Procurement Policy Framework
View the PDF document of the Procurement Policy Framework.
1. Policy framework statement
The Procurement Policy Framework specifies the governance and process requirements that all Health Service Providers (HSPs) must comply with in order to ensure effective and consistent procurement activity across the WA health system.
The Director General (DG) of the Department of Health is the System Manager responsible for the overall management, strategic direction and stewardship of the WA health system. The DG will use policy frameworks to ensure a consistent approach to a range of matters undertaken by HSPs. Policy frameworks must be complied with and implemented as a part of ongoing operations.
The purpose of this policy framework is to ensure:
- probity, accountability and value for money in procurement operations across the WA health system.
This policy framework is binding on each HSP to which it applies or relates.
The key principles that underpin this policy framework are:
Procurement decisions are made at appropriate levels by authorised staff who accept accountability for decisions and responsibility for their procurement outcomes.
Procurement activities are transparent, clearly documented and demonstrate the ethical, honest and fair treatment of all participants.
Value for Money
Procurement outcomes maximise value for the WA health system and tax payers, including through opportunities to leverage economies of scale through whole-of-system or aggregated procurement solutions.
5. Legislative context
The Health Services Act 2016 refers to policy frameworks in ss. 26-27 and s. 34(2)(c).
Other relevant parts in the Act that relate specifically to this policy framework include ss. 34(2)(k) and 35-39.
The legislation below, may also apply:
- Building Act 2011
- Public Works Act 1902
- State Supply Commission Act 1991
6. Mandatory requirements
Under this policy framework HSPs must comply with all mandatory requirements* including:
- Grants Policy - MP 0005/16
- Procurement and Contract Management Policy - MP 0003/16
- Procurement Development and Management System Policy - MP 0004/16
- Sponsorship Policy - MP 0047/17
- WA Health Staff Air Travel Policy - MP 0017/16
- Works Procurement Policy - MP 0013/16
- Building Local Industry Policy
- Buy Local Policy
- Delivering Community Services in Partnership Policy
- Free Trade Agreements and Government Procurement Agreements
- Government Intellectual Property Policy
- State Supply Commission’s Free Trade Agreement Guidelines
- State Supply Commission policies
- 2005/08 - Report on Consultants Engaged by Government
- 2015/04 – Aboriginal Youth Services Investment Reforms
- 2016/02 – Contracts for Services - Consultants
*Any mandatory requirement document that references the Hospitals and Health Act 1927 must be interpreted as a requirement under the Health Services Act 2016.
7. Supporting information
The following documents support and inform the implementation of the mandatory requirements:
- ContractsWA – Common Use Arrangements
- Department of Finance Templates and Guides
- Digital WA: State ICT Strategy
- Guide to Procurement and Contract Management in WA Health
- Office of the Chief Procurement Officer Templates and Guides
- Supply Chain – Whole of Health Contracts (Health Support Services)
8. Policy framework custodian
Deputy Director General
Office of the Deputy Director General
Enquiries relating to this policy framework may be directed to:
This policy framework will be reviewed as required to ensure relevance and recency. At a minimum this policy framework will be reviewed within two years after first issue and at least every three years thereafter.
|Version||Effective from||Effective to||Amendment(s)|
|PF2016_01||1 July 2016||Current||Original version|
This policy framework has been approved and issued by the Director General of the Department of Health as the System Manager.
|Approval by||Dr David Russell-Weisz, Director General, Department of Health|
|Approval date||1 July 2016|
|Date published||1 July 2016|
|Dept. File No||F-AA-40154|
This policy framework is binding on those to whom it applies or relates. Implementation at a local level will be subject to audit.
|Applicability||Under Section 26 of the Health Services Act 2016, policy frameworks may apply to:
|Health Service Provider||Health Service Provider means a health service provider established under s. 32 of the Health Services Act 2016 and may include North Metropolitan Health Service (NMHS), South Metropolitan Health Service (SMHS), Child and Adolescent Health Service (CAHS), WA Country Health Service (WACHS), East Metropolitan Health Service (EMHS), Quadriplegic Centre and Health Support Services (HSS).|
|Procurement||A term used to cover activities in which WA health system contracts or funds the delivery of goods and/or services.|
|WA health system||The WA health system is comprised of the Department of Health, Health Service Providers (NMHS, SMHS, CAHS, WACHS, EMHS, Quadriplegic Centre and HSS) and to the extent that contracted health entities provide health services to the State, the contracted health entities.|