The new payment rules (Royal Decree of 12 August 2024) put an end to the classic distinction between the verification period and the subsequent payment period. Starting from 1 January 2025, a single processing period will be the starting point. For hospitals (and other contracting authorities active in the healthcare sector), a processing period of 60 days will be applied, which can be extended, where necessary, by a verification period of 30 days, particularly for contracts related to their specific activity in the healthcare sector. In this newsletter, the rules specific to healthcare sector institutions will be clarified.
A single processing period. Up until now, Belgian public procurement regulations required that a contracting authority had both a verification period (to verify the works, supplies and services) and a payment period that started on the date the verification period ended (provided the regularly drafted invoice and any other necessary documents were in place). The main change is that these two separate periods will be reduced to one “processing period”. In this processing period, procurers will have to carry out both the inspection and the payment.
How long is the processing period for a hospital? There are specific rules for procurers that provide healthcare and are specifically recognized for that purpose; their processing period is 60 days, although it is only for public procurements related to their specific activity in the healthcare sector.
For any other contract not linked to their specific activity in the health sector, these procurers will only have 30 days.
As such, a different period is used depending on the activity. For activities such as the purchase of laptops for administrative purposes, the exception period does not apply. However, this exception can be used when the contracts concern for example the purchase of medicines.
Can a hospital still provide for a separate verification period? Yes, healthcare procurers may work with separate payment and verification periods by providing for a verification period of up to 30 days in the contract documents.
However, the verification period should not be used merely to obtain a longer overall payment term.
In summary, the following payment rules will apply to hospitals starting from 1 January 2025:
| Contracts related to the specific activity | Contracts not related to the specific activity (rules that apply to all classic contracting authorities) |
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Starting point | Processing period of 60 days | Processing period of 30 days |
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Exception | An additional verification period of 30 days is possible if the following conditions are met: 1° A procedure for acceptance or verification is provided for in the contract documents. 2° The processing period does not exceed 90 days, namely a verification period of maximum 30 days and a payment term of no more than 60 days. 3° Procurers include in the contract documents the verification period of their choice, up to a maximum of 30 days. 4° The described procedure is not used merely to obtain a longer overall payment term. | An extension to 60 days is possible if the following conditions are met: 1° The contract documents explicitly provide for a longer processing period. 2° The exception is objectively justified on the grounds of the special nature or characteristics of the contract. 3° The processing period shall under no circumstances be more than 60 days. 4° This extension is not manifestly unfair on the contractor.
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Should a justification be included in the tender documents regarding the verification period the hospital wishes to provide? No, no justification needs to be included in the contract documents, but in the Report to the King it is pointed out that the procurer must be able to show that the procedure in question is used for a reason other than obtaining a longer payment term.
When do the new payment rules enter into force? These changes come into effect on 1 January 2025 and the rules will apply to public contracts for which the procurement procedure is launched on or after 1 January 2025.
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