An audit of temporary procurement changes adopted by public sector Agencies in response to the COVID-19 pandemic has revealed that while the Agencies were dealing with the changes correctly, many were failing in their procurement practices.
In her Report, Temporary Abbreviated State Procurement Control Requirements, Auditor General, Caroline Spencer said the audit assessed if 25 State Government entities were appropriately applying temporary procurement requirements put in place in response to the COVID-19 pandemic.
Ms Spencer said 19 entities chose to apply the changes and all did so correctly, and the other six did not apply the changes.
“We found the temporary changes met the Government’s objective of expediting entities’ awarding of contracts,” she said.
“However, there was no evidence that changes helped reduce entry barriers for new suppliers or maximised opportunities for local businesses.”
The Audit also identified that 58 per cent of entities had deficiencies in their procurement practices, not specific to the temporary changes.
“Of particular concern was that in five entities, proof could not be provided that staff involved in a selection of procurement decisions had completed declarations of confidentiality and interest,” Ms Spencer said.
“The signing of such a declaration is considered critical as a preventative control to ensure individuals do not participate in procurement decisions where they have a conflict of interest, which could result in improper awarding of contracts and value-for-money not being achieved,” she said.
Ms Spencer said other deficiencies were errors in contract registers and contractor performance reviews not being conducted.
“Good procurement practices, centred on the principles of probity, accountability and transparency, are the key to managing procurement risks and the delivery of good outcomes for the State,” she said.
“The Report includes recommendations to help all public sector entities improve their procurement controls,” Ms Spencer said.
The Auditor General’s 9-page report can be accessed at this PS News link.
