Newly framed
Rules of Local Government Department
GOVERNMENT OF SINDH.
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Newly framed
Rules of Local Government Department |
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THE SINDH LOCAL GOVERNMENT CONTRACT RULES, 2001 |
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THE SINDH LOCAL GOVERNMENT CONTRACT RULES, 2001 Karachi dated the 5th December, 2001.NOTIFICATIONNO: SLGB/CAO/2001/7482. In exercise of the powers conferred under Section 191 sub section 1 of the Sindh Local Government Ordinance, 2001 read with item No.6 of Vth Schedule thereto , the Government of Sindh are pleased to make the following Rules:- 1. Short title and commencement. (1) These rules may be called the Sindh Local Government Contract Rules, 2001. (2) They shall come into force at once. 2. Definitions: In these rules, unless the context otherwise requires, the following expressions shall have the meaning hereby respectively assigned to them, that is to say; (a) “Authority” means the City Nazim, Zila Nazim Taluka/ Town Nazim or Union Nazim and includes any other officer of the council specially authorized by respective Nazim. (b) “Contractor” means a person entering into a contract with a council, and shall include a person submitting a tender under rule 7: (c) “Ordinance” means the Sindh Local Government Ordinance 2001. (d) “Schedule” means a schedule annexed to these rules, and. (e) “Section” means a section of the ordinance. 3. Authority to make contract: (a) Subject to the provisions of ordinance, all contracts including any modification thereof shall be made on behalf of Local Govt. by the Authority. (b) No contract exceeding the value specified in column 2 of the first schedule against the Local Govt. specified in column 1 thereof shall be made without the approval of the council. 4. Manner of making contract: a) A deed of contract specifying the terms and conditions of every contract shall be drawn under the instructions of the respective Nazim of Local Government, and in consultation with the Legal Advisor of the council if any. b) All contracts shall be signed by the authority and shall be attested by two witnesses and shall bear the seal of the council. c) All contracts shall be written on a stamped paper of appropriate value and shall, where necessary, be registered under the law for the time being in force for the registration of documents. d) All contracts shall be recorded in a Contract Register to be maintained in form “C” in the second schedule and shall be reported to the council. 5. Personal responsibility of the authority: The authority shall be personally responsible for ensuring that:- (ii) the contract is made without coercion, undue influence, fraud or misrepresentation of parties:- (iii) the parties are competent to make the contract. (iv) The contract does not involve any favoritism. (v) The contract is in the best interest of the Administration and is made at the competitive rates prevailing in the market. (vi) The contract is legally in order. (vii) No official or member of council is directly or indirectly interested in the contract. 6. Tenders when to be invited. 1. subject to the provision of sub-rule (3) the authority shall, at least seven days before entering into a contract involving an expenditure exceeding the limit prescribed in third Schedule give a seven days public notice in newspapers inviting tenders for such contract and may, subject to the provision of the ordinance, accept any of the tenders so made which appears to be most advantageous. Provided that expenditure mentioned in third schedule shall not exceed 20% of total budgetary allocation of relevant budget head in a single financial year, provided further that this limit may be extended by concerned council upto 50%. 2. subject to sub-rule(3) a public notice in respect of the tenders other than those referred to in sub-rule (1), shall be pasted or affixed at a conspicuous place of the office of the respective Local Government. 3. The council may in the case where question of securing competitive prices or rates is not involved due to contracting agency being State enterprise/sole distributor/authorized agent or monopolistic producer of any branded and registered item as per law for the time being in force, authorize the authority to enter into a contract without inviting tenders. 7. Provision as to tenders: (ii) No tender shall be deemed to be valid unless. (a) it is sealed; (b) in the case of a tender submitted by a firm, it is signed by each member of firm or a person holding a power of attorney on their behalf, and. (c) It is accompanied by an earnest money equal to two per centum of amount of the tender in shape of call deposit. (iii) All tenders shall be opened by the authority at the time and place specified in the notice issued under rules 6 in the presence of such contractor or their agent as may be present and the authority shall affix his initial on every tender when opened. 8. Security for performance of contracts: (ii) when a tender is accepted under the provisions of these rules contract agreement shall be entered into between the contractor and the council in accordance with these rules and the contractor shall be required to deposit in the specified manner and within the time fixed, such a sum together with the earnest money, if any and will make up a sum equal to one tenth of the amount of contract as security for the due performance of the contract. On failure to do so the remaining 8% amount shall be deducted as Security from the running payment of the contract. (iii) The security shall be refundable after six months of the completion of work to the satisfaction of authority & after issuance of completion certificate by the Engineer in case of original / maintenance of Development works whereas in case of supply items it shall be refunded after three months from the date on which the supply is completed to the satisfaction of the authority. 9. Appointment of consultants:- (ii) where the nature of work/ scheme so requires the authority may with the approval of the council appoint consultants for survey , investigation, design planning or advisory supervision or other ancillary matters after pre-qualification through press advertisement. (iii) The council shall for the purpose of sub-rule (1) enter into an agreement with such pre-qualified consultant in a manner to suit the individual requirement of the work/scheme. (iv) The consultant shall be required to deposit 10% of the contract value within 15 days of the agreement in the form of pay order of bank draft in favor of the council or approved valid irrevocable bankers guarantee bond till the successful completion of the whole project, and expiry of the maintenance period if any. (v) In case of consultant fails to furnish pay order or bank draft or guarantee bond the deposit will be recovered from the consultant’s first running payment equal to 10% of the contract value. (vi) The deposit made under sub-rule (3) or the amount recovered under sub-rule (4) shall be released after a period of 3 months from the date of written certificate of the T.O Infrastructure/ Engineer Incharge to the effect that the design/ survey/ investigation/planning/advisory supervision of the consultant has been considered satisfactory and accepted finally. 10. Enforcement of contracts: (i) the authority shall take such steps as may be necessary to enforce the performance of the contract in accordance with the terms and conditions thereof and to the best interest of the council. (ii) Where as contract is not performed according to its terms and conditions the authority shall take such action as may be necessary to enforce the penalty clause of the contract which shall be provided in the contract agreement in order to safeguard the interest of the council. (iii) On the completion of the contract the authority shall record a certificate to that effect and if the contract was made with the approval of the council a report regarding its completion shall be submitted to the council. FIRST SCHEDULE SEE RULE 3(2) VALUE/ AMOUNT OF CONTRACT WHICH CAN BE ENTERED INTO BY THE NAZIM ON HIS OWN AUTHORITY 1. Contracts for the acquisition, purchase or transfer by grant, gift, mortgage, lease, exchange or other wise of immovable property or any interest or any right thereto:-
SECOND SCHEDULE FORM C (See Rule-4(4)) CONTRACT REGISTER
THIRD SCHEDULE ( See Rule-6(1) ) TENDERS TO BE INVITED BY THE NOTICE IN NEWSPAPER (Expenditure from Local Fund)
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