Types of Contracts - Works, Services & Stores - Definitions & Differences

Tenders & Contracts: Differences between Services, Works & Stores

Services → Skill or expertise hired - Any subject matter of procurement otherthan Goods or Works   - Skill

Works → Construction or execution as per drawings - The work contemplated for delivery of services as per drawings & schedules set forth in the Bid forms & required to be executed according to the specifications. - Structure

Goods / Stores → Physical items purchased and ownership transferred - Contract for sale of goods is a Contract whereby the seller transfers or agrees to transfer teh property in goods to the buyer for a price. - Supply

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Service Contracts - Acceptance Powers

 

Service Contracts - Acceptance Powers

• Source: Railway Board Letter No.2023/F(X)II/PW/1 dated 27.12.2023 Click for the Letter 

• Path: Finance Directorate > Content of Finance / Expenditure >  FX-II Letters

Service Contracts - Delegation of Powers of Acceptance

Monetary Values   (Each Service Tender)	Accepting Authority
	Division controlled units	HQ controlled & Other Units
Up to Rs. 50 Lakhs	SG/JAG/SS(Independent charge) Direct Acceptance of Tenders
Up to Rs. 4 Crore	SG/JAG
Above Rs. 4 Crore and up to Rs. 20 Crore	ADRM	SAG
Above Rs. 20 Crore and up to Rs. 100 Crore	DRM	PHOD/CHOD
Above Rs. 100 Crore and up to Rs. 500 Crore	PHOD/CHOD	PHOD/CHOD
Above Rs. 500 Crore	GM

 

Notes:

• Recruitment Tenders - Chairman RRB can exercise the powers of CHOD (i.e., up to Rs. 500 Crores)

• RRB Service Tenders accepted at Zonal Railways - Variations in quantities will be approved by Chairman/RRB, if the revised value of Agreement lies within their current tender acceptance powers. 

–End–

Service Contracts and GeM

 

Service Contracts  and GeM – Government E Marketplace

·        If Services available on GeM portal, Procurement has to be done through GeM only.

 

·        Exception to the above rules is with Specific reasons with justification and Personal approval of GM/DRM is required.

 

 

        Delegation of Powers to invite and accepting Service Tenders

 

PHOD/HOD	DRM	All other Officers
Full powers	Rs. 100 Crores (long term contracts)	As per delegation of Service contracts

 

 

·        Enter Service Contract in place of termination of existing Service Contract: 

§  DRMs have full powers .

§  For a period of 3 months only.

§  By calling quotations from approved list of vendors.

§  Finance concurrence required

 

·        Source: Sl.No.44 of Works Matters of MSOP

 

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