Procurement Strategy for Aboriginal Business
Parsons Inc. (“Parsons” or “Prime Contractor”) is the Prime Contractor for the Main Construction Management Services project as issued by the Government of Canada (GoC) for the Giant Mine Remediation Project (GMRP). Parsons is committed to ensuring procurement will be conducted in a fair, open and transparent manner while addressing Comprehensive Land Claim Agreement commitments and GoC’s procurement objectives regarding Indigenous and local northern opportunities.
Parsons applies "Procurement Strategy for Aboriginal (Indigenous) Business" (PSAB) in request for proposals (RFP) and invitations to tender (ITT) when local area Indigenous business capacity is known to exist and when sound contracting management can be assured and maintained. When PSAB is used, only Indigenous businesses can bid on the select ITT/RFP. Under PSAB, qualified Indigenous firms can bid on procurement contracts through several business arrangements, such as sub-contracting and joint ventures with other firms. The PSAB is open to all Indigenous businesses in Canada, including sole proprietorship, limited companies, co-operatives, partnerships, and not-for-profit organizations.
An Indigenous Business may be:
- A sole proprietorship, limited company, cooperative, partnership or not-for-profit organization in which Indigenous persons have majority ownership and control, meaning at least 51 percent.
- In the case of an Indigenous business with six or more full-time employees, at least 33% of the full-time employees are Indigenous persons.
- A Joint-venture agreement in which an Indigenous business or Indigenous businesses as defined above have at least 51 percent ownership and control; and, at least 33% of the value of the work must be performed by an Indigenous business. “Value of the work” is the total value of the contract less any materials directly purchased by the contractor for the contract.
When a firm bids on a contract that has been set aside for Indigenous businesses under the PSAB, it must prove that it meets PSAB's eligibility criteria. Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC) has the right to audit Indigenous supplier certifications to ensure that the eligibility criteria are met. Registration is not required for regular competitive contracts that do not fall under the PSAB. Indigenous businesses should register their firms with Industry Canada's Aboriginal business database. For answers to questions about PSAB, please see this website or call this toll-free number 1-800-400-7677 or email firstname.lastname@example.org