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SUPPLY CHAIN MANAGEMENT

SCOPE OF WORK

PROJECT DESCRIPTION: MABOPANE STATION BRIDGE PROJECT: PHASE 2 (RECTIFICATION OF DEFECTIVE AND ABANDONED CONSTRUCTION WORK AT THE MABOPANE STATION (BRIDGE PROJECT)

TRANSACTION: APPOINTMENT OF A CONTRACTOR WITH CIDB GRADING GRADE 9GBSIYAVUNA TRADINGSIYAVUNA TRADING

END USER: PRASA CRES

CLIENT: METRORAIL & REAL ESTATE ASSET MANAGEMENT

(REAM)

REGION / DEPARTMENT: STRATEGIC PORTFOLIO PROGRAMME MANAGEMENT: (SPPM)

1. Introduction

Mabopane Station is situated between Soshanguve and Mabopane suburbs, 55 km north of Pretoria CBD. The project entails the construction of a foot bridge about 300m long and 20m wide with 495 trading stalls. The lower Level is 1,667 m², the ground floor is 1,594 m², and the concourse level is 4,860 m², Total floor area is 8,121 m², The bridge spans over the railway line linking the Western side, Mabopane with the Eastern side, Soshanguve and will be used as the thoroughfare linking the two areas of the Station Concourse.

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The Passenger Rail Agency of South Africa (PRASA) is at the forefront of Government efforts to transform public transport in South Africa, with rail services forming the backbone of the network. The essence of PRASA is to integrate inter-modal facilities and services into public transport solutions that optimise the performance of the whole transport system.

Prasa Cres has a mandate to manage assets owned by the PRASA group including those situated at the train stations. Most of the stations within the Northern Gauteng Region (NGR) have not been upgraded over a long time and their condition need attention to ensure staff and commuter safety satisfaction and profitability.

1.1 PROCUREMENT OF CONSULTING TEAM AND THE CONTRACTOR (SIYAVUNA TRADING)

As this is a pure construction project, the design and supervision element is handled by a registered professional team, therefore in 2008 PRASA embarked on procurement process of consultants and contractor (Siyavuna Trading), under separate bids to implement the Mabopane Station bridge project.

PROJECT DATA

As previously indicated the Contract was for a 18 months period starting on 11 August 2009 to 11 February 2011. Due to complex issues on site including but not limited to community interferences on site, the construction period was extended to 30 June 2012.

Siyavuna Trading had been struggling to give quality works and had been blaming low rates as the main reason for which they allege was not good enough to engage a specialists for certain works and to higher experienced skilled workers. As a result a lot of concrete works have been condemned. Siyavuna Trading was doing most of the specialized concrete work themselves own, arguing that the rates for 2008 they were using were too low and could not get subcontractors at the same rates.

The progress Siyavuna Trading slowed down drastically from August 2012 prompting the Project Manager to issue warning letters. Siyavuna Trading was pushing for implementation of CPAP and revision of rates contrary to the contract. In November 2012 they stopped works because rates had not been revised as per their request and subsequently abandoned site. Contractually the rates could not be revised as the contract was fixed. Lack of skilled workers and experience for work of such magnitude was noted to be the major problem.

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2. Background Information

2.1 Project status quo

Over and above the original identified remedial work that Siyavuna Trading was instructed to do before exiting, t The project has been idling for 70 *1000 months and because of the fact that, there was no re wants a proper hand over .

2.2 Further deterioration of the built structures as they are exposed

Due to incomplete of some of the trades in the building there has been many damages caused by weather in the structure. Some sSteel columnselements have rust. Some parts of roof have been blown off of damaged by wind. Some concrete floors have developed cracks due to excessive direct sun heat.

2.1.2 Find something to say about the works as they stand nowTheft of material on siteSite Security

Because there is no one is present to guard the facility, crime and disorderly conduct has escalated which gradually erodes the sense of caring and ownership for the property by the thugs.There has been a lot of vandalism on electrical gadgets and the roller shutter doors which were installed have been stolen.

Vandalism is still ongoing on due to lack of security on site. We recommend that security be put in place as a matter of urgency. Some illegal access to the premises should be closed immediately.Trespassers have viewed unprotected property as available for their use as a shortcut, a hang out, or a place to engage in criminal activity.

2.2 THE DISPUTE

Upon PRASA declaring the dispute and taking the matter to arbitration, Siyavuna Trading had already abandoned site illegally and did not observe the standard protocol as per the signed contract before vacating site. No stage clearance had been done and there was no inventory of materials done and agreed by to both parties.

In March 2015 The Arbitrator determined in favor of the PRASA as the Siyavuna Trading had unlawfully suspended the works and walked off site without complying with the procedural and substantive requirements of close 31.15 or 31.16.3. Of the JBCC contract.

After arbitration was determined in favour of the PRASA, the Siyavuna Trading was given 10 days to go back to site but did not comply. On 1 April 2015 the PRASA terminated the Contract and called up the performance guarantee.

Structural engineer highlighted, quite a big number of elements had been observed to be skewed and out of plumb.

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The structures affected included the drum structure. The northern access stairs at bus lanes. The North West lift shaft and the RC columns from 1st floor to roof.

The level of out of tolerances was established by consultants and some elements need to be demolished before finishing up the works left by the then Siyavuna Trading.. The scope of work to be done has also been established and the BOQ for the new works is now available.

Currently the project is in dire situation due to Siyavuna Trading abandoning the site without properly handing the site back to PRASA and recommendations by the consultants to remedy the situation and to bring the project to closure should be implemented with urgency.

The 10 million construction guarantee that needed to be retrieved from the contractor by Prasa is still an ongoing matter, which is sitting at Legal.

3. Objective of the Proposed Project

3.1 Objectives and benefits out of the Proposed Project are the following:

Support of existing infrastructure The community will have a world class facility at their disposal which will attract more

investments from other developers. There will be job creation to benefit the community through provision of trading

facilities for small scale traders and well planned retail space. Services will be brought closer to the community. Movement of commuters will be more orderly and safer due to improved and well planned

pedestrian circulation.

3.2 PRASA will benefit the following

Customer satisfaction Increased revenue from stall rentals Increased revenue as ticket evasion will be eliminated Improved safety Aesthetically impressive structure

3.3 Description ofbe what needs to be done:

A significant amount of demolitions A significant amount of demolitions for remedial works is required to correct the mistakes done by the previous contractor. A total number of 495 Informal traders’ stalls need to be completed. for the number of passengers using the facility. The design proposes a two-way linear bridge in which the community and commuters will access the bridge from the East side and the west side, proceed to the existing concourse project (Mini Mall) and to the passenger drop off and loading areas and ramp up onto Soshanguve Taxi Rank on the East and Mabopane Taxi Rank on the West need to be completed also.

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The proposed Bridge will provide indoor passenger arrivals on the South linked by a linear high volume public concourse with a series of public ablutions adequate for the volume of the passenger and general pedestrian traffic. Information kiosks, boards and ticketing offices will be provided as well as three main security points. One main vertical circulation core is proposed along the terminus providing access on the East, Centre and West from the upper levels of Mabopane Station. There is only informal trading proposed at this stage as the main retail is centralised on the main Concourse at and at the Mezzanine levels on the Concourse Project.

3.4 Motivation e why this is preferred option.

isAt the moment, Informal Traders are placed in the area where Prasa is not generating any revenue. There is an illegal water and electricity connection that is costing Prasa a huge of expense yearly.

The completion of this project with controlled access is designed to create a safer user experience and dedicated train and bus commuter terminus.

It is believed that the measures of access control and areas lighting will improve the ambiance of the area creating an environment that is conducive to increase patronage of commuters and operators at Mabopane Station.

3.5 Targeted areas by this project

The project targets the completion of the Bridge Project through creation of seamless interface and flow of traffic in and around the Station Precinct connecting the level and mezzanine concourse with the dedicated ground floor bus terminus between the two major areas providing convenient vertical circulation, waiting and boarding facilities to enhance movement of passengers from and to the Station Precinct integrated with other intermodal facilities available at the Station such as taxis, North West busses and Metrorail .

3.6 OWhat are other related projects?

Recently there is an ongoing concourse project which is scheduled for completion in March 2017 which was the second phase of the entire project and the main feeder of this Mini Mall. The other project is the Landscaping and Water Reticulation which is still in planning process.

SPECIFICATIONS OF THE WORK OR PRODUCTS OR SERVICES REQUIRED

Technical capabilities, constraints, and other specific performance required of the work or product or services to accomplishContractor capable to execute civil – building - mechanical and electrical works, i.e. CIDB Contractor grading of 9 GB

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3.7 Summary of Scope of Works

The work to be carried out under this project will consists of the following:

Site clearance, earthworks and soil poisoning The remedial works on the columns, lift shaft, staircases, concrete floors and repairs to the

vandalised informal trader stalls The electrical work to be carried out will be for; lighting, power points, telephones, site

reticulations, and earthing with lighting protection. The work will be encompassing standby electricity supply from metro rail, All the corrodes structural steel prepare and repair corrosion protection coatings to existing

structural steelwork already erected The works which are covered are stalls, walkway, Ablution, ramps, stairs, turnstiles,

Distribution Board area. Drying Shrinkage Cracking to Suspended Floor Slabs Construct a new storm water attenuation facility, the details of which will be provided by the

Civil Engineer. Ground floor, lower ground and first floor levels: conduits installation Paving and kerbing – repair any defective and/or damaged works Fire Water supply and pump system (to cover both “Concourse” and “Bridge” including repairs

to the old existing water tower which need to be augmented to obtain correct storage volumes. (See attached detailed Scope of works as Annexure 1)

4. PICTORIALS

Current view from the eastern side. The ring beam, columns, the landing and the staircases are to be demolished as per recommendation of the precise servey.

EASTERN STALLS

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Trading stalls to be finished up.

LIFTSHAFT AT EASTERN LANDING

The lift shaft will not be demolished subject to approval by the lift installation sub-contractor

EASTERN LANDING RING BEAM

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The ring beam will be demolished.

FIRST FLOOR EASTERN SIDE

Some columns from 1 st floor to roof level are to be demolished.

PERIPHERAL EASTERN SIDE STAIRCASE (FIRE ESCAPE)

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Staircase at Gridline H35 to H37 is to be demolished. The previous Contractor, Siyavuna Trading had already started the process.

WESTERNSIDE DERAILMENT WALL

The derailment wall is not to be demolished but must be made good.

WESTERNSIDE FIRST FLOOR

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Some columns are to be demolished from 1st

floor to roof due to poor

workmanship.

WESTERNSIDE 1 ST FLOOR BRICK WALLS AND STALLS

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Broken glasses for some stalls are to be replaced. Face Brick must be cleaned. Floors must be made good. All staircases on northern side are to be demolished.

5. ARTISTIC IMPRESSION

[1.] The Contract was terminated by the Client after the Contractor unlawfully abandoned site. The Contract was for 18 months period starting on 11 August 2009 to 11 February 20011. Due to complex of the site, the construction period was extended to 30 June 2012.

[2.] The contention of the contractor was that the fixed rate clause didn’t apply beyond the stipulated 18 month contractual period. As a result the contractor started complaining about cash flow and laying off a number of workers who were well qualified on site to reduce cost and quality of work declined as a result.

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[3.]

[4.] Problem statement

[5.] The Contractor slowed down drastically from August 2012 prompting the Project Manager to issue warning letters. The Contractor was pushing for implementation of CPAP and revision of rates contrary to the contract. In November 2012 they stopped works because rates had not been revised as per their request and abandoned site. Contractually the rates could not be revised as the contract was fixed. Lake of skilled workers and experience for work of such magnitude was noted to be a major problem.

[6.]

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6.[5.] Time Frames / Programs

This a 21 months construction project (from BSC to project closure). A high level milestone program as indicated in table 6.1 is developed to transmit the project intention. The contractor will submit his own detailed programme for inclusion in the contract documentation as part of the Bid Documentation. The Programme will be evaluated and scored as per the attached evaluation criteria.

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Table 6.1: High level project programme

7.[6.] EVALUATION CRITERIA

The evaluation should be done in three stages as follows:

Stage 1: Compliance Requirements

Bidders shall comply with the following requirements failure to comply may lead to disqualification: [list project specific compliance requirements. i.e. CIDB, PSIRA].

a) Proof of registration on the Central Supplier Database (CSD) with National Treasury b) Valid BBBEE Certificate from a SANAS accredited rating agency or IRBA;c) Valid Tax Clearance Certificate (must be valid on closing date of submission of the

proposal); c) Completed and signed Tender Forms of PRASA with all the annexures thereto;

d) [Certificate for Attendance of Compulsory Briefing Session];

e) [Bid Bond] where applicable;

f) Company Registration Documents;

g) Letter of Good Standing: COID

h) COR, CM 29: (Contents of Register of Directors as issued by Companies Registration Office);

i) Joint Venture or Consortium Agreement (whichever is applicable);

j) Proof of UIF registration;

k) Cancelled cheque or letter issued by the Bank

l) Bank Rating Code (letter issued by the Bank)

m) Copies of Directors’ ID documents; and

n) Company Letter Head.

o) Security Screening

p) Bank rating

r) Certificates of Professional Council Registration

s) Proof of CIDB registration of 9GB

Stage 2: Technical / Functionality Requirements

NOTE: The Technical or Functionality criteria must be guided by the project scope of works and area of focus. For purpose of evaluation functionality, the following values will be applicable:

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1 score point Very Poor Bidder will not be able to fulfil the requirements

2 score points Poor Bidder will partially fulfil the requirements

3 score points Average Bidder will be able to fulfil the requirements adequately

4 score points Good Bidder will be able to fulfil better in terms of requirements more than adequately

5 score points Very Good Bidder will exceptionally fulfil the requirements

Scoring of Functionality:Responsive tenders will firstly be evaluated on functionality. The minimum score for functionality is 80% and a bidder who scores below this minimum will be disqualified from further evaluations.

CRITERIA WEIGHT SCORESEVALUATION OF THE BUILDING CONTRACTOR (9GB)

Contractor:

Organisational Experience 20%

Score will be based on successfully executed and completed similar projects in the built and construction environment over the last five years:

Similar Type projects – Office Blocks, Building, Building Renovation, bridges and walk ways each project exceeding Bidder to submit letters of completion of projects listed

1 : Proof of projects provided but not in the Office Blocks, Building, Building Renovation, bridges, walk and ways

2 : Proof of 1 or 2 successfully completed projects

3 : Proof of 3 successfully completed projects, with a combined value of between R59m – R90m.

4 : Proof of 4 successfully completed projects, with a combined value of R90m or more.

5 : Proof of 5 successfully completed projects, with a combined value of R90m or more.

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Contractor:

Qualifications of Key Site Personnel/Team Competency

+ Experience of Key Personnel (This criterion covers the

experience of the proposed Project Manager/Lead

Engineer in relation to office blocks, building, building

renovation, bridges, walk and ways, with a Bachelor’s degree

(BEng) or BTech in engineering or any relevant

certification registered with the Engineering Council of South

Africa (ECSA)

25%

Points will be allocated on the qualifications and professional registration for each professional, Design, Engineering, and Technical Category.

1 : Uncertified qualifications, no professional registrations : -Inadequate technical experience within the building environment

2 Professionally for all categories un-Registered personnel with Certificate in the built environment (submit CV + Certified Proof of Qualifications)

3: Pr. Tech Eng / Pr.CPM / Level as part of the project team (submit CV + Certified Proof of Qualifications)

4: Pr. Technologist / Engineer/s / Pr.CPM level as part of the team (submit CV + Certified Proof of Qualifications)

5: Pr. Engineer/s / Pr.CPM level as part of the project team. (submit CV + Certified Proof of Qualifications)

Contractor:

Technical Approach and Methodology

35%

Points will be allocated for submission of Methodology clearly detailed , project specific and have clear milestones

1: Inadequate / unrelated methodology provided.

2: Generic technical approach project methodology is provided, not aligned to scope.

3: Brief technical approach and methodology provided which is aligned only to the scope of work.

4: Detailed technical approach and methodology is provided that is aligned to the scope of work/ highlighting the risk/s of the work and mitigation measures.

5: Extensive technical approach and methodology is provided that is aligned to the scope of work/ highlighting the risk/s and mitigation measures associated with working within the Rail environment.

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Health & Safety for the works 10%

Attach a safety plan specific to the scope of work, showing understanding of the work, organogram of the safety team and accredited certificates

1: No information provided, or information is inadequate / unrelated project schedule.

2: Generic Safety Plan not specific for the scope of work.

3: Safety Plan specific to some parts of the scope of work/showing understanding of the work.

4: Safety Plan specific to the scope of work/showing understanding of the work/organogram of the safety team.

5: Safety Plan specific to the scope of work/showing understanding of the work/organogram of the safety team accredited certificates.

Project Schedule/Turnaround Delivery Period

10%

Work plan with time frames:12 months delivery time and below = 10 pointsAbove 12 months delivery time = 5 points

TOTAL 100%

Stage 3: Pricing and BBBEE

The formula for calculating price scores is as follows:

Pricing Evaluation: Only Bidders who have achieved the 80% threshold for Technical

evaluation will be evaluated for the Price component which is 90% of the Evaluation

Criteria.

A maximum of 90 points is allocated for price. The evaluation for price will be done

based on the following formula:

100 (POINTL)POINTL x (1 - (PC - Pm)/Pm)

Where:PL = Points scored for price of tender under considerationPC = Rand value of tender under consideration

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Pmin = Rand value of lowest acceptable tender

BEE Evaluation: The B-BBEE component of evaluation is weighted at 10% of the

evaluation criteria.

Calculation of points for B-BBEE –RATINGS

B-BBEE Status Level

of Contributor

Number of pints (90/10

system) above a Million

1 10

2 9

3 6

4 5

5 4

6 3

7 2

8 1

Non-Compliant

Contributor

0

Evaluation criteria Weighting

Stage 1: Compliance Requirements

Security Screening Compliance

CIDB Grading 9GB

Bank Rating Compliance

Stage 2: Technical / Functionality Requirements

Technical Threshold of 80 %

Stage 3: Pricing and BBBEE

BBBEE 10

Price 90

TOTAL 100

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8.[7.] MEASUREMENTS AND PAYMENT

Payments will only be made against completed milestone as per the appointed contractor’s schedule of works and payment schedule.

The PRASA Project Manager will certify payments due to the appointed contractor.

9.[8.] FORM OF CONTRACT

The JBCC will be used as form of contract. Contract amendments proposed by PRASA to the JBCC are included as part of the

RFP.

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