Construction Procurement documents 2c

1. Construction Procurement documents2c

2. Objective of procurement documents Procurement documents should in general: a) require tenderers to submit particulars sufficient for the employer to evaluate their tenders and to assess their status, capabilities and capacities to perform the contract; b) set out in a clear and unambiguous manner criteria by which tenders are to be evaluated; c) define the risks, liabilities, contractual obligations of the parties to the contract; d) define the nature, quality and quantity of supplies, services or works to be provided in the performance of the contract.

3. A first principle approach to procurement documentation • Procurement documents are required primarily to • solicit tender offers; and • form the basis for a contract.

4. Proposed terms and conditions • Description of what is to be provided • Requirements for and constraints to the works Employer solicits tender offers input Tenderer compiles tender offer and submits it to the Employer output Response to tender and financial offer Terms and conditions Description of what is to be provided Requirements for and constraints to the works Amounts payable on completion of an activity, deliverable or attainment of a milestone Employer compiles contract after evaluating tender offers output input

5. Principle • In order to have a fair, transparent, cost effective and equitable solicitation process, employers should: • provide tenderers with clear instructions as to how they are to submit their tender offers; and • inform them as to how their tenders are to be processed following their receipt.

6. Key principle There should be complete separation in contract documentation between conditions of tender, conditions of contract specifications and terms of payment (including methods of measurement). Should this be done, different conditions of contract and payment systems can be used without affecting the remaining component documents

7. Documents that relate to the “Tender” (See SANS 10403) Tender Notice and Invitation to Tender Alerts prospective contractors to the nature of the supplies, services and works required by the employer and should contain sufficient information to enable them to respond appropriately. Tender Data States what the applicable conditions of tender are and where they may be found. Tender Data also provides the variables for standardised conditions of tender.

8. List of Returnable Documents Ensures that everything the employer requires a tenderer to submit with his tender is included in, or returned with, his tender submission. Returnable Schedules Contains documents that the tenderer is required to complete for the purpose of evaluating tenders, and other schedules which upon acceptance become part of the subsequent contract.

9. Documents that relate to the Contract Offer and Acceptance Formalises the legal process of offer and acceptance Contract data States the applicable conditions of contract and associated contract specific data that collectively describe the risks, liabilities and obligations of the contracting parties and the procedures for the administration of the contract.

10. Pricing Data Pricing Instructions Provides the criteria and assumptions which it will be assumed (in the contract) that the tenderer has taken into account when developing his prices, or target in the case of target and cost reimbursable contracts. Activity Schedules / Bills of Quantity Records the contractor's prices for providing supplies / services / engineering and construction works which are described elsewhere in a specification within the Scope of Work section of the contract.

11. Scope of work Specifies and describes the supplies, services, or engineering and construction works which are to be provided and any other requirements and constraints relating to the manner in which the contract work is to be performed

12. Scope of work (SANS 10403) – Engineering and construction works Description of the works Employer’s objectives Overview of the works Extent of the works Location of the works Temporary works Engineering Design services and activity matrix Employer’s design Design brief Drawings Design procedures Procurement Preferential procurement procedures Subcontracting

13. Scope of work (SANS 10403) – Engineering and construction works Construction Works specifications Plant and materials Construction Equipment Existing services Site establishment Site usage Permits and way leaves Alterations, additions, extensions and modifications to existing works Inspection of adjoining properties Water for construction purposes Survey control and setting out of the works Management Management of the works Health and safety

14. Site Information (works only) Describes the site as at the time of tender to enable the tenderer to price his tender and to decide upon his method of working and programming eg 1. report on founding conditions 2. Building will be occupied during refurbishment contract NB Forms basis of claims if situation is different from what is described.

15. Single volume Tender Document Contents Part 1 Tendering procedures T1.1 Tender Notice and Invitation to Tender T1.2 Tender Data Part 2 Returnable documents T2.1 List of Returnable Documents T2.2 Returnable Schedules Part 1: Agreements and contract data C1.1 Offer and Acceptance C1.2 Contract Data Part 2: Pricing data C2.1 Pricing Instructions C2.2 Activity Schedule / Bill of Quantities Part 3: Scope of Work (C3) Part 4: Site information (C4)

16. 3 Volume Tender Document Contents Volume 1: Tendering procedures Part 1: Tendering procedures Tender Notice and Invitation to Tender Tender Data Volume 2: Returnable documents Part 2: Returnable documents List of Returnable Documents Form of Offer and Acceptance Contract Data (Part 2: Data provided by Contractor) Activity Schedule / Bill of Quantities Returnable Schedules Volume 3: Contract (Draft contract) Part 1: Agreement and Contract Data Contract Data (Part 1: Data provided by Employer) Part 2: Pricing data: Pricing Instructions Part 3: Scope of Work: Scope of Work Part 4: Site information: Site Information

17. Contract Part 1: Agreement and Contract Data Offer and acceptance Contract Data Part 2: Pricing data: Pricing Instructions Activity Schedule / Bill of Quantities Part 3: Scope of Work:Scope of Work Part 4: Site information: Site Information

18. A set of standardised bidding packages Tendering procedures Tender Notice and Invitation to Tender Tender Data Returnable documents List of Returnable Documents Tender Schedules Part 1: Agreements and contract data Offer and Acceptance Contract Data Part 2: Pricing data Pricing Instructions Activity Schedule / Bill of Quantities Part 3: Scope of Work Part 4: Site information Tender specific data needs to be inserted Make use of standard schedules Contract specific data needs to be inserted Varies significantly from contract to contract

19. Standardised procurement documents Tendering procedures Tender Notice and Invitation to Tender Tender Data Returnable documents List of Returnable Documents Returnable Schedules Part 1: Agreements and contract data Offer and Acceptance Contract Data Part 2: Pricing data Pricing Instructions Activity Schedule / Bill of Quantities Part 3: Scope of Work Part 4: Site information Example in CIDB Standard for Uniformity CIDB Standard conditions of tender Examples in CIDB Standard of Uniformity CIDB Standard of Uniformity Standard Industry Form of Contract with contract specific data Project specific SANS 10403 (SANS 1921, SANS 2001 and 1914) Project specific (SANS 10403)

20. STANDARDIZED PROCUREMENT DOCUMENTS FOR MUNICIPAL ENGINEERING AND CONSTRUCTION WORKS Generic • STANDARDIZED CONSTRUCTION PROCUREMENT DOCUMENTS FOR ENGINEERING AND CONSTRUCTION WORKS • Establishes requirements • Provides examples of how component documents should be structured

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