New All-of-Government external legal services contract is now live
The new All-of-Government (AoG) external legal services (ELS) contract went live on 23 June 2024. The initial contract term is for 2 years (ending 30 June 2026) with two further rights of renewal of up to two years each.
This next generation of the All-of-Government (AoG) contract expands the number of legal providers from the current 30, to over 50 providers across nine areas of law and multiple sub-categories of law, including two new sub-categories: tikanga Māori and te ao Māori.
The new contract will deliver additional commercial benefits across a range of areas:
- An estimated $17.7M savings per annum from our top 5 spend providers when compared to their best market rates.
- Approximately 18% discount on any given rate (broad stroke average).
- More regular contract term renewals to allow for greater opportunities for other legal providers to join this solution.
- New broader outcomes obligations (eg, obligations relating to promotion of gender equity within the legal profession and support of greater access to justice, the latter supported by a voluntary pro bono legal services target and framework, for increased public value).
- Provider rate increases tied to the Labour Cost Index, therefore capping any proposed increase, and limiting the right to increase rates to once each 2-year term.
- A greater geographical spread of providers and more Māori providers on the panel.
Additionally, when we went to market our intention was to focus the AoG procurement process away from an intensive peak at the RFP stage and focus instead on ensuring continuous value and competition throughout the whole-of-life of the contract term. Our evaluation criteria for the RFP process is mirrored in the provider performance questions we will ask participating agencies to respond to during the term of the contract further to the completion of any legal services orders. New Zealand Government Procurement will share agencies’ provider performance ratings to help agencies to make an informed buying decision when selecting a provider from the new AoG panel. This change in procurement approach represents a fundamental shift in New Zealand Government Procurements traditional approach to AoG contracting and is based on our extensive engagement with you, government agency users, legal providers and industry bodies.
There's more information on contract benefits and features on our website.
The joining process for the ELS contract is the same as for most AoG contracts. Agencies must first read the ELS Memorandum of Understanding (MoU) and agree to its terms and conditions by signing the joining form. You can then begin using the ELS panel.
Complete the online joining form
If you have any questions, email the AoG Professional team.