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Concession on Municipal Property
Municipality of Dobrich
Background
After the adoption of the Municipal Property Act and the Order of Procurement and Management of Municipal Property Regulation, the Municipal Council of Dobrich undertakes the implementation of a strategy for beneficial use of the municipal property. The municipality considers the concession as the most profitable policy in this case.
Two proposals for opening a procedure for conceding municipal property for use and management (the building of Kindergarten 22 in the town of Dobrich) are submitted to the Municipality of Dobrich. This creates premises for the successful opening of a concession procedure according to the Municipal Property Act and the Order of Procurement and Management of Municipal Property Regulation.
After the adoption of the Municipal Property Act and the Order of Procurement and Management of Municipal Property Regulation, the Municipal Council of Dobrich undertakes the implementation of a strategy for beneficial use of the municipal property. The municipality considers the concession as the most profitable policy in this case.
Two proposals for opening a procedure for conceding municipal property for use and management (the building of Kindergarten 22 in the town of Dobrich) are submitted to the Municipality of Dobrich. This creates premises for the successful opening of a concession procedure according to the Municipal Property Act and the Order of Procurement and Management of Municipal Property Regulation.
Practice
With decisions #27-7/23.12.1997 and #30-5/02.04.1998 the Municipal Council of Dobrich opens the procedure of granting concession of municipal property for a period of 15 years and announces a competition for selection of the concessioner. The objective of the concession is to allow commercial activity in the building of Kindergarten 22 in the town of Dobrich. The type of activity to be developed on these premises is medical and health services.
A committee responsible for organizing and conducting the competition and selecting the concessioner is appointed with a Mayor s order. After the competition is held the committee approves the bid of Avitsena Ltd. private company and ratifies the concession procedure according to the requirements of the Municipal Council of Dobrich.
On July 19 1998 the Municipality of Dobrich signs the first contract for municipal property concession, reaching a mutual agreement for a monthly concession compensation equal to $900, with a one-year free of charge period. A guarantee for the strict observation of the contract are the annual advance payments of a three-month concession compensation.
In the end of June 1999 the biggest private hospital in the country starts operation. It consist of a clinic sector, has two gynaecological departments, clinic laboratory, physiotherapy, dentist department etc. The second floor hosts a children s and an adults stationary, and an operation block with two theatres.
Attached to the hospital is a wholesale medical supplies warehouse, which works very actively and occupies about 20% of the medicine market in the region. A pharmacy is opened at the hospital providing services to the hospital patients.
The Saint Ivan Rilski Chudotvorets Foundation is established. It aims to ensure or assist with funding the medical treatment of disadvantaged citizens - children, pensioners, etc. both in state and private hospitals.
With decisions #27-7/23.12.1997 and #30-5/02.04.1998 the Municipal Council of Dobrich opens the procedure of granting concession of municipal property for a period of 15 years and announces a competition for selection of the concessioner. The objective of the concession is to allow commercial activity in the building of Kindergarten 22 in the town of Dobrich. The type of activity to be developed on these premises is medical and health services.
A committee responsible for organizing and conducting the competition and selecting the concessioner is appointed with a Mayor s order. After the competition is held the committee approves the bid of Avitsena Ltd. private company and ratifies the concession procedure according to the requirements of the Municipal Council of Dobrich.
On July 19 1998 the Municipality of Dobrich signs the first contract for municipal property concession, reaching a mutual agreement for a monthly concession compensation equal to $900, with a one-year free of charge period. A guarantee for the strict observation of the contract are the annual advance payments of a three-month concession compensation.
In the end of June 1999 the biggest private hospital in the country starts operation. It consist of a clinic sector, has two gynaecological departments, clinic laboratory, physiotherapy, dentist department etc. The second floor hosts a children s and an adults stationary, and an operation block with two theatres.
Attached to the hospital is a wholesale medical supplies warehouse, which works very actively and occupies about 20% of the medicine market in the region. A pharmacy is opened at the hospital providing services to the hospital patients.
The Saint Ivan Rilski Chudotvorets Foundation is established. It aims to ensure or assist with funding the medical treatment of disadvantaged citizens - children, pensioners, etc. both in state and private hospitals.
Results
The first contract for granting concession rights over a municipal property is signed in the Municipality of Dobrich. Avitsena Ltd. won the competition and started its activity in June 1999, establishing the biggest private hospital in the country. The hospital comprises a clinic sector, has two gynaecological departments, clinic laboratory, physiotherapy, and a dentist department. Two stationary departments and an operation block with two theatres are also functioning successfully. A pharmacy and a medical supplies warehouse have been set up as part of the hospital.
The first contract for granting concession rights over a municipal property is signed in the Municipality of Dobrich. Avitsena Ltd. won the competition and started its activity in June 1999, establishing the biggest private hospital in the country. The hospital comprises a clinic sector, has two gynaecological departments, clinic laboratory, physiotherapy, and a dentist department. Two stationary departments and an operation block with two theatres are also functioning successfully. A pharmacy and a medical supplies warehouse have been set up as part of the hospital.
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