Debates of March 10, 2009 (day 26)

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QUESTION 304-16(3): PUBLIC TENDER AND MARKET DISRUPTIONS PROCEDURES

Thank you, Mr. Speaker. My question is directed to the Minister of infrastructure. Mr. Speaker, a constituent of mine from Aklavik who runs a plumbing and gas fitting business is having a tough time sustaining his business in Aklavik because of competition from Inuvik by way of contracts. Mr. Speaker, I received an e-mail from this individual this morning, which basically is a tender for the community of Aklavik is being put out in regards to a gas fitting service in Aklavik, with no consideration for local businesses that can basically provide the service and not have competition come from outside the community.

Mr. Speaker, this government has a Market Disruption Policy which calls on not disrupting businesses in communities by putting tenders out from other communities. Mr. Speaker, I would like to ask the Minister of Public Works and Services exactly why is it that your department continues to put out tenders in communities without considering the local entrepreneurs or businesses that are already established there?

Speaker: MR. SPEAKER

Thank you, Mr. Krutko. The honourable Minister of Public Works and Services, Mr. Michael McLeod.

Thank you, Mr. Speaker. I would have to see the situation that the Member is raising. Is it an as and when tender? Is it an infrastructure tender? I am not familiar with the issue he is raising. We have an MOU that we are obligated to follow and our department is also involved in that. I would have to see more information, Mr. Speaker.

Mr. Speaker, if the government was following the MOU, the contractor would have had an opportunity to see what tenders are available and have an opportunity to either consider negotiating contract, sole-source contracting or as and when services. I would like to ask the Minister, why is it that you are not using contractors who are established businessmen in our communities by way of as and when contracts than simply having people walk into your office in Inuvik?

Mr. Speaker, the government has an MOU with the Gwich’in and the MOU process clearly outlines some of the requirements. Our contracts and tenders are to be viewed and supplied to the Gwich’in government. That in return is supplied to all their different contractors. Mr. Speaker, if there is no tender request for negotiations, then the contract is tendered publicly, and in this case I am assuming that is the situation. I am not familiar with the actual document he is talking about. Thank you.

Mr. Speaker, as we heard here in the House yesterday, the Premier clearly stated that the information for the existing contracts this government has out there has not even been sent to the Gwich’in or to the local business community so they can see what contracts are available. Mr. Speaker, we have a policy in the government by way of a Market Disruption Policy so that if the government is giving out any contracts that have an effect on a community, is that taken into consideration when contracts are being given by way of the cost to maintain a business in the small communities? If anything, we should be supporting these businesses to remain in these communities rather than competing against them and running them out of our communities.

Mr. Speaker, the responsibility for the MOU oversight falls under ITI. I am sure I could raise that for the Member if he requires. The budgets were passed in the fall, Mr. Speaker, for the capital. The budget for O and M has just been recently approved by this House. Mr. Speaker, the Member has requested from the Premier as to the status of the report that is required as part of the MOU. I believe that has been responded to by the Premier and he has indicated that it has been sent to the Gwich’in Tribal Council.

Mr. Speaker, provision of the projects is a different process. I don’t believe that is part of the project report that is being delivered. Mr. Speaker, I certainly can find out in greater detail if the Member is asking me to do that. Thank you.

Speaker: MR. SPEAKER

Thank you, Mr. McLeod. Final supplementary, Mr. Krutko.

Thank you, Mr. Speaker. The Minister can also assist me by way of the community businesses and also finding ways of why they are not being considered when it comes to tenders, which could be either sole sourced or basically as and when tenders, where these businesses are already existing. You don’t need somebody driving from Inuvik or flying from Inuvik to provide a plumbing job where you have a plumber in the community. Why is it that you are not considering local tenders? If you are not doing that, I would like to ask the Minister, can he talk to the people in the Inuvik office? Why are they not considering local contractors for those tenders to be given out locally in those communities for those tenders who are going to be providing that service?

Mr. Speaker, I am not sure the Member is making the assumption that we don’t support local contractors. We provide a lot of contracts to companies that indicate their interest. Failing any indication that we have come to our attention, those contracts are put to public tender. We have a process. It has been signed off. There has been extension to a Memorandum of Understanding. The information goes to the tribal council and that is dispersed. If there is somebody that has slipped through the cracks, I would be glad to hear about it. But I have not heard of the company that he is talking about that has requested negotiating contract and didn’t get it. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. McLeod. The honourable Member for Yellowknife Centre, Mr. Hawkins.