Revised and Amended Standard Bidding Document

Scope Summary - MORD 23 Contract

Scope includes:

• Road Works:

  • Site clearance, setting out, widening, strengthening, camber corrections.
  • Construction of bituminous pavements, junctions, intersections.
  • Drainage channels, flumes, guard posts, cross drainage works, bridges, approaches.
  • Road markings, signs, kilometer/hectometer stones.
  • Protective works, quality assurance, defect rectification, submission of as-built drawings.
  • Safety and tree planting along roads.

• Cross Drainage (CD) Works:

  • Foundations, piers, abutments, bearings.
  • PSC/RCC superstructure, wearing coat, hand railings, expansion joints.
  • Approach slabs, drainage spouts, protective works, wing/return walls.
  • Road markings, signs, quality assurance, defect liability, as-built drawings.

• Maintenance & Other Items:

  • Fulfill all contractual obligations per bid documents including routine maintenance.

Key Specifications Reference:

Routine Maintenance Frequencies (Selected):

Milestone Payments (Clause 20):

• 1/8th value by 1/4th time
• 3/8th value by 1/2 time
• 3/4th value by 3/4th time

Liquidated Damages:

• 1% of Initial Contract Price per week delay (rounded)
• Max 10% of Initial Contract Price

flowchart TD
    A[Start Work] --> B[Site Clearance & Setting Out]
    B --> C[Road Works Construction]
    C --> D[Cross Drainage Works]
    D --> E[Road Markings & Signs]
    E --> F[Quality Assurance & Defect Rectification]
    F

Documents Forming the Contract (MORD 23) include:

• Standard Forms: Letter of Acceptance, Notice to Proceed, Agreement (Section 8, p. 81)
• General Conditions of Contract: Part I & Contract Data (Section 4, p. 35)
• Special Conditions of Contract: Part II (p. 71)
• Specifications (Section 5, p. 72)
• Bill of Quantities (Section 7, p. 77)
• Form of Bid (Section 6, p. 74)

Key Specifications & Tables

• 1% per week of contract price (max 10%) | | Performance Security | Clause 21: Bank Guarantee or Fixed Deposit Receipt | | Operating & Maintenance Manuals| Clause 22(a) | | As-built Drawings Submission | Clause 22(b), penalty in Clause 23 |

Milestone Payment Schedule (Clause 20(a))

Liquidated Damages (Clause 20(b,c))

• Rate: 1% of Initial Contract Price per week

Language and Law - Key Points from MORD 23

1. Contract Language & Governing Law (Clause 3.1):

• The language and law governing the contract are specified in the Contract Data.
• All contract documents are mutually explanatory with a clear priority order (Clause 2.3), e.g.:
  1. Notice to Proceed
  2. Letter of Acceptance
  3. Contractor's Bid
  4. Contract Data
  5. Special Conditions, etc.

2. Labour Laws Applicable (Appendix to Part I GCC):

• Workmen Compensation Act 1923: Compensation for employment injuries.
• Payment of Gratuity Act 1972: Gratuity payable after minimum service (e.g., 5 years).
• Maternity Benefit Act 1961: Leave and benefits for female employees.
• Contract Labour Act 1970: Welfare & licensing requirements for contract labour.
• Minimum Wages Act 1948: Minimum wages for scheduled employment (e.g., construction).
• Payment of Wages Act 1936: Timely wage payment rules.
• Equal Remuneration Act 1979: Equal pay for equal work.
• Payment of Bonus Act 1965: Annual bonus provisions.
• Industrial Disputes Act 1947: Dispute resolution mechanisms.
• Child Labour Act 1986: Prohibits child labour under 14 in construction.
• Building & Other Construction Workers Act 1996: Welfare & cess (up to 2% of construction cost).
• Factories Act 1948: Health, safety, and welfare in factories.

Contract Document Priority (Clause 2.3)

Summary Table: Key Labour Laws

Bid Submission Requirements - Key Points from MORD 23

1. Bid Document Format:

   • Section 3: Forms of Bid and Qualification Information must include a preliminary work schedule with drawings/charts (Clause 4.1).
   • Bids submitted in either Percentage Rate Method or Item Rate Method only (Clause 12.1 Part I (v)).

2. Affidavits Required:

   • No near relations of specified departmental officers employed by bidder.
   • Names of retired gazetted officers (last 2 years) employed, or a clear statement if none (Clause 4.4 B (c)).

3. Bid Security:

   • Amount = 2% of estimated work value, rounded to nearest thousand.
   • Fixed Deposit Receipt or other acceptable forms pledged in favor of Employer.
   • Exemptions to be clearly stated.
   • Validity: Performance Security valid until 45 days after Defects Liability Period (5 years post-completion) (Clause 4.4).

4. Submission Details:

   • Language of bid specified.
   • Place, date, time for pre-bid meeting and bid submission clearly stated.
   • Employer’s address for submission and bid opening times provided.

5. Qualification Information (Section 3):

   • Legal status, registration, principal place of business, power of attorney.
   • Annual volume of civil engineering work in last 5 years (with Chartered Accountant certificate).

Summary Table: Bid Security

flowchart TD
    A[Start: Bid Preparation] --> B[Fill Section 3 Forms]
    B --> C[Attach Affidavits]
    C --> D[Prepare Bid Security (2% of estimate)]
    D --> E[Submit Bid at Employer's Address]
    E --> F[Bid Opening (Technical & Financial)]
    F --> G[Post-Qualification Evaluation]

This concise summary ensures compliance with MORD 23 bid submission requirements.

Pre-bid Meeting and Clarifications: Key Points from MORD 23

• Purpose: To clarify bidding documents, ensure bidders understand scope, and address queries before bid submission.
• Reference Clause: 9. Clarification of Bidding Documents and Pre-bid Meeting.
• Bidder's Responsibility (Clause 8.3):
  • Examine all bid documents carefully (instructions, contract data, specs, drawings, BOQ).
  • Non-compliance risks rejection of bid.
• Typical Pre-bid Meeting Process:
  • Host meeting before bid submission deadline.
  • Collect and answer bidder queries.
  • Issue official clarifications/amendments to all bidders.
• Documentation:
  • Minutes of Pre-bid Meeting and clarifications issued become part of bid documents.
• Format Reference:
  • See Section 2 (Instructions to Bidders) and Section 1 (NIT and List of Dates) for timelines and procedures.

Summary Table: Pre-bid Meeting Essentials

flowchart TD
    A[Issue Bid Documents] --> B[Pre-bid Meeting]
    B --> C[Bidder Queries]
    C --> D[Employer Responses]
    D --> E[Issue Clarifications/Amendments]
    E --> F[Bid Submission]

Note: No specific formulas or tables exist for pre-bid meetings; focus is on procedural clarity per MORD 23.

The IS code MORD 23 does not explicitly specify formulas or detailed tables for Cost of Bidding. However, based on standard bidding practices and engineering economics, here are key points and useful guidelines:

Key Specifications for Cost of Bidding

• Cost of Bidding includes expenses incurred by a bidder preparing and submitting a bid (e.g., site visits, design, documentation).
• Usually, no direct reimbursement of bidding costs is made by the employer.
• Bidders must factor these costs into their overall bid price.

Typical Cost Components

Practical Formula for Bid Price Incorporating Bidding Cost

[ \text{Bid Price} = \text{Estimated Construction Cost} + \text{Maintenance Cost} + \text{Bidding Cost Allowance} ]

Where:

• Estimated Construction Cost and Maintenance Cost are from the bidding document (see your table columns 6 & 7).
• Bidding Cost Allowance is an internal estimate (usually 1-3% of construction cost).

Table Format for Work Cost (from your context)

Summary

• Bidders submit only one bid per work (Clause 5.1).
• Include bidding costs in your bid price to avoid losses.
• Use the provided table format for clarity on costs.

flowchart TD
    A[Bidder prepares bid] --> B{Includes Bidding Cost?}
    B -- Yes --> C[Submit Bid]
    B -- No --> D[Risk of Loss]
    C --> E[Bid Evaluation]

For detailed cost estimation, refer to project-specific data and internal cost records.

Bid Opening and Evaluation - Key Points (MORD 23)

• Bid Opening: Conducted as per the schedule in the bidding document (see Section 1: List of Dates).
• Bid Validity & Withdrawal:
  • Withdrawal/modification after bid submission deadline but before validity expiry can lead to forfeiture of Bid Security (Clause 21.4).
• Evaluation Process:
  • Follow instructions in Section 2: Instructions to Bidders & Appendix to ITB.
  • Qualification assessed as per Section 3: Qualification Information.
  • Price evaluation based on Section 7: Bill of Quantities.
• Document Format:
  • Bids must comply with formats in Section 6: Form of Bid.
  • Use standard forms from Section 8 for acceptance and agreements.

Typical Evaluation Steps:

1. Preliminary Examination: Check bid completeness and compliance.
2. Qualification Check: Verify bidder eligibility.
3. Price Evaluation: Compare quoted rates.
4. Award Recommendation: Based on lowest evaluated bid meeting criteria.

Summary Table of Sections Relevant to Bid Opening and Evaluation

If you need detailed formulas or evaluation criteria (e.g., bid comparison formula), please specify.

Contract Award and Agreement - Key Points from MORD 23

1. Standard Documents Included:

   • Letter of Acceptance
   • Notice to Proceed with the Work
   • Agreement (Standard Form)
   • Contract Data (General & Special Conditions)
   • Specifications
   • Bill of Quantities

2. Standard Form of Agreement:

   • Parties: Employer and Contractor with full addresses.
   • Scope: Execution, completion, and defect remedy of the Works.
   • Payment: Contract Price or adjusted sums as per contract.
   • Incorporated Documents:
     • Letter of Acceptance
     • Notice to Proceed
     • Contractor’s Bid
     • Contract Data
     • Special & General Conditions
     • Specifications
     • Bill of Quantities
     • Other contract documents as specified

3. Notice to Proceed Template:

   • Issued after Performance Security submission and contract signing.
   • Authorizes Contractor to start work per contract terms.

4. Bank Guarantee:

   • Unconditional Guarantee format to be specified by State authorities.

Summary Table: Contract Documents in Agreement

flowchart LR
    A[Contract Award] --> B[Letter of Acceptance]
    B --> C[Notice to Proceed]
    C --> D[Execution of Work]
    A --> E[Agreement Signed]
    E --> F[Incorporates Contract Documents]
    F --> G[Payment Terms]
    F --> H[Scope & Defect Liability]

This framework ensures clarity and legal enforceability of contract terms per MORD 23 guidelines.

Contractor's Obligations and Personnel (MORD 23 - Key Points)

1. Technical Personnel (Clause 13.3 & 12A):

   • Degree holders and experienced technical staff are mandatory.
   • Number and experience requirements depend on contract size and complexity.

2. Insurance (Clause 13.3b):

   • Contractor must maintain insurance with specified amounts and deductibles.

3. Site Investigation (Clause 14.1):

   • Contractor to review and comply with site investigation reports.

4. Equipment & Machinery (Clause 15):

   • Contractor must deploy key equipment as per contract schedule.
   • Example Table:

5. Programme Submission (Clause 17):

   • Initial programme: within X days from Letter of Acceptance.
   • Updated programme: every Y days.
   • Penalty for late submission: Rs. Z lakhs.

6. Labour Reporting (Clause 56.2):

   • Contractor to submit detailed labour returns as prescribed.

7. Compliance with Labour Laws (Clause 57 & Apprentices Act 1961):

   • Contractor must comply with Apprentices Act and labour regulations.

8. Maintenance Responsibilities (Clause 11.5):

   • Routine maintenance activities and frequencies are specified (e.g., pothole repairs, drain cleaning).
   • Example maintenance frequency:

Summary Flow of Contractor's Obligations

flowchart TD
    A[Start Contract] --> B[Deploy Technical Personnel]
    B --> C[Provide Equipment & Machinery]
    C --> D[Submit Programme for Approval]
    D --> E[Maintain Insurance]
    E --> F[Comply with Labour Regulations]
    F --> G[Submit Labour Returns

Employer's and Contractor's Risks as per MORD 23:

Employer's Risks (Clause 11.1)

• Employer is responsible for excepted risks such as:
  • War, invasion, rebellion, civil commotion affecting the Works.
  • Contamination from nuclear fuel/waste.
  • Risks solely due to the design of the Works (except Contractor's design).

Contractor's Risks (Clause 13.1)

• Contractor must insure at own cost (jointly with Employer) from Start Date to Completion against:
  • Loss/damage to Works, Plant, Materials.
  • Loss/damage to Equipment.
  • Loss/damage to other property related to the Contract.
  • Personal injury or death.

Insurance Specifications (Clause 13.3)

• Amounts and deductibles are specified in Contract Data.
• Contractor to maintain insurance covering all risks due to Contractor's scope.

Summary Table: Risk Responsibilities

Liquidated Damages for Delay (Clause 20)

• 1% of Initial Contract Price per week delay.
• Max limit: 10% of Initial Contract Price.

graph LR
A[Employer's Risks] -->|War, Design, Nuclear| B[Employer]
C[Contractor's Risks] -->|Loss/Damage, Injury| D[Contractor]

This ensures clear allocation of risks and insurance responsibilities per MORD 23.

Performance Security & Bid Security - Key Specifications (MORD 23)

Performance Security (Clause 46.1, 30.2)

• Amount: 5% of Contract Price

  • Half (2.5%) to be submitted as Bank Guarantee or Fixed Deposit Receipt (FDR) after Letter of Acceptance.
  • Remaining half (2.5%) retained from progressive payments until completion.

• Form: Bank Guarantee or FDR from Scheduled Commercial Bank in Employer’s name.

• Validity:

  • Initial validity: 1 year (for 2.5% BG).
  • Contractor must extend BG to cover until 45 days after Defects Liability Period.

• Recovery: Employer can recover any shortfall from dues payable to Contractor.

Bid Security

• Typically required as per tender documents (not detailed here), usually 1-2% of bid value, refundable if bid unsuccessful.

Summary Table

Process Flow (Mermaid Diagram)

flowchart TD
    A[Bid Submission] --> B{Bid Security}
    B -->|Submitted| C[Bid Evaluation]
    C -->|Successful| D[Letter of Acceptance]
    D --> E[Submit 2.5% Performance Security]
    E --> F[Start Work]
    F --> G[Retain 2.5% from Payments]
    G --> H[Completion + Defects Liability Period]
    H --> I[Release Performance Security]

Note: Always refer to Contract Data and GCC for detailed conditions and forms.

Payments and Valuation of Work (MORD 23)

Key Points from Clause 38.1:

• Value of Work Executed is based on measurements by the Engineer.
• It includes:
  • Quantities completed as per Bill of Quantities (BoQ).
  • Valuation of Variations and Compensation Events.
• Engineer may adjust previously certified items based on new information.
• Final payment governed by Clause 50 of GCC.

Valuation of Variations (Clause 36.3):

• If rates for variation items are not pre-determined:
  • Contractor submits proposed rates with analysis within 14 days.
  • Engineer assesses rates using standard data books and state schedules.
  • Employer's decision on rates is final.

Payment Milestones (Clause 20):

Liquidated Damages (Clause 20b,c):

• 1% per week of Initial Contract Price (rounded to nearest thousand).
• Max limit: 10% of Initial Contract Price.

Summary Table: Payment Components

flowchart TD
    A[Start: Work Execution] --> B[Measurement by Engineer]
    B --> C[Calculate Value of Work (BoQ quantities)]
    C --> D{Any Variations?}
    D -- Yes --> E[Valuation of Variations]
    D -- No --> F[Sum total value]
    E --> F
    F --> G[Engineer certifies payment]
    G --> H[Payment to Contractor]
``

Key Points on Variations and Compensation Events (MORD 23)

1. Variations (Clause 35 & 36)

• Variation: Changes in the scope or quantities of work.
• Payment for Variations (Clause 36):
  • Rates determined by contract rates or by rate analysis if no rate exists.
  • Contractor must submit rate analysis within 14 days if rates are not pre-agreed.
  • Engineer assesses and recommends rate based on market rates, standard data books, and state schedules.
  • Employer’s decision on rates is final.

2. Compensation Events (Clause 40 & 27.1)

• Events causing delay or additional cost, entitling Contractor to:
  • Extension of Intended Completion Date.
  • Additional payment if acceleration is required.
• Employer/Engineer must grant time extension if compensation event delays completion.

3. Process Flow for Variations & Compensation Events

flowchart TD
    A[Variation or Compensation Event Occurs] --> B[Contractor Notifies Engineer]
    B --> C{Is Rate Known?}
    C -- Yes --> D[Use Contract Rate]
    C -- No --> E[Contractor Submits Rate Analysis (within 14 days)]
    E --> F[Engineer Assesses & Recommends Rate]
    F --> G[Employer Approves Rate (Final)]
    G --> H[Payment & Time Extension Processed]
    D --> H

Summary Table: Time Extension & Payment

References:

• Clause 36.3: Rate determination for variations
• Clause 40: Compensation events and entitlements
• Clause 27.1: Extension of Intended Completion Date

This ensures fair adjustment of contract terms due to unforeseen changes or delays.

Completion, Defects Liability, and Maintenance - Key Points from MORD 23

1. Completion of Construction and Maintenance

• Clause 48: Completion includes both construction and routine maintenance obligations.
• Milestones for Payment:
  • 1/8th value by 1/4th of completion period
  • 3/8th value by 1/2 of completion period
  • 3/4th value by 3/4th of completion period
• Liquidated Damages:
  • 1% of Initial Contract Price per week delay
  • Max 10% of Initial Contract Price

2. Defects Liability

• Clause 32 & 33: Contractor must correct defects during Defects Liability Period (DLP).
• Clause 47.1: Loss/damage between start and end of DLP due to contractor’s fault must be remedied at contractor’s cost.
• Typical DLP for roads: 5 years with routine maintenance included.

3. Maintenance

• Routine maintenance is part of contract post-completion for the DLP.
• Operating and Maintenance Manuals to be submitted within 28 days of completion (Clause 51).
• "As-built" drawings to be submitted in 2 sets within 28 days of completion; penalties apply for delays.

Summary Table

flowchart TD
    A[Start of Contract] --> B[Construction Phase]
    B --> C[Completion of Construction]
    C --> D[Defects Liability Period (5 years)]
    D --> E[Routine Maintenance]
    D --> F[Correction of Defects]
    E --> G[Submission of O&M Manuals & As-built Drawings]
    F --> H[Remedy Loss/Damage by Contractor]
    G --> I[End of Contract]

For detailed contractual obligations, refer to **Clauses 32-33, 47,

Dispute Resolution & Appeals (MORD 23)

• Appeal Right (Clause 24.2):

  • Appeal to Standing Empowered Committee within 90 days of decision.
  • Applicable if claim amount > 0.20% of Initial Contract Price.

• Presentation of Case (Clause 24.4):

  • Both parties submit written case with documents.
  • One oral argument opportunity may be granted.
  • Committee decision within 90 days from appeal date.
  • If no decision, Contractor may approach courts.

• Binding Decision (Clause 24.5):

  • Committee decision binding for claims ≤ 5% of Initial Contract Price.
  • Contractor can accept payment as full settlement or reject and approach courts.
  • Employer can also approach courts if claims > 5%.

• No Arbitration (Clause 25.1):

  • Arbitration is not allowed for any dispute settlement under this contract.

Summary Table

flowchart TD
    A[Dispute arises] --> B{Claim > 0.20% ICP?}
    B -- No --> C[No appeal to Committee]
    B -- Yes --> D[Appeal to Standing Empowered Committee within 90 days]
    D --> E[Submit written case + docs]
    E --> F{Oral argument requested?}
    F -- Yes --> G[Oral argument granted]
    F -- No --> H[No oral argument]
    G & H --> I[Committee decision within 90 days]
    I --> J{Claim ≤ 5% ICP?}
    J -- Yes --> K[Decision binding; Contractor accepts or rejects]
    J -- No --> L[Parties free to approach courts]
    I --> M{No decision in 90 days