Finance (Salaries) Department G.O.Ms - No.206, Dated 4 July 2017

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 MANUSCRIPT SERIES

Government of Tamil Nadu


2017

FINANCE [Salaries] DEPARTMENT

G.O.Ms.No.206, Dated 4th July 2017.


(Heyvilambi, Aani-20, Thiruvalluvar Aandu 2048)
ABSTRACT
Tamil Nadu Financial Code (TNFC) – Purchase of Stores under Article 125
of the Tamil Nadu Financial Code, Volume-I – Monetary ceilings – Revision of
– Amendments – Issued.

ORDER:

The purchase of stores by all Government Departments/ Statutory


Boards/ Corporations/ Local Bodies, etc. in the State of Tamil Nadu is
governed by Article 125, Tamil Nadu Financial Code, Volume-I. Consequent
on enactment of Tamil Nadu Transparency in Tenders Act, 1998, the rules
and instructions prescribed under Article 125, Tamil Nadu Financial Code,
Volume-I are restricted to low value procurement of goods and services. (The
present threshold limit for low value procurement is Rs.10 lakh)

2. In Article 125, Tamil Nadu Financial Code, Volume-I, it is provided


for procurement of stores by above said public entities, by various methods
as detailed below:-

Sl. Value of Stores to Mode of Procurement and Codal provision


No. be Procured under TNFC Volume-I.
(1) Upto Rs.100 on Direct purchase without tender /
each occasion. quotation. (Note under Rule III of Article
125).
(2) Upto Rs.500 on Direct purchase without tender /
each occasion. quotation if it is not possible to follow
tender / quotation procedures. (Note
under Rule III of Article 125).
(3) Above Rs.500 and Single Tender procedures when the
below Rs.10,000. articles required are of a proprietary
character and competition is not
considered necessary. (Instruction No.11,
under Rule III of Article 125).
(4) Above Rs.10,000 Limited Tender procedures.(Instruction
and below Rs.10 No.9 under Rule III of Article
lakh. 125)(G.O.Ms.No.392, Finance (Salaries)
department, dated 18.08.2009).

P.T.O.
2
3. The Government, after careful consideration of the necessity
to revise the financial limit for public procurement, issue amendments to
Article 125 of Tamil Nadu Financial Code, Volume-I, as detailed below:
(i) For Note under Rule III of Article 125 the following Note shall
be substituted, namely:-
NOTE– Purchase of articles or group of articles,
costing upto Rs.5000/- on each occasion,
may be made without inviting
tenders/quotations on the basis of a
certificate to be recorded by the competent
authority in the following format:
“I am personally satisfied that these goods
purchased are of the requisite quality and
specification and have been purchased from a
reliable supplier at a reasonable price.”
(ii) For Instruction 9 under Rule III of Article 125, the following
Instruction shall be substituted, namely:-
“9. The “limited tender” system should be ordinarily
be adopted whenever the estimated value of the
order to be given is more than Rs.5,000 and below
Rs.10 lakh.”
(BY ORDER OF THE GOVERNOR)

K.SHANMUGAM
ADDITIONAL CHIEF SECRETARY TO GOVERNMENT
To
All Secretaries to Government.
The Secretary, Legislative Assembly, Secretariat, Chennai-9.
The Comptroller, Governor's Household, Raj Bhavan, Chennai-32.
The Governor's Secretariat, Raj Bhavan, Guindy, Chennai-32.
All Heads of Department.
All Collectors / All District Judges / All Chief Judicial Magistrates.
All Departments of Secretariat.
The Principal Accountant General(A&E), Chennai-18
The Accountant General (Audit-1), Chennai-35.
The Accountant General (Audit-II), Chennai-6.
The Accountant General (CAB), Chennai-9.
The Principal Secretary/Commissioner of Treasuries and Accounts, Chennai-15.
All Pay and Accounts Officers/All Treasury Officers.
The Chairman, Tamil Nadu Public Service Commission, Chennai-3.
The Registrar, High Court, Chennai-104.
The Registrars of all Universities.
All State Owned Corporations and Statutory Boards.
The Commissioner, Corporations of Chennai /Madurai /Coimbatore /
Tiruchirappalli/ Salem / Tirunelveli/Erode/Tiruppur/Vellore/Thoothukudi.
Copy to:
The Senior Principal Private Secretary to the Additional Chief Secretary to Government,
Finance Department, Chennai-9.
All Sections in Finance Department, Chennai-9.
Stock File / Spare Copies.
-/ Forwarded : By Order /-

SECTION OFFICER

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