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Finance ยป

Norms of Tender Acceptance when Qualified Bidders less than 3

Revised norms for acceptance of L1/ H1 bid/ Single bid when the number of qualified bidders during 2nd call of a tender is less than three (3).

Update: Extension of Last Date for Submission of Bids is not 2nd Call

Government of West Bengal
Finance Department
Audit Branch

No. 925-F(Y) Dated, the 14th of February, 2017

MEMORANDUM

Sub : Revised norms for acceptance of L1/ H1 bid/ Single bid when the no. of qualified bidders during 2nd call is less than 3

As per FD Memo No. 9754-F(Y) dated 03.12.2012, if the response to Tender (including e-Tender) is less than three (3), then Tender is invited afresh in terms of note 1 below rule 47(8) of West Bengal Financial Rules as amended by this department Notification no. 5400-F(Y) dt. 25.6.2012. The Tender Notice and Re-Tender notice, if any, is required to be published in widely circulated dailies and also through e-Tender portal in case of e-Tender/ e-Auction. Prior to invitation of Tender/ Auction the eligibility criteria and other terms & conditions are required to be prepared carefully by the Tender Inviting Authority. However, in case of 2nd call, if any, the eligibility criteria and other terms & conditions as contained in the first ‘Notice Inviting Tender’ are required to be reviewed by the Tender Inviting Authority to ascertain whether-

i. It was too much restrictive, say, specifications and qualifications were fixed at higher standard than required,

ii. Advertisements in the widely circulated Newspapers were properly published and

iii. Other related procedural matters were observed in its entirety.

However, it has been observed that in many cases the above provisions and procedures of reviewing the eligibility criteria and wide publication of the NIT for tender/ 2nd call are not being properly observed by the Tender Inviting Authority and the departments.

Also, in some cases, extending the time for submission of bids after the expiry of normal time is regarded as equivalent to re-tender or fresh tender.

Under such circumstances, in partial modification of this Department Memorandum No. 9754-F(Y) dated 03.12.2012 and the related orders issued in this regard, the following provisions regarding extension of last date of submission of bids and acceptance of bids when the nos. of qualified bidders during re-tender is less than three (3) are to be followed:

I. Extension of date:

a. The tender process shall be initiated well in advance keeping in mind that there may be a situation for extension of last dates and/or re-tender.

b. Last date of submission may be extended if the notice of extension is issued within the life of the tender period.

c. After expiry of the Tender period date cannot be extended, however re-tender may be invited.

d. Extension of date cannot be treated as 2nd or subsequent Call.

II. If the number of qualified bidders during tender/ re-tender/ re-Auction is less than 3

The Tender Inviting Authority (TIA) shall take a decision based on following situations –

A. If the estimate is less than 5 lakhs:

Case 1: If the no. of qualified bidder is 1 during retender, the Departmental Head/ Secretary may accept the tender in consultation with the FA of the Department.

Case 2: If the no. of qualified bidder is 2 during retender, The Tender Inviting Authority may accept the tender on recommendation of the Tender Committee.

B. If the estimate is equal to or more than 5 lakhs but not more than One Crore:

Update: Enhancement of the limit to Rs. 10 Crore from Rs. 1 crore

Case 1: If the no. of qualified bidder is one during retender:

i) If the Bid is within 2% above the Estimate, the Departmental Head/ Secretary may accept the tender in consultation with the FA of the Department on recommendation of the Departmental Tender Committee

ii) If the Bid is beyond 2% above the Estimate, the Departmental Head/ Secretary, consultation with the FA of the Department will refer the file to the Finance Department.

Case 2: If the no. of qualified bidder is two during retender :

i) If the Bid is within 2% above the Estimate, the Tender Inviting Authority may accept the tender on recommendation of the Tender Committee.

ii) If the Bid is more than 2% but less than 5% above the Estimate, the Department; Head/ Secretary may accept the tender in consultation with the FA of the Department on recommendation of the Departmental Tender Committee.

iii) If the Bid is more than 5% above the Estimate, the Departmental Head/ Secretary in consultation with the FA of the Department will refer the file to the Finance Department for approval.

C. If the estimate is more than one Crore:

The Departmental Head/ Secretary, in consultation with the FA of the Department an Departmental Tender Committee will refer the file to the Finance Department.

However, in all such cases at A, B and C above, the following procedure is to be observed:

1) In case the tender is to be accepted by the Head of the Administrative Department Secretary, the TIA will forward the case along with the duly filled up Forma (Annexure-I) and necessary documents to the Head of the Administrative Department The Head of the Administrative Department, in consultation with the FA of the Department on recommendation from the Departmental Tender Committee, will take the decision and accord approval at his level.

2) If the case is to be referred to Finance Department through the Head of the Administrative Department/ Secretary, the TIA will forward the case along with the duly filled up Format (Annexure-I) and necessary documents to the Head of the Administrative Department. The Head of the Administrative Department, in consultation with the FA of the Department on recommendation from the Departmental Tender Committee, will forward the file to the Finance Department along with necessary justifications.

3) All the administrative Departments may constitute a Departmental Tender Committee if not already done, for doing the above noted work.

This order takes effect from 15.02.2017.

Principal Secretary to the
Government of West Bengal

No. 925-F dated .02.2017, Source