Gimhae City Leads Efforts to Support Local Businesses... 90% Contract Rate for Private Agreements

Supplementing Principles for Private Contract Operations and Expanding Participation of Local Companies

Gimhae City in Gyeongnam Province plans to raise the local 업체 수의계약 (direct contract) rate for construction, services, and supplies to 90% this year.

The city announced at a regular briefing on the 4th that it will promote an increase in the local 업체 수의계약 ratio to overcome the economic crisis and quickly restore the local economy.

As of the end of August this year, the number of local 업체 수의계약 cases increased from 86.99% last year to 88.01%, and the amount rose from 89.92% to 92.97%. The city plans to further raise the local 업체 수의계약 rate to 90% by the end of this year.

Since Mayor Hong Taeyong’s top administrative philosophy is ‘Communication and Empathy’ and the motto ‘MOVE Together 함께 성장 (Grow Together),’ the city has devoted all efforts to recovering the local economy and aims to maintain the 90% target next year as well.

Ratio of Private Contracting with Local Companies in Gimhae-si, Gyeongnam. [Data provided by Gimhae City Hall]

The city will also supplement the existing principles for operating direct contracts.

▲ Limit direct contracts based on single estimates to no more than 10 times per year ▲ Prohibit indiscriminate splitting of orders and consolidate similar projects into bulk orders ▲ Prevent concentration of specific 업체 materials when designing government-supplied materials ▲ Establish a systematic reporting and management system for stakeholders.

To expand local 업체 participation, the city will ▲ actively reflect local 업체 goods and equipment in designs through prior review when issuing projects ▲ recommend the use of local 업체 for material purchases, labor employment, and construction equipment ▲ strengthen subcontracting connections with excellent local 업체 ▲ operate consultation windows to listen to local 업체 difficulties.

Mayor Hong said, “Through communication and empathy, we will continue to expand opportunities for local 업체 to participate in direct contracts and do our best to make Gimhae a happy city where everyone grows together.”

This content was produced with the assistance of AI translation services.