Issue Date: 
Tuesday, November 1, 2016

When Must I Sub-Contract?

There seems to be a lot of confusion amongst entrepreneurs when it comes to tenders and sub-contracting. The Draft Preferential Procurement Regulations, have been gazetted and are currently up for review. However, these Regulations are the major cause for the confusion. Many entrepreneurs ask whether they should sub-contract or not whilst responding to a tender.

The Draft Preferential Procurement Regulations stipulates the following: 

  1. For contracts above R30 million, the tenderer MUST sub-contract a minimum of 30% of the value of the contract to –
    • One or more of the categories:
      • EME’s (Exempt Micro Enterprises) or QSE’s (Qualifying Small Enterprises) owned by black people who are female;
      • EME’s or QSE’s owned by black people from the ages 14 to 35;
      • EME’s or QSE’s owned by black people;
      • EME’s or QSE’s owned by black people with disabilities)
    • One or more Exempt Micro Enterprises (EME’s) or Qualifying Small Enterprises (QSE’s); or
    • One or more small businesses, as defined in the National Small Business Act.
  2. If a successful tenderer sub-contracts to another person without disclosing it in its tender documents, the organ of state must penalise the tenderer 10% of the value of the contract, unless the tenderer submits a satisfactory reason for failing to make the disclosure.

The Regulations are very clear because its states “the tenderer MUST sub-contract…..”. Thus, once the Regulations are finally gazetted then all contracts with a value of R30 million and above will have to comply with this Regulation. Remember that currently (as of 31 Oct. 16) the Regulations are not finalized yet.

Until such time that the Regulations are finalized the answer is easy whether or not to sub-contract – look at the scope of the tender or the special conditions. Somewhere in the tender document it will stipulated whether or not the tenderer will have to sub-contract.  Follow those rules. If the tender document doesn’t contain any sub-contracting instructions (at this stage) then it is not necessary to do so.

The fact is that the tender document will dictate what you should or should not do. Read the tender document carefully and follow the instructions to the point.

To learn more about this and all the other new developments regarding tenders, attend one of the How-to-Tender workshops.

Learn to earn

www.how2tender.com

Title Closing Date Tender No.
Supply: 10/0 nylon 3/8 circle needle 6.4200 micron black monofilament non absorbable double arm premium spatula 30cm 2017-10-03 11:00 ZNQ No.2377/ 08/ 17
Arceole sf 6 hexafluorvre desoufre 30mls set for infusion & ophthalmic gas ref. SF6 2017-10-03 11:00 ZNQ No.2375/ 08/ 17
Chin tuck against resistance (CTAR) ball - inflatable rubber ball, 12cm diameter 2017-10-03 11:00 ZNQ No.2344/ 08/ 17
Suture 8/0 vicryl violet braided suture 3/8 circle spatula double needle 2017-10-03 11:00 ZNQ No.2374/ 08/ 17
Irrigation / aspiration cannulae(simcoe) 60mm /60mm (23ga) 0.3mm aspiration port 2017-10-03 11:00 ZNQ No.2376/ 08/ 17
Cystofix supra pubic catheter size 5fr 2017-10-03 11:00 ZNQ No.2372/ 08/ 17
A Nipple protector / shield made from odourless ultra fine silicone 2017-10-03 11:00 ZNQ No.2343/ 08/ 17
Syringe irrigation urethral 4oz bulb syringe sterile 60ml. 2017-10-03 11:00 ZNQ No.1993/ 07/ 17
Fetoscopes plastic (as per spec) 2017-10-03 11:00 ZNQ No.1961/ 07/ 17
Clear adhesive dressing sterile 55cm x 45cm. 2017-10-03 11:00 ZNQ No.1717/ 07/ 17
Baby bottle 0-3 months 160ml peristaltic nipple to encourange natural tongue movement and imitate natural sucking, wide based nipple to help baby open mouth widely , nipple must be be from ultra- soft silicone with double thickness- allows softness and elasticity matt surface nipple reduces stickiness and stops baby’s mouth slipping, nipple hole must be small, bottle must be BPA free and made of polypropylene 2017-10-03 11:00 ZNQ No.2107/ 07/ 17
Nicu premature pacifier (34-3 months) no flavour, it must provide a superb fit for new babies and babies over 34weeks gestation during their hospital stay, it must be designed to accommodate cpap tubing, mechanical ventilation or tube feeding the pacifier must not manufactured with BPA, DEHP or natural rubber latex , it must be able to be sterilized BPA free made of medical grade silicone and made as one piece construction 2017-10-03 11:00 ZNQ No.2108/ 07/ 17
sterilisation wrap 137cm x 137cm dual colour sterilization wrap, disposable non- woven polypropylene, altex free does not contain deph, two sheets C6 34. 78g/m2 thermally sealed on two opposite edges melting point of 150degree antistatic properties. Microbial barrier 2017-10-03 11:00 ZNQ No.2170/ 08/ 17
PTA dilatation balloon 8mm x 4cm, & 10mmx4cm 80-140cm delivery length 2017-10-03 11:00 ZNQ No.2151/ 08/ 17
Supply: Nicu premature pacifier(30-34 weeks) no flavour, it must provide a superb fit for growing preemies 30-34weeks gestation or smaller term babies during their hospital stay, it must be designed to accommodate cpap tubing, mechanical ventilation or tube feeding the pacifier must not manufactured with BPA, DEHP or natural rubber latex , it must be able to be sterilized BPA free made of medical grade silicone and made as one piece construction 2017-10-03 11:00 ZNQ No.2109/ 07/ 17
Supply: Pulmocath mucus extractor with funnel shaped adaptor at the proximal round of the end of the suction tube for simple and secure connection 2017-10-03 11:00 ZNQ No.2101/ 08/ 17
Supply: XL 1000 chest drainage kit not under water, no suction control 2017-10-03 11:00 ZNQ No.2008/ 07/ 17
Endo tracheal tube size 3cm soft and pliable blue ivory non cuffed latex free 2017-10-03 11:00 ZNQ No.2100/ 08/ 17
Norco rainbow- therapeutic putty, medium ref 454g 2017-10-03 11:00 ZNQ No.2027/ 07/ 17
Mobiderm pad, cubes 15mmx15mm for mobilization of subcutaneous tissue 2017-10-03 11:00 ZNQ No.2028/ 07/ 17

Pages

Functionality and Tenders

In all competitive bids (tenders) you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids (tenders) as follows:

  • The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points... Read More
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