RT3-2018 - etenders.gov.za RT3-2018 Revised... · REVISED SPECIAL CONDITIONS OF CONTRACT FOR RT3-2018 Page 5 of 47 SECTION A: GENERAL BID CONDITIONS 1. LEGISLATIVE AND REGULATORY

REVISED SPECIAL CONDITIONS OF CONTRACT

RT3-2018

SUPPLY, DELIVERY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF OFFICE AUTOMATION SOLUTIONS TO THE STATE

FOR THE PERIOD

1 OCTOBER 2018 TO 30 SEPTEMBER 2021

CLOSING DATE AND TIME OF BID

01 JUNE 2018 AT 11H00

BID VALIDITY PERIOD: 120 DAYS

National Treasury

Transversal Contracting

REVISED SPECIAL CONDITIONS OF CONTRACT FOR RT3-2018

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Table of Contents

DEFINITIONS ................................................................................................................................................................................................... 3

ABBREVIATIONS ............................................................................................................................................................................................. 3

ABBREVIATIONS ............................................................................................................................................................................................. 4

ANNEXURES .................................................................................................................................................................................................... 4

TABLES ............................................................................................................................................................................................................ 4

FIGURE ............................................................................................................................................................................................................. 4

SECTION A: GENERAL BID CONDITIONS ..................................................................................................................................................... 5

1. LEGISLATIVE AND REGULATORY FRAMEWORK ............................................................................................................................. 5

2. STATUS OF RFP ................................................................................................................................................................................... 5

3. SUBMISSION OF PROPOSALS ........................................................................................................................................................... 5

4. AUTHORISATION DECLARATION ....................................................................................................................................................... 6

5. TAX COMPLIANCE REQUIREMENTS ................................................................................................................................................. 7

6. APPLICABLE TAX ................................................................................................................................................................................. 7

7. LATE BIDS ............................................................................................................................................................................................. 7

8. COUNTER CONDITIONS ...................................................................................................................................................................... 7

9. FRONTING ............................................................................................................................................................................................. 7

10. SUPPLIER DUE DILIGENCE ........................................................................................................................................................... 8

11. COMMUNICATION AND CONFIDENTIALITY ................................................................................................................................. 8

12. CONTACT DETAILS ........................................................................................................................................................................ 9

SECTION B1: TERMS OF REFERENCE ......................................................................................................................................................... 9

13. BACKGROUND ................................................................................................................................................................................ 9

14. PROBLEM STATEMENT ............................................................................................................................................................... 10

15. OBJECTIVES.................................................................................................................................................................................. 10

16. TECHNICAL SOLUTION REQUIREMENT ELEMENTS ................................................................................................................ 11

17. OFFICE AUTOMATION SOLUTION PHASES FOR MFP AND DIGITAL DUPLICATOR CATEGORIES .................................... 15

18. OFFICE AUTOMATION SOLUTION PHASES FOR SHREDDER CATEGORY ........................................................................... 17

SECTION B2: SPECIFIC BID CONDITIONS ................................................................................................................................................. 18

19. DURATION OF THE CONTRACT .................................................................................................................................................. 18

20. POST AWARD PARTICIPATION ON RT3-2018 ........................................................................................................................... 19

21. EVALUATION CRITERIA FOR ALL BIDDERS .............................................................................................................................. 19

22. PRICE ADJUSTMENT FOR ALL CATEGORIES ........................................................................................................................... 26

SECTION C: AWARD CONDITIONS ............................................................................................................................................................. 27

23. NON-COMMITMENT ...................................................................................................................................................................... 27

24. TRANSVERSAL TERM CONTRACT AWARD ............................................................................................................................... 27

25. EMPOWERMENT TARGETS ......................................................................................................................................................... 27

SECTION D: POST AWARD CONDITIONS AND CONTRACT MANAGEMENT .......................................................................................... 29

26. ROLES AND RESPONSIBILITIES ................................................................................................................................................. 29

27. PROCUREMENT GUIDELINE ....................................................................................................................................................... 30

28. POST AWARD MONITORING ....................................................................................................................................................... 30

29. POST AWARD REPORTING ......................................................................................................................................................... 30


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DEFINITIONS

Accessories Additional features to make the equipment more useful; examples are finishers, connectivity, input options

Addendum An additional period to extend the initial service level agreement period

Advanced Services Are services which includes assessment, design, consultation, configuration, optimization, fleet management, user authentication, pull printing and managed print

Advanced Software A software which includes print monitoring, usage management, device-based solutions and print policies

Agreement A negotiated and legally enforceable understanding between NT and the successful bidder(s). The word “agreement” is also used interchangeably with the word “contract”

Basic Services Services which includes deployment, support, training, repair, maintenance and meter reading

Bid It‟s an offer and it is used interchangeably with Request for Proposal on this document

Bidder An organization making a formal offer for the goods and services set out in this RFP. The word is used interchangeably with supplier, contractor or service provider

Consumables Commodities that are intended to be used up quickly and replaced, including toner/Ink, OPC, developer, fuser, staples, and paper

Designated Group Black designated groups, black people, women, people with disabilities or small enterprises as defined in section 1 of the National Small Enterprise Act, 1996 (Act No.102 of 1996)

End-user A State institution who will use the printing solution from the bidder. The word end-user is also used interchangeably with the word participant

Equipment The necessary items of a particular purpose, in the case of the transversal term contract it is the hardware which is also called device, product or machine including a shredder

Fleet A group of equipment (e.g. MFPs) that serves a single end-user

Multi-Functional Printer A printing device that has multiple functions including printing, scanning, copying and other features

Software A program that is used to direct the operation of a computer

Stakeholder A person, group or organization that has an interest or concern in this RFP like SITA, Provincial Treasuries and all RT3 end-users

State The spheres of Government in the Republic of South Africa

Sub-Contractor A business that signs a contract to perform part of the obligations of another contractor (main bidder)

ABBREVIATIONS

BAC Bid Adjudication Committee NT National Treasury

B-BBEE Broad Based Black Economic Empowerment OCPO Office of the Chief Procurement Officer

BEC Bid Evaluation Committee OEMs Original Equipment Manufacturers

B&W Black and White OPC Open Platform Communications

BO Black Owned Company PDL Page Description Language

BWO Black Women Owned Company PFMA Public Finance Management Act

BYO Black Youth Owned Company PT Provincial Treasury

CF Compensation Fund QSE Qualifying Small Enterprise

CpP Cost per Page RIP Raster Image Processor

CIPC Companies and Intellectual Property Commission

RFP Request for Proposal

CSD Central Supplier Database SA South Africa/ South African

DDs Digital Duplicators SARS South African Revenue Service

EME Exempted Micro Enterprise SCC Special Conditions of Contract

GCC General Conditions of Contract SCM Supply Chain Management

ICT Information and Communication Technology SITA State Information Technology Agency

km Kilometers SLA Service Level Agreement

MFPs Multi-Functional Printers TC Transversal Contracting

MPS Managed Print Service TCBD Transversal Contracting Bidding Document

MoU Memorandum of Understanding TCO Total Cost of Ownership

MTBF Mean Time Between Failure TIC Tender Information Centre


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ABBREVIATIONS

ToF Terms of Reference USB Universal Serial Bus

UIF Unemployment Insurance Fund VAT Value Added Tax

ANNEXURES

Annexure A SBD Forms (separate attachments) Annexure B Functionality Requirements and Pricing (included in the RFP below and a separate attachment) Annexure C Contract Price Adjustment (not a separate attachment but incorporated as Section 22) Annexure D Parking map (included in the RFP below)

TABLES

Table 1: RFP Submission Format ........................................................................................................................... 6

Table 2: Repair Time............................................................................................................................................. 13

Table 3: Evaluation Phases for all bidders ............................................................................................................ 19

Table 4: Pre-Qualification Criteria ......................................................................................................................... 22

Table 5: Preference Point System ........................................................................................................................ 24

Table 6 Example of Cost Breakdown .................................................................................................................... 25

Table 7 Price Adjustment Periods ......................................................................................................................... 26

Table 8: Pricing Structure Example ....................................................................................................................... 34

Table 9: Phase 3b Capability & Capacity Requirements for Bidders of MFPs and DDs ....................................... 37

Table 10 Phase 3b Capability & Capacity Requirements for Bidders of Shredders .............................................. 39

Table 11: Scoring Values ...................................................................................................................................... 39

Table 12: MPS Evaluation Elements ..................................................................................................................... 42

Table 13: Rental & Cost per Page Evaluation Elements ....................................................................................... 43

FIGURE

Figure 1: Implementation Roll-Out Plan for MFPs and DDs .................................................................................. 16

Figure 2 Optimisation Plan for Shredders ............................................................................................................. 17


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SECTION A: GENERAL BID CONDITIONS

LEGISLATIVE AND REGULATORY FRAMEWORK 1.

This Request for Proposal (RFP) and all contracts emanating from it will be subject to the General

Conditions of Contract (GCC) issued in accordance with Treasury Regulation 16A published in terms of

the Public Finance Management Act (PFMA), 1999 (Act 1 of 1999). The Special Conditions of Contract

(SCC) are supplementary to the GCC. Where however the SCC is in conflict with the GCC, the SCC

prevails.

STATUS OF RFP 2.

This RFP is as a result of collaboration between the National Treasury (NT), State Information

Technology Agency (SITA), Provincial Treasuries (PTs) and high spending National Departments on this

commodity. The RFP is an invitation to bidders to submit a proposal for the supply, delivery, installation,

commissioning and maintenance of office automation solutions as set out in the Terms of Reference

(ToR) contained herein. No binding contract or other understanding for the mentioned goods and services

will exist between the NT and any bidder unless and until NT has executed a formal written contract with

the successful bidder(s).

SUBMISSION OF PROPOSALS 3.

3.1 Bidders must respond to the RFP as follows:

Submit the RFP response and all documents (attachments) for Part 1 to 4 (see 3.5 below) via the

web link https://portals.treasury.gov.za/sites/ContractResponses;

Submit hard copies and electronic copy at the Tender Information Centre (TIC); and

Submit any RFP queries via email to [email protected].

3.2 Bidders must submit the RFP to TIC in the following format:

One (1) original hard copy clearly marked as “original”;

Two (2) duplicate hard copies clearly marked as “copies”;

One (1) duplicate electronic copy (Part 1, 2 and 4 to be PDF and Part 4 to be in an XLSX format

excel sheet on either a CD/DVD/Memory stick to the NT: TIC by the closing date (1 June 2018)

and time (11h00) of the bid invitation.

3.3 Non-compliance with 3.1 and 3.2 above may invalidate the bidder‟s RFP response.

3.4 Any discrepancies between the electronic bid (Part 1 to 4) and the hard copy (Part 1 to 4) may invalidate

the RFP bid response for the above mentioned goods and services in question. All CDs/DVDs/Memory

sticks should be clearly marked with the RT number and bidder‟s name.

https://portals.treasury.gov.za/sites/ContractResponses

mailto:[email protected]


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3.5 Bidders‟ attention is also drawn to the sequential format in which their RFP bid response must be

submitted:

Part 1 ADMINISTRATIVE COMPLIANCE Completed bid documents and all bid returnables (details on 20.2 below)

Part 2 PRE-QUALIFICATION CRITERIA Pre-Qualification documents (details on 20.3 below)

Part 3 TECHNICAL FUNCTIONALITY (details on 20.4 to 20.6 and Annexure B)

Part 3a : Functional Requirements

Part 3b : Capability and Capacity Requirements

Part 3c : Pricing/TCO Requirements

Part 4

ALTERNATIVE PROPOSAL (details on Annexure B)

Table 1: RFP Submission Format

Bidders can refer to www.sita.co.za/prodcert.htm for details on the equipment certification process, as

well as the required documents. Product certification contact details are as follows:

SITA Contact Details:

Contact person : Izak de Villiers

Telephone number : (012) 482 2749

Email : [email protected]

3.6 Mandatory Instructions

3.6.1 NT will not enter into a third party rental agreement for any of the equipment mentioned in this RFP

document.

3.6.2 For the Pre-paid payment method, the usage of credits paid for in advance can be used throughout the

duration of the rental contract and shall not be limited to the end of rental contract period. The contract will

come to an end once the credits are utilised, even if this is after the extended twenty-four (24) months

period at no additional cost.

3.6.3 Maintenance during the period shall also be conducted as this is included in the pre-paid pricing.

3.7 Non-compliance with this condition may invalidate the bid for the payment method concerned.

AUTHORISATION DECLARATION 4.

4.1 Any bidder who is sourcing goods or services from a third party must complete the “Authorisation

Declaration” (TCBD 1) in full for all relevant goods or services, sign it and submit it together with the RFP

bid response at the closing date (01 June 2018) and time (11h00) of the bid invitation.

4.2 The State reserves the right to verify any information supplied by the bidder in the Authorisation

Declaration and should the information be found to be false or incorrect, the State will exercise any of the

remedies available to it in this RFP bid document.

http://www.sita.co.za/prodcert.htm



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4.3 The bidder must ensure that all financial and supply arrangements for goods or services have been

mutually agreed upon between the bidder and the third party. No agreement between the bidder and the

third party will be binding on the State.

4.4 Failure to submit a duly completed and signed Authorisation Declaration, with the required annexure(s), in

accordance with the above provisions may invalidate the bid for such goods or services offered.

TAX COMPLIANCE REQUIREMENTS 5.

5.1 It is a condition of this RFP bid that the tax matters of the successful bidder(s) are in order, or that

satisfactory arrangements have been made with South African Revenue Service (SARS) to meet the

bidder‟s tax obligations.

5.2 The Tax Compliance status requirements are also applicable to potential foreign bidders / individuals who

wish to submit bids.

5.3 It is a requirement that bidders grant a written confirmation when submitting this RFP bid response that

SARS may on an on-going basis during the tenure of the transversal term contract disclose the bidder‟s

tax compliance status and by submitting this RFP bid such confirmation is deemed to have been granted.

5.4 Bidders are required to be registered on the CSD and NT shall verify the bidder‟s tax compliance status

through the CSD or through SARS.

5.5 Where Consortia / Joint Ventures / Sub-Contractors are involved, each party must be registered on the

CSD and their tax compliance status will be verified through the CSD or through SARS.

APPLICABLE TAX 6.

6.1 All prices must be inclusive of applicable taxes.

6.2 Failure to comply with this condition may invalidate the bid.

LATE BIDS 7.

Bids received after the closing date (01 June 2018) and time (11h00), at the TIC and according to 3.1

above will NOT be accepted for consideration and where practicable, be returned unopened to the bidder.

COUNTER CONDITIONS 8.

8.1 Bidders‟ attention is drawn to the fact that amendments to any of the Bid Conditions or setting of counter

conditions by bidders may result in the invalidation of such bids.

8.2 The NT reserves the right to change or supplement any information or to issue any addendum to this RFP

before the closing date (1 June 2018) and time (11h00). The NT and its officers, employees and advisors

will not be liable in connection with either the exercise of, or failure to exercise this right.

8.3 If the NT exercises its right to change or supplement information in terms of the above clause, it may seek

amended RFP bid documents from all bidders.

FRONTING 9.

9.1 The NT supports the spirit of broad based black economic empowerment and recognizes that real

empowerment can only be achieved through individuals and businesses conducting themselves in


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accordance with the Constitution and in an honest, fair, equitable, transparent and legally compliant

manner. Against this background the NT does not support any form of fronting.

9.2 The NT, in ensuring that bidders conduct themselves in an honest manner will, as part of the bid

evaluation processes, conduct or initiate the necessary enquiries/investigations to determine the accuracy

of the representation made in this RFP bid document. Should any of the fronting indicators as contained

in the Guidelines on Complex Structures and Transactions and Fronting, issued by the Department of

Trade and Industry, be established during such enquiry / investigation, the onus will be on the bidder to

prove that fronting does not exist. Failure to do so by the bidder within a period of fourteen (14) days from

date of notification by NT may invalidate the bid / contract and may also result in the restriction of the

bidder to conduct business with the public sector for a period not exceeding ten (10) years, in addition to

any other remedies the NT may have against the bidder concerned.

SUPPLIER DUE DILIGENCE 10.

The State reserves the right to conduct bidder due diligence and or verifications prior to final award or at

any time during the transversal term contract period. This may include site visits even to bidder‟s current

clients and partners (e.g. Sub-Contractors) or even the presentation of Sub-Contractors listed in response

to the RFP.

COMMUNICATION AND CONFIDENTIALITY 11.

11.1 The Chief Directorate: TC within the Office of the Chief Procurement Officer (OCPO) may communicate with bidders where clarity is sought after the closing date (1 June 2018) and time (11h00) of the bid and prior to the award of the contract, or to extend the validity period of the bid, if necessary.

11.2 Any communication to any State official or a person acting in an advisory capacity for the State in respect of this RFP bid between the closing date (1 June 2018) and the award of the bid by the bidder is discouraged.

11.3 Whilst all due care has been taken in connection with the preparation of this RFP, the NT makes no representations or warranties that the content in this RFP or any information communicated to or provided to bidders during the bidding process is, or will be, accurate, current or complete. The NT, and its officers, employees and advisors will not be liable with respect to any information communicated which is not accurate, current or complete.

11.4 If a bidder finds or reasonably believes it has found any discrepancy, ambiguity, error or inconsistency in this RFP or any other information provided by the NT (other than minor clerical matters), the bidder must promptly notify the NT in writing of such discrepancy, ambiguity, error or inconsistency in order to afford the NT an opportunity to consider what corrective action is necessary (if any).

11.5 Any actual discrepancy, ambiguity, error or inconsistency in this RFP or any other information provided by the NT will, if possible, be corrected and provided to all bidders without attribution to the bidder who provided the written notice.

11.6 All communication between the bidder and the NT TC office must be done in writing as per 12.2 below.

11.7 No representations made by or on behalf of the NT in relation to this RFP will be binding on the NT unless that representation is expressly incorporated into the contract ultimately entered into between the NT and the successful bidder(s).

11.8 All persons (including all bidders) obtaining or receiving this RFP and any other information in connection with this RFP or the tendering process must keep the contents of the RFP and other such information


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confidential, and not disclose or use the information except as required for the purpose of developing a proposal in response to this RFP.

CONTACT DETAILS 12.

12.1 General

National Treasury, Office of the Chief Procurement Officer, Chief Directorate: Transversal Contracting,

Private Bag x115, Pretoria, 0001

Physical address: 240 Madiba Street, corner Thabo Sehume and Madiba Streets, Pretoria

12.2 Bid Enquiries

All enquiries should be in writing to [email protected]. The closing date for

receipt of all enquiries is 25 May 2018. All enquiries beyond the closing date will not be considered.

Transversal Contract : Ms Kwanele Mtembu

: National Treasury

Technical : Mr Izak De Villiers

: SITA

Pricing/TCO : Mr Fanie Hanekom

: Gauteng Provincial Treasury

SECTION B1: TERMS OF REFERENCE

BACKGROUND 13.

13.1 The South African (SA) Government (the State), in fulfilling its different operations of service delivery, it required a vast number of resources including the supply, delivery, installation, commissioning and maintenance of office equipment and labour saving devices.

13.2 The purpose of establishing the transversal term contract for all State Institutions was to:

Purchase outright shredders;

Rent photocopiers and digital duplicators (DDs); and

Provide maintenance, consumables, spare parts, service, etc. for rental equipment.

13.3 As office equipment is commonly used within the State, it necessitated a need for a transversal term contract to eliminate duplication of efforts in the procurement of common goods and services, realise the benefits from leveraging economies of scale, consistency in prices and standardisation of specifications, strategic sourcing methodologies with principles applied and contract management.

13.4 The initial transversal term contract was put in place over three (3) decades ago and it has always been a panel of bidders. The participation on the transversal term contract ranges across all spheres of Government. It is always the intention of NT to have multiple awards or panels of bidders in its transversal term contracts.

13.5 Due to the advancement of the transversal term contract RT3-2018, the description of the transversal contract will no longer be:



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“THE SUPPLY, DELIVERY, INSTALLATION, COMMISSIONING AND MAINTENANCE OF OFFICE

EQUIPMENT AND LABOUR SAVING DEVICES TO THE STATE”,

The new description is:

“THE SUPPLY, DELIVERY, INSTALLATION, COMMISSIONING AND MAINTENANCE OF OFFICE

AUTOMATION SOLUTIONS TO THE STATE”

The supply, delivery, installation, commissioning and maintenance would include but is not limited

to the supply, delivery, allocation, installation, configuration, commissioning, training,

maintenance/repair, or even distribution, re-deployment and administration;

Office could mean room(s), space , buildings used to execute State businesses including mobile

offices (Air, Land or Sea);

Automation Solutions could mean computer hardware and software system used to

electronically/digitally reproduce, create, collect, store, print/copy send information/data to

accomplish a task; and

State means the spheres of Government in the Republic of SA.

13.6 The transversal term contract model for RT3 has always been Rental plus Copy Charge. An additional

model, Managed Print Service (MPS) will be available on the RT3-2018 together with an additional

payment method Pre-Paid that can be with either any of the models. The transversal term contract aims

to provide an office printing solution and not just office equipment.

13.7 A printing policy, printing needs assessment questionnaire, procurement guideline and a contract

agreement between NT and the successful bidder(s) will be introduced on RT3-2018 to assist the State

in managing its printing environments and the optimal procurement for each printing environment.

PROBLEM STATEMENT 14.

The transversal term contract seeks to address the following short-comings:

Incorrect equipment deployment;

- Under/over-utilisation,

- Procurement based on budget or wants, not needs,

- Fruitless expenditure,

- <5% A3 printing, >90% A3 printers deployed, and

- ~12% average colour usage (i.e. 88% of pages printed on colour devices are Black and White

(B&W))

Manual process driven: ineffective;

Insufficient support for standardisation: increasing Total Cost of Ownership (TCO) for the State;

No Information and Communication Technology (ICT) focus (software, solutions, services, security);

No provision for advanced software, hardware and services; and

No service for outright purchase devices (shredders).

OBJECTIVES 15.

The transversal term contract requires appointing a panel of bidders that will be able to provide and have

capacity to deliver the office automation solutions required by NT as specified in this RFP document. The

bidders with such capacity shall be able to (but not limited to) supply, deliver, allocate, install, configure,

commission, maintain/repair, or even to distribute, re-deploy and administer such office automation

solutions rental and usage for thirty-six (36) months, and usage only for an additional twenty-four (24)

months. Any damage to the office automation solution equipment during delivery and installation will be


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full responsibility of the bidder. NT and its stakeholders shall not be held responsible for any damage

during this phase of the project. The key objectives of this transversal term contract are as follows:

15.1 To correctly classify the commodity and its related costs across the State under one (1) budget line for

accurate spend analysis;

15.2 To provide cost-effective office automation solutions to the State and maintain adequate and up-to-date

technology;

15.3 To comprehensively analyse historic usage data and user printing requirements to discover, quantify and

eventually reduce TCO;

15.4 To standardise printing fleet by allowing optimisation for full capacity utilisation without negatively

impacting productivity but enhancing it;

15.5 To drive print output cost savings via a lower TCO and not Cost per Page (CpP);

15.6 To enhance competition by having multiple bidders per equipment/office automation solution(s);

15.7 To automate management of the printing environment and institute quarterly reviews with bidders to

continually explore ways to optimally utilise technology, reduce expenditure and measurement of Service

Level Agreement (SLA) performance to focus on more strategic initiatives;

15.8 To effectively manage printing fleet extended beyond initial lease period to achieve savings;

15.9 To reduce energy consumption as well as carbon footprint through device consolidation and optimised

deployment of equipment; and

15.10 To uplift the economy of previously disadvantaged EMEs/QSEs.

TECHNICAL SOLUTION REQUIREMENT ELEMENTS 16.

16.1 The State requires establishing strategic and long term partnership/s with suitably qualified and

experienced office automation solution bidders.

16.2 The State requires the supply, delivery, installation, commissioning and maintenance of office automation

solutions to encompass:

Hardware which includes Multi-Functional Printers (MFPs) (Printer/Scanner/Copier), accessories

(finishers, connectivity, input options) and firmware/functionality (Fax, Security, RIP options, PDL options);

Basic Software which includes Drivers (print/scan/fax), device management and activity monitoring and

alerting;

Basic Services which includes deployment, support, training, repair, maintenance and meter reading;

Consumables which includes toner/Ink, OPC, developer, fuser, staples, and (paper);

Advanced Services which includes assessment, design, consultation, configuration, optimisation, fleet

management, user authentication, pull printing and managed print; and

Advanced Software which includes, drivers (print/scan/fax), device management, print monitoring, usage

management, security, device-based solutions and print policies.

16.3 Commonality in all the models of the transversal term contract:

16.3.1 End-users shall read the procurement guideline to familiarise themselves on how to procure from

the transversal term contract. The procurement guideline will also provide the basis for which

solution/procurement model to select informed by the analysis of the printing environment. This

requirement also applies to outright purchase of shredders.

16.3.2 Bidders must have the ability to extract and use historical equipment usage/volumes data in

conjunction with end-user analysis questionnaires to provide a site specific printing solution

proposal. This requirement also applies to shredders.

16.3.3 Solution proposals will be evaluated by the end-user (ICT, Finance and Supply Chain

Management (SCM)).

16.3.4 Further negotiations of the proposal(s) will be allowed in fulfilling the end-users needs.


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16.3.5 SCM will inform NT and the relevant PT on the selected solution by submitting the final negotiated

proposal from the selected bidder(s).

16.3.6 End-user will sign an SLA with the selected bidder(s) prior to implementing the solution.

16.3.7 End-user will adopt a printing policy and end-user responsibilities are defined in the SLA in terms

of contract management.

16.3.8 NT and PTs will manage the transversal term contract and the bidders.

16.4 The transversal term contract has two (2) models and two (2) payment methods (advance quarterly

payment and thirty (30) days from receipt of invoice payment). Service providers are allowed to bid for

any of the two (2) models, indicate the payment method selected for each model and the pricing

structure (see Annexure B).

16.4.1 PROCUREMENT CONTRACT OPTIONS FOR ALL CATEGORIES

Participants have different procurement options from the contract based on their printing needs. The

analysis will inform any option suitable for the participant.

Option 1

Complete printing solution

Option 2

Equipment only

Option 3

Service only (e.g. software to perform a certain service or function)

Option 4

Accessories only

Option 5

Combination of any of the options

16.4.2 MODELS

The State requires adopting “best practice” which is total printer management programmes (which

generally include toner replacement, preventative maintenance, parts and labour for repairs) and

more flexible programmes billed at a cost per page. These models should allow amongst other

things cost savings opportunities on providing the right paper capacity, notification features,

service module designs, finishing products, comprehensive document management, space

saving and energy efficiency, automatic document feeders, high speed scanning, versatile scan

to and print from USB memory stick, easy and secure mobile printing, monitor, manage and

optimize the participant‟s total print output environment, end to end, regardless of printer brand.

The models should proactively identify and solve potential printing problems and replenish

supplies before Participant‟s employees are affected. Provision of online reporting, work flow

management, turning slow paper-based processes (like routing and approvals) into automated

digital ones. The monitoring software is a prerequisite not only for accurate, automated billing but

also to facilitate proactive maintenance services, resulting in superior service levels and increasing

staff and equipment efficiency/productivity. The awareness and utilisation of device accessories by

participants is encouraged.


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16.4.2.1 Rental and Copy Charge Model

The rental and copy charge model comprises rental of the awarded equipment configuration to which

would be added cost for software or advanced software, other consumables and services amortised over

the rental period for a complete office automation solution. Optional software could be utilised for print

management, asset management and management reporting.

The monthly rental should include delivery, installation and commissioning costs.

If a bidder offers more than one equipment model on the same item, the offer must clearly be marked

Offer A and Offer B including pricing.

Equipment support and maintenance would be at the awarded cost per copy.

It is required that sufficient spare parts be held in SA to ensure that equipment supplied in terms of the

transversal term contract are kept in acceptable working condition for the first thirty-six (36) months and

the extension period of twenty-four (24) months after installation.

“The “copy charge” will be for full coverage of on-site maintenance on a nation-wide basis. The

maintenance of all equipment shall include: -

- Toner or ink;

- All service calls, repairs and replacement of all defective parts;

- All spare parts and all other consumables, including rollers, fuser units, developer and drums

excluding staples.

The maintenance period of thirty-six (36) months will be effective from the date of commissioning and the

additional twenty-four (24) months considered.

The repair time at a Provincial level on call-out should be as follows: -

Radius from the bidder’s point of location Repair time/Turn-around time

<100 km Within 8 hours, i.e. 1 day

> 100 km Within 16 hours, i.e. 2 days

Table 2: Repair Time

As part of service delivery management, participants will manage the response times and this will form

part of the reporting requirement.

If equipment cannot be repaired within two (2) working days from notification the bidder should provide a

loan machine in good condition and with the same performance and functionality as the faulty equipment.

Repair costs due to end-user negligence or misuse of equipment will be for the end-user‟s account.

Successful bidder(s) must provide relevant end-user training on the solution supplied preferably during

the installation period. The technical specification/scope of solution in Annexure B incorporates these

training requirements. Bidders are required to provide training and training material for equipment

installed. Training can be classroom based or on-demand training and quick reference guides accessible

online, to facilitate optimal use of the equipment and specifically focusing on cost saving features.


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16.4.2.2 Managed Print Service Model

MPS are services offered by a bidder to optimize or manage a State institution‟s document output. Among

the main components to be covered are needs assessment, selective or general replacement of

equipment, redeployment/movement/optimisation of equipment if required, service, parts and supplies

needed to operate the new and/or existing equipment (including existing third-party equipment if this is

required by the State institution). The bidder will also track how the MFP fleet is being used, any

problems/challenges, and end-user satisfaction.

MPS can comprise both basic and advanced managed print services.

Basic services include but are not limited to proactive monitoring of consumables, proactive monitoring of

equipment alerts requiring technical support including incident management, automated meter readings

for accurate and timely usage billing, single point of contact through the help desk and meter reading

which is also available through some technology for equipment that is not networked.

Advanced services includes but is not limited to print policy management to ensure optimal equipment

settings are adhered to (secure print, default duplex printing, etc.), load balancing assessment to make

recommendations for equipment movements to ensure optimal utilisation, enhanced service levels to

accommodate maximum uptime in critical printing areas, service delivery management and reporting to

provide regular reviews of print trends, service level metrics, utilisation of score cards and billing

management and a single point of contact for escalations and general account management, paper

management to reconcile paper usage with print output to identify areas of high wastage / loss and

implement remedial processes, dedicated onsite resources covering a variety of services including toner

and paper replenishment, first level technical support and technical service engineers.

16.4.3 PAYMENT METHODS

The participants reserves the right to decide which payment model it will employ, that being either pre-

payment or thirty (30) days from receipt of invoice payment.

A participant should be allowed by the bidder to migrate to any of the available payment methods during

an SLA as part of optimisation.

In the case where an order is placed on a bidder, the price applicable at the date of order placement is to

be invoiced.

16.4.3.1 Pre-Paid payment method

The Pre-Paid payment method offers easy and accurate budgeting because of the selection of the right

office automation solution with the correct print volumes for the correct area, and within the allowed

financial budget. Payments are made for exactly the right amount of prints and therefore there are no

unexpected invoices for excess prints made.

It offers simple and effective administration because pre-paid invoices are raised quarterly and paid in

advance quarterly. Therefore, there are only four (4) payments per annum versus twelve (12) monthly

payments annually. It is one (1) invoice reflecting number of copies paid for.

The payment method can be selected with either the MPS model or the Rental and Copy Charge model.


Page 15 of 47

16.4.3.2 30 days from receipt of invoice payment method

A net 30 payment method is a payment thirty (30) days after invoice receipt. It specifies the net amount

(the total outstanding on the invoice) expected to be paid in full and received by the bidder within thirty

(30) days after the office automation solution has been deployed.

Therefore there are twelve (12) monthly payments annually. The invoice will reflect office automation

solution rental price per month, “x” number of prints and any additional goods or services excluded from

the number of prints.

The payment method can be selected with either the MPS model or the Rental and Copy Charge model.

16.4.4 Shredders

Shredders are procured outright: A paper shredder is mechanical equipment used to cut paper into strips

or fine particles. The State uses shredders to destroy private, confidential, or otherwise sensitive

documents.

The bidder shall implement a warranty or register card with the shredder which will help trace the

shredder(s) for the provision of maintenance services.

The security levels covered under the transversal term contract are three (3) to six (6).

Support and maintenance will be for the thirty-six (36) months period and the extended twenty-four (24)

months.

OFFICE AUTOMATION SOLUTION PHASES FOR MFP AND DIGITAL DUPLICATOR CATEGORIES 17.

17.1 It is envisaged that the process to reach an optimised printing solution within the State will unfold in

multiple phases. The figure below explains the various transitions that are required which summarises the

phases involved from successful appointment of bidders to the final printing solution realisation and on-

going refinements and improvements that will be required.

17.2 The analysis of the printing environment by bidders will inform the optimal printing solution for a

participant.

17.3 The bidder has an option to buy-back any equipment from either an RT3 participant or outside RT3 in

allowing and enforcing optimisation informed by the analysis.

17.4 Bidders to provide a detailed proposal on the implementation roll-out methodology and plan for phases 1-

3 below.


Page 16 of 47

Figure 1: Implementation Roll-Out Plan for MFPs and DDs


Page 17 of 47

OFFICE AUTOMATION SOLUTION PHASES FOR SHREDDER CATEGORY 18.

18.1 It is envisaged that the process to reach optimisation on this category will also unfold in multiple phases.

The figure below explains the various transitions that are required which summarises the phases involved

from successful appointment of bidders to the final delivery of the equipment.

18.2 The analysis of the existing equipment by bidders will inform the optimal solution procurement for a

participant.

18.3 The bidder has an option to buy-back any equipment from either an RT3 participant or outside RT3 in

allowing and enforcing optimisation informed by the analysis.

18.4 Bidders to provide a detailed proposal on the optimisation plan for phases 1-2 below.

Figure 2 Optimisation Plan for Shredders


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SECTION B2: SPECIFIC BID CONDITIONS

DURATION OF THE CONTRACT 19.

19.1 The contract period shall be thirty-six (36) months commencing on 01 October 2018 to 30 September

2021 with an option of extension period of twenty-four (24) months at a zero percent (0%) rental. Only the

cost per page (usage) will be charged inclusive of support and maintenance by bidder(s) during the

extension period. The rental price of the office automation solution shall be reduced by one-hundred

percent (100%) of the original rental price during the extended period.

19.2 All SLAs emanating from the transversal term contract should not go beyond the extended twenty-four

(24) months period.

19.2.1 All SLAs commencing in the first year of the transversal term contract (i.e. 1 Oct 2018 to 30

September 2019) irrespective of the starting month within the first year, the extended 0% rental

SLA period will be up to 30 September 2023. This means the participants will enjoy a twenty-four

(24) months 0% rental or proportionately as per the starting month of the SLA.

19.2.2 All SLAs commencing in the second year of the transversal term contract (i.e. 1 Oct 2019 to 30

September 2020) irrespective of the starting month within the second year, the extended 0% rental

SLA period will be up to 30 September 2023. This means the participants will enjoy a twelve (12)

months 0% rental or proportionately as per the starting month of the SLA.

19.2.3 All SLAs commencing in the third year of the transversal term contract (i.e. 1 Oct 2020 to 30

September 2021) irrespective of the starting month within the third year, the extended 0% rental

SLA period will be up to 30 September 2023. This means the participants will not enjoy the 0%

rental or proportion thereof.

19.3 The bidder must notify the end-user in writing or system generated notification sixty (60) days prior to the

expiry of the first thirty-six (36) months rental period. Upon expiry of the initial thirty-six (36) months

contract, the end-user can opt to extend the rental agreement for an additional (24) months at 0% rental

and copy per page (usage) charges in accordance with the Practice note 5 of 2006 issued by the

Accountant General.

19.4 The office automation solution can be leased at any stage within the transversal term contract period,

commencing on the day the solution equipment is delivered, installed and commissioned to the end user.

For shredders, the outright purchase can be at any time during the transversal term contract.

19.5 The printing environment assessment must be considered at any stage of the contract to allow

optimisation. If there is an assessment cost it should be included on the pricing on Annexure B.

19.6 Termination rights

An SLA can be terminated by a participant on grounds of poor service delivery by the bidder.

Participants will be in a position to terminate an SLA without honouring the outstanding months where

after following the prescribed remedial process stipulated in the SLA and agreement between the bidder

and NT, it is proven that the bidder failed to remedy the poor provision of service.


Page 19 of 47

On determination that the SLA(s) should be terminated, the bidder will remove the equipment within a

period not exceeding thirty (30) days from the date of the issued instruction.

POST AWARD PARTICIPATION ON RT3-2018 20.

20.1 Public Finance Management Act public institutions listed in Schedules 1, 2, 3A, 3B, 3C, 3D and Local

Government are all welcome to participate on the transversal contract.

20.2 The participating letter will be customised to allow participation on completion and signing thereof as the

transversal contract is arranged by means of a competitive bidding process by NT, subject to an

electronic (e.g. e-mail, NOT written approval/consent) acceptance by the Contract Manager or a delegate

from TC.

20.3 Bidder(s) will be notified of new participants; however the list of participants will not be published on the

website but will be kept as an internal report. Model changes, price adjustments and any other transversal

term contract information will be published for both the benefit of bidder(s) and end-users.

20.4 In terms of Treasury Regulation 16A6.5 Accounting Officer/Accounting Authority of National and

Provincial departments, constitutional institutions and public entities listed in schedule 1, 3A and 3C to the

PFMA may opt to participate in a transversal term contract facilitated by the relevant treasury.

20.5 Public entities listed in schedule 2, 3B and 3D to the PFMA, may participate in transversal term contract

facilitated by the relevant treasury through approval from their accounting authorities.

20.6 Regulation 32 of the Municipal SCM Regulations provides that a Supply Chain Management policy may

allow the accounting officer to procure goods or services for a municipality or municipal entity under a

contract secured by another organ of the state.

FOR ALL BIDDERS21. EVALUATION CRITERIA

21.1 The evaluation process will be conducted in the following phases:

Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Phase 6

Administrative

compliance

Pre-qualification

criteria for preferential

procurement

Functionality

requirements

Price/TCO and

B-BBEE

Negotiations Recommendation

and Appointment

Compliance with

mandatory and other

bid requirements

Bids will be assessed if

they meet the

determined pre-

qualification criteria

Bids will be

assessed to verify

bidders capability

and ability to

execute the contract

Bids evaluated in

terms of either the

80/20 or 90/10

preference

system

Bids will be

negotiated for

base best

offers, terms

and conditions

Recommendation and

appointment of a

panel of bidders

Table 3: Evaluation Phases for all bidders


Page 20 of 47

21.2 Phase 1: Administrative Compliance

During this phase bidders‟ RFP responses will be evaluated based on the administrative compliance

requirements indicated below. These are the documents to be submitted for administrative evaluation:

Mandatory Standard bidding documents (attached as Annexure A)

Mandatory Functionality requirement and Pricing (attached as Annexure B)

B-BBEE Certificate

Proof of authority must be submitted e.g. company resolution for the capacity under which this bid

is signed (as per SBD 1)

Written confirmation for disclosing tax status by SARS (see 5.3 above)

Approval letter indicating the distributor/sub-distributor or re-seller of equipment is approved to

supply the equipment

OEM‟s black partners list

Company profile of main bidder(s)1, re-seller(s) and Sub-Contractor(s) reflecting:

- Group / Company structure

- B-BBEE Level

- Company Registration documents

- Proof of Unemployment Insurance Fund (UIF) compliance (where applicable)

- Proof of Compensation Fund (CF) compliance (where applicable)

- Service footprint of the main bidder

- Location of office(s) for re-seller(s) and Sub-Contractor(s)

Three (3) corporate clients references of the main bidder where the proposed model(s)/shredders

are deployed

OEM brochure for each equipment offered, the brochure must be clearly labelled with the item

number of the equipment being offered according to Annexure B

SITA certification or proof of submission to SITA for each equipment range offered in the bid by

main bidder (Not applicable to Digital Duplicators and Shredders)

Detailed proposal for bidders of MFPs and DDs on the implementation roll-out methodology and

plan for phases 1-3 by main bidder (see 17.4 above)

Detailed proposal for bidders of shredders on the optimisation plan for phases 1-2 (see 18.4

above)

List of current State institutions clients including contract values by main bidder per Province

Three (3) year latest audited financial statements of the main bidder

Recycling/up-cycling of cartridges and toners programme(s) for MFPs and DDs

Disposal or recycling/up-cycling of shredder(s) programme(s)

Alternative proposals (if any)

21.2.1 Responsive Bids

Bidders must ensure their bids are responsive as it is compulsory to complete and sign all relevant

standard bidding documents (SBD) and submit the Functionality requirements and Pricing. Bidders

should not use corrective fluid on any documents submitted.

21.2.2 Non-compulsory Briefing Session

Date : 07 May 2018

Time : 09h30 for 10h00 seated

Venue : National Treasury, 40 Church Square (NOT street), Budget Council Room, Ground

Floor, Pretoria CBD.

1 Main bidder can be a distributor/sub-distributor or a re-seller or a JV or a Consortium


Page 21 of 47

Parking : Van Erkom (Karabo Parking), entrance to the parking area is in Francis Baard Street.

Please take the ticket at the boom and our security at ground floor will stamp it on

your departure after the meeting.

This briefing session is not compulsory but will provide bidders with an opportunity to obtain clarity on

certain aspects of the procurement process as set out in this RFP document. Prospective bidders who do

not attend the non-compulsory briefing session will not obtain any information related to the briefing

session up until the award of the transversal contract.

The state reserves the right to answer questions at the briefing session or to respond formally after the

briefing session.

Bidders are encouraged to prepare questions upfront and send them to NT by e-mail to

[email protected] before the briefing session. The closing date for receipt of all

enquiries is 25 May 2018. All enquiries beyond this closing date will not be considered.

21.3 Phase 2: Pre-qualification criteria for preferential procurement

21.3.1 The Pre-Qualification criteria set is according to Regulation 4(1)(c)(i) of the Preferential Procurement

Policy Framework Act, 2000: Preferential Procurement Regulations, 2017

Type of criteria Partnership expectation (Joint Ventures, Consortiums and other forms of partnership are encouraged)

Documents to be submitted to support criteria

Monitoring of criteria

A tenderer who is a Distributor or Sub-distributor or Re-Seller appointed at either National or Provincial level

Distributor or Sub-distributor or Re-Seller will sub-contract a minimum 30% of contract value for the transversal term contract period to a NEW or EXISTING Sub-Contractor who is an

EME/QSE which is at least 51% BO2 at a Provincial level who will either (not limited to) provide the downstream activities like to deliver, service equipment, supply consumables and/or recycle/up cycle

Distributor or Sub-distributor or Re-Seller can access two (2) Sub-Contractors list on CSD for fulfilling this requirement.

Distributor or Sub-distributor or Re-Seller to submit:

Type of a designated group (e.g. BYO/BWO etc.)

Type of activities to be performed by the designated group

Company registration documents for non-CIPC registered Sub-Contractor(s)

Group structure of the Sub-Contractor(s)

Proof of disability (where applicable)

Proof of residence (if different from registration)

B-BBEE score card indicating ownership

Any form of partnership agreement (e.g. MoU etc.)

Quarterly reports by Distributors or Sub-distributors or Re-Sellers on the:

Quantities and model provided by Sub-Contractor (if any)

Value of the sub-contracting

Area (activities) of sub-contracting

Clients (State institutions) supplied and serviced

2 BO – Black Owned Company



Page 22 of 47

Type of criteria Partnership expectation (Joint Ventures, Consortiums and other forms of partnership are encouraged)

Documents to be submitted to support criteria

Monitoring of criteria

List 1:

CSD Procurement reference number: RT3-2018-PRINTERS. The list is for all suppliers that provide multi-functional printers

List 2:

CSD Procurement reference number: RT3-2018-SUPPLIES. The list provides for all suppliers that provide printer accessories and supplies (parts, etc.)

List 3

CSD Procurement reference number: RT3-2018-SHREDDERS.

Table 4: Pre-Qualification Criteria

21.3.2 A bid that fails to meet the above pre-qualifying criteria stipulated in this RFP is an unacceptable bid.

21.4 Phase 3a: Functional Requirements for all bidders

21.4.1 Only bidders who have complied with all administrative (Phase 1) and pre-qualification requirements

(Phase 2) will be evaluated on functionality. During this phase bidders‟ responses will be evaluated for

functionality based on achieving a minimum weight for each of the functional requirements as set out in

Annexure B. Bidders must, as part of their RFP responses submit the supportive documentation as

indicated for all functionality requirements and be prepared to present the designated group(s) partnered

with that would be indicated on the pre-qualification criteria during any time of the bidding process or after

the bidding process.

21.4.2 Functional requirements refer to the equipment specification/scope of solution that applies to all models

and it is mandatory that it is completed and submitted. For detailed specification/scope of solution, see

Annexure B.

21.5 Phase 3b: Capacity and capability requirements for all bidders

The minimum threshold for passing functionality is 50%

See Annexure B Table 7 for capacity and capability requirements for MFPs and DDs and Table 8 for

Shredders.


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21.5.1 The Bid Evaluation Committee (BEC) responsible for scoring the respective bids will evaluate and

score all bids based on the submission of information provided. Bidders will not rate themselves,

but need to ensure that all information required is supplied.

21.6 Phase 3c: Pricing requirements for all bidders

21.6.1 Based on the functionality requirements, bidders should complete their pricing alongside as it is not

separate.

21.6.2 TCO refers to the accurate financial intended to assist end-users determine the direct and indirect costs of

the printing solution rather than focusing on the copy charge only. It will be calculated per model at the

participant‟s level post printing environment analysis. It is mandatory for participants to award a printing

solution on TCO and should submit the final negotiated copy of the proposal to NT and PT as part 16.3.5

above.

21.7 Phase 4: Price/TCO and B-BBEE

21.7.1 Transversal Contract Pricing

At the transversal term contract level, there may be ceiling prices for all categories that may be further

negotiated by the participants as the award will be for a panel of bidders. It may be decided to fix some

other prices for some or all of the categories.

21.7.2 Participant Pricing

At the participant‟s level, the analysis outcome will inform the printing solution selected, prices will be

further negotiated and the printing solution award will be based on the capability and capacity

requirements (Phase 3b) and TCO and not the B-BBEE Level. To substantiate the point, 20.7.14 below

instead of 20.7.13 will be utilised to decide on the printing solution selection together with TCO.

21.7.3 It is at the participant‟s level where the adjudication of the preference point system will be effective.

21.7.4 In terms of regulation 6 of the Preferential Procurement Regulations pertaining to the Preferential

Procurement Policy Framework Act, 2000 (Act 5 of 2000), responsive bids will be adjudicated by the State

on either the 80/20 or 90/10 preference point system and that the lowest acceptable TCO tender will be

used to determine the applicable preference point system.

21.7.5 The following formula will be used to calculate the points for price:

Ps = 90

min

min1

P

PPt

or

Ps = 80

min

min1

P

PPt

Where

Ps = Points scored for comparative price of bid under consideration

Pt = Comparative price of bid under consideration

Pmin = Comparative price of lowest acceptable bid

21.7.6 A maximum of either 10/20 points may be allocated to a bidder for attaining their B-BBEE status

level of contributor in accordance with the table below:


Page 24 of 47

B-BBEE Status Level of

Contributor Number of Points Number of Points

1 10 20

2 9 18

3 6 14

4 5 12

5 4 8

6 3 6

7 2 4

8 1 2

Non-compliant

contributor 0

0

Table 5: Preference Point System

21.7.7 Bidders are required to complete the preference claim form (Standard Bidding Document (SBD)

6.1), and submit their original and valid B-BBEE status level verification certificate or a certified

copy thereof or a sworn affidavit at the closing date (01 June 2018) and time (11h00) of the bid in

order to claim the B-BBEE status level point.

21.7.8 The points scored by a bidder in respect of the level of B-BBEE contribution will be added to the

points scored for price at the participant‟s level.

21.7.9 Only bidders who have completed and signed the declaration part of the preference claim form

and who have submitted a B-BBEE status level certificate issued by an accredited verification

agency or a sworn affidavit will be considered for preference points at the participant‟s level.

21.7.10 Failure on the part of the bidder to comply with paragraphs 20.7.7 and 20.7.9 above will be

deemed that preference points for B-BBEE status level of contribution are not claimed and will

therefore be allocated a zero (0).

21.7.11 The State may, before a bid is adjudicated or at any time, require a bidder to substantiate claims it

has made with regard to preference.

21.7.12 The points scored will be rounded off to the nearest two (2) decimals.

21.7.13 In the event that two (2) or more bids have scored equal total points, the SLA will be awarded to

the bidder scoring the highest number of preference points for B-BBEE.

21.7.14 However, when functionality is part of the evaluation process and two (2) or more bidders have

scored equal points including equal preference points for B-BBEE, the contract will be awarded to

the bidder scoring the highest for functionality.

21.7.15 Should two (2) or more bids be equal in all respects, the award shall be decided by the drawing of

lots.


Page 25 of 47

21.7.16 A contract may, on reasonable and justifiable grounds, be awarded to a bid that did not score the

highest number of points.

21.8 Cost Breakdown

21.8.1 Bidders are requested to submit the cost breakdown of their pricing including the profit mark-up

and sub-contracting costs for each equipment or solution offered as per Annexure B. Should the

cost breakdown be the same for all equipment or solution on the RFP response, the bidder must

indicate clearly in the RFP response. Bidders will not be allowed to change the cost breakdown of

price during the tenure of the transversal term contract.

21.8.2 Bidders should itemise the cost of each equipment and solution into various components which are

cost-drivers. The cost needs to be broken down into direct and indirect costs. Each cost driver

should be assigned a Rand value. The Rand value of the cost drivers should be expressed as a

percentage of the total cost.

21.8.3 Example:

Cost-driver Rand value % of Total Cost

R %

R %

R %

R %

Table 6 Example of Cost Breakdown

21.9 Phase 5: Negotiations

The State reserves the right to negotiate with the shortlisted bidders prior or post award based on

market conditions.

21.9.1 Rental and Copy Charge Model

Terms and Conditions of this model will be negotiated, there may be ceiling range of prices and

the final negotiated price(s) will be at the participant‟s level. It may be decided to fix some of the

prices.

21.9.2 Managed Print Service Model

Terms and Conditions of this model will be negotiated. There may be a price ceiling on some of

the services and the final negotiated prices will be at the participant‟s level. It may be decided to fix

some of the prices.

21.10 Phase 6: Recommendation and Appointment

Once the evaluation process is complete including prior award negotiations, there will be a

recommendation report by the BEC to the Bid Adjudication Committee (BAC) who has the authority to

either support or not support the recommendation and appointment(s).

On approval of the recommendation and appointment(s), successful bidder(s) will sign an appointment

letter together with contracts for the office automation solution(s) of this RFP and unsuccessful bidder(s)

will be informed accordingly.


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PRICE ADJUSTMENT FOR ALL CATEGORIES 22.

(PRICES SUBJECT TO RATE OF EXCHANGE VARIATIONS)

Annexure C is incorporated in this section 22 and no longer a separate attachment

22.1 Price adjustments based on Rate of Exchange (RoE) fluctuations will be calculated by National Treasury

every six (6) months from the end of the first six (6) months of the transversal term contract. Price

Adjustments will only be applicable to any new/additional equipment, software, solutions or consumables

(including copy charges) procured from the transversal term contract after the price adjustment has been

implemented. The panel of bidders will be notified by National Treasury of the adjusted prices indicating

the applied RoE.

22.2 Since the six (6) monthly price adjustments are based on exchange rate fluctuations, this could result in

either an increase or decrease in price.

22.3 No price adjustment will be allowed on the rental amount during the rental contract period of thirty-six (36)

months, i.e. after a rental agreement has been concluded between a participant on RT3-2018 and a

supplier. This also applies to the 0% rental amount during the extension period of twenty-four (24)

months.

22.4 RoE-based price adjustments will therefore apply to the imported component of all new purchases/rental

agreements and all on-going costs such as copy charges and consumables, excluding the rental amount

for existing contracts. The local component, as well as other prices with labour and transport components

will be adjusted based on Consumer Price Index (CPI).

22.5 Price adjustments will be based on the RoE and CPI on the month immediately preceding the new

adjustments period.

22.6 National Treasury will publish the calculated price adjustments on its website for participants and

suppliers to use. Suppliers will not need to submit any request for price adjustments. National Treasury

will do the necessary RoE adjustments and inform suppliers of the new calculated pricing.

22.7 Price adjustment periods:

RoE applicable period

1st Adjustment

April 2019 to September 2019

2nd Adjustment

October 2019 to March 2020

3rd Adjustment


4th Adjustment

October 2021 to March 2021

5th Adjustment


Table 7 Price Adjustment Periods


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SECTION C: AWARD CONDITIONS

NON-COMMITMENT 23.

23.1 The right is reserved not to accept any of the RFP bid responses submitted. 23.2 The right is also reserved to withdraw or amend any of the RFP bid conditions by notice in writing to all

bidders.

TRANSVERSAL TERM CONTRACT AWARD 24.

24.1 The transversal term contract will be awarded to multiple distributors/sub-distributors and/or re-sellers at national or provincial level who will supply the equipment and partner with Sub-Contractors at provincial level who will provide downstream activities either to deliver, service, supply consumables, recycle/up cycle and so forth. Any type of partnership is encouraged e.g. Joint Ventures, Consortiums and others to support black economic empowerment.

24.2 To enhance competitiveness the transversal term contract aims to award a panel of bidder‟s per office automated solution.

24.3 The procurement guideline will also guide on the operational functioning of the panel to ensure the successful bidders obtain an equal opportunity within the panel.

EMPOWERMENT TARGETS 25.

25.1 Local Production and Content

25.1.1 The Pre-Qualification criteria set is according to the Standard for Implementation of Regulation 8(4) of the

Preferential Procurement Policy Framework Act, 2000: Preferential Procurement Regulations, 2017

25.1.2 The below goods and services are locally produced in South Africa. They are not in a designated sector

according to the Department of Trade and Industry but the threshold for local production and content is

100% and will be considered for the thirty-six (36) months and the extended twenty-four (24) months

transversal term contract.

The local produced goods and services are:

- Credenzas,

- Stands,

- Software including source code,

- Paper feed cabinets,

- Lighting protectors,

- Power cables/adaptor,

- SD Cards and memory of equipment.

- Shredder bags, and

- Shredder oil.

25.1.3 It must be noted that electrical cable products used for power transmission are in a designated sector and

the threshold for local production and content is 90%. The RFP bid is not mainly for the procurement of

electrical cable products, but they are durable goods which will be enforced post award as and when

there might be a need, the local content of the electrical cable products in this RFP bid may exceed the

90%.


Page 28 of 47

25.1.4 Distributors/Sub-distributors and Re-sellers are required to provide the following documents for

the suppliers of the below goods and services in each Province as the procurement of such goods

and services will only be ring-fenced.

Company profile indicating the group structure, location of supplier, company registration

documents if non-CIPC registered and B-BBEE level with detailed scorecard.

25.1.5 Post-award communication and reporting requirements will be provided as a guide

25.2 Monitoring of empowerment targets

All empowerment targets provided for in this RFP document will be monitored for the entire duration of the

transversal term contract including the extended period. The reporting requirements will be issued to the

successful bidder(s).

25.3 Sub-contracting after award of tender

The condition set is according to Regulation 12(1 to 3) of the Preferential Procurement Policy Framework

Act, 2000: Preferential Procurement Regulations, 2017

NT reserves the right to enforce sub-contracting after award of tender in order to advance some of

the empowerment goals.

25.4 Enterprise Development by Distributors/Sub-distributors and/or Re-sellers and NOT fronting

25.4.1 Skills Development

All Distributors/Sub-distributors/Re-sellers must develop skills of the Sub-Contractors resources who can

either be black unemployed graduates or non-graduates from each Province who are either youth, women

or people living with disability.

The bidder to develop skills of the Sub-Contractors resources on any of the value/supply chain activities

preferably with recognised institution(s). Certification as proof of developed skills must be offered, where

applicable.

Skills to be developed (not limited to): Technicians, administration/account management, sales,

installation, equipment maintenance, software development and maintenance, recycling/up-cycling,

logistics, warehouse/storage, project management and change management.

25.4.2 Provision of practical experience

Subsequent to skills development as above, all bidders must:

Provide on-the job training or any other form of experience for the Sub-Contractors resources that skills

would have been developed.

25.4.3 Job creation

Succeeding practical experience as above, through Sub-Contracting there will be contribution to job

creation as the Sub-Contractor‟s resources will have obtained skills and experience and retained.


Page 29 of 47

25.4.4 OEM’s Black Partners

As part of enterprise development and the pre-qualification criteria of Sub-contracting after award of

tender, Distributors, Sub-distributors and Re-sellers must include a list of the OEM‟s black partners for

partnership engagements. The OEM‟s black partners will play an oversight role for the State to ensure

black economic empowerment is achieved as envisaged in this transversal term contract. The documents

for submission in this regard are detailed on 20.2 above.

25.5 Monitoring of empowerment targets

25.5.1 Quarterly progress report on the ownership, management control programmes, skills developed, practical

experience offered, jobs created, registered companies and sub-contracting will be expected from the

bidder. The reporting requirements will be provided post award.

25.5.2 Forms of proof for the empowerment targets like training programmes, feedback sessions, attendance

registers and many more will be required to support the empowerment activities.

25.6 Failure to fulfil empowerment targets

25.6.1 Bidders must note that it is a compulsory requirement to ensure compliance with the empowerment

targets as set out in this RFP.

25.6.2 Bidders must note further that the State reserve its right to restrict a bidder who fails to fulfil the

empowerment targets as envisaged herein after adhering to a remedial process as stipulated in the

Agreement to be concluded between them and the State as this will be regarded non-performance

25.6.3 The bidder‟s failure to fulfil the empowerment targets may influence the bidder‟s future ability to render the

services on similar transversal term contract(s).

SECTION D: POST AWARD CONDITIONS AND CONTRACT MANAGEMENT

ROLES AND RESPONSIBILITIES 26.

26.1 Contract Administration

26.1.1 The administration and facilitation of the transversal term contract will be the responsibility of NT

and PTs, which are relationship management, bidder‟s performance and effectiveness review and

contract closure. Detailed roles and responsibilities of NT, PT and bidders will be available on the

contract agreement and SLA.

26.1.2 Participants are to manage the execution of the printing solution according to the SLA to be signed

PRIOR to implementation of the printing solution, which is service delivery management.

26.1.3 The SLA and Agreements will define in detail the roles and responsibilities of all parties.

26.1.4 Bidders must advise NT TC, immediately when unforeseeable circumstances will adversely affect

the execution of the transversal term contract. Full particulars of such circumstances as well as the

period of delay must be furnished to NT, copy PT and all State institutions affected.


Page 30 of 47

26.2 Agreement/SLA

26.2.1 Successful bidder(s) will sign an appointment letter together with a contract with NT. This RFP SCC will

form the base of the contract terms and conditions.

26.2.2 Participants will only sign an SLA with the successful bidder(s) PRIOR to the commissioning of the

equipment and NO longer within fourteen (14) days after commissioning of the equipment. Two copies of

the SLA must be signed and a scanned copy submitted to NT and relevant PT.

26.2.3 Participants will also sign an Addendum to the SLA for the extension of twenty-four (24) months within the

sixty (60) days written notification period by the bidder to the participant prior to the expiry of the thirty-six

(36) month rental period.

PROCUREMENT GUIDELINE 27.

A procurement guideline will be published post award to guide the State on how to procure from the

transversal term contract.

27.1 Placement of Orders and Payments

27.1.1 No quantities are reflected in this RFP bid as orders will be placed on the basis of an „as and when

required” and no guarantee is given or implied as to the actual quantity/quantities which will be

procured during the transversal term contract period.

27.1.2 Orders will be placed by participating State institutions and they will also be responsible for the

payment to bidders for the equipment delivered and/or services rendered.

POST AWARD MONITORING 28.

There are four (4) elements to be monitored for RT3-2018 to achieve successful implementation and

transversal term contract objectives. The monitoring targets will be detailed on the bidder‟s agreement.

Current and new contracts automated monitoring,

Bidder‟s performance monitoring,

Sub-Contractors monitoring, and

Empowerment targets monitoring.

POST AWARD REPORTING 29.

29.1 Successful bidders are required to consider automated reporting on the elements envisaged on 26 above

although full details will be included in the bidder‟s contract.

29.2 In summary, the reporting requirements may include but not limited to:

Contract information as:

- Participant,

- Model, payment method deployed and pricing structure,

- Final, negotiated and approved printing solution proposal with value,

- Contract period,

- Location,

- Optimisation, usage and others

Bidder‟s performance as:

- Product and/or service quality,

- Mean Time Between Failure (MTBF),

- Percentage of delivery accuracy,


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- Warranty claims service,

- Quality (against agreed SLAs),

- Call-out time,

- Customer service,

- Response time performance against agreed delivery lead times,

- Relationship/account management,

- Accessibility and responsiveness of account management and others.

Sub-contracting/empowerment targets

- See 20.3.1 and others will be defined

29.3 Reporting and bidder(s) meetings will be on a quarterly basis and will be scheduled post award.

END OF SCC


Page 32 of 47

ANNEXURE A

STANDARD BIDDING DOCUMENTS

SBD 1 Revised for MFPs and DDs

New SBD 1 for Shredders

New SBD 3.2 Pricing Schedule

(ATTACHED)


Page 33 of 47

ANNEXURE B

FUNCTIONAL REQUIREMENTS AND

PRICING

Revised

(ATTACHED)


Page 34 of 47

1. Multi-Functional Printers

Bidders are expected to provide cost models indicating:

1. Model (e.g. Rental and Copy Charge or Managed Print Service);

2. Pricing Structure (e.g. Rental plus Copy Charge or Fully inclusive Copy Charge);

3. Payment method (e.g. Pre-paid or 30 days from receipt of invoice); and

4. Full cost breakdown.

5. Equipment country of origin, delivery lead time for importing, foreign currency, foreign exchange rate and

imported percentage at date of closing bid as per SBD 3.2 Pricing Schedule.

Example:

Cost model elements

OR

Model Rental and Copy Charge MPS

Pricing Structure Rental + Copy Charge or Fully inclusive Copy Charge

Rental + Copy Charge or Fully inclusive Copy Charge

Payment Method Pre-paid or 30 days from receipt of invoice

Pre-paid or 30 days from receipt of invoice

Cost Breakdown - Direct costs - Indirect costs

- Direct costs - Indirect costs

Table 8: Pricing Structure Example

2. Shredders

Bidders are expected to provide a full cost breakdown that should include the purchase price, maintenance and

any other associated costs

The shredders will be evaluated separately. Alternative proposals will also be evaluated separately (if any).

3. PHASE 3A: FUNCTIONAL REQUIREMENTS FOR ALL CATEGORIES

Technical specification and/or scope of solution attached. The specification and/or scope of solution apply

to all categories. It is mandatory that the functionality requirements are completed and submitted.

4. PHASE 3B: CAPACITY AND CAPABILITY COMPLIANCE REQUIREMENT FOR ALL CATEGORIES

4.1 The minimum threshold for passing functionality is 50%

4.2 The Bid Evaluation Committee (BEC) responsible for scoring the respective bids will evaluate and score

all bids based on the submissions of information provided. Bidders will not rate themselves, but need to

ensure that all information required is supplied.

4.3 Categories 1 to 3 bidders will be evaluated as per Table 9 below. Category 4 bidders will be evaluated as

per Table 10 below.


Page 35 of 47

ELEMENT DESCRIPTION DOCUMENT AS

EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

Company Experience

Service providers should

demonstrate experience

in implementing any of

the models bidding for.

As an example a bidder

can be any type of

business, JVs or

Consortiums included

Company Profile or

another document

clearly illustrating

experience

No experience

1 year experience

2 years‟ experience



> than 4 years‟

experience

0

1

2

3

4

5

10%

References Proof of successful

implemented model(s) or

implementation in-

progress as well as the

contactable details of

references

Signed letters from

clients with the

contract value

where the

successful model(s)

were implemented

No Letters

1 Letter

2 Letters

3 Letters

4 Letters

> 4 letters

0

1

2

3

4

5

5%

Implementation Proposal

for Phases 1 to 3 (as per

17.4 on SCC)

Service providers to

provide a plan on how

they will execute the

implementation

according to the 3

phases indicated in

section 17.4 above

Implementation plan No plan

Inadequate plan

without addressing all

elements

Detail plan

addressing all

elements

0

1

5

30%

Service Footprint Service providers to

indicate footprint to

illustrate the black

owned companies

support as per the pre-


List of service foot

print or clear map

No list Up to 22% service footprint From 23% to 44% service footprint From 45% to 67% service footprint From 68% to 89% service footprint >89% service footprint

0

1

2

3

4

5

5%


Page 36 of 47


EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

Supply Chain Analysis Service providers to

indicate their supply

chain partners for all

model(s) bidding for from

end-to-end as per the

pre-qualification criteria

above on 20.3.1. The

supply chain involves:

Supply and source of

equipment

Storage of equipment

Assembling of

equipment

Transportation of

equipment

Installation,

configuration and

commissioning

Maintenance

Supplying of parts

Recycling / up-

cycling of

cartridges/toners

Other supply chain

activities not

indicated above

List of supply chain

partners with the

following

information:

Company

registration

document

Proof of

address

(Municipal

statement or

any other only if

the address on

the company

registration

document is

different)

B-BBEE

certificate(s)

with detailed

scorecard

Goods/services

they render

within the

supply chain

No list Inadequate list not addressing all activities Detailed list addressing all activities

0

1

5

20%

Support and

Maintenance plan that

will be offered to the

black partner(s) to

execute

Detailed preventative

maintenance plan shall

cover mechanical,

electrical component s

and services of the

equipment for the period

of thirty-six (36) Months

and the extension of

twenty-four (24) months.

Preventative

maintenance plan

No plan for partner

Inadequate plan not

addressing all

maintenance

activities and

execution

Detailed plan

addressing all

maintenance

activities and

execution

0

1

5

20%


Page 37 of 47

Table 9: Phase 3b Capability & Capacity Requirements for Bidders of MFPs and DDs


EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

3 Latest audited

financial statements of

the main bidder

Financial capability will

be assessed for the

execution of the

transversal contract

and achieving

empowerment targets

3 sets of audited

financial

statements

No financials submitted 1 set of financials submitted 2 sets of financials submitted 3 sets of financials submitted

0

1

3

5

10%

Threshold 50%

Total 100%

NEW TABLE


EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

Company Experience

Suppliers should

demonstrate experience

in providing the

equipment bidding for.

Company Profile or

another document

clearly illustrating

experience

No experience

1 year experience




> than 4 years‟

experience

0

1

2

3

4

5

10%

References Proof of successful

equipment delivery as

well as the contactable

details of references

Signed letters from

clients with the

contract value

where equipment

was delivered

No Letters

1 Letter

2 Letters

3 Letters

4 Letters

> 4 letters

0

1

2

3

4

5

5%

Implementation Proposal

for Phases 1 to 2 (as per

18.4 on SCC)

Suppliers to provide a

plan on how they will

execute the

implementation

according to the 2

phases indicated in

section 18.4 above

Optimisation plan No plan

Inadequate plan

without addressing all

elements

Detail plan

addressing all

elements

0

1

5

30%


Page 38 of 47


EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

Service Footprint Suppliers to indicate

footprint to illustrate the

black owned companies

support as per the pre-


List of service foot

print or clear map

No list Up to 22% service footprint From 23% to 44% service footprint From 45% to 67% service footprint From 68% to 89% service footprint >89% service footprint

0

1

2

3

4

5

5%

Supply Chain Analysis Suppliers to indicate

their supply chain

partners for the

equipment bidding for

from end-to-end as per

the pre-qualification

criteria above on 20.3.1.

The supply chain

involves:

Supply and source of

equipment

Storage of equipment

Assembling of

equipment

Transportation of

equipment

Installation,

configuration and

commissioning

Maintenance

Supplying of parts

Recycling / up-

cycling of shredders

Other supply chain

activities not

indicated above

List of supply chain

partners with the

following

information:

Company

registration

document

Proof of

address

(Municipal

statement or

any other only if

the address on

the company

registration

document is

different)

B-BBEE

certificate(s)

with detailed

scorecard

Goods/services

they render

within the

supply chain

No list Inadequate list not addressing all activities Detailed list addressing all activities

0

1

5

20%


Page 39 of 47

Table 10 Phase 3b Capability & Capacity Requirements for Bidders of Shredders

The following applicable values will be utilised when scoring each criterion mentioned above:

Points Interpretation

0 Non Responsive

1 Poor

2 Average

3 Good

4 Very good

5 Excellent

Table 11: Scoring Values

4.4 The points scored for each criterion will be multiplied with the specified weighting for the relevant criterion

to obtain the marks scored for each criterion. The total score will be converted to a percentage and only

bidders that have met or exceeded the minimum threshold of 50% for functionality will be considered for

the panel of bidders.


EVIDENCE

SCORE

(BETWEEN 1 TO 5)

WEIGHTING

%

Support and

Maintenance plan

Detailed preventative

maintenance plan shall

cover mechanical,

electrical component s

and services of the

equipment for the period

of thirty-six (36) Months

and the extension of

twenty-four (24) months.

Preventative

maintenance plan

No plan for partner

Inadequate plan not

addressing all

maintenance

activities and

execution

Detailed plan

addressing all

maintenance

activities and

execution

0

1

5

20%

3 Latest audited financial

statements of the main

bidder

Financial capability will

be assessed for the

execution of the

transversal contract and

achieving empowerment

targets

3 sets of audited

financial statements

No financials submitted 1 set of financials submitted 2 sets of financials submitted 3 sets of financials submitted

0

1

3

5

10%

Threshold 50%

Total 100%


Page 40 of 47

4.5 Bidders that meet the functionality requirements will be required to comply to the following:

4.5.1 A meeting with the designated group(s) partnered with as per the pre-qualification criteria and supply

chain analysis will be held to discuss execution and reporting expectations.

4.5.2 The list of the designated group(s) partnered with will not be changed during the transversal term

contract.

4.5.3 Formal notification with all the logistical arrangements will send out by the NT to the qualified panel of

bidders.

5. PHASE 3C: PRICING/TCO REQUIREMENTS FOR ALL CATEGORIES

5.1 The pricing for each model can be in two (2) structures:

Pricing Structure 1 : Rental plus Copy Charge

OR

Pricing Structure 2 : Fully inclusive Copy Charge3

5.2 The pricing for shredders should be an outright delivered price.

5.3 Based on the functionality requirements (Phase 3b above), bidders should complete their pricing

alongside as it is not separate and also on the SBD 3.2 pricing schedule.

5.4 Transversal Contract Pricing

At the transversal term contract level, there may be ceiling prices for all categories that may be further

negotiated by the participants as the award will be for a panel of bidders. It may be decided to fix some

other prices for some or all of the categories.

5.5 Participant Pricing

5.5.1 At the participant‟s level, the analysis outcome will inform the printing solution selected, prices will be

further negotiated and the printing solution award will be based on the capability and capacity

requirements (Phase 3b) and TCO and not the B-BBEE Level. To substantiate the point, 20.7.14 instead

of 20.7.13 of the SCC will be utilised to decide on the printing solution selection together with TCO.

5.5.2 TCO refers to the financial estimate intended to assist end-users determine the direct and indirect costs of

the printing solution rather than focusing on the copy charge only. It will be calculated per model at the

participant‟s level post printing environment analysis. It is mandatory for participants to award a printing

solution on TCO and should submit the final negotiated copy of the proposal to NT and PT.

TCO serves as a key direct and indirect costs analyses and evaluation method (Ellram, 1993; van

Weele, 2010)

TCO can be defined as "the present value of all costs associated with a product, service, or capital

equipment that are incurred over its expected life” (Monczka et al., 2009: 408).

3 All costs grouped and divided by the minimum number of copies/prints expected to be produced, resulting in a fully inclusive copy charge which will be

the minimum monthly bill. Prints/copies produced in excess of the minimum volume would be charged at a reduced rate, by eliminating the fixed cost portion (rentals)


Page 41 of 47

5.5.2.1 Advantages:

TCO focuses on all direct and indirect costs and supports strategic, long term (life cycle) purchasing and

supply management (no surprizes, accurate budgeting)

TCO provides a standardized method of bidder selection and evaluation

TCO key performance indicators can be used to identify improvement areas for preferred bidders

5.4.2.2. Disadvantage:

TCO analysis can be time-consuming and complex process requiring extensive tracking and maintenance

of cost and financial data

TCO breaks down costs into the following categories (Monczka et al., 2009):

Purchase price

The amount paid to the bidder for the product/ service/ capital equipment

Acquisition costs

The provision of the product/ service/ capital equipment to the participant‟s location (e.g. sourcing,

administration, freight)

Usage costs

Usage of the finished product/ service/ capital equipment and supporting it through its usable life

cycle (e.g. inventory, conversion, scrap, warranty, installation, training, downtime, opportunity

costs);

End-of-life costs

Defined as the costs arising when a product, service/ capital equipment reaches the end of its

usable life (obsolescence, disposal, clean-up, project termination costs)

6. MANAGED PRINT SERVICES TCO REQUIREMENTS

6.1 Pricing Structure

Proposals are requested from bidders for MPS solution. As there is no specific pricing structure proposed

due to the model being a solution, based on the proposals to be received, there may be price clarities

required including the pricing structure format.

The evaluation of the MPS solution at the transversal term contract will provide some basic pricing on

some elements, and other prices may be fixed.

Further negotiations in consideration of the participant‟s printing environment analysis will determine the

final pricing and TCO.

The pricing structure should encompass a fully managed print solution including all cost elements listed

on 16.2 on the SCC)

The pricing structure should have a cost breakdown (see 20.8.2 on the SCC)

Example of pricing structure should comprise amongst other costs:

- Rental of the awarded hardware configuration,

- Hardware maintenance would be the awarded cost per copy,


Page 42 of 47

- Cost of the selected software licensing/maintenance,

- Optional software like print management, asset management and management reporting software,

- Implementation assistance, project management and change management charged at a market-

related hourly rate plus travelling costs, at AA rates,

- Management fee to cover the cost of full-time on-site staff, network management, IT integration

and associated overheads.

6.2 Evaluation

The following elements are the criteria for evaluation basis:

1 2 3 4 5

Hardware Fleet Management Software

Project Management (per site)

Maintenance Services

- The MFP equipment accessories and firmware will be selected on how closely it matches user and TCO requirements

- TCO reports : accurate, customizable including accurate consumption totals

- Print policies and controls

- Automatic, accurate document cost identification, collection and allocation

- User authentication and secure access (PIN)

- SLA measurement and reporting

- Device lifecycle management

- Auto software updates - User management

reports - Under/ over utilization

reports

- Assessment (historical data and user requirements)

- Best fit solution design, consultation configuration and optimization

- Delivery, installation and training

- On site preventative maintenance cycles (frequency depending on usage)

- Parts (wear and tear during lifecycle)

- Labour (per hour - estimated)

- Consumables - Proactive

toner replacement and disposal

- Service desk management

- Case exchange/ loan management

Table 12: MPS Evaluation Elements

7. RENTAL AND COPY CHARGES TCO REQUIREMENTS

7.1 Pricing Structure

Proposals are requested from bidders for Rental and Copy Charge solution.

The evaluation of the solution at the transversal term contract will provide some ceiling range of pricing for

categories.

Further negotiations in consideration of the participant‟s printing environment analysis will determine the

final pricing and TCO.


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The pricing structure should encompass a fully managed print solution including all cost elements listed

on 16.2 on the SCC)

The pricing structure should have a cost breakdown (see 20.8.2 on SCC)

Example of pricing structure should comprise amongst other costs:

- Rental of the awarded hardware configuration,

- Hardware maintenance would be the awarded cost per copy,

- Cost of the selected software licensing/maintenance,

- Optional software like print management, asset management and management reporting software,

and

- Implementation assistance, project management and change management charged at a market-

related hourly rate plus travelling costs, at AA rates.

7.2 Evaluation

The following elements are the criteria for evaluation basis:

1 2

Fixed Variable

- Device Monthly Rental - Copy Charges include: Mono/ Colour and A4/ A3 volumes Toners/ Developers On site deployment and training. On-site maintenance, service calls, repairs and

replacement of defective parts calculated (based upon site distance from suppliers premises).

Meter reading services Spare parts and consumables – rollers, fuse units,

drums.

Table 13: Rental & Cost per Page Evaluation Elements

8. OUTRIGHT PURCHASES (SHREDDERS) TCO REQUIREMENTS

The following elements should be considered for calculation.

Shredder Oil

Shredder Bags

Basic Service for the thirty-six (36) months transversal term contract period and the extended twenty-four

(24) months period.

9. SUB-CONTRACTING

9.1 In support of B-BBEE and development of local bidders, bidders will be expected to provide proof of

partnership at a Provincial level with local BEE compliant QSE/EME bidders (Sub-Contractors) for the

provision of downstream activities such as but not limited to storage, transportation, installation, servicing

and first line technical support.


Page 44 of 47

9.2 The transversal term contract will however be awarded to the bidder as the primary/main bidder who will

be responsible for the management of the Sub-Contractor. Reporting requirements will cover both the

main bidder and the Sub-Contractor requirements.

9.3 The State will not enter into any separate contracts with such Sub-Contractors but will ensure that they

are not exploited instead empowered.

9.4 The cost breakdown should include all sub-contracting costs. The bidder‟s price will be an inclusive price

that will be a ceiling across.

9.5 The main bidder will pay the Sub-Contractor a monthly income for the support and maintenance services

per SLA (project/deal) at a certain percentage that will be indicated on the cost breakdown. If the Sub-

Contractor sells the main bidder‟s equipment, the Sub-Contractor will be paid a once off fee and an on-

going monthly income for the support and maintenance services per SLA (project/deal) at a certain

percentage that will be indicated on the cost breakdown.

9.6 E.g. Sub-Contractor sells equipment and provides support and maintenance: Once-off payment for the

sale + on-going monthly payments for support and maintenance. Both percentages should be indicated

on the cost breakdown.

9.7 E.g. Sub-Contractor only provides support and maintenance: On-going monthly payments for support and

maintenance. The percentages should be indicated on the cost breakdown.

9.8 Locally manufactured products, including components, may not be substituted with an imported product,

and vice versa, during the transversal term contract period without verification of product/component

compliance by end-users and the prior approval by NT TC. If approved, such substitution will be subject

to the same terms and conditions of the transversal term contract.

10. ALTERNATIVE PROPOSALS

10.1 Based on the objectives in 16 of the SCC, bidders are encouraged to submit innovative proposals in

addressing the objectives should there be a limitation on the specification and scope of solution functional

requirements defined in Phase 3a as attached. The alternative proposals will be evaluated separately

using the same evaluation criteria for both models and shredders. Alternative proposals should be clearly

marked as alternative proposals.

10.2 NT reserves the right to consider in whole or in part the alternative proposals for award or not to consider

the alternative proposals in whole or in part.

10.3 The alternative proposal should also have a cost breakdown per model proposed.

11. TRANSVERSAL TERM CONTRACT OPTIONS

Participants have different procurement options from the contract based on their printing needs. The

analysis will inform any option suitable for the participant.

Option 1

Complete printing solution

Option 2

Equipment only


Page 45 of 47

Option 3

Service only (e.g. software to perform a certain service or function)

Option 4

Accessories only

Option 5

Combination of any of the options

END OF ANNEXURE B

ANNEXURE C

PRICE ADJUSTMENTS

(ANNEXURE INCORPORATED IN

SECTION 22 ON THE SPECIAL

CONDITIONS OF CONTRACT ABOVE)


Page 46 of 47

ANNEXURE D

PARKING MAP

FRANCIS BAARD STREET

PRETORIUS STREET

CHURCH STREET

MADIBA STREET

JOHANNES RAMAKHOASE STREET

NATIONAL TREASURY 40 Church

Square

NATIONAL TREASURY

Madiba 240 Street

Clicks

CHURCH SQUARE

TO / FROM

AIRPORT (OR TAMBO) Map not to scale NORTH

Palace of Justice

Labour House