Legislation Change to Hasten Bidding Process

The Romanian government passed an emergency regulation to shorten the time required in the public acquisition process, in hope to facilitate investments and higher the pace of European funding. A bidding result may be contested in court after paying a judicial stamp worth 2% of the contract value.

"We hoped these changes to lift the bureaucratic hurdles, enforce better control of the bidding process, while making the spending of public funds more transparent to the public, with the final aim to complete the public investment projects on time," prime minister Emil Boc said after signing the emergency regulation.

Prior to this decision, it took some 380 days for the funds to actually be made available from the time the bidding process was closed and a decision upon the winer had been made. "The time lapse will be now of 30 days max," deputy prime minister Dan Nica said.

He added the change came about to bring legislation in line with he European Directive which says that, in view of the current economic crisis, EU member states can adopt measures shortening such bidding processes.

Therefore, there are some changes in the time-lapse for publication of
- an open bidding, which is down to 20 days from 28 previously;
- a limited calls bidding, which is down to 10 days, from 16 previously;
- a competitive dialogue, which is down to 20 days, from 30 days previously.

Also, the time-lapse between the conclusion of the bidding and the signing of the contract was brought down to 20 days şwith an additional 20 days granted only with approval from higher up bureaucratic authoritiesţ.

The public authority will be able to engage in the bidding process if the estimated value of a service providing contract is under 100,000 Euro şfrom 75,000 Euro beforeţ, or the estimated value of a building contract is under 750,000 Euro şfrom 500,000 Euro beforeţ.

The public authority may buy products, services and building services with no prior bidding, if the value of the contracts stays under 15,000 Euro şfrom 10,000 Euro beforeţ.

The court procedure also had been shortened. The bidding may be contested in court within 10 days, and the court is bound to settle the first hearing within 20 days. The court decision must be delivered in three days and made public in five days. The appeal must be filed in five days.

Those that used the judiciary just to block competition from getting the contract are discouraged now with being asked to pay a judicial stamp worth 2% of the contract value, when they file against the bidding result.