Faro Mine remediation project main construction management and care and maintenance services

Attestation of assurance

The fairness monitor (FM) hereby provides the following unqualified assurance statement concerning the procurement process of the main construction management and care, and maintenance services for the Faro Mine remediation project.

It is our professional opinion that the procurement process that we observed or monitored was carried out in a fair, open and transparent manner.

Original signed by:

Project requirement

BDO Canada LLP (BDO) was engaged on August 7, 2020 as a FM to observe the competitive procurement process for the main construction management and care, and maintenance services for the Faro Mine remediation project, issued by Public Works and Government Services Canada, on behalf of Crown-Indigenous Relations and Northern Affairs Canada under solicitation number EZ113-210574. BDO is an independent third party with respect to this procurement process.

This report covers the activities of the FM, from August 7, 2020 continuing through the conclusion of the negotiation phase on December 20, 2021.

We reviewed all of the information provided and observed or monitored all relevant activities.

This report includes:

• our attestation of assurance
• a summary of the scope and objectives of our assignment
• relevant observations from the activities undertaken

Fairness monitoring engagement and observations

In accordance with the terms of our engagement, we:

• familiarized ourselves with the relevant documents
• observed the pre-bid and bid solicitation activities
• identified fairness-related matters to the contracting authority (CA)
• ensured that responses and actions were reasonable and appropriate

The following is a summary of the monitored activities and related observations from August 7, 2020 continuing through the conclusion of the negotiation phase on December 20, 2021.

In this section

• Industry engagement phase
• Request for qualification
• Request for proposals
• Bid negotiations

Industry engagement phase

Documents reviewed

During this phase, the FM was provided with the following documents for review:

• request for information (RFI) draft and final
• clarification questions and answers during bid open period
• virtual site visit and information session material
• addenda
• correspondence with industry
• procurement outlook report

Open period

An initial RFI was posted on buyandsell.gc.ca on July 22, 2020, under solicitation number EZ113-210574/A to provide industry with pre-tender optional site visit and information session. A second RFI was issued on November 24, 2020, under solicitation number EZ113-210574/B, to provide industry with the procurement outlook for the Faro Mine Remediation Project.

During the open period, 3 amendments were issued responding to all clarification questions.

RFI amendment 1, published on August 20, 2020, informed the suppliers that due to ongoing uncertainty with the COVID-19 pandemic, the scheduled pre-tender optional site visit at the Faro Mine Complex had been cancelled. A virtual site visit would be held and additional updates would be provided through future amendment to the RFI.

RFI amendment 2, published on September 1, 2020, provided updates with respect to the virtual site visit and information session.

37 companies registered for the virtual site visit and information session that was conducted via Zoom on September 30, 2020.

RFI amendment 3, published on October 21, 2020, provided a summary report of the pre-tender optional virtual site visit and information session held on September 30, 2020. This amendment was also issued to provide a list of questions and answers submitted during the event. A link to the site visit PowerPoint and video presentation presented at the pre-tender virtual site visit and information session was provided on the notice page of this RFI. The initial RFI open period closed on October 30, 2020.

A second RFI was posted on buyandsell.gc.ca on November 24, 2020, under solicitation number EZ113-210574/B to provide industry with the Faro Mine remediation project procurement outlook. There were no amendments and the second RFI closed on December 7, 2020.

Fairness monitor observations

During this phase, the FM observations are as follow:

• for the initial RFI:
  • the initial RFI documents were reviewed by the FM after posting to buyandsell.gc.ca
  • the FM reviewed all drafts and final RFI amendments before posting (the FM feedback was incorporated as appropriate where required)
  • 3 RFI amendments were posted to buyandsell.gc.ca
  • the FM reviewed the virtual site visit and information session agenda, presentation material and communications before dissemination to the registered companies and provided feedback to the CA. Feedback was incorporated as appropriate where required
  • the FM attended and observed the virtual site visit and information session
  • the industry engagement instructions provided in the initial RFI documents were clearly stated
  • the initial RFI closed on October 30, 2020
• for the second RFI:
  • the second RFI documents including the procurement outlook were reviewed by the FMFM prior posting to buyandsell.gc.ca and the FM had no particular observations or requests for clarifications for the CA
  • the second RFI closed on December 7, 2020

The industry engagement phase closed on December 7, 2020.

Request for qualification

Documents reviewed

During the request for qualification (RFQ) phase, the FM was provided with the following documents for review:

• draft and final RFQ documents
• clarification questions and answers during bid open period
• respondents’ conference information
• addenda
• correspondence with industry

Bid open period

The RFQ was posted on buyandsell.gc.ca on December 24, 2020, under solicitation number EZ113-210574/C. During the bid open period, 3 amendments were issued.

RFQ amendment 1, issued on January 25, 2021, provided:

• the virtual conference attendee list
• agenda and a list of questions
• answers submitted
• various amendments to the RFQ package

RFQ amendment 2, issued on January 28, 2021, extended the RFQ closing date to the February 16, 2021.

RFQ amendment 3, issued on February 3, 2021, provided a list of questions and answers and various amendments to the RFQ package.

Four responses were received by the solicitation closing date and time.

Technical Evaluation

The RFQ evaluation material was provided to the FM in advance of the pre‑evaluation orientation session on February 18, 2021. The FM attended all consensus evaluation meetings occurring between February 22, 2021 to April 1, 2021 held for the 4 proposals.

Based on the phased bid compliance process (PBCP): phase 1, eligible mandatory criteria were evaluated and compliance assessment reports (CAR) were sent to all respondents outlining information that was missing from their technical submission, if any. One response to the CAR was provided within the allotted timeframe, evaluated and the respondent was deemed compliant. The FM attended the CAR response consensus evaluation meetings held on March 03, 2021.

Based on the PBCP: phase 2, the 4 respondents’ technical submissions were evaluated. The FM attended the consensus evaluation meetings held from March 10, 2021 to April 1 2021.

The following process was undertaken to evaluate the technical responses to the RFQ:

• each evaluator conducted their own independent review and scoring of the response in their evaluator workbook
• once the independent reviews were completed, the evaluators participated in meetings to agree on the consensus assessment
• evaluators recorded and marked any changes agreed to during consensus in their individual workbooks
• clarification questions were sent to respondents and provided answers were carefully considered as required
• the CA confirmed with each member of the evaluation team if they agreed with the final consensus scores
• 2 of the 4 bid submissions were declared non-responsive
• after review by the FM, the CA sent the notification letters to all respondents on April 20, 2021

Fairness monitor observations

The FM reviewed the draft and final RFQ documents and all draft amendments to the RFQ including responses to clarification questions.
Any requests for clarification from the respondents during the bid open period were addressed via amendments by the CA.
Any observations or requests for clarification made by the FM were addressed by the CA. The CA was responsive in providing clarification when requested by the FM.
The FM’s review of documents and monitoring of activities during the RFQ evaluation phase resulted in the following observations:

• the evaluation plan was consistent with the published procurement documents
• the evaluation team members were selected and confirmed prior to the receipt of responses
• all evaluators attended the evaluation orientation session. The CA informed all evaluators of the following as a minimum:
  • identity of the responses received and requested evaluators to declare any conflict of interest
  • confidentiality protocols
  • document control
  • clarification process
  • overview of scoring workbooks and method for individual assessment
  • explanation of fairness and the need for objectivity, consistency and equitable treatment of all responses
  • guidance with respect to only assessing the information that is in the response (not information from previous contracts, personal knowledge, etc.)
• the scoring criteria and assessment tools were established prior to the receipt of responses and were consistent with the RFQ
• the submissions were logged and recorded upon receipt, clearly identifying that these were submitted on time

No potential fairness issues were noted by the FM during the RFQ evaluation phase.

Request for proposals

Documents reviewed

During the request for proposals (RFP) phase, the FM was provided with the following documents for review:

• draft and final RFP documents
• clarification questions and answers during bid open period
• Faro mine site visit information
• addenda
• correspondence with industry

Bid open period

The RFP was issued directly to the 2 qualified respondents on July 22, 2021. During the bid open period, 9 amendments, a conference and a site visit was conducted responding to all clarification questions.

A bidders’ conference was conducted on August 4, 2021 providing details over the procurement overview and responding to questions from the qualified respondents with respect to the following:

• procurement approach
• procurement timeline
• submissions by epost Connect
• PBCP
• mandatory technical criteria
• point-rated technical criteria
• basis of selection

RFP amendment 1, issued on August 13, 2021, provided a bidder’s conference report including:

• the agenda
• attendee list
• list of questions and answers at the conference
• PowerPoint presentations
• a list of questions and answers

RFP amendment 2, issued on August 18, 2021, provided a list of questions and answers.

A site visit was conducted on August 19, 2021 with the 2 qualified respondents, where:

• the site visit started at 7 am
• there were 3 representatives from each of the 2 qualified respondents
• Canada provided opening remarks, and general safety protocols
• Canada advised that they would visit the 3 main parts of the site:
  • construction management
  • site management
  • care and maintenance
• both qualified respondents had a private confidential 15 minutes meeting with representative of Canada to ask any questions or provide any comments
• the site visit ended at 6 pm

RFP amendments 3 and 4, issued on August 27 and 30, 2021, extended the solicitation closing date to September 23, 2021 and provided a list of questions and answers.

RFP amendments 5, 6, 7, 8 and 9, issued on September 3, 13, 17, 20 and 22, 2021, provided a list of questions and answers along with amendments to the solicitation and extended the closing date to September 29, 2021.

One bid was received by the solicitation closing date and time.

Bid evaluation

The FM attended the kickoff meeting for the evaluation held by the CA on October 1, 2021. The RFP evaluation material was provided to the FM before the kickoff meeting and attended the meeting.

The CA notified the bidder on October 5, 2021 that its bid demonstrated compliance with the eligible mandatory criteria in the RFP.

The FM attended the consensus evaluation meeting on October 13, 2021.

The following process was undertaken to evaluate the technical response to the RFP:

• all 3 evaluators conducted their own independent review and scoring of the response in their evaluator workbook
• once the independent reviews were completed, the evaluators participated in the meeting to agree on the consensus assessment
• evaluators recorded and marked any changes agreed to during consensus in their individual workbooks
• the CA confirmed with each member of the evaluation team that they were in agreement with the final consensus scores and rationale
• the bid was declared responsive

Fairness monitor observations

The FM reviewed the draft and final RFP documents and all draft amendments including responses to clarification questions.

Any requests for clarification from the potential bidders during the bid open period were addressed via amendments by the CA.

Any observations or requests for clarification made by the FM were addressed by the CA. The CA was responsive in providing clarification when requested by the FM.

The FM’s review of documents and monitoring of activities during the RFP evaluation phase resulted in the following observations:

• the evaluation plan was consistent with the published procurement documents
• the evaluation team members were chosen and confirmed prior to the receipt of responses
• all evaluators attended the evaluation orientation session
• the CA informed all evaluators of the following:
  • identity of the response received and requested evaluators to declare any conflict of interest and confidentiality protocol
  • document control
  • evaluation process
  • clarification process
  • consensus process
  • overview of scoring workbooks and method for individual assessment
  • explanation of fairness and the need for objectivity, consistency and equitable treatment of responses
  • guidance with respect to only assessing the information that is in the response (not information from previous contracts, personal knowledge, etc.)
• the scoring criteria and assessment tools were established prior to the receipt of responses and were consistent with the RFP
• the CA confirmed to the FM, that the bid was assessed in accordance with the entire requirement of the bid solicitation including the technical and financial evaluation criteria

No fairness issues were observed by the FM during the evaluation phase.

Bid negotiations

The CA exercised the Rights of Canada to negotiate with the sole responsive offeror to ensure best value to Canada.

Communications and meetings

During the bid negotiations phase, the CA, the project authority (PA) and the preferred bidder (PB) exchanged various documentation, including:

• letters
• forms
• worksheets
• emails

The FM was included in all relevant exchanges with between CA and PB.

The FM attended a total of 8 meetings between CA, PA and PB. The negotiations meetings started on November 4 and concluded on December 20, 2021.

Any observations made by the FM were considered by the CA. The CA was responsive in providing supplementary information or clarification when requested by the FM.

Fairness monitor observations

The FM’s monitoring of the negotiation meetings resulted in the following observations:

• the negotiations were facilitated by the CA and fostered open discussions between the PA and the PB
• all meetings were based on written documentation that allowed a structure approach
• there was enough time for all parties to express their point of views
• when required, supporting documentation was offered and provided by all parties
• supplementary or follow on meetings were scheduled and allowed sufficient time to all parties to adequately prepare
• the CA allowed enough fairness and equality in the procedures to ensure integrity and openness
• the CA entered into negotiations with the PB after the bid evaluation had concluded
• the requirements and technical specifications of the bid has not changed during the negotiations
• at the conclusion of the negotiations, the CA informed the PB that a letter of award will follow in January 2022

All observations on potential fairness issues were discussed and considered by the CA during the negotiations phase.

Reference documents

Documents related to solicitations numbers EZ113-210574/A to D are available on CanadaBuys or through the project office. Documents related to solicitation number EZ113-210574/E are only available through the project office.

Addendum to the final report

February 14, 2022

Addendum to the FM final report dated January 19, 2022 for the procurement process of the main construction management, and care and maintenance services for the Faro Mine remediation project.

This addendum covers the period following the conclusion of the evaluation phase including contract award and debriefings.

Contract award, communications, and debriefing

The contract was awarded on February 10, 2022. Along with the notification of award, a written debrief was provided to the successful bidder on February 11, 2022, explaining the results of the evaluation. Although 1 of the 2 qualified respondents did not submit a proposal, the contracting authority informed them in writing that the other qualified respondent was awarded a contract pursuant to this RFP. No debriefings were requested. The FM reviewed all correspondence. The process conducted conformed to the requirements of the RFP. All bidders were treated fairly.

Attestation of assurance

The FM hereby provides the following unqualified assurance statement concerning the competitive procurement process of the main construction management, and care and maintenance services for the Faro Mine remediation project up to its conclusion on February 10, 2022.

It is our professional opinion that the competitive solicitation process we observed or monitored was carried out in a fair, open and transparent manner.

Original signed by: