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Purpose
The purpose of Policy Notification 109U1 (PN-109U1) is to reflect changes to the procurement review process for procurements governed by the Defence Procurement Strategy (DPS).
Effective date
PN-109U1 and the related changes to the Supply Manual are effective immediately.
Background
On February 5, 2014, Canada’s new DPS was launched. The DPS fulfills the Government’s commitment to ensure defence equipment procurement creates economic opportunities and jobs for Canadians. PN 109 Defence Procurement Strategy provided information on the various components of the strategy. One component was the “Leveraging our purchases of defence equipment to create jobs and economic growth in Canada” using a weighted and rated Value Proposition to assess bids for defence and major Canadian Coast Guard procurements.
As stated in PN-109, procurement bid proposals have been traditionally evaluated based on the rating and weighting of technical compliance and price only. A key feature of the DPS will be the use of the Value Proposition as a weighted and rated element of a procurement bid evaluation. Value Propositions will reflect activities and investments supporting outcomes of benefit to Canada. Using Value Propositions, industrial considerations will factor into the determination of which bidding firm wins the contract. The use and composition of a Value Proposition will be identified on a procurement-by-procurement basis.
Policy
Defence and major Canadian Coast Guard procurements governed by the DPS are exempt from Section 6 of the Treasury Board (TB) Procurement Review Policy which requires that TB authority be sought before the issuance of a solicitation where weighted and rated Value Propositions form part of the bid evaluation.
Revisions to the Supply Manual
In support of this PN, the Supply Manual will be updated. To view the sections to be modified, please refer to “Affected Supply Manual Sections” below.
Next Steps
Further guidance on implementation details of how the DPS will affect upcoming procurements will be provided as it becomes available. If you receive questions from suppliers and clients on implementation details that you are unable to answer, please speak to your supervisor or contact PAretroaction.APfeedback@tpsgc-pwgsc.gc.ca for additional information or clarification.
Contact Information
Please direct any enquiries to Susan Blakeney by email: susan.blakeney@tpsgc.gc.ca.