S STD Users Guide Consultancy Ver 2

Ministry of Foreign Affairs Danida
Sample Standard Tender Document for Larger Consultancy Contracts Users' Guide
November 2004
Danida's SSTD for Larger Consultancy Contracts Users' Guide
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The purpose of this Users Guide is to provide brief guidance to the users of the Sample Standard Tender Document for Larger Consultancy Contracts, the users being the Tender Committees established by the Royal Danish Ministry of Foreign Affairs (Danida) or the Recipient, the Consultant appointed to assist the Tender Committees, and the prospective Tenderers. The explanations and guidelines given in this Users Guide shall not be used for interpretation of the contents of any Tender Dossier or Agreement prepared on the basis of the Sample Standard Tender Dossier.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide TABLE OF CONTENTS 1
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INTRODUCTION...................................................................................................................... 5 1.1 1.2 1.3 1.4 1.5 1.6 1.7 Background .................................................................................................................... 5 The FIDIC White Book .................................................................................................. 6 Procedures and formats to be used for selection of consultants ..................................... 7 Types of assignments where the SSTD may be used ..................................................... 7 Users of the SSTD.......................................................................................................... 8 Terminology ................................................................................................................... 8 Contents of the SSTD..................................................................................................... 9 Principles for tendering of consultancy services .......................................................... 10 The Tender Committee................................................................................................. 12 Qualification requirements ........................................................................................... 12 Tendering...................................................................................................................... 14 Invitation .................................................................................................................. 14 Instructions to Tenderers .......................................................................................... 15 Appendix to Instructions to Tenderers: Criteria and Method of Evaluation ............ 21 Letter of Tender........................................................................................................ 24 Schedules of Tender ................................................................................................. 25 Form of Agreement ...................................................................................................... 29 Documents of the Agreement....................................................................................... 29 Particular Conditions Part A - References from the General Conditions................. 30 Particular Conditions Part B - Additional Clauses ................................................... 34 General Conditions................................................................................................... 34 Appendix A - Scope of Services .............................................................................. 34
THE TENDER PROCESS ....................................................................................................... 10 2.1 2.2 2.3 2.4 2.4.1 2.4.2 2.4.3 2.4.4 2.4.5
THE AGREEMENT................................................................................................................. 29 3.1 3.2 3.2.1 3.2.2 3.2.3 3.2.4
3.2.5 Appendix B - Personnel, Equipment, Facilities and Services of Others to be provided by the Client .............................................................................................................. 43 3.2.6 3.2.7 3.2.8 3.2.9 Appendix C.1 - Schedule of Prices........................................................................... 43 Appendix C.2 - Terms of Remuneration .................................................................. 44 Appendix C.3 - Conditions for Personnel-Related Expenses................................... 44 Appendix C.4 - Terms of Payment........................................................................... 44
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Danida's SSTD for Larger Consultancy Contracts Users' Guide 1 1.1 INTRODUCTION Background
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The Sample Standard Tender Document (SSTD) for Larger Consultancy Contracts has been developed for use in tendering and award of larger consultancy contracts by the Danish Ministry of Foreign Affairs (Danida) in connection with the preparation and implementation of development activities. The Danish Government in February 2003 decided that all procurement financed by Danida from 1 January 2004 (all procurement advertised 1 January 2004 and later) shall be carried out in accordance with the European Council Directives ("the Council Directives") for procurement of public services, public works, and supply contracts where these directives are applicable. This implies in practical terms that award of most contracts for services, works or goods, where Danida is the Contracting Authority) and where the total contract sum is above certain thresholds (for the years 2004 and 2005 approx. 1.1 m DKK for service and goods contracts, and approx. 44.0 m DKK for works contracts) shall be carried out following the requirements of the Council Directives. Larger consultancy contracts under the SSTD are, therefore, defined as contracts with a total contract sum above the threshold. Tendering and award of such contracts shall take place in accordance with the Practical Guide for Tendering and Award of Larger Contracts by Danida" and by Danida headquarters assisted by the appointed Consultant. This guide covers all tendering and award of contracts by Danida whether service contracts, works contracts or supply contracts above the thresholds and comprises general rules governing all contracts and specific rules governing service contracts, works contracts, and supply contracts. The Practical Guide replaces a number of the present guidelines as Rules and Guidelines for Tenders for Danida Assignments, Danish Ministry of Foreign Affairs ("Danida"), September 1994 (in the Danish language only) Rules and Guidelines for Procurement of Goods, Danida, September 1994 Rules and Guidelines for the Role and Work of the Tender Committee in connection with Prequalification and Tendering, Danida, August 1997 Danida's Standard Prequalification Forms, Danida, August 1997 revised September 2001 (covering prequalification for long-term consultancy services).
Tendering and award of smaller consultancy contracts by Danida (contracts where the total contract sum is below the threshold) shall be tendered and contracted in accordance with Danida's KR-rules or Danida's LC-Guidelines, Agreements on Local Consultancy Services. Danida has, in connection with the updating of the Aid Management Guidelines, initiated the development of a general Policy for Procurement and associated Policy Guidelines for procurement of all service, works, and supply contracts, financed by Danida and carried out by Danida headquarters, the local Danish Diplomatic Mission, or partners (Recipient, NGOs, other donors, or any other party disbursing Danida funds). This policy and these guidelines should be seen as an overall umbrella for the Practical Guide for Tendering and Award of Larger Contracts by Danida as well as Danida's Sample Standard Tender Dossiers (SSTD): SSTD for Larger Consultancy Contracts, Danida SSTDs for Larger Contracts for Construction and for Plant and Design-Build,
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Danida Users' Guide and SSTD for Larger Contracts for Supply of Goods, Plant and Equipment, Danida. Simplified SSTD for Contracts for Supply of Goods (being developed)
The SSTD for Larger Consultancy Contracts replaced, from 1 January 2004, Danida's Standard Tender Dossier and Documents for Danidas long-term consultancy contracts March 1996, based upon the IGRA 1979 D&S and IGRA 1980 PM model form agreements. 1.2 The FIDIC White Book The terms of the Client/Consultant Model Services Agreement, Third Edition 1998, (the White Book) have been prepared by the Fdration Internationale des Ingnieurs-Conseils (FIDIC). The terms are recommended in connection with most consultancy assignments as pre-investment and feasibility studies, designs and administration of construction, project management, provision of services as an independent task, and technical assistance (supply of personnel to assist in preparation or administration of a project in an advisory capacity, and provision of training). The White Book is together with the World Bank document "Standard Request for Proposals" July 1999, the main internationally recognised documents for contracting of consultancy services (the European Commission's Practical Guide to Contract Procedures includes both tender and contract procedures and formats, but is specifically developed for use in connection with European Commission external aid contracts and as such not generally applicable). The White Book supersedes the International General Rules of Agreement between Client and Consulting Engineer, IGRA 1979 for Pre-Investment Studies, IGRA 1979 for Design and Supervision of Construction of Works, and IGRA 1980 for Project Management. The General Conditions of the White Book provide general rules common to most consultancy agreements. In line herewith, the term "Consulting Engineer" previously used in the superseded IGRA Documents is now replaced by "Consultant". In addition to the White Book, FIDIC has published the "White Book Guide" to assist those drafting consultancy agreements, to explain the rationale for the White Book's provisions and to give additional general notes on preparation of documents on consultancy assignments. A Consultancy Agreement in accordance with the White Book comprises the Agreement naming the parties, the Services, and the documents deemed to form part of the Agreement: General Conditions (standard) Particular Conditions, Part A - Data appropriate for the particular assignment, necessary to complete the General Conditions Particular Conditions Part B - Additional Clauses of a general and commercial nature appropriate for the particular assignment (in this case as required for assignments funded by Danida) Appendix A - Scope of Services (either the Terms of Reference plus the Consultant's Technical Proposal as amended during finalisation of the Agreement, or a common document incorporating the terms as finally agreed between the parties) Appendix B - Personnel, Equipment, Facilities and Services of Others to be provided by the Client
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Appendix C - Remuneration and Payment (total price, breakdown of price, and conditions of remuneration and payment).
1.3
Procedures and formats to be used for selection of consultants It should be noted that the White Book and The White Book Guide only include formats and guidance for the Agreement and the documents forming part of the Agreement, while procedures, formats of documents, and guidance on the selection of consultants are only discussed briefly and only where relevant to the documents of the Agreement. This part of the SSTD has therefore been developed based on Danida's Standard Tender Dossier and Documents based on FIDIC IGRA 1979 for Design and Supervision of Construction of Works, and IGRA 1980 for Project Management. from March 1996, the format of Danida's new series of SSTDs and Users' Guides. EU Council Directive for award of service contracts
with the required updates, simplifications, and revisions to suit both the Consultant tendering for contracts (here called the "Tenderer") and the Contracting Authority (here called "the Client") and to match the requirements of the Council Directive and an Agreement in the White Book format. In the development the following documents have been consulted World Bank's Guidelines for Selection and Employment of Consultants revised May 2002, World Bank's Standard Request for Proposals, revised July 1999 World Bank's Consulting Services Manual, December 2001, FIDIC's Client/Consultant Model Services Agreement, Third Edition 1998, FIDIC's The White Book Guide, Second Edition 2001, FIDIC's Guidelines for Selection of Consultants, draft, EU Council Directive 92/50/EEC of 18 June 1992 relating to the coordination of procedures for the award of public service contracts, and the EU Council Directive 97/52/EC of 13 October 1997 amending 92/50/EEC. to maintain the documents forming the Agreement in the White Book format as a stand alone, including the Scope of Services, Services of Others, and Remuneration and Payment and to arrange the Invitation to Tender, the Instructions to Tenderers and the Method and Criteria for Evaluation from the Agreement as a separate set of documents not forming part of the Agreement and not referred to in the Agreement.
In particular, care has been taken -
1.4
Types of assignments where the SSTD may be used The SSTD is intended to be used for all the types of larger consultancy assignments1 at present funded by Danida, where (i) the role of the Consultant may include providing specialists to assist and give
The term "consultancy assignments" is here used for professional services in the wider sense (legal, commercial, engineering, environmental, sociological, training, education, etc.).
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advice, undertaking professional services resulting in certain outputs, being "the Engineer", being project manager or combinations of these, (ii) the Services may include secondment of staff for executive duties, studies and project preparation, design, construction supervision, training, technical assistance involving administration, institutional support and development, twinning, research, or combinations of these, the environment, in which the assignment should be carried out, may include the project/component/sub-component being co-funded and carried out in co-operation between several donors, the Recipient participating in the implementation or being the executive agency, a large degree of flexibility and possibilities of adjustment in inputs, activities and outputs, the role and responsibilities changing during the course of the assignment, and a certain interaction with permanent Danida advisers and the embassy responsible.
(iii)
1.5
Users of the SSTD The users may on the Client side be (i) (ii) (iii) Danida tendering and contracting internationally. The Recipient tendering contracting locally or regionally. The Recipient tendering and contracting internationally.
Tendering and contracting by the Recipient will require that the Recipient has the capacity and staff with experience from procurement of consulting services or has assistance from a specialist in procurement of consulting services. Adaptation of the SSTD to local legislation and procurement regulations will require assistance from legal and procurement specialists. The users on the Consultant side may be sole consultants, partnerships, limited companies, public or private research/service/training institutions and other enterprises undertaking consultancy services, or joint ventures/consortia of these. 1.6 Terminology In the following the term "SSTD" shall mean the Sample Standard Tender Document for Larger Consultancy Contracts, the term "Tender Dossier" shall mean the documents issued to the Tenderers, and the term "Tender" or "Tender Document" shall mean the documents forming the Tender and submitted by the Tenderer.
In this SSTD, the following principles have been adopted for the convenience of users:
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Square brackets "[ ]" enclosing text in normal font indicate optional and/or alternative wording. The [ ] must not appear in the Tender Dossier. Round brackets ( ) enclosing text in normal font indicate text which is to be included (within round brackets) in the Tender Dossier.
Square brackets and the italicised text within the [ ] are intended to assist the writers of, and must not appear in, the Tender Dossier. Round brackets ( ) enclosing italicised text are to be included (within round brackets) in the Tender Dossier as notes for the Tenderers.
1.7
Contents of the SSTD Invitation1 Letter of Acknowledgement2 Instructions to Tenderers1 Appendix to Instructions to Tenderers: Criteria and Method of Evaluation1 Letter of Tender2 Schedules of Tender (Tenderer's Technical Schedules and Schedule of Prices)2 Agreement1, 3 General Conditions Particular Conditions, Part A1, 3 Particular Conditions Part B Appendices to the Agreement Appendix A - Terms of Reference1, 3 Appendix B - Personnel, Equipment, Facilities and Services of Others1 Appendix C - Remuneration and Payment, including Schedule of Prices1, 2, Terms of Remuneration, Conditions for Personnel-related Expenses, and Terms of Payment
1 2
The SSTD comprises the following documents:
to be amended or filled in by the Client before issue to the Tenderers to be completed by the Tenderer 3 to be completed by the parties to the Agreement
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2 2.1
THE TENDER PROCESS Principles for tendering of consultancy services General international principles Tendering of consultancy services is usually either carried out as restricted tendering with or without advertising inviting consultants selected on the basis of a formal prequalification or a simple shortlisting. Award is either made based as Quality Based Selection (QBS), i.e. award to the consultant with the highest rated experience and technical proposal, or as Quality and Cost Based Selection (QCBS), i.e. award to the consultant with the highest combined rating of the technical part and the price part using a predefined weighting of the two components.
FIDIC recommended principles FIDIC recommends QBS as the preferred selection method particularly where the tendering is reserved for national consulting firms of more or less similar characteristics. FIDIC also recognises QBS as the only method to be used for assignments of high complexity and/or with a major impact. FIDIC recommends to use QCBS as the method where the competition is among international consulting firms or where the assignments are internationally financed, with a weight given to the price part (fee plus cost) within a normal range of 5 and 10%, with maximum 20% in exceptionally simple and straight forward cases. The model recommended for evaluation of the price give the proposal with the lowest price, maximum score and the other a score inversely proportional to their price. The combined score is calculated as the sum of the products of the weight and score of the quality and the price components. FIDIC has developed a diagram to assist Client's to decide when to use QBS and when to use QCBS and how much weight should be placed on the part (normally 5-10%, maximum 20%). For further details please refer to FIDIC's "Guidelines for Selection of Consultants". World Bank principles The World Bank prefers, because of its background, normally international advertisement followed by invitation to a broad selection of international consultants to submit proposals. The World Bank does not use a formal prequalification but a shortlisting based on demonstrated resources and performance as recorded in the Bank's database. The experience and resources of the consultant are then included as a factor in the technical evaluation. The World Bank recommends use of QCBS as the normal method to be used, with QBS to be used for complex or highly specialised assignments for which it is difficult to define precise Terms of Reference, assignments with a high downstream impact and in which the objective is to have the best experts, and/or assignments that can be carried out in substantially different ways, such that proposals may not be comparable (for example, management advice, and sector and policy studies in which the value of the Services depends on the quality of the
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Danida's SSTD for Larger Consultancy Contracts Users' Guide analysis).
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When QCBS is used, the Bank recommends a weight of 20%, not exceeding 30%, to be given to the price part (i.e. "all Consultant's remuneration and other expenses"). The model for evaluation of the price gives the proposal with the lowest price maximum score and the others a score inversely proportional to their price. The combined score is calculated as the sum of the products of the weight and score of the quality and the price components. Principles of the EU Council Directive for award of service contracts Tendering of consultancy services under the EU Council Directive is carried out following the open procedure where the tendering is advertised in the Official Journal of the EU and interested parties submit a Tender including qualification information the restricted procedure where the prequalification is advertised in the Official Journal, interested parties submit a prequalification application, a selection is made among those candidates meeting the minimum qualification requirements, and invitations are issued followed by tendering of those consultants invited, or the negotiated procedure where the Client consults a party or parties either selected according to qualification criteria or just shortlisting, based on these consultations establishes the terms of the contract and obtain Tenders from the party or parties.
Award of contract is then made to the party meeting the qualification criteria and with the economically most advantageous Tender (QCBS) or with the lowest price, The contract may be for an individual assignment (a single contract) or a framework contract. Danida principles Tendering and award of larger consultancy contracts (contracts with a total contract amount of 1.1 million DKK or above) by Danida as Contracting Authority shall be carried out in accordance with the restricted procedure as described under EU Council Directive for award of service contracts. This threshold is valid for the period 2004-2005. Under the restricted procedure, the tender is advertised in a Contract Notice in the Official Journal of the EU and subsequently on Danida's homepage and other appropriate media. In response of this notice Candidates will submit the required information on their qualifications (eligibility, financial and economic standing, and technical capabilities) and based on this a long list of Candidates meeting the minimum requirements will be established. The long list is then, without discriminating, cut down to a number sufficient to ensure competition, usually a minimum of five and a maximum of eight. In the second stage of the procedure, the Employer invites Tenders from the short listed Candidates (Tenderers) based on the Tender Dossier. Award is made to the party (Tenderer) with the economically most advantageous Tender with a weight of usually 80% given to the technical part and 20%, not exceeding 30%, to the price part (normally the total price, i.e. fees plus the project-related and the personnelrelated reimbursable expenses). The World Bank model for evaluation of the technical part and the price part will be used with only one minor change (specific experience of the Tenderer is made a qualification criterion and not an award criterion). Where the Recipient undertakes the role as the Client tendering and contracting services among local or foreign consultants, it might be desirable or required to adapt the tender process to follow local procurement regulations and legislation. For details of the
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requirements when the Recipient undertakes procurement, please refer to Danida's Procurement Policy and Procurement Policy Guidelines, January 2004. 2.2 The Tender Committee Prior to the commencement of the qualification and tender process, the Client shall establish a Tender Committee who will be in charge of the whole process up to the signing of the Agreement. Where Danida is the Client, the Tender Committee will normally comprise: one member (who shall be the Chairperson) from Danida's Business Cooperation & Technical Assistance, one member from the responsible Danish Diplomatic Mission, one member from Danida's Technical Advisory Service, and observers representing the Recipient (nominated by the government of the Recipient Country).
An Independent Consultant (IC) will be appointed to advise the Tender Committee on all matters related to the tender process and to assist the Tender Committee Chairperson and be responsible for executing all decisions and related activities including finalisation of the Contract. The members of the Tender Committee and the IC shall ensure impartiality and transparency in the work, and shall not during and after the tender process disclose any information relating to examination, clarification, evaluation and finalisation of the Contract. Decisions of the Tender Committee should be reached by consensus. If consensus cannot be reached, the matter should be resolved by reference to a higher authority. For details of the duties and activities of the Tender Committee, including the qualification tender procedure, please refer to the Practical Guide to Tendering and Award of Larger Contracts by Danida. 2.3 Qualification requirements Qualification (pre-qualification or post-qualification) should in accordance with the Council Directive be based on applicants meeting certain requirements and minimum conditions: Eligibility for tendering and award of larger contracts by Danida. Conditions hereof include: (a) (b) The Candidate is established as consultants in a Member Country of the European Union or any of the EEA countries. If the Candidate is an association as a joint venture, consortium or other unincorporated grouping of two or more entities (here called a "joint venture") the following shall apply: (i) (ii) The qualification application shall be signed by all members. The members shall attach to the qualification application a letter of intent to form a JV signed by all members, including a definition of the roles and percentage input in monetary terms of each member of the JV. The information related to the Candidate's eligibility (conditions
(iii)
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(a), (c), (d), and (f)), legal position, economic and financial standing, and technical capability shall be furnished and the conditions met by each member of the JV. (c) No grounds for exclusion (being bankrupt or wound up or subject of proceedings for declaration of bankruptcy, convicted for an offence concerning professional conduct, grave professional misconduct, or misrepresentation). Having a formulated code of ethics and a business integrity management system, Having no potential conflict of interest.
(d) (e) -
Authorisation/registration as required in the country of the Candidate. Economic and financial standing (to be detailed by the Tender Committee). Technical capability/capacity (to be detailed by the Tender Committee).
A joint venture shall attach to the application and later the Tender, a letter of intent including as a minimum a definition of the roles and percentage input in monetary terms of each member of the joint venture, a statement that the members will undertake, jointly and severally, the obligations under the Agreement, if awarded, a statement that the members of the joint venture appoint and authorise the lead member (named) to bind the joint venture and to act on its behalf in all matters in connection with or arising out of the Agreement, if awarded, a statement that the joint venture shall, upon award of the Agreement, submit for the approval of the Client, a proper joint venture agreement detailing the role, input, and responsibility of each member, as well as the administration and financing of the joint venture, statement that the composition or constitution of the joint venture shall not be altered without the prior written consent of Client, and a statement that for the purposes of the implementation of the Agreement, the joint venture shall act as and be considered a single entity and in particular shall have a joint bank account in its name, submit joint advance payment guarantees, joint invoices and joint reports to the Client, and shall establish common quality assurance and business integrity plans.
Please note that any criterion used as a basis for the selection of Candidates, cannot be used later as a basis for the award. This means e.g. that if the consultants' general or specific experience is used as a selection criterion (qualification criterion) such experience cannot be used as an award criterion (evaluation criterion). For details of the qualification process (requirements and minimum conditions, formats, time of dispatch and addresses) please refer to the Practical Guide to Tendering and Award of Larger Contracts by Danida. This guide includes a.o. guidelines for preparation of qualification information, Danida's recommended standard applications forms, and templates for qualification and evaluation reports.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide 2.4 2.4.1 Tendering Invitation
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The Client shall arrange for the Invitation to be filled in prior to issuance of the Tender Dossier. Details shall be inserted and amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. The Tenderer invited to submit a Tender (the prospective Tenderer) shall be the legal entity as prequalified. The prequalified entity and prospective Tenderer may be: An individual consultant (usually only employed for short-term assignments), A firm of consultants (an individual, a partnership, or other incorporated entity) with or without sub-consultants. If an arrangement as a main consultant with one or more sub-consultants, the main consultant will be fully liable to the Client for the tendering and if successful for the execution of the complete Services. The parties will have made an agreement defining the activities and part of the Services undertaken by each party and the required administrative arrangements. Such an arrangement will require that the main consultant is responsible for the management of the Services and has the largest part of the Services. The arrangement will need the approval of the Client and the pre-contract agreement shall be attached to the Tender for consideration by the Client. If, in the opinion of the Client, the selection of sub-consultants locally or within specific fields of expertise is limited, the Client may object to exclusive agreements (agreements that prohibit the sub-consultant from entering into agreements with other Tenderers). An association as a joint venture, consortium or other unincorporated grouping of two or more legal entities (here called a joint venture), such joint venture shall attach to the Tender a letter of intent with a content as outlined above.
The Invitation shall clearly and exactly specify the following information, which shall be filled in before issue: Name, legal status, and address of the prospective Tenderer (if a joint venture names, legal status, and addresses of all members) and contact person. Unless named in the prequalification application, the selection of sub-consultants by the prospective Tenderer may at this stage not be known by the Client and should not be included in the Invitation. Name, legal entity, and address of all prospective Tenderers. Name of the Program, Component, or Project as specified in the appraisal report, government agreement or similar. Name of the assignment outlining the type of services (e.g. technical assistance, design, construction supervision, training, etc.) and the role of the Consultant (as e.g. adviser, project manager, designer, the Engineer, etc.), with a reference to the Terms of Reference for details (as specified in the Terms of Reference). If applicable, the maximum budget for this assignment (fees plus project-related reimbursable costs plus personnel-related reimbursable costs) in DKK. The amount shall exclude contingencies, if any.
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The Clients name and address, phone and facsimile no., e-mail address, and the contact person for the purpose of the tendering and contracting (the address, phone and facsimile nos., e-mail address, and the contact person for the purpose of tendering which may be different from those to be used during the implementation of the assignment). The Independent Consultant having prepared the Tender Dossier and assisting and advising the Tender Committee in the tender procedure, name, address, phone and facsimile nos. e-mail address, and contact person. If applicable, that the Client will object to exclusive agreements with subconsultants locally or within a specific field of expertise. Information of a joint field visit, if arranged, including the time and place of venue, the programme and logistics arranged by the Client, and whether the visit is obligatory or voluntary. Joint field visits should be arranged whenever tendering of assignments requiring inspection of the site (e.g. as alignment of a road or transmission line) or detailed knowledge of local conditions or agencies involved.
Information of a pre-tender conference, if arranged, including the time and the place of venue and whether participation is obligatory or voluntary. A pre-tender conference should, in the event of large and complex assignments (e.g. complex technical assistance assignments or assignments with the Recipient as executive agency), be considered as a way to enhance common understanding of the assignment. Such conference may be held in Denmark or in the Recipients Country as applicable.
The language of the Tender shall always be the English language, which is also the "ruling language" of the Agreement. If the Client in addition hereto, wishes certain parts of the Tender as e.g. the Consultants' Technical Schedules translated into e.g. the language of the Recipient, this should be stated in the Invitation. The language of reports, recommendations, and documents to be prepared by the Consultant shall be specified in Particular Conditions, Clause 36. Whether alternative Tenders are permitted or not.
2.4.2
Instructions to Tenderers The Client shall arrange that this document is filled in prior to issuance of the Tender Dossier. Details shall be inserted and amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. Clause 1. Introduction
Sub-clause 1.2 specifies the documents forming the Tender Dossier: The list of documents shall as appropriate be amended reflecting exactly the names of the individual documents, and be renumbered. Sub-clause 1.3 shall include a list of all relevant Background Documents (e.g. feasibility studies, other studies, surveys and site investigations, appraisals, government agreements, and program/component/sub-component documents). As a result of the preparation and approval process these Background Documents may not always have been updated to reflect the latest development in local conditions or the degree of detailing as needed for the Terms of Reference. The Terms of Reference form, however, the basis for the tendering and later the contract between the Client and the Consultant.
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It is therefore stressed that the information given in the Background Documents are made available for information only and shall not form any part of the Tender or the Agreement or any interpretation of these. Clause 2. Eligibility
The name and legal status of the entity stated in the invitation shall be the same as for the prequalified entity. The invitation may also state any particular conditions or reservations to the selection (as e.g. that the use of local sub-consultants is compulsory either in general or for certain parts of the Services or that a certain sub-consultant is nominated). Such conditions and reservations should, however, be used with care. A Tenderer having been prequalified, shall be considered qualified to undertake the assignment and its general qualifications, resources and experience shall not be included in the Tender evaluation. However, the Tenderer should also at the time of tendering meet the prequalification requirements and shall, on request of the Client or in the event of changes in the information submitted for the purpose of prequalification, present updated and satisfactory evidence of compliance with the criteria for prequalification. Such changes may include changes in the composition of a joint venture or of named sub-consultants, legal status and place of establishment of the Tenderer or members of a joint venture, changes that would have lead to exclusion of the Tenderer or member of joint venture (subject to proceedings for declaration or being bankrupt, convicted of an offence concerning his professional conduct, proven misconduct or misrepresentation), economic or financial situation, technical capability/capacity (affecting resources required for this assignment).
Please note that the Tenderer is, in his Tender, required to confirm that the information submitted for qualification is still valid. A Tenderer may wish to supplement his technical capabilities or his resources, in general, within specific fields of expertise, or locally in the Recipient's Country or the region. The Consultant should however, realise that the Client's consent to the choice of subconsultants is required (refer to Particular Conditions Clause 38 (iii)): In order to ensure the Client's consent the Tenderer should therefore include in the Tender a pre-contract agreement with sufficient details of the arrangement. If, in the opinion of the Client, the selection of sub-consultants locally or within specific fields of expertise is limited and a proper competition cannot be achieved, the Client may object to exclusive agreements (agreements that prohibit the sub-consultant from entering into agreements with other Tenderers). The Client requires that Consultants provide professional, objective, and impartial advice and at all times hold the Client's interests paramount, without any consideration for future work, and strictly avoid conflicts with other assignments or their own corporate interests. Tenderers shall not be eligible for the assignment if this would conflict with their prior or current obligations to other clients, or may place them in a position of not being able to carry out the assignment in the best interest of the Client. Conflict of prior or current obligations falls in three different groups:
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Conflicting between consulting activities and procurement of goods, works or services, e.g.: A Tenderer engaged to provide goods, works or services for a project, or its owners, affiliates, subsidiaries, or associates will not be eligible to provide consulting services related to those goods, works and services. Similarly a Tenderer engaged to provide services for a project, or its owners, affiliates, subsidiaries, or associates will not be eligible to subsequently provide goods, works or services for the project. A Tenderer combining the functions of consulting firm with those of a contractor or if the Tenderer owned by or affiliated to a contractor or a manufacturer undertaking services as consultants, may not be eligible and should therefore include information on such relationships in the Tender. In such a case, the Tenderer would be required to submit a statement to the effect that the Tenderer undertakes to limit its role to that of the Consultant for the project and disqualify itself, its owners and affiliates for providing goods, works or services related to the project.
Conflict with other consulting assignments, e.g.: A Tenderer or any of its associates (including their Key Personnel for the assignment) having participated in preparation of a feasibility study for an infrastructure project may not be eligible for the design of that project, or a Tenderer having prepared Terms of Reference or an appraisal for an assignment will not be eligible for the assignment.
Conflict stemming from relationships with the Client's or Recipient's staff, e.g.: A Tenderer (including its Key Personnel and sub-consultants) that have a business or family relationship with a member of the Client's or Recipient's staff, or with the Independent Consultant assisting the Client, unless the conflict stemming from this relationship has been resolved in a manner acceptable to the Client throughout for both selection process and the execution of the Agreement.
A Tenderer in circumstances which might be construed as a potential conflict of interest should notify the Client in writing, whenever such circumstances arise. A Tenderer having provided consulting services related to the assignment in question, even if this would not disqualify it under the circumstances specified above, should not derive a competitive advantage from this. To that end, the Client shall provide to all Tenderers all available information that would in that respect give a Tenderer a competitive advantage over the other Tenderers. Clause 3. The Tender Dossier
The Tender Dossier shall comprise the documents as listed in Clause 1 and any clarifications or addenda issued as described here in Clause 3. Clarifications are explanations to certain parts of the Tender Dossier or answers to questions raised by the Tenderers. Requests for clarifications shall be given by letter or at a pre-tender conference, and in any case in writing. The clarification shall be issued in writing to all Tenderers (by letter, fax or e-mail) and shall include the text of the question without disclosing the identity of the Tenderer and the answer. Addenda are amendments to the Tender Dossier (to the Instructions to Tenderers, the Criteria and Evaluation Model or to the Contract Documents). The clarifications and addenda will usually be issued by the Independent Consultant on
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behalf of the Client, and the Tenderers shall be required promptly to confirm receipt of such clarification or addendum. Clause 4. Field Visit
The detailed programme and practical arrangements for a joint field visit will usually be prepared by the IC and shall be issued 7 days before the visit. A typical programme may include: A brief introduction meeting at the Clients or Recipients offices. Detailed meetings and visits to relevant locations, the site, or place of assignment, and collection of background material. A final meeting where all questions raised and answers given during the visit are recorded in minutes which, following approval of the Tender Committee, are distributed to the Tenderers. Key personnel of the Recipient, the Client and other parties should take part in the meetings and visits as applicable to provide information as required and relevant for the Tenderers. Details of logistical arrangements made by the Client or Recipient. Individual meetings between representatives and key personnel of the Recipient, Client or the Danish Diplomatic Mission should be avoided. If held, minutes shall be prepared and issued to all Tenderers. Any background material or information shall be given to all Tenderers. Clause 5. Preparation of the Tender
The Tender Schedules to be prepared by the Tenderer shall be specified here by the Client before issue to the Tenderers. The Schedules should normally comprise Technical Schedules Schedule 1 - Comments to Appendix A - Terms of Reference (if any relevant) and Comments to Appendix B - Personnel, Equipment, Facilities and Services of Others (if any relevant). Schedule 2 - Description of Approach, Work Plan and Detailed Tasks (if applicable), Reporting (if applicable), Organisation (if applicable), outline QA Plan, and outline Business Integrity Management Plan. Schedule 3 - List of Key Personnel, Task Assignment Chart (if applicable), and CV's for all Key Personnel and other professional personnel at the home office assigned as Assignment Manager, Quality Manager and Auditor, Business Integrity Manager, etc. for the implementation of the Services. A letter of agreement shall be attached for Key Personnel not permanently employed by the Tenderer, otherwise such personnel may not be considered in the evaluation). November 2004
Schedule 4.1 - Outline Implementation Plan (if applicable). Schedule 4.2 - Personnel Assignment Chart (if applicable). Total Price calculated as the sum of fees, reimbursable Project-related Expenses and Personnel-related Expenses (for each of the phases if applicable). Breakdown of Fees (for each phase if applicable).
Schedule of Prices
Danida's SSTD for Larger Consultancy Contracts Users' Guide Breakdown of Reimbursable Expenses (for each phase if applicable). Breakdown of Fee Rates (for each phase if applicable).
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In order to reduce the work of the Tenderers only those schedules necessary for the evaluation of the Tender and/or for the implementation of the Agreement should be specified. Note that the form Calculation of Fee Rates shall only be completed by the preferred Tenderer when invited to finalise an Agreement. If the assignment is phased (e.g. a technical assistance assignment with an inception and an implementation phase or a design and supervision assignment with a design, tender, and construction phase) separate schedules should be specified for each phase. The Invitation shall state whether alternative Tenders are permitted or not. If permitted, the Terms of Reference shall state the specifications and requirements for alternative Tenders. A Tenderer may only submit and the Client shall only consider technical or other alternatives in addition to a compliant Tender. Clause 6. Submission of Tender
The Client shall here fill in the name and address to which the Tender shall be submitted, and required marking of the Tender envelope. It should be noted that the Tender documents shall comprise one signed original set (hardcopy), three copy sets (hardcopy sets), and one CD ROM set
each set comprising and marked Technical Proposal and Price Proposal in separate sealed envelopes allowing the Client to open first the envelopes with the Technical Proposals and later (on completion of the evaluation of the Technical Proposal) the envelopes with the Price Proposals. Clause 7. Tender Opening
The opening of the envelopes with the Technical Proposals will normally take place immediately after the deadline for submission of the Tenders i.e. on the Tender Submission Date and time as specified in the Invitation or as postponed in accordance with Clause 3.6. The opening shall be carried out by the Tender Committee Chairperson. The Tenderers' representatives shall not be present. Tenders for which a valid notice of withdrawal has been received shall not be opened. Tenders for which valid modification has been submitted shall be opened first. (a) Initially only the envelopes marked "technical part" shall be opened, while the sealed envelopes marked "price part" shall be retained by the Tender Committee Chairperson until the evaluation of the technical part is fully completed. At the opening the Tenders shall be examined to determine whether the envelopes appear unopened and upon opening whether the technical parts appear complete, properly signed and generally in order. Minutes of the opening shall be prepared recording those present, the Tenders received, their condition and completeness. (b) Upon completion of the evaluation of the technical parts, the envelopes marked "price part" of responsive Tenders meeting the minimum requirements for the
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technical part shall be opened in the presence of the Tender Committee, and the price parts examined to determine whether the price parts appear complete and generally in order. Again minutes of the opening shall be prepared recording those present, the Tenders received, their condition and completeness. Clause 8. Evaluation
The evaluation will comprise the following sequence of actions: Check of the technical part and determination of responsiveness. A Tender where the technical part is not substantially responsive shall be rejected by the Client. Evaluation of the technical part including seeking clarifications from the Tenderers where required. Interviews of specified Key Personnel, if provided for in Clause 8.4 of the Instructions to Tenderers. Interviews should be carried out by a professional body (the Committee or a professional interviewer), and should take place at intervals close enough to permit comparison and follow a standard format agreed beforehand and applied to all specified Key Personnel. Tenderers must be given at least 10 days advance notice of the date and time of the interview. Where a Tenderer is prevented from attending an interview by force majeure, another appointment will be given. On completion of such interviews, the Tender Committee, without modifying the composition or the weighting of the criteria for the technical evaluation, decides whether it is necessary to adjust the rating of the persons interviewed. Any adjustments must be substantiated and recorded in the Tender Evaluation Report. Note that such interviews are costly both for Tenderers and for the Contracting Authority and should be used with restraint. Opening of the price part of those Tenders where the technical part meets the minimum requirements. Review of price part, correction of arithmetical errors, and check that the price part is substantially responsive including that the total price is within the maximum budget stated in the Invitation. A Tender where the price part is not substantially responsive shall be rejected by the Client. Evaluation of the price part. Overall evaluation with determination of the highest rated (economically most advantageous) Tender.
Note that the evaluation of the Tenders shall be based upon the principles outlined in the Evaluation Criteria and any sub-criteria annexed to the Instructions to Tenderers as decided by the Committee prior to the issue of the Invitation. The main sub-criteria as outlined in the annex should be maintained without substantial changes, but the weights may be adjusted within the ranges indicated depending on the category of services, the character and size of the assignment and the relative importance for the success of the assignment. Also note that the Tender Committee may ask any Tenderer for clarification of his Tender, including breakdowns of unit rates and sums. The request for clarification and the response shall be in writing. In requesting such clarifications it shall be stressed that no change in the
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price or substance of the Tender shall be sought, offered or permitted except as required to confirm the correction of arithmetic errors discovered by the Client during the evaluation of the tenders. The invitation shall state whether alternative Tenders are permitted or not (as already specified in the Contract Notice). If permitted only the alternative(s) submitted by the Tenderer with the highest rated compliant Tender shall be considered as a basis for finalising an Agreement. Clause 9. Award of Contract
It may often be required to invite the preferred Tenderer for clarification of minor operational issues as update of the commencement date and implementation schedule, update of the staffing schedule or selection of Key Personnel to suit the implementation of the Program/Component/Project, modification of the interface with the Client's or the Recipient's organisation, or compilation, copying and signing of the Agreement.
Such clarifications may take place at meetings where agreed minutes are prepared by the Client or by exchange of letters. These agreed minutes or exchange of letters constitute the basis upon which the Agreement may be finalised. The preferred Tenderer shall, within one week of the Client's invitation to finalise an Agreement and at the latest at the first of such clarification meetings, submit the form of Breakdown of Fee Rates properly filled in and on request of the Client provide documentation of the components of these rates. Failure to comply with these requirements will be considered a serious default and negotiations with this Tenderer may be terminated by the Client. 2.4.3 Appendix to Instructions to Tenderers: Criteria and Method of Evaluation The Client shall arrange that this Appendix is filled in prior to issuance of the Tender Dossier. Details shall be inserted and amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. Award shall normally be made to the economically most advantageous Tender, with a weight of 20%, not exceeding 30%, given to the "price". The "price" would usually be the total price (fees plus the project-related and the personnel-related reimbursable expenses), but in any case as specified in this Appendix to the Instructions to Tenderers. The weight for the "price" shall be chosen, taking into account the complexity of the assignment and the relative importance of quality. Where the major part of the project-related expenses is defined and budgeted by the Client (as official local transport, official travel, office accommodation, technical equipment, facilities and services), these expenses may be excluded in the total "price" as specified in detail in this Appendix to the Instructions to Tenderers. Technical proposals for consulting services are intellectual products; their evaluation cannot be reduced to a purely mathematical exercise but instead must be based on the professional judgment of competent evaluators. The difficulty is to ensure that this judgment is not exercised in an unreasonable or arbitrary manner. Evaluators may, either consciously or unconsciously, manipulate the points awarded to specific factors in the evaluation for a number of reasons, including inadequate experience in the field of the assignment or in evaluating Tenders of this nature.
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Therefore, it is important that subjectivity be mitigated to achieve the required transparency, consistency, and fairness, also where the members of the Tender Committee may be competent in the technical field but lacking experience in evaluation of proposals. One way of achieving this is by adopting a suitable evaluation model, evaluation criteria, and weighting and rating system. Such a model, criteria, weighting and rating system have been developed by the World Bank for use by its borrowers, refined over many years and applied successfully in a large number of cases. This model, criteria, weighting and rating system is summarised in World Bank's "Guidelines for Selection and Employment of Consultants revised May 2002", available on http://web.worldbank.org/WBSITE/EXTERNAL/PROJECTS/PROCUREMENT/0,,content MDK:20060656~menuPK:93977~pagePK:84269~piPK:60001558~theSitePK:84266,00.ht ml and described in detail in the WB publication "Consulting Services Manual, Comprehensive Guide to Selection of Consultants December 2001" available on http://siteresources.worldbank.org/PROCUREMENT/Resources/csm-final-ev3.pdf The model, criteria, weighting and rating system used by Danida may be briefly described as follows: a.. It is the duty of the Tender Committee to establish, prior to the tendering, the detailed evaluation criteria and weighting in accordance with the following: Technical quality (description of the methodology and work plan, measures to ensure accordance with Danida principles, and organisation) (20-60%), with the sub-criteria proposed methodology and work plan (25-60%), measures to ensure that the Services are carried out in accordance with Danida's principles - Aid Management Guidelines, Partnership 2000 and associated Policies, Strategies, Management Tools, and Technical Guidelines (20-30%), proposed organisation including detailed measures to ensure quality (quality management and quality assurance) and business integrity in carrying out the assignment (20-30%),
Qualifications and competence of the Key Personnel proposed for the assignment (30-60%), with the weight for each person depending on the importance of his input, and the sub-criteria for each person being general qualifications and experience achieved within the last 15 years: general education and training, length of experience, positions held, time with the consulting firm as staff, experience in developing countries and so forth, weight usually 20-30%, specific qualifications and experience: education, training, and experience in the specific sector, field, subject, and so forth, relevant to the particular assignment, weight usually 50-60%, and experience in the region: knowledge of the local language, culture, administrative system, government organisation, and so forth, weight usually 10-20%.
and Transfer of knowledge (training), if required in the Terms of Reference,
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Danida's SSTD for Larger Consultancy Contracts Users' Guide weight usually 0-10%. -
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National participation as reflected by nationals among Key Personnel (proportion of nationals among key personnel), if required in the Terms of Reference, weight usually 0-10%. Total weight of the technical part 100%.
The criterion technical quality and its sub-criteria shall be evaluated only on the basis of their responsiveness to the Terms of Reference. The weight given to the sub-criteria will depend very much on the type and character of the assignment: Where the assignment is purely technical assistance and fully programmed in all details, the weight given to "technical quality" might be low with "adequacy of proposed methodology and work plan" given a low weight, "measures to ensure that the Services are carried out in accordance with Danida's principles" given a low weight, and "organisation and detailed measures to ensure quality and business integrity" given a high weight.
Where the assignment is complex (e.g. a multidisciplinary study or design assignment) the weight given "technical quality" might be high with "adequacy of proposed methodology and work plan" given a high weight, "measures to ensure that the Services are carried out in accordance with Danida's principles" given medium weight, and "organisation" including detailed measures to ensure quality and business integrity" given a lower weight.
"Key Personnel" means any professional personnel as defined in Particular Conditions Part B Clause 1 (xv). The weight given to each of the Key Personnel will depend on the extent and importance of his input. Likewise, the weight of the sub-criteria used will depend on the relevance and importance of sub-criteria. b. The level of responsiveness for each criterion and sub-criterion shall be rated on a scale of 0-100 points using the following discrete grades (and only these) poor: satisfactory: good: very good: 40 points 70 points 90 points 100 points
The rating of each criterion and sub-criterion shall then be weighted and added to give the total score for the technical part. c. If provided for in the Instructions to Tenderers, the evaluation might be supplemented by interviews of selected principal Key Personnel as e.g. the Team Leader, Chief Adviser, and/or Resident Engineer. Interviews should be carried out by a professional (the Committee possibly assisted by an independent interviewer), and should take place at intervals close enough to permit comparison and follow a standard format agreed beforehand and applied to all Key Personnel.
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The result of the interview shall not be rated under a separate criterion. On completion of such interviews, the Tender Committee, without modifying the composition or the weighting of the criteria for the technical evaluation, decides whether it is necessary to adjust the rating of the persons interviewed. Any adjustments must be substantiated and recorded in the Tender Evaluation Report. d. The technical part shall be considered unsuitable if not responding to important aspects of the Terms of Reference or fails to achieve a minimum score of (usually 80) out of 100 points and the Tender rejected. The minimum score for the technical part shall be determined by the Tender Committee prior to issuing the Tender Dossier. The Tender with the lowest price will be given a score for the price part of 100 points and the others' scores inversely proportional to their price. The total score shall be calculated by adding the weighted scores of the technical and price part. The Tenderer with the Tender obtaining the highest total score shall be invited to finalise the Agreement. The detailed criteria and sub-criteria and their weighting should, to the extent possible, be included in the Tender Dossier to enable the Tenderers to prepare Tenders responding to the requirements of the assignment. 2.4.4 Letter of Tender The Tenderer shall complete the Letter of Tender with 1. name and address of the Client as specified in Clause 6.3 in the Instructions to Tenderers, name of the assignment, and name of the Program/Component/Project, and Recipient all as specified in the Invitation, listing and identification of any Addenda, and the date of last day of the validity of the Tender, The Tenderer is prequalified as a joint venture or consortium
e. f.
If the Tenderer is prequalified as an association as a joint venture, consortium or other unincorporated grouping of two or more legal entities, here called a Joint Venture, the Tenderer shall insert/fill in the following text without any changes: "With reference to Clause 1 (v) of the Conditions of Agreement the Tenderer is not a firm but a Joint Venture composed of the following members: - Lead Member: - Member: - Member: [name, legal status, and address] [name, legal status and address] [name, legal status, and address]
The members of the Joint Venture have authorised the Lead Member with authority to bind the Joint Venture, and to act on its behalf in all matters in connection with or arising out of the Tender. The composition or constitution of the Joint Venture shall not be altered without prior written consent by the Client. The members of the Joint Venture shall be jointly and severally bound by this Tender and (if accepted) the Agreement.
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A letter of intent (with the contents as specified in Clause 2.3.1 in this Users' Guide) to enter into a joint venture is attached to the Tender." 2. The Tenderer is a main consultant associated with sub-consultants
If the prequalified Tenderer is a main consultant having associated or wishing to associate with one or more named sub-consultants in order to include Key Personnel of these subconsultants in his Tender, signed pre-contract agreements with these sub-consultants shall be attached to the Tender. Such pre-contract agreements shall indicate role, the input, and the share of the sub-consultant. Failure to include such pre-contract agreement will result in the sub-consultant being disregarded in the evaluation. Appointment of the proposed sub-consultants shall need the consent of the Client. 3. Changes since the prequalification application
Note Clause 2.2 of the Instructions to Tenderers: The Tenderer shall notify the Client, as soon as practicable, of any change in the information submitted for the purpose of the prequalification, including changes in the composition of the Tenderer or the legal status and place of establishment, no grounds for exclusion, authorisation or membership of professional association, no potential conflict of interest, economic and financial situation, and technical capability/capacity of the Tenderer or its members. Also note that the entity of the Tenderer (whether a main consultant with or without named sub-consultants or a joint venture) shall be the one prequalified and invited to Tender, otherwise the Tenderer shall be rejected as not eligible. 4. Tenderers Signatory
The Tender shall be signed by a person authorised to sign for and on behalf of the Tenderer and proof of this authorisation shall be attached to the Tender (if the Tenderer is a Joint Venture, authorisation by each of the members is required). 2.4.5 Schedules of Tender Schedule 1 - Comments to the Appendix A - Terms of Reference and Appendix B Personnel, Equipment, Facilities and Services of Others This schedule shall be prepared by the Tenderer and list all comments, suggestions, and reservations (if any) to the Appendices A - Terms of Reference and to Appendix B - Personnel, Equipment, Facilities and Services of Others. Note that reservations may result in the Tender being considered not substantially responsive. Discussions of the "Consultant's understanding" or "Appreciation of the program/component/project" should be avoided and will not be credited. Schedule 2 - Description of Approach, Work Plan and Detailed Tasks, Reporting, Organisation, outline QA Plan, and outline Business Integrity Management Plan This schedule shall (if required in the Tender Dossier) be prepared by the Tenderer. The schedule should expand on the Terms of Reference and detail the activities of the Consultant's team in carrying out the Services. The schedule should not just repeat the Terms of Reference but include:
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Danida's SSTD for Larger Consultancy Contracts Users' Guide (i) A description of the proposed approach for (a) (b) (c) (d) (e) (f) (ii) implementation of the main components of the Services, project management and monitoring,
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proposed sub-consultants, their role, input and share of the services and responsibilities, co-operation with the Recipient and Danida, local capacity building, institutional development, and training, and long term sustainability,
A description of the proposed work plan with a detailing of the activities and outputs outlined in the Terms of Reference as well as any additional activities as found required, (a) (b) a detailing of the reporting required in the Terms of Reference, the organisation proposed for the Consultant's team with interface to the Client's and the Recipient's organisation,
(iii)
An outline plan describing the detailed measures applied to ensure quality in carrying out this assignment including (a) (b) (c) the contents of the final plan, names of the persons proposed for the quality management and monitoring, and for auditing, timing of the audits.
Please note that person(s) proposed for quality auditing should be independent of the Consultant's team carrying out the Services. (iv) An outline plan describing the detailed measures applied to ensure business integrity in carrying this assignment, including (a) (b) (c) (d) definitions of roles, responsibilities and authority in relation the measures to be applied, business integrity procedures to be applied for acquiring, bidding, negotiations and execution of assignments, accounting structures to be applied, and enforcement measures to be applied.
For further details, refer to "FIDIC: Guidelines for Business Integrity Management in the Consulting Industry, Test Edition 2001". The Business Integrity Management Plan should include measures to ensure business integrity also of sub-consultants. Please note that this Schedule should not include any reservations or comments to the Terms of Reference. Reservations or comments which may be construed as reservations may result in the Tender being considered not substantially responsive. Schedule 3 - List of Key Personnel, Task Assignment Chart, and CV's for all Key Personnel This schedule shall be prepared by the Tenderer and include (i) a list of the proposed positions and names of Key Personnel and other professional personnel at the home office assigned as Assignment Manager, Quality Manager
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and Auditor, Business Integrity Manager, etc. for the implementation of the Services. (ii) if applicable a task assignment chart indicating the tasks/activities assigned to each of the personnel, e.g. in the format as suggested or of the choice of the Tenderer, and brief CV's for Key Personnel and other professional personnel at the home office assigned as Assignment Manager, Quality Manager and Auditor, Business Integrity Manager, etc. for the implementation of the Services.
(iii)
CVs shall be in the prescribed format. For Key Personnel not permanently employed by the Tenderer or any of its subconsultants, a signed letter of employment shall be attached, otherwise such personnel should not be considered in the evaluation. Schedule 4.1 - Outline Implementation Plan This Schedule shall (if required in the Tender Dossier) be prepared by the Tenderer e.g. in the format as suggested or of the choice of the Tenderer. The schedule shall list the tasks/activities against time (per month or quarter as applicable) preferably using the same tasks/activities and numbering system as used in Schedule 2 in the description of the tasks/activities. Schedule 4.2 - Personnel Assignment Chart This schedule shall (if required in the Tender Dossier) be prepared by the Tenderer. The schedule shall list the assignment of Key Personnel to the Services against time (per month or quarter as applicable) using a format as suggested or of the Tenderer's choice. Schedule of Prices This schedule shall be prepared by the Tenderer in the format specified (see the Agreement, Appendix C - Remuneration and Payment). The schedule includes the summary page with the total Tender Price and the Forms Breakdown of Fees, Breakdown of Reimbursable Expenses, Breakdown of Fee Rates (only to be completed by the preferred Tenderer upon invitation to finalise an Agreement).
The summary page shall be amended by the Client before issue to the Tenderers indicating whether the schedule shall be phased and if so how the Total Price (the Tender Price) shall be calculated. The amended summary page and the breakdowns shall as applicable be filled in by the Tenderer with the description, number of units, rate/price per unit converted to DKK for each budget line (insert extra budget lines as needed, but extra lines should be inserted between existing budget lines to ensure correct calculation of the sub-ceiling and ceiling amounts), the computed amount for each budget line, the sub-ceiling amounts, and the transfer of the ceiling prices to this page, calculation of the Price for each Phase
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and calculation of the Total Price as the sum of the Prices for each Phase. Please note that the Forms are embedded as an Excel workbook of three worksheets where some of the cells are calculated automatically. To open the workbook, double click the icon. Cells marked yellow are locked and the contents should not be changed. Additional budget lines may be inserted but care should be taken to ensure correct calculation of the sub-ceiling and ceiling amounts. Danida takes no responsibility for the worksheets and the Tenderer should carefully check the formulas and the amounts carried over to ensure the correctness of the calculations and the Total Price. The workbook is also available in the document "SSTD for Larger Consultancy Contracts" at http://www.um.dk/en/menu/DevelopmentPolicy/BusinessCooperation/ContractSecretariat/ Documents/
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3 3.1
THE AGREEMENT Form of Agreement The Form of Agreement shall not be filled in by the Tenderer. The Client shall arrange for the Form of Agreement to be filled in prior to the signing by the two parties. Details shall be inserted and amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. Signing by Recipient In some cases, e.g. where the assignment is not based on an agreed program or component of a program or where the Recipient will be the executing agency, it may be prudent to give the Recipient the opportunity to review and give its formal consent to the Agreement. It should, however, be stressed that there are only two parties to the Agreement, the Client and the Consultant. Effectiveness The Agreement is effective on the date of the latest signature (of the two parties) necessary to complete the Agreement. In accordance with General Conditions Clause 22, the Services shall be commenced and completed at the times stated in the Particular Conditions.
3.2
Documents of the Agreement Note that the Invitation or the Instructions to Tenderers are not part of the Agreement. Also note that although the Agreement refers to the Consultant's proposal, neither the Consultant's Technical Schedules nor Schedule of Prices appear in the documents of the Agreement. This is because both the technical proposal and the price proposal normally are amended during the finalisation of the Agreement and it is better to use the documents as finally agreed upon in the Agreement. The documents to the Agreement comprise: Agreed minutes of finalisation meetings (if any). Particular Conditions Part A - References from Clauses in the General Conditions: Including all information and data relevant for the particular assignment. This shall be amended and partly filled in by the Client prior to the tendering and shall be completed by the parties prior to finalisation of the Agreement. Part B - Additional Clauses (Danida's amendments and additions to the General Conditions and not further amended).
General Conditions Appendix A - Scope of Services For the purpose of tendering only comprising the original Terms of Reference. For the purpose of the Agreement Appendix A will normally comprise the original Terms of Reference (possibly amended) supplemented by the Consultant's Technical Schedules all as finalised and agreed between the parties. The order of precedence shall be
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Danida's SSTD for Larger Consultancy Contracts Users' Guide Terms of Reference (possibly amended) Consultants Technical Schedules (possibly amended)
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Schedule 1 - Comments to the Agreement, Appendix A - Terms of Reference and Appendix B - Personnel, Equipment, Facilities and Services of Others Schedule 2 - Description of Approach, Work Plan and Detailed Tasks, Reporting, Organisation, outline QA plan, and outline Business Integrity Management System Schedule 3 - List of Personnel, Task Assignment Chart, and CV's for all Key Personnel including those responsible for home office management, quality management, monitoring and audits Schedule 4.1: Outline Implementation Plan Schedule 4.2: Personnel Assignment Chart In some cases (e.g. where the Terms of Reference need substantial amendments or where a phasing is introduced during the finalisation of the Agreement) it might be preferable to rewrite the Terms of Reference and the Consultant's Technical Schedules into one consistent and agreed document. Appendix B - Personnel, Equipment, Facilities and Services of Others (to be provided by the Client) is prepared by the Client prior to the tendering but may be amended during the finalisation of the Agreement. Appendix C - Remuneration and Payment For the purpose of tendering comprising 3.2.1 C.1 - Schedule of Prices (blank but filled in by the Tenderer) C.2 - Terms of Remuneration C.3 - Conditions for Personnel-Related Expenses C.4 - Terms of Payment C.1- Schedule of Prices (possibly amended) C.2 - Terms of Remuneration (not amended) C.3 - Conditions for Personnel-Related Expenses (not amended) C.4 - Terms of Payment (not amended)
and for the purpose of the Agreement comprising
Particular Conditions Part A - References from the General Conditions Particular Conditions Part A comprises details referred to in the Clauses in the General Conditions and which are related to the particular assignment, Client and Consultant. Part A shall be filled in by the Client partly prior to issuance of the Tender Dossier (data related to the assignment and the Client) and completed by the Tenderer (data related to the Consultant). Details shall be inserted or amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. The data include (the numbering refers to the clauses in Particular Conditions Part A): 1. (i) The "Project" (name of the Program/Component/Project): To be filled in by the Client prior to issue of the documents.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide 1. (v) The "Consultant" if a joint venture:
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Composition of the Joint Venture and specific requirements to Joint Ventures to be given exactly in the wording as specified in the Particular Conditions. Information to be provided by the Consultant prior to finalisation of the Agreement. Please note that arrangements where the Consultant is a firm with sub-consultant(s) are not considered an association as a joint venture. In the event of such arrangements, the Consultant shall fill in "N/A". 1. (vi) "Third Parties" (name, address, and representative of e.g. the Recipient or the executing agency): To be filled in by the Client prior to issue of the documents. 14. "Client's Representative" (name, address, and representative of the Client for matters pertaining to the administration of the Agreement): Normally the Danish Diplomatic Mission. To be filled in by the Client prior to issue of the documents. 14. "Consultant's Representative" (name, address and representative of the Consultant): A senior manager (the Assignment Manager) at the home office and the Team Leader at the field office. Information to be provided by the Consultant prior to finalisation of the Agreement. 17. "Duration of Liability" of the Consultant: Normally five years (or as decided by the Client). To be filled in by the Client prior to issue of the documents. 18.1 "Limit of Compensation" payable by the Consultant: Normally the Total Price as stated in the Schedule of Prices (or as decided by the Client) - for assignments such as design and supervision of large infrastructure projects, a sum corresponding to the amount of possible damages estimated by the Client. To be filled in by the Client prior to issue of the documents. 19. "Consultant's Liability Insurance" against professional liability: Normally the Total Price as stated in the Schedule of Prices or as decided by the Client and filled in prior to issue of the documents - for assignments as design and supervision of large infrastructure projects, a sum corresponding to the amount of possible damages estimated by the Client. To be filled in by the Client prior to issue of the documents. 21. "Agreement becoming Effective": The date of the latest signature necessary to complete the Agreement or as agreed between the parties. In the event of a phasing of the assignment the Client shall prior to the issue of the documents add or amend the text as indicated. 22. "Commencement Date" (the date of commencement of the Services): To be filled in by the Client prior to issue of the documents with either a specific
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date or a number of days after the effective date and confirmed by the parties during the finalisation of the Agreement. 22. "Completion Date": The date of completion of the Services given either as a specific date or as a number of days or months after the Commencement Date. To be filled in by the Client prior to issue of the documents. In the event of a phasing of the assignment, the Client shall add or amend the text. Note that the Services shall not be considered completed until acknowledged by the Client's approval of the Consultant's Completion Report (cf. Appendix A). 30. (i) "Place of Payment": Name and address of bank, bank registration number, account number and name of DKK-account and account holder. Information to be provided by the Consultant prior to the finalisation of the Agreement. 31.(i) "Advance Payment" (amounts and conditions for payment of the advance payment): The amounts are normally 20% of the Ceiling Amount for Fees (or as decided by the Client) and normally 40% of the Ceiling amounts for Reimbursable Expenses (or as decided by the Client) with payment subject to effectiveness of the Agreement and presentation of an advance payment security for the full amount. To be filled in by the Client prior to issue of the documents. In the event of a phasing of the assignment the Client shall add or amend the text. 31. (i) "Time for Payment" (by the Client): Payment will normally take place as advance payment, quarterly progress payments, and final payment as specified in the Appendix C.4 - Terms of Payment: Amounts due for advance payment, normally 30 days of the date of effectiveness of the Agreement, presentation of an advance payment security and receipt of invoice, whichever is the latest. Amounts due for quarterly progress payments, normally 30 days (or as decided by the Client) within receipt of invoice. Amounts due for final payment, normally 45 days (or as decided by the Client) within receipt of invoice, and the audited final statement of accounts, and the Client's approval of the Consultant's Completion Report. To be filled in by the Client prior to issue of the documents. 31. (ii) "Compensation for late Payment" (to the Consultant): Normally 2 per cent point (or as decided by the Client) above the discount rate of the Danish National Bank. To be filled in by the Client prior to issue of the documents. 31. (iii) "Cash Flow Estimate": If required, the Client shall prior to issue of the documents include and amend the text indicated. 32. "Currency of the Agreement": DKK.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide 36. "Language of the Agreement". The ruling language shall be the English language.
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The Client shall prior to issue of the documents fill in the language to be used in reports, recommendations and documents to be prepared by the Consultant. 36. "Law": If Danida is the Client, the Agreement shall be subject to the law of Denmark. The Client shall prior to issue of the documents amend as appropriate. 37. "Principal Place of Business": Name and postal address of the Consultant. If the price or duration of the Services is altered as result of changes in regulations in any country in which the Services are to be performed, outside its "Principal Place of Business", the Consultant may be entitled to adjustment of the remuneration and time for completion. Information to be given by the Consultant prior to the finalisation of the Agreement. 38. (iii) "Sub-contracts": If the Consultant has or intends to use sub-consultants the following text should be inserted: The Consultant has proposed the following sub-consultants to which consent is given by the Client: 41. Name, address, and part of the Services (type and percentage) Name, address, and part of the Services (type and percentage)
"Notices": Address of the Client and Consultant for the purpose of formal notices. Information to be given by the Consultant prior to finalisation of the Agreement.
41. 44.
"Invoices to be sent to" (address and department of the Client): Identification, department and address of the Client for the purpose of invoicing. "Arbitration" (rules of): Where the Client is Danida and the Services are related to building and construction the dispute shall be settled finally and bindingly by "The Building and Arbitration Court" in Copenhagen. Where the Client is Danida and the Services are not related to building and construction the dispute shall be finally and bindingly settled by "The Danish Institute of Arbitration" (Det Danske Voldgiftsinstitut) in Copenhagen. Where Danida is the Client the law governing the arbitral proceedings shall be Danish. The Client shall prior to issue of the documents amend as appropriate.
45.
"Dispute Adjudication Board": If the Services include administration of a contract for Works, where the Client intends to or agreed to use adjudication of disputes by a Dispute Adjudication Board, this Clause shall include the following text.
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For a major contract, cf. the Consultant's Guide for Plant, Design-Build and Construction Contracts: "The Client intends to or has agreed to use adjudication of disputes under the Works Contract (name and details of contract) by a Dispute Adjudication Board, where the parties jointly will appoint one independent person to act as the impartial sole adjudicator". For a minor contract, cf. the Consultant's Guide for Plant, Design-Build and Construction Contracts: "The Client intents to or has agreed to use the Engineer making impartial prearbitral decisions under the Works Contract (name and details of contract). In case of the latter, the Services shall be detailed in the Terms of Reference." 3.2.2 Particular Conditions Part B - Additional Clauses Particular Conditions Part B comprises amendments and additions to the General Conditions necessitated by the nature of the assignments, the funding, and the Client being either Danida or a public institution in a developing country. This Part B is an integral part of the General Conditions and should be included in the Agreement without any revisions or amendments. 3.2.3 General Conditions The General Conditions shall be those of the FIDIC Client/Consultant Model Services Agreement, Third Edition 1998. 3.2.4 Appendix A - Scope of Services Appendix A - Scope of Services will when issued in the Tender Dossier comprise only the Terms of Reference as prepared by the Client. In the Tender the Consultant will in response to the Terms of Reference prepare the required Technical Schedules which will be reviewed and evaluated by the Client. During the finalisation of the Agreement the parties will discuss the Terms of Reference as well as the Technical Schedules and agree on any amendments needed. Appendix A - Scope of Services will then, in the Agreement, include the amended Terms of Reference and the amended Technical Schedules in that order of precedence. Terms of Reference: (i) General comments (a) Detailing and updating the Terms of Reference: The Terms of Reference is often drafted as a part of the Program/Component/ Project document or description and agreed with the Recipient as part of this document or description. However, it is important to realise that the drafting often takes place one or two years prior to the tendering and finalising an Agreement with a consultant and that circumstances may have changed considerably since then. The role for the Consultant, the resources of the executing agency, the in-country conditions, the phasing or the financing of the Program/Component/Project may have changed. Further, the drafted Terms of Reference may be an outline requiring further detailing in order to form the basis for tendering and finalising a contract
November 2004
Danida's SSTD for Larger Consultancy Contracts Users' Guide with a consultant for the provision of the Services.
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In the normal situation the Terms of Reference will, therefore have to be reviewed, updated and detailed prior to the tendering and finalising a contract for the assignment. Thereafter it may be required to ensure that these final terms are agreed by the Recipient or other involved parties. (b) Normal Services, Additional Services and Exceptional Services: Clause 4. of the General Conditions refers to "Normal Services" as those described as such in Appendix A (the Terms of Reference and later the Scope of Services), "Additional Services" as those described as such in Appendix A or which by written agreement between the parties are otherwise additional to Normal Services, and "Exceptional Services" as those which are not Normal Services or Additional Services but which are necessarily performed by the Consultant in accordance with Clause 28 of the General Conditions. Additional Services may be advice to the Client in taking any steps in or towards the resolution of dispute or difference or towards any adjudication, arbitration or litigation in connection with the Works, considering alternative designs for the Works submitted by the Contractor, preparation of shop drawings, review and check of Works not designed by the Consultant, special investigations not normally included in the type of Services (contamination investigations on site),
and should if possible be clearly specified in the Terms of Reference. Additional Services may also be non-foreseeable as e.g. increase in the amount or duration of the Services caused by delays by the Client or its Contractors, increase in the amount or extent of the Services caused by delays in or non supply of personnel, equipment, facilities, and services of others to be provided by the Client according to Appendix B.
The mentioned causes may be reduced or eliminated by (at an early stage) carefully reviewing and establishing realistic plans for implementation as well as for supply of personnel, equipment, facilities and services of others. Exceptional Services may be necessary work or expense caused by changed
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circumstances for which the Consultant is not responsible or which make it irresponsible or impossible for him perform, (c) abandonment or suspension or resumption of Services. Responsibility of the Consultant: The assignment may include the Consultant being responsible for one of the following or combinations of the following carrying out certain activities and achieving certain outputs (feasibility studies, planning, investigations, engineering design, etc.), advising, assisting and supporting the Client, the Recipient or other third parties (technical assistance) in its activities and achievement of outputs, providing training services, procurement of materials, equipment or services on behalf of the Client, project management on behalf of the Client, the Recipient or any third party.
The Consultant may in these cases retain liability only for skill, care and diligence in the performance of the Services, and the White Book Agreement can be used in these cases without changes or additions. However, the case of a Consultant undertaking project management and full liability for delivering a project to the Client is a different matter for which the White Book Agreement is not suitable. (d) Location of the Consultant's work: Depending on the type of assignment, the Client often requires that the work partly or wholly be carried out in the Recipient's Country in order for the Recipient's staff or local firms to benefit from participation in the work. The Consultant may on the other hand wish the work to be partly or wholly carried out at its home office to achieve higher efficiency. Where all or most of the work is carried out in the field, it should be realised that it may be difficult for the Consultant's field team to be competent in all aspects of the Services. In such cases the performance of the Services may be secured or even improved by including a certain backup by home office specialists. Such requirements for back-up should be specified in the Terms of Reference, or if not possible at this stage in the agreed Technical Schedules. (ii) List of contents The Terms of Reference should as applicable include detailed specification of: (a) Background and objectives of the Program/Component/Project: The background should be brief but should explain the history of the Program/Component/Project preparation and list all intermediate documents, studies and investigations as well as involvement of consultants in the project preparation.
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The development and immediate objectives should be outlined, if unchanged since the Program/Component/Project document a reference to these documents will be sufficient. (b) Objectives of the Consultant's assignment: While the purpose of assigning a consultant to carry out certain services under a Program/Component/Project is to achieve the objectives (development objectives and the immediate objectives), the contractual objectives of assigning a consultant will often be narrower and these should therefore be clearly formulated in the Terms of Reference as e.g.: (c) advice and support (technical assistance) to the implementing agency, management of a component or sub-component, study, master plan, survey, investigation, detailed engineering design, preparation of tender documents and assistance in tendering and award, review (of a study, a design or an investigation), contract administration and construction supervision, take-over and commissioning, and /or training and upgrading of staff.
Outputs of the Consultant's assignment: A detailed list of the outputs clearly indicating those for which the Consultant is contractually responsible and those where the Consultant's team is assisting the implementing agency. All outputs specified should be quantified, timed and verifiable and the means of verification stated. Longer technical assistance assignments may often be phased in one-year phases with a rolling planning (outputs of one phase include plans and definition of outputs, activities and staffing for the following phase(s)). In such cases only the outputs of the first phase or the inception phase are fixed in the Terms while the outputs of the following phases are outlined and tentative.
(d)
Activities of the Consultant: A detailed list of the activities clearly indicating those for which the Consultant is responsible and those where he is assisting. For technical assistance assignments the activities may be specified for each of the team members including the team leader. This is a useful way of planning the size of the input and the qualifications required for each team member. However, this should not prevent the Consultant from proposing alternatives for input and profiles. For longer technical assistance assignments the activities may be defined in a process of rolling planning, where only the activities and staffing of the inception or first phase are specified in the Terms while the activities and staffing of the following phases are outlined and tentative.
(e)
Requirements for training and transfer of know-how (if applicable for the Services) e.g. including
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Danida's SSTD for Larger Consultancy Contracts Users' Guide approach to capacity building,
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identification and numbers of relevant counterparts or trainees, their background and qualifications, and competencies to be achieved.
While training and transfer of know-how is often an integrated part of the services requirements for the outputs and activities should be specified separately and in quantifiable terms. (f) Requirements for the contents and timing of reports, e.g. as follows: Consultant's Inception Report An Inception Report shall within one month of the Commencement Date be prepared by the Team Leader and presented to the Recipient and the Client (the Danish representation) for approval. The report shall be brief and include the overall situation of the programme/component/project and the assignment, an updated implementation plan and staff assignment chart for the first twelve months including details of outputs and indicators, activities, and assumptions/risks, proposed modalities for organisation, management, and administration including financial administration, flow of funds and auditing, an updated component budget, practical arrangements in connection with office facilities, accommodation, transport etc., and revisions (if any) of the timing of submission of progress reports, completion report and co-ordination with the RSPS reporting and annual reviews.
The report shall be submitted as a draft within six months of Commencement of the Services, and as a final report within one month thereof including any comments received. Progress Reports Progress reports shall be submitted semi-annually and prepared by the Team Leader for approval by its counterpart, the first for the period ending month 6 from commencement of the Services. The reports shall be brief and include November 2004
a summary of the outputs achieved and activities carried out, any problems encountered and interventions to overcome such problems, an updated implementation plan and summary of activities planned for the coming reporting period, a statement of accounts compared to budget for the component funds, a statement of the use of resources, a budget for use of component funds during the coming reporting
Danida's SSTD for Larger Consultancy Contracts Users' Guide period, -
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use of the resources for the coming period, including the proposed selection of Short-term Specialists, timing and terms of reference, and recommendations.
The reports shall be submitted as a draft within one month of the end of the 6 months period, and as a final report within one month thereof including any comments received. End-of mission reports At the end of each short-term mission/assignment the team member shall prepare a brief report outlining activities carried out, resources used and outputs achieved during the assignment. This report shall be submitted to the Team Leader and his counterpart before the end of the mission/assignment and the report annexed to the following Progress Report . Quality Audit Reports Quality Audit Reports shall be prepared by the Quality Auditor semiannually, the first for the period ending month 6 from commencement of the Services. The reports shall be brief and include a summary of the organisation and activities of the quality assurance established for the Services compared to the Quality Assurance Plan, a review of plans, proposals, reports and other documents prepared by the units assisted by the team during the period, a summary of the findings and recommendations by the Quality Audit.
Completion Report A Draft Completion Report shall be prepared by the Team Leader for approval by the Recipient and Client. The report shall be brief and include an executive summary (maximum 1-2 pages), details of actual inputs used, activities carried out, and outputs achieved compared with those stipulated in the Component Description Document, assessment of whether the objectives have been reached, assessment of the sustainability of project outputs, detailed plans for demobilisation, recommendations for follow-up by the Recipient and the Client.
The report shall be submitted as a draft 1 month before the end the assignment, and as a final report within one month thereof including any comments received. General Reporting shall be in the English language and reports shall be submitted in usually 5 copies to the Recipient and 5 copies to the Client. The numbers to be determined and specified by the Tender Committee.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide (g)
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Requirements for the Consultant's home office management, technical back-up, quality assurance, and business integrity management, usually including: Nomination of a senior manager (instead of the designations "Project Director" or "Project Manager" it might be better to use the designation "Assignment Manager") with overall responsibility for the Consultant's assignment, normally stationed at the Consultant's home office but making regular management visits (annual or semi-annual) to the team in the Recipient's Country. Definition of specialists required for technical back-up to the team in the Recipient's Country (if applicable for the Services) to be included in the Schedule of Prices as Key Personnel (minor technical back-up involving answering a phone call or e-mail shall not be charged but covered by the Consultant's overhead). Requirements for a QA plan for this assignment (if applicable) comprising: A description of the required Services as e.g. daily quality assurance activities (reviewing, checking and approving), quality management, and quality surveillance carried out by the team leader and specialists of the team, quality audits carried out by a team of auditors independent of the team and specialists in the relevant fields (fees shall not be charged but shall be included in the Consultant's overhead, travel costs may be reimbursed by the Client). Identification of the Key Personnel involved. Frequency and documentation of audits (semi-annual audits with an audit report being presented to the Client). Requirements for the Business Integrity Management Plan for this assignment (refer to 2.4.5 above).
(h)
Requirements for special Services as e.g. procurement of goods, equipment or services on behalf of the Client, controlling disbursements or keeping accounts on behalf of the Client and/or the Recipient, assistance in claims handling, training and transfer of know-how (see above). A detailed and clear description of the implementation strategy and the Programme/Component/Project organisation, role and responsibilities of all involved parties as the implementing agency, the Recipient, the Danish Diplomatic Mission, other donors, and Danida-employed Advisors. This may be reduced to reference to the relevant section of the program/component/project description if the description is adequate and updated.
(i)
(j)
A detailed and clear description of the responsibilities and roles of the Consultant and its Key Personnel and relations to the other involved parties such as the implementing agency, the Recipient, the Danish Diplomatic Mission, sector or component programme advisors employed by Danida, other donors, or donor consortia. The description should be accompanied by an organisation chart showing the lines of command as well as liaison.
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Danida's SSTD for Larger Consultancy Contracts Users' Guide (k) Specification of the input by the Consultant as e.g. -
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qualifications and experience of selected Key Personnel, selected Key Personnel required to be international or local, selected Key Personnel e.g. a Team Leader or Resident Engineer required to be permanently employed by the Consultant, language capabilities of selected Key Personnel (and/or language training, special training required (as Danida's Orientation Courses) number of person months for all Key Personnel or minimum for selected Key Personnel as applicable for the assignment.
If the input (the selection and person months of Key Personnel) is partly or wholly specified by the Client this may be done as shown in the example below. "For a conforming Tender, the Tender shall include Key Personnel for the minimum number of person months as indicated below: Phase 1 Team Leader, international Sociologist, international Environmentalist, international Environmentalist, local Phase 2 Resident Engineer, international Deputy Resident Engineer Quantity Surveyor Materials Engineer, international Pavement Engineer Sociologist, international Environmentalist, international Environmentalist, local Claims Management Specialist, international
1
minimum person months 91 22 22 22 minimum person months 31.81 31.81 31.81 31.81 32 42 12 22 62
For Key Staff assigned to the Recipient Country for a period e.g. 3 calendar years (36 months) the person months shall be calculated as 36x(52-6)/52 = 31.8 person months. The annual vacation for Key Personnel on long-term assignment in the Recipient Country is 6 weeks. For Key Staff on short-term assignment the man months shall be equal to the periods assigned. The annual vacation for Key Personnel assigned in the Consultant's country or on short-term assignment in the Recipient Country shall be that statutory in the Consultant's Country.
For determination of fees, time worked, long-term/short-term assignment, and calculation of fee rates, see Appendix C.2."
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Danida's SSTD for Larger Consultancy Contracts Users' Guide (l)
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List of Background Documents. These may include feasibility studies, site investigations, appraisal report, government agreement, or program/component/project document. It should in the Terms be made clear that the information given in the Background Documents may be incorrect and deviate from the Conditions of the Agreement and its Appendices to the Agreement, which shall govern. The Background Documents have been made available for information only and the Consultant shall be responsible to verify any data used from such Background Documents.
(m)
Specification of information and data to be provided by the Client. This may include feasibility studies, data surveys and investigations, drawings and specifications of earlier designs or existing installations or structures. The Client should ascertain that the listed information actually is available and in a suitable format. The Terms should clearly state that the Consultant shall be responsible to verify any data given in such information.
(n)
Detailed updated time schedule with milestones for the assignment as e.g. end of phases or sub-phases, dates for reporting or presentation of selected main outputs.
While the milestones specified should give the Client the opportunity to monitor progress and intervene, they should be limited to give the Consultant maximum freedom to plan and carry out the assignment. If alternative Tenders are permitted, the Terms of Reference shall state the detailed specifications and requirements for such alternative Tenders. Consultant's Technical Schedules The Consultant's Technical Schedules shall as required include: (a) Schedule 1 - Comments to the Terms of Reference (amended during the finalisation of the Agreement so that all points raised are answered and agreed upon) Schedule 2 - Description of Approach, Work Plan and Detailed Tasks, Reporting, Organisation, outline QA Plan and outline Business Integrity System Management (amended and agreed upon during the finalisation of the Agreement) Schedule 3 - List of Personnel, Task Assignment Chart, and CV's for all Key Personnel and other professional personnel at the home office assigned as Assignment Manager, Quality Manager and Auditor, Business Integrity Manager, etc. for the implementation of the Services. (amended and agreed upon during the finalisation of the Agreement) Schedule 4.1 - Outline Implementation Plan (amended and agreed upon during the finalisation of the Agreement) Schedule 4.2 - Personnel Assignment Chart (amended and agreed upon during the finalisation of the Agreement)
(b)
(c)
(d) (e)
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Danida's SSTD for Larger Consultancy Contracts Users' Guide 3.2.5
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Appendix B - Personnel, Equipment, Facilities and Services of Others to be provided by the Client The Client shall arrange for Appendix B to be filled in prior to the issuance of the Tender Dossier. Details shall be inserted or amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. The document may need to be amended during the finalisation of the Agreement. The Appendix shall clearly describe the personnel, equipment, facilities and services of others, which are made available to the Consultant by the Client (or other parties on behalf of the Client), free of charge, for execution of the Services. The descriptions shall include for each such personnel, equipment, facilities, and services the quantity (in numbers and size), the quality or qualifications, and the time or period of provision. Note that provision of such personnel, equipment, facilities and services of others are the responsibility of the Client. Both the Client and the Consultant should be realistic in stipulations of such provision, especially in the event of services of others (the Recipient or any other third parties) and provisions for back-up or substitution should be made if the matter is fundamental to the implementation of the Services.
3.2.6
Appendix C.1 - Schedule of Prices The Client shall arrange for this document to be filled in prior to the tendering. Details shall be inserted or amendments made where marked [in italics in brackets] and alternative wordings or options chosen where marked [in regular brackets]. Prices shall be inserted by the Tenderer. The Schedule includes the summary page with the Total Price and the Forms Breakdown of Fees, Breakdown of Reimbursable Expenses, Breakdown of Fee Rates (only to be completed by the preferred Tenderer upon invitation to finalise an Agreement).
The summary page shall show the ceiling amounts for Fees, Project-related Expenses, Personnel-related Expenses as well as the Price for each phase (if the Agreement is phased) and the Total Price. The sub-ceiling amounts are given in the Breakdown of Fees and Breakdown of Reimbursable Expenses. The Agreement will normally only include the Services in Phase 1 with subsequent phases being optional to the Client. Extension of the Agreement to include subsequent phases shall be subject to certain conditions being met, as e.g. feasibility of subsequent phases, approval of subsequent phases by the Client, the Recipient, and/or relevant appropriation authorities. Subsequent phases shall not become effective until Client's written notice to proceed. All the conditions for extensions and effectiveness of subsequent phases shall be clearly specified in the Schedule of Prices as well as in the Particular Conditions Part A. The Schedule will normally be amended during the finalisation of the Agreement. Where fee rates, fees, and reimbursable expenses have been quoted and have been the basis for a competitive tender (have been used as a criterion for the selection), such fees and reimbursable expenses should not be negotiated further but accepted as quoted. For assignments where the Client has specified the input in number of person months, this number may be adjusted.
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Where the proposed reimbursable expenses or part thereof have not been obtained through a competitive tender (have not been used as a criterion for the selection), such proposed reimbursable expenses shall be reviewed by the Client and, if found reasonably required for the assignment, accepted as expenses reimbursable under the Agreement. It should, however, be noted that only expenses specified by the types and defined in the Schedule of Prices shall be accepted. Further it should be noted that only expenses for items not listed under Appendix B Personnel, Equipment, Facilities and Services of Others to be provided by the Client shall be accepted. 3.2.7 Appendix C.2 - Terms of Remuneration The remuneration for the Services comprises fees and reimbursable expenses as detailed in the Schedule of Prices and within the ceiling and sub-ceiling amounts specified here. Remuneration for the Services by the Client is based on two principles: (a) Time worked by personnel and expenses incurred other than those specified in the Schedule of Prices (or the breakdowns) or where amounts are not entered here shall not be remunerated by the Client but shall be deemed covered by the Consultant's overhead. The Client shall make no remunerations whatsoever for fees and /or reimbursable expenses in excess of the specified ceiling amounts and sub-ceiling amounts.
(b)
The Terms of Remuneration specify the basis for determining these fees and reimbursable expenses in connection with long-term consultancy assignments funded by Danida bilateral aid. For the purpose determining the hours worked and the fee rates, as well as conversion of person months to hours, the following shall be assumed: One person month (one month worked) short-term in the country of the Consultant shall be equal to 37*52/12=160.33 hours. One person month (one month worked) short-term outside the country of the Consultant shall be equal to 40*52/12=173.33 hours. One person month (one month worked) long-term outside the country of the Consultant shall be equal to one month full time.
Fees shall not be paid during annual vacations, holidays, pregnancies, sick leave or other leave. These Terms should be included in the Agreement without any amendments. 3.2.8 Appendix C.3 - Conditions for Personnel-Related Expenses The Conditions specify the detailed conditions under which the Consultant's personnelrelated expenses will be reimbursed in connection with long-term consultancy assignments funded by Danida bi-lateral aid. These Conditions should be seen as an extension of the Terms of Remuneration and should be included in the Agreement without any amendments. 3.2.9 Appendix C.4 - Terms of Payment The Terms of Payment are the basic terms for payment to be used in connection with longterm consultancy assignments funded by Danida bi-lateral aid. These Terms should be included in the Agreement without any amendments.
November 2004

S STD Users Guide Consultancy Ver 2

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Ministry of Foreign Affairs Danida

Danida's SSTD for Larger Consultancy Contracts Users' Guide

THE AGREEMENT................................................................................................................. 29 3.1 3.2 3.2.1 3.2.2 3.2.3 3.2.4

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide -

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Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

The SSTD comprises the following documents:

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide analysis).

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

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Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide -

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

and Transfer of knowledge (training), if required in the Terms of Reference,

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

and for the purpose of the Agreement comprising

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide

Danida's SSTD for Larger Consultancy Contracts Users' Guide period, -

Danida's SSTD for Larger Consultancy Contracts Users' Guide (g)

Danida's SSTD for Larger Consultancy Contracts Users' Guide (l)

Danida's SSTD for Larger Consultancy Contracts Users' Guide 3.2.5

Danida's SSTD for Larger Consultancy Contracts Users' Guide

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