Hong Kong barristers propose two-envelope tenders and a safety points system to curb repair bid-rigging

Under the two-envelope plan, which would be written into the Building Management Ordinance, bidders on owners' corporation works above a set value would hand in technical and price proposals separately. The price envelope stays sealed until the technical proposal clears a published minimum score, and the scoring criteria and weightings would be disclosed to all owners, The Standard and Dimsum Daily reported. Each tenderer above the threshold, consultants included, would file a standard safety record form, and anyone below the bar would be ruled out.

Under the Buildings Ordinance, the association wants a demerit system. Contractors who build up too many points through safety convictions or disciplinary violations would be barred for a set period from owners' corporation projects and from minor works above a designated value, and the ban would extend to related companies and the people controlling them. Contractors, consultants, registered structural engineers and authorized persons would have to disclose safety records and declare actual or potential conflicts of interest. The association also supports a criminal offense for bid-rigging in the Competition Ordinance, kept in parallel with today's civil enforcement, with double-jeopardy safeguards.

A task force began the work in January and reviewed laws in seven overseas jurisdictions, The Standard reported. The association said its report was prepared without using the independent committee's findings on the fire or the government's reform package, and offered to work with officials as they prepare amendments to six ordinances.

The government already plans to criminalize bid-rigging, with prison terms of up to 10 years, and to screen consultants and contractors for major maintenance through a pre-qualified list. On a TVB program, Security Secretary Chris Tang admitted it would not be easy to keep that list completely clean, and said a task force of the Competition Commission, the police and the ICAC would act as a backstop.