Quotations and Tendering Procedures

 

The Quotations and Tendering procedures are designed to reflect the legal requirement to ensure all public sector procurement is undertaken in an open, objective and equitable manner.

Procedures A to F, laid out in the following pages, explain the processes to be conducted at various levels of expenditure, both in circumstances where there is an applicable Agreement and where there is not.

In some situations, a Request for Quotations is adequate and in others it is necessary to conduct a Tender. A Tender is a more formal process with stricter rules and requires the use of pre-defined evaluation criteria as well as the implementation of a specific timetable and the use of an appropriate channel of communication with potential bidders.

Two types of procedure are described:

  1. Quotation Procedures, which apply to expenditure up to a total of £25,000 excluding V.A.T.
  2. Tendering Procedures, which must be used where expenditure is expected to exceed £25,000 excluding V.A.T. (but which may also be used where appropriate at lower levels).

 

Quotation Procedures

(Applicable to estimated expenditure up to £25,000 excluding V.A.T)

 

PROCEDURE A – Estimated expenditure up to £1000 (excluding V.A.T.)

Minimum requirement: one quotation

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

 - Request a written quotation from at least ONE of the suppliers on the Framework Agreement.

 - Select the supplier providing best value for money for the purchase required.

 - Create a requisition and seek approval from the appropriate Budget Holder.

 - Create and send a priced Official Purchase Order to the selected supplier.

 If NO:

 - Identify appropriate supplier(s).

 - Obtain at least ONE written quotation from a suitable supplier.

 - Agree terms with the supplier providing best value.

 - Create a requisition and seek approval from the appropriate Budget Holder.

 - Create and send a priced Official Purchase Order to the selected supplier.

 

Note: The requisition and the Purchase Order should refer to the quotation or agreement or contract reference as appropriate.

If assistance is required, contact Procurement Services procurement@stir.ac.uk

 

PROCEDURE B

Estimated expenditure between £500 and £5,000 (excluding V.A.T.)

Minimum requirement: two quotations

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

- Request a written quotation from TWO of the Framework Agreement suppliers.

- Select the supplier providing the best value for money for the purchase required.

- Create a requisition and seek approval from the appropriate Budget Holder.

- Create and send a priced Official Purchase Order to the selected supplier.

If NO:

- Identify appropriate suppliers.

- Obtain at least TWO written quotations from suitable suppliers (where feasible).

- Agree to terms with the supplier providing the best value.

- Create a requisition and seek approval from the appropriate Budget Holder.

- Create and send a priced Official Purchase Order to the selected supplier.

 

Note: The requisition and the Purchase Order should refer to the quotation or agreement or contract reference as appropriate.

If assistance is required, contact Procurement Services procurement@stir.ac.uk

 

PROCEDURE C

Estimated expenditure between £5,000 and £25,000 (excluding V.A.T.)

Minimum requirement: three quotations

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

- Request a written quotation from THREE of the Framework Agreement suppliers.

- Select the supplier providing the best value for money for the purchase required.

- Create a requisition and seek approval from the appropriate Budget Holder.

- Create and send a priced Official Purchase Order to the selected supplier.

 If NO:

- Identify appropriate suppliers.

- Obtain at least THREE written quotations from suitable suppliers (where feasible).

- Agree to terms with the supplier providing the best value.

- Create a requisition and seek approval from the appropriate Budget Holder.

- Create and send a priced Official Purchase Order to the selected supplier.

 

Note: The requisition and the Purchase Order should refer to the quotation or agreement or contract reference as appropriate.

If assistance is required, contact Procurement Services procurement@stir.ac.uk

 

Tendering Procedures

 

(Applicable to expenditure with estimated costs in excess of £25,000 excluding V.A.T.)

This level of expenditure requires procurement to be conducted in accordance with the appropriate ‘Procurement Journey’ process developed by the Scottish Government. The Procurement Journey is a comprehensive guide to best practice for public procurement.

The use of the following tendering procedures is mandatory for the levels of expenditure stipulated and must be conducted by Procurement Services with the full involvement of the Faculty or Service Directorate.

 

PROCEDURE D

Estimated expenditure between £25,000 and £50,000 (excluding V.A.T.)

If an existing Framework Agreement is used, a ‘Mini-Competition’ should be conducted; if not, a Local Tender should be carried out.

A Mini-Competition or Local Tender must be carried out where a single requirement or a series of similar requirements has an estimated value exceeding £25,000 (excluding V.A.T.)

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

- A Mini-Competition is conducted through Procurement Services under the Terms and Conditions of the relevant Framework Agreement.

- A contract is awarded to the Framework supplier selected through this process.

- The Faculty or Office involved creates a requisition and seeks approval from the appropriate Budget Holder.

- A priced Official Purchase Order is created and sent to the selected supplier.

If NO:

- Appropriate suppliers are identified.

- A minimum of FIVE suppliers (where feasible) are invited to tender by Procurement Services. A brief summary of the reasons for selection is documented in the tender file.

- Terms are agreed with the supplier providing the best value for money.

- The Faculty or Office creates a requisition and seeks approval from the appropriate Budget Holder.

- A priced Official Purchase Order is created and sent to the selected supplier.

 

Note: The requisition and the Purchase Order should refer to the quotation or agreement or contract reference as appropriate.

 

PROCEDURE E

Estimated expenditure above £50,000 but below the relevant EU Public Contracts threshold

If an existing Framework Agreement is used, a ‘Mini-Competition’ should be conducted; if not, a Nationally-Advertised Tender must be carried out.

Note: The EU Public Contracts thresholds (which are net of V.A.T.) can be found here: http://www.scotland.gov.uk/Topics/Government/Procurement/policy/10613

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

- A Mini-Competition is conducted through Procurement Services under the Terms and Conditions of the relevant Framework Agreement.

- A contract is awarded to the Framework supplier selected through this process.

- The Faculty or Office involved creates a requisition and seeks approval from the appropriate Budget Holder.

- A priced Official Purchase Order is created and sent to the selected supplier.

 If NO:

- Procurement Services will publish a Contract Notice on the Public Contracts Scotland (PCS) portal: http://www.publiccontractsscotland.gov.uk/ and will carry out a full formal tender in consultation with the Faculty of Service Directorate concerned.

- Following the contract award, the requisition raised and the official Purchase Order placed by the Faculty or Service Directorate should include tender references as appropriate.

 

PROCEDURE F

Estimated expenditure above the relevant Public Contracts (EU) threshold.

If an existing Framework Agreement is used, a ‘Mini-Competition’ should be conducted; if not, a Europe-Advertised Tender must be carried out, starting with the publication of a Contract Notice in the Official Journal of the European Union (OJEU). Where the EU Public Contracts thresholds apply, the involvement of Procurement Services is mandatory.

Particular attention is required to ensure that the Public Contracts Regulations (see Section 5 below) are adhered to in every respect. It should be noted that an EU tender process can take 4-6 months to complete. Procurement Services must, therefore, be contacted at an early stage in planning.

Is there a current Framework Agreement or contract which could meet the requirement?

 

If YES:

- A Mini-Competition is conducted through Procurement Services under the Terms and Conditions of the relevant Framework Agreement.

- A contract is awarded to the Framework supplier selected through this process.

- The Faculty or Office involved creates a requisition and seeks approval from the appropriate Budget Holder.

- A priced Official Purchase Order is created and sent to the selected supplier.

If NO:

- Procurement Services will publish a Contract Notice on the Public Contracts Scotland (PCS) portal: http://www.publiccontractsscotland.gov.uk/ and in the Official Journal of the EU and will carry out a full formal tender in consultation with the Faculty of Service Directorate concerned.

- Following the contract award, the requisition raised and the official Purchase Order placed by the Faculty or Service Directorate should include tender references as appropriate.

 

 

 

 

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