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Chapter – 6

GENERAL FINANCIAL RULES 2017


Ministry of Finance
Department of Expenditure

where quality of consultancy is of prime disasters, situations where timely


concern. completion of the assignment is of
(i) In QCBS initially the quality of utmost importance; and
technical proposals is scored as per (iii) situations where execution of the
criteria announced in the RFP. Only assignment may involve use of
those responsive proposals that have proprietary techniques or only one
achieved at least minimum specified consultant has requisite expertise.
qualifying score in quality of technical (iv) Under some special circumstances, it
proposal are considered further. may become necessary to select a
(ii) After opening and scoring, the particular consultant where adequate
Financial proposals of responsive justification is available for such
technically qualified bidders, a final single-source selection in the context
combined score is arrived at by giving of the overall interest of the Ministry or
predefined relative weight ages for the Department. Full justification for
score of quality of the technical single source selection should be
proposal and the score of financial recorded in the file and approval of
proposal. the competent authority obtained
(iii) The RFP shall specify the minimum before resorting to such single-source
qualifying score for the quality of selection.
technical proposal and also the (v) It shall ensure fairness and equity, and
relative weight ages to be given to the shall have a procedure in place to
quality and cost (determined for each ensure that the prices are reasonable
case depending on the relative and consistent with market rates for
importance of quality vis-a-vis cost tasks of a similar nature; and the
aspects in the assignment, e.g. 70:30, required consultancy services are not
60:40, 50:50 etc). The proposal with split into smaller sized procurement.
the highest weighted combined score Rule 195 Monitoring the Contract. The
(quality and cost) shall be selected. Ministry/Department should be involved
(iv) The weight age of the technical throughout in the conduct of consultancy,
parameters i.e. non- financial preferably by taking a task force approach
parameters in no case should exceed and continuously monitoring the
80 percent. performance of the consultant(s) so that
Rule 193 Least Cost System (LCS). LCS is the output of the consultancy is in line with
appropriate for assignments of a standard the Ministry /Department’s objectives.
or routine nature (such as audits and Rule 196 Public competition for Design of
engineering design of non-complex symbols/logos. Design competition
works) where well established should be conducted in a transparent, fair
methodologies, practices and standards and objective manner. Wide publicity
exist. Unlike QCBS, there is no weight age should be given to the competition so as to
for Technical score in the final evaluation ensure that the information is accessible to
and the responsive technically qualified all possible participants in the competition.
proposal with the lowest evaluated cost This should include publication on the
shall be selected. website of Ministry/Department
Rule 194 Single Source Selection/Consultancy concerned, as also the Central Public
by nomination. The selection by direct Procurement Portal. If the selection has
negotiation/nomination, on the lines of been by a jury of experts nominated for the
Single Tender mode of procurement of purpose, the composition of the jury may
goods, is considered appropriate only also be notified.
under exceptional circumstance such as:
(i) tasks that represent a natural B. OUTSOURCING OF SERVICES
continuation of previous work carried
out by the firm; Rule 197 "Non-Consulting Service" means any
(ii) in case of an emergency situation, subject matter of procurement (which as
situations arising after natural distinguished from ‘Consultancy

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