Trade Agreement: NONE
Tendering Procedures: All interested suppliers may submit a bid
Competitive Procurement Strategy: N/A - P&A/LOI Only
Comprehensive Land Claim Agreement: No
Nature of Requirements:
RFI for Prompt Payment
EP008-192632/B
Beauchamp, Laura
Telephone No. - ( ) - ( )
Fax No. - ( ) - ( )
Line 2, Adjudicator Authority for Prompt Payment
Request for Information (RFI)
Adjudicator Authority for Adjudicators related to disputes in Federal Construction Projects.
Purpose and Nature of this RFI
This RFI is a continuation of the consultation initiative by which Public Services and Procurement Canada (PSPC) is requesting Industry feedback regarding a proposed approach to establishing an Adjudicator Authority for Adjudicators related to disputes in Federal Construction Projects.
The objective is to solicit feedback that could help Canada develop a comprehensive and competitive Request for Proposal (RFP) that would enable firms or associations to bid to provide the services of an Adjudicator Authority to support the adjudication process.
Context
The issue of delays in payment along the supply chain from prime contractors to sub-contractors and sub-sub-contractors is a long-standing problem within the Canadian construction industry. Industry stakeholders have called on the federal government to address the issue on federal construction projects.
The Government has an interest in ensuring that its funds are properly and promptly distributed along the supply chain of contractors, subcontractors and suppliers involved in delivering federal construction projects. The Government aims to ensure that construction projects are delivered with speed, efficiency and continuity. Timely cash flow throughout the construction payment chain is fundamental to a healthy construction industry by enabling companies to realize the competitive profit margins necessary to fuel growth, employment, and to create the capacity in Canadian firms to build the infrastructure that is critical to the economic prosperity of Canada.
While the Government of Canada itself maintains a good payment record, there are cases of inconsistent contract payment terms and payment delays further down the chain. This inconsistency drives the cost of federal construction up and ultimately does not support growth, innovation, and employment. Delayed payment throughout the payment chain may erode government buying power, increase financial risks and escalate costs for construction enterprises.
The Federal Prompt Payment for Construction Work Act received Royal Assent on June 21, 2019. The Act is intended to facilitate the orderly and timely building of federal construction projects on federal property. It will do this by ensuring that payments flow down the construction supply chain promptly and provides for an effective adjudicative mechanism when they do not. Regulations are required to define the process and timing of the adjudication process should a dispute arise over a payment at any tier of the construction supply chain for construction contracts issued by any federal government department located in Canada. An Adjudicator Authority will be required to train, certify and manage the Adjudicators that will be required in adjudications.
The purpose of this RFI is to obtain feedback on a proposed approach to establishing an appropriate, reliable and effective adjudication process that is available to all contractors and sub-contractors engaged in federal construction projects on federal lands. The proposed approach calls for the engagement of an Adjudicator Authority that would provide the following services:
a) Developing and providing training and continuing education for adjudicators;
b) Certifying, renewing certifications, withdrawal of certifications for adjudicators and ensuring that adjudicators meet all prescribed criteria;
c) Maintaining a publicly available registry of qualified adjudicators that lists and categorizes qualifications and any other relevant information;
d) Establishing and maintaining a fee schedule where the fees are reflective of the experience of the adjudicator and the size of the dispute at issue;
e) Establishing a standard contract template for adjudication services;
f) Appointing an adjudicator where the disputing parties are unable to choose their adjudicator within the timeframe required;
g) Establishing a code of conduct to regulate the conduct of adjudicators;
h) Establishing a complaints procedure and addressing complaints against an adjudicator in relation to breaches of the code of conduct;
i) Addressing circumstances where adjudicators have resigned during an adjudication and appointing replacements;
j) Tracking information about adjudications being done such that reports and statistics could be generated to show trends or areas for adjustment; and
k) Offering its services in both of Canada’s Official Languages.
Please download the attachment at the bottom of the page the complete RFI. Thank you for your interest.
Delivery Date: Above-mentioned
The Crown retains the right to negotiate with suppliers on any procurement.
Documents may be submitted in either official language of Canada.
