New South Wales Procurement Board
Category
NSW Procurement Board Direction
Identifier
PBD 2018-02
Status
Active

PBD-2018-02 Replacement of the ICT Short Form Contract in the Procure IT Framework

Description:

This Direction relates to the replacement of the Short Form ICT Contract with the Core& Agreement (Low Risk).

This Direction applies to the procurement of ICT related goods and services by a government agency within the meaning of the Public Works and Procurement Act 1912. This Direction replaces Procurement Board Direction 2017-2 Use of Procure IT for procurement of ICT goods and services.

FunctionProcurementSubjectAcquisition, Tendering

Mandatory use of Procure IT Framework

When entering into an arrangement with a supplier for the procurement of ICT related goods and services, a government agency must use the Procure IT Framework, unless a mandated whole of government contract for the relevant ICT good or service to be procured, applies.

Replacement of the Short Form ICT Contract  

The Procure IT Framework is amended by the replacement of the Short Form ICT Contract with the Core& Agreement (Low Risk) which includes:

  • Core Terms
  • Solution requirements for:
    • As-A-Service
    • Professional Services
    • Hardware
    • Software

Use for low risk procurements valued up to $500,000

The Core& Agreement (Low Risk) may be used for low risk procurements with a contract value up to $500,000 (ex GST) calculated by reference to total or reasonably estimated value. PBD-2018-03 Approved Procurement Arrangements applies to procurement approaches to be adopted by agencies

Agencies may at their discretion elect to use the then current version of the long-form Procure IT Agreement (currently version 3.2) for any ICT procurement.

Transition and commencement of the Core& Agreement (Low Risk)

Responsibility for management of the development of the transition, implementation and risk assessment framework of the Core& Agreement (Low Risk) is delegated to the Government Chief Information and Digital Officer (“GCIDO”). 

Short Form ICT Contracts executed prior to the date the Core& Agreement (Low Risk) will continue in accordance with their terms (including the exercise of any option) until completion.

Promulgation of succeeding versions of the Core& Agreement (Low Risk)

To maintain the currency and relevance of the Core& Agreement (Low Risk), the GCIDO may periodically make minor variations to the Core& Agreement (Low Risk) and issue updated versions of the Core& Agreement (Low Risk) which will apply to all new procurements from the date it is published on NSW ProcurePoint.

Transactions based on earlier versions of the Core& Agreement (Low Risk) will continue in accordance with the terms of the relevant contract until completion. Tender requests that have been issued prior to the publication date of the new version with a projected contract award date prior to the publication date may use the then current version of the Core& Agreement (Low Risk).    

Approval of variations to the Procure IT Framework

For the benefit of suppliers and Government, and to ensure consistent ICT contract terms, government agencies are not permitted to vary the standard terms and conditions of the Procure IT Framework without the written approval of the Department of Finance, Services and Innovation (DFSI), except in the case of beneficial variations as specified below. The Department will approve variations that are reasonable and necessary to accommodate unique features of a particular procurement.

Beneficial variations

Government agencies are not required to seek DFSI approval for beneficial variations which clearly improve the Customer’s contractual position, for example, amendments improving or adding to the Customer’s legal rights and amendments imposing additional obligations on the Contractor.

However, government agencies must provide prior written notification of such variations to DFSI Legal, supported by legal advice confirming the variations are beneficial in nature.

This direction applies from 1 November 2018 until it is withdrawn.