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Procurement Policy

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Section 1 - Purpose and Context

(1) The Procurement Policy sets out the principles under which procurement will occur at Western Sydney University. It also outlines the approved methods and processes for procurement and purchasing.

(2) The purpose of the Policy is to establish a more strategic approach to procurement involving greater professional management and oversight, and better coordination and integration of procurement activity across the University.

(3) The policy applies to all procurement undertaken at the University. It covers procurement of all general and specified goods and services from external suppliers, including those purchased or leased.

(4) The policy has been developed to conform to the NSW Government Guidelines on Procurement and to comply with the Government Information (Public Access) Act 2009 (NSW) (GIPA Act) - that is the publishing of certain information regarding contracts, and the NSW Public Finance and Audit Act 1983. The policy should also be read in conjunction with the Purchase and Tender Board Policy, the Corporate Credit Card Policy, the Asset Management Policy, the Delegations (Administrative) Policy and other associated policies and procedures.

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Section 2 - Definitions

(5) For the purposes of this policy:

  1. University purchaser - a University employee or other person authorised to undertake purchasing for the University.
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Section 3 - Policy Statement

Part A - Procurement Principles and Core Requirements

(6) All procurement activities will be undertaken in accordance with the University's statutory requirements and responsibilities, its policies and procedures, and align with the underlying principles of the University as stated in its mission, vision and values.

Value for Money

(7) The University seeks value for money in all procurement. Value for money is achieved in an open competitive environment in which suppliers can be confident that their proposals will be assessed on merit. It does not automatically mean "lowest price"; it incorporates and considers fitness for purpose; fair market price; return on investment; whole-of-life costs; timely delivery; post-delivery support; environmental sustainability; social responsibility; evidence of previous performance or experience, effective warranty and conformity to law.

Probity and Equity Principles

(8) All procurement activities will be undertaken with probity and equity. The principles of a probative and equitable approach to procurement are:

  1. fairness and impartiality;
  2. use of competitive process;
  3. consistency and fairness of process;
  4. tender and quotation security and confidentiality (for both the University and suppliers);
  5. identification and resolution of any real or perceived conflicts of interest; and
  6. accountability and transparency.

Segregation of Duties

(9) Procurement processes must include appropriate oversight and segregation of duties to avoid end to end control by any individual.

Conflicts of Interest

(10) The University Code of Conduct establishes standards of behaviour expected of University staff members and the Conflict of Interest Policy provides further elaboration of the principles involved. Any real or perceived actual conflict of interest in relation to procurement activity must be reported to a staff member's supervisor. Conflicts of interest should be reported and managed in accordance with the Conflict of Interest Policy.

(11) Where a procurement activity must go to tender, all people involved with the tender process on the University's behalf (employees and any external) must complete a formal "no interest" declaration, which will be placed on the TRIM file.

Delegations and Approval

(12) Procurement of goods and/or services can only be approved by persons holding the relevant delegation and where available funds exist within an approved budget or source of funds. The appropriate Financial Delegate should be aware of any significant procurement activities before any action commences.

Gifts and Hospitality

(13) Employees involved in procurement actions are prohibited from accepting gifts or extensive hospitality or other benefits from current or prospective suppliers. Modest hospitality (e.g. in house lunch, coffee, tea) associated with meetings to discuss goods and/or services being acquired by the University is acceptable but restaurant lunches and dinners, the provision of alcohol, tickets to the theatre or sporting events are not.

(14) While it is legitimate, as part of the procurement process, to travel to view prospective goods or services, such as equipment, situations where the potential supplier pays for such travel and associated accommodation should be avoided.

(15) Where there is confusion or difficulties surrounding proffered gifts and/or other benefits the Director, Strategic Procurement and Services should be consulted. The Gift and Benefit Acceptance Management Policy can also be used as a reference.

Probity Plans and Advisers

(16) Probity plans and advisers must be used for non-routine projects, e.g. relatively high value, complex or high risk. The relevant Tender Committee is responsible for advising on and endorsing the appointment of probity advisers.

Use of Specialist Consultants

(17) Specialist Consultants may be required to assist University staff in undertaking procurement activities to provide current industry expertise, product knowledge, assist with the development of technical specifications or provide expertise in other activities where employees may lack specialist skills.

(18) Where specialist advice is required, measures such as identifying in-house expertise or seeking advice from other Government or sector agencies which have completed similar projects should also be considered as an alternative to relying exclusively on the advice of a single Specialist Consultant. Specifications should be reviewed by a variety of sources including end-users or other agencies and product testing/evaluation should be undertaken internally or verified from a number of sources to reduce the reliance on an individual Specialist Consultant.

(19) Specialist Consultants should only sit on Evaluation Panels in a technical advisory capacity. For large or complex projects, consideration should be given to splitting tasks between Specialist Consultants to obtain a broader variety of views and advice.

Record Keeping

(20) Accurate and thorough records must be maintained throughout all procurement processes and filed on TRIM. Procurement practices are open to substantial internal and external scrutiny. Records relating to procurement processes can be examined through internal or external audit processes, by the Independent Commission Against Corruption (ICAC) and unsuccessful suppliers can seek access under the GIPA Act.

(21) Financial Delegates are to ensure that details of contracts in excess of $150K are placed on the contracts register to meet the University's disclosure obligations under the GIPA Act. See Part O - GIPA Act Requirements.

Environmental and Social Value Considerations

(22) In line with the University's commitments, subject to costs and other considerations, procurement will be directed to purchasing goods and/or services that are socially and environmentally friendly and sustainable, including consideration of the disposal of such goods. Selecting suppliers that add social outcomes and benefits through providing opportunities for indigenous, disabled, disadvantaged or similar groups should be considered in line with value for money principles.

Mandatory and Preferred Suppliers

(23) The University will establish contracted suppliers for certain goods and/or services. Depending on the arrangements entered into by the University these suppliers may be "mandatory", that is they must be used to purchase those goods and/or services without exception. Alternatively, the suppliers may be "preferred", that is they are the main supplier of those goods and/or services to the University and are expected to be used in the first instance but other suppliers can be used; or they may one of several suppliers who can be used to provide certain goods and/or services.

(24) Where the University has an agreement with a mandated supplier then that supplier must be used to procure those goods/services.

(25) Where the University has an agreement with a preferred supplier then that supplier must be used to procure those goods/services in the first instance. If a unit recommends a supplier other than a preferred supplier for a purchase over $10K, a written justification must be submitted to and approved by the Director, Strategic Procurement and Services before the purchase is made.

Breaches

(26) Employees who breach the provisions of this policy or the Delegations (Administrative) Policy may be subject to action under the provisions of unsatisfactory conduct or misconduct as outlined in the relevant staff agreement. Such action may result in the withdrawal of delegation authority or other disciplinary action.

(27) The University has a clear obligation to report serious matters to the Police and/or the ICAC which potentially could result in civil or criminal proceedings. There is a statutory requirement for the University to report all suspected fraud to the ICAC, irrespective of the amount involved.

Part B - Procurement Rules

(28) The procurement matrix at Table 1 provides the minimum requirements for procurement activities, however, the head of unit can seek more quotes or elect to call tenders for any process. Advice can be sought from the Director, Strategic Procurement and Services.

Table 1 - Procurement Matrix

Thresholds (excluding GST) Minimum Notes
Less than $5K No quote required Use corporate card where possible
Less than $30K (Consultants only - Account Code 7107) 1 written quote One-off engagement of consultant. Attach copy of quote and other relevant information in Oracle I-Procurement.
More than $5K to $50K 3 written quotes Attach copies of quotes and other relevant information in Oracle I-Procurement.
Less than $150K (procurement of scientific equipment or accessories to match existing assets for research or teaching continuity or maintenance agreement with equipment OEM or sole agent) 1 written quote Where supplier can be proven to be the only Australian agent for equipment. Attach copy of quote and proof of OEM or sole agency in Oracle I-Procurement.
More than $50K to $250K 3 written quotes and submission to the Associate Director, Strategic Procurement and Services or as per Clause 67. Use University pro-formas and complete a procurement plan prior to procurement action commencing. Attach copies of quotes and other relevant information in Oracle I-Procurement.
More than $250K Tenders called  

(29) The thresholds in Table 1 apply to the total value of the procurement of goods and/or services, including supply, freight, installation, training and ongoing service contracts over the whole term of the procurement activity. The exception is where it is usual for these components to be supplied by separate organisations.

(30) If it is estimated that the expected cost of the procurement may be close to the tender threshold in Table 1, then employees should undertake a tender process.

(31) Quotes and tenders must not be broken down into smaller parts to be under the thresholds in Table 1 for the purpose of avoiding the requirement to call for quotations or tenders. There must be no order or invoice splitting or purchasing goods and/or services over several months so that the overall invoice is under the thresholds.

(32) Variations to a tender or contract of 20% or more after the acceptance of tender or after entering into a contract for supply, must be submitted to the relevant Tender Committee in advance of accepting a variation. The relevant Tender Committee may recommend to the Financial Delegate that the variance be accepted, or a new process be undertaken.

(33) Whilst it is not the normal course of business, there may be situations in which a quotation or tender process cannot be undertaken. Refer to Part H - Direct Negotiations.

(34) Procurement activities are subject to payment in accordance with the University's terms and conditions. The University will not pay in advance for the supply of goods and/or services over $5K (noting that credit card purchases are debited in advance) except where a legitimate deposit is required to secure the goods or services. The relevant delegate for the whole purchase may approve the payment of a deposit.

(35) Purchase and payment for procured goods and/or services must be made in accordance with the University's accepted methods, as outlined in Section 4 - Procedures.

Part C - Purchase and Tender Board and Tender Committees

(36) The University will have a Purchase and Tender Board that will oversight all tenders and purchases above the tender threshold. All tenders and purchases over the tender threshold must be approved by the Purchase and Tender Board. The membership and terms of reference of the Purchase and Tender Board are outlined in the Purchase and Tender Board Policy.

(37) The Purchase and Tender Board will also establish specialist Tender Committees that will review and assess certain tenders and purchases over the tender threshold. The Tender Committees approve the advertising of tenders and will make recommendations to the Purchase and Tender Board in regards to the acceptance of tenders. The individual Tender Committees are responsible for construction and infrastructure, information technology, scientific equipment, university-wide and general goods and services.

Part D - NSW Government Or Procurement Consortium Suppliers

(38) The NSW Government enters into contracts for the supply a range of goods and/or services. Similar arrangements are also available through Procurement Consortiums such as Procurement Australia or Higher Education Services Pty Ltd.

(39) University purchasers must use NSW Government or Procurement Consortium suppliers except where an alternative University supplier arrangement exists.

(40) University purchasers may procure under a NSW Government or Procurement Consortium contract without quotes or tenders, and with the relevant delegated officer's approval. Where the procurement exceeds the tender threshold, it must be reported to the Director, Strategic Procurement and Services for noting at the next meeting of the relevant Tender Committees. Procurement Consortium contracts must have been established through a competitive process to be considered.

(41) University purchasers must seek approval from the Director, Strategic Procurement and Services to use suppliers other than the NSW Government or Procurement Consortium suppliers, except where a University supplier arrangement exists.

(42) Government contract details are available to all University staff following registration as a website user. Registration and contract information is available from the Procurement Office.

Part E - University Suppliers

(43) The University will establish contracts for mandated or preferred supplier arrangements under this policy and will be detailed on the University Intranet.

(44) University purchasers must use University mandated suppliers and may use preferred suppliers, depending on the supplier arrangement.

(45) University purchasers may procure goods and/or services from a mandated or preferred supplier without quote or tender, and with the relevant delegate's approval. Where the procurement exceeds the tender threshold, it must be reported to the Director, Strategic Procurement and Services for noting at the next meeting of the relevant Tender Committee.

Part F - Procurement of Restricted Goods and/Services

(46) The University authorises certain units to negotiate and secure contracts for particular goods and/or services on its behalf, such as those leading to mandated or preferred suppliers mentioned in Part E. The procurement of these goods and/or services is restricted to the area of responsibility. These restrictions are approved by the Purchase and Tender Board, and are listed in the attached Schedule 1.

(47) Unauthorised procurement of restricted goods and/or services exposes the University to risk including: contravening legal agreements the University has with contracted suppliers; damaging other university equipment or property because of non-compliance with required standards; and costing the university more because of additional work required to either secure the goods and/or services, or to resolve issues as a result of that purchase.

(48) University purchasers must use the relevant university-wide contracted arrangements for restricted procurement activities, and must liaise with the responsible unit with regards to the supply of those goods or services in any procurement process.

(49) To reduce the University's risk exposure, units that purchase restricted goods and/or services outside of the University-wide contract will be charged a non-standard purchasing levy. The levy will be set by the Vice-President, Finance and Resources annually. In addition, employees involved in unauthorised procurement of restricted goods and/or services may be subject to action under Clauses 23 and 24 of this policy.

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Section 4 - Procedures

Part G - Establishing University Supplier Arrangements

(50) University supplier agreements may be for up to three years with the option at the University's discretion for an extension of one year, plus one year. The responsible unit must review the arrangements before the expiration of the contract.

(51) University supplier arrangements will be subject to a contract/agreement with the University and such contracts/agreements are subject to standards and advice from the Office of General Counsel (OGC).

(52) University supplier agreements must be reviewed regularly by the responsible unit to ensure compliance with the agreement. Reviews must be forwarded to the Director, Strategic Procurement and Services who will report to the Purchase and Tender Board yearly on preferred supplier reviews.

(53) The responsible unit must advise employees of any such arrangements in place, including providing the training for any systems that are used for the purchasing/supply process. The Procurement Office will also provide information about these contracted suppliers on the University Intranet.

Part H - Direct Negotiations

(54) Occasionally there is a need to enter into direct negotiations with a particular supplier without seeking competitive quotes or tenders from the market. This is different to a situation where quotes or tenders are sought through a competitive process but only one quote or tender is received. Direct negotiations relate specifically to situations where no quote or tender process is undertaken. Typically this can occur:

  1. where there is only one available supplier for the goods and/or services;
  2. where there is an ongoing or associated project and there is a compelling case to continue with a particular supplier;
  3. where there is a legitimate reason to renew or rollover a contract;
  4. to purchase equipment or accessories valued at more than $150K that is required to match existing assets for research or teaching continuity;
  5. in cases of emergency.

(55) Direct negotiations involve significant risk and it is essential that proper process is followed and that a unique or incumbent supplier is not unfairly or improperly advantaged. Managers involved in direct negotiations should seek advice on requirements from the Procurement Office and familiarise themselves with the "Guidelines for managing risk in direct negotiations" published by the ICAC.

(56) Formal approval to enter into direct negotiations with a supplier must be sought in advance. In these cases an exemption to the quotation or the tender threshold requirements must be approved by the Vice-President, Finance and Resources, DVC or relevant Tender Committee. The application must be endorsed by the relevant delegate above the staff member intending to engage in the direct negotiation and acquisition. Applications must be able to provide tangible and objective evidence of sole supplier status or emergency, or good performance in the case of incumbent suppliers.

(57) All approved exemptions will be reported to the next meeting of the Purchase and Tender Board.

Part I - Quotations

(58) Before seeking quotes, University purchasers should establish if a Government, Procurement Consortium or University mandated or preferred supplier exists for the goods and/or services they wish to purchase.

Seeking Quotations

(59) University purchasers seeking quotes must follow the Procurement Principles and Rules outlined in this policy.

(60) A University pro-forma is available for use when seeking written quotes. Suppliers should be provided with the University's terms and conditions of purchase which are available from the OGC website.

(61) University purchasers will prepare specifications for the goods and/services required. The specifications must be provided to potential suppliers and quotes should be based on these specifications. As specifications form the basis of a potential quote, they will be sufficiently detailed to ensure acceptable quality and fit-for-purpose of the goods and/or services the supplier provides. However, specifications should not be so narrow as to unreasonably limit the market.

(62) Procurement activities in excess of $50K also require the completion of a Procurement Plan prior to any procurement action commencing. The Procurement Plan is a checklist for University purchasers to undertake effective procurement. It especially assists University purchasers who do not regularly undertake procurement activities to ensure all aspects of the process are covered.

(63) All potential suppliers must be treated equitably, that is each potential supplier will receive the same information, and they must receive and respond to the request for a quote within the same timeframe.

(64) Where employees procure similar items time and again, they will undertake market benchmarking from time-to-time by seeking quotes from a range of suppliers to ensure continued market competitiveness.

(65) Employees must not give any indication to potential suppliers of the outcome of the process until quotations have been accepted by the relevant delegate.

Assessing Quotations

(66) For purchases over $20K, the evaluation criteria for assessing quotes must be established before quotes are received and can be made known to potential suppliers, for transparency. The complexity of the evaluation criteria will depend on the risk of the project and will form part of the quotation pro-forma.

(67) When assessing quotes, University purchasers should recommend acceptance of the quote that best meets the specification requirements and assessment criteria (if developed), and the value for money principles outlined in Part A. The relevant delegate may accept a recommendation for a quote other than the best fit where sufficient justification is provided in writing.

(68) Evaluation panels should also consider previous performance of suppliers, referee reports beyond those provided by the suppliers, verification of case studies and feedback from other Government or sector agencies when evaluating responses. Low bids should be scrutinised to ensure conformance to the specification and sufficient resourcing to adequately meet the requirements.

(69) University purchasers are not obliged to recommend acceptance of any of the quotes received if they do not meet the specification requirements, or if the University purchaser does not believe the quotes meet the principles of value for money.

Approving and Accepting Quotations

(70) All documents relating to the procurement activity, including the Procurement Plan, specifications, evaluation criteria, written quotes received, and any other relevant information will be submitted by the University purchaser with a recommendation to the relevant delegate for purchasing approval. The documents can be attached to a Purchase Requisition in the IProcurement system to facilitate this approval. Even if a University purchaser has appropriate delegation they must not approve their own recommendation in relation to a procurement activity.

(71) If a purchase is less than $50K, the relevant delegate may approve a purchase where they are satisfied with the recommendation. For purchases of $50K to $250K, the relevant delegate may approve the expenditure but it must be submitted to the Director, Strategic Procurement and Services for endorsement that the required process has been followed prior to purchase.

(72) The acceptance of goods and/or services through quotations may require the University to enter into a written agreement with the supplier where the terms negotiated are more complex than, or not appropriate to, the supplier's standard terms of supply. The Office of General Counsel has developed forms of standard contracts for use in particular circumstances. All contracts are subject to standards and advice from the Office of General Counsel.

(73) The supply of goods and services must be reviewed against the conditions of the accepted quote or written agreement on a regular basis by the relevant unit.

Part J - Tenders

(74) Before seeking tenders, University purchasers should establish if a Government, Procurement Consortium or University mandated or preferred supplier exists for the goods and/or services they wish to purchase. Assistance should also be sought from OGC as soon as possible to assess whether it is appropriate to include in the tender documents a set of prescribed minimum terms.

Tender Process Approval

(75) All tender processes must be approved by the relevant Tender Committee before the call for tenders is sought. Submissions to the Tender Committee should include all relevant documentation, including evaluation panel membership, evaluation criteria, specifications and probity plan. A pro-forma document may be used.

(76) An evaluation panel must be established for each tender process. See Part L.

(77) The relevant Tender Committee may approve either open or selective tender processes. The decision to have an open or selective tender process depends on the circumstances of the procurement activity. In an open tender process all potential suppliers may submit a tender. The benefit of an open process is that the marketplace is tested for competitiveness because any potential supplier can submit a tender. Open tenders are usually advertised in wide-reaching media such as newspapers or tendering websites. In a selective tender process the tender is limited to specific suppliers. This may be because an expression of interest process has been undertaken and/or approved supplier panels are in place, or there are limits within the industry. Consideration must be given to the principles of procurement and value for money when recommending a selective tender process as it does not test the open market.

Probity in Tender Processes

(78) Probity must be a feature in all tender processes. Comprehensive written details of the tender process, including all activities relating to the decision making and communications with prospective suppliers, must be recorded and placed on TRIM. Probity advisers must be used for non-routine projects, e.g. relatively high value, complex or high risk, and must be endorsed by the relevant Tender Committee.

(79) Where required, a Probity Plan and Probity Report must be completed for all tenders processes. The plan and report will form part of the documentation relating to the tender and will be submitted to the Tender Committee as part of the recommendation process.

(80) All parties related to the University who are involved in a tender process must complete a "no interest" declaration which will form part of the process documentation. This includes members of evaluation panels and Tender Committee (Refer to the Conflict of Interest Policy).

(81) All information received from potential suppliers and tender documents remain confidential and the anonymity of potential suppliers must be maintained throughout the process.

(82) All potential suppliers will be treated equitably, that is where tenders are called each potential supplier must receive the same information, and they must receive and respond to tenders within the same timeframe. Late tenders will not be accepted.

Calling for Tenders

(83) University purchasers calling for tenders must follow the Procurement Principles and Rules outlined in this policy.

(84) Tender documentation will be approved by the relevant Tender Committee.

(85) Tenders must be submitted in accordance with the process as prescribed by the Purchase and Tender Board. Tenders not provided in accordance with the prescribed process will not be accepted.

(86) The University has developed a number of pro-forma tender documents, depending on the procurement activity, and the relevant pro-forma documents must be used.

Assessing Tenders

(87) Evaluation criteria and weightings for assessing tenders must be established before the tender process is approved. The extent of the criteria will be dependent on the risk of the project being undertaken.

(88) Evaluation criteria form part of the tender pro-forma and may be made known to potential suppliers.

(89) Evaluation panels should also consider previous performance of suppliers, referee reports beyond those provided by the suppliers, verification of case studies and feedback from other Government or sector agencies when evaluating responses. Low bids should be scrutinised to ensure conformance to the specification and sufficient resourcing to adequately meet the requirements.

(90) Evaluation panels should recommend acceptance of the tender that best meets the specification requirements and evaluation criteria (if developed), and the value for money principles outlined in Part A. The Evaluation Panel should provide justification in writing along with their recommendation to the delegate for approval.

Approving and Accepting Tenders

(91) The University is not obliged to accept any of the tenders submitted.

(92) The recommendation from the evaluation panel will be submitted to the relevant Tender Committee, via the Director, Strategic Procurement and Services, who will review and assess the recommendation, in accordance with the Purchase and Tender Board Policy.

(93) The Tender Committee may recommend acceptance of the tender to the Purchase and Tender Board.

(94) The Purchase and Tender Board may approve tenders recommended to them by the relevant Tender Committee.

(95) Where a tender is not recommended for approval by the Tender Committee, the Director, Strategic Procurement and Services will liaise with the relevant unit.

(96) The acceptance of a tender may require the University to enter into a contract with the supplier where the terms negotiated are more complex than, or not appropriate to, the supplier's standard terms of supply. The OGC has developed forms of standard contracts for use in particular circumstances. All contracts are subject to standards and advice from the OGC.

(97) The supply of goods and services must be reviewed against the conditions of the tender contract on a regular basis by the relevant unit.

Part K - Expressions of Interest

(98) An expression of interest process openly tests the market, and suppliers are invited to express an interest in their capacity to supply goods and/or services as part of a future quotation or tender process. After the initial submission, successful suppliers are then invited to be part of a selective quotation or tender process.

(99) As an expression of interest process may result in a selective process, employees seeking to undertake an expression of interest process must have approval from the relevant Tender Committee in advance and in addition to any relevant delegation approval.

Part L - Evaluation Panels

(100) Evaluation panels must be established for all tender processes. Evaluation panels can be established for quotation processes where it is not appropriate for an individual to make a recommendation.

(101) Evaluation panels may be involved in preparing specifications and evaluation criteria, assessing quotations or tenders, and making recommendations. Large procurement activities such as a new university-wide systems (e.g. Callista), specialised equipment, and construction and infrastructure may require a panel of stakeholders, experts and independents to assess the various components, or for probity purposes.

(102) The relevant delegate may approve evaluation panels for quotes, and the relevant Tender Committee may approve evaluation panels for tender processes.

(103) The relevant Tender Committee may be an evaluation panel.

Part M - Purchase and Payment Methods

Minor Purchases/Reimbursement

(104) Where an employee has purchased goods and/or services of a minor nature (i.e. up to $100) in the course of their work, and they do not have a credit card or a credit card is not accepted, they may claim reimbursement subject to approval by the relevant delegate by following the current Finance procedures.

University Fuel Cards

(105) University owned vehicles are issued with fuel cards which must be used to purchase fuel and oil.

Corporate Credit Card

(106) Corporate credit cards must be used where possible to purchase goods and/or services up to the $5k threshold. This includes any online purchases. The exception to this is the purchase of fuel and oil for University owned vehicles and IT software and hardware.

(107) Corporate Credit Card purchases are subject to the principles outlined in this policy, such as value for money, probity, equity and transparency.

(108) Corporate credit card purchases must be accounted for in accordance with the Corporate Credit Card Policy.

Leases

(109) Leased equipment is to be ordered in accordance with the leasing contract and may not require individual University Purchase Requisitions. These arrangements will be made known to University purchasers by the relevant responsible unit.

Purchase Requisitions and Orders

(110) Goods and/or services over $5K, or smaller amounts when other means are not appropriate, must not be purchased without first raising a Purchase Requisition using the Oracle IProcurement system. Once approved by a Financial Delegate in IProcurement, this is converted to a Purchase Order by a University buying group and sent to the supplier.

(111) Purchases made without a corresponding Purchase Order put the University at risk in terms of financial management. University purchasers who purchase without creating a Purchase Requisition may be in breach of this policy.

(112) The process may vary for construction activities because of the interface between the Archibus and Oracle systems.

Urgent Orders

(113) In cases of emergency such as equipment breakdown and storm damage repairs where it is not practical to raise a Purchase Requisition or use a University credit card prior to engaging a supplier, the services may be arranged and a Purchase Requisition raised as soon as practical after the event.

Cancellation of or Variation to a Purchase Order

(114) Previously placed Purchase Orders can only be cancelled or varied by the appropriate buying group. Requests for cancellation or variation must be made in writing and authorised by the original approving officer. The buying group will confirm the changes with the supplier.

Payments to University Suppliers

(115) Payments to University suppliers may vary from those outlined in Part N because they may have been negotiated as part of the supply contract/agreement. This may include using an online purchasing mechanism (e.g. Corporate Express, the University Travel Portal), or where construction contracts exists through Archibus; or any other arrangement that the University has negotiated with the preferred supplier such as telephone ordering, purchase order or monthly invoice. These arrangements will be made known to University purchasers by the relevant responsible unit.

Part N - Post-Purchase Requirements

Receipt of Goods and/or Services

(116) Purchases of $5K or less should be received by the University purchaser or the University purchaser should authorise another employee to receive the goods and/or services.

(117) Goods and/or services supplied under contract must be delivered and received in accordance with the contract arrangements. Deviation to the contract arrangements should be reported to the University purchaser as part of the contract review process. The University may undertake a process of periodic assessment and confirmation of goods/services provided, e.g. this is common in construction activities.

(118) University purchasers must ensure that goods and services received meet the University's expectations. These expectations will be outlined in any specifications, or in a contract/agreement as a result of a tender or quotation process.

Assets Management

(119) The Asset Management Policy prescribes that assets of a certain value must be recorded on the central Assets Register managed by the Finance Office, and be tracked by the owning business area. The Assets Management Policy also provides the process for the management of assets and associated procedures and should be referred to for further information.

Review of Procurement

(120) Tender Committee will review all tender processes and will report annually to the Purchase and Tender Board.

(121) Tender Committees may require a cost benefit analysis or other comparative analysis to be undertaken of any tender process.

(122) Where a contract is entered into for the supply of goods and/or services over time, the supply must be reviewed regularly to ensure consistency with contracted arrangements. The responsible unit must conduct such reviews which they must undertake at least every six months for contracts of one year or more, or at the half way point and end point of contracts of less than one year. Reviews can occur more regularly if the supply warrants it.

(123) Reviews must be comprehensive and cover all aspects of a contract, including but not limited to an analysis of the supply of the goods in accordance with the contract, adherence to maintenance schedules, any additional charges incurred as part of the contract.

Part O - GIPA Act requirements

(124) The Government Information (Public Access) Act requires the University to publish the relevant details of all contracts of $150K or more.

(125) Where a procurement activity results in a contract for this amount or more the Financial Delegate approving the contract is responsible for ensuring that the relevant details of the contract are entered into the contract register database it.

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Section 5 - Guidelines

(126) Nil.