PURCHASING PROCEDURES - University of Central Lancashire

A contract notice must be published in the OJEU setting out the needs and requirements of
the contracting authority. A dialogue may then commence between the contracting
authority and suitable candidates in which all aspects of the contract can be discussed. Care
must be taken to ensure that all candidates are treated equally. From a practical point of
view, this can best be demonstrated by keeping a detailed record written record of all
discussions which is then signed off by both the Supplier and the University.
When the contracting authority has identified a suitable solution or solutions, it declares that
the dialogue is concluded and requests that tenders be submitted. It is important that the
request and the resultant tenders are as comprehensive as possible because the scope for
post-tender negotiation is even more limited than in the Open and Restricted procedures
(such negotiations having already taken place in the dialogue phase).
4.5 Choice of Procedure
Under the Regulations, universities have a free choice between the Open and Restricted
procedures.
Use of the Negotiated or Competitive Dialogue procedure is unusual, and is more likely to
invite the scrutiny of the European Commission than the other procedures. Where it is
agreed that the Negotiated or Competitive Dialogue procedure can be used, the contracting
authority must justify its choice and take great care to ensure that the reasons are properly
documented.
5 FRAMEWORK AGREEMENTS
Framework agreements set out the terms and conditions under which specific purchases
(„call-offs‟) are made over a pre-determined period of time. They are particularly useful for
creating a panel of several approved suppliers who then compete with each other for each
„call-off‟.
Framework agreements can be made either with one supplier or with a panel of at least three
suppliers, and must not exceed four years‟ duration unless there are exceptional
circumstances. The suppliers are appointed through a tendering process, usually following
the Open or Restricted procedure.
Where there is one supplier, the contracting authority should ask the supplier to provide
specific prices or terms for „call-off‟ orders within the parameters set out in the original
Framework agreement.
It is more usual for Framework agreements to have a panel of three or more suppliers. In
some cases it is a straightforward task to determine which of the suppliers should win the
„call-off‟; for example, where all of the suppliers on the panel have fixed price lists or there
is pre-agreed mechanism for calculating prices for comparable items. Here, the contracting
authority would simply compare the prices and select the lowest without re-opening
competition. In cases where the task is not so clear-cut, a process of „mini-competition‟ is
undertaken whereby the contracting authority issues a statement of requirements to all of the
suppliers on the panel capable of undertaking the task. These proposals are then evaluated
in accordance with the criteria set out in the original Framework tender.
Purchasing Procedures December 2011