Southern Africa Development Community Secretariat – Procurement and Grants Policy (f) Any other services provided under a National Monopoly; (g) acquisition of land, buildings or similar facilities; (h) direct acquisition (by SADC Secretariat) of commodities through the stock exchange mechanism; (i) employment contracts of any nature: part time, temporary or permanent duration; (j) procurement of any employment benefit related services (health insurance, pension fund, rental of house, etc); (k) education services other than training like services; (l) banking services (except financial services); and (m) petty cash transactions (e.g.: car fuel, parking tickets and toll fees, visa fees, passport fees, fees for various licenses, fiscal and judicial charges or any purchase of services and good which are defined in the SADC Secretariat Financial Regulation as petty cash transactions). (3) The SADC Secretariat shall adopt specific procedures for the acquisition of the services, goods and works which are exempt from this Policy in pursuant of paragraph (2) above. Article 4. Application of the Procurement Policy in relation to International obligations of the SADC Secretariat (1) To the extent that this Policy conflicts with an obligation of the SADC Secretariat under or arising out of any: (a) Treaty or other form of agreement to which the SADC Secretariat is a party, (b) Agreement entered into by the SADC Secretariat with an intergovernmental international financing institution or international donor, or (c) Agreement between the SADC Secretariat and any Member State of the SADC. the requirements of the treaty or agreement shall prevail; but in all other respects, the procurement shall be governed by this Policy. (2) SADC Secretariat works in close cooperation with various intergovernmental international financing institutions or international donors and Member States to implement jointly financed programmes, projects and/or activities. Whenever SADC Secretariat jointly co-finance programmes/projects/activities with other international organizations, donors or Member States it may allow the application of alternative procurement rules, including the national procurement rules, provided the SADC Secretariat is satisfied that those alternative procurement, financial management and monitoring procedures are acceptable to SADC Secretariat. Such exemption to the application of the SADC Secretariat Procurement Policy shall not prevent SADC Secretariat from conducting financial and procurement audits of the programme/project/activity. Whenever the financial or procurement audit identifies deviation from core SADC Secretariat Procurement Policy principles or SADC Financial Regulation, SADC Secretariat shall take the necessary remedy actions to protect its financial interest and safeguard the principles lay down in the SADC Secretariat Financial Regulations and Procurement Policy. (3) SADC Secretariat may delegate the implementation of its programmes/projects/activities to implementation structures in the Member States. In such cases, the procurement responsibility may be delegated to the respective implementation structure in the Member State, under the obligation of observing in full the provision of this Policy. All procurement processes conducted by SADC Secretariat implementation structures in the Member States using SADC Secretariat Funds, shall be subject to SADC Secretariat review, as defined in the SADC Secretariat procurement regulations. 8

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