Simplification of the process for candidates in public procurement through registration in the ZHS

08.07.2021 | Autor: Hronček & Partners, s. r. o.
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Public procurement is a relatively formalized process which, particularly in the case of larger contracts awarded through an above-threshold procedure (but also below-threshold contracts), requires the submission of a large number of confirmations and documents, which represent a considerable administrative burden for each tenderer. This process can be simplified by registering on a list of economic operators.

Simplification of the process for candidates in public procurement through registration in the ZHS

Particularly in the case of conditions of participation based on personal status pursuant to Section 32 of Act No. 343/2015 Coll. on public procurement (hereinafter referred to as “ZVO”), applicants are required to submit a large number of documents and confirmations, while only a few contracting authorities specify which of the documents listed in Section 32(1)(a) to (f) ZVO can be verified from public administration information systems pursuant to Section 32(3) ZVO, and therefore bidders have no other option than to submit the documents specified in Section 32(2) ZVO necessary to prove the conditions for participation in terms of personal status pursuant to the previous paragraph.

However, the legislator was aware of the administrative burden imposed on interested parties by Section 32, and therefore the Public Procurement Act contains several mechanisms for relieving tenderers of this burden. Such mechanisms include, for example, the European Single Procurement Document (ESPD) or a declaration of honor pursuant to Section 114(1) 114(1) in the case of below-threshold contracts, whereby the tenderer may temporarily replace documents proving that the conditions for participation have been met and only submit the replacement documents upon request after the deadline for submission of tenders. This is most important in contracts where the contracting authority has decided to use the so-called reverse procedure, whereby it evaluates the conditions for participation only for the tenderer who ranks first in terms of the criteria for evaluating tenders. Tenderers who are unsuccessful can therefore use the ESPD or a declaration of honor to save time preparing a tender for which they would not have been successful. In this regard, however, we would like to point out to readers that these institutions do not serve the purpose of allowing interested parties to delay their decision on how they will later demonstrate that they meet the conditions for participation and to seek these capacities after the deadline for submitting tenders has expired. Each tenderer must meet the conditions for participation within the deadline for submitting tenders.

Another way to facilitate the public procurement application process, especially if you are applying for multiple public procurements, is to be registered and listed in the register of economic operators. The list of economic operators is a public administration information system managed by the Public Procurement Office, which keeps a list of economic operators who have demonstrated that they meet the conditions for participation in terms of personal status pursuant to Section 32(1)(a) to (f) and paragraphs 2, 4 and 5 and have applied for registration. Registration in the list of economic operators is effective vis-à-vis every contracting authority and the information contained therein does not need to be verified in public procurement procedures. The registration is valid for three years, as a result of which bidders are not required to submit confirmations from tax administrators, customs offices, social security and health insurance companies, extracts from the criminal register and other documents whose validity is less than three months under the Public Procurement Act for a period of three years.

The list of economic operators is also a suitable solution for subcontractors and third parties whose capacities the tenderer has decided to use to prove that it meets the conditions for participation in terms of economic and financial standing as well as technical and professional competence, as pursuant to Section 33(2) and Section 34(3), in addition to proving the legal relationship, it is also necessary for these persons to prove that they meet the conditions for participation. Sections 33(2) and 34(3), in addition to proving their legal relationship, it is also necessary for these persons to prove that they meet the conditions for participation. Situations often arise where tenderers do not realize when submitting their tenders that they also bear certain responsibility for their subcontractors or third parties within the meaning of Sections 33(2) and 34(3), since if they fail to prove that these persons also meet the conditions for participation in terms of personal status, their tenders will be excluded. § 33(2) and 34(3), because if they fail to prove that these persons also meet the conditions for participation, their bid will be rejected. In cases where tenderers are requested to provide this information, it is already too late, as the most commonly used 5-day deadline for submitting documents replacing those persons is no longer sufficient to obtain all the necessary documents in accordance with the provisions of § 32(1).

On the other hand, there is also an obligation for tenderers to register in the list of economic operators if they wish to register in the electronic marketplace, as, in accordance with Section 14(1), registration in the list of economic operators is a condition for the effectiveness of registration in the electronic marketplace.

In connection with the above, if you are interested in participating more extensively in public procurement, either as a tenderer or subcontractor, or as a third party whose capacities another tenderer intends to use, we recommend that you register in the list of economic operators (ZHS). The ZHS does not replace the obligation to register the entity in the register of public sector partners.

The application for registration can be submitted in paper or electronic form. Before submitting an application for registration in the ZHS, an administrative fee of EUR 66 must be paid. As our office provides registration in the list of economic operators and prepares the entire application exclusively in electronic form, the administrative fee is half the amount, i.e. EUR 33.

The UVO will register the economic entity in the ZHS within 15 calendar days of the date of submission of the complete application for registration, including all attachments and confirmation of payment of the administrative fee. As already mentioned, the registration in the ZHS is valid for 3 years, after which it is possible to submit a new application to the UVO for re-registration or to submit an application for extension of the validity of the registration. It is important to note that one of the obligations of an economic entity is to notify the office of any changes to the data provided in the ZHS within 30 days of the date of the change. Each registration of a change in data is subject to a fee.

 


Hronček & Partners, s. r. o.

Hronček & Partners, s. r. o.

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