Transforming Public Procurement - The Procurement Act - Issue 5
Frameworks
Under the Act, the use of Frameworks remains.
Frameworks are an agreement between a contracting authority and one or more suppliers, providing for the future award of contracts via call offs, under pre-agreed terms and conditions. They provide an efficient and often quicker route for contracting authorities to purchase goods, works and services, where their requirement is for regular purchases over a period that would otherwise require repetitive tender processes.
The existing framework procedure is known as a Closed Framework, i.e. the framework is for a maximum period of four years and new suppliers cannot join the framework once it’s live. This process will remain in place.
The Act introduces the option of an Open Framework. The Open process allows for the framework to be reopened at least twice at predetermined intervals, to allow new suppliers to apply to join, via a tender process. Depending on the terms set out in the tender documentation, there are also various rules as to how existing suppliers will be managed.
The maximum term is eight years from first award, and it must be reopened after 3 years, then at least one further time in the remaining 5 years. Contracting authorities can put limits on the number of suppliers on a framework, or leave it open, but this needs to be set out in the initial documentation.
Any single supplier framework can only be let for a maximum of four years.
When an Open framework is re-opened, a new tender notice must be published on the Central Digital Platform, allowing a call for competition.
Having this additional flexibility to appoint new suppliers should mean future framework agreements can remain competitive and drive value for money. The intention is to reduce the administration involved in undertaking a new procurement or renewing a framework.
Award under a framework
The main principles of award under a framework still apply to both options. A framework may provide for award without re-opening competition (direct award) but also allow for a competitive selection process to take place (further competition). The framework must set out the ‘core terms’ and a mechanism for supplier selection.
The use of core terms (rather than ‘all terms’) is a flexible approach to reflect that frameworks often have empty service schedules which are completed for each individual call off.
What is the easiest way to compliant procurement?
By using the frameworks managed by Dukefield Procurement, you can ensure any procurement you wish to undertake is compliant, as we will navigate the new processes and procedures for you!
You can find out more about our frameworks: on our website
How Dukefield Procurement can help:
Dukefield Procurement’s qualified procurement professionals are on hand to provide free advice, and to support you with any questions you may have as we progress through the new legislation.
We will be publishing a series of easy to understand general guidance notes, backed up with webinars, presentations and learning resources. We can also offer tailor made support services for your institution to assist with both the new Procurement Act and wider procurement concerns.
Subscribe for further updates on Transforming Public Procurement: