Request for Expression of Interest of Initial, Intermediate and Final Technical Review Support Missions/ Technical Audit for the Project of Gujarat Rural Roads Funding source: Sector: Asian Infrastructure Investment Bank (AIIB) Investment Operation Project Name: Initial, Intermediate and Final Technical Review Support Missions/ Technical Audit for the Project of Gujarat Rural Roads Project No. AIIB CP - 00031 Deadline: February 27, 2018 Date: February 7, 2018 The Asian Infrastructure Investment Bank (AIIB) now invites Expression of Interest (EOI) from qualified consulting firms, to provide Initial, Intermediate and Final Technical Review Support Missions/ Technical Audit for the Project of Gujarat Rural Roads. A shortlist will be prepared following the pre-defined selection criteria for participating in the selection process. The selection will follow AIIB s draft Corporate Procurement Policy, relevant rules and procedures. The letter of expression of interest (EOI) should provide information of the company s technical qualifications and experience in the Annex B. Consulting firms should submit all related documents as required under Annex A and B to the following Client s Email address in PDF format, before 24:00 PM, February 27, 2018 (Beijing time). Contact Information: Corporate Procurement Division E-mail Address: procurement@aiib.org Facilities and Administration Services Department Asian Infrastructure Investment Bank B-9 Financial Street, Xicheng District 100033 BEIJING, CHINA Annex A - Terms of Reference Annex B - EOI Form
Republic of India Gujarat Rural Roads (MMGSY) 1 Project Terms of Reference for Initial, Intermediate and Final Technical Review Support Missions/ Technical Audit of the Project. The Government of Gujarat launched the MMGSY project in 2016 to provide all weather connectivity to the villages with population of less than 500. The MMGSY project is being implemented in phases with the Asian Infrastructure Investment Bank (AIIB or the Bank) financing Phase 1 of the project. A. Global objective for the Initial, Intermediate and Final Technical Review Support missions/ Technical Audits of Gujarat Rural Roads (MMGSY) Project, Phase I implementation The global objective of the Initial, Intermediate and Final Technical Review Support / Technical Audit ( TA) is to provide the Factual Summary Report regarding the technical aspects of the Project, together with the results achieved during the implementation of the Project components and to provide to the Contracting Authority, their Supervisors and to the Asian Infrastructure Investment Bank, the recommendations to remedy errors that could have occurred or which could lead to improvements in implementation of the Project. The MMGSY project Phase I implementation has effectively started in April 2016 and as of Dec 2017, out of total sanctioned approximately 4,800 contracts works (about 1,400 contract packages), around 1,000 works have been completed with the remaining in progress. The completed is expected in June 2019. Government of Gujarat s Roads and Buildings Department (R&BD) is the Implementing Agency of the project. The TA will assess whether the implementation of the project is in conformity with the applicable regulations, conditions and specifications, in particular with regard to the technical aspects. B. Specific objectives i) The expected result of the Initial, Intermediate and Final Technical Review Support / Technical Audit (TA) is a presentation of the Factual Summary Report with regard to the following technical aspects of the implementation: 1. The steady execution of the works carried out under the projects, together with the associated supervision, 2. The sound organization of the works, 3. The quality of the works carried out, in conformity with the contract(s) Technical Specifications and in accordance with the best practice in the sector, 4. The project expenditures are justified and were foreseen in the project budget, 1 MMGSY stands for Mukhya Mantri Gram Sadak Yojana which translates in English to Chief Minister s Rural Roads Programme. 1
5. The sound management of the project, to ensure that each party duly meets its contractual obligations and to mitigate the risk of claims, litigation and/or disputes. 6. The project is implemented within budget allocation and completed within the contractual period of performance, ii) The TA shall report any anomaly, error or risk that could affect these objectives and make the appropriate recommendations to prevent or remedy them. iii) All experts working under the present contract must be independent and free from conflicts of interest in the responsibilities attributed to them. C. Scope of Services The TA will examine and assess the following additional aspects of the implementation: 1. The conformity and quality of the contractual documents (works and supervision contracts). Checks shall focus in particular on: i) The consistency of the contractual documents; - ii) The existence and the compliance with the relevant procedures of contractual documents, such as: Administrative Orders, Addenda, Variation Orders, etc. iii) The works or services have been executed in accordance with the contractual requirements (Administrative Orders, Addenda, Variation Orders, etc.). 2. Carry out site visits, during which the TA will in particular examine: i) The resources deployed on site(s) by the contractor(s) and the supervising consultant (human resources, equipment s, means of control, etc.). In particular, the Auditor will perform sample checks in order to verify that the equipment used by the contractor(s) is adequate and in relation to the approved program(s) and scope of work(s); ii) The physical progress of the works to be compared with the contractual program(s) of works, in order to uncover possible delays. In particular, the auditor will pay attention to the daily/weekly/monthly construction progress records in order to identify potential problems resulting in slow progress; iii) The reality and the quality of the setting out of work(s) and its adherence to the drawings; the consistency between the approved drawings, the works actually carried out and the quantities accounted in the interim payment certificates; iv) The quality of the works in conformity with the contract(s) technical specifications; v) The compliance with the contractual requirements as regards implementation of the followings in accordance with the contract(s) 2
requirements: environmental protection plan; safety plan; quality control (including the checking of internal audit plans, where they exist); HIV/AIDS or other awareness campaigns; vi) The Project(s) management documents such as: work register, including the list of equipment used daily, relevant measurements books, calculation and as-built drawings approved by the supervision team, minutes of site meetings, works planning, the topographical, geotechnical and every other intermediary tasks acceptance reports, progress reports of the supervising consultant, any other contractual documents and administrative orders, site correspondence and all correspondences between the contractor(s), the supervising consultant(s) and the administration; vii) The site management aspects such as: the quality and efficiency of the topographical and geotechnical teams deliveries, the laboratory testing and also the adequacy and availability of equipment, etc., In particular, the Auditor should inspect the laboratory equipment for calibration and check test procedures methodology for compliance with the project specifications; viii) Remaining works to be executed and financial forecast of the project; ix) Whether there are any pre-dispute situations which are likely to result in a claim from the contractor or a site shutdown (the auditor is not, however, a substitute for the claim experts of the supervising consultant(s)). 2.1 The checks and verifications to be performed by the TA will be carried out using appropriate methods and techniques including but not necessarily limited to: site surveys, measurements, photos and calculations to verify quantities on the basis of statements and documents produced by the contractor(s) and the supervising consultant(s). 2.2 The TA may recommend further in-depth measures if deemed necessary. The TA shall have free access to the Supervising Consultant s laboratory where, upon approval of the Contracting Authority, he may ask the Supervising Consultant to carry out additional geotechnical tests. The Contractor(s) shall be informed and associated to the process. 2.3 The R&BD, through its Project Management Consultant, has developed a project monitoring software. The TA will review the software, verify its up to date status and collect inputs from the software to help with the TA review. 3. The TA will examine and assess, through appropriate audit methods and techniques, the correctness of the statements, and payment certificates (including requests for advance payments) issued by the works contractor(s), approved by the Supervisor s Representative(s), the Supervisor and the Contracting Authority. Checks shall focus in particular on: i) The measurements performed in accordance with the works contract(s) Special and General Conditions. In particular the auditor will examine whether the works carried out and all materials used on site are measured jointly by the supervising consultant(s) and the contractor(s) using mutually agreed methods and frequencies; 3
ii) The consistency of the quantities approved by the supervising consultant(s) in the interim payment certificates with the approved drawings and the quantities actually measured on site, with particular attention given to earthworks operations, the thicknesses and surfaces of the different layers of road and to the contractor(s) material on site; iii) The works carried out under day work checked by the supervising team(s) in daily record; iv) The quality of the works in the various supervision s reports and the actual situation on site complies with the contract technical specifications, v) The application of the price revision formula in accordance with the Contract Special Conditions, vi) The built-up of the new unit prices approved during implementation of the works, on the basis of a detailed price breakdown. vii) The application of financial penalties in accordance with the contract special and General Conditions. 4. The TA will examine and assess, through appropriate audit methods and techniques, whether works supervision is carried out in accordance with the terms of reference of the supervision contract(s) and following standard works supervision procedures. Checks shall focus in particular on: i) The consultant(s) s Management Information System put in place provides an appropriate basis to inform all parties concerned in a transparent and concise way about the progress of works, the financial situation of the project and about possible difficulties encountered; ii) Any defects to the works are properly documented by the consultant (site record, administrative order, etc. and appropriate measures are taken in order to remedy them; iii) The contractual delays (to reply to the contractor s queries or asses a claim, to perform joint measurement upon the contractor s request, to issue the interim payment certificates, etc. ) are respected; iv) The claims submitted by the contractor(s) during the course of the works are evaluated by the supervising consultant(s) in a timely manner and appropriate advice is given to the Supervisor on their validity. 5. The TA will examine and asses, through appropriate audit methods and techniques, the correctness of the invoices (including the requests for advance payments) issued by the consultant(s) responsible for supervision of the works by virtue of its own contract and approved by the Supervisor and the Contracting Authority. Checks shall focus in particular on: i) Verifying that the Supervising Consultant(s) services are/were actually performed; 4
ii) The quantities claimed within the supervising consultant(s) s invoice are consistent with the quantities actually deployed on site(s), in particular with respect to the number of man-hours or man-month worked and the number of monthly fixed-price services (vehicles, office equipment, etc.); iii) The actual situation on site(s) (consultant s organization, offices, laboratory, etc.) is compliant with the contract requirements and the consultant s tender offer; iv) The application of the price revision formula, if applicable, is in accordance with the contract Special Conditions; v) The application of financial penalties, if applicable, is in accordance with the contract(s) Special and General Conditions. 5.1 The TA is expected to propose, at all stages of his assignment, corrective measures that could affect positively the quality of the works and to inform as soon as possible the Contracting Authority and the Bank of any anomalies detected. All above tasks also includes documents which, at the time of the TA, have been issued by the Employer, The Engineer and The Contractor and are in the process of being approved/endorsed. D. Required Inputs The MMSGY Phase I Project 1. The Technical Review Support /Technical Audit (TA) will be carried out in several Intermediate Audit missions and a single Final TA mission during the implementation of the project and during the maintenance/defect liability period when works have been completed. 2. The recommendations of the TA Report issued from these missions will be made to ensure the Bank and the R&BD that the quantities and qualities actually provided are consistent with those contractually due and provisionally paid for. It is expected that around 40 contract packages will be reviewed in total covering at least 1 package per district. 3. While the number of missions to be conducted, the number of contract packages to be reviewed and the methodology adopted towards the whole exercise will be proposed by the shortlisted firms, the Bank expects the successful firm to provide the reports at three stages: i) Inception report (after commencement of the services) ii) Intermediate factual summary report and, iii) Final factual summary report (towards the end of project completion) 4. Each of the mission visit/s will be coordinated ahead of the time of the visit to Gujarat State between the Bank, R&BD and the TA Firm. 5
5. For each mission, the TA Firm will provide a Team to include at minimum: i) Senior Audit Expert ( Team Leader-TL) ii) Audit Expert ( Deputy Team Leader-DTL) iii) Various supervision/audit experts in the field of geotechnical/materials, financial, quantity surveying/procurement, environmental/social and contract management areas of expertise. 6. Total number of work days per TA mission depend on consultants technical and financial proposals ensuring full, timely and orderly accomplishments of the tasks described below. E. Required Qualifications 1. Number of requested experts and number of person/work days per expert depends will be proposed by the shortlisted firms. However, it s expected to the minimum the following specialists will be required: For the completion of the services requested, each of the missions will be composed of: Senior Audit Expert, (TL)), Expert, (DTL) and Senior Supervision/Audit Experts. 2. Required minimum qualifications of the members of the Supervision/Audit Team: Senior Audit Expert (TL) shall be a qualified, university graduate, senior Road Engineer with minimum 15 years of general experience in Highways and Transportation Engineering after graduation. Out of these, a specific experience of minimum 7 years in the management and supervision of similar works projects, including at least two (2) years in developing countries. Minimum 3 years involvement in Technical Audits of road project is also required. Excellent knowledge of written and spoken English is necessary. He/she must have an excellent knowledge of technical audit methods enabling him/her to work in the field of road technology as well as of construction, geo-technology and topography and site laboratory. Audit Expert (DTL) shall be a qualified, university graduate, Road Engineer with minimum 12 years of general experience in Highways and Transportation Engineering after graduation. Out of these, a specific experience of minimum 5 years in the management and supervision of similar works projects, including at least two (2) years in developing countries. Minimum 1 year involvement in Technical Audits of road project is also required. 6
Excellent knowledge of written and spoken English is necessary. He/she must have an excellent knowledge of technical audit methods enabling him/her to work in the field of road technology as well as of construction. Various Senior Audit Experts. The TA Firm shall also provide details of the additional senior experts who will fulfil the following functions: Geotechnical engineering/materials engineering, Quantity surveying and procurement, Financial management, and Environment and Social Science, and Management of Road Contracts and Roles of Employer, Engineer, etc. embedded in FIDIC based Management Contracts. The composition of the team of experts should be balanced to allow for complete coverage of the different aspects of the TA objectives as set out in these Terms of Reference, including cross-cutting issues (environmental sustainability, gender equity, good governance and HIV-AIDS). Each Senior Audit Expert will be university graduated with minimum 10 years of experience in similar work and proven record of successfully implemented tasks. Excellent knowledge of written and spoken English is necessary. Any experience in working on similar projects in India will be advantageous. F. Deliverables and Mode of Payment: 1. Inception (Brief) Report. This report will be issued 5 working days after commencement of the Services and will include, but not be limited to: i) Organization of the Audit Team and it member s detailed scope of work specific to the particular Mission with a specific number of contracts to be reviewed, location, nature and scope of works for each ii) Detailed time table for implementation of the specific Mission, iii) Expected deliverables for the specific Mission. iv) Methodology for analyzing the findings and their patterns. 2. Draft Factual Summary (Initial, Intermediate and Final) TA Report. This Report will be issued 8 days following the return of the TA and DTA to their home office and will include, but be not limited to: i) Description of all Tasks indicated in the Clauses B and C of this Terms of Reference. ii) Findings related to all Tasks indicated in these Terms of Reference, iii) Analysis of the results and their patterns indicating the required objectives of the Project, its management and operation, and iv) Recommendations and next steps required in achieving the full Objectives of the Project, related to technical, financial and management s aspects. 7
3. Final Factual Summary (Initial, Intermediate and Final) TA Report. This Report will be submitted 7 days after receiving comments from the Bank and the R&BD on the Draft Intermediate Report. The Report will include all information provided in both previous Reports, including the comments and their incorporation in the Final Report. 8
Annex B: EOI Form [Expressions of interest are subject to a 10-page limit, including any attachments.] Expression of Interest (EOI) by Consulting Firm Date: [dd/mm/yyyy] Dear Mr./Ms. [copy the AIIB s representative s name, designation and department as indicated in the EOI], We have read carefully your Invitation for Expression of Interest for the captioned assignment/project and find the Terms of References (TOR) match our firm s capacity for providing the services required in the TOR. We would like to express our interest for being considered for the Shortlist. We understand that AIIB does not have an obligation that we must be shortlisted. Our firm s profile and information relevant to this EOI are provided below: I. Consulting Firm Profile Firm s Name Country of Incorporation: Firm s Address: (Street name, City, State/Province, Country, ZIP code) Fax No.: Phone No.: Email: Website: II. Project References [Notes to consultant: Please select at least three of the most relevant projects to demonstrate the firm s technical qualifications and experience.
Period Client Project Country Role of the Firm (As lead firm or partner?) Contract Value III. Eligibility Declaration We, the undersigned, certify to the best of our knowledge and belief: We have read the advertisement, including the generic terms of reference (TOR), for this assignment. We confirm that the project references submitted as part of this EOI accurately reflect the experience of our firm. We confirm our firm and all the personnel indicated in the EOI have met the requirements of Corporate Procurement Policy of AIIB, which can be found on https://www.aiib.org/en/opportunities/business/index.html?business=corporate [Signature: Name of the firm s authorized representative: Position]