What are the roles and responsibilities of Australian Government agencies?
Client roles and responsibilities
How will I know whether a builder is accredited under the Scheme?
What if a builder is not listed on the FSC website as being accredited under the Scheme?
A non-accredited builder has tendered for a Scheme project? What should I do?
What happens if a builder does not maintain their accreditation while completing a project?
Will there be enough accredited builders to undertake building work?
My project is indirectly funded by the Australian Government. How will I know if I need to use an accredited builder?
What steps do I need to take to ensure that only accredited builders are contracted for indirectly funded projects?
My construction project involves numerous head contracts for building work. Who needs to be accredited?
Where there is a consortium of companies working on a project, do they all have to be accredited?
What is the Model Client resource?
Client Roles and Responsibilities
Read about the role and responsibilities of client agencies.
How will I know whether a builder is accredited under the Scheme?
Builders who have achieved accreditation under the Scheme are added to the Accreditation Register. The builder will also hold a Certificate of Accreditation from the FSC and this is acceptable proof of accreditation for Australian Government agencies, or other funding recipients.
You should ensure that the name and ACN of the company contracting for building and construction work is the same entity listed on the FSC website or the Certificate of Accreditation.
What if a builder is not listed on the FSC website as being accredited under the Scheme?
If a builder has indicated that they have applied for accreditation under the Scheme and accreditation has not yet been achieved (and as such they are not listed on the register) it is appropriate for Australian Government agencies, or funding recipients, to approach the OFSC seeking advice on the builder’s accreditation status. The OFSC can provide information and verification of the accreditation status of a builder for the purposes of determining the suitability of that builder for a Scheme building and construction project.
It is also appropriate for Australian Government agencies, or funding recipients, to approach the builder and request from them advice on their OHS accreditation status. In particular an Australian Government agency, or other funding recipient, may request the following from the builder:
- the acknowledgement letter that is sent to all builders once their application is received. This letter indicates the date on which their application was received by the OFSC, and/or
- advice from the builder as to whether they have received any notification from the OFSC requesting details of suitable sites for auditing. This verification would indicate that the applicant has been successful at the desktop assessment and are now at the audit phase of their assessment.
A non-accredited builder has tendered for a Scheme project? What should I do?
A non-accredited builder is still able to tender for a project, but a contract can not be signed with that builder until they are accredited. If a builder is not yet accredited and has tendered for building work that is covered by the Scheme, you should contact the OFSC immediately.
Wherever possible, the OFSC will work with affected agencies, funding recipients and builders to prioritise the builder’s application for accreditation. However, the OFSC cannot guarantee that an applicant will achieve accreditation. Priority applications are still subject to the same standards as all other applicants, and there is no guarantee that a prioritised application will gain approval within the necessary time frame. If the builder does not obtain accreditation under the Scheme, they cannot be engaged to perform building work for directly or indirectly funded building work as a head contractor. We strongly encourage builders to apply for accreditation as early as possible.
What happens if a builder does not maintain their accreditation while completing a project?
The Building and Construction Industry Improvement Act 2005 not only requires that Australian Government agencies ensure that builders are accredited at the time of entering into a head contract for building work covered by the Scheme, it also requires agencies to take appropriate steps to ensure builders maintain their accreditation while carrying out the building work. Australian Government agencies may impose a similar requirement on funding recipients through the funding agreement or grant documentation.
The Model Clauses provide clients and funding recipients with a mechanism for specifying this requirement.
Will there be enough accredited builders to undertake building work?
There are currently more than 100 accredited builders across Australia. These companies vary in size and undertake a range of building work. The number of accredited builders is continuously increasing.
The OFSC will continue to work closely with companies applying for accreditation to ensure they have access to appropriate support and advice to gain accreditation as quickly as possible.
Builders who are not accredited under the Scheme may tender for head contracts for building work that is covered by the Scheme, but they cannot enter into a head contract for building work until they have achieved accreditation.
It should be emphasised that gaining accreditation is subject to meeting Scheme requirements. The benchmark for accreditation is set very high, and therefore the accreditation process can be a lengthy process for some companies.
Scheme accreditation is not a requirement for subcontractors.
My project is indirectly funded by the Australian Government. How will I know if I need to use an accredited builder?
The Scheme applies to projects that are indirectly funded by the Australian Government where:
- the value of the Australian Government contribution to the project is at least $5 million and represents at least 50 per cent of the total construction project value or
- the Australian Government contribution to a project is $10 million or more, irrespective of the proportion of Australian Government funding.
What steps do I need to take to ensure that only accredited builders are contracted for indirectly funded projects?
The Building and Construction Industry Improvement Act 2005 requires that the Australian Government, or Australian Government authorities, undertake appropriate measures to ensure that head contractors are accredited at the time of entering into a contract and throughout the duration of the building work.
To assist the Australian Government and funding recipients to comply with this requirement, the OFSC has developed Model Clauses that may be included in tender, contract and funding agreement or grant documentation.
My construction project involves numerous head contracts for building work. Who needs to be accredited?
Where there is more than one contract for directly funded building work, each builder for a contract that meets the criteria for directly funded building work must be accredited.
If a construction project indirectly funded by the Australian Government is determined to be captured by the Scheme using the above criteria, and is let in numerous packages, only head contracts worth $3 million or more will require an accredited builder.
Where there is a consortium of companies working on a project, do they all have to be accredited?
If the consortium is not undertaking any building work under the project, the consortium does not need to be accredited provided that they engage an accredited builder(s) to carry out the building work.
However, if the consortium, or one of the companies that form the consortium, will actually carry out the building work on the project, then the companies that will be carrying out the building work will need to be accredited.
If you are unable to determine who needs to be accredited you should contact us.
What is the Model Client resource?
The Model Client resource describes the actions that should be undertaken during the planning, procurement, design, construction and completion stages of a project. View the Model Client Framework.