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23 March 2023
On 9 March 2023, the Cabinet Office and the Crown Commercial Service jointly published PPN 03/23 (“PPN”) which updates the standard Selection Questionnaire for public procurements and its accompanying statutory guidance.
The PPN applies from 1 June 2023 to all contracting authorities (“CAs”) in England, and CAs in Wales and Northern Ireland which exercise wholly or mainly reserved functions, when they undertake above threshold procurements within Part 2 of the Public Contracts Regulations 2015. The PPN clarifies and introduces questions in Part 3 of the Selection Questionnaire whilst allowing CAs to rephrase questions based on their e-procurement systems style or format. PPN 03/23 supersedes PPN 08/16 and replaces the European Single Procurement Document with the Selection Questionnaire template at Annex C of PPN 03/23.
The PPN provides clarity to CAs on what is deemed as acceptable responses by bidders. For example, clarity is provided in the definitions of ‘relying on another organisation’ to meet the selection criteria to when a bidder relies on an organisation’s technical and professional ability and/or economic and financial standing. Moreover, the changes mean that bidders acting on behalf of a group/consortium or using subcontractors may need to complete Part 3 of the Selection Questionnaire differently than Parts 1 or 2 and show how a subcontractor has provided similar requirements previously. Additionally, bidders will now need to confirm whether any other organisatons they are relying on would be willing to provide CA’s with a guarantee or other forms of security.
There have also been amendments to the financial questions and checks in Part 3 although CAs can choose to only include appropriate and proportionate questions. In all cases, CAs should state any minimum Economic and Financial Standing (“EFS”) requirements, selection criteria and methodology assessment. For instance, stating that the CA will require evidence to be provided under regulation 60(8) PCR 2015 to assess whether the bidder meets the minimum EFS requirements.
The PPN also refers to a number of other related PPNs which are to be considered in the procurement selection process and introduces several questions accordingly. Namely, CAs should develop an appropriate selection criterion in relation to bidders’ technical and professional ability. This includes bidders’ ability to implement appropriate measures to protect the right of data subjects, comply with GDPR, meet environmental law obligations and manage health and safety in their supply chains. In central government contracts the bidder will also be required to answer answers on theirs and all of their subcontractors ability to supply a list of relevant principal contracts with supporting evidence for goods and services in the last three years.
As noted in our blog, CAs should also use the modern slavery risk assessment table provided to demonstrate how any risks will be identified and managed and, where there is a high risk of modern slavery occurring, bidders are required to submit self-declarations for each supply chain member. Central government contracts bidders are required to provide their latest modern slavery statement and provide an explanation to CAs if it does not meet the Home Office requirements. It will then be the CA’s decision on whether the explanation provided is satisfactory. Also, with central government contracts valued above £5 million per annum, CAs will require confirmation that the bidder is committed to achieving Net Zero by 2050, supported by an effective Carbon Reduction Plan, and has reliable, effective payment systems in their organisation.
CAs must ensure that they use the new standard questions from 1st June 2023, and should familiarise themselves with the PPN and its accompanying statutory guidance, and check that their e-procurement platforms address the updates and provide sufficient explanation to bidders regarding the new selection questions. Also, CAs must be aware of their obligation to report deviations from the standard questions.
This article is for general awareness only and does not constitute legal or professional advice. The law may have changed since this page was first published. If you would like further advice and assistance in relation to any of the issues raised in this article, please contact us today by telephone or email enquiries@sharpepritchard.co.uk.
