Nextica for the Public Sector: bidding, challenging and getting paid
Nextica Law & Tax advises companies that contract with public authorities: reading tender documents and preparing bids under Law 9/2017 on Public Sector Contracts, registration and upkeep in ROLECE and in the Catalan RELI, setting up joint ventures (UTEs), special procurement appeals before the TACRC and the Catalan Public Sector Contracts Tribunal, defence of bids presumed abnormally low, collection of invoices with their late-payment interest, and the justification of grants and Next Generation funds.
Selling to public authorities is nothing like selling to a company: the contract is won by reading the tender documents, lost on a procedural defect and paid late. At Nextica Law & Tax we work for the bidding company, not for the authority running the tender. We prepare and review the bid before it is submitted, challenge an exclusion or an award within the fifteen working days the law allows, justify the bid when the contracting authority treats it as abnormally low, argue for economic rebalancing when performance eats the margin, and claim what the authority owes together with the interest that accrues on its own. And when public money arrives as a grant or as a Next Generation fund, we prepare the supporting file with the later audit in mind.
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Before bidding: tender documents, standing and registers
Reading the tender documents with the calendar in front of you, the ESPD, evidence of technical and financial standing, and preparing the corrections that almost always follow. Registration and upkeep in the national ROLECE and in the Catalan RELI, plus contractor classification where the contract requires it (art. 77 of Law 9/2017 and the Regulation approved by RD 1098/2001, mandatory for works from an estimated value of €500,000). Where the contract can only be reached jointly with another company, the UTE is set up under Law 18/1982 and the internal agreement that nobody usually writes is drafted: shares, contributions, governance and joint liability towards the contracting authority. And one review that saves grief: the bans on contracting in art. 71 of Law 9/2017, because a final penalty or conviction can shut a company out of all public procurement.
When it goes wrong: the special appeal and the courts
Against the tender documents, an exclusion or an award in contracts subject to it, the special procurement appeal is available (arts. 44 ff. of Law 9/2017): fifteen working days, no fee, before the Central Administrative Tribunal for Contractual Appeals or, where the contracting authority is Catalan, before the Catalan Public Sector Contracts Tribunal. Appealing the award prevents the contract from being formalised while it is decided, which is what actually changes the outcome. Once administrative remedies are exhausted, judicial review under Law 29/1998 remains, and where the harm was caused by the administrative action itself, a State liability claim under art. 32 of Law 40/2015 through the procedure of Law 39/2015.
During performance: people, prices and balance
Winning the contract means inheriting its terms. Staff transfer imposed by the tender documents (art. 130 of Law 9/2017) forces you to budget for people whose terms you learn about late, and social clauses turn collective-agreement pay into a special performance condition. Then come modifications, penalties, acceptance and settlement. When the contract was won tight and the real cost rises, the lawful way out is not to stop performing: it is economic rebalancing and price revision, within the framework of Law 2/2015 on de-indexation of the Spanish economy and whatever the tender documents allow.
The money: getting invoices paid and grants justified
The invoice is filed electronically under Law 25/2013, and the authority has thirty days to pay it from approval of the documents evidencing conformity (art. 198.4 of Law 9/2017). Once that period passes, late-payment interest under Law 3/2004 accrues automatically, with no demand required: most companies never claim it because they do not know they already have it. And where the money comes not from an invoice but from aid —grants under Law 38/2003 and its Regulation (RD 887/2006), Next Generation funds and PERTE— the work starts with the application and ends with the supporting account, which is where it is decided whether a clawback letter arrives three years later.
Frequently asked questions
I have been excluded from a tender. What can I do and how long do I have?
In contracts subject to it, the special procurement appeal under arts. 44 ff. of Law 9/2017 is available: fifteen working days, no fee, before the Central Administrative Tribunal for Contractual Appeals, or before the Catalan Public Sector Contracts Tribunal where the authority running the tender is Catalan. The period runs from notification, so the first step is to date it. If what is challenged is the award, filing the appeal prevents the contract from being formalised until it is decided: that is why appealing in time is not a symbolic gesture. Outside that scope, the route is the ordinary administrative appeal and then judicial review.
My bid is treated as abnormally low. Am I out?
Not automatically. Art. 149 of Law 9/2017 requires the contracting authority to give the bidder a hearing to justify its bid before deciding, and the period is set by the authority in each file. What is judged is not whether the bid is low but whether it is viable: you have to evidence the real cost of the resources, compliance with the wage costs of the applicable collective agreement, any particularly favourable conditions you enjoy, and the technical solutions that explain the price. A generic justification is rejected; one with figures, a cost breakdown and documents holds up.
The authority is not paying me. Do I have to claim the interest?
Late-payment interest accrues automatically, with no prior demand required. Art. 198.4 of Law 9/2017 gives the authority thirty days to pay from approval of the documents evidencing conformity of what was delivered or performed, and from then on interest under Law 3/2004 runs together with compensation for recovery costs. The invoice must have been filed electronically under Law 25/2013: if that step fails, the start date of the count becomes arguable, and that is usually the weak point of the file.
Do I need to be on ROLECE or RELI to bid?
In a large share of procedures, registration in the Official Register of Bidders and Classified Public Sector Companies —or in the Catalan Electronic Register of Bidding Companies where the contracting authority is Catalan— replaces filing documents and is required by the tender conditions. In addition, for works contracts from an estimated value of €500,000 contractor classification is mandatory (art. 77 of Law 9/2017 and the Regulation approved by RD 1098/2001). Registrations expire and details must be kept current: a classification that lapsed on the opening date shuts you out just as surely as never having had one.
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