EDITOR'S NOTE: This article has been updated and corrected from the original version.
CENTRE WELLINGTON ‒ While most councillors felt the township's new tender procurement policy made necessary changes, many also felt it sacrificed transparency for efficiency.
Approving updates to its procurement policy during a council meeting this week, major changes included a delegation of authority to staff for all competitive tender awards within approved council budgets.
“The existing by-law has worked well; however, it is out of date and does not reflect updated practices that have been introduced since its last review,” said the report. “It is also silent or vague on some items, which has resulted in inconsistent interpretation and application.”
According to Adam McNabb, managing director of corporate services and treasurer, this effectively gives staff the authority to approve "anything within budget."
If an item doesn’t exceed the budget, it could still come back to council if deemed “contentious,” is in the political realm, or that staff feels council should be informed of.
The township noted that there are a number of routine checks and monitoring in place in the new policy, including various thresholds regarding the type of procurement.
Direct procurements are limited to items under the $25,000 threshold, invitational competition is required between $25,000.01 and $100,000, while anything more than $100,000 requires an open competition by way of either RFT or RFP.
The first goal of the policy reads that it “encourages open, fair, and transparent procurement processes that afford equal access to all qualified vendors.”
“I think this is a very important policy and I think there were a lot of great changes there,” said Coun. Jennifer Adams, during the meeting. “I know it takes some time to bring about all these kinds of changes and policy forward and I'm very supportive. of increasing the efficiencies and reducing barriers.”
However, she proposed an amendment that would require the mayor to approve anything over $2,000,000. arguing that it’s not uncommon for council to still have authority over tenders spending over a million in larger municipalities.
“All activities involved in the purchasing of goods and services using public funds should be fair and transparent,” said Adams. “And I believe that maintaining the signing authority by the head of our council aligns with our roles as council.”
When asked whether he would feel comfortable with that authority, Mayor Shawn Watters supported the amendment, supporting its efficiency and simultaneous acknowledgement of the council’s overall responsibilities.
“I think this has always been about how we reduce the paperwork,” said Watters. “Especially with the (new) larger value, I think that (council verification is) important and I think the public expects that as well.”
But Coun. Barb Lustgarten-Evoy questioned who would be monitoring the tender approval process on a lower-cost level.
“So say the same person is always given the opportunity to delegate that $25,000 contract as they so wish,” said Evoy. “Is there something that's been written into the policy ensuring the same group doesn't always get that no questions asked $25,000.”
CW's manager of purchasing and risk management, Samoya Lloyd-Smith, said that as the township grows, staff are hoping to put in more systems to track those instances.
“Worth mentioning is that staff have given serious consideration to sustainable procurement; however, absent defined targets and mandates, staff had difficulty incorporating into a council-endorsed policy,” said the report. “Staff will endeavour to apply the strategic plan tenants of, proactive climate change strategies, and provision sustainable infrastructure for our community during all procurement processes.
Township staff do have access to which contracts go where but Lloyd-Smith said that does rely on staff’s “due diligence.”
“Respectfully, I would be much more comfortable passing that $25,000 If I knew there was some kind of safety check in place,” said Lustgarten-Evoy. “Rather than wait for this to become a problem and look back and go ‘shoot.’”
Council unanimously approved the amendment, alongside their endorsement of the report.
Isabel Buckmaster is the Local Journalism Initiative reporter for GuelphToday. LJI is a federally-funded program.
