Written answers

Tuesday, 20 April 2010

Department of Finance

Public Service Contracts

9:00 pm

Photo of Jan O'SullivanJan O'Sullivan (Limerick East, Labour)
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Question 200: To ask the Minister for Finance his views on the format for e-tender questions which require new companies to provide three years financial statements of account which then preclude them for tendering for all State contracts; and if he will make a statement on the matter. [14619/10]

Photo of Brian Lenihan JnrBrian Lenihan Jnr (Dublin West, Fianna Fail)
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There is no general requirement that companies applying for public contracts provide three year financial statements of accounts. Under public procurement guidelines, contracting authorities are required to ensure that recently established firms, or firms with no previous experience of public contracts, are not excluded from public tendering. It is, of course, essential that contractors performing public contracts be of sufficiently sound economic and financial standing. The general position is that criteria used to determine the appropriate level of financial capacity must be proportionate and relevant to the needs of the particular contract. Various forms of evidence of financial capacity may be sought, such as bankers' statements, extracts from balance sheets, proof of access to professional indemnity, public liability and employer liability insurance, performance bonds or demonstrable access to resources of third parties.

Photo of Arthur MorganArthur Morgan (Louth, Sinn Fein)
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Question 201: To ask the Minister for Finance the composition of the Irish companies who were awarded Irish public contracts to the value of more than €4 billion advertised in the Official Journal of the EU in 2008; the details of the size of these companies in respect of the number of them that had a turnover of more than €10 million and the number that had less than €10 million; if these public contracts were broken down in order that small Irish companies could tender; and if he will make a statement on the matter. [14632/10]

Photo of Brian Lenihan JnrBrian Lenihan Jnr (Dublin West, Fianna Fail)
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Information such as the composition or breakdown by financial turnover of companies awarded public contracts is not sought or maintained centrally. Contracts advertised in the Official Journal of the EU (OJEU) will generally indicate if it is intended that the contract will be awarded in lots. Subsequent to award, certain information on individual contracts advertised on the OJEU is published in the Official Journal and on the national public procurement website www.etenders.gov.ie under a "Contract Award Notice". This notice normally includes the name and address of the successful tenderer or tenderers, the price or range of prices tendered (subject to considerations such as commercial sensitivity or not compromising competition), if the contract is to awarded in lots and the winning tenderers for such lots and if any element of the contract is to be sub-contracted.

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