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Thursday, 14 September 2017

Mandatorily release of grants through PFMS from 1st October 2017 - DoE OM

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Mandatorily release of grants through Public Fund Management System from 1st October 2017 - Government of India ,Ministry of Finance, Department of Expenditure, Public Finance (Central - I) Division's OM No. F. No.48(06)/PF-II12016 Dated, the 12th September, 2017, Subject: On boarding of all Central Sector Schemes on PFMS (target date: 30th September, 2017) - Mandatory release of grants through PFMS.

F. No.48(06)/PF-II12016
Government of India
Ministry of Finance
Department of Expenditure
Public Finance (Central - I) Division

North Block, New Delhi,
Dated, the 12th September, 2017


OFFICE MEMORANDUM

Subject: On boarding of all Central Sector Schemes on PFMS (target date: 30th September, 2017) - Mandatory release of grants through PFMS.

The universal roll out of the Public Financial Management System (PFMS) for Central Sector (CS) schemes is currently underway. In this regard reference may be made inter alia to F.No. 66(29)PF-II/2016 dated 15th July 2016; D.O.No.C-13015(487)/MFCGA/PFMS/2017-18/3813 to 3831; DO No. C-13015(487)/MFCGA/PFMS/2017-18/3927 to 3954, wherein universal roll out of PFMS and Expenditure, Advance and Transfer (EAT) module for all Programme Implementing Agencies (PIAs) at all levels for the Central Sector schemes was to be completed in two phases for two different groups of ministries by 31St August 2017 and 3oth September 2017 respectively which is as under:

I. Phase - l:  14 major Ministries/Departments constituting 2/3rd of the Central Sector Budget by 31St August, 2017.

II. Phase - II:  It will cover remaining Ministries /Departments by 3oth September, 2017.

2. This involves registration of all the Central Sector schemes and all of their implementing agencies at all levels on PFMS and use of EAT module by all these implementing agencies. The PFMS/EAT module will ensure complete tracking of funds up to last mile and also ensure Just in Time release of funds.

3. In this regard, attention is also invited to the Rule 230 of GFR 2017 wherein it has been mandated that the Programme Division of Ministries/Departments shall take the help of PFMS portal to know the bank balance of the recipients before making each release. And the instructions of DoE regarding use of PFMS portal for Central Sector Schemes issued from time to time shall be strictly followed by all Ministries/Departments. Rule 230 also mandates that the principles of “just-in-time” release should be applied for releases in respect of all payments to the extent possible.

4. In view of the expected completion of roll out of PFMS in all Central Sector Schemes, it has now been decided that with effect from 1st October, 2017, releases for Central Sector Schemes for all level of Implementing Agencies (IAs) will only be made through PFMS. Further releases shall only be made based on balances available in PFMS as per the EAT module data for the respective agency in line with the express provisions of Rule 230 of GFR 2017.

5. In view of the above, all Ministries/Departments are directed to ensure that further release of funds in respect of Central Sector Schemes from 1st October 2017 onwards are processed with the expenditure/balance details available in PFMS. It is also to be ensured that all PIAs mandatorily use EAT module of PFMS w.e.f. 1st October 2017.

6. This issues with the approval of Finance Secretary.

(Chittaranjan Dash)
Director (PFC.I)
Ph.011-23093109
[chittaranjan.dash@nic.in]


To,

1. All Secretaries to the Government of India
2. All Financial Advisors of the Government of India
3. Principal CCAs/CCAs of all Ministries/Departments
Copy for information to:

1. PPS to Finance secretary
2. Sr. PPS to CGA
3. PS to Project Director, PFMS
4. PPS to Additional Secretary, NITI Aayog


Click on image to view/download signed copy

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