TOWN OF VIEW ROYAL COMMITTEE OF THE WHOLE REPORT: Proposed Amendments to Purchasing Policy #1600-21

RECOMMENDATION:

THAT the Committee review and recommend amendments to Purchasing Policy #1600-021.

ALTERNATIVE OPTIONS:

1. THAT the Committee recommend only an amendment to incorporate the “Buy Canadian” portion of the proposed amendments.
2. THAT the Committee review Purchasing Policy #1600-021 and recommend no changes.

PURPOSE:

The purpose of the proposed amendments to the Purchasing Policy #1600-021 are as follows:

• Incorporate “Buy Canadian” amendments ratified by resolution C-28-25 from the February 18th, 2025 Regular Meeting of Council.
• To adjust the Approval Authority and Procurement Thresholds upwards in recognition of inflation since the Policies inception in 2018.
• To meet the 5-year review schedule proposed in the Policy

BACKGROUND:

Purchasing Policy #1600-021 was approved in September 2018 with a proposed review frequency of every 5 years. The policy was amended once in 2021 to integrate the Public Art Policy #0100-053.

At the February 18th, 2025 Regular Meeting of Council, a resolution to amend the Purchasing Policy to include “Buy Canadian” provisions was carried, in response to the trade war inflicted by the United States government.

According to the Bank of Canada Inflation Calculator, inflation rose 23.05% between 2018 and 2025. When the Purchasing Policy is reviewed every 5 years, approval authorities and procurement thresholds should be adjusted to account for inflation.

Figures should be rounded to the nearest round number, in order for it to be easier for Town staff to recall the figures. Increasing these thresholds to account for inflation meets the original intent of the policy while authorizing and empowering staff to carry on with their purchases and procurement methods.

5. Approval Authority Thresholds:

• Adjust threshold from $5,000 to $6,000
• Adjust threshold from $25,000 to $30,000
• Adjust threshold from $75,000 to $90,000

10. Procurement Thresholds:

• Adjust threshold from $10,000 to $12,500
• Adjust threshold from $24,999 to $29,999
• Adjust threshold from $49,999 to $59,999
• Adjust threshold from $74,999 to $89,999
• Adjust threshold from $99,999 to $124,999
• Adjust threshold from $100,000 to $125,000

PUBLIC PARTICIPATION GOAL:

The desired level of public participation for the recommended option is:

[x] Inform [ ] Consult [ ] Involve [ ] Collaborate [ ] Empower [ ] N/A

TIME CRITICAL:

Despite a 5-year review schedule, the Purchasing Policy has only been amended once since it’s inception in 2018 only to incorporate Public Art procurement considerations.

ATTACHMENTS:

1. Redlined version of Purchasing Policy #1600-021 with proposed amendments
2. DRAFT Purchasing Policy #1600-021 with proposed amendments

Respectfully,

Chief Administrative Officer