faqs faqs

Who is a Local Buy?

Local Buy was established by the Local Government Association of Queensland (LGAQ) to provide value added procurement services to councils and government entities and to aggregate the purchasing power of local government.

What is a Local Buy Contract?

A contract established by Local Buy, enables councils, or other government entities to purchase goods and services from Local Buy contracted suppliers without having to seek tenders or quotes.  Local Buy is required by the Local Government Act 2009 to conduct an open tender process to establish these contracts.

How is Local Buy funded?

Local Buy’s contracts are established as a free service to councils and government entities.  Local Buy does not receive any external funding and operates by applying a contract management fee, which is charged to suppliers every quarter as a percentage of their revenue generated from local government business through the relevant Local Buy contract.  There is also an annual administration fee applicable per contract.

How do I become a supplier through a Local Buy Contract?

To become a Local Buy supplier, you must successfully respond to a tender advertised by Local Buy.

Local Buy advertises all of their tenders in the Courier Mail Saturday edition, Cairns Post, Townsville Bulletin, Rockhampton Bulletin and Daily Mercury in Mackay, also on LinkedIn and lgtenderbox.com.au, where suppliers may register free to receive email notification regarding any tenders that will be advertised.

When you reply to a Local Buy tender, your response will be evaluated by a panel of Local Buy staff and local government subject matter experts prior to tenders being awarded and contracts signed.  Local Buy’s contracts are typically established for between two and three years.

What is LG tender box?

LG tenderbox is a Local Buy initiative that has been established to provide a comprehensive online tendering system for councils and government entities.  This system allows councils and government entities to publish and manage their tender process through an efficient online portal, while gaining maximum exposure to the supply market.  You can view the site at lgtenderbox.com.au

What is LG Online?

LG Online is a portal developed and maintained by the Local Government Association of Queensland councils, government entities and elected representatives.  Local Buy maintains an extensive directory of information about our goods and services contracts on LG Online.  Council and government officers can access Local Buy’s information via a login and password.  Logon to lgaq.asn.au for further information.

What is VendorPanel?

VendorPanel is an online request for quotation portal used by councils and government entities to send online request for quotations (RFQs) to Local Buy suppliers, therefore increasing transparency and compliance in their purchasing activities.

There is no cost to use Local Buy’s VendorPanel, risk is reduced and the RFQ process is sound and compliant with legislation. Councils and government entities access Local Buy’s contract and supplier information via a login and password on vendorpanel.com.au/localbuy.

What are the differences between a RFT, RFQ and a contract?

A request for tender (RFT) is when an organisation seeks to request pricing terms and conditions for particular goods and/or services prior to a contract being established.

A request for quote (RFQ) is when an organisation seeks a quote for products and/or services with terms and conditions.

A contract is a signed agreement between two organisations for the delivery of products and/or services at agreed terms and conditions.  A contract can be formed through an RFT, RFQ or through some other form of negotiation.

What is an expression of interest?

An expression of interest (EOI) is when an organisation wishes to identify companies that can deliver particular services, products or a particular project.

What are the different types of purchasing arrangements?

There are three different types of purchasing arrangements that local government are able to tender and establish a contract for.  These are:

Approved Contractor List (ACL); is a list of persons who the local government considers to be appropriately qualified to provide the required services and which is established pursuant to the requirements of s.231 of the Local Government Regulation 2012.

Preferred Supplier Arrangement (PSA): is a contractual arrangement set up when the requirements of s.233 of the Local Government regulation 2012 are met.  PSAs are generally used when goods and/or services will be supplied under agreed pricing conditions for a stated period meaning that Council can purchase directly from a supplier without the need for a further Request for Quotation process.

Register of Pre-Qualified Suppliers (RPQS): is a contractual arrangement set up when the requirements of s.232 of the Local Government Regulation 2012 are met which consists of suppliers who have been assessed as having the technical, financial and managerial capability necessary to perform contracts on time and in accordance with agreed requirements.  An RPQS does not generally include fixed pricing and therefore requires that Council undertake a further Request for Quotation process.

Standing Offer Arrangement (SOA): was a type of arrangement available under the previous Local Government Act. SOAs can no longer be established under the current Local Government Regulation 2012.

Alternatively, Local Buy has the legislative enablement (s.234 of the Local Government Regulation 2012) to establish an LGA Arrangement on behalf of Local Government Authorities who benefit from reduced procurement costs and shorter timeframe as there is no need to tender to seek multiple quotes.

Where can I view current contracts managed by Local Buy

You can view current tenders by logging onto lgtenderbox.com.au and clicking on tenders/current. You must be registered and signed in to download tender documents or to participate in the tender forum.

What are the contract periods for Local Buy's tendered arrangements?

The majority of Local Buy arrangements have a contract period of 24 months, with an option to extend for a period of up to 12 months. However, this will depend on the nature of the individual contacts.  There may be some instances where the contract period will be anywhere from 12 months to 5 years.  This will be identified in the contract terms and conditions in the tender documents issued by Local Buy.

How does Local Buy evaluate a tender?

Local Buy evaluates tenders using the combined expertise of our Category Managers and local government subject matter experts.  We utilise a tender evaluation software product called APET to assist in this process.

I am a small company in a regional town. Am I able to reply to a tender that Local Buy advertises?

Local Buy does not discriminate from any organisation replying to a Local Buy tender. We encourage small businesses who would like to supply their goods and services to councils and government entities to participate in our contracts.

Where does Local Buy advertise for their tenders?

Local Buy advertises the majority of their tenders in the Courier Mail Saturday edition, Cairns Post, Townsville Bulletin, Rockhampton Bulletin and Daily Mercury in Mackay also on LinkedIn and lgtenderbox.com.au, where suppliers may register free to receive email notification regarding any tenders that will be advertised.

What are the advantages of being a supplier under a Local Buy contract?

As a successful tenderer to one of Local Buy’s contracts, you will endeavour to identify the following advantages, these are:

  • A significant reduction in the number of tenders to respond to, thus savings in time and cost.
  • Greater time to concentrate on performance and relationship management.

Are the councils and government entities required to use Local Buy contracts?

Councils and government entities that use Local Buy’s contracts eliminate the need to either go through a full tender process or to obtain quotes, and enjoy pricing benefits and savings that aggregated purchasing brings.

While councils and government entities are not legally bound to use Local Buy’s services, purchasers using Local Buy save significant time and money and are fully compliant with the Local Government Act 2009 as amended in their purchasing activities.