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General
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Eligibility
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Funding Scope / Coverage
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Application Vetting / Assessment
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Procurement
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Reimbursement
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Change to Approved Projects
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General
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What is Construction Innovation and Technology Fund (CITF)?
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Construction Innovation and Technology Fund (CITF) is a funding scheme established by the Development Bureau (DEVB) of the Government of Hong Kong Special Administrative Region that aims to provide the impetus to transform the local construction industry through automation, industrialisation and digitisation; and to enhance the capability of existing and prospective practitioners to harness technology for the continuous improvement in Hong Kong’s construction industry.
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What are the objectives of CITF?
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The CITF will fund projects and activities which are in line with the following strategic directions in driving the development of the construction industry, namely-
- encouraging the adoption of innovative construction methods and technology in the construction industry to promote productivity, uplift built quality, improve site safety and enhance environmental performance; and
- enhancing the capacity of practitioners to harness technology for continuous improvement in the construction industry.
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How should I make an application?
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You can submit application through the CITF Application Portal. Applicant enterprises may contact CITF Secretariat for assistance in submitting applications.
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What is CITF Pre-approved List?
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Pre-approved Lists were established to let CITF applicants have hands on reference to innovation and technology.The products and technologies were already reviewed by the Vetting Sub-committee.CITF applicants choose to use these products and technologies can enjoy a streamlined application process.Currently there were three lists established, BIM software, BIM training courses and Advanced Construction Technologies.Please refer to the CITF website.
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My business was interested in research and development, is CITF the right funding programme for me?
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The scope of the CITF is to support the use of technologies (including machinery, equipment and software) with proven effectiveness in boosting productivity, uplifting built quality, improving site safety or enhancing environmental performance, through leveraging automation, industrialization and digitization rather than sheer innovative management practices (i.e. Technology Adoption) and to enhance the capability of practitioners to harness technology for the continuous improvement of our construction industry, the CITF will support existing practitioners and prospective built professionals to take part in courses and events on advanced construction technologies (i.e. Manpower Development). It is not for research and development.
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What are the roles of (i) Management Representative, (ii) Company Contact, (iii) Project Manager, and (iv) Project site Representative in the CITF Application Form?
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- “Management Representative” is expected to be management of the company who has authority to sign the CITF Agreement and is responsible for the execution all the CITF applications;
- “Company Contact” shall be the overall liaison person who has to update construction project information and co-ordinate the submission of required documents and liaison with project teams. In order to ensure the smooth implementation and completion of the project, the “Company Contact” should be able to fully represent the applicant enterprise and be conversant with the operation, business processes and construction projects of the applicant enterprise. As such, the “Company Contact” must be a responsible personnel of the applicant enterprise;
- Project Manager shall be the person overseeing the submitted construction project generally and monitoring the expenditure; and
- “Project Site Representative” shall act as the main contact point between the applicant enterprise and CITF Secretariat regarding the submitted project and the details of approved technology/product/activity. The person has to answer enquiries from the CITF Secretariat and co-ordinate with the CITF Secretariat for site inspections.
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Eligibility
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Who are eligible to apply for funding under CITF?
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Applicants for applications on Technology Adoption must be:
- levy-paying contractors which have paid levy for construction works under the Construction Industry Council Ordinance (Cap. 587) to the CIC in the 24 months preceding the time of application;
- specialist Trade Contractors and Subcontractors who are registered under the Registered Specialist Trade Contractors Scheme (RSTCS) and the Subcontractor Registration Scheme (SRS) operated by the CIC;
- consultants on the lists maintained by Government and professional bodies, including (i) the Engineering and Associated Consultants Selection Board; (ii) the Architectural and Associated Consultants Selection Board; (iii) the Band 3 Architectural Consultants and the list of Registered Practices maintained by the Hong Kong Institute of Architects; (iv) the Band 3 Architectural Consultants maintained by the Association of Architectural Practices Ltd; (v) member companies of the Association of Consultant Quantity Surveyors; (vi) member companies of the Hong Kong Institute of Surveyors; (vii) member companies of the Association of Consulting Engineers of Hong Kong; or (viii) member companies of the Association of Registered Engineering Consultants; or
- other players in the construction process may be considered on a case-by-case basis.
Applicants for applications on Manpower Development must be:
- local higher education institutions;
- professional institutions (including the Hong Kong Institute of Architects, the Hong Kong Institution of Engineers and the Hong Kong Institute of Surveyors);
- trade associations; or
- labour unions.
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If different subsidiaries of the same mother company apply for the CITF, will the funding granted for each subsidiary company be separately considered?
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If the parent company and its subsidiaries or different subsidiary companies of the same group are not “related enterprises”, the cumulative funding ceiling of these subsidiary companies can be separately calculated. “Related enterprises” means enterprises registered as different business under the Business Registration Ordinance but having the same individual(s) holding 30% or more ownership in such enterprises, would be treated as one single enterprise for the purpose of calculating the cumulative funding amount (i.e. subject to respective cumulative funding ceiling in different categories)..
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Is there any deadline to apply for the CITF?
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The Fund will be implemented for an initial period of five years from October 2018 with HK$1 billion from the Development Bureau of the Government of Hong Kong Special Administrative Region. CITF is open for application throughout the year subject to the availability of funding under CITF.
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Our company is not a levy-paying contractors, subcontractors under the Subcontractor Registration Scheme or consultant on the lists maintained by the Government and professional bodies, are we eligible to apply for the CITF?
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Other players in the construction process may be considered on a case-by-case basis.
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What is “related enterprises”?
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For “related enterprises” i.e. enterprises with different business registration certificates but having the same individual(s) holding 30% or more ownership, they would be treated as one single enterprise in counting the funding ceiling per company.
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Funding Scope / Coverage
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What is the scope of CITF funding?
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CITF covers Technology Adoption and Manpower Development:
Technology Adoption
- Building Information Modelling (BIM) training, BIM experiential use and BIM project adoption;
- Advanced construction technologies, e.g. automation, industrialisation and digitisation etc.;
- Employ specialist Modular Integrated Construction (MiC) consultant, Purchase/rental of MiC specific construction plant and Purchase/offsite production of MiC modules; and
- Prefabricated steel rebar.
Manpower Development
- Non-local enrichment courses for students, including training fees, accommodation for the duration of training, air passage and administration fees;
- Non-local training/visits for practitioners, including training fees and administration fees;
- International conferences in Hong Kong, including venue, air passage and accommodation for speakers and administration fees for organising the event; and
- Local collaborative courses, including venue, air passage and accommodation for speakers and administration fees for organising the event
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What are the difference between BIM Project Adoption and BIM Experiential Use?
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Project Adoption is required to have one or more awarded or on-going construction contract(s) to implement the adoption of BIM; while Experiential Use is not.
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Our company is planning to renew our subscription of BIM software license. Can we apply for CITF funding support?
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Renewal subscription of existing BIM software in use is supported by CITF subject to the following conditions:
- Formal funding application must be submitted in which the existing software particulars such as brand name, model, package content, mode of purchase, years of subscription, and the particulars of the proposed years of subscription, proposed renewal package content etc. must be clearly stated for assessment;
- The proposed renewal package must be BIM related and fulfil the objectives of CITF subject to the assessment and decision of the Vetting Sub-committee on CITF;
- Prior approval by the CITF Secretariat must be obtained;
- The date of purchase of the renewal package of the BIM software must be AFTER the approval of the funding application;
- The renewal package must be the same as that approved and adopted in the submitted project(s). In case there is/are discrepancy(ies) and application for which is not received or approved before the changes, the cost of it will not be funded; and
- All required documents must be submitted for application for reimbursement.
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Application Vetting / Assessment
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How will CITF Secretariat process the applications?
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Upon receipt of an application, CITF Secretariat will check eligibility of the applicant and completeness of information submitted as well as conduct a preliminary screening. The Secretariat may also seek clarification or supplementary information from the applicant if necessary. Applications will then be reviewed and considered by the CITF Vetting Sub-committee (the VSc) which comprises experts from the construction industry.
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What are the assessment criteria?
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The CITF will be used to support innovation and new technologies which are effective in boosting productivity, uplifting built quality, improving site safety or enhancing environmental performance, through leveraging automation, industrialisation and digitisation rather than sheer innovative management practices.
Other than the above said criteria, due consideration will be given to the following factors when considering:
An application on Technology Adoption:
- the cost effectiveness and benefits to use the product
- applicability to industry at large
- track record and project reference
An application on Manpower Development:
- the project is non-profit making
- the budget is reasonable and realistic
- relevance to construction innovation and technology
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When and how will we know the result of our CITF application?
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Applicant will be informed of its application result within 60 calendar days after the receipt of the Application Form and all required information by the CITF Secretariat. Applications adopting the Pre-approved List products can expect streamlined processing time.
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Procurement
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Can we purchase the technology/product for the CITF project from one particular supplier or service providers directly?
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As the CITF is public grants, applicant enterprises should ensure that all procurement for goods and items (including project auditing) are carried out in an open, fair and competitive manner and the appointment of reasonable qualified suppliers or service providers. In general, applicant enterprises should adhere to the following procurement procedures:
- for every procurement the aggregate value of which does not exceed HK$50,000, quotation in written form from at least one supplier or service providers must be obtained;
- for every procurement the aggregate value of which is more than HK$50,000 but not over HK$200,000, quotations in written form from at least two suppliers or service providers must be obtained; and
- for every procurement the aggregate value of which is more than HK$200,000, quotations in written form from at least three suppliers or service providers must be obtained.
The lowest bid should be selected. If the lowest bid is not selected, justifications must be given. In any case applicant regarded only one supplier/service provider can supply the technology/product, the applicant shall provide justification in particular the unique features thereof.
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Will CITF decide the product price?
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The CITF understands that each product has its own features and the pricing is purely a commercial decision that the CITF will not interfere or get involved. To ensure the price transparency of pre-approved products and facilitate fair competition, the CITF implements a robust price management mechanism.
- The applicant is required to submit the record of selling price in the past five years (where applicable) with the application for admission of products to the pre-approved List for review and assessment.
- The Vetting Sub-committee will conduct a detailed cost-benefit assessment of a product under application and benchmark against similar pre-approved products. The Management Committee on the CITF shall conduct the final review and approve an application once found the application is in order.
- Once approved, the approved product price serving as the price ceiling for calculating the fund grant will be published on the CITF website which is accessible by the public including all the competitors and potential users relevant to that product.
- The approved product price of a pre-approved product shall last for one year and any price increment application shall be submitted during the annual Pre-approved List Review for comprehensive assessment. Only justifiable applications will be accepted.
- The CITF Secretariat shall continuously monitor the performance of the vendors of pre-approved products and take necessary action to safeguard the interest of the industry players.
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Reimbursement
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Can we purchase an item before our CITF application has been approved?
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Applicant must note that CITF application may not be approved, if an applicant choose to incur or commit any expenditure before the notification of approval is given. The applicant has to responsible for paying the incurred or committed expenditure on their own.
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If a company successfully applied for funding support from CITF, how can the company receive the CITF funding?
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Successful fund applicant could make a disbursement request via the CITF Application Portal.
Disbursement of funding will be made in by instalments at quarterly intervals since the first instalment application. No payment applications would be allowed within 3 months from the last payment application. The payable amount of the first and subsequent progress payment before the final payment shall be subject to a maximum of 80% of the approved funding amount. Once the first 80% is reached, further progress payment applications would not be allowed. The remaining amount (i.e. last instalment) shall be submitted after 12 months of technology adoption since the first instalment. All payment applications submitted shall be supported with relevant documentary proof as required in the Application Framework, Terms and Conditions, Approval Letter and the CITF website. All disbursements will only be paid upon fulfilment of all the CITF requirements.
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What kind of support documents are required when making the disbursement request?
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For Technology Adoption (excluding BIM Training)
- Record of procurements/ expenditure including original receipts, purchase orders, invoices, delivery notes of the approved products/ technology (Original shall be submitted directly to CIC at the following address: 38/F, COS Centre, 56 Tsun Yip Street, Kwun Tong, Kowloon, Hong Kong);
- Progress Report (if applicable) / Completion Report with Post-Project Evaluation Questionnaire in specified format stating quantitative and qualitative results of adoption of the products / technology in enhancing construction productivity, quality, safety and environment (minimum 250 words). The completion report shall be submitted within 9 months upon completion of the Approved Project;
- Minimum 5 pages (excluding cover) of PowerPoint slides to illustrate the result;
- A 3 to 5-minute video of the adoption details in construction project(s); and
- An audited financial report, for Successful Applicant receiving Funding of more than HK$500,000 in a single application on Technology Adoption, duly certified by auditors and complying with Hong Kong Standard on Assurance Engagements 3000 “Assurance Engagements Other than Audits or Reviews of Historical Financial Information”. The completion report shall be submitted within 9 months upon completion of the Approved Project.
For BIM Training under Technology Adoption
- For external training course, invoices and receipts of the completed course (Original shall be submitted directly to CIC at the following address: 38/F, COS Centre, 56 Tsun Yip Street, Kwun Tong, Kowloon, Hong Kong);
- For in-house training by external trainer/ tailor made company training, record of expenditure including purchase orders (if applicable), invoices and receipts of all approved reimbursable cost items (Original shall be submitted directly to CIC at the following address: 38/F, COS Centre, 56 Tsun Yip Street, Kwun Tong, Kowloon, Hong Kong);
- List of students completed the course(s) with their full name in both Chinese and English signed by the authorized representative of the Applicant;
- Assessment Results / Completion Certificates of all the students who completed the course(s); and
- Course evaluation forms duly completed by the students who completed the course in specified format.
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Change to Approved Projects
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Can we modify the approved project?
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Any modification to the Approved Project, including but not limited to changes of commencement or completion dates, key project staff, key equipment, scope, methodology, deliverables or budget, will require prior written approval of the CITF Secretariat.
For any modification to the Approved Project, the liaison officer on behalf of the Successful Applicant must update the details of the Approved Project on the CITF Portal within 14 calendar days upon the occurrence of such modification. The CIC reserves the right not to reimburse or make payment or otherwise compensate for the Approved Project where the Successful Applicant has failed to provide such update within the required timeframe.
The Funding will not be increased in the event that the actual expenditure exceeds the original estimate. If the actual expenditure is less than the original estimate, the CITF Secretariat has the sole discretion to reduce the final Funding amount.
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