Aggregation

Aggregation means adding together the values of different contracts for the same supplies or services and treating the aggregated total value as a single amount for the purpose of procurement.   When spend is aggregated into appropriate contracts it provides greater assurance around value for money and more importantly compliance and the right to spend more with the same supplier, on the basis that it has been anticipated.  

    • The most important consideration of all is where the Budget Holder has a “line of sight” of the expenditure in question i.e. There is historical expenditure and there is an ongoing requirement
    • Expenditure is “Recurring” and of a similar nature
    • Applies to NUI Galway as a whole entity and not individual purchases or individual Units
    • Aggregation is calculated over a Budget Year initially, however for “recurring” requirements a 4 year estimate is used to calculate the “total contract value”
    • Where funding is received for a specific project  – even if that project is broken down into stages – then the total budget is taken for the purposes of calculating the contract value
    • It is illegal to subdivide  a project into smaller “lots” in order to avoid complying with Policy i.e. obtaining quotations or tendering.For example:-
              •  Requirement for Consultancy Services to “Write a Review of ?”
        • Additional spends:- Implementing the recommendations of that same review