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    LLC „Rigas Mezi” organizes an online price survey for the sale of sawn timber at the sawmill Norupe. No.420-2019/110

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    03.10.2019

    LLC „RIGAS MEZI” SAWMILL NORUPE

     RULES FOR ONLINE AUCTION

    No.420-2019/110

     

    1.                                     Auction Subject-Matter

    LLC „Rigas Mezi” organizes an online price survey for the sale of sawn timber at the sawmill Norupe. All sawn timber specified in Table 1 is 100% PEFC certified. Timber Supply Chain Certificate No. TT-PEFC-COC009.

     

    2.                                     Bid Submission Procedure

    2.1.        Bids shall be submitted in electronic format by 7. October, 2019, 1:00 p.m., sending them to the e-mail: izsoles@rigasmezi.lv.

    2.2.        In submitting a Bid, the Bidder confirms that:

    2.2.1.       the Bidder fully accepts the Auction Rules as a basis for the Auction and for the selection of the Bidders, who will be granted the right to enter into the supply contract with LLC “Rigas Mezi”, and admits that the Auction Rules are not in conflict with the needs and capabilities of the Bidder;

    2.2.2.        exclusion rules set out in the Auction Rules do not apply to the Bidder (Clause 3.4., Auction Rules);

    2.2.3.        the Bidder is aware of the document pertaining to the Auction Rules, which is attached hereto (sawn timber specification), and agrees to the volume and quality of sawn timber specified therein.

    2.3.        Bids may be submitted for one or several parts of the Auction in accordance with the breakdown specified in the Sawn Timber Specification of the Auction Rules, without dividing the volume into lesser volumes (Table 1).

    2.4.        The Bidder must complete tables of the relevant section of the Sawn Timber Specification:

    2.4.1.        Column 7, specifying the price in EUR for one (1) m3 of each unit of sawn timber at the sawmill Norupe – Table 1;

    2.4.2.   Column 8, specifying the total amount of each sawn timber assortment in EUR in accordance with the volume offered (Column 8 = Column 6 multiplied by Column 7 for each item);

    2.4.3.   calculating the Total rows – the total value of a bid in EUR in Column 8 (summing up prices specified in Column 8 for each type of assortment) and in Column 7 specifying a calculated average weighted price of a bid (dividing the total value of a bid specified in Column 8 by the total volume of assortment in m³ specified in Column 6).

     

    3.                                     Auction Winner (s) Selection Procedures, Announcement of Results

    3.1.        A bidder, whose bid will contain the highest average weighted price in EUR for one (1) m3 of sawn timber in the relevant part, will be recognized as the online auction winner in such part.

    3.2.        The Sales Contract will be signed with the Auction winner;

    3.3.        The auction results will be published on the website of LLC “Rigas Mezi” www.rigasmezi.lv within one day after the deadline for the submission of the auction bids expires.

    3.4.        LLC „Rigas Mezi” is entitled not to assess bids and not to enter into the contract with the Bidder (s) to whom at least one of the following exclusion requirements applies:

    Exclusion requirements

    Attesting documents

    3.4.1.   Insolvency or legal protection proceedings are declared in respect of the Bidder, or economic activity of the Bidder is suspended or terminated, proceedings are commenced against the Bidder for the termination of his activities.

     

    On the auction date – the Bidder’s representation;

    Prior to entering into the supply contract, information is verified – acquiring information from the LURSOFT database.

    3.4.2.   The Bidder has any tax and/or State social insurance mandatory payment debts in Latvia or in the State of his registration or permanent residence (unless he is registered in Latvia or unless his permanent place of residence is in Latvia), of the total amount exceeding 150 EUR in each State.

     

    On the auction date – the Bidder’s representation;

    Prior to entering into the supply contract, information is verified - acquiring information at the SRS website http://www6.vid.gov.lv/VID_PDB/NPAR.

    The Bidder registered abroad must attach to the Auction Bid copy of the statement, attesting that he has / has no tax debts, incl. social insurance mandatory contribution debts, exceeding the amount specified above, in the relevant foreign State.

     

    3.4.3.   The Bidder fails to settle payment obligations to LLC “Rigas Mezi”, which have fallen due;

     

    Databases maintained by LLC „Rigas Mezi”.

    3.4.4. Within a period of 12 months prior to the auction date the sales or supply contract (s) signed between the Bidder and LLC “Rigas Mezi” as a result of the auction was (were) terminated due to the non-fulfillment or inadequate fulfillment of the obligations specified in the sales contract (s) on the part of the Bidder;

     

    Databases maintained by LLC „Rigas Mezi”.

    3.4.5. Within a period of 12 months prior to the auction date the sales contract (s) signed between the Bidder and LLC “Rigas Mezi” as a result of the auction was (were) terminated due to the Bidder identified as conforming to the exclusion requirements laid down in the Auction Rules valid at the time of entering into the sales contract, resulting in the right to enter into the sales contract acquired groundlessly.

    Databases maintained by LLC „Rigas Mezi”.

    3.4.6.        Within a period of 12 months the Bidder participated in the Auction procedures organized by LLC “Rigas Mezi”, submitting a bid, but, after being granted the right to enter into the contract, refused to sign the contract.

     

    Databases maintained by LLC „Rigas Mezi”.

    3.5.             Whereas the publishable SRS database is updated only twice a month, if the Bidder has a basis to believe that public databases accessible to him could contain information on actual tax debts as of the Auction date, he must submit concurrently with his bid a printout from the Electronic Declaration System (or copy of the statement issued by the relevant national tax administration) received on the Auction date and certified by the Bidder’s representative, attesting that on the Auction date the Bidder has no tax and/or State social insurance mandatory contribution debts of the total amount, exceeding 150 EUR.

    3.6.        LLC „Rigas Mezi” has the right to announce the Auction as not taken place (in respect of the entire volume or any part thereof), if:

    3.6.1.  no Bids are submitted in respect of the relevant part;

    3.6.2.  the Auction winner refused to enter into the sales contract;

    3.6.3.  the Auction winner delayed payment of the prepayment invoice by more than 5 (five) working days.

    3.7.        LLC „Rigas Mezi” declares the Auction as invalid and revokes the Auction results published, if:

    3.7.1.  Representations made by the Auction winner are non-conforming to the actual situation;

    3.7.2.  LLC „Rigas Mezi” has any suspicion of any unauthorized mutual agreement between the Auction Bidders.

    3.8.        LLC „Rigas Mezi” has the right to consider the Auction winner as refusing to enter into the sales contract, unless the Auction Winner appears to enter into the Contract within 3 (three) working days from the time of announcing the results of the Auction.

    3.9.        If it is established that exclusion requirements specified in the Auction Rules apply to the Bidder, who has submitted the best bid, or he has refused to enter into the Contract, the right to enter into the Contract may be offered to the next Bidder offered the best price. If the Bidder, who has offered the next best price, refuses, the Auction shall be deemed as not taken place in respect of the entire volume or the relevant part.

    3.10.     If it is established that the price included in the best bid submitted by the Bidder is lower than the hidden auction price set by LLC “Rigas Mezi”, the Auction organizer shall offer to such Bidder to acquire timber at the hidden price, but, if the Bidder refuses to do so, the Auction shall be deemed as not taken place in respect of the entire volume or the relevant part.

    3.11.     If it is established that exclusion requirements specified in the Auction Rules apply to the Bidder, who has submitted the best bid, or he has refused to enter into the Contract, the right to enter into the Contract may be offered to the Bidder offered the next best price, taking into account that his offered price must be higher than the hidden price set for the Auction. If the Bidder, who has offered the next best price, refuses, the Auction shall be deemed as not taken place in respect of the entire volume or the relevant part.

    3.12.     If the Auction is recognized as not taken place or invalid, then, with the sawn timber recognizable as perishable goods, the member of the Board of Directors of LLC “Rigas Mezi” responsible for forestry matters must make a decision on further steps to be taken in respect of a range of sawn timber placed on auction.

     

    4.                                     Sawn Timber Collection Requirements

     

        4.1.    Sawn timber may be collected from the sawmill only after signing the contract and receiving payment on the settlement account of LLC “Rigas Mezi” in the amount of 100% of the quantity placed on auction.

        4.2   Following the announcement of the results of the online auction, no complaints relating to the sawn timber volume and quality will be accepted.

     

    Attached files