Question NW3544 to the Minister of Transport

PROJECT DESCRIPTION

REASON FOR DEVIATION

CONTRACT AMOUNT

TYPE OF BID

AUTHORISING AUTHORITY

(a)

(b)

(c)

(d)

(e)

Establishment of the Single Source Transport Economic Regulator through Developing Policy, Legislation and Implementation Plan

During the Policy development, additional stakeholder engagement was required and work-shopping of various amendments

1 500 240.00

Natural Continuation

Accounting Officer

Cooperative Model for Public Transport

During the Project critical items that were not part of the TOR were identified as crucial to the success of the project, which amended the scope

1 129 536.20

Natural Continuation

Accounting Officer

RE-APPOINTMENT: Review Road based subsidized transport service

To complete the initial Project. Contract period lapsed before completion and as a result of unforeseen outside factors, at no additional cost

691 347.30

Re-Appointment

Accounting Officer

RE-APPOINTMENT :Support to Regulating Committee on Fees and Charges by ACSA and ATNS - Cost Extension

To complete the initial Project. Contract period lapsed before completion and as a result of unforeseen outside factors at, no additional cost

402 101.00

Re-Appointment

Accounting Officer

RE-APPOINTMENT :Support to Regulating Committee on Fees and Charges by ACSA and ATNS - Cost Extension

2nd re-appointment was to assist the Regulating Committee with an ongoing Court Case relating to the Fees

916 106.00

Re-Appointment

National Treasury

Forensic Analysis of Putco Sandfontein Contract

Urgent request to intervene as an emergency due to threats of violence. National Treasury notified during entire process

2 259 266.08

Closed Bid

Accounting Officer

NATURAL CONTINUATION: Forensic Analysis of Putco Sandfontein Contract

For the project to be completed successfully a census had to be conducted, which was not part of initial scope

2 338 960.80

Natural Continuation

Accounting Officer

RE-APPOINTMENT: NATMAP 2050 Review and Update

To complete the initial Project. Contract period lapsed before completion and as a result of unforeseen outside factors, at no additional cost

680 000.00

Re-Appointment

Accounting Officer

CLOSED BID: Finalize the Draft White Paper on NCAP

Open tender process was followed with no bids received that were responsive. Request to approach experts in the specific field on closed bid was approved for second attempt. Successful

983 424.00

Closed Bid

Accounting Officer

Determining the criteria for certifying Auditors and training requirements.

SAATCO is the sole provider of this service

731 300.00

Single Source

Bid Adjudication Committee

EXPANSION: Review of the National Safety Regulator Act

Additional Provincial Consultation and the development of a Money Bill had to be added to initial scope to finalise project successfully

798 000.00

Expansion

National Treasury

Develop a National Railway Safety Strategy

Open tender process was followed with no bids received that were responsive. Request to approach 5 experts in the specific field on closed bid was approved for second attempt. Successful

2 730 120.00

Closed Bid

Accounting Officer

Develop a Salvage Strategy

A quotation process was followed. No bids were received. Approval to restart as closed bid by approaching experts in the field, was approved.

782 952.00

Closed Bid

Accounting Officer

Road Tariff determination framework

A quotation process was followed. All qualifying bids received were over the threshold value of R500 000. Approval to restart as closed bid by approaching all 14 suppliers who attended the first briefing session, was approved.

639 526.00

Closed Bid

Accounting Officer

PARTICIPATION: Participate in SANRAL tender for Media buying for 6 months

Request to participate in SANRAL tender for only 6 months approved while DOT finalised own tender process

N/A

Participation

Accounting Officer

PARTICIPATION: Participate in SANRAL tender for Events Management and related Services for 6 months

Request to participate in SANRAL tender for only 6 months approved while DOT finalised own tender process

N/A

Participation

Accounting Officer

YEAR

1. Tenders issued without normal tender process

(b) Reasons for deviation

( c) Monetary Value

(d) How were the tenders issued

(e) Who authorised the issuing of the tender

2014/15

None

N/A

N/A

N/A

N/A

2015/16

Appointment of a transactional advisor to provide transactional advisory services on the development New Permit System

The initial cost estimation was below R500 000 and a Request for Proposal was issued to eight service providers. Only one bidder responded with three different options and the option that met the Agency’s specifications was above R500 000.

R651 715.20

Tender was issued through a ‘Request for Proposals’

Chief Executive Officer

2016/17

Appointment of a service provider to provide multi-functional printers on a rental basis for a period of twenty months

The printers were originally procured through a normal tender process. This appointment was to continue using the current printers for an additional 20 months based on the following reasons:

1. The printers in use still had the capacity to service the needs of the Agency and the rentals were maintained as per the original contract as opposed to new machines at high prices. The printers would have been returned to the service provider while they could still service the needs of the Agency.

1. There was also a pending move of the Agency’s law enforcement unit to the RTMC and getting into a three year contract for new printing machines would have led to fruitless expenditure.

1. The contract for office accommodation was ending later in the financial year and a determination was still to be made of the new office location and layout. As such the number of printers required could not be ascertained.

R617 6516.00

Through continuation of the current service provider

Chief Executive Officer

Extension Office Accommodation lease of a period of 36 months

The following are the reasons for deviations:

1. The Agency was faced with a financial instability arising from the court outcome to refund operators. The market research was conducted and demonstrated that it is more cost effective to remain in the current premises. The current rental is as per the original contract while other services provider quotations were way above the current rentals.

R25 241 519.16

Through continuation of the current service provider and after market research confirmed cost effectiveness

National Treasury approved deviation as recommended by Procurement Committee of the Board.

(a) The Road Accident Fund (RAF), in the past three financial years issued the following tenders without following normal tender processes,

(b) the reasons for the deviation in each case were,

(c) the monetary value of each tender was,

(d) the tenders were issued in the following manner,

(e) the issuing of the tender was authorised by the,

2014-2015 FY

storage facilities - M&T Development

the service provider is the only available service provider that owns storage facilities within the proximity of not more than a one kilometer radius to the RAF head office

R3,931,829.81

(fixed price)

single source

CEO

Microsoft premier support services – Microsoft

renewal of Microsoft premier support services

R 632,240.00

(fixed price)

sole source

CEO

HP data protector support- HP South Africa

renewal of HP data protector support contract - original equipment manufacturer (OEM)

R 781,514.88

(fixed price)

single source

CEO

HP hardware maintenance - HP South Africa

renewal of HP hardware maintenance contract - (OEM)

R 9,889,578.24

(fixed price)

single source

CEO

Lucidview maintenance and support - Lucidview Pty (Ltd)

renewal of licensing, maintenance and support of Lucidview solution. - (OEM)

R 1,973,588.52

(fixed price)

single source

CEO

bulk media buying- Government Communications Information Systems (GCIS)

as per the National Treasury Regulations

R 117,617,400.00

(fixed price)

National Treasury transversal contract

Board

Nashua SLA Gold Option - Nashua Communications

support and maintenance of the Openscape Voice telephone system

R 9,777,401.77

(fixed price)

single source

CEO

employee wellbeing services – ICAS

contract extension

R 700 000.00

(fixed price)

single source - extension

CEO

security services - Imvula Security

variation- additional scope to add security

original tender/contract value –

R 4, 897, 865.07

value of the extension - R 236, 034.78

(extended for five months at R90, 052.82 per month)

single source - extension

CEO

cleaning services Bontle ke Botho

variation- extension of scope as an additional cleaner was added

original tender/contract value -

R 3, 800, 422.86

value of the extension - R 282 651.60

single source - variation extension of scope

CEO

auditing services - panel

extension- while the tender process was underway to appoint a new panel

expenditure as and when required subject to annual budgeted

amount of

R 3, 740, 983.73

single source - extension

Board

2015-2016 FY

SAP mobile platform and SAP data services - SAP South Africa

supply of SAP mobile platform and SAP data services – (OEM)

R 5,600,000.00

(fixed price)

sole source

CEO

Telephony - Nashua Mobile

service provider to provide Openscape Voice telephone system

R 9,431,126.84

(fixed price)

single source

CEO

new office space (Nelspruit) - FGK Capital

acquiring of office space in Nelspruit due to limited building space available for lease, as per the RAF specifications

R 2,600,000.00

(fixed price)

single source

CEO

supply chain management turnaround strategy- Astute Advisory

as per the National Treasury Regulations

R 8,000,000.00

(fixed price)

National Treasury transversal contract

CEO

Employee Awareness Programme (EAP) - Metropolitan Wellness

as per the National Treasury Regulations

R 1,166,666.67

(fixed price)

National Treasury transversal contract

CEO

Pro-Active 24 hardware maintenance and support - HP South Africa

renewal of the Pro-active 24 hardware maintenance and support contract- (OEM)

R 9, 889, 578.24

(fixed price)

single source

CEO

premier data protector - HP South Africa

service provider to provide premier data support- (OEM)

R 390, 757.44

(fixed price)

single source

CEO

renewal of Lucidview licenses, maintenance and support – Lucidview Pty (Ltd)

renewal of Lucidview licenses, maintenance and support- (OEM)

R 1, 891, 508.52

(fixed price)

single source

CEO

APN upgrade, Spend Manager Plus and Data Messenger- Vodacom

contract scope extension

R 21, 901, 888.08

(fixed price)

single source

Board

supply chain management turnaround strategy - Astute Advisory

variation - extension of the scope of work

R 11 260. 000.00

(fixed price)

single source - variation extension of scope

Board

Menlyn parking, increase of parking space - Interpark

no alternative parking space could be sourced within the near vicinity

R 4 524. 998.72

(fixed price)

single source - variation extension of scope

CEO

banking services - Standard Bank

banking services - extension while the tender process was underway

transactional expenditure subject to annual budgeted amount of

R 1,300,000.00

single source - extension

Board

security services - Venus Securities

extension while the tender process was underway

original tender/contract value -

R 1, 130, 726.88

value of the extension - R254, 821.65

(extended for five months at R 50, 964.33 per month)

single source - extension

CEO

security services - Fidelity Security

extension while the tender process was underway

original tender/contract value -

R 3, 615, 743.98

value of the extension – R 162, 205.85

(extended for five months at R 32, 441.17 per month)

single source - extension

CEO

security services - Securitas

extension while the tender process was underway

original tender/contract value -

R 938, 448.00

value of the extension – R 153, 375.60

(extended for five months at R 30, 675.12 per month)

single source - extension

CEO

2016-2017 FY

panel of recruitment agencies

as per the National Treasury Regulation 16A.6.6

R 3,000,000.00

(fixed price)

participation agreement (South African Civil Aviation Authority)

CEO

a) Tender Description

b) Reasons for Deviation

c) Monetary Value

d) method of tender

e) Authorising Authority

Componentization of assets, verification and barcoding

Urgent audit request

R 4,000,000

Closed Tender

CEO

Seq

Description

Supplier

(a)

Which tenders were issued without following normal tender processes

Microsoft

SAFRAM

AFGEN (Pty) Ltd

Avdex

(b)

What were the reasons for the deviation in each case

Sole Supplier

Sole Supplier

Sole Supplier

Sole Supplier

(c)

What was the monetary value of each tender

R7, 461, 805.00

R5, 532, 258.00

R1, 276.80

R114, 000.00

(d)

How were the tenders issued

Negotiations with international supplier.

Negotiations with international supplier. Annual Software technical Assistance for the Flight inspection equipment.

Negotiations with International Supplier. PAPI light calibration Instrument.

Aircraft Registry System – Contract extension for 12 months

(e)

Who authorised the issuing of each tender

DCA, SACAA Board, and National Treasury

DCA, SACAA Board, and National Treasury

DCA, SACAA Board, and National Treasury

DCA, SACAA Board, and National Treasury

BID DESCRIPTION

REASONS FOR DEVIATION

VALUE OF THE CONTRACT

PROCESS FOLLOWED

AUTHORISED BY

Upgrade of Great Plains

Adhering to National Treasury Circular No 10 of 2016/2017 not to engaged on long term contract agreement for ICT product, software and services.

R 1 672 722.00

Current service requested to upgrade the financial system while waiting for National Treasury to finalize the tender process for an integrated financial system.

ACEO

VMWare Software

Adhering to National Treasury Circular No 10 of 2016/2017 not to engaged on long term contract agreement for ICT product, software and services.

R 2 259 238.85

A quotation process was followed. Quotes were sourced from VMWare local partners. Permission to deviate from the tender process was supported by National Treasury.

Approval granted by National Treasury

Design,implement and support the MPLS Infrastructure

Contract over 15% National Treasury threshold

R2 904 559.04 (vat excl)

SAMSA requested contract extension from National Treasury for over 15% threshold.

Approval granted by National Treasury

Security Services

Tender still pending evaluated and contract award

R 801 436.00

Current supplier requested to extend the contract on a month to month

Approved by SAMSA board

Forensic Audit

Closed Tender

R 556 981.20

The company was appointed through the Company Secretary to ensure that staff members affected by the audit do not have influence on the awarding process.

Approved by the ACEO

No

Question a

Question b

Question c

Question d

Question e

Supply information security solution and system

Selected service provider- services of special nature

R800 000.00

Deviation from a normal procurement process:

The solution requested is only provided by only supplier in Southern Africa. The service provider was approached by the organization for the security solution based on the security breaches that had transpired in the year in question.

Accounting Officer

No

Question a

Question b

Question c

Question d

Question e

Consultant to conduct a culture alignment intervention in the RSR

Selected service provider- natural continuation

R741 000.00

Deviation from a normal procurement process:

The service provider initially conducted Culture Climate Survey on the employees of the Organization via normal procurement process, therefore this deviation was on the basis of natural continuation of the project.

Accounting Officer

Appointment of contractors to evaluate the condition of the current signalling and equipment installed on the Gauteng Region of PRASA

Urgency- safety of Rail Passengers following the train collision due to faulty signals

R742 539.80

Deviation from a normal procurement process:

An independent signalling systems investigation in the Gauteng South region of Metrorail focusing on the safety, technical and operational readiness of the signalling installations employed in the Gauteng Region

Accounting Officer

Appointment of contractors to evaluate the condition of the current signalling and equipment installed on the Gauteng Region of PRASA

Urgency- safety of Rail Passengers following the train collision due to faulty signals

R536 800.00

Deviation from a normal procurement process:
An independent signalling systems investigation in the Gauteng North region of Metrorail focusing on the safety, technical and operational readiness of the signalling installations employed in the Gauteng Region

Accounting Officer

An independent consultant to assess and investigate the suitability of the Afro 4000 Locomotives for use in South Africa

Urgency- safety of Rail Passengers following procurement of oversized Train Locomotives by the operator

R745 000.00

Deviation from a normal procurement process- Mechanical and Rolling Stock expertise was required urgently for the Afro 4000 to conduct an independent report.

Accounting Officer

No

Question a

Question b

Question c

Question d

Question e

Service provider to provide strategic legal advice to the RSR on legal issues raised by operators which might have an impact on the organization

Selected service provider- expertise and experience

R2 000 000.00

Deviation from a normal procurement process:

The organisation approached the service provider on the basis of similar work which had been conducted by them before and because of their Regulatory Framework expertise as well as in order not to compromise the organisation if and when other legal issues of the same nature occur from operators as they would have a view of the history.

Accounting Officer