PART ONE GENERAL PROVISIONS CHAPTER ONE BASIC … baza/zop_eng.pdfPUBLIC PROCUREMENT LAW PART ONE GENERAL PROVISIONS CHAPTER ONE BASIC PROVISIONS Section I Purpose and Principles Article

PUBLIC PROCUREMENT LAW

PART ONE GENERAL PROVISIONS

CHAPTER ONE BASIC PROVISIONS

Section I Purpose and Principles

Article 1

This Law shall establish the principles, rules and conditions for awarding public procurement contracts with the aim to ensure efficiency in spending budget and non-budget resources and resources related to the performance of certain activities with public significance, defined in this Law.

Article 2

The public procurement contracts shall be awarded by applying procedures defined in this law, in compliance with the following principles: 1. publicity and transparency; 2. free and fair competition; 3. equal opportunities for all candidates.

Section II Objects and Subjects of Public Procurement Contracts

Article 3

(1) Objects of public procurement contracts shall be: 1. supply of goods, made through purchase, lease, rental or hire purchase, with or without option to buy; 2. provision of services; 3. construction, including: a) execution or engineering (both design and execution) of works; b) execution or both design and execution of one or more of the activities defined in Annex 1, related to new construction, repair, alteration, restoration, maintenance or rehabilitation of buildings or civil engineering works. c) engineering and realisation of one or more activities related to the execution of a work corresponding to the requirements of the contracting authority such as feasibility study, organization of the construction works, supply and installation of machines, equipment and process lines, preparation and putting the works into exploitation. (2) The supply of goods may include all necessary preliminary activities for the actual utilization of the products, such as installation, testing of machines and equipment, etc.

Article 4

Objects of public procurement contracts shall not be: 1. acquisition or rental of land, existing buildings or other immovable property as well as establishment of limited corporeal rights thereon;

Bulgaria – Public Procurement Law – adopted in March 2004 1

2. acquisition, development, production or co-production of programme materials by radio- and TV-operators and provision of broadcasting time; 3. financial services connected with the issue and transfer of securities or other financial instruments as well as services provided by the Bulgarian National Bank; 4. research and development services where the benefits do not remain exclusively to the contracting authority in the conduct of its own affairs and the contracting authority has wholly remunerated the service provider;

Article 5

(1) The public services contracts, depending on the rules for their awarding, shall be divided into: 1. public service contracts awarded in accordance with the general provisions and which include the service categories listed in Annex 2. 2. public service contracts that can be awarded in accordance with the general provisions or with the provisions of Chapter Seven, Section I and which include the service categories listed in Annex 3. (2) Public procurement contracts which include both services referred to in Para 1, item 1 and 2, shall be awarded in accordance with the general provisions where the value of the services referred to in item 1 is greater than the value of the services referred to in item 2.

Article 6

Public procurement subjects shall be the contracting authorities, the candidates and the contractors.

Article 7

(1) Contracting authorities shall be: 1. the National Assembly, the administration of the Presidency of the Republic of Bulgaria, the administration of the Council of Ministers, ministries, the administrations of the State Commissions, state agencies, executive agencies, regional administrations, the administrations or the legal persons of other state authorities, established by a Law, as well as municipalities, Courts and the Constitutional Court; 2. the diplomatic and consulate representations of the Republic of Bulgaria abroad as well as the permanent representations of the Republic of Bulgaria with the international organizations; 3. bodies governed by public law, as well as hospitals - trade companies for which more than 30 per cent of the income for the previous year comes from the State or the municipal budget or from the budget of the National Health Insurance Fund; 4. associations of subjects referred to in item 1 and 3, which are not legal persons; 5. public undertakings, performing one or more of the following activities as well as traders within the meaning of the Commercial Law which on the basis of special or exclusive rights perform one or more of the following activities: a) provision or operation of fixed networks for public services related to production, transport or distribution of drinking water, electricity, gas or heat, as well as the supply to such networks; b) exploration for or extraction of oil, gas, coal or other solid fuels; c) exploitation of airports, ports or other terminal facilities used by carriers; d) exploitation of public service networks in the field of the railway, tramways, trolley bus, or bus transport, automated transport systems or cable-way installations; e) provision of universal postal service. (2) The following activities shall not be considered as activities within the meaning of Para 1, item 5: 1. provision of bus transport services to the public where other entities are free to provide these services under the same conditions as the contracting authority;


2. supply of drinking water, electricity, gas or heat to networks for public services as referred to in Para 1, item 5.a, where: a) the production of drinking water or electricity is intended for activity other than that referred to in Para 1, item 5 and the quantity of supplies to the public service network depends on the own consumption of the producer and provided that the quantity of supplies is not greater than 30% of the average annual production for the last 3 years, including the current year; b) the production of gas or heat is a result of activity other than that referred to in Para 1, item 5 and the supply to the public service network is aimed only at the economic exploitation of such production and provided that the quantity of supplies is not greater than 20% of the average annual turnover of the producer for the last 3 years, including the current year;

Article 8

(1) The contracting authorities organize and apply the procedures for awarding public procurement contracts and conclude contracts through the managers or officials authorized by them. (2) The Council of Ministers may authorize by a decision certain Ministry, State Agency, State Commission, Executive Agency or regional administration to organize centralized procedure for awarding public procurement contract and to conclude the contract. (3) Two or more contracting authorities may decide to organize joint procedure for awarding public procurement contract.

Article 9

(1) Candidate for a public procurement contractor can be any Bulgarian or foreign natural or legal person, as well as their associations. (2) The contracting authority may provide in the contract notice requirement for assuming a form of a legal person where the candidate, selected for contractor is an association of natural and/or legal persons. In these cases the newly established legal person is bound to the tender filed by the association.

Article 10

Public procurement contractor shall be a candidate, who has participated in the award procedure and to whom the contracting authority has awarded the public procurement contract.

Article 11

The acts of the contracting authorities related to public procurement procedures shall not be considered as individual administrative acts.

Article 12

This Law shall not apply to: 1. contracts or design contests, which the public undertakings and traders award or organize in relation to an activity other than those referred to in Article 7, Para 1, item 5, to the exclusion of such awarded or organized by contracting authorities which exercise an activity referred to in Article 7, Para 1, item 5.a and which are connected with: a) irrigation, land drainage or other hydraulic engineering activities, provided that the volume of water intended for supply of drinking water represents more than 20% of the total volume of water made available by these activities; b) disposal or treatment of sewage. 2. contracts or design contests, which the public undertakings and traders award or organize in relation to an activity which is carried out in another country and not involving use of a network or geographic area in the Republic of Bulgaria; 3. supply contracts awarded by contracting authorities within the meaning of Article 7, Para 1, item 5 for purposes of resale or hire the object of such contracts to third parties, provided that


the contracting authority enjoys no special or exclusive rights to sell or hire the subject of such contracts and other persons can freely do this under the same conditions; 4. contracts for the supply of water, energy or fuels for the production of energy awarded by contracting authorities exercising an activity referred to in Article 7, Para 1, item 5.a and 5.b; 5. service contracts awarded by contracting authorities referred to in Article 7, Para 1, item 5 to an affiliated undertaking, provided that at least 80% of its average annual turnover arising from services provided in the Republic of Bulgaria for the preceding three years derives from the provision of such services to affiliated undertakings; 6. service contracts awarded by an association formed by contracting authorities for the purpose of exercising an activity referred to in Article 7, Para 1, item 5 to one of those contracting entities or to an undertaking which is affiliated with one of them, provided that at least 80% of its average annual turnover arising from services provided in the Republic of Bulgaria for the preceding three years derives from the provision of such services to affiliated undertakings; 7. service contracts awarded to an entity, which is a contracting authority within the meaning of Article 7, Para 1, item 1 or 3 and enjoys exclusive rights to provide such services pursuant to a law or administrative provision; 8. supply, service or works contracts, financed more than 50% by international or foreign organizations, provided that the donor has appointed the contractor; 9. contracts of the National Health Insurance Fund pursuant to Article 45, Para 6 of the Health Insurance Law. (2) The contracting authorities shall notify the Public Procurement Agency at its request of: 1. the activities which they regard as excluded under Para 1, item 1 and 2; 2. the subject of contracts referred to in Para 1, item 3; 3. the name of the affiliated undertaking, the subject and value of the contract and as well as proof for the presence of the circumstances under Para 1, item 5 and 6 in cases where these exclusions are applied.

Article 13

(1) This Law shall not apply to public procurement contracts: 1. related to national defence and security, subject to classified information declared to be secret or where their execution must be accompanied by special security measures in accordance with the legislation in force in the country; 2. for supplies and services which are connected with the production of and trade in weapons, munitions and other military equipment; 3. in pursuance of an international agreement covering supplies, services and works intended for joint implementation or exploitation by the signatory parties; 4. awarded pursuant to the special procedure of an international organisation, where this organisation provides more than 50% of the financing; 5. awarded pursuant to an international agreement, connected with stationing of troops and assuring the participation of military and police forces contingents for international missions and trainings; (2) The rules and conditions for awarding public procurement contracts in the cases referred to in Para 1, items 1 and 2 shall be established by an Ordinance adopted by the Council of Ministers following a proposal of the Minister of Interior, the Minister of Defence, the Minister of Economy and the Minister of Finance. The rules and conditions for compensatory (off-set) agreements as well as the cases where such are permitted shall also be established by this Ordinance.

Article 14

(1) The rules and conditions for awarding public contracts, defined in this Law, shall be mandatory for the awarding of public procurement contracts where their value net of VAT:


1. for public works contracts - exceeds 1 800 000 BGN, and where the place for implementation of the procurement contract is outside the country – exceeds 5 000 000 BGN; 2. for public supply contracts- exceeds 150 000 BGN, and where the place for implementation of the procurement contract is outside the country – exceeds 250 000 BGN; 3. for public service contracts - exceeds 90 000 BGN, and where the place for implementation of the procurement contract is outside the country – exceeds 250 000 BGN; 4. for design contests – exceeds 30 000 BGN. (2) Where a public procurement contract covers both supply of goods and services and the value of the services exceeds the value of the goods, Para 1, item 3 shall be applied. (3) Where contracting authorities within the meaning of Article 7, Para 1 items 1 to 4 subsidise by more than 50% a public works contract, the entities awarding the contract shall be obliged to adhere to the provisions of this Law where the total value of the public works contract net of VAT is above the threshold referred to in Para 1, item 1. (4) Where contracting authorities within the meaning of Article 7, Para 1 items 1 to 4 subsidise by more than 50% a public service contract in connection with a public works contract referred to in Para 3, the entities awarding the contract shall be obliged to adhere to the provisions of this Law where the total value of the contract net of VAT is above the threshold referred to in Para 1, item 3. (5) The rules and conditions for awarding public procurement contracts bellow the thresholds referred to in Para 1 shall be established by an Ordinance adopted by the Council of Ministers following a proposal of the Minister of Economy and the Minister of Foreign Affairs.

Article 15

(1) The value of the public procurement contract shall be determined as at the date of the decision for opening public procurement procedure. (2) For the purpose of defining the rules for awarding public procurement contracts, according to Article 14, the value of the public procurement contracts shall be calculated as follows: 1. in the case of a supply contract for leasing, rental or hire purchase of goods with a term: a) not exceeding one year – the total value for the term of its duration; b) exceeding one year – the value for the term of its duration, including the estimated residual value of the supply; 2. in the case of a contract for periodically repeated supplies and/or services – on the bases of: a) the actual total value of similar contracts, concluded over the previous fiscal year, adjusted for the anticipated changes in quantity or value of the corresponding supply or service, or b) the estimated value of supplies and/or services during the next 12 months following the first supply or service or for the term of the contract where this is greater than 12 months. 3. in the case of a contract for supply and/or service, providing for options – the maximum permitted total value, including the option clauses; 4. in the case of a service contract, which do not specify a total price and where: a) the term does not exceed 4 years – the total value of the contract for the term of its duration; b) the term exceeds 4 years – the value of the monthly instalment multiplied by 48; 5. in the case of a contract for insurance service – the insurance premium payable; 6. in the case of a contract for financial service – the price of the service, including fees, commissions and interests; 7. in the case of contract for service, following a design contest as well as in the case of a design contest, followed by a service contract, the value shall be defined by the value of the service as well as the total value of the awards and other payments to the participants in the contest; Bulgaria – Public Procurement Law – adopted in March 2004 5

8. in the case of a works contract – on the basis of the value of the works as well as the supply of all the goods and services, necessary for execution of the works where these are provided by the contracting authority. 9. in the case of a design contest the value shall include the total value of the awards and the other payments to the participants in the contest. (3) When calculating the value of the public procurement contract all payments to the contractor shall be included. (4) Where the public procurement includes several lots, each of them subject to a contract, the value of the procurement shall be equal to the sum of the values of all lots. (5) The selection of the method for defining the value of the public procurement contract shall not be used with the intention of avoiding the application of this Law. (6) Splitting of the public procurement is not permitted with the intention of avoiding the application of this Law, including in the case of construction in stages where the finished stage cannot receive permission for use as a self-sufficient object.

Section III Award Procedures

Article 16

(1) The public procurement contracts shall be awarded following an open procedure, restricted procedure, negotiated procedures and design contest. (2) The contracting authorities referred to in Article 7, Para 1, items 1 to 4 shall take a decision for awarding a public procurement contract following an open procedure, a restricted procedure or a design contest whenever the conditions referred to in Article 84 and 90 for opening a negotiated procedure are not present. (3) The contracting authorities referred to in Article 7, Para 1, item 5 shall take a decision for awarding a public procurement contract following an open procedure, a restricted procedure, a negotiated procedure with prior publication of a notice or a design contest whenever the conditions referred to in Article 104 for opening a negotiated procedure without prior publication of a notice are not present. (4) An open procedure shall be this procedure whereby all interested candidates may submit a tender. (5) A restricted procedure shall be this procedure whereby only candidates invited by the contracting authority after preliminary selection may submit a tender. (6) Negotiated procedures shall be: 1. negotiated procedure with prior publication of a notice whereby the contracting authority negotiates the clauses of the contract with one or more candidates selected by him following preliminary selection; 2. negotiated procedure without prior publication of a notice whereby the contracting authority negotiates the clauses of the contract with one or more strictly defined persons. (7) A design contest shall be this procedure whereby the contracting authority acquires a plan or project selected by an independent jury after being put out to competition with or without the award of prizes.


CHAPTER TWO AUTHORITIES. PUBLIC PROCUREMENT REGISTER.

Section I Authorities

Article 17

(1) The Minister of Economy shall implement the national policy in the field of public procurement and shall: 1. develop drafts of legislation and international agreements in the field of the public procurement; 2. submit the annual report on the activity of the Public Procurement Agency for adoption by the Council of Ministers by 31 March of the corresponding year; 3. approve Procurement Nomenclature and publish it in the State Gazette; 4. approve the standard forms of notices and information for the awarded public procurement contracts and organized design contests and publish them in the State Gazette; 5. implement and co-ordinate the international co-operation of the Republic of Bulgaria with organizations from other countries in the field of public procurement; 6. perform other activities provided by this law.

Article 18

(1) Public Procurement Agency shall be established to the Minister of Economy, referred to hereinafter “the Agency” which shall assist him in implementing the national policy in the field of public procurement. (2) The Agency shall be legal person settled in Sofia. (3) The Agency shall be financed by the State budget and by incomes from its own activities. (4) The activity, structure, operational rules and number of staff of the Agency shall be governed by Rules of Procedure adopted by the Council of Ministers.

Article 19

(1) The Agency shall be managed and represented by an Executive Director appointed by the Minister of Economy. (2) The Executive Director of the Agency shall: 1. issue methodological instructions on application of the Law and the secondary legislation; 2. notify the competent authorities for performing checks on the implementation of the Law; 3. file appeals with the Court against decision of the contracting authorities which violate the provisions of Article 25, Para 4; 4. file appeals with the Court for declaring null and void public procurement contracts which violate the Law; 5. issue opinions on draft legislation and international agreements in the field of public procurement; 6. keep the Public Procurement Register; 7. keep lists of the contracting authorities referred to in Article 7, Para 1; 8. keep a list of persons which the contracting authorities may use as external experts for conducting the award procedures, which shall be updated with the assistance of the professional associations and organizations in the corresponding branch; 9. develop standard forms of notices and information for the awarded public procurement contracts; 10. develop Procurement Nomenclature; 11. participate in the international co-operation of the Republic of Bulgaria with organisations from other countries in the field of public procurement;


12. present to the Minister of Economy the annual report on the activity of the Agency; 13. summarise the implementation practice concerning this Law; 14. draw up and keep a list of the countries with which the Republic of Bulgaria has concluded a multilateral or bilateral agreement, which provides for comparable and effective access of Bulgarian persons to the public procurements markets in these countries. (3) In exercising his/her powers the Executive Director of the Agency has the right to request from the contracting authorities the needed information. (4) The contracting authorities shall be obliged to present the requested information, referred to in Para 3 in the term determined by the Executive Director of the Agency. (5) The information referred to in Para 2, items 1, 6 to 8 and 12 to 14 as well as the approved standard forms and Procurement Nomenclature, referred to in item 9 and 10 shall be published on the Internet.

Article 20

(1) Court of Arbitration shall be established to the Agency for hearing and settling disputes in the field of public procurement. (2) The organization of the Court of Arbitration shall be determined by its Statute, and the rules for hearing of the cases – by Rules of Procedure, adopted by the Council of Ministers. (3) The Council of Ministers shall appoint the President of the Court of Arbitration who shall be a lawyer with at least 10 years professional experience and a professional of high morals. (4) The list of arbiters shall be open. Each side in the dispute shall appoint an arbiter who complies with the requirements of Para 5. (5) For arbiters shall be appointed a person of full legal age, not convicted and with at least 5 years juridical experience. (6) The fees for the arbitration proceedings shall be determined by the Council of Ministers following a proposal of the Minister of Economy and the Executive Director of the Agency.

Section II Public Procurement Register

Article 21

(1) A Public Procurement Register shall be established. (2) The Public Procurement Register shall be public. (3) The contracting authorities shall be obliged to submit to the Executive Director of the Agency the information intended to be entered into the Public Procurement Register.

Article 22

The Public Procurement Register shall contain: 1. the decisions for opening a procedure for awarding a public procurement contract; 2. the notices intended to be entered; 3. the information for awarded public procurement contracts; 4. other information defined by the Rules on implementation of the Law.


PART TWO AWARDING PUBLIC PROCUREMENT CONTRACTS

CHAPTER THREE GENERAL RULES FOR AWARDING PUBLIC PROCUREMENT CONTRACTS

Section I Prior Notice

Article 23

(1) Every year by 1 March the contracting authorities referred to in Article 7, Para 1, item 1 to 4 shall submit to the State Gazette for publication and to the Agency for entering into the Public Procurement Register prior notice for all the procurements which they intend to award by the end of the current year: 1. for supplies and for services referred to in Article 5, Para 1, item 1 by categories where the total value net of VAT for the corresponding category of goods or services is equal to or exceeds 450 000 BGN. 2. for works where the total value of the procurement net of VAT is equal to or exceeds the thresholds referred to in Article 14, Para 1, item 1. (2) The contracting authorities may submit to the State Gazette for publication and to the Agency prior notice for all the procurements which they intend to award by the end of the current year even if their total value net of VAT is bellow the values indicated in Para 1. (3) In the cases of Para 1, item 1 the category of goods shall be defined by the contracting authorities in accordance with the classification of the Procurement Nomenclature referred to in Article 17, item 3. (4) The publication of the prior notice shall not oblige the contracting authority to organise the corresponding award procedures.

Article 24

(1) The prior notice shall contain at least the following information: 1. name, address, telephone, fax and e-mail address of the contracting authority and, if different, of the service from which additional information may be obtained; 2. in the case of public supply contracts – description and quantity or estimated total value of the goods, including for the lots; 3. in the case of public service contracts – the estimated total value of the services in each category of services referred to in Article 5, Para 1, item 1, including for the lots; 4. in the case of public works contracts – description, extent and place of execution of the works, including for the lots; 5. date of dispatch of the notice. (2) The notice referred to in Para 1 shall contain not more than 650 words and shall be drawn up according to a standard form referred to in Article 17, item 4. The contracting authorities shall send the notice to the State Gazette and to the Agency also in electronic form.

Section II Decision for Opening a Procedure for Awarding a Public Procurement Contract and

Public Procurement Contract Notice

Article 25

(1) The contracting authority shall take decision for opening a procedure for awarding a public procurement contract, with which shall approve the public procurement contract notice


and documentation for participation in the procedure. The decision shall be submitted to the Agency to be entered in the Public Procurement Register also in electronic form. (2) The public procurement contract notice shall contain at least the following information: 1. name, address, telephone, fax, e-mail address of the contracting authority and contact person; 2. type of the award procedure; 3. object of the procurement and quantity or volume, including for the lots; 4. code according the Procurement Nomenclature; 5. place and time-limits for execution of the procurement; 6. requirements for the economic and financial standing of the candidate as well as for his technical capability and qualification, when the contracting authority requires such and the documents required to prove these; 7. terms and value of the participation guarantee and performance guarantee; 8. terms and method of payment; 9. term of validity of the tenders; 10. criteria for evaluation of the tenders; 11. place and time-limit for receiving, price and method of payment for the documentation for participation in the procedure; 12. place and time-limit for filing the applications or tenders; 13. place and date of opening tenders; 14. date of publication of the prior notice referred to in Article 23 if such; 15. date of dispatch of the notice. (3) In the notice the contracting authority may also include: 1. restrictions for presenting variants in the tender; 2. requirement for establishing legal person in cases when the candidate selected for contractor is an association of natural and/or legal persons; 3. in cases when the object of the procurement includes several lots – possibility the candidates to submit tender for all or only for some of them; 4. the indicators for determining the complex assessment of the tender, where the criterion is the most economically advantageous tender. (4) The contracting authorities shall not have the right to include in the decision, contract notice or contract documentation conditions or requirements that shall give advantage to specific candidates or shall create unjustified obstacles for participation in the procurement procedure. (5) In cases when the procurement includes several lots, one or more of which are for goods and/or services, which manufacture or performance is defined by an act of the Council of Ministers for awarding to specialized undertakings and co-operations of disabled people, the contracting authority may not restrict the candidates to submit tenders for each lot.

Article 26

The contracting authority may include in the notice referred to in Article 25 also additional requirements to the execution of the public procurement contract, connected with environment protection, unemployment and employment of disabled people, if the requirements referred to in Article 25, Para 4 are adhered.

Article 27

(1) The notice referred to in Article 25, Para 2 shall contain not more than 650 words and shall be drawn up according to a standard form referred to in Article 17, item 4. (2) The public procurement contract notice shall be published in the Public Procurement Bulletin of the State Gazette not later than twelve days after its dispatch. The notice shall be submitted also in electronic form. (3) After the publishing of the notice in the State Gazette, the contracting authority may publish information for the public procurement contract in one local or national daily newspaper.


In the publication shall be indicated at least the subject of the procurement and the date and number of the State Gazette in which the notice have been published and shall not contain information which is not included in the notice.

Section III Documentation for Participation in the Procedure for

Awarding a Public Procurement Contract

Article 28

(1) The documentation for participation in a procedure for awarding a public procurement contract shall contain: 1. the decision for opening a procedure for awarding a public procurement contract; 2. the public procurement contract notice; 3. full description of the subject of the procurement, including the lots; 4. the technical specifications; 5. the investment projects in cases of public works contracts; 6. the indicators, their weighting and the rules for defining the complex assessment of the tender, in cases where the criteria for evaluation is the most economically advantageous tender; 7. a standard form for the tender as well as instructions for its preparation; 8. draft contract; 9. draft arbitration agreement, signed by the contracting authority where the contracting authority offers such. (2) The rules referred to in Para 1, item 6 shall contain detailed instructions for determining the assessment for each indicator and the complex assessment of the tender. (3) The price of the documentation for participation may not be higher than the real expenses for its development. (4) The contracting authority shall determine a time-limit for buying the documentation which shall expire at least 8 days before the final date for submitting tenders.

Article 29

(1) Not later than 15 days before the end of the term for submitting the tenders each candidate may request in writing from the contracting authority explanations on the documentation for participation. The contracting authority shall be obliged to answer within three days from the filed request, except in the case referred to in article 81, Para 4. (2) The contracting authority shall send the explanation under Para 1 to all the candidates who have bought documentation for participation and have indicated correspondence address, without mentioning the candidate who has made the enquiry. The explanation shall be attached to the documentation which will be bought by other candidates.

Section IV Technical Specifications

Article 30

(1) The contracting authority shall specify in the documentation for participation in a procedure for awarding a public procurement contract the technical specifications by reference to: 1. Bulgarian standards transposing European or international standards and accompanied by the words “or equivalent”; 2. Bulgarian standards or technical approvals, or other standardisation documents established by European or international organisations and accompanied by the words “or equivalent”, where there are no standards referred to in Item 1;


(2) Technical specifications may be defined by the contracting authority also by indicating requirements for performance characteristics or functional requirements, which define precisely the subject-matter of the contract. (3) In the case referred to in Para 2 the indication of requirements may be accompanied by reference to standards and/or technical approvals referred to in Para 1 the conformity to which shall presume conformity to the requirements under Para 2. (4) When presenting the technical specifications to the candidates, the contracting authorities may also define requirements for protection of the confidentiality of the information.

Article 31

In cases of public works contracts where the technical specifications cannot be defined as provided by Article 30, Para 1 they shall be defined by reference to other technical specifications relating to the design, methods for calculation and execution of the works, as well as to the used materials. In this case when defining the technical specifications, they shall be mandatory accompanied by the words “or equivalent”.

Article 32

(1) The technical specifications shall afford equal access for candidates in the award procedure and shall not create unjustified obstacles to competition. (2) The technical specifications shall not be defined by indication of a specific make, source, process, trademark, patent, type, origin or production, except in cases where it is not possible the subject-matter of the contract to be described as provided by Articles 30 and 31 and the words “or equivalent” are added.

Article 33

(1) In the cases referred to in Article 30, Para 1 and Article 31, the contracting authority cannot reject a tender on the grounds that the goods or services tendered for do not comply with the technical specifications to which it has referred where the candidate proves in his tender that the solution chosen by him conforms to the requirements defined in those technical specifications. (2) In the cases referred to in Article 30, Para 2, the contracting authority cannot reject a tender which complies with national standard transposing European or international standard if the candidate proves in his tender that those standards address the performance characteristics or functional requirements defined by the contracting authority. (3) In the cases referred to in Para 1 and 2 the candidate shall provide as a proof the technical dossier of the manufacturer or test report or certificate issued by a body accredited by the Executive Agency “Bulgarian Accreditation Service” or by a foreign accreditation authority, which is a member of the European Cooperation for Accreditation (EA). (4) When presenting data and documentation, referred to in Para 1 to 3, the candidates may define requirements for protection of the confidentiality of the information.

Section V Review, Evaluation and Ranking of Tenders

Article 34

(1) The contracting authority shall appoint a Commission for carrying out the procedure for the award of a public procurement contract by determining its members and reserve members. (2) The Commission shall be comprised of at least three members of whom at least one shall be a legally competent lawyer, and the rest of the members shall be persons possessing the necessary professional qualification and practical experience in relevance to the subject and complexity of the procurement.


(3) The contracting authority may involve as members or consultants to the Commission external experts. (4) In cases of open procedures, the Commission shall be appointed by the contracting authority after the term for submitting tenders has expired and shall be announced on the day of opening the tenders. In cases of restricted procedures or negotiated procedures, the Commission shall be appointed after the term for filing applications for participation has expired. (5) The contracting authority shall determine the time-limit for finalizing the work of the commission which shell not exceed the term referred to in Article 25, Para 2, item 9. (6) The remunerations of the Commission members and all the expenses connected with its activity shall be for the expenses of the contracting authority.

Article 35

(1) The contracting authority shall appoint for members of the Commission or consultants persons who have declared that: 1. have no material interest in the awarding of the public procurement contract to a specific candidate; 2. are not “connected persons” in the meaning of the Commercial Law with a candidate in the procedure or with the indicated by him/her subcontractors, or with the members of their managerial or control bodies. (2) The members of the Commission and the consultants shall be obliged to keep in secret the circumstances which have become known to them in connection with their work in the Commission. (3) The members of the Commission and the consultants shall present to the contracting authority a declaration for the conformity with the circumstances under Para 1 and for the adhering to the requirements under Para 2 at their appointment and on each stage of the procedure, when the there is a change in the declared circumstances.

Article 36

(1) The decisions of the Commission shall be taken by a majority of its members. In cases where a member of the Commission is against the taken decision, he/she shall sign the protocol with reservation and shall present his/her motives in writing. (2) If a member of the Commission by independent reasons may not perform his/her duties, and may not be replaced by a member in reserve, the contracting authority shall issue an order for assigning a new member.

Article 37

The contracting authority shall award the contractor of the public procurement on the basis of the evaluation of the tenders based on the following criteria which shall be indicated in the notice: 1. The lowest price; 2. Economically most advantageous tender.

Article 38

At evaluation of the tenders, the price offered by a candidate which is a specialised undertaking or co-operation of disabled people, shall be accepted as the lowest if it exceeds with no more than 10% of the lowest offered price by another candidate.

Article 39

(1) The contracting authority shall terminate the procedure for public procurement awarding with a motivated decision in cases where: 1. no tenders are submitted or no candidates are admitted; 2. None of the tenders fulfil the preliminary announced conditions by the contracting authority;


3. all of the submitted tenders which fulfil the preliminary announced conditions by the contracting authority exceed the financial resource that can be provided; 4. The rated candidates in succession sequentially refuse to conclude a public procurement contract. 5. The reasons for conducting the procedure fail as a result of a substantial change in the circumstances, including lack of possibility for acquiring funding for implementation of the procurement under reasons which the contracting authority could not presume. 6. finds out breaches in its initiation or carrying out, which cannot be set aside without changing the conditions for advertising the procedure. (2) The contracting authority shall be obliged within seven-day term from taking the decision referred to in Para 1 to notify the participants for the termination of the procedure for public procurement awarding and shall submit a copy of it to the Executive Director of the Agency . (3) In the case referred to in Para 1, item 3 the contracting authority shall mandatory include in the decision for terminating the procurement procedure the lowest price offered and shall not award a contract with the same subject under subsequent procurement procedure for a price equal or exceeding this price if carries out a following procedures in the same year. (4) When the procurement procedure has been terminated in accordance with Para 1, item 3, 5 and 6 the contracting authority shall reimburse to the candidates the costs for the documentation for participation in the procurement procedure within 14-days term from the decision referred to in Para 1.

Article 40

The contracting authority may open a new procedure for public procurement with the same subject awarding only after the firstly announced procedure has been terminated and there is no filed claim about the termination decision or if a claim is filed, the dispute has been settled

Section VI Public Procurement Contract

Article 41

(1) The contracting authority shall conclude a written public procurement contract with the candidate selected for contractor of the procurement. (2) The public procurement contract shall include obligatory all the proposals from the tender of the candidate selected for contractor. (3) The contracting authority shall conclude a contract under Para 1 within one-month term after announcing the decision for selection of contractor of the public procurement. (4) The awarding of public procurement contracts with unlimited duration shall not be permitted.

Article 42

The contract for public procurement shall not be concluded with the candidate selected for contractor of the procurement, who while signing the contract does not present: 1. a document for registration in compliance with the provision of Article 9, Para 2; 2. documents in compliance with the provision of Article 47, Para 6 and Article 48, Para 2; 3. a document for deposited guarantee for implementation.

Article 43

(1) The parties under a public procurement contract are not allowed to amend it and/or supplement it. (2) The contracting authority may terminate a public procurement contract in cases where as a result of circumstances, arising after its conclusion, he/she can not perform his/her obligations.


In those cases the contracting authority owes to the contractor compensation for losses endured in connection with the contract.

Article 44

(1) The contracting authority shall be obliged to submit information for each public procurement contract awarded to the Agency to be entered into the Public Procurement Register for not later than 7 days after awarding the contract. (2) The information under Para 1 shall be in accordance with a standard form referred to in Article 17, item 4. (3) The provision of Para 1 may not be applied when the announcements of the information for the concluded contract contradicts to a Law. In that case the contracting authority shall motivate that before the Agency.

Article 45

For all unsettled issues under this Law in reference to concluding, implementing and termination of the public procurement contracts, the provisions of the Commercial Law and the Law on the Obligations and Contracts shall be applied.

CHAPTER FOUR GENERAL RULES FOR PARTICIPATION IN THE PROCEDURE FOR PUBLIC PROCUREMENT

AWARDING

Section I Requirements to the Candidates

Article 46

Any candidate who complies with the preliminary announced conditions may participate in a procedure for awarding public procurement.

Article 47

(1) From participation in a procedure for the award public procurement contract shall be excluded any candidate who: 1. is convicted by final judgement for crimes against the financial, taxation or insurance systems, for criminal breach of trust or bribery as well as for crimes against the property, unless vindicated; 2. is bankrupt; 3. is subject of proceedings for winding up; 4. is deprived from the right to exercise commercial activity. (2) The contracting authority may exclude from participation in a procedure for the award of public procurement contract any candidate who: 1. is subject of proceedings for a declaration of bankruptcy; 2. has public obligations to the state, or the municipality, in the meaning of Article 13, Para 2 of the Taxation Procedure Code, established by an enforced act, issued by a competent authority, apart from the cases where for such obligations deferral is agreed; (3) The requirements referred to in Para1, item 1, and 4 shall refer also to the managers or the members of the managing bodies of the candidates, and in case that members are legal persons – for their representatives in the relevant managing body. (4) The restrictions under Para 1, item 2 and 3 shall not refer to cases under Article 104, Para 1, item 11. (5) When submitting the tender or the request to participate the candidate shall declare the absence of the circumstances under Para 1 and Para 2.


(6) At signing the public procurement contract the candidate, selected for contractor shall be obliged to present documents issued by the relevant competent authorities proving the absence of the circumstances under Para 1, items 1 to 3 and Para 2.

Article 48

(1) In cases where the candidate is a foreign natural or legal person, he/she must fulfil the requirements referred to in Article 47 in the country where it is established. (2) At signing the public procurement contract the candidate, referred to in Para 1, selected for contractor shall be obliged to present the documents proving the absence of the circumstances under Article 47, Para 1, items 1 to 3 and Para 2 issued by a competent authority, or extract from a judicial record, or an equivalent document issued by a judicial or administrative body in the country where the candidate is established.

Article 49

(1) The contracting authority shall specify in the contract notice those circumstances under Article 47, Para 2 the presence of which shall lead to exclusion of the candidates. (2) Where the candidate envisages participation of subcontractors, they shall also comply with the requirements under Para 1 and the restrictions under Article 47, Para 1 for which they shall present the relevant documents.

Article 50

(1) For proving the economic and financial standing of the candidates, the contracting authority may require from them to present one or several of the following documents: 1. appropriate statements from banks or evidence of relevant professional risk indemnity insurance; 2. balance-sheets or extracts from the balance-sheets, where publication of the balance-sheets is required under the law of the country in which the candidate is established; 3. a statement of the overall turnover and of the turnover formed by goods, services or works which are procured for the last three years; (2) Where for objective reasons the candidate is unable to provide the documents required by the contracting authority, he may prove his economic and financial standing by any other document which the contracting authority considers appropriate. (3) When specifying the requirements for the economic and financial standing of the candidates, the contracting authority shall take into consideration the value and the subject-matter of the public procurement contract.

Article 51

(1) Taking into consideration the nature, quantity and the subject-matter of the public procurement contract, the contracting authority may require the candidates to prove their technical and/or professional abilities by presenting one or more of the following documents: 1. declaration containing the list of the main contracts for supply and services, performed during the last three years, including the values, dates and recipients, and for the works contracts – also the sites of the works brought into use during the last 5 years. 2. description of the technical equipment, measures for ensuring quality and the equipment for testing and research; 3. list of technicians, including those responsible for the quality control; 4. samples, descriptions and/or photographs of the goods to be supplied, the authenticity of which must be certified if the contracting authority so requires; 5. certificates, issued by accredited quality management systems certification bodies and/or accredited product certification bodies or by persons authorized under Chapter 3 of the Law on Technical Requirements to Products;


6. documents certifying the education and professional qualification of the candidate and/or the managerial staff or of the persons responsible for providing the service or managing the work; 7. information for the average annual manpower and the number of managerial staff of the candidate for the last three years; 8. information for own or hired technicians which the candidate will use for carrying out the work.

Article 52

In case where the object of the public procurement is complex, or is with specific purpose, the technical abilities of the candidate and, if needed, the equipment for testing and research, and the abilities for quality providing, shall be inspected by the contracting authority. The contracting authority may require this also from a competent body in the country where the candidate is established, if this body agrees to perform the inspection on behalf of the contracting authority.

Article 53

(1) In case where the contracting authority requires presentation of certificates, issued by independent persons, who certify the correspondence of the candidate with standards for quality management systems, the contracting authority shall point out the systems for quality management through the relevant European standard series. (2) The independent persons under Para 1 shall be accredited under the relevant European standard series by the Executive Agency “Bulgarian Accreditation Service” or by a foreign accreditation authority which is a member of the European Cooperation for Accreditation (EA). (3) The contracting authority shall accept other proof for equivalent measures for quality providing by candidates who have no access to such certificates, or have no possibility to acquire such certificates within the relevant terms.

Section II Tender

Article 54

(1) For the preparation of the tender every candidate must comply with the announced by the contracting authority conditions. (2) By the elapsing of the term for submitting the tenders any candidate to the procedure may change, supplement or withdraw his tender.

Article 55

(1) Any candidate to the procedure for awarding public procurement has the right to present only one tender. (2) If the criterion for evaluation of the tenders is the economically most advantageous tender and the contracting authority has not restricted the possibility for presenting variants, the candidate may include several variants in his tender. (3) A person who has agreed and is present as subcontractor in the tender of another candidate may not present an independent tender.

Article 56

(1) Each tender shall contain: 1. document for registration of the candidate and where the candidate is natural person – a document for identification; 2. document for deposited guarantee for participation; 3. evidence for economical and financial standing of the candidate under Article 50, indicated by the contracting authority in the notice for public procurement;


4. evidence for the technical abilities and/or qualification under Article 51, indicated by the contracting authority in the notice for public procurement; 5. a declaration for the absence of the circumstances under Article 47, Para 1; 6. declaration for the absence of the circumstances under Article 47, Para 2 indicated by the contracting authority in the notice for public procurement; 7. the subcontractors who will participate in the implementation of the procurement and the share of their participation, if the candidate envisages the participation of subcontractors; 8. term for implementation of the procurement; 9. offered price; 10. a declaration that the offered price adheres to the requirement for minimum value of the labour – in cases of works contracts; 11. Other information indicated in the notice or in the documentation for participation; 12. List of the documents, attached to the tender, signed by the candidate. (2) Where the candidate envisages participation of subcontractors, the documents under Para 1, items 1,3,4,5, 6 and 10 shall be presented for each of them. (3) If the candidate in the procedure is an organization which is not a legal person, the documents under Para 1, items 1,3,4,5, 6 and 10 shall be presented by every natural or legal person included in the organization. (4) If the candidate in the procedure is a foreign natural or legal person or their organizations, the tender shall be submitted in Bulgarian language, the document under Para 1, item 1 shall be presented in legalised translation, and the documents under Para 1, items 3, 4, 5, 6 and 10 which are in a foreign language, shall be presented also in translation. If the candidate is an organisation, the documents shall be presented for each of the participants in it.

Article 57

(1) The tender shall be presented in a sealed, not transparent envelope by the candidate or a representative authorized by him, in person or by post with a registered letter with a return receipt. On the envelope the candidate shall indicate the correspondence address, telephone and if possible, fax and email address and if the tender is for lots - the lots it refers to. (2) The offered price shall be presented in a separate sealed not transparent envelope with an inscription “Offered price”, placed in the envelope with the tender. (3) While receiving the tender over the envelope shall be indicated the regular number, the date and the hour of the receiving and the indicated data shall be entered into a register about which the receiver shall have a document. (4) The contracting authority shall not accept for participation in the procedure and shall immediately return to the candidates tenders which have been presented after expiry of the deadline or in a not sealed or torn envelope. These circumstances shall be written down into the register under Para 3.

Article 58

(1) The term of validity of the tenders shall be the time during which the candidates are bound with the conditions of the presented by them tenders. (2) The contracting authority shall define the term under Para 1 in calendar days. (3) The contracting authority may require from the successful candidates to prolong the term of validity of their tenders up to the moment of awarding the contract for public procurement.


Section III Guarantees

Article 59

(1) The candidate shall submit a guarantee for participation in the public procurement procedure, and the selected contractor shall provide a guarantee for the performance when awarding the public procurement contract. (2) The amount and the conditions of the guarantee for participation shall be fixed by the contracting authority as an absolute amount which shall not exceed 1 per cent of the value of the procurement. (3) The amount and the conditions of the guarantee for the performance shall be fixed by the contracting authority as a percentage of the value of the contract and shall not exceed 5 per cent of the value of the procurement. (4) The contracting authority shall also require other guarantees for the performance, in cases when a Law requires such. (5) If the candidate selected as a contractor is an undertaking or cooperation of disabled people, the guarantee for the performance of the contract may not exceed 1 per cent of the value of the procurement.

Article 60

(1) The guarantees shall be submitted in one of the following forms: 1. cash; 2. bank guarantee. (2) The candidate or the public procurement contractor shall choose the form of the relevant guarantee for participation, respectively for performance.

Article 61

(1) The contracting authority shall have the right to keep the guarantee for participation in cases when a candidate in a public procurement procedure: 1. withdraws the tender after the elapse of the time for submission of the tenders; 2. files an appeal against a contracting authority’s decision until the dispute is settled; 3. is nominated as contractor but does not fulfil the obligation to sign a public procurement contract within the time-limit referred to in Article 41, Para 3. (2) In cases under Para 1, when the candidate has submitted a bank guarantee, the contracting authority shall have the right to proceed to exercise the rights on it.

Article 62

(1) The guarantees for participation of the candidates who have been rejected shall be released by the contracting authority three working days after the elapse of the time period for filing an appeal against the decision of the contracting authority for nominating a contractor. (2) The guarantees of the successful candidates shall be released within a time period of three working days after the public procurement contract is signed. (3) In case of termination of the public procurement procedure the guarantees of all candidates shall be released within three working days after the elapse of the time period for filing an appeal against the decision for termination of the procurement procedure. (4) The contracting authority shall release the guarantees under Para 1, 2 and 3, and no interest rates shall be due for the period the money has legally been kept by the contracting authority.

Article 63

The terms and conditions for detention and release of the guarantee for execution shall be established by the public procurement contract.


CHAPTER FIVE OPEN PROCEDURE

Section I Preparation of the Open Procedure

Article 64

(1) When conducting an open procedure the contracting authority shall submit the notice for public procurement at the same time to the State Gazette for publishing and to the Agency for entering into the Public Procurement Register at least 52 days before the deadline for submitting the tenders. (2) The term under Para 1 may be shortened up to 22 days, where the preliminary notice has been sent for publication not less than 52 days and not more than 12 months before the date of dispatch of the notice under Para 1 and contains the information under Article 25, Para 2, available by the date of its submission.

Article 65

(1) When fixing the deadline for submitting the tenders, the contracting authority must take into account the bulk of the documentation for participation in the procedure and the necessity for on-the-spot inspection. (2) In cases where within the term set for submitting the tenders no tender is submitted, the contracting authority may extend the term with no more than 30 days. (3) Any change of the term for submitting tenders must be published and entered into the register as provided by Article 64, Para 1. When the extended term is fixed in days, it starts from the date of publication in the State Gazette.

Article 66

(1) The preparation and conducting of the open procedure shall be done by the contracting authority. (2) The contracting authority shall be responsible for the receipt and keep of the tenders. (3) The contracting authority shall be obliged to keep all the documentation about the conduct of each public procurement procedure for a period of not less than three years after the realization of the contract.

Article 67

(1) All the actions of the contracting authority to the candidates shall be in written form. (2) The decisions of the contracting authority which are liable to notification to the candidates shall be handed in person after a signature or shall be sent with a registered letter with a return receipt, or by electronic means under the terms and conditions of the Law for the electronic document and the electronic signature.

Section II Review, Evaluation and Ranking of Tenders

Article 68

(1) The Commission assigned by the contracting authority for review, evaluation and ranking of tenders shall start work after the list of candidates and the submitted tenders are made available to it. (2) Any change in the date and the hour for opening of the tenders shall be notified to the candidates in writing.


(3) The Commission shall open the envelopes by the order of their submission and shall check the compliance of the tenders with the list under Article 56, Para 1, item 12. (4) The candidates participating in the procedure or their authorized representatives may be present at the actions of the Commission under Para 3. (5) The Commission shall check for the compliance of the tenders with the conditions initially announced by the contracting authority. (6) The Commission may check, at any time, the data and facts specified by the candidates as well as request in writing in a specified term further evidences for the circumstances presented in the tender. (7) When opening the tenders at least three members of the Commission shall sign the price offer and where the criteria for evaluation is the economically most advantageous tender they shall also sign all the proposals of the candidate that will be evaluated by the Commission according to the announced criteria .

Article 69

(1) The Commission shall reject from participation in the procedure a candidate who: 1. failed to submit a document as per Article 56; 2. cannot participate in a procedure for awarding public procurement because of the presence of the circumstances as per Article 47, Para1; 3. has submitted a tender which is not complete or does not correspond to the conditions initially announced by the contracting authority. 4. has submitted a tender which does not correspond to the provisions laid down in Article 57, Para 2 (2) The Commission shall reject from participation in the procedure those candidates who fall under the circumstances of Article 47, Para 2, indicated by the contracting authority in the notice for public procurement. (3) The candidates shall be obliged to inform, in the run of the procedure, the contracting authority for all changes occurring in the circumstances under Article 47 within a period of 7 days from the date of their occurrence.

Article 70

(1) Where a candidate offers a price which is 30% lower than the average price offered by the other candidates in the same procurement procedure, the Commission shall require from the candidate detailed written explanation. The Commission shall define a reasonable term for presenting the explanation, which may not be less than 3 working days after receiving the requirement. (2) The Commission may accept the written explanation and not reject the tender when objective factors have been pointed out, connected with: 1. original solution for implementation of the public procurement; 2. the proposed technical solution; 3. presence of exclusively favourable conditions for the candidate; 4. the cost-effectiveness while implementing the public procurement. (3) In cases where the candidate has not presented in due term the written explanation or the Commission estimates that the pointed out factors are not objective, the Commission shall reject the candidate from participation in the procedure.

Article 71

(1) The Commission shall review the accepted tenders and shall evaluate them against the initially announced conditions. (2) Where the contracting authority did not restricted the possibility to present variants in the tender, the Commission may not reject a tender on the sole ground, that the selection of such variant would lead to the award of a service contract instead of a supply contract or vice versa.


(3) The Commission shall rank the candidates according to the extent of conformity to the initially announced by the contracting authority conditions.

Article 72

(1) The Commission shall draw up a Protocol for the review, evaluation and ranking of the tenders that shall contain: 1. members of the Commission and list of the consultants; 2. list of candidates and tenders rejected from the procedure and the motives for their rejection; 3. the opinion of the consultants; 4. the results from the review and the evaluation of the tenders, including a draft description of the proposals of the candidates and the rating of each index, where the criterion for evaluation is the most advantageous tender; 5. the ranking of the candidates whose tenders are accepted for review and evaluation; 6. date of drawing up the Protocol. (2) The Protocol of the Commission shall be signed by all members and shall be forwarded to the contracting authority accompanied by all documents. (3) With presenting the Protocol to the contracting authority the Commission shall consider its activity done.

Section III Nomination of Contractor of Public Procurement Contract

Article 73

(1) The contracting authority shall announce with a motivated decision the ranking of the candidates and shall nominate the candidate for contractor not later than five working days after finalizing the activity of the Commission. (2) In the decision under Para 1 the contracting authority shall indicate the rejected from participation in the procedure candidates and tenders as well as the motives for their rejection. (3) The contracting authority shall submit the decision under Para 1 to the candidates in 3-day term after its development. (4) On written request from a candidate, the contracting authority shall be obliged in 3-days term to provide him access to the Protocol under Article 72, Para 1. The contracting authority may refuse access to some information, included in the Protocol in case that its presenting contradicts to a legal provision.

Article 74

(1) The contracting authority shall award the public procurement contract to the candidate ranked by the Commission on the first place and nominated for contractor. (2) If the candidate nominated for contractor refuses to conclude the contract, the contracting authority shall nominate for contractor the next candidate ranked and shall award the contract to him/her.

CHAPTER SIX RESTRICTED PROCEDURE

Article 75

In the notice for awarding public procurement through restricted procedure, the contracting authority may indicate also the number of candidates, who he intends to invite for presenting tenders. This number may not be less than five and more than twenty candidates.


Article 76

(1) The contracting authority shall submit the notice for public procurement at the same time to the State Gazette for publishing and to the Agency for entering into the Public Procurement Register at least 37 days before the deadline for receiving the applications for participation in the preliminary selection of candidates. (2) If any circumstances of extraordinary urgency occur, which the contracting authority could not and was not obliged to envisage, and as a result of which it is not possible to keep the term under Para 1, the contracting authority may set up a term for receiving the applications for participation in the preliminary selection of candidates not less than 15 days of the date of the dispatch of the notice. (3) In the cases under Para 2 the contracting authority shall be obliged to indicate in the notice the concrete circumstances of the extraordinary urgency. (4) In the cases under Para 2 the notice for public procurement shall be obligatory dispatched also by fax and in electronic form and shall be published in The State Gazette up to 5 days after its dispatch.

Article 77

(1) The contracting authority shall conduct preliminary selection in view to select candidates who have the needed financial and technical abilities to implement the public procurement. (2) Any candidate may submit an application to participate in the preliminary selection. (3) The application for participation in the preliminary selection shall contain: 1. Document for registration of the candidate where this is a legal person or personal identification document where this is a natural person; 2. Declaration for absence of the circumstances under Article 47, Para 1; 3. Declaration for absence of the circumstances under Article 47, Para 2, indicated in the notice for public procurement by the contracting authority; 4. Proof for economical and financial standing under Article 50, indicated in the notice for public procurement by the contracting authority; 5. Proof for the technical abilities and/or qualification under Article 51, indicated in the notice for public procurement by the contracting authority; 6. The subcontractors who will participate in the procurement implementation and the share of their participation, when the participation of such is envisaged; 7. document for the guarantee for participation. (4) Where the candidate envisages participation of subcontractors, the documents under Para 3, items 1 to5 shall be presented for each of them. (5) If the candidate in the procedure is an organization which is not a legal person, the documents under Para 3, items 1 to 6 shall be presented by every natural or legal person included in the organization.

Article 78

(1) The Application shall be submitted under the provisions of Article 57, Para 1, 3 and 4. (2) For the preliminary selection the contracting authority shall not have the right to require and the candidate shall not have the right to present a tender.

Article 79

(1) For the conduct of the procedure the contracting authority shall assign a Commission under the provisions of Section V of Chapter Three. (2) The Commission shall review the submitted applications for participation and shall make a selection of the candidates on the basis of the submitted according to the notice documents for their economical and financial standing as well as their technical abilities and/or qualification for implementation of the public procurement. .


(3) The Commission shall draw up a Protocol for the results of the selection under Para 2 that shall contain: 1. members of the Commission and list of the consultants; 2. a list of the candidates who do not respond to the requirements, announced by the contracting authority, as well as the reasons for that; 3. a list of the candidates who respond to the requirements under Para 2 and shall be invited to submit tenders, and in cases where the number of the candidates exceeds the number of the candidates, indicated in the notice, who shall be invited to submit tenders, a ranking on the basis of a complex evaluation of the circumstances under Para 2; 4. date of drawing up the Protocol. (4) The contracting authority shall determine by a decision the candidates proposed by the Commission who will be invited to submit tenders within 7 days after the date of the Protocol. The candidates who do not respond to the requirements, announced by the contracting authority as well as the reasons for that shall also be included in the decision. (5) The contracting authority shall be obliged to invite to submit tenders all the candidates, when their number does not exceed the preliminary indicated in the notice number of candidates who shall be invited to submit tenders. (6) The contracting authority shall submit at the same time to all selected candidates written invitation for submitting tenders and shall submit its decision under Para 4 to the Agency and to the candidates who has not been qualified.

Article 80

The invitation for submitting tenders for participation in the restricted procedure shall contain: 1. term and place for submitting the tenders; 2. date of publication of the notice under Article 76.

Article 81

(1) In the invitation under Article 80 the contracting authority shall set up a term for submitting the tenders which may not be less than 40 days of the date of its dispatch. (2) The term under Para 1 may be shortened up to 26 days if the preliminary notice under Article 24 has been sent for publication not less than 52 days and not more than 12 months before the date of the dispatch of the notice under Article 76, Para 1 and contains the information under Article 25, Para 2, available at the moment of its dispatch.: (3) In the cases provided by Article 76, Para 2 the contracting authority may set up a term for submitting the tenders not less than 10 days of the date of dispatch of the invitation, referred to in Article 80. (4) In the cases provided by Article 76, Para 2 up to 7 days before the end of the deadline for submitting the tenders, each candidate may request in writing from the contracting authority explanations on the documentation for participation . The contracting authority shall be obliged to answer in 3-day term from receiving the request, and shall inform the other candidates as provided for in Article 29, Para 2. (5) When fixing the deadline for submitting the tenders, the contracting authority must take into account the bulk of the documentation for participation in the procedure and the necessity for on-the-spot inspection.

Article 82

(1) Each tender shall respond to the requirements of Article 56. (2) The candidate shall not be obliged to present for the second time the documents which have been presented with the application for participation in the preliminary selection.


Article 83

The reviewing, evaluation and ranking of tenders and nomination of contractor of the procurement shall be performed as provided by Sections II and III of Chapter Five.

CHAPTER SEVEN NEGOTIATED PROCEDURES

Section I Negotiated Procedure with Prior Publication of a Notice

Article 84

The contracting authority may award public procurement contracts through a negotiated procedure with prior publication of a notice only in cases where: 1. the open or restricted procedure has been terminated under Article 39, Para 1, items 2 or 3 and the initially announced conditions have not been substantially changed; 2. in exceptional cases, where the nature of the service, or works, or the risks, connected with them do not allow preliminary defining the value. 3. the nature of the service does not allow to be defined exactly enough the technical specifications, in order to award the procurement under the conditions of the open or restricted procedure; 4. the procurement is for services, under Article 5, Para 1, item 2; 5. in the construction area, research, experimental and development work is to be performed, which is not with profitable purpose, or compensation of the expenses for that activity.

Article 85

In the decision, referred to in Article 25, Para 1, the contracting authority shall be obliged to motivate the choice of negotiated procedure with notice.

Article 86

(1) The notice for public procurement awarding shall be sent at the same time to the State Gazette for publishing, and to the Agency for entering into the Public Procurement Register, at least 37 days before the deadline for receiving the applications for participation in the procedure. (2) If circumstances occur of exceptional urgency, which the contracting authority could not, and has not been obliged to envisage, and as a result of which it is impossible to keep the term, referred to in Para 1, the contracting authority may set a term for submitting the applications for participation in the negotiated procedure, not shorter than 15 days from the date of dispatch of the notice. (3) In the cases under Para 2 in the notice for public procurement awarding, the contracting authority shall be obliged to indicate the concrete circumstances of exceptional urgency

Article 87

(1) The Application for participation in a negotiated procedure with notice shall respond to the requirements of Article 77, Para 3 to 5. (2) The application shall be submitted as provided by Article 57, Para 1, 3 and 4.

Article 88

(1) For the conduct of the procedure, the contracting authority shall assign a Commission, as provided by Section V of Chapter Three. (2) The Commission shall review the submitted applications and shall make a selection from the candidates on the basis of the submitted according to the notice documents for their


economical and financial standings as well as of their technical possibilities and/or qualification for implementation of the public procurement. (3) The Commission shall draw up a Protocol for the results of the selection under Para 2 that shall contain: 1. members of the Commission and list of the consultants; 2. a list of the participants who do not respond to the requirements announced by the contracting authority as well as the reasons for that; 3. a list of the participants who respond to the requirements under Para 2 and shall be invited to submit tenders, and in cases where the number of the candidates is more than 3 – a preliminary ranking on the basis of the complex assessment of the requirements under Para 2. 4. Date of drawing up the Protocol. (4) In a 7-day term from the date of the Protocol under Para 3, the contracting authority shall qualify with a decision the candidates, proposed by the Commission who will be invited for participation in the negotiations. In the decision shall be also included also the candidates who do not respond to the announced by the contracting authority requirements as well as the reasons for that. (5) Where more than 3 candidates has been proposed as provided in Para 3, the number of the candidates who the contracting authority shall invite shall not be less three. Where the proposed candidates are three or less, all of them shall be invited for participation in the negotiations. (6) The contracting authority shall send at the same time to all qualified candidates written invitations for participation in the negotiations and shall send its decision under Para 4 to the Agency and to the candidates who have not been qualified.

Article 89

(1) The invitation for participation in the negotiations shall contain: 1. date and place for holding the negotiations; 2. need of presenting additional evidence for the declared circumstances, if necessary. 3. Need of presenting a primary tender; 4. Date of publication of the notice under Article 86. (2) The Commission shall hold the negotiations with the candidates who have been invited for determining the clauses of the contract, according to the announced requirements. (3) The proposals made and the agreements reached with each candidate shall be written in a separate protocol, which shall be signed by all of the members of the Commission members and by the candidate. (4) After holding the negotiations with all the invited candidates, the Commission shall prepare a report to the contracting authority, where they shall propose ranking of the candidates. (5) The contracting authority shall select for contractor of the public procurement the candidate who has been ranked by the Commission on the first place, as provided by Section III of Chapter Five.

Section II Negotiated Procedure Without Prior Publication of a Notice

Article 90

(1) The contracting authorities may award public procurement contracts through a negotiated procedure without prior publication of a notice only in cases where: 1. in the cases under Article 84, item 1, invites for participation in the procedure all the participants, who have submitted tenders in the open or restricted procedure and respond to the requirements under Article 47, Para 1 and to the requirements under Article 47, Para 2, indicated in the notice for public procurement;


2. the open or restricted procedure has been terminated, as provided by Article 39, Para 1, item 1 and the initially announced conditions has not substantially changed; 3. the awarding of the public procurement contract to another person would lead to violation of the copyright, or other rights of intellectual property; or of exclusive rights acquired by virtue of a law or administrative act; 4. because of extraordinary circumstances, the terms for holding an open or restricted procedure, or negotiated procedure with publishing a notice cannot be kept; 5. the goods, subject of supply have been produced with the purpose of research, experiments or development activity, and are in limited quantity which does not allow forming of a market price or compensation of the expenses for that activity; 6. supplementary supplies are needed from the same supplier, intended for partial change, or increasing of the supplies, upon which the change of the supplier will make the contracting authority to acquire goods with different technical characteristics, and thus will lead to incompatibility, or technical difficulties for the exploitation and the maintenance. 7. the service is awarded after a design contest held as calls for participation in the negotiations are sent to all ranked participants in compliance with the conditions of the contest; 8. because of unforeseen circumstances it is necessary to award supplementary service or works to the same contractor under the following conditions: a) the supplementary service or works may not technically or economically be separated from the subject of the main contract without substantial difficulties for the contracting authority, or although they may be separated, they are substantially needed for the procurement implementation; b) the total value of the additional service or works is not greater than 50% of the value of the basic procurement; 9. it is needed to repeat a similar service, or works by the same contractor not later than 3 years from awarding the first procurement, under the following conditions: a) the first procurement has been awarded under an open or restricted procedure and in the notice for it is pointed out the possibility for such awarding; b) the total value of the new procurement has been included in defining the value of the first one. c) the new procurement corresponds to the basic project for the implementation of which the first procurement has been awarded; 10. the goods and services have been included in a list, approved by the Council of Ministers, for awarding to specialized undertakings and cooperatives of disabled people and the call has been sent only to such undertakings and cooperatives. 11. subject-matter of the procurement is the supply through a commodity market of goods specified in a list proposed by the State Commission on Commodity Markets and Market-places and approved by the Council of Ministers by the Rules for implementation of this Law. (2) In the cases under Para 1, item 6 the term of the basic, as well as of the contract for supplementary supply shall not be longer than 3 years.

Article 91

(1) In the decision for the awarding of the public procurement through negotiated procedure without notice, the contracting authority shall motivate the choice of this procedure and shall approve the invitation and the documentation for participation. (2) In the invitation for participation in a negotiation procedure without notice, the contacting authority specifies the subject of the procurement as well as other requirements for the implementation. In the cases under Article 90, items 2, 4 and 10 in the invitation may be included also requirements for the economical and financial standing as well as for the technical possibilities and/or qualification of the candidate.


Article 92

The invitation for participation in the negotiated procedure without notice shall be sent to the selected persons and to the Agency, except in the cases under Article 90, Para 1, item 11.

Article 93

(1) For holding the negotiations the contracting authority shall assign a Commission as provided by Section V of Chapter Three. (2) For participation in the negotiated procedure, the candidates invited by the contracting authority shall present the documents referred to in Article 77, Para 3, items 1, 2, 6 and 7, as well as those under Article 77, Para 3, items 3, 4 and 5 in cases where the contracting authority has required them with the invitations. (3) The Commission shall hold the negotiations with the candidates under Para 2 for determining the conditions of the contract according to the contracting authority’s conditions, indicated in the invitation and in the procurement documentation. (4) The proposals made and the agreements reached with each candidate shall be written in a separate protocol, which shall be signed by all of the members of the Commission members and by the candidate. (5) After holding the negotiations with all the invited candidates, the Commission shall prepare a report to the contracting authority, where they shall propose ranking of the candidates. (6) The contracting authority shall select for contractor of the public procurement the candidate who has been ranked by the Commission on the first place, as provided by Section III of Chapter Five. (7) In the cases under Article 90, Para 1, item 11 the provisions of Para 2 to 6 shall not be applied and the contract shall be awarded as provided by the Law on Commodity Markets and Market-places.

CHAPTER EIGHT DESIGN CONTEST

Section I Preparation of a Design Contest

Article 94

A design contest shall be organized for acquiring: 1. design concept for developing of design scheme, design plan, plan for dividing land or forest design project; 2. concept project for developing projects, including landscape, architecture, construction, technological, instalments projects, as well as projects for works of art and restoration of cultural objects; 3. data processing project; 4. other projects.

Article 95

(1) The design contest may be open or restricted. (2) In the case of an open contest, all interested candidates may submit projects. (3) In the case of a restricted contest, projects may be submitted only by candidates, who based on preliminary selection have been invited by the contracting authority.

Article 96

(1) The contracting authority shall take decision for holding a design contest, with which approves the notice for participation and the contest programme.


(2) The contest programme shall contain: 1. the project task and indications for its implementation; 2. all the technical data, needed for the project implementation; 3. the criteria for evaluation of the project, their competence and the way for defining complex evaluation of the project. (3) The price of the contest programme may not be higher than the real expenses for its elaboration.

Article 97

(1) The contracting authority shall submit a notice for holding a design contest at the same time to the State Gazette for publishing, and to the Agency for entering into the for Public Procurement Register at least: 1. 52 days before the deadline for submitting the projects in an open contest; 2. 37 days before the deadline for submitting the applications for participation in a restricted contest. (2) The notice for the design contest shall be prepared and published as provided by Article 27 and shall contain at least the following information: 1. name, address, telephone N, fax N, or e-mail address of the contracting authority; 2. description of the project; 3. kind of the contest – open or restricted; 4. place, term and price for buying of contest programme; 5. with an open competition – deadline for submitting the project; 6. criteria for evaluation of the projects; 7. requirements for a certain professional qualification or competence of the participants; 8. indication whether the design contest is part of a public procurement procedure for awarding public service contract; 9. number and value of the awards and/or other payments for the participants, if they have been envisaged; 10. date of dispatch of the notice. (3) The notice for holding a restricted design contest shall contain also: 1. criteria for the preliminary selection of the participants; 2. deadline for submitting the applications for participation. (4) With the restricted contest, in the notice the contracting authority may restrict up to at least 5 participants, who will be invited for presenting projects but their number can not be less than 5.

Section II Implementation of a Design Contest

Article 98

In the case of a restricted contest, the contracting authority shall make a preliminary selection of the candidates, which will be invited to submit projects as provided by Articles 79-81.

Article 99

(1) For the review and the ranking of the projects, the contracting authority shall assign a jury that shall be comprised of at least 3 members. (2) The members of the jury shall comply with the requirements referred to in Article 35. (3) In cases where the participants in the contest are required certain professional qualification, or competence, at least one third of the members of the jury shall have the same, or equal qualification or competence.


Article 100

(1) The contracting authority shall assign an official, who shall accept the competition projects. (2) The person, under Para 1 is obliged to keep in secret the circumstances, which have become known to him/her in reference to the contest projects, about which shall present a declaration in writing. (3) The submitted contest projects shall be numbered in succession of their submission and a number list shall be made and their corresponding participants’ names. The list shall be placed in an envelope, which shall be sealed, and kept by the date of the announcement of the contest results. (4) In the case of an open contest, the participants shall present the information and evidence for their professional qualification and competence in a separate not transparent envelope, which shall be opened after the ranking of the projects.

Article 101

(1) The jury shall review the projects, and shall draw up a Protocol for ranking in compliance with the preliminary announced criteria referred to in Article 97, Para 2, item 6. (2) The jury shall reject from ranking those participants in the contest who does not fulfil the requirements referred to in Article 97, Para 2, item 7. (3) The contracting authority shall announce with a decision the ranking of the participants in the contest in compliance with the ranking of the jury as well as the prizes or the other payments. (4) The contracting authority shall send information about the design contest held to the Agency for entering into the Public Procurement Register, as provided by Article 44.

PART THREE AWARDING OF PUBLIC PROCUREMENT BY ENTITIES, OPERATING IN THE

WATER, ENERGY, TRANSPORT AND POSTAL SERVICES

CHAPTER NINE GENERAL RULES FOR AWARDING PUBLIC PROCUREMENT

Section I General Provisions

Article 102

The rules of Part Three shall be applied only by the contracting authorities, under Article 7, Para 1, item 5.

Article 103

With the awarding the public procurement the contracting authorities under Article 7, Para 1, item 5 shall be free to choose any of the procedures under Article 16, Para 4 and 5, Para 6, item 1 and Para 7.

Article 104

(1) The contracting authorities may award public procurements through negotiated procedure without prior publication of a notice only in cases where: 1. the open, the restricted procedure, or the negotiated procedure with notice is terminated, as no tenders have been submitted and the initially announced conditions have not been changed substantially;


2. the awarding of the public procurement contract to another person would lead to jeopardizing of the copyright, or other rights of the intellectual property; or of exclusive rights, acquired as provided by a law, or administrative act; 3. because of extraordinary circumstances, the terms cannot be kept for holding an open or restricted procedure or a negotiated procedure with publication of a notice; 4. the goods, subject of the supply have been produced with a research purpose, experimental or development activity, and are in a restricted quantity which does not allow forming of market price or compensation of the expenses for this activity; 5. additional supplies are needed from the same supplier, intended for partial replacement, or extension of the supplies, for which the change of the supplier will make the contracting authorities acquire goods with different technical characteristics, which would lead to incompatibility or technical difficulties at exploitation and maintenance; 6. the service is awarded after a design contest held as invitations for participation in the negotiations are sent to all ranked candidates in compliance with the conditions of the contest. 7. because of exceptional circumstances it is necessary to award additional service or works to the same contractor under the following conditions: a) the additional service or works cannot technically or economically to be separated from the subject of the main contract without substantial difficulties for the contracting authority, or although they can be separated, they are substantially necessary for the procurement implementation; b) the total value of the additional service or works is not more than 50 % of the value of the main procurement; 8. it is needed a repeated similar works by the same contractor, under the following conditions: a) the first procurement has been awarded through an open, restricted procedure, and negotiated procedure with notice and in the notice is indicated the possibility for such awarding; b) the total value of the new procurement has been included at defining the value of the first one; c) the new procurement corresponds to the main project, for the implementation of which the first procurement has been awarded; 9. subject-matter of the procurement is the supply through a commodity market of goods specified in a list proposed by the State Commission on Commodity Markets and Market-places and approved by the Council of Ministers by the Rules for implementation of this Law. 10. the procurement is awarded on the basis of a framework agreement, signed as provided by this Law; 11. when for a short period of time favourable conditions have occurred for supply of goods at prices lower than the market ones at sale of property of commercial companies, declared in liquidation or bankruptcy. (2) In the cases referred to in Para 1, item 5 the term of the basic contract as well as the additional supply contract shall not be longer than three years.

Section II Qualification Systems

Article 105

(1) The contracting authorities may establish and operate systems for qualification of contractors. (2) The qualification systems shall be based on criteria and rules, defined by the contracting authority. (3) The criteria and the rules for selection shall include the conditions referred to in Article 47, Para 1 and may include conditions referred to in Article 47, Para 2, requirements for


economic and financial standing referred to in Article 50, Para 1, requirements for technical and/or professional abilities referred to in Article 51, as well as technical specifications referred to in Articles 30 to 32. (4) The contracting authorities shall send a notice on the existence of a qualification system for publication in the State Gazette and to the Agency for entering into the Public Procurement Register. Where the system is of a duration greater than 2 years the notice shall be published annually. (5) The notice under Para 4 shall be prepared according to a standard form approved by the Minister of Economy and shall contain at least the following information: 1. name, address, telephone number, fax number and e-mail address of the contracting authority; 2. object of the public procurement contracts to which corresponds the qualification system; 3. criteria and rules for qualification; 4. duration of the qualification system; 5. indication if the notice shall be regarded as a contract notice for awarding public contract through a restricted or negotiated procedure. (6) Where the description of the object of the qualification system and/or the criteria and the rules for selection are voluminous the contracting authority shall include in the notice a short summary and the detailed requirements shall be included in the documentation. (7) Where the contracting authority uses a qualification system candidates in restricted or negotiated procedure shall be selected from the qualified candidates in accordance with the criteria and rules of this system. (8) Where a contracting authority considers that the qualification system of another contracting authority meets its requirements, it shall inform the candidates included in this system that it shall use it.

Article 106

(1) Request for qualification may be submitted at any time during the operation of a qualification system. (2) For review of the requests for qualification the contracting authority shall designate a Commission as provided for in Chapter Three, Section V. (3) The Commission shall review the requests on the basis of the criteria and rules of the qualification system and shall propose to the contracting authority to decide as to qualification or to refuse qualification. (4) The contracting authority shall be obliged to reach a decision on the request for qualification within 6 months. (5) If the decision under Para 4 will take longer than 4 months, the contracting authority shall inform the candidate within 2 months of the request of the reasons and of the date by which a decision will be reached. (6) Within 15 days of the decision under Para 4 the contracting authority shall inform the candidate of the qualification or of the refusal for qualification. The refusal shall be motivated. (7) In reaching their decision under Para 4 or when the criteria and rules are being changed, contracting authorities shall not: a) impose on the candidates conditions of administrative, technical or financial nature which are not imposed on other candidates; b) require tests or proof which duplicate evidences already presented by the candidate. (8) The contracting authorities shall keep lists of qualified candidates that may be divided into categories, according to object of public contracts for which the qualification is valid. In the cases under Article 105, Para 8 the contracting authority shall be obliged to provide to other contracting authorities access to information on the qualification system and the lists of qualified candidates.


(9) The contracting authority may bring the qualification of a candidate to an end if he no longer meets the announced criteria of the qualification system. The contracting authority shall be obliged to inform the candidate at least 15 days before bringing the qualification to an end together with the reasons justifying this.

Section III Framework Agreement

Article 107

(1) A framework agreement shall be an agreement between a contracting authority and one or more contractors the purpose of which is to establish the terms of the public contracts to be awarded during given period not exceeding three years, including the prices and, if possible, the quantities envisaged. (2) The contracting authorities may award a framework agreement for awarding public contracts following any awarding procedure except negotiated procedure without prior publication of a notice. (3) Where the framework agreement has not been awarded as provided by this law the contracting authorities may not use it for awarding public contracts through a negotiated procedure without prior publication of a notice. (4) A framework agreement may not be awarded or implemented if it hinders, limits or distorts competition.

Article 108

For the purpose of defining the rules for awarding public contracts according to Article 14, the value of the framework agreement shall be calculated on the basis of the maximum value of all public contracts which the contracting authority envisages to award for the period of implementation of the agreement.

CHAPTER TEN SPECIAL RULES

Article 109

At least once a year, the contracting authorities under Article 7, Para 1, item 5 shall submit for publication in the State Gazette and to the Agency for entering into the Public Procurement Register preliminary notice or preliminary invitation-notice for the planned during the next 12 months: 1. supplies by categories of goods of total value for the relevant category at least 450 000 BGN. 2. services, under Article 5, Para 1, item 1 by categories of services of total value for the relevant category at least 450 000 BGN. 3. procurements for works with description of their major characteristics.

Article 110

(1) The preliminary notice shall comply with the requirements of Article 24. (2) In cases where the contracting authorities publish preliminary notice for large projects which have been included in previous notices they may not repeat this information provided that they indicate the notice which contains it.

Article 111

The contracting authorities may announce awarding of public contracts through restricted procedure or negotiated procedure with prior publication of a notice through: 1. public procurement contract notice under Article 25, Para 2; Bulgaria – Public Procurement Law – adopted in March 2004 33

2. preliminary invitation-notice published in accordance with Article 109; 3. notice for qualification system under Article 105, Para 5.

Article 112

(1) In the cases under Article 111, item 2 the preliminary invitation-notice shall be considered as an invitation for declaring interest for participation in the procedure from the potential candidates. (2) In these cases the preliminary invitation-notice shall contain the information under Article 24, Para 1 and also: 1. kind of the procedure; 2. indication that no notice under Article 25, Para 2 shall be published; 3. address and term of application of interest for participation in the procedure. (2) The preliminary invitation-notice shall contain also the following information, if it is available on the date of its dispatch: 1. possibility for awarding framework agreements; 2. possibility for awarding additional procurement; 3. start or final date for procurement implementation; 4. term of the contract; 5. requirements for the economical and financial standings of the candidates, as well as their technical and/or professional abilities; 6. conditions and value of the guarantee for participation and of the guarantee for the implementation of the contract; 7. place and term for receiving, price and way of payment of the documentation for participation in the procedure; 8. other information specified in the standard form approved by the Minister of Economy.

Article 113

The preliminary invitation-notice for restricted procedure or negotiated procedure with notice shall contain at least the following information: 1. name, address, telephone number, fax number and e-mail of the contracting authority and a contact person; 2. object of the procurement, quantity and value; 3. kind of the procedure – restricted procedure or negotiated procedure; 4. indication that no notice under Article 25, Para 2 shall be published; 5. address and term of application of interest for participation in the procedure; 6. date of dispatch of the notice.

Article 114

(1) Where a negotiated procedure with notice or restricted procedure has been announced through preliminary invitation-notice the contracting authority shall send an invitation for participating in the procedure to all the candidates who have declared interest within the time limit under Article 112, Para 2, item 3. (2) The invitation for participating in the procedure shall be submitted at the same time to all the candidates, not more than 12 months after the date on which the preliminary invitation-notice has been published. The invitation shall be sent at least 22 days before the deadline for submitting an application for participation. (3) Where the preliminary invitation-notice does not contain the information under Article 112, Para 3, the contracting authority shall present this information to the candidates with the invitation under Para 1. (4) The contracting authority shall hold the preliminary selection as provided for in Chapter Six.


Article 115

Where the negotiated procedure or the restricted procedure has been announced through notice for a qualification system the contracting authority shall make pre-selection of the candidates for participation, in compliance with the requirements of this system.

Article 116

(1) The term for submitting the tenders for the restricted procedure and for holding the negotiations with notice may be set by mutual agreement between the contracting authority and the pre-qualified candidates. (2) When it is not possible to reach agreement under Para 1, the term shall be set by the contracting authority and may not be shorter than 24 days from the date of the invitation for participation.

Article 117

(1) The reviewing, evaluation and ranking of the tenders and selecting the procurement contractor at the restricted procedure shall be done as provided by Sections II and III of Chapter Five. (2) The reviewing, evaluation and ranking of the tenders and selecting the procurement contractor at the negotiated procedure shall be done as provided by Section I of Chapter Seven.

Article 118

(1) The contracting authority may reject a tender for supply in which the share of goods originating in countries not included in the list under Article 19, Para 2, item 14 exceeds 50 % of the goods, included in it. (2) The origin of goods shall be defined in reference to the customs legislation in force. (3) Where two or more tenders are equivalent in view to the criteria for evaluation of tenders, those tenders shall be preferred which may not be rejected in reference to Para 1. The prices of tenders shall be considered as equivalent if the difference between them does not exceed 3%. (4) A tender shall not be preferred to another in reference to Para 3 if its acceptance would oblige the contracting authorities to acquire goods with technical characteristics which differ from those of the existing goods which would lead to incompatibility or technical impediments at the exploitation and maintenance.

Article 119

For all unsettled issues in Part Three the provisions of Part Two shall be applied accordingly.

PART FOUR APPEALS AND CONTROL

CHAPTER ELEVEN APPEALS

Article 120

(1) Each candidate in a procedure for awarding public contract may file statement of claim with the Regional Court for setting aside the decision of the contracting authority under Article 25, Para 1, Article 39, Para 1, Article 73, Para 1, Article 79, Para 4, Article 88, Para 4, Article 101, Para 3 and Article 106, Para 4 and 9, where: 1. the decision has been taken contrary to the Law; 2. the candidates who have been ranked or the contractor do not fulfil the announced requirements, or 3. the criteria for the evaluation of the tenders have not been kept.


(2) The claim shall be laid against the contracting authority and the ranked candidates or respectively the contractor not later than 7 days from the announcement or the notification of the decision under Article 39, Para 2, Article 73, Para 1, Article 79, Para 4, Article 88, Para 4, Article 101, Para 3 and Article 106, Para 4 and 9, and for the decision under Article 25, Para 1 – from the expiry of the of the term for buying documentation for participation in the procedure. (3) Each candidate may enter into the court case in accordance with the provisions of the Civil Procedural Code. He may support the claim even if the complainant has withdrawn from the case. (4) At any time during the court procedure and by the entry into force of the court decision the Court may set aside the decision of the contracting authority. (5) The decision of the Regional Court may be appealed with the District Court and its decision shall be final.

Article 121

(1) Each contracting authority may propose the signing of an arbitration agreement which the candidate may sign by the submission of the tender. Arbitration agreement may be proposed also by each candidate. (2) Only the Court of Arbitration to the Agency may be specified by the parties in the arbitration agreement. (3) Where the appeal under Article 120, Para 1 has been filed with the Court of Arbitration, the complainant shall specify the arbiter and reserve arbiter in the statement of claim. The defendants shall specify the arbiter and reserve arbiter, chosen by them in the answer to the statement of claim. In case an arbiter has not been specified, he/she shall be appointed by the President of the Court of Arbitration within a time-limit of 3 days after the statement of claim respectively the answer has come in. (4) Where the complainants, respectively the defendants are more than one, they shall jointly specify an arbiter and a reserve arbiter in a 7-days term after the Court’s notification, in which all the arbiters specified by the parties are pointed out. In cases where the complainants, respectively the defendants can not choose jointly an arbiter, he/she shall be appointed by the President of the Court of Arbitration in a 3-days term. (5) Where the specified, respectively appointed arbiters can not choose the President of the Plenary Session of the Court in a 7-days term, he/she shall be appointed by the President of the Court of Arbitration in a 3-days term after notification. (6) The time-limits for the claims under Article 120, Para 2 as well as for the hearing of the case shall be applied also to the Arbitration. (7) Where the claim is filed with the Court of Arbitration the complainant may require the Regional Court to set aside the decision of the contracting authority with the purpose to secure future or already filed claim with the Court of Arbitration.

Article 122

For all unsettled issues under this Chapter, the provisions of the International Commercial Arbitration Law shall be applied.

CHAPTER TWELVE CONTROL

Article 123

(1) The control on the enforcement of the present Law shall be executed by the National Audit Office and by the authorities of the Public Internal Financial Control Agency. (2) All contracting authorities under Article 7, Para 1 falling within the scope of the Law on the National Audit Office shall be subject to control by the National Audit Office.


(3) Contracting authorities falling within the scope of the Law on Public Internal Financial Control shall be inspected by the authorities of the Public Internal Financial Control Agency for their compliance with this Law within the framework of the internal audits. (4) Contracting authorities that are not subject to internal audits under the Law on Public Internal Financial Control shall be inspected by the authorities of the Public Internal Financial Control Agency for their compliance with the public procurement rules by means of inspections. (5) The orders for the carrying out of inspections by the Public Internal Financial Control Agency shall be issued by the Director of the Agency or by officials authorized by the Director. (6) The order under Para 5 shall not be subject to appeal. (7) The Director of the Public Procurement Agency may require from the authorities of the Public Internal Financial Control Agency to perform their competencies on a certain case.

Article 124

(1) When carrying out inspections under Article 123 the authorities of the Public Internal Financial Control Agency shall have the right: 1. to free access to the site under inspection; 2. to inspect the whole documentation relative to the award of public procurements and to the activities that require the award of public procurements; 3. to require from the officials in the sites under inspection to provide documents, information and data in relation to public procurements. (2) The officials on the sites under inspection shall be obliged to assist the authorities of the Public Internal Financial Control Agency and to present the needed documents, information and data in relation to public procurements.

Article 125

When carrying out the inspections under Article 123 the controlling bodies shall be obliged to: 1. identify themselves by presenting a service card and an order for conducting the inspection; 2. accurately on the results of the control activities; 3. refrain from disclosing and disseminating the information of which they have become aware when carrying out the inspections.

Article 126

(1) The controlling bodies of the Public Internal Financial Control Agency shall draw up a report on the results of the inspection which shall contain their findings supported by evidence, conclusions and recommendations. (2) The report under Para 1 shall be handed over to the contracting authority. (3) The controlling bodies shall draw up acts of administrative offences with respect to any administrative offences found. (4) Where there are data for crimes that have been committed, the materials from the inspection shall be forwarded to the public prosecution. (5) Where violations of the procedures for the award of public procurements are found out, the respective parts of the audit report and of the report under Para 1 relative to the established procedural violation shall be forwarded in due course to the Director of the Public Procurement Agency. (6) Information on the inspections made to check compliance with this Law may only be provided by the Director of the Public Internal Financial Control Agency or by officials authorized by him/her, and by the Director of the Public Procurement Agency, in the cases referred to in Para 5.


CHAPTER THIRTEEN ADMINISTRATIVE PENAL PROVISIONS

Article 127

(1) The statements for the established violation of the present Law shall be issued by officials of the Public Internal Financial Control Agency within 6 months as from the date on which the violation became known but not later than three years after its commission. (2) The penal statements shall be issued by the Minister of Finance or by officials authorized by the Minister. (3) The establishment of violations, the issuing, appealing and the enforcement of the penal statements shall follow the provisions of the Law on the Administrative Violations and Punishments.

Article 128

A contracting authority who violated the prohibition under Article 15, Para 5 or 6 shall be punished by a penalty payment of 2 000 BGN to 10 000 BGN and the person under Article 8, Para 1 shall be punished by a fine of 200 BGN to 1000 BGN.

Article 129

For not carrying out a procedure for the award of a public contract despite there are grounds for this or for amending or supplementing the awarded contract in violation of Article 43, Para 1, the contracting authority shall be punished by a penalty payment of 10 000 BGN to 50 000 BGN, and the person under Article 8, Para 1 shall be punished by a fine of 1 000 BGN to 5 000 BGN.

Article 130

(1) For holding a negotiated procedure by a contracting authority under Article 7, Para 1, items 1 to 4, in the absence of the grounds under Articles 84 or 90, shall be punished by a penalty payment of 5 000 BGN to 20 000 and the person under Article 8, Para 1 - by a fine of 500 BGN to 3 000 BGN. (2) A contracting authority under Article 7, Para 1, item 5, who holds a negotiated procedure without notice, in the absence of the grounds under Article 104 shall be punished by a penalty payment of 5000 BGN to 20000 BGN and the person under Article 8, Para 1 – by a fine of 500 BGN to 3000 BGN.

Article 131

(1) For terminating a procedure in the absence of the grounds under Article 39, Para 1, the person under Article 8, Para 1 shall be punished by a fine of 500 BGN to 1 000 BGN. (2) For opening a new procedure, in violation of Article 40, the person under Article 8, Para 1 shall be punished by a fine of 200 BGN to 500 BGN.

Article 132

The officials, which do not submit the information, subject to entering into the Public Procurement Register in the relevant terms shall be punished by a fine of 100 BGN to 200 BGN.

Article 133

Where the violations under Articles 128-132 are repeated, a double penalty payment or fine shall be imposed.

ADDITIONAL PROVISION

§1. In the meaning of this Law:


1. “Organization governed by public law” is a legal person established with the purpose of meeting public interest which have no commercial or industrial nature as well as a trader – state undertaking within the meaning of Article 62, Para 3 of the Commercial Law, for which: a) more than 30 % of its income for the previous year are financed by the State budget, by the budgets of the Bulgarian National Bank, the National Social Insurance Fund or the National Health Insurance Fund, by the budgets of the municipalities or by bodies managing contracting authorities under Article 7, Para 1, item 1 or by contracting authorities under Article 7, Para 1, item 3, or b) more than half of the members of its managerial or supervisory board are appointed by bodies managing contracting authorities under Article 7, Para 1, item 1 or by contracting authorities under Article 7, Para 1, item 3, or which c) is subject to management supervision by bodies managing contracting authorities under Article 7, Para 1, item 1 or by contracting authorities under Article 7, Para 1, item 3. Management supervision shall be presumed when a person may exercise, by whatever means, decisive influence on the activity of another person. 2. “Public undertaking” is a trader in the meaning of the Commercial Law over which bodies managing contracting authorities under Article 7, Para 1, item 1 or organizations governed by public law may exercise dominant influence. Dominant influence shall be presumed when the bodies managing contracting authorities under Article 7, Para 1, item 1 or organizations, governed by public law: a) hold or exercise property rights over more than 50% of the undertaking’s capital, or b) hold or exercise blocking quota rights in the undertaking’s capital, or c) can appoint more than half of the members of the undertaking’s management or supervisory board. 3. “Affiliated undertaking” is any undertaking which: a) draws up consolidated financial report with the contracting authority; b) over which the contracting authority may exercise, directly or indirectly, a dominant influence; c) may exercise dominant influence over a contracting authority under Article 7, Para 1, item 5, or d) in common with the contracting authority under Article 7, Para 1 is subject to the dominant influence of another undertaking by virtue of ownership, financial participation, or participation in the management. Dominant influence shall be defined according to item 2, second sentence. 4. “Special or exclusive rights” are the rights acquired provided by a Law or by a competent State’s authority on a ground, provided by a Law, which have as their result the performing of a certain activity is reserved to one or more persons 5. “Technical specification for services or goods” is a specification in a document which defines the needed characteristics of certain goods or service, such as: level of quality, project, process or method of production, usage, safety, dimensions, requirements about the name, under which the goods are sold, terminology, symbols, testing and methods of testing, packaging, marking, labelling, instructions for exploitation and procedure for evaluation of the conformity. 6. “Technical specification for works” is the combination of the technical prescriptions, indicated in the documentation for participation which define requirements to the characteristics of the materials and goods, in the way to answer the usage for which it is envisaged by the contracting authority. These characteristics shall include level of evaluation of conformity, work characteristics, safety or dimensions, including the provisions for securing the safety, terminology, symbols, testing and methods of testing, packaging, marking and labelling. . They shall include also rules referring to design, evaluation, works supervision conditions for approval of the construction works and methods or techniques of building and all other technical conditions which the contracting authority is able to preliminarily describe, under legal


provisions, relating to completed construction works and in reference to the materials or parts included. 7. “Technical approval” is positive technical evaluation for the fitness of the product for certain purpose on the basis of implementation of the major requirements for construction works through characteristics of the product and the set conditions for application and usage. 8. “Exploitation of airports” shall mean performance of the following activities: maintenance of airfield and development of airport infrastructure, restricting and removal of obstacles, maintenance of the visual signal devices, the urgency-rescue and the fire safety ensuring of the flights on the territory of the airport and in its vicinity, guarding of the airport, the flight security, assigning contracts for elaborating and updating the airport's master plan and cadastral plans; 9. ”Exploitation of the ports” includes activities related to: maintenance of the adjacent water basin in the public ports, navigation and access channels, the carrying out of survey and dredging works, maintenance of quay walls, breakwaters, port industrial tracks and crane rails, firefighting, water-supply and sewage system, electricity supply network – high and low voltage, public transportation roads in the territory of the ports 10. “Network in the transport area” is a network, which conditions for exploitation are defined by the State or the municipality and includes the schedule of the itinerary, capacity for providing transport service and frequency of service. 11. “Lot” is such part of the subject of the public procurement which is connected systematically with the other positions of the subject of the public procurement but practically may be specified in its nature also as a single subject of public procurement. 12. “Most economically advantageous tender” is a tender which satisfies to the greatest extent the preliminarily announced by the contracting authority indicators as well as their weight, related directly to the subject of the public procurement related to quality, price, technical advantages, esthetical or functional characteristics, characteristics, connected with environment protection, operational costs, maintenance and technical support, term for implementation. 13. “Specialized undertaking or cooperative of disabled people” shall be this, which: 1. is registered in accordance with the Commercial Law or the Law on Cooperatives; 2. has a total number of the staff not less than 10 people; 3. manufactures goods or provides services; 4. not less than 50% of the workers or employees are disabled people. 14. “Establishment” shall mean: a) for a natural person – the right to launch and carry out economical activities as an independent person, not hired with a labour contract; b) for a legal person- the right to launch and carry out economical activities by establishment and managing of branch offices and representations. 15. “Compensatory (off-set) agreement” shall mean such a contract, according to which the procurement contractor shall be obliged to the contracting authority to make investments, to conclude and implement contracts for the supply of Bulgarian goods, or services, or works, to submit to Bulgarian undertakings technological equipment, technologies, licenses for the execution of rights over subjects of industrial property or to transfer to them rights over subjects of intellectual property. 16. “Minimum price of labour” shall mean the minimum value of payment of the working force, defined as a minimum monthly value of the insurance income in activities and groups of professions under Article 8, item 1 of the Law on the budget of the State’s social insurance. 17. “Repeated violation” shall be a violation, committed by the same person in a 1-year term from the entry into force of the penal statement, whereby the sanction was imposed for the same type of violation.


TRANSITIONAL AND FINAL PROVISIONS

§2. This Law shall repeal the Law on public procurement, Published SG N 56/1999, amended N 92 and 97/2000, N 43 and 45/2002, N 109/2003. §3. The Council of Ministers shall adopt the Regulation for the implementation of the Law, as well as the Ordinances under Article 13, Para 2 and Article 14, Para 5 and the Tariff under Article 20, Para 6 up to 1 of October 2004. §4.(1) The Council of Ministers within the term of two months after the publishing of the Law in the State Gazette shall adopt Rules of Procedure for the Public Procurement Agency. (2) The Public Procurement Agency shall undertake all the rights over the existing Public Procurement Register, including over the technical means of its maintenance. (3) The Council of Ministers within two months after this Law comes into force shall take a decision for providing an appropriate building to the Public Procurement Agency. §5.(1) While evaluating the tenders of a candidate, which is a small or medium-sized enterprise within the meaning of the Law on the Small and Medium-sized Enterprises, the price offered by him shall be accepted as the lowest, if it exceeds the offered lowest price by another candidate with no more than: 1. 15% -for the pubic procurements, awarded in 2004; 2. 10% -for the pubic procurements, awarded in 2005; 3. 5% -for the pubic procurements, awarded in 2006; (2) Para 1 shall be applied when the evaluated tenders belong to candidates from countries, not included in the list under Article 19, Para 1, item 14. (3) The provisions of Para 1 and 2 shall be applied by 01.01.2007. §6. Foreign and Bulgarian natural and legal persons, which perform events on removal of environmental damages, occurred as a result of previous actions or lack of actions by the state, as provided by §9 of the Transitional and Final Provisions of the Law on Environmental Protection, shall be obliged to apply the provisions of the Law on the Public Procurement. §7. The procedures, for which a decision for opening is taken before the date of entering into force of this Law, shall be executed in accordance with the provisions of the repealed Law. §8. The Council of Ministers shall adopt the The public procurement awarding procedures, which are open, or about which a decision has been taken to be open before this law’s come into force, shall be concluded upon the current provisions. §9. The Law on Health Insurance (Published, SG N 70/1998, am. N 93 and 153/1998, N 62,65,67,69, 110 and 113/1999, N 1, 31 and 64/2000, N 41/2001, N 1, 54, 74,107,112,119 and 120/2002, N 8, 50,107 and 114/2003) shall be amended as follows: 1. In Article 45: a) Para 4 shall be amended as follows: “(4) The Council of Ministers shall adopt an Ordinance for the rules and conditions for determining the medicines, for which the National Health Insurance Fund pays fully or partially. The Ordinance shall contain the procedure and the criteria for determining the medicines as well as the method for determining the level of reimbursement. The draft of the Ordinance shall be drawn up by the National Health Insurance Fund, shall be approved by the Transparency Commission under Article 85b of the Law on the medicines and the pharmacies in the human medicine and shall be notified by the Minister of Health to the Council of Ministers.”; b) in Para 5, the words “the manufacturers and wholesalers of medicines” shall be replaced by “the marketing authorisation holders or their authorised representatives on the territory of the Republic of Bulgaria under Article 17 of the Law on the medicines and pharmacies in the human medicine”; c) new Para 6 shall be adopted: “(6) After the contracting under Article 5, the National Health Insurance Fund shall conclude with the owners of license for usage of medicines or their authorised representatives on the territory of the Republic of Bulgaria under Article 17 of the Law on the medicines and


pharmacies in the human medicine contracts for the certain medicines under Para 1, item 10 and for their values.” 2. In the Transitional and final provisions, a new § 19b shall be adopted: “§ 19b. The Council of Ministers up to 30 April 2004 shall adopt and publish in the State Gazette the Ordinance under Article 45, Para 4.”. §10. In the Law on public procurement (Published SG N 56/1999, am. N 92 and 97/2000, N 43 and 45/2002, N 109/2003), in Article 6, a new item 4 shall be adopted: “4. of the National Health Insurance Fund for the medicines, intended for home healing on the territory of the State.”. §11. In Article 126a, Para 3 of the Civil-Procedural Code (Publ. SG, N 12/1952; am. N 92/1952, N 89/1953, N 90/1955, N 90/1956, N 90/1958, N 50,90 and corr. N 99/1961; am. N 1/1963, N 23/1968, N 27/1973, N 89/1976, N 36/1979, N 28/1983, N 41/1985, N 27/1986, N 55/1987, N 60/1988, N 31 and 38/1989, N 31/1990, N 62/1991, N 55/1992, N 61 and 93/1993, N 87/1995, N 12 and 26/1996, N 37, 44 and 104/1996, N 43,55 and 124/1997, N 59,70 and 73/1998, N 64 and 103/1999, N 36,85 and 92/2000, N 25/2001, N 105 and 113/2002, N 58 and 84/2003) after the words “the Law for Collection of State Receivables“, “and under Article 120 of the Law on public procurement” shall be added. §12. This Law shall enter into force on the 1 October 2004, except the provisions of Article 13, Para 2, Article 14, Para 5, Article 17, items 3 and 4, Article 18, Article 19, Para 1 and 2, items 5, 9 to 11, Article 20, §3, §4, Para 1 and 3, §8, §9 and §10, which shall enter into force on the date of the publication of the Law in the State Gazette.


Annex 1

to Article 3, Para 1, item 3, “b” Section Group Class Name of the position

Construction and mounting works Preparation works on the building site 45.11 Works on demolition and clearing of buildings; ground works

45.1

45.12 Drilling works Construction and mounting works on buildings and construction

equipment or parts of them 45.21 Construction and mounting works on general construction of buildings

and construction equipment 45.22 Roofing and hydroisolation works 45.23 Construction and mounting works on roads, airfields and sports fields 45.24 Construction and mounting works on hydrotechnical equipment

45.2

45.25 Other specialized construction and mounting works Construction and mounting works on installations 45.31 Construction and mounting works on electrical installations 45.32 Isolation construction works 45.33 Construction and mounting works on pipe installations

45.3

45.34 Construction and mounting works on other installations Finishing construction works 45.41 Works on laying plaster 45.42 Mounting works on joinery, interior and other finishing elements 45.43 Works on laying flooring and wall panelling 45.44 Works on painting and glass fitting

45.4

45.45 Other finishing construction works Services on renting construction machines and equipment, with an

operator

45

45.5

45.50 Services on renting construction machines and equipment, with an operator

Note: The Section, Group, Class and Name of the position, shown in the Table are in accordance with the National classification of products by economic activities, approved by the President of the National Statistical Institute, on the legal ground of Article 9, item 5 in connection with Article 7, Para 1, item 6 promulgated as an attachment to SG, issue No 1/2003.


Annex 2

to Article 5, Para 1, item 1 Category No Services NCPEA-2003 code (1) 1. Maintenance and repairs services (incl.

installation) 50.20, 50.40.4, 52.7 all subcategories of sector D, which refer to repairs, maintenance and installation

2. Road transportation services (2), including armoured vehicle services and courier services, except transportation of mail

60.21.3, 60.21.4, 60.21.5, 60.22.1, 60.23.1, 60.24.1, 60.24.22, 60.24.30, 64.12.1; 74.60.14

3. Air transportation services for transporting passengers and cargo, except transportation of mail

62.10.1, 62.10.22, 62.10.23; 62.20; 62.30

4. Transportation of mail by road (2), and by air 60.24.21; 62.10.21 5. Telecommunication services 64.20.1, 64.20.2 6. Financial services

(a) Insurance services (3) (b) Banking and investment services (3) (4)

66.01, 660.2, 66.03; 67.20 65.12, 65.2, 67.1, 67.2

7. Computing and related services 72.21.1, 72.22, 72.30, 72.40, 72.50, 72.60

8. Scientific research and experimental development (5)

73.10, 73.20

9. Accounting and auditing services 74.12.1, 74.12.2 10. Market research and public opinion research

services 74.13.1

11. Consultant services on management and economic activity (6)

74.14.1; 74.14.2, 74.15

12. Architecture and engineering services; city planning and park design services, engineering-oriented scientific and technical services; technical testing and analysis

74.20.2, 74.20.3, 74.20.4, 74.205, 74.20.6, 74.20.7, 74.30

13. Advertising services 74.40 14. Services of cleaning buildings and real estate

management 74.70; 70.31, 70.32

15. Printing services and services of reproduction of data carriers for a fee or on a contract

22.21, 22.22.3, 22.23, 22.24, 22.25, 22.3

16. Services of collecting and treatment of hard and liquid waste, incl. sewage; sanitary and cleaning services

90.01, 90.02, 90.03

Notes: (1) National classification of products by economic activities, approved by the President of the National Statistical Institute, on the legal ground of Article 9, item 5 in connection with Article 7, Para 1, item 6 promulgated as an attachment to SG, issue No 1/2003. (2) With the exception of railroad transport services, included in Category 18. (3) Including financial services, connected with the acquisition or rental of land, existing buildings and other immovable property as well as the establishment of limited corporeal rights under Article 4, item 1. (4) With the exception of those under Article 4, item 3. (5) With the exception of those under Article 4, item 4. (6) With the exception of services, connected with arbitration and conciliation.


Appendix № 3

to Article 5, Para 1, item 2 Category No Services NCPEA-2003 code (*) 17. Hotel and restaurant services 55 18. Railroad transportation services (including the

metropolitan) 60.10, 60.21.1

19. Water transportation services 61 20. Supplementary transport services; tourist agency

services 63

21. Legal services 74.11 22. Intermediary services of recruiting, directing and

offering work power, without the services of the Agency on employment

74.50

23. Detective and security services, with the exception of armoured vehicle services

74.60 (excluding 74.60.14)

24. Education services 80 25. Healthcare services and social activities 85 26. Services in the area of culture, sports and entertainment 92 (excluding 92.11.1,

92.11.2, 92.31.1) 27. Other services Note: (*) National classification of products by economic activities, approved by the President of the National Statistical Institute, on the legal ground of Article 9, item 5 in connection with Article 7, Para 1, item 6 promulgated as an attachment to SG, issue No 1/2003.


PART ONE GENERAL PROVISIONS CHAPTER ONE BASIC … baza/zop_eng.pdfPUBLIC PROCUREMENT LAW PART ONE GENERAL PROVISIONS CHAPTER ONE BASIC PROVISIONS Section I Purpose and Principles Article

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