What are the restrictions on the local authority during tendering?

Local Planning Authorities have several restrictions when it comes to tendering for construction projects. Some of the main restrictions include:

  • Procurement regulations: Local authorities are subject to the Public Contract Regulations (PCR) 2015, which dictate how they must conduct the tendering process. These regulations aim to ensure that the tendering process is fair, transparent, and non-discriminatory.
  • Financial constraints: Local authorities often have financial constraints that limit their ability to spend money on construction projects. This can impact the budget for the project and the scope of the project.
  • Political considerations: Local authorities must consider political considerations when tendering for construction projects. This can include public opinion and the views of local politicians.
  • Legal considerations: Local authorities must consider legal considerations when tendering for construction projects. This can include compliance with building codes, planning laws, and environmental regulations.
  • Transparency: Local authorities are required to be transparent during the tendering process, and must provide clear information about the selection criteria, the evaluation process, and the reasons for awarding the contract to a specific contractor.
  • EU procurement rules: Local authorities are subject to EU procurement rules, which dictate how they must conduct the tendering process when the contract value exceeds a certain threshold. These regulations aim to ensure that the tendering process is fair, transparent and non-discriminatory.
  • Public interest considerations: Local authorities may have to consider the public interest when tendering for a project, including environmental and social aspects, which should be taken into account when awarding the contract.
  • EU state aid rules: Local authorities must also consider EU state aid rules when tendering for construction projects. These rules ensure that public resources are not used to give unfair advantages to specific companies.
  • Localism Act 2011: Local authorities in England must consider the Localism Act 2011 which requires them to involve local communities in the decision-making process for construction projects and promoting local economic growth.

It’s important to note that laws and regulations are subject to change and local authorities should ensure they are aware of the most recent regulations and guidelines that apply to the specific project and area.

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