Public Procurement in 2017: increasing fees, easier payments

January 18, 2017

Here are some of the latest changes entering into effect in accordance with amendments of the Act on Public Procurement:
 
The Government Decree on the implementation of public procurement below thresholds was already adopted in December. However, only contracting authorities fall within the scope of the new law – against the original intentions of the legislator.
 
Rules on public works contracts have changed favorably. First, prices may be further taken into account for the evaluation of the bids and the provisions on direct payments to subcontractors, which had been causing difficulties insofar in the application of the law, has been repealed.
 
It is also good news that this latter amendment is not only to be applied in procedures beginning after January 1, 2017 but it affects the performance of the already concluded public contracts as well.
 
Less advantageous change for contracting authorities is that from January 30, 2017 Public Procurement Authority’s fees for “contract notice checks” are substantially increasing and checks of the public notices on the amendment of the contracts will be obligatory.
 
Please contact our experts at  Ecovis Hungary Legal for further information in regards to the changes.