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Public Service Contracts

Dáil Éireann Debate, Tuesday - 12 February 2013

Tuesday, 12 February 2013

Ceisteanna (325)

Terence Flanagan

Ceist:

325. Deputy Terence Flanagan asked the Minister for Public Expenditure and Reform if the pre-qualification criteria for procuring public sector work should contain a solvency statement with a double lock mechanism, for example, that the solvency statement should be signed by the contractor, owner, their solicitor and their accountant; and if he will make a statement on the matter. [6871/13]

Amharc ar fhreagra

Freagraí scríofa

Public procurement procedures require applicants to meet certain standards when applying for public contracts. In qualifying for inclusion in tender competitions for public works contracts, applicants must submit signed declarations stating that none of the circumstances outlined in Regulation 53 of SI 329 of 2006 European Communities (Award of Public Contracts) Regulations 2006 or Article 45 and 51 of 2004/18/EC, the EU Directive on the co-ordination of procedures for the award of public works contracts, public supply contracts and public service contracts apply.

The list of exclusions in Article 45 and Regulation 53 are divided into two categories, the first deals with mandatory exclusions and the second deals with discretionary exclusions. An applicant may be excluded from a procurement process if:

- they are bankrupt or their affairs are being wound up;

- they are subject to proceedings leading to a declaration of bankruptcy or;

- they have defaulted in payment of taxes or social insurance contributions.

However they must be given an opportunity to establish whether there are mitigating circumstances. The Contracting Authority must investigate the event thoroughly before a decision is taken on the course of action to take.

In a public works tender, applicants are obliged to submit a signed declaration on oath which must be sworn in the last 12 months. This must be witnessed by a practising solicitor or Commissioner for Oaths and should be accompanied with a signed confirmation that the applicant’s legal situation has not changed in any way which would prohibit the applicant from making a new declaration on oath on the same basis since the declaration was made and signed. Applicants from Ireland and the UK must provide a declaration on oath. In countries where a declaration on oath does not exist, the applicant can instead make a solemn declaration in their country of origin or in the country whence the applicant comes before a judicial or administrative authority, a notary or a competent professional or trade body.

Prior to the award of the works contract, the successful applicant is also required to produce a current Notification of Determination (formerly C2 certificate) from the Revenue Commissioners.

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