NATIONAL CONSTRUCTION

AUTHORITY

DRAFT
REGULATIONS, 2012

Issued by:

Hon. Chris M. Obure, EGH, MP

Minister for Public Works

OCTOBER, 2012
TABLE OF CONTENT

1. PART I-PRELIMINARY
2. PART II - PROVISIONS RELATING TO REGISTRATION OF CONTRACTORS
3. PART III – PROVISION RELATING TO REGISTRATION AND OWNERSHIP STRUCTURE OF JOINT
VENTURE/S REGARDING LOCAL - FOREIGN CONSTRUCTION WORKS CONTRACTS OR PROJECTS
4. PART IV – PROVISIONS RELATING TO IDENTIFICATION AND REPORTING OF CONSTRUCTION
WORKS CONTRACTS OR PROJECTS BY EMPLOYER/CLIENT
5. PART V - PROVISIONS RELATING TO CERTIFICATION AND ACCREDITATION OF SKILLED
CONSTRUCTION WORKERS AND CONSTRUCTION SITE SUPERVISORS
6. PART VI - PROVISIONS RELATING TO ACCREDITATION OF TRAINING INSTITUTIONS,
PROMOTION, COORDINATION AND TRAINING PROGRAMMES IN THE CONSTRUCTION
INDUSTRY.
7. PART VII - PROVISIONS RELATING TO COLLECTION AND PAYMENT OF THE CONSTRUCTION
LEVY
8. PART VIII -LEGAL PROCEDURE, EVIDENCE AND ENFORCEMENT
9. Consequential provisions.
10. Transitional provision

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LEGAL NOTICE…………….

NATIONAL CONSTRUCTION AUTHORITY ACT, 2011

(No. 41 of 2011)
IN EXERCISE of the powers conferred by section 42 of the National Construction Authority Act, 2011
the Minister for Public Works makes the following regulations.

THE NATIONAL CONSTRUCTION AUTHORITY REGULATIONS, 2012

PART I-PRELIMINARY
1. Citation and Commencement
These regulations may be cited as National Construction Authority regulations, 2012 and shall
come into operation on the date/month 2012
2. Interpretation
In these Regulations, unless the context otherwise requires;
“accreditation” means, the act of granting credit or recognition with respect to an institution that
maintains suitable standards and has issued certificates to any person under the Act.

"authorized officer" means an employee of the Authority who is authorized by the Board, through
delegation or otherwise, to carry out its functions and mandate under the Act.

"certificate of registration" means a certificate of registration issued under regulation 4(10) of this
regulation.
“code of conduct” means the code of conduct developed and published in accordance with sec
5(2)(m) of the Act.
“construction procurement” means procurement in the construction industry, including the
invitation, award and management of contracts;
"construction worker" means a natural person who is qualified to carry out any of the works
described in the Third Schedule of the Act.

“contract sum” means the tender value, tendered price, contract value or project value as agreed
and signed between the contractor and the employer/client

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“employer/client” means a person, body of persons or organ of state who enters into a main
contract with a contractor for the provision of construction works;
“financial sponsorship” means a financial sponsorship contemplated in regulation 8(10)
‘’Investigating committee’’ means a committee of the Board mandated to investigate matters of
misconduct or otherwise as under the Act
“joint venture” means a grouping of two or more contractors or financial institution/s with a
contractor/s who jointly and severally undertake to perform construction works.
“net asset value” means the sum of a person’s equity, retained income and shareholders or
members loans;
“practical completion certificate” means a certificate issued in terms of a building works contract
by the employer/client, signifying that the scope of work as tendered have reached a state of
readiness for occupation or use for the purposes intended;
“taking-over certificate” means a certificate issued in terms of a civil works by the employer/client,
signifying that the scope of work as tendered have reached a state of readiness for occupation or
use for the purposes intended;
“main contract” means a contract of construction works that do not form part of the scope of work
of another contract;
“main contractor” means a person registered under section 15 of the Act whose construction
works do not form part of the scope of work of another contractor.
‘Sub-contractor’ means a person whose contract works forms part of the main contractor’s works.
“principal” means a natural person who is a partner in a partnership, a sole proprietor or a director
in a company.
“programme” means a series of activities aimed collectively at a predefined outcome;
“qualified person” means a person who is recognized by virtue of his or her training and
experience as having the necessary qualifications to undertake construction works in a specific
category as contemplated in regulation 11(3)
"skills assessment" means an assessment conducted by or on behalf of the Authority of the skills in
the class of works of a skilled construction worker or a construction site supervisor who is to be
accredited.

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 "test" means a test conducted by or on behalf of the Authority on the theoretical knowledge,
communication skills and other required skills of a construction site supervisor or a construction
worker.

PART II - PROVISIONS RELATING TO REGISTRATION OF CONTRACTORS

Qualification for registration as contractor

3. Subject to the provisions under section 15 and 16 of the Act, a person or firm shall be eligible
for registration if the person ;-
(a) holds a certificate of incorporation from the Registrar of companies either as a limited
liability company, partnership or sole proprietorship;
(b) in case of a limited liability company, the Memorandum and Articles of Association is
certified by the Registrar of companies,
(c) has a technical director who shall be authorized by the Board through Board resolution
to take responsibility on all technical matters.
(d) provides the Authority with the curriculum vitae for each Director / Partner.
(e) Provides the Authority with the PIN, VAT and Tax compliance.

Application for registration as contractor

4 (1) Further to the provisions of sec. 17 of the Act and regulation 3 above, a person or a firm shall be
eligible for registration as a contractor on application to the Authority.
(2) The application shall be made in the prescribed form and on payment of a prescribed fee and shall
be accompanied by:-
(a) Certified copies of certificates and other relevant documents as are necessary to
prove qualification for registration.
(b) Certified copies of the shareholders’ certificates of the company; and
(c ) in the case of a trust, a copy of trust deed as contemplated in The Trust Property Act.
(d) a complete financial statements of the person or firm for three immediate financial
years preceding the application.

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 (3)The Board may call for further particulars of the person or firm that includes but not limited to:
(a) certified copies of the identity documents of the principal or principals of the
firm;
(b) where there are more than twenty principals, certified copies of the identity
documents of only twenty principals may be submitted;
(c) in the case of a foreign contractor , proof of current registration status from
their country of domicile or origin further to the provisions of section 18 of the
this Act;
(d) in the case of a foreign contractor, sufficient proof of financial capability of the
contractor;
(e) proof of employment of qualified persons by the contractor;
(f) in the case of an application relating to specialized works, a certified copy of the
current license issued by the relevant statutory regulatory Authority or
organization.
(4) A person or a firm may be registered in more than one class of construction works but may hold
only one category of registration in relation to a particular class of construction works at any one given
time.
(5) If an application in relation to this regulation is made on the world wide web (electronically), the
supporting documentation referred to in sub-regulation (3) must be submitted to the Authority’s
headquarters office by registered mail or be hand delivered.
(6) An application shall not be considered duly completed as contemplated in this regulation, unless
such submission has been received by the Authority.
(7) The Authority may reject an application by a person/firm within 60 days of making such application
if such person does not fully comply with requirements set by the Authority.
(8) The application for registration shall be in English.
(9) A register of registered person/firms shall be kept in accordance with section 19 of the Act.
(10) A person who qualifies for registration will be issued with a “Certificate of Registration”

Exemption from registration for local contractors

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 5. Any skilled construction worker or/and a construction site supervisor carrying out construction
works stipulated under section 16 (1) para two ((i and ii) of this Act.

Renewal of registration

6.(1) A person or firm shall submit an application to the Authority on payment of a prescribed fees and
in a prescribed form and the Authority shall process the application in accordance with the provisions
of regulation 4.
(2)The person or firm shall also submit proof of membership of good standing with a recognized
Contractor’s Association.
(3) The Board may register a person or firm and or a contractor under any other category other than
the one applied for if it so deem appropriate.
(4) The Authority shall inform such applicant of its decision within 60 working days of the said decision.
(5) If a person/firm/contractor or applicant is aggrieved by the decision of the Board as in sub-
regulation 6(3) in relation to the category the Board has recommended, such person may submit in
writing a petition indicating the reasons of such grievance, sufficient to justify review of the
assessment by Authority.
(6)The Authority shall within 60 days of such a petition notify the person/firm/contractor or applicant
of the Board’s final decision on both the applications.
(7) A person/firm/contractor or applicant aggrieved by the decision of the Board may prefer an
application to the Appeals Board.

Application for upgrading

7(1) A contractor shall make an application to the Authority on payment of a prescribed fee in a
prescribed form and the Authority shall process the application in accordance with the provisions
of regulation 4.
(2)A contractor shall submit proof indicating construction works contracts completed by the applicant
prior to an application for upgrading.

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(3) The Board may make a decision regarding the category in which a contractor may be registered,
other than the one applied for by the contractor.
(4) The Authority shall notify the contractor in writing of such decision within 60 days.
(5) A contractor may submit a petition for first appeal in writing to the Authority, if aggrieved by the
decision of the Board as in sub-regulation 7(3) within 30 days of such notification.
(6) The petition shall indicate the reasons which justify review or re-assessment of the Board’s
decision.
(7)The Authority shall within 60 days of such a petition notify the contractor of the Board’s
final decision on both applications.
(8) A contractor may submit in writing a petition for second appeal against the final decision of the
Board to the Appeals Board as under section 27 of the Act, if aggrieved of such decision in sub-
regulation 7(7).
(9) previous records of a contractor shall be reflected in any future application made by such
contractor for the purpose of determining the category of registration of the contractor.
(10) The Authority may transfer the records in its custody of one contractor to another contractor and
treat them as if they were the same entity for the purpose of assessment in the event of;-
(a) first contractor being a sole proprietor, partnership or trust, establishes a
company as under the Companies Act;
(b) legal change of name of the person;
(c) reconstruction of a company;
(d) amalgamation of companies;
(e) takeover of a company.

Registration of foreign Contractors

8 (1) Subject to the provision of Section 18 of the Act, a foreign person or a firm shall be eligible for
registration as a contractor on application to the Authority in the prescribed Form on payment of the
prescribed fees.
(2) The application shall be accompanied by:-
(a) contractor’s financial statements on the date of the applicable financial year;

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 (b) detailed information on the value of construction works or projects done and completed
in other jurisdictions.
(c) proof of plant, equipment and machines holding
(d) detailed information of previous construction works carried out in other jurisdictions to
qualify such person or firm to be registered under category NCA-1 of the Regulation.
(e) an undertaking that the person or firm shall transfer technical skills not available locally
to a local/s as the Board may determine from time to time.
(f) a foreign person or firm shall submit an undertaking in writing to the Authority that it
shall not source for any other construction works contract or project during the period
of the existence of the construction works contract or project of the given works.
(g) Any other requirement that the Board shall determine from time to time.
(3) The foreign person or firm shall demonstrate to the satisfaction of the Board of its capacity to carry
out the construction works or project that falls within category NCA-1.
(4) Such registration for construction works contract or project shall;
(a) be valid for the period of the construction works contract or project in question;
(b) be for category of construction works of NCA-1 for all classes of contracts in the third schedule
of the Act.
(c) be renewable every calendar year, subject to which the registration shall stand cancelled by
the Board.
(5) Application for renewal of the license shall be submitted to the Authority in writing 60 days before
the expiry of such license.

PART III – PROVISION RELATING TO REGISTRATION AND OWNERSHIP STRUCTURE OF JOINT

VENTURE/S REGARDING LOCAL - FOREIGN CONSTRUCTION WORKS CONTRACTS OR PROJECTS

Registration of Joint venture/s

9(1) The Authority shall register joint ventures on application made in writing by the person/s who
intends to enter into such joint venture agreement/s.
(2) Such applications shall be made to the Authority in writing and on payment of a prescribed fee and
in a prescribed form and shall include the following details;

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 (a) the sum of the annual turnover of all the members to the joint venture;
(b) the sum of the available capital of all the members to the joint venture;
(c) the total number of equivalent full-time employed qualified persons in the construction
works contract;
(d) category in which the joint venture wishes to be registered; and
(e) Plant, equipment and machine holding of the joint venture/s.

Ownership structure

10(1) Local - foreign joint venture/s for construction works or projects to be on at least thirty percent
(30%) local and balance foreign, save for where there is an existence of a mutual agreement between
Government of Kenya and development partner .
(2) Funds or proceeds of the construction works shall be shared in line with the arrangements as in
sub-regulation 10(1) above.
(3)The contract worker/employee shall be competitively recruited from the local market;
(4) Recruitment or employment of foreign technical or skilled workers on such contract shall be done
on such occasion that such skills are not available locally and subject to accreditation by NCA.
(7) The Authority may give such exemption on this regulation as the Board may deem appropriate.

PART IV – PROVISIONS RELATING TO IDENTIFICATION AND REPORTING OF CONSTRUCTION WORKS

CONTRACTS OR PROJECT BY EMPLOYER/CLIENT

Registration of construction works contract or projects.

11(1) All construction works contracts or projects either in the public or private sector shall be
registered with the Authority in accordance with the Act.
(2) An employer/client shall make an application for registration of a project to the Authority in writing
within 30 days from the date on which a construction works tender, contract or a project is accepted
by a contractor registered under this Act.

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(3)Such application for registration of a project or contract shall be made before the commencement
of such construction works contract or project in a prescribed form and on payment of 0.5% of the
contract sum or as the Board may prescribe from time to time.
(4) The employer/client shall indicate in the application referred to in sub regulation 11 (2),
whether;
(a) the project being registered relates to a project that consists of a series of contracts;
(b) such project relates to joint ventures;
(c) the nature of funding, whether funded by government, donor or co-funded by government and
donor/s;
(d) the project being registered relates to a programme, if any;
(e)the project relates to a public-private partnership; and
(f) the employer acts on behalf of a client.-
(5) An employer/client shall ensure that construction works contract or projects is awarded to a
person, firm or contractor registered under this Act.
(6) The Authority shall, within 30 days from receipt of the duly completed application in terms of sub-
regulation 11(2) and (3) register the construction works contract or project and issue a compliance
certificate/license.
(7)The employer/client shall in relation to a construction works contract or project registered in
accordance with this Act submit to the Authority in a prescribed form, within 30 days of its occurrence,
information relating to: -
(a) issue of a practical /taking over completion certificate;
(b) whether the contract is renewed or contract period extended;
(c) whether the contract is cancelled or terminated; and or
(d) settlement of all amounts/sums owing to the contractor
(8) An employer/client shall notify the Authority of any arbitration entered into or litigation initiated in
relation to a construction works contract or project registered under this Act within 30 days from the
date of commencement of such arbitration, litigation or any other form of dispute resolution
mechanism.

Representative of employer/client.

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12. (1) The employer/client shall on filing a prescribed form, submit such form to the Authority
indicating a person who shall act as a representative/authorized contact person to liaise with the
Authority and the project.
(2) An employer/client shall notify the Authority in writing and within 30days, if such a representative
as in sub-regulation 12(1) ceases to act as such.
(3)Any client/employer who fails to notify the Authority that the representative under sub-regulation
12(1) has ceased to be his representative within the period stated under this regulation, in respect of
any construction contract, shall be guilty of an offence and shall on conviction be liable for a fine not
exceeding Ksh.1,000,000/-

PART V - PROVISIONS RELATING TO CERTIFICATION AND ACCREDITATION OF SKILLED

CONSTRUCTION WORKERS AND CONSTRUCTION SITE SUPERVISORS

Class of accreditation of construction workers and site supervisors.

13. The Authority shall accredit and certify all construction workers and construction site supervisors in
accordance with section 5(2) (l) and the Third Schedule of the Act.

Classes of skilled construction workers

14.(1) The Authority shall register skilled construction worker in accordance with one or more of the
class of works provided in the Third Schedule of the Act.
(2) Such construction worker shall be registered to carry out, or undertake to carry out construction
works for or on behalf of another person, for a fixed sum, percentage, value, consideration, wages or
other reward.

Classes of construction site supervisor

15. A construction site supervisor shall be accredited in accordance with the provision of the Act in
one or more of the classes of works provided in the Third Schedule to undertake supervision and co-
ordination of construction workers or other workmen undertaking the same class of work for or on

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behalf of another person for a fixed sum, percentage, or valuable consideration, wages or other
reward.

Eligibility for accreditation

16. (1) A construction site supervisor or a construction worker shall be eligible for accreditation, or for
renewal of accreditation, if such construction site supervisor or worker;-
(a) possesses such qualifications set by the Authority in line with the class of contract works set out
in the Third Schedule of the Act, which such worker or supervisor has applied for accreditation
or renewal of accreditation or
(b) possess such other qualifications that, in the opinion of the Authority, are equivalent to those
qualifications so specified, and has the practical experience (whether in Kenya or elsewhere)
that complements such qualifications or
(c) although not having set requirements in sub-regulation (a) and(b) has satisfied the Authority
that such applicant possess such practical experience, such as to render the applicant
competent to be accredited as a construction worker or site supervisor at the discretion of the
Authority or
(d) has successfully undergone such skills assessment as the Authority may conduct for this
purpose.
(2) A person shall be eligible for accreditation or renewal of accreditation as a construction site worker
if such person ;-
(a) has successfully completed such bridging course as may be conducted by or on behalf of
the Authority;
(b) possess such experience (whether in Kenya or elsewhere) that, in the opinion of the
Authority, complements the required qualifications; or
(c) although not having complied with the requirements of sub-regulation (2)(a-b)has
satisfied the Authority that such person possesses such other qualifications and/or
experience, knowledge and skills that, in the opinion of the Authority is/are equivalent
to those prescribed in the class applied for, for accreditation or renewal for
accreditation.

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(3) The Authority shall also consider the conduct/character while making decision on accreditation of
the applicant.
(4) Authority may make inquiries and investigations that are reasonable and appropriate in any given
circumstances of each case so as to be satisfied of the knowledge, skills and experience of such
applicant.
(5) The Authority may also conduct skills assessment and referee checks while making decision to
accredit or renew accreditation of an applicant.
(4) A person accredited as a construction site supervisor in any of the classes of construction works
shall be deemed to have been accredited as a construction worker for the same class as in the Third
Schedule of the Act.

Validity of accreditation for construction site supervisor and construction worker

17. (1) Every accreditation of a construction worker or construction site supervisor under these
regulations shall be valid for a period of 36 months.
(2) Renewal of such accreditation shall be for a similar period of time upon expiry of the said period.

Application for accreditation and renewal of accreditation

18.(1) Every application for accreditation and renewal of accreditation shall be in writing and shall be
made by the construction site supervisor or worker to the Authority in prescribed form and on
payment of the applicable fee as determined by the Board.
(2) Every applicant under this regulation shall attend personally before or after the application to
provide any additional information, if so required in writing by an authorized officer of the Authority.
(3)Where an applicant for accreditation fails, without reasonable excuse, to comply with any
requirement of the authorized officer under sub-regulation 18(2), the Authority may reject such
application.
(4) Subject to regulation 16 above and upon receiving an application to accredit any applicant under
sub-regulation 18(1), the Authority shall consider the application and may;-

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 (a) accredit the applicant as construction worker or construction site supervisor in one
or more classes specified in regulation in the Third Schedule of the Act or as the
Authority may deem fit;
(b) reject the application for accreditation.
(5) Where the Authority has accredited an applicant or renewed such accreditation as construction
worker or site supervisor, it shall issue a certificate of such accreditation, specifying the class of such
accreditation.

Application to renew accreditation

19. (1) An application to renew the accreditation of any construction worker or site supervisor shall be
in writing and submitted to an authorized officer of the Authority, as in a prescribed form and on
payment of such fees as may be prescribed by the Board from time to time.
(2) Such application shall be made not later than 30 days before the expiry date of the accreditation
certificate.
(3) Renewal of such accreditation shall be for a further period of 36 months upon receipt of such
application by the Authority as under sub-regulation 19(1).

Cancellation of accreditation of construction worker or construction site supervisor

20. (1) The Authority may reject an application of any construction worker or construction site
supervisor if such applicant;-
(a) presents a false document for accreditation;
(b) Knowingly makes use of any document of accreditation that is false;
(c) impersonates any other person named in any certificate of accreditation;
(2) Such case shall be considered an offence punishable under this Act and such applicant shall be
guilty of an offence and upon conviction, shall be liable to a fine not exceeding Kshs.50,000/= or
imprisonment for two months or both.
(3) Subject to sub-regulation 20(1), the Authority may suspend or order cancellation or refuse to
accredit any construction worker or site supervisor if:—

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 a) such applicant has knowingly allowed details of such accreditation to be included in
the manpower programme for more than one construction works contract or
projects carried out at the same time;
(b) such applicant is convicted of any offence under this Act.
(c) it is in the public interest or national security of the Republic of Kenya.
(d) any other reason the Board may determine from time to time.
(4) The Board shall not exercise its powers under sub-regulation 20(3) unless an opportunity of being
heard has been given to such applicant against whom the Authority intends to exercise such powers.
(5) An applicant whose accreditation as a construction worker or construction site supervisor has been
suspended or cancelled under this regulation shall, within 14 days after being notified by the Authority
of such cancellation, surrender to an authorized officer certificate of accreditation, failing which the
applicant shall be guilty of an offence under the Act.
(6) The Authority shall cancel the accreditation of every deceased construction worker or construction
site supervisor upon notification to the Authority or on the Authority’s own volition.

PART VI - PROVISIONS RELATING TO ACCREDITATION OF TRAINING INSTITUTIONS, PROMOTION,

COORDINATION AND TRAINING PROGRAMMES IN THE CONSTRUCTION INDUSTRY.

Qualification for Accreditation as a training centre

21(1) Subject to the provisions of section 5(2)(j) and other enabling provisions under this Act, a public
or private training institution shall be eligible for accreditation as a training centre for skilled
construction workers and site supervisors if such institution possess such legal, capacity and human
resource requirement that the institution ;-
(a) is recognized by the relevant institution/ministry responsible for training in
the given field in the construction for the time being in force.
(b) Is registered and incorporated in Kenya for the purpose of training for the
construction industry.
(c) if foreign, shall be incorporated and have a board of management with
expertise and experience relevant to the field of training relevant for the
construction industry.

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(2) The institution shall also possess such human resource capacity requirements that includes but not
limited to;-

(a) having a professional and a full-time Principal Trainer with a minimum qualification of a
Diploma from a recognized institution and a minimum of five (5) years working
experience in the relevant field;
(b) have a minimum of three resource persons with a minimum of Diploma in the related
field from a recognized institution and three years working experience in the relevant
field;
(c) proof of being in possession/availability of adequate training personnel with necessary
qualification, knowledge, skills and experience for the training of related programs; and
(d) any other requirement as may be approved by the Board from time to time.

(3) The Authority shall be satisfied that the Training Centre or venue has such necessary facilities that
meets such requirements set by the Board from time to time that includes and not limited to;-

(a) training institution, shall submit to the Authority either the title deed as evidence of
ownership or registered long term lease agreement to cover the duration of the course
or any other documentation as the Board may approve from time to time.
(b) training centre or venue shall have appropriate and adequate training facilities and tools
which shall conform to the acceptable occupational health and safety standards.
(c) being in possession or having the ability to hire training facilities that includes plants,
equipment, machines or any other facility necessary for training of such workers in the
construction industry.
(d) Any other requirement as the Board may approve from time to time.

(4) The institution shall submit to the Authority in writing proof of approval of course content of
programmes offered in such institution together with their certificate for approval of such programme
with the relevant authorities, bodies or institutions.

Application for accreditation of Training Centre/Institutions or Venues

22.(1) An application for accreditation shall be made by the training institutions in the construction
industry to the Authority.

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(2) Such an application shall be in writing and shall be made in a prescribed form and upon payment of
the prescribed accreditation fees as approved by the Board from time to time.

Particulars to be contained in register of accredited training center/institution or venue

23. The Authority shall keep a register of training centers/institutions or venues in relation to such
accreditation and shall reflect-
(a) the name of the centre;
(b) the category of accreditation ;
(c) The shareholders or sponsors of the centre
(d) The board of management for that centre;
(e) Any branches of that centre;
(f) Affiliation to other training or education providers
(g) Any other criteria as may be determined by the Board from time to time.

Renewal of accreditation of training center/institution or venue

24. The accreditation of the training centers/institution or venue shall be made to the Authority, in
writing in a prescribed form and on payment of a prescribed annual renewal fee and submission of
annual returns in a prescribed form.

Change of particulars for a training center/institution or venue

25.(1) An accredited training institution which changes the physical address shall notify the Authority
within a period of not less than 30 days before the change of such address;

(2)The Authority shall carry out an inspection on the new physical address on payment of fees as in
form 3a (i) , following which a new certificate may be issued.

(2) An accredited training institution/centre which intends to change the name shall notify the
Authority of intention to effect the name change not less than 14 days before an application of such
change is submitted to the Registrar of Companies.

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(3) The institution/centre shall submit the new registration certificate to the Authority within 14 days
of the change of name and the Authority shall issue a certificate to the applicant institution/centre
upon surrender of the previous certificate.

(4) An accredited training institution who for any reason has replaced the principal trainer shall notify
the Authority within 14 days and shall submit the particulars of such person and certificates with
respect to the qualifications of the new principal trainer.

(5) an accredited institution/centre who for any reason has changed the particulars contained in this
regulation shall notify the Authority not more than 14 days before application to the relevant
approving bodies.

(6) the institution/centre shall submit the new certificate to the Authority within 14 days of
registration.

( 7) An institution/centre that has closed its business shall surrender a certificate issued to it by the
Authority on such closure.

Unsuccessful application for accreditation by Institution /Centre

26. (1) An applicant whose application for accreditation is not successful in accordance with regulation
25 may appeal in writing in a prescribe form and on payment of a prescribed fees as to the Authority
within sixty 60 days, giving reasons why the institution/centre considers that their application should
be considered for review of accreditation .
(2)The Authority shall respond to the applicant’s appeal within 30 days either confirming accreditation
or declining to grant such accreditation.
(3) The training institution aggrieved by the decision of the Authority in sub-regulation 27(2) may
appeal to the Appeals Board established under Section 27 of the Act.

PART VII - PROVISIONS RELATING TO COLLECTION AND PAYMENT OF THE CONSTRUCTION LEVY

Employer/Client to report

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27(1) Every client/employer shall notify and submit to the Authority in a prescribed form the details of
any contract or project which it has awarded to a contractor, whose sum or value exceeds Kshs.
5,000,000/-for the purpose of payment of the construction levy provided under section 31 of the Act.

(2) The Authority shall notify the employer /client of the amount of levy to be paid in respect of the
contract in sub-regulation (1) within 14 days of receipt of the employer/client notification and the
levy shall be paid before the commencement of the contract works.

(3) The levy shall be paid to the Authority or its authorized agents at such office or place as may be
determined in writing or press notification by the Authority.

(4) Any client/employer who fails to pay the amount of the construction levy in respect of any
construction works contract within the period stated under sub-regulation28(2) shall be guilty of
an offence and shall on conviction be liable for a fine not exceeding Ksh.1,000,000/=

(5) Notwithstanding the provisions of sub-regulation 28(4) the above, the amount of construction levy
payable under this sub-regulation shall be recoverable from the employer/client as a civil debt due
to the Authority.
(6) the Authority may suspend, cancel or revoke the registration of a contractor, where that
contractor commences construction works for which the client/employer has not paid the amount
of the construction levy as provided in this regulation.

(7)Where more than one contractor are employed to undertake a construction project, the main
contractor is liable to ensure that the client/employer has paid the whole amount of the construction
levy to the Authority.
(8) All sub-contract works which constitute part of a main contract for which a construction levy has
already been imposed shall not be subjected to the payment of additional levy under this regulation.

PART VIII -LEGAL PROCEDURE, EVIDENCE AND ENFORCEMENT

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Suspension

28. (1) The registration of a contractor who remains in arrears in respect of the payment of annual fees
for a period of 90 day, shall be suspended by the Authority in accordance with the provision of section
24 of the Act, until such arrears are paid in full or arrangement for such payment made with the
Authority to its satisfaction.
(2) The registration of a contractor whose conduct is under investigation shall be suspended until
finalization of the inquiry.
(3)The Authority shall revoke the construction license of such contractor for the period of the
suspension
(4) Any contractor whose registration has been suspended may not enter into any new contract until
such suspension has been lifted provided that the Authority may further stop the execution of the
subject project in public interest.
(5) The Authority shall inform the employer/client of any suspension of a contractor working with him.

Deregistration

29.(1) If a contractor has not rectified his or her failure to comply with these Regulations as
contemplated in regulations 29 one year after the suspension, the contractor shall be removed from
the register of contractors.
(2) Notwithstanding sub regulation (1), the name of a contractor shall be removed from the register of
contractors if such a contractor has;-
(a) permanently been prohibited from submitting a tender offer or is blacklisted in terms of
any legislation;
(b) been found guilty in terms of regulation 31 of any non-compliance with Code of
Conduct.
(c) has failed to comply with the provisions of Regulation 28 with regard to the payment of
the construction levy.
(d) has been declared bankrupt
(e) if the company ceases to exist as a legal entity

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(3) the Authority shall publish in the newspapers the name of any contractor who has been
deregistered and shall direct that all construction contracts being executed by that contractor be
terminated within 30 days of the publication.

Application of code of conduct

30. The Authority shall publish a code of conduct to which shall govern the conduct and practice of
contractors and construction personnel as under the Act.

Preliminary investigation of complaint or suspicion

31. (1) If the Authority has; –

(a) received a complaint from any person who is aggrieved by an action taken in
terms of the code of conduct or an omission to take such action; or
(b) reasonable grounds to suspect that a person has acted contrary to, or has
omitted to act in terms of the code of conduct,
the Authority shall appoint an investigating officer to investigate that complaint
or suspicion.
(2) If the complaint or the suspicion implicates a person who is employed by an organ of state other
than the Authority, the Authority shall ;-
(a) refer that complaint or suspicion to the accounting officer or accounting authority
or any other supervisory person or body, having control over that person, of the
organ of state concerned for the purpose of dealing with the complaint in terms of
the applicable disciplinary procedure and submit a copy of the referral to the Audit
Committee of the organ of state concerned and the Auditor-General-Kenya National
Audit Office; or
(b) if the person against whom the complaint is lodged or the suspicion exists is the
accounting officer or a member of the accounting authority, refer that complaint
or suspicion to the Audit Committee of the organ of state concerned and the
Auditor-General- Kenya National Audit Office.

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(3)The investigating officer shall, before commencing with the preliminary investigation, verify whether
the following criteria have been met:
(a) the Authority has jurisdiction to investigate the complaint or suspicion; and
(b) reasonable grounds exist for the complaint or suspicion.
(4) If, after the verification contemplated in sub-regulation (3), the investigating officer finds that
any of the criteria in that sub-regulation have not been met, he or she shall inform the Authority
thereof, together with the reasons for his or her findings.
(5) Upon receipt of the findings of the investigating officer contemplated in sub-regulation
(6), the Authority shall inform the complainant of its findings.
(7) If the investigating officer is satisfied that any of the criteria referred to in sub-regulation (3) have
been met, he or she shall –
(a) investigate the matter; and
(b) obtain evidence to determine whether the Authority may take any action as
contemplated in the Act and these Regulations against the person implicated by
the complaint or suspicion.
(8) An investigating officer may not question the person implicated by the complaint or
suspicion unless he or she informs that person that he or she —
(a) has the right to be assisted or represented by another person;
(b) has the right to be assisted by an interpreter;
(c) is not obliged to make any statement; and
(d) that any statement so made may be used in evidence against him or her.
(9)The investigating officer shall, after the conclusion of the investigation, submit a report to the
Authority which contains at least-
(a) the evidence obtained;
(b) his or her conclusions and the reasons therefore;
(c) whether, in the opinion of the investigating officer, the person implicated by the
complaint or suspicion or any other person failed to comply with the provisions
of the code of conduct; and
(d) a recommendation regarding the action that the Authority should take.

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(10) The Authority shall, after due consideration of the report of the investigating officer referred to in
sub-regulation (8), act in accordance with the recommendation of the investigating officer if the
Authority is satisfied that sufficient ground exist for such action.
(11) Where an organ of state, other than the Authority, undertakes an investigation and the findings of
that organ of state indicates that a person acted contrary to or has omitted to act in terms of the code
of conduct, that organ of state shall provide the Authority with its findings and all other documentation
relevant to its investigation.
(12)Upon receipt of the findings and documentation contemplated in sub-regulation (10) the Authority
shall refer the matter to the investigating officer appointed by the Authority as contemplated in sub-
regulation (1).
(13) The investigating officer shall, within 30 days of the referral by the Authority referred to in sub-
regulation (11) submit a report to the Authority which contains at least a statement on whether, in the
opinion of the investigating officer, the person implicated by the investigation of the organ of state
has acted contrary to or has omitted to act in terms of the code of conduct or failed to comply with the
provisions of the Act and the Regulations; and a recommendation regarding the action that the
Authority should take.

Formal inquiry
32(1)If, after due consideration of the report of the investigating officer referred to in regulation 31,the
Authority is satisfied that sufficient grounds exist for the institution of a formal inquiry into the
complaint or suspicion, it shall -
(a) notify the person referred to in regulation 31(8) in this regulation hereafter
referred to as the respondent, in writing –
(i) of its decision to institute a formal inquiry;
(ii) of the details and nature of the complaint or suspicion that was
investigated and the charges;
(iii) that the respondent shall, within 30 days after receipt of the notification,
in writing-
(aa) admit or deny the charges; and
(bb) indicate whether he or she requests the assistance of an interpreter;

24
 (b) attach an extract of Part VII of these Regulations to the notice referred to in
sub-regulation 32(1)(a); and
(c) appoint a committee as contemplated in sub-regulation (6), hereafter referred to
as the Investigation committee.
(2) If the charges referred to in sub-regulation (1)(a)(ii) relate to a possible contravention of the Act,
the Authority shall serve a copy of that notice on the client or employer with whom the respondent
has entered into, or attempted to enter into a contract to perform the construction works concerned.
(3) The Authority shall, after the expiry of the 30 days period referred to in sub-regulation
(1) (a) (iii), notify the respondent in writing -
(a) of the date, time and place where the formal inquiry will be held by the
Investigating committee, irrespective of whether the respondent replied to the
notice or not, or whether he or she admitted or denied the charges;
(b) that should the respondent fail to appear, the Registrar shall request the
Investigating committee to take cognizance of the evidence in the respondent’s
absence;
(c) that should the Investigating committee grant the Registrar’s request
contemplated in sub regulation (b), the Registrar shall submit the evidence to
the Investigating committee; and
(d) that the Registrar shall request the Investigating committee to make a finding in
the respondent’s absence based on the evidence at hand and to decide on an
appropriate sanction;
(4)The Investigating committee may find the respondent guilty of the charge and sanction him or her in
accordance with sub-regulation (15) without hearing any evidence if the respondent admits that he or
she is guilty of the charge as contemplated in sub-regulation (1)(a)(ii) and -
(a) provides mitigating circumstances to the Investigating committee; or
(b) if the respondent does not provide mitigating circumstances to the Investigating
committee, but the Investigating committee is satisfied that a reasonable time
had lapsed for the respondent to provide such mitigating circumstances despite being
notified that the proceedings may continue in his or her absence even without he or she
providing the Investigating committee with the mitigating circumstances.

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(5) If the respondent, after being duly notified by the Authority as contemplated in sub- regulation (3),
fails to attend the proceedings, the Investigating committee may proceed with the formal inquiry in
the absence of the respondent if -
(a) there is no information at the disposal of the Investigating committee to show
sufficient cause for the respondent’s failure to attend the proceedings;
(b) the Investigating committee and the respondent had not reached an agreement
regarding motion proceedings; and
(c) it is fair, reasonable and in the interest of justice to do so in the circumstances.
(6) The Investigating committee appointed by the Authority in terms of sub-regulation (1)(c) shall
consist of at least -
(a) two persons who have professional knowledge in the fields relevant to the
inquiry; and
(b) a person qualified in law, who shall act as the chairperson of the Investigating
committee.
(7) The Investigating committee may, for the purposes of this regulation, appoint a person to assist it in
the performance of its functions.
(8) (1) Subject to the provisions of Section 27 of the Act, the Investigating committee may for the
purposes of a formal inquiry, summon any person-
(a) who may be able to give material information concerning the subject of
the formal inquiry; or
(b) who it suspects or believes has in his or her possession or custody or
under his or her control any book, document or object which has any
bearing on the subject of the formal inquiry, to appear before the
Investigating committee at the time and place specified in the summon,
to be questioned or to produce that book, document or object.
(9)A summon issued in terms of regulation 31(8)(1) shall -
(i) be in the form as shown in form 4 of this regulation.
(ii) be signed by the chairperson of the committee or, in his or her absence,
any member of the committee; and
(iii) be served on the person concerned as contemplated in regulation 35

26
(10) The Investigating committee may retain a book, document or object produced in terms of sub-
regulation (8) for the duration of the formal inquiry.
(11)The chairperson of the Investigating committee may, at the formal inquiry, call upon and
administer an oath or take an affirmation from any witness who was summoned in terms of sub-
regulation (8).
(12) The Investigating committee may permit any information it requires to discharge its duties in
terms of this Part, including evidence on mitigating and aggravating circumstances, to be brought to its
attention through a process similar to motion proceedings (excluding exparte applications).
(13) The Investigating committee may only permit a process similar to motion proceedings –
(a) if the Authority and the respondent or his or her representative agree thereto;
(b) if there is no dispute between the Authority and the respondent
or his or her representative, relating to any material question of fact; and
(c) in respect of those relevant facts which is not in real dispute.
(14)(1) The decision of the Investigating committee to permit a process similar to motion proceedings
does not prevent the Investigating committee, Authority or respondent or his or her representative,
from permitting, requesting or insisting, as the case may be, that verbal evidence be led on facts
pertaining to a dispute between the Authority and the respondent and his or her representative.
(15)(2)Despite this sub-regulation, the Investigating committee may only permit alternative dispute
resolution proceedings if the principles of natural justice will not be compromised.
(16) At a formal inquiry the respondent -
(a) (i) may personally be present at the inquiry of the proceedings;
(ii) may be assisted or represented by another person in conducting the
proceedings;
(iii) may request the assistance of an interpreter;
(iv) has the right to be heard;
(v) may call witnesses;
(vi) may cross‐examine any person called as a witness in support of the
charge;
(vii) may have access to documents produced in evidence;
(viii) may call anyone to produce any book, document or object in his or her
possession or custody or under his or her control; and

27
 (ix) may advance arguments in support of his or her defense;
(b) (i) may admit at any time before the Investigating committee gives its
verdict, that he or she is guilty of the charge referred to in sub-regulation
(1)(a)(ii), despite the fact that he or she may have denied responsibility in terms
of sub-regulation (1)(a)(ii); and
(ii) may, in the case where he or she makes an admission in terms of
sub-paragraph (i), be found guilty of the charge referred to in sub-
regulation (1)(a)(ii); and
(c) may, in the event of him or her being found guilty in terms of sub-regulation
(17) Present mitigating circumstances to the Investigating committee by addressing the Investigating
committee, calling witnesses or presenting facts to the Investigating committee through any process
permitted by the Investigating committee.
(18) A witness in a formal inquiry may not –
(i) without sufficient cause, fail to attend the inquiry at the time and place
specified in the summon;
(ii) refuse to be sworn in or to be affirmed as a witness;
(iii) without sufficient cause, fail to answer fully and satisfactorily to
the best of his or her knowledge to all questions lawfully put to
him or her; or
(iv) fail to produce any book, document or object in his or her possession or
custody or under his or her control which he or she
has been required to produce.
(b) A witness in a formal inquiry shall–
(i) remain in attendance until excused by the Investigating committee
from further attendance;
(ii) appear at a later date and time to continue with his or her testimony, as
warned by the Investigating committee.
(c) the law relating to privilege, as applicable to a witness summoned to give
evidence or to produce a book, document or object in a civil trial before a court
of law applies with the necessary changes, to the examination of, or the

28
 production of any book, document or object to the Investigating committee by, a
witness in the formal inquiry.
(d) The record of evidence which has a bearing on the charge before the
Investigating committee and which was presented before any commission which
investigated an event or conduct is admissible without further evidence being
led if -
(i) the record is accompanied by a certificate from the chairperson of
that commission; and
(ii) the certificate certifies that the investigation was lawful, reasonable and
procedurally fair.
(19) If the respondent has been found guilty of a criminal offence in a court of law and the conduct
with which the respondent is charged with in terms of sub-regulation (1)(a)(ii) is an element or the
subject matter of that criminal offence, a copy of the record of the criminal proceedings, certified in
terms of the Criminal Procedure Act is sufficient proof of the commission by the respondent of that
offence, if it is proven that –
(a) the respondent is the same person who was convicted of that criminal offence;
and
(b) no appeal or review proceedings in terms of the Criminal Procedure Act are
pending against the criminal judgment of the court which convicted the
respondent of that criminal offence.
(20) After the conclusion of the formal inquiry the Investigating committee shall within 30 days make a
finding as to whether the respondent is guilty of the charges brought against him or her in terms of
sub-regulation 32(1)(a).
(21)If the Investigating committee finds the respondent guilty in terms of sub-regulation 32(19), the
Investigating committee shall ‐
(a) inform the respondent of the findings and clearly state the reasons
for the findings;
(b) take cognizance of any aggravating or mitigating circumstances; and
(c) sanction the respondent as contemplated in sub-regulation (20).****
(22) The Investigating committee may postpone the formal inquiry at any time before passing sanction,
if it is reasonable and justifiable in the circumstances to do so.

29
(23)(1)Where the Investigating committee consists of more than three members, and certain members
do not agree with the Investigating committee’s findings, the decision of the majority of the members
is the finding of the Investigating committee.
(2) If the Investigating committee consists of an even number of members and there is a split decision
on any finding, the Chairperson has an additional deciding vote.
(24) The Investigating committee shall make the following recommendations to the Board, which may
impose penalties that include-
(a) ordering the removal of the name of a contractor from the register in accordance
with section 19 of the Act where the charge relates to a transgression of section
18(1) of the Act;
(b) issuing a warning to the respondent, which warning remains valid for a period
not exceeding one year;
(c) downgrading the respondent’s current category of registration in the register by
a number of grades to be determined by the Board.
(e) restricting or prohibiting the respondent from participating in construction works
procurement for a period of time, which period may not be less than 10 years;
(f) ordering the cancellation of the registration of the respondent and placing a
prohibition on the re-application for registration by the respondent as
contemplated in sub-regulation (21);
(g) making a cost determination that the accused, the Authority or the party who
initiated the investigation, must defray all or part of the costs incurred to
conduct the formal inquiry;
(h) ordering any specific performance relevant to the charges brought against the
respondent in terms of sub-regulation (1)(a)(ii); and
(i) any combination of the sanctions referred to in paragraphs (a) to (h).
(25) When imposing a fine as contemplated in sub-regulation (20) the Investigating committee may
determine the date on which that fine shall be paid by the respondent, or the period of repayment and
the amount of interim payments permitted.
(26) Where the respondent on whom the committee has imposed a fine was downgraded as
contemplated in sub-regulation (20)(c) or restricted or prohibited as contemplated in sub-regulations
(20)(e) or (f), the committee may determine that the period of being downgraded or the period of

30
restriction or prohibition be extended if the fine has not been paid on the date determined in terms of
sub-regulation (21), until that fine is paid, but that extension may not exceed the period for which the
contractor was downgraded.
(27) Any fine imposed by the Investigating committee in terms of sub-regulation (20)(d) shall be
paid into the bank account of the Authority.
(28) If the Investigating committee imposes a sanction as contemplated in sub-regulation (20) it shall
determine the period for which the respondent may not re-apply for registration, which period may
not be shorter than ten years after the date of the imposition of the sanction.
(29)A prohibition of the Investigating committee referred to in paragraph (a) includes an application
from the respondent under a legal entity different to the one that had been found guilty.
(30) Any person aggrieved by the decision of the investigating committee may apply in writing to the
Appeals Board established under Section 27 of the Act.
(31) Subject to sub-regulation (25), any findings or sanction imposed in terms of this regulation comes
into effect immediately and the Authority shall, if applicable, within 7 days after the hearing has been
concluded, update the register of contractors to reflect the outcome of the hearing.
(32) If any judicial review is instituted in accordance with Section 27 (4) of the Act;
(a) the respondent shall notify the Authority of that review;
(b) the findings or sanctions imposed in terms of this regulation is suspended from
the date that the judicial review comes to the notice of the Authority until that
review has been finalized by a court of law; and
(c) if that court sets aside, varies or amends the findings and sanctions of the
Appeals Board, the Authority shall, if applicable, amend the register accordingly
within 7 days after notification of the decision of that court.
(33)The Authority shall publish the details of the findings and sanction of the investigating committee
in the Kenya Gazette and update the register of contractors accordingly.
(34) Any contractor whose registration is endorsed as a result of the findings of the investigating
committee shall be required in any subsequent application for registration as a contractor to disclose
such endorsement failure to which the applicant is guilty of an offence which may lead to
disqualification of the application.

31
Offences

33 (1) Any person or organ of state who-

(a) provides the Authority with false information to mislead the Authority;
(b) fails to register a project in terms of these Regulations;
(c) awards a construction works contract contrary to these Regulations; or
(d) fails to comply with these Regulations;
is guilty of an offence and is liable to a fine not exceeding Kshs. 1,000, 000.00.
(2) In the case of a person or an organ of state being found guilty in terms of this regulation, the
particulars of the findings and the sentence shall be published by the Authority through notice in the
Kenya Gazette, and in the case of an organ of state, the Court concerned shall submit the particulars of
its findings to The Auditor- General, Kenya National Audit Office.
(3) The Authority shall, if any activity contemplated in the Ethics and Anti- Corruption Act, comes to
their attention, report such activity to the Ethics and Anti-Corruption Commission. Such offence shall
attract a fine not exceeding;
(a) Kshs.1,000, 000.00 on the respondent covered under Part I of these
regulations;
(b) Kshs. 200,000.00 on a respondent covered under Part III of these
regulations;
(c) Ksh.1,000, 000 on a respondent covered under Part IV of these regulations.

Copies of notices to be retained and presumptions

34. The Authority shall retain a copy of every notice served on a person in terms of these regulations
and such copy shall serve as prima facie evidence that the notice concerned has been duly served by
the Authority.

Copies of entry into registers to be evidence

35.(1) A document certified to be an extract from, or copy of any register or record kept in
terms of the Act and certified as a true extract or copy by a person stating that he or she has the
custody or control of such register or record, shall in any court and during a formal inquiry in terms of

32
regulation 33 of these Regulations be admissible as evidence upon the mere production thereof, and
be prima facie evidence of the facts stated therein without the production of the original register or
record or any certificate, license or any other document from or of which such extract or copy was
made.
(2) The information contained in a register or record kept for the purposes of the Act may subject to
Information Act be furnished -
(a) to any client who has registered a project in terms of these regulations;
(b) to any organ of state; or
(c) subject to the prior consent of the Minister or any person authorized thereto by
the Minister, to a competent authority of another country.

Criminal proceedings do not bar formal inquiry

36. The acquittal or the conviction of the respondent by a court of law on a criminal charge does not
bar proceedings against him or her under the Regulations, even if the facts would, if proven, constitute
the offence he or she has been charged with in the criminal proceedings.

Serving of notice or summon

37.(1) Any notice or summon issued in terms of Part VIII of the Regulations may be served:
(a) Personally;
(b) by leaving a copy of the notice or summon at the intended recipient’s
place of residence with a person apparently in charge of the premises at
the time of delivery and who is apparently not less than 18 years of age;
(c) By affixing a copy of the notice or summon to the door of the intended
recipient’s last-known physical address;
(d) By affixing a copy of the notice or summon at the construction site where
the offence was committed
(e) By sending a copy of the notice or summon by registered post to the
intended recipient’s postal address indicated on the Authority’s website
or last known postal address;

33
 (f) By transmitting a copy of the notice or summon by telefax or through
other electronic communications means to the domain indicated on the
Authority’s website, or last known domain; or
(g) By following any of the above means in serving the notice to a person
reasonably believed to appear on behalf of the intended recipient
with regard to the subject matter of the notice or summon.
(2) The service of any notice or summon required to be served in terms of the Regulations shall be
effected between 0600hrs and 1800hrs on any day.
(3) Where the service of a notice or summon is effected by hand, an additional copy of the notice or
summon shall be prepared and the person receiving the notice must be requested to sign and date the
copy and return it to the person serving the notice.
(4) Despite the provisions of sub-regulation (1) -
(a) it is sufficient if the person required to deliver a notice or summon does so in a
manner that satisfies all of the substantive requirements of this regulation; and
(b) any deviation from the provisions of sub-regulation (1) does not invalidate the
action taken by the person delivering that notice or summon, unless the
deviation-
(i) reduces the probability that the intended recipient will receive the notice
or summon; or
(ii) is calculated to mislead.
(5) If the investigating committee referred to in regulation 38 is not satisfied that the service was
effected in accordance with these Regulations or if the Appeals Board is not satisfied that a copy of the
notice or summon was in fact received by the intended recipient, it may make any order that is
reasonable in the circumstances.

Employer or principal liable

38.If in any investigation or prosecution in terms of the Act, these Regulations or the code of conduct,
it is proven that;-
(a) an employee/employer and/or agent/principal relationship existed (depending on the
circumstances) at the time of an action; and

34
 (b) the said action by the employee or agent is found by the investigating committee
contemplated in regulation 38 or the Appeals Board not to comply with the Code of
Conduct, or to be a transgression of the Act or these Regulations, that employer or
principal is liable for the said action of his or her employee or agent, unless it is proven
by the employer or principal on a balance of probabilities that the employer or principal,
as the case may be, had no reason to believe that his or her employee or agent had in
any way failed to discharge their duties, provided that such absence of belief must be
reasonable in the circumstances.

Cognizance may be taken of information contained in register or record

39.The Minister, Authority or any other competent authority may, in exercising a discretion or taking a
decision in terms of the Act, take cognisance of any information contained in a register or record
contemplated in the Act or kept by the Authority.

40. Consequential provisions.

The Authority in consultation with the Minister responsible for Public Works shall further develop
policy and regulations pertaining to ;
(a) research in line with the provisions of section 5(1)(c );
(b) business development or strategies as in section 6(c and d )and;
(c) a code of conduct) as in 5(2)(m) of the Act.

41. Transitional provision

A person or firm who were registered as contractor by a recognized government institution before the
coming into force of this Act, shall be deemed to have an interim registration for a period to be
determined by the Board pending Registration under the Act.

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36