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New Limits For Small-scale Public Contracts: What Does The Amendment To ‎to The Public Procurement Act Bring?‎

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Supplied that the contracting authority observes a 30-day standstill interval earlier than entering into the contract, an application to the Workplace to forestall the performance of such contract is not going to be successful. The objective of such notice is to notify the market of an intention and justification for a direct award. There is no fee for submitting objections to the contracting authority. It is feasible to submit objections in opposition to any determination or motion of the contracting authority (Sec. 241 PPA). The aggressive dialogue (Sec. sixty eight PPA) can be used under the same situations as for the negotiated process with publication.

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Whereas the Public Assist Act addresses the institutional and procedural framework (who and how will cooperate with the Fee at nationwide level in controlling international subsidies), the PPA ensures that the rules of the Regulation will permeate the daily practice of procurement procedures. This will again relieve contracting authorities of the obligation to publish contracts with a very small value (but watch out for different regulations, such because the Law on the Register of Contracts, which can have its own requirements). In addition, the brink for necessary publication of a contract on the contracting authority’s profile has been increased – now contracts will be published from CZK 1,000,000 excluding VAT instead of the earlier CZK 500,000 excluding VAT. Thus, contracting authorities can implement extra smaller contracts outdoors the regime of the law (only based on their own inner rules), which should cut back administrative complexity. The PPA is amended to offer that the contracting authority may exclude a tenderer on the grounds set out within the Regulation. Should the tenderer forget to do so, the contracting authority will now invite the tenderer to finish it within 10 working days.

The normal time limits for evaluation are 20 working days for a preliminary examination and 110 working days (with the risk of extension) for an in-depth investigation at Fee degree. The contracting authority shall be obliged to forward these notifications to the European Fee at once and not to award the contract while the Fee is investigating the possible impact of the subsidies. In apply, this implies together with within the tender documentation a requirement to submit a foreign subsidy notification (or an affidavit that no notification is required) from all bidders. Member States act solely in an aiding function in the course of underneath the Regulation – all decision-making energy remains with the European Fee. In apply, which means the Office for the Protection of Competitors (OPC) will now act as a contact and cooperating authority in investigations of international subsidies by the European Commission.

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  • The modification to the Public Procurement Act brings a basic change for contracting authorities – it will increase the financial limits for small-scale public procurement contracts, thus facilitating the process of their award.
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Contracting authorities ought to first assess whether they are going to be affected by the foundations on overseas subsidies. From the angle of contracting authorities, the amendment brings new obligations for big contracts and simplification for small ones. Collectively, the 2 amendments create the situations for the model new EU mechanisms to guard the internal market from distortions to work within the Czech public procurement setting.

It is advisable to reconfigure inner thresholds and approval processes to reflect the model new legislation (e.g. regulate the definition of what your organisation considers a small contract and how it’s solicited). However, contracting authorities ought to replace their inside pointers and procedures, which regularly set out the details of small-scale procurement. It is therefore really helpful that strategic contracts ought to establish in advance whether they could presumably be affected by the Regulation and inform the organisation’s administration and potential suppliers in good time. In such a case, the contracting authority would have no alternative however to exclude the bidder involved and, if essential, proceed to the choice of the next in line or to a model new procedure. If the European Fee subsequently finds that a specific international subsidy distorts competitors, it might prohibit the award of the contract to the tenderer in query.

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