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BERR procurement manual section G: guide to the European Union services directive

URN No: 06/1123/A10

Department for Business, Enterprise and Regulatory Reform procurement manual section G: guide to the European Union Consolidated Public Procurement Directive 2004/18/EC

G. A GUIDE TO THE EUROPEAN UNION CONSOLIDATED PROCUREMENT OF SERVICES DIRECTIVE

G.1 Introduction
G.2 Thresholds
G.3 Scope
G.4 Participating Countries
G.5 Application of the Service Directive to Frameworks
G.6 Estimating the Value of a Contract
G.7 Aggregation
G.8 Services Procurement Procedures
G.9 Design Contests
G.10 Notices
G.11 Classification & Coding of Services
G.12 Advertising Rules
G.13 Rules on Technical Requirements
G.14 Variations to Specifications
G.15 Currency of the Contract
G.16 Qualifications & Selection of Suppliers
G.17 Abnormally Low Tenders
G.18 Award Criteria, the Alcatel period, contract award and Award Notice
G.19 Annulment of the Tendering Process
G.20 Debriefing Suppliers
G.21 Reporting & Statistical Requirements
G.22 Compliance Directive

G.1 INTRODUCTION

G.1.1 Contents

Purpose of this Guide, compliance with the EU Consolidated Services Directive
The EU Consolidated Services Directive

G.1.2 Purpose of this Guide, compliance with the EU Consolidated Services Directive

This guide on the EU Consolidated Directive has been prepared to clarify the following:

•        whether the EU Directives applies to a particular services procurement;

•        the steps involved in planning a procurement timetable;

•        the steps involved in preparing various notices; and,

•        how to avoid some of problems associated with aggregation, advertising rules, and the qualification and selection of suppliers.

Once the appropriate procurement route is established, consult the relevant sections in the Procurement Manual to ensure that best practice is followed in specification writing, contracts, tendering, the evaluation of bids and the debriefing of suppliers.

Further information on European Union Directives can be found in Section E.8 - EU Directives.

G.1.3 The EU Consolidated Services Directive

The consolidated public procurement directive 2004/18/EC and revised utilities directive 2004/17/EC have been implemented by the Public Contracts Regulations 2006 (SI 2006 No 5) http://www.opsi.gov.uk/si/si2006/20060005.htm and the Utilities Contracts Regulations 2006 (SI 2006 No 6) http://www.opsi.gov.uk/si/si2006/20060006.htm. Scotland has implemented The Public Contracts (Scotland) Regulations 2006 (SSI 2006 No 1) http://www.opsi.gov.uk/legislation/scotland/ssi2006/20060001.htm and The Utilities Contracts (Scotland) Regulations 2006 (SSI 2006 no 2). http://www.opsi.gov.uk/legislation/scotland/ssi2006/20060002.htm .

G.2 THRESHOLDS (Valid from 1 January 2008)

G.2.1 Contents

Threshold Contract Value
Prior Information Notice Values
 

G.2.2 Threshold Contract Value

The Directive applies to contracts over £90,319 in value excluding VAT. 

G.2.3 Prior Information Notice Values

Prior information Notices should be published for qualifying contracts whose aggregate value in a given class exceeds £509,317 excluding VAT.

G.3 SCOPE

G.3.1 Contents

Scope of Services
Contractorisation
Excluded Contracts (Derogations)

G.3.2 Scope of Services

Services involve the procurement of provisions other than supplies (goods) or works, as defined in the Supplies and Works Directives, and these are subject to the Services Directive unless excluded (see Section G.3.4 - Excluded Contracts (Derogations)). Some contracts may be negotiated and thus avoid some of the Directive except for placement of award notice, see Section G.8 - Services Procurement Procedures.

Contracts which include supplies or works as well as services are subject to the EU Services Directive if the value of the services is the greater of the both.

Two tier application: Services which are subject to the Directive are split into two groups as follows:

a. Priority Services

Contracts in categories 1 to 16 are subject to the full rules and must be advertised.

b. Residual Services

Contracts in categories 17 to 27 (see Annex 6.B - Residual Service Categories) do not have to be advertised but specifications must comply, where appropriate, with the rules on technical requirements set out in Section G.12 - Advertising Rules.

As with Priority Services a notice of award of a contract for a Residual Service must be sent to the OJEU Office.  The OJEU office will publish the notice of award except when a justification for not publishing is submitted to and accepted by the Commission.

G.3.3 Contractorisation

Where in-house services are being considered for contracting out, in-house bidders, other government departments, and any local authority or unincorporated business with a natural or legal personality, may submit bids for evaluation in the normal way provided the advertising and procedural rules are followed.

G.3.4Excluded Contracts (Derogations)

The Directive does not apply to the following:

•        contracts below the threshold value (voluntary notices may still be advertised);

•        services above the threshold that form part of a works project which itself is below the works threshold;

•        requirements subject to other Directives;

•        requirements subject to other international agreements;

•        agreements reached with other contracting authorities that have exclusive rights under UK laws, regulations or administrative provisions compatible with the Treaty of Rome;

•        rental or lease of real (immovable) property such as land or buildings;

•        broadcasting material or time;

•        voice telephony, telex, radio telephony, paging and satellite services;

•        arbitration and conciliation services;

•        contracts concerned with transactions in securities, financial instruments and central bank services;

•        contracts of employment;

•        research and development services other than those where the benefits accrue solely to the contracting authority for use in conducting its own affairs and the services are wholly remunerated by the contacting authority (separate guidance on R&D is available from Procurement Policy Services (PPS) branch within IWS Commercial Office;

•        certain defence requirements; and,

•        requirements that are declared secret or subject to special security measures.

G.4 PARTICIPATING COUNTRIES

The benefits of the EU Directives have been extended to other countries under the European Economic Area Agreement and various Europe agreements.  The EU is a signatory to the WTO (formerly GATT) Government Procurement Agreement (GPA).

The relevant states and countries included are as follows:

EU:  Austria, Belgium, Cyprus, Denmark, Germany, Finland, France, Greece, Ireland, Italy, Luxembourg, Netherlands, Portugal, Spain, Sweden and the United Kingdom.

E.E.A:  Iceland, Liechtenstein, and Norway.

Europe Agreements:  Bulgaria, Czech Republic, Estonia, Hungary, Poland, Romania, Slovakia, Slovenia, Malta, Latvia and Lithuania.

GPA:  Aruba, Canada, EU, Hong Kong, Israel, Japan, Republic of Korea, Liechtenstein, Norway, Singapore, Switzerland and USA.

From 1.1.1996 the GPA was extended beyond the central government bodies listed in Schedule 1 to the Supplies Regulations to cover local authorities, other public bodies and public sector utilities in ports, airports, water, urban transport and electricity sectors.  It was also extended to works and certain service contracts as well as supplies contracts.  Broadly speaking, compliance with the EU rules ensures compliance with the GPA, where it applies, and GPA suppliers etc. have the same rights as EU suppliers.

G.5 APPLICATION OF THE SERVICE DIRECTIVE TO FRAMEWORKS

G.5.1 Contents

Frameworks
Call-off contracts of a framework agreement

G.5.2 Framework Agreements

Frameworks have been recognised by the European Commission as legal agreements that involve a commitment to purchase and must adhere to advertising and procedural Directive rules.

G.5.3 Call-off contracts of a framework agremeement

Subsequent call-off purchase orders against an Agreement need not be advertised.  The maximum duration for these Arrangements is  no more than four years.

Further Framework information may be found in Section E.9 - Frameworks.

G.6     ESTIMATING THE VALUE OF A CONTRACT

G.6.1 Contents

Introduction

Lots

Estimating Regular and Renewable Contracts (Normal Purchases)

Estimating Fixed Term or Running Contracts

Contracts with Various Options

G.6.2 Introduction

Service Contract requirements must not be split, nor the target price set unjustifiably low, to avoid the provisions of the Directive. The target price is determined by estimating the following:

•        the price including delivery and any other charges;

•        the duration of the contract; and,

•        the inclusion of any supplies or works.

As stated in section G.2.2 - Threshold Contract Value, the value of a contract is the total price excluding VAT.

G.6.3 Lots

A requirement may be composed of several "lots" and each "lot" may be the subject of a separate contract.  The value of all the "lots" must be taken into account when determining whether the threshold value has been reached.

When advertising a requirement, if a small part of the work could be deemed as a lot with a value of less than £54,327, provided that the total value of the "lot" does not exceed 20% of the estimated total value of all lots added together, that lot need not be advertised in the OJEU and tendering may follow BERR procedures.

G.6.4 Estimating Regular and Renewable Contracts (Normal Purchases)

The basis for estimating the value of regular or renewable contracts is to calculate:

•        the aggregate value of similar contracts - select contracts let over the previous 12 months or fiscal year and adjust for price & quantity changes over the coming year; or,

•        the estimated contract price likely to be paid.

The Directive does not define "regular contracts" but the Treasury suggests it means a series of recurring contracts to be let to one or more suppliers over a period of time for services of the same type. Once the aggregate value exceeds the threshold each subsequent contract must be advertised even though its value is below the threshold. Avoid this situation by placing a contract notice in advance for your total estimated requirement. Once the Framework Arrangement has been let under EU Directive procedures all call –off contracts covered by the Agreement, regardless of individual value, can be let without advertising or tendering.

G.6.5 Estimating Fixed Term or Running Contracts

The basis for estimating the value of a Fixed Term or Running contract is as follows:

•        For contracts of 48 months or less: the estimated value for its duration: and,

•        For contracts of longer than 48 months or indefinite (Running): the month value multiplied by 48.

G.6.6 Contracts with Various Options

If a proposed contract includes one or more options, the estimated value is the highest possible amount which could be paid under the contract.

G.7 Aggregation

Aggregation refers to the act of gathering something together or creating a group.  Within BERR, there is frequently a recurrent need for the same type of good.  Hence there is often valuation of contracts to meet this requirement.  If a recurring purchase is required it is good practice to note and aggregate the requirements of this need.

The aggregation rule is based where the decision to purchase rests. This is normally with BERR HQ Division, the Executive Agency or Government Office. The Directive does not require the deliberate aggregation of requirements across the Department if this is not present policy.

G.8 Services Procurement Procedures

G.8.1 Contents

Introduction

Open Tender Procedure

Restricted Tender Procedure

Negotiated Procedure

•        Negotiated Procedure with Prior Publication of a Contract Notice

•        Negotiated Procedure without Prior Publication of a Contract Notice

Competitive Dialogue

G.8.2 Introduction

There are four forms of services procurement procedures as follows:

1.        Open Procedure;

2.        Restricted Procedure; and,

3.        Negotiated Procedure (either with or without prior publication of Contract Notice).

4.        Competitive Dialogue.

Although services procurement procedures are identical to those used for supplies and works, Competitive Dialogue and the Negotiated Procedure are used more frequently for services. Where there is an in-house bid the Tender Procedures should be followed as far as possible.

Companies invited to tender are called "tenderers" and those responding to notices are called "candidates".

G.8.3 Open Tender Procedure

All companies responding to an "open" notice must be sent the invitation to tender (ITT). Because of the potentially large number of tenders that can be received it is not normal Departmental policy to use this procedure.  The only exception to this would be if the Department were entering a market with a limited number of suppliers.

G.8.4 Restricted Tender Procedure

From the number of candidates responding to a "restricted" notice only those short listed by the Department are sent the invitation to tender (ITT). The Directive recommends between 5 and 20 to be invited to tender.

G.8.5 Negotiated Procedure 

G.8.5.1 Negotiated Procedure With Prior Publication of a Contract Notice

Following publication of a Contract Notice, negotiations with one or more companies is permitted if:

•        tenders under the Open or Restricted Procedure have proved irregular or unacceptable;

•        overall pricing is not possible;

•        nature of the service is such that it cannot be specified with sufficient precision to enable the Open or  Restricted Procedures to be used;

•        all previously qualified tenderers are included; and,

•        the original terms of the contract are not substantially altered.

G.8.5.2 Negotiated Procedure Without Prior Publication of a Contract Notice

Negotiations may be opened with one or more companies only in the following situations:

•        in the absence of response to an Open or Restricted notice, subject to the terms being substantially unaltered and a report provided to the Commission if requested;

•        when, for technical or artistic reasons, or for reasons connected with protection of exclusive rights, there is only one supplier;

•        where the contract is awarded following a design contest;

•        when in cases of extreme urgency not attributable to BERR, the time limits laid down for the open and restricted procedures cannot be met;

•        for additional unforeseen services, up to 50% of the original contract value, which cannot be technically or economically separated from the main contract; or,

•        for the repetition of similar services, which have been forecast at the outset, advertised and provided for in the original contract, and the negotiations completed within 3 years of the original start date.

G.8.5.3 Competitive Dialogue

Competitive Dialogue is a similar process to the Restricted procedure, with an added dialogue stage in the middle.  There is a pre qualification exercise and those that meet the criteria are invited to enter into competitive dialogue.  Competitive Dialogue is usually used when innovative solutions are required.  A discussion phase is put in place between Pre-qualification and the invitation to tender requesting the supplier to submit proposals.  Suppliers discuss their solutions with the Department and unworkable solutions are dropped from the process.  This has a funnelling effect of suppliers.  Once a supplier has been removed from the process because of their solution, they cannot be re-entered into the competition.  The Department can ask for a number of draft proposals before the competitive dialogue phase is over.  Once the department is satisfied that workable solutions have been identified the department then enters into the Invitation to Tender stage (ITT).

G.9 Design Contests

The EU Services Directive applies to design contests such as architecture, civil engineering and IT projects.  The Directive enables contracting authorities to acquire plans or designs selected by a jury, with or without the award of prizes.

Contracting authorities must ensure that:

•        competition is not limited to participants from one Member State;

•        there are a sufficient number of participants to ensure adequate competition; and,

•        the jury is impartial and autonomous in its decisions and, in the main, comprised of people with the same professional qualifications.

G.10 Notices

G.10.1 Contents

Introduction

Prior Information Notice

Contract Notice

Contract Award Notice

G.10.2 Introduction

The European Commission has made mandatory the use of standard forms for all notices to be published in the Supplement to the Official Journal. 

There are 11 Standard Forms, as follows (note that the first three are the most widely used):

1.        Prior Information Notice

2.        Contract Notice

3.        Contract Award Notice

4.        Public Works Concession

5.        Contract Notice - Contracts To Be Awarded By A Concessionaire

6.        Periodic Indicative Notice - Utilities (Not Being A Call For Competition)

7.        Periodic Indicative Notice - Utilities (Being A Call For Competition)

8.        Contract Notice – Utilities Qualification System – Utilities

9.        Contract Award Notice – Utilities

10.   Design Contest

11.   Results Of Design Contest

As Standard Forms are complex and time-consuming the Department uses Project (a web-based software package) for the generation of OJEU Notices and their transmission to the OJEU office in Luxemburg.  It is BERR policy that this software should always be used - no other method for the drafting and publication of OJEU Notices is permitted.  Procurement Policy Services (PPS) within IWS Commercial Office use Project software and can assist you with placing advertisements.

G.10.3 Prior Information Notice

In April each year, BERR publishes notices giving very brief details for each contract, expected to be advertised in the following 12 months, in a given coding class (see Section G.11 - Classification & Coding of Services) where the overall class aggregate value of the contracts will be above the Prior Information Notice threshold (see Section G.2.3 - Prior Information Notices Threshold Values).

If in doubt, publish. Prior Information Notices do not commit the Department but can produce worthwhile advantages.

G.10.4 Contract Notice

When filling out notices, the services' description should be brief but may be continued on a separate sheet.

G.10.5 Contract Award Notice

A Contract Award Notice must be published in OJEU within 48 days of award.

Further, Article 17(7) requires contracting authorities to provide proof of despatch (Certificate of Despatch for a Notice) for all notices. The software used by the Department provides such proof.

G.11 Classification & Coding of Services

Services are defined in terms of the Common Procurement Vocabulary (CPV) codes. The relevant CPV codes for each service required must be entered in Contract Notices.

Latest advice from OGC is that corresponding Central Production Classification codes should be included in any OJEU Notice in addition to the relevant CPV code.

G.12 Advertising Rules

The Directive lays down some minimum time scales giving prospective suppliers sufficient time to respond to notices and Invitations to Tender (ITTs).

The period for response starts the day the notice is despatched to the OJEU. Where the last day of the period is a Public Holiday, Saturday or Sunday, the period must be extended to the next working day.

Annex 6.G - Milestones for a Contract Under the Restricted Procedure set out time scales and estimates for the time it may take to appraise candidates and tenders. There is no limit on the time the Department may set aside for the evaluation of tenders but the validity period for bids set out in the ITT must be taken into account.

There is an "accelerated procedure" which reduces the timescales for urgent requirements advertised under the restricted and negotiated procedures. The use of the accelerated procedure is an exception to the rule and may be challenged by the Commission. The reason for the urgency must be stated in the notice.

If a requirement has been the subject of a Prior Information Notice, the minimum time under the open and restricted procedures for the receipt of tenders may be reduced, see Annexes 6.C - Flowchart for the Open Tender Procedure and 6.E - Flowchart for the Negotiated Procedure with Prior Contract Notice.

If a company seeks additional information (which does not prejudice competition) it must be provided not later than 6 days before the closing date for the receipt of the tenders AND this information must be divulged to all of the tenderers in the procurement exercise.

G.13 Rules on Technical Requirements

Technical specifications which define the characteristics of a product or material, including levels of quality, performance, safety and dimensions, should be included in the tender documents.

For Services there are few standards which are directly applicable. An important exception is that for quality management systems BS-EN-ISO 9000. However, where Quality Assurance (QA) requirements are specified certification should be to ISO 9004-2 or equivalent by bodies conforming to EN 45000 or equivalent. BERR cannot refuse equivalent QA measures from service providers who do not have access to certificates or no possibility of obtaining them within the relevant time limits. In such cases (which might include in-house bids) the candidate or tenderer should be asked to describe the measures in place to assure quality.

The provisions of the Directive require, where there is no European Standard, that Contracting Authorities:

•        consider products from other Member States manufactured to a different design but otherwise equivalent; and;

•        use a national standard encouraging a European standard or a common technical specification.

There are exceptions to the rules:

•        where the use of a European or common technical specification is precluded by binding national technical rules, for example in relation to health and safety; and,

•        when one of the other permitted derogations applies (see Annex 6.H - Technical Specifications).

G.14 Variations to Specifications

Notices must clearly state where the criterion for award is the most economically advantageous (best value for money) and bid variations will not be considered.

A variation may not be rejected on the sole grounds that it would lead to a supply contract rather than a service contract (e.g., software may be provided as a package or as part of a software development service).

G.15 Currency of the Contract

Government Accounting has advised that until now all contracts should be negotiated in sterling. The major aim of this was to avoid possible exchange rate risk fluctuations. However some contractors may prefer to tender in Euros and may offer more competitive terms for the opportunity of doing so. Consideration should be given to the need to secure value for money in sterling terms and the guidelines for minimising foreign exchange risk still need to be followed. In an OJEU notice it should be made clear whether bids will be accepted in any currency other than pounds sterling.

G.16 Qualifications and Selection of Suppliers

Under the Restricted and Negotiated procedures the qualifications demanded of suppliers and the criteria for short listing must be non-discriminatory and objective.

The information the Department is entitled to receive is described in Annex 6I - Supplier Appraisal.  There is a minimum amount of information that candidates and tenderers must provide in order to be appraised in regards to their skills, experience, reliability and quality assurance capabilities. However, under the restricted procedures it is important not to demand too much information at the prequalification stage. At a later stage additional information can be requested from the companies invited to tender provided this request complies with Annex 6I - Supplier Appraisal.

Past non-compliance with the Government policy that requires contractors to pay suppliers promptly is not grounds for rejecting a company as unsuitable to tender. Such grounds may be challenged by the rejected company and by the Commission. The rules do, however, allow that past poor performance on the substance of a contract may be taken into account.

The Directive requires individuals and corporate bodies to be treated equally except that the latter may be asked to provide evidence of the qualifications of staff who will perform the services.

For market testing, it should be noted that in-house teams will be unable to pre-qualify in the formal sense. In-house bidders may not satisfy normal prequalification criteria because, for example, a lack of accounts. In such circumstances other candidates must be informed, either in the contract notice or ITT, that an in-house bid will be made.

G.17 Abnormally Low Tenders

If some of the tender prices seem abnormally low the Department may ask the tenderer(s) to confirm, in writing, both the prices and that they are confident in their ability to meet the specification and abide by the ITT. The enquiry should not indicate that the prices are regarded as low.

The Directive quotes economies in manufacture, technical solutions, exceptionally favourable conditions available to the tenderer for the supply of the goods, and originality, as examples of objective factors which may be accepted as an explanation.

G.18 Award Criteria, the Alcatel period, contract award and Award Notice

G.18.1 Contents

Introduction to Criteria and Award Notice
Contract Award Notice & OJEU

The Alcatel period

Contract Award Notice and Legal Obligations & Open Government

G.18.2 Introduction

Detailed award criteria, for example, price, quality, delivery of service, design of the service, management of the Company, experience and resources must be stated either in the notice or the ITT.

G.18.3 Alcatel

For all public sector and utilities procurements covered by the full regime of the EU Procurement Directives, the mandatory standstill period means that a period of not less than 10 calendar days must elapse between the written communication of the award decision to all tenderers and contract commencement.  The mandatory standstill period does not apply to below threshold procurements, to procurements otherwise outside the full scope of the Directives (e.g. Part B services) or where there is only one tenderer including those following the urgency provision under the negotiated procedure where single tendering takes place

The mandatory standstill period begins the day after the award decision is notified to all tenderers in writing by either fax or e-mail.  If the standstill period ends on a non-working day, it must be extended to the next working day.  The minimum standstill period is 10 calendar days, in many cases it may be necessary for the period to exceed this minimum duration in recognition of the implications of the obligations on contracting authorities.

The notification to unsuccessful bidders of the contracting authority’s award decision must contain: the contract award criteria; where appropriate, the score the tenderer obtained against those award criteria; where appropriate, the score the winning tenderer obtained; and the name of the winning tenderer.

Perhaps of greatest significance in terms of practical effect, is the obligation on the contracting authority to provide additional debriefing within the mandatory standstill period if an unsuccessful tenderer requests it by the end of the second working day following the commencement of the standstill period.  Contracting authorities must allow for a minimum of three working days between providing the additional debriefing and the end of the standstill period.

In accordance with existing legislation, the additional debrief shall inform the tenderer of the reasons why he was unsuccessful and, if the tenderer submitted an admissible tender, shall inform him of the characteristics and relative advantages of the successful tender.

Where a request for additional debriefing is received within the standstill period but after the two working days deadline, contracting authorities are not bound to provide further debriefing within the standstill period but still need to provide it within 15 days of receiving a written request, as per existing legal obligations.

G.18.4 Contract Award Notice & OJEU

A Contract Award Notice must be sent to the OJEU Office within 48 days of the award of the contract. The name of the successful tenderer must be included unless there are exceptional grounds for not doing so.

G.18.5 Contract Award Notice and Legal Obligations & Open Government

Certain information on the contract need not be published in cases where it would impede law enforcement or otherwise be contrary to public interest or would prejudice the legitimate commercial interests of a supplier, public or private, or prejudice fair competition between suppliers. The contract price therefore need not be disclosed under such circumstances. However consideration should be given to publishing the range of bids where three or more have been received.

Notwithstanding the above it should be noted that there are obligations to publish information about contracts under Open Government.

G.19 Annulment of the Tendering Process

If BERR decides not to award a previously advertised contract then the OJEU Office, candidates that have or are responding to the contract notice, and tenderers must be advised. This situation may arise when there is a change in policy or requirement, an in-house bid is successful or the requirement has been re-evaluate, modified and needs to be re-advertised.

The following proviso should be included in all Contract Notices:

"The Department for Business Enterprise and Regulatory Reform (or name of Executive Agency or Government Office plus 'of the Department for Business Enterprise and regulatory Reform') reserves the right to annul the tendering process and not to award a contract."

G.20 Debriefing Suppliers

G.20.1 Contents

Introduction to Debriefing Suppliers

Cancellation of Tendering and Non-award of Contract

G.20.2 Introduction to Debriefing Suppliers

The Department is required to debrief all candidates who fail to make the shortlist and unsuccessful tenderers within 15 days of receiving a written request to do so. An unsuccessful tenderer is entitled to be know the name of the successful tenderer but not the contract price. 

G.20.3 Cancellation of Tendering and Non-award of Contract

The Department must also explain to candidates and tenderers, who so request in writing, the reasons for cancelling the tendering process or not awarding a contract. Advice on how to undertake a debrief can be obtained by contacting the Procurement Policy Unit of IWS Commercial Office.

G.21 Reporting and Statistical Requirements

Contracting authorities must have in place a system that provides the following statistics no later than the 31 October of each year for the preceding year:

a) for each priority service contract above the threshold:

            - the service classification (Common Procurement Vocabulary (CPV) code number),

            - the nationality of supplier,

- the award procedure and if negotiated the reasons for not

    advertising, and,

            - the actual value of the contract (unrounded);

b) for each residual service contract above the threshold:

            - the service classification (CPV code number),

            - the nationality of supplier,

            - the actual value of the contract (unrounded), and,

c) for all contracts under the threshold (or not subject to the Directive):

-  the total aggregated cost.

Procurement Policy Services arrange collection of these statistics for submission to the Commission via the Treasury.

G.22 Compliance Directive

The Compliance Directive requires the Commission to examine complaints from unsuccessful tenderers and take action if it is believed that the tenderers interests may have been harmed by a breach of the Directive. The Commission itself may initiate action if it suspects a breach of the rules.

The Commission can take the following action:

•        suspend the procurement procedure;

•        set aside a decision to award a contract; and,

•        require corrections to be made.

The Commission cannot require that a contract, once let, be suspended or set aside but damages may be awarded. The Commission may also fine the Department, or in an extreme case, take the Secretary of State to court to enforce its decision.

Any complaint received from an aggrieved company or from the Commission via the Treasury must be referred immediately to Solicitors Division for advice.