Sunday, July 6, 2008

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Project law on partnership contracts

Ordinance No. 2004-559 17 June 2004 on partnership contracts (CP) has created a new type of contract allows public entities to pay the entire duration of the contract a private partner responsible for finance, build and manage an equipment necessary for the public entity.

Practice has shown the need for more clarification.

The President of the Republic has also asked the Prime Minister set up a plan for boosting the public-private partnership which this bill is the legislative side.

It was therefore decided to expand the use of this new contract in accordance with the framework set by the Constitutional Council. The bill adds two new routes: that of economic and financial interests for the public person, under all of the tools of public control, and an access road sector for a limited time.

The bill also makes several technical amendments to soften the legal regime applicable to the implementation of these contracts. It appeared that the use of CP was in fact penalized by unfavorable tax treatment under the regime applicable to public procurement. This bill seeks to establish an equal tax treatment between CP and procurement. It will be supplemented later by a regulatory component to the tax laws that do not fall within the law.

Go further:

- Senate Legislative Record: http://www.senat.fr/dossierleg/pjl07-211.html

Wednesday, July 2, 2008

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Assessment Report on public procurement and complex ways to improve practice

An evaluation report on public commissions and complex ways to improve practice has been transferred to the Government.

It attempts to answer some legitimate questions related to public procurement: How to help optimize the cost of public infrastructure? How to make more efficient public services? How to support those who have to make a complex public procurement? Whether through government contracts to a holding in-house or by bringing in outside operators through various forms of public-private partnerships (PPP), the choice of methods used to acquire public infrastructure constitutes a major efficiency.

This report accompanies the process of reform of the legal partnership contracts, decided by the Council of Ministers of March 13, 2008:

- firstly, it shows other devices used in France by the government to dispose of public infrastructure created by private partners. And he makes a comparison with practices in other countries.

- on the other hand, it suggests ways to improve the practice of these complex purchases.

Download RapportPPPjuin2008.pdf