WORKS MANAGEMENT IN CPWD PART I AVINASH KUMAR GUPTA CCW AIR SOOCHNA BHAWAN NEW DELHI

1. WORKS
Speaker:Speaker:
A. K. GUPTA
Executive Engineer (Vigilance)
Mandi House, New Delhi

2. OUTLINE
WORKS
GFR Provisions
CPWD Works Procedure
Role of Divisional Accountant
Works Accounts, Books and Forms
Suspension of Work
Disputes and Arbitration
International contracts
Integrity Pact
E-Tendering
CVC Guidelines
Illustrations
Estimates
NITs
Accounts
Contract Document

3. WORKS
Site preparation, construction, reconstruction,
demolition, repair, maintenance, or renovation of:
Buildings, installations or other structures
Railways, roads, highways, ports, airports or other
infrastructures
Any construction project or any construction work
relating to excavation, drilling, installation of
equipment and materials, Services incidental or
consequential to the work

4. GOODS
All articles, materials, commodities, livestock,
furniture, fixture, raw materials, spares, instruments,
machinery, equipment, industrial, plant - for use of
Government.
Excludes, books publications, periodicals.

5. SERVICE
Includes physical, maintenance, professional,
intellectual, consultancy and advisory services.
Other than procurement of goods or works.
Does not include appointment of any individual
made under any law.

6. PROCUREMENT
Acquisition by purchase, lease, license or otherwise of
goods, works or services or any combination thereof,
including award of Public Private Partnership
projects, by a procuring entity-
Directly or through an agency with which a contract
for procurement services is entered into
Does not include acquisition of goods, works or
services without consideration.

7. ORIGINAL WORKS
New Construction
Additions & Alterations to existing works
Special repairs to newly purchased or previously
abandoned buildings or structures
Remodeling or replacement

8. REPAIR WORK
Maintain building or fixtures

9. ADMINISTRATIVE CONTROL OF
WORK (RULE 124)
Responsibility for construction, maintenance and
upkeep.
Paper utilization of buildings and allied works.
Provision of funds for execution

10. POWER TO SANCTION WORKS
(RULE-125)
Powers to accord AA & ES
Re-appropriation
As per DFPR – 1978
To various subordinate authorities.

11. EXECUTION OF WORKS (RULE-126)
Ministry/Department directly take up Repairs upto
Rs. 30.00 lacs.
Assign repair works above Rs. 30.00 lacs and original
work of any value to any public works organizations
(state PWD, CPWD, MES, BRO, civil wing of MI&B ).
Alternatively to any PSU, central, other state govt as
notified by the MOUD .COMPETITION among PSUs
wrt lump sum charges,

12. ADMINISTRATIVE CONTROL OF
CPWD
Works not specifically allotted to any
Ministry/Department.
Included in Grants for Civil works to be
administrated by CPWD.
No partly funding.

13. GENERAL RULES 128
Ministry/Department shall generally observe GFR
Detailed rules, order, may be framed by Departments.
Initiation, Authorization & Execution.

14. RULE 129 (i)
Rule 129 (i) No work shall be commenced liability
incurred until:
AA accorded by CA
ES by CA
Properly detailed design sanctioned
Estimates prepared & sanctioned
Funds provided during the year
Tenders invited & processed.
Work order issued.

15. RULE 129 (ii)
If not done as per rule 129 (i) obtain approval of
competent authority
Inform concerned Accounts officer.

16. RULE 130
Groups of works dependent on one-another forms
one project.
Obtain approval of the competent authority on the
basis of cost of project.
Lower authority will not give sanction
Not applicable for similar works independent of each
other.

17. RULE 131
Savings not to be used for additional works not
contemplated in the original project.

18. RULE - 132
Procedures to be prescribed by the Departments in
consultation with Account officer.
Preparation of detailed design & estimates AA & ES.
Open tenders for works 5 lacs to 10 lacs
Limited tenders < 5 lacs
A ward of works & execution of contract
Final payment on certificate of completion by the
executing officer:
As per specifications
Workmanship upto standards of indusrtry.

19. RULE - 133
PWD/CPWD execute work only when AA & ES
provided by the Department.
Funds provided

20. RULE - 134
REVIEW OF PROJECT:
For projects > 10 crores.
Project reviewed:
 Administrative Department
 Internal Finance Wing
 Executing Agency
Approve variation upto 10%

21. CLASSIFICATION AS PER FUNDING
OF WORKS
BUDGETED WORKS:
Undertaken from the financial estimates and accounts
of the Union of India.
Voted by both the Houses of Parliament.
• DEPOSIT WORKS:
Undertaken at the discretion of the department.
Government grants to autonomous or semi-
autonomous bodies.
Institutions through their Administrative Ministries.

22. EMERGENCY WORKS
Sudden and are inescapable requiring immediate action cannot brook
any delay.
 Earth quakes
 Blizzards
 Hurricanes/lightening
 Tornados
 Tsunami waves
 Floods
 Explosions/Arson
 Firs
 War
 In case of emergency, the work may be executed in absence of any or
all of the above mentioned pre-requisites. Competent authority to
regularize the liability as early as possible.

23. URGENT WORKS
Those kinds of works which requires fast
start/completion within compressed schedule.
 are to be taken up on top most priority .
availability of funds needs to be ensured beforetaking
the work.
 at request of user department, with prior in principle
approval of CPWD officers to approve the work order,
if work is to be executed through work order.
 Chief Engineer to approve the execution of urgent
works.

24. ADMINISTRATIVE APPROVAL
Administrative approval is the communication of
formal acceptance of the proposals by the competent
authority of the Administrative Ministry/Department
requiring the work.
Accord of administrative approval:
The concurrence of the competent authority to the
Preliminary Estimate of the work.
Powers for accord of administrative approval:
Various Ministries/Authorities delegated specific
powers to accord administrative approval.

25. ADMINISTRATIVE APPROVAL
Material deviations over original Sanctioned
Scheme:
Material deviations should not be made without the
approval of the authority even though the cost of the
same may be covered by savings on other items.
Excess over administrative approval:
Excess up to 10% of the amount by officers of the
CPWD. In case it revised administrative approval.

26. Expenditure sanction
Expenditure sanction:
Expenditure sanction is to be accorded by Ministry which ensure
funds for the project/work have provided, liability can be
incurred.
Order of appropriation re-appropriation of funds on minor works.
Powers for accord of expenditure sanction:
Ministries/Departments of the Central Government may issue
expenditure.
Administrative control of National Capital Territory of Delhi by
the Lt. Governor, Delhi after concurrence of delhi state division of
finance ministry.
Excess over expenditure sanction:
Expenditure sanction can be exceeded upto 10%, beyond which
revised sanction of Expenditure.

27. TECHNICAL SANCTION
 Technical sanction amounts to a guarantee that the proposals are technically sound,
estimates are accurately prepared based on adequate data.
 Accord of technical sanction:
 Detailed estimates are required to be prepared for technical sanction.
 Before an estimate is technically sanctioned, the following shall be desirable:
 Detailed architectural drawings and specifications.
 Preliminary structural drawings for foundations.
 Preliminary structural drawings of superstructure at least upto slab at level 2
 Preliminary drawings for internal and external services.
 In case of work for design and construct basis. Details functional requirement and
complete specifications including preliminary drawings finalized before the call of
tenders.
 Detailed estimate shall be prepared based on applicable schedule of rates.
 Deviation in Technical Sanction:
 Can be exceeded upto 10% beyond which
 Material structural alterations , orders of the authority which sanctioned
necessary

28. PRE-CONSTRUCTION AND
CONSTRUCTION STAGES
1) Pre-construction stage:
i) Requisition from the client.
ii) Approval of the preliminary plans by the client.
iii) Preparation of preliminary estimate.
iv) Approval of plans by the Local Bodies.
v) Preparation of detailed working drawings.
vi) Preparation of detailed estimates for buildings and all
services (civil, electrical and mechanical).
vii) Preparation of structural drawings.
viii)Call of tenders and pre-bid conference wherever
applicable.
ix) Decision on tender and award of work.

29. Construction stage
2) Construction stage:
i) Execution of work and contract management.
ii) Completion of work.
iii) Testing and commissioning.
iv) Completion certificate from Local Body including
fire clearance.
v) Handing over to client.
vi) Settlement of account.

30. PREPARATION OF ESTIMATES
Preliminary Estimate:
 Preliminary estimate is to be on plinth area or length of road
etc.basis
 On the basis of the preliminary drawings and specification
prepared.
 Provisions as required.
Provision for contingencies and its utilization:
 In addition to the provision for all expenditure can be foreseen
for a work, contingency shall be kept as follows:
 Estimated cost up to Rs. 1 crore………. 5%.
 Estimated cost more than Rs. 1 crore .. 3%, subject to minimum
of Rs. 5 lakh.
 Cover the cost of work-charged establishment

31. SCHEDULE OF RATES
To facilitate the preparation of estimates, as a guide in
settling rates in connection with contract agreements, a
schedule of rates for each kind of wok commonly executed
should be maintained up-to-date in the Department. The
rates prevailing in each station and necessary analysis.
The schedule of Rates for Delhi shall be issued under the
authority of DG, CPWD.
Work of flyovers, bridges, grade separators and
highways/hill, major roads are involved, MORTH
specifications and its standard data. In analysis of rates,
the prevailing market rates at the work shall be adopted.

32. SUPPLEMENTARY ESTIMATE
Any development that is thought necessary while a
work is in progress.
Not covered in the original estimate.
May be covered by a supplementary estimate.
Revised Estimate
Excess beyond permissible variation over the
estimate.

33. CONTRACT
Offer made by one person – Promisor.
Acceptance of an offer – Promisee.
Doing an act by promisor for promisee –
consideration
Lawful offer and acceptance
Offer and acceptance constitute an agreement.
An agreement enforceable by law becomes Contract.

34. AGREEMENT
A proposal
Communication of proposal
Communication of acceptance of proposal
Offer may be revoked before acceptance
Acceptance may be revoked before it is posted.
Contract springs up once the offer is accepted.

35. DIFFERENT FORMS OF CPWD
Form 6 – NIT
Form 7 – Percentage rate tender
Form 8 – item rate tender
Form 9 – supply of material
Form 10 – Piecework:
i) For work less than Rs. 5 lakhs
ii) Where it is necessary to start the work in
anticipation of formal acceptance
iii) or running contracts.

36. WORK ORDER
CPWD Form 11 –
i) Used for work up to Rs. 10 lakhs.
ii) Work awarded on this form may be stopped any time
by both parties.
CPWD Form 11 A-
i) Small works costing up to Rs. 10 lakhs
ii)The contractor is bound to execute specified work in
stipulated time.

37. LUMP SUM CONTRACT
Contractor is required to quote lump sum amount for
completing the work in stipulated time.
Detailed working drawings (Architecture and
structural) part of tender documents.
Detailed specification in tenders.
Drawings and detailed specifications form basis of
payments.
Payment as per mile stones

38. LUMP SUM CONTRACT
(Design and Construction)
Contractor to give design:
i) Two bid system to be adopted.
ii)All data, requirements, specifications preliminary drawings
forms the tender documents.
iii)Technical bid – contain the architecture plans, structural
design calculations, structural drawings, service plans, detailed
measurement sheets.
iv)Technical bids to be evaluated by a committee.
v) Committee to seek clarifications if required through pre-bid
conference.
vi)Equalizing the bids
vii)Offer for revising the price bid
viii)Opening the price bid

39. AWARD OF WORK WITHOUT
TENDERS
For works below Rs. 50,000/-
Reasons to be given
Work awarded after calling quotations
Publicity may be given through web
Spot quotations may be collected as per situation
Total amount of the works awarded without call to
tender in a year should not exceeds the limit
prescribed.

40. TENDER DOCUMENTS
DESIRABLE :
Availability of site, funds, local body approval.
Available of departmental issued materials
Structural drawings for foundation
Lay out plans
• DOCUMENTS:
NIT
Special conditions, additional conditions.
Schedule of quantities
Drawings and specifications
Complete scope of works

41. DEPARTMENTAL ISSUED MATERIAL
Not to be issued free of costs/issue rates to be
specified
Description of materials to be given
Place of issue
Notice to be given for return the materials
Recovery of stipulated material beyond permissible
variation.

42. NIT
Issue after authorized by TS sanctioning authority
Use standard forms
Eligibility criteria clear and unambiguous
Estimated cost and time of completion mentioned
Use of symbols not desirable, units more specific
Corrections should be attested. All pages numbered, clear,
legible and unambiguous.
Correction slips mentioned
No condition for inspection of material etc. inside/outside
the country at contractor’s cost. Permission of Ministry for
inspection abroad

43. VALIDITY PERIOD
From date of opening of tender to acceptance
For single bids
EE – 30 Days
SE – 45 Days
CE – 60 Days
ADG/DG/CWB – 90 Days

44. SPECILIZED WORK
Those required special T&P and skill
Tenders on two bid/three bids system
STEPS:
Approval of definition of similar work
Approval of eligible contractors
Approval of technical specifications
Revision of financial bids
Acceptance of financial bids

45. ELIGIBILITY CRITERIA
Experience of having successfully completed works
during last seven years.
i) Three similar works not less than 40% of the
estimated cost or
ii)Two similar works not less than 60% of the estimated
cost or
iii)One similar work of not less than 80 % of the
estimated cost

46. ELIGIBILITY CRITERIA
FOR DG SET:
i) Three similar works not less than 40% of estimated
cost and having capacity 80% of the equipments or
ii)Two works not less than 60% of estimated cost and
having capacity 80% of the equipments
iii)works not less than 80% of estimated cost and
having capacity 80% of the equipments

47. SPECILIZED WORK CONTINUES
Three bid system:
Pre-bid conference for clearing doubts.
1st
bid - Examine the documents relating to eligibility
criteria and approve the eligible contractor.
2nd bid – open bid for technical specifications and asses
technically qualified bidders. Technical and financial bid
may be called simultaneously or
Financial bids may be called from technically qualified
contractors or revised financial bid may be called if
revision in specifications after technical bid.
3rd
bid – financial bid.
Guarantee bonds required in case of water proofing/anti-
termite works etc.

48. EARNEST MONEY
To ensure that a tenderer does not back out of his tender
before or after acceptance.
To be deposited with the tender as specified
2% of the estimated cost up to estimated cost of 10 crores
20 lakhs + 1% of the estimated cost in excess of Rs. 10
crores.
Cash upto Rs. 10,000/-, Bankers Cheques, DD, FD and
Bank Guarantee (minimum 6 months)
Earnest money is not security deposit with in meaning of
Rule, 45 of the saving Bank Rules.

49. FORFEITURE OF EARNEST MONEY
If tenderer withdraws tender before the expiry of the
validity period, 50% forfeited
Contractor fails to furnish performance guarantee
within prescribed period, fully forfeited.
In case of forfeiture, tenderer not to participate on re-
tendering.

50. AWARD OF WORK
Receipt of tenders
Witnessing the opening of tenders
Marking corrections, omissions
Preparation of comparative statements
Responsibility of Divisional Accountant:
Safe custody of tenders in accounts branch
Checking the computation of tenders
Correctness of the comparative statements
Furnishing of certificate of correctness

51. AWARD OF WORK
Resolving ambiguities:
Difference in rates written in words and figures, rate
corresponding to amount is taken correct.
If amount is not worked out, rate in words taken
correct
Rate in words and figures tallies but not with the
amount, rate is taken as correct
In percentage rate tenders, tender percentage to be
taken correct

52. AWARD OF WORK
Processing tenders:
Timely processing
Tenders with conditional rebates to be rejected
If validity expires, seek extension of validity for
contractors
Reasonability and competitiveness of the rates,
variation up to 5% over justified rates
Revised expenditure sanction if tender amount more
than 10% of TS, seek assurance from the competent
authority

53. AWARD OF WORK
Conducting negotiations:
Negotiations should not normally be conducted with
the tenderer
Where it becomes necessary, restricted only to the
lowest tenderer.
Negotiations on rates with the approval of next higher
authority in works of urgent nature where time is not
available for recall
For clarification of any error/ambiguity
Higher rates on recall

54. AWARD OF WORK
Communication of acceptance:
Communicate to the contractor and ask submission of
PG
On submission of PG, intimation for commencement
of work
Also intimate, ALC, Conciliation Officer, ITO, Labour
officer
Unsuccessful tenderers may be informed about
rejection

55. PERFORMANCE GUARANTEE
After award of work for performance of contract
5% of tendered amount
Cash, Deposit at call receipt, Banker’s cheque, demand
draft,
valid upt to date of completion, extended period + 2
months
It should be returned after stipulated period
Contracts involved maintenance 50% PG will be retained.
Failure to extend guarantee, the E-in-C may claim full PG.
If contract is determined/rescinded, PG will be forfeited in
full.

56. SECURITY DEPOSIT
After completion of work
2.5% of the gross Amount of each running bill
Total 2.5% of tendered amount
Contractor may encash SD by giving government
securities, FDR
Released on furnishing BG on accumulation of
minimum 5 lacs BG should be minimum of Rs. 5 lacs
For maintenance 50% PG is treated as SD, released
yearwise proportionately.

57. E-TENDERING
E-tendering platform hosted by M/s ITI Ltd. With
address www.tenderwizard.com/cpwd
All the authorized officers and contractors to
obtain digital signature certificates from
authorized certifying authorities like NIC,
MTNL, e-Mudhra, TCS, Safesrypt, GNFC etc.
EE will upload NIT specifying the time and date of
submission, opening, list of document to be scanned
and uploaded.

58. E-TENDERING
Documents to be scanned and uploaded
Document of EMD
Enlistment/registration of contractors
Certificate of work experience
Affidavit as prescribed in NIT for financial turnover
Certificates of VAT & Sale Tax registration
An undertaking that physical EMD will be deposited
when required failing which tenderer will be
debarred.

59. E-TENDERING
Depositing of processing fee online
Contractor must ensure to quote rate for each item.
The column appears in pink color, it turns blue on
filling the rate.
Any cell left blank is treated 0 (zero)
Contractor can re-submit revised bid any number of
times before last date of submissions.
In case of revised financial bid contractor has to
revise financial bid failing which bid becomes invalid.

60. Processing of E-TENDERING
Three bid system:
Documents relating to eligibility are opened and
eligible contractor approved.
 open technical bids and finalize specifications and if
required call revised financial bid
All contractors would be informed through e-mail to
revise financial bid.
Revised financial bid to be submitted by eligible
contractors.
Revised financial bid will be opened on due date

61. Processing of e-tendereing
Bids will be opened by authorized officer, he can also authorize
other officer in case leave.
Download SOQ of each bidder and comparative statement
Contractor can login and see the bid opening process and
comparative statements
The officer will sign on each page, name of contractor will be
printed each sheet and also the page number and total pages
Full bid of L1 is to be downloaded
The comparative statement is generated automatically
Download comparative statement and check physically
The L1 contractor is to submit physically EMD and hard copy of
document
Award letter are to be published after acceptance of tender on
the tender portal.

62. COMPLETION OF AGREEMENT
Agreement consist of following documents:
 NIT
 PWD forms 7 or 8
 Schedule of quantities
 Letter of contractor submitting tender
 Other communications before acceptance
 Letter of EE communicating acceptance
 Letter of EE for commencement of work
 CPWD safety code, CPWD labour regulations etc.
 Correction slips

63. COMPLETION OF AGREEMENT
General principles:
 Only authorities under article 299 (1) of the constitution are
authorized on behalf of President.
 President is to be made party in each contract
 Use standard forms
 EE will sign for and on behalf of the President of India
 Agreement to be signed as soon as possible after acceptance
 The terms of the contracts should not be materially varied
without the previous consent of the authority to accept the
tenders.
 Duplicate copy of agreement to be given to the contractor free
of cost
 Certified true copies to be prepared for use in the office.

64. ThanksThanks
E mail: akgupta07@nic.in