For immediate release
GATINEAU, September 7, 2006 – As part of the procurement reform to modernize the way government buys goods and services, the Honourable Michael M Fortier, Minister of Public Works and Government Services (PWGSC), today announced the removal of reverse auctions used in procurement, as well as the continuation of consultations with industry.
“We are working with the industry to make sure we understand their concerns and are in a position to address them in the best interest of Canadians,” Minister Fortier said. “That is why, after further consideration, I have asked my officials to take off the table the use of reverse auctions as part of our procurement strategy for all categories of commonly purchased goods and services. This procurement reform can be achieved without the use of reverse auctions.”
As part of the government’s procurement reforms, PWGSC is issuing a series of standing offers with suppliers for commonly purchased goods and services, known as Requests for Standing Offers (RFSOs).
The Minister also confirmed that procurement reform consultations with industry associations and suppliers will continue, and this consultation process will be completed this fall. First, PWGSC has asked the Conference Board of Canada to act as an independent third-party to consult with specific industry sectors impacted by the reform (specifically includes temporary help services, informatics professional services, and furniture).
In addition, PWGSC will take steps to ensure the other RFSOs are implemented effectively by consulting with the industry sectors affected prior to issuing each RFSO. This ranges from issuing Requests for Information (RFIs), meeting with industry associations, and holding bidders’ conferences to seek industry input and feedback. This process is now underway.
The Minister noted that the department has already successfully negotiated RFSOs for goods such as office supplies where savings of 18 percent were achieved while significantly increasing the participation of small and medium enterprises and Aboriginal businesses.
The focus of procurement reform is getting better value for Canadian taxpayers while ensuring fair, simple and open access for suppliers – both large and small – across Canada.
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For further information, please contact:
Jean-Luc Benoît
Office of Minister Fortier
819-997-5421
Media Relations
Public Works and Government Services Canada
819-956-2315
PWGSC news releases are also available on our Internet site at: www.pwgsc.gc.ca/text/generic/media-e.html