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The EU Public Contracts Directive (Article 84) requires all contracting authorities (of which there are over 3,000 in Ireland) to prepare a written report after every tender competition, other than mini-competitions conducted under framework agreements.

This audit report should contain the following:

– The name of the buyer
– The subject matter and value of the contract
– The results of the pre-qualification process i.e. the names of the successful candidates with reasons provided for selection/non-selection
– Reasons for rejecting abnormally low tenders
– The name of the preferred bidder and the reasons for selecting their tender
– The name(s) of sub-contractors and the share of the contract to be sub-contracted
– Justification, where appropriate, for the use of the competitive dialogue/competitive procedure with negotiation
– Reasons for not awarding a contract or a framework
– An explanation for not using an electronic submission
– Measures taken to address potential conflicts of interest of the evaluators
– Reasons for not using lots
In addition, buyers must maintain records of internal deliberations, records of dialogue or other meetings and details about the preparation of the procurement documents, including the setting of selection and award criteria.

Over time these procurement audits will become an important source of insight for unsuccessful suppliers. These documents may be discoverable under the Freedom of Information Act.

The preparation of procurement audits is a significant additional layer of compliance for buyers.

Contracting authorities that need advices or support in relation to the preparation of these new procurement audit reports should contact us now.

The Government’s plan includes the setting up of a Housing Procurement Unit within the Housing Agency to provide a procurement centre of excellence and support to local authorities and approved housing bodies. With some €5.35 billion to be spent over five years in constructing 47,000 housing units one could well ask if the current suite of procurement rules for small scale works of this nature is ‘fit for purpose’; and the answer is probably‘ no’ if the feedback we are getting from builders is anything to go by. What could be done to accelerate procurement, while incentivising small builders and developers and staying within the EU procurement rules?
Here are a few practical ideas.
1. The Office of Government Procurement should prepare a standard and simplified template for minor works contracts to replace the cumbersome and multiple forms that are currently used. Corresponding guidance for contracting authorities and suppliers should also be issued.
2. The template should comprise:
– a. Details of the houses to be built and the contracting authority’s requirements.
– b. A bespoke European Single Procurement Document (that can be used multiple times) for housing construction which allows tenderers to self-declare, for example that they will comply with the current Building Regulations.
– c. Standard award criteria, for example the contract fixed sum might account for 50% of the marks.
– d. A short standard contract for minor works.
– e. A standard Service Level Agreement to be agreed with all preferred bidders.
3. Tenderers should be asked to complete one document only.
4. All submissions should be done online. The current requirement is for the submission of multiple hard copies.
5. Set the limit for the vast majority of contracts below €5,225,000 as these tenders will not need to be advertised outside Ireland.
6. Stage payments should be made if contractors meet the deliverables set in their Service Level Agreement.
7. Use the single stage open procurement procedure as this is the cheapest way to procure.
8. Local authorities and AHBs who have not yet done so should set up a four-year framework for their requirements and appoint at least ten suppliers per county.
9. As many builders are not comfortable with tendering the Housing Procurement Unit should provide a ‘Help Desk’ facility.
10. Already very high turnover limits have been set which has the potential to exclude many small builders. Contracting authorities need to be mindful of the EU procurement rule that requires turnover thresholds should not be set at more than double the proposed contract value.
11. A fully resourced Housing Procurement Unit should actively encourage the setting up of bid consortiums and allow sole traders and small businesses combine their turnovers and capabilities.
12. The sooner the Unit arranges regional briefings to inform potential suppliers of the procurement rule of the road the better.
An up-front investment in getting the procurement rules right will save everyone time, money and effort.

The Remedies Directive was transposed into Irish law in March 2010. It was designed to bring a greater commonality amongst the EU Member States regarding aspects of Public Procurement that take place post the award of Contract.

The Remedies Directive provides guidance on how contracting authorities manage their ‘stand still’ period, areas where aggrieved suppliers can seek redress and also allows for award nullification in certain cases of serious breach of conduct. [Read more…]

Public Procurement Services welcomes the issue of these documents which are available for use across the public sector.  [Read more…]

It has been brought to our attention that many public bodies are not respecting or implementing the guidelines as set out in Circular 10/10. Entirely disproportionate requirements (for example as regards turnover and insurance) are still demanded in respect of low value and low risk tenders. [Read more…]

We are pleased to announce the official launch of Public Procurement Services, the Public Sector business unit of Bid and Tender Management Services Ltd. [Read more…]

Welcome to the first edition of our eZine.

Public Procurement Services is the recently established public sector business unit of Bid and Tender Management Services Limited. Our objective is to provide guidance, advice, assistance and training to the public sector through our extensive experience in the tender management process. [Read more…]

We’re delighted to announce that we have been shortlisted in the prestigious National Procurement Awards. It is thrilling for us and our clients to be recognised on a national scale and we are honoured to be ranked as a procurement leader.

Public Procurement Services has moved to new offices in Dublin’s Southside at Beacon Court, Sandyford.

Our new address is as follows:
Bid Management Services, Suite 20 The Mall, Beacon Court, Sandyford Dublin 18.

Circular 10/10, adopted by the government for immediate effect, will encourage many more small and medium sized enterprises (SMEs) to bid. Although this may seem like another layer of work for the public client, such decisions as raising the requirement to advertise contracts over €25k on www.etenders.gov.ie, the use of the Open tender procedure for contracts with a value up to €125k will result in fewer two-stage bids, and the limitation of supporting documentation solely to short-listed clients will certainly make the evaluation process quicker. [Read more…]