E

LEBALELO WATER USER

ASSOCIATION

Established in terms of Section 92(1) of the National Water Act, 1998 (Act No
36. of 1998)

Government Gazzette No 89/23053

PO BOX 2075, POLOKWANE, 0700

+27  082  462 7379 (012) 348 4654
Project Name:
(012) 348 2253
Project Manager:
E-mail: bierman@lebalelo.co.za
Email:
Contact Number:

Contract No:
The works are
Purchase Request no
.

Contractor name:

ADDRESS

Email:
Contact Number:
Date
Document Number:

This document is used for communications between Project Manager

and Contractor when in terms of

Clause 61.2

Project Manager’s request for quotation for a proposed instruction or

proposed changed decision

Part 1: Project Manager's request for quotation

Clause 61.2: Instruction to submit quotations for proposed instruction or changed decision
 Clause 62.3: Deadline for submitting quotations (within three weeks)

Part 2: Contractor's submission of quotations

Clauses 62.1 and 62.2: Contractor submits quotation for proposed instruction or changed decision
Includes proposed changes to Prices, Completion Date(s), Key Dates (if affected)
Includes assessment details carried out in accordance with Clause 63
Quotations are attached as a document or electronic format

Part 3: Project Manager's response to the Contractor's quotation

Response due within 2 weeks
Clause 62.3: Project Manager's reply to the Contractor's quotation
Acceptance of quotation, notification of not giving instruction, instruction to submit revised
quotation, or Project Manager's own assessment

Part 4: Implementation of the compensation event

Clause 65: Project Manager implements compensation event
Changes to Completion Date and Key Dates specified
Changes to Prices implemented based on different options (A, B, C, D, E, F)
Tables provided for each option to document changes to existing items or inclusion of new items
Total forecast amount of Prices may change
Please note that the table provided is a summary, and the actual document may contain additional details and
instructions within each section.

Part 1: - Project Manager’s request for quotation

In terms of Clause 61.2 I hereby instruct you to submit quotations for the following proposed
instruction or proposed changed decision.
[Give details]
 You are instructed to submit quotations for the event as soon as possible but in any case, within
three weeks of this instruction, per Clause 62.3, by not later than (date)      

Please complete Part 2 of this form and return all parts to me together with your quotation.

Then use or delete these boxes as applicable and delete this note:

In terms of Clause 61.6, I have decided that the effects of this event are too uncertain to forecast
reasonably, and you should base your quotation on these assumptions:
     

In terms of Clause 62.1 I also instruct you to submit alternative quotations based on the following
ways of dealing with the event as discussed with you on      
[Give details]

Project Manager:

Signature Name Date

Part 2: - Contractor’s submission of quotations

In terms of Clauses 62.1 and 62.2 we submit our quotation for the above-described proposed
instruction or proposed changed decision. If you requested alternative quotations or we have
decided to submit quotations for other methods of dealing with the event these are clearly
identified as such.
Each quotation comprises proposed changes to the Prices and any delay to the Completion Date(s)
and Key Dates where they are used and if they are affected.
Each quotation includes full details of our assessment carried out in accordance with Clause 63.
The quotations are attached:

[select one then delete the other and this note]

in a document called      
in electronic format in a file named      

[select one then delete the other and this note]

As the programme for remaining work is likely to be affected by the proposed instruction or
changed decision, we have included proposed alterations to the Accepted Programme.
As the programme for remaining work is not likely to be altered by the proposed event, we have
not included any proposed alterations to the Accepted Programme.

The basis of assessment in terms of Clause 63 for changed Prices is:

(Delete the rows for Options which do not apply, then complete data required in the row which
remains & delete this note.)

Option A Defined Cost and the resulting Fee. (Complete or delete 2nd sentence if it does not
apply & delete this note)
Except that per Clause 63.14 rates and lump sums have been used in place of
Defined Cost and the resulting Fee for items       per the agreement between the
Project Manager and the Contractor reference       dated       1
Option B Defined Cost and the resulting Fee for proposed changed rates and new priced items
for the proposed work.
(Complete or delete 2nd sentence if it does not apply & delete this note)
Except that per Clause 63.13 rates and lump sums (NOT from the bill) have been
used in place of Defined Cost for items       per the agreement between the
Project Manager and the Contractor reference       dated       2
Option C Defined Cost and the resulting Fee using the Schedule of Cost Components.
(Complete or delete 2nd sentence if it does not apply & delete this note)
Except that per Clause 63.15 the Shorter Schedule of Cost Components has been
used for items       per the agreement between the Project Manager and the
Contractor reference       dated      .3
Option D Defined Cost and the resulting Fee using the Schedule of Cost Components for
proposed changed rates and new priced items for the proposed work.
(Complete or delete 2nd sentence if it does not apply & delete this note)
Except that per Clause 63.13 rates and lump sums (NOT from the Bill) have been
1
This arrangement only used when it is impractical to assess a Subcontractor’s costs using the Shorter
Schedule of Cost Components.
2
This arrangement only used when it is impractical to assess a Subcontractor’s costs using the Shorter
Schedule of Cost Components.
3
This may be preferable where a large number of small compensation events must be assessed.
 used in place of Defined for items       per the agreement between the Project
Manager and the Contractor reference       dated       4
(Complete or delete 3rd sentence if it does not apply & delete this note)
Except that per Clause 63.15 the Shorter Schedule of Cost Components has been
used for assessing items       per the agreement between the Project Manager and
the Contractor reference       dated      .
Option E Except that per Clause 63.15 the Shorter Schedule of Cost Components has been
used for assessing items       per the agreement between the Project Manager and
the Contractor reference       dated      .

For the Contractor:

Signature Name Date

4
This arrangement only used when it is impractical to assess a large number of low value compensation
events using the full Schedule of Cost Components.
Part 3: - Project Manager’s response to the Contractor’s quotation

The Contractor’s quotation was received on (dd/mm/yyyy)      

This reply is due within 2 weeks, hence by:      

In terms of Clause 62.3 the Project Manager’s reply to the Contractor’s quotation is:

[Select one of the four statements below which apply then delete the other three and this note]

Acceptance of the quotation, thereby allowing the proposed instruction to be given or the
proposed changed decision to be made resulting in a compensation event as described in Clause
60.1(     ) which is implemented as stated in Part 4 below.
This compensation event is denoted CE No.
A notification that the proposed instruction will not be given, or the proposed changed decision
will not be made. (If this statement applies, delete Part 4 of this form and this note)
An instruction to submit a revised quotation. My reason for this instruction, in terms of Clause
62.4, is:
     
A notification that the Project Manager will be making his own assessment because in terms of
Clause 64.1, the Contractor … [select the bullet statements below which apply then delete the
others and this note]
● has not submitted the required quotation and details of his assessment within the time
allowed
● has not assessed the compensation event correctly
● has not submitted a programme which this contract requires the Contractor to submit
● the Contractor’s latest programme has not been accepted for one of the reasons stated in
this contract

Project Manager:

Signature Name Date

Part 4: Implementation of the compensation event

In terms of clause 65, the Project Manager implements this compensation event as follows:

4.1 The changes to the Completion Date and the Key Dates are as follows:

The changes to the Completion Date (dd/mm/yy) are: from to

[add further rows if more than one section is affected]                  
for section number:
for the whole of the works            

The changes to the Key Dates (dd/mm/yy) are No. from to

[add further rows if more than one KD is affected] for
Key Date number:

4.2 The changes to the Prices are as follows:

[Implementation is different for each of the main Options. Delete the procedure for Options which
do not apply then delete this note]

Option A or
C

[either use this table, increasing the number of rows as Item from to
required, or cross refer to a revised Activity Schedule.] no.
The Prices in the existing Activity Schedule are changed
as follows:                  
New items and Prices to be included into the Activity
Schedule are:            
The total of the Prices in the Activity Schedule current
at the date of this implementation is changed:

Option B or [either use these tables, increasing the number of rows as required, or cross refer
D to a revised Bill of Quantities.]

Where there is an item in the Bill of Quantities, the item is revised for a changed rate, a changed
quantity or a changed lump sum as follows:

Item no. Description Unit Quantity Rate Price

 Where there is NO item in the Bill of Quantities, new priced items (quantity related or lump
sums) to be included into the Bill of Quantities are as follows:

Item no. Description Unit Quantity Rate Price

from to
The estimated total of the Prices in the Bill of Quantities
current at the date of this implementation is changed:            

Option E or (Select plus or minus and delete the other)

F

This compensation event changes the forecast amount of the Prices by plus
minus

Project Manager:

Signature Name Date