Procurement Plan I. General 1. Project Information Country : Bhutan Borrower : Ministry of Works & Human Settlement Project Name : Bhutan Second Urban Development Project (P090157 Loan Credit No. : P 090157 2. Bank’s Approval Date of the Procurement Plan : February 13, 2017 In accordance with paragraph 5.9 of the “World Bank Procurement Regulations for IPF Borrowers” (July 2016) (“Procurement Regulations”) the Bank’s Systematic Tracking and Exchanges in Procurement (STEP) system will be used to prepare, clear and update Procurement Plans and conduct all procurement transactions for the Project. This textual part along with the Procurement Plan tables in STEP constitute the Procurement Plan for the Project. The following conditions apply to all procurement activities in the Procurement Plan. The other elements of the Procurement Plan as required under paragraph 4.4 of the Procurement Regulations are set forth in STEP. The Bank’s Standard Procurement Documents: shall be used for all contracts subject to international competitive procurement and those contracts as specified in the Procurement Plan tables in STEP. II. Goods, Works and Non consulting Services 1. Prior Review Threshold Method of Thresholds for Method (USD Prior Review Threshold Procurement equivalent) (USD) ICB (Goods) > 200,000 USD All contract above 2 million NCB ( Goods) > USD 30,000 and up to USD 200,000 Shopping (Goods) Up to USD 30,000 ICB (Works) > 1.5 million All contract above 1.0 > 50,000 and up to USD 1.5 million NCB (Works) million Shopping (Works) Up to USD 50,000 ICB (Non-Consulting > 200,000 USD All contract above 1.0 Services) million NCB (Non-Consulting < 200,000 USD Services) Direct Contracting No Threshold; meet paragraph 6.8, 6.9 and 6.10 of regulations Note: The Prior Review Thresholds will be reviewed during the implementation of the project and modified depending on the risk assessment and implementation of mitigation measures. In the case of contracts subject to prior review, before granting / agreeing to (a) a material extension of the stipulated time for performance of a contract; or (b) any substantial modification or waiver of the scope of services or other significant changes to the terms and conditions of such that the contract, including issuing; or (c) any change variation order or orders under such contract amendment (except in cases of extreme urgency) which would in aggregate, singly or combined with all variation orders or amendments previously issued, increase the original contract amount of the contract by more than 15% (fifteen percent); or (d) the proposed termination of the original price contract, the Borrower shall seek the Bank’s no objection to the proposed extension, modification, or change order. A copy of all amendments to the contract shall be furnished to the Bank for its record. 2. Prequalification Not Applicable 3. Reference to Project operational/Procurement Manual Standard Procurement Documents agreed between Project and Bank will be used for all works, consultancy and goods procurements. 4. Any Other Special Procurement Arrangements: National Procurement Arrangements: In accordance with paragraph 5.3 of the Procurement Regulations, when approaching the national market (as specified in the Procurement Plan tables in STEP), the country’s own procurement procedures may be used. When the Borrower uses its own national open competitive procurement arrangements, such arrangements shall be subject to paragraph 5.4 of the Procurement Regulations and the following conditions. Requirements for national open competitive procurement include the following: a. open advertising of the procurement opportunity at the national level; b. the procurement is open to eligible firms from any country; c. the request for bids/request for proposals document shall require that Bidders/Proposers submitting Bids/Proposals present a signed acceptance at the time of bidding, to be incorporated in any resulting contracts, confirming application of, and compliance with, the Bank’s Anti-Corruption Guidelines, including without limitation the Bank’s right to sanction and the Bank’s inspection and audit rights; d. contracts with an appropriate allocation of responsibilities, risks, and liabilities; e. publication of contract award information; f. rights for the Bank to review procurement documentation and activities; g. an effective complaints mechanism; and h. maintenance of records of the Procurement Process.. When other national procurement arrangements other than national open competitive procurement arrangements are applied by the Borrower, such arrangements shall be subject to paragraph 5.5 of the Procurement Regulations. II. Domestic Preference. Domestic preference as specified under paragraph 5.51 of the Procurement Regulations (Goods and Works). Goods: is applicable for those contracts identified in the Procurement Plan tables; Works: is not applicable The bid evaluation will be carried out as per agreed timeline in the Procurement Activity Schedule III. Selection of Consultant 1. Prior Review Threshold Method of Procurement Threshold (USD Prior Review Threshold Equivalent) (a) Quality and Cost Based No threshold All Contracts above 1 million Selection USD for Consultant Firms (b) Quality Based Selection No threshold (c) Selection Made Under a No threshold All contracts above $0.4 Fixed Budget million USD for Individual (d) Least Cost Selection No threshold Consultants. (e) Selection Based on < 100,000 Consultant’s Qualifications (f) Single Source Selection of As per Consultant firms Guidelines Para 3.9 (g) Selection of Individual No threshold Consultants Note: The Prior Review Thresholds will be reviewed during the implementation of the project and modified. In the case of contracts subject to prior review, before agreeing to: (a) an extension of the stipulated time for performance of a contract; (b) any substantial modification of the scope of services, substitutions of key experts, or other significant changes to the terms and conditions of the contract; or (c) the proposed termination of the contract, the Borrower shall seek the Bank’s no objection. A copy of all amendments to the contract shall be furnished to the Bank for its record. 2. Short List comprising entirely of national consultants: Short list of consultants for services, estimated to cost less than USD 200,000 equivalent per contract, may comprise entirely of national consultants. PROCUREMENT Bhutan : Bhutan Second Urban Development Project PLAN General Information Country: Bhutan Banks Approval Date of the Original Procurement Plan: 2016-05-23 Revised Plan Date(s): (comma delineated, leave blank if none) 2018-03-27 Project ID: P090157 GPN Date: 2017-11-21 Project Name: Bhutan Second Urban Development Project Loan / Credit No: IDA / 47440, IDA / 54310 Executing Agency(ies): Ministry of Works & Human Settlement, Thimphu Thromde WORKS Activity Reference No. / Bid Evaluation Report Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Draft Bidding Document Specific Procurement Bidding Documents as Proposal Submission / Description Loan / Credit No. Component Review Type Method Market Approach and Recommendation Signed Contract Contract Completion Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report / Justification Notice / Invitation Issued Opening / Minutes for Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Thimphu Northern Area Langjophakha / Construction of Development Single Stage - One urban infrastructures at IDA / 47440 Capacity Building Prior Request for Bids Open - International 0.00 2,229,177.00 Signed 2014-02-23 2014-06-23 2014-07-23 2014-06-25 2014-08-22 2014-08-14 2015-08-17 Envelope Langjophakha Municipal Finance & Management BT-TT-129-CW-RFB / Construction of Intake, water Thimphu Northern Area Single Stage - One Under IDA / 54310 Prior Request for Bids Open - International 3,590,000.00 0.00 2016-07-29 2016-08-14 2016-08-03 2016-09-21 2016-09-14 2016-10-14 2016-11-18 2018-10-31 main line from Dotena to Taba Development Envelope Implementation and Distribution reservoirs BT-TT-131-CW-RFB / Thimphu Northern Area Single Stage - One Pending Construction of Sewerage IDA / 54310 Post Request for Bids Open - National 346,852.00 0.00 2016-08-31 2016-09-05 2016-10-17 2016-11-16 2016-12-21 2018-06-30 Development Envelope Implementation Treatment Plant at Taba BT-TT-140-CW-RFB / Thimphu Northern Area Single Stage - One construction of urban IDA / 54310 Prior Request for Bids Open - International 3,970,000.00 3,394,832.60 Signed 2016-05-31 2016-05-31 2016-05-31 2016-06-10 2016-06-26 2016-07-15 2016-07-27 2018-01-15 Development Envelope infrastructure of lower taba LAP BT-TT-130-CW-RFB / Construction of Intake, Thimphu Northern Area Single Stage - One Pending Transmission main IDA / 54310 Prior Request for Bids Open - International 1,119,264.00 0.00 2016-07-29 2016-09-12 2016-11-11 2017-02-09 2017-03-23 2017-06-25 Development Envelope Implementation from Dotena to Taba and Trunk lines and Distribution reservoirs BT-TT-5801-CW-RFB / Construction of 10 MLD water treatment plant at Taba LAP. It is Thimphu Northern Area Single Stage - One Under IDA / 54310 Prior Request for Bids Open - International 3,650,000.00 0.00 2017-01-31 2017-03-17 2017-02-14 2017-04-28 2017-05-28 2017-07-02 2018-08-26 a DBO Contract with the contract Development Envelope Implementation duration of 15 months and O& M period of 3 years. GOODS Activity Reference No. / Bid Evaluation Report Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Draft Bidding Document Specific Procurement Bidding Documents as Proposal Submission / Description Loan / Credit No. Component Review Type Method Market Approach and Recommendation Signed Contract Contract Completion Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report / Justification Notice / Invitation Issued Opening / Minutes for Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual BT-MWHS-1379-GO-RFB / Thimphu Northern Area Single Stage - One Pending Road Sweeping Machine for IDA / 47440 Post Request for Bids Open - National 110,000.00 0.00 2016-09-01 2016-09-06 2016-10-18 2016-11-17 2016-12-22 2017-06-20 Development Envelope Implementation Thimphu Thromde BT-MWHS-1382-GO-RFB / JCB Single Stage - One Pending Backhoe Loader for IDA / 47440 Capacity Building Post Request for Bids Open - National 49,000.00 0.00 2016-10-31 2016-11-05 2016-12-17 2017-01-16 2017-02-20 2017-05-31 Envelope Implementation Phuentsholing Thromde BT-MWHS-1618-GO-RFB / Single Stage - One Pending Procurement of Laptop and IDA / 47440 Capacity Building Post Request for Bids Open - National 2,000.00 0.00 2016-09-30 2016-10-05 2016-11-16 2016-12-16 2017-01-20 2017-03-30 Envelope Implementation Printer ( 1 each) for PMU/DES BT-MWHS-1633-GO-RFB / Single Stage - One Pending Purchase of 2 nos Digital IDA / 47440 Capacity Building Post Request for Bids Open - National 2,300.00 0.00 2016-09-30 2016-10-05 2016-11-16 2016-12-16 2017-01-20 2017-04-30 Envelope Implementation Camera for PMU/DES BT-MWHS-11727-GO-DIR / UTM Firewall license renewal for 3 years for Thimphu Thromde to Municipal Finance & Pending protect RMS and DAR database IDA / 54310 Post Direct Selection Direct 7,500.00 0.00 2017-04-06 2017-04-11 2017-05-16 2017-11-12 Management Implementation and management information systems implemented in Thimphu Thromde NON CONSULTING SERVICES Activity Reference No. / Bid Evaluation Report Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Draft Bidding Document Specific Procurement Bidding Documents as Proposal Submission / Description Loan / Credit No. Component Review Type Method Market Approach and Recommendation Signed Contract Contract Completion Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report / Justification Notice / Invitation Issued Opening / Minutes for Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual TT-NS-01 / Hiring of venue for Thimphu Northern Area Request for Single Stage - One Pending IDA / 54310 Post Limited 3,000.00 0.00 2016-12-13 2016-12-15 2017-01-05 evaluation of Package VIII Development Quotations Envelope Implementation CONSULTING FIRMS Activity Reference No. / Combined Evaluation Contract Type Estimated Actual Amount Expression of Interest Short List and Draft Request for Proposals Opening of Technical Evaluation of Technical Description Loan / Credit No. Component Review Type Method Market Approach Process Status Terms of Reference Report and Draft Signed Contract Contract Completion Amount (US$) (US$) Notice Request for Proposals as Issued Proposals / Minutes Proposal Negotiated Contract Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual BT-MWHS-4480-CS-QCBS / Consultancy for Strengthening Municipal Finance and Municipal Finance & Quality And Cost- Pending Management in Gelephu and IDA / 54310 Post Open - National 125,000.00 0.00 2016-12-12 2016-12-19 2017-01-16 2017-01-30 2017-02-15 2017-03-13 2017-04-01 2018-07-22 Management Based Selection Implementation Samdrup Jongkhar Thromdes under Additional Financing for BUDP-II INDIVIDUAL CONSULTANTS Page 1 Activity Reference No. / Invitation to Contract Type Estimated Actual Amount Draft Negotiated Description Loan / Credit No. Component Review Type Method Market Approach Process Status Terms of Reference Identified/Selected Signed Contract Contract Completion Amount (US$) (US$) Contract Consultant Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual BT-MWHS-52508-CS-CDS / Implementation of Revenue Management System and Municipal Finance & Pending IDA / 54310 Post Direct Selection Direct 93,000.00 0.00 2018-03-07 2018-03-09 2018-03-13 2018-06-30 Digitized Asset Register in Management Implementation Gelephu and Samdrup Jongkhar Thromdes BT-MWHS-52509-CS-INDV / Consultancy services for Individual Consultant Pending IDA / 47440 Capacity Building Post Open 36,700.00 0.00 2018-03-12 2018-04-30 2018-05-21 2018-06-25 2018-12-22 formulation of National Selection Implementation Construction Industry Policy Page 2