The Sunday News
Vusumuzi Dube, Municipal Reporter
THE Bulawayo City Council will revisit a parking system tender they were forced to abandon over six years ago due to legal battles.
The parking management services tender had to be cancelled in 2012 after what the local authority termed “a shambolic tendering process”. This was after the local authority had already awarded the tender to Megalithic Marketing Private Limited.
A long legal battle ensued, which saw Megalithic taking BCC to court challenging the cancellation of the tender. Six years on, the local authority is now considering re-tendering the parking management service after noting that they have lost over $10 million in possible revenue.
According to the latest council report, Ward Six councillor, James Sithole filed a motion where he noted that since the local authority had completed the legal wrangle they should re-tender the project to help enhance revenue collection and service delivery. In his motion, Clr Sithole noted that if the system is put in place they would go a long way in addressing the problem of traffic congestion which the city was experiencing.
“In an effort to boost revenue for the City of Bulawayo, we flighted a tender more than six years ago for Parking Management Services from reputable companies. Due to some irregularities in the process this matter ended up in the courts . . . Bulawayo City Council has therefore lost several opportunities such as 400 jobs that could have been created, meaning the survival of 400 households and parking revenue in the region of $10 million.
I propose that council proceeds as a matter of urgency to re-tender for the parking management services since the legal wrangle has been concluded so that we can achieve revenue enhancement and improved service delivery,” reads part of the motion.
Clr Sithole noted that the tender was unique as the local authority would not use any of their capital while it would have a share of revenue over the years of operation, after which at the end of the period the tenderer would transfer the ownership of the equipment at no cost to the city.
“This is more of a build, operate and transfer arrangement. I would also want to propose that the identified partner remits to city council its share on a monthly basis as opposed to half yearly or annually,” reads the motion.
In response to the motion the chamber secretary, Mrs Sikhangele Zhou noted that the legal wrangle had not been fully completed before the courts revealing that Megalithic had last year filed a contempt of court case against the local authority, of which BCC had stated their position and were now waiting for judgment from the High Court.
“It will be recalled that Contract 35/2010 was tendered out in 2010 and council resolved that the contract be re-tendered. Megalithic took council to court to challenge the re-tender and the Judge cited that council should complete the tender process. It was realised that completing the process was no longer possible.
“The matter was therefore submitted to the Procurement Committee of 12 June 2017 which also resolved that the contract be re-tendered. Megalithic (Pvt) Ltd has since filed an application for contempt of court against council as they have interpreted that the judgment to complete the process meant to award them the contract. This has been defended and is still pending before the courts,” said Mrs Zhou.
The city’s director of engineering, Engineer Simela Dube on the other hand noted that despite the legal wrangle, the local authority was now working with the National University of Science and Technology and they could easily engage students to help provide the parking system.
The initial bidding process brought the city’s tendering system under scrutiny, with accusations of corruption among councillors and directors flying around. First, Easipark, the South African company that was favourite to clinch the parking deal, was disqualified on allegations of attempting to bribe members of the procurement board to swing the bid in its favour.
The company was readmitted and the tendering process re-done after consultations among stakeholders. Easipark was disqualified again, after it failed to attend a compulsory tender briefing meeting, which then saw Megalithic being awarded the tender. Councillors then accused former deputy mayor, Amen Mpofu, of championing the Easipark cause.
