Facility Operating and Service Agreements |
Updated: July 7, 2010 | |
The information provided here will help you decide if you wish to enter into an agreement with the Government of Alberta and guide you through the contract process.
If you are considering providing maintenance or other services within Alberta's parks and protected areas, please review the information provided.
The bidding process is open to all eligible individuals and organizations. In order to remain competitive, all bid packages are compared against each other and the mandatory requirements. The lowest bid will not necessarily be accepted. The Government of Alberta is looking for the best value for the services provided, and will also complete its own cost-benefit analysis for in-house delivery of the same services.
In order to ensure your eligibility and viability to enter into an agreement with the Government of Alberta, certain information on finances, past experience with this type of work, and questions related to contact and personal information will be asked. The collection and use of this information is in accordance with the Freedom of Information and Privacy (FOIP) legislation. More information on FOIP can be found at foip.alberta.ca.
Contents
Links
For available agreement opportunities for you to bid on, visit www.purchasingconnection.ca. You will sign on as a Vendor and can use the keyword 'Park' or 'Parks.'
For information on Workers Compensation Board (WCB) and Certificate of Recognition (COR), visit wcb.ab.ca.
For information on Freedom and Protection of Privacy (FOIP), visit foip.alberta.ca.
For information on Incorporation, visit servicealberta.gov.ab.ca/674.cfm.
For any information on the Alberta Parks Division, visit albertaparks.ca.
Minimum Requirements
The Province has some minimum requirements that must be met to be considered eligible to enter into an agreement.
- Incorporation status is needed to ensure that the potential operator / contractor is eligible for Workers Compensation Board (WCB) coverage. This can be a fairly simple, one day process. Visit servicealberta.gov.ab.ca/674.cfm for more information.
- Insurance - all operators / contractors are required to have insurance. Proof of coverage is required before start-up. The minimum requirements are defined below as copied from the Facility Operating Agreement document. You can take this to your private insurer to get a quote. Insurance requirements may vary depending on the specific agreement.
SCHEDULE "D" INSURANCE
The Operator shall
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insure its operations under a contract of General Liability in an amount not less than $2,000,000 per occurrence, insuring against bodily injury, personal injury and property damage including loss of use thereof. Such insurance shall include non-owned automobile liability, tenant's/occupier's legal liability and extend to include loss or damage to the Premises and/or Equipment in Appendix B in the care, custody and control of the Operator; providing such damage arises from the Operator’s negligence.;
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maintain Automobile Liability Insurance on all vehicles owned, operated or licensed in the name of the Operator in an amount not less than $1,000,000;
- maintain "All Risks" property insurance on all property owned by the Operator.;
- ensure that the policy of insurance required in (a) and (c) above is endorsed to provide the Province with 30 day advance written notice of cancellation; and,
- provide evidence satisfactory to the Province of all required insurance prior to the commencement of this Agreement and annually thereafter. On request the Operator shall promptly provide the Province with a certified true copy of each policy.
- Workers Compensation Board (WCB) coverage is a standard industry requirement. Proof of coverage is required before start-up. For more information or to contact the WCB, visit wcb.ab.ca.
- Guarantee of Performance - Operators and contractors must perform their contracted services to a pre-determined standard. Failure to meet these standards may result in a penalty or 'debt' owing to the province. Operators/contractors must provide a performance security at the time the agreement is signed. The term 'security' applies to an obligation, pledge or deposit given to assure payment of any 'debt.' This deposit can be equated to a damage deposit for an apartment rental. A performance security of 10-15% of the value of the whole agreement or an amount as determined by the Province is required.
- Safety Plan - in order to ensure the safety of the operator / contractor, the public, and employees, a safety plan is required. This document identifies how emergencies will be dealt with, contact information, and how all tasks will be performed safely. Some of your start up costs may be related to Occupational Health and Safety expenditures (e.g. purchase of Personal Protective Equipment or First Aid Training for employees). Please note that a Certificate of Recognition (COR) is a viable option as it includes a safety plan, but it is not a requirement at this time.
- Additional Considerations - There may be staff wages and spring cleaning costs. Purchasing firewood and other supplies may also be needed before the first operating season actually begins. Generally, some seed money is required. Depending on the size of the park or campground and the complexity of the services offered, there may be a time lag before any revenue is generated.
Agreement Types
The Alberta Parks Division utilizes two types of contracts to operate parks. The first is a 'Facility Operating Agreement' and the second is a 'Service Agreement.' Construction contracts are dealt with separately.
Facility Operating Agreement (FOA):
Facility Operating Agreement operators are responsible for operating and maintaining specific facility areas (e.g. campground, day use areas, boat launch) of the park on behalf of the Province. This includes, but may not be limited to, collecting fees, completing administration processes, performing all maintenance duties to government standards, and fulfilling basic levels of security duties for the public that use the facilities. The camping fees, net of any government imposed levies and surcharges, and any other money collected on site is retained by the operator and is expected to cover all expenses as well as generate a profit for the operator. Generally, there is no payment made by the Province to the operator.
Service Agreements:
Service Agreements vary in size and complexity. In parks where the Province operates the park facilities, specific maintenance tasks may be required to be provided by private contractor under service agreements. Some examples would be grass cutting or building cleaning. The Province advertises for potential bidders that can complete specific tasks to a given standard. The Province pays a specific fee for this service.
The Facility Operating Agreement and Service Agreement Process
- Advertising: All agreement and contract opportunities are advertised on the Alberta Purchasing Connection (APC) at www.purchasingconnection.ca. Advertising in local, large city, or out of province media (e.g. newspapers) is determined by the estimated value of the agreement and the likelihood of making contact with an appropriate person or company.
- Bid Proposal Packages: Potential bidders can purchase a Bid Proposal Package from the location indicated in the advertisement. These packages are intended to provide all the information required to provide the Province with a viable and competitive bid for the services required. Included are:
- a map of the facilities in question;
- a summary of previous revenue and costs; and
- a sample agreement.
- Information Sessions and Site tour: These sessions provide the potential bidders with the opportunity to meet the Province's representative and have any questions about the bid package answered. The bid packages are explained and, weather and access conditions permitting, a tour of the park and facilities is conducted.
- Submission of bid proposal package: Bid submission deadlines are clearly identified in the advertisement and can be confirmed at the Information Session. Failure to meet the deadlines will render your bid invalid.
- Review /Interview of proponent: Bid openings are public events. Once all of the bid proposals have been received, they are reviewed by a panel. The panel is made up of government employees from Alberta Parks Division and if applicable, independent reviewers will be selected from other government departments or the local community. Proponents may be requested to attend an interview to review their proposal for clarification and confirmation of information.
- Award: After the review panel completes interviews and assessment of the bid packages, an offer is made to the successful proponent.
- Monitoring process: Throughout the term of the agreement, the Province's representative meets with the operator / contractor at regular intervals, completes inspections of the facilities and collects all applicable administrative paperwork. There is an expectation that the park will be operated and maintained to service standards agreed to in the agreement.
- Agreement Completion: At the end of the agreement period, a final inspection is completed and if there are no account arrears or outstanding operational or administrative issues, the performance security deposit is returned to the operator / contractor.
If you have any question please contact Anita Schmidt at: 780-427-3155.
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