LOCAL BUSINESS LOSES OUT
The Joondalup Business Association has voiced its extreme disappointment in a recent City of Joondalup decision to award a contract to a supplier outside of the City.
JBA president Russell Poliwka said that Council unanimously resolved to award a tender for the supply and delivery of workwear and personal protective equipment to a company that is based in Malaga and was also the cheapest bidder.
“While this would appear to save money for ratepayers it flies in the face of the Buy Local ethic widely promoted by the JBA and its members as a possible solution to weathering any effects of the global economic crisis,” Mr Poliwka said.
“A major objective of the association has always been to encourage government agencies, local authorities, business operators and residents to purchase their needs from local businesses. This keeps the money circulating within a defined local area and helps to support business growth and create local employment.
“In this particular case the incumbent provider, a Joondalup based business, was ranked second out of seven in the overall assessment and missed out on the contract despite having built a good relationship with the City over the past three years and not only met, but in many instances exceeded, all of the requirements with regard to service and quality,” Mr Poliwka said.
“While we do not criticise the tender process in itself we are of the opinion that not enough emphasis is placed on local business in the qualitative criteria which provides only 5% of the weighting for Social & Economic Effects on the Local Community,” he said.
“The JBA was part of a consultative group that participated in the formulation of the City’s Regional Purchasing (Buy Local) Policy quite some years ago and it was agreed at that time that local businesses would be considered wherever possible even if prices were slightly more than those of outside providers.
“We support open competition and are not suggesting that Joondalup businesses should receive unfair preference, however, they should be judged on their merits and not just on cost alone after all, you only get what you pay for,” he said.
“We have always encouraged our members and stakeholder partners to help us promote and participate in this important program to ensure that “what we spend in town, stays in town,” Mr Poliwka concluded.