Treasury Regulations (Amendment)

Overview

The Treasury Regulations under the Audit Act 1901-1926 were amended by Statutory Rules 1932, No. 81, made by the Governor-General in Council, Isaac Isaacs, to address specific administrative adjustments within the framework of government procurement practices. These amendments aimed to streamline the procurement process for certain departments, particularly the Works and Services Branch of the Department of the Interior and the Contract Board of the Department of Defence, by clarifying under which circumstances direct purchases could be authorised without the need for competitive tendering. This adjustment was intended to respond to urgent needs or scenarios where the procurement process could not reasonably be delayed. The policy objective behind these changes was to enhance the efficiency and flexibility of government procurement, ensuring that essential supplies could be obtained promptly without unnecessary administrative burdens.

Scope and Application

The Treasury Regulations under the Audit Act 1901-1926, as amended by Statutory Rules 1932, No. 81, primarily apply to the purchase activities of specific government entities within the Commonwealth. These regulations govern the procurement processes for the Works and Services Branch of the Department of the Interior and the Contract Board of the Department of Defence, ensuring that certain purchases are conducted in accordance with specified conditions. The Act aims to streamline procurement in scenarios where time constraints or market limitations necessitate deviations from standard tendering processes. It is applicable across the Commonwealth, aligning with federal legislative authority. The amendment, particularly through sub-regulation (e), allows for direct purchases without competitive tendering under specific circumstances such as urgency, single sourcing, or limited supplier availability, while still requiring uniform tendering conditions when more than one supplier is available. These regulations do not specify exclusions or exemptions but implicitly focus on the entities and conditions outlined, extending their application through the detailed sub-regulations.

Key Provisions

The key operative sections of these regulations under the Audit Act 1901-1926 involve amending Treasury Regulation No. 67. Specifically, section 1 alters the sub-regulation (a) to replace "Department of Works and Railways" with "Works and Services Branch of the Department of the Interior." Section 2 omits sub-regulation (e) and inserts a new sub-regulation (e), which specifies conditions under which the Contract Board of the Department of Defence can make purchases without requiring tenders or obtaining the approval of the Governor-General in Council. These conditions include situations where urgency precludes tendering, where supplies are available from only one source, or where there are between two and four suppliers able to meet the requirements. The regulations impose obligations and requirements on the Works and Services Branch of the Department of the Interior, as well as the Contract Board of the Department of Defence. For the Works and Services Branch, the change in nomenclature reflects a shift in administrative responsibility or restructuring within the government. For the Contract Board of the Department of Defence, the regulations mandate that in specific circumstances, purchases must be made by inviting multiple suppliers to tender under uniform conditions. These circumstances include situations where there is no time for tendering, when supplies are only available from one source, or when there are between two and four potential suppliers. There are no explicit provisions in the regulations regarding offences, penalties, or consequences for breach. However, breaches of the Audit Act 1901-1926 or its regulations could potentially lead to legal action under general administrative law principles, including judicial review for procedural unfairness or improper exercise of power. The consequences would depend on the specific nature of the breach and the discretion of the court in addressing it.