Application of VGPB Policy
Context
The Victorian Government Purchasing Board (VGPB) is established under the Financial Management Act 1994.
VGPB’s function relates to the purchase, rental or lease of goods and services, and the management and disposal of goods. VGPB policy does not apply to construction and related matters that are governed by the Minister for Planning.
The functions of the VGPB are:
- to develop, implement and review policies and practices;
- to provide advice, staff training and consultancy services;
- to monitor departmental compliance with procurement policies and Ministerial directions and to report irregularities to the relevant Minister;
- to foster improvements in the use and application of purchasing systems and electronic trading; and
- to establish and maintain a comprehensive database of purchasing data of departments and supply markets for access by departments.
VGPB policy and practices apply to all Government departments, Victoria Police and the following nine administrative offices as defined in the Public Administration Act 2004 (992 KB PDF).
- Essential Services Commission
- Office of Police Integrity
- Office of Public Prosecutions
- Office of the Chief Commissioner of Police
- Office of the Commissioner for Environmental Sustainability
- Office of the Legal Services Commissioner
- Office of the Ombudsman
- Office of the Privacy Commissioner
- Office of the Special Investigations Monitor
- Office of the Victorian Electoral Commission
- State Services Authority
- Victorian Auditor-General's Office
purchasing activity undertaken by outer budget agencies or government business enterprises;
matters of a construction ‘works’ nature that fall under the Project Development and Construction Management Act (1994).
non-contractual agreements or any form of assistance including grants, loans, equity infusions, fiscal incentives, subsidies, guarantees, co-operative agreements and sponsorship arrangements
purchasing arrangements associated with a project undertaken in accord with the Partnerships Victoria policy; and
property (land) transactions.
Key Requirements
1. Compliance with VGPB Policy
Departments and administrative offices:
- are required to comply with VGPB policy in relation to the purchase of goods and services.
- may adopt process requirements in addition to VGPB policy that are not in conflict with the requirements or intent of VGPB policy.
Other Requirements
1. Purchasing Principles
Department purchasing activities must be based on the following principles:
- Value for money
- Open and fair competition
- Accountability
- Risk management
- Probity and transparency
- Open Tendering
- Selective Tendering
- Limited Tendering - Exemption from Public or Selective Tendering
- Quotes for procurement valued up to and including $150,000
Applicable local rules apply
4. Estimated Total Value in Determining a Procurement Method
Estimated total value in reference to VGPB policies includes GST, all forms of remuneration including premiums, fees, commissions, interest, other revenue streams, options to extend and applies to any contractual agreement including purchase, rental or lease.
Related VGPB Policy and DTF Guidelines
Nil
Related DTF Templates and Forms
Nil
Links to relevant Policy websites
Financial Management Act 1994
Version Control Information
 Version Number | 2 |
Release Date | December 2002 |
Further Information | Strategy and Policy, Government Services Division, Department of Treasury and Finance |
Phone | (+613) 868 32944 |
| vgpb@dtf.vic.gov.au |
