Procurement operation's rules
We kindly request You to familiarize with the tender procedure on selection of a contracting organization (vendor) in BI Group Development Holding:
1. Invitation to tender in terms of SMS and/or calling and notifications to e-mail shall be forwarded to Tenderders who registered in «Vendors Data Base» of BI Group Development and other companies listed in data bases of Divisions. Unregistered companies which were delivered and accepted the invitation should register in «Vendors Data Base» of BI Group Development before the tender date. The registration form in Vendors Data Base shall be filled in at http://bi-group.kz/reg, tab «Purchases». If Tenderer does not register, he shall not be invited to other tenders.
2. There are two stages of tender:
·The first stage, qualifications-based selection – Divisions of BI Group Development (hereinafter - Divisions) examine the documents submitted by Tenderers with a view to their completion and accurate calculation of scopes and cost of works/services, and the absence of Tenderers in the Single Register of Unfair Tenderers of BI Group Development Holding. This Register includes companies provided the facts of unfair fulfillment of contractual obligations before companies of Holding. Secretary of Tender Commission at least 1 hour before the tender time is obliged to recheck Tenderers in the Register. In addition, Tenderers shall have no tax arrears and other arrears of compulsory payments into the budget.
·Based on the results of the qualifications-based selection Divisions shall decide on Tenderers allowed to the second stage, the stage of tender and bidding. A Tenderer who has not passed the first stage shall not be allowed to next stage. Accepted Tenderers shall be noticed by Secretary of the Tender Commission on time and place of tender at least 24 hours before the tender. The notification (invitation) shall be performed by means of sending of invitation to registered vendors using automated mailing from 1C Data Base.
3. To participate in the qualifications-based selection Tenderer shall be provided with the package of documents as below:
· Tender specification/request for procurement of materials, works, services;
· Project documentation (if required);
· Tenderer's instruction sheet;
· Form of the power of attorney for tender;
4. In order to register in the qualifications-based selection Tenderer at least 5 working days before the tender shall submit the following documents:
· Legal entity: copies of statement/certificate of state registration of the legal entity, Charter, minutes/resolution on assignment of the CEO, statement on the clearing account, VAT registration certificate, CEO's identification document;
Individual entrepreneur: copies of certificate of state registration of the individual entrepreneur, identification document, statement on the clearing account, VAT registration certificate;
· Power of attorney to Tenderer's representative, a representative's contact information: home and mobile telephone numbers, electronic mail, legal and actual addresses.
· Commercial offer according to the terms of Specification;
· Opinions of the quality of previously performed works on construction sites of BI Group Development and other building companies including in other regions;
· Certificate of good standing. Documents can be submitted both on paper and electronic medium.
5. Before making decision on participation in the tender and execution of the commercial proposal Tenderer should take into account the following terms:
· 3% general contracting and 3% guarantee payments are deducted from relevant amount payable to Tenderer for performed and accepted works/goods.
a) General contracting payments are deducted on account of compensation of Customer's expenses on maintenance of the construction process, including, but not limited to: site security, payment of municipal services, disposition of garbage, etc.
b) Guarantee payments are deducted for the period of guarantee term for performed/accepted goods. And the guarantee term shall comprise 3 years from the commissioning of the facility based on the act of the state acceptance commission;
· Tenderer should strictly follow the safety technique at performing of works. In case of breach of the safety technique penal provisions will be brought against Tenderer under Contract;
· Tenderer is obliged to use his single working uniform, otherwise the form can be provided by Customer with further deduction of its cost from the scope of performed works.
· Tenderer is obliged to ensure the availability of necessary tools, equipment and consumable materials to perform works. If the mentioned items are provided by Customer, the cost will be deducted by Customer from the scope of performed works;
· Tenderer who carries out the network engineering is obliged to ensure the acceptance by municipal services and commissioning according to the act of the state acceptance commission. If Tenderer provides works on external highway network arrangement, he is obliged to ensure that relevant municipal service organizations will take it onto the book;
· All materials, goods and equipment are accepted at 0% of VAT and works at 12% of VAT related to facilities located in the sanitary protection zone.
· If Tender Commission reveals the existence of cartel agreement between Tenderers providing for Tenderers' secret agreement to sell materials, works or services at high price, the tender shall be invalidated and parties of such agreement shall be included into Single Register of Unfair Tenderers of BI Group Development Holding by Sales Department of Holding.
· In case of decision of paying to Tenderer of advance payment in the amount over 1,000,000 (one million) tenge, Tenderer is obliged to provide the performance bond in full amount of the advance payment using one of two methods at Project Manager's discretion:
- the warranty for the amount of the advance payment by the second level Kazakhstani bank;
- marketable pledged property.
The collateral cost (movable and/or immovable property) shall exceed to 40% of the amount of the advance payment. In case of the bank warranty, its amount shall be equal to the amount of the advance payment. The validity term of collateral for obligations, including bank warranty, shall be not less than the term of termination of construction-assembly works and provision of services. The advance payment shall be performed on pro rata basis within the whole performance term based on the acceptance certificates. Text of the bank warranty must be agreed between Tenderer and Division before signing. Notes receivable of Holding companies can be provided as a pledge and its payment will be suspended within the term of development of the advance payment.
6. A copy of this Instruction Sheet shall be submitted to all Tenderers before the tender for inspection of tender procedure and rights of tenderers. Tenderers in relevant act shall sign and insert their full names against names of their companies with a view to familiarize with this Instruction Sheet.
7. CEO of affiliated companies or representatives authorized to participate in tender based on the power of attorney. Chairman or Secretary of Tender Commission shall announce names of affiliated companies and their representatives before the tender.
8. If Tenderer who offered the least price is late or absent but noticed in advance members of Tender Commission, Chairman of Tender Commission may take into account his offer at determining of the winner. The participation of such Tenderer can be ensured by means of a phone call or other type of communication.
9. Tenderers are asked about all necessary documents for preparation regarding the counting of the scope of works, timely notification about date and time of the tender.
10. They are also asked whether tenderers are VAT payers.
11. Each Tenderer's offers on the following issues are considered:
· names of countries of origin of materials and equipment, their qualitative and quantitative characteristics;
· terms of work/rendering of services;
· amount of the advance payment from the cost of materials and equipment or cost of materials and equipment and works/services (in case of possibility of the advance payment for this tender), possibility of performance of works/services/delivery without the advance payment;
· guarantee period for performed works/services, materials and equipment;
· availability of owned or rented technique and mechanisms;
· availability of owned man power and duly qualified specialists;
· he opportunity of advance payment bond.
12. Two minimum amounts shall be declared then Tenderer is eligible:
· to leave the amount without any changes;
· to correct initially demanded amount to any amount at his own discretion;
· to reduce the amount in the course of bid.
Minimum bid increment shall comprise:
a) if the lot amount is to 7 mln tenge – minimum increment shall be equal to 200,000 tenge;
b) if the lot amount is within the range from 7 mln tenge to 30 mln tenge – minimum increment shall be equal to 300,000 tenge;
c) if the lot amount is over 30 mln tenge – minimum increment shall be equal to 500,000 tenge.
Bid increment is determined based on the minimum price. Declared tender increment are minimum and Tenderers are eligible to reduce initially declared amount by high amounts. Tenderers are eligible to vote for modification of the minimum tender increment.
13. In order to make decision about modification of initially declared amount Tenderers are given the time within which they are able to make relevant calculation, ask questions, go out and make telephone calls. If required, Tenderers shall be provided with pens, pencils, paper, and a calculator.
14. Upon termination of the time set by Chairman of Tender Commission, each Tenderer is obliged to declare about his decision – preservation or modification of initially declared amount. If any Tenderer declares minimum amount and others are willing to reduce it additionally, the bid can be prolonged till any Tenderer declares the minimum amount.
15. If the minimum declared amount is higher than Customer's estimated cost, the tender can be invalidated.
16. If the minimum declared amount is higher than Customer's estimated cost and other offers of Tenderers, Chairman of Tender Commission may refuse recognition of such Tenderer as a winner.
17. All Tenderers are recommended to participate in tender till its termination as other Tenderers may change declared amounts in last minutes.
18. Tenderers in the course of bid are able to ask questions related to tender procedure, its subject, scopes, terms, applied materials and equipment, cost of construction-assembly works, pledges, etc.
19. A winner is determined according to criteria specified in Clause 11 of the Instruction Sheet, and the minimum amount shall not be considered as the ground for determination of the winner. In addition Tender Comission may take into account systematic participaton of Vendor in tenders of BI Group Holding, including those with small volumes.
20. Contract of procurement should be concluded with winner within 5 (five) working days upon declaration of procurement results. Winner within 7 (seven) working days upon declaration of results shall submit collateral or bank warranty and sign the contract of pledge. If the contract agreement/of delivery/pledge is not signed by winner within the term specified through no fault of Division, Divison may attract a reserve winner to perform work and to sign the contract. If in the course of tender a winner is entered into Single Register of Unfair Tenderers of BI Group Development Holding, Division may refuse conclusion of the contract with him, if he entered the contract, Division may terminate it unilaterally and attract a reserve winner. In case of winner's refusal of entering into contract or its incorrect fulfillment, such contract shall be concluded with a reserve winner who ranked the second. In case of winners' refusal of entering into the contract or incorrect fulfillment, such winners shall be entered into Single Register of Unfair Tenderers of BI Group Development Holding.
21. Names of major and reserve winners will be declared within 24 hours upon termination of the tender by means of SMS mailing to phone numbers of Tenderers' (Vendors') CEO or representatives who participated in tender. In limited circumstances the declaration of tender results can be prolonged by Director General to 3 (three) working days and Tenderers shall be noticed thereof by means of SMS within the term set for mailing of winners' names.
22. Upon termination of 3 (three) working days Tenderers are eligible to require the abstract of minutes. The abstract of minutes is issued only by Deputy Director General of Administrative Division (in case of their absence, by Head of Legal Department).
23. Tender minutes within 3 (three) working day upon declaration of results shall be placed in the system «1C Document Control» of BI Group Development Holding and available for review by heads of Corporate Center, Commercial Department and Economic Security Service.
24. Winner within 2 (two) working days upon declaration of tender results must submit modified settlement agreed with Project Manager in acccordance with declared amount. Project Manager within 2 (two) working days upon provision of the settlement by winner shall either agree or provide a reasoned refusal to agreement.
25. If upon termination of tender the winner is included into Single Register of Unfair Tenderers of BI Group Development Holding, Division may refuse the conclusion of the contract with him, if he entered into the contract, Division may terminate it unilaterally and attract a reserve winner.
26. Chairman of Tender Commission may annul the bid and postpone to other date in case of any circumstances which significantly supplement the content of bid or prevent from holding of it.
27. In case of any additional questions on participation and tender procedure, Tenderer may address to Secretary of Tender Commission.
28. In case of objection to results of tender or any remarks or proposals on its procedure, Tenderer within 14 (fourteen) days upon the tender may refer to Director General of Division.