Schedule B
(in terms of Clause 13.3 and 28 of the Constitution)
Members of SARACCA are advised not to co-ordinate their commercial activities and must exercise independent business judgment in tendering, pricing and in dealing with clients, customers and suppliers. Any activity that creates the impression or appearance of a restriction of competition must be avoided.
CLAUSE 1: IMPLEMENTATION OF, AMENDMENTS TO, AND EXTENT OF THE CODE OF
TENDERING PRACTICE:
1.1 Implementation
The Code of Tendering Practice and any amendments thereto shall be binding on all members of SARACCA, and enforced in terms of the Constitution at all times.
1.2 Amendments
Any amendments of the clauses approved in terms of the constitution shall be issued by, and shall take effect on a date to be determined by the National Executive Committee.
1.3 Extent of the Code
1.3.1 This Code shall apply to tenderers for air conditioning and refrigeration projects where any one of the following criteria are exceeded.
1.3.1.1 where the price exceeds R500 000.00 excluding value added tax;
1.3.1.2 where the total air-conditioning, evaporative cooling or refrigeration capacity exceeds 150 kilowatts.
1.3.1.3 where the ventilation air flow exceeds 100 m3/s.
1.3.2 The Code shall not apply in the following instances:
1.3.2.1 in the case of contracts negotiated with a member directly without the tender process.
1.3.2.2 For the supply only of equipment and materials irrespective of value.
1.3.2.3 For projects with room air-conditioning and split systems utilising individual units of 20 kilowatts capacity and below, regardless of number of units or tender price.
1.3.2.4 In the case of ventilation projects, where the air flow is less than 100 m3/s.
1.4 Any monetary amount mentioned in the Code shall be reviewed by the National Executive Committee on the basis of the effects of inflation with reference to the value of money in real terms at the date of approval of this Code.
1.5 After provisional acceptance of a tender the terms of the contract shall be freely negotiable with the intention of awarding the contract.
1.6 Where members are invited to tender against non-members this code of practice shall not apply.
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2.1 A member in possession of the Tender documents and who intends to submit a Tender for a project shall not less than five working days before closing date for the tender report such intention to the Executive Director on the form prescribed by the NEC.
Failure to comply with this provision will result in a summary fine of R200.00
2.2 Immediately upon receipt of tender documents not complying with the provisions of the Code, the member shall report the matter to the branch with jurisdiction.
2.3 Members shall be obliged to tender on model documentation as defined in Clause 5 without any qualification.
2.4 Where model documentation is used unaltered or modified in terms of Clause 2.3, and 2.9, members shall be obliged to submit tenders that comply fully with the technical and contractual specification of the enquiry document.
2.5 Having complied with Clause 2.4 a member is free to submit alternatives with his tender.
2.6 Tenders shall be generally subject to the JBCC contract price adjustment provisions (CPAP). Where a fixed price is required by the enquirer this may be submitted.
2.7 Where model documentation is altered and tendering members deem it impossible or unreasonable to comply with an aspect of the enquiry document, they shall through the branch negotiate with the enquirer to agree to reasonable alternative conditions. Providing that agreement is reached with the enquirer the alternative documentation shall be regarded as approved model document for that particular project only.
2.8 Where agreement is reached with the enquirer with regard to alternative conditions, such agreement shall be distributed to the tendering members and the enquirer prior to the tender closing to enable the tenderers to make due allowance.
2.9 Subsequent upon a branch resolution being passed by majority vote at a meeting of tendering members under chairmanship of the branch chairman or his nominee, the branch may grant exemption from the Code in appropriate circumstances where such exemption may assist the employer or tendering members and shall be binding on all members of SARACCA tendering for the specific enquiry.
2.10 Where the model documentation has been altered and it has not been possible to reach agreement with the enquirer or other tendering members, the tenderer is free to qualify his tender unilaterally with regard to changes to model documentation.
2.11 Any breach of the conditions attached to any exemption given in terms of 2.8 shall be regarded as a breach of the Code and enforced accordingly.
CLAUSE 3: BILLS OF QUANTITIES:
3.1 A member shall only tender on Bills of Quantities, which are prepared in accordance with the model Bill of Quantities as prepared by SARACCA, SAACE and ASAQS.
3.2 As per "Notes to tenderers" in the Model Bill of Quantities a member shall not submit priced Bills of Quantities detailed price breakdowns or detailed schedules of rates with his tender.
3.3 Priced Bills of Quantities, detailed price breakdowns or detailed Schedule of Rates shall only be provided by a tenderer after provisional acceptance of his tender by the enquirer.
4.1 TTo promote transparency and fair and reasonable practices in the award of contracts SARACCA supports:
4.1.1 tendering to specification where contractual conditions are fair and reasonable.
4.1.2 the opening of tenders in public and disclosure of tender prices;
4.1.3 negotiation with one party at a time after closing of tenders;
4.2 A member shall advise SARACCA immediately upon negotiations being entered into or terminated in order to obviate more than one member negotiating at the same time on the same tender.
4.3 Where it appears to the Executive Director that the enquirer is attempting to negotiate with more than one party at the same time, the Executive Director shall ascertain from the enquirer which particular party he wishes to negotiate with. The Executive Director shall advise those members who have reported negotiations so that they can be aware of the situation regarding such negotiation.
4.4 Where tenders have not been opened in public, members are obliged to disclose their main offer tender price and fixed price offer to the SARACCA office for communication to all tendering members.
4.5 Members shall, without delay, furnish such information and documents as the Executive Director may, telephonically or otherwise, request to enable him to discharge his duties under this code.
4.6 A branch shall at all times be receptive to representation from enquirers or any non-member in respect of any problem or difficulty arising from the application of this code.
4.7 A branch shall at all times be receptive to representation from enquirers or any non-member in respect of any problem or difficulty arising from the application of this code.
Model documentation shall be those documents which are approved by the ‘NEC’ in consultation with any body or organisation and jointly recommended for use by their respective members and as revised and up-dated from time to time. These shall be:
- The Joint Building Contracts Committee (JBCC) Series 2000 suite of documents.
- The Model Bills of Quantities for refrigeration air conditioning and ventilation installations (July 1990)
- The New Engineering Contract (NEC)
- Federation Internationale Des Ingenieurs-Conseils (FIDIC)
Any deviation from the above by individual members shall be regarded as a breach of the Code of Tendering Practice and shall be dealt with in terms of the Constitution.