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Tender Adjudication and Contract Monitoring. Introduction IMPORTANT Each tender is unique. Please ensure to read the tender document carefully.

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Presentation on theme: "Tender Adjudication and Contract Monitoring. Introduction IMPORTANT Each tender is unique. Please ensure to read the tender document carefully."— Presentation transcript:

1 Tender Adjudication and Contract Monitoring

2 Introduction IMPORTANT Each tender is unique. Please ensure to read the tender document carefully

3 The Adjudication Process

4 Who Evaluates? An Evaluation Committee officially appointed by the Contracting Authority and composed of: –A Chairman –A Secretary –Three Evaluators or more in odd number Only the Evaluators have voting power The Chairman ensures correct procedures The Secretary assists the Evaluation Committee

5 The Evaluation Process Performed in three main steps strictly in the following order: 1.Administrative Compliance 2.Technical Compliance 3.Financial considerations The Cheapest Technically Compliant bid is recommended for award of the contract

6 Inspections during Evaluation Inspections may be held – these shall be held only to the cheapest compliant bidder Should this be found not compliant – the offer shall be disqualified and the inspection held to the next cheapest bidder If the items are not in Malta – these will be inspected after tender is awarded and after delivery of the supplies. Should they be found not compliant – the contract will be terminated and awarded to the next cheapest bidder

7 Who decides? Evaluation Committee submits recommendations to the Departmental Contracts Committee (DCC) The DCC is set up in terms of LN 296 of 2010 Composed of: –Chairman, Director Corporate Services (MRRA) or his representative –Member appointed by the Permanent Secretary (MRRA) –Member, representative of the Director of Contracts The DCC may or may not accept the recommendations of the Evaluation Committee

8 Confidentiality Both the DCC and the Evaluation Committee execute their duties under strict confidentiality and impartiality The DCC guarantees a thorough scrutiny of the adjudication process In case of conflict between the DCC and the Evaluation Committee, the matter is referred to the Director of Contracts for his final decision.

9 Notice of Award The decision to award a Contract is notified by means of a Notice of Award This identifies the name of the successful bidder and the recommended contract value. Unsuccessful bidders are notified of the reasons why their respective bids are not being accepted.

10 Cancellation of Tender This may occur only in the following events: –No qualitatively or financially worthwhile tender has been submitted or there has been no response at all –The economic or technical parameters of the project are fundamentally altered –Exceptional circumstances or force majeur render normal project performance impossible –All technically compliant offers exceed the financial resources available –Irregularities in the procedure

11 Right of Appeal Any economic operator who feels aggrieved by the award decision has the right of appeal in terms of Regulation 21 of LN 296/2010 for contracts estimated over €12,000 Reasoned letter of objection is to be submitted to the Contracting Authority within 5 days from the date of issue of the Notice of Award Payment of a deposit equivalent to 0.5% of the award value (minimum €400) The award of the tender is suspended pending the decision of the appeal Appeal shall be decided by the Public Contracts Review Board (PCRB)

12 Common Bid Failures Administrative Non-Compliance

13 The cases of Administrative Non- compliance have been minimised in view of the possibility of rectification

14 Administrative Non-Compliance REMEMBER Documents requested under rectification procedures are to be submitted within two days of receipt of the request against payment of an administrative penalty of €50

15 Administrative Non-Compliance Missing documents that constitute rejection of the offers: –Tender Form (always mandatory) –Method Statement (if requested) –Curriculum Vitae (if requested) –Specification Form (if requested) –Technical Literature (if requested)

16 Administrative Non-Compliance Separate Tender Form for each Option is not submitted –If Options are listed in a single Tender Form, the whole bid is disqulified –If one or more of the Tender Forms for the separate options is invalid, only the invalid options are disqualified N.B. The Tender Form is a bidder’s formal declaration that a he satisfies the eligibility requirements and that he shall execute the contract in full compliance to the Contracting Authority’s requirements at the offered price and within the stated timeframes

17 Administrative Non-Compliance Unauthorised modification to any part of tender document Corrections to the bidder’s entries, by the use of either correcting fluid or crossing out of any entry, are not duly initialled by the person signing the bid Suggestion: re-print the page and re-write the correct information

18 Administrative Non-Compliance REMEMBER Only one Tenderer per Tender Partners in a Joint Venture may not participate in the same tender on their own or as a sub-contractor to another bidder The same sub-contractor may be proposed by any bidder participating in a single tender procedure

19 Some Examples Altered bill of quantities1 Language of offer or technical literature not in English2 Failed to submit Data on Joint Venture1 Failed to submit bill of quantities7 Failed to submit technical literature19 Failed to submit Method Statement2 Failed to submit a separate tender form for each option4 Tender form not completed in all respect17 Specification form not completed or not submitted8 Sub contracting form not submitted1 Other documentation ex certificates1

20 Common Bid Failures Technical Non-Compliance

21 Technical bid does not meet the specifications set out by the tender Details on Specification Form do not match to the Technical Literature Details on the Specification Form indicates compliance but actual inspection of the supplies or equipment offered proves otherwise

22 Technical Non-Compliance IMPORTANT Bidders shall clearly identify the model no. or relevant reference no. pertinent to their offer from the Technical Literature In so doing the bidders would be assisting the Evaluation Committee to correctly assess their respective bid and to correlate or otherwise verify the full technical compliance

23 Technical Non-Compliance Poor Method Statement which does not address the requirements set out in the Terms of Reference (Services) or the Technical Specifications (Works/Supplies) The CV does not meet the qualifications and experience requested in the selection criteria

24 Common Bid Failures Financial Non-Compliance

25 Missing rates or prices i.e. not marked as NIL or INCLUDED Alteration of the Schedule of Rates or Bill of Quantities

26 Common Bid Failures Other Failures

27 Bidder makes a conditional offer, such as qualifying his offer in such a way that goes against any of the contract Special Conditions or General Conditions The delivery period stated is longer than that specified in the tender, if a maximum delivery period is stipulated

28 IMPORTANT When in doubt, please do submit a request for clarification prior to submitting an offer Tender bids are to be evaluated on a like with like basis Rectification and Clarification of bids are distinctly different Clarifications by the Evaluation Committee will not permit the bidder to modify his offer, but only to clarify certain aspects of the offer which appear unclear.

29 Contract Monitoring A short outline

30 Commencement of Contract Upon signing of Contract: –A valid Performance Guarantee is to be placed –Insurance policies are to be placed –In the event of pre-financing, a pre-financing guarantee shall be placed –Other documents specifically requested by the Contract Conditions shall be submitted to the Contracting Authority

31 The Contract Conditions The Contract Conditions regulate the execution of the Contract They regulate and safeguard both the Contractor and the Contracting Authority The conditions are the tools for the correct execution of the Contract

32 Execution by the Contractor The Contract shall be executed: –In a timely manner –In full compliance to the Contract Conditions and Technical Specifications –With respect to the reasonable and legitimate requests of the Client –With due diligence in maintaining written communications

33 Monitoring by the Contracting Authority The Contracting Authority shall ensure: –The Contractor’s compliance to the Contract Conditions and Technical Specifications –The correctness of the Contractor’s invoices –Application of penalties for delays and other contract defaults The Contracting Authority shall act in a fair and reasonable manner

34 Communications IMPORTANT Both the Contractor and the Contracting Authority shall ensure early written communications upon the occurrence of any event which might affect the contractual, technical and financial aspects of the Contract

35 Contract Payments Invoices shall be in accordance to the formal requirements of the VAT Act of 1998 Invoices shall be supported by additional documentation if so required under the Contract Payments shall be effected within 60 days of the submission of a VALID invoice

36 THANK-YOU Kindly note that the power point presentation is going to be available on our website:


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