PUBLIC NOTICE CALLING FOR COMMENTS

KOUGAMUNICIPALITY(EC108)

NOTICE NO 186/2010

PUBLIC NOTICE CALLING FOR COMMENTS: -

PROPOSAL FOR THE CONSTRUCTION AND DEVELOPMENT OF

LOW COST HOUSING IN THE KRUISFONTEIN AREA

The Kouga Municipality hereby gives notice of its intention to consider a proposal for the construction and development of low-cost housing in the Kruisfontein area in terms of Section 113 of The Municipal Finance Management Act No 56 of 2003 (‘the Act”) read in conjunction with Section 37 of the Kouga Municipality’s Supply Chain Management Policy pertaining to unsolicited bids.

There is a pressing need to commence development and construction of low-cost housing “inter alia” in the Kruisfontein area. Despite such urgency, sufficient funding is only expected during the course of the 2011/2012 financial year.

A proposal has been submitted by Tauris Garden Trading 500 CC (The Applicant) in terms of which proposal, the Applicant proposes the immediate development and construction of 2500 units in the Kruisfontein area, thereby supplying its own capital and resources until such time as funding is provided by the relevant provincial department. The relevant terms of remuneration will strictly be on an INTEREST-FREE basis and on the applicable rate as determined and prescribed by the Minister of the Department of Housing/Human Settlement at the time of availability of funding (which funding is not expected in less than five months from date of this notice).

The aforementioned bid appears to be unique and innovative, offering exceptional benefits, including cost saving benefits, and it appears that there are no other service provider who is prepared to make a similar proposal. Contrary to the aforementioned proposal, historically contractors performed construction services on a 30/60 (thirty to sixty) day remuneration basis and bridging finance companies provide funding strictly on the basis of interest payable on any capital advances.

In the event that the aforementioned proposal is accepted, the potential benefits will include the rapid achievement of housing service-delivery to much needed members of the community, whilst not creating a cost-burden to the Municipality. The aforementioned proposal is accordingly placed for consideration, in terms of Section 113 of the Act.

An invitation is hereby made in terms of Section 37 of the Municipal Supply Chain Management Policy calling upon all Suppliers and members of the public to provide written comments relating to the aforementioned proposal, within 30 (thirty) days form date of this Notice to the following address: Municipal Manager, Kouga Municipality, 33 Da Gama Road, Jeffreys Bay, 6330 on/before 18 October 2010 at 12:00.

Enquiries in this regard can be directed to Mr Gordon Olivier at tel. nrs. 042-2002236 / 082 651 0145.

DR EM RANKWANA P.O.Box 21

MUNICIPAL MANAGER Jeffreys Bay

6330

FOR PUBLICATION : 17 SEPTEMBER 2010

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