December 17, 1997
(Industry, Trade and Technology)
(Works, Services and Transportation)

The following joint statement was issued today by Judy Foote, Minister of Industry, Trade and Technology, and Lloyd Matthews, Minister of Works, Services and Transportation. It was also read in the House of Assembly by Mr. Matthews:

Public Tender Act Consultation Process

In conjunction with my colleague, the Minister of Industry, Trade and Technology, I wish to advise Honorable Members of Government's intention to conduct a public consultation exercise regarding our provincial Public Tender Act.

As Honorable Members know, our Public Tender Act provides for a competitive bidding process in which the lowest priced product, or service, is awarded the public tender for a government funded endeavour. Newfoundland and Labrador's Public Tender Act is among the most stringent of all levels of government in this country. It is an essential piece of legislation, ensuring that government contracts and purchases are dispensed in a fair and equitable manner, while achieving maximum cost-effectiveness for the public purse.

It should seek the best deal, while remaining true to the public interest.

The world of business is not a static environment. As we have seen in recent years, new technology has taken on a much more prominent role in transactions. Trade barriers go down, and sometimes they go up, and partnerships between government and the private sector are producing some very favourable results.

While our provincial Public Tender Act must encourage healthy bidding, and ensure the best deal for the public, it can also be a nurturing factor for competitive businesses here in Newfoundland and Labrador.

If there are provisions in the current Public Tender Act which are impeding Newfoundland and Labrador companies from flourishing and achieving a greater degree of success here at home, they should be reviewed.

Early in the New Year, we will write to key industry associations to advise them of a briefing session on current provisions of the legislation. Following these meetings, we will ask that these associations consult further with their members, and provide written submissions to my department, which is responsible for the administration of the Public Tender Act.

We will also brief all members of the House of Assembly, and ask that they encourage their business constituents to participate in this process by providing written submissions.

As well, members of the public with an interest in this legislation are encouraged to write to me directly.

It is our intention to conclude the consultation and review process by the end of March, 1998.

This is an open-minded endeavour, and while we are always open to suggestions from the private sector regarding legislative amendments which are fair and reasonable, this will be a more structured setting in which they can put forward views on this issue.

Our consultation process may indeed determine our current Public Tender Act is as fair and equitable as possible, and is in keeping with evolving business realities. Or it may reveal hurdles that can be overcome without compromising the integrity of the legislation.

It is prudent to check the status of any legislation which has, on a daily basis, significant business ramifications for our province.

It is our intention to produce a document which maximizes opportunities for big and small companies throughout this province, while ensuring the integrity and key principles of our provincial public tender process are retained.