Poll: Should county councils be fined for cancelling public tenders?
A business group has called for the State to sanction local authorities that withdraw the competitions.
THE IBEC GROUP that represents small businesses has called on the government to introduce sanctions against local authorities that cancel competitions for public contracts.
As reported by Fora, the Small Firms Association (SFA) complained about county councils withdrawing contracts for products and services after a public tender process has been opened, costing SMEs time and money.
The SFA has proposed the introduction of a compensation system, paid for by the local authority in question, that would protect small firms from withdrawn tenders. Businesses could spent up to €5,000 completing a single tender, the group said.
In response to queries from this website, the Office of Government Procurement, which oversees the public contracts process, said it is necessary to sometimes cancel contract bids to ensure that taxpayer money isn’t sunk into doomed projects.
It said cancellations – “whilst unfortunate” – are necessary to “ensure value”.
With that in mind, we’re asking Fora readers this week: Should county councils be fined for cancelling public tenders?
