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Public Works and Government Services Canada

Code of Conduct for Procurement
01     Procurement Business Number
02     Standard Instructions, Clauses and Conditions
03     Definition of Bidder
04     Submission of Bids
05     Late Bids
06     Delayed Bids
07     Transmission by Facsimile
08     Customs Clearance
09     Legal Capacity
10     Rights of Canada
11     Vendor Performance
12     Communications - Solicitation Period
13     Price Justification
14     Bid Costs
15     Conduct of Evaluation
16     Joint Venture
17     Conflict of Interest - Unfair Advantage
18     Entire Requirement
19     Further Information


Code of Conduct for Procurement

The Code of Conduct for Procurement provides that bidders must respond to 
bid solicitations in an honest, fair and comprehensive manner, accurately 
reflect their capacity to satisfy the requirements stipulated in the bid 
solicitation and resulting contract, submit bids and enter into contracts 
only if they will fulfill all obligations of the contract. To ensure 
fairness, openness and transparency in the bidding process, the following 
activities are prohibited:

(a)    payment of a contingency fee by any party to a contract to a person 
       to whom the Lobbyists Registration Act, R.S. 1985, c. 44 (4th 
       Supplement) applies;

(b)    corruption and collusion in the bidding process for contracts for 
       the provision of goods and services.

By submitting a bid, the Bidder certifies that it meets the above 
requirements.

Bidders further understand that the commission of certain offences may 
render them ineligible to be awarded a contract.  By submitting a bid, the 
Bidder declares that it has never been convicted of an offence under 
Section 121 (Frauds on the government and Contractor subscribing to 
election fund), Section 124 (Selling or Purchasing Office), Section 380 (
Fraud committed against Her Majesty) or Section 418 (Selling defective 
stores to Her Majesty) of the Criminal Code of Canada, or under paragraph 
80(1)(d) (False entry, certificate or return) subsection 80(2) (Fraud 
against Her Majesty) or Section 154.01 (Fraud against Her Majesty) of the 
Financial Administration Act.

01     Procurement Business Number

Canadian suppliers are required to have a Procurement Business Number (PBN) 
before contract award. Suppliers may register for a PBN in the Supplier 
Registration Information service on line at the Business Access Canada 
Website.  For non-Internet registration, suppliers may contact the Business 
Access Canada InfoLine at 1-800-811-1148 to obtain the telephone number of 
the nearest Supplier Registration Agent.

02     Standard Instructions, Clauses and Conditions

Pursuant to the Department of Public Works and Government Services Act, S.C. 
1996, c.16, the instructions, clauses and conditions identified in the bid 
solicitation and resulting contract by number, date, and title are 
incorporated by reference into and form part of the bid solicitation and 
resulting contract as though expressly set out in the bid solicitation and 
resulting contract.

03     Definition of Bidder

"Bidder" means the person or entity (or, in the case of a joint venture, 
the persons or entities) submitting a bid to perform a contract for goods, 
services or both. It does not include the parent, subsidiaries or other 
affiliates of the Bidder, or its subcontractors.

04     Submission of Bids

1.     Canada requires that each bid, at closing date and time or upon 
       request from the Contracting Authority, be signed by the Bidder or 
       by an authorized representative of the Bidder. If a bid is submitted 
       by a joint venture, it must be in accordance with section 16.

2.     It is the Bidder's responsibility to:

       (a)    obtain clarification of the requirements contained in the bid 
              solicitation, if necessary, before submitting a bid;

       (b)    prepare its bid in accordance with the instructions contained 
              in the bid solicitation;

       (c)    submit by closing date and time a complete bid;

       (d)    send its bid only to Public Works and Government Services 
              Canada (PWGSC) Bid Receiving Unit specified on page 1 of the 
              bid solicitation or to the address specified in the bid 
              solicitation;

       (e)    ensure that the Bidder's name, return address, the bid 
              solicitation number, and bid solicitation closing date and 
              time are clearly visible on the envelope or the parcel(s) 
              containing the bid; and,

       (f)    provide a comprehensible and sufficiently detailed bid, 
              including all requested pricing details, that will permit a 
              complete evaluation in accordance with the criteria set out 
              in the bid solicitation.

3.     If Canada has provided bidders with multiple formats of a document 
       (for example, a document may be downloaded through the Government 
       Electronic Tendering Service (GETS) but may also be made available 
       on CD-ROM through GETS), the format downloaded through GETS will 
       take precedence. If Canada posts an amendment to the bid 
       solicitation revising any documents provided to bidders in multiple 
       formats, Canada will not necessarily update all formats to reflect 
       these revisions.  It is the Bidder's responsibility to ensure that 
       revisions made through any bid solicitation amendment issued through 
       GETS are taken into account in the alternate formats it uses of bid 
       solicitation documents.

4.     Bids will remain open for acceptance for a period of not less than 
       sixty (60) days from the closing date of the bid solicitation, 
       unless specified otherwise in the bid solicitation.  Canada reserves 
       the right to seek an extension of the bid validity period from all 
       responsive bidders in writing, within a minimum of three (3) days 
       before the end of the bid validity period.  If the extension is 
       accepted by all responsive bidders, Canada will continue with the 
       evaluation of the bids.  If the extension is not accepted by all 
       responsive bidders, Canada will, at its sole discretion, either 
       continue with the evaluation of the bids of those who have accepted 
       the extension or cancel the solicitation.

5.     Bid documents and supporting information may be submitted in either 
       English or French.

6.     Bids received on or before the stipulated bid solicitation closing 
       date and time will become the property of Canada and will not be 
       returned.  All bids will be treated as confidential, subject to the 
       provisions of the Access to Information Act, R.S. 1985, c. A-1 and 
       the Privacy Act, R.S. 1985, c. P-21.

7.     Unless specified otherwise in the bid solicitation, Canada will 
       evaluate only the documentation provided with a bidder's bid.  
       Canada will not evaluate information such as references to Website 
       addresses where additional information can be found, or technical 
       manuals or brochures not submitted with the bid.

05     Late Bids

PWGSC will return bids delivered after the stipulated bid solicitation 
closing date and time, unless they qualify as a delayed bid as described 
below.

06     Delayed Bids

1.     A bid delivered to the specified bid receiving unit after the 
       closing date and time but before the contract award date may be 
       considered, provided the delay can be proven to have been due solely 
       to a delay in delivery that can be attributed to the Canada Post 
       Corporation (CPC) (or national equivalent of a foreign country). 
       Purolator Inc. is not considered to be part of CPC for the purposes 
       of delayed bids.  The only pieces of evidence relating to a delay in 
       the CPC system that are acceptable to PWGSC are:

       (a)    a CPC cancellation date stamp; or
       (b)    a CPC Priority Courier bill of lading; or
       (c)    a CPC Xpresspost label

       that clearly indicates that the bid was mailed before the bid 
       closing date.

2.     For bids transmitted by facsimile, only the date, time and place of 
       receipt recorded by PWGSC will be accepted as evidence of a delayed 
       bid.

3.     Misrouting, traffic volume, weather disturbances, labour disputes or 
       any other causes for the late delivery of bids are not acceptable 
       reasons for the bid to be accepted by PWGSC.

4.     Postage meter imprints, whether imprinted by the Bidder, the CPC or 
       the postal authority outside Canada, are not acceptable as proof of 
       timely mailing.

07     Transmission by Facsimile

1.     Unless specified otherwise in the bid solicitation, bids may be 
       submitted by facsimile.  The only acceptable facsimile number for 
       responses to bid solicitations issued by PWGSC headquarters is 
       819-997-9776.  The facsimile number for responses to bid 
       solicitations issued by PWGSC regional offices is identified in the 
       bid solicitation.

2.     For bids transmitted by facsimile, Canada will not be responsible 
       for any failure attributable to the transmission or receipt of the 
       faxed bid including, but not limited to, the following:

       (a)    receipt of garbled or incomplete bid;
       (b)    availability or condition of the receiving facsimile 
       equipment;
       (c)    incompatibility between the sending and receiving equipment;
       (d)    delay in transmission or receipt of the bid;
       (e)    failure of the Bidder to properly identify the bid;
       (f)    illegibility of the bid; or 
       (g)    security of bid data.

3.     A bid transmitted by facsimile constitutes the formal bid of the 
       Bidder and must be submitted in accordance with section 04.  
       Furthermore, the Bidder must send a written confirmation of the bid 
       within two (2) working days after bid closing, unless specified 
       otherwise in the bid solicitation.  All documents confirming bids 
       should bear the word "CONFIRMATION".

08     Customs Clearance

It is the responsibility of the Bidder to allow sufficient time to obtain 
customs clearance, where required, before the bid closing date and time.  
Delays related to the obtaining of customs clearance cannot be construed as 
"undue delay in the mail" and will not be accepted as a delayed bid under 
section 06.

09     Legal Capacity

The Bidder must have the legal capacity to contract.  If the Bidder is a 
sole proprietorship, a partnership or a corporate body, the Bidder must 
provide, if requested by the Contracting Authority, a statement and any 
requested supporting documentation indicating the laws under which it is 
registered or incorporated together with the registered or corporate name 
and place of business.  This also applies to bidders submitting a bid as a 
joint venture.

10     Rights of Canada

Canada reserves the right to:

(a)    reject any or all bids received in response to the bid solicitation;

(b)    enter into negotiations with bidders on any or all aspects of their 
bids;

(c)    accept any bid in whole or in part without negotiations;

(d)    cancel the bid solicitation at any time; 

(e)    reissue the bid solicitation; 

(f)    if no responsive bids are received and the requirement is not 
       substantially modified, reissue the bid solicitation by inviting 
       only the bidders who bid to resubmit bids within a period designated 
       by Canada; and, 

(g)    negotiate with the sole responsive Bidder to ensure best value to 
Canada.

11     Vendor Performance

1.     Canada may reject a bid where any of the following circumstances is 
       present:

       (a)    the Bidder, or any employee or subcontractor included as part 
              of the bid, has been convicted under Section 121 (Frauds on 
              the government & Contractor subscribing to election fund), 
              Section 124 (Selling or purchasing office), Section 380 (
              Fraud committed against Her Majesty) or Section 418 (Selling 
              defective stores to Her Majesty) of the Criminal Code or 
              under paragraph 80(1)(d) (False entry, certificate or return) 
              subsection 80(2) (Fraud against Her Majesty) or Section 154.01 
              (Fraud against Her Majesty) of the Financial Administration 
              Act.

       (b)    the Bidder is subject to a Vendor Performance Corrective 
              Measure, under the Vendor Performance Policy, which renders 
              the Bidder ineligible to bid on the requirement;

       (c)    an employee, or subcontractor included as part of the bid, is 
              subject to a Vendor Performance Corrective Measure, under the 
              Vendor Performance Policy, which would render that employee 
              or subcontractor ineligible to bid on the requirement, or the 
              portion of the requirement the employee or subcontractor is 
              to perform;

       (d)    with respect to current or prior transactions with the 
              Government of Canada

              (i)    the Bidder is bankrupt or where, for whatever reason, 
                     its activities are rendered inoperable for an extended 
                     period;

              (ii)   evidence, satisfactory to Canada, of fraud, bribery, 
                     fraudulent misrepresentation or failure to comply with 
                     any law protecting individuals against any manner of 
                     discrimination, has been received with respect to the 
                     Bidder, any of its employees or any subcontractor 
                     included as part of the bid;

              (iii)  Canada has exercised its contractual remedies of 
                     suspension or termination for default with respect to 
                     a contract with the Bidder, any of its employees or 
                     any subcontractor included as part of the bid; 

              (iv)   Canada determines that the Bidder's performance on 
                     other contracts, including the efficiency and 
                     workmanship as well as the extent to which the Bidder 
                     performed the Work in accordance with contractual 
                     clauses and conditions, is sufficiently poor to 
                     jeopardize the successful completion of the 
                     requirement being bid on.

2.     Where Canada intends to reject a bid pursuant to a provision of 
       subsection 1, other than 1.(b), the Contracting Authority will so 
       inform the Bidder and provide the Bidder ten (10) days within which 
       to make representations, before making a final decision on the bid 
       rejection.

12     Communications - Solicitation Period

To ensure the integrity of the competitive bid process, enquiries and other 
communications regarding the bid solicitation must be directed only to the 
Contracting Authority identified in the bid solicitation.  Failure to 
comply with the request may result in the bid being declared non-responsive.

To ensure consistency and quality of information provided to bidders, 
significant enquiries received and the replies to such enquiries will be 
provided simultaneously to bidders to which the bid solicitation has been 
sent, without revealing the sources of the enquiries.

13     Price Justification

In the event that the Bidder's bid is the sole responsive bid received, the 
Bidder must provide, on Canada's request, one or more of the following 
price justification:

(a)    a current published price list indicating the percentage discount 
       available to Canada; or

(b)    a copy of paid invoices for the like quality and quantity of the 
       goods, services or both sold to other customers; or

(c)    a price breakdown showing the cost of direct labour, direct 
       materials, purchased items, engineering and plant overheads, general 
       and administrative overhead, transportation, etc., and profit; or

(d)    price or rate certifications; or

(e)    any other supporting documentation as requested by Canada.

14     Bid Costs

No payment will be made for costs incurred in the preparation and 
submission of a bid in response to the bid solicitation.  Costs associated 
with preparing and submitting a bid, as well as any costs incurred by the 
Bidder associated with the evaluation of the bid, are the sole 
responsibility of the Bidder.

15     Conduct of Evaluation

1.     In conducting its evaluation of the bids, Canada may, but will have 
       no obligation to, do the following:

       (a)    seek clarification or verification from bidders regarding any 
              or all information provided by them with respect to the bid 
              solicitation;

       (b)    contact any or all references supplied by bidders to verify 
              and validate any information submitted by them;

       (c)    request, before award of any contract, specific information 
              with respect to bidders' legal status;

       (d)    conduct a survey of bidders' facilities and/or examine their 
              technical, managerial, and financial capabilities to 
              determine if they are adequate to meet the requirements of 
              the bid solicitation;

       (e)    correct any error in the extended pricing of bids by using 
              unit pricing and any error in quantities in bids to reflect 
              the quantities stated in the bid solicitation; in the case of 
              error in the extension of prices, the unit price will govern.

       (f)    verify any information provided by bidders through 
              independent research, use of any government resources or by 
              contacting third parties;

       (g)    interview, at the sole costs of bidders, any bidder and/or 
              any or all of the resources proposed by bidders to fulfill 
              the requirement of the bid solicitation.

2.     Bidders will have the number of days specified in the request by the 
       Contracting Authority to comply with any request related to any of 
       the above items.  Failure to comply with the request may result in 
       the bid being declared non-responsive.

16     Joint Venture

1.     A joint venture is an association of two or more parties who combine 
       their money, property, knowledge, expertise or other resources in a 
       single joint business enterprise, sometimes referred as a consortium, 
       to bid together on a requirement.  Bidders who bid as a joint 
       venture must indicate clearly that it is a joint venture and provide 
       the following information:

       (a)    the name of each member of the joint venture;
       (b)    the Procurement Business Number of each member of the joint 
              venture;
       (c)    the name of the representative of the joint venture, i.e. the 
              member chosen by the other members to act on their behalf, if 
              applicable;
       (d)    the name of the joint venture, if applicable.

2.     If the information is not clearly provided in the bid, the Bidder 
       must provide the information on request from the Contracting 
       Authority.

3.     The bid and any resulting contract must be signed by all the members 
       of the joint venture unless one member has been appointed to act on 
       behalf of all members of the joint venture.  The Contracting 
       Authority may, at any time, require each member of the joint venture 
       to confirm that the representative has been appointed with full 
       authority to act as its representative for the purposes of the bid 
       solicitation and any resulting contract.  If a contract is awarded 
       to a joint venture, all members of the joint venture will be jointly 
       and severally or solidarily liable for the performance of any 
       resulting contract.

17     Conflict of Interest - Unfair Advantage

1.     In order to protect the integrity of the procurement process, 
       bidders are advised that Canada may reject a bid in the following 
       circumstances:

       (a)    if the Bidder, any of its subcontractors, any of their 
              respective employees or former employees was involved in any 
              manner in the preparation of the bid solicitation;

       (b)    if the Bidder, any of its subcontractors, any of their 
              respective employees or former employees had access to 
              information related to the bid solicitation that was not 
              available to other bidders and that would, in Canada's 
              opinion, give the Bidder an unfair advantage.

2.     The experience acquired by a bidder who is providing or has provided 
       the goods and services described in the bid solicitation (or similar 
       goods or services) will not, in itself, be considered by Canada as 
       conferring an unfair advantage or creating a conflict of interest. 
       This bidder remains however subject to the criteria established 
       above.

3.     Where Canada intends to reject a bid under this section, the 
       Contracting Authority will inform the Bidder and provide the Bidder 
       an opportunity to make representations before making a final 
       decision.  Bidders who are in doubt about a particular situation 
       should contact the Contracting Authority before bid closing.  By 
       submitting a bid, the Bidder represents that it does not consider 
       itself to be in conflict of interest nor to have an unfair advantage. 
       The Bidder acknowledges that it is within Canada's sole discretion 
       to determine whether a conflict of interest or unfair advantage 
       exists.

18     Entire Requirement

The bid solicitation documents contain all the requirements relating to the 
solicitation. Any other information or documentation provided to or 
obtained by a bidder from any source are not relevant. Bidders should not 
assume that practices used under previous contracts will continue, unless 
they are described in the bid solicitation. Bidders should also not assume 
that their existing capabilities meet the requirements of the bid 
solicitation simply because they have met previous requirements.

19     Further Information

1.     For further information, bidders may contact the Contracting 
       Authority identified in the bid solicitation.

2.     For bid solicitations issued out of PWGSC headquarters, enquiries 
       concerning receipt of bids may be addressed to the Bid Receiving 
       Unit, Procurement Operational Support Division, telephone 
       819-956-3370.  For bid solicitations issued out of PWGSC regional 
       offices, enquiries concerning receipt of bids may be addressed to 
       the Contracting Authority identified in the bid solicitation.