South Australia

SA Government releases draft guidelines for assessment of unsolicited proposals

THE South Australian Government last week released its draft Guidelines for the Assessment of Unsolicited Proposals, which aims to facilitate the unlocking of economic opportunities and innovation through a centralised, robust, transparent and easily navigated process.

The guidelines outline the government's objectives and process for the consideration of unsolicited proposals, and also include the criteria for assessing whether to enter into exclusive negotiations for an unsolicited proposal.

According to the draft guidelines, a proponent's proposal must meet the following criteria in order for the government to enter into exclusive negotiations: 1) no competing proposals; 2) community need/government priority; 3) uniqueness of the proposal; 4) value for money; and 5) capacity and capability of proponent.

Adelaide Oval
Photo: The newly-built Adelaide Oval was delivered by the SA Government / by Adriano Rotolo.

In addition to an optional pre-lodgement meeting with the Coordinator-General, the guidelines outline a three stage process for unsolicited proposals:

  • Stage 1: Initial proposal – a high-level outline to enable the government to form a preliminary view as to whether to further consider the unsolicited proposal;
  • Stage 2: Detailed proposal – further consideration of the feasibility of the proposal, how it will be delivered and whether it represents value for money for government; and
  • Stage 3: Contract negotiation – the government and the proponent negotiate final legal and commercial terms then prepare and execute formal project documentation.

The draft guidelines were welcomed by the Property Council of Australia, with SA Executive Director Daniel Gannon saying the framework will deliver confidence to the private sector and the South Australian community.

"The State Government has made it clear that unsolicited proposals must promote economic, social and/or environmental outcomes for our community," Mr Gannon said.

"The Property Council of Australia welcomes Premier Jay Weatherill's invitation to work with the private sector to identify approaches that drive job creation and economic growth.

"What this initiative seeks to achieve is certainty to industry as to how unsolicited proposals will be transparently assessed. Not only that, but guidelines will bring our state up to speed with other jurisdictions around Australia.

"This framework is about facilitating private sector engagement with the State Government at a time when we need to drive economic growth.

"Whilst the Property Council of Australia will continue its push for tax reform to create jobs and grow our state's economy, framework for the assessment of unsolicited proposals must be commended," Mr Gannon said.

More information about the draft Guidelines for the Assessment of Unsolicited Proposals to Government is available from the South Australian Government's 'Your Say' website at <http://yoursay.sa.gov.au/yoursay/unsolicited-proposals-to-government>. The public consultation period ends on 24 October 2014.

Photo: 'Showdown XXXVII, 26/06/2014' / Adriano Rotolo / Licensed under Creative Commons BY-NC-SA 2.0.

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