3 1.6 Standing Offer Agreements. Commonly used standing offers are used when it turns out that several departments constantly need the same products. Permanent offers of common use can be used by any department and individual contracts are concluded directly with the supplier. Limited permanent offers are initiated by a department and each limited permanent offer is unique to a particular department. Limited standing offers can only be used by the service specified in the offer, unless the initiating service has granted approval. A competition procedure must be used in accordance with the FAM 3305 Directive, unless a single-source situation is permitted by the FAM Directive You must include an estimate of the quantity of works or goods in the tender or tender documents. The expected volume is likely to result in lower prices. In some circumstances, it may be impractical to have a standing offer for certain requirements exclusively with a single contractor. Non-exclusive SOAs occur when the amount of work available exceeds an individual contractor`s ability to perform the work, or the goods/services are needed immediately and may not always be available from a contractor. If you are competing for non-exclusive SOAs, it should be clear in the RFP/RFP document that the resulting standing offer agreement is not exclusive under the standard offer and tender documents found in Internal Services (see below). In such cases, every effort should be made to enter into a contract first with the contractor offering the lowest price or, in the case of a call for tenders, with the highest-ranking developer. Some of the methods that can be used to award contracts against standing offer agreements are as follows: Public Procurement Guidelines September A standing tender agreement (SOA) is an offer by a supplier to deliver goods and/or services at pre-agreed prices and on the terms specified in the SOA. 6 1.6 Long-term supply agreements and/or services (works) as and when needed at predetermined prices.

The GNWT intends to enter into a permanent tendering agreement with the least responsive responsible bidder. If the successful contractor is unable to perform the work within a time limit set by the contracting authority or under the terms of the SOA, the GNWT contracting authority reserves the exclusive right to procure the goods or services in any other manner it deems appropriate. The Contractor will only be paid for goods and services that have been specifically requested by the GNWT and received to the full satisfaction of the GNWT. PERMANENT OFFER CONTRACT – EXCLUSIVE – Call for tenders Exclusive standing offer agreements are price agreements with specific conditions that are entered into with a contractor to provide certain goods and/or services (works) on a as and when and required basis at predetermined prices. The GNWT intends to enter into a standing offer agreement with the proponent with the highest rated proposal. If the successful contractor is unable to complete the work within a time frame set by the GNWT or the terms of the LSA, the GNWT reserves the exclusive right to procure the goods or services in any other manner it deems appropriate. The Contractor will only be paid for goods and/or services specifically requested by the GNWT and received to the full satisfaction of the GNWT. See also the section on delivery service contracts. 6 General Information Electronic Contract Forms Public Works and Services have implemented an electronic forms system accessible from the Ministry`s website. These forms are online templates used to generate standard 5 1.6 that are first offered to the responsible bidder responding with the lowest price. In the event that the contractor with the lowest price is unable to carry out the works within a time limit set by the contracting authority and/or the conditions of the SOA, the contracting authority may offer the works to the contractor with the following lower non-exclusive SOA, etc., or acquire the works in any other way it deems appropriate. The Contractor will only be paid for goods and/or services specifically requested by the GNWT and received to the full satisfaction of the GNWT.

PERMANENT OFFER CONTRACT – NON-EXCLUSIVE TENDERING Non-exclusive standing offer agreements are price agreements with specific conditions that can be concluded with several contractors to provide the same goods and/or services (works) on a time and when and need basis at predetermined prices. The GNWT intends to enter into a standing offer agreement with one or more proponents. If an agreement is reached with more than one proponent, the work may first be offered to the proponent with the highest-rated proposal submission. In the event that the contractor with the highest rated bid is unable to complete the work within a time frame set by the GNWT and/or the soA`s terms, the GNWT may offer the work to the contractor with the next highest rated tender tender, etc., or otherwise acquire the work it deems appropriate. The Contractor will only be paid for goods and services that have been specifically requested by the GNWT and received to the full satisfaction of the GNWT. STANDING OFFER AGREEMENT – EXCLUSIVE – CALL FOR TENDERS Exclusive standing offer agreements are price agreements with specific conditions that are established with a contractor for the supply of certain goods Procurement guidelines September 1 1.6 Standing offer contracts Definition Objective Standing offer agreements A standing offer agreement (SOA) is an offer made by a seller, goods and / or services at prices agreed in advance and at the prices specified in the SOA Terms of Delivery. PW&S prepares standing offer agreements for services and products for common use by all GNWT departments and agencies. The following information is intended to help the user understand the SOA process. Standing offer agreements or SOAs are not contracts. These are price agreements that the government enters into with suppliers or contractors that meet the expected demand over a defined period of time.

They can be used when putting goods or services into service. There is no legal obligation. A new individual contract is concluded each time a new purchase is ordered or released under an open-ended offer contract. The Financial Management Manual, Directive 3305, contains the following definition of a standing offer agreement: A standing offer agreement refers to an agreement that requires a supplier to provide certain goods or services to the government upon request under certain conditions for a certain period of time at a predetermined price or discount structure. Standing offer agreements aim to increase the level of cost-effectiveness and service for users by: Procurement Guidelines 4. 1.6 September Standing Offer Contracts Service Contract Order Order Corporation Purchase Credit Card Only if less than $5,000 Verbally only if Less than $5,000 Work order issued by a local contractor of the department – Currently limited list of perpetual offer agreements Templates of standing offer agreements Public Works and Services currently organize a wide range of standing offer agreement contracts. Information on these agreements can be obtained from Shared Procurement Services or from the following website: Standard templates have been developed for the creation of long-term supply agreements. These templates can be found on the PWS website for internal electronic forms services. Excerpt from Templates: PERMANENT OFFER CONTRACT – Non-EXCLUSIVE Offer Non-exclusive standing offer agreements are price agreements with specific conditions that can be concluded with several contractors to provide the same goods and/or services (works) on a time and when and need basis at predetermined prices. The GNWT intends to enter into a standing offer agreement with one or more bidders. When an agreement is concluded with more than one bidder, it is 4 General Information 2 1.6 Standing offer agreements that consolidate volumes and standardize requirements, thereby reducing the time required to purchase standard goods or services; reduce the overall administrative costs associated with the purchase of low-cost and frequently used goods and services; Maintain competitive and affordable spending.

With regard to the award of goods, standing offers the possibility of concluding price agreements through the tendering procedure, which, by consolidating demand, offer lower costs for frequently used goods. This is also called achieving economies of scale. As regards the award of service contracts, permanent calls for tenders may provide for price agreements for services frequently required in the context of the tendering or tendering procedure (RFP). Contractual methods Commitment of funds Since standing offers do not contain any legal contractual obligation for all or part of the goods or services, they are not considered contracts. Therefore, no commitment is required. If individual releases take the form of purchase orders or service contracts, the funds must be committed and declared. .

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