GUIDE HOW TO DOING BUSINESS WITH GOVERNMENT OF YUKON

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1 GUIDE HOW TO DOING BUSINESS WITH GOVERNMENT OF YUKON

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3 Table of Contents Introduction....5 Background: Definitions from the Contracting and Procurement Directive: What does Government of Yukon buy?....8 Who can sell to Government of Yukon?....8 Procurement Policies of the Government of Yukon....9 Green Procurement Policy Trade Agreements What is the Tender Management System (TMS)? How does the Government of Yukon decide which opportunities get posted to TMS? How do I find out about opportunities not posted on TMS? What are the different methods of procurement? Expression of Interest...13 Request for Qualifications (RFQ) Request for Bids (RFB) Request for Proposals (RFP) Invitational Price Request Invitational Request for Proposal How do I respond to opportunities? PERFORMANCE CONTRACT TERMS AND CONDITIONS LANGUAGE CLOSING DATE AND TIME SUBMISSION METHODS SIGNING YOUR BID QUESTIONS TENDER CRITERIA Key points: AFTER YOU SUBMIT A BID/PROPOSAL How will I know if my bid/proposal was successful? What is the contract registry? Can I find out why my bid was unsuccessful? What if I am not satisfied with the outcome of a bid? How will I get paid? Business Resources Where can I find more information? Procurement Support Centre How to Do Business Guide 3

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5 Introduction The Government of Yukon (YG) is a major buyer of goods, services and construction, spending more than $300 million annually. Each year YG enters into contracts with vendors for everything from office supplies to major construction. Yukon s Contracting and Procurement Directive is designed so that procurement is fair, open and transparent. This guide will help you understand YG s procurement process and how to do business with the Government of Yukon. Procurement Support Centre How to Do Business Guide 5

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7 Background: The Procurement Support Centre (PS Centre) opened in November 2013 and plays an important role in YG procurement. PS Centre staff are responsible for developing and advising on government s procurement policy and developing related guidelines, tools, templates and best practices. PS Centre also provides procurement advice to all YG departments and provides procurement-related training to departments and the vendor community. PS Centre also leads the team consisting of Yukon business associations, Chambers of Commerce and YG departments which organizes the annual Industry Conference in Whitehorse, Yukon. In Yukon government, each department is responsible for procuring its own services or construction. Within the departments there are employees who we call procurement authorities, which means they have the authority under the Financial Administration Act (the Act) to enter into a contract or to undertake procurement on behalf of YG. For more information on PS Centre role please visit All goods purchases over $1,000 are generally the responsibility of Acquisitions Services and Planning (ASAP), a unit of the Supply Services Branch, Department of Highways and Public Works. Acquisition Services and Planning is delegated as the central authority for buying goods and some services used by all departments and agencies. Departments use ASAP when purchasing goods on behalf of their department. For information, please visit Definitions from the Contracting and Procurement Directive: Goods articles, commodities, equipment, goods, material or supplies, which may include installation, warranty and maintenance agreements Services the furnishing of labour, time or effort by a contractor that does not produce goods Procurement authority any person who has the authority under the Act to enter into a contract or to undertake procurement on behalf of the government Construction the building, erection, maintenance, repair, renovation, alteration and demolition work on building and civil engineering works, including land clearing, earth moving and site preparation work. Procurement Support Centre How to Do Business Guide 7

8 What does the Government of Yukon buy? Yukon government buys a wide range of products and services. Consisting of 13 departments and 7 central agencies, Government of Yukon regularly buys a wide range of goods and services from suppliers in Yukon and elsewhere to support the programs and services delivered to the people of Yukon. At any given time, Department of Environment may be in the market for a snowmobile to help track wildlife. IT consultants may be required to help departments with their needs, or architects may require assistance in designing buildings for the Department of Highways and Public Works. Who can sell to the Government of Yukon? Individuals and business of all types, including sole proprietors, corporations and partnerships, may respond to YG tender opportunities. All public tenders are posted on the Tender Management System (TMS) website at Each tender describes the goods, services or construction required. Make sure that you fully read and understand the requirements as stated in the tender documents. After you have fully read the document you must carefully consider whether you will be able to meet the stated requirements. You may choose to bid on your own, or you may collaborate with other suppliers to form a team to deliver the goods, services or construction. Just remember, for all bids, one supplier must be a legal entity capable of entering into a contract and designated as the lead (or prime) contractor, with legal responsibility for undertaking the work. For a summary of the types of business entities in Yukon and how they can enter into contracts, please visit the Corporate Affairs website at 8 Procurement Support Centre How to Do Business Guide

9 Procurement Policies of the Government of Yukon Procurements by Yukon government are guided by the following policies and agreements: Contracting and Procurement Regulation and Contracting and Procurement Directive Procurement in YG must follow the Contracting and Procurement Regulation and Contracting and Procurement Directive. Maintaining the integrity of the Government of Yukon procurement process is essential to protecting the public interest. The following principles apply to all YG procurements as established in the Contracting and Procurement Regulation and Contracting and Procurement Directive: Fairness to observe procedural policies free of bias, personal interest and conflict of interest. Openness and transparency to create the maximum number of competitive procurement opportunities, and to be transparent in the way business is conducted. Fiscal responsibility to justify contracting and procurement decisions and actions as appropriate in the circumstances. Competition to open procurement opportunities to the maximum number of respondents. Value for money to focus on efficiency, economy and effectiveness to obtain the maximum benefits with the resources available. Accountability to be willing and able to account for the way contracting and procurement activities have been conducted. Procurement Support Centre How to Do Business Guide 9

10 Green Procurement Policy In 2010, the Government of Yukon developed a Green Procurement Policy which states the following: The objective of this policy is to enhance environmental protection and support sustainable development in government operations. More specifically, the intent is to implement this policy in a way that supports the government s goals with respect to the Climate Change Action Plan. The Green Procurement Policy states that Yukon government will, where practical, specify environmentally preferred products and services in all procurement actions related to goods, services and construction. Trade Agreements Public procurement is also governed by trade agreements to ensure that all procurements are open, fair and transparent. Trade agreements aim to reduce barriers to trade in order to increase competitiveness, economic growth and stability amongst the different jurisdictions. Yukon government is signatory to one main domestic agreement, the Agreement on Internal Trade (AIT), and one international agreement, the World Trade Organization- Government Procurement Agreement (WTO-GPA). The Agreement on Internal Trade requires that contracts valued over $25,000 for goods and $100,000 or more for services and construction be publicly advertised and procured. What is the Tender Management System (TMS)? The Tender Management System is an online service where you can access Yukon government public tender opportunities and where you can see tender results. 10 Procurement Support Centre How to Do Business Guide

11 TMS is a free site and you do not have to register to visit. By registering for TMS you are able to access the tender documents posted as well as receive notifications about tenders that may be of interest to you. For more information on TMS please go to How does the Government of Yukon decide which opportunities get posted to TMS? The Government of Yukon have a responsibility to ensure that we receive value for money and that vendors have the opportunity to compete on government tenders. We post opportunities on TMS when the value of procurement exceeds contracting thresholds for public tendering as outlined in the Contracting and Procurement Directive: Goods: When the total value of goods is over $25,000 YG must generally post the opportunity on TMS. If the total value is less than $25,000, YG may invite bids from suppliers. Services and Construction: When the total value of services or construction is greater than $75,000, procurement authorities must generally post the opportunity on TMS; however, depending on the project procurement authorities may go to public tender for projects under $75,000. How do I find out about opportunities not posted on TMS? For goods and services valued below the minimum thresholds identified above, competitive bids may be sought from at least three suppliers. Yukon government departments find out about suppliers in a variety of ways: by checking listings and directories, consulting with colleagues, looking at past purchases, researching websites, reviewing advertisements, meeting directly with suppliers and using YG s Supplier Directory. Ensure that your information is available to the departments. Procurement Support Centre How to Do Business Guide 11

12 The Supplier Directory lists contractors, suppliers of goods and services and consultants who want to do business with the Government of Yukon. This is an open Supplier Directory. Information is as provided by the contractor with no restrictions. The Government of Yukon is responsible to the public in how it procures goods, services and construction. We have a responsibility to ensure that we receive value for money and that vendors have the opportunity to compete on government tenders. 12 Procurement Support Centre How to Do Business Guide

13 What are the different methods of procurement? The Government of Yukon uses several different approaches to find the right suppliers of goods and services for its projects. The most common types are: Expression of Interest (EOI) An Expression of Interest may be used to obtain more information about a particular good or service. These services may be complex and not well understood. Respondents to EOIs have an opportunity to educate and shape the solutions the department may require in the future. EOIs also gives suppliers the opportunity to state they would be interested in competing for this work if an opportunity were to arise. EOI s are not a legally binding agreement nor a promise of a contract. They are a form of market research. Request for Qualifications (RFQ) RFQs are used to create lists of suppliers who are pre-qualified to bid on opportunities that may arise in the future. RFQs are similar to RFPs in that you are asked to describe your skills, experience and qualifications, and your submission is evaluated against the stated evaluation criteria. However, submitting a successful RFQ does not automatically mean you will receive a contract: it simply means you are now eligible to be invited to bid in the next procurement stage or when a relevant project comes up. RFQs are optional first steps in the procurement process. RFQs are not a legally binding agreement nor a promise of a contract. Request for Bids (RFB) RFBs are generally referred to as a price driven tender because once minimum standards are met, price is the determining factor in awarding a contract. Typically this type of tender is used for construction-related services but it can be used for other types of products or services. This method follows a standard format, which describes the work to be done and requests pricing for specific components of the work. The supplier with the lowest priced, technically acceptable tender, is awarded a contract for the project. Procurement Support Centre How to Do Business Guide 13

14 Your proposal must demonstrate how you meet the requirements and fulfill the criteria. Request for Proposals (RFP) RFPs are used for services when a procurement authority needs a vendor to propose a solution to a stated problem, need or objective and/or where the purchase decision is not solely based on price. An RFP describes the project and the requirements, what information is required from you as the supplier, and how your proposal should be formatted. It also includes the criteria which will be used to evaluate your proposal, such as experience, skills and expertise, methodology and price. Some criteria are more important than others, and are weighted or scored accordingly. For example, your proposed method may be worth 25 percent and experience may be worth 10 percent. Your proposal must demonstrate how you can meet our requirements and fulfill our criteria. The supplier whose proposal is compliant and delivers the highest overall value to the Government of Yukon is awarded a contract for the project. Invitational Price Request A fill-in-the-blanks form is used to purchase goods or services. The Invitational Price Request is intended for simple low-risk services and construction up to $75,000 where price is the only evaluation criteria. Requirements are described in the form and are used for low-risk projects. The supplier whose quote fulfills our requirements at the lowest total price is usually awarded a contract for the project. Invitational Request for Proposal The Short Form RFP is intended for simple low-risk services up to $75,000 where the purchase decision is not solely based on price. It can only be used for invitational requests for proposals. It is a simplified document that asks for a simplified proposal. 14 Procurement Support Centre How to Do Business Guide

15 How do I respond to opportunities? Each tender opportunity is different, so read everything very carefully. You may need to read the document a number of times to make sure that you have not missed anything that was required for a bid or proposal submission. Bids submitted in response to a Request for Bid or Invitational Price Request usually involve filling out the required information, signing the document and submitting a price on the bid form contained in the tender documents. Proposals submitted in response to a Request for Proposal, Request for Qualifications or an Invitational Request for Proposal will require a little more work on your part with a written proposal on how your company offers the best value and is the best qualified to do the job. Procurement Support Centre How to Do Business Guide 15

16 The following items are important to understand if you are bidding on any Government of Yukon opportunity: PERFORMANCE CONTRACT TERMS AND CONDITIONS Tender documents often contain a section that outlines the terms and conditions of the contract that will apply if you are the successful vendor. Make sure that you read and understand these terms and conditions as they are the legal terms that you will be bound to if successful. Do not submit your own terms and conditions, qualifications, or purchase form/contract with your bid. This is a cause for rejection. If you have any questions about terms and conditions, address these concerns by asking questions to the Project Manager prior to tender closing. Our terms and conditions are written in plain language but they do address legal matters- if you are unclear about a specific clause, or have any other questions about the opportunity, do not hesitate to ask for clarification before the closing date. LANGUAGE The language of business in the Yukon government is English. All submissions must be in English. CLOSING DATE AND TIME The document will have a specific closing date and time for submissions. You are responsible for making sure that your submission is received before the stated date and time. 16 Procurement Support Centre How to Do Business Guide

17 SUBMISSION METHODS The tender documents will indicate how and where you must submit your bid. In the case of public tenders, all bids are submitted to the Procurement Support Centre either by courier, mail or in person. At this time Yukon government does not accept electronic submission of public tenders. If you are bidding on an invitational tender, please read the document carefully to know how and where you can submit your bid/proposal, as this may differ from public tenders. SIGNING YOUR BID To be legally binding, your submission must be signed by an individual who is an authorized person from your organization. QUESTIONS All tender opportunities will identify an official contact person. This is the person to contact with any questions you might have about that specific tender. We encourage you to ask questions if you are uncertain about how the procurement process works, or if you are unclear about what is being purchased. We will consider each question individually. If the answer is one all vendors need to be aware of, we will provide both the question and answer to all vendors (through addendum), without identifying who asked the question. Procurement Support Centre How to Do Business Guide 17

18 TENDER CRITERIA Each tender is unique, involving different mandatory and desirable requirements: A mandatory requirement is one that must be met in order for your submission to be considered. If your submission is missing a mandatory requirement, it will not be evaluated further and you cannot be awarded a contract. Mandatory requirements are indicated by the word must, will, shall for example, bids must be received before 04:00:00pm on October 11. A desirable requirement is one that should be met, but is not required to be met. If your submission does not address a desirable, it will be evaluated but will not score as well as one that does address the desirable. Desirable requirements are indicated by the word should, may - for example, bids should describe relevant work experience. Key points: Watch for procurement opportunities. Sign up for TMS to receive notifications of procurements that meet your requirements. Read the tender documents carefully. Understand the rules. Follow the requirements outlined in the tender documents. Ask questions. 18 Procurement Support Centre How to Do Business Guide

19 AFTER YOU SUBMIT A BID/PROPOSAL How will I know if my bid/proposal was successful? Successful bidders are notified when contracts are awarded. Contract award notifications are also published on the TMS for public tenders. The name of the successful bidder, term of the contract and the total bid price can be found on the public contract registry. In order to protect confidential vendor information, no further information regarding vendors will be disclosed. What is the contract registry? The Government of Yukon s Contract Registry provides information to the public on contracts awarded by YG departments and agencies and can be found at Can I find out why my bid was unsuccessful? Yes. All bidders or proponents are entitled to a debriefing of their results, whether they are successful or not. Please feel free to contact the project manager to participate in a debriefing. What if I am not satisfied with the outcome of a bid? Yukon government is committed to a fair, open and transparent procurement process that delivers best value to the taxpayer and is consistent with YG s policies and trade agreement commitments, as well as Canadian law. Our procurement process does, however, involve competition among vendors for our business. The competitive nature of public procurement can sometimes lead to disappointment and rejected bids. While YG would like to accept as many bids as possible to provide opportunities to vendors, it must also often act as referee in the competition to ensure that each bidder follows the tender requirements in order to maintain fairness and integrity of the bidding/ procurement process for all bidders. Procurement Support Centre How to Do Business Guide 19

20 Occasionally, vendors may feel that the process has not been conducted appropriately. If you submit a bid or proposal and have a complaint about how a tender was conducted or a contract awarded, you may choose to file a bid challenge. A complaint can be registered up to sixty days after the tender closing date, or up to fifteen days following the award of a contract. For more information please go to Prior to submitting a bid challenge, please try to resolve the situation with the project manager. If you do submit a bid challenge you will be asked if you had already been debriefed by the project manager. How will I get paid? How you will get paid may vary. The vast majority of payments made by the Yukon government for services and construction are by invoice and the timing will be as set out in the contract documents. In most cases, you will submit an invoice upon conclusion of the service or construction. If you are providing services or construction over a longer period of time, however, you may be asked to submit invoices at scheduled milestone dates or at a certain frequency. Payment is by cheque or for vendors receiving multiple or recurring payments through electronic funds transfer (EFT) directly into your bank account. YG policy is to pay vendors within 30 days upon receipt of a satisfactory invoice. Construction projects payment may be set up differently. Please refer to the contract terms to determine how you will be paid. 20 Procurement Support Centre How to Do Business Guide

21 Business Resources The Department of Economic Development is committed to supporting small businesses and community-based economic development by providing assistance to new and existing small business through investment in new business attraction, retention and expansion. Information about the programs available can be found at The department offers several programs and services to support the development of business in Yukon. Strategic Industries Development Fund (SIDF) helps identify and assist the development of industries and strategic projects in the Yukon with the potential for broad-based economic benefits. Enterprise Trade Fund (ETF) stimulates and supports the growth of Yukon business activity through market penetration and expansion and business development. Under this fund eligible Yukon businesses involved in export related operations may receive assistance to: Open new markets. Develop and expand existing markets. Undertake and implement projects that grow and develop business activities while not creating unfair competition within the local Yukon market. For more information on business development please contact: Business and Industry Development Department of Economic Development Mailing Address: PO Box 2703 (F-1) Whitehorse, Yukon Y1A 2C6 Phone: (867) or , local 7014 Procurement Support Centre How to Do Business Guide 21

22 Where can I find more information? The Government of Yukon Contracting and Procurement Regulation and Contracting and Procurement Directive are the official rules that apply when acquiring goods, services and construction. To get your copy you may pick one up at the Procurement Support Centre or download a copy at Procurement Support Centre Office hours: Monday to Friday from 8:00 a.m. until 4:30 p.m. Physical and mailing address: Suite Elliott Street (W-3C) Whitehorse, Yukon Y1A 0M2 Phone: (867) contracts@gov.yk.ca Toll free (In Yukon): ext Website: Acquisition Services and Planning Office hours: Monday to Friday from 8:00 a.m. until 4:30 p.m. Mailing address: Government of Yukon Highways and Public Works Box 2703 (W-4) Whitehorse, Yukon Y1A 2C6 Physical address: Building 277, 9029 Quartz Road Whitehorse, Yukon Phone: (867) Fax: (867) purchasing@gov.yk.ca Toll free (In Yukon): ext OTHER RESOURCES Tender Management System Tender Forecast Contract Registry 22 Procurement Support Centre How to Do Business Guide

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24 Find us at: Elliott Street, Whitehorse T: (867) F: (867) Our Vision Leaders Building Foundations Inspiring Innovation Exceeding Expectations