Procurement Purchasing Guidelines

The following Guidelines provide information, direction and purchasing options that are available to Buyers and Tender Administrators in Manitoba Government departments to help meet the objective of the Aboriginal Procurement Initiative (API).

1. Aboriginal Business

An Aboriginal Business must be at lest 51% owned and controlled and, if it has six or more full-time employees, at least one-third of its employees must be Aboriginal persons.

2. Aboriginal Procurement Criteria

On all procurement, an assessment must be undertaken by the Administrator to determine if the requirement meets any of the following Aboriginal Procurement Criteria:

• The requirement is culturally specific to Aboriginal people (ex: Aboriginal art, cross-cultural awareness workshops), or
• The requirement is primarily designated for Aboriginal people (ex: a study on diabetes within the Aboriginal community, an Aboriginal event planner for an Aboriginal event, an Aboriginal conference or event, focus of the requirement is Aboriginal in nature).
• Exception: goods or services already on established contracts holding a legal requirement to use the contract.

3. Aboriginal Business Set-Aside

A Set-Aside is a procurement for a good or service that has been reserved for competition among Aboriginal business only and subject to the following:

• Set-Asides may be used when Aboriginal Procurement Criteria is met.
• A Set-Aside must be supported by an assessment conducted by the Administrator of competition and capacity which must be sufficient to be able to reserve the entire requirement for competition among Aboriginal business only.
• Sufficient competition and capacity exist with Aboriginal business.
• Where only one Aboriginal business exists, a single source Aboriginal Business Set-Aside is permissible, with quality, cost and value for money an important consideration.  
• Where government specifications or standards exist (at the department or government-wide level), the same specifications or standards must be incorporated into the requirement whether an agreement exists or not.
• Subcontractors (if applicable) must also be Aboriginal and meet the definition of an Aboriginal business under the Aboriginal Procurement Initiative (API). 
• When the Set-Aside option is used, any Bidder / Proponent that offers less than 100% participation by Aboriginal business will be considered non-compliant.

4. Mandatory Aboriginal Business Participation

Mandatory Aboriginal Business Participation is a condition of a tender that specifies a portion of the contract must be provided by an Aboriginal business and is subject to the following:

• The portion of Aboriginal participation is determined by the Proponent.
• Mandatory Aboriginal Business Participation may be used when Aboriginal Procurement Criteria is met but the Administrator believes that Aboriginal business capacity is unknown or is known to be insufficient to provide the entire requirement without the participation of non-Aboriginal business.
• To achieve Aboriginal business participation, the use of partnerships, and/or subcontractors is expected and encouraged.
• Mandatory Aboriginal Business Participation is a mandatory condition of a tender and Proponents who submit a Proposal without any Aboriginal business participation shall be disqualified and receives no further consideration.

5. Aboriginal Business Participation

Aboriginal Business Participation is a condition of a tender that indicates that Aboriginal business participation is desirable and is subject to the following:

• Aboriginal Business Participation is used when the requirement does not meet Aboriginal Procurement Criteria but the Administrator believes that the requirement may provide an opportunity to encourage Aboriginal business participation.
• Aboriginal Business Participation is not a mandatory condition of a tender, but is encouraged. Proposals that offer Aboriginal participation will receive additional points scored during the evaluation. Proponents who submit a Proposal without any Aboriginal business participation will not be disqualified, but will not receive additional points scored in the evaluation for this component.

6. Aboriginal Business Standard

Aboriginal Business Standard is a condition of a tender that indicates that Aboriginal business participation is desirable and is subject to the following:

• Aboriginal Business Standard is used when the requirement does not meet Aboriginal Procurement Criteria and the requirement if for goods only, or is primarily for goods with a minor service component and subcontracting is not possible.
• Aboriginal Business Standard is not a mandatory condition and no points are assigned in the tender for Aboriginal participation. Bidders will not be disqualified if no Aboriginal business participation is provided in a tender submission.

Inquiries

Mark Freedman
Vendor Relations Coordinator
204-945-0826
email: Mark.Freedman@gov.mb.ca

Ruth Sawatzky
Business Consultant
204-945-2415
email: Ruth.Sawatzky@gov.mb.ca