October 15, 1997
(Health)

Minister Sets the Record Straight

A government review of a recent Request for Proposals by the department of Health and the Newfoundland and Labrador Health Care Association to treat, transport, and dispose of biomedical waste has identified problems with the process. Minister of Health, Joan Marie Aylward, confirmed that Atlantic Waste Management (AWM), raised questions about the process and she agreed to have their concerns reviewed.

After the review, a number of issues were identified. There were difficulties with the formula that was used in the Request for Proposals (RFP); the process could not accurately assess contract prices based on variable quantities of waste, and the process could not identify with certainty the best overall price to government over the life of the proposed contract.

The RFP process was implemented by a 12 person committee, co-chaired by a representative of the department of Health and a representative of the Newfoundland and Labrador Health Care Association, and included government employees from the departments of Health and representatives of regional health organizations. In addition, representatives of the departments of Environment, Works, Services, and Transportation, and Justice consulted with the committee in an advisory role. In evaluating all the proposals, the committee developed and used a complex formula and considered costs as well as health and environmental concerns. When the evaluations were completed, the committee recommended that government accept the proposal of SCC Environmental / Mr. Shredding Waste Management.

In light of the confusion resulting from the evaluation formula used by the committee, government is not convinced that the process was fair to all bidders. Therefore, government has decided to cancel the RFP. The development of a different process for a new RFP is now being considered, along with all other available options.

Contact: Glenn Bruce (709) 729-1377