Item - 2023.GG8.21

The General Government Committee recommends that:

1. City Council amend Municipal Code Chapter 195, Purchasing, as set out in Attachment 1 to the report (November 22, 2023) from the Chief Procurement Officer, effective July 1, 2024 (the “Effective Date”).

2. City Council direct the Chief Procurement Officer to report back to City Council prior to the Effective Date on updates to Council-approved policies that are required to implement the recommended changes.

3. City Council direct the Chief Procurement Officer to review the role of the Bid Award Panel and report on recommendations for improving its function and oversight in the procurement process.  

4. City Council repeal the Procurement Activities of the Printing and Distribution Unit into Technical Compliance with Chapter 195 policy, which will become redundant as a result of the adoption of the other recommendations in this report.

5. City Council request the Chief Procurement Officer to include the following information on all reports to Standing Committee and City Council on non-competitive procurements:

a. The non-competitive exception code name and definition, in line with Municipal Code Chapter 195, Section 7.1;

b. The reason that a competitive procurement was not undertaken; and

c. In cases where the exception code “time constraints” is used, a clear explanation of why the procurement was not started earlier.

The purpose of this report is to recommend amendments to Toronto Municipal Code Chapter 195, Purchasing (the Purchasing Bylaw). This report also responds to a request from City Council to report on the possibility of adopting the Open Contracting Global Principles and the role of an Inspector General.

The Purchasing Bylaw was last reviewed in 2016, and the current Purchasing Bylaw was enacted on January 1, 2017. In accordance with Chapter 195, Section 3.1(R), the Bylaw is required to be reviewed every five years. The review, which had been scheduled for 2020 and 2021, was delayed due to the COVID-19 pandemic. Purchasing and Materials Management Division (PMMD) initiated a review in 2022 and this report recommends a number of changes resulting from that review:

- Renaming the Toronto Municipal Code Chapter 195 to Procurement

- Increasing Chief Procurement Officer and division head authority to process limited solicitations

- Clarifying the beginning of the Blackout Period during the procurement process

- Extending the Chief Procurement Officer's authority to cancel a procurement

- Clarifying the need for appropriate consultation, authority and responsibility to negotiate certain provisions in contracts;

- Administrative or 'housekeeping' amendments for a more concise and easier to interpret bylaw