AOF
Commercial Toolkit
Commercial Guidance for the UK MOD Defence Acquisition Community
version 2.10.9 - August 2010
Commercial Guidance for the UK MOD Defence Acquisition Community
version 2.10.9 - August 2010
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Enabling ContractsThis page is an extract from the full topic guidance on Enabling Contracts [78KB PDF]. It details any Constraints associated with Enabling Contracts, provides a summary of the Authoritative Guidance and lists any essential reading, further reading or associated documents. If you have any queries on this topic, please contact the Sponsor by e-mail: DGDC CS-2D-Asst-Hd. ConstraintsThe European Community (EC) Public Procurement Regulations apply to Enabling Contracts unless the nature of the work qualifies for an exemption. Authoritative Guidance SummaryAn Enabling Contract is a framework agreement between the Ministry of Defence (MOD) and the contractor detailing the terms and conditions against which MOD may place orders for the supply of goods or performance of services, or both. Enabling Contracts provide an efficient and effective means of procuring goods and services where requirements arise on a regular basis combining the benefits of reduced process costs and enhanced buying power resulting from a consolidation of requirements. To ensure an Enabling Contract is legally binding the payment of the sum of 1 (one pound sterling), as consideration must be made by MOD to the contractor. Before setting up a new Enabling Contract, acquisition teams must explore the possibility of utilising existing Enabling Contracts by reviewing the MOD Enabling Contracts database and, where appropriate, Enabling Contracts managed by Other Government Departments (OGDs). If setting up a new MOD Enabling Contract consideration should be given to facilitating the widest possible use across MOD and OGDs and estimating the potential value of the contract in order to assess the impact of the EC Public Procurement Regulations. It is the responsibility of finance officers and authorised demanders not the bill paying authority, to exercise financial control of, and to monitor spend against, Enabling Contracts. The draft contract included in the Invitation to Tender (ITT) must address a number of specific points in addition to standard MOD terms and conditions and these are addressed in Authoritative Guidance. Enabling Contracts should be monitored at Band B level to ensure the demands raised are of the same generic type as that advertised in the original requirement and that the cumulative value of orders placed does not materially exceed the initial estimate of value placed on the Contract. Associated DocumentsAnnex A - Enabling Contracts Process [40KB PDF] Essential ReadingEC Public Procurement Regulations topic DEFFORM 30 Explanatory Notes [30KB PDF] P2P website Further Reading
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