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Implementation of Multi Purpose Stall (MPS) Policy

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Implementation of Multi Purpose Stall (MPS) Policy Sub: Implementation of Multi Purpose Stall (MPS) Policy

Text of the circular

GOVERNMENT OF INDIA MINISTRY OF RAILWAYS RAILWAY BOARD

No. 2017/TG-II/461/1

The General Managers, All Zonal Railways

New Delhi, dated > /02/2018

Sub: Implementation of Multi Purpose Stall (MPS) Policy

Ref : (i) Board’s C.C. No.61/2017 dated 05/09/2017.

(ii) NCR’s Letter No.C-65/Catg./MPS/Policy/HQ/NCR dated 9/10/2017

(iii) CR’s Letter No. C/180/F.D/MPS/17 dated 11/10/2017

(iv) SR’s Letter No. C 90/MPS Policy/ 2017 dated 17/10/2017

References have been received from Zonal Railways seeking clarification on the issues w.r.t. implementation of MPS Policy issued vide Board’s Commercial Circular No. 61/2017. The issues have been examined in Board’s office in consultation with finance and following are

advised :-

Issue Raised

Clarification

(i)Whether separate SAG formula required for MPS or existing Zonal SAG formula for catering units can be utilized.

Two factors i.e. (v) Purchasing Power (vi) and prevailing market rate or rent have additionally added in it. If separate SAG formula required, then how these two factors will be calculated?

As per Para 6.1 of MPS policy,

(i) Station-wise minimum license fee for 5 years for all MPS is to be fixed by the Divisions based on the SAG formula fixed by Zonal headquarters taking into consideration the factors mentioned therein.

Apart from the above, PCCMs of Zonal Railways have been empowered to include and consider any other factor (s) unique to the concerned MPS.

In view of above, the PCCMs of the Zonal Railways may take a decision in this regard with the concurrence of Principal Financial Adviser (PFA) and approval of General Manager as to utilize the same SAG formula for MPS as already fixed for other catering units.

(ii) MPS is a new concept. How estimated sales turnover will be calculated on the basis of sales assessment?

Estimated sales turnover be calculated on the basis of sales assessment of the similarly placed existing Misc. Article Stall/Trolley or Bookstall or Chemist Stall, whichever is earning the highest license fee. .

(iii) For converting existing Bookstall/table (other than Philanthropic), Misc. Stalls/trolleys, Chemist

For fixing new license fee of all existing stalls/trolleys etc. required to be converted into MPS, following are advised:

CR

CR

stalls/corners into MPS, it has been provisioned that these units will be given an option to convert into MPS subject to payment of license Fee as quoted by the prospective bidder for similarly placed MPS unit at the station /platform.

Suppose, if there is no prospective bidder at a particular station, then how it will be decided? Second, Railway Board has given target for converting existing (Book stall/table, Misc. Stall/trolley, chemist stall/corner) units into MPS in 90 days, it means conversion will be made first and till date, there is no prospective bidder.

How will license fee of the converted unit be decided?

1. Applicability to AH wheelers- NR is nodal railway for dealing all issues and affidavit regarding trolleys surrendering at station needs to be taken. In para 10 of under clause “ceiling limit’ no firm/company/individual will be allowed to have 5 stalls per division or 10 stalls per zonal railway. Similarly under para 11 under clause “applicability to existing stalls” it is stated existing stalls be allowed for conversion and if they do not opt for conversion will be allowed to continue till expiry of the existing arrangement/ agreement in vogue which is not known to any zonal railway other then NR.

Out of the i), ii) & iii) below, whichever is highest may be fixed as the new license fee for the units to be converted into MPS.

i) either 10% increase over the existing license fee of the respective unit, Or

ii) License fee of similarly placed existing Miscellaneous Article Stall/Trolley etc./ Bookstall/ Chemist Stall whichever is earning highest license fee. Similarly placed means such stall on same station or any other similar category of station over the Division, Or

iii) Sale Turnover b

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