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Standard Bid Document (for works less than Rs 5 crores)


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If the rates for the altered, additional or substituted work cannot be determined in the manner specified in clauses (i) (ii) (Iii) above, then the contractor shall within 7 days of the date of his receipt of the order to carry out the work inform the Engineer-in-Charge of the rate or rates which he intends to charge for such class of work supported by analysis of the rate in support of rates claimed. The Engineer-in-Charge shall determine the rate or rates on the basis of prevalent market rates and pay the contractor with the approval of competent authority as case may be accordingly.


However, the Engineer-in-Charge , by notice in writing will be at liberty to cancel the order given to the contractor to carry out such class of work and arrange to carry out in such manner as he may consider advisable provided always that if the contractor shall have commenced work or incurred any expenditure in regard thereto before -the rates shall have been so determined then in such case’ he shall be entitled to be paid in respect of the work carried out or expenditure incurred by him prior to the date of determination of the rates as aforesaid according to such rate or rates as shall be fixed by Engineer­ in-Charge. In the event of dispute, the decision of the Superintending Engineer of the circle shall be final.
13 ) NO COMPENSATION FOR ALTERATION IN OR RESTRICTION IN WORKS
CLAUSE – 13 If at any time, after the commencement of the work, the board shall, for any reason whatsoever, not require the whole or part thereof as specified in the contract to be carried out, the Engineer-in­ Charge shall give notice in writing of the fact to the Contractor, who shall have no claim to any payment. or compensation whatsoever on account of any profit or advantage which he might have derived from the execution of the work in full, but which he did not derive in consequence of the full amount of the work not having been carried out, neither shall he have any claim for compensation by reason of any alternation having been made in the original specifications, drawings, designs and instructions, which shall involve any curtailment of the work contemplated originally
14 ) ACTION AND COMPENSATION PAYABLE IN CASE OF BAD WORK
CLAUSE-14 If it shall appear to the Engineer-in-charge, or his subordinates in-charge of the work that any work has been executed with unsound, imperfect, unskillful workmanship or with materials of any inferior description or that any articles or materials provided by the contractor for the execution of work are of unsound or of a quality inferior to that contracted for or otherwise not in accordance with the contract, the contractor shall, on demand in writing by the Engineer-in-Charge specifying the work, materials or articles complained of notwithstanding that the same have been inadvertently passed, certified and paid for, forthwith rectify or remove and reconstruct the work so specified in whole or in part, as the case may require or as the case may be, remove the materials or articles so specified and provide other proper and suitable materials or articles at his own proper charge and cost. In the event of his failing to do so, within a period to be specified by Engineer-in-Charge in his demand aforesaid the contractor shall be liable to pay compensation at the rate of one percent of the estimated amount for every day not exceeding ten days, while his failure to do so shall continue and in the case of such failure, the Engineer-in-Charge may rectify or remove and re-execute the work or remove and replace with others. the materials or articles complained of as the case may be at the risk and expense in all respects of the contractor.


15 ) WORKS TO BE OPEN TO INSPECTION
CLAUSE-15 All work under or in course of execution or executed in pursuance of the contract shall at all times be open to the inspection and supervision of the Engineer-in-Charge and his seniors/subordinates and the contractor shall at all times during the usual working hours and at all other times at which reasonable notice of the intention of the Engineer-in-Charge or his seniors/subordinates to visit the works shall have been given to the contractor, either himself be present to receive orders and instructions or have a responsible agent. duly accredited in writing present for that purpose. Orders given to a Contractor’s agent shall be considered to have the same force as if they had been given to the contractor himself.
16 ) NOTICE TO BE GIVEN BEFORE WORK IS COVERED UP
CLAUSE-16The contractor shall give not less then one week notice in writing to the Engineer-in-Charge or his subordinate in-Charge of the work before covering up or otherwise placing beyond the reach of measurement any work in order that the same may be measured and correct dimensions thereof may be taken before the same is so covered up or placed beyond the reach of measurement and shall not cover up the place beyond the reach or measurement any work without the consent in writing of the Engineer-in charge or his subordinate in-charge of the work if any work shall be covered up or, placed beyond the reach of measurement, without such notice having been given or consent obtained, the same shall be uncovered at contractor’s expense or in default no payment or allowance shall be made for such work or of the material with which the same was executed.

17) LIABILITY FOR DAMAGE AND IMPERFECTION FOR THREE MONTHS AFTER CERTIFICATE
CLAUSE-17 If the Contractor or his workmen shall break, deface, injure or destroy any part of a building which he may be working or any building, road, fence, enclosure or green grass land, water pipes, cables, drains, electric or telephone posts or wires, trees or cultivated ground contiguous to the premises on which the work or any part of it is being executed or if any damages shall happen to the work, while in progress from any cause whatsoever or any defect, imperfection or other faults appear in the work within three months after a certificate, final or otherwise of its completion shall have been given by the Engineer-in-Charge, the contractor shall make the same good at his own expense or in default the Engineer in-Charge may cause the same to be made good by other Workmen and deduct the expenses incurred both on labour and material (for which the certificate of the Engineer-in-charge shall be final) from any sums that may be then due at any time thereafter may become due to the contractor from his security deposit.
18 )CONTRACTOR TO SUPPLY MATERIALS, PLANT, SCAFFOLDING
CLAUSE-18 The contractor shall arrange and supply at his own cost all material and equipment etc. required for work as per I.S.I/IRC/MOST/PWD specifications


19 ) FAIR WAGE CLAUSE
CLAUSE-19 (a) The contractor shall pay not less than fair wages to laborers engaged by him on the Explanation:- Fair wage whether for time or piece work notified at the time of inviting tenders for the work end where such wages have not been so notified, the wages prescribed by the P.W.D., B. & R. Branch Punjab for the district in which the work is done.

(b) Contact shall, not withstanding the provisions of any agreement to the contrary cause to be paid fair wages to laborers indirectly engaged on the work, including any labors engaged by his sub-contractor in connection with the said work, as if the labourers had been directly employed by him.

(c) In respect of all labour directly or indirectly employed on the work for performance of the contractor’s part of this agreement, the contractor shall comply with or cause to be complied with the Punjab (I) P.W.D. Contractor’s labors Regulation made by the Government from time to time in regard to payment of wages, wage period deductions from wages, recovery of wages not paid and deduction un authorisely made maintenance of wage register wage, cause publication wages and other terms of employment, inspection and submission of periodical returns all other matters of .such like nature.

(d) The Executive Engineer (PMB) or the S.D.E. concerned shall have the right to deduct from the money due to the contractor, any sum required or estimated to be required for making good the loss suffered by a worker or workers by reason of non-fulfillment of the conditions of contract made from him or their wages which are not justified by the terms of contract or. for non-observance of regulation referred to in clause (c) above.

(e) Vis-à-vis the Punjab (I) Government contractor shall be primarily liable for all payment to be made under and for observation of the regulations aforesaid without prejudice to his rights to claim identity from his Sub-Contractors.

(f) The regulations shall be deemed to-be part of this contract and any breach thereof shall deemed to be a breach of their contract.
20 ) CONTRACTOR LIABLE FOR PAYMENT OF COMPENSATION TO INJURED WORKMAN OR IN CASE OF DEATH
CLAUSE-20 In every case in which by virtue of the provisions of the section 12, sub section (1) of the Workmen’s Compensation Act, 1922, the Government is obliged to pay compensation to a workman employed by the contractor in execution of work, the Government will recover from the contractor the amount of compensation so paid and without prejudice to the rights of government under section 12, subsection (ii) of the said Act, the Government shall be at liberty to recover such amount or any part thereof by deducting it from the security deposit or from any sum due by the Govt. to the contractor whether under this contract or otherwise. Government shall not be bound to contest any claim made against it under section 12, Sub-Section (1) of the said Act except in the written request of the contractor and upon his giving to Government full security for all costs for which the Government might become liable in consequence of contesting such claim.
21 ) WORK NOT TO BE SUB-LET
CLAUSE-21 Contract may be rescinded and security deposit forfeited for subletting bribing or if contractor become insolvent.
21.1 The contract shall not be assigned or sublet without the written approval of the Engineer-in-charge. And if the contractor shall assign or sublet his contract or attempt so do, or become insolvent or commence any insolvency proceeding or make any compos ions with his creditor, or attempts so to do or if any bribe gratuity, gift loan perquisite reward or advantage pecuniary or other wise,. shall either directly or indirectly be given promised or offered by the contractor or any of his servants or agents to any public officer or person in the Employ of Board in any way relating to his officer or employment or if any such officer or person shall become in any way directly or indirectly interested, in the Contract the Executive Engineer may thereupon by notice in writing rescind the contract and the security deposit of the contracts shall thereupon stand forfeited and be absolutely at the disposal of Board and the same consequences ­shall ensure as if the contract had been rescinded under clause 3 thereof, and in addition the contractor shall not be entitled to recover or be paid for work therefore actually performed under the contract.
22 ) SUM PAYABLE BY WAY OF COMPENSATION TO BE CONSIDERED AS REASONABLE WITHOUT REFERENCE TO ACTUAL LOSS
CLAUSE-22 All sums payable by way of compensation under any of these clauses shall be considered as reasonable compensation to be applied to the use of Government without reference to the actual loss or damage sustained and whether or not any damages shall have been sustained.
22-1 A DEDUCTIONS OF AMOUNTS DUE TO BOARD ON ANY ACCOUNT WHATSOEVER TO BE PERMISSIBLE FROM SUMS PAYABLE TO CONTRACTOR.:- Any excess payment made to the contractor inadvertently or otherwise under this contract or on any account whatsoever and any other sum found to be due to the Punjab mandi board by the contractor in respect of this contract or any other contract or work-order or on any account whatsoever .may be deducted from any sum payable by the Punjab mandi board to the contractor either in respect of this contract or any work order or contract or on any other account by any other department/corporation/Board of the Punjab Government
23 ) CHANGE IN CONSTITUTION
CLAUSE 23 Where the Contractor is a partnership firm, the previous approval in writing of Engineer-in-charge shall be obtained before any change is made in -the constitution of the firm. Where the contractor is an individual or a Hindu-Undivided Family Business concern, such approval as aforesaid shall likewise be obtained before the contractor enters into any partnership agreement, where under the partnership firm would have the right to carry out the work hereby undertaken by the contractor. If previous approval, as aforesaid, is not obtained, the contract shall be deemed to have been assigned in contravention of clause 21 hereof and the same action may be taken and the same consequences shall ensure as provided in the said clause-21.
24) DIRECTIONS OF THE SUPERINTENDING ENGINEER
CLAUSE-24 All works to be executed under the contract shall be executed under the direction and subject to the approval in all respects of the Superintending Engineer of the circle who shall be entitled to direct at what point or points and in what manner they are to be commenced and from time to time carried out.

25 ) CLAIMS FOR PAYMENT OF AN EXTRA ORDINARY NATURE TO BE REFFERED TO
CLAUSE-25 No claim for payment of an extraordinary nature, such as claims for bonus, for extra labour employed in completing the work before the expiry of the contractual period at the request of Engineer ­in-Charge or claims for compensation where work has been temporarily brought to a standstill though no fault of the contractor, shall be allowed unless and to the extent that the same shall have been expressly sanctioned by the Punjab Mandi Board under the signature of Chairman/Secretary Punjab Mandi Board.
25 A DISPUTES AND ARBITRATION
i) If any dispute or difference of any kind whatsoever shall arise between the Punjab Mandi Board /its authorized representative and the contractor in connection with or arising out of this contract or the execution of work there under.

ii) Whether before its commencement or during the progress of works or after the termination aban­donment or breach of the contract. It shall, in the first instance, be referred for settlement to the Engineer in-charge of the work and he shall, within a period of sixty days after being requested in writing by the contractor to do so convey his decision to the contractor. Such decision in respect of every matter so referred shall subject to arbitration as hereinafter provided be final and binding upon the contractor. In case the work is already- in progress, the contractor shall proceed with the execution of the work on receipt of the decision of the Engineer-in-charge as aforesaid with all due diligence, whether ‘any of the parties require arbitration as hereinafter provided or not.

iii) If the Engineer-in-charge has conveyed his decision to the contractor and no claim for arbitration has been filed by the contractor within a period of sixty days from the receipt of the letter communicating the decision, the said decision shall be final and binding upon the contractor and will not be a subject matter of arbitration at all.

iv) If the Engineer-in-charge fails to convey his decision within a period of sixty days after being requested as aforesaid the contractor may within further sixty days of the expiry of the first sixty days from the date on which the said request was made by the contractor refer the dispute for arbitration as hereinafter provided.

v) All disputes or differences in respect of which the decision is not final and conclusive shall, at the request of either party made in a communication sent through Registered A.D. post, be referred to the sole arbitration of the Superintending Engineer of the circle concerned.

vi) Chief Engineer-in-charge of works shall have the authority to change the arbitrator on an application by either the contractor or the Engineer-in-charge requesting change of arbitrator giving reasons thereof, either before the start of the arbitration proceedings or during the course of such proceedings. The arbitration proceedings would stand suspended as soon as an application for change of Arbitrator is filed before the Chief Engineer and a notice thereof is given by the applicant to the Arbitrator. The Chief Engineer after hearing both the parties may pass a speaking order rejecting the application or accepting to change the Arbitrator simultaneously appointing a technical officer not below the rank of a Superintending Engineer as Arbitrator under the contract. The new Arbitrator so appointed may enter upon the reference afresh or he may continue the hearings from the point these were suspended before the previous Arbitrator.

vii) The reference to the Arbitrator shall be made by the claimant party within one hundred twenty days from the date of dispute of claim arises during the execution of work. If the claim pertains to rates or recoveries introduced in the final bill, the reference to the Arbitrator shall be made within six calendar months from the date of payment of the final bill to the contractor or from the date a registered notice is sent to the contractor to the effect that his final bill is ready by the Engineer-in-charge (whose decision in this respect shall be final and binding) whichever is earlier.

viii) It shall be an essential term of contract that in order to avoid frivolous claims, the party invoking arbitrator shall specify the disputes based on facts and calculations stating the amount claimed under each claim and shall furnish a deposit-at call for ten percent of the amount claimed on a scheduled bank in the name of Arbitrator or in the name of executive Engineer ( ) Punjab Mandi Board.............. as directed by Arbitrator by his official designation who shall keep the amount in deposit till the announcement of the award. In the event of an award in favour of the claimant, the deposit shall be refunded to him in proportion to the amount awarded with respect to the amount claimed and the balance, if any, shall be forfeited and paid to the other party.

(ix) The Arbitrator shall award separately giving his award against each claim and dispute and counter-claim raised by either party giving reasons for his award. Any lump sum award shall not be legally enforceable.

x) The independent claims of the party other than the one seeking arbitrator as also the counter claims of any party shall be entertained by the Arbitrator.

xi) The venue of arbitration shall be such place or places as may be fixed by the Arbitrator on his sole discretion. The work under the contract shall continue during the arbitration proceedings.

xii) The stamp fee due on the award shall be payable by the party as desired by the arbitrator and in the event of such party’s default, the stamp fee shall be recoverable from any other sum due to such party under this or any other contract. Claims for payment of any other sum due to such party under this or any other contract.
xiii) Neither party shall be entitled to bring a claim for arbitration, if it is not filed as per the time period already specified or within six months of the following :-

a) Of the date of completion of the work as certified by the Engineer-in-charge or

b) Of the date of abandonment of the work or breach of contract under any of its clauses, Or

c) Of its non-commencement or no resumption of work within 10 days of written notice for commencement or resumption as applicable. or

d) Of the cancellation, termination or withdrawal of the work from the contractor in whole or in part and / or revision or foreclosure of the contract, or.

e) Of receiving an intimation from the Engineer-in-Charge or that the final payment due or recovery from the contractor had been determined, for the purpose of payment/adjustment whichever is the latest.

If the matter is not referred to arbitration within the period prescribed above, all the rights and claims of either party under the contract shall be deemed to have been forfeited and absolutely barred by time for arbitration and even for civil litigation.

xiv) No question relating to this contract shall be brought before any civil court without first invoking and completing the arbitration proceedings, if the issue is covered by the scope of arbitration under this contract. The pending of arbitration proceedings shall not disentitle the Engineer-in-charge to terminate the contract and to make alternate arrangement for completion of the works.

xv) The arbitrator shall be deemed to have entered on the reference on the day, he issues notices to the parties fixing the first date of hearing. The arbitrator may, from time to time, with the consent of the parties, enlarge the initial time for making and publishing the award.

  1. The expiry of the contractual time limit, whether originally fixed or extended, shall not invalidate the provisions of this clause.

  1. (a) STORAGE OF CEMENT AND RECORD OF CONSUMPTION

Deleted

(b) VARIATION IN CONSUMPTION OF MATERIALS

Variations in consumption of materials will be regulated as per amended para 27.4 of P.W.D speci­fications 1963 appended as below :-

(Para 27.4 of P.W.D. Specifications 1963)

On the completion of any work, whether executed on through rates, Labour rates or Departmental labour, the consumption statement shall. be prepared for such materials as have been issued by Public Works Department. In order to determine the excess or short consumption of material. actual quantities issued to the work shall be compared with the theoretical worked-out quantities on the basis of consumption factor given in chapter 27 of common schedule of rates. The consumption of materials for different items will normally, confirm to the quantities given in that chapter. However, if there is any excess or short consumption of materials, the following procedure should be adopted unless - otherwise specified.

a) For excess consumption of material

No action shall be taken if the actual consumption does not exceed the theoretical consumption

beyond the percentage detailed below :­

(i) For works costing up to Rs. 2 lacs 5% of total theoretical quantity.

(ii) For works costing from Rs. 2 lacs to 5 lacs 4% -do­

(iii) For works costing more than Rs. 5 lacs. 3% - do­

This variation will not be taken as matter of routine and will have to be properly justified

in each case by Engineer-in-charge. If the actual consumption exceeds the theoretical consumption by more than the permissible limits detailed above at penal rate provided in the contract from the contractors and disciplinary action may be taken against the departmental officials as the case may be where the excess consumption in the opinion of Executive Engineer is substantially high, he shall bring such case to the notice of Superintending Engineer for further action whose decision in all such cases will be final.

“”

(b) For short consumption of materials



Where the actual consumption of material is short by percentage detailed below or less,

no action shall be taken when the work is executed on the Labour rate or departmentally..
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