Annexure 8 — WORKS_MANUAL

WORKS_MANUAL

MEMORANDUM OF UNDERSTANDING54 [Name of Procuring Entity] [Name of Project Management Consultant PWO/ PSU] for Construction of [Name of Work(s)] at [Name of Location
(s) of Work]
Now, therefore it is agreed between the Parties that: A) Assigning of Work by ‘Procuring Entity’ to ‘Project Management Consultant’.
This, Memorandum of Understanding (hereinafter called “MoU") signed between [Name of Procuring Entity] (hereinafter called “Procuring Entity") represented by its Chief Engineer of one part,
[Name of Project Management Consultant PWO/ PSU] (hereinafter called "Project Management Consultant") represented by its Chief Engineer on other part.
‘Procuring Entity’ and ‘Project Management Consultant’ are also referred to individually as 'Party' and collectively as ’Parties' wherever the context so requires
Whereas ‘Project Management Consultant’ have agreed to undertake the work of Construction of abovementioned Work
(s) at abovementioned location
(s) for ‘Procuring Entity’ as a ‘Deposit Work’ on Project Management Consultant (PMC) basis.
1. {In case of MoU of collection of works or of framework nature ‘Procuring Entity’ will assign a work to the ‘Project Management Consultant’ through a letter after due approval of the competent authority. A work specific MoU would be signed along with approval of Preliminary Estimates.}. ‘Procuring Entity’ will provide all relevant available documents related to Land, Site Details, functional and space requirements (or Various Facilities, Special Requirements/ Features and Broad Specifications for specialised Equipments and Plants), Layout Plans etc for facilitating Project
Annexure 8: A Sample MOU (Refer Para 3.1.4 (iv); The sample is for illustrative purpose only and procuring entity may change the format suiting to their requirement. If felt necessary, procuring entity may also get the MOU document vetted from the Ministry of Law/ or procuring entity’s legal cell)
(B) Approval of Preliminary Project Report (PPR) & Detailed Project Report (DPR)/ Preliminary Estimate (PE) 3. Preliminary Project Report (PPR) shall be prepared by ‘Project Management Consultant’ based on functional & space requirements as intimated by ‘Procuring Entity’ and submitted to ‘Procuring Entity’ for its approval. {It would be a joint endeavour on part of both ‘Procuring Entity’ and ‘Project Management Consultant’ in consultation with consultants & experts to develop Standard Plans & Specifications for Works & Services including Furniture, Equipments, Plants etc. pertaining to various categories of Works etc.}55
Execution by ‘Project Management Consultant’ along with A & E Consultants 2. ‘Project Management Consultant’ shall appoint, if any, competent Architectural and Engineering (A & E) Consultant commensurate with size and nature of the work after following due process.
4. Based on approved PPR, ‘Project Management Consultant’ shall prepare Detailed Project Report (DPR)/ Preliminary Estimate (PE) consistent with their norms & standards, containing Milestones and commensurate activities to be accomplished against each Milestone & Baseline Programme in the form of CPM Network depicting clearly Dates of Start and Completion of the work {along with Work specific draft MoU}55 and submit it to ‘Procuring Entity’ along with all relevant input information, documents and Drawings etc. for approval of ‘Procuring Entity’, within 8 (eight) weeks of receipt of approval for PPR. ‘Project Management Consultant’ shall use C.P.W.D. Analysis of Rates56 for Delhi (DSR) for framing the DPR/ PE. Non - DSR Items shall be incorporated in the Detailed Estimates only when these are not either readily available in DSR. Detailed reasons and justifications for including Non-DSR Items shall have to be furnished by ‘Project Management Consultant’. ‘ Procuring Entity’ shall accord approval to DPR/ PE {and Work specific Draft MOU}55 containing Milestones and commensurate activities to be accomplished against each Milestone & Baseline Programme in the form of CPM Network and issue Administrative Approval (A/A) &. Expenditure Sanction (E/S) in about 8 (eight) weeks of its submission by ‘Project Management Consultant’.
5. On receipt of the A/A and E/S, the ‘Project Management Consultant’ shall prepare and accord Technical Sanction (TS) to detailed and coordinated design of all the Architectural, Civil, Electrical, Mechanical, Horticulture and any other services included in the scope of the sanction and of the Detailed Cost Estimates containing the detailed specifications and quantities of various items prepared on the basis of the schedule of rates maintained by CPWD or other Public Works Organizations.
(C) Release of Funds, Payment of Bills 6. ‘Project Management Consultant’ has agreed to charge [insert the Fee agreed] for carrying out the assigned Deposit Work.
7. ‘Procuring Entity’ shall release Initial Deposit of 10% of the approved preliminary estimate amount to ‘Project Management Consultant’ within 2 (two) weeks of issuing A/A & E/S{and signing work specific MoU along with Milestones & Baseline Programme between Chief Engineers of ‘Procuring Entity’ & ‘Project Management Consultant’, whichever is later}55.
7.1 ‘Procuring Entity’ shall release additional deposit up to 10 (ten) % of approved estimate amount to ‘Project Management Consultant’ within 2 (two) weeks of award of first major construction contract on the basis of specific request made by ‘Project Management Consultant’ in this regard along with proper reasons and justifications acceptable to ‘Procuring Entity’ for additional requirement of fund over and above already released initial deposit of 10 (ten) % of approved preliminary estimate amount in terms of Clause – 7 above.
8. After the Initial and Additional Deposit as per clause 7 and 7.1 above and subsequent release of Fund shall be in the form of recoupment of the expenditure made by ‘Project Management Consultant’ on the work as per monthly expenditure statements which shall be submitted in Monthly Expenditure Statement (MES) in a form similar to CPWD Form – 65 (Account of Deposit works). While submitting MES, and placing demand for release of fund in the form of recoupment of the monthly expenditure already incurred on the work, ‘Project Management Consultant’ will also submit a comprehensive report on progress of physical completion of various activities and Milestones vis-a-vis earlier planned activities/ Milestones for the overall completion of the specific work mutually decided between ‘Procuring Entity’ & ‘Project Management Consultant’ {and included as part of work specific MOU}55for enabling ‘Procuring Entity’ to keep effective check on utilization of fund as well as physical progress of the work.
9. The fund subsequent to Initial Deposits shall be released by ‘Procuring Entity’ to ‘Project Management Consultant’ within 4 (four) weeks of submission of request by ‘Project Management Consultant’ along with all documents as described in Clause - 8 above. As per the monitoring of physical and financial progress indicators, ‘Procuring Entity’ will take necessary steps for recoupment of the monthly expenditure incurred on the basis of the Fund Utilization Certificate.
10. If any fund requirement is specifically made by ‘Project Management Consultant’ after the work has been assigned to ‘Project Management Consultant’ for undertaking preconstruction activities related to the Project Execution etc., the same shall be released by ‘Procuring Entity’ within 2 (two) weeks of such specific demand provided the amount is within ceiling limit of Rs 25 (twenty-five) lakh. The amount so released to ‘Project Management Consultant’ shall he adjusted from, Initial Deposit amount.
11. ‘Project Management Consultant’ shall intimate ‘Procuring Entity’ about any excess expenditure likely to be incurred over and above the approved Projected Cost and also about possibility of time overruns, as soon as it comes to the knowledge along with reasons and justifications thereof for necessary approvals from ‘Procuring Entity’ before continuing/ incurring the extra/ additional expenditure.
12. The ‘Project Management Consultant’ shall be responsible for certifying and making payment of Bills of the Contractors/ Agencies engaged by them and make available Final Statement of Accounts in Standard Format to ‘Procuring Entity’ & also provide copies of Final Bills for all Contract Packages and other expenditure incurred related to Project Construction after the Completion of the Work. In addition, should ‘Procuring Entity’ ask for any other details from ‘Project Management Consultant’ regarding Utilization of Fund at any stage, Detailed Estimates, Technical Sanctions, Award of Works, Running Bills etc., the same shall be provided by ‘Project Management Consultant’ readily.
13. The ‘Procuring Entity’ shall settle compensation/ levies, if so required to be paid based on recommendation by ‘Project Management Consultant’ related to the Project works, under Workmen's Compensation Act or any other Act or Law of the Central or the State Government.
21. ‘Procuring Entity’ shall permit and facilitate to the ‘Project Management consultant’ all utilities required for construction e.g. drawl of Ground Water, obtaining electricity connection, putting up Labour Camps/ Huts inside the available space for facilitating construction by contractors engaged by ‘Project Management Consultant’. ‘Project Management Consultant’ shall provide necessary support in obtaining permission, if any, of Local Bodies in this regard. The cost in this regard borne by ‘Procuring Entity’, if any, should not be duplicated as reimbursement by the ‘Project Management Consultant’.
22. As soon as the work is allocated, ‘Project Management Consultant’ shall prepare and submit to ‘Procuring Entity’ an Integrated Programme Chart for the execution of work showing clearly all activities from the start of work to completion with details of manpower and other input information required for the fulfilment of the timelines given therein. ‘Project Management Consultant’ will intimate ‘Procuring Entity’, Project Team, both on - site and off-site, starting from Chief Engineer to Junior Engineer associated with execution of the work. The Programme Chart should inter-alia include descriptive note explaining sequence of the various activities, CPM Network Milestones etc. This will form Base Line Programme and the subsequent progress of the work shall be reviewed with reference to this during periodic Progress Review Meeting preferably monthly. Any increase in time period from the Base Line Value shall be construed as Time Overrun
23. ‘Project Management Consultant’ shall be responsible for providing Physical Progress Reports to ‘Procuring Entity’ in the form of CPM (Critical Path Method) Network on monthly basis for reviewing of the progress of the work vis - a vis Base Line Programme and taking all necessary remedial actions, after taking into account ‘Procuring Entity’s observations made in respect of quality and progress of .the work during the monthly/ periodic Project Review Meetings. To ensure timely completion of work as per mutually agreed time-schedule/ milestones and within agreed Cost.
24. ‘Project Management Consultant’ shall also be responsible for providing to ‘Procuring Entity’ Financial Progress Reports of the project and up to date Expenditure incurred on the work on monthly basis along with Certificate of Utilization of Fund against Fund earlier released to ‘Project Management Consultant’ by ‘Procuring Entity’.
25. ‘Project Management Consultant’ shall be responsible for total Project Management including day-to-day supervision of works, maintenance of all project records and executing the works as per prescribed guidelines, their own Works Manual, Codes, Books of Specifications etc and also in accordance with relevant and extant provisions of General Financial Rules (GFR), 2017.
(D) Execution of Work 14. The ‘Project Management Consultant’ shall obtain necessary Statutory Approvals/ Permission/ Clearances/ Certificates from the concerned Local Bodies & Statutory Authorities like District Authorities, Municipal Corporation, Panchayati Raj Institutions, Town Planning Board, Electricity Board/ Fire Department, State/ Central Pollution Control Boards, Stale/ Central Environmental Authorities, Forrest and Wild-life authorities etc (for e.g. removal of trees, re-locating utilities; conversion of railway level crossings, laying of railway sidings needed by the work; rehabilitation and resettlement of persons affected by the work; traffic control; mining of earth and stone; interfering protected monuments; blasting permission, environmental/ forest/ wild-life clearances; and shifting of religious shrines etc) to start the work have been obtained. The ‘Procuring Entity’ shall be responsible for providing all assistance to ‘Project Management Consultant’ in this process. 15. Works shall not be awarded by ‘Project Management Consultant’ to contractors till all statutory approvals/ certificates/ permissions required for taking up the work, are in place. 16. ‘Procuring Entity’ shall make the work site available free from encumbrances to ‘Project Management Consultant’. ‘Procuring Entity’ shall also ensure Availability of auxiliary services - like roads, power, water, solid & liquid waste disposal system, street lighting and other civic services. ‘Project Management Consultant’ shall provide necessary support in this process. 17. ‘Project Management Consultant’ shall permit ‘Procuring Entity’ to inspect or monitor the works, either itself or through Third party as and when it desires for assessing actual progress and quality of construction and any other aspects. 18. ‘Procuring Entity’ shall provide security clearance and ensure free access for ‘Project Management Consultant’ staff/ Employees and their workers working at Work site in case these are required. ‘Project Management Consultant’ shall provide necessary support in this process. 19. ‘Project Management Consultant’ shall ensure adequate availability of men & material by their contractors. 20. ‘Project Management Consultant’ shall ensure that it’s Contractor
(s) implement required Health, Safety & Environmental (HSE) practices at the Construction Sites and they also comply with all statutory obligations related to workmen deployed at the Construction Site. ‘Project Management Consultant’ will act as Principal Employer in respect of all Statutory Obligations related to workmen deployed at the site in execution of the work.
27. ‘Project Management Consultant’ shall be responsible for managing the Project from concept to commissioning effectively and efficiently to ensure desired/ proportionate pace of progress and completion of work is achieved progressively vis-à-vis approved Plans & Specifications and in Terms and Conditions of the MOUs and mutually agreed milestones and timelines and approved cost, taking with due diligence all required proactive remedial measures including provision of stringent and elaborate enforceable Clauses to this effect and also making time as the essence of contract in the Bid and Contract Documents. ‘Project Management Consultant’ shall provide for clauses in the contract and established procedure to recover liquidated damages from their contractors/ agencies. The liquidated damages recovered from the contractors for delay, if any, shall be credited to ‘Procuring Entity’ in the project accounts.
28. The approved Initial Project Cost & Timeline should not exceed during execution of the Project except for reasons like increase in cost index during construction period, revised specifications or extra work over approved estimate carried out at the request of ‘Procuring Entity’ etc. In case of either increase in earlier approved cost or timeline, detailed reasons and justifications, based on verifiable facts and figures, shall have to be provided by ‘Project Management Consultant’ along with comprehensive proposals for revision in earlier approved Project Cost & Timeline, which shall be intensively examined by ‘Procuring Entity’ in consultation with ‘Project Management Consultant’ before approval is accorded to their proposals. No additional expenditure over and above the earlier approved Project Cost shall be incurred by ‘Project Management Consultant’ without prior approval of ‘Procuring Entity’. Upward Revisions in either Cost or Timeline should be an exception rather than a rule and for achieving this objective, all required efforts shall be made by ‘Project Management Consultant’
29. At any time, it appears to ‘Procuring Entity’ that the actual progress of the work does not conform to the approved programme referred above and intimated to ‘Project Management Consultant’ by ‘Procuring Entity’, detailed reasons and justifications for such delays shall have to be provided by ‘Project Management Consultant’, which shall be examined by ‘Procuring Entity’ to re-Schedule the Programme, if any. Progress Review Meetings preferably monthly shall be held between ‘Project Management Consultant’ and ‘Procuring Entity’ for reviewing the progress of works based on Baseline Programme/ Milestones etc. and also for resolving co-ordination issues, if any including fixing priority of some works, facilities and services for their early completion and handing over to ‘Procuring Entity’ for putting item to use for intended purpose. A&E Consultants may also participate. ‘Project Management Consultant’ will also designate a nodal officer in respect of specific work for coordinating with ‘Procuring Entity’ and A & E Consultant. Such designated nodal officer shall be suitably empowered and authorized to lake decisions in work related issues so that delays are minimized for achieving timely completion of work.
(E) Project Management, Cost and Time Control 26. ‘Project Management Consultant’ shall implement a system of ‘Project Team Concept' with dedicated group of Engineers under single and unified command for implementation of projects from concept to completion and call composite tenders to reduce the number of packages for better management. ‘Project Management Consultant’ shall be obliged to adopt all the above said measures to successful completion of the works within Approved Cost and agreed Time period.
(G) Completion and Handing-over of Completed Work and Facilities 34. ‘Project Management Consultant’ shall obtaining work Completion/ Occupancy Certificates & Clearances for completed Work and Facilities before handing over the same to ‘Procuring Entity’ for putting them to functional use. ‘Procuring Entity’ shall provide all assistance in this process.
31. ‘Project Management Consultant’ shall be responsible for defending all Arbitration and Court Cases arising out of execution till the works end examining the Arbitration Award/ Decree of Court or Law/ liability by appropriate authority in ‘Project Management Consultant’ and forwarding the same along with a comprehensive report on the circumstance leading to the Arbitration/ Court Cases and the reasons and justification as to why an appeal against such awards/ decree was not considered necessary briefing out inter-alia details of the award and clear cut recommendations The decision of the competent authority in ‘Project Management Consultant’ to accept The award or challenge the same in a Court of Law will be binding on the ‘Procuring Entity’.
32. ‘Procuring Entity’ shall settle and pay the final claims which may be decreed by a Court of Law, Tribunal or by award of an Arbitration in relation-to the-deposit work, based on recommendations of ‘Project Management Consultant’.
33. ‘Project Management Consultant’ shall be responsible for redressing and complying with the observations of CTE/ CVC, Auditors, Statutory Authorities, Local Bodies, Municipal Corporation etc. pertaining to the work under intimation to ‘Procuring Entity’. Providing all work related information promptly to ‘Procuring Entity’ for replying to Parliament Questions, queries from various Constitutional & Statutory Authorities.
35. ‘Project Management Consultant’ shall hand over to ‘Procuring Entity’ or its Authorized Representative completed Work including all Services and Facilities constructed in accordance with the Approved Plans, Specifications fulfilling all techno-functional requirements agreed with ‘Procuring Entity’ along with Inventory, As built - Drawings, Maintenance Manual/ Standard Operating Procedure ( SOP) for Equipments and Plants, all clearances /Certificates from Statutory Authorities, Local Bodies etc.
36. On completion of the work, a Project Completion Report (PCR) shall be submitted by ‘Project Management Consultant’ duly bringing out the Final Project Completion Cost, Total Time period taken to complete the work and also completed Project Components as against the approved Cost, Time and Project Components. The PCR shall be submitted along with Final Project Accounts including return of unspent balance amount to ‘Procuring Entity’ within one month of settlement of final bills of the contractors/ other agencies deployed on the work by ‘Project Management Consultant’.
(F) Disputes, Enquiries and Queries ‘Project Management Consultant’ shall be responsible for observing due diligence and adopting all possible measures at various stages of work execution so as to avoid Arbitration/ Litigation end other hindrances and the work is completed within optimum cost and time in hassle free environment
(H) Termination of MoU 37. If ‘Procuring Entity’ decides to terminate this MOU or decides to drop/ abandon the work after substantial preliminary work has been done by ‘Project Management
Consultant’ on the work, both ‘Project Management Consultant’ and ‘Procuring Entity’ shall mutually decide the loss incurred by ‘Project Management Consultant’ for payment by the latter to the former. In case of abandonment of project/ work by ‘Procuring Entity’ during construction stage, ‘Procuring Entity’ shall pay to ‘Project Management Consultant’, after determining the value of the works, goods and contractors documents and any other sums clue to them for work executed in accordance with the MOU, to help liquidate only such liabilities as were squarely needed towards construction/ consultant agencies engaged on the work, in a fair and reasonable manner.
Signatures and Witnesses Date:_______________________ Place: _______________________________
(F) Miscellaneous 38. Disputes between ‘Procuring Entity’ and ‘Project Management Consultants’: As dispute resolution mechanism for implementation of the provisions of this MoU, at the first instance the issues involved shall be brought before Chief Engineer of ‘Procuring Entity’ and concerned Chief Engineer of ‘Project Management Consultant’ for their resolution. In case, however, disputes/ differences between the parties do not get resolved, the matter shall be escalated to higher level in ‘Procuring Entity’, and ‘Project Management Consultant’, who shall be above the level of CE in the respective organizations. They shall submit a comprehensive report and recommendation to ‘Procuring Entity’ and ‘Project Management Consultant’ for facilitating final decision in the matter. 39. Individual and joint responsibilities of the Parties shall be as per clauses mentioned above. 40. No amendment in Terms & Conditions of the MoU shall be valid and effective unless it is in writing and duly signed by authorised representatives of ‘Procuring Entity’ and ‘Project Management Consultant’. Each party shall give due consideration to any proposal for amendment/ modification made by other party with proper justifications thereof. 41. Provisions, if any, made in respect of deposit works in ‘Project Management Consultant’s Works Manual or Codes shall stand modified to the extent of the stipulations made in this MoU for execution of ‘Procuring Entity’ works by ‘Project Management Consultant’.

WORKS_MANUAL

MEMORANDUM OF UNDERSTANDING54 [Name of Procuring Entity] [Name of Project Management Consultant PWO/ PSU] for Construction of [Name of Work(s)] at [Name of Location
(s) of Work]
Now, therefore it is agreed between the Parties that: A) Assigning of Work by ‘Procuring Entity’ to ‘Project Management Consultant’.
This, Memorandum of Understanding (hereinafter called “MoU") signed between [Name of Procuring Entity] (hereinafter called “Procuring Entity") represented by its Chief Engineer of one part,
[Name of Project Management Consultant PWO/ PSU] (hereinafter called "Project Management Consultant") represented by its Chief Engineer on other part.
‘Procuring Entity’ and ‘Project Management Consultant’ are also referred to individually as 'Party' and collectively as ’Parties' wherever the context so requires
Whereas ‘Project Management Consultant’ have agreed to undertake the work of Construction of abovementioned Work
(s) at abovementioned location
(s) for ‘Procuring Entity’ as a ‘Deposit Work’ on Project Management Consultant (PMC) basis.
1. {In case of MoU of collection of works or of framework nature ‘Procuring Entity’ will assign a work to the ‘Project Management Consultant’ through a letter after due approval of the competent authority. A work specific MoU would be signed along with approval of Preliminary Estimates.}. ‘Procuring Entity’ will provide all relevant available documents related to Land, Site Details, functional and space requirements (or Various Facilities, Special Requirements/ Features and Broad Specifications for specialised Equipments and Plants), Layout Plans etc for facilitating Project
Annexure 8: A Sample MOU (Refer Para 3.1.4 (iv); The sample is for illustrative purpose only and procuring entity may change the format suiting to their requirement. If felt necessary, procuring entity may also get the MOU document vetted from the Ministry of Law/ or procuring entity’s legal cell)
(B) Approval of Preliminary Project Report (PPR) & Detailed Project Report (DPR)/ Preliminary Estimate (PE) 3. Preliminary Project Report (PPR) shall be prepared by ‘Project Management Consultant’ based on functional & space requirements as intimated by ‘Procuring Entity’ and submitted to ‘Procuring Entity’ for its approval. {It would be a joint endeavour on part of both ‘Procuring Entity’ and ‘Project Management Consultant’ in consultation with consultants & experts to develop Standard Plans & Specifications for Works & Services including Furniture, Equipments, Plants etc. pertaining to various categories of Works etc.}55
Execution by ‘Project Management Consultant’ along with A & E Consultants 2. ‘Project Management Consultant’ shall appoint, if any, competent Architectural and Engineering (A & E) Consultant commensurate with size and nature of the work after following due process.
4. Based on approved PPR, ‘Project Management Consultant’ shall prepare Detailed Project Report (DPR)/ Preliminary Estimate (PE) consistent with their norms & standards, containing Milestones and commensurate activities to be accomplished against each Milestone & Baseline Programme in the form of CPM Network depicting clearly Dates of Start and Completion of the work {along with Work specific draft MoU}55 and submit it to ‘Procuring Entity’ along with all relevant input information, documents and Drawings etc. for approval of ‘Procuring Entity’, within 8 (eight) weeks of receipt of approval for PPR. ‘Project Management Consultant’ shall use C.P.W.D. Analysis of Rates56 for Delhi (DSR) for framing the DPR/ PE. Non - DSR Items shall be incorporated in the Detailed Estimates only when these are not either readily available in DSR. Detailed reasons and justifications for including Non-DSR Items shall have to be furnished by ‘Project Management Consultant’. ‘ Procuring Entity’ shall accord approval to DPR/ PE {and Work specific Draft MOU}55 containing Milestones and commensurate activities to be accomplished against each Milestone & Baseline Programme in the form of CPM Network and issue Administrative Approval (A/A) &. Expenditure Sanction (E/S) in about 8 (eight) weeks of its submission by ‘Project Management Consultant’.
5. On receipt of the A/A and E/S, the ‘Project Management Consultant’ shall prepare and accord Technical Sanction (TS) to detailed and coordinated design of all the Architectural, Civil, Electrical, Mechanical, Horticulture and any other services included in the scope of the sanction and of the Detailed Cost Estimates containing the detailed specifications and quantities of various items prepared on the basis of the schedule of rates maintained by CPWD or other Public Works Organizations.
(C) Release of Funds, Payment of Bills 6. ‘Project Management Consultant’ has agreed to charge [insert the Fee agreed] for carrying out the assigned Deposit Work.
7. ‘Procuring Entity’ shall release Initial Deposit of 10% of the approved preliminary estimate amount to ‘Project Management Consultant’ within 2 (two) weeks of issuing A/A & E/S{and signing work specific MoU along with Milestones & Baseline Programme between Chief Engineers of ‘Procuring Entity’ & ‘Project Management Consultant’, whichever is later}55.
7.1 ‘Procuring Entity’ shall release additional deposit up to 10 (ten) % of approved estimate amount to ‘Project Management Consultant’ within 2 (two) weeks of award of first major construction contract on the basis of specific request made by ‘Project Management Consultant’ in this regard along with proper reasons and justifications acceptable to ‘Procuring Entity’ for additional requirement of fund over and above already released initial deposit of 10 (ten) % of approved preliminary estimate amount in terms of Clause – 7 above.
8. After the Initial and Additional Deposit as per clause 7 and 7.1 above and subsequent release of Fund shall be in the form of recoupment of the expenditure made by ‘Project Management Consultant’ on the work as per monthly expenditure statements which shall be submitted in Monthly Expenditure Statement (MES) in a form similar to CPWD Form – 65 (Account of Deposit works). While submitting MES, and placing demand for release of fund in the form of recoupment of the monthly expenditure already incurred on the work, ‘Project Management Consultant’ will also submit a comprehensive report on progress of physical completion of various activities and Milestones vis-a-vis earlier planned activities/ Milestones for the overall completion of the specific work mutually decided between ‘Procuring Entity’ & ‘Project Management Consultant’ {and included as part of work specific MOU}55for enabling ‘Procuring Entity’ to keep effective check on utilization of fund as well as physical progress of the work.
9. The fund subsequent to Initial Deposits shall be released by ‘Procuring Entity’ to ‘Project Management Consultant’ within 4 (four) weeks of submission of request by ‘Project Management Consultant’ along with all documents as described in Clause - 8 above. As per the monitoring of physical and financial progress indicators, ‘Procuring Entity’ will take necessary steps for recoupment of the monthly expenditure incurred on the basis of the Fund Utilization Certificate.
10. If any fund requirement is specifically made by ‘Project Management Consultant’ after the work has been assigned to ‘Project Management Consultant’ for undertaking preconstruction activities related to the Project Execution etc., the same shall be released by ‘Procuring Entity’ within 2 (two) weeks of such specific demand provided the amount is within ceiling limit of Rs 25 (twenty-five) lakh. The amount so released to ‘Project Management Consultant’ shall he adjusted from, Initial Deposit amount.
11. ‘Project Management Consultant’ shall intimate ‘Procuring Entity’ about any excess expenditure likely to be incurred over and above the approved Projected Cost and also about possibility of time overruns, as soon as it comes to the knowledge along with reasons and justifications thereof for necessary approvals from ‘Procuring Entity’ before continuing/ incurring the extra/ additional expenditure.
12. The ‘Project Management Consultant’ shall be responsible for certifying and making payment of Bills of the Contractors/ Agencies engaged by them and make available Final Statement of Accounts in Standard Format to ‘Procuring Entity’ & also provide copies of Final Bills for all Contract Packages and other expenditure incurred related to Project Construction after the Completion of the Work. In addition, should ‘Procuring Entity’ ask for any other details from ‘Project Management Consultant’ regarding Utilization of Fund at any stage, Detailed Estimates, Technical Sanctions, Award of Works, Running Bills etc., the same shall be provided by ‘Project Management Consultant’ readily.
13. The ‘Procuring Entity’ shall settle compensation/ levies, if so required to be paid based on recommendation by ‘Project Management Consultant’ related to the Project works, under Workmen's Compensation Act or any other Act or Law of the Central or the State Government.
21. ‘Procuring Entity’ shall permit and facilitate to the ‘Project Management consultant’ all utilities required for construction e.g. drawl of Ground Water, obtaining electricity connection, putting up Labour Camps/ Huts inside the available space for facilitating construction by contractors engaged by ‘Project Management Consultant’. ‘Project Management Consultant’ shall provide necessary support in obtaining permission, if any, of Local Bodies in this regard. The cost in this regard borne by ‘Procuring Entity’, if any, should not be duplicated as reimbursement by the ‘Project Management Consultant’.
22. As soon as the work is allocated, ‘Project Management Consultant’ shall prepare and submit to ‘Procuring Entity’ an Integrated Programme Chart for the execution of work showing clearly all activities from the start of work to completion with details of manpower and other input information required for the fulfilment of the timelines given therein. ‘Project Management Consultant’ will intimate ‘Procuring Entity’, Project Team, both on - site and off-site, starting from Chief Engineer to Junior Engineer associated with execution of the work. The Programme Chart should inter-alia include descriptive note explaining sequence of the various activities, CPM Network Milestones etc. This will form Base Line Programme and the subsequent progress of the work shall be reviewed with reference to this during periodic Progress Review Meeting preferably monthly. Any increase in time period from the Base Line Value shall be construed as Time Overrun
23. ‘Project Management Consultant’ shall be responsible for providing Physical Progress Reports to ‘Procuring Entity’ in the form of CPM (Critical Path Method) Network on monthly basis for reviewing of the progress of the work vis - a vis Base Line Programme and taking all necessary remedial actions, after taking into account ‘Procuring Entity’s observations made in respect of quality and progress of .the work during the monthly/ periodic Project Review Meetings. To ensure timely completion of work as per mutually agreed time-schedule/ milestones and within agreed Cost.
24. ‘Project Management Consultant’ shall also be responsible for providing to ‘Procuring Entity’ Financial Progress Reports of the project and up to date Expenditure incurred on the work on monthly basis along with Certificate of Utilization of Fund against Fund earlier released to ‘Project Management Consultant’ by ‘Procuring Entity’.
25. ‘Project Management Consultant’ shall be responsible for total Project Management including day-to-day supervision of works, maintenance of all project records and executing the works as per prescribed guidelines, their own Works Manual, Codes, Books of Specifications etc and also in accordance with relevant and extant provisions of General Financial Rules (GFR), 2017.
(D) Execution of Work 14. The ‘Project Management Consultant’ shall obtain necessary Statutory Approvals/ Permission/ Clearances/ Certificates from the concerned Local Bodies & Statutory Authorities like District Authorities, Municipal Corporation, Panchayati Raj Institutions, Town Planning Board, Electricity Board/ Fire Department, State/ Central Pollution Control Boards, Stale/ Central Environmental Authorities, Forrest and Wild-life authorities etc (for e.g. removal of trees, re-locating utilities; conversion of railway level crossings, laying of railway sidings needed by the work; rehabilitation and resettlement of persons affected by the work; traffic control; mining of earth and stone; interfering protected monuments; blasting permission, environmental/ forest/ wild-life clearances; and shifting of religious shrines etc) to start the work have been obtained. The ‘Procuring Entity’ shall be responsible for providing all assistance to ‘Project Management Consultant’ in this process. 15. Works shall not be awarded by ‘Project Management Consultant’ to contractors till all statutory approvals/ certificates/ permissions required for taking up the work, are in place. 16. ‘Procuring Entity’ shall make the work site available free from encumbrances to ‘Project Management Consultant’. ‘Procuring Entity’ shall also ensure Availability of auxiliary services - like roads, power, water, solid & liquid waste disposal system, street lighting and other civic services. ‘Project Management Consultant’ shall provide necessary support in this process. 17. ‘Project Management Consultant’ shall permit ‘Procuring Entity’ to inspect or monitor the works, either itself or through Third party as and when it desires for assessing actual progress and quality of construction and any other aspects. 18. ‘Procuring Entity’ shall provide security clearance and ensure free access for ‘Project Management Consultant’ staff/ Employees and their workers working at Work site in case these are required. ‘Project Management Consultant’ shall provide necessary support in this process. 19. ‘Project Management Consultant’ shall ensure adequate availability of men & material by their contractors. 20. ‘Project Management Consultant’ shall ensure that it’s Contractor
(s) implement required Health, Safety & Environmental (HSE) practices at the Construction Sites and they also comply with all statutory obligations related to workmen deployed at the Construction Site. ‘Project Management Consultant’ will act as Principal Employer in respect of all Statutory Obligations related to workmen deployed at the site in execution of the work.
27. ‘Project Management Consultant’ shall be responsible for managing the Project from concept to commissioning effectively and efficiently to ensure desired/ proportionate pace of progress and completion of work is achieved progressively vis-à-vis approved Plans & Specifications and in Terms and Conditions of the MOUs and mutually agreed milestones and timelines and approved cost, taking with due diligence all required proactive remedial measures including provision of stringent and elaborate enforceable Clauses to this effect and also making time as the essence of contract in the Bid and Contract Documents. ‘Project Management Consultant’ shall provide for clauses in the contract and established procedure to recover liquidated damages from their contractors/ agencies. The liquidated damages recovered from the contractors for delay, if any, shall be credited to ‘Procuring Entity’ in the project accounts.
28. The approved Initial Project Cost & Timeline should not exceed during execution of the Project except for reasons like increase in cost index during construction period, revised specifications or extra work over approved estimate carried out at the request of ‘Procuring Entity’ etc. In case of either increase in earlier approved cost or timeline, detailed reasons and justifications, based on verifiable facts and figures, shall have to be provided by ‘Project Management Consultant’ along with comprehensive proposals for revision in earlier approved Project Cost & Timeline, which shall be intensively examined by ‘Procuring Entity’ in consultation with ‘Project Management Consultant’ before approval is accorded to their proposals. No additional expenditure over and above the earlier approved Project Cost shall be incurred by ‘Project Management Consultant’ without prior approval of ‘Procuring Entity’. Upward Revisions in either Cost or Timeline should be an exception rather than a rule and for achieving this objective, all required efforts shall be made by ‘Project Management Consultant’
29. At any time, it appears to ‘Procuring Entity’ that the actual progress of the work does not conform to the approved programme referred above and intimated to ‘Project Management Consultant’ by ‘Procuring Entity’, detailed reasons and justifications for such delays shall have to be provided by ‘Project Management Consultant’, which shall be examined by ‘Procuring Entity’ to re-Schedule the Programme, if any. Progress Review Meetings preferably monthly shall be held between ‘Project Management Consultant’ and ‘Procuring Entity’ for reviewing the progress of works based on Baseline Programme/ Milestones etc. and also for resolving co-ordination issues, if any including fixing priority of some works, facilities and services for their early completion and handing over to ‘Procuring Entity’ for putting item to use for intended purpose. A&E Consultants may also participate. ‘Project Management Consultant’ will also designate a nodal officer in respect of specific work for coordinating with ‘Procuring Entity’ and A & E Consultant. Such designated nodal officer shall be suitably empowered and authorized to lake decisions in work related issues so that delays are minimized for achieving timely completion of work.
(E) Project Management, Cost and Time Control 26. ‘Project Management Consultant’ shall implement a system of ‘Project Team Concept' with dedicated group of Engineers under single and unified command for implementation of projects from concept to completion and call composite tenders to reduce the number of packages for better management. ‘Project Management Consultant’ shall be obliged to adopt all the above said measures to successful completion of the works within Approved Cost and agreed Time period.
(G) Completion and Handing-over of Completed Work and Facilities 34. ‘Project Management Consultant’ shall obtaining work Completion/ Occupancy Certificates & Clearances for completed Work and Facilities before handing over the same to ‘Procuring Entity’ for putting them to functional use. ‘Procuring Entity’ shall provide all assistance in this process.
31. ‘Project Management Consultant’ shall be responsible for defending all Arbitration and Court Cases arising out of execution till the works end examining the Arbitration Award/ Decree of Court or Law/ liability by appropriate authority in ‘Project Management Consultant’ and forwarding the same along with a comprehensive report on the circumstance leading to the Arbitration/ Court Cases and the reasons and justification as to why an appeal against such awards/ decree was not considered necessary briefing out inter-alia details of the award and clear cut recommendations The decision of the competent authority in ‘Project Management Consultant’ to accept The award or challenge the same in a Court of Law will be binding on the ‘Procuring Entity’.
32. ‘Procuring Entity’ shall settle and pay the final claims which may be decreed by a Court of Law, Tribunal or by award of an Arbitration in relation-to the-deposit work, based on recommendations of ‘Project Management Consultant’.
33. ‘Project Management Consultant’ shall be responsible for redressing and complying with the observations of CTE/ CVC, Auditors, Statutory Authorities, Local Bodies, Municipal Corporation etc. pertaining to the work under intimation to ‘Procuring Entity’. Providing all work related information promptly to ‘Procuring Entity’ for replying to Parliament Questions, queries from various Constitutional & Statutory Authorities.
35. ‘Project Management Consultant’ shall hand over to ‘Procuring Entity’ or its Authorized Representative completed Work including all Services and Facilities constructed in accordance with the Approved Plans, Specifications fulfilling all techno-functional requirements agreed with ‘Procuring Entity’ along with Inventory, As built - Drawings, Maintenance Manual/ Standard Operating Procedure ( SOP) for Equipments and Plants, all clearances /Certificates from Statutory Authorities, Local Bodies etc.
36. On completion of the work, a Project Completion Report (PCR) shall be submitted by ‘Project Management Consultant’ duly bringing out the Final Project Completion Cost, Total Time period taken to complete the work and also completed Project Components as against the approved Cost, Time and Project Components. The PCR shall be submitted along with Final Project Accounts including return of unspent balance amount to ‘Procuring Entity’ within one month of settlement of final bills of the contractors/ other agencies deployed on the work by ‘Project Management Consultant’.
(F) Disputes, Enquiries and Queries ‘Project Management Consultant’ shall be responsible for observing due diligence and adopting all possible measures at various stages of work execution so as to avoid Arbitration/ Litigation end other hindrances and the work is completed within optimum cost and time in hassle free environment
(H) Termination of MoU 37. If ‘Procuring Entity’ decides to terminate this MOU or decides to drop/ abandon the work after substantial preliminary work has been done by ‘Project Management
Consultant’ on the work, both ‘Project Management Consultant’ and ‘Procuring Entity’ shall mutually decide the loss incurred by ‘Project Management Consultant’ for payment by the latter to the former. In case of abandonment of project/ work by ‘Procuring Entity’ during construction stage, ‘Procuring Entity’ shall pay to ‘Project Management Consultant’, after determining the value of the works, goods and contractors documents and any other sums clue to them for work executed in accordance with the MOU, to help liquidate only such liabilities as were squarely needed towards construction/ consultant agencies engaged on the work, in a fair and reasonable manner.
Signatures and Witnesses Date:_______________________ Place: _______________________________
(F) Miscellaneous 38. Disputes between ‘Procuring Entity’ and ‘Project Management Consultants’: As dispute resolution mechanism for implementation of the provisions of this MoU, at the first instance the issues involved shall be brought before Chief Engineer of ‘Procuring Entity’ and concerned Chief Engineer of ‘Project Management Consultant’ for their resolution. In case, however, disputes/ differences between the parties do not get resolved, the matter shall be escalated to higher level in ‘Procuring Entity’, and ‘Project Management Consultant’, who shall be above the level of CE in the respective organizations. They shall submit a comprehensive report and recommendation to ‘Procuring Entity’ and ‘Project Management Consultant’ for facilitating final decision in the matter. 39. Individual and joint responsibilities of the Parties shall be as per clauses mentioned above. 40. No amendment in Terms & Conditions of the MoU shall be valid and effective unless it is in writing and duly signed by authorised representatives of ‘Procuring Entity’ and ‘Project Management Consultant’. Each party shall give due consideration to any proposal for amendment/ modification made by other party with proper justifications thereof. 41. Provisions, if any, made in respect of deposit works in ‘Project Management Consultant’s Works Manual or Codes shall stand modified to the extent of the stipulations made in this MoU for execution of ‘Procuring Entity’ works by ‘Project Management Consultant’.

Annexure 8 — WORKS_MANUAL

Original Rule Text

Annexure 8 — WORKS_MANUAL

Original Rule Text