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Standard Bidding Document Smaller Works Contract (SBDSC). Suitable for unit rate/lump sum Less than us$ 10 million Simple format Can be adapted easily for NCB and lump sum. Instructions to bidders. Works description and completion time Eligibility and capability qualifications
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Standard Bidding DocumentSmaller Works Contract (SBDSC) • Suitable for unit rate/lump sum • Less than us$ 10 million • Simple format • Can be adapted easily for NCB and lump sum
Instructions to bidders • Works description and completion time • Eligibility and capability qualifications • Procedure for clarifications • Bid preparation - format, copies • Bid submission procedures • Language • Pricing and currencies • Price adjustment provisions (if any)
Instructions to bidders (cont.) • Modification and withdrawal • Bid securities, sureties, etc. • Closing date • Opening time, date, place • Corrections • Bid evaluation criteria and procedures • Domestic preferences • Bid validity • Procedures for contract award
Currency & Payment provisions • Civil works - bill of quantities • Borrower’s currency, with portions payable in foreign currency • If so, protect foreign currency component • Civil works - lump sum contracts • Sum of amounts in local currency and foreign currencies • Contract • expressed in the borrower’s currency but protect foreign currency components
SBDSCConditions of contract • Organization in five chapters • General • Time control • Quality control • Cost control • Finishing the contract
SBDSCConditions of contract (cont.) • Contract can be entered with foreign contractor (currencies) • Normally provides for price adjustment • Bill of quantity contract or lump sum • Sharing of risks • Provides for a project manager to supervise works and administer the contract
SBDSCConditions of contract (cont.) • Some specific features of the contract conditions • Adjudicator • Reviews project manager’s decisions contested by contractor • Appointed at time of contract signing • Adjudicator’s decision final unless referred to arbitration within 28 days by either party • Time control • Acceleration/extension • Liquidated damages with ceiling
SBDSCConditions of contract (cont.) • Compensation events • Not reflected in the original pricing of the contract, e.g. unforeseen ground conditions or constraints from utility companies • Entitle contractor to additional payments • Adjustment decided by project manager • If disputed, adjudicator acts • If parties agree, amount paid • If not, can be referred to arbitration
SBDSCConditions of contract (cont.) • Termination for “fundamental” breach of contract • On employer’s side, essentially delayed payment • On contractor’s side, major delays and other similar defaults • Final payment rapidly settled