DOPT O.M. No. 14-7/2003-JCA Dated 21st Nov 2005
Reference: Ministry of Finance OM No. 1/12/E.II(A)/94 dated 29.07.2005
The undersigned is directed to refer to the consolidated instructions issued in the Department OM No 14/8/90-JCA dated 29.6.1990 and further orders issued from time to time dealing with the procedure for procurement and supply of summer/winter uniforms to common categories of Group 'C' and 'D' employees serving in various Ministries/Departments of the Central Government and to say as follows:
2. Consequent to the coming into force of the new General Financial Rules, 2005 (FGRs), it has become necessary to review and modify the existing procedure for procurement/purchase of summer/winter uniforms for common categories of Group 'C' and 'D' employees serving in various Ministries/Departments of the Central Government so as to bring it in line with the provisions of revised FGRs. In this connection, it is also relevant to note that vide OM dated 29.7.2005 cited above, the Ministry of Finance(Department of Expenditure) has clarified that the special dispensation from the process of inviting tenders/quotations provided to NCCF/Kendriya Bhandar in DOPT Welfare Division's OM dated 14.7.1981 and 11.4.1994 under chapter 8 of the old GFRs no longer holds good and that purchase/procurement of goods by Government of India offices will now be solely guided by the provisions of GFRs 2005.
3. In the circumstances, in supersession of the extant instructions regarding procurement of summer/winter uniforms relating to Groups 'C' & 'D' employees in the Central Secretariat Ministries/Departments and its attached and subordinate offices, the purchase procedure to be followed in different exigencies and the relevant rules in the GFRs are outline below:-
(i) Chapter 7 of the GFR's 2005 pertaining to procurement of Goods and Services may be carefully perused to ensure that the procurement/purchase procedure adopted is strictly in line with the prescribed rules. In this connection attention is specially drawn to some of the following important provisions, details of which may be obtained from the GFR's 2005
Rule 137- Fundamental Principles of Public Buying
Rule 144- Reserved items
Rule 145- Purchase of Goods without Quotation
Rule 146- Purchase of Goods by Purchase Committee
Rule 148-Demand should not be divided into small quantities to make piece- meal purchase
Rule 160-Transparency, competition, Fairness and elimination of Arbitrariness in the procurement process
Rule 161 Efficiency, Economy and Accountability in Public Procurement system
(ii) All purchases should be made through a duly constituted Purchase Committee comprising of three members of an appropriate level as decided by the Head of the Department, including one member from the internal Finance Division and two belonging to the Administration Division. In addition, a fourth member may be associated with the purchase committee, to be nominated by the concerned staff Associations/unions.
(iii) In case of purchase of goods of a value above Rs 15,000/- and upto 1,00,000/-, on each occasion, purchase may be made only on the recommendations of a duly constituted purchase committee defined in para (ii) above, and as decided by the Head of the Department. The committee will survey the market to ascertain the reasonableness of rate, quality and specifications and identify the appropriate supplier. Also, before placing the purchase order, the members of the committee will jointly record a certificate and authenticate it, as under
"Certified that we, S/Shri-------------- members of the purchase committee, are jointly and individually satisfied that the goods recommended fore purchase are of the requisite specification and quality, priced at the prevailing market rate and the supplier, recommended is reliable and competent to supply the goods in question."
(iv) Subject to the exceptions incorporated in Rules 151 and 154 of GFR's 2005, invitation to tenders by advertisement should be used for procurement of goods of estimated value of Rs 25 lakhs and above
(v) In case of Ministry/Department directly procedure DGS&D rate contract goods from suppliers, the prices to be paid for such goods should not exceed the rate mentioned in the rate contract and the other terms and conditions of purchase should also be in line with those specified in the rate contract. In addition, the Ministry/Department has to make its own arrangement for inspection and testing of the goods, where so required.
3. While observing the above change in procedure, the purchase committee/competent Authority may also keep in view the provisions of Rule 144 of the GFRs, 2005, that reads as under:-
"Rule 144, Reserved Items: The Central Government, through administrative instructions, has reserved all items of handspun and hand-woven textiles(Khadi goods) for exclusive purchase from Khadi Village Industries Commission (KVIC), it has also reserved all items of handloom textiles required by Central Government departments for exclusive purchase from KVIC and/or the notified handlooms units of ACASH(Association of Corporations and Apex Societies of Handlooms), The Central Government has also reserved some items for purchase from registered Small Scale Industrial Units. The Central Departments or Ministries are to make their purchases for such reserved goods and items from such units as per the instruction issued by the Central Government in this regard"
