Dáil Éireann Debate, Thursday - 22 March 2018
40. Deputy Mick Wallace asked the Minister for Public Expenditure and Reform if his Department will consider publishing on a yearly basis all submissions received under circular 40/2002 which requires Departments and certain State bodies to prepare and submit an annual statement regarding contracts awarded that exceed €25,000 in value, exclusive of VAT, without a competitive process; and if he will make a statement on the matter. [11314/18]
Amharc ar fhreagraPublic Procurement is governed by EU and National rules. The aim of these rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money. It is a basic principle of public procurement that competitive tendering should be used other than in justifiably exceptional circumstances. The current procurement rules recognise that there can be legitimate reasons for awarding contracts without the use of a competitive process, such as extreme emergencies or unforeseeable circumstances.
Under national procurement rules, Department of Finance Circular 40/02 requires Government Departments and Offices to submit an annual report to the Office of the Comptroller and Auditor General for contracts above €25,000 (exclusive of VAT) awarded without a competitive process by 31 March of the following year. These reports are copied to the Policy Unit of the Office of Government Procurement for information. Circular 40/02 states that all contracts awarded without a competitive process should be subject to an internal review, preferably by the Internal Audit Unit or alternatively by an appropriate senior officer who is not part of the procurement process. Individual Accounting Officers are responsible for ensuring that their public procurement function are discharged in line with the standard accounting and procurement rules and procedures and that contract prices are fair and reasonable and represent best value for money.
In relation to the suggestion that the Department of Public Expenditure and Reform should consider publication of the 40/02 submissions on a yearly basis, I would point out that details of non-competitive tenders are already available and on the public record in the Appropriation Accounts published annually by the Comptroller and Auditor General. Therefore, I do not consider it appropriate for my Department or the Office of Government Procurement to cut across this function. Individual contracting authorities are responsible for establishing arrangements for ensuring the proper conduct of their affairs, including conformance to standards of good governance and accountability with regard to procurement.
Finally, the OGP supports compliance by putting in place compliant procurement solutions, publishing guidelines and template documentation and proactive engagement with Government Departments and Offices including our sourcing partners in the Health, Education, Defence and Local Government Sectors through the Procurement Executive.
