Limited communication during a tender process that sparked widespread community outrage has prompted the ACT Auditor-General to recommend improvements.
But the audit found no major issues with the way the ACT government handled the contract for its tip shops to the St Vincent de Paul Society and took it away from long-term operator, The Green Shed.
The Auditor-General has urged government agencies to provide more frequent and timely communication during tender processes after finding there was limited communication during the tender process.
The former Green Shed lost a government contract earlier this year to operate recycling and resell depots at Mugga Lane and in Mitchell. The contract was taken over by Vinnies who have since renamed the centres as Goodies Junction.
The loss of the contract prompted community anger and thousands signed a petition calling for The Green Shed to be saved.
The ACT Audit Office confirmed it was undertaking a review of the process following the community uproar.
Auditor-General Michael Harris released the audit on Thursday, saying the procurement, conducted by the Transport Canberra and City Services Directorate, was effective.
"The evaluation of responses was supported by, and in accordance with, a comprehensive evaluation plan that demonstrated compliance with principles of probity and fairness," he said.
However, Mr Harris said there was no stand-alone value for money assessment. Despite this, he said the value for money was considered.
Mr Harris also found there was a probity report that was not provided on a timely basis and this meant it did not assist the delegate at the "crucial time" of making the decision.
But there were downfalls in the communication to tenderers.
Three companies responded to the government's tender, which was released mid last year. The respondents said there was limited communication during the procurement and they were not made aware of the progress.
The audit said there were two occasions when correspondence from The Green Shed was not responded to.
"When a published timetable starts to slip - particularly when the procurement is complex and has known sensitivities - consideration needs to be given to whether more information could be provided by the entity to the respondents," the audit said.
The communication shortfalls have previously been acknowledged by City Services Minister Tara Cheyne, who said the communication was regrettable and not the standard the ACT government expects.
The Auditor-General recommended government agencies do more to ensure respondents are kept updated.
"For complex and long-running procurements, and when there are delays to the expected procurement timeline, ACT government agencies should ensure there is more frequent and timely communication with potential respondents," the audit recommended.
