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Frequently Asked Questions

Frequently Asked Questions

Click on the categories below to find answers to a range of frequently asked questions. 

What's new in WAIPS 2019

[QUESTION]Why has a new version of WAIPS been released?[/QUESTION]

[ANSWER]The Western Australian Jobs Act 2017 (WA Jobs Act) makes provision for the Minister for Jobs to change the strategy from time to time. For this reason the WAIPS is a flexible document that will be updated so that the measures remain relevant, fit for purpose and continue to address the objectives of the WA Jobs Act. All changes have been developed with the assistance of and input from the 34 agencies participating in the WAIPS Implementation Working Groups.[/ANSWER]

[QUESTION]What changes will agencies need to make to implement WAIPS 2019?[/QUESTION]

[ANSWER]Agencies are being asked to implement the following changes by 31st July 2019.
1.    Implement the new Standard Participation Plan (PP) and reporting template. The 3 existing templates will be phased out and replaced by a single template.
2.    Implement the new method of issuing the PP templates with the request and contract documentation. Agencies should no longer modify or embed the PP template in their request or contract documentation. Sample request and contract clauses that provide hyperlinks to the PP templates are available in the Agency Operations Guide 2019. Prospective suppliers will now download the latest version of the template from the Industry Link portal and submit completed with their request response documentation.
3.    Read and understand the changes to the following exemption categories. 
              a) Unique Circumstances (new)
              b) Common Use Arrangements and Agency Panel Arrangements (changed)
              c) Emergency events (new)[/ANSWER]

[QUESTION]What documentation has changed in WAIPS 2019?[/QUESTION]

[ANSWER]1.   WAIPS 2019 – Strategy Document (changed)
2.   Standard Participation Plan template. (new template)
3.   Standard Participation Plan reporting template (new template)
4.   WAIPS 2019 Operations guide (changed)
5.   Frequently asked questions (changed)
6.   Exemptions process and form (changed)
7.   Model Tender and Contract clauses (changed)
8.   Guidelines for Agency assessment of Participation Plans (changed)
9.   Guidelines for Suppliers on how to complete a Participation Plan (changed)


Refer to the WAIPS 2019 release notice for full details of each of the 9 documents.[/ANSWER]

Summary and Context

[QUESTION]Why is government procurement important to Western Australia's small and medium sized enterprises (SMEs)?[/QUESTION]

[ANSWER]The State Government is one of the largest customers in the Western Australian economy, with an estimated spend of $27 billion on procurement of goods, services and works. Government procurement is important to local SMEs because it is generally conducted in an open and transparent fashion and offers a source of regular and reliable income. Supplying to government is also a good reference site and can be a stepping stone to other markets and supply opportunities.[/ANSWER]

[QUESTION]Why are the Western Australian Jobs Act 2017 (WA Jobs Act) and Western Australian Industry Participation Strategy (WAIPS) needed?[/QUESTION]

[ANSWER]The State's economy is adjusting to the transition in resource investment and a relative slowing in the residential building sector. Therefore every opportunity for employment generation and retention, particularly for small and medium sized enterprises, must be maximised. The WA Jobs Act and WAIPS aims to ensure government spending results in more opportunities for local businesses and more jobs for Western Australians.

The WAIPS is not a static document. It will be reviewed and updated annually to ensure that it continues to meet the objectives outlined in the WA Jobs Act. [/ANSWER]

[QUESTION]Have other Australian jurisdictions taken similar approaches to maximising local participation?[/QUESTION]

[ANSWER]Victoria, South Australia and Queensland have similar local content policies or legislation in place. The Victorian Government has had the legislation in place for over a decade and has reported success in increasing the level of local and intrastate procurement.[/ANSWER]

Western Australian Jobs Act 2017

[QUESTION]What is the purpose of the Western Australian Jobs Act 2017?[/QUESTION]

[ANSWER]The purpose of the Western Australian Jobs Act 2017 (WA Jobs Act) is to use the State Government procurement process to enhance local industry participation, particularly that of small and medium sized enterprises. 

The WA Jobs Act is the first piece of procurement related legislation that applies to almost all State Government agencies and forms of procurement. The WA Jobs Act aims to provide potential suppliers with an open, effective and competitive market. The legislation requires the successful tenderer to report on the local participation outcomes that have been achieved through the contract. This is essential to ensure the outcomes are captured; that successful tenderers are held accountable; and for the government to better understand trends that are influencing local sourcing. [/ANSWER]

 

[QUESTION]What are the key aspects of the WA Jobs Act?[/QUESTION]

[ANSWER]The key aspects of the WA Jobs Act include:

  • The development of the Western Australian Industry Participation Strategy (WAIPS).
  • Obliges all Agencies to require Participation Plans in the procurement of certain supplies, above designated threshold values.
  • Obliges all Agencies to assess and consider Participation Plans in the procurement process, and incorporate supplier commitments into supply contracts which require reports on the progress of these commitments.
  • The determination of strategic projects.
  • The Minister for Jobs reporting to Parliament on outcomes.  [/ANSWER]

 

[QUESTION]Which Government agencies will the WA Jobs Act apply to?[/QUESTION]

[ANSWER]The WA Jobs Act and Western Australian Industry Participation Strategy will apply to "Agencies", which is defined in the WA Jobs Act. Broadly, the definition covers:

  • All departments, all sub-departments and all statutory bodies which are "Agencies" within the meaning of the Financial Management Act 2006, except universities.
  • Government Trading Entities, (including their subsidiaries) established by or under the Electricity Corporations Act 2005, Port Authorities Act 1999, the Water Corporations Act 1995, and Western Australian Land Authority Act 1992.
  • Any other person or body, or person or body of a class, prescribed in regulations.  [/ANSWER]

 

[QUESTION]What type of government procurement does the WA Jobs act apply to?[/QUESTION]

[ANSWER]The WA Jobs Act and WAIPS requirements apply to a range of procurements, including goods, services, housing and works beyond relevant monetary thresholds.[/ANSWER]

 

[QUESTION]Does the WA Jobs Act apply to procurement by Local Government?[/QUESTION]

[ANSWER]No. Local Governments are currently not covered by the WA Jobs Act.[/ANSWER]

 

[QUESTION]Does the WA Jobs Act and WAIPS apply to procurement by universities?[/QUESTION]

[ANSWER]No. Universities are currently not covered by the WA Jobs Act.[/ANSWER]

 

[QUESTION]Does the WA Jobs Act and WAIPS allow for Agencies to seek an exemption from the requirement of the ACT?[/QUESTION]

[ANSWER]Yes, the Jobs Act allows for exemptions from the requirement on Agencies to seek Participation Plans. Click here for further information on how and Agency can apply for an exemption.[/ANSWER]

 

[QUESTION]Where are approved exemptions published?[/QUESTION]

[ANSWER]All approved WAIPS exemptions are published on the WA Industry Link portal. Click here to review the approved exemptions. Exemptions will also appear in the parliamentary report.[/ANSWER]

Key Definitions

[QUESTION]Why is "local" defined as it is in the Western Australian Jobs Act 2017?[/QUESTION]

[ANSWER]The Western Australian Jobs Act 2017 (WA Jobs Act) defines local industry as suppliers of goods produced, or services provided, in Western Australia, another Australian State or Territory or New Zealand.

This definition ensures the WA Jobs Act is consistent with both Section 92 of the Australian Constitution and the Australia and New Zealand Government Procurement Agreement (ANZGPA).[/ANSWER]

 

[QUESTION]What is local content?[/QUESTION]

[ANSWER]Local content is the portion of the contracted value of a product or service generated within a jurisdiction. Local content is generally expressed as a percentage of the total contract value.[/ANSWER]

 

[QUESTION]Why does the WA Jobs Act specify a particular focus on small and medium sized enterprises?[/QUESTION]

[ANSWER]The WA Jobs Act defines a small or medium enterprise (SME) as a business or undertaking that has less than 200 full time equivalent employees. SMEs make up 97% of business in Western Australia. There are various free trade agreements (FTAs) that apply to Western Australian government procurement which prevent discrimination against suppliers on the basis of their origin or the origin of their goods or services. However, these FTAs also preserve government preferences that benefit local SMEs, as is occurring in this case.[/ANSWER]

 

[QUESTION]What is the definition of a strategic project?[/QUESTION]

[ANSWER]When an Agency's procurement exceeds $25 million, the Minister for State Development, Jobs and Trade (Minister for Jobs) has power (given through the WA Jobs Act) to determine the procurement to be of strategic significance to the Western Australian economy. This declaration will result in the procurement being classified as a "strategic project".

In practice, the focus will be on the procurement that has the potential to generate a significant amount of economic activity and jobs within Western Australia.[/ANSWER]

 

[QUESTION]What is the purpose of the 'strategic project' framework in the WA Jobs Act?[/QUESTION]

[ANSWER]The strategic project framework allows the Minister for Jobs to:

  • Specify particular matters for potential suppliers to address in Participation Plans.
  • Identify matters which differ from those contained in a normal Participation Plan and may relate to specific aspects of local participation.
  • Invite local participation commitments, rather that imposing requirements on suppliers.[/ANSWER] 
     

[QUESTION]Will there be differentiation between existing local firms and firms locating here from overseas?[/QUESTION]

[ANSWER]If an overseas business establishes an Australian entity based in WA,  and employs Australians, then the business would be considered local. [/ANSWER]

 

[QUESTION]What is meant by “value for money” and how is it calculated?[/QUESTION]

[ANSWER]Value for money continues to be a key principle for selecting government suppliers. Value for money is a balanced judgement of a range of financial and non-financial factors, taking into account the mix of quality, cost and resources; fitness for purpose; total cost of ownership and risk.

The Western Australian Industry Participation Strategy introduces a new factor that will be weighted in the overall tender score and form part of the overall value for money equation. This will be the Participation Plan score which will represent either 10% or 20% of the overall tender score. The plan will commit the bidder to report on a plan to maximise participation of local industry and quantify the number of jobs, apprenticeships & traineeships employed as a direct result of being awarded the contract.

Properly applied, the inclusion of Participation Plans in the value for money calculation should add value by benefiting local suppliers through additional work or supply contracts. This in turn should intrinsically create jobs achieving the objectives of the WA Jobs Act. [/ANSWER]

 

[QUESTION]How do I know if a procurement is a Goods & Services procurement or a Housing & Works procurement?[/QUESTION]

[ANSWER]Good and Services procurement relies upon the ordinary meaning conveyed by the text. Housing and/or Works procurement is the supply of goods or services for or in connection with a public work as defined in the section 2 of the Public Works Act 1902. Supplies not defined in section 2 of the Public Works Act 1902 fall into the Goods and Services procurement type. View Public Works Act 1902 here. [/ANSWER]

 

[QUESTION]What is the difference between Goods & Services procurement and Housing & Works procurement?[/QUESTION]

[ANSWER]Housing and Works procurement is the supply of goods or services for or in connection with a public work as defined in the Public Works Act 1902 section 2. All supplies not defined in the Public Works Act 1902 section 2 fall into the Goods and Services procurement type. View Public Works Act 1902 here. [/ANSWER]
 

[QUESTION]Participation Plans ask about 'workforce'. How is workforce defined?[/QUESTION]

[ANSWER]Workforce means the total number of workers (head count not FTEs) directly employed on a contract. This encompasses full-time, part-time, casual employees, apprentices and trainees, workers engaged through labour hire arrangements and other employer supported employment initiatives such as apprenticeships, traineeships, cadetships and internships.[/ANSWER]

Requirements for Businesses and State Government Agencies

[QUESTION]What does the Western Australian Jobs Act 2017 and Western Australian Industry Participation Strategy require of State agencies?[/QUESTION]

[ANSWER]The Western Australian Jobs Act 2017 (WA Jobs Act) and the Western Australian Industry Participation Strategy (WAIPS) obliges all State agencies to:

  • Require each prospective supplier to submit a Participation Plan during the procurement process for all contracts above designated thresholds.(Unless an exemption has been granted)
  • Assess and consider the Participation Plan when evaluating the prospective supplier's offer to supply, in accordance with the WAIPS.
  • Incorporate relevant Participation Plan commitments in the supply contract, in accordance with the WAIPS.
  • Include reporting requirements in the supply contract, in accordance with the WAIPS.
  • On request, provide information to the Minister of State Development, Jobs and Trade (Minister for Jobs) to assist with reporting to Parliament.

[/ANSWER]

 

[QUESTION]What does the WA Jobs Act require of prospective suppliers?[/QUESTION]

[ANSWER]While most of the requirements of WA Jobs Act relate to agencies, there are some requirements that will impact on prospective suppliers. These include:  

  • Providing a Participation Plan when required during the procurement process.
  • Accepting relevant Participation Plan contents within the supply contract.
  • Accepting a reporting clause within their supply contract.
  • Reporting on Participation Plan commitments.

[/ANSWER]

 

[QUESTION]How will suppliers be held accountable for the commitments they make in Participation Plans?[/QUESTION]

[ANSWER]Agencies are required to ensure that a reporting clause is included within the supply contract. Agencies will be responsible for deciding the appropriate course of action if commitments are not fulfilled. It is expected that this will occur through normal contract management and referee activities.[/ANSWER]

 

[QUESTION]How will agencies be held to account?[/QUESTION]

[ANSWER]Agencies must provide the Minister for Jobs with any information required for preparing an annual report for Parliament on the implementation of the WA Jobs Act and the WAIPS. Independent auditors will undertake random audits on agencies to ensure they are implementing WAIPS correctly.[/ANSWER]

 

Western Australian Industry Participation Strategy

[QUESTION]What is the Western Australian Industry Participation Strategy (WAIPS)?[/QUESTION]

[ANSWER]The WAIPS was developed as a requirement of the Western Australian Jobs Act 2017 (WA Jobs Act).  The WAIPS is designed to increase participation by local industry in the delivery of State Government Agency contracts. The WAIPS aims to enhance the opportunity for local industry, particularly small and medium enterprises to compete for State Government agency work.

The WAIPS applies to all forms of procurement (goods, services, housing and works) above designated values, subject to specified exemptions. The WAIPS applies to departments, Agencies, statutory authorities and Government Trading Entities. The WAIPS does not apply to property leases, universities, local government procurement and grants.

The WAIPS is not a static document. It will be reviewed and updated annually to ensure it continues to meet the objectives outlines in the WA Jobs Act. [/ANSWER]

 

[QUESTION]What are the key components of the WAIPS?[/QUESTION]

[ANSWER]There are five key components of WAIPS: procurement related principles and policies; value for money; Participation Plans, strategic projects, and regional procurement.

Procurement related principles and policies

The principles of accountability and probity, open and effective competition, transparency in decision making and value for money are key considerations in the development of the WAIPS. The WAIPS also includes elements from the existing Buy Local Policy and Building Local Policy that support fair and reasonable opportunity for regional industry and businesses. As required by the WA Jobs Act, the WAIPS is consistent with State Supply Commission procurement principles and policies and Section 92 of the Australian Constitution.

Value for money

Value for money continues to be a key principle for selecting government suppliers. Value for money is a balanced judgement of a range of financial and non-financial factors, taking into account the mix of quality, cost and resources; fitness for purpose; total cost of ownership and risk. Properly applied, the value for money principle should benefit local suppliers due to its inclusion of risk management issues.

Participation plans

The WA Jobs Act requires Agencies to ensure that prospective suppliers submit a Participation Plan in connection with their offer to supply, when a procurement meets the relevant thresholds.  Depending on the value of the supply contract, they will need to prepare either a “core” or “full” Participation Plan. Participation Plans will be used as part of the evaluation, award and contract management process

Strategic projects

Qualifying supplies with a contract value of $25 million or more that the Minister for State Development, Jobs and Trade (Minister for Jobs) considers of strategic significance to the Western Australian economy may be determined by the Minister for Jobs to be a strategic project. A Participation Plan with additional local commitments will be required for strategic projects. For strategic projects, the Minister for Jobs must approve the weighting given to Participation Plans in the evaluation of offers. 

Regional procurement

A key element of the WAIPS is to ensure regional industry has increased opportunity to access government contracts. WAIPS initiatives to improve regional outcomes include: the introducing Local Content Advisers (LCAs), into each region, encouraging Agencies to increase regional spend, and considering changes to buying rules for Common Use Agreements and the regional price preference.

[/ANSWER]

[QUESTION]What value thresholds will be applied for WAIPS supplies?[/QUESTION]

[ANSWER]Thresholds that trigger the WAIPS requirements are as follows. These value are for the total life of the contract including GST. 

WAIPS%20table%20-%2014%20March.jpg

[/ANSWER]

 

[QUESTION]Are there different types of participation plans?[/QUESTION]

[ANSWER]Yes, there are two types of Participation Plans: CORE Participation Plans and FULL Participation Plans.
CORE Participation Plan – The prospective supplier will be required to estimate workforce numbers, demonstrate how they will generate local economic benefits and demonstrate the means for provision of full, fair and reasonable opportunity to local industry.
FULL Participation Plan – Requires the same information to be completed as the CORE Participation Plan with additional detail around subcontractor requirements and supply packages.

The following table demonstrates which participation plan will be applicable: 

Participation%20Plan%20table_March%2014.jpg

[/ANSWER]

 

[QUESTION]Will a supplier who provides a better Participation Plan have more likelihood of winning a government contract than a supplier who has a lesser Participation Plan?[/QUESTION]

[ANSWER]If all other factors within a tender bid are equal, a supplier with a better Participation Plan will have a higher likelihood of being awarded the contract.[/ANSWER]

 

Other Agreements, Policies and Legislation

[QUESTION]What is the relationship between the Western Australian Jobs Act 2017, Western Australian Industry Participation Strategy and other procurement legislation and policies?[/QUESTION]

[ANSWER]The Western Australian Industry Participation Strategy (WAIPS) is consistent with the existing State Supply Commission Act 1991, and the related policies. These are:

  • Value for Money
  • Probity and Accountability
  • Open and Effective Competition
  • Common Use Arrangements
  • Procurement Planning, Evaluation Reports and Contract Management

[/ANSWER]

 

[QUESTION]Will the State Government’s Buy Local & Building Local Industry Policies be retained?[/QUESTION]

[ANSWER]From 1 October 2018, the Building Local Industry Policy has been replaced by WAIPS for WA State Government procurements above the specified WAIPS threshold. The Building Local Industry Policy remains applicable to private sector projects.

The Buy Local Policy remains in operation. However, as of 1 October 2018, the requirement to include a 20% weighted local content criterion in tender assessments has been removed.

An Addendum to the Buy Local Policy has been published and is now available on the State Supply Commission's website.

The Buy Local Policy's requirement to apply the imported content impost to procurements covered by WAIPS has been removed.[/ANSWER]

 

[QUESTION]Will the Buy Local Policy continue to be applied below the WAIPS thresholds?[/QUESTION]

[ANSWER]The Buy Local Policy has been retained for Government procurements below the WAIPS thresholds. This policy is currently under review and a new policy will follow in the near future. An Addendum to the Buy Local Policy has been published and is now available on the State Supply Commission’s website here.

Queries regarding the application of the Buy Local Policy to non-WAIPS supplies while under review should be directed to the Department of Finance. [/ANSWER] 

[QUESTION] Priority Start and WAIPS - how do they relate? [/QUESTION]

[ANSWER]The Priority Start policy (replaced the Government Building Training policy on 1 April 2019) and the Western Australian Industry Participation Strategy (WAIPS) both focus on training opportunities for apprentices and trainees and the development of a sustainable local skilled workforce.

However, there are a number of key differences. For example, Priority Start only applies to aspects of the building and construction industry and aims to lift the training effort across this industry, rather than on individual contracts, which is the emphasis of WAIPS.

Under Priority Start, head contractors are required to meet the construction industry’s average training rate for apprentices and trainees across their total Western Australian workforce, for specified trades. The total workforce comprises the combined, Statewide in-scope construction trades workforce of the head contractor and all subcontractors used for the contract. Head contractors must meet and report the training rate for each 12 month reporting period (usually financial year) over the term of the contract and on contract completion.

The scope of the Priority Start policy is therefore different to WAIPS in that it only applies to:

  • building construction, civil construction and maintenance contracts over $5 million, including GST and
  • an in-scope workforce with specified occupations, apprenticeships and traineeships in the building and construction industry.

Finally, WAIPS and the Western Australian Jobs Act (2017) cover a significant range of other objectives such as regional benefits, innovation, diversification and import replacement.

WAIPS also covers all forms of procurement and all agencies.

For further information and resources on the Priority Start policy visit the Department of Training and Workforce Development’s website at dtwd.wa.gov.au/prioritystart. 

Strategic Projects

[QUESTION]What are strategic projects?[/QUESTION]

[ANSWER]Projects that have a contract value of $25 million or more and are of strategic significance to the State, may be considered as a strategic project.The WA Jobs Act gives the Minister for State Development, Jobs and Trade (Minister for Jobs), power to declare a strategic project. 

In practice, focus will be on supplies which have the potential to generate a significant amount of economic activity and jobs within Western Australia. The Minister for Jobs must make a determination in writing to the procuring Agency.[/ANSWER]

  

[QUESTION]How will the WA Jobs Act apply to METRONET projects?[/QUESTION]

[ANSWER]The WA Jobs Act will be used for a range of projects under the METRONET program, as the procurement process commences. However, for some projects the procurement process will have already commenced by the time the WA Jobs Act has come in to force in full. These projects will proceed under current arrangements unless an agreement to follow WAIPS principles has been made.[/ANSWER]

Participation Plans

[QUESTION]How will Participation Plans be assessed and evaluated?[/QUESTION]
[ANSWER]The assessment will focus on the likelihood of commitments being fulfilled, the application of full, fair and reasonable opportunity and willingness of the supplier to work with Government in improving supply chain performance.[/ANSWER]


 [QUESTION]Who will assess and evaluate the Participation Plans?[/QUESTION]

[ANSWER]Assessment of Participation Plans will be undertaken by the issuing Agency. ILAS will only be involved in the evaluation of bidder Participation Plans for Strategic Projects when invited to participate by the issuing Agency.

Prospective suppliers will be notified of their success or otherwise by the procuring Agency. If desired, unsuccessful bidders can request to be debriefed on areas where their offer was deemed deficient or less competitive than the awarded supplier.[/ANSWER]

 

[QUESTION]What will prospective suppliers need to outline in their Participation Plans?[/QUESTION]

[ANSWER]For a core Participation Plan, prospective suppliers will need to provide details on: 

  • Company and Contract details
  • Contract scope 
  • The direct workforce of employees, apprentices and trainees
  • Sub-contractor workforce (where applicable) 
  • Other benefits to local industry
  • Commitment to working with Government.
  • How they plan to demonstrate full, fair & reasonable opportunity.
     

For a full Participation Plan, prospective suppliers will need to include details on:

  • Company and Contract details
  • Project scope & delivery
  • The direct workforce of employees, apprentices and trainees
  • Sub-contractor workforce (where applicable) 
  • Sub-contracting and Supply arrangements
  • List information on packages externally sourced
  • Other benefits to Local and/or Regional industry
  • How they plan to provide a full, fair & reasonable opportunity to local industry
  • Commitment to working with government

 

[QUESTION]Will a Participation Plan template be provided to suppliers?[/QUESTION]

[ANSWER]

Yes, a Standard Participation Plan template is available to download from the WA Industry Link portal here. This template can be used to complete both the CORE and FULL type Participation Plans.
You can download supplier guidelines on “How to Complete a Participation Plan” from the WA Industry Link portal.
 [/ANSWER]
[QUESTION]Who can I call if I have trouble completing a Participation Plan template?[/QUESTION]

[ANSWER]The Industry Link Advisory Service (ILAS) is available to assist prospective suppliers. Regional businesses can also contact their nearest Local Content Adviser

Advisers can assist by explaining the requirements necessary to address Participation Plan obligations, however, they cannot provide advice as to what should be put in the Participation Plan. 

"How to complete a Participation Plan" guideline is also available for download.[/ANSWER]

 

Implementation and Assistance

[QUESTION]When was the Western Australian Industry Participation Strategy (WAIPS) introduced?[/QUESTION]

[ANSWER]The WAIPS  became fully operational on 1st October 2018.[/ANSWER]

 

[QUESTION]How is ‘local industry’ defined?[/QUESTION]

[ANSWER]Under the WAIPS, the term “local industry” means suppliers of goods produced, or services provided, in Western Australia, another State, a Territory or New Zealand. This is necessary to be consistent with both section 92 of the Australian Constitution and the Australia and New Zealand Government Procurement Agreement (ANZGPA).[/ANSWER]

 

[QUESTION]What is the Industry Link Advisory Service?[/QUESTION]

[ANSWER]The Industry Link Advisory Service (ILAS) has been established to provide a range of services to both head contractors, sub-contractors and government agencies. ILAS will operate from within the Department of Jobs, Tourism, Science and Innovation.[/ANSWER]

 

[QUESTION]What support will be provided to businesses to help with the implementation of the Western Australian Jobs Act 2017?[/QUESTION]

[ANSWER]There will be a number of support services available to industry, these include:

  • The Industry Link Advisory Service (ILAS) will offer a range of assistance and advisory services to industry and business, including guidance on completing a participation plan, finding and accessing government procurement opportunities and support programs, and how to pursue import replacement potential.
     
  • Local Content Advisers will perform similar services to ILAS in the regional areas of WA. The nine advisers will be located in the various Regional Development Commissions across the State.
     
  • The WA Industry Link portal is the central source of information on the WAIPS and the WA Jobs Act. You can also find participation plan information and links to Tenders WA and other supply opportunities.
     
  • The Local Capability Fund (LCF) is available to help local small and medium sized enterprises (SMEs) improve their capacity, capability and competitiveness to access major domestic and international market opportunities. Funding can be used to assist SMEs to meet pre-qualification requirements, purchase and upgrade equipment, improve business or manufacturing systems and employee training and development. Funding rounds are announced periodically and widely promoted.

[/ANSWER]

 

[QUESTION]What support is provided to State Government Agencies to help with the implementation of the WAIPS?[/QUESTION]

[ANSWER]The ILAS and the regional Local Content Advisers (LCAs) will be able to provide assistance to State Agencies. 

An eLearning package is available to Agencies on the WA Industry Link Portal.[/ANSWER]

 

[QUESTION]Where can prospective suppliers go for advice and assistance?[/QUESTION]

[ANSWER]The ILAS has been established to provide a range of services to assist prospective suppliers.

These services include:

  • Advice on how to access State Government supply opportunities.
  • Advice on the requirements necessary to address Participation Plan obligations.
  • Assistance to access State and Federal Government supply opportunities, industry support and financial assistance programs.
  • Information about the WAIPS.

ILAS can be contacted by phone on 08 92220722

[/ANSWER]

 

[QUESTION]Will the government put resources in place to monitor and measure the implementation of the WAIPS?[/QUESTION]

[ANSWER]Yes. The Department of Jobs, Tourism, Science and Innovation will monitor the implementation of the WAIPS and provide progress reports to the Minister for Jobs.[/ANSWER]

 

[QUESTION]How will WAIPS apply to existing Common User Arrangements (CUAs) and Standing Offers (Panel Arrangements)?[/QUESTION]

[ANSWER]WAIPS will not retrospectively apply for CUAs or Panel contracts established before 1 October 2018. 
IMPORTANT NOTE: If an existing Panel arrangement or CUA has a buying rule with a threshold that requires the procurement to go to open tender (a new contract outside the panel head agreement) then WAIPS will apply to the new contract if the WAIPS threshold criteria has been met.[/ANSWER]

 

[QUESTION]How will WAIPS apply to new CUAs and Standing Offers and Agency Panel arrangements)?[/QUESTION]

[ANSWER]From 1 October Agencies will be required to seek an exemption for establishment of new Common Use Agreements, Standing Offers and Agency Panel Arrangements where the estimated total lifetime value of contract exceeds the WAIPS threshold. This will provide an exemption from the Participation Plan requirement but reporting on the economic outcomes of the contracts will be a condition of the exemption.

Exemptions for this category will be either full or conditional. Please refer to section 1(f) "Case by Case Exemptions" in the Agency Operations Guide for details.

Reporting will be required to be submitted within 2 months of the conclusion of the CUA or Panel Arrangement or annually and at the conclusion of the contract or contracts longer than 12 months.

IMPORTANT NOTE: If a Panel arrangement or CUA has a buying rule with a threshold that requires the procurement to go to open tender (a new contract outside the panel head agreement) then WAIPS will apply to the new contract if the WAIPS threshold criteria has been met. [/ANSWER]
 

[QUESTION]What can agencies do if suppliers are not fulfilling their Participation Plan commitments?[/QUESTION]

[ANSWER]Agencies should make suppliers aware that their business may be listed in a non-compliance register and their unfulfilled commitment will be considered in the assessment of future bids.[/ANSWER]
 

[QUESTION]What if a supplier is delivering services in both regional and metro areas?  Which Goods and Services threshold would apply?[/QUESTION]

[ANSWER]The highest threshold would apply.[/ANSWER]

 

[QUESTION]Will ILAS be involved in the Agency evaluation of Participation Plans during the tender phase?[/QUESTION]

[ANSWER]ILAS will only be involved in the evaluation of bidder Participation Plans for Strategic Projects when invited to participate by the issuing Agency.[/ANSWER]

 

[QUESTION]I work in a Government Agency and believe a new contract meets the exemption criteria. The anticipated contract value is just under the WAIPS threshold but there could be bids that exceed the WAIPS threshold. What do I do?[/QUESTION]

[ANSWER]Contact ILAS to discuss whether or not you should submit an Exemption application.[/ANSWER]

 

[QUESTION]My agency is releasing a request for tender (RFT) soon and the anticipated contract value is just under the WAIPS threshold but we could receive bids that exceed the WAIPS threshold. What do I do?[/QUESTION]

[ANSWER]You should include the WAIPS Participation Plan requirements in your request documentation. Based on the shortlisted suppliers, it is then at the Agency’s discretion on whether the Participation Plan will form part of the evaluation. If the winning bidders’ contract price is above the WAIPS thresholds then the full WAIPS requirements can be applied to the contract. 

Contact ILAS for guidance if required.[/ANSWER]

 

[QUESTION]Where the whole works is broken up into portions that will differ in scope and may have different commencement and finish dates, does the Contractor need to provide a Participation Plan for each Separable Portion or will one Participation Plan suffice that covers the entire term of all separable portions?[/QUESTION]

[ANSWER]If the same contractor will be used to complete all the separable portions then a single Participation Plan will suffice with reporting at the intervals specified in the contract.[/ANSWER]

 

[QUESTION]In terms of the final Participation Plan report, completion is sometimes subject to a defects liability period – to rectify any defects before final completion is granted.  This period is typically 12 or 24 months in duration. Is the Participation Plan Report required for the period after Practical Completion?[/QUESTION]

[ANSWER]No, the final Participation Plan report is due within 2 months of Practical Completion[/ANSWER]

 

[QUESTION]What WAIPS training is available for new Agency staff?[/QUESTION]

[ANSWER]An eLearning module is available to view online via the WA Industry Link portal here[/ANSWER]

Compliance and Reporting

[QUESTION]Will the Western Australian Industry Participation Strategy supply contracts have penalty clauses to impose financial or other penalties if contractor does not achieve the outcome outlined in the Participation Plan?[/QUESTION]

[ANSWER]Compliance with relevant parts of a Participation Plan will be an obligation imposed on the supplier under the supply contract. If a contractor does not comply with their Participation Plan commitments, their business may be listed in a non-compliance register and their unfulfilled commitment will be considered in the assessment of future bids.[/ANSWER]

 

[QUESTION]Must contractors report on progress against their Participation Plan commitments?[/QUESTION]

[ANSWER]Yes, contracted suppliers will be required to report upon the implementation of their participation plan. They will also be required to use a reporting template to demonstrate how they have achieved participation outcomes at practical completion of the contract. Reporting intervals may vary with the duration of the contract.[/ANSWER]

 

[QUESTION]When will contracted suppliers need to report on their Participation Plan commitments?[/QUESTION]

[ANSWER]For contracts greater than 12 months annual reporting on each anniversary of the contract award date, or at intervals otherwise agreed in the contract. A final Participation Plan report within 2 months of practical completion of the contract. 

If a contract is for less than 12 months, a final Participation Plan report is due within 2 months of practical completion of the contract.[/ANSWER]

 

[QUESTION]What checks and balances are used to ensure conformance?[/QUESTION]

[ANSWER]An independent audit program will be introduced to ensure Agency and supplier conformance with WAIPS.[/ANSWER]

 

[QUESTION]Where can I get more information about Agency reporting obligations?[/QUESTION]

[ANSWER]The WAIPS Operations Guide provides Agencies with detailed guidance on what has to be reported, when the report is due and how and where the report is to be delivered. The Operations Guide is available from the WA Industry Link portal and can be requested here [/ANSWER]

[QUESTION]What are the reporting periods for the Minister for Jobs report to Parliament?[/QUESTION]

[ANSWER]The first reporting period is from 1 October 2018 to 30 June 2019. This is an atypical reporting period because it is aligned with the commencement date of the WA Jobs Act. All Participation Plan reports received or contributions to the annual parliamentary report are to be submitted to the Department of Jobs, Tourism, Science and Innovation before 31 July 2019.

The typical reporting period is 1 July to 30 June annually and to be submitted to the Department of Jobs, Tourism, Science and Innovation within (1) month from the period end, due to 31 July.[/ANSWER]

 

Practical Questions

[QUESTION]Does the Western Australian Jobs Act 2017 require State Government agencies to preference Western Australian suppliers?[/QUESTION]

[ANSWER]No. The Western Australian Jobs Act 2017 (WA Jobs Act) does not require agencies to select a Western Australian supplier or a supplier which commits to using more Western Australian business. Instead, the WA Jobs Act provides for a process to require local industry participation to be taken into account in a structured and consistent way across Government when Agencies evaluate offers to supply. The evaluation of Participation Plans will be only one component of the evaluation of an offer to supply.[/ANSWER]

 

[QUESTION]How is regional procurement treated under the WA Jobs Act and Western Australian Industry Participation Strategy?[/QUESTION]

[ANSWER]The State Government's aim is to ensure regional industry has a full, fair and reasonable opportunity to access and win government contracts.  The Western Australian Industry Participation Strategy (WAIPS) will introduce a number of initiatives to improve economic outcomes for regional industry and businesses.[/ANSWER]

These include:

  •  Local Content Advisers (LCAs) are located in each Regional Development Commission to provide assistance to local industry and businesses.
  • Agencies are being encouraged to increase their delegated spend in regional areas.
  • Changes will be made to buying rules for Common Use Agreements and state wide contracts to provide greater opportunities for regional sourcing.  

Additionally, there will be a lower financial threshold for the Participation Plan requirement for regional contracts than financial thresholds for contracts in the metropolitan area.
[/ANSWER]

 

[QUESTION]How will the WA Jobs Act affect subcontractors?[/QUESTION]

[ANSWER]The WA Jobs Act does not place any direct obligations on subcontractors. However, head contractors may place obligations onto subcontractors such as the requirement to report on Participation Plan commitments.[/ANSWER]

 

[QUESTION]How does the WA Jobs Act and WAIPS apply to Property Leases?[/QUESTION]

[ANSWER]WAIPS does not apply to Property Leases for Government accommodation.[/ANSWER]

Community Services Sector

[QUESTION]Are all community services procurement processes exempt from submitting a Participation Plan?[/QUESTION]

[ANSWER]Only procurements that are being undertaken in accordance with the Delivering Community Services in Partnership (DCSP) Policy. These procurements are automatically exempt from the obligation to require a Participation Plan and Agencies are not required to seek an exemption from the Minister for State Development, Jobs and Trade (Minister for Jobs).[/ANSWER]

 

[QUESTION]How do I know if a WAIPS supply in the community services sector is exempt from submitting a Participation Plan?[/QUESTION]

[ANSWER]The Western Australian Jobs Act 2017 (WA Jobs Act) has conferred the power to provide a procurement Agency a standing exemption in relation to a prescribed class or circumstance of WAIPS supply in The Western Australian Jobs Regulations 2018 (WA Jobs Regulations). Regulation 5 of the WA Jobs Regulations provides that the obligation in section 12(1) of the WA Jobs Act does not apply to procurements when: 

                 a) the WAIPS supply only involves the  supply of a service to which the DCSP Policy applies; and 

                 b) the procurement process for the WAIPS supply is conducted in accordance with the DCSP Policy.[/ANSWER]

 

[QUESTION]Where can I find out more information on exemptions for the community service sector?[/QUESTION]

[ANSWER]The document titled “Exemption for Procurement under the Delivering Community Services in Partnership (DCSP) Policy" is available on the WAIPS Portal. The DCSP Policy is available at the Department of Finance website here.[/ANSWER]

 

[QUESTION]Are there any reporting requests on the service provider if the procurement is exempt via the Delivering Community Services in Partnership Policy?[/QUESTION]

[ANSWER]To ensure the value of the not-for-profit sector is captured, the Minister for Jobs requests that suppliers report on workforce data realised through procurement carried out under the DCSP Policy.

Under the WA Jobs Act, the Minister for Jobs is required to report annually to State Parliament on the functioning of the WAIPS. Reporting by community services suppliers as requested below will provide an opportunity for the community services sector to contribute to the content of the report, allowing the sector to highlight the important role played by it and its economic importance to the community.[/ANSWER]

 

[QUESTION]What are the reporting periods for the Minister for Jobs’ report to Parliament?[/QUESTION]

[ANSWER]The first reporting period is from 1 October 2018 to 30 June 2019. This is an atypical reporting period because it is aligned with the commencement date of the WA Jobs Act. All Participation Plan reports received or contributions to the annual parliamentary report are to be submitted to the Department of Jobs, Tourism, Science and Innovation before the 31 July 2019. The typical reporting period is 1 July to 30 June annually and be submitted to the Department of Jobs, Tourism, Science and Innovation within one (1) month from the period end, due on 31 July.[/ANSWER]

 

[QUESTION]What is the reporting period for service providers under the DCSP policy?[/QUESTION]

[ANSWER]Reporting from 1 October 2018 to 30 June 2019 is based on the workforce data applicable to new DCSP Policy service agreements. If service agreement lengths are 12 months or greater, reports should be provided annually for all service agreements formed after 1 October 2018, with a final report at the end of the contract.[/ANSWER]
 

[QUESTION]Who do I submit my report to?[/QUESTION]

[ANSWER]Service Providers will receive a reporting request email from the Department of Jobs, Tourism, Science and Innovation (JTSI) in June each year. Suppliers are requested to submit their report to JTSI.[/ANSWER]


[QUESTION]Is there a template for reporting?[/QUESTION]

[ANSWER]A simple report template will be provided, as below. This is the minimum information requested. Any additional information or commentary which the supplier wishes to provide is welcome.

Community%20services%20sector%20table_0.jpg

Employment: Is defined by both the Australian Bureau of Statistics and the International Labour Organisation as a minimum of one hour’s paid work per week.

Gender:   M = Male   F = Female   O = All other individuals categorized, either by themselves or by society, as neither male nor female.  All = all genders combined.

Workforce:  Means the total number of workers directly employed on a service agreement. This encompasses full-time, part-time, casual employees, apprentices and trainees, workers engaged through labour hire arrangements and other employer supported employment initiatives such as cadetships and internships

[/ANSWER]

[QUESTION]Are you seeking headcount numbers or FTE?[/QUESTION]

[ANSWER]For the purposes of the WA Jobs Act and WAIPS, we are using the concept of the workforce (headcount not FTEs) directly required to undertake a contract to supply.

The term workforce means the total number of workers directly employed as a result of a contract to supply. This encompasses full-time, part-time, casual employees, apprentices and trainees, workers engaged through labour hire arrangements and other employer supported employment initiatives such as cadetships and internships.[/ANSWER]

 

[QUESTION]Are you seeking information only on employment resulting from WA Government service agreements, or total employment information?[/QUESTION]

[ANSWER]Only employment information resulting from WA Government service agreements.[/ANSWER]

 

[QUESTION]Are you seeking employment numbers relating to federally funded contracts?[/QUESTION]

[ANSWER]No, we are seeking employment numbers on WA State service agreements. However, we understand that there will be service agreements where services are delivered from a mix of funding. Where there is a mix of Federal and State funding, then we would request to receive the data too.[/ANSWER]

 

[QUESTION]Are you seeking information on non-WA based staff employed by a WA organisation?[/QUESTION]

[ANSWER]Yes, if it relates to the delivery of a WA State Government funded service agreement.[/ANSWER]

 

[QUESTION]Are you only seeking information on paid employees? What about volunteers?[/QUESTION]

[ANSWER]Paid employees only. You may add volunteer numbers as additional information, as long as it is clear they are separate figures. Any extra information you would like to convey outside of the basic table can be included by way of commentary in your report.[/ANSWER]

 

[QUESTION]The reporting template table does not allow for service agreements that have ceased resulting in negative employment. I would have thought this information would be vital as well?[/QUESTION]

[ANSWER]The Government’s aim is to capture the positive relationship between service agreement award and workforce.

The template table is the minimum reporting that is required of service providers. Organisations are encouraged to supply additional information including qualitative information into the report. Therefore, you can include this information by adding an additional column. This is an opportunity for service providers to contribute to the Minister for Jobs’ annual report to Parliament, allowing the sector to highlight the important role played. The WAIPS is not a static document. Revised versions of the WAIPS will be released on an annual basis.[/ANSWER]

 

[QUESTION]Is reporting required for all current service agreements or just new service agreements going forward?[/QUESTION]

[ANSWER]The reporting is required for new service agreements that commence on or after 1 October 2018. WAIPS does not apply retrospectively to existing service agreements.[/ANSWER]

 

[QUESTION]Does this capture DCSP Policy service agreements from any State Government agency – i.e. Department of Communities, Justice, Education?[/QUESTION]

[ANSWER]Yes, this captures all DCSP Policy service agreements from any Western Australian State Government Agency.[/ANSWER]

 

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