Procurement Disclosure Report 2020resource.capetown.gov.za/documentcentre/Documents... ·...

Procurement Disclosure Report 2020 COVID-19 Personal Protective Equipment

Procurement Disclosure Report 2020 – COVID-19 PPE

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TABLE OF CONTENTS 1. Background ................................................................................................................. 3

2. Procurement procedure overview ............................................................................. 3

3. Management of inventory .......................................................................................... 3

4. Challenges experienced ............................................................................................ 4

5. Summary of PPE supplies procured ............................................................................ 5

5.1. Protective wear (gowns, aprons, goggles, coveralls) ............................................................ 5

5.2. Empty containers/bottles and plastics consumables............................................................. 5

5.3. Bleach, soap, disinfectant liquid, cloths.................................................................................... 6

5.4. Face shields...................................................................................................................................... 7

5.5. Foot-operated sanitiser dispensers ............................................................................................. 8

5.6. Gloves .............................................................................................................................................. 8

5.7. Hand sanitiser ................................................................................................................................. 9

5.8. Cloth masks ................................................................................................................................... 10

5.9. Masks (N95, KN95, FFP2 respirators) .......................................................................................... 10

5.10. Masks (surgical) .......................................................................................................................... 11

5.11. Knapsack sprayers..................................................................................................................... 12

5.12. Thermometers ............................................................................................................................. 12

6. Further information ..................................................................................................... 13


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Report on the procurement of Personal Protective Equipment (PPE)

1. Background

Since the declaration of the National State of Disaster on 15 March 2020 by the Honourable President Cyril Ramaphosa, National Treasury has issued several circulars to guide emergency procurement.

These circulars required municipalities to put in place additional procurement, expenditure and internal control measures to monitor interventions taken to combat the spread of COVID-19.

The City of Cape Town followed a transparent procurement process and strictly complied with the National Treasury Emergency Procurement Guidelines. This report provides information pertaining to all PPE items procured and paid for by the City during the period from 16 March 2020 until 31 July 2020.

The City ensured that due diligence processes were followed and that prices were benchmarked against National Treasury guidelines.

2. Procurement procedure overview

In the initial phase of the pandemic, the Western Cape Province registered the highest national infection rate and the City of Cape Town had to put emergency procurement measures in place to meet the need for PPE.

All PPE requirements were managed in consultation with the City’s Occupational Health and Safety Department who based the response plan on World Health Organisation (WHO) guidelines. Cognisance was taken of National Treasury MFMA Circular 102 and COVID-19 Disaster Management Regulations during the procurement process.

Where possible, the City utilised existing tenders to source PPE supplies. In other instances, a competitive request for quotations (RFQ) process was followed. In instances where there was an immediate need to support frontline staff, emergency procurement through deviation processes was followed. As far as possible, deviations were tested for competitive pricing and negotiations with suppliers were undertaken to obtain value for money. Suppliers were cautioned that they would be charged penalties for late deliveries without valid reasons or restricted from doing business with the City in cases where there was unethical conduct. Procurement processes were also tested for potential conflict of interest with City staff and suppliers.

3. Management of inventory

A number of directives were issued to internal directorates to ensure proper management of PPE supplies. Key persons were identified to monitor and control stock issued within each


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department. Executive directors and their finance managers were tasked to ensure that budget monitoring of PPE expenditure was conducted. Within the Supply Chain Management (SCM) Department, tracking, monitoring and weekly reports were generated to track the usage of PPE supplies. Quality control mechanisms were put in place to assess whether the PPE supplies delivered by vendors were compliant with specifications; and a returns procedure was followed where there were quality concerns.

3.1. Summary of monthly PPE needs

ITEM AVERAGE MONTHLY NEEDS

Gloves – Nitrile non-powdered 500 000 units (250 000 pairs)

N95 respirators 5 000 units

FFP2/KN95 respirators 84 000 units

Surgical 3-ply masks 190 000 units

Hand sanitiser 53 000 litres

Disposable coveralls 15 000 units

Disposable aprons 67 000 units

4. Challenges experienced

In the initial phase, significant shortages were experienced in sourcing PPE supplies. There was an element of higher pricing which had to be addressed with certain suppliers. The need to ensure the safety of City staff meant that they had to be provided with PPE on a daily basis and therefore there could be no delays in the procurement processes as staff would be exposed to high risk of infection. Following a lengthy tender process would prove challenging especially during levels 4 and 5 of the lockdown. Global supply chain challenges had an impact on the City as the demand for PPE from all government institutions and private sector firms increased making it scarce for the first three months.

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5. Summary of PPE supplies procured

5.1. Protective wear (gowns, aprons, goggles, coveralls)

DATE SUPPLIER DETAILS UNITS DELIVERED (Each) PAYMENT VALUE PROCUREMENT METHOD

2020/03/17 Gloobi Group 940 R17 014.25 Emergency procurement 2020/03/25 Central Medical (Pty) Ltd 10 000 R3 200 Tender 2020/03/26 Integrum Global Solutions 450 R45 307.14 Tender 2020/03/26 Creativ Images 100 R4 594.25 Emergency procurement 2020/03/31 Top N Nos CC 10 000 R17 250 Emergency procurement 2020/04/07 Top N Nos CC 26 000 R44 850 Emergency procurement 2020/04/28 Medical Plant Africa 10 000 R1 495 000 Emergency procurement 2020/05/13 Medical Plant Africa 813 R75 934.50 Emergency procurement 2020/05/18 Integrum Global Solutions 150 R16 594.50 Tender 2020/05/18 Integrum Global Solutions 190 R21 019.70 Tender 2020/05/27 Skona Professional Services 3 500 R281 347.50 Emergency procurement 2020/06/01 Integrum Global Solutions 2 000 R309 522.50 Tender 2020/06/10 Lejan Distributors And Supplies 20 000 R104 500 RFQ 2020/07/09 Integrum Global Solutions 600 R109 848 Tender 2020/07/09 Integrum Global Solutions 400 R73 232 Tender 2020/07/17 KTP Procurement and Safety Supplies 6 400 R1 214 400 Emergency procurement 2020/03/31 Lejan Distributors and Supplies 800 R18 680 Emergency procurement 2020/04/02 Fremtac Fire And Rescue CC 144 R128 588.40 Emergency procurement

R3 980 882.74

5.2. Empty containers/bottles and plastics consumables

DATE SUPPLIER DETAILS UNITS DELIVERED (Various sizes) PAYMENT VALUE PROCUREMENT METHOD

2020/03/25 Keptra Trading 2 000 R2 622 Emergency procurement 2020/03/18 Destiny Chemicals (Pty) Ltd 4 000 R76 000 Emergency procurement 2020/03/19 Kasaleka Suppliers and Projects. Pt 2 000 R11 385 Emergency procurement 2020/03/31 Safran And Company 200 R9 000 Emergency procurement 2020/03/31 Lukiswa Traders 140 R3 710 Emergency procurement 2020/04/01 CG Plastics CC 543 R3 944.50 Emergency procurement

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2020/05/26 G-Force Fabrication 1 000 R34 500 Emergency procurement 2020/06/09 CG Plastics CC 3 120 R23 322 Emergency procurement 2020/06/09 CG Plastics CC 1 617 R12 923.87 Emergency procurement 2020/06/09 CG Plastics CC 1 188 R12 159.18 Emergency procurement 2020/06/11 Nesco Engineering (Pty) Ltd 2 000 R20 700 RFQ 2020/06/11 Triple Peaks Commodities (Pty) Ltd 500 R9 447,25 RFQ 2020/06/11 Triple Peaks Commodities (Pty) Ltd 2 500 R66 125 RFQ 2020/07/21 Memotek Trading CC 2 000 R10 695 RFQ 2020/07/21 Memotek Trading CC 2 250 R16 094.25 RFQ 2020/03/20 Keptra Trading 800 R20 709.20 Emergency procurement 2020/06/05 Bright Idea Projects 966 CC 400 R6 187 Tender

R339 524.25

5.3. Bleach, soap, disinfectant liquid, cloths


2020/03/16 Western Cape Stationers 5 000 R56 465.00 Tender 2020/03/17 Western Cape Stationers 1 008 R11 383.34 Tender 2020/05/26 Western Cape Stationers 9 067 R102 393.63 Tender 2020/05/31 Western Cape Stationers 10 000 R112 930.00 Tender 2020/06/30 Western Cape Stationers 7 300 R82 438.90 Tender 2020/03/17 Patco Manufacturing 400 R33 028.00 Emergency procurement 2020/04/22 Kwapele Basadi Cleanit 30 R9 936.00 RFQ 2020/05/20 Lamb's Chemical Manufacturers CC 6 500 R139 035.00 Tender 2020/05/28 Lamb's Chemical Manufacturers CC 2 700 R288 765.00 Tender 2020/06/01 Lamb's Chemical Manufacturers CC 10 000 R1 069 500.00 Tender 2020/07/17 Lamb's Chemical Manufacturers CC 9 504 R1 016 452.80 Tender 2020/07/17 Lamb's Chemical Manufacturers CC 9 504 R1 016 452.80 Tender 2020/06/09 Kwapele Basadi Cleanit 38 R11 187.20 RFQ 2020/03/19 Brainwave Projects 1789 CC 25 000 R5 796.00 Tender 2020/03/19 Brainwave Projects 1789 CC 2 500 R579.60 Tender 2020/04/22 Brainwave Projects 1789 CC 2 200 R5 515.40 Tender

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2020/04/22 Brainwave Projects 1789 CC 1 400 R7 663.60 Tender 2020/04/26 Brainwave Projects 1789 CC 10 000 R115 920.00 Tender 2020/05/26 Brainwave Projects 1789 CC 5 000 R12 535.00 Tender 2020/05/26 Brainwave Projects 1789 CC 5 000 R27 370.00 Tender 2020/07/29 Stelmed 1 741 R3 904.19 RFQ 2020/03/18 YMS Medical Supplies (Pty) Ltd 40 R2 573.70 Emergency procurement 2020/03/20 KPG Agencies 123 R12 347.55 Emergency procurement 2020/03/20 MHA Building Supplies Tool And Equi 600 R47 610.00 Emergency procurement 2020/05/08 Stelmed 350 R876.82 RFQ 2020/06/11 Ottery Industrial Suppliers 2 500 R189 721.24 RFQ 2020/06/30 Triple Peaks Commodities (Pty) Ltd 1 000 R63 077.50 RFQ 2020/06/30 Builders Trade Depot Builderswareho 200 R57 500.00 RFQ 2020/03/16 Stelmed 6 480 R38 452.32 Tender 2020/03/16 Stelmed 2 016 R11 962.94 Tender 2020/03/19 Stelmed 12 000 R71 208.00 Tender 2020/03/20 Stelmed 20 000 R118 680.00 Tender 2020/05/26 Stelmed 73 000 R433 182.00 Tender 2020/06/30 Stelmed 60 000 R356 040.00 Tender 2020/04/22 International Resource Distribution 155 R27 028.05 Tender 2020/06/01 International Resource Distribution 2 000 R348 749.00 Tender

R5 908 260.58

5.4. Face shields


2020/05/07 Keep It Green Services 3 000 R79 315.50 Emergency procurement 2020/06/19 XXL Displays 2 000 R193 200.00 RFQ 2020/07/21 XXL Displays 3 000 R132 940.00 Emergency procurement

R405 455.50

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5.5. Foot-operated sanitiser dispensers


2020/04/30 G-Force Fabrication 500 R161 983.26 Emergency procurement 2020/07/01 Beluga Hospitality 1 280 R647 680.00 Emergency procurement

R809 663.26

5.6. Gloves


2020/03/18 Sakhikhaya Suppliers CC 90 000 R84 765.50 Emergency procurement 2020/03/17 Sallvit Trading 60 15 000 R15 870.00 Emergency procurement 2020/03/19 Kwapele Basadi Cleanit 30 000 R27 255.00 Emergency procurement 2020/03/18 Sakhikhaya Suppliers CC 70 000 R191 544.00 Emergency procurement 2020/04/01 Park Avenue Stationers 110 000 R1 173 575.00 Emergency procurement 2020/04/02 Integrum Global Solutions 150 R9 392.65 Emergency procurement 2020/04/22 Sakhikhaya Suppliers Cc 50 000 R59 800.00 Emergency procurement 2020/04/22 Kwapele Basadi Cleanit 10 000 R24 150.00 Emergency procurement 2020/04/24 Sakhikhaya Suppliers CC 15 000 R36 225.00 Emergency procurement 2020/05/11 Sakhikhaya Suppliers CC 24 000 R28 704.00 Emergency procurement 2020/05/12 Supra Latex Cape Town 60 000 R39 330.00 Emergency procurement 2020/05/12 Kwapele Basadi Cleanit 10 000 R12 075.00 Emergency procurement 2020/05/12 Kwapele Basadi Cleanit 5 000 R6 037.50 Emergency procurement 2020/05/28 Simba Investments Pty Ltd 200 000 R225 000.00 Emergency procurement 2020/05/28 World Focus 123 200 000 R278 300.00 Emergency procurement 2020/06/02 Sakhikhaya Suppliers CC 300 000 R507 150.00 Emergency procurement

R2 719 173.65

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5.7. Hand sanitiser


2020/03/16 Surgifix CC 1 000 R301 875.00 Emergency procurement 2020/03/17 Asorka Trade Suppliers 400 R207 000.00 Emergency procurement 2020/03/17 Keep It Green Services 100 R171 350.00 Emergency procurement 2020/03/24 Maverick Sales And Supplies 3 000 R108 675.00 Emergency procurement 2020/03/18 Kwapele Basadi Cleanit 20 R4 370.00 Emergency procurement 2020/03/18 SM Nevest/A Michloeng Engineering S 1 000 R527 850.00 Emergency procurement 2020/03/18 Uhambo Procurement and Distribution C 1 560 R177 192.00 Emergency procurement 2020/03/20 Asorka Trade Suppliers 400 R207 000.00 Emergency procurement 2020/03/20 Firestorm Promotions 2 000 R79 900.00 Emergency procurement 2020/03/23 Pronto Kleen Cleaning Services 190 R111 999.42 Emergency procurement 2020/03/23 Maverick Sales And Supplies 40 R82 800.00 Emergency procurement 2020/03/23 Orbit Industrial 25 000 R1 811 250.00 Emergency procurement 2020/03/26 Sakhikhaya Suppliers CC 25 000 R1 811 250.00 Emergency procurement 2020/03/25 Firestorm Promotions 3 000 R119 850.00 Emergency procurement 2020/03/30 Sallvit Trading 60 1 000 R603 750.00 Emergency procurement 2020/03/23 Orbit Industrial 10 000 R690 000.00 Emergency procurement 2020/04/01 Surgifix CC 1 000 R552 000.00 Emergency procurement 2020/04/03 Firestorm Promotions 3 300 R131 835.00 Emergency procurement 2020/04/24 Kwapele Basadi Cleanit 1 000 R224 250.00 Emergency procurement 2020/04/24 Kwapele Basadi Cleanit 1 000 R224 250.00 Emergency procurement 2020/05/25 Kwapele Basadi Cleanit 12 000 R2 691 000.00 Emergency procurement 2020/05/27 Maverick Sales and Supplies 30 000 R1 863 000.00 Emergency procurement 2020/06/19 Kwapele Basadi Cleanit 10 000 R2 242 500.00 Emergency procurement 2020/06/26 Kwapele Basadi Cleanit 20 000 R4 485 000.00 Emergency procurement 2020/06/29 Kwapele Basadi Cleanit 35 000 R1 006 250.00 Emergency procurement

R20 436 196.42

Note: The sanitisers were purchased in different volumes (25 litres, 5 litres, 1 litre, 500 ml, 250 ml and 125 ml). The pricing would therefore vary depending on volumes purchased.

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5.8. Cloth masks


2020/04/02 Integrum Global Solutions 6 000 R189 750.00 Emergency procurement 2020/05/07 At Work Health and Safety 5 000 R155 250.00 Emergency procurement 2020/05/07 Integrum Global Solutions 10 000 R261 625.01 Emergency procurement 2020/05/07 Integrum Global Solutions 10 000 R261 625.00 Emergency procurement 2020/05/07 Integrum Global Solutions 10 000 R261 625.00 Emergency procurement 2020/05/07 Integrum Global Solutions 5 000 R130 812.51 Emergency procurement 2020/05/28 Terra Brands Outdoor 30 000 R688 275.01 Emergency procurement 2020/06/15 FG Uniforms 7 000 R123 567.50 Emergency procurement

R2 072 530.03

5.9. Masks (N95, KN95, FFP2 respirators)


2020/02/05 Memotek Trading CC 260 R3 737.50 Tender 2020/02/21 Memotek Trading CC 264 R3 795.00 Tender 2020/03/12 Memotek Trading CC 40 R575.00 Tender 2020/03/27 Sakhikhaya Suppliers CC 12 000 R676 200.00 Emergency procurement 2020/03/27 FTA Enterprises 3 300 R132 825.00 Emergency procurement 2020/04/02 Sakhikhaya Suppliers CC 8 000 R450 800.00 Emergency procurement 2020/04/07 KTP Procurement And Safety Supplies 4 000 R28 060.00 Emergency procurement 2020/04/09 FTA Enterprises 920 R37 030.00 Emergency procurement 2020/04/09 Kadimah Print 200 000 R9 660 000.00 Emergency procurement 2020/04/14 FTA Enterprises 9 100 R502 320.00 Emergency procurement 2020/04/14 Focal Medical Point SA 10 000 R600 000.00 Emergency procurement 2020/04/20 FTA Enterprises 1 090 R65 975.50 Emergency procurement 2020/05/06 FTA Enterprises 490 R35 500.50 Emergency procurement 2020/05/09 Proveq Traders And Business Service 9 800 R563 500.00 Emergency procurement

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2020/05/09 Focal Medical Point SA 6 000 R320 850.00 Emergency procurement 2020/05/21 FTA Enterprises 5 460 R395 577.00 Emergency procurement 2020/05/21 Innovative Networking 15 000 R638 250.00 Emergency procurement 2020/05/21 FTA Enterprises 20 000 R1 065 015.00 Emergency procurement 2020/05/28 Greenstar Power Solutions 50 000 R1 745 125.00 Emergency procurement 2020/05/28 Safety Protective Clothing Pty Ltd 50 000 R1 889 450.00 Emergency procurement 2020/05/28 Access Management Services 50 000 R1 886 000.00 Emergency procurement 2020/06/12 VRST 50 000 R1 107 680.00 Emergency procurement

R21 808 265.50

Note: The N95 masks were very scarce and supply was limited due to global demand and local shortages. These masks were purchased to ensure that frontline medical staff had the required protection when testing for possible COVID-19 and TB patients. The KN95 and FFP2 masks were needed by staff who perform work in highly dense public spaces and need adequate protection out in the field.

5.10. Masks (surgical)


2020/03/17 Sakhikhaya Suppliers CC 5 000 R98 900.00 Emergency procurement 2020/03/18 Sallvit Trading 60 2 500 R43 125.00 Emergency procurement 2020/03/24 Sallvit Trading 60 10 000 R172 500.00 Emergency procurement 2020/04/07 Pienaar Brothers (Pty) Ltd 60 000 R1 035 000.00 Emergency procurement 2020/04/09 Sallvit Trading 60 50 000 R862 500.00 Emergency procurement 2020/04/22 Bagazio Promotions 50 000 R776 250.00 Emergency procurement 2020/04/22 FTA Enterprises 50 000 R718 750.00 Emergency procurement 2020/04/24 Medical Plant Africa 50 000 R661 250.00 Emergency procurement 2020/04/30 Medical Plant Africa 50 000 R575 000.00 Emergency procurement 2020/04/30 FTA Enterprises 50 000 R718 750.00 Emergency procurement 2020/05/28 Exigo Industries 100 000 R805 000.00 Emergency procurement

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2020/05/28 Mischalr Distribution 80 000 R800 000.00 Emergency procurement 2020/05/28 KTP Procurement and Safety Supplies 80 000 R805 000.00 Emergency procurement 2020/05/28 Ikhayaplain Muli Service Group 80 000 R834 400.00 Emergency procurement 2020/05/28 Cape Winds 80 000 R915 400.00 Emergency procurement 2020/06/03 Pep Clothing, A Division Of Pepkor 100 000 R920 000.00 Emergency procurement 2020/06/08 New Age Medident CC 80 000 R814 200.00 Emergency procurement

R11 556 025.00

5.11. Knapsack sprayers


2020/03/26 Sallvit Trading 60 45 R33 637.50 Emergency procurement 2020/05/13 Sallvit Trading 60 260 R194 350.00 Emergency procurement 2020/05/26 Bandakhanya 12 R131 847.50 Emergency procurement 2020/06/12 Jacobs & Timms Pty Ltd 70 R78 890.00 Emergency procurement 2020/06/15 Triple Peaks Commodities (Pty) Ltd 300 R301 875.00 Emergency procurement

R740 600.00

5.12. Thermometers


2020/03/16 Stelmed 470 R9 729.00 RFQ 2020/03/16 Stelmed 2 000 R41 400.00 RFQ 2020/03/30 Cullin Africa 85 R197 037.61 Emergency procurement 2020/05/07 Be Safe Paramedical CC 50 R54 625.00 Emergency procurement 2020/05/15 Be Bold Promotions 93 R138 500.25 RFQ

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2020/05/07 Pest Busters WP CC 200 R379 500.00 Emergency procurement 2020/05/07 Cullin Africa 300 R652 050.00 Emergency procurement 2020/05/26 Eclipse Stationers 275 R316 250.00 Emergency procurement 2020/05/27 Integrum Global Solutions 250 R370 012.50 Emergency procurement 2020/06/25 Eclipse Stationers 280 R186 438.00 RFQ 2020/07/09 App Ina Box 150 R107 700.00 RFQ

R2 453 242.36 Note: The price of thermometers was high in the first two months due to high demand nationally. However, the prices decreased as the available stock in the market increased. The initial prices paid were around R1 600 per unit and now the price is approximately R800 per unit. The price is lower than the price stipulated on the National Treasury MFMA Circular 102 which is listed as R2 527 per unit. Due to the type of work environment and the need to test large numbers of people on a daily basis, the thermometers purchased had to be of a high quality as required by Occupational Health and Safety. While there may have been cheaper versions in the market, the specifications were for digital infrared thermometers with 50 memory storages, test mode: 5-15cm, non-contact testing forehead temperature measure time: 1 second, auto shut-off time: 5 seconds without operation, battery life: Approximate 3 000 uses.

6. Further information

Further information can be requested from the Supply Chain Management Department.

This report summarises PPE procurement up to 31July 2020.

http://www.capetown.gov.za/Departments/Supply%20Chain%20Management%20(SCM)%20Department

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