Prince albert municipality tender: 80/20 preference point system, mandatory b-bbee and tax compliance, minimum functionality score required

Prince Albert Municipality invites proposals for the disposal and development of municipal immovable property: Erven Portion RE16/55, RE38/55 and RE42/55, Leeu-Gamka. Tender number RFP 02-26/27, notice number 117/2026. Closing date 23 October 2026 at 13h30. The successful bidder will be required to develop the property in accordance with the tender specifications and will enter into a Service Level Agreement with the municipality.

Closing date: 23 October 2026 at 13h30

Tender documents available from: 29 September 2026 at 12h00

Bid validity period: 120 days after closing date

No compulsory clarification meeting will be held.

Bidding procedures and tender documents

• Contact: Ms. Christa Wildskut
• Email: [email protected]
• Telephone: 023 541 1668

Technical / specification enquiries

• Contact: Ms. Gwynnefer Harding
• Email: [email protected]
• Telephone: 023 541 1036

Tender documents (hard copies) and submission address:

Finance Division

Thusong Centre

Adderley Street

Prince Albert, 6930

Submission method: sealed envelope, clearly marked with the tender number (RFP 02-26/27) and description. Deposit in the tender box at the Finance Division, Thusong Centre, Adderley Street, Prince Albert, 6930. Tender box hours: Monday–Thursday 07h30–16h00; Friday 07h30–15h30. Late, unmarked, telegraphic, telephonic, telex, facsimile, or emailed bids will not be considered. Bids must be submitted on official forms (not retyped) or online.

Returnable documents (all must be completed and signed where applicable):

• MBD 1 (Invitation to Bid) – bidder details, declarations, sign-off.
• Authority to Sign a Bid – with certified copy of resolution for companies/CCs, or partnership/consortium authorisation.
• MBD 2 (Tax Clearance) – valid TCS Pin or CSD registration number.
• MBD 3.1 (Pricing Schedule) – priced schedule.
• MBD 4 (Declaration of Interest) – disclose any state employment or connections.
• MBD 5 (Declaration for Procurement above R 10 million) – if applicable.
• MBD 6.1 (Preference Points Claim) – for 80/20 points, with valid B-BBEE certificate or affidavit.
• MBD 7.1 / 7.2 / 7.3 (Contract forms) – as applicable.
• MBD 8 (Declaration of Past Supply Chain Practices).
• MBD 9 (Certificate of Independent Bid Determination) – no collusion.
• MBD 15 (Certificate for Payment of Municipal Services) – identity numbers, certified copies, residential addresses, and municipal accounts of all members/partners/directors.
• Central Supplier Database (CSD) Report – attached.
• Joint Venture Agreement (if applicable) – showing percentage contribution of each partner.
• Valid and original or certified copy of B-BBEE certificate (or sworn affidavit for EMEs/QSEs).
• Tax Compliance Status (TCS) Pin or CSD number.
• Completed and signed functionality/quality scoring form with supporting documents.

Bids must remain valid for 120 days after closing date.

Documents are available free from www.pamun.gov.za; hard copies at R150.00 (VAT incl.) from the municipality.

Evaluation under the 80/20 preference points system:

• Price: 80 points
• B-BBEE status level of contribution: 10 points
• Locality (municipal area / province where business is located): 10 points
• Total: 100 points

Functionality/quality scoring applies. Bidders must achieve the minimum functionality/quality score indicated in the tender document to be regarded as responsive; failing this, the bid is non-responsive and will not be evaluated on price or preference points.

Bids will be evaluated in terms of the Preferential Procurement Regulations, 2022, the Municipal Supply Chain Management Policy, and the Preferential Procurement Policy. The municipality does not bind itself to accept the lowest bid or the highest-scoring bidder.

The tender is for the disposal and development of municipal immovable property: Erven Portion RE16/55, RE38/55 and RE42/55, Leeu-Gamka.

Development and disposal of the specified erven is required. Bidders must submit a development proposal for the property. The successful bidder will enter into a Service Level Agreement (SLA) with Prince Albert Municipality.

Property disposal is subject to the General Conditions of Contract and special conditions of contract, which prevail over general conditions where they conflict. The municipality reserves the right to withdraw the invitation, re-advertise, reject any bid, or accept part of a bid.

Bidders must submit a development proposal for the disposal and development of the erven. The bid must include a functionality/quality scoring schedule with supporting schedules and proof of experience. The municipality may instruct variation orders not exceeding 15% of the total contract value; suppliers may be asked to reduce unit prices with no escalation.

Goods supplied must conform to standards specified in the bidding documents. Pre-bid testing is for the bidder's account. The municipality may inspect, test or analyse goods/services at any stage; if found non-compliant, may reject them, and the supplier must bear costs of removal and substitution. The supplier may be required to provide documentation/projects developed for the municipality. If the supplier fails to remedy defects, the municipality may procure substitute goods at the supplier's risk and expense.

Pricing must be submitted on MBD 3.1 (Pricing Schedule). Prices must be in South African Rand, inclusive of VAT. Total bid price must be entered. Prices charged shall not vary from those quoted, except for authorised price adjustments. Foreign suppliers are responsible for all taxes, duties, license fees outside the purchaser's country; local suppliers for all until delivery. No contract with any bidder whose tax matters are not in order, and no contract if municipal rates and taxes/services charges are in arrears.

Pricing: bids must be priced in South African Rand, inclusive of VAT. Total bid price to be entered on the pricing schedule (MBD 3.1).

Payment: The municipality will pay no later than 30 days after submission of a valid invoice. Payment in Rand.

Performance security: Within 30 days of contract award notification, the successful bidder must furnish performance security (bank guarantee, irrevocable letter of credit, or cashier's/certified cheque) in the amount specified in the Special Conditions of Contract. The security is discharged and returned within 30 days after completion of performance obligations.

Penalties: Delay in delivery or performance may result in penalty deductions calculated at the current prime interest rate per day of delay.

No contract will be concluded with a bidder whose tax matters are not in order (SARS certification required) or whose municipal rates and taxes / municipal services charges are in arrears.

Pre-bidding testing and inspections are for the account of the bidder; if goods/services fail to comply, cost of inspections is borne by the supplier.

Central Supplier Database (CSD) registration is required. Bidders must submit a CSD report or CSD number.

Tax compliance: valid Tax Compliance Status (TCS) Pin or CSD registration number must be submitted; failure to do so may invalidate the bid. SARS must certify tax matters in order before award.

B-BBEE: valid original or certified copy of B-BBEE certificate (or sworn affidavit for eligible EMEs) must be submitted; failure to comply results in no preference points.

Municipal accounts: MBD 15 – Certificate for Payment of Municipal Services must be completed with identity numbers, certified copies, residential addresses and municipal accounts of all members, partners, directors; a current municipal account or lease agreement must be attached. Bidders with municipal rates/services arrears will not be awarded the contract.

State employees: No bids will be considered from persons in the service of the state.

Foreign suppliers must complete the pre-award questionnaire in Part B:3 and comply with tax requirements.

Joint ventures: If applicable, a Joint Venture Agreement showing percentage contribution must be appended.

Authority to sign: Certified copy of resolution/authority for companies/CCs, partnerships, or consortia must be submitted.

Contract award is subject to the General Conditions of Contract (GCC) and, where applicable, Special Conditions of Contract prevail. The successful bidder must enter into a Service Level Agreement (SLA).

Rights of the municipality: May terminate the contract in whole or in part for default, insolvency, or corrupt/fraudulent practices; may purchase substitute goods and claim excess costs from the supplier; may impose a restriction on doing business with the public sector for up to 10 years (with 14 days to respond).

Supplier obligations: Warranty of goods for 12 months after delivery or 18 months after shipment, whichever ends earlier. Must indemnify the municipality against third-party patent/trademark claims. Must not assign or subcontract without written consent. Must notify in writing of any subcontracts. Must permit inspection/audit of records. Must maintain confidentiality of contract documents.

Penalties: For late delivery, penalty equal to current prime interest rate on the delayed portion per day; may also terminate.

Payments: Within 30 days of invoice. Prices fixed, no escalation except as authorised in writing. Variation orders up to 15% of contract value may be instructed.

Disputes: Amicable resolution first; then mediation; then South African courts.

Tax and municipal arrears: No contract with bidders whose SARS tax matters are not in order or whose municipal rates/services charges are in arrears.

Special conditions of contract are laid down to cover specific requirements. Where such special conditions conflict with general conditions, the special conditions prevail. A Service Level Agreement (SLA) will be entered into between the successful bidder and Prince Albert Municipality.

General requirements: Bidders must be registered on the Central Supplier Database (CSD). Must submit a Tax Compliance Status (TCS) Pin or CSD number. Must submit a valid B-BBEE certificate or sworn affidavit. Must be authorised to sign the bid (certified resolution for companies/CCs). Joint ventures must provide a Joint Venture Agreement showing percentage contribution. Bids must be valid for 120 days. Bids must be submitted in sealed envelopes marked with tender number and description, in non-erasable ink. All prices in Rand, inclusive of VAT. Bidders must complete the checklist confirming all required forms are attached.

Bids are evaluated using the 80/20 preference points system: Price 80 points, B-BBEE status level 10 points, Locality 10 points. Functionality/quality scoring applies – bidders must achieve the minimum functionality/quality score indicated in the document to be considered responsive; otherwise the bid is non-responsive and not evaluated on price and preference. The municipality does not bind itself to accept the lowest bid or highest-scoring bidder.