IN-HOUSE VÝNIMKA V NOVOM ZÁKONE O VEREJNOM OBSTARÁVANÍ
In-house exception in the new bill on public procurement
Languages of publication
In the case when a contracting authority uses its own resources, it is exempt from using the public procurement procedures. In this regard, we refer to the so-called ‘in-house exemptions’ or ‘internal procurement’. The fundamental conditions for the application of in-house exemptions are based on three criteria, i.e. i) a control criterion, ii) a business activity criterion, and iii) a private capital criterion. That is to say, the contracting authority exercises over the person to whom the contract has been directly awarded (in-house entity) a control which is similar to that which it exercises over its own departments, more than 80 % of the activities of the controlled in-house entity are carried out in the performance of tasks entrusted to it by the controlling contracting authority or by other legal persons controlled by that contracting authority and there is no direct private capital participation in the controlled in-house entity. In these circumstances, the in-house exemption can also be applied to the cases of the cooperation amongst contracting authorities. However, the participating contracting authorities have to perform on the open market less than 20 % of the activities concerned by the cooperation. It is submitted that, the contracting authorities now hold in their hands a tool for the effective fulfilment of their needs by using own resources. However, these exemptions must be interpreted restrictively and therefore it will be interesting to see how the practice deals with the ‘in-house’ issues.
107 – 115
Publication order reference