Himachal Tol Bid

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    MUNICIPAL CORPORATION SHIMLA

    (REVISED) REQUEST FOR PROPOSAL (RFP)

    FOR

    IMPLEMENTATION OF GREEN FEE IN SHIMLA CITY

    ON DBOT BASIS

    CONTENTS

    SECTION I : PRELIMINARY PROJECT

    INFORMATION REPORT

    SECTION II : INSTRUCTION TO BIDDERS

    SECTION III : GUIDE LINES FOR PROJECT

    SECTION IV : CONCESSION AGREEMENT

    ANNEXURE

    March, 2012

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    Preliminary Project Report

    1. INTRODUCTION:

    The Municipal Corporation vide M.C. Resolution No. ______ Date _____ has

    decided to levy and charge fee for development of tourism on the vehiclesentering in Shimla town bearing registration numbers other than the State ofHimachal Pradesh as follows w.e.f. 01-04-2012

    1. Two Wheelers = Rs. 100

    2. Car & Jeep = Rs. 200

    3. MUVs (Tata Sumo, Safari, Scorpio,

    Qualis, Bolero, Maxi Cab & Utility

    Vehicles) = Rs. 300

    4. Buses Trucks and other heavy

    Vehicles = Rs. 500

    The above said charges will be collected at four barrier(s) i.e. N.H. 22 at Tara Devion entry point of M.C. Limit, Totu near Tawi, Mehli near police post and Dhalli,Shimla. These rate of fee will be valid for a period of 7 days. The fee so levied iscalled Composite Environmental Fee (CEF).

    2. PERMISSIBLE OBJECTS OF EXPENDITURE OF CEF:

    a) Provisions and maintenance of the tourism related services such as facility ofparking, toilets, cleanliness of tourist spots environmental up-gradation,

    publicity, signages, public lighting etc:b) Assistance to the local body in maintaining the sanitation and infrastructuralfacilities at the tourist spots.

    c) building and maintaining parks and recreation centres, fountains or other suchfacility, which may enhance the tourism value of the area.

    d) take up developmental measures for various section of tourism industry andthose engaged in directly related activities;

    e) Payment of expenditure related to the discharge of functions of Entry FeeBoundry, Office expenditure and creation of essential infrastructure.

    3. AREA OF OPERATION:

    The area of operation of C.E.F. shall be within jurisdiction of M.C. Shimla whichshould be starting from M.C. Boundry i.e. Tara Devi, Totu, Mehli and Dhallibeing the entry points.

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    4. SCOPE OF WORK:

    The MCS envisages contracting out the process of Green fee Collection, Operationand Maintenance at collection Barriers to an eligible private sector firm to beengaged through an open, competitive and transparent process i.e. by issuingnotice inviting offer cum request for proposal. This will involve single stage

    bidding whereby the bidder will submit technical and financial bids. The bidderquoting the highest bid (H1) will be selected for concession period of one year.

    The selected bidder will undertake at its own cost (1) Green fee collection anddevelopment of Green fee plazas on behalf of MCS as per NHAI Standards,operation and maintenance for a period of two years. The identified collectionbarriers will be computerized and with proper signages, lighting including trafficlight system and road markings etc.

    The Municipal Corporation Shimla will act as a facilitator in providing land andNOCs from Govt. Departments like NHAI, HPSEB, HPPWD and I&PHDepartment.

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    BIDDING PROCESS

    1. Bidding Process

    1.1. Municipal Corporation Shimla have adopted a single stage process(referred to as the Bidding Process) for selection of the Bidder for awardof the Project. The bidders (the Bidder) are being called upon to submittheir Bids in accordance with the Bidding Documents.

    1.2. The qualification criteria for the bidders shall be as follows:1.2.1. The Bidder may be a single entity or group of entities (the Consortium)

    coming together to implement the Project. The Bidder may be IndividualCompany, or Consortium who meets the following qualification.

    Single Bidder or member(s) of Consortium should have completedthree infrastructure projects like Bus Terminals, Parking Facility,Flyovers, Roads, Bridges or real estate projects etc. of total cost not lessthan Rs. 5.00 Cr in last 3 years as contractor or developer. OR

    Single Bidder or member(s) of Consortium should have minimum 02years relevant experience in operation and management of tollingbooths or toll plazas or interstate barrier or fee barriers orcomputerized information collection centres or implementation of e-governance service projects or system integration etc.

    1.3. The Single Bidder or Consortium shall meet the following financialcriteria:

    Networth of the Bidder or Consortium should be Rs 1.00 Cr in the lastFY ending on March 2011.

    Minimum annual turnover of the Bidder or Consortium in last threepreceding financial years should be Rs 7.00 Cr.

    1.4. The members of Consortium, who claim experience or networth musthold atleast 26% each of the Concessionaires equity. Each such membershall continue to hold atleast 26% of the equity of the Concessionaire untilthe Commercial Operation Date of the Project is achieved under and inaccordance with the provisions of the Concession Agreement.

    1.5. Entities that comprise of a Consortium shall nominate a Lead Member torepresent the Bidder. The maximum number of members in a Consortium

    is limited to three (3).1.6. Lead member of the Consortium shall subscribe to equity share of atleast

    51% in the Consortium.

    1.7. Change in Composition of Consortium1.7.1. The change in composition of consortium during Bidding Process

    shall be permitted by MCS provided

    1.7.2. Lead member continues to be Lead member of the Consortium;

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    1.7.3. the substitute is at least equal, in terms of technical capacity andfinancial capacity, to the Consortium Member who is sought to besubstituted and the modified Consortium shall continue to meetthe prequalification; and

    1.7.4. the new Member(s) expressly adopt(s) the Bid already made onbehalf of the Consortium as if it were a party to it originally.

    1.8. Approval for change in the composition of a Consortium shall be at thesole discretion of MCS as the case may be and must be approved by theMCS as the case may be in writing. The modified/ reconstitutedConsortium shall be required to submit a revised Consortium Agreement.

    1.9. The Bid shall be accompanied by a Bid Security in Indian Rupees for anamount of Rs 100 Lakhs (Rupees One Hindered Lakhs). The Bid Securityshall be in the form of Bank Guarantee from a Bank drawn in favour ofMunicipal Corporation Shimla , payable at Shimla.

    1.10. MCS shall be fully entitled to disqualify any Bidder from bidding processfor any reasons whatsoever including but not limited to the followingreasons:

    Bid not accompanied by Bid Security Failure to submit the requisite information (including any additional

    information requested by MCS) and supporting documents within therequired timeframe.

    Material inconsistencies in the information submitted. Willful misrepresentation in any document. If a party or entity submits more than one Bid either independently or

    as part of different Consortium or have Conflict of Interest or Changein Consortium during bidding process without prior written approvalof MCS.

    Failure to meet qualification criteria or eligibility as set forth in thisRFP

    Failure to meet obligations related to Validity Period of bid and BidSecurity and failure to extend the Validity Period and Bid security.

    Conflict of Interest If Bid contains any condition or qualification or any other stipulation

    and qualify as conditional bid in opinion of MCS.

    Apparent failure to meet any obligations required.1.11. In the event MCS disqualifies any bidder under the above mentioned

    clause, the amount of security deposited shall be refunded.

    1.12. The Bid Security shall be forfeited by MCS, at its sole discretion in thefollowing cases:

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    If the Bidder submits nonresponsive Bid.

    If the Bidder engages in a corrupt practice, fraudulent practice, coercivepractice, undesirable practice or restrictive practice.

    The bidder withdraws its bid after Bid Due Date and during Bid ValidityPeriod, including any period of extension.

    In the case of a Preferred Bidder, if it fails to fulfill the preconditions toexecution of agreement setforth in the Bidding Document or the Notice ofAward as the case may be and sign the Concession Agreement.

    In case the bid of the bidder is determined as being non-responsive due to its

    being conditional or qualified or for any other reason, in the opinion of

    MCS. The Bidder is disqualified.

    Apparent failure to meet obligations

    Change in Consortium structure or withdrawal of Consortium Member fromConsortium before execution of Concession Agreement. MCS may proceedwith award of Concession Agreement if it is of opinion that the other membersof the Consortium are still capable of carrying out the Project or that they haveprovided a suitable and acceptable substitute with equal or betterqualifications

    1.13. The Bid shall remain valid for a period not less than 90 days from the BidDue Date.

    1.14. The evaluation of technical bid will be on Pass/ Fail basis and theassessment will be based on eligibility criteria specified in the RFP

    document.

    1.15. Evaluation of financial bid shall be based on the bidding parameter i.eAnnual Concession Fee. The reserve price of the concession fee has beenfixed as Rs. 6.00 Crores/Annum. The Bids will be ranked on the basis ofAnnual Concession Fee payment. The Bidder quoting the highest AnnualConcession Fee would be ranked HI.

    1.16. The successful Bidder shall be notified in writing by MCS by issuing theNotice of Award (NOA).

    1.17. Following the issuance of the Notice of Award, the Concessionaire shallbe required to meet the pre conditions specified therein and in the

    Concession Agreement, and sign the Concession Agreement, as per thedraft of the Concession Agreement provided in the Bidding Documents.

    1.18. In the event of refusal, inability or failure of the selected bidder complyingevaluated bid to make good his bid by entering into ConcessionAgreement within specified period, the MCS shall forfeit the Bid Securityor Performance Security as the case may be of such bidder. In such event,the MCS shall consider the next complying or qualified highest evaluatedbid for the award, by inviting him to revalidate or extend its Bid Security,

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    as necessary, and match the Bid of the Highest complying Bidder and ifthe Bidder matches the bid of the H1 Bidder, it shall be the selectedbidder. If the same fails to execute the Concession Agreement with theMCS, its Bid Security shall likewise be forfeited and MCS shall considernext complying and qualified evaluated bid, and so on until a concessionagreement has been entered into. In case, MCS is unable to execute the

    Concession Agreement with any of the complying and qualified biddersdue to refusal of later, MCS shall cancel the Bidding Process and maysubject the Project to rebidding.

    1.19. Preconditions to execution of Concession Agreement to be fulfilled by theConcessionaire:

    (i) unconditional and irrevocable Bank Guarantee as PerformanceSecurity in accordance with provisions of the ConcessionAgreement;

    (ii) certified copies of its constitutional documents and boardresolutions authorizing the execution, delivery and performanceof the Concession Agreement by the Concessionaire; and

    (iii) a legal opinion from the legal counsel of the Concessionaire withrespect to the authority of the Concessionaire to enter into theConcession Agreement and the enforceability of the provisionsthereof;

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    Concession Agreement

    THIS AGREEMENT is entered into on this the *** day of ***, 20**

    AMONGST

    1 THE MUNICIPAL CORPORATION SHIMLA (MCS) represented by itsCommissioner and having its principal offices at The Mall, Shimla,Himachal Pradesh (hereinafter referred to as the "Authority" whichexpression shall, unless repugnant to the context or meaning thereof,include its administrators, successors and assigns) of ONE PART;

    AND2 [**** LIMITED], a company incorporated under the provisions of the

    Companies Act, 1956 and having its registered office at ****, (hereinafterreferred to as the "Concessionaire" which expression shall, unlessrepugnant to the context or meaning thereof, include its successors, andpermitted assigns and substitutes) of the SECOND PART.

    WHEREAS:

    (A)The Authority had resolved to implementing Green Fee Scheme in ShimlaTown on Design Build, Operate and Transfer (DBOT) on the entry of vehiclesfrom outside the state in accordance with the terms and conditions to be setforth in a concession agreement.

    (B)The Authority had accordingly invited proposals by its Tender Notice No. ***dated *** (the "Tender Notice") for selection of highest bidder including, interalia, the consortium comprising ****, **** and **** (collectively the"Consortium") with **** as its lead member.

    (C)The Authority had prescribed the technical and financial terms andconditions, and invited bids for undertaking the Project.

    (D)The Consortium has since promoted and incorporated the Concessionaire as alimited liability company under the Companies Act 1956, and has requestedthe Authority to accept the Concessionaire as the entity which shall undertakeand perform the obligations and exercise the rights of the Consortium underthe LOA, including the obligation to enter into this Concession Agreementpursuant to the LOA for executing the Project.

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    (E)By its letter dated ***, the Concessionaire submitted the Contract PerformanceSecurity of Rs 1.00 Crores (Rs. 50.00 Lakhs as FDR and Rs. 50.00 Lakhs asBank Guarantee) and has also joined in the said request of the Consortium tothe Authority to accept it as the entity which shall undertake and perform theobligations and exercise the rights of the Consortium including the obligationto enter into this Concession Agreement pursuant to the LOA. The

    Concessionaire has further represented to the effect that it has been promotedby the Consortium for the purposes hereof.

    (F)The Authority has agreed to the said request of the Consortium and theConcessionaire, and has accordingly agreed to enter into this ConcessionAgreement with the Concessionaire for execution of the Project on DBOTbasis, subject to and on the terms and conditions set forth hereinafter.

    (G)The Concession period will be a period of one year. The concessionaire will beauthorized to collect toll tax from the date of signing of concession agreementhowever, he will design, built the toll barriers with in a period of one month

    as per the NHAI Standards. This one month period will be termed asconstruction period and will be included in the concession period.

    NOW THEREFORE in consideration of the foregoing and the respectivecovenants and agreements set forth in this Concession Agreement, the sufficiencyand adequacy of which is hereby acknowledged, and intending to be legallybound hereby, the Parties agree as follows:

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    Definitions & Interpretations

    Article 1

    Definitions

    The words and expressions beginning with capital letters and defined inthis Agreement shall, unless the context otherwise requires, have themeaning ascribed thereto herein, and the words and expressions definedin the Schedules and used therein shall have the meaning ascribed theretoin the Schedules.

    Interpretation

    In this Agreement, unless the context otherwise requires,

    (a) references to any legislation or any provision thereof shall includeamendment or re-enactment or consolidation of such legislation orany provision thereof so far as such amendment or re-enactment orconsolidation applies or is capable of applying to any transactionentered into hereunder;

    (b) references to laws, laws of India or Indian law or regulation havingthe force of law shall include the laws, acts, ordinances, rules,regulations, bye laws or notifications which have the force of lawin the territory of India and as from time to time may be amended,modified, supplemented, extended or re-enacted;

    (c) references to a "person" and words denoting a natural person shallbe construed as a reference to any individual, firm, company,corporation, society, trust, Authority, state or agency of a state orany association or partnership (whether or not having separatelegal personality) of two or more of the above and shall includesuccessors and assigns;

    (d) the table of contents, headings or sub-headings in this Agreementare for convenience of reference only and shall not be used in, andshall not affect, the construction or interpretation of thisAgreement;

    (e) the words "include" and "including" are to be construed withoutlimitation and shall be deemed to be followed by "withoutlimitation" or "but not limited to" whether or not they are followedby such phrases;

    (f) references to "construction" include, unless the context otherwiserequires, investigation, design, developing, engineering,procurement, delivery, transportation, installation, processing,

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    fabrication, testing, commissioning and other activities incidentalto the construction, and "construct" shall be construed accordingly;

    (g) any reference to any period of time shall mean a reference to thataccording to Indian Standard Time;

    (h) any reference to day shall mean a reference to a calendar day;(i) references to a "business day" shall be construed as a reference to a

    day (other than a Sunday) on which banks in Shimla are generallyopen for business;

    (j) any reference to month shall mean a reference to a calendar monthas per the Gregorian calendar;

    (k) references to any date, period or Project Milestone shall mean andinclude such date, period or. Project Milestone as may be extendedpursuant to this Agreement;

    (l) any reference to any period commencing "from" a specified day ordate and "till" or "until" a specified day or date shall include bothsuch days or dates; provided that if the last day of any periodcomputed under this Agreement is not a business day, then theperiod shall run until the end of the next business day;

    (m) the words importing singular shall include plural and vice versa;(n) references to any gender shall include the other and the neutral

    gender;

    (o) "lakh" means a hundred thousand (100,000) and "crore" means tenmillion (10,000,000);

    (p) "indebtedness" shall be construed so as to include any obligation(whether incurred as principal or surety) for the payment orrepayment of money, whether present or future, actual orcontingent;

    (q) references to the "winding-up", "dissolution", "insolvency", or"reorganisation" of a company or corporation shall be construed soas to include any equivalent or analogous proceedings under thelaw of the jurisdiction in which such company or corporation isincorporated or any jurisdiction in which such company orcorporation carries on business including the seeking

    (r) of liquidation, winding-up, reorganisation, dissolution,arrangement, protection or relief of debtors;

    (s) any reference, at any time, to any agreement, deed, instrument,licence or document of any description shall be construed as

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    reference to that agreement, deed, instrument, licence or otherdocument as amended, varied, supplemented, modified orsuspended at the time of such reference; provided that this Sub-clause shall not operate so as to increase liabilities or obligations ofthe Authority hereunder or pursuant hereto in any mannerwhatsoever;

    (t) any agreement, consent, approval, authorisation, notice,communication, information or report required under or pursuantto this Agreement from or by any Party or the IndependentEngineer shall be valid and effective only if it is in writing underthe hand of a duly authorised representative of such Party or theIndependent Engineer, as the case may be, in this behalf and nototherwise;

    (u) the Schedules and Recitals to this Agreement form an integral partof this Agreement and will be in full force and effect as though

    they were expressly set out in the body of this Agreement;

    (v) references to Recitals, Articles, Clauses, Sub-clauses or Schedules inthis Agreement shall, except where the context otherwise requires,mean references to Recitals, Articles, Clauses, Sub-clauses andSchedules of or to this Agreement, and references to a Paragraphshall, subject to any contrary indication, be construed as a referenceto a Paragraph of this Agreement or of the Schedule in which suchreference appears; and

    (w) the damages payable by either Party to the other of them, as setforth in this Agreement, whether on per diem basis or otherwise,

    are mutually agreed genuine pre-estimated loss and damage likelyto be suffered and incurred by the Party entitled to receive thesame and are not by way of penalty (the "Damages").

    1.1.2 Unless expressly provided otherwise in this Agreement, anyDocumentation required to be provided or furnished by theConcessionaire to the Authority and/ or the Independent Engineer shallbe provided free of cost and in three copies, and if the Authority and/orthe Independent Engineer is required to return any such Documentationwith their comments and/or approval, they shall be entitled to retain twocopies thereof. The rule of construction, if any, that a contract should beinterpreted against the parties responsible for the drafting andpreparation thereof, shall not apply.

    1.1.3 Any word or expression used in this Agreement shall, unless otherwisedefined or construed in this Agreement, bear its ordinary English meaningand, for these purposes, the General Clauses Act 1897 shall not apply.

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    Measurements and arithmetic conventions

    All measurements and calculations shall be in the metric system andcalculations done to 2 (two) decimal places, with the third digit of 5 (five)or above being rounded up and below 5 (five) being rounded down.

    Priority of Agreements and errors/discrepancies

    This agreement, and all other agreements and documents forming part ofthis agreement are to be taken as mutually explanatory and, unlessotherwise expressly provided elsewhere in this agreement, the priority ofthis agreement and other documents and agreements forming part hereofshall, in the event of any conflict between them, be in the following order:

    (a) this agreement; and(b) all other agreements and documents forming part hereof;i.e. the agreement at (a) above shall prevail over the agreements anddocuments at (b) above.

    1.1.4 Subject to Clause 1.4.1 in case of ambiguities or discrepancies within thisAgreement, the following shall apply:

    (a) between two or more Clauses of this Agreement, the provisions ofa specific Clause relevant to the issue under consideration shallprevail over those in other Clauses;

    (b) between the Clauses of this agreement and the Schedules, theClauses shall prevail and between Schedules and Annexes, theSchedules shall prevail;

    (c) between the written description on the Drawings and theSpecifications and Standards, the latter shall prevail;

    (d) between the dimension scaled from the Drawing and its specificwritten dimension, the latter shall prevail; andbetween any value written in numerals and that in words, the

    latter shall prevail

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    GRANT OF THE CONCESSION

    ARTICLE -2

    2.

    2.1. Grant of Concession2.1.1. The Concessionaire will design, develop, construct, establish, finance,

    manage, operate and maintain the Project Facilities regulate the use andcollect & transfer green fees to MCS on monthly basis in 12 installments ofthe Concession Period.

    2.1.2. The Concessionaire will provide assistance and attendant facilities to MCSand its agencies in undertaking statutory functions.

    2.1.3. The Concessionaire will enjoy complete and uninterrupted possession ofand control over the Project Sites as per the provisions of NHAIspecification not interfering with the Rights of Way. The Concessionaire

    will have access and license to the Project Sites for the purpose of and tothe extent conferred by the provisions of this Agreement.

    2.1.4. The Concessionaire will demand, levy, collect, retain and appropriateGreen Fee from Vehicles entering MC limits in accordance with theprovisions hereof.

    2.1.5. The Concessionaire will collect, for and on behalf of MCS (and inaccordance with the provisions of this Agreement), the State Levies, asmay be required by MCS to be collected by the Concessionaire as part ofthe Project in accordance with this Agreement and deposit the same intothe State Accounts.

    2.1.6.

    The Concessionaire will perform or fulfill all of the Concessionairesobligations under and in accordance with this Agreement.

    2.1.7. The Concessionaire will bear and pay all costs, expenses and charges inconnection with or incidental to performance of the obligations of theConcessionaire under this Agreement.

    2.1.8. Exercise such other rights as MCS may determine as being necessary ordesirable for the purposes incidental and necessary for implementing theProject.

    2.1.9. The Concessionaire will not assign, transfer or sublet or create any lien orEncumbrance on this Agreement, or the Concession hereby granted or on

    whole or any part of the Project nor transfer, lease or part possessionthereof, save and except as expressly permitted by this Agreement or theSubstitution Agreement.

    2.2. Concession Period

    2.2.1. The Concession Period shall commence on and from the Compliance Date/signing of concession agreement and shall extend for a period of 02 yearsfrom such date or the earlier termination or any extension of thisAgreement in terms hereof. The concessionaire will design, built and

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    operate the toll barriers in a period of one month from the date of signingof concession agreement. This period will be termed as constructionperiod. For the avoidance of doubt, the Concession Period shall includethe Construction Period.

    2.3. Conditions Precedent to be satisfied by MCS

    2.3.1. Procure approval of the Competent Authorities i.e. NHAI, HPPWD,HPSEB, I&PH Department that would enable the Concessionaire toestablish the minor Check posts on the Project Sites within right of way ofthe road corridor and Project Facilities for major Checkposts includingapproach road or service road, security post etc. along the road corridorsor within right of way of the road corridor as the case may be.

    2.3.2. Provide to the Concessionaire the Right of Way together with all wayleaves, easements, unrestricted access necessary for construction,operation and maintenance of the minor Checkpost Facilities in the rightof way of the road corridors;

    2.3.3.

    Make the requisite land use changes in respect of the Project Sites, if anyrequired, at its own cost and expense;

    2.4. Compliance Period for fulfillment of Conditions Precedent

    2.4.1. Each Party shall make all reasonable endeavors at its respective cost andexpense to procure the satisfaction in full of the Conditions Precedentrelating to it within a period of 30 (Thirty) days from the date of executionof this Agreement or such other time period as may be extended bymutual agreement.

    2.5. Damages for delay by MCS

    2.5.1. In the event that (i) MCS does not procure fulfillment the ConditionsPrecedent related to Project Sites set forth in 2.4 within the periodspecified in respect thereof, and (ii) delay has not occurred as a result ofbreach of this Agreement by the Concessionaire or due to Force Majeure,the MCS shall pay to the Concessionaire, Damages in an amountcalculated at the rate of 0.1% of the Performance Security for each daysdelay until the fulfillment of such Conditions Precedent, subject tomaximum 20% of the Performance Security.

    2.6. Performance Security

    2.6.1. For securing the performance of its obligations and the terms andconditions, by the Concessionaire from the date of execution of theConcession Agreement and until the date of Completion of concessionperiod, the Concessionaire shall within 01 (one) week of the date of theLetter of Acceptance, deliver to the MCS a Nationalized bank demanddraft equal to Rs. 50.00 Lakhs and a bank guarantee of Rs. 50.00 Lakhs(Total of Rs. 1.00 Crores) as performance security deposit which shall berefunded to the concessionaire without interest after the successfulcompletion of concession period. In case of breach of any of the conditionsof the concession agreement the said amount of security shall be forfeitedin favour of Municipal Corporation Shimla.

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    2.6.2. For securing the due and punctual performance of obligations of theConcessionaire under this Agreement during the Operation Period theconcessionaire will submit twelve post dated cheques for the amount offinal bid and the concessioning authority i.e. MCS will realize the chequeson first day of the month of the total concession period of one year.

    2.7.

    Designs and Drawings2.7.1. The Concessionaire in consultation with NHAI and other User

    Departments shall prepare and submit within one month i.e. ComplianceDate the workflow and system requirement and design report andcompletion of the project to the Steering Committee.

    2.7.2. The Concessionaire may prepare and submit the Designs and Drawingsspecific to each Checkposts in such sequence as is consistent with theProject Completion Schedule.

    2.8. Construction

    2.8.1. The concessionaire shall complete the construction of Green fee barrierswith in 30 days from the Compliance Date. This shall be the scheduledconstruction completion date (the Scheduled Construction CompletionDate) and the Concessionaire agrees and undertakes that the Project shallbe completed on or before the Scheduled Construction Completion Date.However the concessionaire will be entitled to collect green fees fromvehicles entering M.C. Limits from the date of signing of concessionagreement.

    2.9. Steering Committee

    2.9.1. MCS shall constitute the Steering Committee for monitoring the Projectduring Concession Period. The Concessionaire shall be entitled tonominate one person as a member of the Steering Committee.

    2.9.2.2.9.3. The Steering Committee for project shall comprise of following members

    Commissioner, Municipal Corporation, Shimla, Assistant Commissioner, M.C. Shimla, Project Director, M.C. Shimla, Nominee of Concessionaire as an Observer

    2.10. Concession Fee

    2.10.1.The Concessionaire shall, with effect from COD (Commercial OperationDate) and during Operation Period pay to MCS the Concession Fee forone year of the Operation Period in the form of post dated cheques to berealized on the seventh day of every month.

    2.10.2.The Concession Fee payable shall be due and payable in monthlyinstallments. The Concessionaire shall deposit Twenty Four post datedcheques of the amount totaling to the amount of the highest bid (H1) inaddition to the performance security.

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    2.11. Fee

    2.11.1.Fee shall be collected at the Checkpost Facilities from Vehicles comingfrom out side the States bearing registration number of the respectivestates as the case may be requiring to check at the Checkpost Facility andusing the whole or part of the Project Facilities. The Concessionaire shall

    be entitled to set up at its own risk and cost, and in consultation withMCS, establish check point or impose such other restrictions, as may bereasonably be necessary for preventing evasion of the Checkpost Facilitiesby any Vehicle.

    2.11.2.The MCS expressly recognises that if any User fails to pay applicable Fee,the Concessionaire may exercise all rights and remedies available underthe Applicable Laws for recovery of the applicable Fee.

    2.11.3.The amounts collected as Fee shall be deposited by the Concessionaire inits Escrow Account and shall be recorded and accounted separately fromthe amounts collected as Green Fees.

    2.11.4.Fee Structure

    2.11.4.1. Processing Fee for Vehicle Processing Fee shall be collected from every Transport Vehicle

    defined under Motor Vehicle Act 1988 and any amendment,replacement thereof which are registered out side the state ofHimachal Pradesh. Transport Vehicles means public servicevehicle, goods carriage, en educational institution bus or a privateservice vehicle.

    SN Category of Vehicle Processing Fee perVehicle per Entry

    1 Two Wheeler Rs 100/-2 Car & Jeep Rs 200/-

    3 MUVs (Tata Sumo, Safari,Scorpio, Qualis, Bolero, MaxiCab & Utility Vehicles)

    Rs 300/-

    4. Buses, Trucks and otherheavy vehicles

    Rs. 500/-

    2.11.4.2. Detention Charges : All vehicles not paying the Green Fee will bedetained in the detention area and will be charged Rs. 50/- per day.

    2.11.4.3. The Charges shall be effective from COD of the Project Facility2.11.4.4. Exempted Vehicles : Following category of vehicles shall be

    exempted from paying the Fee at Checkpost:

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    All non transport vehicles on which no taxes are payable underMotor Vehicle Act shall be exempted from paying Processing Feefor Vehicle.

    Defence convoys Light Motor Vehicles belonging to Vice President, Ministers,

    Speakers, Deputy Speakers, Judges of High Court of H.P.,Members of Parliament and Member of Legislative Assemblyelected from Himachal Pradesh.

    Ex member of Parliament and Member of Legislative Assemblyelected from Himachal Pradesh.

    Ambulances and vehicles specially design to be used by physicallyhandicapped persons.

    LMV belonging to Gallantry Award Winner ex-serviceman andtheir families i.e. recipients of Param Veer Chakra, Ashok Chakra,Maha Veer Chakra, Kirti Chakra, Shourya Chakra etc.

    2.11.5.Revision of Fee: The Parties hereto acknowledge and agree that the Feespecified herein as applicable on COD (the Base Fee) shall be revisedannually on April 1.

    2.11.6.The Concessionaire may, after obtaining prior written approval of theMCS which approval the MCS may in its discretion deny, determine andcollect a discounted Fee (the Differential Fee) during off peak hours, tobulk users or for timely or early payment.

    2.12. State Accounts

    2.12.1.Prior to COD, the Concessionaire will inform MCS of the specific bankaccount of the Concessionaire (the State Account) into which the GreenFee collected shall be deposited. MCS has the right to inspect the accountto have a check on the Green Fee collections. All Green Fee shallimmediately and no later than every day be deposited/transferred intothe relevant State Account.

    2.12.2.The Concessionaire shall operate the account independently with monthlyinformation to MCS. The Concessionaire shall maintain adequate recordsand accounts of the amount of Green Fee collected in each day and thedetails relating to such Green Fee collected and provide the same to MCS.

    2.12.3.Any deviation and deficiency in performance of this obligation shallconstitute breach of this Agreement.

    2.13. Change in Law

    2.13.1.If as a result of Change in Law, the Concessionaire suffers an increase incosts or reduction in net after-tax return or other financial burden, theaggregate financial effect of which exceed the higher of Rs 1 crore (Rupeesone crore) and 0.5% (zero point five percent) of the Fee revenue in anyFinancial Year, the Concessionaire may so notify the MCS and propose

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    amendments to this Agreement so as to place the Concessionaire in thesame financial position as it would have enjoyed had there been no suchChange in Law resulting in the cost increase, reduction in return or otherfinancial burden as aforesaid. Upon notice by the Concessionaire, theParties shall meet, as soon as reasonably practicable but no later than 30(thirty) days from the date of notice, and either agree on amendments of

    this Agreement or on any other mutually agreed arrangement;

    2.13.2.For the purposes of placing the Concessionaire in the same financialposition as it would have enjoyed had there been no Change in Lawaffecting the costs, returns or other financial burden or gains, the Partiesshall rely on the Financial Model to establish a net present value (theNPV) of the net cash flow and make necessary adjustments in costs,revenues, compensation or other relevant parameters, as the case may be,to procure that the NPV of the net cash flow is the same as it would havebeen if no Change in Law had occurred.

    2.13.3.The parties acknowledge and agrees that the demand for cashcompensation shall be restricted to the effect of Change in Law during therespective Financial Year and shall be made at any time aftercommencement of such year, but not later than one year from the close ofsuch Financial Year. Any demand for cash compensation payable for andin respect of any subsequent Financial Year shall be made after thecommencement of the Financial Year to which the demand pertains, butno later than two years from the close of such Financial Year.

    2.13.4.MCS shall not in any manner be liable to reimburse to the Concessionaireany sums on account of a Change in Law if the same are recoverable fromthe Users.

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    SCOPE OF THE PROJECT

    The MCS envisages contracting out the process of Toll Collection,Operation and Maintenance at Toll Barriers to an eligible private sector firm to beengaged through an open, competitive and transparent process i.e. by issuingnotice inviting offer cum request for proposal. This will involve single stage

    bidding whereby the bidder will submit technical and financial bids. The bidderquoting the highest bid (H1) will be selected for concession period of one year.

    The selected bidder will undertake at its own cost (1) toll collectiondevelopment of toll plazas on behalf of MCS as per NHAI Standards, operationand maintenance for a period of one year. The identified toll barriers wiil becomputerized and with proper signages, lighting including traffic light systemand road markings.

    The Municipal Corporation Shimla will act as a facilitator in providing landand NOCs from Govt. Departments like NHAI, HPSEB, HPPWD and I&PHDepartment

    3. Project Scope

    3.1. The Concessionaire shall design, finance, procure, construct, operate,maintain and manage the Checkposts specified in the Annexure 1 onDBOT basis where MCS shall provide the Vacant Possession of lands forsuch Checkposts under valid lease deed. Wherein MCS shall provide thelicense and Right of Way to Concessionaire to construct, operate andmaintain the Checkpost Facilities.

    3.2. Checkposts: Each Checkpost shall have minimum following provisions:3.2.1. Off-street drive-through toll plaza for incoming and outgoing

    traffic with main entry and exit, approach road, minimum numberof lanes as specified in the Agreement and operator booths. TheVehicle, into or out of Checkpost, shall be guided on to a lane withadequate signage system;

    3.2.2. Lighting including high mast lighting;3.2.3. CCTV Camera for surveillance;3.2.4. Traffic light system;3.2.5. Communication system;3.2.6. Road markings and information signage; and3.2.7. Each lane should have following minimum provision:

    Display system for display of information/instruction for thevehicle operator; and Lane operator control booth with system components like

    terminal, printer, UPS, document scanner, bar code reader etcfor data and transaction processing.

    3.2.8. The other essential project facilities identified for checkposts shallbe provided based on the size of Checkpost. These include

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    Detention area; Administrative office; Public conveniences; Security booth and police outpost; Public address system.; and Utilities like power supply with standby power, sewerage

    system, drainage system, water supply system;

    3.2.9. For avoidance of doubt, it is clarified that two separate transactionwindows shall be provided for E&T and other User Department.

    3.2.10.The width of the lane shall be 3.75 m wide. The one of the lane ineach direction of traffic shall be 5.0 m wide to accommodateupsized vehicles. The above specification of lane width shall beavailable for minimum length of 25m.

    3.2.11.A separate lane system shall be provided for various categories ofvehicles/ These may include:

    Multi axle and oversized Vehicles; Passenger vehicles; and

    3.2.12.The minimum size of operator toll booth shall be 1.55mx 2.1m andwill be provided with required furnishing, terminals, peripheralequipments, and support equipment linked to computerizedsystem and telecommunication facility for data entry/informationcollection, payment collection and printing, issuing and accounting

    of tickets/toll/receipts.

    3.2.13.The Concessionaire shall be responsible for maintenance of theAdministrative Office space of User Departments. For avoidance ofdoubt, it is clarified that MCS shall be responsible for itsestablishment cost and expenses like telephone, communication,overheads etc.

    3.3. Detention Area

    3.3.1. Detention area shall be provided for the parking of vehicles whichare detained or impounded due to infringement of the applicable

    law. The minimum capacity of detention area shall be about 2% ofthe projected peak hour traffic. The vehicles shall be detained formaximum 14 days, with intimation to the MCS authority beyondwhich, MCS shall be responsible for its removal from the detentionarea.

    3.3.2. Concessionaire shall have right to demand, collect and charge theFees from Vehicles or User Department as the case may be forusing detention area at the rate notified by MCS.

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    3.4. Commercial Facility

    The Concessionaire shall seek prior consent of the MCS to connect anyCommercial Facilities to the Project Facility and such consent shall notunreasonably withheld.

    3.5. Service Level Indicators

    S.No. Level of ServiceIndicator

    Service Level/Response/Repair Time

    Frequency ofMonitoring

    AService Levels

    1Average queue length

    in the laneNot more than 6

    vehicle per lane

    Continuous

    2Average waiting

    period for avehicle in theoperator lane

    Not more than 15minutes

    Continuous

    3Average time for the

    service at theoperator lanecounter(measured fromtime the

    Vehicle entersthe entry boombarrier to timeit exit the exitboom barrier).

    Not more than 3minutes) Applicableupto 3 transactions bya single Vehicle)

    In case of multipletransactions more than

    3 by a single vehicle,the metrics shall bemultiplied by thenumber oftransactions

    Continuous

    BManagement

    1Customer complaint Response time within

    5 daysMonthly

    2 Breakdown of

    vehicles in thefacility

    Towing of Vehicle

    within 30 minutes

    Continuous

    3 Emergency Responseand FireFighting

    Repair within 24 hours Monthly

    4 Reporting toCompetentAuthorities on

    Response Time within5 days

    Monthly

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    S.No. Level of ServiceIndicator

    Service Level/Response/Repair Time

    Frequency ofMonitoring

    Statutory

    Compliance

    C Green Fees

    1 Transfer of GreenFees into StateAccount

    Should be depositedon same day ornext workingday before11.00am.