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Standing Offers and Supply Arrangements
Methods of Supply
| Contract with Task Authorization | Standing Offer | Supply Arrangement | |
|---|---|---|---|
| Description of Method | A method of supply for services under which all of the work or a portion of the work will be performed on an "as and when requested" basis through predetermined conditions including an administrative process involving task authorizations.
Typically for service contracting situations when there is a defined need to rapidly have access to one or more category of service(s) on a repetitive basis during the period of the contract. The work to be carried out can be defined but the exact nature and timeframes of the required services, activities and deliverables will only be known as and when the service(s) will be required during the period of the contract. The contract with TAs must stipulate the conditions for issuing TAs. TA is a structured administrative tool enabling PWGSC or a client to authorize work by a contractor on an "as and when requested" basis in accordance with the conditions of the contract. TAs are not individual contracts. |
The standing offer method of supply is used when it is possible to clearly define the requirement but expected quantities (level of effort) and timing are not known.
Used when a minimum work guarantee cannot be offered, or to maintain multiple sources of supply. Typically used for commonly ordered, commercially available goods, services or both over a specified period. A call-up against a standing offer is a contract. |
This method of supply is used to establish a pool of suppliers when there is a recurring need for a certain type of good or service, but a standing offer is not suitable due to the inability to fully define the requirement in advance, and there is a desire to compete the requirement.
The supply arrangement (SA) establishes a framework that permits expeditious processing of individual bid solicitations which result in contracts. |
| Solicitation Process & Evaluation Criteria | A bid solicitation is used to select one or more bidder(s) to establish contracts that will allow services to be carried out on an "as and when requested basis" through predetermined conditions and an administrative process involving task authorizations.
Multiple contracts with task authorizations may be issued in certain circumstances when one contract would not be sufficient to fulfill all requirements. The quantity and level of services specified in the bid solicitation are only an approximation of the requirements, but the contract will include a minimum work guarantee or some other form of consideration. |
A Request for Standing Offer (RFSO) is used to select offeror(s), who meet the stated evaluation criteria in the solicitation, to result in one or more standing offers for the provision of goods or services or both at predetermined pricing under set conditions.
The quantity of goods or the level of effort for services and if applicable, the estimated expenditure specified in the RFSO is only an approximation of the requirements |
A Request for Supply Arrangement (RFSA) is used to establish a suitable pool of suppliers (source list) who meet the stated evaluation criteria stipulated in the solicitation and to establish supply arrangements.
An SA is an arrangement between Canada and pre-qualified suppliers that allows identified users to solicit bids from a pool of pre-qualified suppliers for specific requirements within the scope of a SA. |
| Contractual Obligation | The contract creates a contractual obligation and enough funding must be committed at the outset to cover the total estimated cost of the contract since the contract requires consideration.
The contract obligation is limited only by a minimum guarantee clause or by other considerations in the contract. |
There is no contractual obligation on the part of Canada until a call-up is made.
Each call-up is a separate contract and funds are committed at that time. The standing offer is not a contract. The offeror is bound by its offer unless its offer is withdrawn. |
There is no contractual obligation between Canada and the supplier to buy goods or services at the SA stage.
There is a contractual obligation with the award of each contract. |
| Binding Legal Agreement | The signed contract is the binding legal agreement established between the contracting department or agency and the Supplier.
The task authorization is not an individual contract but an administrative process that enables specific tasks to be carried out in accordance with the conditions of the contract. |
The call-up is the acceptance of the offer and is a binding contract established between the contracting department and the offeror. | Each contract awarded will be considered to be a separate binding contract established between the contracting department and the supplier. |
| Work Authorization | The work is authorized on an "as and when requested" basis when a TA is authorized by the business owner or contracting authority depending on the process established in the contract (see financial limits below). | The work is authorized on an "if and when requested" basis when a call-up is issued. | When individual needs are identified, individual bid solicitations are issued based on the conditions of the SA and the work is authorized through the award of individual SA contracts. |
| Financial Limits | The limit for the business owner for authorizing a TA is set in the contract. When the business owner requires specific services described generally in the contract, a TA is issued to authorize the performance of the work by a contractor as long as it is within the scope of work of the contract and within the TA limit of the business owner.
Above this limit, the business owner would have to request the contracting authority to issue the TA. |
The call-up limit will be set in the standing offer document for the business owners. This limit is not to exceed the Appendix A: Contracting Approvals of the Directive on the Management of Procurement. | The contracting limits will be set in the supply arrangement for the business owner. This limit is not to exceed Appendix A: Contracting Approvals of the Directive on the Management of Procurement. |
| Minimum Guarantee or Consideration | When all the work under the contract will be authorized using TAs, the business owner must commit to a minimum supply, and the contract must include a limit on the contractor's expectations; e.g., a "minimum guarantee". | Not applicable | Not applicable |
| Payment Provision | The payment provisions are firm:
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The payment provisions are firm:
|
The pricing method(s) is (are) usually a ceiling price/rate, or sometimes no rates are provided until individual requirements are competed.
If the SA includes ceiling prices or rates, suppliers will be allowed to lower their prices or rates based on the actual requirement or statement of work described in the bid solicitation. |
| Monitoring and Reporting | Monitoring and reporting by the business owner of contractor performance, and of usage of task authorizations, is a condition of the business owner’s use of the contract. | Monitoring and reporting by the business owner of performance, and of usage, in accordance with the standing offer are a requirement of use by the business owner of the standing offer. | Monitoring and reporting by the business owner of contractor performance, and of usage, in accordance with the SA are a requirement of use by the business owner of the SA. |
Contract with Task Authorizations
The following information is provided to support business owners and contracting authorities at Health Canada and Public Health Agency of Canada to ensure all requirements pertaining to task authorizations are met.
Task Authorization Process Map
Find information on the Task Authorization Process Maps, which lay out the steps to authorize and issue task authorizations. These maps are to be read in conjunction with the Guide to Task Authorizations to ensure all requirements are met.
Guide to Task Authorization Contracts
The Guide to Task Authorization Contracts reinforces information and interpretations of key policy principles, requirements, and roles and responsibilities, considerations, and best practices to plan, prepare, administer, and manage contracts for services containing task authorizations.
HC and PHAC Standing Offers and Supply Arrangements
These are the Standing Offers and Supply Arrangements managed by Health Canada. Please contact the individual listed for details on eligibility for use in your Branch/Agency.
Standing Offers and Supply Arrangements Managed by Health Canada
| Requirement Description | Standing Offer and Supply Arrangement No. | Branch | Contact Information |
|---|---|---|---|
| Translation and Editing Services | Several Supplier Options Available | Chief Financial Officer Branch (CFOB) | Sami Nouh
613-941-2102 |
| Employee Assistance Program Services | Several – Please ask contact listed | Corporate Services Branch (CSB) |
|
PWGSC Standing Offers and Supply Arrangements
Mandatory Standing Offers and Supply Arrangements
Public Works and Government Services Canada has established a wide variety of Standing Offers and Supply Arrangements to assist government departments in procuring frequently required goods and services. The use of standing offers and supply arrangements for certain commodities are mandatory for all Government of Canada departments and agencies.
Mandatory Standing Offers and Supply Arrangements for these commonly used products and service:
- N84: Clothing, Individual Equipment and Insignia
- N58: Communication, Detection, and Coherent Radiation Equipment
- N91: Fuels, Lubricants, Oils and Waxes
- N71: Furniture
- N70: General Purpose Automatic Data Processing Equipment (Including Firmware), Software, Supplies and Support Equipment
- N23: Ground Effect Vehicles, Motor Vehicles, Trailers and Cycles
- D3: Information Processing and Related Telecommunication Services
- N74: Office Machines, Text Processing Systems and Visible Record Equipment
- N75: Office Supplies and Devices
- R: Professional, Administrative and Management Support Services
- RO: Professional Services
- R1: Administrative and Management Support Services
- R2 : Personnel Recruitment
How to find a PWGSC Standing Offer or Supply Arrangement
- PWGSC Standing Offer Information (link not working)
- PWGSC Standing Offer Index (Search for PWGSC Standing Offers and Supply Arrangements) (link not working)
- PWGSC Procurement Tools Quick Reference Guide
- PWGSC Service Selector Tool (link not working)
A practical new tool that helps government buyers reduce the time spent researching professional services methods of supply. By answering a series of "diagnostic" questions, users are guided to the appropriate method of supply that best matches their professional services contracting requirement.
- Professional Services
- Health Canada and Public Health Agency of Canada Standing Offer & Supply Arrangement contacts list (link not working)
Intanet pages linked:
