7. Financial Thresholds and Procedures

7.1

The table below sets out the general rules applying to the choice of purchasing procedure for contracts at the stated threshold values.

7.2

There is a general presumption in favour of competition. Wherever possible, contract opportunities should be advertised by way of a public notice and/or the Council’s and South East Business Portal. The Council must consider the potential effect of a contract on interstate trade (at a European level). If a contract may be of interest to contractors from other member states then this may result in a need to advertise in a manner which ensures that potential contractors from other member states are aware of the opportunity, even for small value contracts or contracts under the EU Threshold levels outlined below.

7.3

The public notice referred to at 7.2 may take the form of a notice or advertisement in an electronic or paper format, on an easily accessible website or other electronic media and/or in the press, trade journals or Official Journal of the European Union (“OJ”) (as appropriate). The Responsible Officer may choose to place one or more public notices in different media.

7.4 Financial thresholds and procedures

Total value £	Type of contract	Procedure to be used
1,000 to 9,999	Works, supplies and services	At least one quote in advance - Consideration to be given to suitably qualified Thanet Supplier/s, if available
10,000 to 74,999	Works, supplies and services	At least three written quotes in advance - Consideration to be given to suitably qualified Thanet Supplier/s, if available
75,000 to 173,933.99**	Works, supplies and services	At least three written tenders in advance, following advertisement by public notice
173,934 plus EU Threshold for supplies and services	Supplies and services	EU Rules apply – full competitive process following advertisement in the OJ for supplies and Part A* services. For Part B* services reduced requirements apply under the EU Rules but there is a presumption in favour of advertising and a competitive process
173,934 to 4,348,349.99**	Works	Full competitive process with tenders following advertisement by public notice
4,348,350 EU Threshold for works	Works	EU Rules apply – full competitive process with tenders following OJ advertisement

* For the purposes of the EU Rules services are divided into two types and the EU Rules apply to a different degree. Responsible Officers should act cautiously and seek advice when considering the procedure to be used and application of the EU Rules to services contracts.

** or relevant threshold in force at the time under the EU Rules.

7.5

Where contracts are of a type and value which means that they are subject to the EU Rules then there are four main types of EU procedures available. These are the open, restricted, competitive dialogue and competitive negotiated procedures. Care must be taken to ensure that the correct and most appropriate procedure is used and assistance on the choice and use of EU procedure should be sought from Legal & Democratic Services and process progressed via the Procurement Unit.

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