstances, the financial authorities shall order it to make corrections within a specified time limit ； In cases of serious circumstances, a warning shall be given; the directly responsible supervisors and other directly responsible persons shall be subject to disciplinary action in accordance with the law by their administrative authorities or relevant agencies, and the matter shall be reported ； Those suspected of committing a crime shall be referred to the judicial authorities for handling: (1) Those who fail to prepare procurement requirements in accordance with the provisions of these measures ； (II) Violating the provisions of Paragraph 2, Article 6 of these Measures ； (III) Failing to determine the winning bidder within the specified time ； (4) Imposing unreasonable demands on the winning bidder as a condition for signing the contract. Article 78: If the purchaser or procurement agency falls under any of the following circumstances, the financial authorities shall order it to make corrections within a specified time limit; in cases of serious violations, a warning shall be issued. The persons in charge who are directly responsible, as well as other individuals directly liable, shall be subject to disciplinary action by their respective administrative authorities or relevant agencies, and the matter shall be reported accordingly ； If a procurement agency commits illegal gains, such gains shall be confiscated, and it may also be fined up to three times the amount of those illegal gains, with a maximum fine of 30,000 yuan; if there are no illegal gains, a fine of up to 10,000 yuan may be imposed: (1) In violation of the provisions of Paragraph 2, Article 8 of these measures ； (II) Those with a minimum price set ； (III) Failing to conduct prequalification or qualification assessment in accordance with the regulations ； (IV) Those that determine the price of the tender documents in violation of the provisions of these measures ； (5) Failing to record the entire bidding and evaluation process as required ； (VI) Terminating the bidding process without authorization ； (7) Failing to conduct the bid opening and organize the bid evaluation in accordance with regulations ； (8) Failure to return the bid security in accordance with regulations ； (IX) Conducting a re-evaluation in violation of the provisions of these measures, or re-forming an evaluation committee to carry out the evaluation ； (10) Releasing, prior to the bid opening, the names and numbers of potential bidders who have obtained the tender documents, or any other information related to the tendering process that could affect fair competition ； (11) Failure to properly preserve procurement documents ； (12) Other circumstances constituting a violation of the provisions of these Measures. Article 79: If any of the illegal acts specified in Articles 77 and 78 of these Provisions occurs, and such act continues to affect or may affect the outcome of the bidding process even after correction, it shall be handled in accordance with Article 71 of the **Regulations for the Implementation of the Procurement Law. Article 80 **If a party involved in procurement violates the provisions of these measures and causes losses to others, it shall bear civil liability in accordance with the law. Article 81: If a member of the bid evaluation committee commits any of the acts listed in Article 62 of these regulations, the financial authorities shall order them to make corrections within a specified time limit ； In cases of serious misconduct, a warning shall be given and such improper behavior shall be recorded. Article 82 The financial authorities shall perform their duties in supervising and managing procurement in accordance with the law. If the financial authorities and their staff engage in illegal or disciplinary acts such as negligence in performing their supervisory duties, abuse of power, dereliction of duty, or malpractice for personal gain while carrying out these responsibilities, they shall be held accountable in accordance with relevant provisions such as the Procurement Law, the Civil Servants Law of the People’s Republic of China, the Administrative Supervision Law of the People’s Republic of China, and the Regulations on the Implementation of the Procurement Law ； Those suspected of committing a crime shall be referred to the judicial authorities for handling. Chapter 7 Supplementary Provisions Article 83 **Special provisions regarding electronic bidding for the procurement of goods and services,** as well as bidding for imported mechanical and electrical products among the goods to be procured, shall be stipulated separately by the Ministry of Finance. Article 84: The term \"budgetary authorities\" as used in these regulations refers to **government agencies, public institutions, and organizational bodies** that are responsible for preparing departmental budgets and submitting them to the corresponding financial authorities. Article 85 Where a period is to be calculated on a daily basis as provided in these measures, the starting day is not included, and the calculation begins on the following day. If the last day of the deadline falls on a **legal holiday, it is postponed to the day following the holiday as the new last day of the deadline. Article 86: The terms “above”, “below”, “within” and “up to” as used in these Provisions include the stated number itself ； The so-called “shortfall” does not include the original quantity. Article 87 The financial departments of various provinces, autonomous regions, and municipalities directly under the Central Government may formulate specific implementation measures in accordance with these provisions. Article 88 These Provisions shall come into force as of October 1, 2017. The \"Measures for the Management of Bidding and Tendering for the Procurement of Goods and Services\" issued by the Ministry of Finance on August 11, 2004 (Ministry of Finance Order No. 18) is also repealed simultaneously.