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3.3. Annex: Model Content of an Advance Contract Award Notice

An Advanced Contract Award Notice (ACAN) must be prepared in both official languages. Below is a model that must be used by contracting officers for the preparation of an ACAN. The blocks include guidance for its use as well as examples for some of the items listed.

  1. Advance Contract Award Notice (ACAN)
    Begin with an explanation of what an ACAN is by including the statement below in all ACANs.
    An ACAN is a public notice indicating to the supplier community that a department or agency intends to award a contract for goods, services or construction to a pre-identified supplier, thereby allowing other suppliers to signal their interest in bidding, by submitting a statement of capabilities. If no supplier submits a statement of capabilities that meets the requirements set out in the ACAN, on or before the closing date stated in the ACAN, the contracting officer may then proceed with the award to the pre-identified supplier.
  2. Definition of the requirement
    Provide a description of the requirement that is sufficiently defined so that industry can understand the government's high-level requirements.
    • The Department of (indicate name of organization) has a requirement for the supply of quantity x (describe the product, system, or equipment, e.g. software licenses, VHF communications system, fire fighting equipment), in accordance with (if applicable) Standard/Specification/Regulation No. x. The product/system/equipment (as applicable) must (describe the salient physical, functional or other essential characteristics, including performance criteria, and any requirement to integrate with existing systems or equipment. Also refer to a part number, model number and/or brand name, if applicable, and add the words "or equivalent". Include all information on any optional items, quantities, periods, etc.).
    • OR
      The Department of (indicate name of organization) has a requirement to (describe the services, e.g. "provide architectural and engineering services"; "provide technical investigation and engineering services in support of..."; "conduct a study of x to assess..."; "carry out a financial audit of x to determine..."; "develop an economic model to permit the analysis of..."). The work will involve the following: (enumerate the tasks and describe the objectives, expected results, performance standards, constraints, and, to the extent possible, deliverables).
  3. Criteria for assessment of the Statement of Capabilities (Minimum Essential Requirements)
    Detail the criteria against which the statement of capabilities submitted by potential suppliers will be assessed. This will allow the contracting officer to have an adequate basis for evaluating a potential supplier's statement of capabilities. The pre-identified supplier must be evaluated on the same basis.
    • Any interested supplier must demonstrate by way of a statement of capabilities that its product/equipment/system (as appropriate) meets the following requirements:
      (Summarize the essential functional characteristics or, if necessary to properly define the goods, the physical or design characteristics, and describe any requirements for interchangeability with existing systems or equipment. Also include to the extent possible performance or output criteria. If applicable, refer to recognized Canadian or international standards, specifications, and/or regulations.)
    • OR
      Any interested supplier must demonstrate by way of a statement of capabilities that it meets the following requirements: (this list should include those qualifications deemed essential to carry out the work)
      • Experience (e.g. x years experience in the past x years conducting y; x number of projects similar in size, scope and complexity);
      • Knowledge and understanding of (e.g. x equipment; x economic model; x software);
      • Academic qualifications (e.g. must possess an undergraduate degree from a recognized university in the field of [e.g. business, political science]);
      • Professional designation, accreditation, and/or certification (e.g. professional engineer, Certified General Accountant).
  4. Applicability of the trade agreement(s) to the procurement
    Include, if applicable, a statement indicating if the proposed procurement is subject to one or more of the trade agreements.
    This procurement is subject to the following trade agreement(s) (insert the applicable trade agreement(s)):
    • Canadian Free Trade Agreement (CFTA) OR Agreement on Internal Trade (AIT)
    • World Trade Organization - Agreement on Government Procurement (WTO-AGP)
    • North American Free Trade Agreement (NAFTA)
    Note: In general, the Supply Manual refers only to NAFTA and the WTO–AGP, as the procedural requirements of the other international trade agreements will be fulfilled following compliance to the procedural requirements of NAFTA and the WTO–AGP. See 1.25.16 Bilateral Free Trade Agreements.
  5. Set-aside under the Procurement Strategy for Aboriginal Business
    Include, if applicable, the following statement when the procurement is set-aside under the Procurement Strategy for Aboriginal Business (PSAB).
    This procurement is set-aside for an Aboriginal supplier in accordance with the government Procurement Strategy for Aboriginal Business (PSAB). Therefore, only suppliers who meet the definition of an Aboriginal business, as defined in the PSAB, may submit a statement of capabilities.
  6. Comprehensive Land Claims Agreement(s)
    Include, if applicable, a statement regarding the applicability of the procurement to one or more of the Comprehensive Land Claims Agreements (CLCAs).
    This procurement is subject to the ______________________ (insert the applicable CLCA).
  7. Justification for the Pre-Identified Supplier
    Indicate the reason(s)/justification for the pre-identified supplier. This should clearly demonstrate why the pre-identified supplier has been identified as the only supplier capable of performing the work or of meeting the government's requirements. (See 3.15.1 Justification of Non-competitive Process).
  8. Government Contracts Regulations Exception(s)
    Indicate all relevant exceptions under the Government Contracts Regulations (GCRs).
    The following exception(s) to the Government Contracts Regulations is (are) invoked for this procurement under subsection ___________________ (for example: subsection 6(d) - "only one person is capable of performing the work").
  9. Exclusions and/or Limited Tendering Reasons
    Indicate, as applicable, the exclusion(s) and/or the limited tendering reason(s) invoked (see Annex 3.2 Limited Tendering Reasons contained in the Trade Agreements) under the trade agreement(s).
    The following exclusion(s) and/or limited tendering reasons are invoked under the (section of the trade agreement(s) specified):
    • Canadian Free Trade Agreement (CFTA) – Article(s) _____ (insert applicable article(s)) OR Agreement on Internal Trade (AIT) – Article(s) _____ (insert applicable article(s))
    • World Trade Organization - Agreement on Government Procurement (WTO-AGP) – Article(s) _____ (insert applicable article(s))
    • North American Free Trade Agreement (NAFTA) – Article(s) _____ (insert applicable article(s))
    Note 1: Trade agreements make no reference to ACANs, but if the trade agreement covered procurement is being directed to a supplier, there is a requirement to indicate the exclusion(s) or the limited tendering reason(s) invoked.
    Note 2: In general, the Supply Manual refers only to NAFTA and the WTO–AGP, as the procedural requirements of the other international trade agreements will be fulfilled following compliance to the procedural requirements of NAFTA and the WTO–AGP. See 1.25.16 Bilateral Free Trade Agreements.
  10. Ownership of Intellectual Property
    Where intellectual property will be created during the course of the contract, a statement should indicate whether an exception set out in the Treasury Board ARCHIVED - Policy on Title to Intellectual Property Arising under Crown Procurement Contracts is being invoked or if the ownership of intellectual property will rest with the contractor.
    • Ownership of any Foreground Intellectual Property arising out of the proposed contract will vest in the Contractor.
    • OR
      Canada intends to retain ownership of any Foreground Intellectual Property arising out of the proposed contract on the basis that the main purpose of the contract is (insert appropriate exception to the Treasury Board ARCHIVED - Policy on Title to Intellectual Property Arising under Crown Procurement Contracts, e.g. to generate knowledge and information for public dissemination).
  11. Period of the proposed contract or delivery date
    Provide the period of the proposed contract or the required delivery, including potential renewal or option years.
    • The product/system/equipment (as appropriate) must be delivered on _________ (insert the delivery date required or requested. If the contract includes optional quantities and/or optional goods, insert the delivery date (e.g. within x days of exercising the option)).
    • OR
      The proposed contract is for a period of x years, from (insert estimated start date) to (insert estimated completion date). (If the contract includes an option to extend the contract period, insert the option information, e.g. two one-year periods.)
    • OR
      If the contract includes deliverables, state the date(s) that the deliverables are due.
  12. Cost estimate of the proposed contract
    Include a cost estimate, where appropriate, provided that it will not prejudice negotiations with the proposed contractor (pre-identified supplier), or compromise the pre-identified supplier's competitive position if the requirement proceeds to a traditional or electronic bidding process (could be provided as a range).
    The estimated value of the contract, including option(s), is $ x (GST/HST extra).
  13. Name and address of the pre-identified supplier
    Include the name and, usually, the address of the pre-identified supplier (proposed contractor) in the ACAN.
  14. Suppliers' right to submit a statement of capabilities
    Provide an explanation to suppliers of how they may proceed in responding to the ACAN.
    Suppliers who consider themselves fully qualified and available to provide the goods, services or construction services described in the ACAN may submit a statement of capabilities in writing to the contact person identified in this notice on or before the closing date of this notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.
  15. Closing date for a submission of a statement of capabilities
    Include the day, month and year for the closing date for accepting statements of capabilities. See 3.15.5.1 Advance Contract Award Notice Time Limit.
    The closing date and time for accepting statements of capabilities is (e.g. February 11, 2011 at 2:00 p.m. EST).
  16. Inquiries and submission of statements of capabilities Include the name, position, address, phone, fax and e-mail address where suppliers may inquire or submit a statement of capabilities.
    Inquiries and statements of capabilities are to be directed to:
    (Name and title of contact)
    (Address)
    Telephone:
    Facsimile:
    E-mail: