Category: News

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Introduction of Liability Caps – Phase 1: Standard Conditions of Engagement, Consultancy

31 March 2023

Further to the announcement on 21 March 2023 of the introduction of liability caps for those engaged in public works contracts by the Minister for Public Expenditure, NDP Delivery and Reform, the Office of Government Procurement (OGP) has today issued amendments to Pillar 2 (Conditions of Engagement) of the Capital Works Management Framework (CWMF). The amendments incorporate Liability Caps into the Standard Conditions of Engagement, Consultancy for technical and archaeology services. The introduction of Liability Caps follows commitments made in Circular 05/2022: Construction Procurement Reform- Revised Guidelines for Professional Indemnity Insurance Levels in Public Works Projects  published on 9 February 2022.

The amendments are summarised below.

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Publication of Circular 5/23: Initiatives to assist SMEs in Public Procurement

28 March 2023

The Office of Government Procurement (OGP) has today published Circular 05/2023 : Initiatives to assist SMEs in Public Procurement.  Circular 05/2023 has been developed by the OGP following an extensive consultation process involving both public bodies and SME representatives. The circular is designed to further enable SMEs to compete for public contracts and replaces Department of Public Expenditure and Reform Circular 10/2014.

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Publication of Inflation Calculation Workbooks for Short Public Works Contract (PW-CF6)

8 June 2022

Further to the publication of details on 20 May 2022 of the Inflation/Supply Chain Delay Co-operation Framework Agreement for PW-CF1 – PW-CF5, the OGP published on Friday 3 June 2022 the suite of documents associated with the Short Public Works Contract (PW-CF6).  These include the Letter of Agreement, guidance and associated workbooks to assist contracting authorities in calculating the Ex Gratia Payment for PW-CF6.

The OGP has also published a series of video tutorials to assist contracting authorities in the use of the template workbooks, a worked example and FAQs.

All of the above are available on a new dedicated page Details of Inflation/ Supply Chain Delay Co-operation Framework.

Publication of Inflation Calculation Workbooks

23 May 2022

Further to the publication of details on Friday 20 May 2022 of the Inflation/Supply Chain Delay Co-operation Framework Agreement for PW-CF1 – PW-CF5, the OGP has today published the associated workbooks to assist contracting authorities in calculating the Ex Gratia Payment.

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Publication of Inflation/ Supply Chain Delay Co-operation Framework Agreement

20 May 2022

The Office of Government Procurement (OGP) has today published details of the Inflation/Supply Chain Delay Co-operation Framework Agreement (‘the Agreement). The publication follows the announcement by the Minister for Public Expenditure and Reform, Michael McGrath T.D. on the 10 May 2022 of new measures to address the risk posed by exceptional inflation and supply chain disruption on projects being delivered under the public works contract.

These measures represent an appropriate and balanced set of provisions to address the impact of global events which are outside the control of either party to the contract, are uncertain in both their duration and impact and therefore place the successful completion of a project at risk.

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Minister Michael McGrath TD introduces measures to address the impact of Construction Material Price Inflation on Public Works Projects

10 May 2022

The Minister for Public Expenditure and Reform, Michael McGrath TD, today, (Tuesday), announced details of further measures to address the impact that exceptional inflation in construction materials and energy is having on public works contracts.

As economies reopened in the aftermath of Covid-19, significant inflation, coupled with shortages in the supply of particular construction materials was experienced. The Russian invasion of Ukraine has considerably exacerbated these pressures on construction projects. Since early 2022, significant increases in energy prices are driving further price increases and leading to great uncertainty around delivery periods for certain construction materials.

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Publication of GN 2.3.4 Tender Price Indexation – Calculation, Notification and Application

1 March 2022

A new guidance note, GN 2.3.4 Tender Price Indexation – Calculation, Notification and Application has been published today which provides detailed information to contracting authorities on the calculation, notification and application of the tender price indexation which has been introduced into the template forms for use with the public works contract forms PW-CF1 – PW-CF6 inclusive and which were published on 7 January  2022.

Publication of MF 1.29 Letter to Contractor/Specialist re Temporary PI Insurance Arrangements

17 February 2022

Further to the news item of 9 February 2022, the OGP today has published a model form of letter that may be used by Contractors/Specialists in relation to temporary Professional Indemnity Insurance arrangements.

Where, as a result of the current insurance market conditions, during the term of a contract or a collateral warranty, a Contractor/Specialist cannot provide professional indemnity insurance on an each and every claim basis at the required level, the letter sets out the conditions that will permit the Employer to accept temporary alternative insurance arrangements, and which are subject to review on an annual basis. MF 1.29 Letter re Temporary PII Arrangements (in Pillar 1, Public Works Contracts) is provided for Contractors/Specialists.