India - Education Project : Credit 0342 - Project Agreement - Conformed

CONFORMED COPY CREDIT NUMBER 342 IN Project Agreement (Education Project) BETWEEN INTERNATIONAL DEVELOPMENT ASSOCIATION AND ASSAM AGRICULTURAL UNIVERSITY AND RAJENDRA AGRICULTURAL UNIVERSITY OF BIHAR DATED NOVEMBER 10, 1972 CONFORMED COPY CREDIT NUMBER 342 IN Project Agreement (Education Project) BETWEEN INTERNATIONAL DEVELOPMENT ASSOCIATION AND ASSAM AGRICULTURAL UNIVERSITY AND RAJENDRA AGRICULTURAL UNIVERSITY OF BIHAR DATED NOVEMBER 10, 1972 PROJECT AGREEMENT AGREEMENT, dated November 10, 1972, between INTERNATIONAL DEVELOPMENT ASSOCIATION (hereinafter called the Association), ASSAM AGRICULTURAL UNIVERSITY and RAJENDRA AGRICULTURAL UNIVERSITY OF BIHAR (hereinafter called Bihar Agricultural University). WHEREAS by the Development Credit Agreement of even date herewith between India, acting by its President (hereinafter called the Borrower) and the Association, the Association has agreed to makc available to the Borrower an amount in various currencies equivalent to twelve million dollars ($12,000,000), on the terms and conditions set forth in the Development Credit Agreement, but only on condition that Assam Agricultural University and Bihar Agricultural University (in this Agreement together called the Universities) agree to undertake such obligations toward the Association as are hereinafter set forth; WHEREAS part of the proceeds of the credit provided for under the Development Credit Agreement will be made available to Assam Agricultural University and Bihar Agricultural University; and WHEREAS the Universities in consideration of the Association's entering into the Development Credit Agreement with the Borrower, have each agreed to undertake the obligations hereinafter set forth; NOW THEREFORE the parties hereto hereby agree as follows: ARTICLE I Definitions Section 1.01. Wherever used in this Agreement, unless the context shall otherwise require, the several terms defined in the Development Credit Agreement and in the General Conditions (as so defined) have the respective meanings therein set forth. ARTICLE II Execution of the Project Section 2.01. Each of the Universities shall carry out Parts A and B of the Project described in Schedule 2 to the Development Credit Agreement as relating 4 to it with due diligence and efficiency and in conformity with sound administrative, financial, educational and technical practices. Section 2.02. In order to assist the Universities in the preparation of a Campus Master Plan and the design and supervision of construction work in the Project, the Universities shall each employ architectural and engineering consultants acceptable to the Association upon terms and conditions satisfactory to the Association. Section 2.03. Except as the Association shall otherwise agree, in carrying out Part A of the Project, the Universities shall each employ contractors acceptable to the Association upon terms and conditions satisfactory to the Association. Section 2.04. Except as the Association shall otherwise agree, the goods and services (other than services of consultants and specialists) required for Part A of the Project and to be financed out of the proceeds of the Credit, shall be procured under procedures consistent with the Guidelines for Procurement under World Bank Loans and IDA Credits, published by the Bank in April 1972 and in accordance with, and subject to, the provisions set forth in Schedule 1 to this Agreement. Section 2.05. (a) Each of the Universities undertakes to insure, or make adequate provision for the insurance of, the imported goods to be financed out of the proceeds of the Credit made available to it by the Borrower against hazards incident to the acquisition, transportation and delivery thereof to the place of use or installation, and for such insurance any indemnity shall be payable in a currency freely usable by the Universities to replace or repair such goods. (b) Except as the Association shall otherwise agree, the Universities shall cause all goods and services financed out of the proceeds of the Credit made available to it by the Borrower to be used exclusively for the Project. Section 2.06. (a) The Universities shall each furnish to the Association for its approval, promptly upon their preparation, the sketch plans and specifications, the model contract documents (except any such contract documents required to be furnished to the Association for information only pursuant to Schedule I hereto) and procurement schedules for the Project and any material modifications thereof or additions thereto in such detail as the Association shall reasonably request. (b) The Universities: (i) shall each maintain records adequate to record the progress of the Project (including the cost thereof) and to identify the goods and services financed out of the proceeds of the Credit made available to it by 5 the Borrower, and to disclose the use thereof in the Project; (ii) shall, without limitation upon the provisions of Section 5.03 of this Agreement, enable the Association's representatives to inspect the Project, the goods financed out of such proceeds and any relevant records and documents; and (iii) shall furnish to the Association all such information as the Association shall reasonably request concerning the Project, the expenditure of the proceeds of the Credit so made available to it and the goods and services financed out of such proceeds. Section 2.07. The Universities shall each prepare and send to the Association not later than one year after the date of this Agreement or such further period as the Association may allow, a comprehensive plan for the development of the University. Section 2.08. The Universities shall each not later than 6 months after the date of this Agreement or such further period as the Association may allow employ the architects, and one adviser/specialist in home science, as specified in Annex B to Schedule 2 to the Development Credit Agreement, all of whom shall be suitably qualified. Section 2.09. The Universities shall furnish to the Association a fellowship program, prepared in consultation with the Association, for the carrying out of Part B (ii) of the Project. Section 2.10. (a) For the purposes of carrying out the Project, the Universities shall each establish a Project Unit in accordance with Schedule 2 to this Agreement. (b) The responsibilities of the Vice-Chancellors of the Universities shall include the functions set out in Part 2 of the said Schedule. Section 2.11. Bihar Agricultural University shall ensure that the assignment of subject matters and other responsibilities to its departments, institutes or other bodies accords with sound university educational practices and that the assignment shall be effected in such a manner as to avoid duplication and imbalance. ARTICLE III Management and Operations of the Universities Section 3.01. The Universities shall take out and maintain with responsible insurers, or make other provisions satisfactory to the Association for, insurance against such risks and in such amounts as shall be consistent with sound practice. 6 Section 3.02. The Universities shall each take all necessary action (including the provision of adequate funds) to ensure the effective maintenance of their buildings, equipment, furniture and other facilities. ARTICLE IV Financial Covenants Section 4.01. Each of the Universities shall maintain records adequate to reflect in accordance with consistently maintained sound accounting practices its operations and financial condition. ARTICLE V Consultation, Information and Inspection Section 5.01. The Association and the Universities shall cooperate fully to assure that the purposes of the Credit will be accomplished. To that end, the Association and the Universities shall from time to time, at the request of any party, exchange views through their representatives with regard to the performance of their respective obligations under this Agreement, the administration, operations and financial condition of the Universities and other matters relating to the purposes of the Credit. Section 5.02. The Association and the Universities shall promptly inform each other of any condition which interferes with, or threatens to interfere with, the accomplishment of the purposes of the Credit, or the performance by any of them of its obligations under this Agreement. Section 5.03. The Universities shall enable the Association's representatives to inspect all plants, sites, works, properties and equipment of the Universities and any relevant records and documents. ARTICLE VI Effective Date; Termination; Cancellation and Suspension Section 6.01. This Agreement shall come into force and effect on the date upon which the Development Credit Agreement becomes effective. 7 Section 6.02. (a) This Agreement and all obligations of the Association and of the Universities thereunder shall terminate on the earlier of the following two dates: (i) the date on which the Development Credit Agreement shall terminate in accordance with its terms; or (ii) a date 20 years after the date of this Agreement. (b) If the Development Credit Agreement terminates in accordance with its terms before the date specified in paragraph (a)(ii) of this Section, the Association shall promptly notify the Universities of this event and, upon the giving of such notice, this Agreement and all obligations of the parties thereunder shall forthwith terminate. Section 6.03. All the provisions of this Agreement shall continue in full force and effect notwithstanding any cancellation or suspension under the Development Credit Agreement. ARTICLE VII Miscellaneous Provisions Section 7.01. Any notice or request required or permitted to be given or made under this Agreement and any agreement between the parties contemplated by this Agreement shall be in writing. Such notice or request shall be deemed to have been duly given or made when it shall be delivered by hand or by mail, telegram, cable, telex or radiogram to the party to which it is required or permitted to be given or made at such party's address hereinafter specified or at such other address as such party shall have designated by notice to the party giving such notice or making such request. The addresses so specified are: For the Association: International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable address: INDEVAS Washington, D.C. 8 For Assam Agricultural University: Assam Agricultural University Jorhat Assam, India Cable address: AGRIVERSITY Jorhat For Bihar Agricultural University: Rajendra Agricultural University Patna Bihar, India Cable address: AGRIVERSITY Patna Section 7.02. Any action required or permitted to be taken, and any documents required or permitted to be executed, under this Agreement: (i) on behalf of Assam Agricultural University may be taken or executed by the Vice-Chancellor or such other person or persons as the Vice-Chancellor shall designate in writing; and (ii) on behalf of Bihar Agricultural University may be taken or executed by the Vice-Chancellor or such other person or persons as the Vice-Chancellor shall designate in writing. Section 7.03. The Universities shall furnish to the Association sufficient evidence of the authority and the authenticated specimen signature of the person or persons who will, on behalf of each of them take any action or execute any documents required or permitted to be taken or executed by the Universities pursuant to any of the provisions of this Agreement., Section 7.04. This Agreement may be executed in several counterparts, each of which shall be an original, and all collectively but one instrument. IN WITNESS WHEREOF, the parties hereto, acting through their representatives thereunto duly authorized, have caused this Agreement to be signed 9 in their respective names and delivered in the District of Columbia, United States of America, as of the day and year first above written. INTERNATIONAL DEVELOPMENT ASSOCIATION By /s/ I.P.M. Cargill Vice President ASSAM AGRICULTURAL UNIVERSITY By /s / L. K. Jha Authorized Representative RAJENDRA AGRICULTURAL UNIVERSITY OF BIHAR By /s/ L. K. Jha Authorized Representative 10 SCHEDULE I Procurement A. Contracts for Civil Works 1. Contracts for civil works shall be grouped, when reasonable under sound procurement practices, in such a manner as would ensure adequate competition. The following provisions shall, to the extent allowed by the procurement rules and procedures in force in Assam and Bihar, apply to civil works contracts estimated to cost $100,000 or more: (a) Bids will be advertised in national and local newspapers. The University concerned shall furnish to the Association for its comments a description of the advertising procedures to be followed; (b) Bidders will be required to prequalify or bidding will be limited to contractors registered with the State Public Works Department of Assam and Bihar. The University concerned shall inform the Association in detail of the prequalification or registration procedure to be followed and shall introduce such modifications in the procedure as the Association shall reasonably request. The list of prequalified or registered bidders, together with a statement of their qualifications and of the reasons for the exclusion of any applicant for prequalification or registration, shall be furnished to the Association for its comments before the applicants are notified and Assam, Bihar or the Universities (as the case may require) shall make such additions to, or deletions from, the list as the Association shall reasonably request; (c) Before bids are invited, the University concerned shall furnish to the Association, for its comments, the text of the invitations to bd, the specifications and other bidding documents, and shall make such modifications in these documents or procedures as the Association shall reasonably request. Any further modifications to the bidding documents shall require the Association's concurrence before it is issued to the prospective bidders; (d) After bids have been received and evaluated, the University shall, before a final decision on the award is made, inform the Association of the name of the bidder to whom it intends to award the contract and 11 shall furnish the Association, in sufficient time for its review, with a detailed report on the evaluation and comparison of the bids received, together with reasons for the intended award. The Association shall promptly inform the University concerned whether it has any objection to the intended award on the ground that it would be inconsistent with these requirements or with the Development Credit or Project Agreements, and shall state the reasons for any objections it may have; (e) If the contract shall be awarded over the Association's reasonable objection, or if its terms and conditions shall, without the Association's concurrence, materially differ from those on which bids were asked, no expenditure thereunder shall be financed out of the proceeds of the Credit; (f) Two certified copies of the contract shall be furnished to the Association promptly after its execution and prior to the submission to the Association of the first application for withdrawal of funds from the Credit Account in respect of any such contract; (g) The University concerned shall request the Association's approval for any proposed change in a contract involving a price increase of more than 10 percent of the contract price, together with an explanation of the proposed change. 2. Contracts for the procurement of civil works estimated to cost the equivalent of less than $100,000 shall follow the officially established rules and procedures of Assam or Bihar (as the case may be). Except as the Association shall otherwise agree, such contracts shall be limited to four in number for each University. When invoking the provisions of this paragraph the University concerned shall inform the Association in such detail as the Association shall reasonably request of the procedures followed and, with the application for reimbursement for the Credit Account in respect of any such contract, shall, as appropriate, provide the following information: (a) A certificate signed by the Vice Chancellor of the University concerned or his designated representative that the goods and services covered by the contract are in accordance with the quantities and specifications as described in the material provided under Section 2.06(a) of this Agreement or that the said goods and services constitute an integral part of the Project; 12 (b) A list of bids received together with a brief analysis thereof and justification for the University's decision in making the award; and (c) Two certified copies of the contract. 3. The Association shall promptly inform the University whether it has any objection to the award on the ground that it would be inconsistent with the provisions of the Guidelines or with the Development Credit or Project Agreements, and shall state the reasons for any objections it may have. If the Association has reasonable objection to the contract award, no expenditures thereunder shall be financed out of the proceeds of the Credit. B. Contracts for Furniture and Equipment 1. Furniture (irrespective of amount) and equipment covered by contracts estimated to cost less than $100,000 shall be procured on the basis of all-India competitive bidding. Equipment covered by contracts estimated to cost $100,000 or more shall be procured on the basis of international competition. 2. Before bids are invited, the University shall furnish to the Association the following: (a) lists of all items of furniture and equipment required for the Project showing the specifications or, as appropriate, an adequate description and the estimated unit and total price of each item. Items shall be indexed, coded and numbered for identification with the Project institution in question and the spaces for which they are required. The items to be purchased shall be grouped so as to permit such bulk procurement as shall be consistent with sound technical and procurement practices. Amendments of such lists which may be made from time to time shall also be submitted to the Association; and (b) draft standard document for inviting tenders, forms of contracts and description of the method to be used for obtaining bids on a competitive basis. 3. Procurement shall be limited to those items of furniture and equipment specified in the lists furnished to the Association under subparagraph B.2(a) above and identified in contract documents by the same indexes, codes and numbers as in the lists. 4. The following method will be used in evaluating any competing bids received for imported and for locally manufactured equipment: 13 (a) The term "Local Bid" means a bid submitted by a manufacturer established in the territories of the Borrower for goods manufactured or processed to a substantial extent (as reasonably determined by the Association) in such territories; any other bid shall be deemed to be a "Foreign Bid". (b) The bid price under a Local Bid shall be the sum of the following amounts: (i) the ex-factory price of such goods; and (ii) inland freight, insurance and other costs of delivery of such goods to the place of their use or installation. (c) For the purpose of comparing any Foreign Bid with any Local Bid the bid price under a Foreign Bid shall be the sum of the following amounts: (i) the c.i.f. landed price of such goods net of any taxes on their importation; (ii) any such taxes, as generally apply to such goods if imported into the territories of the Borrower by non-exempt importers, or 15% of the amount specified in (c)(i) above, whichever shall be lower; and (iii) inland freight, insurance and other costs of delivery of such goods to the place of their use or installation. 5. The Universities shall obtain the prior approval of the Association before awarding contracts for equipment in any of the following cases: (a) if the contract involves an amount of $50,000 equivalent or more; or (b) if it is for an amount above the lowest bid received; or (c) if it is for an amount exceeding by 10% or more the estimated value or price shown in a list sent to the Association pursuant to paragraph B.2(a) above and not objected to by the Association. In any of these cases, the University shall, after the bids have been evaluated and before making the award, send to the Association in sufficient time for its approval, a summary and analysis thereof and a brief justification of the University's proposal for the award. The Association 14 shall promptly inform the University whether it has any objection to the intended award on the ground that it would be inconsistent with the Guidelines or the provisions of the Development Credit Agreement or of this Agreement, and shall state the reasons for any such objection. 6. Promptly after bids have been evaluated and a contract has been awarded and before submission to the Association of the first application for withdrawal of funds in respect of such contract, the following shall be sent to the Association (if not already furnished under paragraph 3 above): (a) certificate signed by the Vice-Chancellor or an officer duly designated by him in writing to the Association that the goods covered by the contract are in accordance with the quantities and specifications in the list approved by the Association; (b) list of the bids received; (c) brief analysis of the bids and justification for the University's decision in making the award; and (d) two certified copies of the contract. 15 SCHEDULE 2 Part 1 Project Units 1. The Project Units shall be established at the main campuses of the Universities. 2. Each Project Unit shall be headed by the Vice-Chancellor and shall comprise a project architect, a procurement officer and such technical and supporting staff as shall be required to carry out the Project. The project architect shall be appointed on a full time basis and may be an officer seconded from the State Public Works Department. 3. Each Project Unit shall be responsible for the financial and administrative control of the part of the Project with which it is concerned and its proper execution, including inter alia: (a) coordination with ministries and other government agencies concerned with the Project; (b) liaison with the Association through the Central Project Unit; (c) the preparation of a comprehensive implementation schedule for setting down the planned timetable of coordinated activities and responsibilities on which the carrying out of the Project will be based; (d) the selection, briefing, coordination and supervision of the campus planning consultants and of the firms of design architects and contractors, including the establishment of their terms of reference and administration of their agreements, and the review and approval of all campus planning and architectural design work; (e) the preparation of master lists of furniture and instructional equipment; (f) all necessary steps for competitive bidding for civil works and for the procurement of furniture and instructional equipment, including the preparation of bidding and contract documents, the evaluation of bids and the making of recommendations regarding the award of contract; and (g) the supervision of construction and procurement and installation procedures for furniture and equipment and the regular inspection of construction work. 16 Part 2 Functions of the Vice-Chancellors Each Vice-Chancellor shall, through such officers as he shall designate, be responsible for the following functions: (a) the selection, briefing and coordination of the specialists to be employed under Part B of the Project, including the establishment of their terms of reference, the administration of their agreements and arrangements for the review of their work by appropriate authorities; (b) the organization, coordination and control of the fellowship program under Part B of the Project; (c) the maintenance of records, including financial records, and the furnishing of information under this Agreement during the carrying out of the Project; (d) the preparation of applications for withdrawal from the Credit Account; and (e) evaluation of progress in implementing the Project and the preparation and presentation of regular reports to the Association.