MOGALE CITY LOCAL MUNICIPALITY

UPGRADE OF UBUNTU ARTS & CRAFT CENTRE

PROJECT CHARTER/SCOPE BRIEF/BUSINESS PLAN

SS (SR) 03/2015

NOVEMBER 2014

GAUTENG PROVINCE

PREPARED FOR:
PREPARED BY:

SOCIAL SERVICES, MOGALE CITY

LOCAL MUNICIPALITY MORAD CONSULTING (PTY) LTD

PO BOX 94 274 VOORTREKKER ROAD

KRUGERSDORP, 1740 NOORDHEUWEL, 1739

TEL: +27 (0)11 951 2233 TEL: +27 (0) 11 954 3835
FAX: +27 (0)11 665 1787 FAX: +27 (0) 11 954 6565
 Table of Contents
1. EXECUTIVE SUMMARY........................................................................................................................ 4
2. BACKGROUND AND PROBLEM STATEMENT .............................................................................. 5
3. OUTLINE BUSINESS CASE ................................................................................................................. 6
5. PROJECT SCOPE .................................................................................................................................. 7
6. REGULATORY REQUIREMENTS ....................................................................................................... 7
6.1 Environmental Impact Assessment .......................................................................................................... 7
6.2 Geotechnical Studies ................................................................................................................................ 7
7. CONSTRAINTS AND ASSUMPTIONS ............................................................................................... 8
7.1 Physical Constraints.................................................................................................................................. 8
7.2 Financial Constraints .......................................................................................................................... 8
8. STAKEHOLDERS AND COMMUNICATION ..................................................................................... 8
9. PROJECT MANAGEMENT TEAM STRUCTURE ............................................................................. 9
10. TIME FRAME ..................................................................................................................................... 10
11. PROJECT FINANCES .................................................................................................................... 11
11.1 Professional Fees .................................................................................................................................. 11
11.2 Cash Flow Projection ............................................................................................................................ 12
12. PLACES OF WORK ......................................................................................................................... 12
13. SITE CLEARANCE ........................................................................................................................... 12
14. DELIVERABLES ............................................................................................................................... 13
15. MILESTONE....................................................................................................................................... 13
16. SUCCESS CRITERIA....................................................................................................................... 14
17. REPORTING REQUIREMENTS AND MEETING SCHEDULE ................................................. 14
18. GUIDELINES AND STANDARDS .................................................................................................. 15
19. QUALITY ASSURANCE AND CODE OF CONDUCT ................................................................ 15
20. RISK MANAGEMENT ...................................................................................................................... 16
20.1 Health and Safety Risks ........................................................................................................................ 16
21. PROJECT APPROVAL REQUIREMENTS................................................................................... 16
22. PROJECT SPONSOR ...................................................................................................................... 16
23. ACCEPTANCE .................................................................................................................................. 17

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 Table of Tables
Table 1: Project objectives and desired outcome .............................................................................................. 6
Table 2: Project Management Team Structure .................................................................................................. 9
Table 3: Time Frames Related to the Project ................................................................................................... 10
Table 4: Option 1 Professional Fees ................................................................................................................. 11
Table 7: Option 1 Cash Flow Projection ........................................................................................................... 12
Table 10: Reporting Deliverables ..................................................................................................................... 13

ANNEXURE A: Appointment Letter

ANNEXURE B: Project Inception Meeting Minutes

ANNEXURE C: Fee Proposal

ANNEXURE D: Project Program

ANNEXURE E: Table from the MCLM SS Department 2014/15 SDBIP

ANNEXURE F: Preliminary BOQ

ANNEXURE G: Pictures of Existing Facilities

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1. EXECUTIVE SUMMARY
MORAD Consulting Engineers was appointed by Mogale City Local Municipality for the
Upgrade of Ubuntu Arts & Crafts Centre Project. This Project Charter forms part the
Consultants’ appointment and covers the strategy for the planning, designing, tender
documentation and contract administration of the upgrade of Ubuntu Arts & Crafts
Centre as per the subject project requirements.

Morad undertook site investigations at Ubuntu Arts & Crafts Centre with the view of
establishing the extend of deterioration of the facilities as well as the leaking of the
roof. The investigations showed that there is need to upgrade the Ubuntu Arts & Crafts
Centre as follows:

 Replacement of the 3 thatched roof with tiled roof to avoid leaking.

 Repairing the tiled roofs to avoid leaking.
 Replacement of damaged ceiling.
 Replacement of damaged gutters.
 Replacement of damaged fascia board.
 Painting of the whole building exterior and interior walls.
 Refurbishment of the kitchen to make it fully functional.
 Repairing and repainting of the palisade fence.
 Redesign of the workshop and related facilities.
 Creating a shed on the outside for the workshop.

The allocated budget for the project during this financial year is R 2 300 000.00. The
estimated construction cost is R 2 293 566.00 including contingencies, VAT and
professional fees. The duration of the construction will be 3 months.

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2. BACKGROUND AND PROBLEM STATEMENT
Morad undertook site investigations at Ubuntu Arts & Crafts Centre with the view of
establishing the extend of deterioration of the facilities as well as the leaking of the
roof. During the investigations, it was discovered the following;

 The thatched roof section heavily leaks during rainfall.

 Some portions on the tiled roof, especially along valleys and ridges, leak
during rainfall.
 Some portions of the ceiling are damaged.
 Some of the gutters are damaged.
 Certain portions of the fascia board are damaged.
 The whole building need painting on the exterior and interior walls.
 The kitchen needs to be refurbished to make it fully functional.
 The palisade fence needs repairing and repainting.
 The doors for the arts and craft centre need to be from the inside to the
outside then create new exist doors on the inside so as to avoid dust from
going to the library.
 A shed need to be created on the outside of the arts and crafts centre for
the people using the building.

See attached pictures in annexure G.

Amongst other mitigation measures that could be done, Morad recommended

upgrading of the deteriorated or damaged arts and craft center facilities, replacement
of the thatched roof and refurbishment of the kitchen.

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3. OUTLINE BUSINESS CASE
Mogale City Local Municipality’s sole objective is to provide quality service delivery for
all in Mogale City. Mogale City Local Municipality has the unique opportunity to lead
this service delivery mandate in Magalisburg through the requisite strategies and
policies that they have in place. Their 2014/15 Top Layer Service Delivery and Budget
Implementation Plan (SDBIP) is one of the tools that will assist them to achieve this
mandate. It gives details of the key actions that the administration of Mogale City Local
Municipality intends to take and be accountable for during the financial year (2014/15).
According to the 2014/15 SDBIP, the Social Services Department needs to undertake
the upgrade of the Ubuntu Arts & Crafts Centre and finish it by the end of the current
financial year. See Appendix E for extracts of the Capital Expenditure tables from the
2014/15 SDBIP for the Social Services department.

To meet this target, Mogale City Local Municipality assigned Morad Consulting the
Upgrade of Ubuntu Arts & Crafts Centre project in-order to assist in coming up with an
engineering sound solution to upgrade the deteriorated and damaged facilities.

4. PROJECT OBJECTIVES AND DESIRED OUTCOME

The major objective of this project is to complete the Upgrade of Ubuntu Arts &
Craft Centre by the end of the 2014/15 financial year as follows;

Quart end Sep Quart end Dec Quart end Quart end Jun 2015
2014 2014 Mar 2015
Stage 1: Prepare a Stage 2: Final Stage 3: Stage 4: Repair of the
report to request Designs and Bid Tender roof and ceilings,
Permission from the Specifications process redesign of the workshop
MM to assign the Completed. completed and related facilities,
Project and draft and refurbishment of the
Designs. contractor kitchen, repainting of the
appointed building exterior and
interior walls & repairing
the palisade fence.

Table 1: Project objectives and desired outcome

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5. PROJECT SCOPE
The project scope according to the three options is as follows;

 Replacement of the thatched roof with tiled roof to avoid leaking.

 Repairing the tiled roofs to avoid leaking.
 Replacement of damaged ceiling.
 Replacement of damaged gutters.
 Replacement of damaged fascia board.
 Painting of the whole building exterior and interior walls.
 Refurbishment of the kitchen to make it fully functional.
 Repairing and repainting of the palisade fence.
 Redesign of the workshop and related facilities.
 Creating a shed on the outside for the workshop.

6. REGULATORY REQUIREMENTS

6.1 Environmental Impact Assessment

The project comprises of the repair of the roof and ceilings as well as the redesign of
the workshop and related facilities.

This project is not listed under the Environmental Impact Assessment Regulations
Listing Notice 1 of 2010, hence there is no need to conduct an EIA.

6.2 Geotechnical Studies

No Geotechnical studies might be required for the construction of the shed
foundation.

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7. CONSTRAINTS AND ASSUMPTIONS
7.1 Physical Constraints
The upgrade of the arts and craft center will be being done on public facilities
which are being utilized by the public at the moment. Simultaneously carrying
out the refurbishments and using the facilities is going to be a huge challenge
and this might mean closing some or all of the facilities at some point to allow
the upgrade to go on.

7.2 Financial Constraints

The allocated budget for the project during this financial year is R2 300 000.00,
all inclusive. It is hardly possible that all the items listed in the scope of works
will be done within the 2014/15 financial year. Some items on the
refurbishment of the kitchen have been left because of insufficient funds. See
annexure F for a detailed cost estimate of the three options.

8. STAKEHOLDERS AND COMMUNICATION

 The Ubuntu Arts and Crafts Centre is owned by Mogale City Local
Municipality (MCLM) and is used by the residents in the Magalisburg
area. Hence the stakeholders are the following:
 The community in the Magalisburg area, represented by the Ward
Counsellors of the wards that fall wholly or partially within the service
zone of the centre.
 Mogale City Local Municipality, represented by the Municipal Manager,
Mr Dan Mashitisho.

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9. PROJECT MANAGEMENT TEAM STRUCTURE

Project Team
Project Team Role Organization Email
Member(s)
Executive Manager: S. Mathebula Mogale City Local shirley.mathebula@mogalecity.gov.za
Social Services Municipality
Manager: Sports, Art , Bertha Mogale City Local bertha.bogopane@mogalecity.gov.za
Culture and Recreation Bongopane Municipality

Project Executive Collin Radebe Morad Consulting collinr@morad.co.za

Project Manager Anna Viljoen Morad Consulting annav@morad.co.za

Project Engineer Michael Morad Consulting michaelb@morad.co.za

Benhura

Table 2: Project Management Team Structure

Additional team members will be introduced as required for the successful completion
of the project. Only skilled and experienced staff, professionally registered where
appropriate, will be assigned to the project.

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10. TIME FRAME
The following time frames will apply to the project;
Activitie Sep 2014 Oct 2014 Nov 2014 Dec 2014 Jan 2014 Feb 2014 Mar 2015 Arp 2015 May 2015 Jun 2015
s

Inceptio
n
Concept
and
Viabilit
y
Design
develop
ment
Docume
ntation
and
Procure
ment
Workin
g
drawing
s
Constru
ction
Stage
Close
Out

Table 3: Time Frames Related to the Project

Legend:

Planned Tasks
Completed Tasks

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11. PROJECT FINANCES
11.1 Professional Fees
As per Mogale City Local Municipality appointment letter to Morad Consulting
Engineers, the appointment is in line with Morad’s existing Contract
COO(PMU)01/2011 with Mogale City Local Municipality.

Fees will be calculated according to the fee scales agreed in the above contract, for
the following stages as defined in the Engineering Professions Act (Act 46 of 2000)

Professional Fees

MOGALE CITY LOCAL MUNICIPALITY

PROFESSIONAL SERVICES PROVISION FEES – UBUNTU ARTS & CRAFTS CENTRE
1.0 PROFESSIONAL FEES
ITEM DESCRIPTION % AMOUNT
1.1 Inception 5 R 14 007.50
1.2 Concept and Viability 25 R 70 037.50
1.3 Design Development 25 R 70 037.50
1.4 Documentation and Procurement 15 R 42 022.50
1.5 Contract Administration and Inspection 25 R 70 037.50
1.6 Close Out Report 5 R 14 007.50
Sub-Total Excl. VAT (Professional Fees) 100 R 280 150.00

2.0 ADDITIONAL FEES

ITEM DESCRIPTION RATE QTY AMOUNT
2.1 Survey R - 1 R -
2.2 Geotechnical Investigation R - 1 R -
Sub-Total Excl. VAT (Additional Fees) R -

3.0 DISBURSEMENTS
ITEM DESCRIPTION RATE QTY AMOUNT
3.1 Travelling R 4.00 4000 R 16 000.00
3.2 Health and Safety R 500.00 4 R 2 000.00
3.2 Copies and Printing R 0.35 25000 R 8 750.00
Sub-Total Excl. VAT (Disbursements) R 26 750.00
TOTAL (Excl. 14% VAT) R 306 900.00
Add 14% VAT R 42 966.00

TOTAL (Incl. 14% VAT) R 349 866.00

Table 4: Option 1 Professional Fees

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11.2 Cash Flow Projection

Cash Flow Projection

CASH FLOW PROJECTION 2014/15 FY

MCLM OWN FUNDING (only
OWN FUNDING
MONTH if applicable)
ESTIMATE ACTUAL EXP BALANCE AVAILABLE ACTUAL EXP

R 2 300 000.00 R 0.00

Oct 2014 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Nov 2014 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Dec 2014 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Jan 2015 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Feb 2015 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Mar 2015 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00
Arp 2015 R 327 652.28 R 0.00 R 2 300 000.00 R 0.00

TOTAL: 14/15 R 2 293 566.00 R 0.00 R 2 300 000.00 R 0.00

Table 5: Option 1 Cash Flow Projection

12. PLACES OF WORK

The planning, designing, tender document and preparation for the new business
plan will be primarily carried out at the Morad Consulting Offices, at 274
Voortrekker Road, Noordheuwel. Site visits will be done to the Ubuntu Arts &
Crafts Centre in Magalisburg as necessary. Attendance of scheduled meetings
will be done at the offices of MCLM.

13. SITE CLEARANCE

Clearance to proceed with construction will only be given when all required approvals
and authorization have been obtained and all applicable environmental requirements
have been satisfied. Land ownership and Surveyor-General boundaries will be
confirmed where necessary.

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14. DELIVERABLES
The project deliverables for this upgrade of Ubuntu Arts & Crafts Centre project are as
follows;

 Replacement of the thatched roof with tiled roof to avoid leaking.

 Repairing the tiled roofs to avoid leaking.
 Replacement of damaged ceiling.
 Replacement of damaged gutters.
 Replacement of damaged fascia board.
 Painting of the whole building exterior and interior walls.
 Refurbishment of the kitchen to make it fully functional.
 Repairing and repainting of the palisade fence.
 Redesign of the workshop and related facilities.
 Creating a shed on the outside for the workshop.

Deliverables under reporting will be as follows;

Deliverable Status Importance

Project Charter Started Required

Concept Design Report and Drawings Started Required
Preliminary Design Report and Drawings Started Required
Detail Design Report and Drawings Started Required
Tender Documents and Drawings Started Required
Contract Administration, Inspection & Monthly Progress Reports Required

Close-out report Required

Table 6: Reporting Deliverables

15. MILESTONE
The main project milestone is to complete the upgrade of Ubuntu Arts & Crafts
Centre by the end of the 2014/15 financial year within the allocated budget.

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16. SUCCESS CRITERIA
The success of the project will be measured in terms of the following criteria:

 Submission of a complete design, including design report, tender drawings and

cost estimate.
 Submission of complete tender documents and drawings, based on a draft
submitted to MCLM for comment.
 Submission of a Close Out Report

17. REPORTING REQUIREMENTS AND MEETING SCHEDULE

During the execution of the project, regular progress meetings shall be held between
MCLM and Morad, to discuss progress and to ensure that the development of options
and solutions remains aligned with the ultimate vision of MCLM for the water supply
system as a whole.
The provisional meeting schedule allows for the following meetings:
 One monthly meeting with the Executive Manager: Social Services and the
Manager: Sport, Art, Culture and Recreation.
 A biweekly meeting with the Manager: Sport, Art, Culture and Recreation.

Other staff shall attend the meeting when required by the Manager: Sport, Art, Culture
and Recreation.

During the execution of the project, the following reports will be prepared and
submitted
 Concept Design Report
 Preliminary Design Report
 Detail Design Report
 Monthly Technical Project Report
 Close-out Report

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18. GUIDELINES AND STANDARDS
The design criteria, materials and methods of shall be based on the following
guidelines and standards:

 “NORMS AND STANDARDS FOR SPORTS AND RECREATION

INFRASTRUCTURE PROVISION AND MANAGEMENT”.
 The National Housing Board's: "GUIDELINES FOR THE PROVISION OF
ENGINEERING SERVICES FOR RESIDENTIAL TOWNSHIPS" – Redbook
 All materials and methods of not specifically listed in these guidelines shall
be in accordance with general methods of building as set out in the "SABS
STANDARD SPECIFICATIONS, STANDARDISED SPECIFICATIONS and
CODES OF PRACTICE" as applicable.
 The criteria and guidelines will be from “GUIDELINES FOR HUMAN AND
SETTLEMENT PLANNING AND DESIGN” and “DWAF GUIDELINES”. The
discussions will be based on actual field investigations, review of criteria
related to the project and current design and technical manuals.
 Department of Water Affairs and Forestry’s: “TECHNICAL GUIDELINES FOR THE
DEVELOPMENT OF WATER AND SANITATION INFRASTRUCTURE”

Additional guidelines and standards will be consulted where required. In such cases
Morad will ensure that only recognized local and international documents are used as
the basis for any analysis or design.

19. QUALITY ASSURANCE AND CODE OF CONDUCT

Morad’s ISO 9001-accredited Quality Assurance procedures will be adhered to during
the execution of the project.

Morad project team members will at all times conduct themselves in a professional
manner and act in accordance with the provisions of the Engineering Services Act (Act
46 of 2000).

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20. RISK MANAGEMENT

20.1 Health and Safety Risks

Since the construction will be taking place in a built up residential area, there are
safety risks due to the presents of plant and other equipment. The contract needs to
take serious safety measures so as to avoid causing any damage to property or
people in the neighborhood.

21. PROJECT APPROVAL REQUIREMENTS

All deliverables under this appointment will be submitted to the Manager: Social
Services for approval.

Each stage of the project shall be approved by the Manager: Sport, Art, Culture and
Recreation before the next stage is commenced.

22. PROJECT SPONSOR

The project sponsor is the Mogale City Municipality, represented by the Executive
Manager: Social Services, Ms S. Mathebula.

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23. ACCEPTANCE
This Project Charter prepared by Morad Consulting is based on the content of the
appointment letter dated 01 October 2014 and the discussion during the Project
Specification Meeting held on 13 October 2014 at 11H00 at the Mogale City Local
Municipality Social Services Board Room in Commissioner Street, Krugersdorp.

The meeting was attended by the persons identified on the Attendance Register
attached to the Minutes of the Project Inception Meeting, included in the Annexure B.

Prepared by: Approved and accepted by:

Collin Radebe, Pr. Eng. Mrs. Bertha Bogopane

Project Manager Manager Sports, Art, Culture and
Recreation
Morad Consulting Mogale City Local Municipality

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