GUNTUR MUNICIPAL CORPORATION TENDER SCHEDULE - II
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1 GUNTUR MUNICIPAL CORPORATION TENDER SCHEDULE - II NAME OF WORK : Privatization of collection of Advertisement tax (Hoardings, Wall Paintings, Mobile Advertisements, Glow Sign boards, Cinema Theaters and all types of Advertisements) within Guntur Municipal Corporation limits. (Northern part of Hyderabad-Vijayawada Railway Track) Down load from Guntur Municipal: Corporation Website ( at A.M. to upto 5.00 P.M. Last date for submission of Sealed tenders : upto 2.00 P.M. Opening of Technical Bid : at 4.00 P.M. Auction : at 4.00 P.m. Opening of Financial Bid : immediately after Completion of auction.
2 GUNTUR MUNICIPAL CORPORATION TENDER SCHEDULE - II NAME OF WORK : Privatization of collection of Advertisement tax (Hoardings, Wall Paintings, Mobile Advertisements, Glow Sign boards, Cinema Theaters and all types of Advertisements) within Guntur Municipal Corporation limits. (Northern part of Hyderabad-Vijayawada Railway Track) INTRODUCTION:- Guntur Municipal Corporation is inviting the participation of tender from the individual reputed firms and experienced agencies for privatization of advertisements like display of outdoor advertisements, wall paintings, glow sign boards, Unipoles, mobile advertisements etc., within the Guntur Municipal Corporation limits. Guntur is a big commercial centre after Hyderabad, Visakhapatnam and Vijayawada. There are about 6 No. of Cinema Theatres and 320 No. of hoardings are existing and lot of wall paintings with an Total Advertisement space of 1.00 lakh sq.ft. within Guntur Municipal Corporation limits in II Town area i.e., Northern Park of Hyderabad Vijayawada Railway Track. SCOPE OF WORK:- Presently Guntur Municipal Corporation is inviting tenders from reputed, interested and experienced agencies in Adv. Business for collecting of Advertisement Tax on display of hoardings, wall paintings, glow sign boards and Mobile advertisements within Nothern side of Hyderabad Vijayawada Railway Track of Guntur Municipal Corporation limits (Excluding Industrial Area Local Authority) including Advertisement on centre lighting poles, terrace rent of Municipal Corporation buildings / Shopping complexes). Advertisement on A.P. Transco poles, Encroachment fee on Advertisement boards. There are 7,260 No.of electric poles in II Town area and 50% of the poles are located in prime zone and potential for advertisement for which an amount of Rs. 36,30,000/- can be collected from the advertisers. Thus a minimum bid in fixed at Lakhs + 36,3,000 = Rs Crores.
3 :2: CONTRACT PERIOD:- The contract period will be 3 years i.e., from the date of signing of agreement or to GENERAL INSTRUCTIONS:- 1. The participant agency should not have arrears payable to the Guntur Municipal Corporation. 2. The period of contract / auction is for three years from The Commissioner has got the right to alter or change the terms and conditions of the tender at any time without notice. 4. The Agency should have to deposit an amount of Rs lakhs (Rs. One Lakh and Six thousand only) separately in the shape of DD in favour of Commissioner, Guntur Municipal Corporation from any scheduled bank along with technical bid. This amount will be adjusted to the first installment payable to the Guntur Municipal Corporation. The deposit amount will be returned to the unsuccessful bidder. 5. The successful bidder will have to remit the annual advertisement tax in 4 quarterly installments commencing from April 2009 well in advance before commencement of that particular quarter period. The commencement of quarters will be 1 st April, 1 st July, 1 st October and 1 st January. 7. The Upset price (Advertisement tax including encroachment fee) fixed by the Guntur Municipal Corporation for the initial year to ie., Rs. 106 lakhs (Rupees One Hundred and Six Lakhs only).
4 :3: 7. The Advt. Tax for the 2 nd year will be 10% more than the highest bid amount quoted i.e., every year the Advertisement Tax to be paid by the successful bidder will be more by 10% on the previous year upto completion of 3 rd year.(10% enhancement is on qualntity of Advertisement but not on rate) 8. The successful bidder/ agency should attend to this office execute a Registered deed with his own expenditure within the period of 7 days along with following documents from the date of completion of auction. If not, the deposit paid by the bidder will be forfeited by the Guntur Municipal Corporation. The Additional Commissioner has got all powers to cancel the auction. The auction will be put to re-auction as per the decision of Commissioner and the loss that may be caused to the Municipal Corporation due to such re-auction, the bidder will be held responsible for such loss. (1) Non-Judicial stamp papers worth of Rs. 100/- (2) Further 1 ½ on offered amount / bid amount which ever is higher. 9. The successful bidder will be authorized to collect advertisement tax from all the existing responsible individuals / firms / Agencies on exhibiting Advertisements. 10. Advertisements by way of short films, trailer films and slides displayed inside the cinema theatres and hoardings erected within the premises of cinema theatres and are excluded from the contract / tender. Further the electronic media advertisements, cable network, advertisements will not come under the purview of the tender 11. The successful bidder / Agencies will be permitted to collect tax from the wall paintings, neon boards, mobile advertisers and wall posters on private walls and advertisements on belong (with the consent of the property owner). Wall Posters on public buildings are prohibited. 12. The successful bidder or tenderer shall furnish the Security Deposit in the form of Bank Guarantee for three years equivalent to 0.60 times to the highest bid amount computed to the advertisement tax. The annual amount so arrived will have to be paid to Corporation every year in four installments in advance i.e., on or before 1 st April, 1 st July, 1 st October and 1 st January respectively
5 :4: 13. The Guntur Municipal Corporation reserves the right to remove any advertising boards whenever found objectionable with due justification. 14. The successful bidder will have to obtain prior written approval from the Commissioner, Guntur Municipal Corporation for erection of any new advertisement boards in the road margins and in public properties which will be given in all cases except cases where it is objectionable to traffic during the contract period. For providing hoarding on private properties prior written permission is required from Guntur Municipal Corporation. 15. The successful bidder shall not transfer his right or business interests to any person or persons or concerns. Else, the bid will be cancelled and the Security deposit ie., Bank Guarantee will be forfeited. 16. If the successful bidder wants to quit the contract during the contract period he should furnish an advance notice of 90 days and the agency will be responsible for the loss if any in cancellation within the contract period. After of such notice from the bidder, the contract will be cancelled with the approval of Commissioner. The Corporation may auction again before cancellation of the contract period or after the cancellation of the contract. In such case, the former bidder has to bear the loss if any caused to the Municipal Corporation and such loss will be recovered from him. 17. The Commissioner has got the right to cancel the contract without giving any notice if the bidder fails to follow the instructions issued from time to time by the Commissioner and fails to follow contract conditions. In such cancellation of contract, the Commissioner or the Officer authorized by him is having every right to take action as mentioned in the above conditions.
6 :5: 18. The erection of new Pole Ads should not cause any obstacles to the pedestrians and vehicular traffic and needs prior permission. The Pole Ads etc. should be removed as and when the Corporation desires in the public interest. 19 If any doubt arises in giving meaning to the above conditions, the decision of the Commissioner is final. And the bidder should abide for the above decisions. 20. The Schedule of rates for display on different sizes of advertisements shall be fixed by mutual consultation and shall be collected only as per the published Gazette. 21. Necessary structural stability certificate to be obtained from the Competent Authority before erection of hoardings etc. 22. The successful Bidder shall be equally responsible along with concerned Advertisement Agency for any injury / damage / loss to the public by the Advertisement material. He shall pay the necessary damages as per relevant provisions of law. ELIGIBILITY AND QUALIFICATION CRITERIA:- The tenderer should fulfill the following conditions. 2) The Person should have minimum experience of two years and turnover of atleast Rs Crores each year in the last two calendar years, in Advertisement field with established offices in A.P. or anywhere in India (Registration Certificates issued by the Competent Authority to be enclosed). (OR) The Agency / firm should have run a business with a turn over of at least Rs crore each year in the last two calendar years (Audit Report to be enclosed) with consortium member of having experience in Advertisement field with turnover of Rs Crores per year for the past two years. 2) The Agencies / Firms should submit the audited financial returns of the year , and they should invariably submit the provisional balance sheet for the year
7 EARNEST MONEY DEPOSIT :6: The tenderer shall deposit an amount of Rs lakhs in the shape of DD from any Nationalised Bank along with technical bid in favour of Commissioner, Guntur Municipal Corporation payable at Guntur. The EMD amount will be returned to unsuccessful bidder. CLARIFICATION:- All tenderers will have an opportunity to obtain clarification regarding terms and conditions of the tender. In any case, clarification or explanation is required by the tenderer, he may obtain it personally or in writing well in advance from the Commissioner, Guntur Municipal Corporation. SUBMISSION OF TENDER:- The tenderer shall submit in two sealed envelops as Cover-A and Cover-B and shall again be put together in one common cover and seal. This sealed cover shall be marked on the left and top corner Tender for Collection of Advertisement Tax in Guntur Municipal Corporation area. COVER -A should contain the documentary proof (Technical) :- 1) The person should have minimum experience of two years and turnover of atleast Rs Crores each year in the last two calendar years in Advertisement field with established offices in A.P. or anywhere in India (Registration Certificates issued by the Competent Authority to be enclosed). (OR) The Agency / firm should have run the business with a turn over of at least Rs.1.00 crore each year in the last two calendar years (Audit Report to be enclosed) with consortium member of having experience in Advertisement field with turn over of 0.25 Crores per year ie., ) The Agencies / Firms should submit the audited financial returns of the year , and they should invariably submit the provisional balance sheet for the year
8 :7: 3) The Demand Draft for Rs Lakhs (Rupees One Lakh and Six thousand only) drawn in favour of Commissioner, Guntur Municipal Corporation, Guntur. COVER-B (Financial Bid) :- The Cover B shall contain the financial tender offer, duly signed and sealed by the Tenderer / agency. The Tenderer / agency shall quote its commercial offer, duly keeping in mind, all the parameters. PLACE OF SUBMISSION OF TENDER:- The sealed tender shall be submitted in Citizen s Charter center Guntur Municipal Corporation, duly obtaining proper receipt. DATE AND SUBMISSION OF TENDER:- The tender shall be received by Municipal Corporation Guntur at Citizen s Charter center office upto 3.00 P.M. on The Commissioner may at his discretion, extend, the dead line for submission of tender. LATE BIDS:- Tenders received after the dead line of submission will not be accepted and in any case, they are inadvertently accepted will not be opened and shall be returned unopened to the tenderer. WITHDRAWAL OF TENDER:- If after submission of the tender, the tenderer withdraws his tender without prejudice to any other rights and power to the Corporation under any law, the Corporation shall be entitled to forfeit the full amount of EMD deposited by the tenderer.
9 :8: TENDER OPENING AND EVALUATION:- All the tenders will be opened in the presence of tenderers / their authorized representatives who choose to remain present at the office of Commissioner, Municipal Corporation, Guntur on the date to be conveyed. The following procedure shall be adopted for opening of the tenders. i) To begin with all relevant information about number of tender will be announced for information to all those present. ii) iii) iv) The outer Cover -C containing Cover -A (Technical) & B (Financial) for all the Tenders received shall be opened first and Cover-A & B of all the Tenders will be arranged alphabetically as far as possible and will be marked with serial numbers, accordingly. Thereafter Cover-A (Technical) of each Tenderer will be opened serially. The tender opening authority should check their validity as per the requirements by verifying documents contained in the said Cover-A (Technical). The contents of the Cover-A shall be then scrutinized minutely with reference to the eligibility criteria. The Committee constituted by the Commissioner will analyze the eligibility and expertise of the tenderer from the documents submitted by the tenderers. The tenderers who are technically qualified will only be called for auction / opening their financial bids. SELECTION OF AGENCY:- Those who are not qualified in the technical evaluation shall not be eligible for opening of their Cover- B and shall be treated as disqualified EVALUATION OF TECHNICAL PROPOSAL:- Evaluation will be done as per the guidelines at Eligibility and qualification criteria at Page No.5. The tenders who are technically qualified will be called for auction / opening of their financial bid i.e., Cover-B.
10 AUCTION:- :9: Those who are qualified in the Technical proposal, they are eligible for auction and their financial proposals in Cover-B shall be considered. Auction will be conducted on P.M. in the Council Hall, Guntur Municipal Corporation by the Auction Officer nominated by the Auction Authority / Commissioner. EVALUATION OF FINANCIAL PROPOSAL:- The tenderer, who has quoted maximum amount per year in Cover-B will be the successful bidder. SECURITY DEPOSIT:- The successful bidder or tenderer shall furnish the Security Deposit in the form of Bank Guarantee for three years equivalent to 0.6 times to the highest bid amount computed to the advertisement tax. The annual advertisement tax amount so arrived will have to be paid to Corporation every year in four installments in advance i.e., on or before 1 st April, 1 st July, 1 st October and 1 st January respectively. DISPUTES:- 1) If any case of any dispute, the same shall be referred to Municipal Commissioner, Guntur Municipal Corporation and his decision shall be final and binding on the successful bidder / Agency and it shall be treated as award. 2) All matters as dispute shall be subject to the jurisdiction of Guntur..
11 :10: GUNTURMUNICIPAL CORPORATION PRIVATISATION OF ADVERTISEMENT TAX To The Commissioner, Guntur Municipal Corporation, Guntur. TECHNICAL BID COVER-A The following documents are furnished. Furnished Yes / No 1 The Person should have minimum experience of two years and turnover of atleast Rs Crores each year in the last two calendar years, in Advertisement field with established offices in A.P. or anywhere in India (Registration Certificates issued by the Competent Authority to be enclosed). Experience in Advertisement field work previously in any Municipality / Municipal Corporation & Government Offices & others (or) The Agency / firm should have run a business with a turn over of at least Rs crore each year in the last two calendar years (Audit Report to be enclosed) with consortium member of having experience in Advertisement field with turnover of Rs Crores per year for the past two years. Experience in Advertisement field work previously in any Municipality / Municipal Corporation & Government Offices & others 2 As per page 5 3 The Demand Draft for Rs (Rupees One Lakh and Six thousand only) drawn in favour of Commissioner, Guntur Municipal Corporation, Guntur towards EMD (NAME IN BLOCK LETTERS) Note : Tender schedule duly signed each page by the tenderer to be enclosed with Technical Bid along with Cover-A. COMMISSIONER
12 :11: GUNTURMUNICIPAL CORPORATION PRIVATISATION OF ADVERTISEMENT TAX To The Commissioner, Guntur Municipal Corporation, Guntur. FINANCIAL BID COVER-B Sl.No. Unit Offer quoted by the Bidder/Tenderer 1) Guntur Municipal Corporation limits (II Town i.e., Northern part of Vijayawada Hyderabad Railway track) I /We pay Rs. In figures : (in words) The upset price fixed by Guntur Municipal Corporation for the base year ie., to is 106 Lakhs (Rupees One Hundred and Six Lakhs only) SIGNATURE OF TENDERER (NAME IN BLOCK LETTERS) COMMISSIONER MUNICIPAL CORPORATION, GUNTUR
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