Version: 3
FNM-PR-014: Procure Goods and Services
Outlines responsibilities of staff involved in the procurement of goods and services on behalf of the Department of Education and Training.
Statement of intent
Under the State Procurement Policy, the Director General of Education and Training is required to issue agency-specific procedures that govern the conduct of procurement within the department.
The department conducts procurement activities with integrity. Appropriate records are maintained to ensure transparency of the process and to provide evidence of accountability. The department's Procurement Officers are appropriately trained and understand their obligations and responsibilities in respect of the use of public money.
All purchases that utilise funds contained in department or school bank accounts are subject to specific responsibilities regardless of the source of those funds, including, for example, funds collected from students, parents and fundraising activities.
- Dealing with a supplier requires the correct delegation being exercised:
- Procurement delegations Procurement Instructions, section 4.1 (new window) 210k
- Authority to undertake or oversee the procurement process. A procurement delegation cannot be exercised unless an officer has obtained appropriate training or certification. Procurement delegation and thresholds are quoted exclusive of GST. - expenditure delegations (refer to Corporate Services Delegations Manual) - Authority to commit the department to incur expenditure. Expenditure delegations are quoted inclusive of GST.
- Procurement and expenditure delegations cannot be exercised by the same person except in the case of Corporate Card.
- Standing Offer Arrangements (SOA) (refer Procurement Instructions, Section 5 (new window) 210k ) and Preferred Supplier Arrangements (PSA) (refer Procurement Instructions, Section 5 (new window) 210k ) that are designated as mandatory are to be used.
- The use of other (non-mandatory) SOAs and PSAs is encouraged.
- Capital works projects can be directed to QBuild or Project Services without need for a competitive quote process.
- Other purchases made from competitively neutral commercialised business units of the Crown (e.g. SDS or GoPrint) can be made up to $100,000 without need for a competitive quote process.
- Quotes must be sought from genuine competitors (refer Procurement Instructions, Section 6.6 (new window) 210k ) and there is a minimum number of quotes required depending on the procedural threshold level (refer Procurement Instructions, Section 6.6 (new window) 210k ).
Responsibilities
Director-General: -
Issue agency procurement procedures consistent with State Procurement Policy.
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Ensure procedures within department safeguard:
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correctness, regularity and propriety of payments made;
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collection of revenue and receive, safeguard and account for public and other money;
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purchase, manage, dispose and account for public property and other property;
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prevent fraud or mistake.
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Delegate procurement authority to appropriately trained departmental officers.
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Grant exemptions from obtaining competitive offers for purchases up to any value on grounds of sole or limited supply or genuine urgency.
Executive Director Corporate Procurement: -
Develop and maintain department's procurement procedures on behalf of Director-General.
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Coordinate delivery of department's internal procurement training package.
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Develop, maintain, review and update department's Corporate Procurement Strategic Plan.
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Manage all procurement of consultancy services, regardless of dollar value and method of engagement.
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Maintain a central register of all consultancies for Annual Reporting purposes.
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Manage complaints about procurement process by:
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receiving and recording written complaints;
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acknowledging complaints;
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ensuring that complaints are investigated in a timely and effective manner;
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informing complainant of outcome of investigation;
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recording reasons for upholding or rejecting complaint;
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maintaining a database about complaints for analysis of trends;
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referring investigations to Director, Audit Operations where appropriate;
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reporting all findings to relevant Assistant Director-General.
For all procurement activities: Procurement Delegate:
- Undertake appropriate level of training for procurement activities being undertaken (refer Procurement Delegations for Purchases (new window) 210k )
- Conduct procurement process and exercise the purchasing delegation within limit of their delegation and in accordance with requirements of Department of Education and Training Procurement Instructions (new window) 210k .
- Account for decisions;
- Manage risk in accordance with department's Integrated Risk Management framework (also refer to Procurement Instructions, Section 6.3 (new window) 210k )
- Ensure all leasing arrangements if assessed as the most cost effective option are conducted through Whole-of-Government Lease Facility established by Queensland Treasury Corporation and Queensland Treasury (refer Procurement Instructions, Section 2.3.9 (new window) 210k )
- Ensure that contractors provide evidence of a current positive notice under Commission for Children and Young People and Child Guardian Act 2000
(new window) for each relevant employee before commencing any work relating to a contract (refer Procurement Instructions, Section 2.3.14 (new window) 210k ) - Ensure that contracts for supply of textiles, clothing and footwear comply with Code of Practice on Employment and Outwork Obligations for Textile, Clothing and Footwear Suppliers (refer Procurement Instructions, Section 2.3.15 (new window) 210k )
- Ensure that contracts for services comply with Section 89 of the Criminal Code Act 1899 (new window)
- Ensure their actions do not embarass department or place department in a contractually unsound position
- Ensure there is appropriate separation of duties between expenditure delegate and procurement delegate (refer Procurement Instructions, Section 4 (new window) 210k )
- Refrain from accepting gifts or favours from suppliers or potential suppliers (refer Procurement Instructions, Section 3.4 (new window) 210k )
- Ensure procurement thresholds or delegated authorities are not circumvented through order splitting (refer Procurement Instructions, Section 3.5 (new window) 210k )
- Utilise PSA's and SOA's that are deemed mandatory (refer Procurement Instructions, Section 5.2 (new window) 210k )
- Declare any conflict of interest as early as practicable during procurement process (refer Procurement Instructions, Section 3.7 (new window) 210k )
- Do not take advantage of suppliers' genuine mistakes by attempting to enforce conditions which are clearly to a suppliers' disadvantage or which were obviously never intention of supplier (refer Procurement Instructions, Section 3.6 (new window) 210k )
- Refer all requirements for consultants to Corporate Procurement Branch (refer Procurement Instructions, Section 7.2 (new window) 210k )
- Consult with Regional Facilities Managers for all major capital purchases ($100,000+).
Regional Finance Manager:
- Coordinate delivery of the department's internal procurement training package for staff in their region.
- Provide advice to regional, district and school state on State and departmental procurement policy and procedures for purchases up to $100,000
Regional Facilities Manager:
- Undertake capital works projects over $100,000
- Provide advice to regional, district and school staff regarding capital works projects.
Assistant Director-General, Strategic Information and Technologies:
- Approve all Significant Purchase Plans for ICT procurement.
Assistant Directors-General:
- Approve terms and conditions for Preferred Supplier Arrangements.
- Approve an Exemption from Competitive Process on form SPS003 (new window) 79k
to obtain competitive offers for purchases up to limit of their expenditure delegation on grounds of sole or limited supply, or genuine urgency. - Authorise a limited tender situation to a minimum of 5 suppliers on form SPS009 (new window) 79k for purchases in excess of $100,000.
- Approve Significant Purchase Plans for major purchases other than ICT.
- Sign contracts where expected expenditure exceeds Director-General's expenditure delegation and Ministerial or Executive Council expenditure approval has been granted.
Schools and other departmental units:
- Provide an annual report to Chief Industrial Inspector, Department of Industrial Relations of all service providers that supplied textile clothing and footwear goods during previous financial year.
Director, Audit Operations:
- Provide support and advice to Corporate Procurement Branch on investigation of complaints.
- Investigate any complaints involving Corporate Procurement Branch.
- Refer any official misconduct matters to Criminal Justice Commission.
- Escalate complaints that cannot be resolved by department to:
- Department of Public Works; or
- Parliamentary Commissioner for Administrative Investigations (Ombudsman).
Regional Senior Internal Auditor:
- Investigate complaints involving a Regional Office or School.
- Report all findings with recommendations to relevant Executive Director (Schools).
- Provide a copy of outcomes of investigation to Corporate Procurement Branch.
Director, Legal and Administrative Law Branch:
- Provide advice to Procurment Officers on any issues relating to compliance with Criminal Code Act 1899 (new window) .
- Provide advice and support on any legal matters identified in procurement process.
Industry Development:
For purchases up to $5,000: Procurement Delegate: - Ascertain whether a Preferred Supplier Arrangement (PSA) or Standing Offer Arrangement (SOA) exists that meets requirement.
- Use mandatory SOAs and PSAs and encouraged to use non-mandatory SOAs and PSAs.
- Where PSA/SOA does not exist seeks, develops clear and concise specifications and seek:
- one verbal quote for purchases up to $2,000; or
- three verbal quotes for purchases between $2,001 and $5,000 from genuine competitors using SPS001a (new window) 88k or SPS001b (new window) 93k .
- Place orders and make payments in accordance with Procurement Instructions, Section 6.12
- Raise an SMS/SAP purchase order for all purchases where corporate card or petty cash is not used, expect for 'Periodic Services' as listed in the department's Financial Delegations Manual or 'Special Payments' as detailed in the Financial Management Practice Manual (FMPM). 'Periodic Services' or 'Special Payments' can be paid as direct payments (i.e. without reference to a purchase order).
Be the sole point of contact for offerors. - Ensure that ICT purchases are made through GITC accredited supplier. Purchases of packaged software up to $5,000 per purchase can be made from non-GITC accredited suppliers provided that product is installed without modification and licensing arrangements are strictly adhered to.
- Ensure that ICT purchases are made in accordance with the SME Participation Scheme
- Evaluate offer/s using least cost or numerical scoring methodology and uses form SPS001a (new window) 88k or SPS001b (new window) 93k to document reason for selecting supplier.
- Ensure that no part of a supplier's offer is disclosed to any third party.
- Raise an SMS/SAP purchase order for all purchases over $2,000 and notes departmental preference for payment by credit card for purchases over $5,000.
- Ensure that goods/services are received in accordance with terms of Purchase Order.
- Ensure that adequate records are maintained regarding goods or services received.
- Follow up purchase orders that are not fully goods receipted or paid.
- Endeavour to resolve any complaints or concerns before there is a need for them to be put in writing.
- Ensure classification of all information (both paper based and electronic) in accordance with IFM-PR-008: Managing Department's Records.
Expenditure Delegate: - Provide expenditure approval in accordance with requirements of Financial Management Practices Manual.
- Endorse evaluation documentation
- Approve Purchase Order.
- Approve all contract amendments.
For purchases between $5,001 and $20,000: Procurement Delegate:
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Undertake a risk assessment using form
SPS005 (new window) 113k .
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Ascertain whether Preferred Supplier Arrangement (PSA) or Standing Offer Arrangement (SOA) exists that meets requirement.
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Use mandatory SOAs and PSAs and encouraged to use non-mandatory SOAs and PSAs.
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Where PSA/SOA does not exist, develops clear and concise specifications.
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Develop evaluation criteria consistent with any mandatory requirements identified in specification.
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Seek three written quotes from genuine competitors using form
SPS002 (new window) 157k , or completes an exemption from competitive process form (
SPS003 (new window) 79k ) and provides a copy of approved form to Corporate Procurement Branch.
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Ensure that all Evaluation Committee members are determined prior to seeking offers.
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Ensure that ICT purchases are made through GITC accredited suppliers.
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Be the sole point of contact for offerors.
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Provide clarification to all potential offerors in writing to ensure no offerors are disadvantaged.
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Ensure no part of a potential supplier's offer is disclosed to any third party.
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Evaluate offers using numerical scoring or weighted scoring methodology using
SPS004 (new window) 74k to document reasons for selecting successful supplier.
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Raises an SMS/SAP purchase order for all purchases where corporate card is not used, except for 'Periodic Services' as listed in the department's Financial Delegations Manual. 'Periodic Services' or 'Special Payments' can be paid as direct payments (i.e. without reference to a purchase order).
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Formalise any contract amendments in writing.
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Ensure that goods/services are received in accordance with terms of Purchase Order.
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Ensure that adequate records are maintained regarding goods or services received.
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Follow up purchase orders that are not fully goods receipted or paid.
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Endeavour to resolve any complaints or concerns before there is a need for them to be put in writing.
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Advise complainant of departmental procedures for managing complaints.
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Evaluation Team Members:
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Evaluate offers using established evaluation criteria.
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Declare any conflicts of interest.
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Maintain full records justifying selection of successful offeror.
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Direct all requests for clarification to the Procurement Delegate.
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Refrain from any contact with offerors.
Expenditure Delegate:
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Approve Exemption from Competitive Process where appropriate and ensures reasons given are defensible.
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Provide expenditure approval in accordance with requirements of Financial Management Practices Manual;
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Approve Purchase Order and all contract amendments.
For purchases between $20,001 and $100,000: Procurement Delegate:
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Undertake a risk assessment using form
SPS005 (new window) 113k .
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Ascertain whether Preferred Supplier Arrangement (PSA) or Standing Offer Arrangement (SOA) exists that meets requirement.
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Use mandatory SOAs and PSAs and encouraged to use non-mandatory SOAs and PSAs.
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Where PSA/SOA does not exist, develops clear and concise specifications.
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Develop evaluation criteria consistent with any mandatory requirements identified in specification.
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Seek three written quotes from genuine competitors using form
SPS006 (new window) 147k , or completes an exemption from
competitive process form (SPS003) (new window) 79k and provides a copy of approved form to Strategic Procurement Section.
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Ensure that all Evaluation Committee members are determined prior to seeking offers.
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Ensure that ICT purchases are made through GITC accredited suppliers.
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Be the sole point of contact for offerors.
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Provide clarification to all potential offerors in writing ensuring no offerors are disadvantaged.
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Ensure no part of a potential supplier's offer is disclosed to any third party.
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Raise an SMS/SAP purchase order for all purchases where corporate card is not used, except for 'Periodic Services' as listed in the department's Financial Delegations Manual or 'Special Payments' as detailed in the Financial Management Practice Manual (FMPM). 'Periodic Services' or 'Special Payments' can be paid as direct payments (i.e. without reference to a purchase order).
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Raise an SMS/SAP purchase order.
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Formalise any contract amendments in writing.
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Ensure that goods/services are received in accordance with terms of Purchase Order.
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Ensure that adequate records are maintained regarding goods or services received.
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Follow up purchase orders that are not fully goods receipted or paid.
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Endeavour to resolve any complaints or concerns before there is a need for them to be put in writing.
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Advise complainant of departmental procedures for managing complaints.
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Evaluation Team Members:
- Evaluate offers using established evaluation criteria
- Declare any conflicts of interest
- Maintain full records justifying selection of successful offeror
- Direct all requests for clarification to the Procurement Delegate
- Refrain from any contact with offerors.
Expenditure Delegate:
- Approve an Exemption from Competitive Process where appropriate and ensures reasons given are defensible.
- Approve evaluation documentation
- Provide expenditure approval in accordance with requirements of Financial Management Practices Manual;
- Approve Purchase Order;
- Approve all contract amendments.
For purchases over $100,000: Procurement Delegate (Corporate Procurement Branch or Capital Works and Infrastructure Management Branch):
- Provide advice to project team on procurement policies, procedures and issues.
- Develop Significant Purchase Plan where necessary.
- Develop Invitation to Offer documentation
- Ensure that ICT purchases are made in accordance with the Information Standard 13 and SME Participation Scheme
- Assist in developing an evaluation plan.
- Endorse evaluation report
- Assist evaluation team in negotiation of final contract.
- Provide advice to project team on risk assessment and management; development of specification and compliance with other relevant policies concerning industry development, facilities management and quality assurance.
- Obtain Industry Development Questionnaire responses from offerors for ICT goods and services in excess of $250,000.
- Provide Procurement Releases for purchase greater than $100,000 when provided with SPS010 (new window) 72k .
Evaluation Team Members:
- Evaluate offers using established evaluation criteria
- Declare any conflicts of interest
- Maintain full records justifying selection of successful offeror
- Direct all requests for clarification to the Purchasing Delegate
- Refrain from any contact with offerors.
Expenditure Delegate:
- Approve invitation document and evaluation plan prior to approaches to marketplace;
- Approve evaluation report;
- Approve an Exemption from Competitive Process where appropriate and ensures reasons given are defensible.
- Provide expenditure approval in accordance with requirements of Financial Management Practices Manual.
- Sign contracts and approves Purchase Order.
- Approve terms and conditions of supply.
- Approve all contract changes and amendments.
Contacts
For further information, please contact:
Document information
Approval record: TRIM 09/198868
Doc. Ref. 09/166606
Date of implementation: 2009-11-02 Date of publication: 2009-11-05 Date to be reviewed: 2010-03-01 This procedure replaces: - FR-08: Purchasing Policy Procedure Manual - Version: N/A
- FNM-PR-014: Purchasing Goods and Services - Version: 2.2
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