Supplier Management Fee

State contracts carry an average 1.4% supplier management fee 

What is Supplier Management Fee?

The State Contracts Control Board, Contract Supplier Management Fee is a fee charged to suppliers for the management of State Government Contracts.

Why is there a Supplier Management Fee?

The Supplier Management Fee is charged to cover the cost of development and maintenance of contracts including:

• Tender Development
• Client Support
• Vendor Management
• Contract Maintenance

What is the Management Fee for Contracts?

The average Management Fee for contracts is 1.4%.  A number of contracts have no management fee at all whilst others are geared to reflect and maximise based on a market dynamic basis.

• Department of Health contracts - 1% management fee.
• Motor Vehicle acquisitions – a fixed $100 fee per vehicle purchased.
• Motor vehicle disposals - a fee of $50 per disposal.
• Fuel contract - 0.75 cents per litre.
• The new Electricity contract - reduced from 1.5% to .75%, and
• The contract for Air Travel Services - $5 per transaction fee. 

For more information on Supplier Management Fee please contact the NSW Procurement Client Support Centre on 1800 NSW BUY (1800 679 289) or email nswbuy@commerce.nsw.gov.au