20-24 Extension of increased tendering exemption threshold for contracts for bushfire response and recovery to 31 December 2020

Category: Circular to CouncilsStatus: Active
Circular Details: 20-24 / 26 June 2020 / A708194Contact: Council Governance Team/ 02 4428 4100/
Previous Circular: 20-03Attachments: Nil
Who should read this: Councillors / General Managers / Staff involved in bushfire recovery and procurementAction required: Council to Implement
PDF Version:Council Circular 20-24 – PDF

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.
  • 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 31 December 2020.

What this will mean for your council

  • Until 31 December 2020, 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 31 December 2020, 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 in January to temporarily increase the tendering exemption threshold to $500,000 for contracts that are entered into primarily for the purpose of bushfire-related response and recovery work before 1 July 2020.
  • A further amendment has been made to the Regulation to extend this period to 31 December 2020.

Where to go for further information

  • For further information please contact the Council Governance Team on 02 4428 4100 or by email at

Tim Hurst
Deputy Secretary
Local Government, Planning and Policy