1. 1 Public procurement irregularities in projects co-financed by ERDF and CF Willebrord Sluijters European Commission, DG Regional Policy « Train the Trainers » seminar 17 June 2010

2. 2 P ublic procurement irregularities in projects co- financed by ERDF and CF Basic distinction: -tenders/contracts/issues subject to the public procurement directives -tenders/contracts/issues not subject to the public procurement directives

3. 3 Public procurement irregularities in projects co- financed by ERDF and CF Basic rules: -free movement of goods and services -equal treatment -transparency

4. 4 P ublic procurement irregularities in projects co- financed by ERDF and CF Tenders/contracts/issues covered by the directives (1) Most frequent irregularities: -non- or incorrect transposition, leading to application of non- compliant national provisions -additional works awarded directly in circumstances not covered by the directives -use of exceptional procedures (direct award, negotiated procedure) in non-exceptional circumstances -use of formulas to automatically exclude bids without possibility of recourse/appeal -mix up of selection and award criteria

5. 5 P ublic procurement irregularities in projects co-financed by ERDF and CF Tenders/contracts/issues covered by the directives (2) Most frequent irregularities: -inadequate publication of tender information -non transparent procedures for evaluating bids -discriminatory or dissuasive selection criteria, including the regional or national preference or excessively detailed technical specifications -imprecisely stated selection criteria and unduly formalistic application of criteria -excessively short deadlines for submission of tenders

6. 6 Public procurement irregularities in projects co- financed by ERDF and CF Tenders/contracts/issues not covered by the directives Most frequent irregularities: -modification of the essential terms of a contract after its award (physical, financial object) -non-respect of minimal publication requirements in case of cross-border interest -non transparent procedures for evaluating bids -discriminatory or dissuasive selection criteria, including the regional or national preference or excessively detailed technical specifications -imprecisely stated selection criteria and unduly formalistic application of criteria -excessively short deadlines for submission of tenders

7. 7 Public procurement irregularities in projects co- financed by ERDF and CF Preventive action (1): Check your legislation on compatibility Apply the proper tendering procedure as foreseen by the directives: exceptional procedures only in exceptional cases Where possible use standardised tender documents and electronic tendering Lay down transparent tender evaluation procedures Ensure the presence of a help desk service for awarding authorities Implement pre-contracting checks

8. 8 Public procurement irregularities in projects co- financed by ERDF and CF Preventive action (2): Rigourous follow up of the implementation of contracts: alarm bells in your management system! Define milestones and penalties in contracts; keep contractors to the contractual terms and apply penalties if necessary Regular on-site inspections and quality checks during implementation

9. 9 Public procurement irregularities in projects co- financed by ERDF and CF GOOD LUCK !