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development through partnership

Construction Industry Development Board Kwena Mokobane. development through partnership. 21 June 2013. OUTLINE. CIDB Act Register of contractors Register of projects. CIDB Act Register of contractors Register of projects. CIBD ACT.

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development through partnership

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  1. Construction Industry Development Board Kwena Mokobane development through partnership 21 June 2013

  2. OUTLINE • CIDB Act • Register of contractors • Register of projects

  3. CIDB Act • Register of contractors • Register of projects

  4. CIBD ACT The Construction Industry Development Board Act of 2000 (Act 38 of 2000) provides for the establishment of the Construction Industry Development Board to implement an integrated strategy for the reconstruction, growth and development of the construction industry.

  5. CIDB OVERVIEW • The CIDB was established to • provide leadership to stakeholders; and • stimulate sustainable growth, reform and improvement of the construction sector for: • - effective delivery; and • - the industry’s enhanced role in the country’s economy.

  6. LEGISLATIVE MANDATE - PROCUREMENT • Act mandates CIDB to perform the following: • promote the standardisation of the procurement process • initiate, promote and implement national programmes and projects aimed at the standardisation of procurement documentation, practices and procedures. • determine and establish best practice that promotes procurement and delivery management reform

  7. CONSTRUCTION PROCUREMENT • Construction procurement in the public sector is regulated in terms of general legislation governing public procurement and through the following CIDB prescripts issued in terms of the CIDB Act of 2000: • CIDB Code of Conduct for the Parties engaged in Construction Procurement • CIDB Standard for Uniformity in Construction Procurement. Applicable to public and private sector Currently applicable to public sector (departments, municipalities and state owned enterprises)

  8. LEGISLATIVE MANDATE - REGISTERS The CIDB Act mandates the Board to establish a national register of contractorsand of construction projectsto systematically regulate, monitor and promote the performance of the industry for sustainable growth, delivery and empowerment. The CIDB may expand this register to cover professional service providers, suppliers etc, as necessary

  9. CIDB Act • Code of conduct • Register of projects

  10. CODE OF CONDUCT “Section 5(4) of CIDB Act To promote uniform and ethical standards within the construction industry the Board: (a) Must publish a code of conduct for all construction–related procurement and all participants involved in the procurement process…” Code of Conduct establishes standards of behaviour that are consistent with a procurement system that is fair, equitable, transparent, competitive and cost effective Employers and their agents, contractors, subcontractors, consultants, board members, politicians and tenderers

  11. CODE CONTENT • Code of conduct for the parties engaged in construction procurement • Behave equitably, honestly and transparently. • Discharge duties and obligations timeously and with integrity. • Comply with all applicable legislation and associated regulations. • Satisfy all relevant requirements established in procurement documents. • Avoid conflicts of interest. • Not maliciously or recklessly injure or attempt to injure the reputation of another party.

  12. ENFORCEMENT • CIDB mandated to: • conduct enquiries (has power to subpoena) • sanction offender • - suspend from register • - fine up to R100 000 • Code of conduct applies to both public and private sector Accounting officers and authorities should make their staff aware of this code of conduct

  13. LINKAGES WITH PFMA AND MFMA • Treasury Regulations issued in terms of the PFMA (Regulation 16A6.3) • bid documentation and the general conditions of a contract are in accordance with the prescripts of the Construction Industry Development Board, in the case of a bid relating to the construction industry; • SCM Regulations issued in terms of the MFMA (Regulation 21) • bid documentation for a competitive bidding process must take into account the requirements of the Construction Industry Development Board, in the case of a bid relating to construction, upgrading or refurbishment of buildings or infrastructure”

  14. The CIDB Act tasks the Board to: establish and maintain a national register ofcontractors which facilitates public sector procurement establish and maintain the register of projects that will drive industry development objectives Construction works: the provision of a combination of goods and services arranged for the development, extension, installation, repair, maintenance, renewal. removal, renovation, alteration, dismantling or demolition of a fixed asset including building and engineering infrastructure CIDB NATIONAL REGISTERS

  15. CIDB ACT • Register must categorise contractors in a manner that (section 16(1)): • facilitates public sector procurement • promotes contractor development. • A contractor may not undertake, carry out or complete any construction works or portion thereof for public sector contracts, awarded in terms of competitive tender or quotation, unless he or she is registered with the Board.

  16. Register of projects • The purpose is to: • gather information on the nature, value and distribution of projects; and • provide the basis for a best practice project assessment scheme to promote the performance of public and private sector clients in the development of the construction industry. • Applicable to: • Public sector contracts which exceed R200 000 • Private sector contracts which exceed R 10 m • State Owned Entity Eg; Eskom,Transnet; • TCTA, ect, Threshold Increase to R10m.

  17. REQUIREMENTS @cidb • Public sector must advertise competitive tenders on the CIDB website ( ) • (Private sector may use this service if they so wish) • Public must • register award of contracts; • report completion and • any cancellations/termination • on the CIDB website • Fees currently waived • Employers have to register with CIDB as users • and obtain employer number and passwords

  18. I-TENDER SERVICE @cidb i-Tender@cidb Tender TN2005/2/56 available from (client) for 2CE Closing 5/26/2005 Call 0124189500 • facilitates exchange of tender information between clients and contractors using: • -SMS (short messaging system) • - e-mail and • - Internet (search engine) www.cidb.org.za • allows tenders to be advertised and awards to be reported on

  19. Thank you!

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