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 Hurdles for company's tender attempt
    November 25 2008 at 10:02AM Get IOL on your
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By Anel Powell

Street Parking Solutions (SPS), the company awarded the R30-million contract to run the city of Cape Town's kerbside management parking, is unlikely to implement its smart-card system before February in 2009.

The city has postponed the date for a late appeal by unsuccessful bidder Advanced Parking Solutions (APS) from November 20 to December 5.

This after lawyers for SPS warned "any attempt to extend the appeal process would raise questions of impartiality".

Numque20, meanwhile, will continue to manage parking in the central city, Sea Point and Bellville areas, despite the 2006 High Court ruling that its contract with the city was invalid.
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Numque20 was supposed to have managed the parking for an interim period of three months while the city appointed a new service provider.

However, after three years, it is still responsible for most of the city's kerbside parking.

Its managing director Tobie Coetzee is now head of APS.

SPS signed the parking management contract with the city in July after it was named the recommended bidder. The implementation date was set for December 1.

But now SPS will have to wait until early in 2009 before it can take over the service.

Zunade Loghdey, speaking for SPS, said the delay was financially detrimental as staff were already being trained.

Millions of rand has been spent on the parking system, but SPS will only be able to start work in 2009.

Loghdey said the city's "incompetence" was preventing SPS from honouring its contract. But the city has denied that it is in breach of its contract with SPS.

SPS was officially informed by the city in late October of a last-minute appeal by APS, after initially being told there would be no appeals.

The city said it would not terminate its month-to-month contract with Numque20 as the new parking tender could not be implemented with an appeal pending.

"It would be ingenuous should the city consider an appeal against the award to (SPS) while at the same time, de facto, implementing the very award it is considering on appeal."

This would not be "good governance", the city said.

The city would only end its contract with Numque20 if it was given good cause, or if it was in the interest of the city to do so.

"The cancellation of the contract may only be considered after the appeal had been finalised."

The appeal hearing, scheduled for November 20, was postponed to December 5 "in the interests of just administrative action and a fair hearing", the city said. This was the second postponement.

The extension was granted after APS's legal representatives asked for more time to prepare.

Meanwhile, SPS's project costs continue to rise without any assurance from the city that it will reimburse the company. The city said it would comment on the parking tender.

anel.powell@inl.co.za

    • This article was originally published on page 6 of Cape Times on November 25, 2008
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