Passive terminators DO NEED term power as well - they pull up to 5V/TP AND down to GND (220 / 330 Ohms). All term power feeds are secured with diodes, so nothing goes wrong if >1 device feed the line. ->
LinkI usually set up the devices near the ends to provide TP. Those are the ones to terminate as well, but on external devices I use an external terminator instead (easier to see if everything is properly plugged together).
Some (rare) devices, host adapters etc. don't like other devices providing TP - I've never found a real reason for this, but the problem exists.