No.PWD154 FC-III 2000
Karnataka Government Secretariat
Vidhana Soudha, Bangalore
Dated 24th October 2000.
NOTIFICATION
CHAPTER – I
PRELIMINARY
In exercise of the powers conferred by Sub-Section (1) of Section 23
of the Karnataka Transparency in Public Procurement Ordinance 2000, the
Government of Karnataka hereby makes the following Rules namely:
1. Short title and commencement:-
These rules may be called the Karnataka Transparency in Public Procurements
Rules, 2000.
2. Definitions:-
In these rules, unless the context otherwise requires.
"Earnest money deposit" means the amount required to
be deposited by a tenderer along with his tender indicating his willingness
to implement to contractor; "Pre-qualification"
means the process by which the tenders are first secured for their capability
and resources to implement the contract before they are permitted to offer
their tenders;
"Two-cover system" means a procedure under which
the tenders are required simultaneously submit two separate scaled covers,
one containing the Earnest Money Deposit and the details of their capability
to undertake the tender which will be opened first and the second cover
containing the price quotation which will be opened only if the tenderer
is found to be qualified to execute the tender.
CHAPTER – II
GENERAL
3. Categories of Procurement:-
For the proposes of the application these rules, procurement is categorized
as follows namely:- Construction and Supply of goods and services.
CHAPTER – III
PUBLICITY
4. Publication of tender bulletin:-
The District Tender Bulletin shall be published by the District Bulletin
Officer atleast once in every week.
The State Tender Bulletin Officer shall cause to be
published all notices inviting tenders and intimations of acceptance of
tenders received upto forty eight hours prior to the actual publication
of the bulletin.
In case notice inviting tender or information relating
to acceptance of the tender needs to be published urgently, then the Secretary
to Government of the concerned administrative department in the case of
the State Tender Bulletin or the Deputy Commissioner in the case of the
District Tender Bulletin may for the reasons to be recorded in writing,
direct the respective tender bulletin officers to publish an extraordinary
issue of the tender bulletin.
5. Distribution of Tender Bulletins:-
The Tender Bulletin Officer shall make the tender bulletin available in
the concerned office of the Government department, local authority statutory
board, public sector undertaking, university or cooperative institution.
The Tender Bulletin Officer shall make available adequate copies of the
tender Bulletin at the office of the Tender Inviting Authority whose notice
inviting tenders and intimation of tender acceptance finds place in the
bulletin.
Any person or institution can be enrolled as a regular subscriber to the
tender bulletin on payment of a fixed fee annually, half-yearly or quarterly,
as the case may be.
6. Tender Bulletin to contain information Only:-
The tender bulletin shall contain only information of the notice inviting
tenders.
Intimation of acceptance of tender shall not in itself create a large
right.
A notice inviting tender will not be invalidated merely on the grounds
that the notice has not been published in the News Papers.
7. Information to be published in the state tender bulletin: -
The notice inviting tenders and decisions on tenders shall be published
in the State Tender Bulletin in case where the Tender Inviting Authority
is a Secretary to Government, or a head of a Government Department, or
the Chief Executive of a Public Sector Undertaking, Statutory Board, Apex
Cooperative Institution, University or State Level Society formed by the
Government.
The value of the procurement is rupees one crore and above.
8. Information to be published in the district tender bulletin:-
Subject to the provisions of the rule 10, articles inviting tenders and
decisions on tenders shall be published in the District Tender Bulletin
of the district where the headquarters of the Tender Inviting Authority
is located.
Provided that where a value of procurement is rupees one crore and above,
it shall also be published in the State Bulletin.
9. Details to be mentioned in notice inviting Tenders:-
The Notice Inviting Tenders shall contain the following details, namely:-
- The name and address of the procuring entity and the designation and
address of the Tender Inviting Authority;
- Name of the scheme, project or programme for which the procurement
is to be effected.
- The date upto which and places from where the tender documents can
be obtained.
- The amount of earnest money deposit payable;
- The last date and time for receipt of tenders;
- The date, time and place for opening of tenders received; and
Any other information which the Tender Inviting Authority considers
relevant.
10. Publication of notice inviting tenders in newspapers:-
The Tender Inviting Authority shall have the notice inviting tenders published
in the Indian Trade Journal in all cases where the value of procurement
exceeds rupees ten crores.
The number, editions and language of the newspapers in which the notices
inviting tenders shall be published will be based on the value of procurement
as per department rules.
In cases where publication of Tender Notices is to be done only in Newspapers
with circulation within the District, the Information and Publicity Officer
of the District shall be the competent authority to release the advertisement
and in all other cases the competent authority to release the advertisement
shall be the Director of Information and Publicity, Bangalore.
The notice inviting tender shall be given due publicity in Newspapers
and also by a fixing on notice boards in the District Offices. The Director
of Information and Publicity shall publish the Notice Inviting, Tenders
as per instructions of the tendering department.
CHAPTER – IV
NOTICE INVITING TENDERS AND TENDER DOCUMENTS
11. Technical specification contained in the tender documents:-
The technical specifications contained in the tender documents shall include
a detailed description of what is proposed to be procured.
Unbiased technical specifications shall be prepared by observing the following
safeguards, namely:-
Use of brand names and catalogue numbers shall be avoided and where it becomes
unavoidable, along with the brand name the expression "or equivalent" shall
be added.
Wherever possible the appropriate Indian Standards with the number shall
be incorporated.
In the case of construction tenders, detailed estimates shall be prepared
by the competent technical authorities based on the schedule of rates and
standard data as revised from time to time.
12. Commercial Conditions:-
The tender documents shall require all tenders to pay an earnest money deposit
at the rates as per the departmental rules by means of a demand draft, bankers,
cheque, specified small savings instruments or where the procuring entity
deems fit, irrevocable bank guarantee in a specified form of the department.
The tender documents shall clearly state that any tender submitted without
the earnest money deposit be summarily rejected.
Provided that any category of tenders specifically exempted by the Government
from the payment of earnest money deposit will not be required to make such
a deposit.
The tender documents shall specify the period for which the tenderer should
hold the prices offered in the tender valid.
Provided that the initial period of validity shall not be less than ninety
days.
The tender documents shall require that as a guarantee of the tenderer’s
performance of the contract, a security deposit be taken from the successful
tenderer as per departmental rules.
The tender documents and the contract shall include a clause for payment
of liquidated damages and penalty payable by the tenderer in the event of
non-fulfillment of any of the terms or whole of the contract.
The tender documents shall indicate the quantity proposed to be procured
in the tender, and the Tender Accepting Authority shall be ordinarily permitted
to vary the quantity finally ordered only to the extent of twenty five percent
either way of the requirement indicated in the tender documents.
13. Supply of Tender Documents:-
The Tender Inviting Authority make available the tender documents from the
date indicated in the not inviting tender.
The Tender Inviting Authority shall ensure that the tender documents are
made available to any person who is willing to remit the cost of the documents.
Provided that in the cases where the procuring entity has a system of registration
of contractors, the tender documents will be supplied only to registered
contractors in the appropriate class.
The Tender Inviting Authority shall send by registered post or courier the
tender documents to any prospective tenderer who makes a request for the
documents on payment of cost along with postal charges at the risk and responsibility
of the prospective tenderer.
14. Clarification to Tender Documents:-
At any time after the issue of the tender documents and before the opening
of the tender, the Tender Inviting Authority may make any changes, modifications
or amendments to the tender documents and shall send intimation of such
change to all those who have purchased the original tender documents.
CHAPTER – V
RECEIPT OF TENDERS AND TENDER OPENING
15. Place and time for receipt of tenders:-
The Tender Inviting Authority shall ensure that adequate arrangements
are made for the proper receipt and safe custody of the tenders at the
place indicated for the receipt of tenders.
The Tender Inviting Authority shall permit the submission of tenders by
post or courier.
Provided that the Tender Inviting Authority shall not be responsible for
any delay in transit in such cases.
The Tender Inviting Authority may extend the last date and time for receiving
tenders after giving adequate notice to all intending tenders in cases
where :-
- The publication of the tender notice has been delayed.
- The communication of changes, in the tender documents to the prospective
tenders under rule 14 took time.
Any other reasonable grounds exist, for such extension which shall be
recorded in writing by the Tender Inviting Authority.
16. Marking of covers in which the tender is submitted:-
The tenderer shall be responsible for properly superscribing and scaling
the cover in which the tender is submitted and the Tender Inviting Authority
shall not be responsible for accidental opening of the covers that are
not properly superscribed and sealed as required in the tender documents
before the time appointed for tender opening.
17. Minimum time for submission of tenders:-
(1) The Tender Inviting Authority shall ensure that adequate time is provided
for the submission of tenders and a minimum time is allowed between date
of publication of the Notice Inviting Tenders in the relevant Tender Bulletin
the last date for submission of tenders. This minimum period shall be
as follows:-
- For tenders upto rupees two crores in value, thirty days, and
- For tenders in excess of rupees two crores in value, thirty days.
(2) Any reduction in the time stipulated under sub-rule (1) has to be
specifically authorized by an authority superior to the Tender Inviting
Authority for reasons to be recorded in writing.
18. Opening of Tenders:-
All the tenders received by the tender Accepting Authority shall be opened
at the time specified in the Notice Inviting Tenders and in cases where
an extension of time for the submission of tenders has been given subsequent
to the original Notice Inviting Tenders in accordance with sub-rule (3)
of rule 15 at the time so specified subsequently.
The tenders will be opened in the presence of the tenders or once of the
representatives of the tenderer who chooses to be present.
19. Procedure to the followed at tender opening:-
The following procedure shall be followed at the tender opening:
- All the envelopes received containing tenders shall be counted.
- All the tenders received in time shall be opened.
- A record of the corrections noticed at the time of the bid opening
shall be maintained.
- The name of the tenders and the quoted prices should be read out.
- The fact whether earnest money deposit has been made and other documents
required have been produced may be indicated, but this shall be merely
an examination of the documents and not an evaluation.
- Minutes of the tender opening shall be recorded. The signatures of
the tenders present shall be obtained unless any of the tenders on his
representative refuses to sign the minutes.
20. Tender Scrutiny Committee:-
Tender Accepting Authority may constitute a Tender Security Committee
consisting of such officers as it deems fit to scrutinize the tender documents,
supervise opening of tenders, carry out the preliminary examination and
detailed evaluation of the tenders received and to prepare an evaluation
report for the consideration of the Tender Accepting Authority.
The Tender accepting authority shall constitute the Tender Scrutiny Committee,
where the value of tender exceeds rupees five crores in respect of public
works, irrigation department and minor irrigation department and one crore
in respect of all the other departments.
CHAPTER – VI
TENDER EVALUATION
21. Tender evaluation to be in accordance with evaluation criteria:-
The Tender Accepting Authority shall cause the evaluation of tenders to
be carried out strictly in accordance with the evaluation criteria indicated
in the tender documents.
22. Time taken for evaluation and extension of tender validity:-
The evaluation of tenders and award of contract shall be completed, as far
as possible, within the period for which the tenders are held valid.
The Tender Accepting Authority shall seek extension of the validity of tenders
from the tenders for the completion of evaluation, if it is not completed
within the validity period of tender.
In case the evaluation of tenders and award of contract is not completed
within extended period, all the tenders shall be deemed to have become invalid
and fresh tenders may be called for.
23. Process of tender evaluation to be confidential until the award of
the contract is notified:-
The Tender Inviting Authority shall ensure the confidentiality of the process
of tender evaluation until orders on the tenders are passed.
tenders shall not make attempts to establish unsolicited and unauthorised
contact with the Tender Accepting authority, Tender Inviting Authority or
Tender Scrutiny Committee after the opening of the Tender and prior to the
notification of the Award and if any attempt by the tenderer to bring to
bear extraneous pressures on the Tender Accepting Authority shall be sufficient
reason to disqualify the tenderer.
Notwithstanding anything contained in sub-rule (2), the Tender Inviting
Authority or the Tender Accepting Authority or the Tender Scrutiny Committee
may seek bonafide clarifications from tenders relating to the tenders submitted
by them during the evaluation of tenders.
24. Initial examination to determine substantial responsiveness:-
The Tender Inviting Authority shall cause run initial examination of the
tenders submitted to be carried out in order to determine their substantial
responsiveness.
During the initial examination the following factors shall be considered,
namely:
- Whether the tenderer meets the eligibility criteria laid down in the tender
documents.
- Whether the crucial documents have been duly signed.
- Whether the requisite earnest money deposit has been furnished.
- Whether the tender is substantially responsive to the technical specifications
set out in the bidding documents including the testing of samples where
required.
Tenders which on initial examination are found not to be substantially responsive
under any of the clauses under sub-rule (2) may be rejected by the Tender
Accepting Authority.
25. Determination of the lowest evaluated price:-
Out of the tenders found to be substantially responsive after the initial
examination the tenderer who has bid the lowest evaluated price in accordance
with the evaluation criteria or the tenderer scoring the highest on the
evaluation criteria specified as the case may be, shall be determined.
In determining the lowest evaluated price, the following factors shall be
considered, namely:
- The quoted price shall be corrected for arithmetical errors.
- In case of discrepancy between the prices quoted in words and in figures,
lower of the two shall be considered.
- Adjustments to the price quoted shall be made for deviations in the commercial,
conditions such as the delivery schedules and mind variations in the payment
terms which are quantifiable but deemed to be non material in the context
of the particular tender;
- The evaluation shall include all central duties such as customs due and
central excise duty inclusive of local levies as a part of the price.
- In the case of purchase of equipment, the operation a maintenance and spare
part costs for appropriate periods as may specified in bid documents may
be quantified, where practicable a considered.
26. Preparation of evaluation report and award of tenders:-
Tender Scrutiny Committee or the officer inviting the tender shall prepare
detailed evaluation report which shall be considered by the Tender Accepting
Authority before taking a final decision on the tender.
As soon as the tenderer qualified to perform the contract is identified,
in accordance with section 12, the Tender Accepting Authority shall pass
orders accepting the tender and communicate the order of acceptance to the
successful tenderer. The Tender Accepting Authority shall also send to the
Tender Bulletin Officer a statement of evaluation of the tenders with a
comparative statement of tenders received and decision thereon for publication
in the Tender Bulletin.
Within such reasonable time as may be indicated in the tender documents,
the tenderer whose tender has been accepted will be required to execute
the contract agreement in the specified format.
In case the successful tenderer fails to execute necessary arrangement under
sub rule (3) within the period specified, then Earnest Money Deposit shall
be forfeited and his tender held as non-respective.
27. Pre-qualified Procedure:-
The tender inviting authority shall for reasons to be recorded in writing
provided for pre-qualification of tenders on the basis of.
Experience and past performance in the execution of similar contracts.
Capabilities of the tenderer with respect to personnel, equipment and construction
or manufacturing facilities.
Financial status and capacity.
Only the tenders of pre-qualified tenders shall be considered for evaluation.
28. Two Cover Tenders:-
In the case of construction or supply and installation of equipment, tenders
exceeding Rs.50 lakhs in value where the pre-qualification procedure or
Turn Key Tender System are hot being followed, the tender inviting shall
follow the two-cover tender system.
- The first cover shall contain the following information about the
tenderer namely:
- Experience and past performance in the execution of similar contracts.
- Capabilities with respect to personnel, equipment and construction
or manufacturing facilities.
- Financial status and capacity.
- Any other information considered relevant.
- The second cover shall contain the prices quoted by the tenderer.
- The tender inviting authority shall cause the first cover to be
opened just and evaluate the tenderer’s capacity on the basis of
criteria specified in the tender document and on this basis, prepare
a list of qualified tenders.
Thereafter, the second cover containing the price quotations of only those
tenders found qualified under sub-rule (4) shall be opened by the tender
inviting authority.
The tender inviting authority shall follow the procedure outline in rule
25 and 26..
CHAPTER – VII
APPEALS
29. Appeal :- As appeal under section 15 shall lie :-
To the Head of the Department concerned if the order is passed by a Tender
accepting authority subordinate to the Head of the Department.
To the Government if the order is passed by the tender accepting authority
which is Head of the Department, or a local authority or a State Government
undertaking or a Board, Body, Corporation or any other authority owned or
controlled by the Government.
By order and in the name of The Government of Karnataka.
Sd/-
(B.D. OBAPPA)
Under Secretary to Government
Housing Department |