7.  COMPETITIVE TENDERING

7.1.  Where this paragraph 7 applies, the Contractor shall, in preparing the Contractor Stage 2 Response, as far as practicable structure the works and/or services required by the High Value Change and/or an Authority Change pursuant to Schedule 26 (Planning) [and/or Schedule 27 (Approach to Permit Risk)] into a number of discrete work packages (which may include the procurement of items of equipment only or be labour only package of works), and shall invite at least three (3) competitive tenders for each work package.  Where legally required, the Competitive Tendering process shall be conducted in accordance with Public Contracts Regulations 2006 (as amended) and the principles of the Treaty of Rome.

7.2.  The Contractor and the Authority shall agree:

(a)  the work packages to be priced through competitive tendering based on what is judged to provide best value for money;

(b)  the procurement process;

(c)  the evaluation criteria;

(d)  any additional interface risks between the carrying out of any additional works and/or services by a third party, and the Facility and/or carrying out of the Works and/or the delivery of the Services; and

(e)  that the preferred tenderer shall be selected on the basis of the most economically advantageous tender.

7.3.  The Contractor shall be responsible for:

(a)  running the competition for the work packages;

(b)  evaluating and selecting the preferred tenderers;

(c)  negotiating and finalising appointment of the preferred tenderers; and

(d)  managing the implementation of the works and services required as part of the High Value Change

provided that the Authority shall approve the preferred tenderer(s) acting reasonably within twenty (20) Business Days following the conclusion of the tendering process either appoint or object to the preferred tenderer(s) but no sub-contractor shall be appointed, until or unless, an Authority Stage 2 Confirmation is issued.

7.4.  On conclusion of the tendering process, the Contractor shall submit with the Contractor Stage 2 Response a Tendering Report and the Change in Project Costs shall be based on the prices determined through the tendering process.

7.5.  The Tendering Report shall include, but not be limited to, the following information.

(a)  details of the companies which were asked to tender for each work package, indicating whether a compliant bid was in fact submitted;

(b)  the basis upon which each company was invited to tender including their appropriate experience and expertise;

(c)  how details of how the evaluation process was carried out including the scoring for each tenderer;

(d)  the basis of the recommendation of the successful tenderer for each work package;

(e)  confirmation that the tendered price is a fixed price which includes all costs, overheads, risks and contingencies and will not be liable to change or adjustment; and

(f)  any other relevant information.