Appointment of Works Contractor
The integrity, experience and technical expertise of works contractor, who is responsible for the execution of works in the entire building rehabilitation process, are of utmost importance. The major tasks involved in the appointment of works contractor include:
While existing laws do not stipulate that a MC/general meeting shall be convened for the approval of tender documents and tendering procedures, OCs should consider doing so wherever possible to enhance transparency of the process and strengthen owners’ understanding on the legal requirements for tendering, as well as the role and responsibilities of works contractor.
As with the procurement of works consultant, the OCs must comply with regulations of Building Management Ordinance and Code of Practice on Procurement of Supplies, Goods and Services. It is recommened to use standard tendering documentation and recommended procedures wherever possible for the procurement of work contractors to enhance fairness and reduce the risk of collusive tendering.
Tender opening procedures, where tenders received are analysed in accordance with set tender assessment criteria, should commence when the deadline for tender submission is due. A tender assessment task force comprised of owners, members of the MC and representatives of building management company of the building may be formed where possible. To avoid unfairness, the tender assessment criteria should not be modified after the tenders are opened, while all members participating in tender assessment must declare their relationship with tenderers and potential conflict of interest, if any.
Wherever possible, meetings should be convened for works consultant to present the tender assessment report to owners, with objective analysis of the qualification and work capacity of each tenderer so as to shortlist candidates for interview, through which owners/OCs can understand the extent of expertise and background of each tenderer. It is recommended to include the lowest bidder and allow candidates sufficient preparation time for the interview.
General meetings shall be convened in compliance with requirements and procedures stipulated by relevant laws, where all tenders are tabled for the consideration by attending owners. The selection of works contractor should be based on principles of fairness, impartiality and openness, while bargaining with works contractor at the meeting should be avoided.