The processes for grant projects is different to those projects that are directly procured, and it is important that Government departments and agencies read, understand and comply with the process and their obligations as outlined in the Local Jobs First Agency Guidelines.
Note that grants and loans with a state contribution of $50 million or above may be treated as a Strategic Project and you must contact DJSIR to confirm how Local Jobs First applies before proceeding with grants of this value.
Issuing a grant for a project
- If you are issuing a grant, it is important to be aware that grant recipients are subject to Local Jobs First where the value of the Victorian Government contribution meets the Local Jobs First thresholds of $1 million for regional projects, or $3 million for metropolitan Melbourne or statewide projects.
- The grant recipient must register the proposed grant using the Victorian Management Centre. The registration should occur as soon as the grant recipient and agency reasonably expect the grant arrangement to proceed.
- The Grant Agreement must reflect the Local Jobs First requirements including the obligations as outlined in the Local Jobs First Model Clauses for grants.
- Grant recipients must consult with the ICN to ensure that any opportunities have been identified for local suppliers to provide their goods and services into the project.
- Grant recipients should obtain an Interaction Reference Number (IRN) from the ICN as evidence of the activity.
- The ICN will issue the grant recipient with an IRN and reference letter. The letter will note any agreements made between ICN and the grant recipient in their consultation.
- The grant recipient will submit its IRN to the Agency contract manager to demonstrate they have consulted with ICN, and ICN is satisfied local industry will be considered in the project.
- The IRN letter does not need to be provided to the Agency. However, the grant recipient should inform the contract manager of what opportunities exist for local industry within the project.
- You are encouraged to maintain robust records for your grant and be prepared to work with DJSIR on compliance with Local Jobs First.
The full steps for complying with Local Jobs First for Government departments or agencies issuing grants are outlined in detail in the Local Jobs First Agency Guidelines. Your department’s or agency’s Local Jobs First Administrator is also able to provide further assistance.