Assignment Details:

Question 1 – Contractual Arrangements
Study the given three case situations provided under Appendix A and answer the following questions:
(a) Recommend to the client a suitable type of contractual arrangement for the project in each of the cases, describe its procedures and justify your choice of selection. (24 marks)
(b) Outline the advantages and disadvantages in using your proposed choice in Case 1 only. (8 marks)

Question 2 – Tendering Procedures, Prequalification of Contractor, Tender Evaluation and Award
With reference to the project only in Case 2 provided under Appendix A, answer the following questions:
(a) Recommend a suitable tendering method for the project, justify your choice of selection, and describe its procedures. (12 marks)
(b) Examine the advantages and disadvantages of your recommended tendering system for the project. (16 marks)
(c) The Public Utilities Board (PUB) is expected to adopt the current guidelines of the Price Quality Method (PQM) for evaluating the tenders received for the project in Case 2. Advise the following:

(i) Your recommended weighting used for the evaluation of price, productivity and quality;
(ii) State how the quality attributes, and the quality score are determined;
(iii) The two-envelope system of tender submission;
(iv) The information that PUB must clearly make known to bidders during the
tender stage;
(v) Identification of the classification of workheads and tendering limits under the Contractors Registration System (CRS).
(20 marks)

Question 3 – Public Private Partnership
Government agencies have been encouraged to adopt the Public Private Partnership (PPP) for all infrastructure projects over S$50 million. Despite the benefits and the encouragement, a number of PPP projects had been recently shelved.
(a) Describe FIVE (5) potential risks or challenges faced by the stakeholders in the implementation of the PPP approach in Singapore. (10 marks)
(b) In spite of the challenges, explain FIVE (5) reasons why the Government continues to promote the use of PPP for infrastructure development. (10 marks)

In attempting Question 3, candidates are advised to read up the following materials:

‘Government Objectives: Benefits and Risks of PPPs’. World Bank Group (US), PublicPrivate-Partnership Legal Resource Center. Monday, 31 October 2016. Retrieved from: https://ppp.worldbank.org/public-private partnership/overview/ppp-objectives

“Privatisation and Public Private Partnerships in Singapore”, Lovells Lee & Lee, Retrieved from: http://www.hoganlovells.cn/files/Publication/11ce9dad-5909-4a45-9945-43951fd0c878/Presentation/PublicationAttachment/fcc73761-7f40-427e-a29a482eaf582640/PrivatisationandPPPinSingapore.pdf

The Ministry of Singapore: Public Private Partnership Handbook version 2 March 2012; Retrieved from: https://app.mof.gov.sg/Portals/0/Policies/ProcurementProcess/PPPHandbook2012.pdf

Chia, Y. M. ‘PPP: Promised partnerships (can) prosper’, The Straits Times, 25 Dec. 2014, Singapore: Singapore Press Holdings. Retrieved from:
http://www.straitstimes.com/opinion/ppp-promised-partnerships-can prosper

Ling Han (2016). “The Problem with PPPs in Singapore”, The Diplomat, 26 September 2016, Retrieved from: https://thediplomat.com/2016/09/the-problem-with-ppps-in-singapore/

Appendix A
Case 1 – Commercial Development at Penang Road
A private property developer is calling for tenders for the erection of a 10-storey commercial development at 9 Penang Road. The scope of work comprises a 2-storey building for 19 units of retail outlets and restaurants and an 8-storey building for offices with a basement carpark.

The estimated value of the 33-month contract is above $100 million. The client is expected to award separate contracts to other parties for design and consultancy services in architecture, civil and structural engineering, and mechanical and electrical engineering. Good cost control is required for this project.

Case 2 – Sewer Tunnels for the Deep Tunnel Sewerage System
The Public Utilities Board (PUB) is calling for tender for the design and construction of sewer tunnels for the second phase of the Deep Tunnel Sewerage System. The contract value is estimated at $520 million. The client has decided that the Public-Private Partnership will not be considered as a procurement option for this project.

Due to the heavy schedule and the project complexity, PUB intends to keep contractual links as simple as possible and leave the project co-ordination to the contractor. The project also requires patented construction and design, and other forms of specialisation.

Case 3: Integrated Facilities Management Services
The Ministry of Law is calling for tenders for the provision of an integrated facilities management and maintenance services at the premises of the Attorney General’s Chambers. The contract period is 3 years, with an option to extend for another 2 years. The estimated value of the works is $2.6 million. The scope of the contract includes mechanical and electrical maintenance, housekeeping, and stewarding services. The client wants to keep contractual administrative work to a minimum