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DEVELOPMENT OF COMMUNITY HALL & CONVENTION CENTRE AT SURYA NAGAR AREA, KH. NO. 104 MOUZA CHIKHLI (DEO) & KH. NO. 14/3 MOUZA PARDI, NAGPUR, MAHARASHTRA.
ON DESIGN, BUILD, FINANCE, OPERATE AND TRANSFER (DBFOT) BASIS UNDER PUBLIC PRIVATE PARTNERSHIP (PPP)
RFP DOCUMENT
August- 2010
NAGPUR IMPROVEMENT TRUST
DEVELOPMENT OF COMMUNITY HALL AND CONVENTION
CENTRE AT SURYA NAGAR AREA, KH. NO. 104 MOUZA
CHIKHLI (DEO) & KH. NO. 14/3 MOUZA PARDI
IN NAGPUR, MAHARASHTRA
ON
DESIGN, BUILD, FINANCE, OPERATE
AND TRANSFER (DBFOT) BASIS
UNDER PUBLIC PRIVATE PARTNERSHIP (PPP)
RFP DOCUMENT
August 2010
For any Queries Contact:
Project Proponent
Shri. S.H. Gujjelwar
Superintending Engineer,
Nagpur Improvement Trust Station Road, Sadar,
Nagpur-01 Ph. (0712) 2527563, 2540797
Fax-(0712) 2531079
Transaction Advisor
Mr. Jayant S Ukey
Leader- Infrastructure a’XYKno Capital Services Limited,
Level-3, Leela Vista, WHC Road, Bajaj Nagar, Nagpur-440 010
Hand Phone: +919561098862 Landline: (0712) 6467968-988 Fax (0712) 2245338, 2236999
REQUEST FOR PROPOSAL (RFP) DOCUMENT
CONTENTS OF RFP DOCUMENT
VOLUME II: Draft Concession Agreement
VOLUME I: Instructions to Bidders
Table of Contents
E- TENDER NOTICE INVITING REQUEST FOR PROPOSAL .............................................................................. 9
DISCLAIMER ................................................................................................................................................................ 10
1 RFP DOCUMENT .................................................................................................................................................. 11
2 SALIENT INFORMATION .................................................................................................................................. 12
3 ABBREVIATIONS ................................................................................................................................................ 13
4 DEFINITIONS........................................................................................................................................................ 15
Associates ........................................................................................................................................................ 15
Bid Document .................................................................................................................................................. 15
Bid Process ...................................................................................................................................................... 15
Bidder(s) .......................................................................................................................................................... 15
Bidding Company ............................................................................................................................................ 15
Bid Validity Period .......................................................................................................................................... 15
Bank ................................................................................................................................................................. 15
Consortium ...................................................................................................................................................... 15
Consortium Member ........................................................................................................................................ 15
Earnest Money Deposit ................................................................................................................................... 15
Effective Date .................................................................................................................................................. 15
Enrollment Fees ............................................................................................................................................... 16
Floor Space Index ............................................................................................................................................ 16
Financial Bid / Financial Proposal ................................................................................................................. 16
Good Industry Practice ................................................................................................................................... 16
Lead Member / Lead Consortium Member (LCM) .......................................................................................... 16
Project ............................................................................................................................................................. 16
Project Site ...................................................................................................................................................... 16
Proposal .......................................................................................................................................................... 16
Proposal Due Date .......................................................................................................................................... 16
Responsiveness / Non-responsive .................................................................................................................... 16
Request for Proposal (RFP) ............................................................................................................................ 17
Selection Process ............................................................................................................................................. 17
Society.............................................................................................................................................................. 17
Subsidiary/Subsidiaries ................................................................................................................................... 17
Successful Bidder ............................................................................................................................................. 17
Transfer ........................................................................................................................................................... 17
5 INTRODUCTION .................................................................................................................................................. 18
5.1 ABOUT NAGPUR ................................................................................................................................ 18
5.2 ABOUT NAGPUR IMPROVEMENT TRUST............................................................................................ 18
5.3 PROJECT BACKGROUND AND INTRODUCTION ................................................................................... 18
5.4 THE SITE LOCATION ........................................................................................................................... 19
5.6 SCOPE OF THE PROJECT ..................................................................................................................... 21
5.7 MINIMUM DEVELOPMENT OBLIGATIONS (ESSENTIAL FACILITIES): ................................................. 21
5.8 COST OF THE PROJECT ....................................................................................................................... 22
5.9 COMMERCIAL CONSIDERATION ........................................................................................................ 22
5.10 PROJECT IMPLEMENTATION MECHANISM ......................................................................................... 23
6. INFORMATION AND INSTRUCTION TO BIDDERS .................................................................................... 24
6.1 SCOPE OF APPLICATION .................................................................................................................... 24
6.2 ELIGIBLE BIDDERS ............................................................................................................................ 24
6.3 CHANGES IN CONSORTIUM COMPOSITION ........................................................................................ 25
6.4 NUMBER OF APPLICATIONS ............................................................................................................... 25
6.5 APPLICATION PREPARATION COST ................................................................................................... 26
6.6 PROJECT INSPECTION AND SITE VISIT ............................................................................................... 26
6.7 RIGHT TO ACCEPT OR REJECT ANY OR ALL APPLICATIONS .............................................................. 26
6.8 CONTENTS RFP DOCUMENT ............................................................................................................. 26
6.9 CLARIFICATIONS ............................................................................................................................... 27
6.10 AMENDMENT OF RFP ........................................................................................................................ 27
6.11 LANGUAGE ........................................................................................................................................ 27
6.12 CURRENCY ........................................................................................................................................ 27
6.13 VALIDITY OF APPLICATION ............................................................................................................... 27
6.14 FORMAT AND SIGNING OF APPLICATION .......................................................................................... 28
6.15 SEALING AND MARKING OF ELIGIBILITY & TECHNICAL BID DOCUMENTS TO BE SUBMITTED
PHYSICALLY. ................................................................................................................................................ 28
6.17 APPLICATION DUE DATE ................................................................................................................... 29
6.18 LATE APPLICATIONS ......................................................................................................................... 29
6.19 MODIFICATIONS/ SUBSTITUTION/ WITHDRAWAL OF PROPOSALS .................................................... 29
6.20 EVALUATION OF APPLICATION - DUE DATE ..................................................................................... 29
6.21 VALUATION OF APPLICATION - SUPPORTING DOCUMENTS .............................................................. 29
6.22 EVALUATION OF APPLICATION - RIGHT TO REJECT .......................................................................... 30
6.23 TESTS OF RESPONSIVENESS ............................................................................................................... 30
6.24 CLARIFICATIONS ............................................................................................................................... 30
6.25 RFP DOCUMENTS .............................................................................................................................. 30
6.26 STATUS OF LAND AS TO OWNERSHIP ...................................................................................... 30
7. GENERAL PROVISIONS .................................................................................................................................... 31
7.1 PROHIBITION AGAINST COLLUSION WITH OTHER BIDDER ................................................................ 31
7.2 INDUCEMENTS ................................................................................................................................... 31
7.3 CONFIDENTIALITY ............................................................................................................................. 31
7.4 COMMUNICATION BETWEEN BIDDERS AND NIT ............................................................................... 31
7.5 INTERPRETATION OF DOCUMENTS .................................................................................................... 32
7.6 PRE-BID CONFERENCE ...................................................................................................................... 32
7.7 ENQUIRIES CONCERNING THE RFP/ DRAFT CONCESSION AGREEMENT ........................................... 32
7.8 AMENDMENT OF RFP ........................................................................................................................ 32
7.9 SUBMISSION OF BIDS ......................................................................................................................... 33
7.10 BID OPENING ..................................................................................................................................... 33
7.11 EARNEST MONEY DEPOSIT ............................................................................................................... 33
7.12 PERFORMANCE SECURITY ................................................................................................................. 34
7.13 SOURCES OF FUNDS ........................................................................................................................... 34
8 RULES REGULATING THE CONSORTIUM .................................................................................................. 35
8.1 RULES REGULATING THE PARTICIPATION OF A CONSORTIUM OF COMPANIES ................................ 35
8.2 CHANGE IN COMPOSITION OF CONSORTIUM ..................................................................................... 35
8.3 OTHER CONDITIONS IN RESPECT OF CONSORTIUM ........................................................................... 36
9 METHODOLOGY & CRITERIA FOR EVALUATION OF FINANCIAL BID ............................................ 37
9.1 FINANCIAL PROPOSAL EVALUATION ................................................................................................ 37
9.2 DETERMINATION OF PREFERRED BIDDER ......................................................................................... 37
APPENDICES ................................................................................................................................................................ 38
FORMAT FOR POWER OF ATTORNEY FOR SIGNING PROPOSAL .................................................. 39
FORMAT FOR POWER OF ATTORNEY FOR LEAD MEMBER OF CONSORTIUM .......................... 40
DETAILS OF BIDDER ............................................................................................................................... 41
FORMAT FOR LETTER OF APPLICATION ............................................................................................ 42
FORMAT FOR ANTI-COLLUSION CERTIFICATE ................................................................................ 44
FORMAT FOR MEMORANDUM OF UNDERSTANDING (MOU) ........................................................ 46
PROFORMA FOR BANK GUARANTEE FOR PERFORMANCE SECURITY .......................................................... 48
FINANCIAL PROPOSAL (FORMAT FOR INFORMATION SUBMISSION) ............................................................ 50
FORMAT FOR PROJECT UNDERTAKING ............................................................................................. 51
CONCESSION AGREEMENT .................................................................................................................................... 55
ARTICLE 1: DEFINITIONS AND INTERPRETATION ........................................................................................ 58
1.1. Definitions .............................................................................................................................................. 58
1.2. Interpretation ..................................................................................................................................... 62
1.3. Measurements and Arithmetic Conventions ......................................................................................... 63
1.4. Priority of Agreements and Errors/Discrepancies ............................................................................... 63
ARTICLE 2: SCOPE OF WORK .......................................................................................................................... 65
2.1. Scope of work ......................................................................................................................................... 65
ARTICLE 3: CONSIDERATION OF THE CONTRACT ........................................................................................ 66
3.1. The Consideration .................................................................................................................................. 66
ARTICLE 4: CONDITIONS PRECEDENT TO THE AGREEMENT ...................................................................... 69
4.1. Conditions Precedent............................................................................................................................ 69
4.2. Compliance Certificate ......................................................................................................................... 69
4.3. Non-Fulfillment of the Conditions Precedent ......................................................................................... 70
ARTICLE 5. OBLIGATIONS OF THE CONCESSIONAIRE .............................................................................. 71
5.1. Obligations of the Concessionaire.......................................................................................................... 71
5.2. Obligations relating to Other Agreements............................................................................................ 72
5.3. Obligations relating to Change in Ownership ...................................................................................... 72
ARTICLE 6. OBLIGATIONS OF THE CONCESSIONING AUTHORITY ........................................................... 74
6.1. Obligations of the Concessioning Authority ........................................................................................... 74
ARTICLE7. REPRESENTATIONS AND WARRANTIES ................................................................................. 75
7.1. Representations and Warranties of the Concessionaire ......................................................................... 75
7.2. Representations and Warranties of the Concessioning Authority .......................................................... 76
7.3. Disclosure ............................................................................................................................................... 76
ARTICLE 8. DISCLAIMER .......................................................................................................................... 77
8.1. Disclaimer .............................................................................................................................................. 77
ARTICLE 9. PERFORMANCE SECURITY ..................................................................................................... 78
9.1. Performance Security ........................................................................................................................... 78
9.2. Appropriation of Performance Security ............................................................................................... 78
9.3. Release of Performance Security .......................................................................................................... 78
ARTICLE 10. ACCESS ON PROJECT SITE ..................................................................................................... 79
10.1. Project Site ............................................................................................................................................. 79
10.2. Others ..................................................................................................................................................... 79
ARTICLE 11. CONSTRUCTION ON THE PROJECT SITE ................................................................................ 80
11.1. Obligations prior to the commencement of any work ....................................................................... 80
11.2. Project Start and Completion date .................................................................................................... 80
11.3. Completion Certificate ...................................................................................................................... 80
ARTICLE 12. FORCE MAJEURE ................................................................................................................... 81
12.1. Force Majeure ........................................................................................................................................ 81
12.2. Force Majeure Events ............................................................................................................................ 81
12.3. Duty to Report Force Majeure Event ..................................................................................................... 81
12.4. Effect of Force Majeure Event ................................................................................................................ 82
12.5. Allocation of Costs Arising out of Force Majeure .................................................................................. 82
12.6. Dispute Resolution .................................................................................................................................. 82
ARTICLE 13. TERMINATION ....................................................................................................................... 83
13.1. Termination for Concessionaire Default ................................................................................................ 83
13.3. Effect of Termination .............................................................................................................................. 84
13.4. Other Rights and Obligations of the Concessioning Authority .............................................................. 84
ARTICLE 14. LIABILITY AND INDEMNITY ................................................................................................ 85
14.1. General indemnity .................................................................................................................................. 85
14.2. Liability of Concessioning Authority ...................................................................................................... 85
14.3. Indemnity by the Concessionaire ............................................................................................................ 85
14.4. No consequential claims ................................................................................................................... 85
14.5. Survival on Termination .................................................................................................................... 85
ARTICLE 15. DISPUTE RESOLUTION .......................................................................................................... 86
15.1. Dispute resolution ............................................................................................................................. 86
15.2. Conciliation ....................................................................................................................................... 86
15.3. Arbitration ......................................................................................................................................... 86
ARTICLE 16. MISCELLANEOUS .................................................................................................................. 87
16.1. Governing Law and Jurisdiction ............................................................................................................ 87
16.2. Waiver of Immunity ................................................................................................................................ 87
16.3. Delayed Payments .................................................................................................................................. 87
16.4. Waiver ..................................................................................................................................................... 87
16.5. Liability for Inspection of Documents .................................................................................................... 87
16.6. Exclusion of Implied Warranties etc....................................................................................................... 87
16.7. Survival ................................................................................................................................................... 88
16.8. Entire Agreement .................................................................................................................................... 88
16.9. Severability ............................................................................................................................................. 88
16.10. No partnership ...................................................................................................................................... 88
16.11. Third Parties ......................................................................................................................................... 88
16.12. Successors and Assigns ........................................................................................................................ 88
16.13. Notices .................................................................................................................................................. 88
16.14. Language ........................................................................................................................................... 89
16.15. Counterparts ..................................................................................................................................... 89
16.16. Validity ................................................................................................................................................. 89
ANNEXURE I ................................................................................................................................................................. 91
SCHEDULE 1 ................................................................................................................................................. 91
The site location .............................................................................................................................................. 91
Extent of the site is detailed as below: ............................................................................................................ 91
LAND USE AS PER SANCTIONED DEVELOPED PLAN ..................................................................................... 92
ANNEXURE II ............................................................................................................................................................... 93
TECHNICAL SCHEDULE ........................................................................................................................................... 93
I. STANDARDS AND SPECIFICATION ..................................................................................................... 93
1. Civil and Structural Requirements ....................................................................................................... 93
2. Services and Facilities .......................................................................................................................... 94
3. Fire Fighting Facilities......................................................................................................................... 94
4. Light and ventilation ............................................................................................................................. 94
ANNEXURE III: CONCEPTUAL
PLANS…………….………………………………………………………………………………………………………93
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Nagpur Improvement Trust Station Road, Sadar, Nagpur 440022
Web: www.nitnagpur.org, www.nittenders.com
e- TENDER NOTICE INVITING REQUEST FOR PROPOSAL
Nagpur Improvement Trust proposes to DEVELOP COMMUNITY HALL & CONVENTION CENTRE NEAR SURYA NAGAR, MOUZA CHIKHLI (DEO)/ PARDI. The site is located in a prime location of east Nagpur. The Project site is well connected with 36 m. peripheral ring road on one side and 30 m. wide road on another side. The site also is well connected by the busiest area like Itwari Market about 4.8 Km, Gandhibag area about 5.6 Km. and Vardhaman nagar about 1.5 Km.
Under this project NIT envisages Construction of state of the art Community Hall with AC and Non AC facility, One all utility purpose convention hall, Premises for Commercial purpose and Basement Parking, stilt parking as per D.C. rules of Nagpur city.
The development of the project is on Design-Build-Finance-Operate and Transfer (DBFOT) basis under which the developer will Design, Finance, Construct, Operate and Transfer the project. The Developer shall be allotted the area of 5247.420 sq meters on lease for a period of 30 years. To make the project viable and self-sustainable the operator shall be permitted commercial development to some extent within the area of Community Hall on rules and conditions as specified and in consonance of D.C. rule of Nagpur City. Eligibility Criteria: The bidder must have experience of Construction, Running and Maintenance of Community Hall/Resorts/Hotel for minimum 10 years period, having minimum annual turnover of Rs. 10.00 Crores in any of the last 3 financial years and Net worth of Rs. 10.00 Crores
or more. NIT invites proposals from the bidders either on their own or in a consortium. Detail terms and conditions are given in RFP Document. Bid document should accompany an Earnest Money Deposit of Rs. 5,00,000/- (Rupees Five Lacs). The RFP is available on-line from 11 hours on 18.08.2010 to 12.00 hrs. on 17.09.2010on www.nittenders.com. on payment of RFP document cost of Rs. 10,000/- at e-tender cell, Room no. 41 at NIT office Sadar, Nagpur on working days or online purchase by credit card. Pre-bid meeting will be held on 30.08.2010 at 16.00 hrs. at office of Superintending Engineer, N.I.T. Last Date for submission of RFP online is uptill 14.00 hrs. on 17.09.2010. Additional information can be sought from Superintending Engineer, NIT Ph. (0712) 2527563, Fax-(0712) 2531079.
Sd/- Superintending Engineer Nagpur Improvement Trust
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Disclaimer
1. Though adequate care has been taken in the preparation of this RFP Document
(Volumes I and II), the Bidder should satisfy himself that the Document is complete in all
respects including its legal validity.
2. Neither NIT nor its employees or consultants make any representation or warranty as to
the accuracy, reliability or completeness of the information in this RFP (Volumes I and II)
and it is not possible for NIT to consider the investment objectives, financial situation
and particular needs of each party who reads or uses this document. Each prospective
Bidder should conduct his own investigations and analysis and check the accuracy,
reliability and completeness of the information in this RFP and obtain independent
advice from appropriate sources.
3. NIT nor their employees or consultants will have any liability to any prospective bidder or
any other person under the law of contract, tort, the principles of restitution or unjust
enrichment or otherwise for any loss, expense or damage which may arise from or be
incurred or suffered in connection with anything contained in this RFP, any matter
deemed to form part of this RFP, the award of the Project, the project information and
any other information supplied by NIT or its employees, any consultants or otherwise
arising in any way from the selection process.
4. NIT reserves the right to reject any or all of the proposals submitted in response to this
RFP at any stage without assigning any reasons whatsoever.
5. NIT reserves the right to change any or all of the provisions of this RFP prior to Proposal
Due Date. Such changes would be intimated to all the parties being issued this RFP.
6. NIT reserves the right to change, modify, add to or alter the Selection Process including
inclusion of additional evaluation criteria at later stage, which in no event shall be later
than the Proposal Due Date. Any change in the Selection Process shall be intimated to
all concerned parties.
7. Neither NIT nor their employees or consultants will have any liability in case of
non receipt of any correspondence from them to the bidders due to the postal
delays or for any other reasons.
8. Mere submission of this RFP does not vest any right in the Bidder for being
selected for the project.
1 RFP DOCUMENT
Schedule of Bidding Process 1. Pre – Bid Meeting 30.08.2010 at 16.00 hrs in Office of
Chairman, NIT, Nagpur
2.Last date for submission of RFP Up-to 14.00 Hrs IST on 17.09.2010on line at
www.nittenders.com for Both Eligibility Bid &
Financial Bid and between 12.00 hrs to
14.00 hrs on 17.09.2010for physical
submission of EMD & Eligibility documents at
Technical section, NIT, Head Office, Station
Road, Sadar, Nagpur.
3.Date and time of Opening of RFP 16.00 Hrs IST on 17.09.2010or as may be decided by NIT.
4.RFP Document Cost Rs 10,000/- (Rupees Ten Thousand
Only) include taxes, on-line purchase on
payment of Rs. 10,000/- at e-tender cell,
Room no. 41 at NIT office, Sadar, Nagpur or
by online purchase by credit card.
5. Earnest Money Deposit Rs. 5,00,000/- in be in the form of a Demand Draft of Nationalized Bank in favour of Superintending Engineer, Nagpur Improvement Trust payable at Nagpur.
Note :- 1) The bidder should submit the required valid EMD and eligibility documents as per tender
document through on line system by scanning of document and upload the same document on line at www.nittenders.com
2) The technical eligibility documents should be submitted online in “TECHNICAL” option as well
as physically. Financial bid should be submitted online only in “COMMERCIAL” option only and nowhere else in technical option or physically. If financial bid is submitted online with technical bid documents or physically the tender shall be rejected and not liable for opening.
3) The bidder should submit the certified copies of eligibility documents as specified in tender
document along with EMD physically in sealed envelope mentioning name of work, name of bidder etc. at NIT Head Office (Technical Section) on date of RFP receipt i.e. on 17.09.2010in between 14.00 hrs. & 16.00 hrs at the office of Nagpur Improvement Trust, Technical Section, Sadar, Nagpur. Without physical submission of valid EMD and Eligibility documents, the financial bid shall not be eligible for opening even though the same document are uploaded by the bidder for e-tendering on line. Right to accept or reject any or all tenders are reserved.
Superintending Engineer,
Nagpur Improvement Trust. Advt. No. SE./ /_________. Dated: Visit website www.nittenders.com.
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2 Salient Information
Following are the salient aspects of information regarding this bid document (RFP):
This bid document comprises following:
a. Information to Bidders (RFP Document- Vol. I)
b. Draft Concession Agreement and technical schedule
(RFP Document- Vol II)
The following shall be the Schedule of the Bidding Process.
MILESTONE DATE
Issue of RFP Document to Bidders Online from 11 hrs on 18.08.2010 to 12 hrs. on 17.09.2010at www.nittenders.com.
Last Date for Submission (Proposal Due Date) Uptill 14.00 Hrs on 17.09.2010online
for both technical eligibility bid and
Financial Bid and from 12.00 hrs. to
14.00 hrs on 17.09.2010for physical
submission of Eligibility Bid & EMD at
Technical section, NIT Head office,
Sadar, Nagpur.
Opening of Technical Eligibility document 17.09.20101600 hrs
Opening of Financial Proposal 17.09.20101600 hrs or as may be decided by NIT
13
3 ABBREVIATIONS
COD Commercial Operation Date
DBFOT Design, Build, Finance, Operate and Transfer
EMD Earnest Money Deposit
EOI Expression of Interest
EPC Engineering, Procurement and Construction
FSI Floor Space Index
FDI Foreign Direct Investment
FSI Floor Space Index
GoI Government of India
GoM Government of Maharashtra
LCM Lead Consortium Member
LM Lead Member
LOI Letter of Intent
LOA Letter of Award
NIT Nagpur Improvement Trust
CH Community Hall
MOU Memorandum of Understanding
14
PPP Public Private Partnership
PMC Project Monitoring Committee
RFP Request for Proposal
SPV Special Purpose Vehicle
15
4 Definitions
Associates
For Bidding Company or a Consortium Member, only those entities would be “Associates” who control and is controlled by or is under the common control with such applicant/consortium member.
Bid Document
“Bid Document” shall mean any document issued by NIT as part of the Bid Process.
Bid Process
“Bid Process” shall mean various activities taken up by NIT leading up to the selection of the Successful Bidder/s.
Bidder(s)
“Bidder(s)” shall mean Registered Firms, Partnership Firms, Societies registered under the relevant Act, Public Trust registered under Bombay Trust Act, Companies registered under Company‟s act or a group of such bidders (hereinafter referred to as Consortium), coming together to implement the Project. The term Bidder used hereinafter would therefore apply to both a single entity and/or a Consortium.
Bidding Company
“Bidding Company” shall mean a corporate entity (Public or Private Limited) registered under the Companies Act, 1956 or equivalent International law satisfying the basic eligibility criteria of bidding.
Bid Validity Period
“Bid Validity Period” shall mean the period stipulated in Clause 6.13 of Section 6 of this RFP Document, for which the Proposal submitted is valid.
Bank
“Bank” shall mean any Nationalized Bank.
Consortium
“Consortium” shall mean Group of Entities that have jointly submitted the proposal for the project. The maximum no. of entities in the consortium shall be 3 (Three).
Consortium Member
Each entity in the Bidding Consortium shall be referred to as a Consortium Member.
Earnest Money Deposit
“Earnest Money Deposit or Bid Security” shall have the meaning as referred in Section 7.11 of this document.
Effective Date
“Effective Date” means the date on which all the Conditions Precedent are satisfied or waived in writing by both the Parties as per the Concession Agreement.
16
Enrollment Fees
„Enrollment Fees‟ means the fees collected from each member at the time of registration
Floor Space Index
Floor Space Index means the quotient of the floor space excluding the area specifically exempted from computation under the Development Control Regulations that can be constructed in a plot to the plot area. FSI = Total covered floor area on all floors Plot area
Financial Bid / Financial Proposal
“Financial Bid / Financial Proposal” shall mean the information submitted as per Appendix 7 of this document.
Good Industry Practice
“Good Industry Practice” shall mean practices, methods, techniques and standards as changed from time to time that are generally accepted for use in the infrastructure, construction and real estate industry or any other good industry practice which is relevant to the said project.
Lead Member / Lead Consortium Member (LCM)
In case of a Bidding Consortium, the Lead Member / Lead Consortium Member (LCM) shall be that Consortium Member vested with the prime responsibility of developing the Project and holding not less than 51% stake in the consortium.
Project
“Project” shall mean Design, Build, Finance, Operation and Transfer of Community Hall at Kh. no. 104 Mouza Chikhli Devasthan and Kh. No. 14/3 Mouza Pardi, Nagpur more specifically as mentioned under Clause 5.6 of Section 5.
Project Site
Project Site shall mean the area as given in Annexure I
Proposal
“Proposal” shall mean the Financial Proposal to be submitted by the Bidders in response to this Request for Proposal, unless the context specifically refers to a Techno-Commercial proposal and its sub-proposal (i.e. Technical Proposal and / or Financial Proposal) in which case, “Proposal” shall refer to such sub-proposal.
Proposal Due Date
“Proposal Due Date” shall have the same meaning as referred to in Clause 6.17 section 6 of this Document.
Responsiveness / Non-responsive
“Responsiveness / Non-responsive” shall mean as referred in Clause 6.23 of Section 6 of this document.
17
Request for Proposal (RFP)
“Request for Proposal” shall mean this document inviting the submission of “Proposal” to Design, Build, Finance, Operate and Transfer of Community Hall at Kh. no. 104, Mouza Chikhli Devasthan & Kh. No. 14/3 Mouza Pardi, Nagpur.
Selection Process
“Selection Process” shall have the same meaning as the 'Bid Process'.
Society
“Society” word means Society registered under Society Registration Act or Bombay Trust Act as the case may be.
Subsidiary/Subsidiaries
For a Bidding Company or a Consortium Member, Subsidiary / subsidiaries shall mean only those entities in which the Bidding Company / Consortium Member” hold(s) more than 50% of the voting securities directly.
Successful Bidder
The Successful Bidder shall mean the bidder who has been issued Letter of Intent and Letter of Award by NIT, indicating him as the Successful Bidder.
Transfer
Transfer shall mean transfer of the property at the end of the lease period to the NIT. Transfer Date The date of transfer of the property to the lessor shall be the date as per the concession agreement and the date on which the agreement shall end, the date on which the lease period shall end as mentioned in the concession agreement, which is specified at the date & time of signing of the said agreement. Transfer Procedure Prior to transfer of the said property, a notice shall be duly served upon the lessee by the lessor towards vacation of the property and to initiate transfer proceedings, the said 90 day period shall commence exactly 90 days before the date on which lease shall end.
“The lessee is bound to keep, and on the termination of the lease to restore, as good condition as it
was in at the time when he was put in possession, subject only to the changes caused by reasonable
wear and tear or irresistible force, and to allow the lessor and his agents, at all reasonable times
during the term, to enter upon the property and inspect the condition thereof and give or leave
notice of any defect in such condition; and, when such defect has been caused by any act or default
on the part of the lessee, his servants or agents, he is bound to make it good within three months
after such notice has been given or left;”
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5 INTRODUCTION
5.1 About Nagpur
Nagpur is India‟s fastest growing cosmopolitan city with the highest per capita income. With the advent of Multi Modal International Cargo and Passenger Hub Airport at Nagpur (MIHAN), things are moving at an astonishing pace in Nagpur leading to rapid development in city. MIHAN at Nagpur is the biggest economical development project currently underway in India in terms of investment. MIHAN is spread over an area of 4354 Hectares. MIHAN is an Ideal business hub, located in the geometrical centre of India and easily accessible to all the metro cities of India. A final destination for all business related needs, supported by excellent infrastructure, easy and fast procedural systems and continuous support and service through one window operation. MIHAN Project consists of two parts namely International airport to act as a cargo hub and a Special Economic Zone with residential zone covering a total area of 40.25 sq. km on the southern end of Nagpur. Maharashtra Government formed a special purpose entity in the name of Maharashtra Airport Development Company (MADC) for development of MIHAN. The project is financed by multiple Indian banks with total loan amount of INR 3,000 million along with investment from state government and Airports Authority of India. With a projected target of serving 14 million passengers and handle 0.87 million tons of cargo this is one of largest aviation project in India. The estimated capital cost of the project is INR 2581 crores (by year 2035) and is supposed to generate revenues INR 5280 crores.
On its part, Nagpur Improvement Trust has given to the impetus to the city growth by initiating the process of regularizing about 3500 unauthorized layouts which has resulted in large scale housing activity. NIT has also embarked upon infrastructure improvement program under JNNURM for providing basic infrastructure resulting in multifold activity in the city. Rapid expansion of the city and huge investment in infrastructure and real estate has created economic boom in the city economy.
5.2 About Nagpur Improvement Trust
Nagpur Improvement Trust (NIT) was established in the year 1937 for the development of the city under Nagpur Improvement Trust Act 1936. The Nagpur Improvement Trust is declared as a Planning Authority for Nagpur City in 1966 under MRTP Act 1966. The Nagpur Improvement Trust in the year 1976 prepared first development Plan of the city of Nagpur. As per NIT Act the objectives of NIT are to bring about the development of the city by framing various development schemes such as:
1. General Improvement Scheme 2. Housing Accommodation scheme 3. Street scheme 4. Development schemes etc.
Up-till now, Nagpur Improvement Trust has executed 54 development schemes in about 5000 hectares of land in the Nagpur City.
One of the objectives before NIT is to create core infrastructure required for the overall development of the city. As of now NIT has executed many projects for public purpose which includes Swimming Pools, Skating Rinks, Amusement Parks, Shopping Complexes, Malls, Auditorium, etc.
Being a Development Authority, NIT owns some pieces of land in the city which are reserved for various purposes in the sanctioned Development Plan.
5.3 Project background and introduction
Nagpur City is one of the fastest growing Cosmopolitan city of India with an excellent
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Geographic location being almost at the centre of India as far as location is concerned. It is observed that there are no quality facilities for organizing social functions like marriages, parties etc. in the vicinity especially in east Nagpur. As the multipurpose convention centre offers combination of recreation facilities, the proposed convention also with commercial spaces like Departmental Stores, gift centers, small restaurant/ café etc.
NIT envisages developing Multipurpose Convention Facility at Surya Nagar, Nagpur with
Private Sector Participation. NIT identified 5247.420 Sqm. of land of Nagpur Improvement
Trust, and envisages development of Community hall & Convention Facilities on Design
Build Finance Operate Transfer (DBFOT) basis. The project shall be developed and
established under pre-specified performance standards.
5.4 The site location
The site identified by NIT for construction of Community Hall is located in Mouza Chikhali (Deo) & Pardi abutting 30 m. wide Main road. The Total area of proposed site is 5247.420 sq. m. The proposed site has been divided into three parts i.e. plot no. G, H and J. The plot G and H has been combined for the development of the community hall and commercial purpose which has the total plot area of 2787.080 Sq. m. while plot no. J has been reserved for the ancillary facilities of the community hall which has the total plot area of 2460.340 & also commercial uses on this plot and front access from the 36 m. peripheral ring road is not permitted except one 10 ft. gate for ancillary facilities.
Propose
d Site
36 m. wide Ring
Road
30 m. wide
Road
Mahakalkar
Sabhagruha
Proposed Site
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Extent of the site is detailed as below:
S. No. Plot No. Description Area of Land in
Sq Mt
1 G & H Kh. no. 14/3 Mouza Pardi , Nagpur 2787.08
2 J Kh. No. 104 Mouza Chikhali (Deo.), Nagpur 2460.340
Total 5247.420
5. Land use as per sanctioned Developed Plan
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The provisions of the sanctioned development plan and the development control rules in force shall form the guiding factor for the development of the Community Hall. As per the sanctioned development plan for the city of Nagpur, the land under the project is earmarked for public institutions in which Community Hall is permissible.
5.6 Scope of the Project
NIT through this RFP invites tender under Public Private Partnership (PPP) model for Community Hall at Kh. no. 104 Mouza Chikhali Devasthan & Kh. No. 14/3 Mouza Pardi, on Design, Build, Finance, Operate and Transfer (DBFOT) basis. Under this project the successful bidder shall have to construct Community Hall facility using eco-friendly and compatible material. The tentative cost of project is Rs. 15.00 crores Area of project site for
the Community Hall is 2787.08 sq. m. and for ancillary use Building as 2460.34 sq. m. Successful bidders shall Design, Build, Finance, Operate and Transfer Community Hall facilities along with convention centre and commercial allied facilities on the Land earmarked for the purpose. Community Hall shall be allowed to be retained on lease basis for a period of 30 years. At the end of the lease period and Transfer Date, the property shall be transferred back to the NIT as per Transfer procedure. The successful bidder also shall have to get all the necessary approvals of his own for commencement of the operation. After completion of lease period the concessioner waives off all his rights for any further lease renewal.
All the facilities shall have to be developed as per the minimum quality standards set out for the purpose in the technical schedule appended as in Volume II with this document.
While undertaking development of the Project, the Successful Bidder shall adhere to latest
amended National Building Code of India or other relevant IS Codes and practices or
equivalent international codes, Development Control Regulations, FSI Limits, statutory
requirements, laws of land, the principles of good industry practices and any other norms
as applicable from time to time. The Building plans for the proposal construction in location
marked on site plan at Annexure- III shall be got duly sanctioned along with compound wall
for Community Hall premises within 60 days of Agreement from Chairman, N.I.T. The successful bidder shall be responsible for all the clearances as may be required for the development and operations of the project.
5.7 Minimum Development Obligations (Essential Facilities):
A. A Community Hall with following facilities in combined plot G & H
o Two Community Hall of 750 sq. m. each of which one minimum should be Air Conditioned Hall.
o One all utility purpose convention hall (apprx. 2000 sq. ft.)
o Premises for Commercial purpose as per D.C. Rule
o One compulsory Basement Parking and one stilt parking to fulfill the parking requirements as per D.C. rules of Nagpur city.
o All basic necessity like drinking water, toilets, DG sets, Fire fighting facility, security systems, electric connection, water connection, etc.
B. Ancillary use Building with following facilities in plot J
o Kitchen
o Stores
o Dormitories
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o Rooms
o Small Dining Hall
o Parking as per D.C. Rule
o Beatification
o Required Toilets and bathrooms as per D.C. Rule.
C. Revenue Streams
The Private Sector Operator will be able to recover its investment through the following indicative streams of revenue:
Revenue from Community hall.
Revenue from Convention Facility.
Revenue from Commercial activity.
Revenue from ancillary facilities.
5.8 Cost of the Project
Project cost is estimated to be Rs 15.00 Crores. (Rupees Fifteen crores only)
5.9 Commercial Consideration
1. Land under the project shall be allotted on lease for a period of 30 years from the date of concession agreement with no further renewal of lease beyond 30 years. The property shall be transferred back to NIT at the end of the lease period and the concessioner waives off all his rights of lease renewal at the end of lease period.
2. During the lease period, Bidder shall have to pay annual ground rent @ 2% of Rs. 4.20
crores or 2% of Bid amount whichever is higher. Ground Rent shall become due every year on the day 1
st of the month on which this Agreement is executed between both
parties. Rs. 4.20 Crores is the reserved bid price.
3. Land allotted shall have to be utilized for the purpose of Community Hall which is permissible user in DC rules of Nagpur city and the Construction permissible shall be in consonance with Development Control Rules for the city in force. The total built up area allowed for the project shall be restricted to a maximum of 2787.08 sq. m. for combined plot G&H and 2460.34 sq. m. for plot J
4. Bidders shall have to execute the project as mentioned in the scope of project and as per the minimum standards and specifications as per the technical schedule appended with this document in Volume II, within 18 months from the date of Agreement, and that, in the event of failure, the performance security furnished on the execution of the Agreement shall be forfeited by NIT and the developer shall be blacklisted, as per the Provision of the Draft Concession Agreement.
5. The Bidder shall have to submit upfront performance securities of Rupees Three Crores to the Nagpur Improvement Trust as a security deposit on acceptance of offer.
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6. The bidder shall complete the Construction & start operation of Community Hall within 18 months of the date of agreement and operate run and maintain it till lease period from the date of agreement. The property shall be transferred to NIT at the end of the lease period.
7. In the event of non completion of the Community Hall construction and the starting of Community Hall operation within 18 months of the date of agreement, a penalty of Rs. 25,000/- per day shall be imposed till the day the construction is completed and the Community Hall made operational. The extension period so allowed shall be for a maximum period of 90 days and even after the extended 90 days period the Community Hall is not completed and made operational then all the S.D (Performance Security) lodged with NIT shall be forfeited including the upfront premium and the possession of site shall be taken over with all the assets created without any compensation there off.
8. Bidder shall not be allowed to use the Community Hall premises and ancillary use building premises in any form for Go-downs, Beer Bar, Storage of Explosives, chemicals, oxygen cylinder etc. prohibited etc. which is not permissible as per DC rules of the city.
9. The Bidder shall have to comply with all applicable laws and regulations in the performance of his Obligations under this agreement.
10. Without prejudice to above, the Bidder shall discharge its obligations as per the national building code, development control rules, the Principles of good industry practice and as a reasonable and prudent person, statutory Requirements, laws of the land and any other norms, which are applicable from time to Time.
11. The Bidder shall get prior approval of the NIT in case there is any change to include any additional facilities which can be allowed as per D.C. rules of the city other than those defined in the project.
5.10 Project Implementation Mechanism
The successful bidder in case of a consortium shall form a Special Purpose Vehicle (SPV) in the form of limited company under Companies Act, 1956 for the purpose of implementation of the project. The Concession Agreement shall be signed between the SPV and NIT. In case, the successful bidder is a single entity, the Concession Agreement shall be signed between the Single Entity and NIT. No SPV need be formed in case Single Entity is the Successful Bidder.
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6. INFORMATION AND INSTRUCTION TO BIDDERS
6.1 Scope of Application
6.1.1 NIT wishes to receive Applications from experienced and capable Bidders for proposal in respect of the Project.
6.2 Eligible Bidders
1. The Bidder may be a Registered Firms, Partnership Firms, Societies registered under the relevant Act, Public Trust registered under Trust Act, Companies registered under Company‟s act or a group of such bidders (hereinafter referred to as Consortium), coming together to implement the Project. The term Bidder used hereinafter would therefore apply to both a single entity and/or a Consortium.
The eligible bidder company‟s business entity should be defined as a company incorporated under Indian Companies Act, 1956, a duly registered partnership firm under Indian Partnership Act 1932, or any of the aforementioned entities from outside India under equivalent law.
1. The Bidder must have an experience of Construction, Running and maintenance of Community Hall / Resorts/Hotels/ Hospitality Business of minimum 10 years period.
2. The Bidder must have an minimum annual Turnover of Rs. 10.00 crores in one of
the last 3 financial years. For this, the Bidder must submit the audited Balance sheet from chartered Accountant for last 3 years (i.e. 2007-08. 2008-09, 2009-10)
3. The Bidder must have filed Income Tax returns & should submit a copy of returns filed in last 3 years.
4. The Bidder must have valid Service Tax Registration and should submit the copy of the same confirming his experience in Community Hall/ resort / hotel business for at least 10 years.
5. Net worth Certificate of Rs. 10 crore audited by CA and duly approved by auditor
for last financial year must be submitted.
2. The Bidder should submit a Power of Attorney as per the format enclosed at Appendix 1A, authorizing the signatory of the Application to commit the Bid.
3. Applications submitted by a Consortium should comply with the following additional requirements:
1. The Application should contain the information required for each member of the Consortium
2. The purchaser of the RFP document must be the Bidder itself or member of the consortium submitting the application.
3. An individual Bidder cannot at the same time be member of a Consortium applying for this Project. Further, a member of a particular Consortium cannot be member of any other Consortium applying for this Project; an undertaking towards this end needs to be submitted by all members.
4. Members of the Consortium shall nominate one member as the Lead Member. The nomination shall be supported by a Power of Attorney as per the format enclosed at Appendix 1B
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5. Members of the Consortium shall enter into a Memorandum of Understanding (MOU) as per the format enclosed at Appendix 5 and duly notarized for the purpose of making the Application and submitting a Proposal. The MOU shall, inter alia:
i. Convey the intent to form a Special Purpose Vehicle with shareholding commitment(s) as stipulated in this document, which would enter into the Concession Agreements and subsequently carry out all the responsibilities as Concessionaire in terms of the Concession Agreement, in case the Concession to undertake the Project is awarded to the Bidder.
ii. Clearly outline the proposed roles and responsibilities of each member in case of Consortium at each stage,
iii. Commit the minimum equity stake as stipulated, and
iv. include a statement to the effect that all members of the Consortium shall be liable jointly severally for the execution of the Project in accordance with the terms of the Concession Agreement
v. In case of consortium, the Lead Member shall hold at least 51% share in the shareholding.
vi. The other members of the consortium shall hold a minimum of 11% share each in the shareholding.
4. Notwithstanding anything stated elsewhere in this document, NIT shall have the right
to seek updated information from the Bidders to ensure their continued eligibility. Bidders shall provide evidence of their continued eligibility in a manner that is satisfactory to NIT. Bidder may be disqualified if it is determined by the NIT, at any stage of the process, that the Bidder will be unable to fulfill the requirements of the Project or fails to continue to satisfy the Eligibility Criteria. Supplementary information or documentations may be sought from Bidders at any time and must so be provided within a reasonable time frame as stipulated by NIT.
5. Any entity which has been barred or disqualified either by GOI or GOM or their
Departments or agencies from participating in projects (BOT or otherwise) and such disqualification subsists as on the Application date, would not be eligible to submit an Application, either individually or as member of a Consortium. Bidder shall have to submit an affidavit to this effect. Any Bidder who has gone into litigation or Arbitration against NIT in past shall not be eligible for bidding.
6.3 Changes in Consortium Composition
After submission of RFP, change in the composition of the Consortium (except lead member) will be subject to approval of NIT but applications to change the consortium should reach NIT before opening of the RFP.
6.4 Number of Applications
Each Bidder shall submit only one (1) Application in response to this RFP. Any Bidder, which submits or participates in more than one Application will be disqualified and will also cause the disqualification of the Consortiums / Bidder of which it is a member as the case may be.
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6.5 Application Preparation Cost
The Bidder shall be responsible for all of the costs associated with the preparation of its Application and its participation in the Selection process. NIT will not be responsible or in any way liable for such costs, regardless of the conduct or outcome of the qualification process.
6.6 Project Inspection and Site Visit
1. It is desirable that each Bidder submits its Application after inspecting the sites; and ascertaining for itself the location, surroundings, access, transport, right of way or any other matter considered relevant by it.
2. Site visit may be facilitated by NIT. A prospective Bidder may notify NIT in writing 3 days prior to plan visit. NIT would endeavor to facilitate the site visit depending upon the availability of the concerned officials.
3. It would be deemed that by submitting the Application, Bidder has:
I. Made a complete and careful examination of the RFP and
II. Received all relevant information requested from NIT.
4. NIT shall not be liable for any mistake or error on the part of the Bidder in respect of the above.
6.7 Right to Accept or Reject any or all Applications
1. Notwithstanding anything contained in this RFP, NIT reserves the right to accept or reject any Application and to annul the bidding process and reject all Applications / Proposals, at any time without any liability or any obligation for such acceptance, rejection or annulment, without assigning any reasons.
2. NIT reserves the right to reject any Application if:
1. At any time, a material misrepresentation is made or uncovered, or
2. The bidder does not respond promptly and thoroughly to requests for supplemental information required for the evaluation of the Application. Such misrepresentation / improper response would lead to the disqualification of the Bidder. If the Bidder is a Consortium, then the entire Consortium would be disqualified / rejected.
6.8 Contents RFP Document
The RFP Document comprises the contents as given in the Table of Contents and would additionally include any Addenda issued in accordance with the provisions of this Document.
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6.9 Clarifications
Interested parties may address their queries relating to the RFP Document during the pre-bid meeting schedule to be held on 30.08.2010 at 16.00 hrs. office of Superintending Engineer, Nagpur Improvement Trust, Nagpur. Contact persons for this project are as under
Sr. No. Name Designation Landline No. Mobile No.
1 Dr. Sanjay Mukherjee Chairman, NIT 0712-2533202
2 Mr. S.H. Gujjelwar
Superintending Engineer, NIT
0712-2527563 9823042289
3 Mr. R. Anand Kumar
Executive Engineer (Technical ), NIT
0712-2547885 9823326951
6.10 Amendment of RFP
1. At any time prior to the deadline for submission of Application, NIT may, for any reason, whether at its own initiative or in response to clarifications requested by any Bidder, modify the RFP Document by the issuance of an Addendum.
2. Any Addendum thus issued will be sent in writing to all those who have purchased the RFP Document and shall also be uploaded on www.nittenders.com
6.11 Language
The Application and all related correspondence and documents should be written in the English language. Supporting documents and printed literature furnished by Bidder with the Application may be in any other language provided that they are accompanied by appropriate translations of the pertinent passages in the English language duly certified appropriately. Supporting materials, which are not translated into English, may not be considered. For the purpose of interpretation and evaluation of the Application, the English language translation shall prevail.
6.12 Currency
The currency for the purpose of the Application shall be the Indian Rupee (INR). Bids in any other currency shall be rejected.
6.13 Validity of Application
Applications shall remain valid for a period not less than 120 days from the Application Due Date. NIT reserves the right to reject any Application, which does not meet this requirement.
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6.14 Format and Signing of Application
1. The Bidder would provide all the information as per this RFP Document. NIT would evaluate only those Applications that are received in the required format and are complete in all respects.
2. The Application shall be typed or written in indelible ink and each page shall be initialed and stamped by the Bidder. All the alterations, omissions, additions, or any other amendments made to the Application shall be initialed by the person(s) signing the Application.
6.15 Sealing and Marking of Eligibility & Technical bid documents to be submitted physically.
1. The Sealed Envelop marked to Superintending Engineer, NIT with name of work & bidder should contain:
a) Earnest Money Deposit of Rs 5,00,000/- (Rupees Five lacs Only) through account payee Demand Draft in favour of Superintending Engineer, Nagpur Improvement Trust payable at Nagpur.
b) Power of Attorney for the signing authority as per the format enclosed at Appendix 1A,
c) Power of Attorney for the Lead member of the consortium as per the format enclosed at Appendix 1B, in case of Consortium;
d) Bidder details (Appendix 2)
e) Application in the prescribed format (Appendix 3) along with supporting documents;
f) Format of Anti collusion certificate as in Appendix 4.
g) In case of a Consortium, an undertaking from each member of Consortium certifying that it is an exclusive member of that particular consortium alone and not a member of any other consortium nor an independent Bidder, bidding for this project and has submitted only one (1) Application in response to this RFP. (Appendix 8)
h) MOU in case of a Consortium (Appendix 5);
i) Affidavit that Bidder / Consortium member is not barred or disqualified either by GOI or GOM or their Departments or agencies from participating in projects (BOT or otherwise) and such disqualification subsists as on the Application date. ( Appendix 9)
j) All Eligibility documents as mentioned in clause 6.2 (1) of section 6.
Please note that NIT retains the right to ask for any further information/ clarification during the Bid Process.
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6.16 Submission of Bids:- 1) The bidder should submit the required valid EMD and Eligibility documents as per tender
documents through online system by scanning of documents and upload the same documents online at www.nittenders.com. in Technical option.
2) The Financial Bid as per Appendix 7 should be uploaded online at www.nittenders.com. in commercial option only and not in Technical option or neither physical submission.
3) The bidder should submit the Eligibility. Technical documents in a sealed envelope, as per clause 6.15 of section 6, on the date & time specified at section 2, physically at Tech. section, Head Office, NIT. Without physical submission of valid eligibility documents as per clause 6.15, the financial Bid shall not be eligible for opening even through the same documents are uploaded by the bidder for e-tendering online.
6.17 Application Due Date
Applications should be submitted before or on the Submission Date mentioned in the Schedule of Bidding Process, in the manner and form as detailed in this RFP. Applications submitted by either facsimile transmission, telex or e-mail will not be considered for evaluation. However NIT reserves the right to extend the Application Due Date and Time, due to any reasons including insufficient response on scheduled date & time. The applications received prior to such extension shall not be opened on the scheduled date but shall be opened on extended date only. Further if the RFP document is materially modified along/during such extended period, the RFP application received prior to extension shall be returned to the applicants and appropriate time shall be allowed for resubmission of the Applications.
6.18 Late Applications
Applications received after the Application Due Date shall not be considered,
6.19 Modifications/ Substitution/ Withdrawal of Proposals
The Bidder may modify, substitute or withdraw its Proposal after submission, provided that written notice of the modification, substitution or withdrawal is received by NIT before the Proposal Due Date and time. No Proposal shall be modified or substituted or withdrawn by the Bidder after the Proposal Due Date and time
6.20 Evaluation of Application - Due Date
NIT would open the Applications after 1600 hours IST on the Application Due Date mentioned in the Schedule of Bidding Process, for the purpose of evaluation.
6.21 Valuation of Application - Supporting Documents
NIT reserves the right to call for supporting documentation to verify the data provided by Bidders, at any time during the bidding process. The Bidder in such cases would need to provide the requested clarification / documents promptly and within the stipulated time failing which the Bidder is liable to be disqualified at any stage of the bidding process.
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6.22 Evaluation of Application - Right to Reject
NIT reserves the right to reject any Application if:
1. At any time, a material misrepresentation is made or uncovered; or
2. The Bidder does not respond promptly and thoroughly to requests for supplemental information required for the evaluation of the Application.
6.23 Tests of responsiveness
Prior to evaluation of Applications, NIT will determine whether each Application is responsive to the requirements of the RFP. An Application shall be considered responsive if the Application:
1. is received by the Application Due Date (Clause 6.17) including any extension thereof
2. is accompanied by MOU in case of a Consortium ( Appendix 5), if applicable, duly supported by Board resolution and charter documents,
3. It is accompanied by a valid Earnest Money Deposit ;
4. Contains all the documents which were to be submitted as per the provisions of Section 6.16 of this Document.
NIT reserves the right to reject any Application which is non-responsive and no request for alteration, modification, substitution or withdrawal shall be entertained by NIT in respect of such Applications.
6.24 Clarifications
To facilitate evaluation of Applications, NIT may at its sole discretion, seek clarifications in writing from any Bidder regarding its Application.
6.25 RFP Documents
RFP Documents contain the following: 1. Volume I - Instruction to Bidders 2. Volume II - Draft Concession Agreement & Technical Schedule
6.26 STATUS OF LAND AS TO OWNERSHIP
The land in Kh. No. 104, Mouza Chikhli Devasthan was acquired by NIT through Special Land Acquisition Officer in R.C.No94/A-65, 66-67. The award was passed on 28.3.1972. Possession of the land was received by NIT on 16.6.1972. Similarly the Land of Kh. No. 14/3, Mouza Pardi was acquired by NIT through special land acquisition officer in R.C. No. 134/A-65-66-67. The award was passed on 17.8.1970. Possession of the land was received by NIT on 14.1.72 & 19.4.72, now in part of Land it is proposed to develop a Community Hall & Convention Centre.
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7. General Provisions
7.1 Prohibition against Collusion with other Bidder
Each Bidder shall warrant by its Bid that the contents of its Bid have been arrived at independently. Any Bid which has been arrived at through consultation, collusion, or understanding with any other prospective Bidder for the purpose of restricting competition shall be deemed to be invalid and the Bidder shall lose its Earnest Money Deposit. The anti-collusion certificate submitted at the time of submission of RFP shall be applicable.
7.2 Inducements
Any effort by a Bidder to influence processing of Bids or award decision by NIT or any officer, agent or Advisor thereof may result in the rejection of such Bidder‟s Bid. In such a rejection of Bid, the Bidder shall lose its Earnest Money Deposit.
7.3 Confidentiality
7.3.1 NIT shall treat all Bids and other documents, information and solutions submitted by
Bidders as confidential, and shall take all reasonable precautions that all those who have access to such material, treat this in confidence. NIT will not divulge any such information unless it is ordered to do so by any authority, which has the power to require its release.
7.3.2 NIT shall have the right to release the Bid information provided by the Bidders to its Advisors for the purpose of Bid evaluation and negotiations. Each Bidder shall have the right to release these RFP Documents and other Documents to its advisors and to financial institutions for the purpose of Bid preparation, negotiations and financing. Both NIT and the Bidder shall ensure that their Advisors and/ or financial institutions treat this information in confidence.
7.3.3 Any information relating to examination, clarification, evaluation and comparison of
bids and recommendations for the award of a contract shall not be disclosed to Bidders or any other person not officially concerned with the Bid Process until the award to the Successful Bidder has been communicated, except of reasons of public transparency.
7.4 Communication between Bidders and NIT
All communication, unless specified otherwise, on these RFP Documents to NIT shall be addressed to:
The Superintending Engineer,
Nagpur Improvement Trust,
Station Road, Sadar,
Nagpur-440001,
Maharashtra Telephone 0712-2527563, 0712-2540797, 071-2550698 Fax -0712-2531079
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All communication to the Bidder shall be sent to the Authorized Representative & Signatory at the addresses mentioned in the covering letters to this RFP, unless NIT is advised otherwise.
7.5 Interpretation of Documents
NIT will have the sole discretion in relation to:
1. The interpretation of this RFP, the Proposals and any documentation provided in support of the Proposals; and All decisions in relation to the evaluation and ranking of Proposals, whether or not to request for any clarifications or additional information from Bidder in relation to its Proposal and the selection of the Successful Bidder.
2. NIT will have no obligation to explain its interpretation of this RFP, the Proposals or their supporting documentation and information or to explain the evaluation process, ranking process or the selection of the Successful Bidder.
7.6 Pre-Bid Conference
Pre-Bid conference will be held on 30.08.2010 at 16.00 hrs. in the office of Chairman, Nagpur Improvement Trust, Station Road, Sadar, Nagpur.
7.7 Enquiries concerning the RFP/ Draft Concession Agreement
7.7.1 NIT encourages a careful review of these RFP Documents and preparation of the observations/ comments by the Bidder. The Bidder should send their comments in writing.
7.7.2 NIT shall not respond to inquiries submitted by any Bidder after pre-bid meeting.
7.7.3 All inquiries should be submitted to the Chairman, NIT Nagpur on the date of pre-bid meeting i.e. 16.00 hrs. on 30.08.2010. No enquiries/ clarification shall be entertained after pre-bid.
7.7.4 No interpretation, revision or other communication regarding this solicitation is valid unless in writing and is signed by Superintending Engineer. Written copies of NIT responses, including a description of the inquiry but without identifying its source, will be sent to all the Bidder(s) and will qualify as an “Addendum”
7.8 Amendment of RFP
7.8.1 On its own initiative or on the basis of the Pre-Bid Conference and any further
discussions with any/ all Bidder(s), NIT may at its own discretion make changes in the parameters for the Project, which would be common for all the Bidders. Such changes in the parameters of the Project will qualify as an “Addendum”.
7.8.2 In order to offer prospective Bidders a reasonable time to take into account an Addendum while preparing their Proposals, or for any other reason, NIT may, at its discretion, extend the Proposal Due Date.
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7.9 Submission of Bids
7.9.1 Bid should be submitted on or before date of submission as mentioned in Scheduled
of Bidding process. 7.9.2 The Bidder shall submit copy of the receipt of Rs. 10,000/- (Rupees Ten Thousand
only) along with the Proposal if purchased physically. 7.9.3 Bid must accompany Earnest money without which the bid will not be opened.
7.10 Bid Opening
7.10.1 NIT shall open all Bids, received on the Proposal Due Date mentioned under Schedule of Selection Process or on any date as extended by NIT and communicated to the bidders. The Bids shall be opened in the presence of Bidders‟ representatives, who choose to attend. Bidders‟ representatives attending the Bid Opening shall register to evidence their presence. Bidder‟s Eligibility documents will be first opened which are submitted both on-line as well as physically. If the bidder fails to submit either the Eligibility documents on-line or physically then his financial bid shall not be opened even though he may qualify in the eligibility criteria.
7.10.2 The following information will be announced at the Bid Opening and recorded:
a) Bidder‟s names/Names of Consortium Members
b) Bid value
After the Bid Opening, information relating to the examination, clarification and evaluation of Bids and recommendations concerning the Bid Award shall not be disclosed.
7.11 Earnest Money Deposit
7.11.1 The Bidder shall submit an Earnest Money Deposit (EMD) for an amount of Rs 5,00,000/- (Rupees Five lac only) along with its Proposal.
7.11.2 The Earnest Money Deposit shall be in the form of a Demand Draft of Nationalized Bank in favour of Superintending Engineer, Nagpur Improvement Trust payable at Nagpur.
7.11.3 NIT shall have the right to reject the Proposal, which does not include the Earnest Money Deposit as non-responsive.
7.11.4 The EMD of Unsuccessful Bidders, except the second successful bidder will be returned within a period of ten (10) days from the date of acceptance of Letter of Intent by the Successful Bidder. However, the EMD of second successful bidder shall be returned on signing of the concession agreement by the successful bidder.
7.11.5 The EMD of the Successful Bidder shall be retained and adjusted in up-front premium to be paid.
7.11.6 In addition to the above, NIT will promptly release EMD of all the Bidders in the event NIT decides to terminate the Bidding Process.
7.11.7 The EMD shall be forfeited by NIT, in any of the following case:
a) The Bidder withdraws his bid after the Proposal Due Date
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b) Successful Bidder fails to accept Letter of Intent
c) Successful Bidder fails to submit the Performance Security or
d) As per the provisions of Draft Concession Agreement
7.12 Performance Security
The Successful Bidder shall for due and faithful performance of its obligations during the Project completion, provide to NIT a performance security of Rs. 3,00,00,000/- (Rupees Three Crores only) in the form of Bank Guarantee (in the format prescribed in the RFP) from Nationalized Bank which will be valid for the duration 3 years from the date of agreement. If the Agreement is terminated due to any event other than a Concessionaire Event of Default, the Performance Security shall, subject to the Concessioning Authority‟s right to receive or recover amounts, if any, due from the Concessionaire under this Agreement, be duly discharged and released to the Concessionaire.
Upon occurrence of a Concessionaire Default, the Concessioning Authority shall, without prejudice to its other rights and remedies hereunder or in law, shall be entitled to invoke and appropriate the relevant amounts from the Performance Security as Damages for such Concessionaire Default. Upon such invocation and appropriation from the Performance Security, the Concessionaire shall, within 15 (fifteen) days thereof, replenish, in case of partial appropriation, the Performance Security to its original level, and in case of appropriation of the entire Performance Security provide a fresh Performance Security, as the case may be, and the Concessionaire shall, within the time so granted, replenish or furnish fresh Performance Security as aforesaid failing which the Concessioning Authority shall be entitled to terminate this Agreement in accordance with Article 13 of the Concession Agreement.
In case the successful bidder fails to furnish the Performance Security within the stipulated time as mentioned herein, the LOA shall stand void and LOI may be issued to the second successful bidder.
7.13 Sources of Funds
The responsibility to raise funds for the Project would rest with the Successful Bidder.
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8 RULES REGULATING THE CONSORTIUM The objective of this stage is to outline the Rules regarding the Consortium. The Envelope A shall contain the information in respect of the Bidder/Consortium as per Clause 6.15 of this RFP document. Following are the rules which shall guide the operation of the Consortium: Consortium of Bidders
8.1 Rules Regulating the Participation of a Consortium of Companies
NIT may consider a bid submitted by a consortium of companies or societies or consortium of societies subject to the following conditions:
1. The foreign construction company / Developer may apply directly for the project or in association with Indian Partner subject to the prevailing GoI, FDI and Indian Laws.
2. The members of the Consortium must form a Special Purpose Vehicle (SPV) and submit a MoU to that extent.
3. The commercial arrangements and roles and responsibilities between the consortium partners should be specified in Memorandum of Understanding and duly executed copy of MOU should be submitted along with the proposal. The MOU to be entered into between the Consortium Members as per Appendix 5 of this RFP Document shall reflect the above.
4. The members of the consortium shall designate among themselves one member as “Lead Consortium Member”.
5. Lead Consortium Member shall hold a minimum of 51% equity in the SPV and each of the other Consortium Member shall hold a minimum of 11% in the SPV.
6. The Members of the Consortium shall execute Power of Attorney as per the format enclosed in Appendix 1B of RFP Document.
7. The no. of members in consortium shall be restricted to maximum 3 (Three).
8. A bidder who has applied for a project in its individual capacity or as a part of a consortium cannot participate as a Member of any other Consortium applying for this Project.
8.2 Change in Composition of Consortium
There should be no change in the consortium structure after the submission of bid. If there are any changes in the consortium structure by any bidder, NIT reserves the right not to consider the change in the consortium and to reject such a bid. No change in Consortium Members shall be allowed till the completion of the project or a minimum of 3 years (whichever is later). However, the Lead Consortium Member shall not be allowed to be changed over the entire Lease Period and shall continue to hold 51% stake in the Consortium till the start of Commercial Operations. The Lead Consortium Member shall be allowed to dilute the stake after the commercial operations date with the approval of the Concessioning Authority such that the stake of the Lead Consortium Member in the consortium shall not fall below 26% at any time till the end of Lease Period.
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8.3 Other Conditions in Respect of Consortium
Each Consortium Member shall have a minimum of 11% stake in the SPV formed. None of the Consortium Member shall be allowed to dilute its stake till the completion of the project or a minimum of 3 years (whichever is later).
Lead Consortium Member shall invest minimum 51% of the equity towards the project. Lead Consortium Member shall not be allowed to dilute its stake to a level below 51% till the start of commercial operations. The Lead Consortium Member shall be allowed to dilute the stake after the commercial operations date with the approval of the Concessioning Authority such that the stake of the Lead Consortium Member in the consortium shall not fall below 26% at any time till the end of Lease Period.
Any change in Consortium members may be allowed only if equal or better replacement is there. However, any change in consortium shall be at the discretion of the Concessioning Authority.
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9 METHODOLOGY & CRITERIA FOR EVALUATION OF FINANCIAL BID
9.1 Financial Proposal Evaluation
This part of the RFP provides information on the methodology that will be used to evaluate
the Financial Proposals received. These RFP documents may be amended or technical and financial parameters of the Project may be changed by NIT by issue of an Addendum. Such an Addendum will form part of these RFP documents and would be common for all the Bidders. NIT reserves the right to reject the Proposals, which do not conform to the provisions stipulated in the RFP Documents.
The proposal of the bidder quoting the highest upfront land premium shall be
considered as the proposal having highest financial score. The proposal with highest financial score would be ranked first.
9.2 Determination of Preferred Bidder
NIT shall issue a Letter of Award (LOA) after getting the approval of the Board of Trustees
of NIT. The Successful Bidder shall enter into Concession Agreement with NIT for the implementation of the project within 30 days of issuance of LOA. The successful Bidder shall be required to give performance security before signing of the Concession Agreement within 30 days of issue of Letter of Award. If the Successful Bidder fails in entering into contract (Concession Agreement) as required without giving the required clarifications to the satisfaction of NIT, NIT reserves the right to begin negotiations with the next highest ranked Bidder and so on.
NIT also reserves the right to reject any Proposal if at any time, a material
misrepresentation is made or uncovered, or The Bidder does not respond promptly and thoroughly to the requests for supplementary information required for evaluation of the Proposal. The Proposal deviates from the commercial parameters of these RFP Documents.
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APPENDICES
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APPENDIX 1A
FORMAT FOR POWER OF ATTORNEY FOR SIGNING PROPOSAL
(On a Stamp Paper of appropriate value)
POWER OF ATTORNEY
Know all men by these presents, we ____________ (name and address of the registered office) do
hereby constitute, appoint and authorize Mr. /Ms. _____________________ (name and address of
residence) who is presently employed with us and holding the position of __________________ as
our attorney, to do in our name and on our behalf, all such acts, deeds and things necessary in
connection with or incidental to our proposal for the Development of Community Hall, Kh. No. 104,
Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi , Nagpur, Maharashtra on Design, Build,
Finance, Operate and Transfer (DBFOT) basis in the state of Maharashtra, including signing and
submission of all documents and providing information/ responses to NIT representing us in all
matters before NIT, and generally dealing with NIT in all matters in connection with our proposal for
the said Project.
We hereby agree to ratify all such acts, deeds and things lawfully done by our said attorney pursuant to this Power of Attorney and that all such acts, deeds and things lawfully done by our aforesaid attorney shall and shall always be deemed to have been done by us.
For ------------------------ (Signature) (Name, Title and Address)
Accepted ________________ (Signature) (Name, Title and Address of the Attorney) Company seal & stamp Notes: 1. To be executed by the sole Bidder or the Lead Member in case of a Consortium duly supported by a Board Resolution or resolution of the managing committee of the society/ public trust as the case may be. 2. The mode of execution of the Power of Attorney should be in accordance with the procedure, if any, laid down by the applicable law and the charter documents of the executant(s) and when it is so required the same should be under common seal affixed in accordance with the required procedure. 3. Also, where required, the executants(s) should submit for verification the extract of the charter documents and documents such as a resolution / power of attorney in favour of the Person executing this Power of Attorney for the delegation of power hereunder on behalf of the Bidder.
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APPENDIX 1B
FORMAT FOR POWER OF ATTORNEY FOR LEAD MEMBER OF CONSORTIUM
(On a Stamp Paper of appropriate value) POWER OF ATTORNEY
Whereas Nagpur Improvement Trust has invited Proposals from interested parties for the Development of Community Hall, Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur on Design, Build, Finance, Operate and Transfer (DBFOT) basis ("the Project"). Whereas, the members of the Consortium are interested in bidding for the Project and implementing the Project in accordance with the terms and conditions of the Bid Document and other connected documents in respect of the Project, and Whereas, it is necessary under the Bid Document for the members of the Consortium to nominate one of them as the Lead Member with all necessary power and authority to do for and on behalf of the Consortium, all such acts, deeds and things as may be necessary in connection with or incidental to the Consortium‟s proposal for the Project. NOW THIS POWER OF ATTORNEY WITNESSETH THAT: We, M/s. _________________, and M/s. ________________ (the respective names and addresses of the registered office) do hereby constitute, appoint and authorize M/s. __________________________ as the Lead Member of the Consortium and as our attorney, to do on behalf of the Consortium, all or any of such acts, deeds or things as may be necessary in connection with or incidental to the Consortium‟s proposal for the Project, including submission of application/ proposal, participating in conferences, responding to queries, submission of information/ documents and generally to represent the Consortium in all its dealings with Nagpur Improvement Trust or any other Government Agency or any person, in connection with the Project until culmination of the process of bidding and thereafter till the Concession Agreement is entered into with Nagpur Improvement Trust.. We hereby agree to ratify all such acts, deeds and things lawfully done by Lead Member as our said attorney pursuant to this Power of Attorney and that all acts deeds and things lawfully done by our aforesaid attorney shall and shall always be deemed to have been done by us/Consortium. Dated this _______ Day of ________ 2010.
(Executants)
(To be executed by all the members of the Consortium) Company seal & stamp Note: 1. The mode of execution of the Power of Attorney should be in accordance with the procedure, if any, laid down by the applicable law and the charter documents of the executant(s) and when it is so required the same should be under common seal affixed in accordance with the required procedure. 2. The executant(s) should submit for verification the extract of the charter documents and documents such as Board Resolution and Power of Attorney in favour of the person executing this Power of Attorney in favour of the Lead Member.
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APPENDIX 2
DETAILS OF BIDDER
1. Details of the Bidder
i. Name ii. Country of Incorporation iii. Address of the corporate headquarters and its branch office (s), if any, in India iv. Date of incorporation and / or commencement of business
2. Brief description of the Company including details of its main lines of business and proposed roles
and responsibilities in this Project.
3. Name, Designation, Address and Phone Nos. of Authorized Signatory of the Bidder
(a) Name: (b) Designation: (c) Company: (d) Address: (e) Telephone No: (f) E-mail Address: (g) Fax No:
4. Details of individual (s) who will serve as the point of contact / communication for NIT, within the Company
(a) Name: (b) Designation: (c) Address: (d) Telephone No. (e) E-mail address: (f) Fax No.
5. In case of Consortium:
(a) The information above (1-4) should be provided for all the Members of the Consortium (b) Information regarding role of each Member should be provided as per table below:
Sr. No. Name of Member
Role of Member
1
2
Specify whether Lead Member, Associate Member (Signature of Authorised Signatory) Company seal & stamp
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APPENDIX 3
FORMAT FOR LETTER OF APPLICATION
[On the Letter Head of the Bidder (in case of Single Bidder) or Lead Member (in case of a Consortium)]
Date: ------------ To, The Superintending Engineer, Nagpur Improvement Trust Station Road, Sadar, Nagpur, Maharashtra -440001 Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, Maharashtra on Design, Build, Finance, Operate and Transfer (DBFOT) basis Sir, Being duly authorized to represent and act on behalf of _________________ (hereinafter referred to as "the Bidder"), and having reviewed and fully understood all of the qualification requirements and information provided, the undersigned hereby expresses its interest and apply for qualification for the Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, Maharashtra. We are enclosing our Proposal, with the details as per the requirements of the Bid Document, for your evaluation. The undersigned hereby also declares that the statements made and the information provided in the Proposal is complete, true and correct in every detail. We confirm that the application is valid for a period of 120 days from the due date of submission of application and unconditional. We hereby also confirm the following:
1. The Proposal is being submitted by (name of the bidder/ Lead Consortium member) who is the Bidding Company/the Lead Consortium Member of the Bidding Consortium Comprising (mention the names of the entities who are the Consortium Members), in accordance with the conditions stipulated in the RFP.
2. As the Bidder/Lead Consortium Member (in case of a Bidding Consortium), we hereby confirm to abide by the roles and responsibilities assigned to us as per the MoU between the Consortium Members and as outlined in this RFP.
3. We have examined in detail and have understood the terms and conditions stipulated in the RFP Document issued by NIT and in any subsequent Communication sent by NIT. We agree and undertake to abide by all these terms and conditions. Our Proposal is consistent with all the requirements of submission as stated in the RFP or in any of the subsequent communications from NIT.
4. We confirm that there are no conditions in “Financial Proposal”.
5. The information submitted in our Proposal is complete, is strictly as per the requirements stipulated in the RFP, and is correct to the best of our knowledge and understanding. We would be solely responsible for any errors or omissions in our Proposal.
6. We confirm that we have studied the provisions of the relevant Indian laws and regulations required to enable us to prepare this Financial Proposal and as required to Design, Build, Finance, Operate and Transfer Community Hall premises at Kh. No. 104 Mouza: Chikhli
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Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, in the event that we are finally selected.
7. We confirm that all the terms and conditions of the Proposal are firm and valid for acceptance for a period of 120 days from the Proposal due date.
Our PAN number is ----------------- Our TAN number is ----------------- Thanking You, Yours Sincerely, For and on behalf of: (name of the Bidder / Lead Consortium Member and the Company Seal) Signature: (Authorised Representative & Signatory) Name of the Person: Designation:
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APPENDIX 4
FORMAT FOR ANTI-COLLUSION CERTIFICATE
[To be submitted on the letter heads of the bidders separately]
Anti-Collusion Certificate Date: ------------ To, The Superintending Engineer, Nagpur Improvement Trust, Station Road, Sadar, Nagpur, Maharashtra -440001 Subject: Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and
Kh. No. 14/3 Mouza: Pardi , Nagpur, Maharashtra on Design, Build, Finance, Operate and Transfer (DBFOT) basis
Sir, We hereby certify and confirm that in the preparation and submission of this Bid, we have not acted in concert or in collusion with any other Bidder or other person(s) and also not done any act, deed or thing which is or could be regarded as anti-competitive, restrictive or monopolistic trade practice. We further confirm that we have not offered nor will offer any illegal gratification in cash or kind to any person or agency in connection with the instant Bid. Dated this ______________ Day of ________________, 2010 Name of the Bidder Signature of the Authorised Person Note: To be submitted by each Member in case of Consortium.
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Exhibit 2 Principles of the Memorandum of Understanding to be executed between the Members of a Consortium
In case of a Bidding Consortium, the principles according to which the Memorandum of Understanding (MOU) shall be executed between/among the Consortium Members are stated below:
1. The MoU should clearly specify the roles and responsibilities of each of the Consortium Members, along with their proposed equity contribution. It is expected that the individual members have role definitions not conflicting with those of the other Consortium Members.
2. The MoU should clearly designate one of the Consortium Members as the Lead Consortium Member.
3. The Lead Consortium Member shall be responsible for:
a. Tying up finances for the Project b. Liasoning with the lending institutions and mobilizing debt resources for the Project. c. Ensuring the individual and collective commitment of each of the Consortium
members in honouring the Developer‟s obligations towards NIT. The Lead Consortium Member would be responsible for the overall execution of the Project. All Consortium Members shall be jointly and severally responsible for the same.
4. The MoU shall be duly signed by each of the Consortium Members 5. The MoU should be executed an appropriate stamp paper 6. The MoU should be specific to this Project 7. The MoU should be valid for a minimum period of twelve months from the Last Date for
submission of the Request for Proposal. The validity period of the MoU should be extendible on the original terms, if required by NIT.
8. MoU should clearly specify that in case of award of the project each consortium
member will invest at least 11% equity for project.
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APPENDIX 5
FORMAT FOR MEMORANDUM OF UNDERSTANDING (MOU)
(On Non – judicial stamp paper of Rs 100/- or such appropriate document duly attested by notary public)
This Memorandum of Understanding (MOU) entered into this _____day of _______ 2010 at
______ Between_______________ (hereinafter referred as”________”) and having office at
_______, India Party of the First Part
2.1 And
________(hereinafter referred as”__________”) and having office at ____________, India Party of
the Second Part
The parties are individually referred to as Party and collectively as Parties.
WHEREAS Nagpur Improvement Trust has invited RFP from entities interested in Development of
Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi,
Nagpur, Maharashtra
AND WHEREAS the Parties have had discussions for formation of a Consortium for bidding for the
said Project and have reached an understanding on the following points with respect to the Parties‟
rights and obligations towards each other and their working relationship.
IT IS HEREBY AS MUTUAL UNDERSTANDING OF THE PARTIES AGREED AND DECLARED
AS FOLLOWS:
1. That the Parties will form a Special Purpose Vehicle (SPV) with the shareholding
commitments expressly stated. The said SPV shall not undertake any other business during
the Lease Period, to domicile the Project prior to the start of implementation of the Project.
2. That the equity share holding of the Parties in the issued and paid up capital of the SPV
shall not be less than as Specified under Evaluation Criteria Mentioned in RFP Document
during the Lease Period.
3. That M/s____________, and M/s____________, who are Members of the Consortium
commit to hold the following equity stake in the SPV which are in line with the requirements
of Clause 3 of Evaluation criteria of the RFQ Document at all times during the Lease Period
Name of Member Type of Member
% of shareholding
M/s.
M/s.
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4. That any dilution in the equity holding by the Parties in the SPV shall be as per the
provisions of the Concession Agreement that will be executed on award of the Project to us.
5. However the parties undertake that there shall be no change in respect of the lead member
in case of a consortium till the execution of the concession agreement.
6. That the Parties shall carry out all responsibilities as Concessionaire in terms of the
Concession Agreement.
7. That the roles and the responsibilities of each Party at each stage of the Bidding shall be as
follows:
Name of Member
Type of Member
Role & Responsibility
M/s
M/s
M/s
8. That the Parties shall be jointly and severally liable for the execution of the Project in
accordance with the terms of the Concession agreement to be executed on award of the
Project.
9. That the Parties affirm that they shall implement the Project in good faith and shall take all
necessary steps to see the Project through expeditiously. They shall not negotiate with any
other party for this Project.
10. That this MOU shall be governed in accordance with the laws of India and courts in Nagpur
shall have exclusive jurisdiction to adjudicate disputes arising from the terms herein.
In witness whereof the Parties affirm that the information provided is accurate and true and have
caused this MOU to be duly executed on the date and year above mentioned.
Witness: 1. First Party 2. Second Party Company seal & stamp
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APPENDIX-6
Proforma for Bank Guarantee for Performance Security
[To be issued by any Nationalised]
From: ……………………………………………………………………………
[Name and Address of Bank/ Financial Institution] To,
The Superintending Engineer, Nagpur Improvement Trust, Nagpur, Maharashtra
1. In consideration of the Nagpur Improvement Trust represented by ________________
(hereinafter called “ The Chairman”) having agreed to exempt __________________ (hereinafter called “ the said Bidder(s)“) from the demand, under the terms and condition of an Agreement, dated _________made between ____________________and Nagpur Improvement Trust for Design, Build, Operate and Transfer “Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, Maharashtra” (hereinafter called “ the said Agreement”), of performance security for the due fulfilment by the said Developer(s)of the terms and conditions contained in the said Agreement , on production of a bank guarantee for Rs_________
2. We, _____________________ (hereinafter referred to as “the Bank”) at the request of ______________/ Bidder(s)/ do hereby undertake to pay to the Nagpur Improvement Trust an amount not exceeding Rupees ____________ against any loss or damage
caused to or suffered or would be caused to or suffered by the Government by reason of any breach by the said Developer(s) of any of the terms or conditions contained in the said Agreement.
3. We __________________________ (indicate the name of bank) do hereby undertake to
pay the amounts due and payable under this guarantee without any demur, merely on a demand from the Nagpur Improvement Trust stating that the amount claimed is due by way of loss or damage caused to or would be caused to or suffered by the Nagpur Improvement Trust by reason of breach by the said Bidder(s) of any of the terms or conditions contained in the said agreement or by reason of the Bidder(s) failure to perform the said Agreement. Any such demand made or the bank shall be conclusive as regards the amount due and payable by the Bank under this guarantee. However, our liability under this guarantee shall be restricted to an amount not exceeding Rs ___________ Cr.
4. We undertake to pay to the Nagpur Improvement Trust any money so demanded
notwithstanding any dispute or disputes raised by the Bidder(s) in any suit or proceeding pending before any court or Tribunal relating to our liability under this present being absolute and unequivocal, unless otherwise directed by such Court or Tribunal. The payment so made by us under this bond shall be a valid discharge of our liability for payment there under and the Bidder(s) supplier (s) shall have no claim against us for making such payment.
5. We __________________________________ (Indicate the name of bank) further agree
that the guarantee herein contained shall remain in full force and effect during the period that would be taken for the performance of the said Agreement and that it shall continue to be enforceable till all the dues of the Nagpur Improvement Trust under or by virtue of the said Agreement have been fully paid and its claims satisfied or discharged or till Nagpur Improvement Trust certifies that the terms and conditions of the said Agreement, have been fully and properly carried out by the said Bidder(s)and accordingly discharges this guarantee, however not exceeding six months beyond the date of expiry of the Lease Period. Unless a demand or claim under this guarantee is made on us in writing on or before the date of expiry of we shall be discharged from all liability under this guarantee thereafter.
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6. We _____________________ (indicate the name of Bank) further agree with the Nagpur Improvement Trust that the Nagpur Improvement Trust shall have the fullest liberty without our consent and without affecting in any manner our obligations hereunder to vary any of the terms and conditions of the said Agreement or to extend time of performance by the said Bidder(s)from time to time or to postpone for any time or from time to time any of the powers exercisable by the Nagpur Improvement Trust against the said Bidder(s) and to forbear or enforce any of the terms and conditions relating in the said agreement and we shall not be relieved from our liability by reason of any such variation or extension being granted to the said Bidder(s)or for any forbearance act or commission on the part of the Nagpur Improvement Trust or any indulgence by the Nagpur Improvement Trust to the said Bidder(s)or by any such matter or thing whatsoever which under the law relating to sureties would, but for this provision, have effect of so relieving us.
7. This guarantee will not be discharged due to the change in the constitution of the Bank or
the Bidder(s)/ Supplier(s).
8. We, __________________________ lastly undertake not to revoke this guarantee during (indicate the name of bank) its currency except with the previous consent of the Nagpur Improvement Trust in writing.
SEAL OF [BANK/FINANCIAL INSTITUTION] ………………………………..
NAME OF [BANK/FINANCIAL INSTITUTION] ………………………………..
SIGNATURE ……………………………..
NAME ……………………………..
TITLE ……………………………..
DATE ……………………………..
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APPENDIX-7
Financial Proposal (Format for Information Submission)
(To be provided on the letterhead of the Bidder) Date:
Place: The Superintending Engineer, Nagpur Improvement Trust, Station Road, Sadar, Nagpur, Maharashtra Dear Sir, Sub: Proposal for selection of Successful Bidder to Design, Build, Finance, Operate and Transfer (DBFOT) basis for Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, Maharashtra.
1. We the undersigned Bidder, submit the following as our Financial Proposal in response to the RFP issued by Nagpur Improvement Trust.
Rs……………………(Rupees Only) (Rupees in words ----------------------------------------------
)being the upfront land premium in form of Demand Draft in favour of Nagpur Improvement Trust payable at Nagpur on the date of signing of the agreement to Design, Build, Finance, Operate and Transfer Development of Community Hall at Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur, Maharashtra on the plot of land provided.
2. We confirm that the Financial Proposal conforms to all the terms and conditions stipulated in the Request for Proposal Document.
3. We confirm that our Financial Proposal is FINAL in all respects and contains NO conditions.
4. We confirm that in the event of more than one Responsive Bidders quoting the same lump sum value Chairman, NIT shall invite both the bidders separately for increasing the bid/offer and then decide the bidder with highest offer.
5. We confirm that, the information submitted in our Financial Proposal is complete and is correct to the best of our knowledge and understanding. We would be solely responsible for any errors or omissions in our Proposal.
6. We confirm that we have studied the provisions of relevant Indian laws and regulations required to enable us to prepare this Financial Proposal and as required to design, build, finance, operate and transfer the Project, in the event that we are finally selected.
Thanking You,
Yours Sincerely,
For and on behalf of : (Name of the Bidder / Lead Consortium Member and the
Company Seal) Signature: (Authorised Representative & Signatory) Name of the Person: Designation:
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APPENDIX 8
FORMAT FOR PROJECT UNDERTAKING
[In case of Consortium] [To be submitted on the letter heads of the consortium member separately]
The Superintending Engineer, Nagpur Improvement Trust, Station Road, Sadar, Nagpur 440010 Subject: [insert name of project] on Design, Build, Finance, Operate and Transfer (DBFOT) basis Sir, We have read and understood the Bid Document in respect of the captioned project provided to us by the Superintending Engineer, Nagpur Improvement Trust, Nagpur We hereby agree and undertake to be an exclusive member of the consortium and not a member of any other consortium nor an independent Bidder, bidding for this project and has submitted only one (1) Application in response to this RFP Dated this ___________________ Day of _______________, Name of the Bidder_________________________________ Signature of the Authorized Person Company seal & stamp
APPENDIX 9 Format of Affidavit Certifying statement that Entity / Director(s) of Entity / Member of JV/Consortium are not blacklisted)
Affidavit
I/ We M/s ..............................(Sole Bidder / Lead Member/ Other Member /s)), (the names and addresses of the registered office) hereby certify and confirm that we or any of our promoter/s / director/s are not barred by Government of India or Government of Maharashtra or blacklisted by any other State Government or Central Government / Department / Agency/ in India from participating in Scheme/s, either individually or as member of a JV/Consortium as on …………(Mention the bid due date) We further confirm that we are aware that as per this undertaking given by us our Bid for the captioned Scheme would be liable for rejection in case any material misrepresentation is made or discovered with regard to these requirements at any stage of the Bidding Process or thereafter during the Concession Agreement period. Dated this ............................. Day of ..................... ,2010 Name of the Bidder Signature of the Authorised Person Name of the Authorised Person Note: 1- Please strike out whichever is not applicable. 2- To be executed separately by all the Members in case of JV/Consortium
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APPENDIX 10
TECHNICAL SPECIFICATIONS Details of the Major items to be executed for Development of Nagpur Improvement Trust proposed development of community hall and convention centre at Surya nagar area, kh. no. 104 Mouza Chikhli (Deo) & kh. no. 14/3 Mouza Pardi in Nagpur, Maharashtra
All work will be as per the ISI standards and PWD specifications published by Government of Maharashtra of first class standard quality. 1. Structure RCC framed structure. 2. Foundation RCC pile/Raft/Open foundation as per the site conditions at confirmation of bearing capacity of soil in M-20 and above as per the standards and PWD specification and relevant IS codes. 3. Super Structure All RCC works of columns, beams, slabs, lintels shall be in (If applicable) M-20 and above as per the ISI standards and PWD Specifications. Reinforcement steel shall be tested steel as per IS432(part-I) 1982 for mild steel of grade Fe 250 for bars of diameter 6mm and IS 1786-1985 for high strength deformed bars of grade
Fe415 or Fe500 for bars of diameter 8 mm and above. Cement : All fresh cement shall be used for the construction of grade 43 at above of standard make only. All RCC frames shall be designed for Earthquake Resistant Structure seismic zone applicable to Nagpur city as per the relevant latest IS code No. 1893 & IS 4326.
4. Walls All outer walls shall be 230 mm thick and inner walls shall be 115 mm the brick wall in CM 1:6 as per the ISI standards and
PWD Specifications. 5. Finishes Internal Surfaces : Neeru finishing on cement plaster in 1:3 cement mortar painted with oil bound distemper/plastic paint as approved by NIT in 3 coats. Outer Surface : Sand faced plaster as per the Std. specification & 3 coats all santax matt paint. Flooring Paving Dado etc. : All flooring works with skirting in the civil works shall be provided as approved by NIT & relevant IS codes. Open spaces in front of the building left for parking etc. shall be provided with interlocking concrete pavers as directed by the NIT. All toilets on all floors shall be provided with ceramic tiles dado up to 7’.00’’ height from floor level and kota stone or ceramic tiles on flooring as directed & as per relevant IS codes. 6. Doors & Windows Doors in Building, toilet block shall be T.W. Panelled or flush door with laminated sheet both side finish as directed & as per relevant IS codes. Windows - Aluminum glazed windows with guard bars/grill as directed & as per relevant IS codes. Ventilators –MS framed glazed ventilators with guard bars. All these items are to be oil painted of approved quality and colour as directed by the NIT.
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7. Sanitary & Drainage Sanitary wares such as WC seats urinal pans, wash basins etc. shall be of various china or Hindustan sanitary ware or Nycer or CERA make.
1. All fittings such as taps, flush valves shall be S.S. Finish of JAL or A.R.D. make.
2. All drainage lines such as soil pipe, waste water pipe, rains water pipe shall be of cast iron pipes “NECO” make or any standard company with lead joints.
3. All water supply pipes of specific diameters shall be “B” class “Tata” or “Zenith” make with “R” brand fittings.
8. Underground Separate underground water storage tank with pump and Water Tank pump house shall be provided at specified locations as shown in the approved drawings & as required. 9. Overhead Separate Overhead water storage tank in RCC of required Water Tank capacity shall be constructed as directed by the NIT. 10. Railing etc. M.S. pipe or of hollow section in the given design finished with oil paint shall be provided to all staircases, terraces and
such other places as per the NIT design and direction. 11. Painting Externally : Santax matt paint shall be approved in 3 coats as required at places where other finishes are not to be provided and in elevation texture finish shall be provided as directed specified by NIT. Internally : Oil bound distemper/plastic paint in 3 coats as directed. 12. Waterproofing All toilets floor shall have waterproof treatment with 10 years guarantee in writing before laying ceramic or kota stone
flooring. All terraces shall have waterproof treatment with 10 years guarantee in writing before laying grey m.m. tiles as finish. 13. Bore well if any 6” and about 35m deep with supreme casing, 1.5 H.P. Submersible K.S. type pump with all fittings, accessories, installation and connection overhead tanks by 1” & G.I. pipe (at location specified by NIT) 14. Electrical All electrical works shall be done in 1st class accessories Installations fittings to be get approved before installation & as per relevant IS codes.
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VOLUME II
Concession Agreement
Between
Nagpur Improvement Trust
And
[insert name of the Concessionaire]
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CONCESSION AGREEMENT
This AGREEMENT is entered into on this [ ] day of [ ] (Month), 2010 at Nagpur
BETWEEN
1. Nagpur Improvement Trust established under the Nagpur Improvement Trust Act 1936,
having its registered office at Station Road, Sadar, Nagpur, Maharashtra (hereinafter
referred to as „Concessioning Authority‟ which expression shall unless repugnant to the
subject or the context include its successors) of One Part;
AND
2. ___________________(Name of the Successful Bidder) ________________________
(hereinafter referred to as the „Concessionaire‟ which expression shall unless
repugnant to the subject or the context include its successors) of the Other Part.
WHEREAS:
The Government of Maharashtra through its notification dated 27.2.2002 has declared
Nagpur Improvement Trust as a planning authority for the city of Nagpur for its seven
schemes as envisaged in the notification under the MRTP Act 1976 (hereinafter called
the “Act”), for the development and planning of Nagpur city and whereas, as per the
said notification NIT will not be required to secure development permission from Nagpur
Municipal Corporation with regard to the development undertaken by it in its capacity as
a development agency and for this limited purpose shall function as Planning Authority
for such development.
As a part of the development of Nagpur, there is a need of a Community Halls in
different part of Nagpur to cater to the requirement of citizens of that area, the project of
Community Hall is to be taken up in PPP mode.
Concessioning Authority is the rightful owner of the land situated in Kh. No. 104 Mouza:
Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur , Maharashtra, India as
marked in Schedule 1 (hereinafter referred to as “the said land”), admeasuring
approximately 2787.08 sq.mt for Community Hall and 2460.34 sq. mt. for allied users &
ancillary facilities, on which it is proposed to develop the project with beautification and
parking under PPP mode.
Concessioning Authority had invited proposals for the selection of a Concessionaire
through the competitive route on the basis of Design, Build, Finance and Transfer the
Project, from bidders, including the Consortium comprising of _____ as the Lead
Member/Company by issuing the Request for Proposal (RFP) document
dated________ containing inter-alia technical and commercial parameters of the Project
and the terms and conditions for the implementation of the Project.
On evaluation of the submitted proposals, Concessioning Authority accepted the
proposal of the Consortium/Company and issued Letter of Intent (“LOI”) dated -------------
--------- to the Consortium/Company specifying interalia the obligation of the Parties
to create a Special Purpose Vehicle for implementing the Project [Applicable in case of
consortium] Pursuant to the issuance of LOI vide letter no._____ dated ________
, the Consortium have incorporated and constituted __________ as the
Special Purpose Vehicle created for the sole purpose of implementation the Project
which is Concessionaire.
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AND WHEREAS:
NOW THEREFORE IN CONSIDERATION OF THE FOREGOING AND THE
RESPECTIVE COVENANTS AND AGREEMENTS SET FORTH IN THIS
CONCESSION AGREEMENT, THE SUFFICIENCY AND ADEQUACY OF WHICH IS
HEREBY ACKNOWLEDGED, AND INTENDING TO BE LEGALLY BOUND THE
CONCESSIONING AUTHORITY AND THE CONCESSIONAIRE (HEREINAFTER
REFERRED TO AS “PARTIES” AND INDIVIDUALLY AS “PARTY”) HEREBY AGREE
AND THIS AGREEMENT WITNESSTH AS FOLLOWS:
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Article 1: Definitions and Interpretation
1.1. Definitions
The words and expressions defined in this Agreement shall, unless repugnant to the context or
meaning thereof, have the meaning ascribed thereto herein, and the words and expressions
defined in the Schedules and used therein shall have the meaning ascribed thereto in the
Schedules;
“Accounting Year” means the financial year commencing from the first day of April of any
calendar year and ending on the thirty-first day of March of the next calendar year;
“Affected Party” shall have the meaning set forth in Clause 12.1;
“Agreement” or “Concession Agreement” means this Agreement, the Schedules hereto and
any amendments thereto made in accordance with the provisions contained in this Agreement;
“Agreement Date” means the date of execution of this Agreement;
“Applicable Laws” means all laws, brought into force and effect by GOI or the State
Government including rules, regulations and notifications made there under, and judgments,
decrees, injunctions, writs and orders of any court of record, applicable to this Agreement and
the exercise, performance and discharge of the respective rights and obligations of the Parties
hereunder, as may be in force and effect during the subsistence of this Agreement;
“Applicable Permits” means all clearances, licenses, permits, authorisations, no objection
certificates, consents, approvals and exemptions required to be obtained or maintained by the
Concessionaire under Applicable Laws during the subsistence of this Agreement;
“Approvals” means all approvals, permissions, authorisations, consents and notifications from
any Governmental Authority, regulatory or departmental authority including, but not limited to
the approvals of the Nagpur Improvement Trust, Nagpur Municipal Corporation, Govt. of
Maharashtra, Reserve Bank of India and any other regulatory authority, as may be applicable.
“Arbitration Act” means the Arbitration and Conciliation Act, 1996 and shall include
modifications to or any re-enactment thereof, as in force from time to time;
“Bank Guarantee” means an irrevocable and unconditional bank guarantee payable on
demand issued by a bank in favour of Concessioning Authority and furnished by the
Concessionaire to Concessioning Authority for guaranteeing the due performance of the
obligations of the Concessionaire under this Agreement. Here Bank means any Indian
Nationalized Bank.
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“Bid” means the documents in their entirety comprised in the bid submitted by the
Concessionaire in response to the RFP in accordance with the provisions thereof;
“Business Day” means a day on which banks are generally open for business in the city of
Nagpur in India;
“Change in Ownership” means a transfer of the direct and/or indirect legal or beneficial
ownership of any shares, or securities convertible into shares, that causes the change in
management structure of the bidder company according to the opinion of the Concessioning
Authority;
“Conditions Precedent” shall have the meaning set forth in Clause 4.1;
“Construction Period” means maximum period of 18 months from the Date of Possession.
“Consortium” means the group of entities that have jointly submitted the proposal for the
Project.
“Consortium Member” means each entity in the Consortium shall be referred to as a
Consortium Member.
“Damages” shall have the meaning set forth in Sub-clause (t) of Clause 1.2;
“Developmental and Operations Standard(s)” means the minimum parameters and standards
to be achieved by the Concessionaire in the construction, development and operations of the
Project in accordance with internationally sound engineering practices, National Building Code
and Applicable Law and / or as determined by the relevant Governmental Authority;
“Dispute” shall have the meaning set forth in Clause 15.1.1;
“Dispute Resolution Procedure” means the procedure for resolution of Disputes set forth in
Article 15;
“Effective Date” means the date on which all the conditions Precedent are satisfied or waived as per Article 4 in writing by both the Parties. 0“Financial Commitment” means the legally binding undertaking of the Concessionaire to
mobilize the financial requirements of the project, for ensuring the completion of the project;
“Force Majeure” or “Force Majeure Event” shall have the meaning set forth in as per Clause
12;
“GOI” means the Government of India;
“Good Industry Practice” means the practices, methods, techniques, designs, standards, skills, diligence, efficiency, reliability and prudence which are generally and reasonably expected from a reasonably skilled and experienced operator engaged in the same type of undertaking as envisaged under this Agreement and which would be expected to result in the performance of its obligations by the Concessionaire in accordance with this Agreement, Applicable Laws and Applicable Permits in reliable, safe, economical and efficient manner;
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“Government Instrumentality” means any department, division or sub-division of the
Government of India or the State Government and includes any commission, board, authority,
agency or municipal and other local authority or statutory body including Panchayat under the
control of the Government of India or the State Government, as the case may be, and having
jurisdiction over all or any part of Nagpur or the performance of all or any of the services or
obligations of the Concessionaire under or pursuant to this Agreement;
“Indemnified Party” means the Party entitled to the benefit of an indemnity pursuant to Article
14; “Indemnifying Party” means the Party obligated to indemnify the other Party pursuant to
Article 14;
“Lenders” shall mean the banks, financial institutions, international credit agencies that extend
or agree to extend a credit facility to the Concessionaire in relation to the Project;
“Parties” means the parties to this Agreement collectively and “Party” shall mean any of the
parties to this Agreement individually;
“Performance Security” shall have the meaning set forth in Clause 9.1;
“Project” shall mean Design, Build, Finance and Operate Community Hall at Kh. No. 104
Mouza: Chikhli Devasthan and Kh. No. 014/3 Mouza: Pardi, at Nagpur along with parking
requirement, beautification within 2787.08 sq. m. (combined plot G&H) for Community Hall and
2460.34 sq. m. for ancillary utilities on site earmarked for the purpose in accordance with the
provisions of this Agreement and Transfer at the end of the Lease Period; (more specifically as
mentioned in Article 2 of this agreement)
“Project Completion Date” shall mean the date on which the Concessioning Authority has
issued the Project Completion Certificate after completion of the Project and shall have the
meaning set forth in Clause 11.2;
“Project Completion Certificate” shall mean the Project Completion Certificate issued by the
Concessioning Authority certifying completion of Project by the Concessionaire;
“Project Monitoring Committee” shall mean such committee which is formed by the
Concessioning Authority for monitoring the project.
“Rs.” or “Rupees” refers to the lawful currency of the Republic of India;
“Security Interest” means any existing or future mortgage, charge (whether fixed or floating),
pledge, lien, hypothecation, assignment, security interest or other encumbrances of any kind
securing or conferring any priority of payment in respect of any obligation of any Person and
includes without limitation any right granted by a transaction which, in legal terms, is not the
granting of security but which has an economic or financial effect similar to the granting of
security in each case under any Applicable Law.
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“Site” means the Project site measuring 5247.420 sq.m as given in Schedule 1 of this
Agreement given on lease for a period of 30 years including construction period. The Project
shall mean the same as defined in this Agreement.
“Standards of Reasonable and Prudent Concessionaire” means the standards, practices,
methods and procedures expected from a person seeking in good faith to perform its
contractual obligations and in so doing and in the general conduct of its undertaking exercising
that degree of skill, diligence, prudence and foresight which would reasonably and ordinarily be
expected from a skilled and experienced Person engaged in the same type of undertaking
under the same or similar circumstances and conditions including the conditions as
contemplated by the Basic Documents.
“Taxation” or “Tax” means all forms of taxation whether direct or indirect and whether levied by
reference to income, profits, gains, net wealth, asset values, turnover, added value or other
reference and statutory, governmental, state, provincial, local governmental or municipal
impositions, duties, contributions, rates and levies (including without limitation social security
contributions and any other payroll taxes), whenever and wherever imposed (whether imposed
by way of withholding or deduction for or on account of tax or otherwise) and in respect of any
person and all penalties, charges, costs and interest relating to it;
“Third Party Agreements” means all Agreements entered into between the Concessionaire
and third Persons, including, but not limited to other Agreements with Concessionaire and
vendors of any goods or services to the Concessionaire.
“Termination” means the expiry of the Lease Period or termination of this Agreement;
“Termination Notice” means the communication issued in accordance with this Agreement by
one Party to the other Party terminating this Agreement;
Transfer Date The date of transfer of the property to the lessor shall be the date as per the concession agreement and the date on which the agreement shall end, the date on which the lease period shall end as mentioned in the concession agreement, which is specified at the date & time of signing of the said agreement. Transfer Procedure Prior to transfer of the said property, a notice shall be duly served upon the lessee by the lessor towards vacation of the property and to initiate transfer proceedings, the said 90 day period shall commence exactly 90 days before the date on which lease shall end.
“The lessee is bound to keep, and on the termination of the lease to restore, as good condition
as it was in at the time when he was put in possession, subject only to the changes caused by
reasonable wear and tear or irresistible force, and to allow the lessor and his agents, at all
reasonable times during the term, to enter upon the property and inspect the condition thereof
and give or leave notice of any defect in such condition; and, when such defect has been caused
by any act or default on the part of the lessee, his servants or agents, he is bound to make it
good within three months after such notice has been given or left;”
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1.2. Interpretation
1.2.1 In this Agreement, unless the context otherwise requires,
(a) references to any legislation or any provision thereof shall include amendment or re-
enactment or consolidation of such legislation or any provision thereof so far as such
amendment or re-enactment or consolidation applies or is capable of applying to any
transaction entered into hereunder;
(b) references to laws of India or Indian law or regulation having the force of law shall
include the laws, acts, ordinances, rules, regulations, bye laws or notifications which
have the force of law in the territory of India and as from time to time may be
amended, modified, supplemented, extended or re-enacted;
(c) references to a “person” and words denoting a natural person shall be construed as a
reference to any individual, firm, company, corporation, society, trust, government,
state or agency of a state or any association or partnership (whether or not having
separate legal personality) of two or more of the above and shall include successors
and assigns subject to the provisions of this Agreement;
(d) the table of contents, headings or sub-headings in this Agreement are for
convenience of reference only and shall not be used in, and shall not affect, the
construction or interpretation of this Agreement;
(e) The words “include” and “including” are to be construed without limitation and shall
be deemed to be followed by “without limitation” or “but not limited to” whether or not
they are followed by such phrases;
(f) references to “construction” include, unless the context otherwise requires,
investigation, design, developing, engineering, procurement, delivery, transportation,
installation, processing, fabrication, testing, commissioning and other activities that
are to be completed on or before “Project Completion Date” as per the scope of work
as defined under Article 2, and “construct” shall be construed accordingly;
(g) any reference to any period of time shall mean a reference to that according to Indian
Standard Time;
(h) any reference to day shall mean a reference to a calendar day;
(i) any reference to month shall mean a reference to a calendar month as per the
Gregorian calendar;
(j) references to any date, period or Milestone shall mean and include such date, period
or Milestone as may be extended pursuant to this Agreement;
(k) any reference to any period commencing “from” a specified day or date and “till” or
“until” a specified day or date shall include both such days or dates; provided that if
the last day of any period computed under this Agreement is not a business day, then
the period shall run until the end of the next business day;
(l) the words importing singular shall include plural and vice versa;
(m) references to any gender shall include the other and the neutral gender;
(n) “lakh or lac” means a hundred thousand (100,000) and “crore” means ten million
(10,000,000);
(o) references to the “winding-up”, “merger”, amalgamation”, “takeover”,
“dissolution”, “insolvency”, or “reorganization” of a company or corporation shall
be construed so as to include any equivalent or analogous proceedings under the law
of the jurisdiction in which such company or corporation is incorporated or any
jurisdiction in which such company or corporation carries on business including the
seeking of liquidation, winding-up, reorganization, dissolution, arrangement,
protection, change in management or relief of debtors;
(p) any reference, at any time, to any Agreement, deed, instrument, license or document
of any description shall be construed as reference to that Agreement, deed,
63
instrument, license or other document as amended, varied, supplemented, modified
or suspended at the time of such reference; provided that this Sub-clause shall not
operate so as to increase liabilities or obligations of the Concessioning Authority
hereunder or pursuant hereto in any manner whatsoever;
(q) any Agreement, consent, approval, authorization, notice, communication, information
or report required under or pursuant to this Agreement from or by any Party shall be
valid and effective only if it is in writing under the hand of a duly authorized
representative of such Party, as the case may be, in this behalf and not otherwise;
(r) the Schedules and Recitals to this Agreement form an integral part of this Agreement
and will be in full force and effect as though they were expressly set out in the body of
this Agreement;
(s) references to Recitals, Articles, Clauses, Sub-clauses or Schedules in this Agreement
shall, except where the context otherwise requires, mean references to Recitals,
Articles, Clauses, Sub-clauses and Schedules of or to this Agreement, and references
to a Paragraph shall, subject to any contrary indication, be construed as a reference
to a Paragraph of this Agreement or of the Schedule in which such reference
appears; and
(t) the damages payable by either Party to the other of them, as set forth in this
Agreement, whether on per diem basis or otherwise, are mutually agreed genuine
pre-estimated loss and damage likely to be suffered and incurred by the Party entitled
to receive the same and are not by way of penalty (the “Damages”).
(u) any reference to Build shall mean Construct and vice-versa unless the context
otherwise requires
(v) any reference to Operate/Operations shall mean Operate and Transfer/ Operations
& Maintenance unless the context otherwise requires
1.2.2 Unless expressly provided otherwise in this Agreement, any documentation required to
be provided or furnished by the Concessionaire to the Concessioning Authority and/or
the agency or person appointed by the Concessioning Authority shall be provided free of
cost and in two copies, and if the Concessioning Authority and/or the person appointed
by the Concessioning Authority is required to return any such documentation with their
comments and/or approval, they shall be entitled to retain one copy thereof.
1.2.3 The rule of construction, if any, that a contract should be interpreted against the
parties responsible for the drafting and preparation thereof, shall not apply.
1.2.4 Any word or expression used in this Agreement shall, unless otherwise defined or
construed in this Agreement, bear its ordinary English meaning.
1.3. Measurements and Arithmetic Conventions
All measurements and calculations shall be in the metric system and calculations done
to 2 (two) decimal places, with the third digit of 5 (five) or above being rounded up and
below 5 (five) being rounded down.
1.4. Priority of Agreements and Errors/Discrepancies
1.4.1. THIS AGREEMENT, AND ALL OTHER AGREEMENTS AND DOCUMENTS FORMING PART OF THIS AGREEMENT
ARE TO BE TAKEN AS MUTUALLY EXPLANATORY AND, UNLESS OTHERWISE EXPRESSLY PROVIDED
ELSEWHERE IN THIS AGREEMENT, THE PRIORITY OF THIS AGREEMENT AND OTHER DOCUMENTS AND
AGREEMENTS FORMING PART HEREOF SHALL, IN THE EVENT OF ANY CONFLICT BETWEEN THEM, BE IN
THE FOLLOWING ORDER:
(a) this Agreement;
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(b) RFP Document
(c) all other agreements and documents forming part hereof;
i.e. the agreement at (a) above shall prevail over the agreements and documents at (b)
and (c) above and (b) shall prevail over all documents in (c) above.
1.4.2. IN CASE OF AMBIGUITIES OR DISCREPANCIES WITHIN THIS AGREEMENT, THE FOLLOWING SHALL APPLY:
between two or more Clauses of this Agreement, the decision of Chairman, NIT shall
prevail and shall be final and binding on the parties.
between the Clauses of this agreement and the Schedules, the Clauses shall prevail
and between Schedules and Annexes, the Schedules shall prevail;
between the written description on the Drawings and the Specifications and Standards,
the latter shall prevail;
between the dimension scaled from the Drawing and its specific written dimension, the
latter shall prevail; and
between any value written in numerals and that in words, the latter shall prevail.
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Article 2: SCOPE OF WORK
2.1. Scope of work
Concessionaire shall Design, Build, Finance, Operate and Transfer Community Hall along-with allied facilities on the plot earmarked for the purpose admeasuring 2787.08 sq. m. for Community Hall and 2460.34 sq.mt. for allied facillities in Kh. No. 104 Mouza: Chikhli Devasthan and Kh. No. 14/3 Mouza: Pardi, Nagpur as envisaged in the appended annexure I. The successful bidder shall also have to get all the necessary approvals of his own for commencement of the operation of the Community Hall.
All the facilities shall have to be developed as per the minimum quality standards set out for the purpose in the Technical Schedule appended as in Volume II with this document (Annexure II).
While undertaking development of the Project, the Concessionaire shall adhere to latest amended National Building Code of India or other relevant IS Codes and practices or equivalent international codes, Development Control Regulations, FSI Limits, statutory requirements, laws of land, the principles of good industry practices and any other norms as applicable from time to time.
The Concessionaire shall be responsible for all the clearances as may be required for the development and operations of the project. The project shall be ready for operation after taking all the clearance(s) within 18 months of the effective date.
Minimum Development Obligations (Essential Facilities):
A. A Community Hall with following facilities in combined plot G & H
o Two Community Hall of 750 sq. m. each of which one minimum should be Air Conditioned Hall.
o One all utility purpose convention hall (apprx. 2000 sq. ft.)
o Premises for Commercial purpose as per D.C. Rule
o One compulsory Basement Parking and one stilt parking to fulfill the parking requirements as per D.C. rules of Nagpur city.
o All basic necessity like drinking water, toilets, DG sets, Fire fighting facility, security systems, electric connection, water connection, etc.
B. Ancillary use Building with following facilities in plot J
o Kitchen
o Stores
o Dormitories
o Rooms
o Small Dining Hall
o Parking as per D.C. Rule
o Beatification
o Required Toilets and bathrooms as per D.C. Rule.
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Optional component / facilities:
Under optional components the developer may provide for additional activities which shall be of value addition to the project with prior sanction and approval of Chairman, NIT which may be granted by the Chairman, NIT or may be rejected.
The Concessionaire shall be responsible for all the clearances as may be required for the development and operations of the Project. The Community Hall shall be ready for operation after taking all the clearance(s) within 18 months of the Date of Agreement.
Article 3: Consideration of the Contract
3.1. The Consideration
3.1.1 Subject to and in accordance with the provisions of this Agreement, the Applicable Laws, rules and regulations and the Applicable Permits, the Concessionaire shall pay to the Concessioning Authority;
a. Land premium of amount (quoted in the financial Bid) to be paid before the signing of this Agreement, which should be more than minimum reserved bid price of Rs. 4.20 Crores and
b. Yearly Ground Rent @ 2%/- of whichever is higher of the following
Rs. 4.20 Crores (Rupees Four Crore and Twenty Lakhs only)
Upfront Land premium as quoted in Financial Bid.
c. The ground rent shall be payable on 1st day of month of every year on the month on which this Agreement is executed between both parties.
3.1.2 In consideration of the mutual covenants and other good and valuable consideration
expressed herein, the Concessionaire hereby accepts the Consideration to be given
and agrees to construct and operate the Project on land given for 30 year Concession
period from the date of agreement as per the scope of work given in Article 2 and
minimum specifications mentioned in the technical schedules and to perform/discharge
all of its obligations in accordance with the provisions hereof.
3.1.3 The Concessionaire shall pay the yearly ground rent and clear of all deduction on or the
date and month on which this Agreement is executed between both parties at the office
of Nagpur Improvement Trust, Nagpur the first of such payment is to be made on the
date of signing of the Agreement between both the parties
3.1.4 The Concessionaire shall from time to time and at all times during the concession
period/lease period shall pay and discharge all rates, taxes charges and assessment of
every description including Land Revenue and Non-agriculture assessment, which at
any time hereafter during the said term be assessed charges or imposed upon the Land
Lord or tenant in respect thereof.
3.1.5 The Concessionaire shall not make any excavation upon any part of the said land or
remove any stone, sand, gravel clay or earth there from except for the purpose or
forming the foundation of building or for the purpose of executing any work pursuant to
the terms of this agreement and in doing so the Concessionaire shall exercise
reasonable care to ensure that foundations of any building on the adjoining plots are not
thereby adversely affected.
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3.1.6 No erection re-erection or alteration shall be made in any building or part there of on the
said land except in accordance with the sanction of the Nagpur Improvement Trust
under its Building Regulations, and Development Control Rules, nor shall a building be
put to any use in contravention of the provisions of any regulation made under clause
(h) of section 90 of the Nagpur Improvement Trust Act.
3.1.7 The Concessionaire shall permit the Concessioning Authority or any person nominated
by it or any servant or contractor of the Nagpur Improvement Trust, the Nagpur
Corporation & Maharashtra state Electricity board to enter into and upon the demised
premises with such workmen as may be necessary for the purpose of laying, repairing
or replacing a water pipe line, sewer line or an electric supply line, any for any work
connected therewith as also for the purpose of making any connection from the house
to those service lines laid in the premises.
3.1.8 The Concessionaire shall not disturb or build over, or otherwise deal or interfere with
any of the service lines, without the previous permission in writing of the authority which
laid the service line.
3.1.9 The Concessionaire shall not assign, transfer or part with the possession of the demised
premises so as to cause any sub-division therein or otherwise to after the nature of this
present premise.
3.1.10 The Concessionaire shall not without the previous permission in writing of the
Concessioning Authority , use or allow to be used the premises of the demised land in
contravention of the regulation framed under section 90 of the Nagpur Improvement
Trust Act, 1936 and Development Control Rules.
3.1.11 The Concessionaire shall use the demised land for the purposes as envisaged in this
concession agreement and not for any other purpose.
3.1.12 The Concessioning Authority covenants that the Concessionaire paying the rent hereby
reserved and performing and observing the conditions here in contained shall
peacefully hold and enjoy the said land during the said term without any lawful
interruption or disturbance by the Concessioning Authority or any person lawfully
claiming it.
Provided that if the said rent or any part thereof shall at any time be in arrears and
unpaid for one calendar month next after the date whereon the same shall have
become due whether the same shall have been lawfully demanded or not as also upon
the breach or non-observance by the Concessionaire of any of the said conditions the
Concessioning Authority may not with standing the waiver of any previous cause or
right reentry enter upon said land and re-posses it as if this demise as had not been
made from the date of such re-entry to remove the building all and fixtures which at any
time during the currency of the demise shall have been erected of affixed by him upon
the said land
Provided further that when any cause or right or re-entry arise under the foregoing
provision. It shall be lawful for the Concessioning Authority to receive from the
Concessionaire interest @ 12% p.a. or as may be decided from time to time on the late
payment/nonpayment of ground rent made after the due date of each year.
3.1.13 Provided also that when cause or right of re-entry arises under the first provision, upon
the breach or non-observance of the condition of sub clauses in respect of erection or
alteration, it shall be lawful for the Concessionaire to demolish or alter the unauthorized
construction, as it may deem necessary, within reasonable time, as a consideration for
the non-exercise of the power of re-entry instead of receiving a sum of money as
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provided above
3.1.14 SUBJECT TO AND IN ACCORDANCE WITH THE PROVISIONS OF THIS AGREEMENT, THE CONSIDERATION
HEREBY GIVEN BY CONCESSIONAIRE, THE CONCESSIONAIRE SHALL BE ENTITLED TO CONSTRUCT AND
OPERATE THE PROJECT ON THE LAND AREA GIVEN ON LEASE PERIOD OF 30 YEAR FROM THE DATE OF
AGREEMENT, SUBJECT TO:
performing and fulfilling all of the Concessionaire‟s obligations under and in
accordance with this Agreement; and bear and pay all costs, expenses and charges
in connection with or incidental to the performance of the obligations of the
Concessionaire under this Agreement.
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Article 4: Conditions Precedent to the Agreement
4.1. Conditions Precedent
4.1.1. THE RESPECTIVE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AGREEMENT SHALL BE
SUBJECT TO THE SATISFACTION IN FULL OF THE CONDITIONS PRECEDENT SPECIFIED IN THIS CLAUSE 4.1
(THE “CONDITIONS PRECEDENT”).
4.1.2. THE CONCESSIONAIRE MAY, UPON PROVIDING THE PERFORMANCE SECURITY TO THE CONCESSIONING
AUTHORITY IN ACCORDANCE WITH ARTICLE 9, BY NOTICE REQUIRE THE CONCESSIONING AUTHORITY TO
SATISFY THE CONDITIONS PRECEDENT SET FORTH IN THIS CLAUSE 4.1.2 WITHIN A PERIOD OF 30
(THIRTY) DAYS OF THE NOTICE, AND THE OBLIGATIONS OF THE CONCESSIONING AUTHORITY HEREUNDER
SHALL BE DEEMED TO HAVE BEEN PERFORMED WHEN THE CONCESSIONING AUTHORITY SHALL HAVE
HANDED OVER TO THE CONCESSIONAIRE THE PEACEFUL POSSESSION OF THE SITE FREE FROM ALL
ABOVE GROUND ENCROACHMENTS AS DEMARCATED UNDER SCHEDULE 1;
4.1.3. CONCESSIONAIRE SHALL SATISFY THE CONDITIONS PRECEDENT AT ANY TIME WITHIN 30 (THIRTY) DAYS
FROM THE DATE THE CONCESSIONING AUTHORITY HAS GIVEN THE LETTER OF INTENT FOR THE
APPOINTMENT OF THE CONCESSIONAIRE AND ALL THE CONDITIONS PRECEDENT SHALL BE DEEMED TO
HAVE BEEN FULFILLED WHEN THE CONCESSIONAIRE SHALL HAVE
(a) Provided Performance Security to the Concessioning Authority along with the upfront land premium.
(b) Delivered to the Concessioning Authority a legal opinion from the legal counsel of
the Concessionaire with respect to the authority of the Concessionaire to enter into this
Agreement and the enforceability of the provisions thereof
(c) The members of the Consortium must form a Special Purpose Vehicle (SPV) and
submit a MoU for the purpose of Special Purpose Vehicle.
4.2. Compliance Certificate
Upon compliance with the Conditions Precedent, each Party shall forthwith issue a Compliance
Certificate pursuant to which the obligations of the Parties under this Agreement shall commence.
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4.3. Non-Fulfillment of the Conditions Precedent
4.3.1. IN THE EVENT OF FAILURE BY ANY PARTY TO PROCURE COMPLIANCE WITH ANY OF THE CONDITIONS
PRECEDENT AS PER THE PROVISIONS OF THIS ARTICLE 4 AND THE OTHER PARTY HAVE NOT WAIVED ANY
OF THE CONDITIONS (PARTIALLY OR ABSOLUTELY), THE AGREEMENT SHALL CEASE TO HAVE ANY EFFECT
AS OF THAT DATE.
4.3.2. IN THE EVENT OF THE AGREEMENT NOT COMING INTO EFFECT ON ACCOUNT OF THE CONCESSIONAIRE
NOT FULFILLING THE CONDITIONS PRECEDENT THEN THE CONCESSIONING AUTHORITY SHALL FORFEIT
THE EARNEST MONEY DEPOSIT AND THE PERFORMANCE SECURITY.
4.3.3. IN THE EVENT OF THE AGREEMENT NOT COMING INTO EFFECT ON ACCOUNT OF THE CONCESSIONING
AUTHORITY NOT FULFILLING ANY OF THE CONDITIONS PRECEDENT THEN THE EARNEST MONEY
DEPOSIT AND THE PERFORMANCE SECURITY SHALL BE RETURNED TO THE CONCESSIONAIRE.
4.3.4. NOTWITHSTANDING ANYTHING CONTAINED IN THIS CLAUSE, THE PARTIES MAY MUTUALLY DECIDE TO
EXTEND THE TIME PERIOD FOR THE FULFILLMENT OF THE CONDITIONS PRECEDENT.
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Article 5. Obligations of the Concessionaire
5.1. Obligations of the Concessionaire
5.1.1. SUBJECT TO AND ON THE TERMS AND CONDITIONS OF THIS AGREEMENT, THE CONCESSIONAIRE SHALL
AT ITS COST AND EXPENSE PROCURE FINANCE FOR AND UNDERTAKE THE PROJECT SCOPE OF WORK AS
MENTIONED IN ARTICLE 2 AND OBSERVE, FULFILL, COMPLY WITH AND PERFORM ALL ITS OBLIGATIONS
SET OUT IN THIS AGREEMENT OR ARISING HEREUNDER.
5.1.2. THE CONCESSIONAIRE SHALL COMPLY WITH ALL APPLICABLE LAWS IN THE PERFORMANCE OF ITS
OBLIGATIONS UNDER THIS AGREEMENT.
5.1.3. WITHOUT PREJUDICE TO CLAUSES 5.1.1 AND 5.1.2 ABOVE, THE CONCESSIONAIRE SHALL DISCHARGE
ITS OBLIGATIONS AS PER THE NATIONAL BUILDING CODE, DEVELOPMENT CONTROL RULES, THE
PRINCIPLES OF GOOD INDUSTRY PRACTICE AND AS A REASONABLE AND PRUDENT PERSON, STATUTORY
REQUIREMENTS, LAWS OF THE LAND AND ANY OTHER NORMS, WHICH ARE APPLICABLE FROM TIME TO
TIME.
5.1.4. THE CONCESSIONAIRE SHALL GET PRIOR APPROVAL OF THE CONCESSIONING AUTHORITY IN CASE
THERE IS ANY CHANGE IN THE FACILITIES DEFINED UNDER THE PROJECT DURING THE CONCESSION
PERIOD.
5.1.5. THE COMMUNITY HALL AND PREMISES SHALL BE USED ONLY FOR THE PURPOSE AS MENTIONED IN
ARTICLE ONLY (ANY OTHER USAGES OF THE SITE SHALL NOT BE PERMITTED DURING THE CONCESSION
PERIOD WITHOUT PRIOR APPROVAL OF THE CONCESSIONING AUTHORITY).
5.1.6. Concessionaire shall have to display a permanent Logo of Nagpur Improvement Trust at
prominent location of the complex, preferably on the side facing the 100 ft. Main Road.
The logo shall be as per the design and drawings provided by NIT. Choice of location for
displaying logo as decided by the Chairman, NIT shall be binding on the
Concessionaire.
5.1.7. The Concessionaire shall not be allowed to mortgage the lease hold right of the
land of Project Sites in any manner.
5.1.8. The Concessionaire waives off any rights for an extension after the lease period of 30
years is over and has to transfer the full constructed community hall and ancillary use
building along with all fixtures. In case of failure to do so, for every day under such
circumstances, the concessionaire shall have to pay a sum equal to Rs. 5 lakhs per day.
5.1.9. WITHOUT PREJUDICE TO CLAUSES 5.1.1 AND 5.1.2 ABOVE THE CONCESSIONAIRE SHALL, AT ITS OWN
COST AND EXPENSE OBSERVE, UNDERTAKE, COMPLY WITH AND PERFORM, IN ADDITION TO AND NOT IN
DEROGATION OF, ITS OBLIGATIONS ELSEWHERE SET OUT IN THIS AGREEMENT, THE FOLLOWING:
(a) make, or cause to be made, necessary applications to the relevant Governmental Agencies
with such particulars and details, as may be required for obtaining all Applicable Permits and
obtain such Applicable Permits in conformity with the Applicable Laws;
(b) procure, as required, the appropriate proprietary rights, licenses, agreements and permissions
for materials, methods, processes and systems used or incorporated into development and
operations of the Project;
(c) not to damage any other infrastructure or any other utility developed by the Concessioning Authority or any other utilities developed and maintained by any other authority or person and
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in case of any such damage to undertake the repair and also to pay for any losses that is incurred by the Concessioning Authority or any authority or any other person, as the case may be.
(d) ensure and procure that the Concessionaire shall comply with all Applicable Permits and Applicable Laws in the performance by them of any of the Concessionaire‟s obligations under this Agreement;
(e) not to do or omit to do any act, deed or thing which may in any manner be violative of any of
the provisions of this Agreement;
(f) shall make payment towards the Concessioning Authority as per provisions of this Agreement;
(h) Procure at its own costs, expenses and risk all services necessary for the construction and
operations of the Project including without limitation electricity, water, materials and labour;
(i) Shall complete construction of the Project and get necessary approvals for operations
within a period of 18 months from the Date of Agreement; and
(j) Shall make the community hall/ halls and ancillary use building available for 7 days in a
year as per directions of chairman, N.I.T.
(k) Transfer the Project assets in excellent working condition on the date of termination of
Concession to the Concessioning Authority.
5.2. Obligations relating to Other Agreements
5.2.1. IT IS EXPRESSLY AGREED THAT THE CONCESSIONAIRE SHALL, AT ALL TIMES, BE RESPONSIBLE AND
LIABLE FOR ALL ITS OBLIGATIONS UNDER THIS AGREEMENT NOTWITHSTANDING ANYTHING CONTAINED IN
ANY OTHER AGREEMENT, AND NO DEFAULT UNDER ANY AGREEMENT SHALL EXCUSE THE
CONCESSIONAIRE FROM ITS OBLIGATIONS OR LIABILITY HEREUNDER.
5.2.2. THE CONCESSIONAIRE MAY UNDERTAKE DEVELOPMENT OF PROJECT BY ITSELF OR THROUGH ONE OR
MORE CONTRACTORS POSSESSING REQUISITE TECHNICAL, FINANCIAL AND MANAGERIAL
EXPERTISE/CAPABILITY; BUT IN EITHER CASE, THE CONCESSIONAIRE SHALL REMAIN SOLELY
RESPONSIBLE TO MEET THE SCOPE OF WORK AS MENTIONED UNDER ARTICLE 2.1.
5.3. Obligations relating to Change in Ownership
The Concessionaire shall not undertake or permit any Change in Ownership, except with the prior written
approval of the Concessioning Authority as per the provisions of this Article 5.3.
5.3.1. NO CHANGE IN CONSORTIUM MEMBERS SHALL BE ALLOWED TILL THE COMPLETION OF THE
PROJECT OR A MINIMUM OF 3 YEARS (WHICHEVER IS LATER). HOWEVER, THE LEAD CONSORTIUM
MEMBER SHALL NOT BE ALLOWED TO BE CHANGED OVER THE ENTIRE LEASE PERIOD AND SHALL
CONTINUE TO HOLD 51% STAKE IN THE CONSORTIUM TILL THE COMMENCEMENT OF COMMERCIAL
OPERATIONS. THE LEAD CONSORTIUM MEMBER SHALL BE ALLOWED TO DILUTE THE STAKE AFTER THE
COMMERCIAL OPERATIONS DATE WITH THE APPROVAL OF THE CONCESSIONING AUTHORITY SUCH THAT
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THE STAKE OF THE LEAD CONSORTIUM MEMBER IN THE CONSORTIUM SHALL NOT FALL BELOW 26% AT
ANY TIME TILL THE END OF LEASE PERIOD.
5.3.2 EACH CONSORTIUM MEMBER SHALL INVEST MINIMUM 11% STAKE IN SPV. NONE OF THE CONSORTIUM
MEMBER SHALL BE ALLOWED TO DILUTE ITS STAKE TILL THE COMPLETION OF THE PROJECT OR A
MINIMUM OF 3 YEARS FROM THE DATE OF SIGNING OF THE CONCESSION AGREEMENT (WHICHEVER IS
LATER).
5.3.3. LEAD CONSORTIUM MEMBER SHALL INVEST MINIMUM 51% STAKE IN THE SPV. LEAD CONSORTIUM
MEMBER SHALL NOT BE ALLOWED TO DILUTE ITS STAKE TO A LEVEL BELOW 51% TILL THE START OF
COMMERCIAL OPERATIONS. THE LEAD CONSORTIUM MEMBER SHALL BE ALLOWED TO DILUTE THE STAKE
AFTER THE COMMERCIAL OPERATIONS DATE WITH THE APPROVAL OF THE CONCESSIONING AUTHORITY
SUCH THAT THE STAKE OF THE LEAD CONSORTIUM MEMBER IN THE CONSORTIUM SHALL NOT FALL
BELOW 26% AT ANY TIME TILL THE END OF LEASE PERIOD.
This holds for the single entity bidder also and hence no bidder who has 100% equity in the
Project can dilute it to a level below 51% till the start of commercial operations. Remaining
stake can be diluted as per the provisions of Clause 5.3.3.
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Article 6. Obligations of the Concessioning Authority
6.1. Obligations of the Concessioning Authority
6.1.1. THE CONCESSIONING AUTHORITY SHALL, AT ITS OWN COST AND EXPENSE, UNDERTAKE, COMPLY WITH
AND PERFORM ALL ITS OBLIGATIONS SET OUT IN THIS AGREEMENT OR ARISING HEREUNDER.
6.1.2. The Concessioning Authority shall institute a Project Monitoring Committee comprising of
Chairman, Law Officer, Superintendent Engineer, One executive engineer besides a PMC agency
with purpose of monitoring the obligations of the concessionaire being performed on regular basis.
The Project Monitoring Committee shall have Rights of Entry in the Community Hall premises and
site as per the rules described in NIT Act.
6.1.3. THE CONCESSIONING AUTHORITY AGREES TO PROVIDE SUPPORT TO THE CONCESSIONAIRE AND
UNDERTAKES TO OBSERVE, COMPLY WITH AND PERFORM, SUBJECT TO AND IN ACCORDANCE WITH THE
PROVISIONS OF THIS AGREEMENT AND THE APPLICABLE LAWS, THE FOLLOWING:
(a) upon written request from the Concessionaire, and subject to the Concessionaire complying
with Applicable Laws, provide all reasonable support and assistance to the Concessionaire in
procuring Applicable Permits required from any Government Instrumentality for implementation
and operation of the Project;
(b) upon written request from the Concessionaire, assist the Concessionaire in obtaining access to
all necessary infrastructure facilities and utilities; Cost of infrastructure facilities and utilities
shall be borne by the Concessionaire.
(c) extend the assistance of its good offices on a reasonable effort basis to assist the
Concessionaire in the provision of electricity;
(d) procure that no barriers are erected or placed on the Project site or the way towards the
Project site by the Concessioning Authority, by any Government Instrumentality or persons
claiming through or under it, except for reasons of Emergency or national security, law;
(e) support, cooperate with and facilitate the Concessionaire in the implementation of the Project.
.
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Article7. Representations and Warranties
7.1. Representations and Warranties of the Concessionaire
The Concessionaire represents and warrants to the Concessioning Authority that:
a. it is duly organized and validly existing under the laws of India, and has full power and authority
to execute and perform its obligations under this Agreement and to carry out the transactions
contemplated hereby;
b. it has taken all necessary corporate and other actions under Applicable Laws to authorize the
execution and delivery of this Agreement and to validly exercise its rights and perform its
obligations under this Agreement;
c. it has the financial standing and capacity to undertake the Project in accordance with the terms
of this Agreement;
d. this Agreement constitutes its legal, valid and binding obligation, enforceable against it in
accordance with the terms hereof, and its obligations under this Agreement will be legally valid,
binding and enforceable obligations against it in accordance with the terms hereof;
e. it is subject to the laws of India, and hereby expressly and irrevocably waives any immunity in
any jurisdiction in respect of this Agreement or matters arising there under including any
obligation, liability or responsibility hereunder;
f. the information furnished in the Bid and as updated on or before the date of this Agreement is
true and accurate in all respects as on the date of this Agreement;
g. the execution, delivery and performance of this Agreement will not conflict with, result in the
breach of, constitute a default under, or accelerate performance required by any of the terms of
its Memorandum and Articles of Association or any Applicable Laws or any covenant, contract,
agreement, arrangement, understanding, decree or order to which it is a party or by which it or
any of its properties or assets is bound or affected;
h. there are no actions, suits, proceedings, or investigations pending or, to its knowledge,
threatened against it at law or in equity before any court or before any other judicial, quasi-
judicial or other authority, the outcome of which may result in the breach of this Agreement or
which individually or in the aggregate may result in any material impairment of its ability to
perform any of its obligations under this Agreement;
i. it has no knowledge of any violation or default with respect to any order, writ, injunction or
decree of any court or any legally binding order of any Government Instrumentality which may
result in any material adverse effect on its ability to perform its obligations under this
Agreement and no fact or circumstance exists which may give rise to such proceedings that
would adversely affect the performance of its obligations under this Agreement;
j. it has complied with Applicable Laws in all material respects and has not been subject to any
fines, penalties, injunctive relief or any other civil or criminal liabilities which in the aggregate
have or may have a material adverse effect on its ability to perform its obligations under this
Agreement;
k. the existing Lead Consortium Members hold not less than 51% (fifty one percent) of it‟s
issued and paid up Equity and together with the existing consortium member hold not less than
100% as on the date of this Agreement and the respective holding of each Consortium
Member conforms to the representation made by the Consortium and accepted by the
Concessioning Authority as part of the Bid and that no member of the Consortium shall hold
less than 11% (eleven per cent) of such as per the provisions of Article 5.3;
l. no order has been made and no resolution has been passed for the winding up of the
Concessionaire or for a provisional liquidator to be appointed in respect of the Concessionaire
and no petition has been presented and no meeting has been convened for the purpose of
winding up the Concessionaire. No receiver has been appointed in respect of the
Concessionaire or all or any of its assets. The Concessionaire is not insolvent or unable to pay
its debts as they fall due.
m. no representation or warranty by it contained herein or in any other document furnished by it to
the Concessioning Authority or to any Government Instrumentality in relation to Applicable
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Permits contains or will contain any untrue statement of material fact or omits or will omit to
state a material fact necessary to make such representation or warranty not misleading; and
n. no sums, in cash or kind, have been paid or will be paid, by it or on its behalf, to any person by
way of fees, commission or otherwise for securing the grant of land or entering into this
Agreement or for influencing or attempting to influence any officer or employee of the
Concessioning Authority in connection therewith.
7.2. Representations and Warranties of the Concessioning Authority
The Concessioning Authority represents and warrants to the Concessionaire that:
(a) it has full power and authority to execute, deliver and perform its obligations under this
Agreement and to carry out the transactions contemplated herein and that it has taken all
actions necessary to execute this Agreement, exercise its rights and perform its obligations,
under this Agreement;
(b) it has taken all necessary action under the Applicable Laws to authorize the execution, delivery
and performance of this Agreement;
(c) it has the financial standing and capacity to perform its obligations under the Agreement;
(d) this Agreement constitutes a legal, valid and binding obligation enforceable
against it in accordance with the terms hereof; (e) The land in Kh. No. 104 Mouza: Chikhli Devasthan, Nagpur, Maharashtra was
acquired by NIT through Special Land Acquisition Officer in R.C.No94/A-65-66-67. The award was passed on 28.3.1972. Possession of the land was received by NIT on
16.6.1972. Similarly the Land of Kh. No. 14/3 Mouza: Pardi , Nagpur was acquired by
NIT through special land acquisition officer in R.C. No134/A-65-66-67. The award was passed on 17.8.1970. Possession of the land was received by NIT on 14.1.72 & 19.4.72, now is proposed to be developed into a Community Hall premises.
(e) has no knowledge of any violation or default with respect to any order, writ, injunction or any
decree of any court or any legally binding order of any Government Instrumentality which may
result in any material adverse effect on the Concessionaire‟s ability to perform its obligations
under this Agreement;
(f) it has complied with Applicable Laws in all material respects;
(g) it has not entered into any other Agreement, contract, transaction, arrangement or
understanding in relation to the same Project or part of the Project with any third party, or the
sale, Concession assignment, or other disposition in whole or in part in respect of the said land
other than the disclosed in this Agreement;
(h) all information provided by it in the Bid Notice and invitation to bid in connection with the
Project is, to the best of its knowledge and belief, true and accurate in all material respects;
(j) it has good and valid right for construction of the Project, and has power and authority to give
land on 30 years Lease to the Concessionaire; and
(k) upon the Concessionaire completing the Project as per this Agreement, and performing the
covenants herein, it shall not at any time during the 30 years Concession, interfere with
peaceful enjoyment of the land by the Concessionaire, except in accordance with the
provisions of this Agreement.
7.3. Disclosure
In the event that any occurrence or circumstance comes to the attention of either Party that renders
any of its aforesaid representations or warranties untrue or incorrect, such Party shall immediately
notify the other Party of the same. Such notification shall not have the effect of remedying any breach
of the representation or warranty that has been found to be untrue or incorrect nor shall it adversely
affect or waive any obligation of either Party under this Agreement.
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Article 8. Disclaimer
8.1. Disclaimer
8.1.1. THE CONCESSIONAIRE ACKNOWLEDGES THAT PRIOR TO THE EXECUTION OF THIS AGREEMENT, THE
CONCESSIONAIRE HAS, AFTER A COMPLETE AND CAREFUL EXAMINATION, MADE AN INDEPENDENT
EVALUATION OF THE BID NOTICE, SCOPE OF THE SERVICES TO BE PROVIDED, PROJECT SITE,
SPECIFICATIONS AND STANDARDS SET FOR PROVIDING QUALITY OF SERVICES, LOCAL CONDITIONS,
POSSIBLE DEMAND AND ALL INFORMATION PROVIDED BY THE CONCESSIONING AUTHORITY, AND HAS
DETERMINED TO ITS SATISFACTION THE ACCURACY OR OTHERWISE THEREOF AND THE NATURE AND
EXTENT OF DIFFICULTIES, RISKS AND HAZARDS AS ARE LIKELY TO ARISE OR MAY BE FACED BY IT IN THE
COURSE OF PERFORMANCE OF ITS OBLIGATIONS HEREUNDER. SAVE AS PROVIDED IN CLAUSE 7.2, THE
CONCESSIONING AUTHORITY MAKES NO REPRESENTATION WHATSOEVER, EXPRESS, IMPLICIT OR
OTHERWISE, REGARDING THE ACCURACY AND/OR COMPLETENESS OF THE INFORMATION PROVIDED BY IT
AND THE CONCESSIONAIRE CONFIRMS THAT IT SHALL HAVE NO CLAIM WHATSOEVER AGAINST THE
CONCESSIONING AUTHORITY IN THIS REGARD.
8.1.2. THE CONCESSIONAIRE ACKNOWLEDGES AND HEREBY ACCEPTS THE RISK OF INADEQUACY, MISTAKE OR
ERROR IN OR RELATING TO ANY OF THE MATTERS SET FORTH IN CLAUSE 8.1.1 ABOVE AND HEREBY
ACKNOWLEDGES AND AGREES THAT THE CONCESSIONING AUTHORITY SHALL NOT BE LIABLE FOR THE
SAME IN ANY MANNER WHATSOEVER TO THE CONCESSIONAIRE OR ANY PERSON CLAIMING THROUGH OR
UNDER THIS AGREEMENT.
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Article 9. Performance Security
9.1. Performance Security
The Concessionaire would have to submit to the Concessioning Authority Performance Guarantee of
Rs. 3,00,00,000/- (Rupees Three Crores only) in the form of a Bank Guarantee from Nationalized
Bank which is valid for the duration 3 years from the date of execution of this agreement in favor of
Nagpur Improvement Trust, payable at Nagpur
9.2. Appropriation of Performance Security
If the Agreement is terminated due to any event other than a Concessionaire Event of Default, the
Performance Security shall, subject to the Concessioning Authority‟s right to receive or recover
amounts, if any, due from the Concessionaire under this Agreement, be duly discharged and
released to the Concessionaire.
Upon occurrence of a Concessionaire Default, the Concessioning Authority shall, without prejudice to
its other rights and remedies hereunder or in law, be entitled to invoke and appropriate the relevant
amounts from the Performance Security as Damages for such Concessionaire Default. Upon such
invocation and appropriation from the Performance Security, the Concessionaire shall, within 15
(fifteen) days thereof, replenish, in case of partial appropriation, the Performance Security to its original
level, and in case of appropriation of the entire Performance Security provide a fresh Performance
Security, as the case may be, and the Concessionaire shall, within the time so granted, replenish or
furnish fresh Performance Security as aforesaid failing which the Concessioning Authority shall be
entitled to terminate this Agreement in accordance with Article 13.
9.3. Release of Performance Security
If the Agreement is terminated due to any event other than a Concessionaire Event of Default, the
Performance Security shall, subject to the Concessioning Authority‟s right to receive or recover
amounts, if any, due from the Concessionaire under this Agreement, be duly discharged and
released to the Concessionaire.
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Article 10. Access on Project Site
10.1. Project Site
The Project site shall comprise of the land as described in Schedule- 1 and which shall be
given on Concession by the Concessioning Authority to the Concessionaire for 30 years from date of
agreement including construction period.
1. The Concessioning Authority on providing the performance security & upfront premium and
signing this Agreement, shall within 15 days, give on Concession to the Concessionaire,
the Project site for 30 years for the Scope of the Project as mentioned in Article 2.
2. It is being expressly agreed and understood that the Concessioning Authority
shall have no liability whatsoever in respect of survey and investigations carried out or
work undertaken by the Concessionaire pursuant hereto in the event of Termination or
otherwise.
3. It is expressly agreed that the rights granted hereunder shall terminate
automatically and forthwith, without the need for any action to be taken by the
Concessioning Authority to terminate the rights, upon the Termination of this Agreement
for any reason whatsoever.
4. It is expressly agreed that mining rights do not form part of the rights granted
to the Concessionaire under this Agreement and the Concessionaire hereby
acknowledges that it shall not have any mining rights or any interest in the underlying
minerals on or under the area where cable have been laid. For the avoidance of doubt,
mining rights mean the right to mine any and all minerals or interest therein.
10.2. Others
10.2.1 Access to the Concessioning Authority and any person appointed as the Engineers /
consultants/Project Monitoring Committee appointed by Concessioning Authority
The right of way granted for construction on the Project site shall always be subject to the right of
access of the person appointed by the Concessioning Authority for inspection, viewing and
exercise of their rights and performance of their obligations under this Agreement.
Special/temporary right of way.
The Concessionaire shall bear all costs and charges for any special or temporary right of way
required by it in connection with access to the Project Site. The Concessionaire shall obtain at its
cost such facilities on or outside the Site as may be required by it for the purposes of the
Construction and the performance of its obligations under this Agreement.
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Article 11. Construction on the Project Site
11.1. Obligations prior to the commencement of any work
Prior to commencement of any work, the Concessionaire shall:
(a) submit to the Concessioning Authority time schedule for completion;
(b) appoint its representative duly authorised to deal with the Concessioning Authority in respect of
all matters under or arising out of or relating to this Agreement;
(c) Undertake, do and perform all such acts, deeds and things as may be necessary or required
before commencement of any work under and in accordance with this Agreement, the
Applicable Laws and Applicable Permits; and
(d) Procure all such approvals/consents/permits as necessary as per applicable laws
11.2. Project Start and Completion date
11.2.1. ON OR AFTER THE DATE OF POSSESSION, THE CONCESSIONAIRE SHALL UNDERTAKE
CONSTRUCTION OF PROJECT. THE 18TH
MONTH FROM THE DATE OF AGREEMENT SHALL BE THE
SCHEDULED DATE FOR COMPLETION OF THE CONSTRUCTION OF PROJECT AND MAKING IT OPERATIONAL
AND THE CONCESSIONAIRE AGREES AND UNDERTAKES THAT PROJECT SHALL BE COMPLETED ON OR
BEFORE THE SCHEDULED DATE.
11.2.2. IN THE EVENT THAT CONSTRUCTION OF PROJECT AND ITS OPERATION IS NOT COMPLETED
BY THE SCHEDULED COMPLETION DATE,
UNLESS THE DELAY IS ON ACCOUNT OF REASONS SOLELY ATTRIBUTABLE TO THE
CONCESSIONING AUTHORITY OR DUE TO FORCE MAJEURE, THE CONCESSIONING AUTHORITY
SHALL ENCASH RS. 25,000 PER DAY TILL THE COMMUNITY HALL BECOMES OPERATIONAL IN
ALL RESPECT OF THE PERFORMANCE SECURITY FOR A MAXIMUM PERIOD OF 3 MONTHS AFTER
WHICH CONCESSIONING AUTHORITY SHALL BE ENTITLED TO TERMINATE THIS AGREEMENT. THE
PERFORMANCE SECURITY SHALL BE REPLENISHED BY THE CONCESSIONAIRE AS SOON THE
PERFORMANCE SECURITY IS ENCASHED BY THE CONCESSIONING AUTHORITY.
11.3. Completion Certificate
The Concessionaire after completion of the construction of Project shall inform in writing to the
Concessioning Authority that it has completed the construction as per Project scope. The
Concessioning Authority shall issue the Completion Certificate, after which the
Concessionaire can start the
operation of the Community Hall.
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Article 12. Force Majeure
12.1. Force Majeure
As used in this Agreement, the expression “Force Majeure” or “Force Majeure Event” shall
mean occurrence in India of any or all of events, as defined in Clause 12.2, if it affects the
performance by the Party claiming the benefit of Force Majeure (the “Affected Party”) of its
obligations under this Agreement and which act or event (i) is beyond the reasonable control
of the Affected Party, and (ii) the Affected Party could not have prevented or overcome by
exercise of due diligence and following Good Industry Practice, and (iii) has Material Adverse
Effect on the Affected Party.
12.2. Force Majeure Events
A Force Majeure Event shall mean one or more of the following acts or events:
(a) act of God, plague, lightning, earthquake, landslide, cyclone, flood, volcanic eruption,
radioactive contamination;
(b) an act of war (whether declared or undeclared), invasion, armed conflict or act of foreign
enemy)
(c) any failure of another service provider to the extent caused by any of the Force Majeure Event
mentioned above affecting the performance of the Agreement;
(d) any event or circumstances of a nature analogous to any of the foregoing;
12.3. Duty to Report Force Majeure Event
Upon occurrence of a Force Majeure Event, the Affected Party shall by notice report such
occurrence to the other Party forthwith. Any notice pursuant hereto shall include full particulars
of:
(a) the nature and extent of each Force Majeure Event with evidence in support thereof;
(b) the estimated duration and the effect or probable effect which such Force Majeure Event is
having or will have on the Affected Party‟s performance of its obligations under this Agreement;
(c) the measures which the Affected Party is taking or proposes to take for alleviating the impact
of such Force Majeure Event; and
(d) any other information relevant to the Affected Party‟s claim.
The Affected Party shall not be entitled to any relief under the Agreement for or in respect of a
Force Majeure Event unless it shall have notified the other Party of the occurrence of the
Force Majeure Event as soon as reasonably practicable, and in any event not later than 24
(twenty four) hours after the Affected Party knew, or ought reasonably to have known, of its
occurrence, and shall have given particulars of the probable material effect that the Force
Majeure Event is likely to have on the performance of its obligations under this Agreement.
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12.4. Effect of Force Majeure Event
Upon the occurrence of any Force Majeure Event the period set forth for the Project
Completion Date shall be extended by a period equal in length to the duration of the Force
Majeure Event.
12.5. Allocation of Costs Arising out of Force Majeure
Upon occurrence of any Force Majeure Event, the Parties shall bear their respective costs and
no Party shall be required to pay to the other Party any costs thereof. Neither Party shall be
liable in any manner whatsoever to the other Party in respect of any loss, damage, cost,
expense, claims, demands and proceedings relating to or arising out of occurrence or
existence of any Force Majeure Event or exercise of any right pursuant hereto.
12.6. Dispute Resolution
In the event that the Parties are unable to agree in good faith about the occurrence or
existence of a Force Majeure Event, such Dispute shall be finally settled in accordance with
the Dispute Resolution Procedure as mentioned in Article 15; provided that the burden of proof
as to the occurrence or existence of such Force Majeure Event and the quantum of loss
suffered shall be upon the Party claiming relief and/or excuse on account of such Force
Majeure Event.
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Article 13. Termination
13.1. Termination for Concessionaire Default
Save as otherwise provided in this Agreement, in the event that any of the defaults specified
below shall have occurred, and the Concessionaire fails to cure the default within the Cure
Period set forth below, or where no Cure Period is specified, then within a Cure Period of 90
(Ninety Days) days with a penalty of Rs. 25,000/- per day, the Concessionaire shall be
deemed to be in default of this Agreement (a “Concessionaire Default”), unless the default
has occurred solely as a result of any breach of this Agreement by the Concessioning
Authority or due to Force Majeure event. The defaults referred to herein shall include:
(a) the Performance Security has been partially or fully invoked and appropriated by the
Concessioning Authority as per the Concession Agreement and the Concessionaire fails to
replenish or provide fresh Performance Security within a Cure Period of 90 (NInety) days;
(b) the Concessionaire does not make payment to the Concessioning Authority and remains in
default for a period of more than 15 days from the due date of payment;
(c) the Concessionaire does not complete the Project as per the date mentioned in the Agreement
and continues to be in default for 90 (Ninety ) days;
(d) the Concessionaire does not construct and operate any of the items mentioned in the scope of
work;
(e) the Concessionaire abandons or manifests intention to abandon the Project without prior
written consent of the Concessioning Authority;
(f) the Concessionaire has failed to make any payment towards damages to any user or any utility
within the period specified in this Agreement;
(g) the Concessionaire repudiates this Agreement or otherwise takes any action or evidences or
conveys an intention not to be bound by the Agreement;
(h) Change in management control of the Concessionaire Company which according to the
Concessioning Authority may have material adverse effect towards the completion of the
Project.
(i) the Concessionaire is adjudged bankrupt or insolvent, or if a trustee or receiver is appointed for
the Concessionaire or for the whole or material part of its assets at any time before the
Scheduled Project Completion Date;
(j) the Concessionaire has been, or is in the process of being liquidated, dissolved, wound-up,
amalgamated or reconstituted in a manner that would cause, in the reasonable opinion of the
Concessioning Authority, a Material Adverse Effect;
(k) a resolution for winding up of the Concessionaire is passed, or any petition for winding up of
the Concessionaire is admitted by a court of competent jurisdiction and a provisional liquidator
or receiver is appointed and such order has not been set aside within 90 (ninety) days of the
date thereof or the Concessionaire is ordered to be wound up by Court;
(l) the Concessionaire has failed to fulfill any obligation, for which failure Termination has been
specified in this Agreement; or
(m) the Concessionaire commits a material default in complying with any other
provision of this Agreement.
(n) In case of failure of the Bidder to replenish the Bank Guarantee as stipulated
within the time frame from the due date
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13.2. Procedure to issue Termination Notice
Without prejudice to any other rights or remedies which the Concessioning Authority may have
under this Agreement, upon occurrence of a Concessionaire Default, the Concessioning
Authority shall be entitled to terminate this Agreement by issuing a Termination Notice to the
Concessionaire; provided that before issuing the Termination Notice, the Concessioning
Authority shall by a notice inform the Concessionaire of its intention to issue such Termination
Notice and grant 15 (fifteen) days to the Concessionaire to make a representation, and may
after the expiry of such 15 (fifteen) days, whether or not it is in receipt of such representation,
issue the Termination Notice.
13.3. Effect of Termination
Upon Termination as per article 13.1, the Concessionaire hereby acknowledges that no
Termination Payment shall be due or payable by the Concessioning Authority. Concessionaire
acknowledges that within 10 days of termination, the Concessionaire vacates the Project site.
Concessionaire acknowledges that once the agreement is terminated the land allocated shall
be returned back to the Concessioning Authority. In such case, the lease deed will stand
cancelled ipso facto and land is returned back to the Concessioning Authority automatically.
The entire construction made by the Concessionaire till that date on the Project site as part of
the scope of work shall get transferred without any consideration to the Concessioning
Authority. Concessioning Authority at its own discretion may repay the consideration already
paid by the Concessionaire after adjusting for any direct or indirect losses that Concessioning
Authority might have incurred due to delay in completion of the Project. The ownership of the
SPV shall be transmitted to the Concessioning Authority. No liability with respect
to the land or assets shall devolve on Concessioning Authority.
13.4. Other Rights and Obligations of the Concessioning Authority
Upon Termination for any reason whatsoever, the Concessioning Authority shall:
(a) be deemed to have taken possession and control of the Project site and any construction
made on such site till the date of termination;
(b) take possession and control of all materials, stores, implements and construction on or about
the Project;
(c) be entitled to restrain the Concessionaire and any person claiming through or under the
Concessionaire from entering upon the Project Site or any part of the Project; and
(d) Invoke the Performance Security as part Damages.
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Article 14. Liability and Indemnity
14.1. General indemnity
The Concessionaire will indemnify, defend, save and hold harmless the Concessioning
Authority and its officers, employees, agents and consultants against any and all suits,
proceedings, actions, demands and third party claims for any loss, damage, cost and expense
of whatever kind and nature arising out of any breach by the Concessionaire of any of its
obligations under this Agreement or any related Agreement, except to the extent that any such
suits, proceedings, actions, demands and claims have arisen due to any negligent act or
omission, or breach of this Agreement on the part of the Concessioning Authority indemnified
persons.
14.2. Liability of Concessioning Authority
The Concessioning Authority will indemnify, defend, save and hold harmless the
Concessionaire against any and all suits, proceedings, actions, demands and third party
claims for any loss, damage, cost and expense of whatever kind and nature arising out of
defect in title and/or the rights of the Concessioning Authority in the land given on Concession
to the Concessionaire.
14.3. Indemnity by the Concessionaire
Without limiting the generality of Clause 14.1, the Concessionaire shall fully indemnify, hold
harmless and defend the Concessioning Authority from and against any and all loss and/or
damages arising out of or with respect to:
(a) failure of the Concessionaire to comply with Applicable Laws and Applicable Permits;
(b) payment of taxes required to be made by the Concessionaire in respect of the income or other
taxes of the Concessionaire‟s contractors, suppliers and representatives; or
(c) non-payment of amounts due as a result of materials or services furnished to the
Concessionaire or any of its contractors which are payable by the Concessionaire or any of its
contractors.
(d) Breach by the Concessionaire of any of the obligations under this Agreement.
14.4. No consequential claims
Notwithstanding anything to the contrary contained in this Article 14, the indemnities herein
provided shall not include any claim or recovery in respect of any cost, expense, loss or
damage of an indirect, incidental or consequential nature, including loss of profit, except as
expressly provided in this Agreement.
14.5. Survival on Termination
The provisions of this Article 14 shall survive Termination.
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Article 15. Dispute Resolution
15.1. Dispute resolution
15.1.1. ANY DISPUTE, DIFFERENCE OR CONTROVERSY OF WHATEVER NATURE HOWSOEVER ARISING
UNDER OR OUT OF OR IN RELATION TO THIS AGREEMENT (INCLUDING ITS INTERPRETATION) BETWEEN
THE PARTIES, AND SO NOTIFIED IN WRITING BY EITHER PARTY TO THE OTHER PARTY (THE “DISPUTE”)
SHALL, IN THE FIRST INSTANCE, BE ATTEMPTED TO BE RESOLVED AMICABLY IN ACCORDANCE WITH THE
CONCILIATION PROCEDURE SET FORTH IN CLAUSE 15.2.
15.1.2. THE PARTIES AGREE TO USE THEIR BEST EFFORTS FOR RESOLVING ALL DISPUTES ARISING
UNDER OR IN RESPECT OF THIS AGREEMENT PROMPTLY, EQUITABLY AND IN GOOD FAITH, AND FURTHER
AGREE TO PROVIDE EACH OTHER WITH REASONABLE ACCESS DURING NORMAL BUSINESS HOURS TO ALL
NON-PRIVILEGED RECORDS, INFORMATION AND DATA PERTAINING TO ANY DISPUTE.
15.2. Conciliation
In the event of any Dispute between the Parties, either Party may call upon the Chairman
of the Concessioning Authority to mediate and assist the Parties in arriving at an amicable
settlement thereof. If the Dispute is not resolved as evidenced by the signing of written terms
of settlement, either Party may refer the Dispute to arbitration in accordance with the
provisions of Clause 15.3.
15.3. Arbitration
15.3.1 ANY DISPUTE WHICH IS NOT RESOLVED AMICABLY BY CONCILIATION, AS PROVIDED IN CLAUSE
15.2, SHALL BE DECIDED BY REFERENCE TO ARBITRAL TRIBUNAL APPOINTED IN ACCORDANCE WITH
CLAUSE 15.3.2. ARBITRATION SHALL BE HELD IN ACCORDANCE WITH THE PROVISIONS OF ARBITRATION
AND CONCILIATION ACT, 1996 .THE VENUE OF ARBITRATION SHALL BE NAGPUR, AND THE LANGUAGE
OF ARBITRATION PROCEEDINGS SHALL BE ENGLISH.
15.3.2 THE ARBITRAL TRIBUNAL SHALL CONSIST OF A RETD. HIGH COURT JUDGE.
THE APPOINTMENT SHALL BE MADE IN ACCORDANCE WITH THE ARBITRATION AND CONCILIATION ACT,
1996.
15.3.3 THE ARBITRATORS SHALL MAKE A REASONED AWARD (THE “AWARD”). ANY AWARD MADE IN ANY
ARBITRATION HELD PURSUANT TO THIS ARTICLE 15 SHALL BE FINAL AND BINDING ON THE PARTIES AS
FROM THE DATE IT IS MADE, AND THE CONCESSIONAIRE AND THE CONCESSIONING AUTHORITY AGREE
AND UNDERTAKE TO CARRY OUT SUCH AWARD WITHOUT DELAY.
15.3.4 THE CONCESSIONAIRE AND THE CONCESSIONING AUTHORITY AGREE THAT AN AWARD MAY BE
ENFORCED AGAINST THE CONCESSIONAIRE AND/OR THE CONCESSIONING AUTHORITY, AS THE CASE
MAY BE, AND THEIR RESPECTIVE ASSETS WHEREVER SITUATED.
15.3.5 THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES SHALL REMAIN IN FULL
FORCE AND EFFECT, PENDING THE AWARD IN ANY ARBITRATION PROCEEDINGS HEREUNDER.
Article 16. Miscellaneous
16.1. Governing Law and Jurisdiction
This Agreement shall be construed and interpreted in accordance with and governed by the
laws of India, and the courts at Nagpur shall have jurisdiction over matters arising out of or
relating to this Agreement.
16.2. Waiver of Immunity
Each Party unconditionally and irrevocably agrees that liability of the Concessioning Authority shall be limited to its land.
16.3. Delayed Payments
The Parties hereto agree that payments due from one Party to the other Party under the
provisions of this Agreement shall be made within the period set forth therein, and if no such
period is specified, within 15 (fifteen) days of receiving a demand along with the necessary
particulars. In the event of delay beyond such period, the defaulting Party shall pay penalty for
the period of delay calculated at a rate equal to 12% per annum, and recovery thereof shall be
without prejudice to the rights of the Parties under this Agreement including Termination
thereof.
16.4. Waiver
16.4.1.WAIVER, INCLUDING PARTIAL OR CONDITIONAL WAIVER, BY EITHER PARTY OF ANY DEFAULT BY
THE OTHER PARTY IN THE OBSERVANCE AND PERFORMANCE OF ANY PROVISION OF OR OBLIGATIONS
UNDER THIS AGREEMENT:-
(a) shall not operate or be construed as a waiver of any other or subsequent default hereof or of
other provisions or obligations under this Agreement;
(b) shall not be effective unless it is in writing and executed by a duly authorized representative of
the Party; and
(c) shall not affect the validity or enforceability of this Agreement in any manner.
16.4.2. NEITHER THE FAILURE BY EITHER PARTY TO INSIST ON ANY OCCASION UPON THE
PERFORMANCE OF THE TERMS, CONDITIONS AND PROVISIONS OF THIS AGREEMENT OR ANY OBLIGATION
THEREUNDER NOR TIME OR OTHER INDULGENCE GRANTED BY A PARTY TO THE OTHER PARTY SHALL BE
TREATED OR DEEMED AS WAIVER OF SUCH BREACH OR ACCEPTANCE OF ANY VARIATION OR THE
RELINQUISHMENT OF ANY SUCH RIGHT HEREUNDER.
16.5. Liability for Inspection of Documents
Except to the extent expressly provided in this Agreement:
(a) no review, comment or inspection by the Concessioning Authority of any document submitted by the
Concessionaire nor any observation or inspection of any document or operations conducted at the
Project Site hereunder shall relieve or absolve the Concessionaire from its obligations, duties and
liabilities under this Agreement, the Applicable Laws and Applicable Permits; and
(b) the Concessioning Authority shall not be liable to the Concessionaire by reason of any review,
comment, approval, observation or inspection referred to in Sub clause (a) above.
16.6. Exclusion of Implied Warranties etc.
This Agreement expressly excludes any warranty, condition or other undertaking implied at law
or by custom or otherwise arising out of any other Agreement between the Parties or any
representation by either Party not contained in a binding legal Agreement executed by both
Parties.
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16.7. Survival
16.7.1. Termination shall:
a. not relieve the Concessionaire or the Concessioning Authority, as the case may be, of any obligations hereunder which expressly or by implication survive Termination hereof; and
b. except as otherwise provided in any provision of this Agreement expressly limiting the liability of either Party, not relieve either Party of any obligations or liabilities for loss or damage to the other Party arising out of or caused by acts or omissions of such Party prior to the effectiveness of such Termination or arising out of such Termination.
16.7.2. All obligations surviving Termination shall only survive for a period of 5 (five)
YEARS FOLLOWING THE DATE OF SUCH TERMINATION.
16.8. Entire Agreement
This Agreement and the Schedules together constitute a complete and exclusive statement of
the terms of the Agreement between the Parties on the subject hereof, and no amendment or
modification hereto shall be valid and effective unless such modification or amendment is
agreed to in writing by the Parties and duly executed by persons especially empowered in this
behalf by the respective Parties. All prior written or oral understandings, offers or other
communications of every kind pertaining to this Agreement are abrogated and withdrawn.
16.9. Severability
If for any reason whatever, any provision of this Agreement is or becomes invalid, illegal or
unenforceable or is declared by any court of competent jurisdiction or any other instrumentality
to be invalid, illegal or unenforceable, the validity, legality or enforceability of the remaining
provisions shall not be affected in any manner, and the Parties will negotiate in good faith with
a view to agreeing to one or more provisions which may be substituted for such invalid,
unenforceable or illegal provisions, as nearly as is practicable to such invalid, illegal or
unenforceable provision. Failure to agree upon any such provisions shall not be subject to the
Dispute Resolution Procedure set forth under this Agreement or otherwise.
16.10. No partnership
This Agreement shall not be interpreted or construed to create an association, joint venture or
partnership between the Parties, or to impose any partnership obligation or liability upon either
Party, and neither Party shall have any right, power or authority to enter into any Agreement or
undertaking for, or act on behalf of, or to act as or be an agent or representative of, or to
otherwise bind, the other Party.
16.11. Third Parties
This Agreement is intended solely for the benefit of the Parties, and nothing in this Agreement
shall be construed to create any duty to, standard of care with reference to, or any liability to,
any person not a Party to this Agreement, unless expressly provided in this Agreement.
16.12. Successors and Assigns
This Agreement shall be binding upon, and inure to the benefit of the Parties and their lawful
successors, as per the provisions of this Agreement.
16.13. Notices
Unless otherwise stated, all notices, approvals, instructions and other communications for the
purposes of this Agreement shall be given in writing and may be given by facsimile, by
personal delivery or by sending the same by prepaid registered mail addressed to the Party
concerned at its address stated in the title of this Agreement or the fax numbers set out below
89
and/or any other address subsequently notified to the other Parties for the purposes of this
clause 16.14 and shall be deemed to be effective (in the case of registered mail) 10 calendar
days after posting, (in the case of facsimile) two Business Days after receipt of a transmission
report confirming dispatch or (in the case of personal delivery) at the time of delivery
IF to Concessioning Authority:
Address : Nagpur Improvement Trust
Station Road, Sadar,
Nagpur
Maharashtra
Attention : Chairman
If to the Concessionaire: Address :
Telephone :
Fax :
Attention :
16.14. Language
All notices required to be given by one Party to the other Party and all other
communications, Documentation and proceedings which are in any way relevant to this
Agreement shall be in writing and in English or Hindi language.
16.15. Counterparts
This Agreement may be executed in two counterparts, each of which, when executed and
delivered, shall constitute an original of this Agreement.
16.16. Validity
This Agreement shall be valid for the entire Lease Period
IN WITNESS WHEREOF THE PARTIES HAVE EXECUTED AND DELIVERED
THIS AGREEMENT AS OF THE DAY, MONTH AND YEAR FIRST ABOVE
WRITTEN.
SIGNED, SEALED AND SIGNED, SEALED AND
DELIVERED DELIVERED
For and on behalf of For and on behalf of
Concessioning Authority (Nagpur Development CONCESSIONAIRE by:
Authority) by:
90
(Signature) (Signature)
(Name) (Name)
(Designation) (Designation)
In the presence of:
1.
2.
91
Propose
d Site
36 m. wide Ring Road
30 m. wide
Road
Mahakalkar
Sabhagruha
Proposed Site
Annexure I
Schedule 1
The site location
The site identified by NIT for construction of Community Hall is located in Mouza Chikhli
Devasthan/ Pardi abutting 30m. Main road. The Total area is 5247.420 sqm.
Extent of the site is detailed as below:
S. No. Plot No. Description Area of Land in
Sq Mt
1 J Kh. no. 104 Mouza Chikhali Devasthan , Nagpur Kh. No. 6,14/3 Mouza Pardi, Nagpur
2460.340
2 G & H Kh. no. 14/3 Mouza Pardi , Nagpur 2787.08
Total 5247.420
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Land use as per sanctioned Developed Plan
Annexure II
Technical Schedule
I. Standards and Specification
The following sections of this schedule indicate the details of minimum amenities and facilities but not the
least to be provided on the Project as part of the scope of work. All standard facilities as required for
Community Hall shall be provided by the Concessionaire.
The Concessionaire shall provide the details of proposed facilities during execution for approval of the
Concessioning Authority. All these facilities with all permanent structures shall be handed over to
Concessioning Authority upon construction /erection. The facilities will include but not limited to the
followings.
The design criteria like loading standards, permissible stresses and quality standards, to be followed for the
preparation of design and drawings will be as per the latest standards, codes and recommendations of the
Indian Bureau of Standards. The design shall not only satisfy the functional requirements but also
consider the service condition and provision is to be made for future expansion.
The work will follow the latest standards, codes and recommendations of the Indian Bureau of
Standards. The latest in this context means latest with respect to the tender with up to date amendment till
the date of receipt/ submission of the bid. If any IS number indicated is superseded by another IS, the
later will be applicable. Statutory rules for any particular region are also to be adhered to.
In case of absence of suitable IS specifications and code of practices, other recognized international
standards and codes such as International Standards‟ Organization (ISO), Euro Norm (EN), British
Standards Institution (BSI), Deutsche Industries Norm (DIN) be used. For items other than those used in
civil and structural engineering, conformation to ISO, EN, BSI, DIN, ANSI, AFNOR or equivalent
standards will be acceptable, even if there is a IS for the item.
The following specifications and standards cover only some of the minimum requirements for
the development. The developer shall design, finance, construct, and maintain the proposed
Community Hall & premises strictly conforming to the relevant Indian Standards, the best
Industry practices and internationally acceptable norms. Whether the requirements are
explicitly stated or not in the this documents, the bidders must note that Nagpur Improvement
Trust envisages a world class facility in all respects and expects a truly international quality and
standards from the Concessionaire as the binding contractual obligation.
1. Civil and Structural Requirements
The building shall be designed in accordance with the latest Indian Standard Codes and shall
be designed to resist wind and seismic forces RCC Structures shall be designed as per IS
456:2000. Steel Structures shall be designed in accordance with the provision of IS
800-1984. Structural steel shall conform to IS 2062. Tubular section shall conform to IS
4923. Architectural design norms as per NBC (National Building Code - 2005). Structural
Design norms as per NBC and BIS (Bureau of Indian Standards).
94
2. Services and Facilities
Adequate underground water storage shall be provided to cater for one day requirement of
domestic flushing requirements. An additional separate underground storage shall be
provided exclusively for fire-fighting purposes. The design and detailing for the
provision of plumbing and sanitary facilities for the complex shall be done in accordance
with National Building Code & Hand Book of Water Supply & Drainage SP: 35 (S&T)-1987.
Adequate public convenience and drinking water facility should be provided for the
support staff as well as the drivers Drainage facilities shall be constructed and designed in
such a manner that there is no stagnation of water in the Project Site. The internal
drainage system shall be connected to main common drain at an appropriate
location in accordance with the existing network Worker/ employee amenities shall be
provided in accordance with Good Industry Practice Safety barriers, at appropriate
locations, shall be provided to effectively manage pedestrian and vehicular traffic.
3. Fire Fighting Facilities
The Concessionaire shall provide the required fire-fighting equipment and facilities
conforming to relevant standards and the applicable rules and regulations.
Fire safety measures as recommended in applicable codes (Indian as well as
International) listed in Point 3 shall be implemented. Specifically, the fire fighting system
shall be adequate to control all type of fires.
4. Light and ventilation
Proper ventilation should be provided for all the rooms and activities in the
Community Hall building. A mechanical ventilation must be provided to permit a
minimum of 15 air- changes per hour for normal ventilation and 30 air changes per
hour in case of fire or distress call Adequate lighting system in parking facility area will
have to be provided to achieve a minimum lux level of 70 for ramps, parking and
pedestrian movement area and a minimum lux level of 100 for stairways, toilets,
entrance and exit areas of parking The Entry Areas for Parking shall be provided with
auxiliary emergency lighting system such that in the event of failure in general power
supply the auxiliary emergency lighting system is activated immediately.
Power back-up adequate for 100% of the designed power load of the Community Hall
building and adjacent areas in the Community Hall premises shall be provided. The
generator shall be equipped to have a switch-over mechanism so as to be
activated automatically in the event of power failure. The generator shall be installed
in a separate sound-proof enclosure.
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ANNEXURE-III Conceptual Plans
Proposed NIT Community Hall and Convention Centre
96
COMMUNITY HALL AND CONVENTION CENTRE (COMBINED
PLOT G & H)
97
98
99
100
101
ANCILLARY FACILITIES (PLOT J)
102
103
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