New Procurement Board Direction PBD-2019-03 Access to government construction procurement opportunities by small and medium sized enterprises

3 May 2019

This direction replaces the Small Business Trial provisions in PBD-2012-02 Whole of government contracts, PBD-2014-02 Access to government contracting opportunities by small and medium sized enterprises and PBD-2016-05 Procurement Innovation Stream.

The Procurement Board has approved a new Board Direction PBD-2019-03 Access to government construction procurement opportunities by small and medium sized enterprises.

This direction is effective from 1 May 2019. It applies only to the procurement of construction services.

The provisions in the Small Business Trial in PBD-2012-02, PBD-2014-02 and PBD-2016-05 relating to the procurement of construction services by or for a government agency are combined in this direction. It includes:

  • the small business exemption, allowing agencies to purchase construction services valued up to $50,000 (excluding GST) directly from a small business. This provision was previously in PBD-2012-02.
  • the requirement that NSW Government agencies must make reasonable efforts to obtain a quotation from a small or medium enterprises (SME) when conducting a competitive process valued up to $1 million (excluding GST) using the Prequalification Scheme for Construction Consultant Services (SCM1191) and for General Construction Works (SCM0256). This provision was previously in PBD-2014-02.
  • the procurement innovation stream, which allows agencies to engage an SME through direct negotiation for contracts up to $1 million (excluding GST) to conduct proof-of-concept testing or outcomes-based trials. This provision was previously in PBD-2016-05.

A small business is a business with 1-19 full time equivalent (FTE) employees, including sole traders and start-ups.

An SME is an Australian or New Zealand based enterprise with fewer than 200 FTE employees.

The provisions relating to the procurement of non-construction goods and services in withdrawn directions PBD2013-02, PBD-2014-02 and PBD-2016-05 are superseded by the SME and Regional Procurement Policy.

For more information, contact the NSW Procurement Service Centre on nswbuy@treasury.nsw.gov.au or 1800 679 289.

 

 

Issuing entity:
NSW Procurement