Where the Rules use the term ‘must’, the Rule is mandatory and non-compliance is a breach. Where the Rules use the term ‘should’, this indicates that careful consideration of factors relevant to each activity is required. Agencies must observe the role and responsibilities of the following authorities to ensure compliance with the Procurement Rules: Where the Rules use the term ‘Accountable Officer’, the approval of that action rests solely with the person fulfilling the role or duties of the Chief Executive (or equivalent) and cannot be further delegated. Where the rules use the term ‘Delegate’, that action may be approved by the Accountable Officer or an authorised delegate of the Accountable Officer. Procurement Rules are structured to align with the three stages of the Procurement Lifecycle, with the addition of General Rules and a Supplementary Rule Detail Table. The Procurement Rules must be read in conjunction with the Procurement Governance Policy and current Procurement Circulars to ensure agencies are compliant in the conduct of their procurement activities. General Rules Governance and Accountability Please read in outline view for best navigational experience. Procurement Circulars may be issued by the Agency responsible for procurement policy from time to time, and these must be complied with by NTG agencies. The Accountable Officer should establish procurement delegations for their agency that considers appropriate segregation of duties. The Accountable Officer may establish additional procurement processes and procedures for their agency provided they are consistent with the requirements of the Procurement Act. Personnel must ensure they are operating within the agency’s procurement procedures. The agency and its personnel must ensure that all procurement recommendations, decisions and actions are defensible. The Accountable Officer must establish an internal audit program for their agency that incorporates the requirements of the Value for Territory Assurance Program. If requested by the agency responsible for procurement policy or the Buy Local Industry Advocate, the Accountable Officer must provide full details of requested procurement activities. ‘Defensible’ means: Defensible means based on proper consideration of the situation and information available at the time (including information that is reasonable to obtain), free from real or perceived bias, and procedurally fair. ‘Probity’ means: Probity aims to maintain the integrity of the public sector by adopting and following well-considered procedures and processes to ensure that procurement decisions are fair, transparent and defensible.
The Agency Procurement Management Plan must be submitted to the Procurement Review Board by 31 July each year. As part of their Agency Procurement Management Plan, the agency must include the following details: significant procurement activity planned for the next five years. The next 12 months must include details of the purpose, region, estimated release date, proposed procurement method and estimated value of each procurement activity consideration of ways to maximise local content and Aboriginal participation when undertaking procurement activities industry engagement strategies, including consideration of opportunities to provide industry briefings reporting on performance against planned procurement activities, including significant departures from the Agency Procurement Management Plan of previous years reporting on procurement related complaints for the preceding 12 months internal audit and assurance programs procurement related training, organisational learning and development. Project Specific Procurement Planning Delegate approval should be obtained before commencing project specific procurement planning. Prior to commencing project specific sourcing activities, the agency must undertake appropriate planning, including: clearly defining the scope estimating the value of the procurement, inclusive of all applicable taxes setting appropriate assessment criteria. The agency must consider the value and risk of a procurement activity when determining the level of planning required. Where specified as a requirement in Section 5.5, the Delegate must approve a Project Specific Procurement Plan, which must include: capability and capacity of local industry and businesses to meet supply requirements consideration of opportunities to maximise local content consideration of opportunities to maximise Aboriginal participation identifying the appropriate procurement method to be used in consideration of the value and risk identifying assessment criteria and associated weightings negotiation protocol or plan where negotiations are anticipated or planned. Where specified as a requirement in Section 5.5, the agency must ensure the local content assessment criteria are designed to elicit local benefit commitments from respondents. The agency must not divide or design a procurement activity into separate phases or parts to artificially reduce the total estimated value for the purpose of reducing the procedural requirements of a procurement activity. The Delegate must provide approval before commencing sourcing activities. Future Tender Opportunities Where specified as a requirement in Section 5.5, the agency must advertise a future tender opportunity between one and 12 months prior to the release of the request for offer. Assessment Criteria and Weightings Assessment criteria weighting must include: a minimum 30% weighting for local content up to a maximum 30% weighting for price.
Supplementary Rule Detail Table The following table provides additional detail regarding the Procurement Rules agencies must adhere to when undertaking procurement activities. For further information and terminology, please refer to the Procurement Governance Policy. Procurement Rule Rule Number Preferred and Alternative Procurement Methods Restricted Procurement Methods Emergency Procurement Methods Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 Existing Period Contract Partnership Agreement Direct Contracting Emergency Exemption Value (including GST) Less than $15 000 $15 000 - <$100 000 $100 000 - <$500 000 $500 000 - <$5 000 000 Greater than $5 000 000 Any Value Any Value Any Value Any Value Agency Purchase Requisitions Online System (APRO) 6.1 Optional Yes Yes Yes Yes Optional Yes Yes, if greater than $15 000 Yes, if greater than $15 000 Planning Rules Project Specific Procurement Plan 9.4 Optional Optional Mandatory Mandatory Mandatory Optional Optional Mandatory N/A Local Benefit Commitment 9.5 Optional Optional Mandatory Mandatory Mandatory In accordance with the contract In accordance with the agreement Yes, if greater than $100 000 N/A Future Tender Opportunities (FTO) 10.1 Optional Optional Optional Mandatory Mandatory N/A Optional Optional N/A Preferred Procurement Method 12.1 Quotation (minimum 1) Quotation (minimum 3) Public Tender Public Tender Public Tender In accordance with the contract In accordance with the agreement N/A N/A Alternative Procurement Method 12.5 Exemption 6.2 Direct Purchasing Quotation (fewer than 3) Direct Purchasing Select Tender Select Tender Select Tender N/A N/A N/A N/A Territory Enterprise 13.1 Yes Yes N/A N/A N/A N/A N/A N/A N/A Contractor Accreditation Limited 14.1 No No Yes Yes Yes In accordance with the contract No Yes, if greater than $100 000 No Industry Capability Network NT Consultation 15.1 Yes Yes Optional Optional Optional No No Yes, if less than $100 000 No
Sourcing Rules Assessment criteria weighting disclosed 16.4 Agency discretion Agency discretion Yes Yes Yes In accordance with the contract Yes N/A N/A Responsibility for releasing and closing Request for Offers 17.1 Agency Agency Contracts and Procurement Services Contracts and Procurement Services Contracts and Procurement Services In accordance with the contract Contracts and Procurement Services Agency Agency Advertising Period with FTO 10.1 and 17.2 N/A N/A N/A 2 weeks 2 weeks In accordance with the contract In accordance with the agreement N/A Agency discretion Advertising Period without FTO 10.1 and 17.2 Agency discretion 2 business days 4 business days 4 weeks 4 weeks In accordance with the contract In accordance with the agreement N/A Agency discretion Advertising Period with Exception Exception 6.1.4 Agency discretion Agency discretion 2 business days 10 days 10 days In accordance with the contract In accordance with the agreement N/A Agency discretion Admissibility Appeal Right to the Procurement Review Board 18.3 No No Yes Yes Yes In accordance with the contract In accordance with the agreement N/A No Minimum Assessment Panel size 19.2 1 2 3 3 3 In accordance with the contract In accordance with the agreement 2 Agency discretion Notification of Outcome 23.1 If requested Yes Yes Yes Yes Yes Yes Yes If requested Contract Disclosure 24.1 No Yes Yes Yes Yes N/A Yes, if greater than $15 000 Yes, if greater than $15 000 Yes, if greater than $15 000 Contract Management Rules Performance Reporting 28.1 Agency discretion Agency discretion Yes Yes Yes In accordance with the contract Yes, if greater than $100 000 Yes, if greater than $100 000 Yes, if greater than $100 000