This Direction relates to the increase of the threshold in Core& Contracts which form part of the Procure IT Framework.
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 2018-02 Replacement of the ICT Short Form Contract in the Procure IT Framework.
Function and Subject
- Procurement (1)
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.
The Procure IT Framework is amended by the replacement of the Core& Agreement (Low Risk) with the Core& Contracts. The Core& Contracts consist of two versions to be used dependent on the procurement needs: Core& One and Core& Combined. Core& One may be used when procuring one individual ICT solution. Core& Combined may be used when procuring more than one solution in one transaction.
Increase of threshold for low risk procurements valued up to $1,000,000
From 1 June 2020, the Core& Contracts may be used for low risk procurements with a contract value up to $1,000,000 (excl. GST) calculated by reference to total or reasonably estimated value. PBD-2019-04-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.
Agencies must complete a risk assessment to ensure the correct use of Core& Contracts.
Promulgation of succeeding versions of the Core& Contracts
To maintain the currency and relevance of the Core& Contracts, the GCIDO may periodically make minor variations to the Core& Contracts and issue updated versions which will apply to all new procurements from the date it is published on buy.nsw.
Transactions based on earlier versions 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& Contracts.
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 Customer Service (DCS), 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.
Government agencies are not required to seek DCS 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 DCS Legal supported by legal advice confirming the variations are beneficial in nature.
This direction applies from 1 June 2020 until it is withdrawn.
Who needs to know and/or comply with this?
- Advisory Entities (including Boards and Committees)
- Executive agencies related to Departments
- Separate agencies
- Statutory Authorities/Bodies
- Date Issued
- Jun 1, 2020
- Review Date
- Feb 28, 2023
- Replaced By
- 1800 679 289
- Publishing Entity
- The Treasury
- Issuing Entity
- New South Wales Procurement Board