1. Presentation on Financial and Procurement Procedure to be followed by the Institute Management Committees

2. Funds may be used for Civil works, not exceeding 25% of total amount. Seed money kept in a corpus, not exceeding 50%. Procurement of equipment and machinery. Any other activity related to upgradation of ITIs.

3. Administrative Approval All expenditure made out of the funds of the IMC Society shall have the administrative approval of the Governing Council of the IMC Society except for some contingent expenses of upto Rs. 5000/- at a time.

4. Financial powers of different authorities in IMC society Upto Rs 15,000 : ITI Principal/Secretary, IMC Society. From Rs 15,000 : Works and Procurement to Rs 10 lakh Committee of IMC Society. Above 10 lakh : Governing Council of the IMC Society.

5. Constitution of Works and Procurement Committee of the IMC Society Chairperson/Vice-Chairperson : Chairperson of IMC Member Secretary of IMC : Member Nominated Senior faculty member : Member One nominated Industry member : Member

6. Procurement Procedure Works (Civil/Electrical) Upto Rs 5 lakh : Limited tender enquiry - More than three tenders shall be called from Contractors registered with CG/SG/ Indian Railways/MES/Public Sector civil/ elect. works orgns. Above Rs 5 lakh :Open tenders to be called by advertising in at least one national daily having wide circulation.

7. Procurement Procedure-Contd. Note : IMC may take assistance from State Public Works organizations or hire consultants to assist in preparing estimates, tendering, supervision of work, clearance of bills and payments. However, the rates for different items of work shall not exceed the Scheduled rates of relevant State PWD.

8. Procurement Procedure-Contd. Goods : Upto Rs 15,000/- : Prudent shopping without each time inviting quotation. From Rs. 15,000/- to : Prudent shopping by a Rs 1 lakh each time Committee of 3 members chosen by the Works and Procurement Committee.

9. Procurement Procedure-Contd. From Rs 1 lakh : Limited tender enquiry - to Rs 25 lakh More than three tenders shall be called from suitable manufacturers/ suppliers. Above Rs 25 lakh : Open tenders to be called by advertising in at least one national daily having wide circulation.

10. Procurement Procedure-Contd. Note:Directorate General of Supplies & Disposal (DGS&D) rate contracted goods can be procured from suppliers. The prices to be paid for such goods shall not exceed those stipulated in the rate contract. IMC should make its own arrangement for inspection and testing of such goods where ever required.

11. Procurement Procedure-Contd. Engaging Consultants Upto Rs 25 lakh : By calling for bids from more than three potential consultants, identified on the basis of formal / informal inquiries. Above Rs 25 lakh: By seeking “Expression of interest” from consultants by publishing in at least one national daily having wide circulation and then following a two bid – Technical and Financial bid, procedure.

12. Procurement Procedure-Contd. Outsourcing of Services Upto Rs 10 lakh : Limited tender enquiry – by inviting offers from at least six contractors/service providers. Above Rs 10 lakh : Open tenders to be called by advertising in at least one national daily having wide circulation.

13. Cheque Signing Authorities The Cheques of the Bank Account of the IMC Society should be signed by the following authorities of the Society: Upto Rs. 15000/- by the Member Secretary (ITI Principal) and one Industry member nominated by the Chairperson who is regularly available locally. More than Rs.15,000/- by the Member Secretary (ITI Principal) and the Chairperson of the Society.

14. Signing of Document Financial decisions taken by the Works and Procurement Committee and Governing Council, the Member Secretary of IMC (Principal, ITI) will sign all the required documents.

15. Note : The IMC Society should ensure that the funds of the Society are spent in the most efficient manner and only for the purposes mandated in the Memorandum of Association of the Institute Management Committee (IMC) Society and in accordance with the Institute Development Plan.

16. Accounting, Auditing and Maintenance of records Separate account books, asset registers and stock registers shall be maintained for the assets of IMC. Books of A/cs to be maintained as per ‘double entry’ system. Books to be got audited by a CA. Auditing may be done by CAG – matter referred to CAG office – will be clarified shortly.