The Government's Procurement Framework has been updated to reflect the ‘Making the Public Dollar Work’ initiatives and to achieve the maximum benefit from government spending.

The Government's procurement strategy ensures that public money is spent in a way that maximises benefits for the local community, supports local businesses, drives economic growth and increases local jobs. Initiatives include:

    Increasing spend with SA Businesses

  • The Government has set an initial target to increase the amount spent with SA businesses instead of interstate and overseas suppliers by 5 per cent  - which would inject an extra $425 million into the state’s economy
  • A minimum of three quotes must be received for government contracts between $55,000 and $550,000 with at least one quote being from a South Australian business
  • Any contract worth more than $55,000 awarded to interstate or overseas suppliers must be approved by the Chief Executive
  • A broad market assessment will be undertaken to identify SA businesses that can deliver projects, goods and services to government
  • Public authorities are also now required to report data on what percentage of contracts are being awarded to non-South Australian businesses
  • In addition to value for money considerations, public authorities will be required to consider the economic benefit of the procurement to South Australian economy
  • Public projects above $500m will be broken into smaller stages or components to allow multiple South Australian companies the opportunity to participate on projects, unless that nature of the project makes this unfeasible

    • Using the local workforce

  • SA workers must deliver a minimum 90 per cent of labour hours on major infrastructure projects worth more than $50 million
  • 20 per cent of all labour hours on major projects must be delivered by apprentices, trainees, Aboriginal workers, and long-term unemployed
  • Government projects worth more than $55,000 must use local project managers, architects, designers, engineers, surveyors, planners, and other professional services providers

    • Increased visibility & transparency

  • An annual project pipeline will be published detailing coming infrastructure projects over $10m to enable lead contractors to prepare thoroughly
  • An independent complaints process will be established for tenderers who feel they have unreasonably missed out on government work

To find out more, go to the SA Government Procurement Framework