3.2.1.1 Award of supply contracts and

service contracts using the open procedure

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The structure of the tender documents in the case of the open procedure is shown in the Figure below:

 

Figure 3-5: Structure of tender documents in the case of the open procedure

 

The correspondence between the three key categories of information that the tender documents must provide and their proposed parts, is given in the Table below:

 

CATEGORY OF INFORMATION

PART OF THE TENDER DOCUMENTS

Eligibility and method for participation of interested economic operators in the tender procedure

PART Α: Instructions to Economic Operators

Terms of cooperation between the Contracting Authority and the contractor to be selected to implement the contract

PART Β: Agreement and Special Conditions of Contract

Terms of cooperation between the Contracting Authority and the contractor to be selected to implement the contract

ANNEX Ι: General Conditions of Contract

Scope of the contract to be awarded.

ANNEX ΙΙ: Terms of Reference – Technical Specifications

Table 3-1: Categories of information in each part of the tender documents

 

At the contract award stage, the tender documents determine the terms of the tender procedure to be conducted by the Contracting Authorities and the conditions for participation in it of the economic operators, while at the contract implementation stage they determine the framework of cooperation between the Contracting Authority and the selected contractor.

The tender documents function differently in the two stages mentioned above.

At the contract award stage (commencing with the announcement of the tender procedure and concluding with the selection of the contractor), the tender documents should provide economic operators with all the information which they need in order to answer the following questions:

Do I have the formal and essential qualifications for implementing the contract?
What is the estimated business benefit of potentially winning the contract?
What are the actions required for participating in the tender procedure?

At the contract implementation stage (commencing with the signature of the contract and ending with its completion), the tender documents, together with the tender of the selected contractor, form the contractual documents which govern the relations between the two contracting parties regarding the implementation of the contract.

The Figure below presents the correspondence between the tender documents and the tenders of candidate economic operators, on the one hand, and the contract documents, on the other:

 

 

Figure 3-6: Correspondence between the tender documents, the tenders of candidate

economic operators and the contract, in the case of the open procedure

 

The next Table helps Contracting Authorities understand the twofold function of each part of the tender document for each interested party, i.e. for Contracting Authorities and for economic operators.

 

PART OF THE TENDER DOCUMENTS

ANSWERS TO QUESTIONS

CONTRACTING AUTHORITY

ECONOMIC OPERATORS

PART Α: Instructions to Economic Operators

How should I conduct the tender procedure?
Which criteria should I use to select the best contractor?
Can I participate in the tender procedure?
How can I submit a tender in order to participate in the tender procedure?
How will I be evaluated?

PART Β: Agreement and Special Conditions of Contract

What arrangements are in place for those terms of cooperation with the contractor which depend on the particular features of the project?
What arrangements are in place for those terms of cooperation with the Contracting Authority which depend on the particular features of the project?

ANNEX Ι: General Conditions of Contract

What are the basic terms of cooperation with the contractor for implementation of the contract?
What are the basic terms of cooperation with the Contracting Authority for implementation of the contract?

ANNEX ΙΙ: Terms of Reference – Technical Specifications

What are my needs?
What do I require in order to fulfil my needs?
Can I implement the contract?
What is the cost for implementing the contract?

Table 3-2: Function of the tender documents for the Contracting Authorities and the economic operators

 

The tender documents should provide clear and full answers to the questions of Table 3-2 or supply the appropriate information that will enable both the Contracting Authorities and the economic operators to answer those questions.

Part Α: Instructions to Economic Operators

The Table below lists the key information contained in Part A “Instructions to Economic Operators” of the tender documents:

 

Key details of the tender procedure
Legal framework
Provision of clarifications on the tender documents
Eligibility and requirements for participation
Format and submission of tenders
Conduct of the tender procedure
Conclusion of the tender procedure

Table 3-3: Key information of Part A “Instructions to Economic Operators”

 

The Instructions to Economic Operators is the only part of the tender documents that is of no practical value or formal significance after the award of the contract.

The most important elements in the tenders of economic operators are requested to be supplied in a standardised format (“Templates for Forms” Appendix to the model tender documents). This approach provides economic operators with guidance on how to complete the respective forms correctly and allows the competent bodies of the Contracting Authorities to compare and evaluate them more easily.

The Table below lists indicatively some of the templates included in the Appendix “Templates for Forms”:

 

Tender Guarantee Template
Template for the Solemn Declaration certifying the Tenderers Personal Situation
Documentation of Tenderers Economic and Financial Standing
Documentation of Tenderers Technical and Professional Ability
Template for the Certification regarding the Protection of Employees
Template for the Project Team Presentation Table
CV Template
Template for the Technical Offer Submission Form
Financial Offer Template
Table of Evaluation Criteria
Performance Guarantee Template
Advance Payment Guarantee Template
Bank Account Notification Form
List of Contractors Certificates

Table 3-4: Contents of Appendix “Templates for Forms”

 

Part Β: Agreement and Special Conditions of Contract

The Table below lists the key contents of Part B “Agreement and Special Conditions of Contract” of the tender documents:

 

Structure of the contract
Contract scope
Contract value
Project organisation and administration
Date of commencement and period of implementation
Conditions and procedure for payment
Penalties for delay
Settlement of disputes
Communication between the parties

Table 3-5: Contents of Part B “Agreement and Special Conditions of Contract”

 

Once the contractor has been selected, the Agreement and Special Conditions of Contract document becomes the principal contractual text that regulates the terms of cooperation of the two contracting parties, and is supported by four Annexes (General Conditions of Contract, Terms of Reference Technical Specifications, Contractors Technical Offer and Contractors Financial Offer).

In the model draft tender documents, the Special Conditions of Contract have been limited to a small number of articles that regulate, among other things, the acceptance and payment procedures, the penalty clauses, the dispute resolution procedure and the method of communication between the contracting parties. All other issues are regulated by the Annexes to the Contract. This helps reduce significantly the time that will be required for the contract to be signed, as most of its points shall already have been determined through the approval of the tender documents (Terms of Reference and General Conditions of Contract) and the submission of the tenders by candidate economic operators (Contractors Technical and Financial Offer).

Annex Ι: General Conditions of Contract

The Table below lists the key contents of Annex I “General Conditions of Contract” of the tender documents.

 

Ownership Intellectual and property rights
Obligations of the Contracting Authority
Performance Guarantee
Assignment
Subcontracting
Confidentiality Secrecy
Code of ethics
Conflict of interests
Protection of employees
Amendment to the contract
Payments
Administrative and financial penalties
Breach of contract
Insurance indemnification
Termination by the Contracting Authority
Termination by the Contractor
Force majeure
Settlement of disputes

Table 3-6: Contents of Annex I “General Conditions of Contract”

 

An effort has been made to bring together in the General Conditions of Contract all provisions and agreements of a general nature which do not depend on the particular features of each contract and thus can be reproduced without changes in all the contracts of a specific category (public works contracts or public supply contracts or public service contracts).

The Contracting Authorities should not make changes to the text of the General Conditions of Contract. This however does not mean that the Procurement Team should not read carefully the model draft General Conditions of Contract, to confirm the validity of its contents in relation to the particularities of the specific project. In the event that a clause must be modified, omitted or added, this should be done by a special reference to be added in the Special Conditions of Contract. It is estimated that in the majority of cases no modifications will be required.

Annex ΙΙ: Terms of Reference Technical Specifications

The Table below lists the key contents of Annex II “Terms of Reference Technical Specifications”.

 

Background information
Objective and expected results
Assumptions and risks
Project scope (technical specifications)
Delivery times
Project location and duration of implementation
Special requirements (staffing, equipment etc.)

Table 3-7: Contents of Annex ΙΙ “Terms of Reference Technical Specifications”

 

The Terms of Reference of the draft model tender documents are accompanied by instructions on how to complete the relevant information, thus providing Contracting Authorities with guidance on how to record their needs and requirements correctly and helping economic operators understand the environment and scope of the project, so that they may propose the most appropriate solutions. Detailed guidelines on how to develop the Terms of Reference and the Technical Specifications for projects are given in paragraphs 3.2.2.1 (Preparing the Terms of Reference) and 3.2.2.2 (Preparing the Technical Specifications).

After the award of the contract, the Terms of Reference, together with the Contractors Technical and Financial Offer, represent the contractual commitment regarding the extent of the project scope and its implementation.

The parts of the tender documents are individual texts that make up the overall framework of the particular procurement, and each one of them should be drawn up by appropriately qualified members of the Procurement Team.

 

 

QUALIFICATIONS AND EXPERIENCE OF PROCUREMENT TEAM MEMBERS

PART OF THE TENDER DOCUMENTS

PROCEDURES REGARDING PUBLIC CONTRACTS

KNOWLEDGE OF PUBLIC PROCUREMENT LEGISLATION

TECHNICAL ISSUES (Contract Scope)

Instructions to Economic Operators

Main responsibility

Agreement

Participation (determination of selection and award criteria)

Agreement and Special Conditions of Contract

Agreement

Main responsibility

Participation

General Conditions of Contract

Agreement

Main responsibility

Participation

Terms of Reference Technical Specifications

Agreement

---------

Main responsibility

Table 3-8: Qualifications of Procurement Team members required for drawing up the parts of the tender documents

The use of the model draft tender documents reduces the need for providing support to the Procurement Teem in connection with:

Issues of public procurement legislation (to a great extent).
Procedures regarding public contracts (to a lesser extent).
Technical issues (to a minimal extent).

 


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