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Minister assures procurement reforms will not hinder small business
By Ellen Tsaprailis, Ottawa Business Journal Staff
Mon, Feb 21, 2005 1:00 PM EST

Public Works and Government Services Canada minister Scott Brison spent time Monday assuring members of Ottawa's Centre for Research and Innovation that reforms to the federal government's procurement system will not squeeze out small businesses and stifle innovation.

"We get it. It's not in our interest to create a system that (excludes) small business," said Mr. Brison. "The status quo is not acceptable in government. We have to start behaving in a more corporate way.

"I'm determined to move forward on this agenda."

Speaking to approximately 300 interested businesspeople, Mr. Brison reiterated his commitment to small and medium-sized enterprises and his intention to work with industry associations along the way as changes are implemented.

Having built two small businesses of his own, Mr. Brison told the crowd of entrepreneurs that he understands their concerns, but that he personally feels small businesses can and will be able to compete and win important contracts with new reforms in place.

Mr. Brison expects procurement reforms to take between six to eight years to be phased in but is hopeful many changes can be implemented in the near future.

"We are going to make a dramatic step forward now," he said, promising that in four years it will be easier for SMEs to do business with the government.

The federal government's goal is to save 10 per cent of its current procurement expenditures, according to Mr. Brison. Savings have already begun in the form of buying volume at discounted prices. A specific example is the the new contract that was signed with SNC Lavalin to maintain government buildings, which he said is saving the federal government $50 million a year.

User fees for the Merx electronic tendering system will be eliminated in April, adding another element of reform that Mr. Brison said will help the small business owner.

Admitting that the current procurement process is too slow, he wants to reduce its complexity, streamline processes and make the system work 50-per-cent faster.

In response to the concerns small business owners have had with potential reforms, an office for small business will be set up within the department of PWGSC to help small businesses decipher the procurement system.

"We are currently in the process of building the mandate for the small business office," Mr. Brison said. It has not yet been determined who will head this new office.


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