• Definitions
• Types of Contract Work
• Ministry of Forests Organizational Structure
• Ministry of Forests Contract Notification and Procurement Methods
• Select Lists
• Basic Contractor Eligibility Requirements
• Working for Independent Companies under Contract to the Ministry of Forests
• Contract Award and Management
• Contract Payment
• Contract Dispute Resolution

Contracts
Unless otherwise specified, includes all ministry contracts for the supply of works (construction) and services. The term does not include contracts where the ministry's primary purpose is to acquire goods.

Contractor
Unless otherwise specified, includes the terms Consultant, Supplier, Service Provider, Vendor, and the like, where any of these provides works or services under contract.

The Ministry of Forests requires the resources of the private sector to achieve many of its program goals related to managing, protecting, and conserving British Columbia's forest and range ecosystems. The ministry, therefore, encourages all qualified contractors to compete for its contracted service and construction activities. Types of ministry contracts include (but not restricted to):

Forest Practices:

• Aerial forest fertilization
• Audit services
• Brushing and weeding
• Cone collecting
• Digital mapping
• Forest management stand tending
• Grass hydroseeding
• Ground spray or aerial herbicide application
• Installing cattleguards
• Juvenile spacing
• Pheromone baiting
• Preparing sites for tree planting (prescribed burning or mechanical)
• Range fencing and repairing
• Range weed control
• Recreation site construction and maintenance
• Recreation trail building and maintenance
• Root rot surveys
• Sheep grazing
• Silviculture survey prescriptions and layout
• Snag falling
• Stream analysis
• Tree or insect surveys
• Tree planting
• Tree pruning

Useful tree planting information links can be found at our Forest Practices Branch home page.

Construction:

• Construction project management
• Geotechnical terrain stability assessments
• Road deactivation
• Road grading
• Road, bridge and building construction, and maintenance

Heavy Construction Rentals for:

• Fire suppression
• Road/bridge work
• Silviculture work

Fire Suppression:

• Equipment hauling
• Fire fighting
• Food catering
• Mop-up services (post fire clean-up)
• Water trucks

Timber:

• Area boundary marking
• Cruising (forest stand surveys)
• Logging plan layouts
• Mapping

Planning/Forest Inventory Mapping:

• Various types of land and forestry mapping and surveying

Consulting:

• Advisory and audit services
• Computer system development and maintenance
• Drafting services
• Engineering services
• Forestry research projects
• Training development or delivery

General Services:

• First aid services
• Janitorial services
• Office equipment and field equipment repairs
• Security patrols
• Sign installation
• Temporary office work

The ministry's administrative structure is fully decentralized, and contracting opportunities are, therefore, available from various ministry offices throughout the province. Each ministry office has full authority and responsibility for the administration and management of contracts within its geographical or functional responsibility area.

The Ministry of Forests has forest district offices located within forest regions (each forest region has its own office). In the Victoria headquarters area, there are ministry branch offices. The ministry also operates specialized facilities throughout the province, such as the Surrey Tree Seed Centre, regional fire centres, research stations, fire equipment depots, and fire rapattack bases. To find the ministry office nearest you, use the ministry's Internet web site at http://www.for.gov.bc.ca/mof/regdis.htm or check the blue pages of your local telephone book in the Government of British Columbia section, under "Forests."

The Ministry of Forests is committed to providing all qualified contractors with fair access to ministry contracts. Virtually all ministry contracts are awarded on a competitive basis. The following is a summary of the notification (also referred to as "solicitation") methods used by the ministry:

• Open Invitation: this Internet site including Agreement on Internal Trade applicable contracts (most contracts greater than $100,000); (notices may also be concurrently advertised in local papers appropriate to the ministry issuing office).

• Select Invitation: from an established select list of pre-qualified contractors;

• Direct Invitation (for emergencies, confidential or sole suppliers, and various contracts less than $25,000).

In contracting for work or services, the ministry uses the following procurement (also referred to as "competition") methods:

• Invitation to Tender (ITT) - An ITT is a formal, sealed tender process that is typically used for capital construction, maintenance, operational service (including most program field activities), and other routine ministry work/service contracts.
• Invitation to Quote (ITQ) - An Invitation to Quote is typically used for the same types of work/service as an Invitation to Tender, except that an Invitation to Quote is less formal and its use is, therefore, restricted to certain situations.
• Request for Proposals (RFP) - A Request for Proposal is a request to contractors to submit proposals on how and at what price they would provide a service. The RFP describes the results to be achieved rather than the approach to be used, and allows bidders to be creative.

If a procurement notice specifies a mandatory pre-bid meeting and/or worksite viewing tour, the ministry will only accept bids from contractors that have attended the formal meeting/tour.

Details regarding availability of contract information packages and tender forms are contained in the contract advertising notice. The contract information packages normally contain everything a contractor needs to know about bidding, the contract, location, viewing, performance standards and payment procedures.

Contractors wishing to obtain information or bid on a particular contract opportunity should follow the procedures specified in the contract advertising notice. Please do not respond to this site for information on specific contracts.

Contact your local ministry office to determine if there is an eligibility list for the type of work you specialize in and ask how you can apply to be placed on the list.

Contractors and people who work for them must be either: Canadian citizens, landed immigrants, permanent residents, or have a valid employment visa. Anyone signing a contract with the ministry must be at least 19 years old. Normally, all contractors must be registered with the Workers' Compensation Board of British Columbia (WCB), and they must observe all of the laws of the federal, provincial, and municipal governments, where applicable. This includes the Employment Standards Act and the Human Rights Act. For more information about employment standards in British Columbia, call 1-800-663-3316. For information on human rights, call the BC Council of Human Rights at 1-800-663-0176.

For safety reasons and in order to understand the terms of the contract, some contracts require an on-site contractor's representative who is fluent in both written and spoken English. This individual would be on-site at all times that the work is being performed, to supervise the contractor's workers and translate when necessary.

Depending on the type of contract, other eligibility requirements may also apply and they will be stated in the contract information package. The most common requirement is proof, to the ministry's satisfaction, that the contractor has satisfactorily completed a previous project of the same type and size. Some forest districts and regions also have a contractor performance rating system for certain activities. Contractors must, therefore, confirm their rating and eligibility to bid prior to submitting a tender. Contract information packages should indicate whether a performance rating system is in place.

A ministry representative, who is usually named in the contract information package, is assigned to manage and inspect every contract. Contact the ministry representative if you have any questions on contract eligibility requirements.

Some contracts (such as silviculture and construction) normally require a 10% holdback from each contract payment; it is held in a ministry trust account until 40 days (55 days for construction contracts) after satisfactory contract completion. The holdback protects the ministry from third party claims, as might be demanded by WCB, Revenue Canada, or Employment Standards Branch.

Some contracts may also require the contractor to provide the ministry with a bid deposit and/or a performance security (usually 10% of the contract price) prior to the commencement of the work. Performance securities are released to the contractor upon satisfactory contract completion and are subject to forfeiture, if the contractor abandons, terminates, or fails to satisfactorily complete the work.

The advertising notice and contract information package will specify if a bid deposit is required. The contract information package will specify if a performance security is required and if a holdback will be deducted from contract payments.

The ministry undertakes a wide range of contracted activities in managing British Columbia's forests. Independent contractors normally bid competitively to obtain ministry contracts, and the successful bidders carry out the work under contract with the ministry.

For detailed information concerning your rights as an employee, contact any Employment Standards Branch office of the Ministry of Labour. If you have a specific question about the Employment Standards Act or Regulation, you may call: 1-800-663-3316 (toll-free) or 660-4000 in the Lower Mainland.

Contracts are not awarded at the Invitation to Tender or Request for Proposal opening. Bids are evaluated in private and contract award is normally made within the following ten days. Bid deposits are returned after the contract has been signed.

The successful bidder, upon receiving a contract award letter, is normally required to:

• sign and return the contract;
• provide proof of independent WCB coverage;
• provide a government Certificate of Insurance as proof of any specified insurance; and
• provide contract performance security if specified in the contract package.

The ministry will ask the contractor to sign and return the contract for counter-signing; a copy is then sent to the contractor. The contract must be signed by both parties prior to commencement of work; this protects the ministry and the contractor by ensuring that each party is aware of their rights and obligations. Contractors should, therefore, thoroughly read and understand the contract clauses and performance requirements to ensure they reflect what was originally bid on. Contractors should discuss any apparent contract discrepancies with the ministry representative before signing the contract.

The scheduling or need for inspections (or progress meetings) by the ministry is normally dictated by the type and complexity of the contract work, the rate of progress in accomplishing the work, and the reliability of the contractor. Contract inspections normally occur in three stages:

• an initial inspection, after a minor amount of work has been accomplished;
• progress inspections, based on milestones or a period of time passing, often done randomly and without warning; and
• final inspection, to determine whether or not the contract is complete, and to identify any remaining deficiencies or inadequacies to be rectified.

A contractor should immediately advise the ministry representative if problems are encountered (e.g., change in work site conditions, access problems, or financial difficulties) that may affect satisfactory contract performance. Such communication allows the ministry to assist with strategies to overcome the difficulty. The ministry will not normally extend a contract completion date or allow contract changes unless the reasons for doing so are, in the ministry's opinion, justifiable and warranted. Ministry Contract Management Policy requires written pre-authorization for any Change of Work Orders or Contract Amendments.

Ministry contracts contain conditions covering non-compliance and poor work performance. If a contractor fails to rectify any work deficiency or conform to the contract requirements, the ministry representative normally takes the following standard, progressive steps to enforce the contract:

If an inspection reveals a serious or dangerous deficiency, the ministry representative normally proceeds immediately to the Notice to Comply or Stop Work Order stage. After failed repeated attempts to obtain compliance, the ministry usually cancels the contract, forfeits any performance security, and/or assesses damages, if necessary. Contract cancellation may also negatively affect the contractor's eligibility to bid on future ministry contracts.

The ministry strives to pay all contract invoices as close as possible to 30 days of receipt of the invoice, or the date the ministry representative inspects and authorizes payment for the work, whichever is later.

The Financial Administration Act does not permit interest on contract payments, performance security deposits, or holdbacks until the 61st day after the date the money becomes due. The due date is calculated from the date the ministry receives the invoice or has authorized payment/release (whichever is the later), to the date the Ministry of Finance and Corporate Relations prints the cheque. Interest rates are set by the Office of the Comptroller General. Interest claims of less than $5 are not payable.

Discounts can represent a substantial savings to government. Therefore, the ministry generally attempts to accept any early payment discount that is 2% or greater and exceeds the cost of fast tracking the payment. Contractors interested in providing an early payment discount should discuss the matter with the ministry representative. Early payment discounts are not considered in the evaluation of bids.

To reduce mailing time in the payment process, contractors may request that contract payments be deposited directly into their bank account. To apply, contact the finance section of your local ministry office to obtain a Direct Deposit Application Form. Bring a voided company cheque with you. New applications require four to six weeks to process.

Invoices must contain sufficient detail to be identified with the specific contract. At a minimum, the following items should be included in an invoice:

• full legal name and address of the contractor (as shown on the contract);
• date of invoice;
• a description of the work/services completed;
• the dates/hours/units or lump sum being charged;
• the rate of pay (hourly, daily, unit price, or lump sum, as applicable); and
• the contract or project number.

The Government of British Columbia does not pay the federal Goods and Services Tax (GST). The GST will be removed from any invoices, including expense claims. It is the responsibility of the contractor to apply directly to Revenue Canada for Input Tax Credits for any GST paid on the contract. Call Revenue Canada at 1-800-959-5525 for more information.

Some contracts, usually professional or consulting services, allow for reimbursement of reasonable expenses referred to as cost recoverable contractors. The contract will detail the types of expenses that will be reimbursed, up to a maximum dollar amount.

Expense receipts (originals or legible photocopies) must accompany the payment request. The following expenses require receipts: accommodation, rented vehicles, hired equipment, parking, courier costs, long-distance telephone calls, ferry or air travel. Other types of expenses should be properly itemized on the payment request.

Contractors are encouraged to use the government's Master Standing Offer (MSO) agreement with suppliers of short-term vehicle rentals where their business with the ministry warrants vehicle rental. Collision Damage Waivers and Personal Accident Liability will not be reimbursed where the vehicle rental is obtained outside the MSO. Ask the contract ministry representative for more information. The ministry representative must provide you with documentation in order for you to have access to the MSO at rental agencies.

The ministry's objective is to provide fair, prompt, and inexpensive resolution of disputes with contractors. We encourage disputes to be resolved locally. Failing resolution at that level, the contractor and ministry can take the dispute to mediation or arbitration, if they both agree.

Either process is far less expensive and time-consuming than litigation. Arbitration is a procedure whereby the disputing parties appoint a private person or adjudicator called the arbitrator. The arbitrator reviews the evidence and arguments of each party to make a decision that is binding. Mediation is a process whereby a mediator facilitates the discussion between the disputing parties to achieve a mutually arrived at agreement. The mediator does not impose a decision, but assists the parties in negotiating their own agreement. The mediation or arbitration process is facilitated by either the BC International Commercial Arbitration Centre (604-684-2821) or the BC Arbitration and Mediation Institute (604-736-6614).

If you have a general problem or question on a ministry tendering/contracting practise, please contact the appropriate district or regional manager, or branch director.