Government of the Federated States of Micronesia

A Proposed Law to Exempt Certain Projects from Public Bidding

PALIKIR, Pohnpei (FSM Information Service): September 21,
1997 – FSM President Jacob Nena, on October 17, 1997, transmitted
to Congress for its favorable consideration proposed legislation that
would allow an exemption from the public bidding requirement where it
is obvious that there can and will be one bidder.

Nena used Pohnpei Transportation Authority (PTA) as an example.
PTA is the only entity on Pohnpei with the ability to make asphalt
and to pave roads with asphalt.

“It makes no sense,” Nena stated, “to endure the delay of public
bidding where it is obvious in advance that there can be only one
bidder.”

Although, details regarding a new sole source exemption can be
handled through amendment of the FSM Financial Management
Regulations, Nena stated, creating this or any exemption must be done
by enacting a law or statute.