Treasurer's Instruction 1106 requires that agencies seek at least three written quotations for the purchase of goods and services (including leases or rentals of equipment) valued at more than $50 000 but less than $250 000 (excluding GST), unless otherwise authorised. Where local capability exists, at least two quotations must be sought from a Tasmanian business.
A Tasmanian business is one that operates in Tasmania, has a permanent office or presence in Tasmania and which employs Tasmanian workers.
Invitations to quote need not be advertised. Copies of the Request for Quotation (RFQ) are usually sent directly to identified businesses - for example, to:
- the current provider of the good/service;
- businesses that have been identified during the market research phase;
- businesses that have expressed an interest in supplying the good or service; and
- other known local businesses.
The RFQ may be issued either by mail or by e-mail and it is recommended the details of all businesses being issued with the RFQ be recorded. Details should include:
- name of business;
- contact person;
- telephone; and
The time provided for bidders to respond to the RFQ will depend largely upon the nature of the RFQ and the complexity of the purchase. At a minimum, bidders should be provided with three weeks to respond.
If any changes are made to the RFQ documentation or the RFQ requirements after you have sent the RFQ to the proposed/selected bidders, you must send copies of the amended documentation to all persons who have been issued with the RFQ. It is a good idea to request all potential suppliers that are issued with the amended documentation to acknowledge receipt of the amendments.
Additional time may need to be provided to bidders if an amendment is made to the original RFQ documentation.
All contact with prospective suppliers must be documented, transparent and unbiased. You should:
- specify in the documentation who to contact for more information, and make sure that all contact is limited to this person;
- document all contact from potential suppliers, including what questions were asked and what information was provided;
- where possible, require any questions to be put in writing (email or facsimile will suffice) and respond in the same manner;
- limit information provided to clarification of procedural issues or documentation; and
- ensure that any additional information provided to one prospective supplier is provided to them all (ie, everyone who has received the documentation).