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How to Win Council Business: A Guide to the Procurement Practice in Local Government.

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Presentation on theme: "How to Win Council Business: A Guide to the Procurement Practice in Local Government."— Presentation transcript:

1 How to Win Council Business: A Guide to the Procurement Practice in Local Government

2 The Talk Covers: Where Council Advertise our Tenders & Quotations The Criteria used to make Supplier Selection The Feedback for Improving Tender Submissions

3 Councils

4 The Council Environment Public Money Legal basis for Decisions Audit & Review No Shareholders but Ratepayers

5 Local Government Balance Value for Money Compliance

6 Council is Many Business Units in One

7 Section 186 of the Local Government Act Council Must Call for Public Tenders for Any Purchase over $150,000, and Construction Contracts over $200,000 Must Have a Procurement Policy available for public inspection; Web-page

8 Procurement Policy @ a Glance At a GlanceManninghamYarra Ranges When 3 quotes are sought?$15,000$10,000 When tenders are called?$150,000 $150,000 (Goods and services) or 200,000 (works) What tendering is system used?eValua Third party supplier accreditation used?IPROInternal Payment Policy? 30 days after delivery of the goods and receipt of a correctly rendered invoice30 days from invoice

9 Tendering Through eValua Manningham City Council https://www.evalua.com.au/etb/mancc/ClientOrganisationTenders.htm Yarra Ranges https://www.evalua.com.au/etb/yrsc/ClientOrganisationTenders.htm

10 IPRO Live Is an Online Supplier Verification System that tracksIs an Online Supplier Verification System that tracks Company Registration Insurances Licences

11 IPRO Cost The cost to register onto IPRO Live is $275 per annum (inc GST) <5 employees and $550 per annum (inc GST) for agencies with >5 employees IPRO Live call 1300 IPRO LIVE (1300 477 654).

12 What is Council Looking For in a Supplier? Best Value Outcomes Previous Work Experience Financial capacity to deliver Compliance with legislation (Safety, Insurances, Awards, taxation, etc) Reliability No Variations Professional approach

13 What is Typically Asked of Tenderers Qualification Skills and Experience Trading History Contract History Quality Management Information References Occupation Health and Safety Equal Employment Opportunity Environmental Management Risk Management Policy Insurance Details

14 How to Win Council Business Read the Tender or Quotation and understand the deliverables Respond to questions in the format specified Provide pricing in the structure required Submit by the due time Make submissions clear, well structured, and easy to understand Have a sharp pencil

15 Evaluation Criteria – Yarra Ranges Mandatory Pre requisites – OHS & Insurances DesirableWeighting Price35% Capability & Capacity30% Quality & Sustainability20% Timeframes15%

16 Evaluation Criteria Non Price Evaluation Criteria Demonstrated ability to successfully undertake similar projects and quality of previous works50% Capacity to successfully deliver this contract30% Demonstrated ability to successfully complete projects within budget and time20% Non Price Factors = Value for Money Score Pricing

17 Local Buy Policy Both Councils will give preference to locally made products and services as per 186 (3) of the Local Government Act Manningham will give a 10% weighting were two suppliers are of equal value Yarra Ranges as give preference to suppliers who enhance social procurement outcomes for the local community including the principles of fair trade.

18 Things to Remember when Tendering Answer the questions in the format specified Providing pricing in the structure required Contact the Officer mentioned in the tender documents rather than the Project Officers Put your best offer into the tender documents. Not signing tender documents, including pricing forms, declarations and addendums.

19 What Makes a Winning Bid Evaluators are looking for Submissions that – –Provide the information requested in the tender and no more –Describe the Organisation tendering concisely and accurately

20 Construction Supplier Register Used By State Government Organisations and Local Government OrganisationsUsed By State Government Organisations and Local Government Organisations Manningham City Council uses it for Construction Consultants Yarra Ranges Council uses the Construction Suppliers Register for selected building projects

21 How to Approach Council Manningham City Council procurement@manningham.vic.gov.au Telephone: 9840 9392 Yarra Ranges Jason Farrugia, Manager Strategic Procurement j.farrugia@yarraranges.vic.gov.au Telephone: 9294 6447


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