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Government Procurement Info-GuideLast Verified:
2006-06-12
The following document was prepared by the Canada-Ontario Business Service Centre (COBSC), a single point of access to information on federal and provincial government programs, services and regulations. This guide is designed to help navigate through federal and provincial government programs, services and resources related to government procurement. Although many questions will be answered in this guide, the list of resources given here is not exhaustive. Need more information? Click: Canada-Ontario Business Service Centre Some of the organizations listed below are not subject to the federal Official Languages Act or the French Language Services Act of Ontario. Their services may not be available in both official languages. TABLE OF CONTENTS1. What is Government Procurement? 1. What is Government Procurement?Procurement is government purchasing of goods and services required to serve the needs of the public. Procurement policies have been developed by government for two main reasons. First, government strives to make all opportunities available to interested businesses. They allow government officials to purchase supplies and services in an unbiased atmosphere. Second, procurement generally results in more cost effective purchases for the government, thus saving taxpayer dollars. It is also used by government organizations for budget control purposes. Procurement is sometimes referred to as government bidding, government opportunities, and tenders. The needs of government bodies are widely diversified: from the procurement of office supplies to the construction of hydroelectric power stations; from shoelaces to remote sensing equipment. Government buyers procure more than 17 000 different types of products. For further information: Basic Proposal for Tender 2. Federal Governement ProcurementThe Government of Canada buys approximately $14 billion worth of goods and services every year from thousands of suppliers. There are over 85 departments, agencies, Crown Corporations and Special Operating Agencies. Public Works and Government Services Canada (PWGSC) is the government's largest purchasing organization, averaging 60,000 contracts totalling $10 billion annually. While PWGSC buys goods for most departments of the federal government, the departments buy most services themselves. The Government of Canada buys just about every kind of product and service, from aircrafts to paper clips, from training services to scientific research. Public Works and Government Services Canada (PWGSC) is a common service agency responsible for a significant portion of these government requirements which it categorizes under the following:
Ontario Region - Public Works and Government Services CanadaIf your company is located in Ontario, but outside the National Capital area, you will probably deal with the Ontario Region of Public Works and Government Services Canada. The Ontario Region buys goods and services for federal departments and agencies throughout the province. The Region's Supplier Promotion section organizes basic seminars that provide potential suppliers with information essential to an understanding of the federal procurement and contracting process. Also available to the supplier community are specialized seminars covering more detailed information on specific topics of interest to suppliers such as proposal writing. For further information: Contracting for ServicesEvery year, the Canadian government contracts for thousands of services from the private sector to satisfy immediate needs or in connection with the purchase of goods. Services being contracted relate either to goods or to intangible services. Request for Proposal - RFPA Request for Proposal (RFP), while generally used for requirements of $25 000 or more, is often employed for purchases where the selection of a supplier cannot be made solely on the basis of the lowest price. An RFP is used to procure the most cost-effective solution based upon evaluation criteria identified in the RFP. For further information: Public Works and Government Services Canada (PWGSC) primarily uses its own databases with information extracted from the Supplier Registration Information (SRI) or the Electronic Tendering Service (MERXTM) to buy on behalf of federal departments and agencies. Registering as a SupplierPublic Works and Government Services Canada (PWGSC) maintains lists of private sector vendors of goods and services used to select suppliers. These lists are still used by PWGSC regional offices for purchases under $25 000 under the area-buy policy. For further information: Supplier Registration Information (SRI)The Supplier Registration Information (SRI) is a database of registered suppliers. The information provided by suppliers is used by federal government departments to identify sources of supply for the goods and services they buy. By registering in the SRI, the suppliers make their company's name and supply capabilities widely available to federal government buyers. Business NumberEffective September 10, 2001, suppliers and contractors doing business with Public Works and Government Services Canada (PWGSC) will be required to have a Procurement Business Number (PBN) before they can be issued a contract. Firms can obtain their PBN through the Supplier Registration Information (SRI) service. For further information: Standing Offers and Supply ArrangementsStanding Offers and Supply Arrangements are two types of non-binding agreements between the federal government and potential suppliers for the supply of specified goods or services. These agreements outline the terms and conditions that will apply to future requirements to be ordered on an "as and when required" basis. For further information: Business Access CanadaThe Canadian federal government is a huge market for businesses large and small. As a supplier wanting to sell to the government, you need basic information on how the purchasing is done, who the contacts are and, most importantly, how you can find opportunities. Business Access Canada is an inter-departmental initiative to improve supplier and buyer awareness and simplify access to federal government purchasing information. Currently there are 31 participating departments and agencies. For further information: Federal Contractors ProgramThe Federal Contractors Program ensures that federal contractors who do business with the Government of Canada achieve and maintain a fair and representative workforce. For further information: Office of Small and Medium Enterprises (OSME)The Office of Small and Medium Enterprises (OSME) supports SMEs by working to reduce barriers and by simplifying requirements for SMEs that want to do business with the Government of Canada. For further information: 3. Provincial and Muncipal Government ProcurementSelling to the Ontario Government means supplying a large marketplace. Businesses of all sizes and types can be successful vendors to the government. For further information: PPITPB onlinePPITPB Online is the window for Corporate Contracts and Vendor of Record Arrangements for information and information technology (hardware, software and services) available to public sector buyers. For further information: Other Ontario Public Sector Procurement OpportunitiesIn this section of its Web site, the Procurement Policy and IT Procurement Branch lists other public sector organizations' calls for proposals sites and other electronic tendering services. For further information: bidsCanada.combidsCanada.com helps you sell to the Canadian public sector by providing free e-mail notification and search capabilities of the most recent business opportunities including Tenders, Requests for Proposal, Requests for Quotation and other contracts. For further information: Newspaper AdvertisingIn conjunction with or as an alternative to the electronic tendering service, a ministry may also advertise a procurement opportunity in Ontario newspapers. The following comply with the trade agreements' provisions:
In addition, ministries may use other daily or local papers to request bids for procurements, including those not covered by the trade agreements. English is used in advertising unless otherwise required by legislation. 4. International ProcurementBidding Opportunities Under Trade AgreementsProcurement opportunities are open also to Canadian businesses under the provisions of the Agreement on Internal Trade (AIT), the North American Free Trade Agreement (NAFTA), the Canada-Korea Telecommunications Equipment Agreement (CKTEA) and the World Trade Organization Agreement on Government Procurement (WTO-AGP). For further information: IFInet-International Financial InstitutionsThe System provides Canadian exporters with information about international business opportunities funded by the International Financial Institutions (IFIs) such as the World Bank and major Regional Development Banks. For further information: IFI Procurement and Capital Projects OpportunitiesThe new IFInet is your gateway to procurement business in transitional and developing countries funded by the International Financial Institutions (IFIs) and UN agencies. For further information: Canadian Commercial CorporationThe Canadian Commercial Corporation (CCC) provides Canadian exporters with a range of contracting services which enhances their access to market opportunities and significantly increases their ability to land export sales on the best possible terms and conditions. CCC puts the power of Canada behind export sales. For further information: Sales to the U.S. Department of Defense and NASAThe Canadian Commercial Corporation (CCC) specializes in sales to the U.S. Department of Defense (DoD) and NASA, and is responsible for maintaining the Canada/U.S. Defense Production Sharing Arrangement (DPSA). This service provides Canadian exporters with privileged access to one of the largest procurement markets in the world. CCC helps put the power of Canada behind export sales. For further information: Search FedBizOppsIssued by the U.S. Government Printing Office (GPO), and published on the Web by Community of Science, FedBizOpps (FBO) lists notices of proposed government procurement actions, contract awards, sales of government property, and other procurement information over $25,000 - all updated daily. For further information: Agreement on Internal TradeThis site is an initiative of Canadian governments under the Agreement on Internal Trade (AIT). Signed by the First Ministers of the federal, provincial and territorial governments in 1994, the AIT came into effect in 1995. Its objective is to reduce and eliminate, to the extent possible, barriers to the free movement of persons, goods, services and investments within Canada and to establish an open, efficient and stable domestic market. The AIT covers only those tenders where the procurement value exceeds a specified amount. For further information: CIDA Contracting InformationThe online documents listed on this page explain the procedures for entering into contracts with CIDA and other related information. Your Guide to Working with CIDAGeneral information for firms, individual consultants, voluntary organizations and institutions who would like to explore opportunities with CIDA. For further information: 5. Specific Industry InformationConstruction Contracting with the Canadian GovernmentThe Fair Wages and Hours of Labour Act specifies that persons who enter into a contract with the federal government regarding construction, remodelling, repair or demolition, must follow certain rules in relation to their employees. For further information: Architectural and Engineering ServicesPWGSC solicits, on behalf of government departments and agencies, various architectural and engineering consulting services. For further information: Informatics Professional Services-Nation Capital AreaThe Online IPS Marketplace, implemented in the National Capital Area, puts new automated procurement tools into the hands of departments and opens up the federal government's informatics market to a wide supplier base. For further information: Services and Technology Acquisition Management SectorManages contracting for consulting, research and development, training, and informatics services; and goods such as electronic data processing systems, computer hardware and software For further information: Land, Aerospace and Marine ServicesLAMS is a major purchaser of goods and services with large, complex and technical procurements averaging $4 billion per year on behalf of client departments. For further information: 6. Aboriginal ProcurementNinety percent of all government contracts are worth less than $100,000, and many are awarded locally across the country. Federal contracting is an important market for small and medium-sized businesses. The Procurement Strategy for Aboriginal Business (PSAB) helps Aboriginal firms do more contracting with the Government of Canada. Contracts worth more than $5,000 that primarily serve Aboriginal people are open only for competition among qualified Aboriginal businesses. The strategy works to increase the number of Aboriginal suppliers bidding for, and winning, federal contracts. It also promotes sub-contracting to Aboriginal firms and encourages joint ventures with other Aboriginal and non-Aboriginal businesses. The government launched the Procurement Strategy for Aboriginal Business (PSAB) to help Aboriginal firms do more contracting with all the federal departments and agencies. For further information: 7. Online Government Procurement ToolsMERX- Electronic Tendering ServicesMERXTM is an internet based electronic tendering system that advertises government contracting opportunities to potential bidders across Canada. For further information: SELECTSELECT is a new online procurement tool used to identify firms and individuals for low-dollar value construction, maintenance and real property consulting (architecture and engineering) services. SELECT is used by Public Works and Government Services Canada (PWGSC) to invite firms to bid on Real Property opportunities for Consulting up to $84 400 and Construction up to $100 000. For further information: SourceCANSourceCAN was developed by the federal government as a resource meant to educate, prepare and place Canadian businesses within the global marketplace. A public-private partnership, SourceCAN is a multi-jurisdictional e-marketplace where, through an international tender feeding system, Canadian companies can source bids, follow new business leads and post opportunities, all within a secure trading environment. SourceCAN membership is free and offers business opportunities and partnering networks, marketing tools and links to e-business resources. For further information: 8. Seminars and WorkshopsBusiness Access Canada offers the following seminars:
These seminars also include:
For further information: 9. Resources and Web sites of Interest
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