Under the Public Sector Management (Goods and Services) Regulation, authority to procure goods and services for the Public Sector Service lies with the State Contracts Control Board ("SCCB") and with agencies with delegated authority from the SCCB. The SCCB may also grant exemptions from the operation of the Regulation.
Where a SCCB contract exists, departments/agencies are required to purchase from these contracts.
In the absence of a SCCB contract, agencies have been granted a delegation by the SCCB to undertake their own procurement in accordance with the General Purchasing Delegation, which states:
1. GOODS AND SERVICES UP TO $1,500 IN VALUE incl GST
Departments/Agencies are not required to obtain quotations for not-in-contract goods and services and can act independently of the State Contracts Control Board subject to the following conditions:
a) rates being considered reasonable and consistent with normal market rates for items of a like nature; and
b) requirements not being split into components nor succession of orders for the same goods or services for the purpose of enabling the goods/service to be obtained under the provisions of this delegation.
2. GOODS AND SERVICES OVER $1,500 AND UP TO $30,000 IN VALUE incl GST
Departments/Agencies can act independently of the State Contracts Control Board subject to the following conditions:
a) obtaining one written quotation;
b) rates being considered reasonable and consistent with normal market rates for items of a like nature; and
b) requirements not being split into components nor succession of orders for the same goods or services for the purpose of enabling the goods/service to be obtained under the provisions of this delegation.
3. GOODS AND SERVICES OVER $30,000 AND UP TO $150,000 IN VALUE incl GST
Departments/Agencies can act independently of the State Contracts Control Board where the goods or services are not available under contract, subject to obtaining a minimum of three written quotations, and
a) rates being considered reasonable and consistent with normal market rates for items of a like nature; and
b) requirements not being split into components nor succession of orders for the same goods or services for the purpose of enabling the goods/service to be obtained under the provisions of this delegation.
4. GOODS AND SERVICES OVER $150,000 IN VALUE
Departments/agencies are required to submit full details and specifications to the Department of Commerce (NSW Procurement - Contracting Services) for the invitation of tenders.
SPECIAL NOTE:
a) Where departments/agencies do not have the expertise to implement this Delegation they may refer the request for purchase to the Department of Commerce (NSW Procurement - Contracting Services) for appropriate action.
b) Departments/agencies are also to ensure that details of requirements of a repetitive nature are to be referred to the Department of Commerce (NSW Procurement - Contracting Services) so that consideration can be given to the arrangement of a state contract if necessary.
c) Departments/agencies located in rural areas are able to make local purchases of up to $1,500 in value, irrespective of whether the items concerned are available in contract, provided that the local purchases are more advantageous.
d) Departments/agencies may impose their own limits, at a lesser value than the Board's delegation, for internal management purposes.
e) Notwithstanding the above delegation, if departments/ agencies consider the proposed purchasing action to be of such a nature as to warrant consideration of the Department of Commerce (NSW Procurement - Contracting Services)/State Contracts Control Board, the matter can be referred for consideration irrespective of monetary value.
It should also be noted that the procurement of goods and services by government agencies must be undertaken in accordance with the NSW Government Code of Tendering and Code of Practice.
Please note that this delegation does not replace the SCCB's current delegation relating to the procuring of printing requirements.
