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Public Procurement Directorate
TABLE OF CONTENTS
1-01-2008

TABLE OF CONTENTS
TABLE OF CONTENTS..............................................................................................1
CHAPTER 3: PREPARATION AND ANNOUNCEMENT OF TENDER
PROCEDURE.................................................................................3
3.1 INTRODUCTION LINKAGE TO THE OTHER CHAPTERS OF THE GUIDE ...................3
3.2 PREPARATION OF TENDER DOCUMENTS ............................................................6
3.2.1 Individual parts of the tender documents and their function.....................6
3.2.1.1 Award of supply contracts and service contracts using the open
procedure ............................................................................................6
3.2.1.2 Award of public supply contracts and public service contracts
using the restricted procedure..............................................................6
3.2.1.3 Award of public supply contracts and public service contracts
using the simplified procedure .............................................................6
3.2.1.4 Public works contracts ........................................................................6
3.2.2 Determining the Contract Scope..............................................................6
3.2.2.1 Preparing the Terms of Reference......................................................6
3.2.2.2 Preparing the Technical Specifications ...............................................6
3.2.3 Determining the evaluation criteria ..........................................................6
3.2.3.1 Key principles .....................................................................................6
3.2.3.2 Determining the qualitative selection criteria .......................................6
3.2.3.3 Determining the contract award criteria...............................................6
3.2.4 Model draft tender documents.................................................................6
3.2.5 The case of the consultation stage (technical dialogue) ........................6
3.3 ADVERTISING ..................................................................................................6
3.3.1 Publication of prior information notice......................................................6
3.3.2 Publication of periodic indicative notice (Law 11()/2006) ........................6
3.3.3 Creation of buyer profile ........................................................................6
3.3.4 Publication of notice of the existence of a qualification system (Law
11()/2006)...............................................................................................6
3.3.5 Publication of contract notice...................................................................6
3.4 PROVISION OF THE TENDER DOCUMENTS ..........................................................6
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3.4.1 Dispatch and delivery of the tender documents .......................................6
3.4.2 Charge for obtaining the tender documents.............................................6
3.5 PROVISION OF CLARIFICATIONS AND ADDITIONAL INFORMATION ON THE
TENDER DOCUMENTS.......................................................................................6
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CHAPTER 3: PREPARATION AND ANNOUNCEMENT
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CHAPTER 3: PREPARATION AND ANNOUNCEMENT OF
TENDER PROCEDURE
3.1 INTRODUCTION LINKAGE TO THE OTHER CHAPTERS OF THE GUIDE
The previous Chapter (Chapter 2) of this Guide presented guidelines to assist Contracting
Authorities in making decisions on strategic choices regarding public procurement issues.
Indicatively, these issues concern the following:
Correspondence between the conditions in market and the award of a public contract.
Recourse to the services of an external Consultant for supporting the public procurement
process.
Identification of the number and size of the contracts required to implement the project.
Selection of the best way to address the need, between purchase, rental or leasing.
Selection of the most appropriate award procedure (open, restricted, negotiated etc.)
Selection of the award criterion (lowest price, most economically advantageous tender)
Determination of the composition and responsibilities of the Procurement Team
responsible for preparing the tender documents.
Development of the schedule for the award procedure.
Chapters 3 and 4 offer guidelines and instructions on how to apply the choices made
regarding the award of public contracts. More specifically, an analysis is presented of the
measures to be taken and the actions to be carried out in each step of the procedure, from
the preparation of the tender documents through to the award of the contract, so as to
ensure consistency with the strategic choices made and the legislative framework in force.
The present Chapter 3 discusses in detail the following four steps in the preparation and
announcement of a tender procedure:
1. Preparation of tender documents: This particular step concerns the preparation
of the tender documents using the model draft tender documents (see paragraph
3.2.4), depending on the award procedure (open, restricted, simplified) and the
contract scope (work, supply, service). In examining this step, the Guide provides
specific instructions on how to determine the contract scope (development of
Terms of Reference Technical Specifications) and the evaluation criteria.
2. Advertising actions: Refers to the publication of the prior information notice (if a
decision to publish one is taken) and of the contract notice.
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3. Provision of tender documents: In this step, the Contracting Authorities make
available the tender documents to the interested economic operators.
4. Provision of clarifications and supplementary information on the tender
documents: The Contracting Authorities provide to interested economic
operators clarifications and supplementary information on the tender documents,
either on their own initiative (if required) or after relevant requests submitted by
the economic operators.
Preparation
of tender
documents
Advertising
Actions
Provision of
tender
documents
Provision of
clarifications
on the documents
Preparation
of tender
documents
Advertising
Actions
Provision of
tender
documents
Provision of
clarifications
on the documents

Figure 3-1: The four steps in the preparation and announcement of a tender procedure
The preparation and announcement of a tender procedure is concluded with the receipt and
safekeeping of tenders. This step is relatively easy to implement, and the relevant
Regulations provide detailed instructions. For these reasons, it was judged that the present
Guide does not have anything more to add, and therefore this step is not presented in the
discussion which follows.
The next Chapter (Chapter 4) presents the following steps of the award procedure:
Establishment of the Evaluation Committee.
Opening of tenders.
Evaluation of qualitative selection (or prequalification) criteria.
Evaluation of award criteria.
Handling of hierarchical recourses.
Signature of contract.
For better understanding the organisation of the contents of the Guide in terms of its
individual Chapters, the following pages present the flowcharts for the three award
procedures (open, restricted and simplified), indicating the Chapter where each step of the
procedure is discussed.
It is pointed out that the negotiated procedures (with or without publication of a contract
notice) and the competitive dialogue are presented in Chapter 5 of the Guide.
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Establishment of the need for technical works, for the
supply of goods or for the purchase of services
Decision to fulfil the need through an external
economic operator
Publication of prior information notice (optional)
Detemination of the strategic choices involved in the
award procedure
Preparation of tender documents
Publication of contract notice
Collection of tender documents
Provision of tender documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of answers on clarification
questions and comments (if any)
Submission of tenders
OPEN PROCEDURE FLOWCHART
Receipt and safekeeping of tenders
Opening of tenders
Establishment of Evaluation Committee
Verification of compliance with formal requirements
and evaluation of qualitative selection criteria
Evaluation of award criteria
Notification of the tender procedure result to the
tenderers
Filing of hierarchichal recourses(if any)*
Filing of hierarhichal recourses (if any)*
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Issue of award decision
Establishment of Procurement Team
Establishment of the need for technical works, for the
supply of goods or for the purchase of services
Decision to fulfil the need through an external
economic operator
Publication of prior information notice (optional)
Detemination of the strategic choices involved in the
award procedure
Preparation of tender documents
Publication of contract notice
Collection of tender documents
Provision of tender documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of answers on clarification
questions and comments (if any)
Submission of tenders
OPEN PROCEDURE FLOWCHART
Receipt and safekeeping of tenders
Opening of tenders
Establishment of Evaluation Committee
Verification of compliance with formal requirements
and evaluation of qualitative selection criteria
Evaluation of award criteria
Notification of the tender procedure result to the
tenderers
Filing of hierarchichal recourses(if any)*
Filing of hierarhichal recourses (if any)*
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Issue of award decision
Establishment of Procurement Team


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CONTRACTING AUTHORITY ECONOMIC OPERATORS
Publication of contract award notice in the Official
Journal (if applicable)
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 4
LEGEND:
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Submission of six-monthly statistical information to
the Competent Authority of Public Procurement
Signature of contract with the selected tenderer
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Publication of contract award notice in the Official
Journal (if applicable)
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 4
LEGEND:
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 4
LEGEND:
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Submission of six-monthly statistical information to
the Competent Authority of Public Procurement
Signature of contract with the selected tenderer

Figure 3-2: Correspondence between the contents of the Guide and the steps of the open
procedure

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Establishment of the need for technical works, for
the supply of goods or for the puchase of services
Decision to fulfil the need through an external
exonomic operator
Publication of prior information notice
(optional)
Determination of the strategic choices involved in
the award procedure
Preparation of tender documents
Publication of contract notice
(Invitation to participate)
Collection of Request to Participate documents
Provision of Request to Participate documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of answers on clarification
questions and comments (if any)
Submission of requests to participate (completed)
RESTRICTED PROCEDURE FLOWCHART
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Receipt and safekeeping of requests to participate
Opening of requests to participate
Establishment of Evaluation Committee
Verification of compliance with formal requirements
and evaluation of qualitative selection criteria
Notification of results to all economic operators who
have expressed their interest
Filing of hierarchical recourses (if any)*
Filing of hierarchical recourses (if any)*
Establishment of Procurement Team
Establishment of the need for technical works, for
the supply of goods or for the puchase of services
Decision to fulfil the need through an external
exonomic operator
Publication of prior information notice
(optional)
Determination of the strategic choices involved in
the award procedure
Preparation of tender documents
Publication of contract notice
(Invitation to participate)
Collection of Request to Participate documents
Provision of Request to Participate documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of answers on clarification
questions and comments (if any)
Submission of requests to participate (completed)
RESTRICTED PROCEDURE FLOWCHART
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Receipt and safekeeping of requests to participate
Opening of requests to participate
Establishment of Evaluation Committee
Verification of compliance with formal requirements
and evaluation of qualitative selection criteria
Notification of results to all economic operators who
have expressed their interest
Filing of hierarchical recourses (if any)*
Filing of hierarchical recourses (if any)*
Establishment of Procurement Team


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CONTRACTING AUTHORITY ECONOMIC OPERATORS
Publication of Contract Award Notice in the Official
Journal (if applicable)
Signature of contract with the selected tenderer
Distribution of tender documents to prequalified
economic operators
Collection of tender documents
Submission of clarification questions and comments
(if any)
Prepration & dispatch of anwers on clarification
questions and comments (if any)
Submission of tenders
Opening of tenders
Evaluation of award criteria (evaluation of tecnnical
and financial offer)
Notification of tender procedure result to the
tenderers
Filing of hierarhical recourses
(if any) *
Filing of hierarchical recourses
(if any)*
Receipt and safekeeping of tenders
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 4
LEGEND:
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Sunmission of six-monhtly statistical information to
the Competent Authority of Public Procurement
Issue of award decision
Invitation of prequalified economic operators to
submit tenders (Invitation to tender)
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Publication of Contract Award Notice in the Official
Journal (if applicable)
Signature of contract with the selected tenderer
Distribution of tender documents to prequalified
economic operators
Collection of tender documents
Submission of clarification questions and comments
(if any)
Prepration & dispatch of anwers on clarification
questions and comments (if any)
Submission of tenders
Opening of tenders
Evaluation of award criteria (evaluation of tecnnical
and financial offer)
Notification of tender procedure result to the
tenderers
Filing of hierarhical recourses
(if any) *
Filing of hierarchical recourses
(if any)*
Receipt and safekeeping of tenders
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 4
LEGEND:
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Sunmission of six-monhtly statistical information to
the Competent Authority of Public Procurement
Issue of award decision
Invitation of prequalified economic operators to
submit tenders (Invitation to tender)

Figure 3-3: Correspondence between the contents of the Guide and the steps of the restricted
procedure

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Establishment of the need for technical works, for
the supply of goods or for the purchase of services
Decision to fulfil the need through an external
economic operator
Preparation of tender documents
Dispatch of tender documents to (at least 4)
selected economic operators
Collection of tender documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of anwers to clarification
questions and comments (if any)
SIMPLIFIED PROCEDURE FLOWCHART
(in accordance with article 84(1)c of Law 12()/2006)
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Establishment of Evaluation Committee
Submission of tenders
Receipt and safekeeping of tenders
Opening of tenders
Evaluation of tenders
Notification of tender procedure result to the
tenderers
Signature of contract with the selected tenderer
Quarterly submission of information per contract to
the Competent Authority of Public Procurement,
with copy to to the Audit Office of the Republic.
Chapter 1
Chapter 2
Chapter 3
Chapter 4
LEGEND:
Issue of award decision
Establishment of Procurement Team
Filing of hierarchical recourses (if any)*
Filing of hierarchical recourses (if any)*
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.
Establishment of the need for technical works, for
the supply of goods or for the purchase of services
Decision to fulfil the need through an external
economic operator
Preparation of tender documents
Dispatch of tender documents to (at least 4)
selected economic operators
Collection of tender documents
Submission of clarification questions and
comments (if any)
Preparation & dispatch of anwers to clarification
questions and comments (if any)
SIMPLIFIED PROCEDURE FLOWCHART
(in accordance with article 84(1)c of Law 12()/2006)
CONTRACTING AUTHORITY ECONOMIC OPERATORS
Establishment of Evaluation Committee
Submission of tenders
Receipt and safekeeping of tenders
Opening of tenders
Evaluation of tenders
Notification of tender procedure result to the
tenderers
Signature of contract with the selected tenderer
Quarterly submission of information per contract to
the Competent Authority of Public Procurement,
with copy to to the Audit Office of the Republic.
Chapter 1
Chapter 2
Chapter 3
Chapter 4
LEGEND:
Issue of award decision
Establishment of Procurement Team
Filing of hierarchical recourses (if any)*
Filing of hierarchical recourses (if any)*
* The economic operators may file hierarchical
recourses against any action or decision of the
Contracting Authority, from commencement of the
tender procedure through to the award of the
contract.

Figure 3-4: Correspondence between the contents of the Guide and the steps of the simplified
procedure
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3.2 PREPARATION OF TENDER DOCUMENTS
At this particular point in the public procurement process, the Contracting Authority, after it
has completed the determination of the Projects key elements (preparation of a Project
Fiche), and after it has taken the strategic decisions regarding the award of the contract, is
now ready to draw up the tender documents, which will be used for notifying the economic
operators of its intention to award the contract and to invite them to submit tenders.
The phase of preparation of the tender documents is extremely important, as it
determines the terms of the tender procedure, as well as the terms for execution
of the contract. The tender documents should give a detailed and clear picture of the way in
which the Contracting Authority shall implement its strategic choices regarding the
procurement procedure.
The tender documents should conform to the national institutional framework in force on
public procurement, and should be governed by the principles of non-discrimination, mutual
recognition, transparency and equal treatment.
The institutional framework in force, at both the Community and the national level, does not
provide specific model documents to be used as references in drawing up the tender
documents. It does however specify the minimum information which tender documents must
contain. The Public Procurement Directorate, in the context of its responsibilities regarding
the preparation of model documents with the aim of ensuring a more effective application of
the legislation on public procurement, has established model draft tender documents for
various types of procedures and contracts, and recommends their use by the Contracting
Authorities. The model draft tender documents are presented in Section 3.2.4.
The model draft tender documents represent key reference texts, while at the same time they
function as crucial tools for the award of public contracts by the Contracting Authorities of the
Republic of Cyprus.
For the preparation of the tender documents, the Contracting Authority must establish the
Procurement Team (or assign their preparation to a competent official), which shall
undertake this task. Guidelines on the appointment of Procurement Team members are
given in Chapter 2 (paragraph 2.5.1: Appointment of the Procurement Team). The
responsibilities of the Procurement Team also include the provision of clarifications and
additional information following the recommendations, remarks or comments made by the
interested economic operators on the tender documents. The members of the Procurement
Team should have knowledge of the following subjects:
Technical knowledge related to the contract scope.
The legislative framework on public procurement.
The procedures for the award of public contracts.
In drawing up the tender documents, the Procurement Team will rely on:
The Project Fiche if it has been considered necessary to establish one.
The model draft tender documents presented in paragraph 3.2.4 of the present
Guide.
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The knowledge and experience of its members.
The tender documents should be drawn up with particular attention and diligence, as
omissions or ambiguities in them may result in:
The need for additional work by the Procurement Team, for preparing and notifying
to the economic operators clarifications on the documents.
Delays in conducting the tender procedure, if the corrections on the documents are
judged to be substantial and the tender procedure has to be repeated.
Delays and difficulties in conducting the evaluation.
Delays in concluding of the tender procedure, due to the submission of appeals by
interested economic operators.
Cancellation of the tender procedure, if the decision regarding a hierarchical
recourse filed by an interested party against an act of decision of the Contracting
Authority is unfavourable for the latter, thus making it impossible for the tender
procedure to continue.
Concurrently with the tender documents, the Procurement Team should also prepare the
special Contract Notice form (if required, depending on the contract budget), which must be
dispatched for publication to Supplement S to the Official Journal of the EU and to the Official
Gazette of the Republic of Cyprus. Specific instructions on how to prepare these forms are
given in Section 3.3.5.
Once the tender documents and the contract notice have been prepared, the Procurement
Team delivers the documents to the Head of the Contracting Authority for approval. Approval
can also be obtained through some other predetermined procedure.
To facilitate the verification of the conformity of the tender documents to the institutional
framework in force, use of the checklist referred to in Section 3.2.4, is recommended.
3.2.1 Individual parts of the tender documents and their function
The tender documents must provide clear and detailed information on the following three
issues:
1. Scope of the contract to be awarded. Description of the purpose and objectives of
the contract, of the environment within which it shall be implemented, and of its
scope, deliverables and delivery times.
2. Eligibility and method for participation of interested economic operators in the
tender procedure and method for their evaluation. Determination of the award
procedure, of the selection and award criteria, and of the contents of tenders and
their evaluation procedure.
3. Terms of cooperation for implementation of the contract. Identification of the
special (value, time, delivery and payment method, penalties for delay etc.) and
general conditions (guarantees, subcontracting, obligations of the contracting parties,
contract termination etc.) of the agreement to be entered into by the Contracting
Authority and the economic operator selected to execute the contract.
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The structure of the tender documents is the same for supply contracts and service
contracts, and differs in the case of public works contracts.
The structure of the tender documents also slightly differs depending on the award procedure
to be selected (open or restricted).
The structure and function of the tender documents for public supply contracts and public
service contracts awarded using the open procedure is presented below, followed by the
presentation of the differences in the cases of the restricted and simplified procedures.
Finally, the structure of the tender documents for works contracts is presented in a separate
Section.
3.2.1.1 Award of supply contracts and service contracts using the open procedure
The structure of the tender documents in the case of the open procedure is shown in
the Figure below:

Instructions to Economic Operators
Part
Agreement and Special Conditions of
Contract
Part
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Templates for Forms
Appendix
STRUCTURE OF TENDER DOCUMENTS
Instructions to Economic Operators
Part
Agreement and Special Conditions of
Contract
Part
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Templates for Forms
Appendix
STRUCTURE OF TENDER DOCUMENTS
Figure 3-5: Structure of tender documents in the case of the open procedure
The correspondence between the three key categories of information that the tender
documents must provide and their proposed parts, is given in the Table below:

CATEGORY OF INFORMATION PART OF THE TENDER DOCUMENTS
Eligibility and method for participation of
interested economic operators in the tender
procedure
PART : Instructions to Economic Operators
Terms of cooperation between the Contracting
Authority and the contractor to be selected to
implement the contract
PART : Agreement and Special Conditions of
Contract
Terms of cooperation between the Contracting
Authority and the contractor to be selected to
implement the contract
ANNEX : General Conditions of Contract
Scope of the contract to be awarded.
ANNEX : Terms of Reference Technical
Specifications
Table 3-1: Categories of information in each part of the tender documents
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At the contract award stage, the tender documents determine the terms of the tender
procedure to be conducted by the Contracting Authorities and the conditions for
participation in it of the economic operators, while at the contract implementation
stage they determine the framework of cooperation between the Contracting Authority and
the selected contractor.
The tender documents function differently in the two stages mentioned above.
At the contract award stage (commencing with the announcement of the tender procedure
and concluding with the selection of the contractor), the tender documents should provide
economic operators with all the information which they need in order to answer the following
questions:
Do I have the formal and essential qualifications for implementing the contract?
What is the estimated business benefit of potentially winning the contract?
What are the actions required for participating in the tender procedure?
At the contract implementation stage (commencing with the signature of the contract and
ending with its completion), the tender documents, together with the tender of the selected
contractor, form the contractual documents which govern the relations between the two
contracting parties regarding the implementation of the contract.
The Figure below presents the correspondence between the tender documents and the
tenders of candidate economic operators, on the one hand, and the contract documents, on
the other:


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Instructions to Economic Operators
Part
Agreement and Special Conditions of
Contract
Part
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Templates for Forms
Appendix
TENDER DOCUMENTS
CONTRACT
Agreement and Special Conditions of Contract
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Contractors Technical Offer
Contractors Financial Offer
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials
Instructions to Economic Operators
Part
Agreement and Special Conditions of
Contract
Part
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Templates for Forms
Appendix
TENDER DOCUMENTS
Instructions to Economic Operators
Part
Agreement and Special Conditions of
Contract
Part
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Templates for Forms
Appendix
TENDER DOCUMENTS
CONTRACT
Agreement and Special Conditions of Contract
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Contractors Technical Offer
Contractors Financial Offer
CONTRACT
Agreement and Special Conditions of Contract
General Conditions of Contract
Annex
Terms of Reference Technical
Specifications
Annex
Contractors Technical Offer
Contractors Financial Offer
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials

Figure 3-6: Correspondence between the tender documents, the tenders of candidate
economic operators and the contract, in the case of the open procedure
The next Table helps Contracting Authorities understand the twofold function of each
part of the tender document for each interested party, i.e. for Contracting Authorities
and for economic operators.

ANSWERS TO QUESTIONS PART OF THE TENDER
DOCUMENTS
CONTRACTING AUTHORITY ECONOMIC OPERATORS
PART : Instructions to
Economic Operators
How should I conduct the
tender procedure?
Which criteria should I use to
select the best contractor?
Can I participate in the tender
procedure?
How can I submit a tender in
order to participate in the
tender procedure?
How will I be evaluated?
PART : Agreement and
Special Conditions of
Contract
What arrangements are in
place for those terms of
cooperation with the
contractor which depend on
the particular features of the
project?
What arrangements are in
place for those terms of
cooperation with the
Contracting Authority which
depend on the particular
features of the project?
ANNEX : General
Conditions of Contract
What are the basic terms of
cooperation with the
contractor for implementation
of the contract?
What are the basic terms of
cooperation with the
Contracting Authority for
implementation of the contract?
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ANSWERS TO QUESTIONS PART OF THE TENDER
DOCUMENTS
CONTRACTING AUTHORITY ECONOMIC OPERATORS
ANNEX : Terms of
Reference Technical
Specifications
What are my needs?
What do I require in order to
fulfil my needs?
Can I implement the contract?
What is the cost for
implementing the contract?
Table 3-2: Function of the tender documents for the Contracting Authorities and the economic
operators
The tender documents should provide clear and full answers to the questions of
Table 3-2 or supply the appropriate information that will enable both the Contracting
Authorities and the economic operators to answer those questions.
Part : Instructions to Economic Operators
The Table below lists the key information contained in Part A Instructions to
Economic Operators of the tender documents:

Key details of the tender procedure
Legal framework
Provision of clarifications on the tender documents
Eligibility and requirements for participation
Format and submission of tenders
Conduct of the tender procedure
Conclusion of the tender procedure
Table 3-3: Key information of Part A Instructions to Economic Operators
The Instructions to Economic Operators is the only part of the tender documents
that is of no practical value or formal significance after the award of the contract.
The most important elements in the tenders of economic operators are requested to be
supplied in a standardised format (Templates for Forms Appendix to the model tender
documents). This approach provides economic operators with guidance on how to complete
the respective forms correctly and allows the competent bodies of the Contracting Authorities
to compare and evaluate them more easily.
The Table below lists indicatively some of the templates included in the Appendix
Templates for Forms:

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Tender Guarantee Template
Template for the Solemn Declaration certifying the Tenderers Personal Situation
Documentation of Tenderers Economic and Financial Standing
Documentation of Tenderers Technical and Professional Ability
Template for the Certification regarding the Protection of Employees
Template for the Project Team Presentation Table
CV Template
Template for the Technical Offer Submission Form
Financial Offer Template
Table of Evaluation Criteria
Performance Guarantee Template
Advance Payment Guarantee Template
Bank Account Notification Form
List of Contractors Certificates
Table 3-4: Contents of Appendix Templates for Forms
Part : Agreement and Special Conditions of Contract
The Table below lists the key contents of Part B Agreement and Special Conditions
of Contract of the tender documents:

Structure of the contract
Contract scope
Contract value
Project organisation and administration
Date of commencement and period of implementation
Conditions and procedure for payment
Penalties for delay
Settlement of disputes
Communication between the parties
Table 3-5: Contents of Part B Agreement and Special Conditions of Contract
Once the contractor has been selected, the Agreement and Special Conditions of Contract
document becomes the principal contractual text that regulates the terms of cooperation of
the two contracting parties, and is supported by four Annexes (General Conditions of
Contract, Terms of Reference Technical Specifications, Contractors Technical Offer and
Contractors Financial Offer).

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In the model draft tender documents, the Special Conditions of Contract have been
limited to a small number of articles that regulate, among other things, the acceptance
and payment procedures, the penalty clauses, the dispute resolution procedure and
the method of communication between the contracting parties. All other issues are regulated
by the Annexes to the Contract. This helps reduce significantly the time that will be required
for the contract to be signed, as most of its points shall already have been determined
through the approval of the tender documents (Terms of Reference and General Conditions
of Contract) and the submission of the tenders by candidate economic operators
(Contractors Technical and Financial Offer).
Annex : General Conditions of Contract
The Table below lists the key contents of Annex I General Conditions of
Contract of the tender documents.

Ownership Intellectual and property rights
Obligations of the Contracting Authority
Performance Guarantee
Assignment
Subcontracting
Confidentiality Secrecy
Code of ethics
Conflict of interests
Protection of employees
Amendment to the contract
Payments
Administrative and financial penalties
Breach of contract
Insurance indemnification
Termination by the Contracting Authority
Termination by the Contractor
Force majeure
Settlement of disputes
Table 3-6: Contents of Annex I General Conditions of Contract
An effort has been made to bring together in the General Conditions of Contract all
provisions and agreements of a general nature which do not depend on the particular
features of each contract and thus can be reproduced without changes in all the contracts of
a specific category (public works contracts or public supply contracts or public service
contracts).

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The Contracting Authorities should not make changes to the text of the General
Conditions of Contract. This however does not mean that the Procurement Team
should not read carefully the model draft General Conditions of Contract, to confirm the
validity of its contents in relation to the particularities of the specific project. In the event that
a clause must be modified, omitted or added, this should be done by a special reference to
be added in the Special Conditions of Contract. It is estimated that in the majority of cases no
modifications will be required.
Annex : Terms of Reference Technical Specifications
The Table below lists the key contents of Annex II Terms of Reference Technical
Specifications.

Background information
Objective and expected results
Assumptions and risks
Project scope (technical specifications)
Delivery times
Project location and duration of implementation
Special requirements (staffing, equipment etc.)
Table 3-7: Contents of Annex Terms of Reference Technical Specifications
The Terms of Reference of the draft model tender documents are accompanied by
instructions on how to complete the relevant information, thus providing Contracting
Authorities with guidance on how to record their needs and requirements correctly and
helping economic operators understand the environment and scope of the project, so that
they may propose the most appropriate solutions. Detailed guidelines on how to develop the
Terms of Reference and the Technical Specifications for projects are given in paragraphs
3.2.2.1 (Preparing the Terms of Reference) and 3.2.2.2 (Preparing the Technical
Specifications).
After the award of the contract, the Terms of Reference, together with the Contractors
Technical and Financial Offer, represent the contractual commitment regarding the extent of
the project scope and its implementation.
The parts of the tender documents are individual texts that make up the overall
framework of the particular procurement, and each one of them should be drawn up
by appropriately qualified members of the Procurement Team.





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QUALIFICATIONS AND EXPERIENCE OF PROCUREMENT TEAM
MEMBERS
PART OF THE
TENDER
DOCUMENTS
PROCEDURES
REGARDING
PUBLIC
CONTRACTS
KNOWLEDGE OF
PUBLIC
PROCUREMENT
LEGISLATION
TECHNICAL ISSUES
(Contract Scope)
Instructions to
Economic Operators Main responsibility Agreement
Participation (determination
of selection and award
criteria)
Agreement and
Special Conditions of
Contract
Agreement Main responsibility Participation
General Conditions of
Contract
Agreement Main responsibility Participation
Terms of Reference
Technical
Specifications
Agreement --------- Main responsibility
Table 3-8: Qualifications of Procurement Team members required for drawing up the parts of
the tender documents
The use of the model draft tender documents reduces the need for providing support to
the Procurement Teem in connection with:
Issues of public procurement legislation (to a great extent).
Procedures regarding public contracts (to a lesser extent).
Technical issues (to a minimal extent).
3.2.1.2 Award of public supply contracts and public service contracts using the
restricted procedure
In the case of the restricted procedure, the differences in the parts of the tender documents
are due to the fact that the tender procedure is conducted in two stages:
Prequalification stage: The Contracting Authorities publish a contract notice and
select the candidates who meet the minimum levels of the selection criteria specified
in the contract notice.
Award stage: The Contracting Authorities invite the prequalified candidates to submit
their tenders, and evaluate the tenders using the award criteria specified in the
invitation to tender.
The tender documents for each one of these two stages are presented in the following.
Prequalification stage
In the prequalification stage, the Contracting Authorities should draw up and publish the
invitation of requests to participate, and interested candidates should submit their
requests to participate, as shown in the Figure below:

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Invitation of requests to participate Request to Participate Template
Annex
TENDER DOCUMENTS PREQUALIFICATION STAGE
EXPRESSION OF INTEREST BY CANDIDATE ECONOMIC OPERATORS
Request to participate
Invitation of requests to participate Request to Participate Template
Annex
TENDER DOCUMENTS PREQUALIFICATION STAGE
EXPRESSION OF INTEREST BY CANDIDATE ECONOMIC OPERATORS
Request to participate

Figure 3-7: Tender documents and tenders of candidate economic operators in the
prequalification stage
The Table below lists the key contents of the Invitation of requests to participate:

Scope of the project
Eligibility and requirements for participation
Anticipated schedule
Evaluation and selection criteria
Procedure and method of submission of the request to participate
Request to Participate Template
Table 3-9: Contents of Invitation of requests to participate
In order to better understand the function of the Invitation of requests to participate, it should
be pointed out that it relates to the tender documents of the open procedure as follows:
It includes a summary description of the project scope, i.e. is a summary of the Terms
of Reference.
It presents the terms of the tender procedure only in what regards the prequalification
stage, i.e. is a part of the Instructions to Economic Operators.
Award stage
The documents of the award stage have exactly the same parts as the tender documents in
the case of the open procedure.
However, the following differences should be pointed out:
The Instructions to Economic Operators contain information only about the award
stage, since the selection stage has already been concluded.
The tender documents are dispatched only to the prequalified Economic Operators.
As an alternative to the procedure described above, Contracting Authorities may publish the
complete tender documents at the prequalification stage (as in the open procedure), i.e.:
The Terms of Reference.
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The Instructions to Economic Operators, which will concern both stages of the tender
procedure (prequalification and award).
The Agreement and Special Conditions of Contract.
The General Conditions of Contract.
In this case, at the second stage the prequalified candidates will only be sent a letter inviting
them to submit their tenders in accordance with the tender documents published in the
prequalification stage.
3.2.1.3 Award of public supply contracts and public service contracts using the
simplified procedure
In the case of the simplified procedure, the tender documents consist of two parts:
1. Scope and Terms of the tender procedure: This Part provides information which is
similar (although considerably less detailed) with that of the Terms of Reference and
of the Instructions to Economic Operators of the open procedure.
2. Agreement: Replaces (although it has considerably fewer articles) the Agreement
and Special Conditions of Contract and the General Conditions of Contract
documents of the open procedure.
The Figure below presents the correspondence between the tender documents and the
tenders submitted, on the one hand, and the contract documents, on the other.

Scope and Terms of conduct of the tender
procedure
Agreement
Part
TENDER DOCUMENTS
Part
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials
CONTRACT
Agreement
Scope of Tender Procedure*
Annex
Contractors Technical and Financial Offer
Annex
* The section of Part A of the tender documents which covers the scope of the project.
Scope and Terms of conduct of the tender
procedure
Agreement
Part
TENDER DOCUMENTS
Part
Scope and Terms of conduct of the tender
procedure
Agreement
Part
TENDER DOCUMENTS
Part
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials
TENDERS OF CANDIDATE ECONOMIC OPERATORS
Technical Offer Financial Offer Participation Credentials
CONTRACT
Agreement
Scope of Tender Procedure*
Annex
Contractors Technical and Financial Offer
Annex
* The section of Part A of the tender documents which covers the scope of the project.
CONTRACT
Agreement
Scope of Tender Procedure*
Annex
Contractors Technical and Financial Offer
Annex
* The section of Part A of the tender documents which covers the scope of the project.

Figure 3-8: Correspondence between the tender documents, the tenders of candidate
economic operators and the contract, in the case of the simplified procedure
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3.2.1.4 Public works contracts
The structure of the tender documents in the case of public works contracts awarded using
the open procedure is shown in the Figure below:

Instructions to Economic Operators
Volume
Conditions of Contract
Part : General Conditions
Part Special Conditions
Agreement
Volume
Technical Specifications
General specifications
Custom specifications
Rules for Measurements
Volume C
Drawings
Volume D
Templates for Forms
Annex
TENDER DOCUMENTS
Instructions to Economic Operators
Volume
Conditions of Contract
Part : General Conditions
Part Special Conditions
Agreement
Volume
Technical Specifications
General specifications
Custom specifications
Rules for Measurements
Volume C
Drawings
Volume D
Templates for Forms
Annex
TENDER DOCUMENTS

Figure 3-9: Structure of tender documents for public works contracts awarded using the open
procedure
The Figure below presents the correspondence between the parts of the tender documents
for public supply contracts and public service contracts, on the one hand, and those for
public works contracts, on the other:

PARTS OF THE TENDER DOCUMENTS FOR
PUBLIC SUPPLY CONTRACTS AND PUBLIC
SERVICE CONTRACTS
PARTS OF THE TENDER DOCUMENTS FOR
PUBLIC WORKS CONTRACTS
PART : Instructions to Economic Operators VOLUME : Instructions to Economic
Operators
PART : Agreement and Special Conditions of
Contract
VOLUME : Conditions of Contract (Part :
Special Conditions)
The Agreement is included in the Annexes of
VOLUME B.
ANNEX : General Conditions of Contract VOLUME : Conditions of Contract (Part :
General Conditions)
ANNEX : Terms of Reference Technical
Specifications
VOLUME C: Technical Specifications
VOLUME D: Drawings
Table 3-10: Correspondence between the parts of the tender documents for public supply
contracts and public service contracts, on the one hand, and those for public works contracts,
on the other

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3.2.2 Determining the Contract Scope
The scope of the contract, which had been outlined in broad terms at the project inception
phase (a project being an integrated intervention which will very likely be implemented
through more than one contracts), should at the present stage be specified in more detail,
through the development of the Terms of Reference and the Technical Specifications (Annex
II of the Tender Documents).
Chapter 1 of the Guide has provided detailed guidelines to assist Contracting Authorities in
the organisation of the activities of the project initiation phase, which is the first phase in the
lifecycle of a project. During this phase:
The opportunity or problem has been identified, the Business Case (specifying and
evaluating the alternative ways to take advantage of the opportunity or deal with the
problem) has been developed, and the best solution has been selected.
The key elements of the project have been identified and the Project Fiche
(outlining the objectives, individual activities, organisation method, budget,
breakdown into individual contracts, risks, and constraints and assumptions for
project implementation) has been prepared.
Thus, the components and information of the Project Fiche are the baseline data for
determining the contract scope.
In the case of projects which will be implemented through a single contract (instructions on
how to split the project into individual contracts are given in paragraph 2.8.7 of Chapter 2) or
through a number of contracts which nevertheless are similar in nature, many of the data
required for developing the Terms of Reference have been already included in the Project
Fiche. In contrast, in the case of projects which will be implemented through a number of
contracts whose scope is different, the present stage takes on particular importance, as it is
during this stage that the scope of the individual contracts must be determined.
The following two examples can be mentioned as two extreme instances:
Example 1
The overall project refers to the supply of a large quantity of similar products, judged
necessary for satisfying the respective needs of the Contracting Authority over the next four
years. The Contracting Authority decides to implement the project through two separate
contracts, each one with a duration of two years. In this case, the two separate contracts are
identical in scope indeed, their scope is also that of the overall project.
Example 2
The overall project involves a large-scale construction operation. The Contracting Authority
has decided to implement the project through the following seven individual contracts:
1. Development of the concept design.
2. Development of the preliminary design and of the environmental impacts study.
3. Development of the detailed design.
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4. Execution of construction works.
5. Supply of materials and equipment necessary for the implementation of the project.
6. Project management services.
7. Project inspection and audit services.
In this case, the individual contracts vary greatly in terms of their scope, and the information
contained in the Project Fiche is clearly not enough, as it serves only as the starting point for
determining the scope of the individual contracts.
The Contracting Authority should establish a list of the possible sources of information (other
than the Project Fiche which, as already mentioned, is the basic source of information) which
may help it determine the contract scope.
The Table below lists the possible sources (documents or persons) from which useful
information may be drawn:

SOURCES FROM WHICH INFORMATION MAY BE DRAWN TO HELP DETERMINE THE
CONTRACT SCOPE
Similar or related contracts which are in progress or have been completed
Business plans and strategic goals of the Contracting Authority
Administration officials of the Contracting Authority
Officials of other Contracting Authorities which have implemented similar or related contracts
Users or beneficiaries of the results of the contract
Experts specialised in the scope of the contract
Independent consultants
Commercial unions or Chambers
Interested entities
Table 3-11: Possible sources from which information may be drawn to help determine the
contract scope
In particular, all individual elements which will allow economic operators to form a
complete picture of the scope expected to be implemented by the contract in question
and thus prepare competitive tenders and identify the best solutions for the project, must be
analysed and detailed in this stage.
Regardless of the order and manner in which they appear in Annex II Terms of
Reference Technical Specifications, the various information to be brought together
in order for the contract scope to be determined can be classified in the following categories:
Analysis and description in more detail of the contents of the contract
Special Requirements Technical specifications
Implementation environment
Analytically, each one of the above categories includes the following:
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Analysis and description in more detail of the contents of the contract. The
information in this category refers to the following:
o The overall objective, specific objectives and expected results of the contract.
o The required contract activities and the resources needed for them, such as
personnel, materials, equipment, intangible resources (implementation methods,
implementation management organisation and operations, funding etc.), as well
as any special requirements which the Contracting Authority may place on the
Contractor regarding the implementation of the contract.
o The prerequisites, constraints, assumptions and risks in connection with the
implementation of the contract.
Special requirements Technical specifications. The information in this category
refers to special requirements regarding the nature, quality, performance, operation
etc. of the activities required to implement the contract, and to the resources
(materials, equipment, methods etc.) and/or expected results (and deliverables) of
the contract.
This information constitutes the so-called Technical Specifications of the
contract.
The term Technical Specifications is often used to refer collectively to the
description of the results or activities or resources needed for the contract and
to the special requirements regarding their quality, performance etc. The proposed
separation of these two components, however, will allow the Procurement Team to
better identify them.
Implementation environment. The information in this category does not refer
directly to the contract, but refers instead to the broader environment within which
the contract shall be implemented, such as general information about the Beneficiary
Country, the Contracting Authority, the relevant country background and the current
state of affairs in the relevant sector, as well as references to other relevant
programmes or actions.
The paragraphs that follow provide clarifications on the contents of the Terms of Reference
and the Technical Specifications of a contract, together with guidelines on how to develop
them.
3.2.2.1 Preparing the Terms of Reference
To help Contracting Authorities determine the contract scope, this paragraph provides
general instructions and guidelines on the collection of the individual information required for
each one of the categories mentioned above.
Once it has been collected, this information (to the extent to which it is related to the
contract scope) should be entered in the respective paragraphs of Annex II Terms
of Reference Technical Specifications (or of Volume C Technical Specifications, in the
case of a public works contract) of the model draft tender documents.
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In the remainder of this paragraph, detailed instructions are given on how to develop the
Terms of Reference, followed by an example to help understand the contents of the Terms of
Reference.
Analysis and development in more detail of the contents of the contract
Overall objective, specific objectives and expected results of the contract
This part of the Terms of Reference provides information regarding the aims of the
Contracting Authority in connection with the implementation of the contract. In general, the
aims to be mentioned here should refer to the overall objective of the contract and to the
contracts specific objectives and expected results.
This information should be presented at an appropriate level of detail and with
appropriate clarity, in order to allow:
o Candidate economic operators to form a clear picture of the reasons for which the
contract is implemented, ascertain its importance and understand fully what they
are expected to deliver and achieve, if they are awarded the contract.
o Both the economic operator to be selected as Contractor and the Contracting
Authority to use this information for the purposes of managing the implementation
of the contract, ascertaining easily at any given time during implementation
whether or not the contract is on track with respect to all three levels of aims
(overall objective, specific objectives and results) simultaneously (which is often
important).
Overall objective of the contract
The overall objective is the top-level aim of the contract: it describes a future
situation to whose achievement the contract in question is expected to contribute.
The most frequent mistake made when specifying the overall objective, is to
describe it in a manner that is too broad or too general.
The overall objective must usually be specified at a level at which it may be
possible to confirm, at the latest upon completion of the implementation of
the contract, that changes or improvements are taking place or that developments
are being created as a result of the implementation of the contract, and that these
bring the desirable situation closer than it was when the contract began.
Confirmation of these changes must be possible through the use of certain
parameters (indicators), which can be used to indicate the approach to the desirable
improvement [see comments on indicators below].
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The overall objective is usually specified at the level of regional (local) or
sectoral policies and reflects the desirable impact on the Final Beneficiaries
1
.
In most cases, the overall objective of the contract is identical to the overall
objective of the project to which the contract in question belongs. As a rule, this aim
is not achieved at the end of the contract nor at the end of the implementation of the
project, but later on in the future, through the contribution of other additional efforts
and projects. It must however be specified at such a concrete level, so that it may be
shown that the implementation of the contract has a significant impact on its
achievement.
Specific objectives of the contract
The specific objectives of the contract describe what the contract aims to
achieve at the completion of its implementation. Thus, in order to set the
specific objectives of the contract, its duration must have been specified.
It is obvious that these parameters are interdependent, and this is a critical relation
which must be taken into account when planning the contract, particularly so when
there are specific constraints regarding the timeframes within which the contract
must be completed (such as, for example, in the cases of projects co-funded by the
EU Structural Funds), combined with particular specific objectives which must also
be achieved at the same time (when the latter result from broader obligations, e.g.
the obligations at the level of the project to which the contract belongs).
The specific objectives must identify the benefits to be gained by the Direct
Beneficiaries from the use of the services or products of the contract.
By acknowledging and accepting that the behaviour of the Direct Beneficiaries of the
contract cannot be controlled, we can say that in all other respects the achievement
of the specific objectives of the contract depends on (can be controlled by) the
Contract Management Team
2
. It is nevertheless necessary for the Direct
Beneficiaries to be mobilised and to use the results of the contract, if one is to be
able to say that the specific objectives have been achieved.
Expected results

1
The Final Beneficiaries are persons or groups of people who shall gain long-term benefits from the
contract, through the improvement of services, the manufacture of better products etc., to which the
implementation of the contract contributes. These will be made available do them by the Direct
Beneficiaries.
Direct Beneficiaries are persons, groups of people or agencies directly involved in the contract and
therefore benefiting from its results. Direct beneficiaries are often also called Target Groups.
2
i.e. by the executives of the Contractor who are responsible for managing the contract, but also
indirectly by the officials of the Contracting Authority who supervise the implementation of the contract.
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The expected results of the contract (some of which are also Deliverables
3
)
describe the specific services or products which the contract shall produce
and deliver to its Direct Beneficiaries.
The Contract Management Team controls directly the production (achievement) of
the expected results. It is obvious that in order for these results to be achieved, the
Contractor must carry out specific activities in a specific sequence.
The results of the contract are expected to be achieved (produced) gradually, as the
implementation of the contract progresses. Thus, based on the expected
achievement of the results, it is also possible to specify the milestones of the
contract, which support and direct the management of the contract.
To complement what has been mentioned above regarding the definition and content
of the overall objective, specific objectives and results of the contract, practical
instructions and guidelines for their determination are given below:.

PRACTICAL INSTRUCTIONS AND GUIDELINES ON HOW TO DETERMINE THE
OVERALL OBJECTIVE, SPECIFIC OBJECTIVES AND RESULTS OF THE CONTRACT
These three levels of contract aims are interrelated in the following way:
Achievement of the overall objective of the contract depends on the achievement of
the contracts specific objectives, which in turn depend on the achievement (delivery)
of the results of the contract, and vice versa.
The definition and breakdown of the project into contracts (Project Fiche preparation phase)
using the Work Breakdown Structure (WBS) technique (presented in paragraph 7.4.1.1 of
Chapter 7), will yield useful data for determining the three levels of aims.
They are initially specified by adopting a top-down approach, while at the end, after all
contract elements have been fully specified, the above interrelation is confirmed through a
bottom-up check. Often, however, a different approach may be followed: e.g. the specific
objectives of the contract may be investigated first, followed by the desirable contract results,
with the overall objective being specified last. The approach which should be finally applied
depends on the level of identified problems or needs which the project owner wishes to
resolve/satisfy by implementing the contract.
Usually, the specification of all three levels of aims results from answering questions such as
the following ones:
What is the broader (sectoral, local) problem (or need) which must be resolved
(satisfied)?
What is the scale of this problem (need)?
What are the causes of this problem (need)?

3
The term Deliverables is usually applied to the measurable products of a contract, which are
produced and submitted in a specific format, with specific contents etc. to the Project Management
Team for the contract, which accepts them based on explicitly specified relevant procedures.
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PRACTICAL INSTRUCTIONS AND GUIDELINES ON HOW TO DETERMINE THE
OVERALL OBJECTIVE, SPECIFIC OBJECTIVES AND RESULTS OF THE CONTRACT
Which groups of people or entities are raising this problem (or this need) and are
asking for it to be solved (satisfied)?
Which groups of people or entities are to benefit directly or indirectly from the
solution (satisfaction) to the problem (need)?
Are there alternatives available for solving the problem (satisfying the need), and if
so, what are these?
These three levels of aims are not only distinguished from each other in terms of time (i.e. of
the time at which they are expected to be achieved, as specified above), but also in terms of
those who shall benefit from the contract. Thus, when specifying the aims of the contract, the
beneficiaries of these aims must also be specified (i.e. whether these are Direct Beneficiaries
or Final Beneficiaries).
From the time at which the three above groups of aims are achieved, it follows that only the
results of the contract fall within the timeframe of implementation of the contract and are
100% controlled by the Contractor. For this reason, the results are usually mentioned as part
of the contract scope. Furthermore, because of their contractual importance, results are
described by way of detailed specifications (see paragraph 3.2.2.2 below).
In specifying the aims of the contract, it is important to also involve the beneficiaries, as this
improves the quality of the aims specified and ensures that the management of the contract
will be more effective later on, during the implementation phase of the contract.
This is all the more important when the aims being specified are those of the project to which
the contract belongs, and this activity precedes the specification of the aims of the contract.
These aims will prove a considerable help later on, for specifying the aims at the level of the
individual contracts under the project.
To facilitate the management of the contract (although not solely for this purpose), it is
important to specify indicators which can show (in a measurable way) the progress made in
the achievement of the aims (objectives and results) of the contract, together with the means
and methods to be used to validate the values of these indicators. The indicators and the
means for their validation should be specified after the contract planning has been
completed and after all elements of the contract have been specified, but before the
implementation of the contract begins. In order to be effective, these indicators must be
SMART, i.e. they must be: Specific (in terms of quantity, quality and time), Measurable (i.e.
verifiable objectively and at an acceptable cost), Available (from existing sources or with
reasonable additional effort), Relevant (to the aims of the contract and sensitive to changes),
and Timely (so as to ensure their usability by those responsible for managing the contract).
Additionally, the target quantity, target quality and target time of achievement must be
specified for each one of them. In broad terms, the types of indicators which are suitable for
each level of analysis of the contract aims are the following:
For the overall objective: the performance of the sector or the impact of the contract.
For the specific objectives: the achievement of the immediate aims, the opinions of
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PRACTICAL INSTRUCTIONS AND GUIDELINES ON HOW TO DETERMINE THE
OVERALL OBJECTIVE, SPECIFIC OBJECTIVES AND RESULTS OF THE CONTRACT
the customers/beneficiaries of the contract, the viability of the contracts results.
For the results: the results themselves (especially in the case of tangible results
deliverables) or the performance of the results.
Table 3-12: Practical instructions and guidelines on how to determine the overall objective,
specific objectives and results of the contract
Contract activities and resources needed
This part of the Terms of Reference provides information about the following:
o (Often) the expected results of the contract (which have been presented above),
o The activities to be carried out in order for the results to be achieved,
o The resources which must be made available under the planning for the project,
to enable implementation and management of the activities. Typically, these
resources include: labour (direct and indirect), equipment (machinery, devices
etc.), materials (incorporated in the project and auxiliary), and intangible
resources, such as funding, general expenses etc.
o Any special requirements which the Contracting Authority may place on the
Contractor regarding the implementation of the contract
Required contract activities
The activities through which the contract is implemented and which are required in
order for the expected results of the contract to be achieved, are specified either by
the Contracting Authority (in which case they are included in the Terms of Reference
and must be taken for granted) or by the candidate economic operators. When
requested by the Terms of Reference, they form part of the expected results of the
contract, whereas if they are not requested at all, then they must be analysed by the
Contractor, as he must implement the contract. In this last case, what is requested
from the Contractor is simply to ensure the achievement of the results (which are
described by way of detailed specifications), while the Contractor is given the
freedom to implement these as he best sees fit (without any relevant commitment on
the part of the Contractor towards the Contracting Authority). Such cases are e.g. the
cases of contracts for the development of technical designs/studies.
There are also cases where the Contracting Authority gives a broad outline of the
required activities and requests from candidate economic operators to develop them
in more detail and present them in their tender (this is quite common in the case of
contracts for general services).
The required activities of a contract are specified through the Work Breakdown
Structure (WBS) analysis (see paragraph 7.4.1.1 in Chapter 7), using as a basis the
requested results of the contract and the experience of previous projects or of
planning the application of specific methodologies and techniques.
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An important element in specifying them is the effort to identify all activities
(and only those activities) through which the results (and any other
requirements) of the contract shall be achieved, within the available time and at the
minimum possible total cost.
The activities of the contract are presented grouped into packages, according
to their logical and temporal sequence of implementation under the contract.
Their presentation also includes their relations (links) upwards (to the expected
results, to whose achievement they contribute) and downwards (to the resources
needed for their implementation). The description of each activity must also be
accompanied by a presentation of the indicator(s) to be used for measuring its
implementation and of the means for validating it(them). Typical such indicators may
be: the physical unit which characterises the implementation of the activity, its
financial scope (value or cost of the activity), its implementation schedule etc.
Special reference to the information which must be mentioned in the presentation of
the activities is made below.
Resources needed
In order to estimate the resources needed to implement the activities scheduled and
to manage the contract, an analysis of all relevant activities at a considerable level of
detail must be prepared. Once this is available, then, based on the experience, the
methods contemplated for the implementation of the activities, and the expected
(physical) results, the resources needed are estimated. In cases where the activities
of the contract are carried out in a standardised manner on the basis of relevant
specifications (see paragraph 3.2.2.2 below), then the calculation of the resources
needed for them will be performed on the basis of the relevant requirements as
mentioned in the specifications.
When specifying the resources needed, it is crucial to ensure that no resource
has been forgotten. To this end, when specifying the resources needed a
check must be conducted to confirm that the potential needs for various categories of
resources have been examined. This task is extremely important, as the accurate
specification of the resources needed affects the estimation of the cost of the
contract.
After the activities and resources have been specified as described above, the following
parameters must be estimated (and presented) for both of them:
Quality.
Quantity.
Date of delivery/implementation.
Place of delivery/implementation.
The place of delivery/implementation results from the spatial planning for the
implementation of the contract.
This parameter is of particular importance in the case of installations or constructions
implemented or carried out over a large area. Otherwise, the usual practice is to
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specify certain specific locations (offices, warehouses etc.) where the activities/resources
must be delivered/implemented, depending on the current needs and capabilities of the
implementing agency of the contract or on the nature of the contract.
The date of delivery/implementation results from the activities schedule established for the
contract (see paragraph 7.4.1.5 in Chapter 7].
In establishing this schedule, consideration should be given to the total time available
for the implementation of the contract and to the contractual interim deadlines, i.e. the
points in time (specified either in an absolute manner, as calendar dates, or in a relative
manner, in connection with the starting time of the implementation of the contract) when a
specific activity under the contract must be completed or a result/deliverable of the contract
must be produced. On the basis of this schedule of activities, the times for the delivery of the
resources are also specified, so that the resources may be available in a timely manner in
order to be used for performing the work under the project.
The scheduling information which must be stated in the Terms of Reference usually
includes the following: the total time available for the contract (duration), and (if
required) some interim deadlines for the delivery of specific results (deliverables) of the
contract. The development of the rest of the schedule for the contract is usually requested
from the Contractor, and quite often forms part of the criteria used to award the contract
(when the contract is awarded using the criterion of the most economically advantageous
tender). There are also cases of contracts where no scheduling information for the contract is
provided (not even the total duration), because this information is requested from the
economic operators participating in the tender procedure and forms part of the criteria for the
award of these contracts.
The quantity is specified on the basis of the expected results of the contract (their nature
and their quantity), the methods (ways) used to carry out the activities of the contract, the
decisions regarding which resources to use (from those available as alternatives), the
Technical Specifications to be used, the estimated waste (loss etc.) which usually occurs
during the implementation of such contracts etc.
The quality is specified in relation to the requested level of quality of the results (i.e. of the
tangible products or services or constructions, depending on the nature/scope of the
contract), the available budget, the broader level of quality of similar contracts and especially
of other contracts whose results are related to the results of the contract in question.
The quality is specified by the Technical Specifications and may refer to technical
design requirements (quality) or to functional quality or to performance quality (safety
etc.).
In general, quality must be uniform across all levels of analysis of a contract, and its
level should be specified with reference to the level of quality that prevails in its
environment. Failure to do so will result in inconsistencies (technical, temporal, functional
etc.), waste of money, environmental and other problems.
Special requirements
This chapter of the Terms of Reference describes any special requirements which
the Contracting Authority may place on the Contractor regarding the implementation
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of the contract. These requirements may refer to all levels of analysis of the contract
(project), which shall be under the control of the Contractor and which may be
included in the tenders submitted, such as the personnel, the equipment and other
means to be used for implementing the contract, special safety requirements etc.
It is obvious that these requirements are very important, both for the
Contracting Authority (which considers them necessary and is requesting
them) and for the Contractor and, consequently, for the economic operators, who
must include them in their tenders and supply details regarding not only their
implementation but also their cost. For these reasons, they must be specified and
stated in an explicit, clear and measurable manner, in order to avoid problems during
the evaluation of tenders as well as during the implementation of the contract.
Prerequisites, constraints, assumptions and risks
This part of the Terms of Reference presents information about the following:
Prerequisites
The prerequisites of a contract are the conditions (if any) which must be met
before (or by) the starting date of the implementation of the contract. As such
they are very important, because they affect the start of the contract and (obviously)
the time and cost of its implementation.
It is evident that these prerequisites cannot be controlled by the Contract
Management Team. For this reason, they must be stated in the Terms of
Reference, together with the actions (under way) which have been taken towards
their timely fulfilment, so that the interested economic operators may assess the
situation.
Prerequisites of this type are usually quite common, especially in cases
where the contract is part of a project and its implementation depends on the
completion of one or more other contracts. Other examples of prerequisites include
the approval of funding for the contract, the issue of certain permits which are
required, the positive evaluation of some other similar contracts which have already
been implemented, the application of some relevant policy measures etc.
Constraints, Assumptions
These are the initial assumptions and constraints which have been incorporated in
the planning for the contract and for the project to which the contract belongs. They
usually refer to factors about which the assumption was made that they will take
place (or will not occur) during the implementation of the contract and, on the basis
of these assumptions/constraints, the contract (i.e. its scope, schedule, cost etc.)
was planned.
It is obvious that these assumptions are outside the control of the Contract
Management Team and thus are very important, not only because of this, but
also because they may lead to risks to the successful implementation of the contract.
It is therefore very important to state them in the Terms of Reference. It is however
equally important to be aware of them in connection with the management of the
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contract, as in order to ensure its success these assumptions must be constantly
checked to confirm that no change has taken place and that they remain valid.
The assumptions result as follows: During the phase of analysing the
problems and specifying the aims of the contract, it is only reasonable that it
will not be possible to include in the contract all the aims identified by the analysis.
When finally a strategy is decided which satisfies to the greatest possible degree the
target requirements, the decision is taken for some aims to be fulfilled through the
contract and for some others not to be fulfilled, either because it is not possible to
assign them to the contractor or because it is cheaper to address them in some other
way etc. It is reasonable to expect that the aims not to be fulfilled through the
contract, together with other external factors, will affect the implementation of the
contract and, in the long-term, the viability of its results, if they are not fulfilled within
the time foreseen, in the manner foreseen etc. Therefore, to ensure the success of
the contract, these must also be satisfied (outside the contract). These requirements,
which must be met concurrently outside the contract, are the assumptions, and are
included as such in the planning for the contract.
It is reasonable to expect that many assumptions will be made during the
contract definition stage (and also before that, during the project definition
stage). All these assumptions must be recorded in detail (with indication of their
desired status, so that they may be confirmed and evaluated later on), with note
taken also of any changes to them during the contract definition phase.
The assumptions must be realistic, in other words the fact that they will be
satisfied when and as appropriate must be realistic, otherwise, as is to be
expected, there will be many risks to the contract. In the event that, either during the
contract definition stage or later on, during the stage of its maturity or
implementation, certain assumptions prove to be unrealistic, the contract must be
immediately adjusted to mitigate the corresponding risks. This can be done by
introducing new elements to the contract or by developing/creating a new, additional
contract.
The following are examples of assumptions:
o The (necessary) expropriations will take place on time (with mention of the
completion time of the expropriation procedure).
o The local agencies will collaborate on the planning for the project.
o Suitable personnel shall be sourced and hired.
o Funding will be available for the contract without problems throughout the
implementation phase etc.
Risks
There are many risks associated with the implementation of a contract and
posing threats to its success. Some of them are stemming from the
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assumptions and constraints mentioned above. These risks cannot as a rule be
controlled by the Contract Management Team, and for this reason it is important to
state them in the Terms of Reference.
Management of the risks to a contract is an important task which must be
undertaken by (primarily) the Contractor as well as by the Contracting
Authority. It includes the identification of the risks, the assessment of the likelihood of
their occurrence, the assessment of their impact on the successful implementation of
the contract, and the development of ways to manage them. There are many
scientifically developed risk management methods (addressing the prevention and/or
minimisation of risks and/or the mitigation of their adverse consequences).
The assessment of risks is usually a task that forms part of the process for
identifying the optimum solutions for the implementation of the contract (and of the
project). The risk assessment level required for every contract may vary between
contracts, and depends on the nature, scale and spatial allocation of the contract.
Besides, there are contracts which by default involve greater risk than other
contracts. In all cases, however, it is important to assess the risk of the aims
(objectives and results) of the contract not being achieved, and to examine ways to
mitigate this risk.
Identification and acknowledgment of the risks which are related to the assumptions/
constraints mentioned above, takes place during the planning for the contract, in
tandem with the specification of the assumptions. Regarding this task, it should be
noted that the likelihood and importance of the assumptions and constraints not
being met must be evaluated as part of the assessment of the risks to the contract.
Various techniques (algorithms) are available and can be used for this purpose (see
paragraph 1.5.3.5 in Chapter 1). Finally, the risk-related information should be
updated regularly, so that they may be available for the purposes of managing these
risks, in parallel to the management of the assumptions, as mentioned above.
The prerequisites, assumptions & constraints, and risks to the contract are closely
related to the contact objectives, results, activities, and resources. Their overall
interrelations, stemming from the planning for the contract, are as follows:
Achievement of the overall objective presupposes the achievement of the specific
objectives of the contract, provided that the assumptions made about the latter are
proved.
Achievement of the specific objectives presupposes the production of the results of
the contract, provided that the assumptions made about the latter are proved.
Production of the results presupposes the implementation of the activities of the
contract, provided that the assumptions made about the latter are proved.
Implementation of the activities requires the resources for the contract to be made
available, provided that the assumptions made about the latter are proved, and the
prerequisites of the contract to be fulfilled.

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Special requirements Technical Specifications
Instructions and guidelines on how to develop the Technical Specifications are given in
paragraph 3.2.2.2 below.
Implementation environment
This part contains information which does not refer directly to the contract but instead refers
to the broader environment of the contract, and is extremely useful for the candidate
economic operators, as they allow them to understand better the overall framework in which
the contract to be implemented is included.
Country background
A description is given of the particular characteristics of the country which are related to
the contract scope or to the sector within which the contract will be implemented.
References may be made to relevant national social and economic factors which may
affect the implementation of the contract.
Current state of affairs in the relevant sector
Information and data are provided to help candidate economic operators understand the
environment framework within which the contract shall be implemented. This information
may vary greatly between contracts. It depends on those elements of the environment of
the contract which are important each time for economic operators, i.e. those that provide
them with information allowing them to assess the potential immediate risks and
opportunities to which the environment of the contract may give rise, so as to put together
a good tender.
Such information/data may for example, refer to the implementing agency of the contract
(scope, objectives, programmes of the agency during the current period etc.), the
reference funding framework (e.g. special management procedures to be applied on
account of the project being funded under the particular framework), the situation in the
relevant sector, the legislative and regulatory framework governing the contract, the rules
to be observed during implementation of the contract, etc.
Relevant programmes and actions
References are made to other programmes, projects, contracts and actions which are
related to the contract in question and (may possibly) affect it. These may be:
Other contracts under the same project to which the contract in question belongs.
Other actions, contracts or projects (of the same implementing agency or not), which
affect directly the implementation of the contract in question.
Other actions, contracts, projects and programmes (of the same implementing
agency or not), which (may) either affect indirectly the contract in question or have
any other relation to it, or (may) present some interest for the contractor of the
contract in question.
In any case, in addition to the references made to these actions, contracts, projects and
programmes, other information must also be provided about them, in order to give a clear
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picture of their existing or likely relation (in terms of scope, schedule, available resources
etc.) to the contract in question or of their impact on it.
In developing the Terms of Reference, the following issues should also be clarified:
Are there any activities which might be (or which would preferably be) carried out by
the Contracting Authority itself or in some other way, without the need to assign them
to an economic operator? (exclusion of activities from the contract scope)
Are there any activities which could be considered as non-essential (i.e. do not affect
fulfilment of the requirements) and which could be offered as optional by the
economic operators
4
? (optional requirements)
Are there any activities for which the economic operators could be allowed to plan
and offer alternative ways in which to fulfil the respective requirements
5
? (variants
6
)
Are there any activities for which, at the time of announcement of the tender
procedure, there is no certainty as to their necessity, or activities whose precise
scope may be specified after the award of the contract? (right to use the negotiated
procedure without publication of a contract notice for awarding similar services
7
)
To help understand the way in which the contents of the Terms of Reference for a
contract are specified, a relevant example is provided below:

Summary description of the Project: Construction (as public work) of a two-span, 300m long
and 10m wide concrete road bridge, with access roads at both ends, 450m and 550m long
respectively, with two traffic lanes in each direction and a twin metal barrier dividing the two
directions. This bridge (used to cross a small stream) will replace an existing old bridge (with
one traffic lane in each direction and no division of traffic directions), in order to eliminate the
bottleneck on a road axis with two traffic lanes in each direction. The new bridge will be
constructed parallel to the existing one, at a distance of 250m from it.
General Aim: To improve the transport infrastructure in the area, so as to reduce transport
costs and improve the conditions for the development of the area.
Specific objectives: Ensure crossing at the specific location without problems (low speed,
accidents, delays etc.), safely, comfortably and in a shorter time.

4
This possibility is allowed only when the award is made using the criterion of the most economically
advantageous tender.
5
This possibility too is allowed only when the award is made using the criterion of the most
economically advantageous tender.
6
The possibility to submit Variants must be stated explicitly in the tender documents. If no indication is
given, then Variants are NOT allowed.
7
The right to use the negotiated procedure without publication of a contract notice for the award of
similar services or works (article 33.d(ii) of Law 12(I)/2006) to the contractor of the initial contract must
be stated explicitly in the tender documents, and must indeed be specified in terms of both cost and
time.
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Expected results: The bridge and its access roads, fully constructed and operational, in
accordance with their specifications.
Activities: Earthworks (excavations for the road and for the foundations of the bridge,
embankments), road surfacing (in the segments of the access roads), concreting
(foundations, piers, load-bearing structure of the bridge), asphalt works-laying, other
(signage, signalisation, landscaping, installation of noise barriers etc.).
Resources: Materials (e.g. concrete, reinforcement iron, formwork/metalwork, asphaltic mix,
road surfacing materials, iron parts, colour paint, noise barriers etc.), labour (machinery
operators, workers, engineers, foremen etc.), machinery (excavators, transport, rollers,
spreaders, water carriers, cement pumps, cement barrels, cranes etc.), site installations, site
organisation, logistics, technical and financial supervision/monitoring, funding etc.
Prerequisites: Social acceptance of the project. Minimisation of adverse project impacts on
the environment (natural and man-made) Approval of environmental terms. Securing of
funding for the project. Completion of technical designs/studies.
Assumptions, constraints: The area required will be secured on time (expropriations).
Funding for the project will be available without problems (the monthly payments to the
contractor shall be made within [X] days from the submission of the relevant certification for
the work carried out). Traffic regulation measures will be taken, so that traffic does not
obstruct construction. The permits for the disposal of excavation products and for borrowing
earth for fill to/from specific (foreseen) locations will be secured on time, and any reactions
by local residents/organisations will be settled. The Contracting Authority will respond to
Contractor requests quickly, giving its answers in less than three days.
Risks: Non-timely conclusion of expropriations (due to the procedures required) shall cause
delays. The project implementation schedule may (possibly) absorb some of these delays.
The inability to secure the use of the area (e.g. because of insurmountable reactions from
local residents) may (potentially) lead to changes: from a small-scale modification of the
project design (e.g. layout) to even the complete cancellation of its implementation.
Problems in the funding for the project, if temporary, could be absorbed by the contractor
(who could for example delay, by a corresponding period of time, his obligations to e.g. his
suppliers). However, long delays in payments for work performed shall lead to delays,
Contractor claims and (possibly) to the termination of the contract.
Problems in the circulation of the (heavy) construction site vehicles in the road network of the
area will signify delays and costs for the Contractor, and will result in claims for
compensation being made. It shall also lead to delays in the completion of the contract.
Problems in connection with the locations for borrowing earth for fill or for the disposal of
excavation products will create significant extra costs and delays. Inability to borrow earth for
fill may lead even to the cancellation of the contract.
Non-timely response by the Contracting Authority will lead to delays and Contractor requests.
Implementation Environment
The project is included in a Programme co-financed by national resources (Public
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Investments Programme) and by the European Fund for Regional Development (ERDF),
under the Operational Programme .
The specific project forms part of the programme for improvement of the road axis , on
which the bridge to be constructed is located, so that it may become a high-speed road axis
in its entirety.
Relevant other projects are the following:
)
)
3.2.2.2 Preparing the Technical Specifications
As mentioned in the previous paragraph, the Technical Specifications form part of the Terms
of Reference. Laws 11()/2006 and 12()/2006 contain extensive references to the Technical
Specifications (in articles 32 and 25, respectively).
This paragraph presents the following:
Key issues which must be understood regarding the determination of technical
specifications, such as:
o What are the technical specifications?
o Which types of technical specifications can I use?
o What is meant by the terms mandatory and desirable requirements
technical specifications?
o What are the crucial elements in determining the technical specifications?
o What is the legal dimension of technical specifications?
Instructions on how to prepare technical specifications:
o What should be the contents of the technical specifications document?
o What should be the contents of a technical specification?
o How do I create technical specification texts?
What are the Technical Specifications?
The Technical Specifications are texts that describe in detail the qualitative
characteristics of the activities, resources and results of the contract, which the
implementation of the contract must satisfy (achieve) in order for the objectives of the
contract to be achieved. At the same time, they function as criteria for acceptance and/or
evaluation of the tenders submitted by the candidate economic operators, as well as the
measure for acceptance of the results or activities or resources of the contract (and for their
certification/payment) during the implementation phase.
The characteristics to which the Technical Specifications refer may concern various
types of requirements, such as requirements for quality of manufacture (content,
composition etc.), performance, use (usability), safety (operation), appearance, size,
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implementation methods/techniques etc. They are usually specified in a descriptive way but
also by supplying quantitative indications, such as values for the levels of performance, size
etc., which are either a minimum which must be met or a maximum which must not be
exceeded.
The Technical Specifications must also take into account environmental criteria (e.g. exhaust
emission levels, noise levels etc.). They must also incorporate and use social criteria such as
the accessibility by persons with a disability etc.
Types of technical specifications
In general, Technical Specifications are classified in three types:
Functional specifications,
Performance specifications, and
Technical design specifications.
The presentation of these three types of Technical Specifications, accompanied by
clarifications about the usefulness, the field of application and the advantages and
disadvantages of the two last types of specifications, which are the most frequently used, is
given in paragraph 2.7.4 (Chapter 2).
The following are additionally mentioned:
Functional specifications are the typical answer to the expected results and to the
requirements resulting from them. They describe all external characteristics and
connection interfaces which must be achieved by the contract (regardless of whether this
is a service contract or a contract for the manufacture of a product, such as a software
product).
In the case of manufacture of a product, in particular, the functional specifications are a
sort of guide and point of reference, as they present the target capabilities (properties),
appearance, usability criteria and relations with the environment for the manufactured
product.
In general, the functional specifications describe what the usability will be, but not how
this usability is going to be implemented.
The functional specifications translate the requirements into technical terms, in order to:
(a) Ensure that the requested characteristics of the result (product or service) have been
fully understood before the implementation design stage begins, and
(b) Specify clearly and beyond dispute all information required for design of the target
result.
The functional specifications are obtained with the collaboration of the Project
Owner and/or its consultants (designers etc.) and of the direct beneficiaries of the
contract. The participation of the direct beneficiaries is important, as it ensures that the
result will have the requested (operational etc.) characteristics which will benefit its users.
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The functional specifications contain specific information regarding the functional
requirements of the contract. This information may be the following:
o Purpose: What is expected to be achieved by the specific function.
o Inputs: Which inputs will be accepted, in what form should inputs be provided, what
are the acceptable sources of inputs and other relevant information.
o Processes: The steps to be followed, the algorithms, formulas and techniques to be
employed etc.
o Outputs: Desirable characteristics of outputs, such as form, volume, time, destination
etc.
For example, in the case of a project involving the construction of an office building, the
above information could be the following:
o Purpose: the provision of office premises with specific individual spaces (20 offices, 3
meeting rooms, restaurant, 6 WC etc.), arranged in accordance with the architectural
drawings and the building construction programme.
o Inputs: construction personnel and project management personnel (engineers,
foremen, skilled and unskilled technicians/workers, machinery operators etc.) in the
quantities (person-months) needed, project materials (concrete, reinforcement, bricks,
coating materials, joinery, electrical and mechanical equipment etc.), construction
machinery (builders crane, hoists, mixers etc.), subcontractors, financial resources.
o Processes: construction methods for individual elements of the building, sequence of
construction activities, activities schedule etc.
o Outputs: The constructed office building etc.
In the case of a procurement consisting of computers, the above information could be the
following:
o Purpose: supply and installation of 19 computers as workstations in the local area
network of an organisation.
o Inputs: supply of materials (computers, cabling and other accessories), installation
activities, operation tests.
o Processes: method of implementation of the supply (with or without the Contracting
Authoritys participation), installation approach/method, delivery schedule and
installation and testing schedule etc.
o Outputs: Ten new workstations ready for operation.
The performance specifications specify the requested performance, by setting detailed
input/output requirements for the product they refer to.
The following are examples of ways in which such requirements are measured:
o Processing capability: volume of inputs to be managed per each unit of time.
o Accuracy: number of error-free outputs (usually expressed as a per cent rate).
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o Availability: the period of time during which a solution may be used, as a per cent rate
of the period of time during which it may supposedly be used.
The specification of a performance requirement (which will subsequently be included in
a Technical Specification) is not always easy. In many cases a reference level must be
determined, to which the achievement of the requirement will be compared objectively,
something which is difficult enough.
Additionally, the requirement must be specified at the appropriate performance
level, which should reflect the true capabilities but also the broader performance
level of the environment of the contract. If the requirement is defined at a performance
level which is too high, then meeting this requirement shall be very costly (the differential
cost will most probably be higher than the differential profit). In contrast, if the
requirements defined are too low, then user expectations shall not be achieved, resulting
in negative (financial and other) impacts.
Performance requirements may also be laid down in cases where the tender procedure
involves the consultation of the Contracting Authority with the tenderers, during which
the various performance levels and their associated costs may be explored. In these
cases, the tender documents initially include indicative performance requirements, which
shall be finalised after conclusion of the consultation.
Other performance requirements which may be laid down (through the relevant Technical
Specifications) in a tender procedure could involve security, health & safety in the
premises where the contract scope is to be implemented, or special technical reports
(e.g. for electrical installations).
The technical design specifications are in practice the contract implementation
specifications, i.e. they refer to the characteristics of the means which must be used for
implementing the contract, to the way in which the individual activities shall be
implemented, to the characteristics (quality, appearance, size etc.) of the results
(deliverables) etc. This is the most common type of specifications, and it is what most
people mean when referring to Technical Specifications (e.g. the typical strength of
concrete, weight of paper per unit area, strength of ceramic materials, resistance to
chemicals etc.)..
These specifications are drafted by experts, who are familiar with the technology,
products etc. in the market, their availability and the cost for their acquisition/use.
Above all, they must of course be familiar with the overall objective and specific
objectives, and with the target result and its environment.
Mandatory and desirable Technical Specifications
Requirements (and Technical Specifications) are often distinguished into:
Mandatory, which are the essential requirements which must be applied by the
Contractor,
and
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Desirable, which although they result in benefits they are not essential (critical) for
achieving the results and objectives of the contract.
The mandatory requirements are important in a tender procedure, as tenderers who do
not meet them may be excluded from the tender procedure precisely for this reason.
In contrast, the desirable requirements may during the evaluation simply lead to an
advantage for the economic operator offering them. Obviously, this can happen only when
the award criterion for the contract is the most economically advantageous tender. In this
case, the desirable specifications must form part of the criteria used to evaluate the technical
offers of the tenderers.
The mandatory requirements are usually combined with the desirable requirements as
follows: the mandatory requirements are the essential requirements, while the
desirable requirements expand them or specify higher performance levels.
The way in which the desirable requirements offered shall be assessed (during the
evaluation of the tenders submitted by the economic operators) must be specified in
advance and must be described in the tender documents. Fulfilment of the desirable
requirements is assessed in one of the following two alternative ways:
A qualitative way, based on their qualitative comparison,
A quantitative way, based on some method of quantifying (directly or indirectly) the
benefit to the project owner, such as for example calculating the cost to the project
owner if it were to fulfil the offered requirements using its own resources.
The concept of Minimum Mandatory Technical Specifications is also used quite often.
Whatever the developments in the implementation of the contract, not satisfying these
specifications can not be allowed. Usually this concept is used in tandem with allowing (albeit
rarely) economic operators to submit variants
8
, proposing (alternative) solutions which are
different from those contemplated in the tender documents. Variants may be requested in the
case of contracts whose scope can be implemented by different technical solutions, and
usually involve cases where the Contracting Authority is not in a position to know precisely
the solutions available in the market which are suitable for meeting its needs, and wishes to
give to economic operators the opportunity to propose the optimum solutions (technically and
financially).
In such a case, there is evidently a requirement for limiting the range of allowable
differentiations in the contract scope (including the technical specifications), as well as
for specifying the way in which comparability between the tenders of candidate economic
operators shall be ensured, so that that the appointment of contractor may take place relying
on transparent procedures and on criteria which are fair to all.
As part of this effort, the Minimum Mandatory Technical Specifications must be

8
Pursuant to Laws 11(I)/2006 and 12(I)/2006, Contracting Authorities may allow tenderers to submit
variants when the award is made using the criterion of the most economically advantageous tender.
This possibility must be stated explicitly in the tender documents, otherwise it is shall be understood
that variants are not allowed.
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determined in such a way and at such a level as to ensure:
The achievement of the results and objectives of the contract (independently of the
way in which this could take place).
The possibility of comparing the technical solutions offered, and primarily the financial
offers of the tenderers, to allow the appointment of contractor.
The fulfilment of certain requirements for specific desirable processes which must be
implemented.
This task is quite difficult and generally involves a high risk of problems occurring in the
tender procedure. For this reason, allowing the submission of variants by the candidate
economic operators is usually avoided. If it is decided to use this option, the Contracting
Authority must have studied the contract scope, in order to specify the items for which it shall
the submission of variants and determine an effective way in which to evaluate the variants.
Crucial elements in determining the Technical Specifications
The Technical Specifications represent contractual terms, in accordance with which
(and in combination with the other terms of the contractual documents), the
Contractor shall implement the contract. The Technical Specifications obviously have a
significant effect on cost of the contract as well as on important parameters that determine
the time needed for its implementation.
The determination of the Technical Specifications is a crucial task during the
development of the tender documents, because the success of the tender procedure in
leading to the acquisition of the requested results (supplies or services or constructions) at
the right quality, in the available time and within the available budget, depends on it. For this
reason, the Technical Specifications must be determined in such a way as to ensure both of
the following two aims:
The achievement of the desirable characteristics which are requested by them, and
The promotion of the broadest possible competition between the economic operators
to tender for the contract (so that the optimum cost is achieved, and the conditions of
transparency and equal treatment of candidates are ensured).
Therefore, the Technical Specifications must at the same time ensure that:
The requirements placed on the Contractor in connection with the required activities
and resources, as well as the expected results of the contract, are clear, fully
understood without room for misinterpretation, and transparent, so that the economic
operators may offer what is actually requested.
These requirements have the necessary flexibility and allow (render acceptable) other
compatible, innovative and economically advantageous (in terms of best value for
money) solutions, which fulfil the broader requirements of the contract.
These requirements do not result in discrimination between economic operators, nor
to the exclusion of any of them from the tender procedure, but instead offer equal
opportunities to all.
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and that:
It shall be possible for the Contracting Authority (i.e. there will be no problems on the
grounds of the Technical Specifications) to evaluate the tenders of candidate
economic operators and award the contract (in a timely manner and without
problems).
If the Technical Specifications are wrong or inadequate or too restrictive, then one or
more of the following are likely to happen:
Certain qualified/suitable economic operators may be discouraged from participating
in the tender procedure or may be excluded from it.
The requirements of the contract may be misinterpreted or interpreted differently by
the candidate economic operators.
The tenders submitted may not be satisfactory (in terms of quality etc.).
There may be difficulties in the evaluation of tenders.
The tenders submitted may contain wrong or unsuitable materials or services.
The best value for money may not be achieved for the project.
Significant costs and/or losses may be incurred.
Delays and/or non-implementation (or non-completion) of the contract may be
caused.
There may be negative publicity, damaging the public image of the project owner.
To avoid the above and to ensure achievement of the aims of the contract, it is
imperative (and, where not obligatory, it is strongly recommended) to determine the
Technical Specifications by using relevant standardised texts (of European, international or
national technical specifications). Such texts ensure the following:
Completeness in the description of the requirements.
Optimum formulation (wording) of the requirements.
Intercompatibility of the relevant texts used and, consequently, ease of integration
of the formulation (wording) of the requirements.
Correct measurement of the work done, and full determination of the responsibility of
the party to implement the contract.
Savings in effort.
Transparency, etc.
Therefore, Contracting Authorities must first conduct a search for such requirements
texts in relevant libraries (National, European, international), and only undertake to
develop their own technical specification text if no such text is available. Instructions on how
to do this are given in the following.

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The legal dimension of Technical Specifications
From a legal viewpoint, Technical Specifications are important for ensuring free competition,
equal treatment of candidate economic operators, and transparency. Laws 11(I)/2006 and
12(I)/2006 (articles 32 and 25, respectively), make extensive reference to the Technical
Specifications.
In particular, the above Laws provide the following:
The Technical Specifications (TS) must be defined where possible in such a way
as to take into account accessibility criteria for people with disabilities or design for all
users.
The TS shall afford equal access for tenderers (economic operators) and must not
have the effect of creating unjustified obstacles to the opening up of public
procurement to competition.
The TS shall be formulated (by the Contracting Authorities) in the following alternative
ways:
- Either by referring to mandatory national technical rules, to the extent that they
are compatible with Community Law.
- Or by reference (in decreasing order of preference) to:
(a) National Standards transposing European standards, i.e. specifications
approved by one or more recognised standardising bodies
9
for repeated or
continuous application
10
.
(b) European Technical Approvals (ETA), i.e. favourable technical assessments
of the fitness for use of a product for a particular purpose, based on the
fulfilment of the essential requirements for building works, by means of the
inherent characteristics of the product and the defined conditions of
application and use. The requirement for the products to be used to be issued
with an ETA may be prescribed only if these products are not covered by any
European Standard. A list of the products that have been issued with an ETA
is available by the approval body designated for this purpose in each Member
State
11
.
(c) Common Technical Specifications (CTS), i.e. technical specifications laid
down in accordance with a procedure recognised by the Member States of the
European Union (which has been published in the Official Journal of the
European Union) for the purpose of ensuring their uniform application in all
Member States.

9
In Cyprus, this organisation is the Cyprus Organisation for Standardisation (CYS) www.cys.org.cy
10
It is pointed out that the use of specifications which are more demanding (stricter) than the
respective National or European Standards is allowed, provided that they do not lead to discrimination
(unfair competition).
11
In Cyprus, the Central Laboratory of the Public Works Department is such a body.
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(d) International Standards, i.e. standards adapted by international standards
organisations and made available to the general public.
(e) Other Technical Reference Systems, i.e. unofficial standards produced by
European standardisation bodies, according to procedures adopted for the
development of market needs.
or when these do not exist by reference to:
(f) National standards not transposing respective European Standards but not
conflicting with the Community Legislation,
(g) National Technical Approvals,
or, finally, by reference to:
(h) National Technical Specifications relating to the design, calculation and
execution of the works and use of the products.
In all cases under (a) to (h) above, each reference shall be accompanied by the
words or equivalent.
- Or in terms of performance or functional requirements; the latter may include
environmental characteristics. However, such parameters must be sufficiently
precise to allow tenderers to determine the subject-matter of the contract and to
allow Contracting Authorities to award the contract.
- Or in terms of performance or functional requirements, with reference to the
aforementioned specifications (National Standards, European Technical
Approvals, Common Technical Specifications etc.) as a means of presuming
conformity with such performance or functional requirements.
- Or by referring to the aforementioned specifications (National Standards,
European Technical Approvals etc.) for certain characteristics, and by referring
to the performance or functional requirements (as mentioned above) for certain
other characteristics
12
.

12
It is pointed out that the choice between technical design specifications or functional/
performance specifications often depends on the procurement method used:
In the case of projects implemented using the design-build system, or in the case of
Public-Private Partnerships, the TS usually refer to functional/performance
requirements (mainly of the results) of the contract.
When a method based on bills of quantities or lists of unit rates is employed, the TS
usually make reference to detailed technical design specifications for the required
activities or resources of the contract.
It is also pointed out that quite often, in cases where the TS mentioned contain references to
requirements of the technical design for the required activities or resources of the contract,
references to performance/functional requirements may also be used, either in the general
description of the contract scope or in the description of its expected results. In such a case, if
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Where a Contracting Authority makes use of the option of referring to the
specifications (National Standards, European Technical Approvals etc.), it cannot
reject a tender on the grounds that the products and services tendered for do not
comply with the specifications to which it has referred, once the tenderer proves in his
tender to the satisfaction of the Contracting Authority, by whatever appropriate
means, that the solutions which he proposes satisfy in an equivalent manner the
requirements defined by the technical specifications. An appropriate means might be
constituted by a technical dossier of the manufacturer or a test report from a
recognised body (i.e. a test and calibration laboratory or a certification or inspection
body which complies with applicable European standards and is established in a
Member State of the European Union).
Where a Contracting Authority uses the option to prescribe in terms of performance
requirements or functional requirements (mentioned above), it may not reject a tender
for works, products or services which comply with a National Standard transposing
a European standard, with a European Technical Approval, a Common Technical
Specification, an International Standard or a Technical Reference System
established by a European standardisation body, if these specifications address the
performance or functional requirements which it has laid down. In his tender, the
tenderer must prove to the satisfaction of the Contracting Authority and by any
appropriate means that the work, product or service in compliance with the standard
meets the performance or functional requirements of the Contracting Authority. An
appropriate means might be constituted by a technical dossier of the manufacturer or
a test report from a recognised body.
Where Contracting Authorities lay down environmental characteristics in terms of
performance or functional requirements (mentioned above), they may use the
detailed specifications, or, if necessary, parts thereof, as defined by European or
(multi-) national eco-labels, or by and any other eco-label, provided that:
- These specifications are appropriate to define the characteristics of the supplies
or services that determine the contract scope,
- the requirements for the label are drawn up on the basis of scientific information,
- the eco-labels are adopted using a procedure in which all stakeholders, such as
government bodies, consumers, manufacturers, distributors and environmental
organisations, can participate, and
- they are accessible to all interested parties:
The Contracting Authorities may indicate that the products and services bearing the
eco-label are presumed to comply with the Technical Specifications laid down in the

the checks conducted to confirm the implementation of the contract scope (measurements)
and, respectively, the payments rely on the detailed technical design TS for the required
activities and resources of the contract, these shall prevail over the references to
performance/functional requirements (which are considered inferior).
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tender documents, and must accept any other appropriate means of proof, such as a
technical dossier of the manufacturer or a test report from a recognised body.
Unless justified by the contract scope, Technical Specifications shall not refer to a
specific make or source, or a particular process, or to trade marks, patents, types or a
specific origin or production with the effect of favouring or eliminating certain
undertakings or certain products
13
. Such reference shall be permitted on an
exceptional basis, where a sufficiently precise and intelligible description of the
subject-matter of the contract in accordance with what has been mentioned above, is
not possible. Such reference shall be accompanied by the words or equivalent.
As already mentioned, the application of the above provisions of the Laws is
mandatory. As the notion of Technical Specifications is often used to refer more
broadly to all elements of the contract, particular attention should be paid to the specification
and description of all contractual terms (described in the Tender Documents), to ensure that
these do not lead to a violation of the provisions of the Laws and of the relevant Community
Directives.
Contents of the Technical Specifications document
The Terms of Reference text that forms part of the tender documents must contain the
Technical Specifications which must be applied for the implementation of the contract scope,
together with clarifications and instructions about their application. In many cases, this part of
the Terms of Reference (which includes the Technical Specifications) forms a separate
volume and is individually referred to as Technical Terms of Reference.
In general, the text of the Technical Terms of Reference comprises the following chapters:
Introduction
The contents of this chapter are organised in the following way:
An introduction presents the Technical Specifications which follow in the text, also
describing their purpose and structure.
Mention is made of what to be included or not in the Technical Specifications.
A list is given, in order of precedence, of the specifications/standards to be used in
the case of activities, resources and/or results of the contract which are not covered
by the Technical Specifications presented next.
Reference is made to constraints (mandatory collaborations/synergies, time
constraints etc.) and to the allocation of responsibility to the Contractor in connection
with the application of the Technical Specifications.
Special issues clarifications are presented, to facilitate the understanding of the
Technical Specifications presented next.

13
It is pointed out that in general, reference to products of specific make or origin or to particular
processes raises the risk of cancellation of the contract, as it also violates the EC Treaty (article 30)
regarding the free movement of goods (unfair discrimination and advertising).
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To avoid complications or financial claims from the part of the Contractor, the
Introduction of the Technical Specifications volume may also contain certain
provisions, such as the following ones:
If a candidate economic operator finds out that a specific term of the Technical
Specifications deviates from the National or Community Legislation, it must inform to
this effect the Contracting Authority within the deadline expiring on the date specified
for the submission of comments, questions or recommendations, by special letter,
otherwise such candidate economic operator:
a) Shall be deprived of the right to any financial compensation
b) If appointed Contractor, it shall additionally be obliged to join forces with the
Contracting Authority in the harmonisation of the deviating term with the National or
Community Legislation, even if this entails the economic operator incurring a financial
burden, as such financial burden (if any) is assumed to be part of the normal business
risk.
Regarding any material, activity, construction, quality control etc. not covered by:
o The mandatory national regulations/specifications/codes (not conflicting with
the Community Law), and
o the present Technical Specifications,
the following shall apply, in order of precedence:
o National Standards transposing European Standards
o The European Technical Approvals
o The Common Technical Specifications
o The International Standards
o The National Standards, Technical Approvals and Technical Specifications
(not contrary to the Community Legislation and the present Technical
Specifications).
Every participant in the tender procedure and, consequently, the Contractor,
acknowledges, by the mere submission of its tender, that the Technical Specifications
provided are suitable and adequate for the performance of the contract scope, and
that it undertakes any obligation, risk or consequence deriving from their application.
All expenses for the application of the Technical Specifications and of the associated
and/or referenced regulations/codes/specifications shall be borne by the Contractor,
regardless of whether or not a relevant explicit statement to this effect is made. The
Contractor shall not bear the expenses for a particular activity only if an explicit and
undisputable statement to the contrary is made in a relevant article of the Technical
Specifications.



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Technical requirements (Technical Specifications)
This chapter which is the main body of the volume contains only the detailed Technical
Specifications, which the Contractor must apply. Any other references, referrals etc. must be
listed in another chapter (usually in the Introduction).
This chapter is structured in subchapters serving to distinguish the Technical Specifications
of the expected results, the required activities and the necessary resources (when the latter
are not included in the specifications of activities). Within each subchapter, the requirement
modules that correspond to the individual components of the contract scope are presented
separately, so that they may be easily located and taken into account during the preparation
of the tenders as well as during the implementation of the contract. In every such section, the
Technical Specifications that satisfy the respective requirements are mentioned.
The quality of the Technical Specifications is a very important element which must be
checked by the Contracting Authority before the contract is put out to tender.
The checklist given below is intended to guide the competent officials of Contracting
Authorities in identifying the items to be checked before approving the Technical
Specifications for a contract.

The text of the Technical Specifications should be free from the following:
Overestimates of the requirements and/or use of terms such as the highest possible
quality, except if necessary, because this raises costs excessively.
Casual terminology, which could lead to vagueness and, later on, to potential areas
of future disputes.
Overspecification of characteristics (characteristics that do not serve user needs and
are not necessary to fulfil user requirements), leading to cost increases and stifling
innovation.
Elements that diminish competition or lead to discriminations, or that favour (or,
conversely, restrict) certain economic operators.
Inconsistencies between the Technical Specifications and the other tender
documents, including the General Conditions of Contract.
References to names of suppliers/materials etc., except if necessary, and then
always accompanied by the words or equivalent.
The requirement for candidate economic operators to be certified or be registered
with specific environmental management schemes (e.g. ISO 14000, EMAS) or be
registered with a specific eco-label management scheme, except if provision has
been made for some other equivalent and/or for the use of other means as evidence.
Table 3-13: Checklist for the approval of the Technical Specifications
Instructions on developing a Technical Specification
The text of a Technical Specification should comprise the following:
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Introduction
The Introduction presents the purpose of the Technical Specification and the way in which it
was composed, as well as any conditions that restrict its application.
Main body (text)
The structure of the Technical Specification must be as close as possible to the structure of
the other specifications in use in the country.
The contents of a Technical Specification usually include the following:
The description of its scope.
The inputs used (raw materials, methods, labour etc.) and the criteria for their
acceptance.
The characteristics of outputs, which may be either qualitative characteristics or
performance/functional characteristics (this is the main section of the Technical
Specification) e.g. printing speed and quality of a printer, strength of a bridge to
loads, number of copies per unit of time of a photocopier.
The quality control requirements (criteria and ways of implementation) for acceptance
of the outputs.
The health & safety conditions/requirements during implementation, and the
requirements regarding the protection of the environment.
The method used to measure the outputs.
Remarks, Application guidelines
These contain data/information concerning the application of the Technical Specification,
reference to other Technical Specifications with which it may combined or with which it
interworks, and description of the relation/interconnection with them, and other clarifications
as needed.
Procedure for developing a new Technical Specification
To develop a new (ad hoc) Technical Specification, it is recommended to adopt an
approach consisting of the following steps:
Specification of the requirements (functional, output, quality etc.) of the intended
outputs (work, material, service, construction etc.).
Analysis of output requirements and establishment of requirements in inputs
(materials, activities, methodologies etc.) for implementation of the outputs.
Market research to identify existing alternative solutions and the possibilities offered
by innovative solutions for achievement of the outputs. This includes:
o Identification of information sources (persons, organisations, documents)
o Communication/ research on the requested data from these sources.
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Specification of input and output requirements (technical specifications), at a level of
detail which allows economic operators to understand what is requested and specify
solutions for its achievement.
This activity is performed either in-house by the Contracting Authority (and its
consultants) or with the participation of the candidate economic operators (through a
consultation process during which they offer their views). This consultation process
is used primarily when the tender procedure applied is the restricted procedure, and
the economic operators from which tenders shall be invited have been selected.
Checking input and output requirements (derived in the previous step) in terms of:
o The completeness of their description.
o Their synergy and cohesion with the other requirements (other technical
specifications) of the contract.
o The clarity of their formulation.
o The possibility and method of controlling their achievement (during or after the
implementation of the contract).
o The possibility of incorporating them in the method/procedure for evaluation of
the tenders submitted by candidate economic operators for the award of the
contract/.
The checklist given below can help confirm the correct development of a new
Technical Specification:

Are the requirements complete and accurate?
Have:
o The needs of the users of outputs, and
o future developments
been taken into account?
Can the requirements be met (i.e. does a market for their achievement exist or can
it be developed)?
Are the requirements compatible with the purpose of the contract?
Have the concerns and risks, identified during the requirements specification activity,
been addressed?
Have any requirements-related business complications been identified and
addressed?
Are the requirements consistent with:
o the broader objectives pursued by the project owner?
o the requirements of the contract implementation environment?
o the national and Community legislation?
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o the public procurement strategy?
o the strategy for the evaluation of tenders for awarding the contract?
Table 3-14: Checklist for confirming the correct development of a new Technical Specification
3.2.3 Determining the evaluation criteria
3.2.3.1 Key principles
Chapter 2 of the Guide has provided guidelines to assist Contracting Authorities in taking the
strategic decisions that will allow them to expect reasonably safely to select the most
suitable contractor who offers the best solution for addressing their needs.
It has also been clarified that, regardless of the selected procedure, the evaluation is
organised in two stages:
Qualitative selection of candidates, and
appointment of the Contractor for the award of the contract.
These two stages are fully distinct from one another, have different objectives, rely on criteria
whose nature is different, and although governed by the same key principles of
proportionality and equal treatment are nevertheless conducted in accordance with different
rules.
At his point, the method to be followed for the evaluation of tenders should be specified in
more detail, by determining the qualitative selection criteria and the contract award criteria.
3.2.3.2 Determining the qualitative selection criteria
The purpose of the qualitative selection stage is to verify the existence of the
characteristics and capacities which the Contracting Authority deems that the
economic operator must possess in order to be able to participate in the tender procedure
conducted, being thus considered as potentially capable of performing the contract.
This stage involves the determination of the minimum requirements which the Contracting
Authority may require from economic operators (i.e. inasmuch as it shall be deemed that
these requirements are necessary in order for the economic operators to be considered as
potentially capable of performing the contract) regarding their personal situation, necessary
experience and equipment, appropriate organisation and financial condition.
The qualitative selection criteria must vary, depending on the conditions established in the
case of each contract. In any case, the discretion of the Contracting Authority in this respect
is not limitless, as it must conform to all relevant provisions of the Community law as
transposed to the law of the Republic of Cyprus by Laws 12(I)/2006 and 11(I)/2006 and,
primarily, to the basic principles defined by the Treaty regarding the right of establishment
and of free provision of services.
The authors of the tender documents must know that the qualitative selection criteria
refer to, and concern, the situation of the economic operators and not their tenders.
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They must also take into account that the specification of excessively lax or, in other cases,
excessively strict qualitative selection criteria may cause problems in the next stage of
evaluation of tenders for the appointment of contractor.
As an example, it could be mentioned here that in the case of public contracts for
projects involving services of an intellectual nature, where the contents of the
technical offers of candidate economic operators are essentially theoretical and selection of
the most appropriate solution often hangs on the statements made rather than on hard
evidence, determining strict requirements for participation in the tender procedure prevents
the selection of a contractor who is unsuitable and, in the longer term, the likelihood of failure
in achieving the objectives of the Contracting Authority. In contrast, in the case of contracts
where the expected interest from the market is not high, or in the case of contracts where it
would be fair or possibly desirable to allow participation of SMEs or of newly-established
enterprises in order to stimulate the market, it might be advisable to determine less strict
qualitative selection criteria.
The determination of qualitative selection criteria is required in all cases of contracts,
regardless of whether the contract award criterion chosen is the most economically
advantageous tender or exclusively the lowest price. Indeed, in the latter case, the
determination of strict qualitative selection criteria in an accurate, thorough and unambiguous
manner may play a decisive part in preventing the contract from being awarded to a
contractor who is unsuitable.
Categories of qualitative selection criteria
The qualitative selection criteria can be grouped in the following four (4) categories:
1. Criteria for verifying the personal situation of candidate economic operators
Pursuant to the provisions of article 51 of the Coordination of Procedures for the Award of
Public Works Contracts, Public Supply Contracts and Public Service Contracts and for
Related Matters Law of 2006 {Law 12(I)/2006} (reference to which is also made in article
56(4) of Law 11(I)/2006 on the Water, Energy, Transport and Postal Services Sectors), the
economic operators are excluded, or may be excluded, from participation in tender
procedures for the award of public contracts, if they do not meet certain requirements,
mandatory or, in some cases, optional (in the opinion of the Contracting Authority) regarding
their personal situation.
These requirements, an exhaustive list of which is given in article 51 of Law
12(I)/2006, are the basic qualitative selection criteria which Contracting Authorities
may use in the context of public procurement to verify the personal situation of candidate
economic operators.
In addition to these criteria, social criteria may also be chosen as basic qualitative selection
criteria, on condition that these are objective and that their use cannot lead to insufficiently
justified exclusions. An example of such a criterion (which is one of the proposed qualitative
selection criteria in Part A of the model draft tender documents), is the observance by the
candidate economic operator of articles 138 and 182 of the International Labour Convention,
which prohibit economic operators from employing or exploiting minors under the age of 15.
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The criteria for verifying the personal situation of candidate economic operators are never
marked and are not specified in terms of a range of values or of a numerical level which the
candidate economic operator must exceed.
The Table below specifies the manner in which fulfilment of the criteria of this category
is documented by economic operators. Readers are reminded that the model draft
tender documents provide for the obligation of candidate economic operators to submit a
specific declaration which shall accompany their tenders, while the Appendix to Part A.
INSTRUCTIONS TO ECONOMIC OPERATORS specifies the certificates that the economic
operator to which the contract shall be awarded is obliged to submit, prior to signing the
contract, in order to confirm the validity of the previously submitted declaration.

CRITERIA CATEGORY 1:
PERSONAL SITUATION OF THE
CANDIDATE/TENDERER
DOCUMENTATION METHOD
Absence of a final judgement against the economic operator for:
Participation in a criminal organisation, as defined in Article
2(1) of Council Joint Action 98/733/JHA.
Corruption, as defined in Article 3 of the Council Act of 26
May 1997 and Article 3(1) of Council Joint Action
98/742/JHA, respectively.
Fraud within the meaning of Article 1 of the Convention
relating to the protection of the financial interests of the
European Communities.
Money laundering, as defined in Article 1 of Council
Directive 91/308/EEC of 10 June 1991 on prevention of the
use of the financial system for the purpose of money
laundering, as amended by Directive 2001/97/EC of the
European Parliament and of the Council.
Any economic operator must not:
Have been convicted by a judgment which has the force of
res judicata of any offence concerning his professional
conduct.
Have been guilty of grave professional misconduct proven
by any means which the Contracting Authorities can
demonstrate.
Extract from the judicial record
or, failing that, of an equivalent
document issued by a competent
judicial or administrative authority
of the country where the
economic operator is established.
This document must have been
issued three months before the
signature of the contract at the
latest.
Where the country in question
does not issue the above
certificate, this may be replaced
by a declaration on oath by the
economic operator or, in countries
where there is no provision for
declarations on oath, by a solemn
declaration made by the
economic operator before a
competent judicial or
administrative authority, a notary
or a competent professional or
trade body, in the country where
the economic operator is
established.
Any economic operator must not:
Be bankrupt or in the process of being wound up, have his
affairs administered by the court, have entered into an
arrangement with creditors, have suspended business
activities or be in any analogous situation arising from a
similar procedure under national laws and regulations.
Be the subject of proceedings for a declaration of
bankruptcy, for an order for compulsory winding up or
administration by the court or of an arrangement with
creditors or of any other similar proceedings under national
laws and regulations.

An original Certificate issued by a
competent administrative or
judicial authority in accordance
with the legal provisions of the
country where the economic
operator is established. This
document must have been issued
three months before the signature
of the contract at the latest.
Where the country in question
does not issue the above
certificate, this may be replaced
by a declaration on oath by the
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CRITERIA CATEGORY 1:
PERSONAL SITUATION OF THE
CANDIDATE/TENDERER
DOCUMENTATION METHOD
economic operator or, in countries
where there is no provision for
declarations on oath, by a solemn
declaration made by the
economic operator before a
competent judicial or
administrative authority, a notary
or a competent professional or
trade body, in the country where
the economic operator is
established.
Any economic operator must not:
Have failed to fulfil his obligations relating to the payment of
social security contributions in accordance with the legal
provisions of the country in which he is established or with
those of the Republic of Cyprus.
Have failed to fulfil his obligations relating to the payment of
taxes in accordance with the legal provisions of the country
in which he is established or with those of the Republic of
Cyprus.

An original Certificate issued by a
competent authority of the country
where the economic operator is
established.
Where the country in question
does not issue the above
certificate, this may be replaced
by a declaration on oath by the
economic operator or, in countries
where there is no provision for
declarations on oath, by a solemn
declaration made by the
economic operator before a
competent judicial or
administrative authority, a notary
or a competent professional or
trade body, in the country where
the economic operator is
established.
Any economic operator must not:
Have been deprived, by decision of the Competent Body, of
the right to participate in public tender procedures on
account of non fulfilment of his contractual obligations.
Have been guilty of breach of, or have failed to faithfully
execute, other contracts awarded to him, to such extent
that the performance guarantee was forfeited, during the
period of time which begins two years before the closing
date for the submission of tenders.
Have refused during the last two years, although a contract
had been awarded to him, to present himself for signing it.
Employ or be exploiting minors under the age of 15, in
violation of articles 138 and 182 of the International Labour
Convention.
Completion and submission,
together with the tender, of a
declaration in the format of the
relevant template contained in the
Appendix to the model draft
tender documents.
In the case of public service contracts or public works contracts,
an economic operators should be aware of and respect the
obligations deriving from the provisions of the legislation on the
protection of the employees and on working conditions currently
in force in the Republic of Cyprus and applicable to the place of
provision of the services or of execution of the works.
Completion and submission,
together with the tender, of the
relevant certification, in the format
of the template contained in the
Appendix to the model draft
tender documents.
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CRITERIA CATEGORY 1:
PERSONAL SITUATION OF THE
CANDIDATE/TENDERER
DOCUMENTATION METHOD
Any economic operator is excluded in any stage of the tender
procedure, if the competent evaluation body establishes that the
economic operator:
Is attempting or seeking, whether in person or through the
mediation or assistance of some other person, to influence
in any way the judgement of any collective organ or
committee or member thereof, or of any public employee or
official in the performance or discharge of their duties or
authorities as per the Law or the relevant regulations.
Has obtained or taken in his possession, without legal
authority and at his own initiative, information or documents
of a secret nature in connection with a tender procedure
where his is participating.
Due to the nature of these criteria,
it is obvious that it is not possible
to request any information
documenting their fulfilment.

Information about the authorities and organisations responsible for issuing the above
documents in the EU Member States is available from the following Webpage:
http://ec.europa.eu/ internal_market/publicprocurement /2004_18/index_en.htm.
The tender documents must provide that, in the case of a consortium, the criteria
regarding the verification of the personal situation must be met by all consortium
members. The same obligation must also be foreseen in the case of entities on whose
capacities the candidate economic operator relies, pursuant to the provisions of article 53(2)
of Law 12(I)/2006 (or the respective provisions of article 55(4) of Law 11(I)/2006).
2. Criteria for verifying the suitability of candidate economic operators to pursue
professional activity
Pursuant to the provisions of article 52 of the Coordination of Procedures for the Award of
Public Works Contracts, Public Supply Contracts and Public Service Contracts and for
Related Matters Law of 2006, the Contacting Authority is entitled to require candidate
economic operators to be enrolled on an official professional or trade register.
Use of this criterion is recommended in cases where enrolment of an economic
operator on a professional or trade register may also serve as a criterion of the
economic operators technical and professional ability (e.g. enrolment in a specific class
under a category of projects at the Council of Registration and Control of Buildings and Civil
Engineering Constructors in Cyprus, or at the Register of Contractors in Greece, in the case
of public works contracts).
Instead of using this particular criterion, the Contracting Authority may limit its requirement to
the verification of the official proof of establishment and lawful operation of the candidate
economic operator.
The Table below specifies the manner in which fulfilment of the criterion of suitability to
pursue professional activity is documented by economic operators.

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CRITERIA CATEGORY 2:
SUITABILITY TO PURSUE
PROFESSIONAL ACTIVITY
DOCUMENTATION METHOD
Enrolment on a professional or trade
register.
Certificate of enrolment of the candidate economic
operator on a professional or trade register or
declaration on oath regarding the pursuit of
professional activity, issued by a competent Public
authority or, in the case of economic operators
established in countries other than the Republic of
Cyprus, certificate issued by the competent authority of
the country where they are established proving their
enrolment on the registers of the relevant Chamber or
their registration with equivalent professional
organisations.
(Annexes VIIIA, VIIIB and VIIC of Law 12()/2006 list
the professional or trade registers in each Member
State for public works contracts, public supply
contracts and public service contracts, respectively).
The Contracting Authority may provide in the tender documents that, in the case of a
consortium, the obligation for enrolment on a professional or trade register must be met
by all consortium members.
3. Criteria for verifying the economic and financial standing of candidate economic
operators
Pursuant to the provisions of article 53 of the Coordination of Procedures for the Award of
Public Works Contracts, Public Supply Contracts and Public Service Contracts and for
Related Matters Law of 2006 {Law 12(I)/2006} (or to article 53 of Law 11(I)/2006 on the
Water, Energy, Transport and Postal Services Sectors), the Contracting Authority may in a
particular contract limit participation to candidate economic operators who meet specific
criteria used to establish their economic and financial standing.
These qualitative selection criteria must be determined taking into consideration the
requirements of the particular contract, as well as the capabilities of the specific
market addressed by it and the need to ensure conditions of genuine competition.
Choosing particularly strict or complicated economic and financial standing criteria
may have the opposite results than those intended, while it may also lead to diminished
competition or even to inability of the competent evaluation body of the Contracting Authority
to verify correctly their fulfilment. It is therefore appropriate and advisable to use them
sparingly and limit them accordingly, especially in the case of ordinary contracts which are
not particularly complex or are not characterised by a particularly high economic or
technological or other value.
Once the appropriate economic and financial standing criteria for a particular contract have
been chosen, the minimum limits for these criteria (e.g. minimum average annual turnover,
minimum average cash and cash equivalents at the year-end) should then be clearly
specified: these limits will function as thresholds, and the candidate economic operators who
exceed them will be deemed to meet the respective criterion. However, these minimum limits
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should be those objectively necessary to document the suitability of candidate economic
operators in relation to the particular contract scope and/or the duration of its implementation.
The acceptable evidence to be used to document the fulfilment of these criteria by
candidate economic operators may be one or more of those specified restrictively in
the Law. It is understood that if, for any valid reason, an economic operator is unable, to
provide the evidence requested, it may submit any other document(s) which the Contracting
Authority is obliged to examine as to their suitability.
The Table below provides guidelines and examples (non-exhaustive) for determining
the method to be used for documenting the fulfilment of the criteria in this category by
candidate economic operators.

CRITERIA CATEGORY 3: ECONOMIC
AND FINANCIAL STANDING
DOCUMENTATION METHOD
Overall turnover.
The average annual turnover required from
economic operators for the last three (3)
financial years is recommended to vary
between 100% and 500% of the annual project
budget, with the higher per cent rate being
chosen in special cases of complex projects
that are of particular significance to the
Contracting Authority. It is pointed out that the
annual project budget is calculated by dividing
the budget by the number of implementation
years, while if the project implementation
period is less than twelve (12) months, the
comparison must be made against the total
project budget.
Note: Depending on the particular case, the
criterion chosen may be that of the overall
turnover of economic operators or that of the
turnover in activities similar to those of the
contract. This last solution may be chosen
when the contract scope is so highly
specialised as to result in the serious likelihood
of the overall turnover of candidate economic
operators being shaped to a large extent by
other activities of little to minimum relevance to
the scope of the contract.
Annual operating results.
It is recommended to Contracting Authorities to
require that the average annual operating
results for the last three (3) years be positive.
Use of this criterion is recommended in cases
of large projects (in terms of implementation
duration as well as in terms of budget), as in
such cases the need to assess the financial
viability of the contractor in order to safeguard
the successful completion of the project is
imperative.
Pursuant to the provisions of the Law, the
economic and financial standing of the economic
operator may as a rule be demonstrated by one or
more of the following supporting documents:
Balance sheets or extracts of them, where the
publication of Balance Sheets is required under
the company laws of the country where the
economic operator is established.
A statement of the overall turnover and,
possibly, of the turnover in the area covered by
the contract for a maximum of the last three
financial years, depending on the date on which
the economic operator was set up or started
trading, as far as the information on these
turnovers is available.
Appropriate statements from banks or, where
appropriate, evidence of relevant professional
risk indemnity insurance.
The above supporting documents may be
expanded by adding to them the audited Profit &
Loss accounts and Balance Sheets and the
auditors reports accompanying these, in the event
that the criteria of annual operating results and of
cash and cash equivalents at the year-end criteria
are chosen.
Reference to appropriate statements from banks
as evidence without specifying them precisely, is
unclear, and its inclusion in the tender documents
is recommended only if the Contracting Authority is
in a position to specify them.
In all cases, pursuant to the provisions of the Law,
the tender documents must provide that economic
operators who, for any valid reason, are unable to
provide the evidence requested, may submit any
other document(s) which the Contracting Authority
is obliged to examine as to their suitability.
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CRITERIA CATEGORY 3: ECONOMIC
AND FINANCIAL STANDING
DOCUMENTATION METHOD
Cash and cash equivalents at the year-
end.
It is recommended to Contracting Authorities to
require that the average amount of cash and
cash equivalents at the year-end for the last
three (3) years be positive.
Use of this criterion is recommended in cases
of large projects (in terms of implementation
duration as well as in terms of budget), as in
such cases the need to assess the financial
viability of the contractor in order to safeguard
the successful completion of the project is
imperative.
Various liquidity and financial structure
ratios, as appropriate in each case.
Their use is recommended to be made
sparingly, in cases of important large projects,
where Contracting Authorities may wish to limit
suitable candidates only to those for whom
short-term and long-term financial stability may
be substantiated.
Note: If use of these ratios is chosen, the
Contracting Authority must specify in the
tender documents the method for their
calculation.
An example of the application of such a ratio is
that of the Solvency ratio, which serves as
measure of the long-term financial stability of
the candidate economic operator.
If this specific ratio is chosen as qualitative
selection criterion, then a relevant algorithm
must be defined (e.g. the result of dividing the
undertakings Capital by its Total Assets could
be one such solvency ratio). Taking into
account that, according to published statistical
studies, medium-capitalisation internationally
listed companies have, on average, solvency
ratios of the order of 25% to 40%, the
Contracting Authority might specify a minimum
acceptable level of 15% for the qualitative
selection criterion of the solvency ratio.
In the case of public works contracts, for
example, the following ratios could be used:
the current ratio,
the interest cover ratio.
The tender documents must provide that, in the case of a consortium, it is sufficient
for the economic and financial standing criteria to be met cumulatively by the
consortium members.
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It is understood that the tender documents must provide that in the event that the
candidate economic operator relies on the capacities of other entities, pursuant to the
provisions of article 53(2) of Law 12(I)/2006 (or the respective provisions of article 55(4) of
Law 11(I)/2006), it must be able to prove to the Contracting Authority that it shall have at its
disposal the resources necessary. To this end, the submission of e.g. solemn declarations by
these entities, whereby they shall guarantee to the Contracting Authority that, should the
candidate economic operator be appointed Contractor, they shall place at its disposal the
necessary resources as appropriate, could be requested.
4. Criteria for verifying the technical and/or professional ability of candidate
economic operators
Pursuant to the provisions of articles 54 to 56 of the Coordination of Procedures for the
Award of Public Works Contracts, Public Supply Contracts and Public Service Contracts and
for Related Matters Law of 2006 {Law 12(I)/2006} (or to articles 54 to 56 of Law 11(I)/2006
on the Water, Energy, Transport and Postal Services Sectors), the technical and/or
professional ability of candidate economic operators constitute also qualitative selection
criteria.
In order to decide that an economic operator possesses the technical and professional ability
required for implementing the contract, i.e. that it has available the human resources,
infrastructure equipment, quality assurance systems and experience which may be required,
it is necessary to verify the fulfilment of specific criteria which the Contracting Authority must
define in the tender documents, specifying in parallel the type of evidence that the candidate
economic operator is required to submit in each case, in order to document the fulfilment of
each criterion.
In appropriate cases of public service contracts and public works contracts, environmental
criteria may also be determined as qualitative selection criteria. These criteria are included in
the criteria for verifying the technical and/or professional ability of candidate economic
operators.
It must be pointed out that, in certain cases, the environmental criteria related to the contract
scope become equally important selection criteria as the criteria of quality or technical value
of the tender. For example, when a Contracting Authority intends to award a contract for the
implementation of a waste treatment plant, determining environmental criteria will allow the
selection of the contractor to be made not only based on the pure economic benefit (lowest
price) to the Contracting Authority, but also taking into account the general interests of
citizens which, in this particular case, are to ensure minimisation of the impacts to the citys
environment.
The requirement for applying environmental management measures or systems
during the implementation of a public contract must be fully justified by the nature of
the works and/or services under the contract.
For the purposes of specifying the technical and professional ability criteria, the Contracting
Authority must specify minimum limits (e.g. minimum number of persons employed, minimum
number of successfully completed similar contracts) and/or specific requirements (e.g.
compliance with quality assurance standards or compliance with environmental management
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standards). These limits will function as thresholds, and the tenders of candidate economic
operators who exceed them will be evaluated in the next stage.
In order to choose the technical and professional ability criteria, the Contracting
Authority must take into account the particularities, characteristics and requirements of
the specific contract for which it chooses them, without disregarding the need to ensure
conditions of genuine competition or the key principles governing the selection of evaluation
criteria and in particular the principle of proportionality.
Articles 54 to 56 of Law 12()/2006 provide an exhaustive list of the evidence used to
demonstrate the professional and technical ability, which Contracting Authorities may use in
order to the most appropriate ones, depending on the nature, quantity, objectives and overall
characteristics of each contract.
The Table below provides guidelines and examples (non-exhaustive) for determining
the method to be used for documenting the fulfilment of the criteria in this category by
candidate economic operators.

CRITERIA CATEGORY 4:
TECHNICAL AND
PROFESSIONAL ABILITY
DOCUMENTATION METHOD
Experience in the implementation
of projects with a scope similar to
that of the contract.
Note: The Contracting Authority must
specify) the number and type of
services or activities for which it
requires the availability of
experience, by applying the following
rules:
These services should be the
same with those included in the
contract scope or similar to them
if it is estimated that experience
in exactly the same services is
limited in the market and there is
a likelihood of diminished
competition.
The requirement for experience in
types of services or activities or
works which represent a very
small part of the contract scope
or are of a low value compared to
the anticipated overall result from
the implementation project,
should be avoided.
To document their relevant experience, candidate economic
operators must submit with their tenders:
. In the case of public service contracts or public supply
contracts:
A list of projects, in the format of the template contained in
the Appendix to the model draft tender documents.
Evidence of successful implementation of the number of
projects specified by the Contracting Authority from those
in the abovementioned list, which the candidate economic
operator has concluded and successfully completed during
the last three (3) years. The tender documents must
specify the minimum budget of these projects, which shall
be expressed as a per cent rate of the budget of the
contract, as well as the participation percentage of the
candidate economic operator in the implementation of
these projects. The following are recommended as such
evidence:
If the Employer is a Public Entity, a relevant certificate
issued by the competent Public Authority, or an
acceptance certificate.
If the Employer is a private entity, a certificate from
that private entity or, failing this, a simple declaration
by the Tenderer in which the data of the contact
person at the entity where the contract was executed
must be given.
. In the case of public works contracts, as evidence of the
experience but also of the overall technical and
professional abilities of the economic operators,
submission of the annual permit issued by virtue of the
Councils of Registration and Control of Buildings and Civil
Engineering Constructors Law, for the execution of projects
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CRITERIA CATEGORY 4:
TECHNICAL AND
PROFESSIONAL ABILITY
DOCUMENTATION METHOD
of the class and category of the works under the contract or
of a higher class. In the case of economic operators
established in countries other than the Republic of Cyprus,
submission of a certificate, as specified in Annex VIIA of
Law 12(I)/2006 (Article 46 of Directive 2004/18/EC),
proving their enrolment on a professional register of their
country of origin may be required, provided that they also
meet the conditions required for obtaining the annual
permit mentioned for economic operators established in the
Republic of Cyprus.
Notes:
The number of projects included in the list must be limited
(it is recommended to limit this number to a maximum of
ten projects), in order to avoid abuse by the economic
operators who, in order to prove that they are overqualified
in terms of experience, may present an excessively large
number of projects which cannot be verified by the
competent body of the Contracting Authority.
The evidence of successful completion is recommended to
refer to 1 to 3 projects, depending on the complexity and
specialisation of the contract scope. These projects must
include services, activities or works of relevance to the
principal respective services, activities or works included in
the scope of the project put out to tender.
The minimum budget of a project, in order for that project
to qualify as evidence of the candidate economic operators
experience, must be estimated by the Contracting Authority
based on the contract scope and budget (e.g. if the
contract put out to tender is a multi-annual contract with a
high budgeted cost due to the large number of services
rather than to their technological or other value, this per
cent rate may be reduced accordingly), but also on the
need to secure competition. It is obvious that this per cent
rate must not exceed 100% of the contract budget.
The participation percentage of a candidate economic
operator in the implementation of a project, in order for that
project to qualify as evidence of that economic operators
experience, is recommended not to be less than 40%.
Number of employed personnel.
Note: Depending on the particular
case, this criterion may refer to all
personnel or to the personnel in
particular specialisation areas of
relevance to the scope of the project
being put out to tender.
Its use is recommended in public
service contracts and public works
contracts. In public supply contracts,
its use is necessary only if the
contract includes activities (e.g.
installation, maintenance, training)
A list of the personnel employed by the candidate economic
operator under a permanent employment relationship, in the
format of the template contained in the Appendix to the model
draft tender documents.
Alternatively, in the case of projects requiring specialised
expertise, a list of the persons employed by the economic
operator under a permanent employment relationship in
activity areas similar to the contract scope (or, if the scope
includes different individual activities, similar to such area(s) as
the Contracting Authority shall at its discretion deem to be the
most important).
The minimum required number of personnel of candidate
economic operators may also be defined in relation to the
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CRITERIA CATEGORY 4:
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DOCUMENTATION METHOD
which the Contracting Authority
considers to be important.
The number of natural persons
employed under a permanent
employment relationship is an
indication of the capacities and
reliability of the interested economic
operator. In this sense, the
requirement for a minimum number
of personnel, regardless of whether
they are fully or partly involved in the
project, is both legitimate and
advisable. In any case, the
Contracting Authority should take into
account the level of dynamics
required by the scope of the project
put out to tender and specify this
minimum number in proportion to
this.
number of experts required for the execution of the contract. In
cases where the minimum number of personnel refers to all
personnel, then it may be requested that this number be 2 to 4
times the number of experts required. In cases where the
minimum number of personnel refers only to personnel
involved in activity areas similar to the contract scope, then it
may be requested that this number be 1 to 2 times the number
of experts required.
Experience of Project Team
members.
Note: This criterion is used in public
service contracts and public works
contracts. In the case of public
supply contracts, its use is necessary
only if the contract includes activities
(e.g. installation, maintenance,
training) whose performance requires
the participation of experts in the
Project Team.

To document the experience of the proposed Project Team
members, economic operators must submit with their tenders
detailed CVs for all key experts required for the
implementation of the contract, as these have been specified
in the Terms of Reference forming part of the tender
documents.
The detailed CVs, which must be in the format contained in the
Appendix to the model draft tender documents, should
demonstrate that the Project Team members under evaluation
meet at least the requirements defined in the Terms of
Reference regarding:
Their qualifications and skills (on the basis of educational
qualifications, professional qualifications, technical skills,
team management skills or communication skills,
depending on the part of the contract scope they will be
involved with).
Their general or specific professional experience (on the
basis of their participation in similar work and activities in
the context of other contracts, the key details of which
should be mentioned in brief in the CV).
In the case of public works contracts, as evidence of the
professional and technical qualifications and of the experience
of specific Project Team Members whose participation in the
implementation of the contract is, in the opinion of the
Contracting Authority, particularly crucial, submission of the
annual permit issued by virtue of the Councils of Registration
and Control of Buildings and Civil Engineering Constructors
Law, for the execution of projects of the required class and
category of the works, which is specified in the Terms of
Reference. In the case of economic operators established in
countries other than the Republic of Cyprus, submission of a
certificate, as specified in Annex VIIA of Law 12(I)/2006
(Article 46 of Directive 2004/18/EC), proving their enrolment on
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DOCUMENTATION METHOD
a professional register of their country of origin may be
required, provided that they also meet the conditions required
for obtaining the annual permit mentioned for professionals
(natural persons) established in the Republic of Cyprus.
Requirements regarding the
suitability of products, technical
equipment, equipment and means
of study and research,
organisation and staffing of
technical bodies, machinery,
facilities and other infrastructures.

May be documented by the following, as the case may be:
A description of the technical facilities and measures used
by the supplier or service provider for ensuring quality and
the study and research facilities.
Checks carried out by the Contracting Authority or on its
behalf by a competent official body of the country in which
the supplier or service provider is established.
An indication of the technical bodies involved, whether or
not belonging directly to the economic operator's
undertaking, and, in the case of public works contracts,
those upon whom the contractor can call in order to carry
out the work.
A statement of the tools, plant or technical equipment
available to the service provider or contractor for carrying
out the contract.
Samples, descriptions and/or photographs, the authenticity
of which must be certified if the Contracting Authority so
requests.
Certificates issued by official quality control institutes or
agencies of recognised competence, attesting the
conformity of products clearly identified by references to
specifications or standards.
Compliance with quality
assurance standards.
Note: This criterion is a serious
indication of the effectiveness of the
measures taken by economic
operators to ensure the quality of
their activities.
Contracting Authorities must use this
criterion in the case of contracts
whose scope is complex or of
particular technological value.
A certificate issued by an independent organisation, attesting
the compliance of the candidate economic operator with a
quality assurance standard based on the CYS EN ISO 9000
series of Cyprus standards, or other equivalent certifications
issued by bodies established in other Member States of the
European Union, or other evidence of equivalent quality
assurance measures. It is understood that if the candidate
economic operator is a consortium of persons, the above
requirement must be met by all consortium members who shall
perform the specific activities for which the application of this
criterion shall be required.
Compliance with environmental
management standards.
Note: This criterion should be used
exclusively in the case of public
works contracts or public service
contracts whose implementation
might pose a risk to the environment,
thus necessitating the adoption of
measures to protect it during
implementation.

When the Contracting Authorities require the production of
certificates issued by independent bodies attesting the
compliance of the economic operator with specific
environmental management standards, they must refer to the
Community Eco-Management and Audit Scheme (EMAS) or to
environmental management standards based on the relevant
European or international standards certified by bodies
conforming to Community law, or the relevant European or
international standards concerning certification.
The Contracting Authorities must recognise equivalent
certificates from bodies established in other Member States,
and must accept other evidence of equivalent environmental
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management measures submitted by economic operators.
Additionally, the Contracting Authority may specify in the
tender documents that the economic operators who are guilty
of professional misconduct regarding non-compliance with the
environmental legislation, which can be verified through the
relevant certificate (extract of the judicial record or other
equivalent document) required under the category of criteria
for verifying the personal situation of candidate economic
operators, shall be excluded from participation in the tender
procedure.
The tender documents must provide that, in the case of a consortium, it is sufficient
for the criteria referring to the verification of the technical and professional ability to be
met cumulatively by the consortium members. In public service contracts in particular, these
criteria may be addressed by indicating the part of the contract which the candidate
economic operator intends possibly to subcontract to third parties.
It is understood that the tender documents must provide that in the event that the
candidate economic operator relies on the capacities of other entities, pursuant to the
provisions of article 53(2) of Law 12(I)/2006 (or the respective provisions of article 55(4) of
Law 11(I)/2006), it must be able to prove to the Contracting Authority that it shall have at its
disposal the resources necessary. To this end, the submission of e.g. solemn declarations by
these entities, whereby they shall guarantee to the Contracting Authority that, should the
candidate economic operator be appointed Contractor, they shall place at its disposal the
necessary resources as appropriate, could be requested.
Limiting the number of candidates in the case of the restricted procedure
The qualitative selection of the candidate economic operators is the first stage of evaluation
in every tender procedure, regardless of the procedure to be chosen. In what in particular
regards tenders conducted in accordance with the restricted procedure, the conclusion of the
qualitative selection signals the invitation of tenders from the economic operators who have
been selected by the Contracting Authority, so that the second stage, that of award of the
contract, may commence.
Pursuant to the provisions of Law 12()/2006, in the restricted procedure the
Contracting Authorities may limit the number of suitable candidates they will invite to
tender to a minimum of five (5), provided that a sufficient number of suitable candidates is
available.
The Contracting Authorities must specify in the tender documents, the objective and non-
discriminatory criteria or rules that they intend to apply for the prequalification of candidates.
They must also specify the minimum number of candidates they intend to invite and, where
appropriate, the maximum number.
These objective criteria do not necessarily imply the application of a weighting scheme, as
specified by the Law. However, in order for the ranking of economic operators in decreasing
order of eligibility to be possible, clear selection rules must be specified a necessary and
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sufficient condition for adherence to the principle of transparency which must govern every
procurement procedure.
Ranking of the candidates who meet the qualitative selection criteria may be based on
one of the qualitative selection criteria or on a combination of appropriately weighted
qualitative selection criteria, which the Contracting Authority must specify in the tender
documents. It is obvious that a weighting scheme may be specified only for some of the
criteria in the two last categories presented in the previous section (namely, the criteria for
verifying the personal situation and the criteria for verifying the technical and/or professional
ability of candidate economic operates), and in particular for those which can be marked
objectively. The criteria meeting this requirement include the turnover, the solvency ratio or
any other indicator/ratio which the Contracting Authority may choose, the number of
permanently employed personnel, the experience in the implementation of projects similar to
that of the contract, etc..
If weighting of a combination of criteria is chosen as the method to be used for ranking
the candidate economic operators, the authors of the tender documents could adopt the
practice outlined below, which is considered in terms of methodology to be suitable for use
as the basis for comparing candidate economic operators:
First step: Selection, from the two last categories of criteria presented in the previous
section, of criteria to which it is possible to assign marks and for which it is
estimated that, if they were exceeded, this would maximise the reliability of
candidates and would reduce the likelihood of failure in carrying out the
contract.
Second step: Ranking of the selected criteria in decreasing order of significance, and
assignment to them of corresponding weighting factors.
Third step: Specification, for each one of the above criteria, of thresholds for the
purposes of comparisons and of the respective marks.

APPLICATION EXAMPLE
In connection with a given contract, the authors of the tender documents, in collaboration
with the Head of the competent Department of the Contracting Authority, select the following
criteria as criteria which can be used in the weighting process:
o Experience in the implementation of similar projects
o Turnover
o Number of permanently employed personnel
They then rank the criteria in decreasing order of their significance, and choose the following
weighting factors:
o Experience in the implementation of similar projects: Weighting factor: 5
o Turnover: Weighting factor: 3
o Number of permanently employed personnel: Weighting factor: 2
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For each one of the aforementioned criteria, they then identify specific thresholds and
respective marks, as follows:
o Experience in the implementation of similar projects
If the minimum number of projects implemented by the candidate economic operator
has been set to 3 projects, then the thresholds are determined as follows:
Number of projects: 3 5 MARK: 1
Number of projects: 6 9 MARK: 2
Number of projects: > 9 MARK: 3
o Turnover
If the minimum turnover has been set to 100% of the contract budget, then the
thresholds are determined as follows:
Turnover: 100% - 150% of the budget MARK: 1
Turnover: 151% - 200% of the budget MARK: 2
Turnover > 200% of the budget MARK: 3
o Number of permanently employed personnel
If the minimum number of permanently employed personnel has been set to 20, then
the thresholds are determined as follows:
Number of employed personnel: 20 30 MARK: 1
Number of employed personnel: 31 50 MARK: 2
Number of employed personnel > 50 MARK: 3
The approach for marking the above example is presented in paragraph 4.3.4 of Chapter 4 of
the Guide.
If use of a single criterion is chosen for ranking candidates, then the procedure is more
simple. The following is an indicative example: The tender documents include, as one
of the qualitative selection criteria, a minimum number of successfully completed contracts
for similar projects. To limit the number of candidate economic operators (if the number of
candidates meeting the qualitative selection criteria specified is higher than the maximum
number of candidates which has been stated will be invited to tender), the Contracting
Authority may specify that preference shall be given, during the qualitative selection stage, to
candidates who have implemented the largest number of similar projects.
Limiting the number of candidates is of value only in the case of contracts where the
expected turnout of candidates is high and the Contracting Authority foresees that the
large number of tenders will result in difficulties and delays during the evaluation and contract
award procedure. It is obvious that where the contract award criterion is exclusively the
lowest price there is no reason to limit the number of candidate economic operators, and this
procedure is therefore not recommended.
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3.2.3.3 Determining the contract award criteria
The criteria based on which Contracting Authorities award public contracts are:
a) Exclusively the lowest price.
This criterion is used by Contracting Authorities when the technical specifications are fully
clear and fixed, and no variants are allowed. In this case, the contract is awarded to the
tenderer who was not excluded from the tender procedure during the qualitative selection
procedure and whose tender was not rejected in the technical evaluation stage (i.e. it was
judged that it meets the technical specifications and other requirements laid down) and,
in the financial offers evaluation stage, was established as the tender offering the most
economical solution for the Contracting Authority.
b) The most economically advantageous tender.
This criterion is used when the Contracting Authority wishes to ensure that the contract
shall be awarded to the candidate economic operator whose tender offers the best value
for money. In this case:
o Contracting Authorities have the opportunity to determine the specifications for the
contract placing greater emphasis on functional performance rather than on strict
technical requirements.
o Submission of variants may be allowed, provided that these meet the minimum
requirements specified.
o Desirable specifications may also be determined, in addition to the mandatory
requirements and specifications. Failure to meet the desirable specifications does not
lead to the rejection of the tender; meeting them, however, may lead to an advantage
in the evaluation procedure.
When the contract is awarded to the most economically advantageous tender, the award
takes place based on various criteria related to the scope of the specific contract, such as
the quality, price, technical value, aesthetic and functional characteristics, environmental
characteristics, operating cost, efficiency, after-sales support and technical assistance,
delivery date and delivery or execution deadline.
Where the contract award criterion is the most economically advantageous tender, the
Contracting Authority must specify in the tender documents the method for the
evaluation of tenders, indicating the corresponding weighting factor which it assigns to each
one of the criteria selected in each case.
To ensure respect of the principle of equal treatment in the procurement process and secure
the necessary transparency so that every tenderer is aware of the criteria and methods to be
applied for identifying the most economically advantageous tender, the weighting scheme of
the award criteria must be included in the tender documents, so that the tenderers know it
when preparing their tenders. Contracting Authorities may deviate from this rule only in fully
justifiable cases which they must be able to substantiate, when this weighting cannot be
established in advance, due mainly to the complexity of the contract. In these cases, they
must state the decreasing order of significance of these criteria.
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To determine the evaluation criteria when the contract award criterion is the most
economically advantageous tender, Contracting Authorities should keep in mind the
rules given in the table below:

DETERMINING THE EVALUATION CRITERIA
BASIC RULES
The list of criteria given in the Law is neither restrictive nor mandatory. Contracting
Authorities should select these criteria (as well as their weighting or significance) according
to the particular characteristics of each contract.
All evaluation criteria must be directly related to, and must concern, activities or supplies or
works included in the contract scope (at least to the most important of these).
In the event of failure to foresee an important criterion, the Competent Body shall not be
able, in conducting the evaluation procedure, to reward the tender which may be perceptibly
better than the rest regarding the respective requirement.
All criteria must be established objectively and must as far as possible be measurable.
The tender documents must specify clearly the information that the tenderer must supply in
order to support the evaluation procedure.
The selection and weighting of the evaluation criteria must conform to the key principles of
Community law on public procurement.
The evaluation criteria and their relative significance must reflect the prioritisation of
the requirements of the Contracting Authority and the degree of importance of each
individual parameter under evaluation. In general terms, they should clarify the objectives of
the contract and should not confuse the interested economic operators.
Indicative evaluation criteria
The criteria stated in the law are of a general nature and their application requires, in most
cases, a thorough analysis.
The quality of a service or product, for example, can be judged more easily by determining
individual criteria, the fulfilment of which (of all or of some of them) shall lead to a safer
understanding of the level of quality of the service or product. Breaking down the criterion of
quality to individual criteria (e.g. completeness, availability, reliability, flexibility, timeliness,
security, accuracy, user-friendliness or usability) would facilitate the task of the body
responsible for the evaluation of tenders, on the one hand, and would lead to safer choice of
the best service from those offered or of the best product in terms of quality, on the other.
The technical value of the offered solution could be replaced with criteria referring to the
methodology and support tools that the tenderer intends to apply in the implementation of the
contract.
The environmental characteristics can be judged in terms of performance or functional
requirements, provided that these have been laid down in detail in the Terms of Reference
and are appropriate for determining the characteristics that form the contract scope.
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In the case of public service contracts, the efficiency can be checked using various criteria
referring e.g. to the breakdown of the project into individual work packages and deliverables,
or to the definition of the contents of the individual deliverables, as well as to the proposed
method for organising and coordinating the key experts and other staff of the tenderer who
form the Project Team. In the case of public supply contracts, efficiency may be judged
based on quantitatively identifiable data, such as the number of printouts of a printer under
evaluation or the number of a computers network transactions over a specified period of
time.
After-sales service and technical assistance, in the case of contracts that foresee such an
obligation, may be checked using various criteria referring to the service/support
methodology that the tenderer intends to apply, the geographical coverage of the network of
associates the tenderer may be required to have available if the technical service is to be
provided to Contracting Authority units located in various cities, or to the method used to
organise the technical service and assistance procedure.
Understanding the requirements of the contract is also a decisive criterion, especially in
the case of complicated contracts for complex projects, where successful implementation of
the project depends greatly on the candidates ability to understand the objectives and
specify ways in which to address potential risks.
The implementation schedule presented in the tender (with indication of the critical
milestones) is also a criterion whose effective use ensures selection of a competent
contractor who has understood the requirements of the Contracting Authority, especially in
cases where the interim critical milestones of the contract scope under implementation are
not fully and precisely in full detail in the tender documents.
Finally, the aesthetic and functional characteristics of the offered solutions can be
evaluated by determining individual criteria whose degree of fulfilment specifies the
respective degree of fulfilment of both the mandatory and desirable requirements of the
Contracting Authority, as these have been determined in the Terms of Reference and the
Technical Specifications contained in the tender documents.
It must be pointed out that the general or specific professional experience of
the tenderer or of the staff members who participate in the proposed Project
Team may, under the Community as well as under the National Law, be evaluated only
as a qualitative selection criterion and not as a contract award criterion.
In all cases, but primarily in public service contracts involving intellectual products, the
evaluation of tenders relies on the specialised technical knowledge and sound
judgement of the evaluators whom the Contracting Authority appoints the competent
evaluation body. Irrespective of their intentions, however, the members of this body may,
either intentionally or unintentionally, form a wrong or subjective judgement. Therefore, the
adoption of the evaluation system which is the most appropriate for each particular case, and
the definition of criteria which are as clearly formulated, objective and measurable as
possible, is a prerequisite for proper completion of the evaluation procedures.
To determine the evaluation criteria which are appropriate in each case and their
weighting scheme, the authors of the tender documents could adopt the practice
outlined below, which is considered in terms of methodology to be suitable for use as the
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basis for evaluating the tenders and for awarding the contract to the tender which is actually
the most advantageous for the Contracting Authority.
First step: Completion of a table questionnaire, an indicative example of which is
given below, in collaboration with the Head of the competent Department of
the Contracting Authority, the officials who participated in the evaluation
strategy definition for the particular project and/or those having an in-depth
knowledge of the requirements of the Contracting Authority and/or the
participants in the preparation of the Technical Specifications and Terms of
Reference and/or Contracting Authority staff who shall benefit from the
implementation of the contract.
Second step: Processing of the information in the questionnaire, selection of suitable
evaluation criteria and ranking of the criteria selected in decreasing order of
significance.
Third step: Weighting of the criteria using corresponding weighting factors.

SELECTING THE EVALUATION CRITERIA
Is the contract a complex contract
with a complicated scope and many
different activities?

YES NO
If the answer is yes, the methodology
proposed for implementation of the
project and the method proposed for
organising the implementation of the
individual activities must be evaluated.
Does successful implementation of
the project depend significantly on
the candidates ability to understand
the objectives and specify the ways
in which to address potential risks?

YES NO
If the answer is yes, the tenderers
understanding of the requirements of the
contract, as inferred from any specific
references (if such references are
requested) or generally from the way in
which the tenderer has conceived the
solution and has put together his tender,
must be evaluated.
Which of the activities included in the
contract scope are the most
significant in relation to the
requirements and objectives of the
Contracting Authority?
Note: The notion of significant
activity includes all services,
deliverables or works whose
successful implementation is
considered by the Contracting
Authority to be a condition for
deeming that the execution of the
contract is successful.
Activity 1
Activity 2
Activity 3
Activity 4
........
........
........
........
........
For each significant activity, note the
degree to which the activity is fully
specified in the Terms of Reference or in
the Technical Specifications.
Select for evaluation those activities
which are not fully specified and for
which there is room for development in
more detail or for further analysis by the
tenderers in their tenders.
For each one of the activities selected in
this way, choose individual
characteristics whose evaluation you
consider necessary (e.g. availability,
reliability, innovation, user-friendliness
etc.).
Is implementation of the contract
scope in the shortest time possible of
interest to the Contracting Authority?

YES NO
If the answer is yes, the proposed
reduced implementation time should be
evaluated, provided that the possibility of
achieving this reduction is documented
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SELECTING THE EVALUATION CRITERIA
in the tender.
In all cases (i.e. regardless of whether
the answer is yes or no), it is
advisable to evaluate the proposed
implementation schedule as to the
feasibility of its being met based on the
proposed implementation methodology,
and/or as to the planning for any
individual deliveries required.
Does the contract provide for
technical assistance or for the
obligation for technical service after
the implementation of the project?



YES NO
If the answer is yes, the way in which
the tenderer intends to meet the specific
obligation must be evaluated by
determining individual criteria regarding
e.g. the geographical coverage of the
network of associates the tenderer may
be required to have available if the
technical service is to be provided to
Contracting Authority units located in
various cities, or to the method used to
organise the technical service and
assistance procedure.
Using presentations in the evaluation procedure
If the Contracting Authority considers that such a procedure is advisable, it may provide in
the tender documents for the conduct by the tenderers of presentations of their tenders. It
may also provide for visits by the competent body for the evaluation of tenders to the
premises of third parties (e.g. where products which are the same or similar to those included
in the scope of a public supply contract have been installed by the tenderer and are in
operation).
It is obvious that the purpose of such procedures is to allow the evaluators to form a full
picture, which will allow them to evaluate-mark fairly and objectively the submitted tenders,
using the added knowledge which they gain during the presentations.
The procedure of presentations itself cannot be a criterion to which marks will be
given, because it may be considered contrary to the key principle of transparency
and/or equal treatment of the tenderers, as it cannot be checked.
Price as an Evaluation Criterion
In accordance with one of the key introductory remarks of Directive 18/2004, when the
Contracting Authorities choose to award a contract to the most economically advantageous
tender, they evaluate the tenders in order to determine which one offers the best value for
money. In order to do this, they determine the economic and quality criteria which, taken as a
whole, must make it possible to determine the most economically advantageous tender for
the Contracting Authority.
It is evident that no procedure for selecting the most economically advantageous
tender can take place without participation of the price as an evaluation criterion. For
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contracts for which the award criterion is the most economically advantageous tender, the
price is one of the criteria used to evaluate the tenders and award the contract, in contrast to
contracts for which the award criterion selected is the lowest price, where the price is the
only criterion used to evaluate the tenders and award the contract.
In all cases, the key aim of the Contracting Authority should be to determine the best
possible ratio (in other words, the ratio that serves the specific needs of the
Contracting Authority) between the quality of the project to be implemented and the financial
burden for its implementation, given that no contract can be considered advantageous if the
expenditure for its implementation is disproportionate to its value or is prohibitive.
In all cases, the determination, in the tender documents, of the relative weight of the criterion
of price in relation to the weight of the qualitative value of the tenders, must be in proportion
to the specific scope of the contract and to the objectives which the Contracting Authority
expects to achieve by its implementation.
In addition to determining the relevant weight of the criterion of price, and in order for the use
of the criterion of price to adhere to the key principles of public procurement law and in
particular to the principles of equal treatment and transparency, the Contracting Authority
must lay down in the tender documents the rules which are required for correct application of
the criterion, which, depending on the specific case, could be one or all of the following:
1. Where the tender documents allow economic operators to express the prices offered in
Euro or possibly in some other currency, the method for the conversion of such
currencies to Cyprus pounds should also be specific (the model draft tender documents
provide for their conversion using the foreign currency to Cyprus pound exchange rate
(sale price), as given by the Central Bank on the closing date for the submission of
tenders or as applicable on the working day which immediately precedes the closing date
for the submission of tenders, if the latter is a bank holiday).
2. Where the scope of the project put out to tender includes as an option an activity for the
maintenance of products, the price offered for maintenance must be taken into account
for the purposes of the financial evaluation.
3. By analogy, where the scope of the project put out to tender includes as an option a
technical or advisory support activity for a specific total number of person-months, it
should be specified that the price offered for the services of the option shall be taken into
account in the calculations for the purposes of the financial evaluation.
4. In the case of long-term contracts, where the tender documents allow tenderers to
choose one between two or more payment methods (e.g. payment of the total price after
the final acceptance of the project or payment of (on or more) interim advances), the
method applied to compare the prices of tenders must be specified (e.g. by reduction of
all individual prices payable to Net Present Value NPV).
5. In special cases of public supply contracts where the Contracting Authority estimates that
the products offered may not be directly comparable (e.g. when, from similar products
which are available in the market and meet the mandatory technical specifications, some
can be used directly while others require special conditions or parts and the Contracting
Authority should bear the cost of securing these), the tender documents must specify the
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procedure to be followed in order to render the tenders comparable (e.g. by adding to the
price of the product requiring special conditions or parts, the average price which, in the
estimate of the Contracting Authority, corresponds to securing the special conditions or to
purchasing of the required parts).
In the above case, it is obviously not right to take into account again, in the
financial evaluation stage, the elements of a tender which have already led to a
lower mark during the qualitative evaluation of tenders.
If the tender procedure may lead to the conclusion of more than one contracts with
the Contracting Authority, i.e. when submission of tenders for a part of the project
being put out to tender is allowed, the tender documents must provide that the financial
evaluation procedure shall be separate, possibly with different rules, for each one of the
individual parts of the project for which submission of tenders is allowed.
3.2.4 Model draft tender documents
The Table below lists the model draft tender documents, given in the Annexes to Chapter 3,
for the various types of contracts and award procedures.

ANNEX TYPE OF CONTRACT TYPE OF TENDER PROCEDURE
3-1 General services Open procedure
3-2 General services Simplified procedure
3-3 General services Restricted procedure
3-4
Supply and maintenance of IT equipment
(General Conditions of Contract Agreement and Special Conditions of Contract)
3-5 Engineering Consulting Services (General Conditions of Contract)
3-6 General supplies Open procedure
3-7 General supplies Simplified procedure
3-8 General supplies Restricted procedure
3-9 Works Open procedure
3-10 Works Simplified procedure
3-11 Works Restricted procedure
Table 3-15: Model draft tender documents contained in the Annex to Chapter 3
Instructions on how to use complete the model draft tender documents
The model draft tender documents contained in the Annex to the present Chapter follow the
guidelines and structure presented in Section 3.2.1.
The model draft tender documents were developed with the key aim of covering the most
common cases of tender procedure, and serve as key reference texts and useful tools for the
award of public contracts by the Contracting Authorities of the Republic of Cyprus.
The use of the model draft tender documents:
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Reduces the time and resources which the Contracting Authority must dedicate to
the preparation of the tender documents for a specific contract.
Helps create a relevant culture in the employees of the Contracting Authority, and
contributes to the acquisition of knowledge and skills regarding the proper
preparation of tender documents.
Facilitates the procedures involved in the final check of the tender documents by the
competent official of the Contracting Authority, prior to their publication.
Helps create a relevant culture in economic operators, and helps their study of the
tender documents and their understand the requirements which are provided for in
each case by the Contracting Authority.
Given that the large number of special cases which are likely to arise in the context of public
procurement activities does not allow the development of model draft tender documents for
each one them, the users of the model draft documents (i.e. the Contracting Authority
officials who shall participate in the Procurement Team responsible for preparing the tender
documents in each particular case), should study the respective set of model draft tender
documents of the Annex and adapt them appropriately, with the aim of covering the specific
needs which the Contracting Authority is expecting to address through the particular contract.
In particular, the following should be taken into account in order to ensure that the
model draft tender documents are properly used:

All model draft documents contain relevant instructions (which may be notes, comments or
alternative wordings), which the Procurement Team members should take into account in
preparing the tender documents.
In the texts of the model draft documents, instructions are shown inside coloured frames, so
that they are:
Easily identifiable, and
Easily removed by the Procurement team members (by deleting the entire frame).
Where the instructions concern clarifications, notes or comments, these are displayed in the
same basic typeface as that used for the main text, but in italics for emphasis. In contrast,
where the instructions concern an alternative wording of a clause of the model draft
documents or new clauses which can be added to the text if the Procurement Team
considers this to be advisable, these alternative wordings or new clauses are displayed in the
same typeface as that used for the main text, so that they can be used directly without the
need for further formatting.
Several of the notes or alternative wordings concern variations of the arrangements, which
result from the Law or the Regulations when the contract is entered into in the Water,
Energy, Transport or Postal Services Sectors, or when different Contracting Authorities are
involved (Government Services, Organisations governed by Public Law, Municipalities,
Cyprus Port Authority, Electricity Authority of Cyprus, Water Boards etc.).
Every Contracting Authority, according to its legal status or sector of activity, is advised to
adapt once the model draft documents with respect to the specific notes or alternative
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wordings, so that the documents correspond the specific arrangements applicable in each
case. It is obvious that all other instructions should be kept in the model draft documents and
should be consulted by the authors of the tender documents in each relevant tender
procedure.
Part : Instructions to Economic Operators differs very little between the various types of
contracts, with the differences concerning mainly the eligibility for participation, the contents
of the tenders and the method of their technical evaluation. In all other respects, this
document does not change and retains the same organisation of its contents.
The Procurement Team members should study the model draft document and adapt it
according to the requirements of the Contracting Authority. The adaptations consist in the
following:
Completion, using actual data and information, of the items which in the model
document are stated generically (e.g. <name of Contracting Authority>, <closing
date for the submission of tenders>, <project budget>, <postal address> etc.).
Selection of the alternative wording suitable in each case, when alternatives are
provided.
Removal from the text of the frames containing instructions.
Part : Agreement and Special Conditions of Contract differs perceptibly between the
various types of contracts, both in the text and in the organisation of its contents.
Other than the adaptations mentioned above (for Part A of the model draft documents), the
Procurement Team members should examine particularly the potential need to omit, or make
additions to, the last article, entitled Other Arrangements.
This article should exist only in cases where the particularities of a specific contract
necessitate the modification or omission of one or more of the clauses of Annex I. General
Conditions of Contract.
Annex . General Conditions of Contract differs significantly between the various types of
contracts.
This model draft document contains only a limited number of instruction frames, which
concern exclusively differences due to special arrangements that result from the Law or the
Regulations for different Contracting Authorities.
The authors of the tender documents should not make changes to the model draft text of the
General Conditions of Contract. They should however study it, to confirm the validity of its
contents in relation to the particularities of the specific contract. In the event that a clause
must be modified, omitted or added, this should be done by a special reference to be added
to the last article, entitled Other Arrangements, of Part B of the tender documents.
Annex . Terms of Reference Technical Specifications is essentially a guide which the
Contracting Authorities can use to map their requirements correctly, thus helping economic
operators understand the environment and scope of the project and offer the most
appropriate solutions.
In order to be in a position to prepare correctly this Annex, the Procurement Team must
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study the relevant guidelines given in paragraphs 3.2.2.1 (Preparing the Terms of Reference)
and 3.2.2.2 (Preparing the Technical Specifications).
Dealing with special cases
The model draft tender documents cover the majority of cases of public service contracts and
public supply contracts.
It is however possible to have cases of contracts which involve a combination of supplies and
services: for these contracts, the applicable provisions under the Community law as well as
under the law of the Republic of Cyprus provide that they are designated as contracts under
one of the two categories, depending on the estimated value of the supplies and services
which they involve.
In these cases, the authors of the tender documents may be required to study the model
draft tender documents for both categories of contracts and synthesise them, choosing as
basic text the one that corresponds to the most important component of the project scope.
This basic text should then be enhanced with the inclusion of clauses which the authors of
the tender documents will consider necessary from the respective model draft document of
the other category.
A typical example of application of this procedure is the model Annex I. General Conditions
of Contract for the supply and maintenance of IT equipment, contained in Annex 3-4 to the
present Chapter.
This Annex refers to a contract concerning the development of an information system, and
contains all individual activities for the supply of products or the provision of services which
form an integrated information system and are, as a rule, necessary for its implementation.
This Annex may be used without changes also in the case of IT contracts which do not
include all the aforementioned activities. In this case, the Contracting Authority is obliged to
indicate, in the article entitled Other Arrangements of the Special Conditions of Contract
(Part B of the Tender Documents), which of the articles of the Annex do not apply or are
modified.
Check and final approval of tender documents
After the Procurement Team, using the model draft documents, completes the preparation of
the tender documents, it shall deliver them to the Head of the Contracting Authority for
approval by him or through some other predetermined procedure.
Before approval and publication of the tender documents, a final check is
recommended to be conducted for verifying the compatibility of the tender documents
with the legislative framework in force. To conduct this final check, use of the Checklist given
in Annex 3-12 Template of the Checklist for Verifying the Compatibility of Tender
Documents with the Legislative Framework on Public Procurement.
3.2.5 The case of the consultation stage (technical dialogue)
Consultation (technical dialogue) is defined as the procedure in which the
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Contracting Authority seeks and accepts advice on the contents of all or part of the Tender
Documents for the tender procedure which it intends to announce, provided that such advice
does not have the effect of precluding competition.
The technical dialogue, where selected as necessary by the Contracting Authority, is
conducted after the second step of the preparation and announcement of the tender
procedure, which involves the preparation of the tender documents.
The technical dialogue is used selectively by the Contracting Authority in the case of
public supply contracts, public service contracts or public works contracts with one or
more of the following characteristics:
1. They involve innovative specifications or terms of execution.
2. Are particularly complex and complicated in terms of their scope, leading to
uncertainty as to whether the requirements of the Contracting Authority can be
established at the necessary level of detail and with the necessary clarity.
3. The Contracting Authority has limited experience in the preparation of the required
tender documents, and use of the services of an outside support Consultant is not
possible:
Either because of time constraints regarding the conclusion of the contract,
Or because of inability to invest the resources required in this case.
4. It is not possible to establish a relation between the market conditions and the
business and functional requirements of the contract, thus raising doubts as to the
response of the economic operators and the submission of appropriate tenders.
The conduct of the Technical Dialogue may be decided:
Either during the project inception stage, if the Contracting Authority considers from
the outset that the characteristics of the contract justify the Technical Dialogue,
Or after the determination of the business and functional requirements of the contract
and/or the detailed determination of its scope, if the Technical Dialogue is considered
advisable at this stage,
Or after completion of the preparation of the tender documents by the Procurement
Team established by the Contracting Authority for this purpose, provided that the
Team recommends the Technical Dialogue and the Contracting Authority agrees as
to its advisability.
To check the advisability of conducting a Technical Dialogue and decide on it, the
Contracting Authority should always consider the advantages and disadvantages of
this particular procedure, which are summarised in the table below:

ADVANTAGES
Ensured correctness and completeness
of the Tender Documents.
Maturity of the market for the submission
DISADVANTAGES
Delays in the commencement of the
tender procedure.
Possible misuse of the procedure by
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Notification
of attractive tenders in the tender
procedure
Reduced likelihood of appeals against
the contents of the Tender Documents.
Confirmation of the markets capacity to
respond to the tender procedure.
economic operators who may seek the
modification of terms or specifications
for their own ulterior purposes.
Table 3-16: Advantages and disadvantages of conducting a Technical Dialogue
Time of conduct and duration of the Technical Dialogue
Regardless of the specific point in time when the Contracting Authority decides to use the
Technical Dialogue, its conduct takes place after the completion of the preparation of the
tender documents by the Procurement Team and their delivery to the Head of the competent
Department of the Contracting Authority for approval.
The Contracting Authority must decide the duration of the Technical Dialogue on a case by
case basis, based on the specific information and on the complexity of the project to be put
out to tender, on the one hand, and on the possible time constraints regarding the conduct of
the tender procedure, on the other.
To specify the duration of the Technical Dialogue, the Contracting Authority should
take into account:
The need for the economic operators to study the tender documents, so that their
participation in the procedure can be substantial, to the benefit of Contracting
Authority and of the project to be put out to tender.
The need for the Procurement Team to study the remarks to be submitted in the
context of the Technical Dialogue.
Conduct of the Technical Dialogue
The procedure for conducting the Technical Dialogue involves four distinct steps:

Notification
Receipt of
remarks/
comments
Open meeting
Completion of
Technical
Dialogue

Figure 3-10: Steps of the Technical Dialogue
It should be noted that the step of the open meeting can be omitted, if the Contracting
Authority considers it preferable not to have any direct contact with the interested
economic operators.
The four individual steps of the Technical Dialogue are analysed in the following:
During this step, the Contracting Authority notifies to the interested
economic operators its intention to hold a public Consultation
(Technical Dialogue) on the tender documents, and invites them to
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participate.
The notification-invitation is produced in one or more of the following ways:
By publication on the Website of the Contracting Authority (if such a Website exists).
By publication in the daily Press.
By sending the invitation to Chambers or associations of undertakings or
professionals active in areas related to the subject area of the tender procedure.
The contents of the notification-invitation must be clear and must include at least the
following information, in a standardised form (if possible) or in the form of table:

1. Identity of the Contracting Authority.
2. Summary scope and objective(s) of the project to be put out to tender.
3. Objectives of the Technical Dialogue (may include a general reference to the more
complete preparation of the tender procedure and to the timely provision of information
to the interested parties, but also specific references to individual tender procedure
elements which the Contracting Authority intends to finalise through the Technical
Dialogue, e.g. the feasibility of the foreseen project implementation time).
4. Location for the collection, by interested parties, of the tender documents on which the
consultation is to be held.
5. Place and deadline for submission to the Contracting Authority of the written remarks
or comments on the tender documents, as well as of the intention of the interested
party to participate in the open meeting.
6. Time and place where the open meeting will be held.
7. Method of collection of the Technical Dialogue results by the interested parties.
Table 3-17: Contents of notice invitation to Technical Dialogue
The notification-invitation must also inform explicitly the interested parties that the
submission of remarks or comments orally is not allowed and that, if they are to
participate in the open meeting, they shall be allowed to present themselves their remarks or
comments in detail, provided that they have previously submitted them in writing to the
Contracting Authority.
It is obvious that in notifying the Technical Dialogue, the Contracting Authority must have
already available the part of the tender documents on which it intends to hold a consultation.
In what in particular regards publication of the Technical Dialogue on the Website of the
Contracting Authority, a relevant link must be provided, through which the interested parties
may access directly the relevant texts and print them.
If the Contracting Authority considers it advisable, interested parties may be requested to
complete a questionnaire, which the Contracting Authority shall have already prepared and
shall deliver to the interested parties together with the tender documents. This questionnaire
may request the interested natural or legal persons to provide their personal data and a brief
description of their professional activities, while the Contracting Authority may impose a
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Receipt of
remarks/
comments
requirement for completion of the questionnaire, if the corresponding interested party wishes
to present its remarks during the open meeting.
The Technical Dialogue concerns a part of the Tender Documents and not their
entirety. It is obvious that, for example, the General Conditions of Contract or the
Instructions to Economic Operators (in what concerns the descriptions given in these
documents of the procedure, as this is provided for by the laws, and not any specific
requirements for participation) are not negotiated. By the same logic, in every tender
procedure there may be terms or specifications on which the Contracting Authority does not
wish nor intends to hold a consultation.
Therefore, for the purposes of the Technical Dialogue, the Contracting Authority
should make available to the interested parties that part of the tender documents
about which it has reservations concerning:
Either the correctness and completeness of the terms and specifications that it
contains,
Or the degree to which the terms and specifications can be understood by the
interested parties,
Or the degree to which the market can respond to the specific terms and
specifications.
It is understood that the tender documents may be made available in their entirety, with
indication of those parts, chapters or annexes which are not included in the scope of the
consultation.
During this step, the Contracting Authority receives the written
remarks, questions or comments and/or the completed
questionnaires of the economic operators who responded to the
Invitation.
The Head of the competent Department of the Contracting Authority delivers the written
remarks, questions or comments to the Procurement Team, which undertakes to examine
them and synthesise them into a single text. In parallel, the Head of the competent
Department of the Contracting Authority assigns to one of the Procurement Team members
or to another senior employee of the Department of the Contracting Authority who knows the
scope of the tender to be announced, or undertakes himself, to coordinate and represent the
Contracting Authority in the next steps of the Technical Dialogue procedure.
To classify the remarks, the use of tables of the form given below is recommended:

GENERAL REMARKS/ COMMENTS
1

2

3

etc.

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Open
meeting
Note: The Table entitled General Remarks/comments is used for noting any remarks/ comments
which do not refer to specific points of the terms or specifications but represent comments (positive or
negative) made on the tender documents. It is also used for noting any remarks which refer to
questions of principle or indicate conflicts in various places in the texts and, in general, all remarks or
comments which cannot be included in the Table entitled Specific Remarks.

SPECIFIC REMARKS/ COMMENTS
REFERENCE TEXT REFERENCE
PARAGRAPH
R E M A R K S/ COMMENTS
e.g. TERMS OF REFERENCE e.g. 2.3.1







For entering the relevant information in the tables, it is not necessary to indicate the
economic operators who submitted comments/remarks and the specific remarks
submitted by each one of them (indeed, this is recommended to be avoided).
Gathering and classifying the remarks submitted by the interested economic
operators at this stage of the procedure will allow the Procurement Team and any
other employees who, in the opinion of the Head of the competent Department of the
Contracting Authority, should attend the open meeting to be held on the Technical Dialogue
is, advisable, to better prepare for the discussion to be held in that meeting.
In addition, it will allow the Procurement Team to examine the substance of the remarks,
understand them and then express its opinion about the possibility and/or need to accept
them, so that the corresponding points in the tender documents to which these refer may be
formulated/ modified accordingly.
The open meeting for the purposes of the Technical Dialogue will be
held at the location and at the date announced by the Contracting
Authority in the Invitation.
The Tables containing the classified General and Special Remarks, which the Procurement
Team has prepared, must be distributed to the attending representatives of the interested
economic operators.
At the beginning of the open meeting, the representative of the Contracting Authority shall
present the project to be put out to tender (on which the consultation is held).
During the presentation, it is advisable to refer in detail to the scope and objectives of
the project, and to its specific requirements and key parameters (e.g. budget, foreseen
implementation schedule). It is also advisable to present in brief the remarks/comments
submitted in writing by the economic operators, mentioning specifically any
remarks/comments which are contradictory or conflicting.
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Completion of
Technical
Dialogue
The possibility of attempts to use the Technical Dialogue for ulterior purposes cannot
be ruled out (e.g. a specific economic operator suggesting the correction or
modification of the specifications, with the aim of ensuring that these specifications
agree with products or services marketed by that operator). The specific reference to
contradictory or conflicting remarks during the open meeting shall prevent the attending
representatives of the interested economic operators from presenting any such remarks,
even if they have already submitted them in writing.
The representative of the Contracting Authority must then invite the interested economic
operators who wish to do so (and who had stated this wish by completing the relevant
questionnaire, if the Contracting Authority had set this as a requirement), to present their
general and specific remarks, which they must have previously submitted to the Contracting
Authority within the specified time limit.
During the discussion and exchange of views which shall follow, the representatives of
the Contracting Authority must make every effort possible to:
Prevent the discussion from expanding to issues other than those submitted in
writing to the Contracting Authority.
Avoid committing themselves regarding the modification of the tender documents
according to the remarks/ comments made, with the exception of any remarks which
the Contracting Authority has already decided to accept prior to holding the open
meeting.
During this step, and in order for the procedure to be completed, the
Procurement Team must establish a detailed record of its
conclusions and recommend to the Head of the competent
Department of the Contracting Authority any required
formulations/modifications of the points in the Tender Document, on the basis of the results
of the Technical Dialogue.
The Contracting Authority also notifies the results of the Technical Dialogue to the interested
economic operators.
Notification of the results takes place by one or more, or by all, of the following ways:
By publication on the Website of the Contracting Authority (if such a Website exists).
By sending the results to the Chambers or associations of undertakings or
professionals active in areas related to the subject area of the tender procedure, to
which the relevant invitation to participate in the Technical Dialogue had been
dispatched.
By sending the results to each one of the economic operators who submitted
remarks or comments.
The contents of the notification of the results must include the following:
The tables with the classified General and Specific remarks which the Procurement
Team has prepared based on the remarks submitted in writing by the economic
operators.
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The general conclusions of the Contracting Authority regarding the degree to which
the objectives of the Technical Dialogue have been achieved (reference should be
made to the number of economic operators who responded to the invitation to
participate in the Technical Dialogue, as well as in broad terms to the added value
contributed by the Technical Dialogue to the procedure of preparation of the tender
documents).
Notification of the specific points of the tender documents which the Contracting Authority
intends to modify after the completion of the Technical Dialogue is not required (without
being ruled out), given that the completion of the Technical Dialogue is followed immediately
by the publication of the contract notice and of the final tender documents, which the
interested parties shall collect officially from the Contracting Authority in order to submit their
tenders.
After the approval of the modified-improved tender documents by the body binding the
Contracting Authority pursuant to its regulation, the Contracting Authority may proceed to
publish the contract notice and conduct the respective tender procedure.
3.3 ADVERTISING
The advertising obligations of Contracting Authorities for the award of a public contract
include the publication of the following:
Prior information notice (optional),
Contract notice (mandatory), and
Contract award notice (mandatory is presented in Chapter 4 of the Guide).
These advertising obligations, as described in the following paragraphs (and in Chapter, 4
regarding the contract award notice), apply only to contracts whose estimated value is above
the thresholds of article 19 of Law 12()/2006.
For contracts whose estimated value is below the thresholds of article 19 but above those of
article 84.1(c) of Law 12()/2006, the only advertising obligation concerns the publication of a
contract notice in the Official Gazette of the Republic of Cyprus (and optionally also in the
national Press), which should be drawn in accordance with the template given in Annex X to
Law 12()/2006.
For contracts whose estimated value is below the thresholds of article 84.1(c) of Law
12()/2006 (simplified procedures), Contracting Authorities have no advertising obligation.
The advertising obligations of Contracting Entities (Law 11()/2006) in the context of the
award of a public contract, include the publication of the following;
Periodic indicative notice (optional),
Notice of the existence of a qualification system (optional),
Contract notice (optional publication of this or one of the above notices is
mandatory for launching the tender procedure), and
Contract award notice (mandatory is presented in Chapter 4 of the Guide).
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These advertising obligations, as described in the following paragraphs (and in Chapter, 4
regarding the contract award notice), apply only to contracts whose estimated value is above
the thresholds of article 15 of Law 11()/2006.
3.3.1 Publication of prior information notice
In order for the Contracting Authorities to increase their chances of achieving
enhanced conditions of competition through the participation of more interested
economic operators in the tender procedures which they intend to conduct (over the following
12 months) for awarding supplies, service, or works contracts, publication of a Prior
Information Notice is recommended.
The prior information notice may be published either by the Contracting Authority itself
through the Internet on its buyer profile, or by dispatching it to the Office for Official
Publications of the European Communities. Publication of the prior information notice in the
Office for Official Publications of the European Communities takes place, as in all other
cases of publication of a contract notice in the Official Journal of the European Union, using
standardised forms which are available from the official Website of the EU
(http://simap.eu.int).
For public service contracts and public supplies contracts, the prior information notice should
be dispatched for publication as soon as possible after the financial year commences. For
public works contracts, the prior information notice should be published as soon as possible
after the approval of the programme in which these contracts are included.
The prior information notices cannot be published on the buyer profile before the
dispatch to the Commission of the notice announcing their publication in that form.
The information which must be contained in the prior information notice is detailed in Annex
VI of Law 12(1)/2006.
It is stressed that publication of a prior information notice is not mandatory for the
Contracting Authorities, unless they wish to use the right to the reduced time limits for
the receipt of tenders for the tender procedures which they shall conduct, and provided that
the total estimated value of the contracts which they foresee that they shall award within the
year is equal to or higher than the thresholds specified by Law 12(I)/2006 (Article 38,
paragraph 1, items a, b and c).
It should be noted that the publication of a prior information notice does not bind the
Contracting Authority to conduct a tender procedure for awarding the contracts stated in the
notice, while it is understood that submission by economic operators of requests to
participate or tenders is not expected at this stage.
3.3.2 Publication of periodic indicative notice (Law 11()/2006)
The obligations for the publication of a periodic indicative notice by Contracting Entities are
correspond to those mentioned above for the publication of a prior information notice by
Contracting Authorities. The information which must be contained in the periodic indicative
notice is detailed in Annex VIA of Law 11(1)/2006.
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It should be noted that the publication of a periodic indicative notice may be used by the
Contracting Entities for launching the tender procedure, i.e. without requirement for
publication of a contract notice. If the Contracting Entities choose to use the option of
commencing the tender procedure through the periodic indicative notice, then this should:
State specifically the works, supplies or services which form the scope of the contract
to be awarded,
State the selected award procedure (restricted or negotiated),
Invite economic operators to express their interest in writing,
Be published twelve months at the latest before the date of dispatch of an invitation to
all candidates who expressed their interest after publication of the periodic indicative
notice, to confirm their interest so that the selection of those to be invited to tender
may start.
3.3.3 Creation of buyer profile
As mentioned in paragraph 3.3.1 above, prior information notices are published either in the
OJEU or on the buyer profile on the Website of the Contracting Authority.
Other than in connection with the publication of prior information notices, the Contracting
Authorities can also use the buyer profile as a means for publishing any other information
regarding the planning and progress of the procedures for the award of public contacts. The
Figure below presents a summary outline of the indicative buyer profile which a Contracting
Authority can develop:
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BUYER PROFILE
Data of the
Contracting Authority
Procedures for the award
of public contracts
Contract Notices of the
Contracting Authority
Contracts of the
Contracting Authority
Links to other related
Webpages
Area for candidate
Contractors
FAQs
Address of Contracting
Authority (CA)
Departments responsible for
contracts
Contact persons
Contact information
General principles followed
by the CA for the award of
public contracts
Procedure flowchart with
reference to competent
departments / contact persons
Legislative framework
(National-EU)
General principles and
procedures for selection /
evaluation of candidate
Contractors
Prior Information Notices /
Periodic Indicative Notices /
Notices of the existence of a
qualification system
Active contract notices and
Tender Documents
Previous notices
Tender procedures in
progress
Expected notices
Additional information /
clarifications / answers to
questions regarding tender
procedures in progress
Signed contracts
Lit of Contractors
Cancelled tender
procedures
Registers of candidate
Contractors (qualification
system)
Link to buyer profile of
other CAs
Link to OJEU
Link to webpages of
Authorities responsible for
monitoring public
procurement (e.g. Treasury
of the Republic of Cyprus,
Public Procurement
Directorate)
Registration of users
(interested economic
operators) in the system
Provision of information to
Tenderers regarding the
procedure of evaluation of
Tenders
Submission of clarification
questions by Tenderers
FAQs (general) and
answers regarding public
procurement
BUYER PROFILE
Data of the
Contracting Authority
Procedures for the award
of public contracts
Contract Notices of the
Contracting Authority
Contracts of the
Contracting Authority
Links to other related
Webpages
Area for candidate
Contractors
FAQs
Address of Contracting
Authority (CA)
Departments responsible for
contracts
Contact persons
Contact information
General principles followed
by the CA for the award of
public contracts
Procedure flowchart with
reference to competent
departments / contact persons
Legislative framework
(National-EU)
General principles and
procedures for selection /
evaluation of candidate
Contractors
Prior Information Notices /
Periodic Indicative Notices /
Notices of the existence of a
qualification system
Active contract notices and
Tender Documents
Previous notices
Tender procedures in
progress
Expected notices
Additional information /
clarifications / answers to
questions regarding tender
procedures in progress
Signed contracts
Lit of Contractors
Cancelled tender
procedures
Registers of candidate
Contractors (qualification
system)
Link to buyer profile of
other CAs
Link to OJEU
Link to webpages of
Authorities responsible for
monitoring public
procurement (e.g. Treasury
of the Republic of Cyprus,
Public Procurement
Directorate)
Registration of users
(interested economic
operators) in the system
Provision of information to
Tenderers regarding the
procedure of evaluation of
Tenders
Submission of clarification
questions by Tenderers
FAQs (general) and
answers regarding public
procurement

Figure 3-11: Indicative contents of Buyer Profile

3.3.4 Publication of notice of the existence of a qualification system
(Law 11()/2006)
The option to institute and manage a system for the qualification of the economic
operators is available only to Contracting Entities (not to Contracting Authorities). The
publication of a notice of the existence of a qualification system can be used by Contracting
Entities to launch the tender procedure (or the tender procedures to be conducted within the
framework of the qualification system of the notice), i.e. without requirement for publication of
a contract notice. The information which must be contained in the notice of the existence of a
qualification system are detailed in Annex V of Law 11(1)/2006.
Where the Contracting Entities choose to award a contract (or a series of contracts) through
a qualification system, then, after publication of the notice of the system they should maintain
a register of the economic operators who have been qualified (based on the procedures
foreseen in the notice of existence of the qualification system). This register may distinguish
between categories, depending on the types of contracts for which the qualification applies.
The qualification of economic operators must be based on objective qualification criteria and
rules, which are laid down by the Contracting Entity and are stated in the notice of the
system. The qualification criteria and rules may include exclusion criteria (article 51 of Law
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12()/2006) and requirements concerning the economic and financial standing or the
technical and professional ability of the economic operators.
The tenderers to participate in a tender procedure conducted through publication of a
notice of the existence of a qualification system, must be selected from the
candidates who have been qualified on the basis of this system.
When the duration of the qualification system is more than three years, the notice must be
published annually, whereas when the duration is less, the initial notice suffices.
The qualification system should allow economic operators to submit a request for
qualification at any point in time.
3.3.5 Publication of contract notice
Contracting Authorities wishing to award a public contract (regardless of the specific
tender procedure chosen: open, restricted, negotiated with publication of contract
notice, or competitive dialogue), are obliged to publish a contract notice in the Official
Journal of the European Union (OJEU).
For publishing a contract notice, the Contracting Authorities should take into account:
Certain basic rules for preparing and dispatching the notice and, primarily
The fact that the time limits which they should set for the receipt of requests to
participate and the receipt of tenders apply from the date of dispatch of the contract
notice.
Basic rules for preparing and dispatching a contract notice
The texts of contract notices are completed and sent to the Office for Official Publications of
the EU either by electronic means (using electronic forms) or by other means (dispatch of the
notice by post, facsimile or electronic mail). The form and details concerning the transmission
of notices by electronic means are available from the following internet address:
http://simap.eu.int.
The Contracting Authorities must in all cases be able to prove the date of dispatch of
the notices, by means of the relevant certificate supplied by the Commission to
Contracting Authority.
In what regards the completion of the standardised forms dispatched for publication to
the OJEU (without using electronic means), the size of the texts supplied by the
Contracting Authorities is not allowed to exceed a maximum of around 650 words (in addition
to the words of the basic structure of the standardised form).
It is pointed out that the Contracting Authority is obliged to follow the progress of the notice
which it has dispatched for publication in the OJEU, in order to identify promptly potential
alterations or omissions in its publication, and act as necessary in order to ensure that
corrections additions are made to the notice or, possibly, that the notice is cancelled. The
Contracting Authority must therefore check carefully the notices of all types as these are
finally published, either by accessing the relevant OJEU Website (http://ted.eur-op.eu.int/), or
by comparing the draft notice sent for publication against the copy of the published notice
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contained in the CD-ROM sent by the Office for Official Publications to every Contracting
Authority.
If a Contracting Authority wishes to modify, correct or cancel a notice sent for publication to
the Office for Official Publications, no relevant templates are available. In this case, the
Contracting Authority sends to the office responsible for the production of Supplement S to
the OJEU a communication to this effect, which must state the following information in
connection with the notice which the Contracting Authority wishes to modify/correct or
cancel:
Name of the Contracting Authority.
Date of dispatch of the initial notice to the Office for Official Publications and all
relevant internal references.
Details of the publication in Supplement S of the Official Journal of the EU (date of
publication, document reference).
The details of the modification/correction of the notice or an unambiguous request for
its cancellation.
The Contracting Authorities must also publish the notices in the Government Gazette
of the Republic of Cyprus, and may also publish them in the national Press (political
and financial newspaper).
Publication of notices in the Government Gazette of the Republic of Cyprus and in the
national Press before their date of dispatch for publication to the Commission is not
allowed.
The publication of notices at the national level is recommended to take place as soon
as possible and preferably on the next day following their dispatch for publication in
the OJEU.
The notices which are published in the Government Gazette of the Republic of Cyprus
and in the national Press must not include any information other than which is
contained in the notices sent to the Commission, i.e. they should not contain information
which is more, less or different information than the information published in the OJEU.
For national publications, the use and adaptation of the standardised form used for
publication of the notice in the OJEU is recommended.
In cases where notices are modified, corrected or cancelled, the relevant changes should
also be notified nationally, in the newspapers in which the initial publication was made, and
should also be sent to the recipients of the tender documents.
Time limits for the receipt of requests to participate and for the receipt of tenders (Law
12()/2006)
The date of dispatch of the contract notice is an important milestone in the procedure for the
award of a public contract, as it serves as the starting point for calculating the time limits for
the receipt of the requests to participate (restricted procedure, negotiated procedure, and
competitive dialogue) and for the receipt of the tenders (all tender procedures).
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To determine the time limits, the Contracting Authorities should take into account the
complexity of the contract and the time required for the preparation of tenders, and, of
course, the time limits. In other words, the Contracting Authorities are not allowed to
set in the tender documents any time limits which are shorter than those stated by the Law
(minimum time limits); they are however free, where they consider this to be necessary, to
set longer time limits so as to give to the interested economic operators the necessary time
in which to plan and present their technical solutions.
In what regards the calculation of the time limits specified in article 43 of Law
12()/2006, Regulation 1182/71/EEC of the Council (L124 of 8-6-1971) applies,
pursuant to which:
All time limits start from the date of dispatch of the notice to the OJEU.
The number of days given in connection with the time limits should refer to full days
between the dispatch of the notice and the conduct of the tender procedure (e.g. for
the time limit of 52 days, the first day is the day after the dispatch and the last day is
the day before the date set for the conduct of the tender procedure).
If the last day is a public holiday, a Saturday or a Sunday, the time limit shall expire
upon the lapse of the last hour of the next working day.
Every time limit must include at least two working days.
The Figure below shows the minimum time limits for the receipt of requests to participate and
for the receipt of tenders, as defined in article 43 of Law 12()/2006 and applicable to
contracts with an estimated value above the thresholds of article 19 of Law 12()/2006.

Open procedure
Restricted procedure, negotiated procedure
(with publication of contract notice), competitive
dialogue
Date of dispatch
of contract notice
Closing date for the
submission of tenders
52 days (a)
Date of dispatch
of contract notice
Closing date for the
submission of requests to
participate
37 days (b)
Date of dispatch
of invitation to tender
Closing date for the
submission of tenders
40 days (c)
Open procedure
Restricted procedure, negotiated procedure
(with publication of contract notice), competitive
dialogue
Date of dispatch
of contract notice
Closing date for the
submission of tenders
52 days (a)
Date of dispatch
of contract notice
Closing date for the
submission of requests to
participate
37 days (b)
Date of dispatch
of invitation to tender
Closing date for the
submission of tenders
40 days (c)

Figure 3-12: Minimum time limits for the receipt of requests to participate and for the receipt of
tenders, for contracts with a value above the thresholds of article 19 of Law 12()/2006
The above minimum time limits may, under specific conditions defined in Law 12()/2006, be
shortened.
The Figure below shows these conditions and the corresponding reductions of the minimum
time limits.

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When a prior information notice has
been published
Time limits (a) and (c) may be
shortened to 36 days
Where notices are drawn up and
transmitted by electronic means
Time limits (a) and (b) may be
reduced by 7 days
Where the Contracting Authority
offers unrestriced and full direct
access by electronic means to the
tender documents from the date of
publication of the notice
Time limits (a) and (c) may be
reduced by 5 days
When urgent reasons occur
Time limits (b) and (c) may be
shortened to 15 and 10 days
respectively
When a prior information notice has
been published
Time limits (a) and (c) may be
shortened to 36 days
Where notices are drawn up and
transmitted by electronic means
Time limits (a) and (b) may be
reduced by 7 days
Where the Contracting Authority
offers unrestriced and full direct
access by electronic means to the
tender documents from the date of
publication of the notice
Time limits (a) and (c) may be
reduced by 5 days
When urgent reasons occur
Time limits (b) and (c) may be
shortened to 15 and 10 days
respectively

Figure 3-13: Conditions for shortening the minimum time limits for the receipt of requests to
participate and for the receipt of tenders, for contracts with a value above the thresholds of
article 19 of Law 12()/2006
It should be noted that the reductions under the second and the third condition may be
applied cumulatively (i.e. the time limit may be shortened by a total of 7 + 5 = 12 days).
In addition, the first condition may allow the minimum time limit for the receipt of tenders to
be reduced by up to 22 days, provided that the prior information notice contains all the
information required for the contract notice and was sent for publication between a minimum
of 52 days and a maximum of 12 months from the date on which the contract notice was
sent.
For contracts with an estimated value below the thresholds of article 19 but above those of
article 84.1(c) of Law 12()/2006, the minimum time limits for the receipt of requests to
participate and for the receipt of tenders are shown in the Figure below:

Open procedure
Restricted procedure
Date of publication of the
notice in the Official Gazette
of the Government
Closing date for the
submission of tenders
14 days
Date of publication of the
notice in the Official Gazette
of the Government
Closing date for the
submission of requests to
participate
10 days
Date of dispatch of the
invitation to tender
Closing date for the
submission of tenders
14 days
Open procedure
Restricted procedure
Date of publication of the
notice in the Official Gazette
of the Government
Closing date for the
submission of tenders
14 days
Date of publication of the
notice in the Official Gazette
of the Government
Closing date for the
submission of requests to
participate
10 days
Date of dispatch of the
invitation to tender
Closing date for the
submission of tenders
14 days

Figure 3-14: Minimum time limits for the receipt of requests to participate and for the receipt of
tenders, for contracts with a value between the thresholds of articles 19 and 84.1(c) of Law
12()/2006
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Time limits for the receipt of requests to participate and for the receipt of tenders (Law
11()/2006)
The time limits for the receipt of requests to participate and for the receipt of tenders
conducted by Contracting Entities (Law 11(I)/2006) are similar to those mentioned above.
The differences refer to the number of days of the minimum time limits, shown in the Figure
below. The number of days in brackets represents the minimum time limit which may result
from the cumulative application of possible reductions.

Open procedure
Restricted procedure, negotiated procedure
Date of dispatch
of contract notice
Closing date for the
submission of tenders
52 (15) days (a)
Date of dispatch
of contract notice
Closing date for the
submission of requests to
participate
37 (15) days (b)
Date of dispatch of the
invitation to tender
Closing date for the
submission of tenders
24 (10) days (c)
Open procedure
Restricted procedure, negotiated procedure
Date of dispatch
of contract notice
Closing date for the
submission of tenders
52 (15) days (a)
Date of dispatch
of contract notice
Closing date for the
submission of requests to
participate
37 (15) days (b)
Date of dispatch of the
invitation to tender
Closing date for the
submission of tenders
24 (10) days (c)

Figure 3-15: Minimum time limits for the receipt of requests to participate and for the receipt of
tenders for contracts with a value above the thresholds of article 15 of Law 11(I)/2006
The above minimum time limits may, under specific conditions defined in Law 11()/2006, be
shortened.
The Figure below shows these conditions and the corresponding reductions of the minimum
time limits.

When a prior information notice has
been published
Time limit (a) may be reduced
from 52 to 36 days
Where notices are drawn up and
transmitted by electronic means
Time limits (a) and (b) may be
reduced by 7 days
Where the Contracting Entity offers
unrestriced and full direct access by
electronic means to the tender
documents from the date of
publication of the notice
Time limits (a) and (c) may be
reduced by 5 days
In the case of an agreement between
the Contracting Entity and the
qualified candidates
Time limit (c) may be specified
When a prior information notice has
been published
Time limit (a) may be reduced
from 52 to 36 days
Where notices are drawn up and
transmitted by electronic means
Time limits (a) and (b) may be
reduced by 7 days
Where the Contracting Entity offers
unrestriced and full direct access by
electronic means to the tender
documents from the date of
publication of the notice
Time limits (a) and (c) may be
reduced by 5 days
In the case of an agreement between
the Contracting Entity and the
qualified candidates
Time limit (c) may be specified

Figure 3-16: Conditions for shortening the minimum time limits for the receipt of requests to
participate and for the receipt of tenders, for contracts with a value above the thresholds of
article 15 of Law 12()/2006
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In addition, the first condition may allow the minimum time limit for the receipt of tenders to
be reduced by up to 22 days, provided that the periodic indicative notice contains all the
information required for the contract notice and was sent for publication between a minimum
of 52 days and a maximum of 12 months from the date on which the contract notice was
sent.
It should be noted that the reductions under the first, second and third conditions may be
applied cumulatively, provided that the time limit which results in this way shall not be less
than the number of days given in brackets in Figure 3-12 (e.g. the time limit (a) for the
submission of tenders in the open procedure may be shortened from 52 to 24 days).
3.4 PROVISION OF THE TENDER DOCUMENTS
3.4.1 Dispatch and delivery of the tender documents
In the case of tender procedures conducted in accordance with the open procedure, the
complete set of tender documents is delivered to the interested economic operators either at
the place specified by the Contracting Authority (usually its headquarters), the address for
which must be given in the respective published notice, or electronically, through the
Contracting Authoritys Website, the address for which must also be given in the notice.
Where the Contracting Authority do not offer unrestricted and full direct access by
electronic means to the tender documents and to the supplementary documents, then
these should be sent by the Contracting Authority to the interested economic operators within
six (6) days from the receipt of a relevant request to participate.
It is recommended that Contracting Authorities keep, during the period of provision of
the tender documents, a list with the contact details of the economic operators who
have obtained the tender documents (in one of the above-mentioned ways), in order to be
able to send any additional information concerning the tender documents to all economic
operators who have expressed their interest to participate by obtaining the tender
documents.
If the Contracting Authority has a Website on the World-wide Web which allows the tender
documents to be downloaded without user authentication, then it should clarify in the tender
documents that, in order to be able to send any additional information to an interested
economic operator who has obtained the tender documents through the Contracting
Authoritys Website, then the data (name, address, telephone and fax numbers, e-mail
address) of the economic operator should also be submitted.
The template for establishing a record of the contact details of interested economic
operators is given Annex 3-13 Template of the Tender Documents Receipt
Form.
The above also apply in what concerns the invitation to submit requests to participate, in the
case of the restricted procedure. In what concerns the tender documents, these are either
sent together with the invitation to tender to all prequalified economic operators, or, if they
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are available from the Website of the Contracting Authority, the method to be followed for
accessing them is stated in the invitation.
3.4.2 Charge for obtaining the tender documents
Contracting Authorities may impose a reasonable charge (selling price) for the tender
documents.
Whether or not economic operators shall be charged with a selling price for obtaining the
tender documents depends mainly on their reproduction cost, which in some cases (e.g.
supplementary documents containing maps, drawings etc.) may be high. In such cases, the
interested economic operators may be asked to pay a price which offsets these costs.
3.5 PROVISION OF CLARIFICATIONS AND ADDITIONAL
INFORMATION ON THE TENDER DOCUMENTS
The interested economic operators may submit to the Contracting Authority, by post,
facsimile or electronic mail, questions, recommendations, comments and/or remarks
concerning the terms of the tender document.
In this case, the Contracting Authority is obliged to notify all interested economic
operators of its relevant decisions, by way of supplementary documents to be also
sent by post, facsimile or electronic mail within six (6) days at the latest before the last date
for the submission of tenders. The interested economic operators to which the answers are
sent shall be taken to, mean for the Contracting Authority those who have received the
tender documents (in the case of the open procedure or in the case of the prequalification
stage of the restricted procedure) or the prequalified candidates (in the case of the contract
award stage of the restricted procedure).
In the case of open procedure or in the prequalification stage of the restricted
procedure, it is also recommended that the Contracting Authority also publishes its
decisions on its Website, if one exists, particularly so if the tender documents had been
published on it.
Although the Law does not specify a time limit for the submission of clarification
questions, it is recommended that such a time limit be set in the tender documents. In
order to determine this particular time limit, the Contracting Authority must estimate the time
to be required for the examination of the questions, recommendations, comments and/or
remarks and for the preparation of the respective answers, taking also into account the
degree of complexity or any particularities or original elements of the contract scope, the
technical specifications and the terms of reference for the project. In all cases, the date of
expiry of the time limit for the submission of questions, recommendations, comments and/or
remarks, and the time limit specified for sending the answers, should not be very far apart (a
period of 5 to 10 days before the date set for sending is recommended as reasonable such
time). As an exception, in the case of simple projects the Contracting Authority may not
specify a fixed time limit in connection with the exercise of the right for the submission of
clarification questions.
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The Contracting Authority may also on its own initiative, if it judges this to be necessary,
make additions, corrections or modifications of a small scale to the terms of the tender
documents. In this case, it is obliged to send these additions, corrections or modifications, by
post or facsimile or electronic mail, to all interested economic operators within six (6) days at
the latest before the last date for the submission of tenders, while it is also recommended
that the Contracting Authority publishes them on its Website, if one exists.
In the above cases of additions, corrections or modifications of a small scale (which
are considered minor in the sense discussed in the paragraph Limitations regarding
clarifications and additional information, given below) to the tender documents, the
Contracting Authority must not extend the time limit for the submission of tenders, as this
would result in the initial minor modification being followed by a second, substantial change.
A minor modification addition functions as a clarification to the interested economic
operators and does not affect the preparation of their tenders. Consequently, the Contracting
Authority is not obliged to extend the deadline for the submission of tenders, nor may it do
so.
The procedure of the open meeting
In the case of a complex project, where the clarifications or explanations or additional
information requested require the cooperation of several parties, the Contracting Authority
may provide in the tender documents for the procedure of an open meeting, attended on a
voluntary basis by all economic operators interested in participating in the tender procedure.
The open meeting:
Adds transparency to the procedure and prevents parties acting in bad faith (possibly
intentionally so) from disputing the validity and reliability of the tender procedure.
Enhances competition and leads interested economic operators to formulate their
questions more carefully, possibly reducing the tendency towards the submission of
questions or comments without substantial content.
Provides the competent officials of the Contracting Authority who will attend the
meeting with the opportunity to confirm the correctness and completeness of the
Tender Documents and obtain a first impression of the appeal of the tender
procedure to the market and the expected turnout of candidates.
If the Contracting Authority chooses to hold an open meeting, it should specify in the tender
documents the relevant key details, such as the place, date and time when the open meeting
shall be held. The time of the open meeting is specified by the Contracting Authority to fall
sometime between the date of expiry of the deadline for the submission of questions and the
date on which the answers to these questions must be sent (the 10
th
day before the last date
for the submission of tenders is proposed as a suitable such date).
After the open meeting has taken place, the Contracting Authority should ensure that the
Minutes of the meeting and its relevant decisions are sent to all the recipients of the tender
documents, within six (6) days at the latest before the last date for the submission of tenders.

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Limitations regarding clarifications and additional information
The procedure described above refers to, and addresses, only the cases of minor additions
or corrections to the tender documents, which may result either from an initiative of the
Contracting Authority or following the submission of questions, recommendations, comments
and/or remarks by the candidate economic operators.
In cases where, in the opinion of the Contracting Authority, the additions or
corrections which must be made are characterised to be substantial, then tender
documents must be formally corrected and a new time limit for the submission of tender,
equal to the one originally specified, must be set.
The Contracting Authority should complete and send for publication in the Official Journal of
the European Union the special form entitled Notice for additional information,
information on incomplete procedure or corrigendum, available from the Website of the EU
(http://simap.eu.int). In addition, the correction or modification of the tender documents
should be subject to the same advertising measures as those of the initial notice (publication
on the Website, publication in the same national newspapers and publication in the
Government Gazette of the Republic of Cyprus etc.). Finally, a best practice proposed is for
the modification addition to be sent to all economic operators who have received the tender
documents.
Therefore, in all cases where it is established that such an addition or modification is
required, the Contracting Authority must be able to weigh its significance and classify it as
substantial or minor.
It is understood that the distinction between substantial and minor differences should respect
the key principles of the Treaty and in particular the principles of transparency and of equal
treatment (not only of the candidates and tenderers but also of the potential candidates or
tenderers).
The safest (in terms of methodology) method for assessing whether a difference is
substantial or minor in nature, is for the Contracting Authority to examine the
likelihood of this difference affecting the decision of an economic operator about its
participation the tender procedure.
For example, differences concerning the description of the physical scope of the contract or
the eligibility for participation or the qualitative selection criteria or the legal form which a
consortium will be required to assume if it is awarded the contract, are obviously substantial
modifications.
The Contracting Authority does not have the right to choose to defer the closing date
for the submission of tenders in the case of substantial differences to the tender
documents of the original notice. Given that the modification addition is substantial, and
thus affects the decision/ability of certain economic operators to participate in the specific
tender procedure, these economic operators should also benefit from the same minimum
time limit for preparing and submitting their tenders, as the initial participants in the tender
procedure. Consequently, the principle of equal treatment necessitates in practice the
determination of a full new time limit for the submission of tenders, which shall be equal with
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PUBLIC PROCUREMENT BEST PRACTICE GUIDE Page 99 of 99
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Public Procurement Directorate
CHAPTER 3: PREPARATION AND ANNOUNCEMENT
OF TENDER PROCEDURE
1-01-2008


the one initially specified. This is in fact equivalent to conducting a new tender procedure,
which is essentially a correct repetition of the previous one.
Pursuant to Law 12()/2006 (article 43, par. 7) and Directive 2004/18/EC (article 38, par. 7),
the extension of the time limit for the submission of tenders is allowed only for the reasons
explicitly and restrictively stated in these paragraphs, specifically:
When site visits or on-the-spot inspections of documents supporting the tender
documents are foreseen to be made by the economic operators, in order to be able to
prepare their tenders.
When the Contracting Authority has not supplied within the specified time limits the
tender documents or its answers to submitted clarification questions, comments or
remarks (in the last case, such an extension is allowed in order for the time limit of six
(6) days between the final dispatch of the answers and the time limit for sending the
answers to continue to apply).
The only case where an extension of the time limit for the submission of tenders would be
allowed without the Contracting Authority making any modifications additions to the tender
documents, would be that imposed by the unwritten (however quite real) substantiating
reason of force majeure. In cases of force majeure (especially in cases of earthquake,
restriction of departure, declaration of the headquarters of the Contracting Authority in a state
of emergency due to particular natural phenomena, strike of the employees of the
Contracting Authority etc.), the Contracting Authority could extend the time limit for the
receipt of tenders, while in accordance with the principle of proportionality, this extension
should not exceed the absolutely necessary duration of the force majeure event.