e-PPS2 Outsourcing Service Personnel Preparation Guideline

01When to Use e-PPS2

Use e-PPS2 when you will hire service personnel through a service provider under the Government's Outsourcing Policy: people who work at your premises under your day-to-day direction, while the provider employs them, supervises them and is paid a commission.

Nature

Physical Services (outsourced personnel)

Method

Open (OTM) or Limited (LTM) Tendering

Value

Any

Pre-qualification

None; post-qualification

Price competition

Service commission only

Award

Lowest evaluated responsive tender

• OTM: TDS 5.1 opens the tender to all tenderers.
• LTM: TDS 5.1 limits it to tenderers enlisted with the PE, where PPR 2025 allows limited tendering.

02What You Prepare

03How the Price Works

This is the most important difference from other tenders. The remuneration of service personnel is fixed as a consolidated payment under the Government circular. You write those amounts into the Activity Schedule yourself. Tenderers quote only their service commission, as a percentage of the total personnel cost, and that rate applies equally to every activity.

• Take pay, bonus and overtime rates from the current Outsourcing Policy circular, category by category. Add a block for each category (guard, cleaner, driver and so on).
• Set the minimum commission in TDS 24.6. It must not be less than 5% of the consolidated pay. Consider the provider's real overheads (supervision, uniforms, replacements, admin) when preparing the official cost estimate under Rule 25(9).
• A tender quoting below the threshold is rejected (ITT 24.6, 48.4).
• If the Government revises outsourcing pay during the contract, remuneration and the contract price are adjusted with HOPE or Authorized Officer approval (ITT 24.7).

Example: who wins? The TDS threshold is 5%. Tenderer X quotes 4%: rejected. Y quotes 6% and Z 7.5%, both technically responsive. On A = Tk. 10,74,020, Y's commission is Tk. 64,441 and Z's Tk. 80,552. Y is the lowest evaluated tender, subject to post-qualification.

04Fill In the TDS

05Qualification Criteria

All criteria are pass/fail. A tenderer that fails any one is non-responsive.

• General experience: years in contracting in the public sector, shown by the year of registration.
• Specific experience: at least one contract supplying service personnel in the public sector, of similar nature and size, at least 70% complete, proven by completion certificates from the PE concerned.
• Turnover: certified public-sector receipts, by bank statement issued no earlier than 28 days before the deadline.
• Liquid asset: bank statement with 3 months' transactions, an approved credit line, a credit commitment letter on Form e-PPS2-5, or working capital from audited statements.
• Contract Supervisor and equipment as set in TDS 14.1 and 15.1.

Example: setting the financial criteria A Tk. 5 crore contract over 24 months has an annual cash flow of Tk. 2.5 crore. With a multiplier of 0.3, ask for average turnover of Tk. 75 lakh. Monthly payments run about Tk. 20.8 lakh, so two months of liquid asset is about Tk. 41.7 lakh; the STD rounds this to Tk. 40 lakh.

Keep criteria proportionate. Outsourcing providers carry two to three months of wages before payments arrive, which is why liquid asset matters more than turnover here.

06Scoring the Personnel

Tenderers submit CVs with academic and experience certificates for the personnel they propose. In TDS 41.6 you allot 100 points across positions (A) and set sub-criteria for each individual (B).

• A tender needs at least 70% of the technical points; below that it is non-responsive.
• Each individual needs 60%. An individual below 60% does not make the tender non-responsive; if that tenderer is lowest, it must replace the person with a competent individual at negotiation.
• The TEC scores as a whole and ranks tenders by technical points.
• Use only criteria you can verify from CVs and certificates, or tests you will actually run. If you plan written, oral or physical tests, say when and where.

Example: one way to convert scores If guards average 80%, the supervisor 75% and cleaners 70%, the tender earns 40 + 15 + 21 = 76 points and passes. The STD does not fix how individual scores become position points, so state your method in the TDS.

07Specifications and Appendices

Section 7 is a framework. Fill each heading for this service:

• Background, purpose, areas covered (buildings, floors, gates), detailed duties.
• Days, hours and shifts; daily, weekly, monthly and six-monthly activities.
• Equipment and consumables the provider supplies at its own cost (uniforms, ID cards, torches, radios).
• Staff qualifications by category.
• Performance monitoring: management meetings at least every three months, a designated officer for progress meetings, and a post-contract evaluation report shared with the provider.

The contract appendices also need content:

08Publish, Clarify and Amend

• Publish the IFT in e-GP; tenderers buy the e-TD through an e-GP member bank by the day before the deadline.
• Answer clarification requests through e-GP within 5 working days.
• A pre-tender meeting, if held, is online; upload minutes within 5 working days. Non-attendance never disqualifies.
• Change the document only by Addendum, circulated within 5 working days and posted where the IFT was posted.
• If an addendum is issued with less than one-third of the preparation time left, extend the deadline by at least 3 working days.

09Opening and Evaluation

1. e-GP opens only the technical offers after the deadline; financial offers stay encrypted.
2. Preliminary examination: all forms filled and e-signed, and a valid tender security. If either is missing, the tender is rejected.
3. Technical examination: eligibility, qualification documents (ITT 26), Performance Specifications and personnel scoring. No minimum number of responsive tenders is required.
4. Clarifications go through e-GP, signed by the TEC Chair only, and cannot make a non-responsive tender responsive.
5. The TEC sends the technical report directly to HOPE or the Authorized Officer for approval.
6. e-GP then decrypts the financial offers of technically responsive tenderers only.
7. Reject any commission below the TDS threshold. There is no arithmetic correction in e-GP.
8. Rank by evaluated price. Ties go to the higher technical score or superior past performance with the PE, never a lottery.
9. Post-qualify the lowest tender against ITT 11–15; you may visit its premises. If it fails, move to the next.
10. Negotiate technical aspects only: confirm all personnel are available for the whole period, replace anyone under 60%, review the staffing plan, sign minutes and initial the draft contract.

You may reject all tenders, with HOPE approval, if the lowest exceeds a realistic estimate, competition was ineffective, all are non-responsive, the document is defective, or misconduct is proven; but not if the lowest price matches the market. Notify all tenderers within 3 working days.

10Award, Security and Signing

1. Issue the Notification of Award within 3 working days of approval, before validity expires, with the draft contract.
2. Publish the award (Format e-PPS2-B) within 24 hours on your notice board or website and the BPPA website, for at least 28 days.
3. The provider furnishes the performance security, 10% of the commission, within 7, 10 or 14 working days, valid until 28 days after the Intended Completion Date. No retention money is held.
4. Sign within 14, 21 or 28 days of the NOA. Failure to furnish security or sign forfeits the tender security; award to the next tenderer.
5. Within 3 days of signing, publish contract details (Format e-PPS2-C), with beneficial ownership for contracts above Tk. 10 lakh, for at least 30 days.

Example: security size With Y's commission of Tk. 64,441, the performance security is Tk. 6,444, small against a Tk. 11 lakh-plus contract. Your real leverage is the non-performance penalty and suspension of commission (section 12).

11Payments and Administration

• Before starting, the provider submits a Program showing the deployment of all personnel, for your approval (GCC 11). Services start 7–21 days after the contract becomes effective (PCC 13.1).
• Approve the provider's management personnel; you may require any of them to be replaced. No personnel change without your consent; replacements must be equally or better qualified (GCC 18–19).
• Payment: monthly, after you certify the services were satisfactory (PCC 38.1). Each service person is paid into their own bank account, and the commission into the provider's account, by crossed cheque or pay advice (GCC 36).
• The provider invoices within 3 days of the payment condition being met; you pay within 5 days. Interest at the PCC rate applies after 28 days' delay.
• Taxes: income tax at source applies only to the commission; VAT is deducted at source. A change in tax law adjusts the price so the provider's net receipt is unchanged.
• Variations, including longer engagement periods, only by written agreement (GCC 15, 17.2).
• Extensions of time: notice within 14 days of the event; decide within 21 days; up to 30% by the PE, 30–100% with HOPE approval, beyond 100% with the Secretary's approval.
• Final payment follows an approved final report and final statement. Prepare a post-contract evaluation report and share it with the provider.

Part B of Section 7 mentions quarterly payment against the officer's certificate, while PCC 38.1 says monthly. Monthly suits wages; make sure the PCC and Appendix B agree.

12Penalties, Termination and Disputes

• Poor or non-performance: notify the provider; if not corrected in time, assess the cost and recover it plus a penalty of 15–25% (PCC 30.1) of that cost.
• Suspension of payments: written notice stating the failure and giving up to 14 days to remedy.
• Performance security claim: after a notified breach or unpaid amount continuing 14 days or more.
• Termination for default: 30 days' notice for a fundamental breach, such as stopping services for 14 days, failing to start, not keeping the security, ignoring a notice to correct, corrupt practice, or (for the provider) unpaid certificates beyond 42 days.
• Also termination for insolvency, for your convenience, or after 42 days of force majeure.
• Disputes: amicable settlement; then the Adjudicator within 14 days of your decision (decision in 28 days, fees shared equally); then arbitration under the Arbitration Act 2001 after 28 days. The President of the Institution of Engineers, Bangladesh appoints the Adjudicator if the parties disagree.

Example: penalty Two guard posts are left unmanned for 3 nights and you assess the cost at Tk. 6,000. With PCC 30.1 at 20%, the provider pays Tk. 6,000 plus Tk. 1,200.

13Points to Correct in the Draft

The October 2025 e-PPS2 still carries text from the works STD. Clarify these in your TDS and PCC or ask BPPA:

• Works wording: ITT 2.1(g) and 12.1 speak of "Works" and "construction experience"; the submission letter ties the security to the "Completion Certificate of the Works"; GCC 45.4 and 46.1 mention works; the Completion Certificate format certifies "Works", designs, LD and bonus. Read as services. The front pages are headed "e-PPS2PW3".
• Commission clause: the Activity Schedule cites "ITT 24.7" for the 5% minimum; it is ITT 24.6.
• Two tie-break rules: ITT 49.2 uses past performance with the PE; 49.4 uses the highest technical score. State which applies first.
• Payment interval: PCC 38.1 says monthly; Section 7 Part B says quarterly.
• ITT 41.6 sends personnel replacement to "ITT Clause 48"; negotiation is ITT 50. ITT 59.1 refers to "ITT Clause 56" for the security; it is 58.
• The submission letter cites ITT 29.1 for the tender security amount (TDS 28.1) and ITT 59.1 for the performance security amount (TDS 58.1).
• GCC 14.1 refers to termination under "GCC Clauses 54 to 57"; termination is GCC 49–52.
• ITT 56.1 calls the attached contract "Form e-PPS2-6"; the contract is e-PPS2-7. The NOA cites Rule 123(11) for signing while TDS 63.2 cites Rule 123(9).
• TDS 14.1 appears twice; the second (equipment) duplicates 15.1. TDS 22.3(b) repeats 22.2(g)'s text.
• TDS 22.2(e) says the "immediate past" assessment year but its example for FY 2025-26 is AY 2023-24 (immediate past would be 2024-25).
• TDS 12.1(b) requires a contract "completed" yet "at least 70 percent complete".
• The guidance lists Form e-PPS2-9 as a bank guarantee for advance payment; Section 5 lists it as Contract Amendment; neither form is included. Section 6 and 7 page numbers are reversed in the contents.
• ITT 19.2 speaks of buying the document after a newspaper advertisement, while ITT 20 covers e-GP download.
• PCC 1.1(n) counts completion from signing; PCC 14.1 from the effective date.
• Section 7 Part B refers to "cleaning services"; Formats B and C read "FUNDING NEGRMATION" and skip item 12.

14Publishing Checklist

• The need is outsourced personnel under the Outsourcing Policy; OTM or LTM chosen.
• Activity Schedule has every category, number, months, and current circular pay, bonus and overtime rates.
• Minimum commission (at least 5%) set in TDS 24.6; estimate allows realistic overheads.
• VAT rate inserted; any provisional sums justified.
• Qualification criteria set: experience, turnover, liquid asset, supervisor, equipment, licences.
• Personnel scoring table (A) and sub-criteria (B) complete, with test arrangements and the conversion method.
• Performance Specifications and Appendices A–E written.
• Validity, tender security, performance security days and signing days set by estimate band.
• PCC complete: start days, completion date, penalty %, interest rate, inspection method, bank account requirements for each person, adjudicator and arbitration place.
• Payment interval consistent in PCC 38.1, Appendix B and Section 7.

15Common Questions