APPENDIX 2.

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(See Paragraph, 2.091)
FORM - A

GOVERNMENT OF MADHYA PRADESH

PUBLIC HEALTH ENGINEEIRNG DEPARTMENT
DIVISION/SUBDIVISION
Issued to Shri/ Mr/ ...........................................................................................................

Name of Work .................................................................................................................

Amount of Contact Rs. ...................................................................................................

Amount of E.M. Rs. .........................................................................................................

Cost of tender form Rs....................... Vide M.R. No. ................... Date. .......................

Time allowed for Completion .................. Months including/excluding rainy season.

Date of Opening Tender .................................................................................................

Division/Sub-Division

PERCENTAGE RATE TENDER AND CONTRACT FOR WORKS

General Rules and Direction for the Guidance of Contractor

1. Tender must be invited for all works proposed to be given on contract unless the
amount of work proposed to be given on contract is Rs. 1500 or less. The N.I.T.
shall be posted in public places signed by the authority inviting the tenders.

N.I.T. will state the work to be carried out as well as the date for
submitting and opening tenders and the time allowed for carrying out the work,
also the amount of earnest money to be deposited with the tender and the
amount of the security deposit to be deposited by the successful tenderer and
the percentage, if any to be deducted from bills. It will also state whether a refund
of quarry fees, royalties, and ground rents will be granted. Copies of the
specifications, designs and drawings and a schedule of items and rates of the
various descriptions of work, and any other documents required in connection
with the work signed for the purpose of identification by the authority competent

1
 to approve the tender, shall also be open for inspection by the contractor at the
office of the authority selling the tender forms during office hours.

Further that the schedule of items along with the rates payable shall be
attached to the tender documents and in the event of variation in rates given in
such list with the Current Schedule of Rates, the rates given in the S.O.R.
approved by the competent authority shall prevail.

2. The bid for the tender being submitted online must be digitally signed
using digital certificate of the Individual in case of Individuals /
Proprietorship firms and Authorised Representative in case of Partnership
Firms / Private Limited Companies / Public Limited Companies / Joint
Ventures. In any of the above cases, a lawful Power of Attorney Holder can
also obtain the Digital Certificate to sign on behalf of the Individual /
Organization. The Digital Certificate can be obtained from any authorized
service provider for this purpose

3. Any person, who submits a tender, shall fill up above or below the S.O.R.
specified in rule 1, he should be willing to undertake the work. Only one rate of
percentage above or below the S.O.R. on all the scheduled items shall be
named. Tenders which propose any alteration in the work specified in the said
N.I.T. or in the time allowed for carrying out the work or which contain any other
conditions of any sort will be liable for rejection. No single tender shall include
more than one work, but contractors, who wish to tender for two or more works
shall submit a separate tender for each. Tenders shall have the name and
numbers of the work to which they refer, written outside the envelope being
submitted manually.

4. The authority inviting the tenders or his duly authorised representative, will open
tenders online in the presence of any intending contractors who may be present
at the time, and generate a comparative statement online. Receipts for
earnest money will be given to all the tenderers except those whose tenders are
rejected, and whose earnest money is refunded on the day, the tenders are
opened.

5. The Officers competent to dispose of the tenders shall have right of rejecting all
or any of the tenders.

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6. The receipt of a clerk for any money paid by the contractor will not be considered
as any acknowledgement of payment to the Sub-divisional/Divisional
acknowledgement of payment to the authority selling the tender form and the
contractor shall be responsible for purchasing the tender document mandatorily
online and shall ensure that he procures an online receipt for the purchase
of tender document.

7. The memorandum of work tendered for, and the schedule of materials to be

supplied by the Department and their issue rates be filled in and completed
before the tender form is issued. If a form is issued to an intending tenderer
without having been so filled in any complete he shall request the office to have
this done before he completes and submits his tender.

Tender of Works

I/We hereby tender for the execution, for the Governor of Madhya Pradesh of the
work specified in the under written memorandum within the time specified in such
memorandum, at (in figures) ......................... (in words) .............................................
percent below/above the rates entered in the schedule mentioned in rule 1 and in
accordance in all respects with the specifications, designs, drawings and instructions in
writing referred to in rule 1 thereof and in clause 12 of the annexed conditions, and with
such materials as are provided for by, and in all other respects in accordance with such
conditions as far as applicable.

Memorandum

(a) Name of work ......................................................................................................

(b) Cost of work Put to tender Rs. ............................................................................

(c) Earnest money Rs. .............................................................................................

(d) Security deposit ( Including earnest money) Rs . ..................................................

(e) Percentage, if any to be deducted from bills. ........................................................

(f) Time allowed for the work from date of written order to commence ...................

Should this tender be accepted. I/We hereby agree to abide by and fulfil all terms
and provisions of the said condition of the contract annexed hereto as far as applicable,
or in default thereof to forfeit and pay to the Governor of Madhya Pradesh or his
successors in office the sum of money mentioned in the said conditions. A separate
sealed cover duly superscribed containing the sum of Rs. .................................................

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as earnest money the full value of which is to be absolutely forfeited to the said
Governor or his successors in office without prejudice to any other rights or remedies of
the said Governor or his successors in office should I/we fail to commence the work
specified in the above memorandum or should I/we not deposit the full amount of
security deposit specified in the above memorandum, in accordance with clause 1 of the
said condition of the contract, otherwise the said sum of Rs. ......... shall be retained by
Government on account of such security deposit as aforesaid or the full value of which
shall be retained by Government on account of the security deposit specified in clause 1
of the said condition of the contract.

Signature of witness to Signature of the Contractor before

Contrctor's Signature Submission of Tender

Name and address of Contractor..................................................... ..................................

.............................................................................................................................................
Dated the....................day of....................Dated the............... day of.................................
Name of witness.................................................................................................................
Address of witness..............................................................................................................
Occupation of the witness............ ......................................................................................

The above tender is hereby accepted by me on behalf of Governor of Madhya Pradesh.

Dated the......................................day of..............................20...............................

Signature of the officer by whom accepted.

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 CONDITIONS OF CONTRACT

Definition :

1. The "contract" means the documents, forming this Notice Inviting Tender and
Tender Documents submitted by the tenderer and the acceptance thereof
including the formal agreement executed between the Government of Madhya
Pradesh and the contractor.

2. In the contract the following expressions shall unless otherwise required by the
context have meaning hereby respectively assigned to them.

a) The expression "work" or "works" shall, unless thereby mean something

either in the subject or context repugnant to such construction, be construed
and taken to mean the works or by virtue of the contract contracted to be
executed whether temporary or permanent and whether original, altered,
substituted or additional.

b) The "Site" shall mean the land and/or other places on, into or through which
work is to be executed under the contract or any adjacent land, path or street
through which work is to be executed under the contract or any adjacent land,
path or, street which may be allotted or used for the purpose of carrying out
the contract.
c) The "Governor" means Governor of Madhya Pradesh and his successors in
Office.
d) The Engineer-in-Charge means the Divisional Officer or the Sub-Divisional
Officer, s the case may be, who shall supervise and be incharge of the work
and who shall sign the contract on behalf of the Governor,
e) "Government" shall mean the Government of Madhya Pradesh.
f) The Term "Chief Engineer" means the Chief Engineer of the
basin/zone/project and the Engineer-in-Chief, in case he is in-charge of any
basin/zone/project.
Note :- "Words" imparting the singular number include plural number and vice-versa.
Security Deposit
Clause 1 - The person whose tender may be accepted (hereinafter called the
contractors, which expression shall unless excluded by or repugnant to the context,
include his heirs executers, administrators representatives and assigns) shall permit
Government at the time of making any payments to him for the value of work done under
the contract to deduct the security deposit as under:-
The Security Deposit to be taken for the due performance of the contract under
the terms and conditions printed on the tender form will be the earnest money plus a
deduction of 5 percent from the payment made in the running bills, till the two together

5
amount to 5 percent of the cost of work put to tender or 5 percent of the cost of works
executed when the same exceeds the cost of work put to tender.

Compensation For Delay

Clause 2 - The time allowed for carrying out the work, as entered in the tender
form, shall be strictly observed by the contractor and shall be deemed to be essence of
the contract and shall be reckoned from the fifteenth day after the date on which the
order to commence the work is issued to the contractor, for a work where completion is
upto 6 months.

For works, for which the completion period is beyond six months :-

The period will be reckoned from the thirtieth day after the date on which the
order to commence the work is issued to the contractor. The work shall throughout the
stipulated period of contract be proceeded with all due deligence keeping in view that
time is the essence of the contract. The contractor shall be bound in all cases, in which
the time allowed for any work exceeds one month, to complete 1/8th of the whole work
before 1/4th of the whole time allowed under the contract has elapsed, 3/8th of the work
before 1/2 of such time has elapsed and 3/4th of the work before 3/4th of such time has
elapsed. In the event of the contractor, failing to comply with the above conditions, the
Executive Engineer shall levy on the contractor as compensation an amount equal to :-

(1) 1/2 percent of the value of work per week in respect of work costing upto
Rs. 2,00,000.00

(2) 3/8 percent of the value of work per week in respect of work costing
above Rs. 2,00,000 and up to 5,00,000

(3) 1/4 percent of the value of work per week in respect of work costing
above Rs. 5,00,000 and up to Rs. 10,00,000

(4) 1/8 percent of the value of work per week in respect of work costing
above Rs. 10,00,000 and upto Rs. 25,00,000

(5) 1/16 percent of the value of work per week in respect of work costing Rs.
25,00,000 and above.

The total amount of compensation under the provision of the clause shall be
limited to 6 percent of the value of work.

The decision of the superintending Engineer shall be final.

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 The delay in departmental assistance ingrained in the contract, will be taken duly
in to account while recovering any compensation for the delay in the scales prescribed
above. Where the Engineer-in-Charge decides that the contractor is liable to pay
compensation for not giving proportionate progress under this clause and the
compensation is recommended during the intermediate period, such compensation shall
be kept in deposit and shall be refunded if the contractor subsequently makes up the
progress for the lost time, within the period of contract including extension granted, if
any.

Action when the work is Left Incomplete, Abandoned or Delayed beyond the
Permitted Limit Allowed by the Divisional Officer

Clause 3 - In any case in which under any clause or clauses of this contract he
contractor shall have rendered himself liable to pay compensation amounting to the
whole of his security deposit (whether paid in one sum or deducted by installments) or
committed a breach of any of the rules contained in cluse-24 or in the case of
abandonment of the work, except due to permanent disability or death of the contractor,
or any other cause, the Divisional Officer on behalf of the Governor of M.P. shall give a
notice before 15 days for work costing upto Rs. 10.00 lacs and before 30 days for works
costing above Rs. 10.00 lacs and in the event of the contractor failing to comply with the
directions contained in the said notice shall have power to adopt any of the following
courses, as he may deem best in the interest of the Government.

a) To rescind the contract (of which rescission notice in writing to the

contractor under the hand of the Divisional Officer shall be conclusive
evidence) and in which case the security deposit of the contractor shall
stand forfeited and be absolutely at the disposal of Government).

b) To employ labour paid by the works Department and to supply materials

to carry out the work or any part of the work, debiting the contractor with
cost of the labour and the price of the materials (of the amount of which
cost and price certificate of the Divisional Officer shall be final and
conclusive against the ontractor) and crediting him with the value of the
work done in all respects in the same manner and the same rates as if it
had been carried out by the contractor under the terms of his contract or
the cost of the labour and the price of materials as certified by the
Divisional Officer, whichever is less. The certificate of the Divisional
Officer as to the value of the work done shall be final and conclusive
against the contractor.

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 c) To measure up the work of the contractor and to take such part thereof as
shall be unexecuted out of his hands and to give it to another contractor
to complete in which case any expenses which may be incurred in excess
of the sum which would have been paid to the original contractor if the
whole work had been executed by him (of the amount of which excess
certificate in writing of the Divisional Officer shall be final and conclusive)
shall be borne and paid by the original contractor and may be deducted
from any money due to him by Government under the contract or
otherwise or from his security deposit or the proceeds of sale thereof or a
sufficient part thereof.

In the event of any of the above courses being adopted by the Divisional Officer,
the contractor shall have no claim to compensation for any loss sustained by him by
reason of his having purchased or procured any materials or entered into any
agreements or made any advances on account of or with a view, to the execution of the
work or the performance of the contract. And in case the contract shall be rescinded
under the provision aforesaid the contractor shall not be entitled to recover or be paid
any sum for any work thereto for actually performed under the contract unless and until
the Divisional / Sub Divisional Officer will have certified in writing the performance of
such work and the value payable in respect thereof and he shall only be entitled to be
paid the value so certified.

Whenever action is taken under clause 3 the contractor's bill shall be finalised up
within three months from the date of rescission both in the case of building works and
road and bridge works.

Power to take Possession of or Require Removal of Materials, Tools and

Plants or Sale of Contractor's Plants etc.

Clause 4 - In any case in which any of the powers, conferred upon the Divisional
Officer by clause-3 hereof shall have become exercisable and the same shall not be
exercised, the non-exercise thereof shall not constitute a waiver of any of the conditions
hereof and such power shall notwithstanding be exercisable in the event of any future
case of default by the contractor for which by any clause or clauses thereof he is
declared liable to pay compensation amounting to the whole of his security deposit and
the liability of the contractor for the past and future compensation shall remain
unaffected. In the event of the Divisional Officer putting in force either of the power (a),
(b) or (c) vested in him under the proceeding clause he may, if he so desires, take

8
possession of all or any tools, plant, materials, and stores, in or upon the works, or the
site thereof or belonging to the contractor or procured by him and intended to be used
for the execution of the work or any part thereof, paying or allowing for the same in
account at the contract rates or in case of these not being applicable at current market
rates, to be certified by Divisional Officer whose certificate thereof, shall be final,
otherwise the Divisional Officer may by notice in writing to the contractor or his clerk of
the works foreman or other authorised agent requires him to remove such tools, plant
materials or stores from the premises (within a time to be specified in such notice) and in
the event of the contractor failing to comply with any such requisition, the Divisional
Officer may remove them at the contractor's expense or sell them by auction or private
sale on account of the contractor and at his risk in all respects and the certificate of the
Divisional Officer as to the expense of the any such removal, and the amount of the
proceeds and expense of any such sale be final and conclusive against the contractor.

Extension of time

Clause 5 - If the contractor, shall desire an extension of time for completion of

the work on the grounds of his having been unavoidably hindered in its execution or any
other ground, he shall apply in writing to the Divisional Officer / Sub - Divisional Officer
within 30 days of the date of hindrance on account of which he desires such extension
as aforesaid and the Divisional Officer/Sub Divisional Officer, with whom he has signed
the agreement shall, if in his opinion. (which shall be final) reasonable grounds are
shown therefor may authorise such extension for a period not exceeding 1 month. Any
further extension shall be subject to previous sanction of the S.E. (grounds to be shown
thereof) provided always where the Divisional Officer / Sub Divisional Officer has
recommended the grant of the extension/permitted the contractor to carry out the work
reserving the right of the Department to impose the liquidated damages (as provided for
under the agreement) the running bills shall not continue to be paid to him. Till grant of
time extension by competent authority.

Provided further if any extension applied for, is proposed to be refused. The

competent authority shall give the contractor an opportunity to be heard before taking
final decision.

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 Final Certificate

Clause 6 - On completion of work, the contractor shall be furnished with a

certificate by the Sub-Divisional Officer/Divisional Officer (hereinafter called the
Engineer-in-Charge) of such completion in the form appended at the end, but no such
certificate shall be given, nor shall the work be considered to be complete until the
contractor shall have removed from the premises on which the work shall be executed,
all scaffolding, surplus materials and rubbish and cleaned off the dirt from all wood-work,
doors, windows, walls, floors or other parts of any building in, upon or about which the
work is to be executed, or of which he may have had possession for the purpose of the
execution thereof, not until the work shall have been measured by the Engineer-in-
Charge whose measurements shall be binding and conclusive against the contractor. If
the contractor shall fail to comply with the requirements of this clause as to removal of
scaffolding surplus materials and rubbish and dispose off the same as he thinks fit and
clean off such dirt as aforesaid and the contractor shall forthwith pay the amount of all
expenses so incurred, and shall have no claim in respect of any such scaffolding or
surplus materials as aforesaid, except for any sum actually realised by the sale thereof.

Payments on Intermediate Certificate to be Regarded as Advances

Clause 7- No payment shall ordinarily be made for works estimated to cost less
than Rs. 1,000 (Rs. One thousand) till after the whole of the work shall have been
completed and a certificate of completion given, but if intermediate payment during the
course of execution of works is considered desirable in the interest of the work the
contractor may be paid at the discretion of the Engineer-in-Charge. But in the case of
works estimated to cost more than rupees one thousand the contractor shall on
submitting the bills therefor, be entitled to receive a monthly payment proportionate to
the part thereof then approved and passed by the Engineer-in-Charge, whose certificate
of such approval and passing of the sum so payable shall be final and conclusive
against the contractor. But all such intermediate payments shall be regarded as
payments by way of advance against the final payment for works actually done and
completed, and shall not preclude the requiring of bad, unsound, and imperfect or
unskillful work to be removed and taken away and reconstructed, or erected or be
considered as an admission of the due performance of the contract, or any such part
thereof, in any respect or the occurring of any claim, nor shall it conclude, determine.
effect in any way the powers of the Engineer-in-Charge under these conditions or any of
them as to the final settlement and adjustment of the accounts or otherwise, or in any
other way vary or affect the contract. The final bill shall be submitted by the contractor

10
within one month of the date fixed for completion of the work, otherwise the Engineer-in-
Charge's certificate of the measurement and of the total amount payable for the work
accordingly shall be final and binding on all parties.

Bills to be Submitted Monthly

Clause 8 - A bill shall be submitted by the contractor each month on or before

the date fixed by the Engineer-in-Charge for all work executed in the previous month and
the Engineer-in-Charge shall take or cause to be taken requisite measurement for the
purpose of having the same verified and the claim as far as admissible, adjusted, if
possible, before expiry of ten days from the presentation of the bill. If the contractor does
not submit the bill within the time fixed as aforesaid the Engineer-in-Charge may depute
a subordinate to measure up the said work in the presence of the contractor whose
countersignature to the measurement list will be sufficient warrant, and the Engineer-in-
Charge, may prepare a bill from such list which shall be binding on the contractor in all
respects.

Bills to be on Printed Forms

Clause 9 - The contractor shall submit all bills on printed forms to be had on
application at the office of the Engineer-in-Charge and the charges in the bills shall
always, be entered at the rates specified in the tender or in the case of any extra work
ordered, in pursuance of these conditions, and not mentioned or provided for in the
tender at the rates hereinafter provided for such work.

The deduction or addition as the case may be of the percentage will be

calculated on the amount of the bill for work done, after deducting the cost of materials
supplied departmentally at rates specified in the agreement.

Receipts to be Signed by Partners or Persons having Authority to do so

Clause 10 - Receipt for payments made on account of a work when executed by

a firm must also be signed by the several partners, except where the contractors are
described in their tender as a firm, in which case the receipts must be signed in the
name of the firm by one of the partners, or by some other person having authority to give
effectual receipt for the firm.

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 Stores Supplied by the Government

Clause 11 (A) - (a) Materials to be supplied by the Department will be shown in

the schedule provided in the contract, such materials shall be supplied for the purpose of
contract only and the value of materials so supplied shall be deducted at the specified
rates and as when materials are consumed in items of work for which payments are
being made. All such materials shall remain the absolute property of the Government
and shall not be removed from the site.

(b) All such materials which are rendered surplus shall be returned by the
contractor at the place of issue at his own expense., Only such materials
as are in good condition shall be taken back as decided by the Engineer-
in-Charge.

(c) In case of materials incorporated in the schedule, proper daily account

shall be kept by the contractor. This account shall be open for inspection
by the Engineer-in-Charge at all reasonable times. The contractor shall
submit a fortnightly report to the Engineer-in-Charge of consumption and
balances of materials supplied by the Department by 10th and 25th of
each month. If any such material, so issued does not tally with the
progress of work or departmental account, the contractor shall be
charged for such shortages at double the issue rate, or double the market
rate, whichever is more as on the date of such detection.

(d) If at any time subsequent to the execution of a contractor on a thorough

rate basis, the contractor desires the issue to him for use on a work, of
materials which exist in Government Stores but the supply whereof by
Government was not provided for in the contract, the materials shall not
be issued except with the express authority of the Divisional Officer who
should specify in each case the rate to be charged for the material
inclusive of delivery at the place, where they are stored. The rate charged
shall be market rate prevailing at the time of supply or the issue rate
whichever is greater. No carriage or incidental charge shall be borne by
Government in connection with the supply. Such supply of Materials by
the Department shall not be treated as sale.

(e) For the materials intended to be supplied by the Department, as

mentioned the Schedule in Tender form, could not be given for any
reason, required as per immediate progress of work, the contractor shall

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 be granted extension of time under Clause-5 of the agreement. However
if such supplies are not made within 50% extra time beyond the
completion period as per contract, it shall be open to the contractor either
to determine the contract or request for extension of time.

Advances to Contractors

Clause 11 (B) - Advances to contractor are as a rule prohibited and every

endeavor should be made to maintain a system, under which no payments are made
except for work, actually done. Exceptions are, however, permitted in the following
cases:-

Cases in which a contractor, whose contract is for finished work, requires an

advances on the security of materials brought to sites. Divisional Officer may in such
cases, sanction advances up to an amount not exceeding 75% of the value but 90% in
the case of steel (as assessed by the Divisional Officer) provided that the rate allowed in
no case is more than the rate payable for the finished item as stipulated in the contract
of such materials, provided that they are of imperishable nature and that a formal
agreement is drawn up with the contractor under which Government secures a lien on
the materials and is safeguarded against losses due to the contractor postponing the
execution of the work or to the shortage or misuses of the materials, and against the
expense entitled for their proper watch and safe custody.

Payment of such advances should be made only on the certificate of an officer

not below the rank of Sub-Divisional Officer, that the quantities of materials upon which
the advances are made have actually been brought to site, that the contractor has not
previously received any advance on that security and that all the materials are required
by the contractor for use on items of work for which rates for finished work have been
agreed upon. Recoveries of advances so made should not be postponed until the whole
of the work entrusted to the contractor is completed. They should be made from his bills,
for work done as the materials are used, the necessary deduction being made whenever
the item of work in which they are used are billed for.

Before granting the above-secured advance the contractor shall sign, the
prescribed Indenture Bond in the prescribed form.

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 Escalation

Reimbursement/Refund on Variation in Prices of Materials/PO.L. and

Labour Wages/ Operative Date and Operative Period/

Clause 11 (C) – The operative date hereinafter referred to means the date of
receipt of tenders, if not otherwise mentioned in the contract. The operative period
hereafter referred to, means the time of completion of the works mentioned in clause 5
of the contract. For the purpose of calculating adjustment in the tender price by way of
payment(s)/ refunds arising out of variations the cost materials, P.O.L and labour
wages, the operative period shall end on the last date completion period as per clause -5
of the contract or with the last date of the valid time extension granted by the Chief
Engineer only to cover the increase in the original scope of the work resulting in
increase in the quantum of work over and the above the approved design as per terms
of the contract and time extension granted, incase work in the delayed by the
department. This period of extension shall be considered in continuation of the original
operative period as mentioned, above.

Provided that no claim for escalation on account of any reason whatsoever shall
be entertained where the last date of total operative period is less than eighteen months.

In all cases, the decision of the Superintending Engineer......................................

Circle with regard to the operative period shall be final and binding on the original
operative period as mentioned above.

Materials

It after the operative date and during the total operative period there be any
variation in the wholesale price index for all commodities by groups and sub-groups
(source being the publication of the Economic Advisor to the Government of India
Published in the Reserve Bank of India Bulletin, and valid for the operative date, the
price adjustment on materials excluding cement, steel and bitumen which are supplied
by the Department) shall be calculated in the following manner subject, however, to the
provisions of clause

V1 = 0.75 x P0 x K1 (M2 - MI)

M1

Where,

V1 = the amount of the price adjustment in Rs.

P0 = Value of work in Rs. executed during the period under

14
 consideration.

K1 = A factor representing all materials to be arranged and supplied for

all works connected with the completion for the work under the
contract including all allied/ancillary/temporary works and
overhead etc. but excluding materials like cement, steel and
bitumen.

M1 = Whole sale price index for all commodities on the operative dates.

M2 = Whole sale price index for all commodities during the period under

consideration.

High Speed Diesel

For working out price adjustment on transportation cases the representative item
for reference shall be the cost in high speed diesel oil only at the nearest H.S.D. Pump /
supply depot. If after the operative date and during the operative period there be any
variation in the price of H.S.D. such variation being duly notified by the Government of
India, the price adjustment for transportation component of the work shall be calculated
in the following manner:-

V2 = 0.75 x P0 x K2 (D2-D1)

D1

Where,

V2 = the amount of the adjustment in Rs.

P0 = the value of work in Rs. executed during the period under consideration.

K2 = a factor representing the component of transportation cost for the entire

completion of the work.

D2 = Price per litre of H.S.D. during the period under consideration.

D1 = Price per litre of H.S.D. on the operative date.

15
 Labour

If after the operative date and during total operative period, there be any variation

in the Consumer Price Index for Industrial Workers at the town nearest to the site of the

work the source for such indices being publications of Labour Bulletin Bureau,

Government of India published in the Reserve Bank of India Bulletin, the price

adjustment on component representing labour cost including all types of benefits and

amenities etc. shall be calculated in the following manner.

V3 = 0.75 x P0 x K3 ( L2 - L1 )
L1

Where,

P0 = the value of the work in Rs. executed during the period under
consideration.

V3 = the amount of price adjustment in Rs.

K3 = a factor representing all labour cost including benefits, amenities etc. to

be incurred by the contractor for their work including all allied/ancillary /
temporary works and overheads etc.

L2 = consumer price index for industrial workers during the period under
consideration.

L1 = consumer price index for industrial worker on the operative datae.

In case materials like cement, steel and bitumen are required to be arranged by
the contractor as per terms of the contract, the variation in the prices of these materials
shall be worked out on the basis of the prices prevalent on the operative date and as
fixed by the Government of India and the price operative during adjustment. Price of
cement at any time shall be the price payable as per the Rate Contract entered into by
the D.G.S. & D with the cement factories.

Price of Steel (Steel for reinforcement and structural steel) shall be the price at
which steel is available, at the nearest stock-yard controlled by the Steel Authority of
India.

Price of bitumen shall be the price at which bitumen is available from the nearest
refinery.

16
 Note - Value of Factors K1 K2 & K3 in clauses mentioned above are specified
separately for different types of works as follows -

K1 (Materials) K2 (P.O.L.) K3 (Labour)

Building Works 0.25 0.075 0.35
Road Works (W.B.M.) -- 0.40 0.60
Bridge work 0.20 0.05 0.30
Road Works (Bituminous) 0.15 0.05 0.15

Work to be Executed in Accordance with Specification, Drawing Order etc.

Clause 12 - The contractor shall execute the whole and every part of the work in
the most substantial and workmen like manner and both as regards materials and
otherwise in every respect in strict accordance with the specification. the contractor shall
also conform exactly fully and faithfully to the designs, drawings and instructions in
writing relating to the work signed by the Engineer-in-Charge and lodged in his office
and to which the contractor shall be entitled to have access at such office or on the site
of the work for the purpose of inspection during office hours and the contractor shall, if
he so requires, be entitled at his-own expense to take or cause to be made copies of the
specification and of all such designs, drawings and instructions aforesaid.

Maharashtra P.W.D. Specification shall apply along with the various I.S.I. Codes.
In the case of any variance, the following order of precedence shall prevail:-

1) Specifications as per N.I.T.

2) Specifications as per S.O.R. of the circle.

3) I.S.I. code/I.R.C. Specification.

4) Maharashtra P.W.D. Specification.

5) Mode of measurement for building shall be as provided in the S.O.R.

applicable to the contract. Where such mode of measurement is not
specified in the S.O.R. it shall be done as per I.S.I. code of building
measurement. However, if any mode of measurement is specifically
mentioned in the N.I.T. The same will get precedence over all the above.

Clause 12.A - In respect of all bearings, hinges or similar parts intended for use
in the superstructure of any bridge, the contractor shall, whenever required, in the
course of manufacture, arrange and afford all facilities for the purpose of inspection and
test of all or any of the parts and the material used therein to any officer of the

17
Directorate of Inspection of the Ministry of works, production and supply of Government
of India, and such bearing, hinges or similar parts shall not be used in the superstructure
of any bridge except on production of a certificate of acceptance thereof from the
Directorate of Inspection. All inspection Charges will be payable by the contractors.

(This clause may be deleted if the tender is not for bridge work).

Additions, Alteration in Specifications and Designs.

Clause 13 - The Engineer-in-Charge shall have power to make any alterations

in, omissions from, additions to or substitutions for, the original specifications, drawings
designs and instructions, that may appear to him to be necessary or advisable during the
progress of the work and the contractor shall be bound to carry out the work in
accordance with any instructions, which may be given to him in writing signed by the
Engineer-in-Charge and such alterations, omissions, additions or substitutions shall not
invalidate the contract and any altered, additional substituted work which the contractor
may be directed to do in the manner above specified as part of the work shall be carried
out by the contractor on the same conditions in all respects on which he agreed to do the
main work and at the same rates as are specified in the tender for the main work,
provided the total value of such increased or altered or substituted work does not exceed
25% of the amount put to tender, inclusive of contractor's Percentage. If such value
exceeds 25% It shall be open to the contractor either to determine the contract or apply
for extension.

Extension of Time in Consequence of Alterations.

The time for the completion of the work shall be extended in the proportion that
the altered additional or substituted work bear to the original contractor's work and
certificate of the Engineer-in-Charge shall be conclusive as to such proportion.

Rates for works Not in Schedule of Rates of the Circle

And if the altered or substituted work includes any class of work, for which no
rate is specified in this contract, then, such classes of work shall be carried out at the
rates entered in the applicable schedule of rates which was in force on the date of tender
provided that when the tender for the original work as a percentage below / above the
schedule of rate, the altered, additional or substituted work required as aforesaid shall
be chargeable at the said schedule of rate minus/plus the same percentage deduction,
addition and if such class of work is not entered in and arrange to carry it out in such
manner as may be considered advisable provided always and if the contractor shall

18
commence work or incur any expenditure in regard there to before the rates shall have
been determined as lastly herein before mentioned then and in such case he shall only
be entitled to be paid in respect of the work carried out on expenditure incurred by him
prior to the date of the determination of the rates as aforesaid according to such rate or
rates as shall be fixed by the Engineer-in-Charge. In the event of a dispute the decision
of S.E. of the circle shall be final.

If during the course of execution, where it is found necessary that certain

item/items of work not provided for in the S.O.R. of the circle required to be carried out
then the Engineer-in-Charge shall identify such item/items including approximate
quantity of the contract and ask the contractor to submit his rates in writing supported by
the requisite data within a period of 7 days. The Engineer-in-Charge shall obtain
approval/modification of the proposed rate from the competent authority and
communicate the same within a period of 4 weeks to the contractor. In case the
contractor agrees to the above rates as fixed by the competent authority then they shall
form a part of supplementary schedule of the contract agreement. If the contractor does
not agree to the rate of the competent authority then it shall be open for the Engineer-in-
Charge to get the work executed through any other agency. The contractor will not
however be entitled to any compensation due to delay or hinderance or loss of profit
accruing on account of this extra work executed by alternative agency.

It the contractor commences non schedule work or incur/expenditure in regard

there of before the rates shall have been determined by the competent authority then he
shall be entitled for payment for the work done as may be finally decided by the
competent authority. In the event of dispute, the decision of the Superintending Engineer
shall be final.

No Claim to Any Payment or Compensation for

Alteration in our Restriction of Works

Clause 14 - If at any time after the execution of the contract documents the,
Engineer-in-Charge shall for any reason whatsoever require the whole or any part of the
work as specified in the tender to be stopped for any period or shall not require the
whole or part of the work to be carried out at all or to be carried out by the contractor, he
shall give notice in writing of the fact to the contractor who shall thereupon suspend or
stop the work totally or partially, as the case may be.

In any such case, except as provided hereunder, the contractor shall have no
claim to any payment or compensation whatsoever on account of any profit or

19
advantage which he might have derived from the execution of the work in full, but which
he did not so derive in consequence of the full amount of the work not having been
carried out or on account of any loss that he may be put to on account of materials
purchased or agreed to be purchased or for unemployment of labour recruited by him.
He shall not also have any claim for compensation by reason of any alteration having
been made in the original specifications, drawings designs and instructions, which may
involve any curtailment of the work as originally contemplated. Where however,
materials have already been purchased or agreed to be purchased by the contractor
shall be paid for such materials at the rates determined by the Engineer-in-Charge,
provided they are not in excess of requirements and are of approved quality and/or shall
be compensated for the loss if any, that he may be put to in respect of materials agreed
to be purchased by him, the amount of such compensation to be determined by the
Engineer-in-Charge whose decision shall be final. If the contractor suffers any loss on
account of his having to pay labour charges during the period during which the stoppage
of work has been ordered under this clause, the contractor shall on application be
entitled to such compensation on account of labour charges as the Engineer-in-Charge
whose decision shall be final, may consider reasonable provided that the contractor shall
not be entitled to any compensation on account of labour charges, if in the opinion of the
Engineer-in-Charge, the labour could have been employed by the contractor elsewhere
for the whole or part of the period, during which the stoppage of the work has been
ordered as aforesaid.

If the total duration of suspension of the work is more than six months, then this
suspension of the work will be considered s permanent stoppage of the work, and the
contractor can determine the contract, if he so desires.

Time Limit for Unforeseen Claims

Clause 15 - Under no circumstances whatever shall the contractor be entitled to

any compensation from Government on any account unless the contractor shall have
submitted a claim in writing to the Engineer-in-Charge within one month of the cause of
such claim occurring.

Action and Compensation Payable in Case of Bad work

Clause 16 - If at any time before the security deposit is refunded to the

contractor, it shall appear to the Engineer-in-Charge or his subordinate in chaarge of the
work, that any work has been executed with unsound, imperfect or unskilful
workmanship or with materials of inferior quality or that any mterials or articles provided

20
by him for the execution of the work are unsound, or of a quality, inferior to that
contracted for, or are otherwise not in accordance with the contract, it shall be lawful for
the Engineer-in-Charge, to intimate this fact in writing to the contractor and then
notwithstanding the fact that the work, materials or articles complained of, may have
been inadvertently passed, certified and paid for, the contractor shall be bound forthwith
to rectify, remove and reconstruct the work so specified in whole or in part, as the case
may require or if so required, shall remove the materials or articles so specified and
provide other proper and suitable materials or articles at his own proper charge and cost,
and in the event of his failing to do so within a period to be specified by the Engineer-in-
Charge in the written intimation aforesaid, the contractor shall be liable to pay
compensation at the rate of one percent on the amount of contract put to tender every
day not exceeding ten days, during which the failure so continues, and in the case of any
such failure the Engineer-in-Charge may rectify or remove and re-execute the work or
remove and replace the materials or articles complained of, as the case may be, at the
risk and expense in all respect of the contractor. Should the Engineer-in-Charge
consider that any such inferior work or materials as described above may be accepted or
made use of, it shall be within his discretion to accept the same at such reduced rates as
he may fix therefor.

Work to be Open for Inspection -

Contractor or Responsible Agent to be present

Clause 17 - All work under or in course of execution or executed in pursuance of

the contract, shall at all time be open to the inspection and supervision of the Engineer-
in-Charge and his subordinates and the contractor shall at all times during the usual
working hours, and at all other times, at which reasonable notice of the intention of the
Engineer-in-Charge or his subordinate to visit the work shall have been given to the
contractor, either himself be present to receive orders and instructions or have a
responsible agent duly accredited in writing present for that purpose. Orders given to the
contractor's agent shall be considered to have the same force as if they had been, given
to the contractor himself.

Notice to be Given Before Work is Covered Up

Clause 18 - The contractor shall give not less than five days notice in writing to
the Engineer-in-Charge or his subordinate in charge of the work before covering up or
otherwise placing beyond the reach of measurement any work in order that the same
may be measured and correct dimensions thereof be taken before the same is so

21
covered up or placed beyond the reach of measurement, any work without the consent
in writing of the Engineer-in-Charge or his subordinate in charge of the work and if any
work shall be covered up or placed beyond the reach of measurement without such
notice having been given or consent obtained, the same shall be uncovered at the
contractor's expenses or in default thereof, no payment or allowance shall be made for
such work or the materials with which the same was executed.

Contractor Liable for Damage Done and for Imperfection For Twelve
Months After Certificate

Clause 19 - If the contractor or his work people or servants shall break, deface
injure or destroy any part of building in which they may be working or any building road,
road curbs, fences, enclosures, water pipes, cables, drains, electric or telephone posts
or wires trees, grass or grassland or cultivated ground contiguous to the premises on
which the work or any part of it is being executed, or if any damage shall happen to the
work, while in progress, from any cause whatever or any imperfections become apparent
in it within three months (six months in the case of a road work) after a certificate final or
otherwise or its completion shall have been given by the Engineer-in-Charge as
aforesaid, the contractor shall make good the same at his own expense or in default, the
Engineer-in-Charge may cause the same to be made good by other workman, and
deduct the expense (of which certificate of the engineer-in-Charge shall be final) from
any sums that may be then or at any time thereafter, may become due to the contractor
or from his security deposits, or the proceeds of sale thereof, or of a sufficient portion
thereof.

The contractor hereby also covenants that it shall be his responsibility to see that
the building constructed under his contract do/does not leak during the period of two
consecutive rainy seasons after its (their) completion and if any defects are pointed out
to him by the Engineer-in-Charge during the said period, the same shall be removed by
him at his own expenses or in default the Engineer-in-Charge may get them, removed
and deduct the expenses thereof from any sum that may be then due to or may become
due to the contractor or from the security deposit of the contractor, on amount equal to
20% cost of the roof shall not withstanding anything contained in this clause be retained,
till the roofs are tested during two consecutive rainy seasons as aforesaid and the
defects are fully removed and if any amount still remains due to this account after
making deductions as aforesaid the same may be recovered from him as an arrears of
land revenue/cash security. The Security deposit of the contractor to the extent of 50%
shall be refunded on his getting the completion certificate provided that all the recoveries

22
outstanding against him are realised. 25% of the amount shall be refunded on
maintenance period being over, even if the final bill is not passed, balance 25% shall be
refunded after the final bill is passed.

Contractor to Supply Plant, Ladders, Scaffolding etc.

Clause 20 - The contractor shall supply at his own cost, materials (except such
special materials if any as may in accordance with the contract be supplied from the
Engineer-in-Charge's stores) plant, tools appliances implements, ladders, cordage,
tackle, scaffolding and temporary works, requisite for the proper execution of the work,
whether original, altered or substituted and whether included in the specifications of
other documents forming part of the contract or referred to in these conditions or not, or
which may be necessary for the purpose of satisfying or complying with the
requirements of the Engineer-in-Charge as to any matter as to which under these
conditions he is entitled to be satisfied, or which he is entitled to require together with
carriage therefor to and from the work. The contractor shall also supply without charge
the requisite number of persons with the means and materials necessary for the purpose
of setting out works, and counting, weighing and assisting in the measurement or
examination at any time and from time to time of the work or materials. Failing his so
doing the sme may be provided by the Engineer-in-Charge at the expenses of the
contractor and the expenses may be deducted from any money due to the contractor
under the contract or from his security deposit or the proceeds of sale thereof, or of a
sufficient portion thereof.

Contractor is liable for damages arising from non-provision of lights, fencing etc.
The contractor shall also provide at on his own cost except when the contract specifically
provides otherwise and except for payments due under clause, all necessary fencing
and lights required to protect the public from accident and shall be bound to bear the
expenses of defense of every suit, action, or other proceedings at law that may be
brought by any person for injury sustained owning to neglect of the above precautions
and to pay any damage and costs which may be awarded in any such suit action or
proceedings to any such person or which may with the consent of the contractor be paid
to compromise any claim by any such persons.

23
 Compensation under Section 12 Sub-Section (1) of the Workman's
compensation Act. 1923

Clause 21 - In every case in which by virtue of the provision of section 12, sub-
section (1) of the workman's compensation act 1923 Government is obliged to pay
compensation to a workman employed by the contractor in execution of the works.
Government will recover from the contractor the amount of compensation so paid, and
without prejudice to the rights of Government under section (1) sub-section (2) of the
said Act. Government shall be at liberty to recover the amount or any part thereof by
deducting it from the security deposit or from any sum due by Government to the
contractor whether under this contract or otherwise. Government may not be bound to
contest any claim made against them under section -12 sub section (1) of the said Act.,
except on the written request of the contractor and upon his giving to Government full
security for all cases for which Government might become liable in consequence of
contesting such claim.

Labour

Clause 22 - The contractor should get himself registered under contract labour
regulations and abolition Act, 1970 including its amendments after getting a certificate
from the principal employer. who will be the Engineer-in-Charge.

Clause 23 - Labour below the age of 12 years - No labour below the age of 12
years shall be employed on the work.

Fairwage

Clause 24 - The contractor shall pay not less than fair wage to labours engaged
by him on the work.

Explanation -

(a) "Fair Wage" means wage whether for time or piece work notified at the time of
inviting tenders for the work and where such wages have not been so notified,
the wages prescribed by the Works Department for the Division in which the work
is done.

(b) The contractor shall not withstanding the provisions of any contract to the
contrary, cause to be paid a fair wage to labourers indirectly engaged on the work,
including any labour engaged by his sub contractors in connection with the said
works as if the labourers had been immediately employed by him.

24
(c) In respect of labour directly or indirectly employed on the works for the
performance of the contractor's part of this agreement, the contractor shall
comply with or cause to be complied with the labour Act inforce.

(d) The Executive Engineer/Sub-Divisional Officer, shall have the right to deduct,
from the moneys due to the contractor, any sum required or estimated to be
required for making good the loss suffered by a worker or workers by reason of
non-fulfillment of the conditions of the contract for the benefit of the workers, non-
payment of wages or deductions, made from his or their wages, which are not
justified by the terms of the contract or non observance of the regulations.

(e) The contractor shall be primarily liable for all payments to be made under and for
the observance of the regulations aforesaid without prejudice to his right to claim
indemnity from his sub-contractors.

(f) The regulations aforesaid shall be deemed to be a part of this contract and any
breach thereof shall be deemed to be a breach of this contract.

Work not to be Sublet

Clause 25 - The contract may be rescinded and security deposit forfeited, for
subletting, bribing or if contractor become insolvent:-

The contract shall not be assigned or sublet without the written approval of the
Divisional Officer. And if the contractor shall assign or sublet his contract or attempt so to
do, or become insolvent, commence any insolvency proceedings or make any
composition with his creditors, or attempt so to do, or if any bribe, gratuity, gift, loan
perquisite, reward of advantage pecuniary or otherwise, shall either directly or indirectly
be given, promised or offered by the contractor or any of his servants or agents to any
public officer or person in the employ of Government in anyway relating to his office or
employment or if any such officer or person shall become in any way directly or indirectly
interested in the contract, the Divisional Officer may there up by notice in writing record
the contract and the S.D. of the contractor shall there up stand forfeited and be
absolutely at the disposal of Government and the same consequences shall ensure as if
the contract had been rescinded under clause 3 hereof and in addition the contractor
shall not be entitled to recover or be paid for any work there to for actually performed
under the contract.

If the contractor gets item/items of work executed on a task rate basis with or
without materials, this shall not amount to sub-letting of the contract.

25
 Sum payable by way of compensation to be considered as reasonable
compensation without reference to actual loss.

Clause 26 - All sums payable by way of compensation under any of these

condition shall be considered s reasonable compensation to be applied to the use of
Government without reference to the actual loss or damage sustained, and whether or
not any damage shall have been sustained.

Changes in the Constitution of Firm

Clause 27 - In the case of a tender by partners any change in the constitution of

the firm shall be forthwith notified by the contractor to the Engineer-in-Charge for his
information.

Work to be under the Direction of Executive Engineer /

Superintending Engineer

Clause 28 - All works to be executed under the contract shall be executed under
the direction and subject to the approval in all respect of the Executive Engineer of the
Division/Superintending Engineer of the circle for the time being who shall be entitled to
direct at what point or points and in what manner they are to be commenced and from
time to time carried on.

Arbitration Clause

Clause 29 - Except as otherwise provided in this contract all question and

dispute relating to the meaning of the specifications, designs, drawings and instructions
herein before mentioned and as to thing whatsoever, in any way arising out of or relating
to the contract, designs, drawings, specifications, estimates, concerning the works, or
the execution or failure to execute the same, whether arising during the progress of the
work or after the completion or abandonment thereof shall be referred to the
Superintending Engineer in writing for his decision, within a period for 30 days of such
occurrence. Thereupon the Superintending Engineer shall give his written instructions
and/or decisions within a period of 60 days of such request. This period can be extended
by mutual consent of the parties.

Upon receipt of written instructions or decisions, the parties shall promptly

proceed without delay to comply such instructions or decisions. If the Superintending
Engineer fails to give his instructions or decisions in writing within a period of 60 days or
mutually agreed time after being requested if the parties are aggrieved against the

26
decision of the S.E. the parties may within 30 days prefer an appeal to the Chief
Engineer who shall afford an opportunity to the parties of being heard and to offer
evidence in support of his appeal. The Chief Engineer will give his decision within 90
days. If any party is not satisfied with the decision of the Chief Engineer, he can a refer
such disputes for arbitration by an Arbitration Board to be constituted by the State
Government which shall consist of three members of whom one shall be chosen from
among the officers belonging to the Department not below the rank of S.E. one Retired
Chief Engineer of any Technical Department, and one serving officer not below the rank
of S.E. belonging to another Technical Department.

The following are also the terms of this contract namely:-

(a) No person other than the aforesaid Arbitration Board constituted by the
Government (to handle cases of all Technical Departments) shall act as
Arbitrator and if for any reason that is not possible, the matter shall not be
referred to Arbitration at all.

(b) The State Government may at any time effect any change in the
personnel of the Board and the new member or members appointed to
the Arbitration Board shall be entitled to proceed with the reference from
the stage at which it was left by his or their predecessors.

(c) The party invoking arbitration shall specify the dispute or disputes to be
referred to Arbitration under this clause together with the amount or
amounts claimed in respect of each such dispute(s).

(d) Where the party invoking arbitration is the contractor, no reference for
arbitration shall be maintainable, unless the contractor furnishes a
security deposit of a sum determined according to the table given below,
and the sum so deposited shall on the determination of Arbitration
proceedings be adjusted against the cost, if any awarded by the Board
against the party and the balance remaining after such adjustment or in
the absence of the such cost being awarded, the whole of the sum shall
be refunded to him within one month from the date of the award.

Amount of claim Rate of security deposit

For claim below Rs. 10,000 5% of the amount claimed

For claims of Rs. 10,000 3% of the amount claimed.
Above but below Rs. 1,00,000 subject to a minimum of Rs. 500

27
 For claim of Rs. 1,00,000 2% of the amount claimed
& above Subject to a minimum of Rs. 3,000

(e) If the contractor does not make any demand for arbitration in respect of
any claim(s) in writing within 90 days on receiving intimation from the
Executive Engineer that the final bill is ready for payment, the claim of the
contractor shall be deemed to have been weived and absolutely barred
and the Government shall be discharged or released of all liabilities under
the contract in respect of such claims.

(f) The Arbitration Board may from time to time, with the consent of the
parties extend the time for making the award.

(g) A reference to the Arbitration Board shall be no ground for not continuing
the work on the part of the contractor and payment as per terms and
conditions of the agreement shall be continued by the Department.

(h) Except where otherwise provided in this contract, the provisions of the
Arbitration Act 1940 and the rules thereunder for the time being inforce,
shall apply to the arbitration proceedings under this clause.

Lump Sums in Estimate

Clause 30 - When the estimate on which a tender is made includes lump sums in
respect of parts of the work, the contractor shall be entitled to payment in respect of the
items of work involved or the part of the work in question at the same rates, as are
payable under this contract for such items, or if the part of the work in question is not, in
the opinion of the Engineer-in-Charge, capable of measurement, the Engineer-in-Charge
may at his discretion pay the lump sum amount entered in the estimates and the
certificate in writing of the Engineer-in-Charge shall be final and conclusive against the
contractor, with regard to any sum or sums payable to him under the provisions of this
clause.

Action where no Specification

Clause 31 - In the case of any class of work for which there is no such
specification as is mentioned in rule, such work shall be carried out in accordance with
the specification approved by Superintending Engineer/Chief Engineer, for application to
works in the district, and in the event of there being no such specification, then in such

28
case the work shall be carried out in all respect in accordance with the instructions and
requirements of the Engineer-in-Charge.

Contractor's Percentage Whether Applied to Net or Gross amounts of Bills

Clause 32 - The percentage referred to at para 7 of the tender will be deducted

from / added to the gross amount of the bills for work done after deducting the cost of
materials supplied by the Deprtment.

Claim for quantities Entered in the Tender of Estimate

Clause 33 - Quantities shown in the tender are approximate and no claim shall
be entertained for quantities of work executed being either more or less than those
entered in the tender or estimate.

Claims for Compensation for Delay in Starting the Work

Clause 34 - No compensation shall be allowed for any delay caused in the

starting of the work on account of acquisition of land or in the case of clearance works,
on account of any delay in according sanction to estimates.

Employment of Scarcity Labour

Clause 35 - If Government declare a state of scarcity or famine to exist in any

village situated within 16 Kilometers of the work the contractor shall employ upon such
parts of the work as are suitable for unskilled labour, any person certified to him by the
Executive Engineer or by any person to whom the Executive Engineer may have
delegated this duty in writing to be in need of relief and shall be bound to pay to such
persons wages not below the minimum which Government may have fixed in this behalf.
Any dispute which may arise in connection with the implementation of this clause shall
be decided by the Executive Engineer whose decision shall be final and binding on the
contractor.

Refund of Quarry Fees and Royalties

Clause 36 - All quarry fees , royalties , octroi duties and ground rent for stacking
material if any should be paid by the contractor who will however be entitled to a refund
of such of the charges as are furnish able under the rules after obtaining a certificate
from the engineer Incharge that the material were required for use on government
works.

In the case of quarries, where extraction of minor minerals is done by the

contractor, after taking permit from the collector, the contractor will get refund of royalty

29
charges, after the work is completed and after obtaining a certificate from the Executive
Engineer that the materials extracted by the contractor have been used on Government
work.

In the case of quarries which have been leased Out (Trade quarries) the
contractor should make all payments of royalty charges at Government approved rates.
These royalty charges will also be refunded to the contractor on production of actual
cash vouchers on the certificate obtained from the Executive Engineer that these
materials obtained by the contractor from the leased quarries have been used on
Government work only.

In the first instance royalty charges will be refunded by the Collector and in the
Second instance royalty charges will be refunded by the Executive Engineer.

In the case of any dispute about payment of royalty charges, decision of the
Superintending Engineer will be final.

Technical examination

Clause 37 - The Government shall have the right to cause Audit and Technical
Examination of the works and the final bills of the contractor including all supporting
vouchers, abstracts, etc., to be made s per payment of the final bill and if as a result of
such Audit and technical Examination the sum is found to have been overpaid in respect
of any work done by the contractor under the contract or any work claimed by him to
have been done under contract and found not to have been executed, the contractor
shall be liable to refund the amount of overpayment and it shall be lawful for the
Government to recover the same from the security deposit of the contractor or from any
dues payable to the contractor from the Government account. If it is found that the
contractor was paid lesser than what was due to him under the contract in respect of any
work executed by him under it, the amount of such under payment shall be duly paid by
the Government to the contractor.

In the case of any audit examination and recovery consequent on the same the
contractor shall be given an opportunity to explain his case and the decision of the
Superintending Engineer shall be final.

In the case of Technical Audit, consequent on which there is a recovery from the
contractor, no recovery, should be made without orders of the Chief Engineer, whose
decision shall be final. All action under this clause should be initiated and intimated to
the contractor within a period of twelve months from the date of completion

30
 Death or Permanent Invalidity of Contractor

Clause 38 - It the contractor is an individual or appropriately concern, partnership

concern, dies during the currency of the contract or becomes permanently in
capacitated, where the surviving partners are only minors, the contract shall be closed
without levying any damages/compensation as provided for in clause 3 of the contract
agreement.

However, if the competent authority is satisfied about the competence of the

surveyors then the competent authority shall enter into a fresh agreement for the
remaining work strictly on the same terms and conditions, under which the contract was
awarded.

Penalty for Breach of Contract

Clause 39 - On the breach of any term or condition of this contract by the

contractor the said Governor shall be entitled to forfeit the security deposit or the
balance thereof, that may at that time be remaining, and to realize and retain the same
as damages and compensation for the said breach but without prejudice to the right of
the Governor to recover further sums as damages from any sums due or which may
become due to the contractor by Government or otherwise howsoever.

The person of firm submitting the tender shall see that the rate in hte schedule
showing material to be supplied by the department or filled up by the Engineer In Charge
on the issue of the form prior to the submission of the tender.
Notice to the Contractor to Start Work

Your contract for the ..................................................................... has been

accepted by me/Superintending Engineer/Chief Engineer/Government on behalf of the
Governor of Madhya Pradesh on the.................................... day of ..................200...........
and you are hereby ordered to commence the work.

Executive Engineer/S.D.O.

The notice to the Contractor(s) to start work from the................................... day of

....................... 200................ was issued vide this office memorandum NO......................
dated the ........................................200.....................

Signature of Contractor Signature of Sub-Divisional/Divisional Officer

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 COMPLETION CERTIFICATE

In pursuance of clause 6 of the agreement in form A dated the .........................................

between the contractor Shri/MS/ .......................................................................................

and the Governor of Madhya Pradesh it is hereby Certified that the said Contractor hs

duly completed the execution of the work undertaken by him thereunder on the..............

....................... day of ................................... 200.......................

(Signature of the Engineer-in-Charge)

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 SCHEDULE
Schedule showing (approximately) materials to be supplied by the Department under
clauses II (A) for works contracted to be executed at the rates at which they are to be
charged for
Particulars Rates at which the materials will Place of Delivery
be charged to the Contractor
Unit Rs. P.
(1) (2) (3)

---------------------------- Nil ---------------------------

Note-The person or firm submitting the tender should see that the rates in the above
schedule are filled up by the Engineer-in-Charge on the issue of the form prior to the
submission of the tender.

Signature of Contractor Signature of Sub-Divisional/Divisional Officer

COMPLETION CERTIFICATE
In pursuance of clause 6 of the agreement in form A dated the .........................................
between the contractor Shri ...............................................................................................
and the Governor of Madhya Pradesh it is hereby Certified that the said Contractor hs
duly completed the execution of the work undertaken by him thereunder on the..............
....................... day of ................................... 200.......................

(Signature of the Engineer-in-Charge)

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