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Rule 195 - Contract Monitoring | KartavyaDesk

GFR 2017

Original Rule Text

Rule 195 Monitoring the Contract. The Ministry/Department should be involved throughout in the conduct of consultancy, preferably by taking a task force approach and

What This Means

Rule 195 of the General Financial Rules (GFR), 2017, emphasizes the importance of active monitoring of consultancy contracts by the concerned Ministry or Department. It's not enough to just sign a contract and wait for the results. The government needs to be actively involved throughout the entire consultancy process. This involvement ensures that the consultancy is progressing as planned, meeting the defined objectives, and delivering value for money. Think of it as being a responsible project manager, not just a client. This rule applies to all Ministries and Departments of the Government of India that engage consultants. It affects everyone involved in the process, from the officers who draft the initial terms of reference to those who ultimately evaluate the consultant's work.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • •Ministries/Departments must be actively involved in consultancy contracts.
  • •A 'task force' approach is recommended for monitoring.
  • •Continuous monitoring ensures the consultancy meets objectives.
  • •The goal is to ensure value for money in consultancy projects.

Practical Example

The Ministry of Rural Development hires 'Vision Consultants' for a project to improve rural infrastructure planning at a cost of ₹50 Lakhs. Instead of simply waiting for the final report, the Ministry forms a task force consisting of engineers, economists, and local representatives. This task force holds regular meetings with Vision Consultants, reviews their progress reports, and provides feedback on their methodology. They also conduct site visits to ensure the consultant's recommendations are practical and aligned with the needs of the local communities. This active involvement helps the Ministry identify potential issues early on and ensure that the consultancy delivers a useful and implementable plan.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What does 'task force approach' mean in Rule 195?▼
It means forming a dedicated team within the Ministry/Department, comprising relevant experts, to oversee and monitor the consultancy project. This team acts as a focal point for communication and decision-making.
Why is active monitoring so important?▼
Active monitoring helps ensure that the consultancy stays on track, meets its objectives, and delivers value for money. It also allows for timely course correction if any issues arise.
Who should be included in the task force?▼
The task force should include individuals with relevant expertise and knowledge related to the consultancy project. This may include subject matter experts, financial officers, and representatives from the end-user community.
What happens if the Ministry doesn't actively monitor the contract?▼
Failure to actively monitor the contract can lead to delays, cost overruns, and ultimately, a consultancy that fails to meet its objectives. This can result in a waste of public funds and a failure to achieve the desired outcomes.
Does this rule apply to all types of consultancy contracts?▼
Yes, Rule 195 applies to all consultancy contracts entered into by Ministries and Departments of the Government of India.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to Rule 195 of GFR 2017, what is the recommended approach for Ministries/Departments when monitoring consultancy contracts?

Related Rules

Rule 271General Financial Rules 2017 (amended July 2024) - Rule 271 - Chapter 10Rule 109General Financial Rules 2017 (amended July 2024) - Rule 109Rule 146General Financial Rules 2017 (amended July 2024) - Rule 146 - Chapter 6Rule 169General Financial Rules 2017 (amended July 2024) - Rule 169 - Chapter 6Rule 215General Financial Rules 2017 (amended July 2024) - Rule 215 - Chapter 6

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