Procurement Processes Policy

Effective Date: November 22, 2010

Policy Objectives

The objective is to protect the interest of the Library, the public and persons participating in the procurement process. It is intended to reinforce fairness, openness, transparency and integrity by adopting consistent and standard approaches for:

This policy supplements the Financial Control Policy. The Financial Control Policy governs in the event of any conflict.

Underlying Principles

The Financial Control Policy grants authority to solicit Bids and Proposals, to Award contracts to the successful Bidders/Proponents, and to make Commitments.

The code of purchasing ethics established by the Purchasing Management Association of Canada and the Library's Conflict of Interest Policy applies to all Library employees involved in the procurement process.

The procurement process is also subject to the Lobbying Disclosure for Requests for Proposals and Tender / Quotations Calls Policy.

Any information supplied to the Library by a vendor will be subject to the provisions of the Municipal Freedom of Information and Privacy Protection Act.

All references in this policy to dollar amounts are in Canadian dollars and shall be considered to be exclusive of taxes.

Policy Statement

The Library supports effective, objective, fair, open, transparent, accountable, and efficient procurement processes through the solicitation of multiple Bids, Proposals, and direct negotiation.

The Library's intent is to procure goods and services that meet the Library's operational needs and specifications within a consistent and standard competitive process that is fair to all parties.

Scope

This policy covers the procurement of all goods and services acquired by the Library through formal and informal Calls and Requests for Pre-qualification, Expression of Interest, Tenders, Quotations and Proposals.

The procurement of Library Materials is excluded from the scope of this policy and is governed by the Financial Control Policy.

Application

This policy applies to all Library employees and Board members who are involved in the procurement of Goods and Services for the Library. The Library will attempt to ensure that all agents and consultants working on behalf of the Library comply with the intent and spirit of this policy whenever it is practical and reasonable for them to do so.

Specific Directives

Accountability

The Library Treasurer shall undertake such tests and inquiries as are appropriate to ensure that the Library maintains satisfactory internal control practices, and that all officials and employees duly carry out the terms of this policy, and shall carry out such tests and inquiries as are requested by the Board.

Implementation

The City Librarian, Directors and Managers shall ensure that all individuals who are involved with procurement processes are made aware of this policy and that these individuals comply with this policy.

The Purchasing Agent shall ensure that all Call and Request documents inform all participants of the terms of this policy.

Appendices

Appendix 1 - Bid Irregularities and Action Table

IRREGULARITY ACTION
Late Response Automatic rejection and not read publicly.
Unsealed Envelopes Automatic rejection.
Insufficient Financial Security
  • Insufficient or no deposit, bid bond or agreement to bond.
Automatic rejection.
Incomplete Response Automatic rejection unless, in the opinion of the Purchasing Agent, the nature of the incompleteness is trivial or insignificant.
Qualified Response
  • Qualified or restricted by an attached statement, unless allowed for.
Automatic rejection unless, in the opinion of the Purchasing Agent, the qualification or restriction is trivial or insignificant.
Response received on documents other than those provided by the Library. Automatic rejection unless, in the opinion of the Purchasing Agent, the matter is trivial or insignificant.
Execution of Agreement to Bond (Performance Security)
  • Corporate seal or signature of authorized agents of bonding company missing.
Automatic rejection
Execution of Bid Bonds (Financial Security)
  • Corporate seal or signature of the bidder missing.
  • Both corporate seal and signature of bidder missing.
  • Corporate seal or signature of authorized agents of bonding company missing.

Two (2) business days to correct.

Automatic rejection.

Automatic rejection.

Other Bid Security
  • Uncertified cheques
Automatic rejection.
Documents - Execution
  • Corporate seal or signature missing.
  • Corporate seal and signature missing.

Two (2) business days to correct.

Automatic rejection.

Erasures, Overwriting or Strike-Outs which are not Initialed
  • Minor changes to response which are not initialed (example: the respondent's address is amended by over-writing but not initialed)
  • Unit prices have been changed but not initialed and the contract totals are consistent with the price as amended.
  • Unit prices have been changed but not initialed and the contract totals are not consistent with the price as amended.

Two (2) business days to correct.

Two (2) business days to correct.

Automatic rejection.

Minor Irregularities, other than as identified above The Purchasing Agent shall have the authority to waive irregularities deemed to be minor.

Appendix 2 - References

Financial Control Policy of the Toronto Public Library Board

Section 212 of the City of Toronto Act, 2006

Appendix 3 - Definitions

"Award" means the acceptance of a Bid or Proposal in accordance with the terms of this policy;

"Bid" means a formal price response to a Call issued by the Library;

"Bidder" means any legal entity submitting a Bid in response to a Call by the Library;

"Board" means the Toronto Public Library Board;

"Call" means a Solicitation from the Library to external suppliers or providers to submit a Tender or Quotation;

"City" means the City of Toronto;

"City Librarian" means the person appointed by the Board holding the position of Chief Executive Officer for the Library or a similar successor position, and includes his or her Designate;

"City Solicitor" means the person holding the position of City Solicitor for the City, or a similar successor position, and includes his or her Designate;

"Commitment" means the document evidencing the contractual obligation for the purchase of any Goods or Services arising from an Award;

"Department" means an administrative unit of a Division of the Library headed by a Manager;

"Designate" means a Library employee designated to exercise authority;

"Director" means a person holding a management position in charge of a Division reporting directly to the City Librarian or the Director Branch Services, or a similar successor position, and includes his or her Designate, and includes the Director Branch Services;

"Division" means an administrative unit of the Library headed by a Director;

"Expression of Interest" means a submission in response to a Call or Request to determine the interest of the market place in providing the scope of Goods or Services intended to be procured by the Library;

"Goods" means all forms of personal property, both tangible and intangible;

"Library" means the Toronto Public Library;

"Library Materials" means books, videotapes, periodicals, subscriptions, serials, electronic information products and any other media, purchased by the Library for use by the public;

"Library Treasurer" means the person holding the position of Director, Finance and Treasurer of the Library or a similar successor position, and includes his or her Designate;

"Material Objection" means a written objection to an Award that relates to the exercise of discretion of the Purchasing Agent in accepting or rejecting response as being compliant or non-compliant with a Call and which is not:

  1. frivolous or vexatious in the opinion of the Purchasing Agent; or
  2. solely related to a review of any listed irregularities that any Library policy on procurement processes instructs or authorizes the Purchasing Agent to automatically reject;

"Proponent" means any legal entity submitting a Proposal in response to a Request;

"Proposal" means an offer to furnish Goods or Services, including professional or consulting services, as a basis for negotiations for entering into a contract;

"Purchasing Agent" means the person holding the position of Manager, Purchasing and Administration in the Library's Finance Department, or a similar successor position, and includes his or her Designate and immediate supervisor, and whose responsibility it is to supervise and carry out selected procurement functions on behalf of the Library in accordance with this policy;

"Pre-qualification" means the submission of qualifications by a Bidder or Proponent in response to a Call or Request as part of the process to determine those Bidders or Proponents that would qualify to be solicited in a subsequent Call or Request leading to an Award;

"Quotation" means an offer to supply specified Goods or Services at a price fixed as to the total amount or on a unit basis, or both;

"Response" means the submission of a Bid, Proposal, Expression of Interest or Pre-qualification submission in response to a Call or Request;

"Request" means a Solicitation from the Library to external suppliers to submit a Proposal;

"Services" means any matter in respect of which the Board may incur a financial obligation other than Goods, excluding real property;

"Solicitation" means the process of notifying prospective Bidders or Proponents that the Board wishes to receive Bids or Proposals;

"Tender" means an offer in respect of a Project at a fixed price as to total amount or on a unit basis, or both, and where all of the material terms, conditions and specifications to be met for the project, aside from price and, in some cases, time for completion, are contained in the Call and determined at the time a bid is opened so that there is no prospect of negotiations between the parties.

Appendix 4 - Inquiries

All inquiries concerning this policy are to be directed to:

Director, Finance & Treasurer,
789 Yonge Street
Toronto ON M4W 2G8