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TENDERS (Contracts valued at or over $100,000)

Contents of this section

1. DEFINITIONS
2. INTRODUCTION TO TENDERING
3. TENDER COMMITTEES
3.1 Faculty/Divisional Tender Committee
3.2 University Tender Committee (UTC)
4. SELECTIVE TENDERS AND SOLE SOURCES OF SUPPLY
5. TENDER LIMITS
6. EOIs/RFPs
7. TENDER PROCESS
7.1 Minor Contracts and Minor Equipment Contracts
7.2 Capital Works, Major Contracts and Major Equipment Contracts
7.3 Expressions of Interest/Requests for Proposal
7.4 Requests for Tender
8. SPECIFICATIONS
8.1 Types of Specifications/Statement of Requirements
8.2 Advantages of Specification Types
8.3 Basics of a good specification
8.4 What should be included in the specification?
8.5 Amendments to Request for Tender Documents
9. EVALUATION CRITERIA
9.1 Categories of Evaluation Criteria
9.2 Mandatory and Desirable Criteria
9.3 Examples of Evaluation Criteria
9.4 Weighting of Evaluation Criteria
10. EVALUATION OF TENDERS
10.1 Screening Tenders
10.2 Alternative Offers
10.3 Evaluation Methods
10.4 Equal Tenders
10.5 Recommendation
11. STANDARD TENDER/CONTRACT DOCUMENTATION/TEMPLATES
12. CONFIDENTIALITY
13. COMMUNICATIONS DURING IN THE TENDER PROCESS
14. PROBITY
14.1 Rationale
14.2 Objectives of the probity process
14.3 Why is Probity Essential?
14.4 Essential Principles of Probity
14.5 Use of Probity Advisers in the Tendering Process

1. DEFINITIONS

"Appropriate Committee" - means for:

(a)    Minor Contracts and Minor Equipment Contracts - Faculty/Divisional Tender Committee; and

(b)    Major Contracts, Major Equipment Contracts and Capital Works Contracts (over $100,000) - University Tender Committee

"Assessment Panel" - a group of suitably qualified/experienced staff appointed to assist the Appropriate Committee, as required, on the technical aspects of Tenders

"Expression of Interest" and "EOI" - means a public invitation to potential suppliers to offer a wide range of options (excluding pricing) in response to a brief statement of requirements that will help determine their capacity to complete a particular project or refine the requirements of the University or determine the viability of a project/procurement

"Capital Works" - means any construction (including extending and modifying) whether in part or whole and in relation to a new or existing structure where the estimated cost exceeds $100,000 (including such items as air conditioning systems, fire alarm systems, carpet and blinds)

"Major Contracts" - means contracts to provide goods and services (excluding Minor Contracts, Major Equipment, Minor Equipment and Capital Works) where the estimated cost exceeds $100,000 and that have a University wide impact (e.g. cleaning, travel, telephone)

"Major Equipment Contracts" - means the purchase of equipment items (or systems) with an estimated cost of $500,000 or more

"Minor Equipment Contracts" - means the purchase of equipment items (or systems) with an estimated cost of between $100,000 and $500,000

"Minor Contracts" - means contracts to provide goods or services (excluding Minor/Major Equipment Contracts, Major Contracts and Capital Works) that only have relevance at a Faculty/Division level, (i.e. no significant University wide impact), and have an estimated value of between $100,000 and $150,000

"Request for Tender" and "RFT" - is a public invitation to potential suppliers to obtain Tenders when the requirements or specification can be clearly defined and there are many suppliers able to offer competitive solutions

"Request for Proposal" and "RFP" - is a form of EOI where there is some limited specifications and pricing information included which the tenderers need to respond to.

"Selective Tender" - means a RFT which is only released to specific suppliers, as opposed to the public at large, as set out in Clause 4 of this Section C

"Tender" - A tender is an offer in writing to do certain work or to supply certain goods at a certain sum of money or rate made in response to a Request for Tender

"Tenderer" - means an entity submitting a Tender

2. INTRODUCTION TO TENDERING

2.0.1 All University officers who commit or incur expenditure against any funds administered by the University are accountable for such expenditure and have a general responsibility for the exercise of due economy. The calling of competitive Tenders is part of the process of ensuring that the best value for money is obtained. These procedures are intended to:

2.0.2 If, due to unforeseen circumstances, any of these policies and procedures need to be varied at short notice in order for the University to operate efficiently and economically such variation may be approved by the Vice-Chancellor with details of, and justification for, the variation being reported to the next meeting of the University Council.

3. TENDER COMMITTEES

3.1 Faculty/Divisional Tender Committee

3.1.1 A Faculty/Divisional Tender Committee is to be established by the relevant Pro Vice Chancellor (PVC)/Heads of Divisions, in relation to each Minor Contract and Minor Equipment Contract, to:

3.1.2 The Faculty/Divisional Tender Committee shall comprise:

The Committee shall, on a needs basis, be permitted to consult with other persons on technical aspects of the assessment process where appropriate and be provided with the following support persons who shall have rights of audience and debate:

3.1.3 The Team Leader, Procurement's role is to provide advice on the process, coordinate other related tasks and complete an independent review of Tenders or EOI responses.

3.1.4 In the event that there is a material and unreasonable difference between the ranking/short listing of Tenders by the Team Leader, Procurement and the other Faculty/Divisional Tender Committee members, the Team Leader, Procurement will refer the matter to the Executive Director, Business Services, through the Manager, Financial Operations for assessment and advice.

3.1.5 The committee secretary will record the minutes of all Faculty/Divisional Tender Committee meetings, which are to be signed as being a true record by the Chairperson, and produce a standard EOI Evaluation Summary and Recommendation form or Tender Evaluation Summary and Recommendation form on the outcome to be forwarded to the PVC/Head of Division.

3.1.6 All members and attendees of the Faculty/Divisional Tender Committee are to be reminded of the need for confidentiality in all matters before the Committee and to declare any conflict of interest arising from any matter to be considered by the Committee.

3.1.7 The Conflict of Interest Declaration form should be the first item addressed on the agenda of every initial Faculty/Divisional Tender Committee meeting and must be signed by each Tender Committee member.

3.2 University Tender Committee (UTC)

3.2.1 The UTC is established, in relation to Capital Works, Major Contracts and Major Equipment Contracts, to:

3.2.2 The UTC shall comprise:

The Committee shall be provided with the following support persons who shall have rights of audience and debate:

3.2.3 The UTC shall normally meet monthly on a predetermined basis to consider, and make recommendations to the Council or its delegate, as appropriate, in respect of all Expressions of Interest and Tenders for Capital Works, Major Contracts and Major Equipment Contracts in accordance with these policies and procedures.

3.2.4 The committee secretary will record the minutes of all Tender Committee meetings, which are to be signed as being a true record by the Chairperson, and prepare a report on any outcome(s) including any recommendation(s) to be forwarded to the Council or its delegate.

3.2.5 All members and attendees of the Tender Committee are to be reminded of the need for confidentiality in all matters before the Committee and to declare any conflict of interest arising from any matter to be considered by the Committee.

3.2.6 The recommendations of the UTC must be reported in writing to the University Council.

3.2.7 Use of Assessment Panel

4. SELECTIVE TENDERS AND SOLE SOURCES OF SUPPLY

4.0.1 Where it is considered that there are only a few known suppliers able to meet the requirements or there is only one known supplier (Sole Supplier) active in a particular market, but an RFT process would otherwise be required, a Selective Tender process may be used (provided it can be justified).

4.0.2 It is essential to document reasons for the Selective Tender and to show that in the circumstances it is required and the outcome reflects good value and impartiality by the University.

4.0.3 The following information must be provided before a Selective Tender process is commenced in order to establish that there is a genuine limited or sole source of supply situation:

Evidence and supporting documentation must be provided to substantiate the existence of a limited number of suppliers or a sole supplier.

4.0.4 To conduct a Selective Tender it must be approved in accordance with the requirements set out in this Clause 4, and Clauses 7.1.1 and 7.2.1 and will only be considered where a sound business case exists to warrant it.

4.0.5 The higher the value of the goods/service the more detailed justification for dispensing with the RFT process is required.

4.0.6 In all other instances, Quotations and Tenders must be obtained in accordance with the Dollar Value Threshold.

4.0.7 When conducting Selective Tenders the same degree of diligence used for RFT's must be applied when obtaining the Tender, namely the provision of a functional specification and appropriate terms and conditions of contract. When this process is followed, it is possible to properly assess technical merit, compliance and therefore value for money.

4.0.8 Furthermore this helps to avoid the situation where buyers go through the discipline of seeking a formal offer to then find that what the supplier proposes is inappropriate and other more cost effective solutions were available and should have been considered.

5. TENDER LIMITS

5.0.1 Tenders are to be obtained in accordance with the Dollar Value Threshold. The Procurement Overview flow chart provided in Section A is an easy read guide to the University's Procurement Policy and Procedure (including the Dollar Value Threshold) which provides more detailed information by clicking on the chart's "highlighted links". If the actual amount of a proposed purchase is not known with reasonable certainty, the higher value procedure should be followed.

5.0.2 Splitting of transactions in order to manipulate Quotation or Delegation limits is strictly prohibited. This practice is of serious concern to the University and auditors and must not occur.

5.0.3 Any Requests for Tender and Expressions of Interest should not be sought without a firm intention to continue, subject to a satisfactory offer being received. It can be expensive for suppliers to develop offers and if it is perceived that there is a lack of commitment from the University, competition will be reduced (suppliers may refrain from dealing with the University at all), value for money will be more difficult to obtain and the University may be open to legal challenge for failing to discharge its obligations of good faith (in contract and administrative law).

6. EOI's/RFP's

6.0.1 In complex, high relative expenditure or new areas where the purchaser needs to learn more about the product or the market, it may be helpful to enter into a two-stage tender process. This involves the inclusion of the preliminary step of an EOI/RFP which is generally used to:

6.0.2 The next stage usually involves a more detailed formal specification that forms part of an RFT that is made on the basis of an open tender.

6.0.3 The two-stage process is more time consuming and expensive for all parties. It should generally be considered for requirements classed as "high relative expenditure, complexity or for which supply is difficult to secure". Also the impact the method will have on both the University and potential suppliers in issuing, responding to and evaluating the responses should be taken into consideration. Refer to Clause 7.3 for full details.

7. TENDER PROCESS

7.1 Minor Contracts and Minor Equipment Contracts

7.1.1 All Minor Contracts and Minor Equipment Contracts will be undertaken on the basis of an RFT, except that with specific justification and the approval of the Pro Vice-Chancellor or Executive Director (or higher, according to Financial Delegation), Selective Tenders may be invited.

7.1.2 The University reserves the right to operate flexibly and economically in its legitimate self interest within a framework of fairness and equity.

7.1.3 The use of Consultants for calling tenders for Minor Contracts and Minor Equipment Contracts is subject to the approval of the Vice-Chancellor and must be subsequently reported in writing to the University Council. The University's Policy and Procedure, for Quotations and Tenders, and Use of Consultants shall apply.

7.1.4 Only standard contract forms shall be used. The University's solicitors must approve substantive modifications to any standard contract.

7.2 Capital Works, Major Contracts and Major Equipment Contracts

7.2.1 All Capital Works, Major Contracts and Major Equipment Contracts will be undertaken on the basis of RFT, except that Selective Tender may be invited on the basis of specific justification and the approval of the Executive Director (Business Services or Infrastructure Services), Deputy Vice Chancellor (Services) or Vice Chancellor (according to Financial Delegation).

7.2.2 The University reserves the right to operate flexibly and economically in its legitimate self interest within a framework of fairness and equity.

7.2.3 The use of Consultants for calling Tenders for capital building works is subject to the approval of the Vice-Chancellor and must be subsequently reported in writing to the University Council. The University's Policy and Procedure, for Quotations and Tenders, and Use of Consultants shall apply.

7.2.4 Only contract forms developed by reputable professional organisations such as the Standards Association of Australia will be used, and in the case of Capital Works the Royal Australian Institute of Architects may also be used. The University's solicitors must approve substantive modifications to any standard contract.

7.3 Expressions of Interest/Requests for Proposal

7.3.1 Expressions of Interest / Requests for Proposal may be obtained by public invitation:

7.3.2 Advertisements inviting Expressions of Interest/Requests for Proposal will be prepared by the Appropriate Committee or Assessment Panel for approval by the relevant Pro Vice Chancellor/Executive Director.

7.3.3 Public advertisements for Expressions of Interest / Requests for Proposal should include the following information:

7.3.4 All documentation must be available before the advertisement is placed.

7.3.5 When preparing the advertisement, reasonable time should be allowed for Tenderers to make site visits and undertake any other work necessary to allow them to respond fully.

7.3.6 The advertisement is to be placed through the University's Information and Public Relations Unit in accordance with University policy with a copy of the advertisement being forwarded to the Procurement Section. Public Relations will require a cost centre and approval by the relevant Pro Vice Chancellor/Executive Director before the advertisement can be placed.

7.3.7 Where the EOI / RFP involves documentation, it will be issued by the Procurement Section to prospective Tenderers on request, or made available by download direct from the University's Tender Web page. The name, address and contact details of all firms to whom EOI/RFP documents are issued (or who access the Tender web page and download EOI/RFP documents) will be recorded by the Team Leader, Procurement or nominee and included with related EOI/RFP documentation in the Procurement Section.

7.3.8 The point of lodgment for Expressions of Interest / Requests for Proposal will be:

Tender Box
Procurement Section
Level 2
The Chancellery Building
The University of Newcastle
Callaghan NSW 2308

7.3.9 EOI/RFP responses are to remain unopened in the Tender Box until after the designated closing time for Tenders. EOI/RFP responses received after the designated closing time will not be accepted, unless it can be proven without doubt that the cause of the lateness was beyond the Tenderers' control, and that its inclusion will not compromise the integrity and competitiveness of the tender process. EOI/RFP responses received by fax will not be accepted.

7.3.10 Immediately or as soon as practical after the designated closing time for EOI's, the Tender Box will be opened by two officers of the Procurement Section and the relevant EOI's removed and opened. Each EOI will be date stamped and initialled by the two opening officers. The name and address of each applicant will be recorded in the Expressions of Interest/Requests for Proposal Register maintained by the Procurement Section. The Expressions of Interest/Requests for Proposal responses, together with a summary of expressions received, will be forwarded to the Appropriate Committee for assessment.

7.3.11 The Appropriate Committee will consider a report on Expressions of Interest received, make a recommendation and refer for approval as follows:

7.4 Requests for Tender

7.4.1 Where the calling of RFT's has been preceded by a public Expression of Interest/Requests for Proposal process the RFT can be a Selective Tender issued to those selected following the responses to the Expressions of Interest/Requests for Proposal.

7.4.2 When Requests for Tender are to be called, an advertisement is to be prepared by the Appropriate Committee for approval by the relevant Pro Vice Chancellor/Executive Director, or in the case of Capital Works the Executive Director, Infrastructure Services, unless it is a Selective Tender.

7.4.3 Public advertisements for Requests for Tender should include the following information:

7.4.4 All documentation must be available before the advertisement is placed.

7.4.5 When preparing the advertisement, reasonable time should be allowed for Tenderers to make site visits and undertake any other work necessary to allow them to respond fully.

7.4.6 The advertisement is to be placed through the University's Public Relations Unit in accordance with University policy, with a copy being forwarded to the Procurement Section.

7.4.7 Tender documents will be issued by the Procurement Section to prospective Tenderers on request, or made available for download direct from the University's Tender Web page. The name, address and contact details of all firms to whom tender documents are issued (or who access the Tender web page and download tender documents) will be recorded by the Team Leader, Procurement or nominee and included with related tender documentation in the Procurement Section.

7.4.8 In the case of Capital Works, Tenderers may be required to lodge a deposit prior to receiving Tender documents. An official University receipt is to be issued for such deposits, and the money paid to the University Cashier at the first opportunity (for credit to a designated liability detail code). These deposits will be refunded to Tenderers when the documents are returned to the University in reasonable condition. Procurement Section Staff will prepare the refund payment voucher.

7.4.9 Tenderers may be required to pay a nominal fee (for example $110 including GST) for the RFT document to cover preparation and printing costs and to ensure only genuine prospective Tenderers obtain the RFT.

7.4.10 The RFT must include details of the University's evaluation criteria to be applied to the Tenders.

7.4.11 The tender documents are to include the name of a contact person who is to receive all enquiries from Tenderers. The contact person may be the Consultant, or in the case of Capital Works the Consulting architect or engineer, who prepared the documentation, or a member of the Appropriate Committee.

7.4.12 All enquiries are to be in writing and are to be recorded by the nominated contact person, and included with supporting documentation from the Appropriate Committee or made available for all respondents through the University Tender Web page where appropriate.

7.4.13 No one Tenderer shall be given information not conveyed to all other Tenderers (without reason such as confidentiality or intellectual property).

7.4.14 Where an enquiry requires a clarification of the tender documents, the clarification will be conveyed as a written addendum to all Tenderers by:

7.4.15 The point of lodgment for Tenders is:

Tender Box
Procurement Section
Level 2
The Chancellery Building
The University of Newcastle
Callaghan NSW 2308

7.4.16 Request for Tender responses are to be received by the stated closing date and time, within a sealed envelope or package, clearly marked with the Request for Tender name and number.

7.4.17 Tenders are to remain unopened in the Tender Box until after the designated closing time for Tenders. Tenders received after the designated closing time will not be accepted, unless it can be proven without doubt that the cause of the lateness was beyond the Tenderers' control, and that its inclusion will not compromise the integrity and competitiveness of the tender process. Tenders received by fax will not be accepted.

7.4.18 Immediately or as soon as practical after the designated closing time for Tenders, the Tender Box will be opened by two officers of the Procurement Section and the relevant Tenders removed and opened. Each Tender will be date stamped and initialed by the two opening officers. The names of the Tenderers and the amount tendered will be entered in the Tenders Register and initialled by the opening officers. The Tender Register will be securely filed in the Procurement Section to maintain confidentiality.

7.4.19 The Tenders together with a summary of the Tenders received will be forwarded to the Appropriate Committee for assessment. Tenders to be submitted to the UTC may be assessed by an advisory Assessment Panel prior their submission. The Tenders may be referred to the Consultant, or in the case of Capital Works the Consulting engineers/architects or quantity surveyors, for assessment and recommendation if appropriate. The University will, at all times, have ultimate discretion on the acceptance or otherwise of Tenders and the Consultant must always only act in an advisory capacity.

7.4.20 The Appropriate Committee will consider a report on Tenders received, make a recommendation and refer for approval as follows:

7.4.21 After the recommendation has been formally approved by the appropriate Committee, the following will occur:

7.4.22 A letter to unsuccessful Tenderers will be prepared as follows for:

And will include the name of the successful Tenderer. It shall not be incumbent on the University to provide any information to unsuccessful Tenderers apart from the name of the successful Tenderer.

8. SPECIFICATIONS

8.0.1 The success of the procurement activity depends on the specification being a true and accurate statement of requirements.

8.0.2 Apart from being a means of identifying the goods or services required, a specification will form part of a contract resulting from Tenders received.

8.0.3 The specification forms part of the RFT. Other elements in the RFT include the "Conditions of Tender", the "General Conditions of Contract", the "Special Conditions of Contract" and the "Schedules" (includes the "Tender Form").

8.0.4 Tender specifications should be defined in ways, which do not unduly limit the range of potential Tenderers. Specifying the desired outcome instead of the method of achieving it, usually achieves a more effective result although this very much depends on the particular project or procurement.

8.1 Types of Specifications/Statement of Requirements

Specifications can be divided into the following categories:

Functional Specifications - define the function, duty or role of the goods or services required by focusing on what is to be achieved rather than how it is to be done. This enables suppliers to provide solutions to defined problems.

Performance Specifications - define the purpose of the goods or services in terms of how effectively they will perform. Performance specifications focus on what is to be achieved, the operating inputs and outputs. They do not describe the method of achieving the desired result. This enables suppliers to provide solutions to defined requirements.

Technical Specifications - define the technical and physical characteristics of the item required, such as dimensions, capacity, power output, design details, operational requirements, etc. They are used when functional and performance characteristics are insufficient to define the requirement.

Exemplar Specifications - give an example of an existing product or service which would be appropriate and allows for alternatives by including the words "or equivalent" or "or similar". Where it is more practical to nominate a brand name it should only be used to define the product standard and not reflect a bias towards particular items or suppliers. The specification should also invite offers of equivalent products, that is, products meeting similar performance, functional and technical standards.

8.2 Advantages of Specification Types

8.2.1 Generally, functional and performance specifications are preferred because:

8.2.2 There may be circumstances where a combination of functional, performance and technical are required in a specification to adequately define your requirements.

8.3 Basics of a good specification

To ensure the process satisfactorily meets your requirements the specification should:

8.4 What should be included in the specification?

A Template specification has been prepared which includes a range of items that should be considered for inclusion in the specification. These items may be amended or omitted in order to better define your requirements.

8.5 Amendments to Request for Tender Documents

Where it becomes necessary to amend RFT's, all Tenderers must be advised by way of an addendum. It may be necessary to extend the closing date to allow all Tenderers sufficient time to consider and respond to the addendum.

9. EVALUATION CRITERIA

9.0.1 The tender documents should be designed to elicit the necessary information to allow effective assessment of Tenders received. The evaluation criteria are the means by which proposals are assessed and compared, and provide the grounds for making recommendations.

9.0.2 The evaluation criteria must ben developed in advance and included in the Request for Tender documents. The criteria must reflect all significant items in the statement of requirements and/or specification. This will allow Tenderers to understand what is important and also direct attention to what may be regarded as key issues.

9.1 Categories of Evaluation Criteria

Evaluation Criteria should (where appropriate) be described under the following categories:

9.2 Mandatory and Desirable Criteria

9.2.1 Mandatory Criteria - are for those items that are critical to the project. These criteria are a yes/no or comply/non-comply scenario and offers not meeting these criteria may be eliminated from any further consideration. In principle, mandatory criteria do not allow for additional value/weighting to be applied.

9.2.2 Careful consideration must be given to ensure that mandatory criteria are not so onerous so as to unduly limit the number of offers received for assessment, as Tenders not meeting mandatory criteria will generally be excluded.

9.2.3 Desirable Criteria - are those aspects where some variability in the level of compliance is acceptable and can be weighted according to their importance if necessary. Tenders should not be eliminated for not meeting any particular desirable criteria, as the assessment will be determined by the Tender that best meets all of the desirable criteria.

9.3 Examples of Evaluation Criteria

9.3.1 Criteria should be listed in order of importance and if the documentation does not indicate a level of importance, all criteria will be considered equal. Respondents should be requested to respond to all criteria in the order and format presented. Weightings must be agreed to before the Request for Tender documents are issued but do not need to be made known to suppliers.

9.3.2 Examples of mandatory criteria are:

9.3.3 Examples of desirable evaluation criteria are:

9.4 Weighting of Evaluation Criteria

9.4.1 Weighting can only be applied to desirable criteria. Mandatory criteria are not weighted, as the only applicable response to these criteria will either be "yes/no" or "compliant/non-compliant". Weightings must be agreed to before the Request for Tender documents are issued but should not be made known to Tenderers.

9.4.2 Weights are applied to each of the criteria according to their importance, the most important criteria receiving the biggest weight value, and the least important receiving the smallest value.

9.4.3 The main criteria of Commercial, Technical and Cost/Price should also be weighted in terms of importance (totalling 100%) and each of their sub-criteria should be weighted in terms of importance (also totalling 100%).

10. EVALUATION OF TENDERS

10.0.1 The evaluation of Tenders will be strictly in terms of the pre-defined evaluation criteria and will generally take into account the following aspects:

10.0.2 In the evaluation of Tenders the Commercial and Technical Evaluation must be completed before the Cost/Price components are viewed to maintain objectivity and the appearance that the evaluation of Technical and Commercial aspects were in no way influenced by pricing considerations. This is referred to as the "two envelope" system.

10.0.3 Value for money is determined by considering all factors relevant to a particular requirement. It includes the cost of the goods/service, whole of life costs, fitness for purpose, innovation and value adding components. Decisions should not be made on the basis of purchase price alone. Meeting user requirements, quality and service are critical and more important than price in certain instances (this is especially the case for specialised or particularly complex specification requirements).

10.0.4 Achieving value for money means ensuring that the benefits gained are proportionate with the cost.

10.0.5 The Tender Evaluation Methodology to be used should be determined, noted and signed off by each member of the Tender Committee prior to receipt of tender responses.

10.0.6 Tenders must be assessed in a consistent manner solely against the predetermined conditions of tendering and evaluation criteria defined in the Tender documents. Under no circumstances can the conditions of the Tender, criteria and weighting assigned to criteria be varied in any way once the Request for Tender has been issued.

10.0.7 All members of Tender Committees must use the same evaluation method. Refer Section E - Risks in the Procurement Process for further information.

10.0.8 The use of a matrix analysis is an acceptable and recommended method of summarising and comparing Tenders, and to support Purchase Recommendation Reports. Matrices may be weighted and scored so that the Tender receiving the highest total score is the one considered to best meet the requirements. However, the evaluation should assess whether the higher point score justifies paying a premium when this situation occurs.

10.0.9 The University reserves the right not to accept the lowest or any Tender. However, where it is proposed to pass over one or more Tenderers in favour of a higher Tender the reasons for such actions are to be clearly established and documented, and must relate to the established evaluation criteria.

10.0.10 It shall not be incumbent on the University to provide any information to unsuccessful Tenderers apart from the name of the successful Tenderer.

10.1. Screening Tenders

10.1.1 The first step in the evaluation process is to identify offers that do not meet the mandatory requirements and consider excluding them from any further consideration. The reasons for rejection of any tender must be clearly documented.

10.1.2 It is important to note that due to the principles of fair process and probity, all Tenders are to be treated equally in considering non compliance with mandatory criteria.

10.2. Alternative Offers

Alternative offers should only be accepted where the Request for Tender includes conditions under which alternate offers will be accepted and they have been complied with.

10.3 Evaluation Methods

10.3.1 The most commonly used methods for evaluation of Tenders are described below.

10.3.2 Numerical Scoring - involves a numerical rating against each of the evaluation criteria and applies to each one a score based on the level of compliance of each offer. For example:

10 points exceeds the requirements
7 to 9 points meets the requirements
4 to 6 points meets the requirements except for minor aspects
1 to 3 points does not fully meet the requirements
0 point does not comply with requirements at all

10.3.3 This method is best expressed in a tabular (Excel) format with the total rating at the bottom. It does not allow for weighting of the importance of the criteria and assumes the various evaluation criteria to be of equal importance. It is more appropriate for low to moderately complex purchases. Tenders not meeting all of the mandatory criteria are considered as non-complaint and should be rejected.

10.3.4 The Tender with the highest total score in this method is the one that should best meet the requirements.

10.3.5 Matrix (or weighted scoring) - involves applying a compliance rating with a weighting that is determined by the importance of each of the evaluation criterion and/or categories of evaluation criteria. The scoring only applies to the desirable criteria and any offers not able to meet all of the mandatory criteria will be considered non compliant and should be rejected. This method is appropriate for dealing with more complex requirements.

10.3.6 This method is best expressed in a matrix listing each of the criteria along with its weight. A numerical rating similar to the previous example is applied and the weighted score is calculated by multiplying the weight by the numerical rating. The Tender with the highest total score in this method is the one that should best meet the requirements. The following templates have been provided to facilitate summary of tender submissions:

Faculty/Divisional EOI Matrix
Faculty/Divisional Weighted EOI Matrix
Faculty/Divisional Tender Evaluation Matrix
Faculty/Divisional Tender Evaluation Weighted Matrix
University Tender Committee EOI Evaluation Matrix
University Tender Committee EOI Evaluation Weighted Matrix
University Tender Committee Tender Evaluation Matrix
University Tender Committee Tender Evaluation Weighted Matrix

10.4 Equal Tenders

Where two Tenders are assessed as being equal, the successful one will be selected by the following method in the order shown:

10.5 Recommendation

10.5.1 The following templates have been developed to facilitate recording the results and recommendation of the Tender Committee, once all tender submissions have been thoroughly evaluated:

10.5.2 The "Evaluation Summary and Recommendation" form is to be completed and signed off by the Chair of the committee. Any related supporting documentation such as the "Evaluation Matrix" is to be attached to the Recommendation and referred for approval as follows:

11. STANDARD TENDER/CONTRACT DOCUMENTATION/TEMPLATES

11.1 Contracts:

Consultancy Contract (long form)
Request for Tender Contract - Goods/Equipment
Request for Tender Contract - Services

11.2 Forms:

Consultancy Business Case
Consultancy Performance Report
Faculty/Divisional Conflict of Interest Declaration
Faculty/Divisional EOI Evaluation Summary & Recommendation
Faculty/Divisional Request for Quotation
Faculty/Divisional Tender Evaluation Summary & Recommendation
University Tender Committee EOI Evaluation Summary & Recommendation
University Tender Committee Tender Evaluation Summary & Recommendation

11.3 Letters:

Letter to Non-Short listed EOI's
Letter to Successful Tenderer
Letter to Unsuccessful Tenderers

11.4 Matrices:

Faculty/Divisional EOI Matrix
Faculty/Divisional Weighted EOI Matrix
Faculty/Divisional Tender Evaluation Matrix
Faculty/Divisional Tender Evaluation Weighted Matrix
University Tender Committee EOI Evaluation Matrix
University Tender Committee EOI Evaluation Weighted Matrix
University Tender Committee Tender Evaluation Matrix
University Tender Committee Tender Evaluation Weighted Matrix

11.5 Quick Reference Guides:

Faculty/Divisional EOI to Tender Process
Assessment Panel EOI to Tender Process
Faculty/Divisional Tender Process
Assessment Panel Tender Process

12. CONFIDENTIALITY

12.0.1 Confidential or proprietary information relating to a Tender provided by a Tenderer must not be disclosed to any another Tenderers. This includes, but is not limited to, information concerning intellectual property and commercial-in-confidence information. The University will however disclose successful contractors by publication or on request (as applicable)

12.0.2 No information relating to unsuccessful Tenderers will be made available.

13. COMMUNICATIONS DURING IN THE TENDER PROCESS

13.1 Pre-tender Briefing

13.1.1 If a pre-tender briefing is specified, it should be mandatory to ensure all prospective contractors receive equal information.

13.1.2 Why have one?

13.1.3 Agenda

13.1.4 The Briefing

13.1.5 Issues with Minutes

13.2 Site Inspections

13.2.1 Purpose

13.2.2 Issues to Consider

13.3 Questions from Tenderers

13.3.1 Issues

13.4 Inappropriate Contact from Tenderers (i.e. not via nominated contact person)

13.4.1 How to Minimise/Manage

13.4.2 Remember that questions are likely being asked in order for Tenderer to get advantage over other Tenderers.

13.5 Tenderer Presentations

13.5.1 Before the Presentation

13.5.2 How to Handle the Presentation

13.5.3 Issues to Remember

13.6 Post-Tender Debrief

A post tender debrief will only be undertaken at the discretion and approval of the Commercial Manager.

13.6.1 What should be covered?

13.7 Complaints - ICAC / CEO / Court

Avoid by ensuring a complaint process with appropriate probity measures.

13.8 Clarification of Information

13.8.1 Any contact with Tenderers during the evaluation process must be done with due regard to probity. Where the detail provided in a Tender submission needs clarification, information may be obtained from the Tenderer to seek clarification only and not amendment or modification. The request for clarification must in no way result in the Tenderer gaining an unfair advantage over other Tenderers and care must be taken to ensure that clarification does not become negotiation.

13.8.2 Requests and responses for clarification should be in writing. If this is not feasible and the issue has to be discussed verbally, the discussion must be documented, dated and signed, and included with the Tender documentation. The request and response must be must be clearly documented in all cases.

13.8.3 Details must be strictly limited to the point of clarification and no detail of the evaluation process or status of any Tenderer be divulged.

13.9 Negotiation

13.9.1 Negotiations may by undertaken by the Appropriate Committee or delegate, only at the end of the evaluation process, and once a "clear winner" has been established and agreed upon. Negotiation with the recommended contractor must be conducted before the contract formation and should aim to achieve a cost effective agreement that is:

13.9.2 The University must not in any way seek to trade off different Tenderers prices against others in an attempt to seek lower prices.

13.9.3 Generally, negotiation would be undertaken:

14. PROBITY

14.1 Rationale

14.1.1 Probity in procurement is based on the principles of fairness, equity, and value for money and best practice. It is an integral part of the procurement process and should not be a last minute consideration. Probity applies equally to the purchase of goods and services

14.1.2 The following key requirements should be considered throughout all stages of the procurement process:

14.2 Objectives of the probity process

The issue of probity is the responsibility of all stakeholders involved in the procurement process. The broad objectives are to:

14.3 Why is Probity Essential?

Probity on the procurement process will facilitate:

14.4 Essential Principles of Probity

The essential principles of probity in achieving procedural fairness are:

14.5 Use of Probity Advisers in the Tendering Process

14.5.1 The University may, at its discretion, engage an independent, external person to act as a Probity Advisor:

14.5.2 Engagement of a probity advisor should occur in the following circumstances:

[1] It is recommended that the Faculty/Divisions nominate or pre-determine an appropriate number of staff with the capacity, skills and knowledge of tendering to make themselves available to act in the capacity of "Independent Member" of other Faculty/Division tender committees.

[2] If further clarification is required, UTC members may be required to attend a separate briefing by the Assessment Panel