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  "title": "PUNJAB SAFE MEDICAL SUPPLIES AUTHORITY ACT 2018",
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  "text": "THE PUNJAB SAFE MEDICAL SUPPLIES AUTHORITY ACT \r\n2018  \r\n(II of 2018) \r\nCONTENTS \r\n1. Short title, extent and commencement \r\n2. Definitions \r\n3. The Authority \r\n4. Composition of the Authority  \r\n5. Disqualification of members \r\n6. Functions of the Authority \r\n7. Categorization of storage premises \r\n8. Business and Scientific Board \r\n9. Chief Executive Officer \r\n10. Employees, etc  \r\n11. Committees \r\n12. Recovery of dues \r\n13. Delegation of powers \r\n14. Fund  \r\n15. Fees and charges \r\n16. Budget \r\n17. Accounts \r\n18. Bank accounts \r\n19. Audit \r\n20. Annual performance report \r\n21. Monitoring and evaluation \r\n \r\n \r\n22. Employees to be public servants  \r\n23. Indemnity \r\n24. Administrative penalty \r\n25. Rules \r\n26. Regulations \r\n \r\n \r\nTEXT \r\n1\r\nTHE PUNJAB SAFE MEDICAL SUPPLIES AUTHORITY ACT 2018 \r\n(II of 2018) \r\n[15 February, 2018] \r\nAn \r\nAct \r\nto establish an Authority for procuring drugs and medical equipment and providing \r\nthem to the public health facilities in the Punjab \r\nIt is necessary to establish an Authority for pu rposes of procuring quality \r\ndrugs and medical equipment and for effective administration for prompt and \r\nequitable distribution to the public health facilities in the Punjab; and, for ancillary \r\nmatters. \r\nBe it enacted by the Provincial Assembly of the Punjab as follows: \r\n1. Short title, extent and commencement .– (1) This Act may be cited as the \r\nPunjab Safe Medical Supplies Authority Act 2018. \r\n (2)  It extends to whole of the Punjab. \r\n(3)  It shall come into force on such date as the Government may, by \r\nnotification, specify and different dates may be so specified for different areas and \r\nfor different public health facilities. \r\n2. Definitions.– In this Act: \r\n(a) “Act” means the Punjab Safe Medical Supplies Authority Act 2018; \r\n(b) “Authority” means Punjab Safe Medical Supplies Authority; \r\n(c) “Chief Executive Officer” means the Chief Executive Officer of the \r\nAuthority; \r\n(d) “contract‟‟ means an agreement between the Authority and any other \r\nparty for the procurement of goods and services; \r\n(e) “drug” means any drugs inclu ding tablets, syrups, injections, enemas, \r\nointments, drops, creams, lotions, intravenous drips, serum and \r\nvaccines being used in the health facilities for any medical or surgical \r\ntreatment; \r\n(f) “equipment” means any biomedical apparatus or equipment and \r\nincludes any other article or machinery used in the health facilities; \r\n(g) “Government” means Government of the Punjab; \r\n(h) “health facility” means a first aid post, dispensary, basic health unit, \r\nrural health center, tehsil headquarters h ospital, district h eadquarter \r\nhospital (teaching and non -teaching), tertiary care hospital, children \r\nhospital, cardiology, urology, kidney or oncology center, center for \r\n                                                 \r\n1This Act was passed by the Provincial Assem bly of the Punjab on 31 January, 2018; assented to by the Governor of the \r\nPunjab on 15 February 2018; and, was published in the Punjab Gazette (Extraordinary), dated: 15 February 2018, pp. 5839-\r\n5845. \r\n \r\n \r\norgan transplant and any other health facility administered and \r\nmanaged by the Government or the Federal Government; \r\n(i) “member” means a member of the Authority and, unless the context \r\notherwise provides, includes the chairperson and the vice chairperson \r\nof the Authority; \r\n(j) “prescribed” means prescribed by rules or regulations; \r\n(k) “procurement” means the procurement of goods or services or both for \r\nthe health facilities in accordance with the Punjab Procurement Rules \r\n2014, and includes the goods or services procured on the request in \r\nwriting from a private health facility or trust hospital; \r\n(l) “regulations” means the regulations framed under the Act; \r\n(m) “rules” means the rules made under the Act; \r\n(n) “specifications” mean the specifications of a drug or equipment \r\nprescribed by the Authority; \r\n(o) “storage premises”  means any place for the storage of drugs or \r\nequipment or both; and \r\n(p) “transportation vehicle” means the vehicle deployed for the \r\ntransportation of drugs or equipment or both. \r\n3. The Authority .– (1) The Government may, by notification in the official \r\nGazette, establish Punjab Medical Supplies Authority for carrying out the purposes of \r\nthe Act. \r\n (2) The Authority shall be a body corporate, having perpetual succession \r\nand a common seal, with power to enter into contracts and acquire or, subject to \r\nsubsection (3), dispose of property, and may by its name, sue or be sued. \r\n (3) The Authority shall not dispose of any immovable property without prior \r\napproval, in writing, of the Government. \r\n(4) The headquarters of the Authority shall be at Lahore but the Authority \r\nmay, with the prior approval of the Gove rnment, establish its offices at such other \r\nplace or places in the Punjab as may be deemed necessary to accomplish the \r\npurposes of the Act. \r\n4. Composition of the Authority .– (1) The Authority shall consist of the \r\nchairperson who shall be appointed by the C hief Minister and the following \r\nmembers: \r\n(a) three members of Provincial Assembly of the Punjab to be nominated \r\nby the Speaker; \r\n(b) Parliamentary Secretary for Specialized Healthcare and Medical \r\nEducation;  \r\n(c) Secretary to the Government, Specialized Heal thcare and Medical \r\nEducation Department; \r\n(d) Secretary to the Government, Primary and Secondary Healthcare \r\nDepartment; \r\n \r\n \r\n(e) Secretary to the Government, Finance Department; \r\n(f) Secretary to the Government, Industries Commerce and Investment \r\nDepartment; \r\n(g) two renowned pharmacists; \r\n(h) two renowned professors of pharmacology; \r\n(i) one renowned biomedical or electrical engineer;  \r\n(j) one representative of Chamber of Commerce and Industry; and \r\n(k) Chief Executive Officer (Member/Secretary). \r\n (2) The Government may, by notification in the official Gazette, increase \r\nthe membership of the Authority if public interest so requires. \r\n(3) The Government shall, for a term of three years, nominate the members, \r\nother than ex officio members, but at least one female member shall be so nominated \r\nagainst the categories mentioned in clauses (a), (g) and (h) of subsection (1). \r\n (4) The Government may, at any time, remove the chairperson or member, \r\nother than ex officio member. \r\n(5) The chairperson or member may submit his resigna tion to the \r\nGovernment.  \r\n(6) The Government may designate a member of the Authority as vice \r\nchairperson of the Authority.  \r\n(7) The Vice Chairperson shall perform such functions as may be \r\nprescribed or as the Authority may assign. \r\n(8) No act or proceedings of the Authority shall be invalid merely on the \r\nground of the existence of any vacancy or defect in the constitution of the Authority.  \r\n5. Disqualification of members .– No person shall be appointed a member, or \r\nshall continue to be a member who:  \r\n(a) is or , at any time, has been convicted of an off ence involving moral \r\nturpitude; \r\n(b) is or, at any time, has been adjudicated as an insolvent;  \r\n(c) is found to be of unsound mind; and  \r\n(d) has a conflict of interest with the Authority and fails to disclose, in \r\nwriting, such conflict of interest to the Authority.  \r\n6. Functions of the Authority .– (1) The Authority may perform such functions \r\nand exercise such powers as may be necessary for carrying out the purposes of the \r\nAct.  \r\n(2) Without prejudice to the generalit y of the functions and powers under \r\nsubsection (1), the Authority shall:  \r\n(a) procure quality drugs and equipment at competitive rates for the health \r\nfacilities;  \r\n \r\n \r\n(b) prescribe the standards, procedures, processes and guidelines under \r\nthe Act with respect to the procurement of drugs and equipment for the \r\nhealth facilities; \r\n(c) prescribe the formularies and specifications of equipment for various \r\ncategories of health facilities; \r\n(d) conduct or cause to be conducted researches relevant to its functions \r\nunder the Act; \r\n(e) pre-qualify the firms, sole agents or authorized dealers for the \r\nprocurement of drugs and equipment; \r\n(f)  prescribe standards and procedures for the storage and supply of \r\ndrugs and equipment and ensure that the drugs are stored under the \r\nprescribed storage conditions; \r\n(g) establish premises and ware houses for drug storage as per best \r\ninternational practices or obtain such storage facilities from private \r\nsector; \r\n(h) prescribe guidelines for proper storage and disbursement of the drugs \r\nin a health facility; \r\n(i) ensure timely supply of drugs and equipment to each category of the \r\nhealth facilities; \r\n(j) devise an annual calendar for the procurement of drugs and \r\nequipment; and \r\n(k) perform such other functions as may be incidental to the functions \r\nmentioned above or as the Government may assign or as may be \r\nprescribed by rules. \r\n(3)  The Authority shall exercise its functions, as far as possible, in \r\naccordance with the well-established international best practices, scientific principles \r\nand procedures. \r\n7. Categorization of storage premises .– (1) The Authority shall, by \r\nregulations: \r\n(a) categorize storage premises for the storage of drugs or equipment or \r\nboth; and \r\n(b) prescribe the standards and procedures, based on established \r\nscientific principles and i nternational best practices for the storage and \r\ntransportation of drugs and equipment. \r\n(2)  The Authority shall issue a certificate for every storage premises and \r\ntransportation vehicle in the prescribed manner.  \r\n(3) The certificate issued under subsection  (2) shall be displayed at a \r\nconspicuous place of the storage premises or, as the case may be, the \r\ntransportation vehicle. \r\n8. Business and Scientific Board .– (1) The Authority shall establish a \r\nBusiness and Scientific Board, consisting of the following: \r\n(a) Chief Executive Officer; \r\n \r\n \r\n(b) one member possessing the prescribed qualification in pharmacy and \r\nhaving five years‟ experience of working in an organization established \r\nfor determining standards and quality of drugs; \r\n(c) one member possessing the prescrib ed qualification in biomedical or \r\nelectrical engineering and having five years‟ experience of working in \r\nan organization established for scientific or industrial research on \r\nbiomedical and allied equipment; \r\n(d)  one member possessing the prescribed qualifi cation in pharmacology \r\nand having five years‟ experience of working in a public sector medical \r\ncollege or medical university; \r\n(e)  one renowned surgeon or physician; \r\n(f)  one renowned businessman having experience in the procurement of \r\ndrugs and equipment; and \r\n(g)   two experts in procurement.  \r\n (2) The Chief Executive Officer shall be the convener of the Board. \r\n (3)  The Board may co-opt any other member from the relevant industry. \r\n(4)  The Authority shall determine the terms and conditions of the members \r\nof the Board, other than ex-officio members. \r\n(5)  The Authority may refer any matter relating to procurement to the \r\nBoard for recommendations. \r\n(6)  The Board may make recommendations to the Authority with respect to \r\nthe standards, products, procedures, pro cesses and guidelines in relation to any \r\ntechnical aspects of procurement. \r\n(7) The Authority may, after recording reasons, refer the recommendations \r\nto the Board for reconsideration either generally or any particular aspect of the \r\nrecommendations. \r\n(8)  The Board shall reconsider the case and shall again submit its \r\nrecommendations and the Authority shall act accordingly. \r\n9. Chief Executive Officer .– (1) Subject to the general supervision and control \r\nof the Authority, the administration and management of the affairs of the Authority \r\nshall vest in the Chief Executive Officer. \r\n(2) The Chief Executive Officer shall have such qualifications, experience, \r\nage and other requirements, shall receive such salary and allowances, and be \r\nsubject to such conditions of servi ce as may be prescribed by rules, and until so \r\nprescribed, as the Government, on the recommendations of the Authority, may \r\ndetermine. \r\n(3) The Chief Minister shall appoint the Chief Executive Officer. \r\n(4)  The Chief Executive Officer shall be the whole time  officer of the \r\nAuthority and shall exercise such powers and perform such functions as may be \r\nprescribed or as the Authority may delegate. \r\n10. Employees, etc .– (1) The Authority may, on such terms and conditions as \r\nmay be prescribed by regulations, appoint  advisors, consultants, experts or other \r\n \r\n \r\nadministrative and technical personnel necessary for the discharge of its functions \r\nunder the Act. \r\n (2) The Government may, with the concurrence of the Authority, transfer \r\nthe services of any of its employees to the Authority. \r\n(3)  The Authority may, with the concurrence of the employee and the \r\nGovernment, absorb the services of the employee into its service on the terms and \r\nconditions as are acceptable to the employee and approved by the Government. \r\n(4)  The terms a nd conditions of the service of an employee transferred \r\nfrom the Government shall not be less favourable than those in his parent \r\ndepartment.  \r\n11. Committees.– (1) The Authority may constitute standing or special \r\ncommittees by such nomenclature as it deems  necessary and assign functions to \r\neach such committee. \r\n(2) The committee may consist of the members and such other persons as \r\nmay be necessary. \r\n12. Recovery of dues.– Any sum due to the Authority from any person under the \r\nAct, shall be recoverable as arrears of land revenue under the Punjab Land Revenue \r\nAct, 1967 (XVII of 1967). \r\n13. Delegation of powers .– The Authority may delegate any of its functions to \r\nthe chairperson, vice -chairperson, a member, Chief Executive Officer, committee or \r\nan employee of the Authority, except the following functions: \r\n(a) adaptation, amendment or repeal of regulations; \r\n(b) approval of annual budget of the Authority; \r\n(c) consideration and decision on the audit reports; \r\n(d) approval of policies, standards, procedures and guidelin es for the \r\ndischarge of functions by the Authority; \r\n(e) approval of the annual reports; and \r\n(f) constitution of the committees and filling a vacancy in a committee. \r\n14. Fund.– (1) There shall be a Fund to be known as Punjab Safe Medical Supplies \r\nAuthority Fund. \r\n(2) The Fund shall vest in the Authority and shall be utilized by the \r\nAuthority to meet its expenses including the payment of salaries and other \r\nremuneration to the members, officers, employees, experts, advisers and \r\nconsultants. \r\n(3)  The Fund shall consist of: \r\n(a)  loan and grant by the Government or the Federal Government or from \r\nany other source; \r\n(b) fee, charges and other moneys received by the Authority; \r\n(c)  income from lease or sale of the property; and \r\n(d)  all other sums received by the Authority. \r\n \r\n \r\n(4) The Authority shall not incur any loan without prior approval of the \r\nGovernment. \r\n(5) The Authority shall frugally meet all its expenses from the Fund.  \r\n15. Fees and charges .– The Authority may, with the prior approval of the \r\nGovernment, impose fees and charges for the services it renders. \r\n16. Budget.– (1) The Chief Executive Officer shall prepare the budget of the \r\nAuthority for each financial year commencing on first day of July of a year and \r\nending on thirtieth day of June of the succeeding year. \r\n(2) The Chief Executive Officer shall place the budget for approval before \r\nthe Authority at least ninety days prior to the commencement of a financial year. \r\n(3) After the Authority has approved the Budget, the Chief Executive \r\nOfficer shall submit the budg et to the Government for sanction at least sixty days \r\nprior to the commencement of a financial year. \r\n17. Accounts.– The Authority shall maintain proper accounts and other relevant \r\nrecords and prepare annual statement of accounts in such form and manner as may \r\nbe prescribed.  \r\n18. Bank accounts.– The Authority may open and maintain its accounts at such \r\nscheduled banks as may be prescribed, and until so prescribed, as the Authority \r\nmay determine. \r\n19. Audit.– (1) The Auditor General of Pakistan shall conduct au dit of the \r\naccounts of the Authority.  \r\n(2) In addition to the audit under subsection (1), the Authority may appoint \r\na firm of chartered accountants placed in category „A‟ by State Bank of Pakistan, for \r\nthe annual audit of the accounts of the Authority.  \r\n(3)  The auditors appointed under subsection (2) shall submit the report to \r\nthe Authority and the Government and the Authority shall take such action and make \r\nsuch decisions as may be necessary in the light of the audit report or as directed by \r\nthe Government. \r\n20. Annual performance report.– (1) The Authority shall prepare and forward to \r\nthe Government by 30 October each year, the annual performance report. \r\n(2)  The report shall consist of: \r\n(a)  the statement of accounts and audit reports of the Authority; \r\n(b)  a comprehensive statement of the work and activities of the preceding \r\nfinancial year and its proposed projects and schemes; and \r\n(c)  such other matters as may be prescribed or as the Authority may \r\nconsider appropriate or as the Government may direct. \r\n(3)  The Government may, after considering the report, issue such \r\ndirections to the Authority as may be necessary for carrying out the purposes of the \r\nAct and the Authority shall implement such directions. \r\n \r\n \r\n21. Monitoring and evaluation. – (1) The Government m ay, at least once in a \r\nyear, conduct or cause to be conducted, the performance audit of the Authority to \r\nassess and evaluate the performance of the Authority in accomplishing the \r\nobjectives of the Act.  \r\n(2) The Government shall evaluate the report and shal l issue such \r\ndirections to the Authority as may be necessary and the Authority shall implement \r\nthe directions. \r\n22. Employees to be public servants .– The chairperson, vice chairperson, \r\nChief Executive Officer, members, officers and other personnel of the Au thority, \r\nacting or purporting to act in pursuance of any of the provisions of this Act, shall be \r\ndeemed to be public servants within the meaning of section 21 of the Pakistan Penal \r\nCode, 1860 (XLV of 1860).  \r\n23. Indemnity.– No suit, prosecution or other le gal proceedings shall lie against \r\nthe Authority, the chairperson, vice chairperson, member, officer, servant, expert or \r\nconsultant of the Authority in respect of anything done or intended to be done in \r\ngood faith under the Act. \r\n24. Administrative penalty .– (1) A person who fails to display the certificate \r\nissued to him under section 7 of the Act or removes the certificate or tempers with or \r\ndefaces or mutilates the certificate in any manner whatsoever shall be guilty of an \r\noffence and may, in the prescribed manner, be awarded administrative penalty which \r\nmay extend to five hundred thousand rupees but which shall not be less than twenty \r\nfive thousand rupees. \r\n (2) In case the offence under subsection (1) is repeated, the maximum \r\nadministrative penalty of rupee s five hundred thousand shall be awarded and, in \r\naddition, the competent authority may, in the prescribed manner, decide to nullify the \r\ncontractual arrangement with such person and cancel the licence or permit issued to \r\nhim.  \r\n(3) Any person aggrieved by a final order under subsection (1) or \r\nsubsection (2) may, within thirty days of the receipt of order, submit a representation \r\nto the appellate committee constituted by the Authority and the decision of that \r\ncommittee shall be final. \r\n25. Rules.– The Governmen t may make rules for carrying out the purposes of \r\nthis Act. \r\n26. Regulations.– Subject to this Act and the rules, the Authority may, by \r\nnotification, frame regulations to give effect to the provisions of the Act.",
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