- Background
- The Contracting Process
- Contracts
- Contract Term
- Payment
- Milestones
- Work Direction
- Reporting
Undertaking Work under contract to MAF Policy
Background
These notes are provided in order to ensure that potential contractors are aware of what is involved in undertaking contract work for MAF.
The Contracting Process
MAF specifies the work that needs to be undertaken and calls for expressions of interest from providers. These expressions of interest are prepared using a standard format and are not normally expected to exceed four pages in length.
The proposals require statements of programme goal, programme objective, an outline of methodology, supporting breakdown of financial costs and milestones against which the progress of project will be monitored, and the key personnel who would be involved.
These proposals are evaluated by a small group of people.
Final selection of contractors is based on the quality and cost effectiveness of the proposal, and the amount of money available. While some selections of contractors are based on the submissions as received and evaluated, other proposals require clarification and further information/discussion before final selection is made. This has sometimes resulted in a full submission of bids by request.
Contracts
All work purchased by MAF is undertaken within the terms of a contract.
Contract Term
Terms will vary from project to project depending on the work undertaken.
Payment
Typically, payment is by four installments on invoice and the satisfactory completion or re-negotiation of agreed milestones. The first payment is made after both parties sign the contract. The final payment is made on presentation and acceptance of the project report, as an agreed conclusion to the contract.
Milestones
For each project contractors are required to identify three to four milestones and indicate the dates by which these will need to be achieved if the work is to be completed on schedule. Achievement of the milestones will be linked with the payment schedule, and with the agreed physical and reporting achievements.
Work Direction
Objectives and milestones specified in the schedule can be modified by mutual agreement. This clause means that no contractor would be obliged to follow a course of action made redundant or unachievable by discoveries made subsequent to the writing of the schedule.
Reporting
There is an obligation to provide brief reports against agreed milestones. This allows both contractors and MAF to assess the progress of work, and is important for audit purposes.
Contact for Enquiries
Kay Brown
Sector Performance Policy
MAF Policy
Ministry of Agriculture and Forestry
PO Box 2526
Wellington
NEW ZEALAND
Phone: +64 4 894 0695
Fax: +64 4 4 894 0746
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