Supply, hosting, maintenance & support of revenue administration system for department of home affairs (DHA) – SITA RFB 1183 transversal contract

Purpose:

• Appoint a service provider for the supply, hosting, maintenance, and support of a Revenue Administration System.
• System must integrate with E-Home and kiosk platforms to enable the Department of Home Affairs to collect, record, and report revenue per Public Finance Standard Operating Procedures.
• Contract is transversal and managed through SITA RFB 1183.

Submission requirements:

• General Conditions of Contract (GCC) are mandatory and non-amendable. Special Conditions of Contract (SCC) may apply and override GCC in case of conflicts.
• Bids must be submitted in English (GCC Clause 29).
• Bidders must not disclose contract documents or information without prior written consent from the purchaser. All documents remain the purchaser's property and must be returned upon request.
• Pre-bidding testing costs are the bidder's responsibility.

Disqualification risks:

• Engagement in corrupt or fraudulent practices (e.g., bid rigging, collusion) may result in bid invalidation, contract termination, or a public sector business restriction for up to 10 years.
• Failure to provide a valid original SARS tax clearance certificate will disqualify the bid. No contract will be awarded to bidders with unresolved tax matters.
• Involvement in restrictive practices (e.g., collusive bidding) under Section 4(1)(b)(iii) of the Competition Act No. 89 of 1998 may lead to bid invalidation, contract termination, or public sector restrictions.

General requirements:

• Must be a legally registered entity capable of entering into a contract.
• Must comply with all South African laws and regulations.
• Must not be listed on the Register for Tender Defaulters or restricted from public sector business.

Technical requirements:

• Demonstrated experience in supplying, hosting, and maintaining revenue administration systems.
• Ability to integrate the system with E-Home, kiosks, and other specified platforms.
• Capacity to provide training, support, and incidental services as required.

Financial requirements:

• Must provide a valid SARS tax clearance certificate.
• Must furnish performance security (e.g., bank guarantee, irrevocable letter of credit, or cashier’s/certified cheque) as specified in SCC within 30 days of contract award.
• Financial stability to handle penalties, inspections, and potential termination costs.

Legal requirements:

• No history of corrupt or fraudulent practices (GCC Clause 23.1(c)).
• No involvement in collusive bidding or restrictive practices (GCC Clause 34).
• Willingness to adhere to GCC, SCC, and all contract terms.

Scope and deliverables:

• Supply, hosting, maintenance, and support of a Revenue Administration System for the Department of Home Affairs.
• System must integrate with E-Home and kiosk platforms to enable revenue collection, recording, and reporting per Public Finance Standard Operating Procedures.
• Contract is transversal and managed through SITA RFB 1183.

Standards and compliance:

• Goods and services must conform to standards specified in the bidding documents and SCC.
• Goods must be new, unused, and incorporate recent design/material improvements unless otherwise specified.
• Packing must prevent damage during transit, including protection against rough handling, extreme temperatures, and precipitation.

Inspections and warranty:

• Premises must be open for inspection by the purchaser at reasonable hours if required.
• Pre-bidding testing costs are the bidder’s responsibility. If inspections reveal non-compliance, the supplier bears the cost and must replace or repair defective goods at their own expense.
• Non-compliant supplies may be rejected. Supplier must remove and substitute them immediately at their own cost and risk.
• Warranty period: 12 months post-delivery or 18 months post-shipment, whichever is earlier. Supplier must repair or replace defective goods within this period.

Incidental services (if specified in SCC):

• On-site assembly/commissioning, tools for maintenance, operations/maintenance manuals, training, and spare parts support.

Standards and inspections:

• Goods and services must conform to the standards specified in the bidding documents and SCC.
• Premises must be open for inspection by the purchaser or its representatives at reasonable hours if required by the bid conditions.
• Pre-bidding testing costs are the bidder’s responsibility.
• If inspections reveal non-compliance, the supplier bears the cost of inspections and must replace or repair defective goods at their own expense.
• The purchaser may reject non-compliant supplies. Supplier must remove and substitute them immediately at their own cost and risk.

Payment and pricing:

• Payment terms, methods, and conditions are specified in SCC.
• Payments will be made in Rand within 30 days of invoice submission, unless otherwise stipulated in SCC.
• Prices must match the bid quote unless adjusted per SCC or bid validity extension requests.
• Performance security (amount specified in SCC) must be provided within 30 days of contract award. Acceptable forms: bank guarantee, irrevocable letter of credit, or cashier’s/certified cheque.
• Performance security will be discharged within 30 days of contract completion, including warranty obligations.

Penalties and liabilities:

• Late delivery or non-performance may result in penalties calculated using the current prime interest rate for each day of delay.
• Supplier liability is limited to the contract price, except for repairing/replacing defective equipment or cases of criminal negligence/willful misconduct.
• Supplier must indemnify the purchaser against third-party claims for patent, trademark, or industrial design infringement.
• Insurance: Goods must be fully insured against loss/damage during manufacture, transport, storage, and delivery as specified in SCC.

Mandatory compliance:

• Valid original SARS tax clearance certificate required prior to bid award. No contract will be concluded with bidders whose tax matters are not in order.
• Local suppliers are responsible for all taxes, duties, and levies until delivery.
• Foreign suppliers are responsible for all taxes, duties, and levies imposed outside South Africa.
• Compliance with the National Industrial Participation Programme (NIPP) is mandatory if applicable to the contract.

Contractual obligations:

• Supplier must notify the purchaser of any subcontracts awarded in writing. Subcontracts do not relieve the supplier of liability.
• Supplier may not assign contract obligations without prior written consent from the purchaser.
• Contract amendments require written agreement by all parties.
• Contracts are governed by South African law and must be written in English.

Prohibited practices:

• Corrupt or fraudulent practices (e.g., bid rigging, collusion) are prohibited and may result in bid invalidation, contract termination, or public sector restrictions for up to 10 years.
• Restrictive practices (e.g., collusive bidding) under the Competition Act No. 89 of 1998 are prohibited. Evidence of such practices may lead to investigation by the Competition Commission, bid invalidation, contract termination, or public sector restrictions.

Termination and disputes:

• Purchaser may terminate the contract for default if the supplier fails to deliver goods/services on time, breaches obligations, or engages in corrupt/fraudulent practices.
• Termination may include restrictions on doing business with the public sector for up to 10 years. Suppliers have 14 days to contest such restrictions.
• Purchaser may terminate the contract if the supplier becomes bankrupt or insolvent, without compensation to the supplier.
• Disputes must first be resolved through mutual consultation, then mediation, and finally in a South African court if unresolved.
• Force majeure events (e.g., wars, floods, epidemics) may exempt the supplier from penalties or termination, but the supplier must notify the purchaser in writing and continue performance as far as practical.

National Industrial Participation Programme (NIPP):

• The NIPP, administered by the Department of Trade and Industry, applies to all contracts subject to NIP obligations.
• Compliance with NIPP requirements is mandatory where applicable.

Contract duration and performance:

• Delivery and performance must adhere to the time schedule prescribed in the contract.
• Delays must be reported in writing immediately, including cause and likely duration. Purchaser may grant extensions with or without penalties.
• Force majeure events (e.g., wars, floods, epidemics) may exempt the supplier from penalties or termination. Supplier must notify purchaser in writing and continue performance as far as practical.

Termination and penalties:

• Purchaser may terminate the contract for default if supplier fails to deliver goods/services on time, breaches obligations, or engages in corrupt/fraudulent practices.
• Termination may include restrictions on doing business with the public sector for up to 10 years. Suppliers have 14 days to contest such restrictions.
• Penalties for late delivery are calculated using the current prime interest rate per day of delay.
• Purchaser may procure substitute goods/services at the supplier’s expense if delays occur.

Insolvency and disputes:

• Purchaser may terminate the contract if the supplier becomes bankrupt or insolvent, without compensation to the supplier.
• Disputes must first be resolved through mutual consultation, then mediation, and finally in a South African court if unresolved.
• Contracts are governed by South African law and must be written in English.

Amendments and assignments:

• Contract terms may only be amended via written agreement signed by all parties.
• Suppliers may not assign obligations without prior written consent from the purchaser.
• Subcontracts must be notified to the purchaser in writing but do not relieve the supplier of liability.

Insurance and liability:

• Goods must be fully insured against loss/damage during manufacture, transport, storage, and delivery as specified in SCC.
• Supplier liability is limited to the contract price, excluding cases of criminal negligence, willful misconduct, or patent infringement claims.

Special Conditions of Contract (SCC):

• SCC will supplement the General Conditions of Contract (GCC) and prevail in case of conflicts.
• SCC must be compiled separately for each bid if applicable.

Prohibition of restrictive practices:

• Collusive bidding or bid rigging is prohibited under Section 4(1)(b)(iii) of the Competition Act No. 89 of 1998.
• If evidence of restrictive practices is found, the purchaser may refer the matter to the Competition Commission for investigation and penalties.
• Guilty parties may face bid invalidation, contract termination, public sector restrictions (up to 10 years), or damage claims.