Provision of banking services for capricorn district municipality (5-Year contract)

Compulsory site inspection

• Date: 26 November 2026 at 10:00.
• Venue: Capricorn District Municipality, Function Room, 41 Biccard Street, Polokwane (S23°54'44.12196" E29°27'24.72336").
• Attendance is compulsory; a bid from a bidder that did not attend is not acceptable.

Closing

• Date: 15 January 2027 at 11:00.
• Bids are opened in public at the closing time.

Technical enquiries

• Contact: Ms Triphina Kekana
• Email: [email protected]
• Telephone: 015 294 1132

Supply chain enquiries

• Contact: Mr Kwena Mashiane
• Email: [email protected]
• Telephone: 015 294 1212 / 015 294 1039 / 015 294 1210
• Contact: Ms Violet Masemola
• Email: [email protected]

Submission address

Capricorn District Municipality

41 Biccard Street

Polokwane

0699

Submission method

• Sealed envelope deposited in the bid box at Capricorn District Municipality, 41 Biccard Street, Polokwane, 0699.
• The envelope must be marked with the bid number and the bid description.
• The bid box is accessible 24 hours a day, 7 days a week.
• Closing: 15 January 2027 at 11:00. Bids received after the closing time are not considered.
• Bids are opened in public at the closing time.

Document preparation

• The bid document must be properly stapled and bound; failure results in automatic disqualification.
• Complete the document in black ink only; pencil entries disqualify the bid.
• Initial every page and sign all alterations.
• All MBD forms must be completed and signed in full; incomplete forms lead to rejection.
• Bids must be submitted on the official forms provided; the forms may not be retyped.

Returnable forms and documents

• Form A (Bid Form): the offer, the signatory's capacity and the bidder's domicilium address.
• Form B (General Conditions of Contract) and Form C (General Procedures).
• Form D (Bid Specifications) and Annexure A (Evaluation Process and Criteria).
• MBD 1 (Invitation to Bid): bidder and contact details, signed as the cover page.
• MBD 4 (Declaration of Interest): discloses any director, manager or shareholder in the service of the state; incomplete disclosure disqualifies the bid.
• MBD 5 (Declaration for Procurement above R10 million).
• MBD 6.1 (Preferential Procurement Form): claims preference points.
• MBD 7.1 / MBD 7.2 (Contract Form for goods/works or for services): signed by the successful bidder.
• MBD 8 (Declaration of Bidder's Past Supply Chain Management Practices).
• MBD 9 (Certificate of Independent Bid Determination): certifies the price was set independently and without collusion.
• Authority of signatory on a company letterhead, supported by a board or member resolution for companies and close corporations.
• Joint Venture Agreement signed by all parties, where applicable.

Preference point system

• 80/20 system: 80 points for price and 20 points for municipal specific goals.
• 90/10 system applies where the value exceeds the R50 000 000 threshold.
• Bids are adjudicated on price and specific goals under the Preferential Procurement Policy Framework Act and its regulations.

Responsiveness screening (Phase 1)

• Bid received in a sealed envelope marked with the service description and bid number.
• Bid deposited in the correct bid box on or before the closing date and time.
• Valid CSD number.
• All bid forms completed in full and every page initialled.
• Compliance with the bid requirements and the technical specifications.
• Adherence to the pricing instructions.
• Demonstrated financial ability to execute the contract.
• Demonstrated track record on a project of similar scope and size.
• Joint Venture Agreement signed by all parties, where applicable.

Functionality

• Bids are subject to a functionality evaluation; no functionality criteria or minimum qualifying score are stated.

Other

• The Council may accept all, some or none of the bids, in whole or in part, and is not obliged to accept the lowest bid.
• Bids remain valid for 90 days after the closing date.

Scope

• Provision of banking services to Capricorn District Municipality for a period of 5 years.
• The successful bidder must sign a written contract (MBD 7) or the municipality's service level agreement.

Pricing

• Bidders must state a total bid amount based on combined rates on the pricing schedule.

Variation orders

• Where the estimated value of a change does not exceed 15% of the original contract value, the contractor may be instructed to deliver the goods or render the services.
• For measurable quantities, the contractor may be asked to reduce the unit price; such offers may be accepted provided there is no price escalation.

Track record

• Bidders must demonstrate experience with similar work, showing a track record on a project of similar scope and size.

Financial ability

• Bidders must demonstrate the financial ability to execute the contract.

Professional registration

• Only bidders registered with the relevant professional body are considered, for as long as that body requires registration.
• In a joint venture, every company in the venture must be registered with the professional body; the company that meets the requirement is considered.

Responsiveness

• Bid received in a sealed envelope marked with the service description and bid number.
• Bid deposited in the correct bid box on or before the closing date and time.
• Valid CSD number.
• All bid forms completed in full and every page initialled.
• Joint Venture Agreement signed by all parties, where applicable.
• Proof of municipal rates and taxes, tribal authority letter or valid lease for the company and all directors, not older than 3 months.
• Compliance with the bid requirements and technical specifications.
• Adherence to the pricing instructions.

Inspections and testing

• Pre-bid testing is for the bidder's account.
• Where inspection, testing or analysis is a bid condition, the bidder's or contractor's premises must be open at reasonable hours for inspection by the municipality or its representative.
• If the municipality decides during the contract to introduce inspections not originally required, it arranges and pays for them.
• Where goods or services pass inspection, the municipality bears the cost; where they fail, the supplier bears the cost and the goods or services may be rejected.
• Rejected goods are held at the supplier's cost and risk and must be removed and replaced immediately; failing that, the municipality may buy replacements at the supplier's expense.

Pricing format

• Bidders complete the total bid amount based on combined rates, and the total number of items offered, on the pricing schedule.
• The pricing schedule must be signed and dated by the bidder.

Supporting compliance documents

• Tax PIN access code, for both parties in a joint venture.
• CIPC documents, for both parties in a joint venture.
• Certified ID copies of all directors, members and shareholders, not older than 3 months.
• Proof of CSD registration.
• Proof of municipal rates and taxes, tribal authority letter or valid lease for the company and all directors, not older than 3 months.
• Proof of attendance at the compulsory site meeting.
• Authority of signatory on a company letterhead.
• Signed form of offer.
• Document completed in black pen, with alterations signed.
• CIDB grading, only for construction projects.
• Joint Venture Agreement, where applicable.
• All pages initialled.
• All MBD forms completed and signed in full; otherwise the bid is rejected.
• MBD 4 must be completed in full, disclosing all companies related to the bidder and its directors; failure to disclose leads to automatic disqualification.

Pricing

• Total bid amount based on combined rates, entered on the pricing schedule.
• Quoted prices are fixed for the contract period; no variation except adjustments authorised by the municipality or on extension of bid validity.

Payment

• Payment is made in Rand, no later than 30 days after submission of an invoice or claim.
• Invoices must be accompanied by a copy of the delivery note, and other contract obligations must be met.

Performance security

• The successful bidder must furnish a performance security within 30 days of receiving the award notification; the amount is set out in the Special Conditions of Contract.
• The security may be a bank guarantee, an irrevocable letter of credit from an acceptable bank, or a cashier's or certified cheque.
• It is released within 30 days after completion of the supplier's obligations, including warranty obligations.

Variation orders

• Changes of up to 15% of the original contract value may be instructed without a new procurement process.

Bid validity

• Bids remain valid for 90 days after the closing date.

Eligibility and registration

• Valid CSD registration number.
• SARS tax compliance status PIN, or a printed TCS certificate; where no TCS is available, the CSD number must be provided.
• In consortia, joint ventures or subcontracting arrangements, each party submits its own TCS certificate, PIN or CSD number.
• CIPC registration documents.
• Certified ID copies of all directors, members and shareholders, not older than 3 months.
• Proof of payment of municipal rates and taxes, a letter from a tribal authority, or a valid lease agreement for the company and all directors, not older than 3 months.
• Authority of signatory on a company letterhead, supported by a board or member resolution for companies and close corporations.
• Joint Venture Agreement signed by all parties, where applicable.
• CIDB registration in the relevant contractor category applies only to construction work.

Returnable forms

• MBD 4 (Declaration of Interest): discloses any director, manager or shareholder in the service of the state; incomplete disclosure leads to automatic disqualification.
• MBD 5 (Declaration for Procurement above R10 million).
• MBD 6.1 (Preferential Procurement Form): claims preference points.
• MBD 8 (Declaration of Bidder's Past Supply Chain Management Practices).
• MBD 9 (Certificate of Independent Bid Determination): certifies independent pricing and no collusion.
• All MBD forms must be completed and signed in full.

Grounds for rejection

• Any page removed from the bid document.
• Completion in pencil rather than black ink.
• Attempting to influence the evaluation or the award.
• Late submission.
• Unsatisfactory performance on a previous contract with the municipality or any organ of state in the last 5 years, after written notice.
• Any director, manager, principal shareholder or stakeholder in the service of the state.
• Listing on the Register of Bid Defaulters or National Treasury's database of persons prohibited from doing business with the public sector.
• Abuse of the municipality's supply chain management system.
• Municipal rates, taxes or service charges in arrears for more than 3 months.
• Conviction for fraud or corruption in the past 5 years.
• Wilful neglect or failure to comply with a government, municipal or public sector contract in the past 5 years.
• Failure to complete and sign the certificate of independent bid determination, or disclosure of false information.
• Bid document not properly stapled and bound.

Contract period

• 5 years.

Warranty

• Goods must be new, unused and of the most recent model, with no defects in design, materials or workmanship.
• Warranty runs for 12 months after delivery and acceptance, or 18 months after shipment from the source country, whichever ends first.
• Defects must be repaired or replaced at the supplier's cost; if not remedied, the municipality may act at the supplier's risk and expense.

Payment

• Payment in Rand within 30 days of invoice or claim, supported by a delivery note.

Prices

• Prices are fixed for the contract period, except for authorised adjustments or an extension of bid validity.

Variation orders

• Changes of up to 15% of the original contract value may be instructed; unit prices may be reduced without escalation.

Assignment and subcontracting

• The supplier may not assign or cede obligations without the municipality's written consent.
• All subcontracts must be notified in writing; this does not relieve the supplier of liability.

Delays and penalties

• Delays must be reported in writing with the cause and expected duration; the municipality may extend time with or without penalties.
• Penalties are deducted from the contract price for each day of delay, and the municipality may terminate for default.

Termination and restriction

• The municipality may terminate for failure to deliver or perform, or for corrupt or fraudulent practices.
• A restriction penalty may prohibit the supplier from doing business with the public sector for up to 10 years; the supplier has 14 days to give reasons against a proposed restriction.
• Termination for insolvency is without compensation to the supplier.

Other

• Force majeure relieves the supplier of liability for delay, provided the municipality is notified in writing.
• Disputes are first referred to mutual consultation, then mediation, then a South African court.
• The contract is governed by South African law and written in English.
• No contract is concluded with a bidder whose tax matters or municipal rates and service charges are not in order.
• Collusive bidding may be referred to the Competition Commission and may lead to invalidation of the bid, termination and restriction for up to 10 years.

Preference point system

• Bids are adjudicated on price and specific goals.
• 80/20 system: 80 points for price, 20 points for specific goals.
• 90/10 system: applies where the value exceeds the R50 000 000 threshold.
• Where a bid is cancelled, the correct preference point system must be applied to the re-advertised bid.

Functionality

• Bidders must accept that the bid will be adjudicated on functionality as well as price and goals; no functionality criteria or minimum score are stated.