Section 19(1) in Rajasthan Public Procurement Rules, 2012
(1)A running rate contract for a period, commonly known as Rate Contract (RC) is an agreement between the procuring entity and the bidder or service provider for supply of goods or execution of a work or rendering specified services at specified price and terms and conditions (as incorporated in the agreement) during the period covered by the rate contract. A rate contract is in the nature of standing offer from the bidder or service provider. The period of rate contract will be generally one year, preferably a financial year to match with budget provisions and levy of taxes. It may be a shorter period, if variations in market prices are expected to be significant. It may also be a longer period upto two years if the variations in market prices are not expected to be significant. The reasons for selecting the period for RC shall be recorded.
