21/09/11

Prospective Regulatory Framework for Public Procurement Takes Shape

On 29 August 2011, 2 laws of 5 August 2011 amending the Law of 15 June 2006 on public contracts and certain contracts for works, supplies and services (Wet overheidsopdrachten en bepaalde opdrachten voor werken, leveringen en diensten van 15 juni 2006/Loi du 15 juin 2006 relative aux marchés publics et à certains marchés de travaux, de fournitures et de services - the "Law of 15 June 2006") were published in the Belgian Official Journal.

The first amending law, entitled Law of 5 August 2011 amending the Law of 15 June 2006 on public contracts and certain contracts for works, supplies and services (Wet van 5 augustus 2011 tot wijziging van de Wet overheidsopdrachten en bepaalde opdrachten voor werken, leveringen en diensten van 15 juni 2006/Loi du 5 août 2011 modifiant la Loi du 15 juin 2006 relative aux marchés publics et à certains marchés de travaux, de fournitures et de services) brings about numerous changes to the Law of 15 June 2006 in order to implement partially into Belgian law (i) Directive 2004/18/EC of 31 March 2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts; and (ii) Directive 2004/17/EC coordinating the procurement procedures of entities operating in the water, energy, transport and postal services sectors. Amongst other things, this first amending law extends and amends the lists of definitions contained in Articles 2 through 4 of the Law of 15 June 2006.

The second amending law, entitled Law of 5 August 2011 amending Article 80 of the Law of 15 June 2006 on public contracts and certain contracts for works, supplies and services (Wet van 5 augustus 2011 tot wijziging van artikel 80 van de Wet overheidsopdrachten en bepaalde opdrachten voor werken, leveringen en diensten van 15 juni 2006/Loi du 5 août 2011 modifiant l'article 80 de la Loi du 15 juin 2006 relative aux marchés publics et à certains marchés de travaux, de fournitures et de services) complements Article 80 of the Law of 15 June 2006 with 3 indents. The amended provision now authorises the King to adopt rules concerning the reasoning, information and legal remedies with respect to decisions taken on the basis of the Law of 15 June 2006.

At the same time, the preparations of the various implementing decrees of the Law of 15 June 2006 are progressing at full speed. A first implementing decree, entitled Royal Decree of 15 July 2011 on the award of public contracts in the classical sectors (Koninklijk Besluit van 15 juli 2011 plaatsing overheidsopdrachten klassieke sectoren/Arrêté royal du 15 juillet 2011 relatif à la passation des marchés publics dans les secteurs classiques), was published in the Belgian Official Journal of 9 August 2011. This Royal Decree further implements Title II of the Law of 15 June 2006.

The preparatory works of the remaining implementing decrees are at different stages of progress: they are either pending with the Council of State (Raad van State/Conseil d'Etat) for advice, or they will soon be submitted to the Government and subsequently to the Council of State, or they are still in the drafting process. These remaining Royal Decrees are currently scheduled to be published in the Belgian Official Journal by the end of 2011, which should allow the new regulatory framework on public procurement, as based on the Law of 15 June 2006, to enter into force in May or June 2012 (a few provisions of the Law of 15 June 2006 have already entered into force or will enter into force before mid 2012).

Pending the entry into force of the new regulatory framework, the current Law of 24 December 1993 on public contracts and certain contracts for works, supplies and services (Wet van 24 december 1993 betreffende de overheidsopdrachten en sommige opdrachten voor aanneming van werken, leveringen en diensten/Loi du 24 décembre 1993 relative aux marchés publics et à certains marchés de travaux, de fourniture et de services) and its implementing decrees continue to govern public procurement in Belgium.

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