ITT for the Purchase of Surplus Assets ITT reference number: E03921 ITT issue date: 8 th January 2016 Direct Rail Services Limited Etterby Road Carlisle Cumbria CA3 9NZ
Instructions to Tenderers 1. We are inviting offers for the purchase of surplus locomotives in accordance with the conditions set out below which shall apply to any offer submitted in accordance with this invitation and to any contract entered into pursuant to such offer. 2. The following individual is the nominated commercial contact for this ITT: Mark Sleightholm. Please submit any questions you may have regarding the ITT in writing to: mark.sleightholm@drsl.co.uk 3. DRS are under no obligation to accept the highest offered price. DRS may take into account speed of sale, site clearance and payment terms. DRS may accept any tender which meets the criteria either wholly or in part. DRS also reserve the right to withdraw any /all of these locomotives from sale at any time. Locomotives sold as seen 4. The locomotives are sold as seen. All prospective Purchasers are on notice: a. that the locomotives detailed within this tender are not new and have been in operational use by DRS. b. that the locomotives have not been subjected to any safety or other inspection by DRS prior to its sale, delivery or supply to or recovery by the Purchaser under the terms of the contract. c. that it is possible that these locomotives may not be fit for the purpose intended by the Purchaser and may contain defects of which DRS are unaware. 5. Prospective Purchasers must satisfy themselves by inspection or otherwise as to the condition of the locomotives offered before submitting tenders. DRS recommend that the Purchaser conduct a satisfactory safety inspection on the locomotives before the locomotive(s) is/are used for any purpose. Viewings 6. All viewings shall be by prior appointment only and at the discretion of DRS subject to the relevant site clearances. All viewings will be accompanied by a DRS member of staff. Purchasers may be requested to submit an indicative offer prior to any viewing. 2
7. When required to enter on to railway property the prospective Purchaser, his servants, or agents, shall be in possession of appropriate documents to give proof of identity to the DRS nominated representative from whom permission for such entry shall be sought. Entry will be at the sole discretion of the nominated representative from DRS. 8. Entry by the prospective Purchaser, his servants or agents upon railway premises (with or without vehicles, equipment or other property) for any purpose connected with this invitation to tender shall be at his sole risk in all respects. The prospective Purchaser shall be responsible for and shall indemnify DRS, their servants or agents, against all liability for injury (fatal or otherwise) to any person (including servants or agents of DRS) or loss of or damage to any property (including the property of DRS) and any damages, costs, charges and expenses whatsoever which may arise out of or in relation thereto expecting and to the extent that such injury, loss or damage results from any act of neglect of DRS, their servants or agents. Offer Instructions 9. This document (and attached schedules where applicable) must be duly completed signed and forwarded in order to reach this office not later than 12:00 hrs on 5 th February 2016. If received later the tender may not be considered. It is acceptable to email this document back to mark.sleightholm@drsl.co.uk 10. The DRS terms and conditions below will govern each vehicle sale. 11. Offers for all vehicles shall be valid for 28 days from the date indicated above. 12. It may be assumed, as a general rule, that the tender has not been accepted if a communication is not received from DRS within 28 days from the date given for the receipt of the tender. 13. Purchasers shall be liable for Value Added Tax (VAT) where applicable from time to time and the sum due shall be indicated on invoices. Prices tendered should exclude VAT. 14. Special attention is drawn to terms of payments as defined at Clause 2.0 as specified below. 3
I/ We hereby offer to purchase the following vehicle(s) as set out in Appendix A. Name Signature Dated this.day of 2016 Telephone No.. Company/Address. Fax No. 4
Terms & Conditions 1. Conditions of Contract 1.1 The locomotives shown in Appendix A are offered for sale in accordance with the terms and conditions shown in this tender. 2. Payment 2.1 Offers for the locomotives are invited on full payment of the total contract value prior to contract commencement and your offer shall be deemed to be tendered on this basis. 2.2 No collection/delivery of the Locomotives will be allowed until the entire purchase price has been paid. 2.3 Payment of the purchase price will be made within 14 days of the date of the DRS invoice which will be rendered upon acceptance of the Purchasers tender. 2.4 In the event of payment not being made within 14 days of the date of invoice the Purchaser shall pay in addition to the purchase price interest thereon from the expiry of the said 14 days until the date payment is made. For the purpose of clause 2.4 interest means at 4 per cent per annum above the Bank of England base lending rate at the time. 2.5 If the payment is not made within 28 days of the date of invoice DRS may cancel the Contract and re-sell the locomotives or any part thereof in which event DRS shall be entitled to recover from the Purchaser any loss sustained by DRS by reason of the re-sale together with interest from the original purchase date of invoice until the date the re-sale monies are received. 2.6 The property of any Assets shall not pass to the Purchaser until payment has been received in full by DRS. 3. Addressee use only 3.1 This Invitation to Tender is for the use of the Addressee only and must not be passed to any other prospective Purchaser. It must be produced when requested by DRS staff at the time of inspection and DRS reserve the right to refuse admittance to representatives calling without it, or without an appointment. 5
4. Collection/Transport arrangements (As and Where Lying) 4.1 These locomotives are sold on an as and where lying basis, Purchasers to remove/load, without any assistance from DRS staff, and to remove at his own expense. DRS reserve the right to refuse access to any nominated haulier who does not possess the appropriate documentation required by the DRS Buyer and/or the relevant Production Manager/Site Manager. This includes, but is not limited to, a safe method of work, risk assessment and all relevant insurance documentation. It should also be noted that DRS reserves the right to withdraw permission for a nominated haulier to access any DRS site by providing 24 hours notice. DRS shall not be liable for any costs that this action may incur. 4.2 Where the locomotive is being scrapped by the Purchaser, the break up on site will not be permissible and the locomotive must be removed from DRS premises. 4.3 Movements by rail if possible would be for the Purchaser to arrange at his cost. 5. Collection 5.1 Unless otherwise agreed in writing, full instructions in respect of the collection of this/these locomotive(s) shall be given by the Purchaser within 14 days of DRS notifying their acceptance of Purchaser s tender and the Purchaser shall make payment for (where applicable), take delivery of and remove from DRS premises all vehicles included in the sale within 28 days of such acceptance. 5.2 DRS reserve the right to terminate this contract on immediate notice and with no implications if this clause is not strictly adhered to. 6. Potential for presence of asbestos 6.1 There is the potential for asbestos to be present in the locomotives. 6.2 In the event of asbestos subsequently being found in any locomotive during any work or modifications the Purchaser is contractually bound to employ a NAMAS/UKAS accredited contractor and to act in accordance with their recommendations to ensure compliance with current regulations. The ORR must also be advised (UK). Outside of the UK, the Environmental and Legislative policies for the relevant country must be adhered to. 6
6.3 If the locomotive is to be broken up, the Successful Purchaser will need to provide evidence to DRS that he will employ a NAMAS/UKAS accredited analyst and demonstrate his ability to deal with these vehicles in accordance with all Asbestos, Environmental and Health & Safety Regulations (See also clause 14.6). (UK) Outside of the UK, companies will be asked to provide proof that they are legally capable of breaking up these locomotives. 7. Railway Group Standards 7.1 Wherever Standards are identified within this tender document or deemed to apply then it is the responsibility of the Purchaser to ensure compliance as necessary. Copies may be obtained as follows:- Network Standards RSSB A full list of standards are available free of charge:- http://www.rgsonline.co.uk/default.aspx 8. Termination 8.1 The Contract may be terminated without incurring any liability to DRS forthwith:- 8.11 upon breach by the Purchaser of any of the provisions of the Contract; or 8.12 if required to do so by any third party. 9. Locomotive Nameplates. Crests etc. 9.1 Tenderers should note that all locomotive nameplates, are expressly excluded from sale, unless specifically detailed to the contrary within the tender. They shall remain DRS property and if present when the locomotive is collected by the successful Purchaser then DRS reserves the right to remove them, either prior to, or after removal of the locomotive in question from DRS property. 7
10. Condition 10.1 No guarantee or warranty, either expressed or implied can be given as to the condition of the locomotives or their suitability for further use. 10.2 These locomotives are sold as seen. 11. Safety Precautions (if applicable) 11.1 Any person entering a locomotive or handling equipment or materials should take all reasonable steps to avoid injury through coming into contact with any glass or other sharp objects which may be found inside the vehicle or equipment or within the materials. DRS will not be responsible for any injuries resulting from the same. 11.2 Your attention is drawn to this fact that some of the material in/on the locomotive supplied against any contract resulting from this Invitation to Tender may be contaminated with lead/zinc based paint; we therefore advise you that a health hazard exists when handling such material, particularly when flame cutting or flame cleaning operations take place. Successful Purchasers must take suitable precautions. 12. Access to DRS Controlled Sites. 12.1 Before attempting to enter railway property, the appropriate DRS representative should be contacted in order that briefing, training, supervision or any relevant clearances may be arranged appropriate to the activity to be undertaken and commensurate with the exposure to potential hazards. 12.2 Successful Purchasers may also be required, at their cost, to provide a method statement before being given authority for commencement of work. It should be noted that provision of such briefing, training or supervision, or the issue of any Access Requirements Permits, does not constitute authority to commence work, nor shall it relieve Purchasers or their employees of their statutory responsibilities and obligations. 13. Purchaser s equipment 13.1 Notwithstanding any other provision of the Contract if the Purchaser brings or causes to be brought, equipment, plant tools and materials on to DRS or other Rail Business s property for the purpose of carrying out the Contract this shall be entirely at his 8
own risk and he alone shall be responsible for ensuring the adequate security of the same and for obtaining the necessary insurance cover. Furthermore, the Purchaser will indemnify DRS or other Rail Business against any liability arising out of the presence of his equipment, plant, tools and materials on DRS or other Rail Business s property where such liability results from the Purchaser s negligence. 14. Control of Pollution (Amendment) Act 1989. The Controlled Waste Regulation of Carriers and Seizure of Vehicles Regulations 1991. Environment Protection Act 1990 Section 34. 14.1 The Environmental Protection Act 1990 imposes a duty of care on any person who imports, produces, carries, keeps, treats or disposes of controlled waste. The Control of Pollution (Amendment) Act 1989 provides for the registration of carriers of controlled waste via The Controlled Waste (Regulation of Carriers and Seizure of Vehicles) Regulations 1991. 14.2 To enable DRS to meet its obligation in respect of the legislation it requires all contractors to provide evidence of compliance with the following:- 14.3 Waste Carrier Registration (in accordance with the Control of Pollution (Amendment) Act 1989 and Controlled Waste Registration of Carriers and Seizures of Vehicles) Regulations 1991) or valid exemption. 14.4 Scotland only Waste Management License in accordance with the Waste Management Licensing (Scotland) Regulations 1996 made under the Environmental Protection Act 1990 and evidence that you have or are applying for this will also be required. England & Wales only An environmental permit made under The Environmental Permitting (England and Wales) Regulations 2010 made under the Pollution Prevention and Control Act 1999, or a Waste Management Licence made under previous legislation the Waste Management Licensing Regulations 1994 (as amended) 14.5 Asbestos License issued by HSE under the Control of Asbestos Regulations 2012. 14.6 If not already supplied to this office it will, therefore, be necessary for the prospective successful contractor to provide prior to award of business copies of his Asbestos license and Waste Management Licence and Waste Permit or Waste Carrier Registration or exemption certificates or if not yet received, copies of letters acknowledging valid application from the licensing authorities. 9
14.7 DRS additionally require contractors to declare whether they have ever been convicted of any criminal offences under the Environmental Protection Act 1990, the Control of Pollution Act 1974, the Control of Pollution (Amendment) 1989 and/or any of the prescribed offences set out in the Controlled Waste (Registration of Carriers and Seizure of Vehicles) Regulations (1991). If applicable and if not already supplied to this office it will therefore be necessary for tenderers to provide the necessary information prior to award of business. 14.8 Contractors must inform DRS through this office immediately and in any event within 24 hours of any:- 14.8.1 Notification of refusal to grant or any withdrawal of their Asbestos Licence, Waste Management Licence/Waste Permit and/or Waste Carrier Registration by the relevant licensing authority and; 14.8.2 Prosecution or conviction for any offence under the Environmental Protection Act 1990, the Control of Pollution Act 1974, the Environmental Permitting (England and Wales) Regulations 2010, the Control of Pollution (Amendment) 1989 and/or of any of the prescribed offences set out in the Controlled Waste (Registration of Carriers and Seizure of Vehicles) Regulations (1991). 14.9 If the Contractor:- 14.9.1 Is in breach of this clause. or 14.9.2 Has failed to notify DRS prior to entering into the contract of such prosecutions or conviction or 14.9.3 Has carried out his obligations under this contract in such a manner that DRS at any stage and its sole discretion considers that to continue the contract would place DRS in breach of the Duty of Care provision of the Environmental Protection Act 1990. Then DRS may forthwith terminate the same, but without prejudice to any rights or remedies of DRS subsisting at the time of such termination. 10
15. Purchasers Legal Obligations 15.1 The Purchaser shall ensure that where his employees or agents are required to work or enter onto DRS or other Rail Business s property, all such employees or agents so doing shall comply with the Working Time Regulations 1998 (as amended). The Purchasers must also comply with the DRS Drugs and Alcohol Policy Statement. Purchasers or their representative must not report on site if under the influence of intoxicating liquor or any drug which might impair the proper performance of duties, nor consume liquor, misuse drugs or substances, or use illegal drugs when on site. 15.2 The Purchaser is to perform this Contract in such a way as to ensure, so far as is reasonably practicable that persons either in or outside its employment who may be affected thereby are not thereby exposed to risks as to their health and safety and that DRS or other Rail Business do not thereby incur any liability under the Health and Safety Work Act, 1974. 16. Tenders by Fax 16.1 You may fax confirmation of your offers to Fax No. 01228 672895 or email mark.sleightholm@drsl.co.uk or post on condition that:- 16.2 The tender is received by noon on the day specified. Failure to comply with the above conditions may render your offer invalid. 17 Important Note 17.1 Where tenderers do not wish to make an offer for any of the items listed No Bid must be entered in the appropriate space/s in the price columns. 17.2 We strongly recommend you inspect before submitting your offers. When inspecting, this tender document must be produced. NB: Whilst on DRS premises tenderers/purchasers MUST be accompanied at ALL times by appropriate member(s) of DRS staff with appropriate site access and track safety authority. Note To Tenderers 1. Viewing is strongly recommended if you intend bidding for these locomotives. 2. Prompt site clearance is an important factor to DRS. 11
3. Viewing is by appointment only, and ONLY WITH NOMINATED PERSON(S), shown on the Tender document. Please take the opportunity to discuss, with the local representative, the particular logistics of removing the vehicle, should your bid be successful. 4. Payment will need to be cleared before this / these locomotive(s) can be collected;- Payment methods. CHAPS BANK TRANSFER: release note within 24 hours BACS BANK TRANSFER: release note within 72 hours CHEQUE : release note in 10 working days. (Made payable to Direct Rail Services Limited) 5. Faxed, postal or e-mailed bids are acceptable by 5 th February 2016, 12.00hrs latest. 12
Appendix A Please enter your maximum bid in the appropriate field in the table below. Where you do not wish to make an offer for any of the locomotives, No Bid must be entered. Item 1 Vehicle Comments 1 20312 Locomotive situated at Longtown 2 37503 Locomotive situated at Barrowhill 3 37510 Locomotive situated at Barrowhill 4 37521 Locomotive situated at Barrowhill 5 37608 Still in traffic 6 37611 Locomotive situated at Longtown 7 37670 Locomotive situated at Barrowhill 8 47810 Locomotive situated at Longtown 9 47813 Locomotive situated at Longtown 10 47818 Locomotive situated at Longtown 11 47828 Locomotive situated at Longtown 12 47853 Locomotive situated at Longtown 13 1254 MKII Coach situated at Barrowhill 14 3374 MKII Coach situated at Barrowhill We offer to pay the Undermentioned price each (Excl VAT) Successful bidders should note, that any onward sale or transfer of the vehicles is subject to the consent of Direct Rail Services Limited, such consent not to be unreasonably withheld, for a period of 36 (thirty six) months from the date of sales acceptance. Name: Company: Address: Post Code: Telephone No: Clearance from site can/cannot be effected within 14 days of Sales Acceptance. Signature: 13
Print: Date: 14