Cabinet of Ministers Regulations No. 382 of 2006 in Riga on May 9 (Mon. No 26 46) provisions on the application of open project competition "heating systems according to the requirements of the environment and energy efficiency in both the heating system in the production and distribution side and the consumer side ' guidelines issued under the management of the structural funds of the European Union article 9 of the law on the fifth, the third paragraph of article 10 and article 16, first paragraph, points 11 and 12 i. General questions 1. determines the open project submissions for the contest" Warm supply system upgrading, according to the environmental requirements and improving energy efficiency and heating system in the production and distribution side and on the side of consumers "(hereinafter referred to as the open competition) guidelines.
2. energy users in the public sector within the meaning of this provision is a State or local government educational institutions (excluding universities), health and cultural institutions or authorities to comply with the law "on local governments" in article 15, the functions of local government in the area of social assistance, if the services provided by those authorities are publicly available.
3. Open tender financed by the European regional development fund and the State budget. Total open competition available in the framework of the European Regional Development Fund funding is $7886345.97. Local government, through open competition projects will receive grants under the national budget of the Republic of Latvia laws budgetary and financial policy.
4. Public tender management happens in accordance with these rules and regulations that govern the management of the structural funds of the European Union.
5. the management of the open competition to public agency "Central Finance and Contracting Agency (hereinafter the Agency) as second level intermediate and the Ministry of Economic Affairs (hereinafter referred to as the Ministry) as the first level of the intermediary institution.
 
II. European Union structural funds co-financing grant general conditions 6. Open competition project application (1., 2., 3., 4., 5., 6., 7., 8 and 9) can be submitted to: 6.1. authorities or the authorities responsible for public services – heating – you efficiency in their administrative territory;
6.2. economic operators which provide public-interest services heating;
6.3. energy users public sector energy efficiency public tender projects.
7. the project applicant be eligible for co-financing by the structural funds of the European Union receive an open competition if: 7.1 that is directly responsible for the public tender for project preparation, implementation, management and open competition results of the project. Project applicant cannot mediate;
7.2. it is available in a stable and sufficient financial resources to ensure a certain project open competition funding and open competition project continuity;
7.3. it can provide public tender for the implementation of the project requires the need of the human resources capacity;
7.4. it is open competition project requires experience and understanding of open competition, the scope of the project.
8. The European Union structural funds ' co-financing shall not be eligible if the project applicant: 8.1 is in insolvency proceedings or actual insolvency occurred in accordance with the law on the insolvency of undertakings and companies ";
8.2. in proceeding with the vendor in accordance with the Republic of Latvia or any other State where the open competition the project applicant, laws and regulations;
8.3. the competent authority in the decision, found guilty of the offence concerning his professional conduct;
8.4. by a judgment which has the force of res judicata is found guilty of fraud, corruption, involvement in a criminal or other offence, which is hit by the European Union or the Latvian financial interests;
8.5. has not fulfilled obligations relating to the payment of taxes arising from the laws of the country in which it is registered;
8.6. has not made social security payments arising from the laws of the country in which it is registered;
8.7. violated the conditions of the contract, comply with the obligations set out in other contracts that are financed from resources of the European Union;
8.8. when submitting a project application for open competition, may be in a conflict of interest;
5.5. management of the structural funds to the institution involved has provided false information in order to participate in open competition project submissions in the contest, or has not submitted the required information;
8.10. has tried to obtain confidential information in your possession or control of the structural funds affect the institution concerned, including the submission of open competition project for the evaluation of the Commission, this or other structural fund evaluation of the project.
9. Open competition are supported the following activities: 9.1. energy efficiency public tender projects, including energy audits and the conduct of open competition project measures the heat sources and heat in the production, transmission and distribution systems, as well as measures to reduce the loss of heat and internal heating system energy efficiency public sector users;
9.2. fuel conversion project open competition to reduce the impact of energy production on the environment; 9.3. open competition project for the production of energy in cogeneration process.
10. Open competition are not supported for the following activities: 10.1. investments in two or more parallel gas or heating systems;
10.2. residential buildings, including the local boarding house, except social housing, energy efficiency projects for public tender;
10.3. investment in fuel conversion from local to imported fuels.
11. One project applicant can receive co-financing by the structural funds of the European Union for not more than one project open competition.
12. the public tender for the project in the framework of the European Union the maximum Fund co-financing of the aid intensity of the projects subject to open competition in the mo is 75% of the amount of the costs or 35% if the contribution is made by the company.
13. the minimum bid the project allowed the European Union structural funds co-financing is 50000 dollars, the maximum amount-LVL 1000000. The allowed European Union structural funds up to the amount of funding from the open competition of the eligible costs of the project amount.
 
III. Eligible costs 14. Open competition project costs are eligible if they: 14.1 are directly related and necessary for the public tender for the project, is designed for in the approved project submission open competition and made pursuant to the relevant principles of financial management-economy, efficiency and effectiveness;
14.2. There may contract with the Agency of the public tender for the project implementation period, except that rule 15.1. the costs referred to in point and is based on paid invoices or other relevant source documents;
14.3. are actually carried out and that the applicant's project listed in the books of account, identifiable, separate from the rest of the cost, and verifiable, and they attest to the relevant source document original.
15. Open competition eligible costs are: 15.1 application open competition project preparation costs incurred prior to the conclusion of the contract with the Agency of the public tender for the project, if it was made no earlier than January 1, 2004, and shall not exceed 10% of the open competition project total eligible costs: 15.1.1. open competition project application preparation fees, excluding the cost of filling out a form;
15.1.2. document preparation costs, showing compliance with standards: document preparation 15.1.2.1. According to the law "on environmental impact assessment";
15.1.2.2. conformity or non-conformity of the different standards (safety, consumer protection and other standards in the relevant field);
15.1.3. tender preparation (including the call for proposals, terms of reference and technical specifications);
15.1.4. investment in supporting financial documents costs: 15.1.4.1. business plan preparation;
15.1.4.2. cash flow preparation;
15.1.4.3. competition assessment of the viability of the project;
15.1.4.4. the feasibility of preparation;
15.1.4.5. human resources plan preparation;
15.1.5. the public tender of construction project preparation costs: 15.1.5.1. feasibility study;
15.1.5.2. the infrastructure required for the inženierizpēt, including the geological, hydrological, topographic trying;
15.1.5.3. Design, including the design of the project, technical design and preparation of tender documents;
15.1.5.4. būvekspertīz;
15.2. the buildings, structures, as well as infrastructure construction and repair costs;
15.3. energy audit costs;
15.4. the costs associated with equipment, supplies, equipment and technology purchases, upgrades, and hire an open competition during the project. Used equipment can be purchased, if:

15.4.1. they are compliance with the requirements of the country of origin;
15.4.2. the acquisition of the last seven years is not co-financed from the European Union or public funds;
15.4.3. the installation price does not exceed its market value and is less than the price of similar new equipment;
15.4.4. it has the technical characteristics necessary for the operation and it corresponds to the applicable norms and standards;
15.5. real estate purchase costs, except if they are not determined as ineligible costs in accordance with such terms and is a direct link between the purchase and the open competition project objectives;
15.6. remuneration for work, if the work does not exceed the rate of the job market determine costs for similar work, including employer made State social security payments and other regulations determine workers right to compulsory expenditure. Salary is eligible if it meets this provision 10. the conditions laid down in the annex;
15.7. the public tender for the project directly related training costs;
15.8. with the open competition of the project directly linked to inland transport costs;
15.9. the public tender for the project directly related travel costs if they are carried out according to the requirements of the law: 15.9.1. transport costs in economy class;
15.9.2. daily allowance;
15.9.3. accommodation costs;
15.10. to open competition project implementation or administration of directly related administrative costs;
15.11. publicity and marketing activities that are directly related to the public tender project activities;
15.12. the public tender for the project bank account opening and servicing costs;
15.13. expenditure on legal advice, notary services, technical or financial expertise, accounting and audit services, if they are directly related to the public tender and the need for its preparation or implementation;
15.14. the public tender for the project directly related in the equestrian insurance costs;
15.15. expenditure on bank or other guarantees provided by credit institutions to the extent that it established the laws and guarantee;
No 15.16. tax and fee payments directly related to the public tender for the project, if a project applicant cannot recover completely or partially;
15.17. costs related to leasing and rental transactions;
15.18. the cost in kind: 15.18.1. property and equipment depreciation write-downs;
15.18.2. applicant's property investment project.
16. This rule 15.6 15.8, 15.9, 15.10 15.13., and referred to the amount of the eligible cost, except expenses for audit services, the total must not exceed 15% of the total eligible costs.
17. Contingent amount shall not exceed 5% of the total eligible costs. Contingencies are used only with the written permission of the Agency.
18. Open competition to projects that bring revenue, the European Union's structural funds support rate is calculated for each public tender for the project application to the individual. The European Union's structural funds co-financing amount is calculated using the following formula: l = 75% x (C-N-A + I) where: G – co-financing of the European Union;
C – open competition project eligible costs;
N – open competition in the net revenue generated by the project in the current value (the difference between revenue and expenses). Net revenue-with open competition project-related revenue and expenses for the production and maintenance of the net present value of the difference. Net revenue revenue is taken into account, which may arise from the production, sales, provision of services, as well as revenue that is directly related to the public tender for the project. Editions do not include depreciation of fixed assets that are purchased, starting with the open competition project to the open competition project economic life cycle;
A-open competition project total investment balance of current value – all open competition project economic life cycle of the investment value of open competition in the economic life of the project last year, which is calculated in accordance with the provisions of annex 11.8 and 9 below;
I-discounted future investments by public tender for the project, not including the open competition project eligible costs. Further investments are planned and necessary investments in buildings and civil engineering, which is justified and necessary to open competition project related production or service delivery process.
19. Discounting the open competition project cash flow, co-financing by the structural funds of the European Union should be used in calculating the amount of the 8% real discount rate.
20. Revenues, expenses and investment must be justified and adequate market prices.
21. Open competition project economic life cycle is the period of time in which open competition project investments provide economic benefits. This contest was the economic life cycle lasts 15 years after the first open competition project of the year.
22. Investing in infrastructure that gives substantial net revenue, the co-financing by the structural funds of the European Union may not exceed 50% of the total eligible costs. Public tender projects that generate substantial net revenue, are projects that net income the net present value of at least 25% of the current total investment cost net value.
 
IV. non-eligible costs 23. On non-eligible costs the following costs are considered: 23.1. the costs associated with these rules referred to in paragraph 9 activities;
23.2. costs that exceed the approved project submission open competition under the amount of the eligible cost;
23.3. costs incurred before or after the period laid down in the contract for the project competition, removing the provision referred to in paragraph 15.1 below cost;
23.4. costs not justified by relevant source documents;
14.6. provision of services, the supply of goods or work carried out in relation with the purchases, which had required the procurement procedure according to the requirements of the law, but it has not been performed, or the procurement procedure is not complied with regulatory requirements;
14.7. the costs associated with the project at the bottom of the applicant concluded contracts for the provision of services, the supply of goods or work carried out, if the subcontract referred to open competition increases the cost of the project, but does not provide the added value of open competition, as well as for the project if the apakšlīgumo is set to pay a percentage of the overall open competition project costs;
23.7. current expenditure that is not related to the public tender project activities (such as administrative costs, maintenance costs of buildings);
14.8. interest payments, except payments of special State aid schemes, payments on money transfers, commissions and losses due to currency exchange and other direct financial expenditure;
14.9. fines and legal expenses;
23.10. the premiums paid to staff;
23.11. the purchase of the vehicle.
 
V. application of open competition project evaluation and decision 24. Open competition project considers appropriate administrative evaluation criteria, if it complies with all the rules referred to in annex 12 of the administrative assessment criteria.
25. the decision on the application of open competition project compliance with this provision in annex 12, first paragraph, point 8 of the Agency shall be adopted in accordance with the opinion of the Ministry. The opinion of the Ministry shall draw up the Agency's request and in accordance with the administrative procedure law and administrative law of the equipment.
26. Open competition the project is considered appropriate quality and specific evaluation criteria, if it complies with all the provisions of annex 12 quality and specific evaluation criteria, which shall be valued with a "Yes/No", and at least 75% of the maximum possible quality and evaluation criteria after specific number of points earned.
27. the European Union's structural funds co-financing granted pursuant to an open competition for available under the European Regional Development Fund for the financing of those projects open competition applications that obtain the highest scores, assessing the quality and specific criteria.

28. If several applications open competition project in acquire the same evaluation, co-financing by the structural funds of the European Union to grant open competition project submissions that receive the highest ranking according to the rules of annex 12, second paragraph, point 7. If several applications open competition project in acquire the same assessment also according to that rule 12. part two of the annex to paragraph 7, the European Union's structural funds co-financing grant open competition project submissions that receive the highest ranking according to the rules of annex 12 paragraph 12 of part two. If several applications open competition project in acquire the same assessment also according to this provision of the annex 12 paragraph 12 of part two, decision on co-financing by the structural funds of the European Union to grant open competition project submission, if accepted for their vote at least two thirds of the present existing evaluation Commission members.
29. If open competition the project submission does not meet the assessment criteria, the administrative agency shall make a request in writing (one time) to the project the applicant within the time limit set by the Agency provides more information open competition to fine-tune the application of the project. If open competition specified project does not correspond to the administrative application evaluation criteria or the applicant shall not submit public tender specified project submission within the time limit fixed by the Agency, the Agency shall adopt a decision in accordance with the management of the structural funds of the European Union law article 18, paragraph 1, second subparagraph.
30. the decision on the application of open competition project rejection accepted, if the total available of the European regional development fund co-financing within the framework of the open competition or if open competition the project submission does not meet the quality and specific evaluation criteria.
31. a decision on the application of open competition project can challenge the rejection of the European Union's structural funds management in accordance with the procedure prescribed by law.
 
Vi. Closing questions 32. Open competition projects approved by 31 December 2006, provided funds to 31 December 2008.
33. the provisions in force until 31 December 2008.
Prime Minister a. Halloween economic Minister a. Štokenberg Editorial Note: the entry into force of the provisions by 26 May 2006.
Annex 1-12 ZIP 141 kb