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Revised Statutes of Newfoundland 1990


CHAPTER P-33

AN ACT TO PROVIDE FOR THE CALCULATION AND CONSIDERATION OF THE PROVINCIAL CONTENT FACTOR IN THE AWARDING OF TENDERS BY GOVERNMENT FUNDED BODIES

Analysis

1. Short title

2. Definitions

3. Preferred bidder to be determined

4. Who is preferred bidder

5. Components of provincial content

6. Tenders may be examined

7. Exemption

8. Regulations

Schedule


Short title

1. This Act may be cited as the Provincial Preference Act.

1984 c37 s1

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Definitions

2. In this Act

(a) "government funded body" includes

(i) a department of the government of the province,

(ii) a company in which not less than 90% of the issued common shares are owned by the Crown,

(iii) a corporation established by an Act under which the corporation is made an agent of the Crown,

(iv) a municipality or local service district under the Municipalities Act, the City of St. John's as established by the City of St. John's Act, the City of Mount Pearl as established by the City of Mount Pearl Act and the City of Corner Brook as established by the City of Corner Brook Act,

(v) a school board established under the Schools Act,

(vi) an agency or authority of the province,

(vii) a hospital included in the Schedule to the Hospitals Act, and

(viii) a board, commission, corporation, Royal Commission or other body listed in the Schedule to this Act or added to the Schedule by order of the Lieutenant-Governor in Council,

but does not include

(ix) Marystown Shipyard Limited, and

(x) NORDCO Limited;

(b) "provincial content" means the dollar value attributed to a bid as a result of consideration, as prescribed, of the provincial overhead allowance, the provincial labour content and the provincial material content in that bid, as calculated in accordance with the prescribed method;

(c) "provincial content factor" in relation to an examined bidder is the difference between

(i) the provincial content of the examined bid, and

(ii) the provincial content of the lowest bid

divided by the difference between

(iii) the bid price of the examined bidder, and

(iv) the bid price of the lowest bidder; and

(d) "qualified bid" means a bid that meets the specifications of the tender.

1984 c37 s2; 1987 c41 s16; 1988 c35 s443(17)

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Preferred bidder to be determined

3. Where a government funded body invites tenders under the Public Tender Act, the government funded body shall determine in accordance with this Act the preferred bidder.

1984 c37 s3

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Who is preferred bidder

4. (1) The preferred bidder is the qualified bidder whose bid

(a) is within the prescribed percent of the lowest qualified bid;

(b) has a provincial content factor that is equal to or greater than the prescribed minimum provincial content factor; and

(c) has the highest provincial content factor of the qualified bids received.

(2) Where in response to a tender, there is not a bid that meets the qualifications set out in paragraphs (1)(a), (b) and (c), the lowest qualified bidder is considered to be the preferred bidder.

1984 c37 s4

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Components of provincial content

5. Provincial overhead allowance, provincial labour content and provincial material content shall be calculated in the prescribed manner and the regulations shall prescribe

(a) in the case of provincial overhead allowance the criteria and value of the criteria, that indicate a presence of the bidder in the province;

(b) in the case of provincial labour content, the value of the labour content in mining, harvesting, manufacturing, processing or assembly done in the province as part of the qualified bid; and

(c) in the case of provincial material content, the value of the raw material mined or harvested in the province as part of the qualified bid.

1984 c37 s5

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Tenders may be examined

6. (1) A person submitting a bid shall keep a record of prescribed information in relation to a submitted bid in the form and for the time prescribed.

(2) The Minister of Works, Services and Transportation or the head of the government funded body as defined in the Public Tender Act may authorize an audit or other examination in relation to information contained in the submitted bid that he or she considers appropriate and

(a) where before the tender is awarded, the examination indicates information in the bid or on which the bid is based is not, in the opinion of the person authorizing the audit, reasonably accurate, the bid shall not be considered by the government funded body; and

(b) where after the tender is awarded the examination of the bid of the preferred bidder indicates information in that bid or on which the bid is based is not reasonably accurate, the awarding of the tender is revocable and no damages as a result of the revocation lie against the government funded body, whether or not the bidder has at the time of the revocation done work in relation to the bid.

1984 c37 s6; 1989 c33 Sch B

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Exemption

7. The Lieutenant-Governor in Council may by regulation prescribe public works, goods or services in relation to which government funded bodies are exempt from this Act.

1984 c37 s7

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Regulations

8. The Lieutenant-Governor in Council may make regulations

(a) for the evaluation of bids and prescribing where necessary different procedures for the evaluation of bids in relation to provincial preference policy;

(b) for the calculation of the provincial overhead allowance, the provincial labour content and the provincial material content in bids;

(c) determining raw material that is mined or harvested in the province;

(d) prescribing information to be supplied to the government funded body inviting the tender, either to accompany the bid or to be submitted after submitting the bid;

(e) prescribing penalties for the submitting of information that under section 6 is not considered to be reasonably accurate;

(f) defining terms used in this Act; and

(g) generally, to give effect to the purpose of this Act.

1984 c37 s8

 

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Schedule

Agricultural Products Marketing Board

Alcohol and Drug Dependency Commission

B.L.C. Building Corporation Limited

Bell Island Hospital Building Corporation Limited

Board of Governors of the Avalon Community College

Board of Governors of The Cabot Institute of Applied Arts and Technology

Board of Governors of the Central Community College

Board of Governors of the Eastern Community College

Board of Governors of The Fisher Institute of Applied Arts and Technology

Board of Governors of the Labrador Community College

Board of Governors of the Newfoundland and Labrador Institute of Fisheries and Marine Technology

Board of Governors of the Western Community College

Children's Hospital Corporation

Corner Brook Hospital Buildings Corporation Limited

Fisheries Loan Board of Newfoundland

Grace Hospital Extension Corporation Limited

Health Sciences Complex

Hotel Buildings Limited

Memorial University of Newfoundland

Newfoundland Hardwoods Limited

Newfoundland Hospital and Nursing Home Association

Newfoundland and Labrador Computer Services Limited

Newfoundland and Labrador Housing Corporation

Newfoundland and Labrador Hydro

Newfoundland Liquor Corporation

Newfoundland Medical Care Commission

Newfoundland Municipal Financing Corporation

Northern Hospitals Buildings Corporation Limited

Pepperrell Hospital Reconstruction Corporation Limited

Pippy Park Commission

Public Libraries Board

St. John's Infirmary Building Corporation Limited

Workers' Compensation Commission

1984 c37 Sch; 1988 c40 s8(2)

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