Local Government Procurement

Tendering Threshold Increased in Limited Situations

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Tendering Threshold Increased in Limited Situations

Please be informed that the Office of Local Government (OLG) has increased the tender threshold to $500,000 in limited circumstances. This limit applies to “contracts entered into by councils for the purpose of responding to, or recovering from, a declared natural disaster within 12 months of the declaration of the natural disaster.” (*)

The OLG circular points out that a “declared natural disaster” is defined in the Regulation to mean a natural disaster that has been declared in relation to the area of a council by either:

• a Natural Disaster Declaration for the purposes of the Natural Disaster Relief and Recovery Arrangements jointly administered by the Commonwealth and the States and Territories, or
• a declaration under the State Emergency and Rescue Management Act 1989, section 33.

Those in procurement should ensure they subscribe to the release of OLG circulars by subscribing via the OLG website.

Please be reminded that the following LGP panel contracts may offer an efficient and effective option when faced with urgency:
• LGP420 Minor and Major Civil Works including Construction Materials
• LGP908 Pipes, Pipe Relining, Pumps, Water Meters, Pre-cast Concrete Products and
• Associated Fittings, Products and Services
• LGP119 Asbestos Removal, Remediation Works and Associated Services
• LGP213 Bitumen, Emulsions and Asphalt Materials and Services
• LGP120 Line and Road Marking Works, Associated Hardware and Services
• LGP808 Human Resources (HR) – Permanent and Temporary Placements and Associated Services
• LGP1208 Professional Consulting Services

* Circular No 22-17 / 10 June 2022 / A824946 Office of Local Govt

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