Regulations for Contracting and Purchasing Security Guard Services

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Important Notice and Disclaimer

  • This document is the exclusive property of the Expenditure and Projects Efficiency Authority, and this entire document, including the terms of this important notice, must be read.
  • Public entities may disclose the content of this document or part thereof to their consultants and/or contractors provided that this notice is included.
  • Any use or actions arising from this document or part thereof by any party, including public entities and/or their consultants and/or contractors, shall be at the full responsibility of that party, and they bear the associated risks.
  • The Authority discharges itself to the fullest extent permitted by law from any obligations to any other party, regardless of how they arise, in connection with or related to the use of this document (including losses or compensations of any nature, whether due to negligence, default, or otherwise).
  • The validity of this document and its contents shall apply according to the terms contained herein and as of the date of its issuance.

1- Policy Introduction

  • With reference to paragraph (1) of Article (Four) of the Statute of the Expenditure and Projects Efficiency Authority, issued by Council of Ministers Decision No. (389) dated 1442/7/11 AH, which stipulates that the Authority is competent to set policies, strategies, plans, programs, standards, and guidelines related to its competencies, in coordination with the concerned entities, and to follow up on their implementation after approval. Based on paragraph (1) of Article (Six) of the Implementing Regulation of the Government Tenders and Procurement Law, issued by Royal Decree No. (M/128) dated 1440/11/13 AH, which provides that the Authority shall prepare business and procurement strategies that define contracting and purchasing controls and quantities, taking into account the provisions of Article (Fourteen) of the Law, with the aim of unifying specifications among beneficiary entities in accordance with their actual needs, enhancing operational efficiency, and reducing the risks of service execution failure through clarity of technical requirements, thereby ensuring the improvement of execution quality and raising spending efficiency in these services, in accordance with best practices.

  • In this context, a technical committee of specialists in the field of security guard services and contract management was formed based on the letter of His Excellency the Minister of Finance, Chairman of the Board of Directors of the Expenditure and Projects Efficiency Authority, No. (8270) dated (1446/9/11 AH). The committee commenced its work by studying the current situation and challenges related to the procurement of security guard services, starting from the planning stage until the tendering stage.

  • During this process, numerous workshops were held with the concerned government entities to collect the necessary data and information, and to identify considerations related to issuing controls consistent with the Government Tenders and Procurement Law issued by Royal Decree No. (M/128) dated 1440/11/13 AH, its Implementing Regulation issued by the Minister of Finance Decision No. (1242) dated 1441/3/21 AH, as amended by Ministerial Decision No. (3479) dated 1441/8/11 AH, Ministerial Decision No. (451) dated 1444/4/7 AH, and Ministerial Decision No. (1090) dated 1445/9/21 AH. This resulted in the preparation and issuance of contracting and purchasing controls for security guard services. Accordingly, these controls shall apply as complementary to the provisions of the Government Tenders and Procurement Law, its Implementing Regulation, and other applicable provisions. These controls shall not be interpreted or applied in a manner that contradicts any provision contained in the Law or the Regulation. Furthermore, the absence of a specific provision in these controls does not exempt the entity or the contractor from complying with any legally established requirements or provisions.

  • These controls constitute a mandatory reference for government entities, which must adhere to them when preparing the terms of reference and specifications related to the procurement of security guard services. It is important to emphasize that the content of these controls does not replace any laws or legislations in force in the Kingdom of Saudi Arabia. In the event of any conflict between the provisions of these controls and any of those legislations or their updates, the reference shall be to those legislations, and the government entities bear the responsibility to comply with them.

  • The Expenditure and Projects Efficiency Authority, in cooperation with stakeholders, shall review and update these controls periodically in line with relevant developments. The Authority shall also announce the updated versions after completing the statutory procedures, to be applied and adhered to by government entities.

2- General Terms

3- Security Guard Services

Human security services provided by institutions and companies licensed by the High Commission for Industrial Security include the provision of trained security personnel, aimed at securing facilities, assets, and events, as well as protecting individuals and property, to achieve a safe environment, provide comprehensive protection, and maintain public security.

4- Purpose of the Regulations

Establishing a regulatory framework for the operations and procurement of security guard services in all government entities. This is to achieve the government’s direction towards spending efficiency by maximizing impact relative to expenditure through optimal resource utilization, reducing excessive costs, and avoiding waste, in addition to contributing to the improvement of service levels and guarding operations.

5- The objective of the regulations

  • The establishment of a comprehensive framework for the procurement and contracting of security guard services achieves the following objectives:

    • A- Enhancing the efficiency of procurement operations from planning to tendering.
    • B- Unifying the terms and standards applied to the procurement of security guard services among government entities.
    • C- Improving the quality of security guard services.
    • D- Reducing costs associated with security guard services.
    • E- Ensuring contractors' compliance with specified standards and specifications.
    • F- Enhancing efficiency and effectiveness in the management of security guard services.

6- Scope of the Regulations

7- Legal References

  • The application of these regulations is based on a number of statutory references, royal orders, and issued decisions as follows:

    • A- The Statute of the Expenditure and Projects Efficiency Authority issued by Council of Ministers decision No. (389) dated 11/7/1448 AH.
    • B- The Government Tenders and Procurement Law issued by Royal Decree No. (M/128) dated 13/11/1440 AH, its executive regulations issued by Minister of Finance decision No. (1242) dated 21/3/1441 AH, as well as its updated executive regulations issued by ministerial decision No. (1090) dated 21/9/1445 AH.
    • C- Council of Ministers decision No. (245) dated 29/3/1441 AH, regarding the approval of the regulations for preferring local content, local small and medium enterprises, and companies listed on the financial market in works and procurements for the year 1441 AH.
    • D- The Law of Private Security Services issued by Royal Decree No. (M/24) dated 8/7/1426 AH, and its executive regulations issued by ministerial decision No. (170/H/D) dated 5/5/1427 AH.
    • E- Ministerial decision No. (3011) dated 18/8/1442 AH, regarding the approval of the regulations for bid evaluation criteria.
    • F- The circular telegram of His Excellency the Head of the Royal Court No. (74395) dated 27/11/1443 AH concerning the gracious approval of the Council of Ministers’ directives regarding the final minutes of the study on setting a minimum wage for employees under private security contracts in government entities.

1- Determining the need and estimating the total cost

  • The government agency must adhere to the following regulations in all works and purchases of security guard services when determining the need:

    • 1-1 The government agency must inventory and identify the essential basic data necessary to estimate the need, provided that this data includes - at a minimum - the following information:

        • City
        • Building name
        • Total internal area (in square meters)
        • Total length of paved roads (km)
        • Total length of unpaved roads (km)
        • Number of work shifts and their occupancy rates
        • Number of internal and external facility entrances/gates (entrances requiring security guards)
        • Number of critical points inside the facility (requiring security guards)
        • Number of monitoring rooms
        • Areas covered by technical surveillance systems (not requiring security guards)
        • Number of official security guards (government agency employees)
        • Number of two-wheel drive vehicles owned by the government agency
        • Number of four-wheel drive vehicles owned by the government agency
        • Facility status (existing/non-existing)
        • Year of operation
        • Probability of security risks
        • Severity of impact on operational processes
        • Evaluation of current security systems
    • 1-2 The government agency must use the operational data form prepared by the Authority to determine the need and the estimated cost based on the data that has been inventoried and identified to estimate the need.

    • 1-3 The government agency must estimate the expected competition cost through market study and use appropriate methods and sources to estimate prices such as:

        • Comparing prevailing market prices.
        • Analyzing prices of previous projects or related items.
        • Studying internally and externally approved price references.
        • Estimated costs prepared by the Expenditure and Projects Efficiency Authority.
        • Price data issued by competent authorities - if available -.

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