Debates of February 9, 2012 (day 3)
QUESTION 26-17(2): PROCUREMENT GUIDELINES FOR HAY RIVER CONSTRUCTION PROJECTS
Thank you, Mr. Speaker. As I said in my Member’s statement today, it seems that we have a gap in our procurement policies. Standing offer agreements can be offered to firms who can then turn around and subcontract southern companies to do work here in the Northwest Territories. I’m not sure if it’s the Minister for which the work that I’m referring to is being done or if it’s someone else on the other side that’s responsible for this policy on standing offer agreements. I would like to know why standing offer agreements do not uphold the same standard of northern content that other contracts do.
Thank you, Mrs. Groenewegen. The honourable Minister responsible for Transportation, Mr. David Ramsay.
Thank you, Mr. Speaker. That certainly is something that I believe the government can take a look at on the standing offer agreements. The situation that the Member speaks about in Hay River has been dealt with by departmental officials sitting down with the individual to get a better understanding of when that equipment was procured by that company. Hopefully going forward that company will be involved in any future procurement that requires that type of equipment in the South Slave.
One of the features of a standing offer agreement is that it’s in place for a period of time. Can the Minister tell us if standing offer agreements are usually in place for one year or for longer? Because I do appreciate that Mr. Dean has made the department now aware of his equipment, and his capacity and his ability to do this kind of work, but how long before an engineering company can be taken – not taken to task, that’s the wrong word – can be held to account for making sure that they subcontract to northern contractors?
I agree with the Member that we have to ensure that the money we are spending, whether it’s through standing offer agreements or other sources of procurement, is done so that it maximizes the benefits to the economy here in the Northwest Territories to local businesses. I want to assure the Member that this is something that this government is going to continue to pursue.
Can the Minister assure me that no more standing offer agreements will be awarded by this government without clearly identifying what the northern content and the requirement for northern content is, and for procuring the services from northern contractors, that no more standing offer agreements will be let until this matter is resolved?
We hear the concerns from the Member for Hay River South very clearly and it’s something that we’ll take under consideration.
Thank you, Mr. Ramsay. Final, short supplementary, Mrs. Groenewegen.
At what point and through what vehicle, by what method do we Members on this side of the House get to be involved in the revision of the procurement policies of this government to ensure that Northerners get the work and get the jobs?
I think as we move forward there will be ample opportunity for Cabinet to work with the Regular Members to do just that and I look forward to the Regular Members’ participation in that policy review that will take place. Thank you.
Thank you, Mr. Ramsay. The honourable Member for Hay River North, Mr. Bouchard.