Highways Agency

• 1 introduction
• 3 the principles of the dbfo contract
• 3 the principles of the dbfo contract
• 4 payment mechanism
• 5 technical requirements
• 6 timetable and procedure
• 7 prequalification assessment
• 8 information required from candidates for prequalification
• 9 responses and enquiries
• Appendix a a249 stockbury (m2) to sheerness dbfo project
• Appendix b payment mechanism
• Appendix c
• Appendix d draft agreement summary

A249 Stockbury (M2) to Sheerness DBFO Contract

1 Introduction

1.1 This Prequalification Document describes the A249 Stockbury (M2) to Sheerness Design, Build, Finance and Operate (DBFO) Project (the "Project") as currently envisaged and sets down the requirements and information needed for prequalification.

1.2 The Secretary of State for Transport, Local Government and the Regions is the Highway Authority and is ultimately responsible for the management, maintenance and improvement of the Trunk Road network. The Highways Agency (the "Agency") is an Executive Agency of the Department of Transport, Local Government and the Regions. It has executive responsibility for the delivery of the Secretary of State's highways functions including DBFO road procurement.

1.3 The Agency retains the following central advisers for DBFO:

The Design Agent for this Project is Mott MacDonald.

1.4 A Contract Notice has been published by the Agency in the Official Journal of the European Communities inviting requests from interested parties ("Candidates") to be selected to negotiate with a view to entering into a DBFO contract in respect of the Project. This Prequalification Document provides additional information and describes the procedure ("prequalification") for selection of Candidates with whom the Agency intends to negotiate. It should be read in conjunction with the Public Works Contract (Negotiated Procedure) Notice published in the Official Journal.

1.5 Requests to prequalify must be received by midday on 17 May 2002. No requests will be accepted after this time.

1.6 The DBFO Contract will be awarded under the negotiated procedure applicable to Public Works Contracts under the Public Works Contract Regulations 1991 (SI 1991/2680) (the "Regulations") which implement the EC Works Directive (93/37/EEC). If there is a sufficient number of suitable Candidates, the Agency intends to invite up to four Candidates (the "Tenderers") to negotiate.

1.7 The payment mechanism is dealt with in Section 4 and Appendix B.

1.8 In order to initiate the negotiations, the Agency intends to send to Tenderers a set of tender invitation documents (the "Tender Invitation Documents") including a draft of the DBFO Contract. The draft DBFO Contract has been developed and refined in light of the negotiations on the earlier DBFO contracts. The Agency therefore expects negotiations to move rapidly and to focus on the project specific issues.

1.9 The Tender Invitation Documents will set out an opening position for negotiations on the definition of obligations and the allocation of risk. In order to provide a benchmark for negotiations, Tenderers will be required to submit a tender on that basis (the "Standard Bid"). The Agency will also invite variant bids, subject to compliance with specified core requirements (a "Variant Bid").

1.10 Following an analysis of the various proposals, the Agency will negotiate as necessary to refine and finalise the definition of obligations, the allocation of risk and the attendant payments to be included in the DBFO Contract. At the conclusion of the negotiations, the Agency will select the successful Tenderer (the "DBFO Co") on the basis of the most economically advantageous offer. Further details of the procedure are given in Section 6.

1.11 The information in this document is preliminary only and will be superseded by the Tender Invitation Documents. The information provided, together with that in the Appendices, is offered in good faith for the guidance of Candidates, but no warranty or representation is given as to the accuracy or completeness of any of it. The Department of Transport, Local Government and the Regions, the Agency and their advisers shall not be under any liability for any error, mis-statement or omission. None of the information shall constitute a contract or part of a contract. The Agency reserves the right not to follow up this invitation in any way. In the event that the Agency decides not to proceed to invite tenders, Candidates will not be reimbursed any costs.

1.12 Requests for clarification should be directed to the Agency as detailed at Section 9.