Information is provided on Managing Contractor Contract (MCC) as a delivery method for the Defence Infrastructure Panel – Major Construction.
Whether single or 2 phase, the MCC can be used. The contractor is primarily responsible for the planning, design and delivery of the project, including the engagement of approved subcontractors for major works, medium works and design services.
The contract price comprises both lump sum components and reimbursable costs. The contractor has an obligation to ensure the contract price does not exceed the target cost and to achieve completion of the works by the specified target dates.
Endorsement to proceed
The Project Officer must obtain endorsement to proceed from an authorised delegate, as required by the relevant Commonwealth agency, before sourcing panel works.
The Project Officer must consider the procurement value, market capacity, Commonwealth procurement rules, procurement policies, evaluation criteria and exercise of delegations requirements.
A Procurement and Evaluation Plan should be used to describe and justify the proposed procurement approach.
For procurements delivered within the Capital Facilities and Infrastructure Branch (CFI) within Defence, it is mandatory to utilise the Project Development and Delivery Plan Part 2.
Expression of interest letters
The Project Officer may develop expression of interest letters and issue to panel contractors to determine if they have the capacity to respond to a request for tender (RFT). This will allow the Project Officer to develop the procurement strategy with certainty and may reduce the amount of documentation required, as a RFT only needs to be developed for interested panel contractors.
This letter is particularly suited for more complex or risky projects where the relevant Commonwealth agency wishes to determine which panel contractors will have the capacity to undertake large scale or long term work.
The Project Officer must not include narrative that requires a detailed response on the panel contractors approach/available key personnel or indicate that the procurement area will conduct an assessment on any such response to this letter. It is to be used as a communication tool to ascertain interest.
The panel contractor’s response is not to be evaluated nor does it constitute a binding agreement.
Expression of interest letter template (DOCX, 47.12 KB)
Disclaimer and Confidentiality Agreement
The Project Officer prepares and issues a Disclaimer and Confidentiality Agreement to the panel contractor(s) who have either responded to the expression of interest letter or have been selected to participate. This must be done before issuing the Tender documents.
Disclaimer and confidentiality agreement (DOCX, 84.2 KB)
Prepare Tender documents
Upon receiving a duly executed Disclaimer and Confidentiality Agreement from the panel contractor(s), the Project Officer is required to prepare the Tender documents using the provided template.
Note: Part 4 of the Tender documents require the Project Officer to attach the relevant Conditions of Contract that are tailored for the project. Conditions of Contracts for the MCC are available on the Managing Contractor Contract templates page.
Legal Advisors should undertake this task as part of their engagement.
DIP–MC MCC Tender Documents (DOCX, 234.59 KB)
Issue Tender documents
The Project Officer issues the Tender documents to the panel contractor, either via email using the details provided on the Who to engage and Scope of works page or via AusTender. Tendering guidance has been provided in the following document.
Tendering guidance (PDF, 545.84 KB)
Issue addendums or information documents
The Contact Officer may receive questions from tenderers that need to be answered by issuing an Addendum or Information Document. Answers must be shared with all tenderers. The tenderer must be given the opportunity to withdraw their question if they do not want the answer to be shared with all tenderers. A sample Addendum and Information Document template is provided for reference. These should be substituted for the relevant Commonwealth agencies equivalent templates.
Addendum template (DOCX, 58.37 KB)
Information document example (DOCX, 63.6 KB)
Receiving tender response
The invited panel contractors will provide a tender for evaluation or provide notification declining the opportunity to submit a tender. Tendering guidance has been provided in the following document.
Tendering guidance (PDF, 545.84 KB)
Tender evaluation
The evaluation board evaluates all received tenders in accordance with the approved Evaluation Plan and can consider using the templates provided to support this activity.
Tender evaluation and probity protocol (PDF, 773.39 KB)
Conflict of interest declaration template (DOCX, 56.55 KB)
Confidentiality deed template (DOCX, 56.26 KB)
Information for Defence users of the panel:
- All members of the tender evaluation board must execute the AF220 Defence Conflict of Interest Declaration Form, available on the Defence Intranet under Forms.
- The Tender Evaluation and Probity Protocol is mandatory for use by the CFI Branch within Defence. Other areas of Defence may substitute this document with their own equivalent template.
Tender evaluation board report
When the tender evaluation is complete, the evaluation board develops the tender evaluation board report (TEBR) using these templates.
Registration evaluation board report template (DOCX, 64.24 KB)
Tender evaluation board report template (DOCX, 102.33 KB)
Probity Advisor’s report template (DOCX, 43.18 KB)
Defence Industry Security Program considerations
Prior to awarding a contract to a panel consultant, engaging areas should notify the Panel Management Team of their intended procurement activity outcome. This will enable advice to be provided on any relevant security considerations associated with the proposed engagement.
Where an entity is selected for contract award and security-related matters require further assessment, the engaging area must ensure the appropriate security authority is notified to facilitate any required Security Risk Assessment processes. This will assist in identifying and managing any relevant security risks, including those relating to foreign ownership, control or influence, before contract commencement.
By following this process, engaging areas can ensure that relevant security requirements are considered and addressed as part of the procurement and contract award process.
Negotiations
Following approval of the evaluation through an approved TEBR, these templates should be considered for use as required for negotiations.
The panel contractor may be informed (without the Commonwealth accepting, or being taken to have accepted, the tender) that the Commonwealth will negotiate certain or all aspects of their tender.
Negotiation plan template (DOCX, 70.24 KB)
Negotiation outcome report template (DOCX, 58.13 KB)
Section 23 approval
The Project Officer will produce Public Governance, Performance and Accountability (PGPA) section 23 approval in accordance with approved TEBR and contract negotiation outcomes.
Note: this template is mandatory for use by the CFI Branch within Defence. Other areas of Defence and other agencies accessing the panel may substitute this document with their own equivalent document, subject to their agency’s requirements.
PGPA section 23 commitment approval template (DOCX, 65.86 KB)
Issue conditions of contract
The Project Officer, through their Legal Advisor, will prepare the conditions of contract.
The Project Officer must issue an unsuccessful tenderer letter to all unsuccessful panel contractors and provide an opportunity to debrief on the outcome. Debriefs must be offered to both successful and unsuccessful panel contractors.