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BY RPAD

SOUTHERN RAILWAY

Office of the Chief Workshop Manager, Carriage & Wagon Works, , Chennaiœ23. CW/PR/GL/565/WC/HK15-16/Vol.III Date: 22/07/2015 Letter of Acceptance

M/s. M. Mahesh, No.28/13, Kailaya Street,1st Floor, Old Washermanpet, -600 021.

Sub: Housekeeping of Carriage & Wagon Workshop, Ayanavaram, Chennai-23.

Ref: 1.Tender Notice No: CW/PR/GL/565/WC/HK/OT-dated22/04/2015 2. Your offer No Nil dated 27/05/2015.

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With reference to the tender under reference 1, your offer under reference- 2, for the work of —Housekeeping of Carriage & Wagon Workshop, Ayanavaram, Chennai-600 023 for a period of one year“ is accepted by the competent authority for a total value of Rs. 52,83,780/- (Rupees Fifty Two Lakhs, Eighty Three thousand,Seven Hundred and Eighty only) inclusive of all taxes subject to the following terms and conditions.

1. Agreement: The contractor has to execute an Agreement with the Railway Administration for the subject work. The same has to be typed in triplicate one being typed in the Non-Judicial stamp paper of value of Rs.100/- and additional copies in ordinary bond papers.

2. Security Deposit: The Security deposit of 5% of the contract value for this work is Rs.2,64,189/- (Rupees Two Lakhs, Sixty Four Thousand, One Hundred and Eighty Nine only). The deposited EMD amount for Rs. 1,10,442/- through Railway cash receipt No.006317 dated 08/06/2015 will be adjusted towards security deposit and the balance security deposit of Rs. 1,53,747/- (Rupees One Lakhs, Fifty three Thousand, Seven Hundred and Forty seven only) will be recovered from the running bills of the contract at the rate of 10% of the bill amount till the full security deposit is recovered .



The Security Deposit shall be returned to the contractor only after passing the final bill based on ”No Claim Certificate‘ with the approval of the Competent Authority. The certificate, inter alia, should mention that the work has been completed in all respects and that all the contractual obligations have been fulfilled by the contractor and there is no due from the contractor to Railways against the contract concerned. Before releasing the SD, an unconditional and unequivocal no claim certificate from the contractor concern should be obtained.

No interest will be payable upon the Earnest Money and Security Deposit or amounts payable to the Contractor under the contract.

3. Performance Guarantee: The performance guarantee of 5% of the contract value for this work is Rs.2,64,189/-. The contractor has to submit Performance guarantee for Rs.2,64,189/- (Rupees Two Lakhs, Sixty Four Thousand, One Hundred and Eighty Nine only). The procedure for submitting Performance Guarantee is outlined below:- a) The contractor shall have to submit a Performance Guarantee (PG) within 30 (thirty) days from the date of issue of Letter of Acceptance (LOA). Extension of time for submission of PG beyond 30 (thirty) days and up to 60 days from the date of issue of LOA may be given by the Authority who is competent to sign the contract Agreement. However, a penal interest of 15% per annum shall be charged for the delay beyond 30 (thirty) days, i.e. from 31st day after the date of issue of LOA. In case the contractor fails to submit the requisite PG even after 60 days from the date of issue of LOA, the contract shall be terminated duly forfeiting EMD and other dues, if any payable against that contract. The failed contractor shall be debarred from participating in re-tender for that work. b) The contractor shall submit a Performance Guarantee (PG) amounting to 5% of the contract value in any of the following forms:- (i) a deposit of Cash, (ii) Irrevocable Bank Guarantee, (iii) Government Securities including State Loan Bonds at 5 percent below the market value, (iv) Deposit Receipts, Pay Orders, Demand Drafts and Guarantee Bonds. These forms of Performance Guarantee could be either of the State Bank of or of any of the Nationalized Banks, (v) Guarantee Bonds executed or Deposits Receipts tendered by all Scheduled Banks, (vi) a Deposit in the Post Office saving Bank, (vii) a Deposit in the National Savings Certificates, (viii) Twelve years National Defence Certificates, (ix) Ten years Defence Deposits, (x) National Defence Bonds, and (xi) Unit Trust Certificates at 5 percent below market value or at the face value whichever is less. Also FDR in favour of FA&CAO/S&W/PER (free from any encumbrance) may be accepted.



The Performance Guarantee should be furnished by the Contractor after the Letter of Acceptance has been issued, but before signing of the agreement. The Agreement should normally be signed within 15 (fifteen) days after the issue of LOA and Performance Guarantee should also be submitted within this time limit. This guarantee shall be initially valid up to the stipulated date of completion plus 60 days beyond that. In case, the time for co mpletion of work gets extended, the contractor shall get the validity of Performance Guarantee extended to cover such extended time for completion of work plus 60 days. c) The value of the Performance Guarantee submitted by the contractor will not change for variation up to 25%(either increase or decrease). In case during the course of execution, value of the contract increases by more than 25% of the original contract value, an additional Performance guarantee amount of 5%(five percent) for the excess value over the original contract value should be deposited by the contractor. d) The Performance Guarantee (PG) will be released after the physical completion of the work based on the —Completion Certificate —issued by the Competent Authority stating that the contractor has completed the work in all respects satisfactorily. The security deposit however, will be released only after the expiry of the maintenance period and after passing the final bill based on —No Claim Certificate from the contractor. e) Wherever the contract is rescinded, the security deposit will be forfeited and the Performance Guarantee will be encashed and the balance work will be got done independently without risk and cost of the failed contractor. The failed contractor will be debarred from participating in the tender for executing the balance work. If the failed contractor is a JV or a partnership firm, then every member / partner of such a firm will be debarred from participating in the tender for the balance work either in his/her individual capacity or as a partner of any other JV / partnership firm. f) The Engineer shall not make a claim under the Performance Guarantee except for amounts to which the President of India is entitled under the contract (not withstanding and / or without prejudice to any other provision in the contract agreement) in the event of : i.Failure by the contractor to extend the validity of the Performance Guarantee as described herein above, in which event the Engineer may claim the full amount of the Performance Guarantee. ii.Failure by the contractor to pay President of India any amount due, either as agreed by the contractor or determined under any of the clauses / conditions of the agreement, within 30 days of the service of notice to this effect by Engineer. iii.The contract being determined or rescinded under provision of the GCC the Performance Guarantee will be forfeited in full and will be absolutely at the disposal of the President of India.

4. Commencement of the work: The contractor shall commence the work within 15 days on receipt of Letter of Acceptance in writing to this effect from the Chief Workshop Manager, Carriage & Wagon Works, Ayanavaram, Chennai œ 23 and shall proceed with the same with due expedition and without delay.



5. Progress of work: The contractor shall maintain close co-ordination with the Representative of Chief Workshop Manager/Carriage & Wagon Works/Southern Railway/ Ayanavaram/Chennai-600 023 for the progress of the work according to the contract schedule, failing which the administration will be at liberty to take necessary action as per the General Conditions of Contract (GCC).

6. W orking Hours: The Contractor should apply and obtain necessary permit for the vehicle, staff and labour for entering/leaving the factory area. The working hours shall be between 07.30 hrs to 16.30 hrs from Monday to Saturday, except on Sundays and factory holidays unless and otherwise permission granted by the Deputy Chief Mechanical Engineer/ Carriage & Wagon Works.The Contractor should be responsible for the discipline of the men engaged by him inside the workshop area and ensure that the labourers employed by him are confined to their places of working and should not go around the workshop. The Contractor should ensure that the labourers are employed by him inside the factory should comply with instructions given by the security staff on duty. The Contractor should ensure that no unauthorized person works for him inside the workshop premises.

7. Permit: The contractor will at his own expense obtain such permits or parwana from whomsoever necessary for carrying out work or for any other purpose as may be necessary to enable him to perform his part of the contract. The President/Railway Administration will not under any circumstances be liable to obtain any permit or parwana whatsoever, for the contractor.

8. Completion Period: The completion period of the contract is 300 working days from the date of commencement of work.

9. Delivery Schedule: Contractor will be advised for carrying out the work as per the scope of work. The contractor shall strictly adhere to the programme framed by the Engineer or his representatives so as to complete the work within the time allotted to the contractor. The contractor will have to employ labour in full strength commensurate with working areas available. The contractor has to complete the job most expeditiously within the stipulated completion period. The Engineers decision will be final and binding on the contractor.

10. Inspection of work: The work will be inspected by Senior Section Engineer/concerned shop or the nominated representatives of Chief Workshop Manager, Carriage & Wagon Works. During checking if quality of work is found not up to the mark as per scope of work, then firm has to again rework the same with his own cost. The decision of the Railway administration will be final in this regard.



11. Inspection Registers and Records: The contractor shall maintain accurate records, plans and charts showing the dates and progress of all main operations and the Engineer shall have access to this information at all times. The following registers will be maintained by the contractor at Carriage & Wagon Works and kept in the office of Senior Section Engineer/ Carriage & wagon works.

i) Attendance Register : Attendance register should be maintained by the contractor to show daily strength of labourers employed by the contractor.

ii) Payment register:- Payment register should also be maintained by the contractor for making entries of payments made to the contract labourers, wherein the following column should be entered in the register.

1. Name of the contract labourer. 2. Rate of wages per day. 3. Variable DA paid. 4. Wages paid for Full month. 5. Signature of the employee. 6. Signature of the contractor/Firm. Recovery towards ESI, PF (if applicable) should be made by the contractor from each and every labourers, those who are employed in this contract. The Statutory bonus for the contract labourers should also be made by the contractor

iii)W ork diary: The contractor should maintain a work dairy duly recording the area offered and cleaned daily in shop-wise with date. The Contractor should get the position reconciled and also signature of Senior Section Engineer/concern shop.

iv) Measurement book:- This is the basis of all accounts of quantities of work done by the contractor which is to be recorded date wise and signed by both the parties.

All registers at item (i) to (iii) mentioned above will be maintained by the contractor. Any other registers considered necessary by the Engineer shall be maintained at CW/PER in which the representative of the Engineer and the contractor will have to sign. The registers, performa charts, etc. will be property of the Railway.Registers as mentioned above will have to be maintained depending on the scope of the work as prescribed by Engineer at CW/PER.

12. Maintenance of Log Book: The Senior Section Engineer/concerned shop shall maintain the log book on day to day basis to record the number of labourers engaged and area cleaned in sqm in shop-wise for the work. The above details written in the log books shall be signed daily by the contractor representative and senior section Engineer/concerned shop.



13. Bill Passing Authority: The bill/invoice shall be submitted through Railway bill form in triplicate at the end of completion of work with the details to Senior Section Engineer/Carriage Repair/General & Senior Section Engineer/ Wagon Repair/General of Carriage & wagon works who will verify and certify the works executed by the contractor as per scope of work and submit the bills along with Measurement Book to Senior Section Engineer/Planning office. Assistant Production Engineer / Carriage & wagon works will certify the measurement book and bills submitted by the contractor. Works Manager /Carriage /Carriage & wagon works will be the Bill passing authority.

14. Payment: No advance payment will be paid to the contractor.100% payment will be made on successful completion of the work on monthly basis, against the total area cleaned in sq.mts for that month as per measurement recorded in M.BOOK by the Senior section engineer/carriage &wagon works on submission of certified bill as per the Railway norms along with Extract of work diary, inspection certificates. Payment will be made after deduction of penalties if any and taxes and dues as applicable. Payments shall not be made for the area not attended by the contractor. As such the payment will be made according to the actual area cleaned as per the rates accepted in the schedule of rates. The Railway will not make any payments for any such additional work carried out by the contractor without permission of the Railway‘s authorised representative. The tax deduction at source will be done as per the statutory obligations as and when required during the period of contract. The Railways has introduced payments through NEFT system for quick money transfer to the contractor account.

15. Bill paying Authority: The Financial Advisor and Chief Accounts Officer/Stores and Workshops, Southern Railway, Chennai œ 23 will be the bill paying authority. The bills for payment should be submitted with all relevant documents duly prerecipted to the consignee for certification and onward submission to the paying authority after satisfaction completion of the contract work duly ensuring the safety aspects also.

16. Penalty: i) If the Contractor brings less than the 53 labourers per day a sum of Rs. 300/- per day for every labour in shortage of 53 labourers will be levied for that particular day.

ii) If the contractor failed to bring supervisor to duty on any working day, a sum of Rs.400/- will be levied for that particular day.

iii) Exemption of penalty clause can be considered on special cases such as natural calamity bad weather or any valid grounds etc. in this case the decision of the Railway administration and binding on the contract.



17.1. Income Tax: Income tax at 2% and 15% surcharge on IT or Income Tax as applicable at the time of payment of contract value will be deducted at source as income tax and a certificate will be issued to that effect.

17.2. Education Cess: In addition to income tax the contractor has to pay 3% on IT Cess for their employees employed in the subject work as per the existing Railway rules in vogue. Taxes will be calculated and deducted in the progressive bills.

17.3 Sales Tax: The contractor is liable to pay the sales tax or any other taxes as applicable at the time of payment that may be levied to any local or state or central Authority. The rate accepted as per the schedule of rates should be inclusive of all such statutory levies. The administration does not agree to pay the sales tax in addition to the rate accepted.

17.4. Service Tax: It is the responsibility of the contractor to pay the service tax out of the contract amount. The contractor has to register with service tax department and should submit the proof of registration with service tax department. The tax deduction at source towards works contract tax if any will be made.

18.Safety 1. The contractor must follow the safety precautions as per the Factory Act 1948 and Factory Rules 1950. 2. The contractor should ensure that the contract employees should not wear loose garments, Dhotis, lungies while on working in the premises of CW/PER. 3. The contractor should ensure supply and wearing of PPE to their Employees to protect from injury. 4. The contractor should resort to optimum utilization of mechanical handling Equipments/engage sufficient number of workers so as to achieve coordinated teamwork. Wherever necessary so as to ensure safety by ensuring adequate supervision. 5. The contractor should obtain necessary work permit, which is in practice at shops while attending to electrical system. 6. The contractor should ensure that adequate weekly rest will be provided to the contract employees as per The Factory Act 1948 and Tamil Nadu Factory Rules 1950. 7. The contractor should get registered as per norms of The Factory Act 1948 and Tamil Nadu Factory Rules 1950 and Contract Labour Act with Deputy Chief Inspector of Factories, Chennai œ 6 and produce the same on demand. 8. The contractor is fully responsible for the safety of the contract employees in case of injury or accidents inside CW/PER. 9. Workman compensation Insurance is to be taken for the staff deputed by the Contractor for the subject work and necessary documents for the insurance covered for the contract employees should be produced before commencement of the work. 10. For fatal accidents occurred to your staff inside factory (CW/PER) necessary compensation to the relatives of the staff and legal expenditure cost should be borne by the Contractor alone.



11. Staffs under your control are to be insured during the contract period. 19. Conditions for issue of identity cards by contractor: The contractor is bound to issue identity card to each and every person employed by him and deployed for execution of the contract work as per the prescribed format provided in the tender document, at his cost. Failure on the part of the contractor to issue identity cards to their employees will be treated as breach of Contract conditions and therefore will be dealt as per Clause No.62 (VII) of GCC. It is mandatory on the part of every employee, deployed by the contractor to keep in his possession, the identity card, issued by the contractor throughout the execution of the work. Failure to posses such identity will be treated as unauthorised presence in the Railway premises. Such persons shall be liable for prosecution as per law. It is mandatory for the contractors to submit the list of the employees( with their individual photographs and residential address) issued with the identity cards and deployed for execution of the particular contract, to the Railway‘s Engineer at site before commencement of the work and also for any subsequent changes made during the execution of the work. No claims whatsoever arising out of implementation of special conditions pertaining to issue of identity cards shall be admissible.

20. SCOPE OF W ORK:

Name of the work: Housekeeping of Carriage & Wagon Workshop, , Southern Railway, Chennai-23.

SCOPE OF W ORK: 1. Sweeping the entire shop floor area free from dust, dirt, mud, muck, oil and removal of

a) Metallic scrap such as Melting scrap, Ferrous scrap, released / condemned coach and wagon components such as Battery Boxes, doorsteps, doors, Air brake/vacuum Cylinder, Vacuum Reservoir, axle, disc, axlebox housing, Bearings, buffercasings, draftyoke, draftkey, drawbar ,Brake blocks, Composite brake blocks, RS cut up sheets, Spring leaves, Paint drums, Coil Springs, CI pots and scraps CI,Stainless Steel scraps, Released Stainless Steel sheets, Inlays, Aluminium chequred plate, Aluminium shutter unit mouldings washbasins, wallprotector and squatting pan, corroded panel, floorsheets, cutrivets, underframe components, DV components etc.,

b) Hazardous waste such as oil and paint mixed cotton waste, oil and paint mixed mud and muck & ETP sludge.

c) Released servo oil and grease etc packed in 205 ltrs capacity barrel to be stocked in nominated place.

d) Non hazardous waste such as released rexine and cushion, plywood, compreg sheet, PVC sheet, laminated PVC, All kinds released plastic items, PVC and phenol bushes, Released rubber items (washers, pads, V-belts etc), Sundry wooden packs, released asbestos sheets, FRP/glass shutters full and broken, Released fiber glass

items (windows and bedroom fittings), limpet sheets, released packing wood, sand particles, waste paper, muck and mud etc. e) Screening, segregating and stacking different types of metallic, hazardous waste and non- hazardous waste in nominated bins available at the nominated place nearby. 2. Cleaning of spilled oil in the floor. 3. Removal of cobwebs to a height of 5 meters once a month. 4. Cleaning the pit line and mopping up of rain water from pit line during monsoon period and also as and when required.

Details of shop wise area for housekeeping work:

S Cleaning area and location Approx Minimum Frequency No. Area in No. of Sq.m labour required per day 1 Wagon Repair Shop 18177 8 Daily 2 Wagon shop paint shed + new paint shed 2244 3 Daily 3 Carriage repair shop including pit lines 14399 9 Daily 4 HCR shop 4388 3 Daily 5 Paint shop 10097 3 Daily 6 LBR shed including pit lines 6067 4 Daily 7 Train lighting shed 2400 3 Daily 8 Wheel shop 4637 4 Daily 9 LBR shed outside East side 3784 3 Daily 10 LBR shed outside west side 1626 2 Daily 11 Incoming pit line and wash line 4050 4 Daily 12 New Wagon Repair Shed 5280 2 Daily 13 Road Transport Shop 1161 1 Daily 14 Millwright shop 1334 Daily 15 New Machine shop 2235 Daily 16 Spring shop 4638 1 Daily 17 Mechatronics Lab 408 Daily 18 Water tank repair section 2451 3 Daily 19 Air Brake & SAB 1660 Daily 20 CB new sheet metal shop 1350 Daily 21 Transit Shed 1200 Daily 22 Butterfly shed 1927 Daily 23 BMBS overhauling section 473 Daily 24 Carpentry section 893 Daily Total 96879 53 Daily 25 Supervisor 3 Daily

21. Other Conditions: 1. The contractor shall obtain Labour License from the Licensing Officer as per Contract Labour Act 1970 before commencement of the work and shall follow the latest guidelines as laid down by the Labour Commissionerate revised from time to time.

2. The contractor has to submit a copy of Workmen Compensation Insurance Policy insured in favour of the labour engaged on the advertised work before commencement of work. The validity of the policy should be on par with the contract period.

3. Stipulated minimum wages enforced by labour enforcement officer applicable for Housekeeping work shall be ensured by contractor. Any hike in minimum wages during the currency of contract shall be followed by the contractor.

4. The contractor has to comply with the Labour laws in force like Minimum wages Act, Employment of Children‘s Act, Hours of Employment regulation‘s, Work Man‘s Compensation Act, Provident Fund, Employee State Insurance, Bonus etc. and all such laws in force from time to time as applicable to this contract.

5. The staff (labour and supervisor) should wear uniforms or over coat . The uniform or over coat should bear the firm‘s name legibly printed or stitched. Every staff should wear safety shoes, gloves and PPE etc during working. Those staff deployed to work in the wild vegetation grown area must wear Gum boots.

6. The contractor shall be responsible to take necessary precautionary measure in order to ensure the safety against injury etc., of his personnel when working at the Railway premises and should confirm to the rules and regulations of the Railway. Contractors must provide adequate insurance coverage (workman compensation Insurance) to their labourers.

7. The contractor has to bear the loss incurred to Railways on account of negligence of contractor or his staff.

8. The work is to be carried out as per the instruction of Senior Section Engineer/concerned shop or nominated representative of Chief Workshop Manager, Carriage & Wagon Works.

9. The contractor has to carry out the work with his own labour, tools for sweeping and other hand tools required to carry out the housekeeping work.

10. Cleaning of the certain main areas must be completed on top priority as directed by officer in-charge.

11. Railway will provide bins, trailers, 205 ltrs capacity barrel for stacking of materials and cotton waste/sawdust to clean the oil spilled on floor at free of cost .

12. Railway will provide water and electricity at free of cost.

13. Room facilities will be provided for the contractor to keep tools, materials and equipments at a free of cost.



14. Deployment of Labour: (i) The contractor has to depute minimum of 53 labourers (20 mens and 33 womens) and 3 supervisors on every day to carry out the housekeeping work. The age of the labourers and supervisor shall be within the range from 18 years to 50 years with good health condition. The supervisor should be provided with mobile and should immediately respond to call given by the Railway authority.

(ii) The number of labourers mentioned above are only minimum requirement. However, if additional labourers are found required to ensure proper housekeeping of the areas, the contractor has to engage the additional labourers as per the direction of Engineer in-charge.

22. SCHEDULE OF RATES:

Tender Notice No: CW/PR/GL/565/WC/HK/OT- dated 22/04/2015

Name of the work: Housekeeping of Carriage & Wagon Workshop, Perambur, Southern Railway, Chennai-23.

Description Qty Rate Value for 300 (Rs.) Working days ( Rs.) Housekeeping of shop floor area in the 96879 0.18 5231466/- respective shop of Carriage & Wagon Sq.mts. Works.

Service tax --- 52314/-

Total Amount in Rupees 52,83,780/-

Total value in figures : Rs. 52, 83, 780/-

Total value in words (Rupees Fifty two Lakhs, Eighty Three thousand, Seven hundred and Eighty Only)

The rate accepted is inclusive of all taxes.

23. Termination of contract: In the event of the contractor failing to comply with all or any other conditions part thereof governing this contract, the Competent Authority shall have the right to terminate the contract at any time on issue of notice thereof and in the event of such termination, the contractor shall not be entitled to get any compensation from the Railways for any loss whatsoever may have suffered.

All other terms and conditions for this contract will be as per the GCC and tender conditions issued for the subject work.



5. Inspector/RPF/CW/PER for information and necessary action.