Public procurement notice: Contract Award Notice
Published: 2018-09-11
Buyer: Skedsmo Kommune
Country: NO
Contract type: Works
Procedure: Competitive procedure with negotiation
CPV classification: 45112000 | 45112710 | 45112711 | 45200000: Building and civil engineering work | 45210000: Building construction work
Award criteria: Lowest price

Technical requirements: Roboty budowlane w zakresie wznoszenia kompletnych obiektów budowlanych lub ich części oraz roboty w zakresie inżynierii lądowej i wodnej
The Akershus Arts Centre and Town Park project’s primary objective is to realise new premises for Akerhus Arts Centre and establish an urban park at Kirkegata 10-12. The project will be a part of the Cultural Quarter in Lillestrøm that is important for the municipality’s urban development. The 2 project have a tight interface, and Skedsmo kommune has determined that they shall be run as one project. The overall framework undertaken for the project is 89 900 000 NOK, respectively 65 200 000 NOK for the Arts Centre and 24 700 000 NOK for the Urban Park.
The Akershus Arts Centre and Town Park project’s primary objective is to realise new premises for Akerhus Arts Centre and establish an urban park at Kirkegata 10-12. The project will be a part of the Cultural Quarter in Lillestrøm that is important for the municipality’s urban development. The 2 project have a tight interface, and Skedsmo kommune has determined that they shall be run as one project. The overall framework undertaken for the project is 89 900 000 NOK, respectively  65 200 000 NOK for the Arts Centre and 24 700 000 NOK for the Urban Park. The main concept is to introduce a compact building of 1 580 m
The competition was announced on 5.2.2018 as a tender procedure with negotiations. The deadline for the receipt of qualification applications was set to 9.3.2018. 5 tenderers were qualified and an invitation to participate was sent to these tenderers, of which 4 submitted a tender by 22.5.2018. Skedsmo municipality held clarification meetings with the 4 tenderers at the end of May 2018. Asker Entreprenør withdrew from the competition on 26.6.2018. The deadline for revised, but not final tenders, was set to 4.7.2018, and 2 tenderers submitted a revised tender within the deadline. One tenderer was given an extended deadline and submitted a revised tender on 10.7.2018.
The tenderers were called in for negotiations and feedback on the revised tenders was sent on 5.7.2018. As mentioned above, 2 of the tenderers' revised tenders and the original tender from the tenderer who withdrew were sent to the third tenderer. The Contracting Authority has concluded that it is not possible to hold a correct, negotiated procedure when the revised prices have been sent to one of the competing tenderers. The consequence of this is that the competition must be cancelled. There is a justifiable reason for the cancellation in accordance with the Public Procurement Regulations § 25-4 (1).
The Contracting Authority would like to point out that the contracting authority has, in all cases, a justifiable reason to cancel a competition on the basis that all the tenders were more than  20 000 000 NOK excluding VAT above the estimated value ( 56 000 000 NOK excluding VAT). The announced total budget limit was 89 900 000 NOK for the project as a whole, cf. point II.1.4 of the notice. As the announced budget limit is the total budget limit, it ought, according to the Contracting Authority's reasoning, to be clear that the limit for the actual general contract is considerably lower that the total limit, this also takes the Contracting Authority's estimate in the notice into consideration, cf. point II.1.5. In addition, tenderers were informed of these conditions during the clarification meetings at the end of May 2018.
The Contracting Authority realises that the project, as it exists, cannot be realised with the current financial limits and the existing tenders. Skedsmo municipality is of the opinion, therefore, that this alone is a justifiable reason for cancelling the competition in accordance with the Public Procurement Regulations § 25-4 (1).