Faro Mine remediation project remediation plan design and quality assurance support services

Introduction

P1 Consulting Inc. was engaged on May 12, 2021, as a fairness monitor (FM) to observe the procurement process for the Faro Mine remediation project (FMRP) remediation plan design and quality assurance support services with solicitation numbers: EZ897-212881/A and EZ897-212881/B.

The solicitation included a request for information (RFI), letter of interest followed by a request for proposal (RFP) phase.

P1 Consulting Inc. is an independent third party with respect to this activity. We reviewed all of the information provided and observed all relevant activities as described herein.

We hereby submit the final report, covering the activities of the FM, commencing from the start of our engagement on May 12, 2021, when the RFI process was underway, continuing to the completion of the evaluation of proposals on February 4, 2022. This report includes:

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

Attestation of assurance

The FM hereby provides the below unqualified assurance statement that concerns the procurement process for the FMRP remediation plan design and quality assurance support services.

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

Original signed by:

Project requirement

Canada requires architectural and engineering services for the overall design of the FMRP located in Faro, Yukon Territory. Public Works and Government Services Canada (PWGSC), on behalf of Crown-Indigenous Relations and Northern Affairs Canada, seeks a consultant to deliver design and quality assurance support services for the FMRP and for the future remediation of the Vangorda/Grum Mine site. The consultant is required to complete:

• the design of the various design packages of the overall mine remediation
• provide the technical documents (specifications, drawings, etc.), cost estimates for each package
• oversee the implementation of the work, mainly for quality assurance purposes

The services to be performed under the contract will be on an "as and when requested basis" using a task authorization (TA). The work described in the TA must be in accordance with the scope of the contract.

Fairness monitoring engagement and observations

P1 Consulting Inc. was engaged as an FM to:

• observe the procurement
• attest to the fairness, openness and transparency of this monitored activity

In accordance with the terms of our engagement, we familiarized ourselves with the relevant documents and observed the RFP activities, identifying fairness-related matters to the contracting and technical authorities when applicable and ensuring that responses and actions were reasonable, appropriate and fair. We reviewed all of the information provided and observed all relevant activities from our engagement date onwards.

To date, in our role as FM, P1 Consulting Inc. observed that the following was implemented throughout the procurement:

• clarity of the procurement documents and processes
• avoidance of conflicts of interests through the implementation of mechanisms
• proper processes related to the protection of the bidders’ confidential information
• application of diligence throughout the procurement and evaluation processes
• adherence to the procurement documents

Request for information EZ897-212881/A

P1 Consulting Inc. observed the procurement process related to the RFI EZ897-212881/A issued by PWGSC. As part of our engagement, we have undertaken the following:

Industry engagement session

P1 Consulting Inc. attended the virtual industry engagement session held on May 14, 2021.

Review of request for information document

P1 Consulting Inc. reviewed the RFI document post-issuance, and prior to issuance the sole amendment to the RFI document, posted on May 21, 2021.

Throughout our engagement comments provided by the FM related to fairness were adequately addressed by the contracting authority (CA).

Request for proposal EZ897-212881/B

P1 Consulting Inc. observed the procurement process related to the RFP EZ897-212881/B issued by PWGSC. As part of our engagement, we have undertaken the following:

Review of the request for proposal

The FM reviewed the draft RFP from a fairness perspective upon its receipt on September 1, 2021 and the updated version received on October 22, 2021. Any concerns were adequately addressed by the CA prior to public posting on October 28, 2021.

Review of evaluation criteria and procedures

The FM reviewed the evaluation criteria and procedures for the RFP to ensure that the evaluation would be completed in a manner that was fair, open and transparent.

Bidder interaction

The FM reviewed the presentation for the optional virtual site visit on November 12, 2021 and attended and monitored the optional virtual site visit held on November 16, 2021. The FM also reviewed logistical communications sent to bidders related to access to the virtual site visit and clarification on the process for responses to questions.

Review of amendments

There were 8 amendments related to the procurement process issued during the RFP open period. The FM reviewed all amendments from a fairness perspective prior to their posting.

Review of request for proposal closing

P1 Consulting Inc. received confirmation from PWGSC that no late submissions were received following the closing deadline of January 11, 2022 at 2:00 pm PST. The CA provided confirmation that there were 4 bids received and handled in accordance with the closing requirements and deadline as stated in the RFP.

Evaluation guideline meeting

On January 24, 2021, the FM attended an evaluation guideline meeting with the evaluation team and CA to review the evaluation requirements, process, and schedule. Prior to undertaking the evaluation, all members of the evaluation team signed off on confidentiality and conflict-of-interest declaration. Fairness-related comments were provided, and appropriate action was taken by the CA and evaluation team.

Monitoring of technical evaluation of the bids

The technical evaluation began with each evaluator undertaking their individual evaluation of the rated criteria and Indigenous opportunities considerations for each of the 4 bids. The technical consensus meetings took place on January 31, 2022 and February 1, 2022 and were attended by the FM. As an outcome of the technical evaluation, 3 of the 4 bids met the minimum technical threshold as established within the RFP to proceed to financial evaluation. One bid did not meet this threshold and did not receive further consideration. On February 2, 2022 the CA provided the final consensus spreadsheet containing the technical evaluation results which was reviewed by the FM. The FM observed that the technical evaluation was conducted in a fair and consistent manner.

Financial evaluation and final ranking

The CA completed the financial evaluation and final ranking of the 3 bids in accordance with the RFP and provided the spreadsheet for FM review on February 4, 2022. The FM reviewed the financial evaluation and final rankings, which were observed to be consistent with the RFP. In reviewing these results, the FM did not observe any fairness concerns.

Reference documents

• Documents related to the RFI solicitation EZ897-212881/A
• Documents related to the RFP EZ897-212881/B

Addendum to the final report

May 26, 2022

Addendum to the final report dated February 17, 2022, for the procurement process for the FMRP remediation plan design and quality assurance support services.

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

On March 3, 2022, the FM reviewed the award letter for the successful bidder which was issued on March 4, 2022. On March 7, 2022 we reviewed the regret letters which we subsequently sent to unsuccessful bidders. A summary of the technical bid evaluation was included with each letter. The FM found the letters to be acceptable from a fairness perspective.

All 4 bidders were provided a written debriefing and the opportunity to have a follow-up meeting regarding their written debriefing. Two bidders requested follow-up meetings which were conducted virtually on April 21, 2022. The meetings were carried out by the CA and the client authority with the FM in attendance. There were no issues raised by any bidder which impacted our attestation as the FM for this project that the procurement was conducted in an open fair and transparent manner.

Attestation of assurance

The FM hereby provides the following unqualified assurance statement that concerns the FMRP remediation plan design and quality assurance support services procurement.

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: