VPS Special Conditions for AS2124 and AS4300 refreshed – January 2018
The Special Conditions of Contract for use in association with AS2124-1992 and Special Conditions of Contract for use in association with AS4300-1995 have been refreshed and are available for use. Practitioners should ensure that they use the current version of the relevant Special Conditions. The refreshed Special Conditions are available at Practitioners Toolkit – Standard form contracts.
Agency staff should contact the Construction Policy Team on 03 9651 5300 or email if they need a summary of changes taking effect. Note that the refreshed Special Conditions do not address the Building. Contact Industrial Relations Victoria via email if the Building Code applies to your project.
VPS Minor Works Contract new version available – November 2017
A new version of the Victorian Public Sector General Conditions of Contract for Minor Works (VPS MWC September 2017 ) has been released and is available for use. Practitioners should ensure that they use the current version. The refreshed Minor Works Contract is available at Practitioners Toolkit – Standard form contracts. Minor changes have been made to variation provisions.
Commonwealth Code for the Tendering and Performance of Building Work 2016 – September 2017
The Commonwealth Code for the Tendering and Performance of Building Work 2016 is effective.
EPA Construction and Demolition Waste Toolkit – July 2017
The Environment Protection Authority has published a Toolkit for the Management of Solid Waste from Civil and Construction and Demolition. The Toolkit contains information to help procurement officers and construction project managers meet their environmental legislative requirements for the correct management of solid waste from works sites.
Supplier Code of Conduct – July 2017
The Victorian Government has implemented a Supplier Code of effective from 1 July 2017.
Construction contracts will not be amended to refer to the Code. Practitioners need to amend RFT, RFQ, EOI etc templates to require the Commitment Letter either as a stand-alone document or as a returnable schedule.
The Construction Supplier Register is in the process of seeking Commitment Letters from suppliers on the register. During this transition period practitioners should check with the Construction Supplier Register team as to the status of that work and to determine if you need to ask for a Commitment Letter or not.
Practice Note - Guidance on what is public construction – March 2017
The Practice Note on defining public construction assists public construction procurement practitioners to determine when a procurement is ‘public construction'.
Practice Note - Guidance on what is public (WORD 242 KB)
Ministerial Directions for public construction – Update to the Guide to Ministerial Direction No 1 – March 2017
Further amendments have been made to the Guide to Ministerial Direction No 1 for public construction (MD1 with effect from 1 March 2017.
Amendments have been made to the MD1 Guide as part of the Government’s agenda to reform construction procurement. These changes expand the MD1 Guide to include best practice guidance relating to tendering of public construction.
The amendments include a combination of general principles, specific requirements and non-mandatory guidance highlighting good practice options to achieve the following policy objectives:
- Reduce unnecessary information requirements in Expressions of Interests (EOIs) and Request for Proposal (RFPs);
- Avoid using the tender period as a ‘catch-up’ for design delays;
- Avoid late and multiple addenda;
- Avoid having bidders price multiple options;
- Clarity of project objectives;
- Improve the Q&A process and more effectively manage probity;
- Size of tender fields;
- Process closure, and
- Improved industry dialogue.
Ministerial Directions for public construction – Update to Ministerial Directions No 1 and 2, and the Guide to Ministerial Direction No 2 – December 2016
The Ministerial Directions for public are updated with effect from 1 December 2016.
Amendments affect Ministerial Direction No 1, Ministerial Direction No 2, and the Guide to Ministerial Direction No 2.
In summary, the key changes made include:
- updating out-of-date references, technical issues and inconsistent drafting in the MDs;
- ensuring consistency with other DTF policies applicable to construction procurement, such as the Partnerships Victoria Requirements, Market-led Proposals Guideline and Victorian Alliancing Policy; and
- removing requirements that are no longer consistent with market practice and operations requirements of Agencies, including: •removing the requirement to use mandatory forms of subcontract;
- clarifying the approval process for standard and non-standard contracts under MD2 and permitting the relevant Accountable Officer approve non-standard contracts where limited special circumstances apply; and
- expressly permitting delegation of functions by the Accountable Officer under the MDs.
Repeal of Ministerial Direction No 3 – Bushfire provisions for buildings of a public – December 2016
Ministerial Direction No 3 sets requirements for constructing public buildings in bushfire prone areas. These requirements are now addressed by the Building Regulations following an amendment that took effect from 30 September 2016.
Ministerial Direction No. 3 is revoked with effect from 1 December 2016.
Update of the Victorian Industry Participation Project – September 2016
The Victorian Industry Participation Policy was updated with changes taking effect from 1 September 2016.
Key changes include the introduction of a mandatory minimum 10 per cent weighting for VIPP Plans/Local Industry Development Plans in tender processes.
If the Victorian Industry Participation Policy (VIPP) applies to your project, you will need to include project-specific VIPP clauses in your tender and contract documents.
Local Jobs First / has a number of practical guidance documents. The refreshed VPS Special Conditions for both AS2124-1992 (September 2017) and 4300-1995 (September 2017) contain contractual provisions addressing the VIPP.
Please seek advice from your Agency’s legal or procurement specialists and/or contact the VIPP team at DEDJTR (or 13 22 15) to confirm that you are using appropriate terms for tender and contract documents for VIPP projects.
Major Projects Skills Guarantee – Conditions of tender and contract - January 2016
The Major Projects Skills Guarantee came into effect from 1 January 2016.
Under the MPSG all publicly funded works contracts valued at or over $20 million (inclusive of GST) will be required to use local apprentices, trainees or engineering cadets for at least 10 per cent of the total estimated labour hours.
For publicly funded works contracts valued under $20 million, adoption of the MPSG is non-mandatory, however all Victorian departments and agencies are to encourage tenderers to adopt the MPSG.
If the MPSG applies to your project, you will need to include project-specific MPSG clauses in your tender and contract. The refreshed VPS Special Conditions for both AS2124-1992 (September 2017) and 4300-1995 (September 2017) contain contractual provisions addressing the MPSG.
Please seek advice from your Agency’s legal or procurement specialists and/or the MPSG team at DEDJTR (email or 1300 208 575) to confirm that you are using appropriate terms for tender and contract documents for MPSG projects.
For more information in relation to construction policies, contact the Construction Policy.
Reviewed 30 October 2018