Explanatory note

These Regulations make provision about the conduct of competitive tendering for the carrying out of certain work by a local authority.

Regulation 2 prescribes time limits with respect to the tendering procedure for work which does not fall within the operation of the Public Works Contracts Regulations 1991 or Council Directive 92/50/EEC, namely the time to be allowed for notifying an authority of a wish to tender for work described in a notice published for the purposes of section 7(1) of the Local Government Act 1988, and for responding to an invitation to tender for any work.

Regulation 3 prescribes the maximum and minimum period which may elapse between announcing who should carry out work described in a notice published for the purposes of section 7(1) of the Local Government Act 1988 and the commencement of that work.

Regulations 4 and 5 prescribe with respect to steps in the tendering procedure (including the preparation and evaluation of an authority’s own bid for the work, and announcing who should carry out the work) conduct which is to be regarded as having the effect, or likely effect, of restricting, preventing or distorting competition.

Regulations 6 to 14 prescribe matters which an authority is required to take into account in the course of evaluating tenders and its own bid for the work, and prescribe the manner of taking such matters into account.

Regulations 6, 7 and 8 and the Schedule make provision for taking into account certain costs and other amounts, namely the amount which would be credited to the account of the direct service organisation if the authority carried out the work; the amount which would be payable to each tenderer for the performance of the work; costs quoted by tenderers of providing a bond or guarantee relating to the performance of the work; and any costs calculated or estimated under regulations 9 and 10 and 12 to 14.

Regulations 9 and 10 make provision for the calculation or estimation of certain costs which the authority would, or would be likely, to incur if it carried out the work.

Regulations 12 to 14 make provision for the calculation or estimation of certain costs which the authority would, or would be likely, to incur as a consequence of accepting one of the tenders.

Regulation 15 makes provision for the issue of guidance as to how conduct restricting, distorting or preventing competition is to be avoided, and requires the extent of any contravention of the guidance to be taken into account in determining whether or not an authority has fulfilled the conditions for competition which apply in the case of any work.