Construction Indaba 2013CIDB Standard for Uniformity

Compiled and Presented by Dave Baytopp (Engineering Unit)

Legal Authority of CIDB

CIDB ACT – 13 Nov 2000 • To provide for the establishment of the Construction Industry

Development Board;

• to implement an integrated strategy for the reconstruction, growth and development of the construction industry; and

• to provide for matters connected therewith.

CIDB ACT – 13 Nov 2000 (other)

CHAPTER THREE : REGISTER OF CONTRACTORS 17 Keeping of register

1) The Board shall keep and maintain a register of the prescribed particulars of contractors who are registered with the Board and a registered contractor must, in writing, notify the Board of substantive changes of those particulars within 30 days after such a change,

2) A contractor may apply to the Board to amend its category status.

CIDB ACT – 13 Nov 2000 (other)

CHAPTER THREE : REGISTER OF CONTRACTORS 18 Unregistered contractors

1) A contractor may not undertake, carry out or complete any construction works or portion thereof for public sector contracts, awarded in terms of competitive tender or quotation, unless he or she is registered with the Board and holds a valid registration certificate issued by the Board.

CIDB ACT – 13 Nov 2000 (other)

CHAPTER THREE : REGISTER OF CONTRACTORS 20 Duration and renewal of registration

1) Registration by the Board in terms of this Act is valid for a period of three years.

2) A registered contractor must apply for renewal of registration three months before the existing registration expires or on the sale or transfer of the contractor’s business and must pay the prescribed renewal fee.

CIDB ACT – 13 Nov 2000

CHAPTER TWO : CONSTRUCTION INDUSTRY DEVELOPMENT BOARD Objects of Board

4. The objects of the Board are to -

(f) promote, establish or endorse –

(i) uniform standards; and(ii) ethical standards,

that regulate the actions, practices and procedures of parties engaged in construction contracts.

CIDB ACT – 13 Nov 2000

CHAPTER TWO : CONSTRUCTION INDUSTRY DEVELOPMENT BOARD Powers, functions and duties of Board

5.(3) To advance the uniform application of policy with regard to construction industry development, the Board -

a) ………………..b) ………………..c) must, within the framework of the procurement policy of

Government, promote the standardisation of the procurement process with regard to the construction industry:

CIDB ACT – 13 Nov 2000

CHAPTER TWO : CONSTRUCTION INDUSTRY DEVELOPMENT BOARD Powers, functions and duties of Board

5.(4) To promote uniform and ethical standards within the construction industry, the Board –

a) must publish a code of conduct for all construction-related procurement and all participants involved in the procurement process; and

b) may initiate, promote and implement national programmes and projects aimed at the standardisation of procurement documentation, practices and procedures.

CIDB ACT – 13 Nov 2000 (other)

CHAPTER THREE : REGISTER OF CONTRACTORS 33 Regulations

1) The Minister may, by notice in the Gazette, make regulations not inconsistent with this Act with regard to any matter that is required or permitted to be prescribed in terms of this Act and any other matter for the better execution of this Act or in relation to any power granted or function or duty imposed by this Act.

CIDB REGULATIONS – 14 Nov 2008 (2004)

These Regulations commence on date of publication but –

a) Part III, for a project of which the project value exceeds R200 000.00 and Part IV, in relation to all projects, commence in-

• the eThekwini Metropolitan Council on 14 January 2005

24 Preparation for construction procurement

The solicitation of competitive tenders must be in accordance with –

b) the Regulations in terms of the PFMA: Framework For SCM; or

c) the Municipal SCM Regulations; and

d) the Standard for Uniformity in Construction Procurement.

STANDARD FOR UNIFORMITY IN CONSTRUCTION PROCUREMENT (May 2010)

This standard is issued in terms of sections 4(f), 5(3)(c) and 5(4)(b) of the Construction Industry Development Board Act read with Regulation 24 of the Construction Industry Development Regulations, issued in terms of section 33.

Scope

This standard establishes requirements for procurement within the construction industry which are aimed at bringing about standardisation and uniformity in construction procurement documentation, practices and procedures.

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STANDARD FOR UNIFORMITYRequirements

Construction procurement shall be undertaken in accordance with:a) the provisions of legislation regulating procurement; andb) the CIDB Code of Conduct for all parties engaged in Construction

Procurement

Legislation Regulating Procurement

• Constitution• Preferential Procurement Policy Framework Act (PPPFA)• PPPFA Regulations• Public Finance Management Act (PFMA)• Municipal Finance Management Act (MFMA)• MFMA Regulations• Supply Chain Management Policy• Broad-Based Black Economic Empowerment Act (B-BBEE)• B-BBEE : Codes of Good Practice• Construction Industry Development Board Act (CIDB)• CIDB Regulations

STANDARD FOR UNIFORMITYStandard Procurement Procedures

Negotiation Procedure

PP1 : Negotiated Procedure

Competitive Selection Procedure

PP2A : Nominated Procedure PP2B : Open Procedure

PP2C : Qualified Procedure PP2D : Quotation Procedure

PP2E : Proposal Procedure (2 envelope system) PP2F : Proposal Procedure (2 stage system) Option 1

PP2F : Proposal Procedure (2 stage system) Option 2 PP2G : Shopping Procedure

Competitive Negotiation Procedure

PP3A : Restricted Competitive Negotiations PP3B : Open Competitive Negotiations

Open Procedure

Tenderers may submit tender offers in response to an advertisement by the organization to do so.

STANDARD FOR UNIFORMITYStandard Tender Evaluation Methods

Notes

• Method 2 is the most commonly used option.• Method 4 is almost a must for Professional Services and is

encouraged for complex projects or services.

Method 1 : Financial Offer Method 3 : Financial and Quality Offer

Method 2 : Financial and Preference Offer Method 4 : Financial, Preference and Quality Offer

: with minimum Quality Score eligibility criteria : with minimum Quality Score criteria

STANDARD FOR UNIFORMITYStandard Methods for Procuring Different Classes of Construction Contracts

Standard methods for procuring professional services

Not Covered in this Presentation

Contract Documentation

Standard Documentation

• Conditions of Tender• Conditions of Contract• Specifications / SANS• Measurement & Payment• Site Information

Project Specific

• Tender Data• Contract Data• Specification Data• Pricing Data• Site Data

Part

T1.2.1 T1.2.2C1.2.1 C1.2.2

C3.1 C3.2C2.1 C2.2

C4

Standard Headings and Sequencing of Documents (single volume )

THE TENDER PART T1 Tendering ProceduresT1.1 : Tender Notice and Invitation to Tender (white)T1.2 : Tender Data (pink)

PART T2 Returnable DocumentsT2.1 : List of Returnable Documents (yellow)T2.2 : Returnable Schedules, Forms and Certificates (yellow)

THE CONTRACT PART C1 Agreements and Contract DataC1.1 : Form of Offer, Acceptance, and Schedule of Deviations (y)C1.2 : Contract Data (yellow)

PART C2 Pricing DataC2.1 : Pricing Instructions (yellow)C2.2 : Bill of Quantities (yellow)

PART C3 Scope of WorkC3.1 : Standard Specifications (blue)C3.2 : Project Specifications (blue)C3.3 : Particular Specifications (blue)C3.4 : Annexures (blue)

PART C4 Site InformationC4.1 : Locality Plan (green)C4.2 : Conditions on Site (green)C4.3 : Test Results (green)

Document Cover

Contract Number

Contract Title

Tender Notice andInvitation to Tender

Brief description of the Works

Who the Employer is : F1.1

Estimated CIDB Grading

Where and when documents can be collected

Tender Charge

Clarification meeting type, place, date, time : F2.7

Employer’s agent’s contact details : F1.4

Where documents are to be delivered : F2.13

When documents are to be delivered : F2.13

Tender Data

The Tender Data shall reference the Standard Conditions of Tender contained in Annex F. The Standard Conditions of Tender make several references to the Tender Data for details that apply specifically to this tender. The Tender Data shall have precedence in the interpretation of any ambiguity or inconsistency between it and the Standard Conditions of Tender. Each item of the Tender Data is cross-referenced to the clause in the Standard Conditions of Tender to which it mainly applies.

The Tender Data contains all the Project Specific information regarding the tender process, including how the tender will be evaluated.

Special Attention

Clause F3.8 – “Test for responsiveness”.

Clause F3.9 - “Arithmetical errors, omissions and discrepancies.

Additional conditions of tender.

Returnable Schedules, Forms and Certificates

General

The Tender Document must be submitted as a whole.

All forms must be properly completed as required, and the document shall not be taken apart or altered in any way whatsoever.

The Tenderer is required to complete each and every Schedule and Form listed below to the best of his ability as the evaluation of tenders and the eventual contract will be based on the information provided by the Tenderer.

Failure of a Tenderer to complete the Schedules and Forms to the satisfaction of the Employer will inevitably prejudice the tender and may lead to rejection on the grounds that the tender is not responsive.

Unless otherwise stipulated, if the tenderer is required to attach information then it is best to consolidate the information pages and attach them all securely to the back cover of the document.

Agreements and Contract DataFORM OF OFFER

• This Form of Offer must be completed and signed by duly authorised person.• The duly authorised person’s signature should be witnessed.• The amount in words shall govern.• The amount should include VAT.• The amount entered of an entity that is not VAT registered shall be deemed to be ALL

inclusive.

FORM OF ACCEPTANCE

• By signing this Form of Acceptance, the Employer accepts the Tenderer’s Offer.• This Agreement (contract) comes into effect on the date when the Tenderer receives

one fully completed original copy of this document, including the Schedule of Deviations (if any).

SCHEDULE OF DEVIATIONS

• By the duly authorised representatives signing this Schedule of Deviations, the Employer and the Tenderer agree to and accept the listed Schedule of Deviations as the only deviations from and amendments to the documents listed in the Tender Data and addenda thereto as listed in the Tender Schedules, as well as any confirmation, clarification or change to the terms of the offer agreed by the Tenderer and the Employer during this process of offer and acceptance.

Engineering and Construction Works Contract

GCC for Construction Works (2nd Edition 2010) FIDIC “Red Book”

JBCC series 2000 PBA (July 2007 Ed. 5) FIDIC “Yellow Book”

JBCC series 2000 MWA (August 2007 Ed. 4) FIDIC “Silver Book”

NEC3 Engineering and Construction Short Contract FIDIC “Gold Book”

NEC3 Engineering and Construction Contract FIDIC Short Form of Contract “Green Book” (1999)

Services Contract (professional)

CIDB Standard PSC (July 2009) NEC3 Professional Services Contract

Services Contract (facilities)

NEC3 Term Services Contract CIDB General Conditions of Service

NEC3 Term Services Short Contract

Supply Contract

NEC3 Supply Contract CIDB General Conditions of Purchase

NEC3 Supply Short Contract CIDB Contract for the Supply and Delivery of Goods

Contract Data : Conditions of Contract

The contract data in respect of prime or main contracts must reference one of the standard industry forms of contract.

The standard industry forms of contract shall be used with minimal project specific variations and additions which do not change their intended usage.

civilinfo@saice.org.za ------- www.saice.org.za

Contract Data The Contract Data shall reference the Standard Conditions of Contract. The Standard Conditions of Contract make several references to the Contract Data for details that apply specifically to this contract. The Contract Data shall have precedence in the interpretation of any ambiguity or inconsistency between it and the Standard Conditions of Contract. Each item of the Contract Data is cross-referenced to the clause in the Standard Conditions of Contract to which it mainly applies.

The Contract Data contains all the Project Specific information regarding the contract.

Typical items covered in Standard Conditions of Contract are :

• General• Basis Of Contract• Engineer• Contractor• Time and Related

Matters• Payment and

Related Matters

• Quality and Related Matters

• Risks and Related Matters

• Terminations of Contract

• Claims and Disputes

(Typical) Pricing Instructions

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, the Specifications (including the Project Specification) and the Drawings.

The prices and rates to be inserted by the Tenderer in the Bill of Quantities shall be the full inclusive prices to be paid by the Employer for the work described under the several items, and shall include full compensation for all costs and expenses that may be required in and for the completion and maintenance during the defects liability period of all the work described and as shown on the drawings as well as all overheads, profits, incidentals and the cost of all general risks, liabilities and obligations set forth or implied in the documents on which the Tender is based.

(Typical) Bill of Quantities

Read the clauses in the Specification regarding what the item requires.

The descriptions of the items in the Bill of Quantities are for identification purposes only and comply generally with those in the Specification.

The quantities given in the Bill of Quantities are estimates only, and subject to re-measuring

Confirm the units of measure.

Check your multiplication at least twice.

(Typical) Bill of Quantities

Ensure that you have copied the section totals correctly.

Check your addition at least twice.

If you are not a VAT registered vendor do not add VAT as your price is deemed to be all inclusive.

Ensure you copy the correct value to the Form of Offer.

Scope of Works

STANDARD SPECIFICATIONS• eThekiwini Municipality’s Standard Engineering Specifications (yellow pages)• SABS 1200• COLTO• Other

PROJECT SPECIFICATIONS• Project Description and Scope Of Contract• Variations, Amendments, and Additions to the Standard Specifications

PARTICULAR SPECIFICATIONS (sometimes downloadable)

• OHSA 1993 Safety Specification• Environmental Management Plan Specification• Other

ANNEXURES• Contract Drawings / Details• Standard Drawings• Other

Site Information

LOCALITY PLAN

CONDITIONS ON SITE

TEST RESULTS

LAST WORDWhen submitting a tender the Tenderer needs the following documents to be able to make an informed and reasonable submission :

• Tender Document

• Standard for Uniformity (Conditions of Tender)

• Applicable Conditions of Contract (rules of engagement)

• Applicable Specifications (materials, plant, construction methods, tolerances, testing, measurement and payment)

• Particular Specifications

THANK YOU