Legal and Regulatory Structures

NO

ASPECTS

DESCRIPTION

1.

Legal and Regulatory Framework

Canada has a federal structure of government, which means that each order of government has control over its capital assets. As such, frameworks and practices can vary from one jurisdiction to the next.

At the federal level a number of laws and regulations apply to capital projects and undertakings, including PPPs (Financial Administration Act, Treasury Board Policies on asset planning, management of real property, project management, contracting, etc.). However, there is no specific legislative or regulatory framework that has been established for PPP procurement. Treasury Board policies require that federal departments assess the suitability to PPP procurement of their large capital projects (i.e. with more $100 million in capital costs); should there be the potential to procure an asset through a PPP and generate positive value for money, the responsible department must develop and assess a PPP option among other possible procurement options for the project.

At the provincial level, several jurisdictions have incorporated the principles of PPP procurement into the legislative or regulatory framework supporting their capital management processes, including British Columbia, Albert and Ontario. A small number of municipalities have also adopted PPP policies to guide their adoption of this procurement method (e.g. Ottawa, Calgary, Edmonton).

2.

Involved Government Agencies

There are a number of dedicated PPP units at the federal and provincial levels in Canada. Depending on their authorities and that of other organizations, their role ranges from raising awareness within the public sector to the costs and benefits of PPP procurement to screening capital plans for projects suitable to PPP procurement, to providing advisory services on specific projects, and to managing PPP projects and signing PPP agreements with PPP concessionaires.

PPP Canada Inc. - Dedicated PPP unit (Crown corporation) at the federal level (established in 2008)

Infrastructure Ontario - Crown corporation that includes a dedicated PPP unit in Canada's largest province (established in 2006)

Partnerships B.C. - Dedicated PPP unit (Crown corporation) in British Columbia (established in 2002)

Alberta Infrastructure - Dedicated PPP unit within the provincial ministry of Infrastructure in Alberta (established in 2010)

Partnerships New Brunswick - Centre of Excellence on PPPs within the provincial ministry of Transportation in New Brunswick (established in 2010)

SaskBuilds - Dedicated PPP unit (Crown corporation) in Saskatchewan (established in 2012)

In addition to these dedicated organizations, a number of government entities are directly involved in the procurement of capital assets, which include PPPs. These include:

Public Works and Government Services Canada

Defence Construction Canada

Provincial Ministries of Transportation

Provincial Ministries of Infrastructure

Provincial Ministries of Health

Provincial Ministries for Correctional Services

Regional Transportation Authorities (TransLink in British Columbia, Metrolinx in the Greater Toronto Area, the Agence Métropolitaine des Transports in the Greater Montréal Area)

Various municipalities

3.

Supporting Agencies

See above.