Circular No. 04/2016/TT-BXD on Quality Construction Project Awards

CIRCULAR

Regulations on Construction Quality Awards

Pursuant to Decree No. 62/2013/NĐ-CP dated June 25, 2013 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Construction;

Pursuant to Decree No. 46/2015/NĐ-CP dated May 12, 2015 of the Government on construction quality management and maintenance of construction works;

WHEREAS, Decree No. 59/2015/NĐ-CP dated June 18, 2015 of the Government on project management for investment in construction;

At the proposal of the Director of the National Appraisal Agency for Construction Quality,

The Minister of Construction issues this Circular to regulate Construction Quality Awards.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation and Applicability

1. Scope of Regulation:

This Circular provides detailed guidance on conditions, criteria, procedures, and processes for registering and awarding Construction Quality Awards as prescribed in Point b Clause 1 Article 9 of Decree No. 46/2015/NĐ-CP dated May 12, 2015 of the Government on construction quality management and maintenance, including:

1. High-Quality Construction Work Award;
2. High-Quality Construction Contract Package Award.

2. Applicability:
   1. Organizations and individuals with construction works and construction contract packages that register to participate in the award;
   2. Organizations and individuals related to the organization of Construction Quality Awards.
3. Professional associations and industry associations in construction, when organizing other awards for construction quality, if they wish to enjoy the rights stipulated in Article 6 of this Circular, shall submit to the Ministry of Construction for consideration and decision.
4. The National Construction Quality Award shall be implemented in accordance with the provisions of the Prime Minister.

Article 2. Conditions for Construction Works Registering to Participate in the High-Quality Construction Work Award

1. Civil, industrial, transportation, agricultural, rural development, and technical infrastructure construction works from Class III upwards constructed within the territory of Vietnam.
2. Have been accepted for completion and put into use in accordance with the law within three years from the date of registration for the award.
3. Not violating laws on investment in construction, land, bidding, labor safety, environmental protection, fire prevention and explosion prevention, and other relevant laws.
4. Registration of defense and security construction works to participate in the award must be approved by the Ministry of Defense and the Ministry of Public Security.

Article 3. Conditions for Construction Contract Packages Registering to Participate in the High-Quality Construction Contract Package Award

1. The construction contract package belongs to construction works meeting the conditions stipulated in Article 2 of this Circular.
2. The type and value of the construction contract package must comply with the provisions in Appendix I of this Circular.
3. For construction contract packages implemented under the EPC general contracting or construction general contracting form, there is no limit on the value of the contract package, but the construction work must meet the conditions stipulated in Article 2 of this Circular. Registration and awarding will be conducted for all contract packages in the general contracting contract.

Article 4. Principles of Awarding and Time of Organization

1. Ensuring transparency, objectivity, and fairness based on the evaluation criteria stipulated in this Circular.
2. The High-Quality Construction Work Award and the High-Quality Construction Contract Package Award will be awarded annually.

Form and Recipients of the Award

1. For the High-Quality Construction Work Award:

1. Subjects participating in the construction of the winning project, including the Project Owner, the main design contractor, the main construction contractor, and the construction supervision contractor, will receive a Certificate of the High-Quality Construction Work Award. The registering entity will also receive a Certificate of the High-Quality Construction Work Award and a Gold Medal for High Quality.
2. An entity that registers and wins the award for three consecutive years or has three or more projects win the High-Quality Construction Work Award in one year will be considered for the High Quality Flag.

2. For the High-Quality Construction Contract Package Award:

1. Contractors with winning construction contract packages will receive a Gold Medal for High Quality and a Certificate of the High-Quality Construction Contract Package Award.
2. Contractors registering construction contract packages for the award will be considered for the High Quality Flag if they meet one of the following conditions: having five winning construction contract packages in one year or achieving a total of five High-Quality Construction Work Awards and High-Quality Construction Contract Package Awards in one year.

Article 6. Benefits for organizations and individuals receiving construction quality project awards

1. They shall be given priority in the process of selecting contractors in construction activities, specifically as follows:
   1. The bidding documents of construction contractors shall be awarded additional points for the technical evaluation criteria according to the scoring method or prioritized based on the technical evaluation level as pass/fail criteria pursuant to Circular No. 03/2015/TT-BKHĐT dated May 6, 2015 of the Ministry of Planning and Investment detailing the preparation of tender documents for construction works. The award serving as the basis for priority in the bidding process must have been obtained by the contractor within a period not exceeding three years from the date of registration to participate in the bidding for the construction project or similar tender package regarding the type and level of the project;
   2. Design and construction supervision contractors shall be entitled to apply the provisions of Point a Clause 1 of this Article to consider and prioritize the selection of contractors when registering to participate in the bidding for construction projects or similar tender packages regarding the type and level of the project at the request of the Project Organizer.
2. They may be considered for contractual bonuses in accordance with the law and as agreed upon in the contract with the investor.
3. They shall be publicized through mass media and their information posted on the websites of the Ministry of Construction, specialized construction management ministries, and local Construction Departments to serve as a basis for evaluating their capacity as stipulated in Clause 1 of this Article during the process of selecting contractors in construction activities.
4. They shall be presented with the award and honored at the award ceremony.
5. They shall have the right to use and exploit the trademark of the award in business and marketing activities.
6. Organizations and individuals with outstanding achievements in participating in construction quality project awards shall be considered for commendation in accordance with the law on competition and rewards.
7. They shall enjoy other benefits as prescribed by law.

Article 7. Authority to organize construction quality project awards

1. The Ministry of Construction is the leading agency, coordinating with relevant ministries, localities, associations, and professional bodies to organize construction quality project awards.
2. The State Construction Quality Control Agency under the Ministry of Construction is the Standing Office organizing construction quality project awards (Standing Office).
3. The Minister of Construction decides to establish the Award Review Board (Board) upon the proposal of the Standing Office, consisting of:
   1. Chairman of the Board: Deputy Minister of Construction;
   2. Vice-Chairman of the Board: Director of the State Construction Quality Control Agency under the Ministry of Construction;
   3. Members of the Board: Heads of specialized agencies under the Ministry of Construction and specialized construction management ministries; representatives of the Vietnam Construction Union; representatives of associations, professional bodies, and related agencies proposed by the Standing Office.
4. The Board is responsible for organizing the review and awarding of the High-Quality Construction Project Award and the High-Quality Construction Tender Package Award. The Standing Office is responsible for assisting the Board in its organizational activities for the review and awarding process.
5. The Chairman of the Board promulgates the Regulation on the Operation of the Board.

Article 8. Funding for the Quality Construction Project Award

1. The sources of funding for the Quality Construction Project Award include:
   1. Funding from the state budget allocated in the regular expenditure budget (operational funding) of the Ministry of Construction;
   2. Revenue from sponsorships by organizations, businesses, and individuals both domestically and internationally; other revenues (if any) in compliance with legal regulations.
2. Expenses for organizing the Quality Construction Project Award include:
   1. Expenses for the activities of the Council, the Permanent Office, and experts assisting the Council: remuneration, overtime pay, meeting expenses, materials, office equipment, stationery, etc.;
   2. Expenses for on-site inspection and evaluation at construction sites: travel expenses, rental fees for accommodation, lodging allowances for inspection teams;
   3. Expenses for the award: costs for making medals, award certificates, high-quality flags, and related publications;
   4. Expenses for announcing and presenting the awards: costs for publishing on electronic information websites; communication costs, venue rental, organization of honors, and award presentation;

d) Other expenses serving the organization's activities.

3. Management and utilization of funds for the Quality Construction Project Award shall be carried out in accordance with legal regulations and current financial management guidelines.

Article 9. Handling Violations in the Organization of the Quality Construction Project Award

1. If organizations or individuals are found or complained about for violations during participation in the award, the Council will base its review and recommendation to revoke the award on the severity of the violation. Violations include:
   1. Submitting false documentation to request relevant authorities to introduce, nominate, vote, or award;
   2. Using the awarded prize to commit illegal acts.
2. Procedures and formalities for reviewing the revocation of the award:

a) The organizing Council will form a verification team to inspect and verify organizations or individuals found or complained about for violations;

b) Based on the severity of the violation, the Council will recommend the Minister of Construction to consider and decide on the revocation of the award.

3. Revocation of the awarded prize will be publicly announced on the Ministry of Construction’s Electronic Information Websites, specialized construction management ministries, and local Construction Departments.

Chapter II

HIGH QUALITY CONSTRUCTION PROJECT AWARD

Article 10. Criteria for Evaluating High-Quality Construction Projects

1. Construction projects participating in the Award will be evaluated using a scoring method with a maximum total score of 100 points based on the following criteria:
   1. Quality of the project;
   2. Safety during construction; fire prevention, explosion prevention, and environmental sanitation;
   3. Quality management work of participating entities in the construction project;
   4. Progress of the construction project;

d) Application of new technologies, materials, scientific and technological advancements in construction;

5. Evaluation by the Project Owner or managing entity;

g) Other architecture and construction awards.

2. Detailed content and scoring methods for each criterion are stipulated in Appendix II of this Circular.
3. The High Quality Construction Project Award will be granted to projects achieving 75 points or more, while the minimum score required under Point a Clause 1 of this Article must reach 40 points.
4. Projects achieving 85 points or more in the High Quality Construction Project Award will be nominated for the National Quality Construction Project Award according to the Prime Minister's regulations.

Article 11. Procedures and formalities for awarding the High-Quality Construction Project Award

1. Registration:

1. The project owner, the representative of the project owner, or the main contractor, general construction contractor (with the agreement of the project owner) submits two sets of registration files for projects participating in the award before October 30 each year. Registration files submitted after this time will be considered in the following year. It is encouraged to submit the registration form from the start of the construction project.
2. The contents of the registration file are stipulated in Appendix III of this Circular;
3. The registration form for participation in the High-Quality Construction Project Award is specified in Form No. 1 of Appendix IV of this Circular;
4. Method of registration: The registration file can be submitted directly or sent via postal service to the Standing Office, while the registration form for the award must also be sent to the local Construction Department where the construction project is located.

d) A list of construction projects registering to participate in the award will be published on the Ministry of Construction's website to solicit public opinion.

2. Award evaluation process:

1. Checking registration files: The Standing Office conducts an initial check on the quantity and quality of the files. If the files are incomplete or do not comply with regulations, the registering entity will be required to complete them;
2. Evaluating files: The Standing Office collaborates with experts to evaluate the files of projects participating in the award;
3. On-site evaluation: The Standing Office organizes an evaluation team consisting of members of the Council, representatives of the Standing Office, experts, representatives of the Construction Department, and the specialized construction management department of the locality to conduct on-site evaluations. Based on the results of on-site inspections and the assessment results from the specialized construction inspection during the project acceptance, the evaluation team scores the project;
4. Listing projects for award consideration: Based on the evaluation results from the files and on-site evaluations, the Standing Office compiles and presents to the Council a list of projects meeting the evaluation criteria;

d) Organizing the award: The Council convenes to review, assess, and verify the evaluation files based on the proposal of the Standing Office and reports to the Minister of Construction for a decision on the list of projects winning the award.

Article 12. Organization of Announcing and Awarding the High-Quality Construction Project Award

1. The list of projects awarded the High-Quality Construction Project Award and the entities involved in constructing these projects will be published on the websites of the Ministry of Construction, specialized construction management ministries, and local Construction Departments.

2. The Standing Office organizes the announcement and presentation of the High-Quality Construction Project Award to units whose projects have won the award.
3. Depending on actual conditions, the announcement and award ceremony may be organized at an appropriate time based on the recommendation of the unit registering the award-winning project and the proposal of the Standing Office.

Chapter III

HIGH-QUALITY CONSTRUCTION TENDER AWARD

Article 13. Criteria for evaluating high-quality construction tenders

1. Tenders for construction participating in the award are evaluated using a scoring method with a maximum score of 100 points based on the evaluation criteria set out in Clause 2, 3, and 4 of this Article. A tender that wins the award is one that scores 75 points or higher.
2. The criteria for evaluating construction execution tenders are stipulated in Appendix V of this Circular.
3. The criteria for evaluating design consultancy tenders are stipulated in Appendix VI of this Circular.
4. The criteria for evaluating supervision consultancy tenders are stipulated in Appendix VII of this Circular.
5. The evaluation of tenders under the EPC general contracting or general construction contracting model is conducted based on the consolidation of evaluation results of tenders within the general contracting contract according to the criteria specified in Appendices V, VI, and VII of this Circular.

Article 14. Procedures and formalities for awarding the High-Quality Construction Tender Award

1. Registration:

1. Contractors submit two sets of registration files before October 30 each year. Registration files submitted after the aforementioned deadline will be considered in the following year;
2. The contents of the registration file shall comply with the provisions set out in Appendix III of this Circular;
3. The application form for participation in the High-Quality Construction Tender Award is specified in Form No. 2 of Appendix IV of this Circular;

d) Method of registration: The registration file may be submitted directly or sent via postal service to the Permanent Office, while the application form for the award must be sent to the local Construction Department where the construction project is located;

đ) List of construction tenders registering for the award will be posted on the Ministry of Construction's electronic information website to solicit public opinions;

2. Evaluation procedure:

1. Checking the registration files: The Permanent Office conducts preliminary checks on the quantity and quality of the files. If the files are incomplete or do not meet the regulations, the registering entity will be required to complete them;
2. Evaluating the files: The Permanent Office collaborates with experts to evaluate the tender files participating in the award;
3. On-site evaluation: The Permanent Office organizes an evaluation team consisting of Council members, representatives from the Permanent Office, experts, and representatives from the local Construction Department and specialized construction management department to conduct on-site evaluations. Based on the results of actual inspections and the professional construction evaluation results during the project acceptance process, the evaluation team scores the tenders;
4. Compiling the list of tenders recommended for award consideration: Based on the evaluation results of the files and on-site evaluations, the Permanent Office compiles and submits to the Council a list of tenders meeting the evaluation criteria;

đ) Organizing the award consideration: The Council convenes to review, assess, and verify the evaluation files based on the recommendations of the Permanent Office and submits to the Minister of Construction for decision on the list of winning tenders;

Article 15. Organization of Announcing and Awarding the High-Quality Construction Tender Award

1. The list of winning tenders and contractors implementing the tenders will be published on the electronic information websites of the Ministry of Construction, specialized construction management ministries, and local Construction Departments;
2. The Permanent Office organizes the announcement and awarding of the High-Quality Construction Tender Award concurrently with the annual awarding of the High-Quality Construction Project Award;
3. Depending on actual conditions, the announcement and awarding can be organized at an appropriate time based on the contractor's award proposal and the Permanent Office's recommendation;

Chapter IV

ARTICLE IMPLEMENTATION

Article 16. Transitional Provisions

1. Registration files for participation in the High-Quality Construction Project Award established according to Circular No. 12/2013/TT-BXD dated July 29, 2013, of the Ministry of Construction on organizing awards for high-quality construction projects that were submitted before the effective date of this Circular need not be resubmitted. On-site evaluations and award considerations will be conducted in accordance with the provisions of this Circular;
2. Projects that have registered and undergone on-site evaluations before the effective date of this Circular need not be re-evaluated. Award considerations will be conducted in accordance with the provisions of this Circular;

Article 17. Effective Date

This Circular takes effect from May 15, 2016, and replaces the provisions regarding the high-quality construction project award in Circular No. 12/2013/TT-BXD dated July 29, 2013, of the Ministry of Construction on organizing awards for high-quality construction projects and Circular No. 09/2014/TT-BXD dated July 10, 2014, of the Ministry of Construction amending and supplementing certain articles in the circulars guiding Decree No. 15/2013/NĐ-CP dated February 2, 2013, of the Government on construction project quality management;

In the course of implementation, if there are any difficulties, organizations and individuals should send their opinions to the Ministry of Construction for consideration and resolution.