Procurement

Generating PDFGenerating PDF

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.

Purpose

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.

Applicability

This policy framework is binding on each HSP to which it applies or relates.

Principles

The key principles that underpin this policy framework are:

Accountability 

Procurement decisions are made at appropriate levels by authorised staff who accept accountability for decisions and responsibility for their procurement outcomes.

Probity      

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.

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

Mandatory requirements

Under this policy framework HSPs must comply with all mandatory requirements* including:

*Any mandatory requirement document that references the Hospitals and Health Act 1927 must be interpreted as a requirement under the Health Services Act 2016.

Policy framework custodian

A/Assistant Director General
Strategy and Governance

Enquiries relating to this policy framework may be directed to:
PolicyFrameworkSupport@health.wa.gov.au

Review

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)
1 1 July 2016 1 March 2017 Original version
2 1 March 2017 15 May 2017 Major Amendment to MP 0005/16, MP 0003/16 and MP 0004/16. New MP 0047/17, superseded OD 0266/10. Rescinded OD 0266/10 from Mandatory Requirements.
3 15 May 2017 21 June 2017 Rescinded OD 0547/14from Mandatory Requirements.
4 21 June 2017 5 October 2017 Major Amendment to MP 0013/16.
5 5 October 2017 14 February 2018 Major Amendment to MP 0005/16, MP 0003/16, MP 0004/16 and MP 0013/16.
6 14 February 2018 4 April 2018 New MP 0079/18
7 4 April 2018 9 May 2018 New MP 0081/18
8 9 May 2018 5 July 2018 New MP 0083/18
9 5 July 2018 Current Major Amendment to MP 0003/16 v.2.0 


Approval

This policy framework has been approved and issued by the Director General of the Department of Health as the System Manager.

Approval byDr David Russell-Weisz, Director General, Department of Health
Approval date01 July 2016
Date published09 May 2018
File numberF-AA-40154

Compliance

This policy framework is binding on those to whom it applies or relates. Implementation at a local level will be subject to audit.


Glossary of terms

Term Meaning
Applicability Under Section 26 of the Health Services Act 2016, policy frameworks may apply to:
  • All Health Service Providers
  • A type of public health service facility
  • A type of public health service
  • A type of staff member of a health service provider.
Health Service Provider Means a Health Service Provider established by an order made under section 32(1)(b) of the Health Services Act 2016.
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 Pursuant to section 19(1) of the Health Services Act 2016, means the Department of Health, Health Service Providers and to the extent that Contracted Health Entities provide health services to the State, the Contracted Health Entities.