Public procurement

Public procurement procedures are conducted through the Electronic Public Procurement Classifieds of the Republic of Croatia (hereinafter: ‘’EPPC RC’’). EPPC RC is a service of general non-economic interest that enables potential economic operators to register, access procurement documents, download them, communicate with the contracting authority or contracting entities (e.g. request for participation, request for clarification), submit the tenders, fill in Standard form of the European single procurement documentation (hereinafter: ‘’ESPD-form’’) and upload it, allows reception of requests for clarification, access to e-appeal , through the EOJN public buyers submit contract award decision, as well as decision on non-award of the contract etc. Registration for buyers and bidders with EPPC RC is mandatory.

Who can participate in public procurement procedures?

All interested economic operators can be tenderers in an open and restricted procedure. The basis of public procurement are the principles of the internal market of the European Union, which regulate the freedom of movement of goods, freedom of establishment and freedom to provide services. Therefore, all bidders who fulfil the conditions prescribed by the Procurement Documentation can compete in public procurement procedures in Croatia.

The tender documentation prescribes the criteria for the qualitative selection of an economic operator and the criteria for the selection of the bid. Criteria for the selection of an economic operator may relate to the ability to perform professional activities, economic and financial ability, technical and professional ability. The buyer is obliged to exclude an economic operator from the public procurement procedure if it determines that the economic operator has been convicted by a final judgment of criminal offences, or if the economic operator has failed to fulfil its obligations to pay due tax liabilities, as well as pension and health insurance contributions. In addition, buyers may prescribe further justified grounds for the exclusion of economic operators from participation. The criteria for selecting the most economically advantageous tender differ depending on the subject-matter of the procurement, but as a rule they are determined by the best price-quality ratio.

Useful tools are e-Certis and CPV. e-Certis is an online repository of certificates, i.e. an electronic system of the European Commission containing a database of evidence required in public procurement procedures and the competent authorities responsible for issuing such evidence in the Member States. The common procurement vocabulary (CPV) is a single classification system for public procurement aimed at standardizing the references and descriptions of the subject-matter of procurement. The main benefit of CPV codes is the ability to identify subject-matter of procurement in any EU/EPG country, without the need for translation.

Tenders

Tenders are written declarations of will by tenderers concerning the provision of supplies or services or the performance of works in accordance with the terms and requirements set out in the procurement documents. When preparing a tender, the tenderer may not alter or supplement the text of the procurement documentation. The tender is binding upon the tenderer until the expiry of its validity period, and, at the request of the buyer, the tenderer may extend the validity period of its tender.

Each tender must contain a completed tender list, including the binding of the tender (if the tender is submitted by electronic means of communication), a completed bill of quantities, ESPD form, a tender guarantee (if required), and any other tender documents. The buyer may require a tender guarantee from the economic operator but is obliged to specify in the procurement documentation the type, means and conditions of such guarantee. A cash deposit may not be prescribed as the sole permissible form of guarantee, but it is always allowed as one possible form. The amount of the guarantee may not exceed 3% of the estimated value of the procurement.

The bid is submitted via EPPC RC, here you can found useful instructions.

Parts of the tender, such as the tender guarantee and the sample, which cannot be submitted electronically, are marked by the tenderer and listed in the tender as components not submitted by electronic means and are physically delivered to the contracting authority. EPPC RC encrypts the electronic tender in such a way as to prevent access to its contents before the expiry of the deadline for the submission of tenders. The tender submitted through the EPPC RC binds the tenderer within the validity period of the tender, irrespective of whether it has been electronically signed or not. The tenderer may amend or withdraw its tender until the expiry of the deadline for submission of tenders. EPPC RC records each timely submitted tender, as well as any amendments or withdrawal thereof, in the order in which they are received. Parts of the tender that are not submitted electronically must be submitted before the expiry of the deadline for submission of tenders. In that case, the tender is considered submitted at the time of bid submission via the EPPC RC.

Evaluation of tenders and selection of the most economically advantageous tender

Usually, the buyer checks the bid in the following order:

• whether a tender guarantee has been provided, if required,

• absence of the exclusion grounds for economic operator,

• compliance with the selection criteria applicable to the economic operator,

• fulfillment of the requirements and conditions relating to the subject-matter of the procurement and the technical specifications, as well as compliance with other requirements, conditions, and criteria set out in the tender notice and the procurement documentation,

• arithmetical correctness of the tender.

If, during the examination and evaluation of the tender, certain information or documentation is incomplete, incorrect, appears to be such or if certain documents are missing, the buyer may, respecting the principle of equal treatment and transparency, request the economic operators concerned to supplement, clarify, complete, or submit the necessary information or documentation within an appropriate period, which will not be shorter than five days. However, the tender list, bill of quantities and tender guarantee are not considered to be certain missing documents, and the buyer may not request their submission during the examination and evaluation of tenders.

Following the examination and evaluation of tenders, valid tenders are ranked according to the contract award criterion. On the basis of that criterion, buyers select the tenders submitted by the tenderer who has offered the most economically advantageous tender and prepares a written report to that effect. Prior to making a decision in the public procurement procedure, buyer may request the submission of updated supporting documents, while in high-value procurement procedures this is mandatory. An updated supporting document is any document that contains valid information reflecting the actual situation at the time of submission to the buyer and proves what the economic operator has stated in the ESPD form.

Tender examination and evaluation report is made available by publication in the EPPC RC as an annex to the decision on award or annulment. The buyer is required to provide reasoning for each decision taken.

The contract award decision is made within 30 days from the expiry of the deadline for submission of tenders, unless otherwise prescribed in the procurement documentation. The buyer shall communicate the decision on award or cancellation to all participants via the EPPC RC, directly to each individual participant, or by public announcement.

e-Complaint - legal protection in public procurement procedures

The appeal procedures in public procurement are conducted by the State Commission for Supervision of Public Procurement Procedures (hereinafter the “State Commission’’), whose decisions are announced publicly on the website. Appeals against decisions of the State Commission shall not be permissible, but an administrative dispute before the High Administrative Court of the Republic of Croatia may be instigated.

The right to appeal has any economic operator that has or had a legal interest in obtaining a particular public procurement contract and which has suffered or may suffer damage due to the violation of subjective rights.

The appeal procedure is conducted in the Croatian language and in the Latin script. The appeal is submitted directly via the e-appeal system in the EPPC RC, along with the payment of the fee for initiating the appeal procedure. The appellant is obligated to pay the fee for initiating the appeal procedure in the following amounts:

1. 1.320,00 € for the estimated value of the procurement less than 265.440,00 €.

2. 0.5% of the estimated value of the procurement for the estimated value of procurement from 265.440,01 € to 13.272.000,00 €.

3. 66.360,00 € for the estimated value of the procurement greater than 13.272.000,00 €.

Competent authority and regulations

Ministry of Economy

Ulica grada Vukovara 78, 10000 Zagreb

Directorate for Public Procurement Policy

info_javnanabava@mingo.hr

Public procurement act (OG 120/2016)

Act on amendments and supplements to the public procurement act (OG 114/2022)

Regulation on public procurement in the area of defense and security (OG 19/2018)

Ordinance on procurement documentation and tenders in public procurement procedures (OG 65/2017)