Developing a new Preferred Service Provider Request

A Preferred Service Provider (PSP) Request is the other option in the PSP procurement process.

The PSP Request shouldn’t differ greatly from the current service agreement as the provider was already meeting the community need. 

The Request follows the usual procurement process except for some key areas of difference.  

What is the process of developing a PSP request?

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You should involve the PSP closely in the process.

When your Accountable Authority agrees to a PSP Request for procuring a community service, you will need to:   

  • complete a PSP review 
  • consult with the PSP about the needs of the targeted community - your agency and service provider can design the specification together in the PSP process so that the specifications address the need, quality standards and service agreement requirements expected from the PSP and the proposed service agreement supports sustainable service delivery and fair pricing
  • update the service specification to reflect the discussions with the provider - a PSP doesn’t always have to respond to qualitative criteria if both your agency and the PSP agree to this 
  • issue the PSP Request with the updated specifications to the provider

How is a PSP offer evaluated?

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Evaluating the PSP offer requires an evaluation panel.  Their decision needs to be recorded with an evaluation report.

Evaluating the PSP’s response and completing an evaluation report can be done using the Evaluation Handbook and Preferred Service Provider Evaluation Report templates, available on the Community services templates and guides.  

PSPs follow the normal procurement process: 

  • the Evaluation Panel reviews the offer, including finalising any clarifications and resolving any outstanding issues
  • obtain the Accountable Authority’s approval
  • issue an award letter to the PSP
  • publish the award details on Tenders WA if the contract is worth more than $50,000

What if my PSP procurement is over $5 million?

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A Procurement Plan must be approved by the Community Services Procurement Review Committee if the procurement is over $5 million.

Your agency needs to get Community Services Procurement Review Committee approval at two points of the PSP Request process, by submitting:  

  • the procurement plan before issuing the request 
  • the evaluation report before awarding the service agreement

Your agency will also need to submit a Contract Management Plan to CSPRC.

Page reviewed 4 September 2019