SANDRA M STANWAY
Brooks Bulletin
While city council committee discusses a proposal to amend CAO bylaw, council was also told there will be an updated purchasing policy that could potentially remove bid results from the purview of elected officials.
During last week’s committee meeting Bill McKenna, the city’s finance director, told council an updated purchasing policy will incorporate best practices and follow contractual law.
He said that would prohibit a municipality from releasing information about companies and their bids.
He and CAO Chris Parker explained that council will set a budget for an item and after it is awarded they will be notified of the winning bid. If there is an under budget bid administration will select the winning bid and then inform council.
“If council’s approved, say a sewer plant at $35 million, well that’s what it is. If the bids come in and there’s evaluation processes outlined as per the purchasing bylaw that council will adopt, that’s a legally binding agreement between the city and whoever the bidders are,” McKenna said.
Councillor Joel Goodnough said council currently rubber stamps an item for purchasing.
“The decision’s already been made. I’m okay to do this,” he said.
However, if the item is over budget, Goodnough asked if it would return to council for approval to allow funds to be taken from another account.
“Not necessarily. We might make a recommendation, we might re-tender it … there might be a lot of different recommendations. What we won’t do is spend $1.2 million unless council gives us approval,” said Parker.
Currently, council is given the bid amounts from each company and a recommendation from a department head. The project and the bid are briefly discussed and a recommendation is presented for council to approve.
When asked if the process will continue Parker said, “We’re not recommending that. No.”
McKenna said elected officials recently attended a seminar where the risk of the process was discussed.
“That process will put you in legal jeopardy because you’re basically violating contract law by (showing bids with company names).”
He said while he’s not recommending that council shouldn’t continue the process, “There’s significant risk.”
“You’re going to get the information. You’re just not going to make the decision because you made the decision already. We can give a report on the project but how much information depends on whatever it is,” said Parker.
While that change is being considered, through the CAO Bylaw, Parker is proposing that council does not need to direct administration to review and enter into any and all agreements.
The only agreements they would review are those from the provincial and federal governments but any within an approved budget do not require a signature.
Parker said if a piece of equipment comes within the set budget, “I’d sign off on that contract.”
“I actually would like to see that come in an open council meeting once the tender is done,” said councillor Mohammed Idriss.
Parker said information will be released in variance reports.
