RESTRICTED
WORLD TRADE GPA/W/39
17March 1997
ORGANIZATION(97-1060)
Original: English Committee onGovernment Procurement
REQUEST FOR INFORMATION PURSUANT TOPARAGRAPHS 1
AND 3OFARTICLE XIXOFTHE AGREEMENT
ONGOVERNMENT PROCUREMENT
Communication from Japan
Thefollowing communication, dated 10March 1997, hasbeenreceived fromthedelegation
ofJapan withtherequest thatitbedistributed totheMembers oftheCommittee onGovernment
Procurement.
_______________
TheGovernment ofJapan (GOJ) reiterates itsconcern about consistency withtheWTO
Agreement onGovernment Procurement (GPA) oftheapplication andimplementation ofthe"Act
Regulating StateContracts withCompanies Doing Business withorinBurma (Myanmar)" (hereinafter
referred toasthe"Act") enacted on25June1996 bytheState ofMassachusetts.
TheActeffectively restricts stateagencies ofMassachusetts including alltheexecutive offices
toprocure anygoods orservices from anyperson ontherestricted purchase listestablished and
maintained bytheState.
ItistheGOJ'sunderstanding thatalloftheeleven executive offices inMassachusetts covered
under theUnited States commitment specified inAnnex 2inAppendix IoftheGPAarecurrently subject
totheAct,andthatlisted entities include more thanthirty Japanese-owned companies.
TheGOJ, pursuant toparagraphs 1and3ofArticle XIXoftheGPA, hereby requests the
Government oftheUnited States toprovide thefollowing information. Thisinformation isneeded
todetermine whether therelevant provisions oftheActareconsistent withtherequirements ofthe
GPA.
(1) Acopyofthefulltextof"AnActRegulating StateContracts withCompanies Doing
Business withorinBurma (Myanmar)" enacted on25June1996 bytheState of
Massachusetts andacopyofthelatest restricted purchase listissued bytheState.
(2) Information onamethod ofpublication oftheActasrequired byparagraph 1of
Article XIXoftheGPA.
(3) Information onprocedures forrenewing therestricted purchase listandthemethod
ofpublication ofthislistasrequired byparagraph 1ofArticle XIXoftheGPA.
(4) Information onanycommunication orguidance between theUnited States federal
agencies andthestageagencies ofMassachusetts regarding theadoption ofprocurement
procedures andarestricted purchase listasstipulated intheAct.GPA/W/39
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(5) Information onbidchallenge procedures available regarding procurement bythe
executive offices oftheState ofMassachusetts.
(6) Anexample oftender documentation stipulating, inaccordance withparagraph 2(h)
ofArticle XIIoftheGPA, thecriteria forawarding thecontracts tobeused in
government procurement covered bytheAct.
(7) Anexample ofacase, ifany,inwhich anytenderer ontherestricted purchase list
hasactually beenexcluded from consideration fortheaward ofacontract based on
Section 22H(a) oftheAct,orhasbeenawarded acontract inspiteofthelegislation.
(8) Information onanexplanation concerning theconsistency oftherequirements under
theActwiththefollowing provisions oftheGPA:
(a) Article III,paragraph 1
Under theAct,isasupplier ofaforeign country which isaParty totheGPA onthe
restricted purchase list,interms ofrequirements forqualifications andaward ofthe
contracts, given atreatment lessfavourable thanthataccorded tonon-listed suppliers
either oftheUnited States orofanother party totheGPA?
(b) Article III,paragraph 2(a)
Under theAct,isalocally-established supplier ontherestricted purchase list,who
isthemajority-owned subsidiary ofaperson whose principal place ofbusiness is
Myanmar, subject toalessfavourable treatment?
(c) Article VIII, paragraph (b)
Does theActimpose onatendering company conditions which arenotessential to
ensure thesuppliers 'capability tofulfil thecontract inquestion?
(d) Article X,paragraph 3
Does theActvirtually limit thenumber ofsuppliers qualified toparticipate in
procurement forthereasons other thantheefficient operation oftheprocurement
system?
(e) Article XIII, paragraph 4(b)
Pursuant toSections 22Gand22H(d) oftheAct,maytheentity notaward thecontract
tothesupplier onthatlistwhosubmitted thelowest bidifthere isaresponsive and
responsible bidwhich isnomore than10percentgreater thanthatlowest bid?
(9) Information onwhatspecific action, ifany,theUnited States Federal Government has
taken, orintends totake, inresponse to:
(a) thecurrent legislation;
(b) acase, ifany,inwhich theUnited States Federal Government identifies
inconsistency withanyprovision oftheGPA.GPA/W/39
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(10) Updated information onsimilar statelawsandregulations enacted ordrafted inany
other states, oranystatelegislation tobeapplied tosuppliers doing business withor
inanycountry other thanMyanmar.
Ifanyofthedocuments orinformation provided involves confidentiality, theGOJundertakes
torespect suchconfidentiality andtousesuchdocuments andinformation forthesolepurpose of
determining whether therelevant provisions oftheActareconsistent withtherequirements oftheGPA.
Asprovided forunder paragraph 2ofArticle XIXoftheGPA, ifrelease ofthedocuments and
information would prejudice competition infuture procurement, theGOJwillconsult withtheUnited
States Government prior torelease.