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Is Public Sector Procurement for You?

Is Public Sector Procurement for You?. Understanding the Public Sector Marketplace. Regulatory Mechanisms. WTO Government Procurement Agreement 1994 EU Treaty of Amsterdam 1997 EU Directives 2004/18/EC and 2004/17/EC Public Contracts (Scotland) Regulations 2012

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Is Public Sector Procurement for You?

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  1. Is Public SectorProcurement for You?

  2. Understanding thePublic Sector Marketplace

  3. Regulatory Mechanisms • WTO Government Procurement Agreement 1994 • EU Treaty of Amsterdam 1997 • EU Directives 2004/18/EC and 2004/17/EC • Public Contracts (Scotland) Regulations 2012 • Public Contracts Regulations 2006 • Remedies Directive 2007 and Public Contracts (Amendment) Regulations 2009 • Public Procurement (Miscellaneous Amendments)Regulations 2011 • The Defence and Security Public Contracts Regulations 2011 • Case Law

  4. Scottish Procurement Items common to all public bodies e.g. IT, Telecoms, Stationery National Procurement Category A SPCD Where there are items common to a sector e.g. Wheelie bins, Medical Equipment Sector Specific SPCD APUC; Scotland Excel; NHS National Procurement Category B Items common to a geographic area Regional Collaboration at local level e.g. Tayside Consortium Category C1 Category C Local 185 Major procuring organisations; in excess of 900 in total

  5. Key Procurement Issues

  6. Non-OJEU Procurement Transparency applies to: • Low value (under the EC Directive thresholds) • Service Concession contracts • Contracts for Annex II B Services • Every contract not covered by OJEU publication requirements • OJEU allows for non-OJEU contracts to be advertised through the Official Journal.

  7. OJEU Thresholds 2012-2013 2010-2011 £ £ Supplies & Part A Services - Central Govt/NHS 113,057 101,323 - Local Govt, bgpl* 173,934 156,442 - Defence and Security347,868 N/A Part B Services 173,934 156,442 Works 4,348,350 3,927,260 * Bodies governed by public law

  8. 2012-2013 2010-2011 £ £ Prior Information Notices - Supplies/Services 652,253 607,935 - Works 4,348,350 3,927,260 Small Lots Provision - Supplies & Services 69,574 64,846 - Works 869,670 810,580

  9. EU Procurement Procedures • Open (any undertaking may tender) • Restricted (any undertaking can apply to be selected to be invited to tender) • Negotiated with or without a call for competition and Competitive Dialogue (any undertaking can apply to be selected to participate) • Accelerated restricted/negotiated (for use only in exceptional circumstances of urgency not of the contracting authority’s making)

  10. Timescales Procedure Process Min Timescale Open Tender 52 days (36 with PIN) Restricted Expression of Interest 37 days Tender 40 days (36 with PIN) Restricted Accelerated Expression of Interest 15 days Tender 10 days Negotiated Expression of Interest 37 days Negotiated Accelerated Expression of Interest 15 days Competitive Dialogue Expression of Interest 37 days

  11. Selection Criteria • Mandatory Exclusions • Optional Exclusions • Economic and Financial Standing • Technical and Professional Ability • Comparable Contracts • Quality Assurance • Environmental Standards • Policies • Contract Specific Questions

  12. Award Criteria Lowest Price or Most Economically Advantageous Tender (MEAT) MEAT Criteria • Quality, price, technical merit, aesthetic and functional characteristics, environmental characteristics, running costs, cost-effectiveness, after sales service, technical assistance, delivery date/delivery period/period of completion.

  13. Assessment of Tenders

  14. Tender Evaluation The appraisal of tenders will cover a variety of aspects including: • Priorities of the requirement (e.g. Is quality of service more important than innovation) • Technical assessment • Commercial assessment • Critical success factors • High-level criteria for both quantifiable and non-quantifiable items

  15. Debriefing • It is government policy that unsuccessful tenderers for all public contracts should be informed of the position without delay. • Contracting authorities are also recommended to release related general information to unsuccessful tenderers on request. • Suppliers may be informed if they failed on price grounds. However, they are not entitled to have details of other tenders (including prices) disclosed to them as a matter of routine.

  16. Standstill Notice • 10 day timescale for notification by electronic means (email or fax), 15 for other means (non electronic) • Authority must provide “award decision notice” to bidders at start of standstill • A “summary of reasons” must be provided

  17. Contents of Notice • Criteria for award • Reasons for the decision (including the characteristics and relative advantages of the successful tender) • Scores of recipient and winner • Name of winner • Precise statement of end of standstill/date before which contract will not be entered into

  18. Improving Your Chances Of Success

  19. BASIC TIP #1 • Know that public sector is a regulated market • Stay alert • Read OJEU • Visit websites • Know the CPV codes relevant to you and use them • Express your interest • In time • In the way required

  20. BASIC TIPS #2 When you receive PQQ or ITT documents: • First thing to do: Read the instructions • Second thing: Read them again • Third: Get someone else to read them • Finally: Before returning tenders, read instructions one more time and make sure you have complied with them

  21. BASIC TIPS #3 • Ask about the markings and weightings • If weighting is not revealed, ask about order of priority • Ask about budget • Ask about disqualifying criteria • Especially turnover • Be sure to provide all submissions and answer all questions • Quantify your questionnaire answers as far as possible

  22. BASIC TIPS #4 • Verify acceptability of variations • Do not do the most important work close to the deadline • Remember to identify ‘Added Value’ issues • Do not be late in delivering • Give early thought to Terms and Conditions of contract

  23. BASIC TIPS #5 If offered a tender meeting: • Take only key personnel – not sales team or window dressing • Arrive on time – but expect to run late and stick strictly to the given timetable • If using presentation tools – know how to operate them • Ensure your presentation team know the tender and each other • Don’t interrupt own team members • Don’t make rash promises

  24. BASIC TIPS #6 After contract award • Always ask for a debrief, whether you win or lose • Ask about range of scores and where your bid came within that range • Similarly, ask for the range of prices • Note when procurement will be due for re-tender • If you have difficulty getting information, consider using FoISA

  25. Final Pointers • Don’t believe the PQQ/ITT is correct – ASK questions if in any doubt • Identify any problems early and discuss • Always show how and why your tender provides good VfM • Be positive and professional

  26. Q&A

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