rfq do… · web view2021. 1. 18. · 031 322 5847 /0789984702. 031 322 7262. email address....

ETHEKWINI WATER & SANITATIONQUOTATION No.: WQ65/11546

SUPPLY AND DELIVERY OF POLYELECTROLYTE AT KWAMASHU WASTEWATER WORKS

EMPLOYER:

ETHEKWINI WATER AND SANITATION E. MSWELI3 PRIOR ROAD HEAD: WATER AND SANITATIONDURBAN4001

ONLY SUPPLIERS WITH PROVEN EXPERIENCE IN THE PARTICULAR FIELD OF WORK SPECIFIED IN THE CONTRACT DOCUMENT WILL BE CONSIDERED.

TENDER DOCUMENTS WILL BE AVAILABLE ONLINE. FOR ANY FURTHER TECHNICAL ENQUIRIES, PLEASE CONTACT THE AREA TECHNICIAN

NOMVULA NESAMARI

(W) : 031 322 5844(C) : 0789984702EMAIL : [email protected]

1

Name of Contractor: __________________________________Telephone No.: __________________________________Fax No.: __________________________________Address: __________________________________

__________________________________Tender Sum R (inclusive of VAT)

QUOTATIONS CLOSE ON 27th of JANUARY 2021 AT 11h00 AND MUST BE PLACED IN THE TENDER BOX ON THE GROUND FLOOR, ETHEKWINI WATER AND SANITATION, CUSTOMER SERVICES BUILDING, 133 K.E MASINGA ROAD (OLD FORT ROAD), DURBAN

eTHEKWINI WATER AND SANITATIONQUOTATION WQ65/11546


SCOPE OF CONTRACT

The contract covers the Supply and delivery of four 750kg bags of poly to KWAMASHU Wastewater Works.

SITE INSPECTION There will not be any compulsory site meeting but you can contact the area technician should you want to see the dewatering facility at the treatment works and arrangements will be made to the superintendent for a site visit.

QUOTATION CLOSURE

Quotation documents shall be deposited in the tender box provided at eThekwini Water and Sanitation, Customer Services Building, 133 K.E Masinga Road (Old Fort Road), Durban, 4001, not later than 11h00 on 2 7th of JANUARY 2021 AT 11h00

DOCUMENTSPERTAINING TO THIS QUOTATION

1. Conditions of Quotation Pages 3-11

2. Pricing Data Pages 12-13

3. Bill of Quantities Page 15

4. Project Specification Page 16-21

5. Quotation Form 1

6. Previous Experience Form Page 22

7. Declaration of Interest Pages 23-24

8. Certification Page 25

9. Declaration of Municipal Fees Page 26

10. Acknowledgement of Undertaking in terms of OHSA Page 27

11. Certificate of Signing Authority Page 28

12. Certificate of Independent Bid Determination Pages 29-31

13. Preference Points Claim Forms Pages 32-38

Contact Person Nomvula Ndlovu Mr M MBATHA

Contact No. 031 322 5847 /0789984702 031 322 7262

Email Address [email protected] mandlakayise.mbatha @durban.gov.za

CONDITIONS OF QUOTATION

1. QUOTATIONS CONDITION OF QUOTATION

Quotations are required for the whole of the work embraced by the documents.

Quotations must hold good for a period of 6 months from the date of opening.

2

mailto:[email protected]

mailto:[email protected]

Withdrawals during this period may only be authorised by the Engineer.

Tenderers must produce original Tax Clearance certificate and BEE certificate together with the Tender documents.

2. QUOTATION FORMS

NOTE: ACCEPTANCE OF QUOTATION

The lowest or any quotation will not necessarily be accepted. The Council does not bind itself to accept the lowest quotation and reserves the right to accept the whole or any part of a quotation.

Quotations will be liable to rejection unless submitted on the attached Quotation Form, and Bill of Quantities where applicable, all of which must be duly completed and signed.

Tenderers shall complete the Quotation Form and Bill of Quantities where applicable in ink. Erasable ink shall not be used. No erasure or any scratching out relating to the completion of the Quotation Form and Bill of Quantities shall be made. Any corrections or alterations shall be made by ruling out incorrect words or figures and inserting the correct words or figures above with the Contractor’s initials affixed thereto.

Failure to comply with these conditions will invalidate the quotation.

If the Tenderer in submitting his quotation makes an error which is patent, the Council reserves the right to correct the error so that the quotation documents reflect the true position.

Where a Bill of Quantities is supplied, the rates shall be deemed to be correct. Any errors in the extensions will be corrected and the corrections will be carried forward to the Quotation Form. Where a correction is made, the corrected amount will be deemed to be the final offer.

All rates and totals in the Bill of Quantities shall be EXCLUSIVE of Valued Added Tax (VAT).

However, the final quotation sum entered on the Quotation Form shall be INCLUSIVE of Valued Added Tax (VAT) with the amount of such tax being stated separately.

3. PAYMENT Payment will be processed within 30 days of receipt of an invoice from the Contractor addressed to the Council and only after approval by the Engineer or his/her representative.

(1) The invoice is to include the heading and the number of the service order.

(2) Payment will be made to the firm or individual whose name appears on the quotation form.

(3) It shall be a condition of payment by the City Council to a Registered vendor that no payment shall be processed unless a Tax Invoice (containing prescribed details) is received from the Contractor

4. PRICES AND VALUE ADDED TAX

Prices shall be quoted net in South African Currency. Prices quoted shall be deemed to be exclusive of value-added tax and the amount of such tax shall be stated separately on the Quotation Form.

3

(VAT) Bidders shall indicate on the Quotation Form whether or not they are registered vendors and, if so, they shall indicate their VAT registration number.

5. TENDERER’S CONDITION OF CONTRACT

Every Tenderer shall be deemed to have waived, renounced and abandoned any condition printed or written upon any stationery used by him for the purpose of, or in connection with the submission of his quotation which is in conflict with the letter of this Contract.

6. DISCREPANC Y IN DOCUMENTS

In the case of any accidental discrepancy or doubt as to the meaning or intention of any part of the drawing/s (if any) and document/s connected with this Contract, reference must always be made to the Engineer for an explanation and the Contractor will be held responsible for any errors that may arise from neglect of this precaution.

7. COMMENCEM ENT OF WORK AND TIME FOR COMPLETION

Unless otherwise required the Supplier should be prepared to commence within one week of order award. The work shall be completed within the time specified on the Quotation Form and in the Project Specification.

8. TERMINATION OF CONTRACT

If, in the opinion of the Engineer, the Contractor-

(i) is not executing the Contract in accordance with the true intent and meaning thereof;

(ii) is refusing to execute the Contract, or delaying the execution of the Contract;

(iii) is not carrying out the Contract at such rate of progress as to ensure completion within the period specified;

or in the event of any other failure of default by the Contractor, the Engineer may give notice in writing to the Contractor to make good the failure or default, and should the Contractor fail to comply with the notice within the period specified therein, then and in such case the City Council shall, without prejudice to any of its rights under the Contract, be at liberty forthwith to perform such service that the Contractor may have neglected to do, or to take over the Contract wholly or order from or Contract with any other person. The Contractor shall be responsible for any loss the Council may sustain by reason of such action as it may take in terms of this Clause.

9. DAMAGES FOR DELAYS

Time is of the essence in this Contract. If the Contractor fails to proceed with and complete the tasks in the manner required by the Contract within the time for completion referred to in the Quotation Form and the Project Specifications, the Council shall be entitled to require payment from the Contractor of the sum stated in the Quotation Form as liquidated damages for each and every day by which the completion of the tasks is delayed beyond the fixed date as aforesaid, and such damages may be deducted by the Council from any monies due to the Contractor; provided that nothing contained in this Clause shall prevent the Council from exercising against the Contractor any other remedies which may be available to it either in terms of this Contract or at common law, or from electing to recover from the Contractor any damage or loss sustained by it in consequence of any breach of the Contract in lieu of enforcing its rights to liquidated damages in terms of this Clause.

10. VARIATION ORDERS

Where a variation order is requested, consideration will be given regarding such circumstances. The variations to the contract will be required to be quantified and

4

costed.

11. TENDERER’S BANKING DETAILS

It is a requirement of the quotation that each Tenderer has the facility of a bank account opened at a recognised financial institution in order that payment may be made. Relevant details of this account shall be inserted on the Quotation Form. The Tenderer shall ensure that his offer is quoted in the same name as that of his banking account in order that payment may be made to the correct party.

12. EXPERIENCE It is a condition of this contract that the Contractor must have proven experience in the particular field of work specified. The scope of this contract must be of similar nature to the current / frequent work done by contractor. Contractors having not done work of a similar nature in the last 18 months will not be considered.

13. TARGETED PROCUREMENT

For the purposes of determining the degree of preference to be accorded, Tenderers are required to complete the application for the targeted enterprise status.

Failure on the part of a Tenderer to fill in and/or sign the declaration will be construed to mean that the preference points are not claimable. Preference points will not be awarded in that case.

Refer to Participation and Conditions Pertaining to Targeted Procurement, available on request.

Tenderers must ensure that they are registered on the database before the closing date of the contract. The contract is an urgent one and a delay of one week in registration after contract has been awarded will be accepted or else disqualification. The onus is upon the tenderer to ensure registration, commencement of work should not be delayed on this account.

14. TARGETED PROCUREMENT PENALTIES

In addition to the penalties specified in the Conditions Pertaining to Targeted Procurement, the supplier will be liable to prosecution and disqualification from future Council tenders.

15. ELIGIBILITY The Tenderer will not be eligible to submit a tender if:

The Supplier / Contractor submitting the tender is under restrictions or has principals who are under restriction to participate in the Employer’s procurement due to corrupt or fraudulent practice;

The Tenderer does not have the legal capacity to enter into contract and does not comply with the legal requirements stated in the Employer’s procurement policy;

The Supplier / Contractor submitting the tender is insolvent in receivership, bankrupt or being wound up, has had his affairs administered by court or judicial officer, has suspended his business activities, or is subject to legal proceedings in respect of the foregoing;

The Tenderer cannot demonstrate that he has the necessary professional and technical qualifications, competent financial resources, equipment and other facilities, managerial capability, personnel, experience and reputation to perform contract;

The Tenderer cannot provide proof that he/she is in good standing with respect to COID duties, taxes, levies and contributions required in terms of legislation

5

applicable to the work in the contract.

16. ADJUDICATI ON OF TENDERERS

Respective tenders will be adjudicated in accordance with the Council Targeted Procurement Policy and points will be awarded on the basis of:

The tendered price (maximum 80 points)

Preferential procurement (maximum 20 points)

****************

The successful Tenderer will be required to complete an indemnity form prior to commencing the Contract.

17. COMPENSATI ON FOR OCCUPATIONAL INJURIES & DISEASES ACT

The contractor must be covered by the Compensation for Occupational Injuries and Diseases Act. (COIDA).

18. PLANT AND MATERIALS

The Contractor shall supply all materials, plant, labour, etc., necessary for the due completion of the work and to make his own arrangements in respect of water and electricity for the works.

19. SITE MAINTENANCE AND CLEARING ON COMPLETION

The Contractor shall keep the site clean and tidy during the execution of the works and shall, on completion of the works, remove all plant, equipment, materials, waste, and leave the site in a condition satisfactory to the Engineer.

20. CONTRACTO RS RESPONSIBILITY

The contractor is to ensure that special instructions are given to the workmen to take care of all property encountered within the premises.

The contractor will be held responsible for the loss or damage of any property whatsoever, and for any damage to any building, plant and equipment, etc., in or about the premises arising from the execution of this contract and must indemnify the Council against any claim arising therefrom.

In a like manner, the contractor will be responsible and must indemnify the Council against any claim for injury to any person or persons arising also from the execution of the contract.

To finalise this aspect the contractor will be required to complete the necessary Indemnity form on award of tender and submit it to the Manager Works, Sanitation Operations Department. No work may start until proof of such indemnity is received by this Department.

The contractor will also be responsible for all safety measures during excavations in accordance with the Occupational Health and Safety Act, No. 85 of l993, and for the provision of safety barriers, etc., for the protection of the public.

21. CONTRACTO RS REPRESENTATIVE

At all times during the execution of the work a competent and responsible employee of the contractor shall be present on the site, and any instructions given to such employee by the Engineers' representative shall be deemed to have been given to the contractor. The contractor’s representative must have a cellular phone on which he can be contacted at all reasonable hours.

6

ETHEKWINI MUNICIPALITY

CODE OF CONDUCT

Applicable to the Procurement of Goods, Services, Engineering and Construction Works

INTRODUCTION Section 217(1) of the Constitution of the Republic of South Africa reads as follows:

“When an organ of state in the national, provincial or local sphere of governments, or any other institution identified in national legislation, contracts for goods or services, it must do so in accordance with a system which is fair, equitable, transparent, competitive and cost-effective”.

It goes without saying that, in addition to the foregoing requirements, it is essential that the procurement of goods and services, including engineering and construction works, by eThekwini Municipality should not be affected, or tainted, by illegal action, or default, at any stage of the process, by any party involved.

The foregoing serves to establish the broad framework within which an action, or default, by any party to the procurement process should be judged. Any action, or default, which conflicts with the objectives of section 217. (1) of the Constitution, or which is illegal, is unacceptable.

A party to the procurement process, who wittingly, commits an unacceptable action, or default, renders itself liable to the appropriate sanction, or even, in the case of an illegal action, or default, to prosecution.

This document contains examples of actions, or defaults, by parties to the public procurement process, which are unacceptable. The lists of examples are, however, not exhaustive and each party must, itself, assess whether an action, or default, would be unacceptable in the light of section 217. (1) of the Constitution, or be illegal.

INVOLVEMENT OF PARTIES IN THE PROCUREMENT PROCESS

The various parties that could be involved in the procurement of goods, services and engineering and construction works by a public process are the following, which are denoted by capital initial letters in this document.

Employer: Any Output Unit or Department within eThekwini Municipality procuring goods, services or engineering and construction works, including other public bodies/ partners assisting in, or exercising control over, the procurement process e.g. Procurement and Tenders Subcommittee etc.

Official: An employee of the Employer.

Agent: One who acts on behalf of the Employer.

Consultant: A professional service provider engaged by the Employer.

Tenderer:One who submits a competitive bid for the supply of goods, services, or engineering and construction works to the Employer.

Contractor: The successful Tenderer to whom the Employer awards the contract for the supply of goods, services, engineering or construction works.

Subcontractor: One who contracts to a Contractor to assist the latter in the execution of his/her contract by supplying certain goods, services, or works.

8

Representative: A political, or other, representative of the public, or of the private sector, who serves on the Procurement and Tenders Sub-committee responsible for policy, oversight of the appointment process or approving any aspect of procurement by eThekwini Municipality.

UNACCEPTABLE ACTIONS AND ESSENTIAL PRACTICESExamples of actions which are unacceptable and essential practices, which would constitute unacceptable defaults if not observed, are given below. The schedules are not exhaustive, but serve to highlight unacceptable actions and defaults which are more commonly encountered.

The EmployerThe Employer should, himself, or through his officials, or agents:-

3.1.1 Not invite tenders without having a firm intention to proceed with the procurement.3.1.2 Ensure that the basis on which tenders will be adjudicated is clearly set out in the

tender documents and that tenders are adjudicated and awarded accordingly.3.1.3 Ensure that the tender documents are clear and comprehensive and set out the

rights and obligation of all parties.3.1.4 Not breach the confidentiality of information, particularly intellectual property,

provided by Tenderers in support of their tenders.3.1.5 Not attempt to “trade off” Tenderers against each other in an attempt to obtain better

offers.3.1.6 Ensure that all Tenderers are fairly treated and that tenders are adjudicated without

bias.3.1.7 Ensure that, except when extra ordinary circumstances dictate otherwise,

transparency is maintained in the tendering process. This implies, inter alia, inviting tenders as widely and publicly as possible, opening tenders in public and reading out/ making available key information, such as tender prices, basic award criteria and times required for completion, and, in due course, making known to unsuccessful Tenderers the outcome of the adjudication process.

3.1.8 Ensure that his/her obligations in terms of contracts with Contractors and Consultants are scrupulously and timeously met, particularly in regard to making payments and giving decisions.

OfficialsAn Official should:-

3.2.1 Strictly observe all code of conduct laid down by the Employer.3.2.2 Ensure that he is not responsible for an unacceptable action, or default, being

attributed to the Employer. 3.2.3 Not allow himself/herself to be influenced in the execution of his/her duties by

any consideration other than the legitimate and reasonable interests of the Employer.

3.2.4 Not accept any gifts, favours or other considerations, of anything more than token value from any other party to the procurement process.

3.2.5 Administer contracts in an even-handed manner.3.2.6 Disclose any circumstance which may possibly be construed as constituting a

conflict of interest and excuse himself/herself from deliberations in such matters

AgentsAn Agent should, insofar as is relevant, act in the same way as the Official is expected to act in terms of Section 3.2.

ConsultantsA Consultant should:-

3.4.1 Strictly observe the code of conduct laid down by the body governing his/her profession.

9

3.4.2 Act in an impartial manner towards all other parties in the procurement process and take account of the legitimate and reasonable interests of them all.

3.4.3 Not accept gifts, favours or other considerations, of anything more than token value from any other party to the procurement process.

3.4.4 Not undermine the development objectives of the Employer through tokenism, fronting or any other misrepresentation.

3.4.5 Disclose any circumstance which may possibly be construed as constituting a conflict of interest and excuse himself/herself from deliberations in such matters.

TenderersA Tenderer should:-

3.5.1 Not, except for the purpose of joint venture formation, become involved in collusion with other Tenderers, or potential Tenderers.

3.5.2 Not exchange information regarding tenders with any other Tenderer prior to the closing date for tenders.

3.5.3 Not knowingly price his/her tender in such a way as to gain an unfair advantage from an obvious error, or oversight, in the tender documents.

3.5.4 Not attempt, in any way, to influence the tender adjudication process.3.5.5 Not approach any Representative or Official directly in connection with a tender,

subsequent to the closing of all tenders.3.5.6 Tenders only on projects for which they are capable of executing with the

resources they are able to marshal in accordance with the terms and conditions of contracts.

The Contractor

The Contractor should:-

3.6.1 Undertake the contract with the objective of fulfilling it in accordance with the needs of and in the best interests of the Employer and, in pursuit of this objective, co-operate with all other parties in the procurement process.

3.6.2 Aim to meet all statutory and contractual obligations fully and timeously in regard to, inter alia, conditions of employment, occupational safety, training, employment of subcontractors and fiscal matters.

3.6.3 Not attempt to influence the judgement, or actions, of Consultants, Officials/Agents, or Representatives by inducements of any sort.

3.6.4 Employ Subcontractors only on the basis of fair, unbiased, written subcontracts.3.6.5 Not engage in unfair, or unethical, practices in order to drive subcontract prices

down.3.6.6 Not make unwarranted claims for additional payment, or time, in the belief that

“nothing venture, nothing gain”.3.6.7 Not approach any Representative directly in connection with a contract.3.6.8 Not undermine the development objectives of the Employer through tokenism,

fronting or any other misrepresentation.

Subcontractors

A Subcontractor should, insofar as is relevant, act in the same way as the Contractor is expected to act in terms of Section 3.6.

RepresentativesA Representative should:-

3.8.1 Perform his duties in an unbiased and conscientious manner, bearing in mind the legitimate interest of all parties to the procurement process and the public.

10

3.8.2 Not entertain representations, except through the Employer or such person as may be delegated by the Employer, from any Consultant, Tenderer, Contractor, or Subcontractor, in regard to a tender, or contract.

3.8.3 Not allow himself to be unduly influenced by, or accept any gifts, favours or other considerations from any party which might have an interest in the procurement process.

3.8.4 Disclose any circumstance which may possibly be construed as constituting a conflict of interest and excuse himself/herself from deliberations in such matters.

Penalties

Where there is non-compliance with this code of conduct, sanctions and/penalties will be applied as follows:

B.1.1 Officials and Representatives

Reference to the Multi-Disciplinary Team in the first instance and thereafter, appropriate action by Management, if applicable.

B.1.2 Contractors/suppliers Depending on the severity of the non-compliance, a contractor/supplier may be disqualified as a registered contractor/supplier for a period of not less than six months. Over and above that financial penalties may be imposed in terms of the Conditions of Contract.

11

C2: PRICING DATA

The Employer shall remunerate and reimburse the Contractor for the performance of the Services as set out in the Scope of Works and other applicable sections of the document.

C2.1 PRICING INSTRUCTIONS

C2.1.1. GENERAL

The Bill of Quantities forms part of the Contract Documents and must be read and priced in conjunction with all the other documents comprising the Contract Documents, which include the Conditions of Tender, Conditions of Contract and the Project Specifications.

C2.1.2 BASIS OF REMUNERATION, METHOD OF TENDERING AND ESTIMATED FEES Fees for the Service will be paid on a lump sum basis per deliverables outlined in Project

Scope. Tenderers are to tender different lump sum rates for the different deliverables in Bill of

Quantities. A deliverable not expressly priced will be deemed to be priced at zero rand.

C2.1.3 REMUNERATION FOR SERVICES Fees for the Service shall be per completed deliverable on the rates tendered. Reimbursable rates for typing, printing and duplicating work and forwarding charges will have

deemed to be included in the lump sum rate tendered per deliverable and will therefore not be paid separately.

Disbursements in respect of all travelling and related expenses including all travelling costs, time charges and subsistence allowances related thereto will be deemed to be included in the lump sum rate tendered per deliverable and will therefore not be paid separately.

C2.1.4 ACCOUNTS All fee accounts shall be signed by a principal of the Service Provider and submitted in

original format, failing which the accounts will be returned. Copies, facsimiles, electronic and other versions of fee accounts will not be considered for payment.

Time sheets giving full particulars of the work, date of execution and time duration, should be submitted with each fee account if applicable for additional Services.

Payments to the Service Provider will be made electronically according to the banking details furnished by the Service Provider. Any change in such banking details must be communicated to the Employer timeously. Fee accounts, correct in all respects, will be deemed submitted when received by the Employer and settled when electronically processed by the Employer.

Accounts for Services rendered may be submitted on the successful completion of a deliverable. Interim accounts will not be considered. Payment of accounts rendered will be subject to the checking thereof by the Employer.

12

C2.2 WORK SCHEDULE

The schedule below reflects the deliverables. This shall form the basis of remunerating the Contractor/Service Provider.

WORK SCHEDULE

The contract covers the Supply and delivery of 750kg bags month of Polyelectrolyte to KWAMASHU Wastewater Works.

Contractors will begin work on the first Monday following receipt of the award letter.

Contractors shall be available to deliver whenever WWTW has a Shortage of Polyelectrolyte

.

13

BILL OF QUANTITIES

Tenderers are required to return with the contract document a completed Bill of Quantity section with rates and Price.

Note: An estimate of four bags of Polyelectrolyte Including of containers containing the product are to be delivered to KWAMASHU Wastewater Works

PAYMENT SCHEDULE

ITEM NO. Description Unit Qty Rate

(R/750kg)Amount in Rands(excl. VAT)

1

2

*Subtotal of the Prices for this tender excluding VAT:

*Carry the total excluding VAT to the quotation form.

Note: Any tender exceeding R200 000.00 inclusive of VAT will be disqualified unfortunately.

14

eTHEKWINI WATER AND SANITATION

QUOTATION WQ65/11546SCOPE OF WORK


PROJECT SPECIFICATIONEmployer’s Objectives

1.1 Background The supply of specialised chemicals, such as liquid polyelectrolyte and dry polyelectrolyte is required

for the effective operation of water and wastewater treatment, within the eThekwini municipality.

Liquid polyelectrolyte is used for purification of drinking water and dry polyelectrolyte is used for

sludge treatment in wastewater treatment works. This contract covers the Supply, delivery and off-

loading of liquid polyelectrolyte and dry polyelectrolyte to various water and wastewater treatment

works of eThekwini Municipality.

1.2 Employers Objectives and Scope of Works

The employer’s objective is to appoint a suitably experienced and qualified supplier for the supply,

delivery and off-loading of dry polyelectrolyte for wastewater treatment sludge conditioning at

KWAMASHU wastewater treatment works.

The scope of works includes, but is not limited to:

Supply, delivery and offloading of polyelectrolyte to KWAMASHU wastewater treatment works

for collection by the Municipality.

The product supplied is required to conform to national and/or international safety standards,

e.g. NSF, WHO, USEPA etc.

The supplier shall supply a certificate of analyses for the product delivered.

The supplier shall use transport that complies with safety requirements for transportation of

hazardous chemicals.

The drivers must be certified Hazardous Chemical drivers

Provision of training services to eThekwini Municipality employees/ contractors with specific

regard to safe use, handling and transporting of chlorine gas.

All polyelectrolyte supplied must be compatible with the existing eThekwini Municipality

equipment/ polyelectrolyte dosing systems.

Technical data sheet and Material safety data sheets, name of the manufacturer with contact

details must be provided to the municipality for all polyelectrolyte products to be supplied.

15

2. Specifications

2.1 Estimated Quantities

(a) The estimated quantities required are set out hereunder, together with the required

container size

(b) These quantities, supplied in this document and listed above are an approximation,

based on historical Monthly consumption, and are used for the information of

tenderers and in order to establish an estimated total contract price for the purpose

of fairness and partiality.

(c) The quantities listed must not be considered as binding and actual quantities

required are, inter alia, dependant on weather conditions, treatment works inflow

properties and process conditions and water consumption rates.

(d) The municipality reserves the right to increase or decrease the quantities stated

above and payment will be made for actual quantities ordered, supplied and/or

delivered. The quantities indicated on the pricing schedule/ bill of quantities are for

information purposes only are not binding consumption quantities and payment will

only be made for actual quantities ordered, supplied and/or delivered

2.2 Samples

The municipality will engage in acquiring adhoc samples from the contractor to ensure

that the supplied product is to an acceptable standard, once the tender has been

awarded. The tenderer will not be given advance notice of this. EWS reserves the right to

test the product supplied without the knowledge of the supplier/ contractor, during the

period of the contract, and to terminate the contract, should the product supplied, not be

to an acceptable standard.

Technical Specification of Polyelectrolyte:

Full Product description

Manufacture

Color

Usage

Storage i) Shelf life

16

ii) Storage conditions T (ᵒC)

iii) Type of packaging

Effective pH range @ 25 ᵒC

Effective dosage levels (kg/m3 )

Specific gravity @ 25 (ᵒC )

Solubility

Kinetic viscosity, ( cst @ 25(ᵒC ))

Sodium (% of total active polymer)

Active content (% minimum)

Other

2.3 Suppliers Specifications

The product supplied must have the approval of the South African Department of Health

and Welfare, or any other recognised and approved authority such as International

bodies, the NSF, USEPA, EU and/or WHO.

Tenderers must furnish a full specification of the product they intend to supply specifically

drawing attention to any non-compliance with this specification.

Material Safety Data Sheets (MSDS) must be supplied for the product.

Occupational Health and Safety Act (Act 85 of 1993) – Hazardous Chemical Substances

Regulations.

2.4 Ordering of Supplies and Delivery

(a) The municipality will issue official Purchase Orders for product under this contract as

and when required. No supply and/or delivery should be undertaken without a

relevant Purchase order addresses to the successful tenderer. The relevant Purchase

Order number must be shown on every invoice.

(b) Tenderers are advised that purchase orders will be placed directly by KWAMASHU

Wastewater Works requiring supply and delivery of product.

(c) Deliveries will be made directly to the KWAMASHU Wastewater Works.

(d) The supplier of the product (whether directly or indirectly supplied by the contractor)

shall at all times have a minimum holding capacity of one month, based on average

monthly consumption, in order to ensure continuous and uninterrupted supply of

17

product to ensure efficient and full functioning of KWAMASHU Wastewater Works.

(e) Delivery lead times are to be specified. Bidders shall clearly state the period within

which delivery will be made after receipt of the official order, as this may be material

in the adjudication of the tender.

(f) Each delivery must be accompanied by a delivery note.

(g) Invoices are to be supported/referenced by copies of delivery notes bearing the

signature of municipal employees confirming receipt of delivery/goods.

(h) Each delivery is to reach the site between 08h00 and 15h00, unless otherwise agreed

upon by the Works Superintendent.

(i) Upon receipt of the order, the successful Tenderer must ensure that the delivery is

made within a time not exceeding 5 working days from the date of receipt of the

order.

(j) Any costs incurred by the municipality due to late delivery will be for the tenderers

account and may include the cost of overtime.

(k) No delivery will be accepted unless it is accompanied by a certificate of Analysis

which will include the requirement of clause 2.10.

(l) The mass of each delivery is to be accurately determined at an invoice.

2.5 Pricing

(a) The pricing schedules list all items that are required under this contract and

tenderers are required to complete the pricing schedule contained in the pricing

instruction to evaluate tenderers on price.

(b) The tenderers shall provide total prices (VAT exclusive) but including customs or

excise duty and any other duty, levy or other applicable tax, for items listed in the

table. Successful tenderers are only allowed payment for items in the pricing

schedule. No additional items/costs (excluding once-off annual price increases) are

to be introduced by the successful tenderer within the duration of the contract.

(c) All items priced must be extended. Tenderers shall not be permitted to submit

computerised Schedule of Quantities with their Tender documents

(d) A net price, exclusive of value added tax, where applicable, must be tendered as

indicated on the Official Tender Form. The amount of value added tax, where

applicable, to be entered in the appropriate column on the Official tender Form

(e) Where any cost variation/ escalation are applicable for:

The base price/ indices/ rates of exchange as well as the percent of the tendered

prices, where applicable are to be clearly stated in the tender document, should

the tender be subject to variation/ escalation

(f) Payment amount for an item that has been delivered will be based on the price at

date of order and not on the price when an item was delivered.

(g) In the absence of anything to the contrary, all prices submitted will be considered to

be firm for the duration of the contract.

18

(h) Price shall remain fixed or firm for a twelve (12) month period from commencement

of contracts.

(i) Tenderers must note that the time from tender advertisement to the time of award

can take a period of one (1) month.

(j) Tenderers are urged to make some accommodation in their pricing for this lag period

should it be deemed necessary by the tenderer upon will and choice of the tenderer

(k) The rates, sums and prices in the Price Schedule are to be fully inclusive prices for

the work described under the items.

(l) All quantities are provisional and do not necessarily represent the actual

requirements under this tender or the quantity that will be ordered. The municipality

reserves the right to increase or decrease the quantities stated and payment will be

made accordingly.

2.6 Negotiations with the Preferred Bidders

The Council reserves the right to invoke section 24 of the Supply Chain regulations to

negotiate the terms of contract with bidders identified through a competitive bidding

process as preferred bidders, and such negotiations shall be based under the following

conditions: -

Negotiations do not allow any preferred bidder a second or unfair opportunity

Negotiations are not to the detriment of any other bidder; and

Negotiations do not lead to a higher price than the bid as submitted

Such negotiation may be delegated to the designated senior manager by the

Accounting Officer

2.7 Quality Management System

The tenderer must submit proof of their implemented quality management system such as

ISO 9000. This directly impacts the criteria referred to in this contract document.

2.8 Non-conformance

Liquid chlorine is to be supplied and delivered in conformance to SANS 50937:2007

Standard Specification for Chlorine.

19

In the event of delivered goods not conforming to the standard specifications stated

above, the municipality reserves the right to reject the delivery and withhold payment for

that delivery.

2.9 Transportation

(a) The dry polyelectrolyte is to be transported to KWAMASHU Wastewater Works in a

suitable vehicle

(b) The driver must have their PDP licence and be a certified Hazchem Driver and have

relevant medical and chlorine handling training certificates.

(c) The vehicle is to have a DG licence disk, be marked clearly (UN1017 stickers on

three sides of the trailers, cranes or tail-lifts, depending on the delivery application)

and carry all necessary safety equipment/ kits.

(d) The vehicle must be in sound operational condition and have no leaks of chemicals,

oil or any other undesirable substances that may endanger the personnel or the

environment.

(e) The tenderer must provide emergency contact details of a responsible person who

can be contacted to deal with any query relating to deliveries, transportation,

offloading and usage of polyelectrolyte.

(f) In the event that there is non-compliance with clause 2.11(d), the vehicle will be

refused entry into the works and the tenderer will be responsible for any penalties

occurred, including financial.

2.10 Training

It is required of the successful tenderer to provide training material and lectures for

eThekwini Municipality employees/ contractors with specific regard to the safe use,

handling, and transporting of polyelectrolyte.

Training courses are to be hosted at designated eThekwini municipality sites.

2.11 Emergency Response Plan

An emergency response plan is to be submitted for spills, accidents and any other

emergencies during transportation or off-loading.

2.12 Compatibility of Equipment and Systems

20

All polyelectrolyte supplied must be compatible with the existing eThekwini municipality

equipment/dry poly systems at the various sites.

2.13 Guarantee of Supply

Should the successful tenderer, for whatever reason be unable to supply product, then

the tenderer would first be expected to purchase equivalent product from alternative

manufacturers and to supply such to the municipality at the contracted prices.

Alternatively, eThekwini municipality reserves the right to purchase alternative similar

products from a different source and to recover the difference in price paid from the

successful tenderer.

.

Should work go well and Targets are met, there is a possibility that increased work on the contract can be obtained however the budget will not change. See conditions of contract.

It is the responsibility of the contractor to ensure that contractor staff is paid fairly according to legislation.

CORRECTION OF ENTRIESIncorrect entries shall not be erased or obliterated with correction fluid but must be crossed out neatly. The correct figures must be entered above or adjacent to the deleted entry, and the alteration must be initialled by the Tenderer.

MONTHLY PAYMENTSMonthly claims will be paid within 30 days from receipt of a correct Tax Invoice by the Employer.

BASIS OF REMUNERATION, METHOD OF TENDERING AND ESTIMATED FEES

ACCOUNTSa. All fee accounts shall be signed by a principal of the Service Provider and submitted

in original format, failing which the accounts will be returned. Copies, facsimiles, electronic and other versions of fee accounts will not be considered for payment.

b. Delivery sheets giving full particulars of the work, date of execution and volumes transported, with detailed lists of all charges (transportation, treatment, disposal) should be submitted with each fee account.

c. Payments to the Service Provider will be made electronically according to the banking details furnished by the Service Provider. Any change in such banking details must be communicated to the Employer timeously. Fee accounts, correct in all respects, will be deemed submitted when received by the Employer and settled when electronically processed by the Employer. The Employer reserves the right to dispute the whole account, any item or part of an item at any time and will deal with such case in terms of clause 14.3 of the General Conditions of Contract.

d. Accounts for Services rendered may be submitted on the successful completion of a deliverable. Interim accounts will not be considered. Payment of accounts rendered will be subject to the checking thereof by the Employer.

WORKMEN’S COMPENSATION INSURANCE

21

Where applicable, Tenderers are to ensure that their employees operating the vehicle/s are covered against accidents in terms of the Workmen’s Compensation Act – Proof of compliance shall be submitted with the tender document by tenderer and always made available upon request by the Employer.

STATUTORY REQUIREMENTS

1.The vehicles to be supplied shall comply in every respect with the National Road Traffic Act of 1996, as amended from time to time, and shall be ready for immediate use. Vehicles which do not have valid licenses and which do not comply with the National Road Traffic Act of 1996 may be asked to leave the premises and will only be granted access once all of these compliances are met.

2.Where applicable, the vehicles shall comply with the Hazardous Substance Act of 1996 as amended with regard to sludge transportation.

3. Vehicles to have a Low Hazard slippery sign displayed.

Summarizing, the Contractor will be expected to comply with all relevant legislation (as amended), including but not necessarily confined to:

a) The National Water Act, (Act 36 of 1998) b) The National Environmental Management Act, (Act 107 of 1998)c) The Environmental Conservation Act, (Act 73 of 1989) d) The National Health Act (Act 61 of 2003) f) The National Road Traffic Act (Act 93 of 1996) g) The Occupational Health and Safety Act (Act 85 of 1993)

INSURANCE

All vehicles offered are to be covered by comprehensive motor vehicle insurance by the Tenderer. The successful Tenderer shall accept liability for loss or damage to the vehicles whether in operation or otherwise i.e. the Council accepts no responsibility for the security or damages to the Tenderers vehicles on site, whether in operation or not.

22

INDEMNITY

Tenderers will be required to complete an indemnity document which must be signed by the Owner or Director of the company.

METHOD OF CARRYING OUT WORK

1. Contractors shall at all times carry out work assigned in the order and manner prescribed by the Works Area Engineer or Authorised Official of the respective work sites. The successful Tenderer or their personnel shall be responsible at all times for the correct completion of prescribed forms as presented by the Works Area Engineer or Authorised Official.

2. The relevant forms/waybills must be signed by the driver and countersigned by an authorised Council employee at the respective Treatment Works.

LIQUIDATED DAMAGES

In terms of Clause 13 (2) of the General Conditions of Contract (Goods/Services) liquidated damages amounting to 2% of the value of the undelivered portion of any overdue order will be charged for each and every week or portion of a week that the delivery is overdue.

Health and Safety

A detailed health and safety plan shall be submitted by the successful tenderer before commencement of work on the contract.

Work Experience

It is an essential requirement of the contract that the tenderer has experience of a similar nature and this work required on the contract is line with the tenderer’s current line of work. Tenderer must have done work of a similar nature in the last 18 months from the date of advertising the contract. If this is not met as per experience schedule, EWS reserves the right to disqualify the tenderer should EWS deem this necessary.

Similar defined as tenderer dealing with wastewater sewage sludge, wastewater raw sewage or other hazardous chemicals whereby removal and transportation of this hazardous material was completed.

It is compulsory that the experience schedule is filled out to as much detail as possible.

23


QUOTATION WQ65/11546


QUOTATION FORM

I/We the undersigned hereby offer to carry out the above-mentioned work to the best description, according to the true intent and meaning of the specifications for the sum of:

Sub Total from Bill of Quantities R_______________________

+ VAT. (15%) R _______________________

Total Quotation Sum R _______________________

Amount in words: R________________________ __________________________________________________________________________

I/We agree to complete the whole of the work in every respect to the satisfaction of the Head: eThekwini Water and Sanitation within a period of _____ from the date of the official order requesting the work to be carried out.

Liquidated damages Clause 10 R 250 /day

I am/am not* a registered vendor in terms of VAT legislation(*Delete whichever is not applicable).

My VAT. Registration number is: ________________________________

SIGNATURE : ________________________________ NAME IN BLOCK LETTERS: ________________________________

NAME OF FIRM IN BLOCK LETTERS: ________________________________

ADDRESS: ________________________________________________________DATE: ________________________________

TELEPHONE NUMBER: __________________________

TELEFAX NUMBER: __________________________

BANK ACCOUNT DETAILS:

BANK/FINANCIAL INSTITUTION: _______________________________________

BRANCH: _______________________ ACCOUNT No.:__________________________

ACCOUNT HOLDER (NAME/NAME OF FIRM):____________________________________

24




PREVIOUS EXPERIENCE FORM

It is a requirement of this Contract that Service Providers have previous experience in work of similar nature. Tenderers shall insert in the space provided below, and submit with the tender, the following statement listing work of a similar nature to that required in this contract that they have successfully carried out.

For Whom Done Nature of Works Value of Work

Year Completed Duration

SIGNATURE OF TENDERER: .....................................................................

DATE: .....................................................................

25




DECLARATION OF INTEREST

1. No bid will be accepted from persons in the service of the state.2. Any person, having a kinship with persons in the service of the state, including a blood

relationship, may make an offer or offers in terms of this invitation to bid. In view of possible allegations of favouritism, should the resulting bid, or part thereof, be awarded to persons connected with or related to persons in service of the state, it is required that the bidder or their authorised representative declare their position in relation to the evaluating/adjudicating authority and/or take an oath declaring his/her interest.

3. In order to give effect to the above, the following questionnaire must be completed and submitted with the bid.

3.1 Full Name: …………………………………………………………………………

3.2 Identity Number: …………………………………………………………………

3.3 Company Registration Number: …………………………………………………

3.4 Tax Reference Number: …………………………………………………………

3.5 VAT Registration Number: ………………………………………………………

3.6 Are you presently in the service of the state YES / NO

3.6.1 If so, furnish particulars.

……………………………………………………………… 3.7 Have you been in the service of the state for the past YES / NO

MSCM Regulations: “in the service of the state” means to be –(a) a member of –

(i) any municipal council;(ii) any provincial legislature; or(iii) the national Assembly or the national Council of provinces;

(b) a member of the board of directors of any municipal entity;(c) an official of any municipality or municipal entity;(d) an employee of any national or provincial department, national or provincial public entity or constitutional institution

within the meaning of the Public Finance Management Act, 1999 (Act No.1 of 1999);(e) a member of the accounting authority of any national or provincial public entity; or(f) an employee of Parliament or a provincial legislature.

2 Shareholder means a person who owns shares in the company and is actively involved in the management of the company or business and exercises control over the company.

27

twelve months?


………………………………………………………………

………………………………………………………………

3.8 Do you, have any relationship (family, friend, other) with YES / NO persons in the service of the state and who may be involved

with the evaluation and or adjudication of this bid


………………………………………………………………

……………………………………………………………… 3.9 Are you, aware of any relationship (family, friend, other) between a bidder and any persons in the service of the YES / NO state who may be involved with the evaluation and or adjudication of this bid?

3.9.1 If so, furnish particulars

…………………………………………………………….

…………………………………………………………….

3.10 Are any of the company’s directors, managers, principal YES / NO shareholders or stakeholders in service of the state?


………………………………………………………………

………………………………………………………………

3.11 Are any spouse, child or parent of the company’s directors, YES / NO managers, principal shareholders or stakeholders in service

of the state?


………………………………………………………………

………………………………………………………………

28




CERTIFICATION

I, THE UNDERSIGNED (NAME) ………………………………………………………………………

CERTIFY THAT THE INFORMATION FURNISHED ON THIS DECLARATION FORM IS CORRECT.

I ACCEPT THAT THE STATE MAY ACT AGAINST ME SHOULD THIS DECLARATION PROVE TO BE FALSE.

………………………………….. ………………….. Signature Date

…………………………………. …………………………… Position Name of Bidder

29

DECLARATION OF MUNICIPAL FEES

I, the undersigned, do hereby declare that the Municipal fees of

.................................................................................................................................................. (Full name of Company / Close Corporation / partnership / sole proprietary/Joint Venture)(hereinafter referred to as the TENDERER) are, as at the date hereunder, fully paid or an Acknowledgement of Debt has been concluded with the Municipality to pay the said charges in instalments. The following account details relate to property of the said TENDERER:

Account Account Number: to be completed by tenderer.

Consolidated Account No.

Electricity

Water

Rates

JSB Levies

Other

Other

I acknowledge that should the aforesaid Municipal charges fall into arrears, the Municipality may take such remedial action as is required, including termination of any contract, and any payments due to the Contractor by the Municipality shall be first set off against such arrears. ATTACHED, to the back inside cover of this document, please find copies of the above account’s and or agreements signed with the municipality.

Where the TENDERER’S place of business or business interests are outside the jurisdiction of eThekwini municipality, a copy of the accounts/agreements from the relevant municipality must be attached (to the back inside cover of this document).

Where the tenderer’s Municipal Accounts are part of their lease agreement, then a copy of the agreement, or official letter to that effect is to be attached (to the back inside cover of this document).

NAME : ........................................................................ (Block Capitals)

SIGNATURE : ……………………………..………….……… DATE: ..............................

(of person authorised to sign on behalf of the Tenderer)

30

ENQUIRY WQ65/11546

Contractor Acknowledgement of Responsibility in terms of the Occupational Health and Safety Act

With written agreement between eThekwini Municipality (the “Employer”) and

....................................................................................................................... (the “Mandatary”)

as provided for in terms of Section 37 (2) of the Occupational Health and Safety Act No. 85 of 1993 as amended by Act 181 of 1993.

I hereby declare that I, ........................................................................, am authorised to represent the “Mandatary” and acknowledge that the “Mandatary” is an employer in its own right with all duties and responsibilities as prescribed in the Occupational Health and Safety Act no. 85 of 1993.

I agree to ensure that all work performed or machinery and plant used by the “Mandatary” on any eThekwini Municipality premises shall be in accordance with the provisions of the said Act.

Furthermore, I agree the “Mandatary” shall comply with all eThekwini Municipality site rules and safety, health, and environmental requirements as may be communicated or stipulated by eThekwini Municipality prior to and during the course of any Contract awarded to the “Mandatary” by eThekwini Municipality.

Furthermore, I undertake to ensure that eThekwini Municipality is timeously informed should the “Mandatary”, for whatever reason, be unable to perform in terms of this agreement.

Signed this ............................................. day of ............................................20.............

On behalf of the “Mandatary” (print) .........................................................................

(sign) .........................................................................

On behalf of the “Employer” (print) ........................................................................

(sign) .........................................................................

**FAILURE TO COMPLETE THIS FORM WILL INVALIDATE THE QUOTATION**

31

ENQUIRY WQ65/11546

CERTIFICATE OF SIGNING AUTHORITY

I, ..................................................................., chairperson of the Board of Directors of the company

......................................................................................................................................,

hereby confirm that by resolution of the Board taken on .......................................20......, MR/MRS............................................................................., acting in the capacity of ..........................................................................................................., was authorised to sign all documents in connection with this quotation and any contract resulting from it on behalf of the company.

Chairman : ...................................................................................

As witnesses : 1. ..............................................................................

2. ..............................................................................

Date : ............................................................

32




CERTIFICATE OF INDEPENDENT BID DETERMINATION (MBD9)

1 This Municipal Bidding Document (MBD) must form part of all bids¹ invited.

2 Section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, prohibits an agreement between, or concerted practice by, firms, or a decision by an association of firms, if it is between parties in a horizontal relationship and if it involves collusive bidding (or bid rigging).² Collusive bidding is a pe se prohibition meaning that it cannot be justified under any grounds.

3 Municipal Supply Regulation 38 (1) prescribes that a supply chain management policy must provide measures for the combating of abuse of the supply chain management system, and must enable the accounting officer, among others, to:

(a) take all reasonable steps to prevent such abuse;

(b) reject the bid of any bidder if that bidder or any of its directors has abused the supply chain management system of the municipality or municipal entity or has committed any improper conduct in relation to such system; and

(c) cancel a contract awarded to a person if the person committed any corrupt or fraudulent act during the bidding process or the execution of the contract.

4 This MBD serves as a certificate of declaration that would be used by institutions to ensure that, when bids are considered, reasonable steps are taken to prevent any form of bid-rigging.

5 In order to give effect to the above, the attached Certificate of Bid Determination (MBD 9) must be completed and submitted with the bid:

¹ Includes price quotations, advertised competitive bids, limited bids and proposals.

² Bid rigging (or collusive bidding) occurs when businesses, that would otherwise be expected to compete, secretly conspire to raise prices or lower the quality of goods and / or services for purchasers who wish to acquire goods and / or services through a bidding process. Bid rigging is, therefore, an agreement between competitors not to compete.

33


QUOTATION WQ 65/11546SUPPLY AND DELIVERY OF POLYELECTROLYTE AT KWAMASHU

WASTEWATER WORKS

CERTIFICATE OF INDEPENDENT BID DETERMINATION (MBD9)

I, the undersigned, in submitting the accompanying bid:________________________________________________________________________

(Bid Number and Description) in response to the invitation for the bid made by:_________________________________________________________________________

(Name of Municipality / Municipal Entity)

do hereby make the following statements that I certify to be true and complete in every respect:

I certify, on behalf of:_____________________________________________________ that: (Name of Bidder)

1. I have read and I understand the contents of this Certificate;2. I understand that the accompanying bid will be disqualified if this Certificate is found

not to be true and complete in every respect;3. I am authorized by the bidder to sign this Certificate, and to submit the accompanying

bid, on behalf of the bidder;4. Each person whose signature appears on the accompanying bid has been

authorized by the bidder to determine the terms of, and to sign, the bid, on behalf of the bidder;

5. For the purposes of this Certificate and the accompanying bid, I understand that the word “competitor” shall include any individual or organization, other than the bidder, whether or not affiliated with the bidder, who:

(a) has been requested to submit a bid in response to this bid invitation;

(b) could potentially submit a bid in response to this bid invitation, based on their qualifications, abilities or experience; and

(c) provides the same goods and services as the bidder and/or is in the same line of business as the bidder

6. The bidder has arrived at the accompanying bid independently from, and without consultation, communication, agreement or arrangement with any competitor. However communication between partners in a joint venture or consortium³ will not be construed as collusive bidding.

7. In particular, without limiting the generality of paragraphs 6 above, there has been no consultation, communication, agreement or arrangement with any competitor regarding:

(a) prices; (b) geographical area where product or service will be rendered (market

allocation) (c) methods, factors or formulas used to calculate prices;

34

(d) the intention or decision to submit or not to submit, a bid;

(e) The submission of a bid which does not meet the specifications and conditions of the bid; or

(f) Bidding with the intention not to win the bid.

8. In addition, there have been no consultations, communications, agreements or arrangements with any competitor regarding the quality, quantity, specifications and conditions or delivery particulars of the products or services to which this bid invitation relates.

9. The terms of the accompanying bid have not been, and will not be, disclosed by the bidder, directly or indirectly, to any competitor, prior to the date and time of the official bid opening or of the awarding of the contract.

³ Joint venture or Consortium means an association of persons for the purpose of combining their expertise, property, capital, efforts, skill and knowledge in an activity for the execution of a contract.

10. I am aware that, in addition and without prejudice to any other remedy provided to combat any restrictive practices related to bids and contracts, bids that are suspicious will be reported to the Competition Commission for investigation and possible imposition of administrative penalties in terms of section 59 of the Competition Act No 89 of 1998 and or may be reported to the National Prosecuting Authority (NPA) for criminal investigation and or may be restricted from conducting business with the public sector for a period not exceeding ten (10) years in terms of the Prevention and Combating of Corrupt Activities Act No 12 of 2004 or any other applicable legislation.

………………………………………………… …………………………………

Signature Date

…………………………………………………. …………………………………

Position Name of Bidder

35




PREFERENCE POINTS CLAIM FORM IN TERMS OF THE PREFERENTIAL PROCUREMENT REGULATIONS 2011

This preference form must form part of all bids invited. It contains general information and serves as a claim form for preference points for Broad-Based Black Economic Empowerment (B-BBEE) Status Level of Contribution

NB: BEFORE COMPLETING THIS FORM, BIDDERS MUST STUDY THE GENERAL CONDITIONS, DEFINITIONS AND DIRECTIVES APPLICABLE IN RESPECT OF B-BBEE, AS PRESCRIBED IN THE PREFERENTIAL PROCUREMENT REGULATIONS, 2011.

1. GENERAL CONDITIONS

1.1 The following preference point systems are applicable to all bids:

- the 80/20 system for requirements with a Rand value of up to R1 000 000 (all applicable taxes included); and

- The 90/10 system for requirements with a Rand value above R1 000 000 (all applicable taxes included).

1.2 The value of this bid is estimated to exceed/not exceed R1 000 000 (all applicable taxes included) and therefore the……………………system shall be applicable.

1.3 Preference points for this bid shall be awarded for:

(a) Price; and(b) B-BBEE Status Level of Contribution.

1.3.1 The maximum points for this bid are allocated as follows:POINTS

1.3.1.1 PRICE ……….…..

1.3.1.2 B-BBEE STATUS LEVEL OF CONTRIBUTION …………...

Total points for Price and B-BBEE must not exceed 100

1.4 Failure on the part of a bidder to fill in and/or to sign this form and submit a B-BBEE Verification Certificate from a Verification Agency accredited by the South African Accreditation System (SANAS) or a Registered Auditor approved by the Independent Regulatory Board of Auditors (IRBA) or an Accounting Officer as contemplated in the Close Corporation Act (CCA) together with the bid, will be interpreted to mean that preference points for B-BBEE status level of contribution are not claimed.

1.5. The purchaser reserves the right to require of a bidder, either before a bid is adjudicated

36

or at any time subsequently, to substantiate any claim in regard to preferences, in any manner required by the purchaser.

2. DEFINITIONS

2.1 “all applicable taxes” includes value-added tax, pay as you earn, income tax, unemployment insurance fund contributions and skills development levies;

2.2 “B-BBEE” means broad-based black economic empowerment as defined in section 1 of the Broad -Based Black Economic Empowerment Act;

2.3 “B-BBEE status level of contributor” means the B-BBEE status received by a measured entity based on its overall performance using the relevant scorecard contained in the Codes of Good Practice on Black Economic Empowerment, issued in terms of section 9(1) of the Broad-Based Black Economic Empowerment Act;

2.4 “bid” means a written offer in a prescribed or stipulated form in response to an invitation by an organ of state for the provision of services, works or goods, through price quotations, advertised competitive bidding processes or proposals;

2.5 “Broad-Based Black Economic Empowerment Act” means the Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003);

2.6 “comparative price” means the price after the factors of a non-firm price and all unconditional discounts that can be utilized have been taken into consideration;

2.7 “consortium or joint venture” means an association of persons for the purpose of combining their expertise, property, capital, efforts, skill and knowledge in an activity for the execution of a contract;

2.8 “contract” means the agreement that results from the acceptance of a bid by an organ of state;

2.9 “EME” means any enterprise with an annual total revenue of R5 million or less.

2.10 “Firm price” means the price that is only subject to adjustments in accordance with the actual increase or decrease resulting from the change, imposition, or abolition of customs or excise duty and any other duty, levy, or tax, which, in terms of the law or regulation, is binding on the contractor and demonstrably has an influence on the price of any supplies, or the rendering costs of any service, for the execution of the contract;

2.11 “functionality” means the measurement according to predetermined norms, as set out in the bid documents, of a service or commodity that is designed to be practical and useful, working or operating, taking into account, among other factors, the quality, reliability, viability and durability of a service and the technical capacity and ability of a bidder;

2.12 “non-firm prices” means all prices other than “firm” prices;

2.13 “person” includes a juristic person;

2.14 “rand value” means the total estimated value of a contract in South African currency, calculated at the time of bid invitations, and includes all applicable taxes and excise duties;

2.15 “sub-contract” means the primary contractor’s assigning, leasing, making out work to, or

37

employing, another person to support such primary contractor in the execution of part of a project in terms of the contract;

2.16 “total revenue” bears the same meaning assigned to this expression in the Codes of Good Practice on Black Economic Empowerment, issued in terms of section 9(1) of the Broad-Base Black Economic Empowerment Act and promulgated in the Government Gazette on 9 February 2007;

2.17 “trust” means the arrangement through which the property of one person is made over or bequeathed to a trustee to administer such property for the benefit of another person; and

2.18 “trustee” means any person, including the founder of a trust, to whom property is bequeathed in order for such property to be administered for the benefit of another person.

3. ADJUDICATION USING A POINT SYSTEM

3.1 The intention is to award the contract to the bidder obtaining the highest number of total points.

3.2 Preference points shall be calculated after prices have been brought to a comparative basis taking into account all factors of non-firm prices and all unconditional discounts;.

3.3 Points scored must be rounded off to the nearest 2 decimal places.

3.4 In the event that two or more bids have scored equal total points, the successful bid must be the one scoring the highest number of preference points for B-BBEE.

3.5 However, when functionality is part of the evaluation process and two or more bids have scored equal points including equal preference points for B-BBEE, the successful bid

must be the one scoring the highest score for functionality.

3.6 Should two or more bids be equal in all respects, the award shall be decided by the drawing of lots.

4. POINTS AWARDED FOR PRICE

4.1 THE 80/20 OR 90/10 PREFERENCE POINT SYSTEMS

A maximum of 80 or 90 points is allocated for price on the following basis:

80/20 or 90/10

Ps=80(1− Pt−PminPmin )Or

Ps=90(1−Pt−PminPmin )Where

Ps = Points scored for comparative price of bid under consideration

Pt = Comparative price of bid under consideration

38

Pmin = Comparative price of lowest acceptable bid

5. Points awarded for B-BBEE Status Level of Contribution

5.1 In terms of Regulation 5 (2) and 6 (2) of the Preferential Procurement Regulations, preference points must be awarded to a bidder for attaining the B-BBEE status level of contribution in accordance with the table below:

B-BBEE Status Level of

Contributor

Number of points (90/10 system)

Number of points (80/20 system)

1 10 20

2 9 18

3 8 16

4 5 12

5 4 8

6 3 6

7 2 4

8 1 2

Non-compliant contributor

0 0

5.2 Bidders who qualify as EMEs in terms of the B-BBEE Act must submit a certificate issued by an Accounting Officer as contemplated in the CCA or a Verification Agency accredited by SANAS or a Registered Auditor. Registered auditors do not need to meet the prerequisite for IRBA’s approval for the purpose of conducting verification and issuing EMEs with B-BBEE Status Level Certificates.

5.3 Bidders other than EMEs must submit their original and valid B-BBEE status level verification certificate or a certified copy thereof, substantiating their B-BBEE rating issued by a Registered Auditor approved by IRBA or a Verification Agency accredited by SANAS.

5.4 A trust, consortium or joint venture, will qualify for points for their B-BBEE status level as a legal entity, provided that the entity submits their B-BBEE status level certificate.

5.5 A trust, consortium or joint venture will qualify for points for their B-BBEE status level as an unincorporated entity, provided that the entity submits their consolidated B-BBEE scorecard as if they were a group structure and that such a consolidated B-BBEE scorecard is prepared for every separate bid.

5.6 Tertiary institutions and public entities will be required to submit their B-BBEE status level certificates in terms of the specialized scorecard contained in the B-BBEE Codes of Good Practice.

5.7 A person will not be awarded points for B-BBEE status level if it is indicated in the bid documents that such a bidder intends sub-contracting more than 25% of the value of the contract to any other enterprise that does not qualify for at least the points that such a bidder qualifies for, unless the intended sub-contractor is an EME that has the capability and ability to execute the sub-contract.

39

5.8 A person awarded a contract may not sub-contract more than 25% of the value of the contract to any other enterprise that does not have an equal or higher B-BBEE status level than the person concerned, unless the contract is sub-contracted to an EME that has the capability and ability to execute the sub-contract.

6. BID DECLARATION

6.1 Bidders who claim points in respect of B-BBEE Status Level of Contribution must complete the following:

7. B-BBEE STATUS LEVEL OF CONTRIBUTION CLAIMED IN TERMS OF PARAGRAPHS 1.3.1.2 AND 5.1

7.1 B-BBEE Status Level of Contribution:…………. = ……………(maximum of 10 or 20 points)

(Points claimed in respect of paragraph 7.1 must be in accordance with the table reflected in paragraph 5.1 and must be substantiated by means of a B-BBEE certificate issued by a Verification Agency accredited by SANAS or a Registered Auditor approved by IRBA or an Accounting Officer as contemplated in the CCA).

8 SUB-CONTRACTING 8.1 Will any portion of the contract be sub-contracted? YES / NO (delete which is not

applicable) 8.1.1 If yes, indicate:

(i) what percentage of the contract will be subcontracted? ............……………….…%

(ii) the name of the sub-contractor…………………………………………………………..(iii) the B-BBEE status level of the sub-contractor?……………..(iv) whether the sub-contractor is an EME? YES/NO (delete which is not applicable)

9 DECLARATION WITH REGARD TO COMPANY/FIRM

9.1 Name of firm :....................................................................................

9.2 VAT registration number :....................................................................................9.3 Company registration number

……………………………………………………………………. :

9.4 TYPE OF COMPANY/ FIRM

Partnership/Joint Venture / Consortium One person business/sole propriety Close corporation Company (Pty) Limited[TICK APPLICABLE BOX]

9.5 DESCRIBE PRINCIPAL BUSINESS ACTIVITIES

………….....................................................................................................................................………………..............................................................................................................................

40

…………….................................................................................................................................

9.6 COMPANY CLASSIFICATION

Manufacturer Supplier Professional service provider Other service providers, e.g. transporter, etc.

[TICK APPLICABLE BOX]

9.7 MUNICIPAL INFORMATION

Municipality where business is situated…………………………………………………………………..

Registered Account Number …………………………….Stand Number ……………………………………………….

9.8 TOTAL NUMBER OF YEARS THE COMPANY/FIRM HAS BEEN IN BUSINESS? ……………………………………9.9 I/we, the undersigned, who is / are duly authorised to do so on behalf of the

company/firm, certify that the points claimed, based on the B-BBEE status level of contribution indicated in paragraph 7 of the foregoing certificate, qualifies the company/ firm for the preference(s) shown and I / we acknowledge that:

(i) The information furnished is true and correct;

(ii) The preference points claimed are in accordance with the General Conditions as indicated in paragraph 1 of this form.

(iii) In the event of a contract being awarded as a result of points claimed as shown in paragraph 7, the contractor may be required to furnish documentary proof to the satisfaction of the purchaser that the claims are correct;

(iv) If the B-BBEE status level of contribution has been claimed or obtained on a fraudulent basis or any of the conditions of contract have not been fulfilled, the purchaser may, in addition to any other remedy it may have –

(a) disqualify the person from the bidding process;

(b) recover costs, losses or damages it has incurred or suffered as a result of that person’s conduct;

(c) cancel the contract and claim any damages which it has suffered as a result of having to make less favourable arrangements due to such cancellation;

(d) restrict the bidder or contractor, its shareholders and directors, or only the shareholders and directors who acted on a fraudulent basis, from obtaining business from any organ of state for a period not exceeding 10 years, after the audi alteram partem (hear the other side) rule has been applied; and

(e) forward the matter for criminal prosecution

41

WITNESSES:

1. ………………………………………

……………………………………SIGNATURE(S) OF BIDDER(S)

2. ………………………………………

DATE:………………………………..

ADDRESS:…………………………..

….…………………………………….

……………………………………….

…………….…………………………

42