Glossary

The letter received by bidders after the ICN has assessed the LIDP . This is achieved when the bidder’s LIDP is submitted before the procuring Agency’s due date, and all sections have been adequately completed.

Apprenticeships are entry-level roles undertaken under a Training Contract between an employer and an apprentice that combines structured training with paid employment. Apprenticeships are generally at Certificate III level and above and extend across a range of trades. Apprenticeships typically have a duration of three to four years and are competency based. For an apprentice to be counted towards the MPSG requirement for a project they must be:

• undertaking a course that relates directly to their role on a LJF Project and is consistent with the Training Contract; and
• registered with the Victorian Registration and Qualification Authority (VRQA).

The policy recognises the Australia New Zealand Government Procurement Agreement (ANZGPA) entered into by Australian State and Federal Governments and New Zealand in 1991. The objective of ANZGPA is to maximise opportunities for competitive Australian and New Zealand (ANZ) suppliers to supply into government procurement. It aims to reduce the costs of doing business for both government and industry. It applies to all ANZ local industry participation policies.

The methodology by which a bidder evaluates a proposal from a subcontractor. Benchmarks can be based on “whole-of-life” parameters and appropriate quality and performance indicators and should include an evaluation of local content commitments.

Cadetships are entry-level roles that combine formal tertiary training with paid practical work experience. There are many types of cadetships offered across different industries. Cadetships can vary in length but are generally 18 months to 2 years. A cadetship does not fall under a Training Contract. For a cadet to be counted towards the MPSG requirement for a project they must be:

• enrolled in Australian tertiary education;
• receiving learning opportunities as part of their engagement on a LJF project (e.g. cadets in architecture, quantity surveying, and engineering); and
• undertaking work that is directly tied to their associated tertiary qualification.

Cadetships are different to professional traineeships (an employee who is not in an entry level role and is undertaking professional development training), which cannot count towards MPSG.

Goods and services in a procurement process are contestable when there are competitive international and local suppliers that can supply the good or service. Competitive means the suppliers can offer comparable goods or services that meet the specifications given by the agency. Contestable items can be goods or services at any stage of a project.

The contract manager refers to the person within the relevant Agency responsible for managing the Local Jobs First process for a contract.

The Victorian Government agency responsible for administering the Local Jobs First Act 2003 and Local Jobs First Policy.

Refers to the number of actual new or retained (i.e. existing) annualised employee equivalent opportunities (jobs) to be created in ANZ as a result of the contract.

Note: Annual Employee Equivalent (AEE) replaces Full Time Equivalence (FTE) and is calculated by dividing the total number of ordinary working hours that an employee worked and was paid over the reporting period (including paid leave) by the total number of full-time working hours paid per annum (this is generally 38 hours per week for 52 weeks = 1976).

Used to identify suppliers interested in, and capable of, delivering the required goods or services. Potential suppliers are asked to provide information on their capability and capacity to do the work. It is usually the first stage of a multi-stage procurement process.

A process of inviting offers to supply goods and/or services. This process covers both the Request for Quotation and Request for Tender process.

A job (one AEE) that has been specifically employed by a supplier or subcontractors, because of the work generated by a specific project.

A job (one AEE) that has been working for a supplier or subcontractor before signing a project contract, working in tasks/works related to the project.

A project or aspect of a LJF project that has been deemed to be of nil or limited contestability. This means that the Industry Capability Network Victoria (ICN) has judged that goods produced, services supplied and construction activities to be used in this contract of nil or limited contestability meaning the local content is equal to or greater than 97 percent.

The term local content covers all suppliers producing ANZ goods or services or when they have added value to imported items. Local content means goods that are produced by local industry, or services that are supplied by local industry or construction activities carried out by local industry. Local assembly of imported materials, transport of goods, and local labour are all examples of local content or local added value.

Local industry means industry and other businesses based in ANZ.

A Local Industry Development Plan is a document prepared by the supplier as part of the Expression of Interest, Request for Tender and/or tender submission for a LJF project. The LIDP details the supplier’s commitment to address the LJF requirements and details the expected local content and job outcomes. An LIDP must have an ICN Acknowledgement Letter from the ICN to be compliant.

Every agency has a LJF Administrator, who supports implementation, monitoring, reporting and compliance activities. Further information can be found at https://www.localjobsfirst.vic.gov.au/agency-guidance.

An independent statutory officer with advocacy, engagement and compliance powers in relation to LJF. Further details can be found at https://www.localjobsfirst.vic.gov.au/local-jobs-first-commissioner

The policy comprises the Victorian Industry Participation Policy and the Major Projects Skills Guarantee. LJF ensures government supports Victorian businesses and workers by mandating that small and medium-sized enterprises (SMEs) are given full and fair opportunity to compete for government contracts of all sizes and types. It also mandates that a portion of total hours worked on government construction projects must go to ATCs.

Refers to products or services that are added locally onto an imported product.

The Major Projects Skills Guarantee is a policy that provides job opportunities for ATCs on high value construction and infrastructure projects.

Items that are considered as only being available through the international marketplace or local suppliers only. That is, it is considered that there is no current competition between international and local suppliers to provide the good or service.

Work that is conducted away from the construction site by subcontractors to deliver inputs to a project, including prefabricated or modular components. Examples of such inputs include steel panels and frames, precast concrete, switchboards, wiring systems, modular systems or preassembled components.

The end of the project aside from minor administrative tasks.

An invitation to supply or a request for offer against a set of clearly defined and specified requirements. Invitees are advised of all requirements involved including the conditions of participation and proposed contract conditions.

Rural and Regional Victoria is defined as the 48 local government areas, including six alpine resort areas, set out in Schedule 2 of the Regional Development Victoria Act 2002. The 10 regional city local government areas are Ballarat, Greater Bendigo, Greater Geelong, Greater Shepparton, Horsham, Latrobe, Mildura, Wangaratta, Warrnambool and Wodonga. The remaining 38 local government areas, including six alpine resort areas, are referred to as the rural local government areas.

Small-to-Medium Enterprises

A sole supplier or panel of suppliers are appointed to provide goods or services specific to an agency over the life of the contract.

A sole supplier or panel of suppliers are appointed to provide goods or services specific to an agency over the life of the contract.

Standing offer agreements for Victorian government common use goods and services, which are established when value for money can best be achieved through aggregating demand. SPCs are established and managed by The Department of Treasury and Finance (DTF), the Department of Premier and Cabinet (DPC) or other government entities with specific knowledge and business drivers. A sole supplier or panel of suppliers are appointed to provide goods or services over the life of the contract, for use by Victorian Government departments and agencies.

Traineeships are entry-level roles undertaken under a Training Contract between an employer and a trainee that combines training with paid employment. Traineeships are undertaken at Certificate II level and above including Diploma and Advanced Diploma. Traineeships typically have a duration of one to two years and are competency based. Traineeships can be in areas including civil construction, design, business services, information technology, human resources and community services. For a trainee to be counted towards the MPSG requirement for a project they must be:

• undertaking a course that relates directly to their role on a LJF Project and is consistent with the Training Contract; and
• registered with the Victorian Registration and Qualification Authority (VRQA).

Traineeships are different from professional traineeships (an employee who is not in an entry level role and is undertaking professional development training), which cannot count towards MPSG.

Value for money is a balanced judgement of a range of financial and non-financial factors. It considers the mix of quality, cost and resources; fitness for purpose; total cost of ownership and risk.

Online system hosted by ICN and used by agencies and suppliers for LJF project registration, reporting and completion. It also manages reporting for the Social Procurement Framework.

Work package is used to define and group different parts of a project in a way that helps organise and define the overall project.