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Preparing Request for Quotation Documents

Relevant Treasurer's Instructions

What is a Request for Quotation?

Preparing the Request for Quotation

 

Relevant Treasurer's InstructionsBack to Top

Treasurer's Instructions 1109, 1123, 1124 and 1401

What is a Request for Quotation?Back to Top

A Request for Quotation (RFQ) is a document that invites offers from suppliers to provide a specified good or service.  It is generally used when approaching the market by seeking submissions from a limited number of suppliers, for example for purchases valued at less than $250 000.

The document must include all information necessary to enable potential suppliers to prepare appropriate submissions in response, relevant terms and conditions, details of applicable Government policies, a clear description of the goods or services required and any mandatory clauses required by the Treasurer's Instructions.

The complexity of the documentation will depend upon the nature and value of the purchase. Generally, the RFQ documentation will consist of:

 

Document

Content

Conditions of Quotation

  • Conditions upon which the agency is prepared to receive and evaluate offers including relevant Government policy information (ie the Crown Contracts Confidentiality Policy);
  • Any Conditions for Participation (mandatory participation requirements);
  • Evaluation criteria (and weightings if used); and
  • Advice on the closing date, time and place of lodgement, and agency contact details.

For information on conditions for participation and evaluation criteria see Developing conditions for participation, the evaluation criteria and methodology.

Specification

A comprehensive description of the agency's requirements including the functional, performance and technical requirements of the goods and/or services being procured.

Information on preparing specifications is located at Developing the Specification.

Conditions of Contract

The terms of the contract by which the successful supplier and the agency will be bound.

Information on when a formal agreement/contract should be used is located at Finalising a Contract.

Depending on the complexity of the procurement, it is sometimes prudent to also provide suppliers with response schedules which detail information to be provided, including a summary of costs where appropriate. At a minimum response schedules in relation to a supplier's local SME impact to enable assessment, where that mandatory criteria applies, should be provided.

Preparing the Request for QuotationBack to Top

The specification, the conditions for participation and the evaluation criteria are generally prepared early in the planning phase of the purchase. The Conditions of Quotation, Conditions of Contract and Response Schedules (if used) are usually prepared once the specification and the evaluation criteria have been developed and approved.

Depending upon the value and complexity of the purchase, the RFQ may be developed in conjunction with users of the end product, the Evaluation Committee or, if necessary, technical or procurement specialists.

When preparing the Request for Quotation documentation, note the following:

  1. Crown Solicitor Template Request for Quotation documentation for use in low risk/low value procurements or for RFT processes is available for use. The Crown Solicitor's Guide Notes on completion of these templates should be read (where available) before the documentation is completed. The Crown Solicitor should be consulted if this template documentation is not appropriate to the procurement being undertaken.
  2. The inclusion of certain clauses in the Conditions of Quotation and/or the Contract are mandatory. Information on these is contained in the Treasurer's Instructions1109 and 1124. Generally, the Crown Solicitor's template documentation contains  these mandatory clauses, however, agencies should review prior to issuing the documents to ensure no further amendments are required. The Crown Solicitor should be consulted on any amendments to template documentation or any "special" conditions of quotation or contract that are required.
  3. The Conditions of Quotation must include information on any conditions for participation and the evaluation criteria, including weightings if used.
  4. The documentation should provide details of the essential requirements of the good or service being purchased.
  5. The Government Information Technology Conditions (GITC) must be used for all IT purchases, regardless of value except for those specifically provided for in the Treasurer's Instruction1123. For further information on the GITC, including the Head Agreement, pro forma and example orders and guidelines, and a list of GITC accredited suppliers, see TheGITC.
  6. Confidentiality requirements in relation to the provisions of the contract are not allowed in Government contracts unless approved by the Head of Agency strictly in accordance with Treasurer's Instruction 1401. See Crown Contracts Confidentiality Policy for further information.

 



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