Accreditation of Departments by the VGPB Policy
Context
The VGPB has accredited departments to assume responsibility for purchasing. The delegation of the VGPB's powers through the accreditation process requires departments to comply with Board policy and to establish an Accredited Purchasing Unit (APU).
Each department's APU has the delegated responsibility to oversee the procurement process and to approve requisitions within its accreditation limits without reference to the Board.
The Accountable Officer may give the APU responsibility for developing internal processes in-line with VGPB policy.
Key Requirements
1. The Establishment of Accredited Purchasing Units
Departments are to establish an APU as part of their accreditation by the VGPB.
The responsibilities of the APU include:
- assessing procurement proposals in excess of $100,000 and high risk/complex purchases of lesser value;
- approving proposals within the department's accreditation limit and endorsing proposals outside that accreditation limit for consideration by the VGPB;
- monitoring and reporting on the department's purchasing processes and procedures;
- providing purchasing related advice to senior officers and other personnel;
- facilitating increasing levels of competency in the procurement function; and supporting the VGPB in the performance of its functions.
- The Accountable Officer of the department is to apply to the VGPB for an accreditation level that suits the department's needs and risk environment.
- The VGPB has established a four tier accreditation system aligned with key government procurement policy requirements (refer to the table below).
| Tiers | Accreditation Limit |
| Tier 1 | Up to $1M |
| Tier 2 | Up to $10M |
| Tier 3 | Up to $50M |
| Tier 4 | Unlimited |
The application for accreditation or a change in the level of accreditation is to be supported by a management plan including an implementation timetable for consideration and approval by the VGPB.
The Accountable Officer is to provide a management plan compliance report as part of the Annual Supply Report to the VGPB.
The Accountable Officer can apply to the Board at any time for a change in a department's accreditation level.
Other Requirements
1. Review of a Department's Management Plan
- A management plan is to be reviewed by the Board within a 36 month period after approval by the Board.
- The Board can request a review of a department's management plan at any time.
Related VGPB Policy and DTF Guidelines
Accreditation Management Plan Framework - explanatory note
Related DTF Templates, Forms and Tools
Nil
Links to relevant Policy websites
Nil
Version Control Information
 Version Number | 2 |
Release Date | June 2009 |
Further Information | Strategy and Policy, Government Services Division, Department of Treasury and Finance |
Phone | (+613) 868 32944 |
| vgpb@dtf.vic.gov.au |
