Circulars

20-41 Further extension of increased tendering exemption threshold for contracts for bushfire response and recovery to 30 June 2021

Circular Details20-41 / 18 December 2020 / A749538
Previous Circular20-24 Extension of increased tendering exemption threshold for contracts for bushfire response and recovery to 31 December 2020
Who should read thisCouncillors / General Managers / Staff involved in bushfire recovery and procurement
ContactCouncil Governance Team/ 02 4428 4100/ olg@olg.nsw.gov.au
Action requiredCouncil to Implement
PDF Version20-41 Further extension of increased tendering exemption threshold for contracts for bushfire response and recovery to 30 June 2021

What’s new or changing

  • The NSW Government is committed to helping local councils and their communities recover and rebuild in the wake of the recent bushfire emergencies.
  • The Government recognises that recovery efforts have been made more challenging as a result of the impact of the COVID-19 pandemic and other natural disasters.
  • In recognition of these challenges, the temporary higher $500,000 tendering exemption threshold prescribed under the Local Government (General) Regulation 2005 (the Regulation) for contracts for the purpose of bushfire- related response and recovery work has been extended for a further six months to 30 June 2021.

What this will mean for your council

  • Until 30 June 2021, councils will not be required to tender when entering into contracts with a value of up to $500,000 that are primarily for the purpose of bushfire-related response and recovery.
  • After 30 June 2021, the usual $250,000 tendering exemption threshold will apply.
  • Councils should continue to apply appropriate standards of probity in their procurement for bushfire response and recovery work and should continue to ensure that the contracts they enter into represent best value for money.

Key points

  • The Regulation was amended to temporarily increase the tendering exemption threshold to $500,000 for contracts entered into primarily for the purpose of bushfire-related response and recovery work before 31 December 2020.
  • A further amendment has been made to the Regulation to extend this period to 30 June 2021.

Where to go for further information

  • For further information please contact the Council Governance Team on 02 4428 4100 or by email at olg@olg.nsw.gov.au.

Tim Hurst
Deputy Secretary
Local Government, Planning and Policy