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3. The 'procurement' process

3.2 Sourcing, evaluation and contract formation

Invitation and contract documentation

Clause 16

Ensure all invitation and contract documentation is:

  • free from specifications or requirements that could limit opportunities for local industry and workforces
  • written simply in plain language, and includes relevant information only.
Transitional provision: Invitation and contract documentation templates must be reviewed and made compliant with this clause by 30 June 2025.

Clause 17

Use the template invitation and contract documentation relevant to the category being procured. This includes but is not limited to, including template clauses enabling pre-qualification and post-contract compliance functions enabling the agency to access all information relevant to assessing compliance with the Ethical Supplier Threshold and Ethical Supplier Mandate. Departures from the templates require a reason why to be documented.

Applies to 'budget sector agencies'.

Strongly recommended for:

  • statutory bodies
  • government-owned corporations
  • special purpose vehicles.

Animal welfare

Clause 18

Invitation documentation used for the procurement of food and beverages must require 'suppliers' who are also a 'person in charge' of animals used to produce food and beverages provided to the Queensland Government, to warrant compliance with the Animal Care and Protection Act 2001 and regulations, related codes, standards and guidelines as a minimum. Contract documentation must include a condition requiring ongoing compliance with the Animal Care and Protection Act 2001 and regulations, related codes, standards and guidelines as a minimum during the contract term.

Ethical Supplier Threshold

Clause 19

Invitation documentation must require suppliers to declare that they meet the Ethical Supplier Threshold, that is, that they have not engaged in any of the listed conduct (in below shaded box) in the relevant time period. Contract documentation must include a condition requiring suppliers to meet the Ethical Supplier Threshold during the contract term by not engaging in the listed conduct (in below shaded box).

The government’s policy is to only deal with 'suppliers' that have not:

  • contravened a civil remedy provision of Chapter 2 or Chapter 3 of the Fair Work Act 2009 (Cth), or committed an offence against the Fair Work Act
  • contravened a civil remedy provision of Chapter 2, 3, 4, 5, or 7 of the Industrial Relations Act 2016, or committed an offence against the Industrial Relations Act, or failed to pay employment related levies, or other payments, established under Queensland legislation
  • failed to make superannuation contributions on behalf of employees in accordance with law
  • purported to treat employees as independent contractors, where they are not
  • required persons who would otherwise be employees to provide an Australian Business Number so that they could be treated as independent contractors
  • engaged persons on unpaid work trials or as unpaid interns, where they should be treated as employees
  • entered into an arrangement for the provision of labour hire services with a person who is not licensed under the Labour Hire Licensing Act 2017, or a 'supplier' who is an unlicensed provider under the Act
  • paid employees’ wages below those provided for in an applicable modern award (including for people with disability, suppliers must provide award-based wages (using the Supported Wage System where appropriate).

This is called the Ethical Supplier Threshold. The Ethical Supplier Threshold applies to all procurement undertaken on and from 1 August 2019.

For more information about how to apply the Ethical Supplier Threshold when dealing with suppliers, refer to Guidelines: Ethical Supplier Threshold.

Queensland Government Supplier Code of Conduct

Clause 20

Invitation documentation must require suppliers to warrant that they comply with the Queensland Government Supplier Code of Conduct. Contract documentation must include a condition requiring ongoing compliance with the Code during the contract term.

Dumped goods

Clause 21

Invitation documentation must require suppliers to warrant that they are not supplying 'dumped goods'. Contract documentation must include a condition requiring suppliers not to sell 'dumped goods' to the Queensland Government during the contract term.

Publish tender opportunities

Clause 22

Use the Queensland Government’s QTenders website to publish all tenders where an 'open offer method' is used.

Specifications

Clause 23

Develop specifications to define requirements. Specifications must be compliant with the Disability Discrimination Act 1992 (Cth) and disability standards.

Clause 24

In exceptional circumstances where an outcome-based, functional, performance or technical standard is not sufficient to define requirements, a brand name can be used but must be accompanied by the term "or equivalent". If a brand name must be specified, Queensland manufactured products should, wherever possible, be specified as the first option.

Create genuine, quality, secure ongoing jobs for Queenslanders

Clause 25

Apply a 'local benefits' approach to all 'procurement'. Taking a 'local benefits' approach means that:

  • for 'routine procurement' including 'purchasing' - invite at least one local supplier to respond except where the 'goods and/or services' are not able to be supplied by a 'local supplier'. If a 'local supplier' is not invited to respond, the reason why is to be documented.
  • for 'significant procurement' only - conduct a Local Benefits Test where a weighting of between 10 and 30 per cent may be applied, taking into account any minimum weightings set by category councils (minimum 10 per cent). If the test is not applied, the reason why is to be documented. Refer to the Local benefits test guide for further details on conducting the test.
Transitional provision: 'Agencies' may decide to commence implementing this clause immediately, with full compliance expected from the date of release of updated Local Benefits Test guidance in 2023. Local Benefits Test requirements contained in the Queensland Procurement Policy (QPP) 2021 apply until agencies have implemented this clause fully or until the updated guidance is released, whichever is sooner.

Clause 26

For 'projects' of $100 million or more:

  • apply Best Practice Principles in accordance with the Best practice principles: Quality, safe workplaces guidance. 'Projects' less than $100 million may also be declared as subject to the Best Practice Principles. The principles are:
    • workplace health and safety systems and standards
    • commitment to apprentices and trainees
    • best practice industrial relations
  • progress opportunities to create enduring community value through responsible public procurement choices, including the use of 'local workforces' and increasing opportunities for apprentices and trainees wherever possible.
Transitional provision: 'Agencies' may decide to commence implementing requirements regarding 'enduring community value' in this clause immediately, with full compliance expected from the date of release of 'enduring community value' guidance.

Encourage innovation

Clause 27

Pursue innovative supply solutions through, for example, the use of outcome-based specifications, trials and/or pilots.

3. The procurement process

In this section:

  1. 3.1 Planning
  2. 3.2 Sourcing, evaluation and contract formation
  3. 3.3 Supplier selection
  4. 3.4 Award
  5. 3.5 Contract management

Last updated:
31 May 2023