Information for Vendors

Requirements for Award of City Projects – Fair Wage Policy and Fair Wage Schedule


With Council’s approval of the Fair Wage Schedules at the March 10th meeting of Council, Vaughan’s Fair Wage Policy and Fair Wage Schedule is now in effect.

 

Council adopted the implementation of Infrastructure Health and Safety Association’s Certificate of Recognition (CORTM), a comprehensive health and safety audit tool with an accredited certification program for the construction industry in Ontario. CORTM and the Fair Wage Policy demonstrate the City’s commitment to protecting workers engaged on City construction contracts, as well as the community of Vaughan as a whole.

What is the purpose of the Fair Wage Policy and Fair Wage Schedule?


The Fair Wage Policy ensures that no contractor or sub-contractor performing construction work for the City of Vaughan secures an unfair competitive advantage over other construction employers by paying wages below prevailing norms.

 

What City projects does the Fair Wage Policy and Fair Wage Schedule apply to?


A project in the construction industry:

 

  • with a minimum contract value of $500,000 of the prime contract.
  • where the businesses are engaged in constructing, altering, decorating, repairing or demolishing buildings, structures, roads, sewers, water or gas mains, tunnels, bridges, canals or other works at the site.
  • within one or more of the following sectors:
    • industrial, commercial and institutional
    • sewers and watermains
    • roads
    • heavy engineering

 

This excludes landscaping work, snow removal and maintaining buildings or equipment.

 

Who does the Fair Wage Policy and Fair Wage Schedule apply to?


The provisions of the Fair Wage policy apply equally to contractors and all sub-contractors undertaking construction work for the City of Vaughan at or above the construction contract threshold. Contractors may not sub-contract work to any sub-contractor at a lower rate stipulated in the Fair Wage policy.

The Fair Wage policy does not apply to owner operators or partnerships, or principals of companies as long as they undertake the work themselves.

 

What is required of the Prime Contractor?


At the commencement of work, the contractor shall post a copy of the Fair Wage Policy and Fair Wage Schedule in a prominent location at the City construction contract site to enable workers of the contractor and sub-contractor to review. Alternate methods may be considered, and if approved by the Manager of Procurement, shall be in writing prior to the commencement of the construction contract.

 

After substantial performance of the construction contract and prior to the release of the holdback, for all construction contracts with the City, the contractor shall provide to the City, in a form acceptable to the City, a declaration confirming that the contractor and its sub-contractors complied with the Fair Wage Policy and Fair Wage Schedule.

 

When is a Contractor deemed to be in compliance with the Fair Wage Policy and Fair Wage Schedule?


A contractor or sub-contractor shall be in compliance with the Fair Wage Policy and Fair Wage Schedule when the worker receives a minimum compensation package that includes wages and benefits, which the aggregate amount is not less than the total hourly compensation as set out in the Fair Wage Schedule.

 

What is the consequence of non-compliance?


If it is found that the contractor or sub-contractor is compliant with the Fair Wage Policy and Fair Wage Schedule, there will be no further action. If it is found that the contractor or sub-contractor is non-compliant with the Fair Wage Policy and Fair Wage Schedule:

 

  • First occurrence, contractor or sub-contractor may be required to submit an assurance report from a Certified Public Accountant verifying compliance with the Fair Wage Policy and Fair Wage Schedule for the next three construction contracts the contractor or sub-contractor is awarded.
  • Second occurrence, the City may refuse to accept any bid submissions from the contractor or sub- contractor or refuse to accept the sub-contractor on any future construction contract for a period of two years.

 

What is the method of investigation for compliance?


A compliant basis of investigation is incorporated into the Fair Wage Policy. Anyone may submit a complaint to the Director of Procurement Services, alleging non-compliance with the Fair Wage Policy and Fair Wage Schedules, by any contractor or subcontractor performing construction work on a City construction contract.

There is no fee for filing a complaint. Should the complaint proceed to the investigation stage, there is a $5,000 investigation fee. This fee is waived for workers.

 

Where can the Fair Wage Policy and Fair Wage Schedule be found?


The Fair Wage Policy, Fair Wage Schedule and Complaint Form can be found on Vendor Information.

 

Use of e-Signature software DocuSign for Execution of Contracts

 

Procurement Services has also successfully implemented e-signatures for all procurement agreements. Procurement Services quickly implemented this function while maintaining compliance with appropriate regulatory policies and helping to enhance operations through performance efficiencies and costs savings. This feature benefits vendor community by minimizing the inconvenience of traveling to the City offices and offers a safe work environment to staff by reducing public interaction.

 

City is now accepting digital Performance and Labour and Material Bonds

 

Procurement Services continues to modernize its practices and transition to using digital solutions and is excited to introduce Digital Performance, Labour and Material Bonds. All awarded vendors, as applicable, will be required to submit digital Performance and/or Labour and Material bonds. Standard Bid Bond (PDF)

 

Vendor Performance Evaluation and Forms

 

The City monitors vendor performance to ensure goods, services and construction managed by the City are delivered at best value for money in an ethical and professional manner.

 

Section 8 of the Corporate Procurement Policy (PDF) introduces the development of a vendor performance program to help City staff evaluate and improve the performance of all vendors awarded contracts by actively managing the performance of contracted vendors during the term of the awarded contracts and creating a record of past performance for use by Procurement Services to determine the award for future procurements.

 

It is the responsibility of City staff to monitor their contracts and report on the performance of the contracted vendor during the term of the contract.

 

For your information, below are the forms used by the City to evaluate vendors:

 

 

Notice to Construction Contractors & Consultants - PHASE 2 of OHSMS Implementation Deadline

for Certification Projects over $25M is August 31, 2022

 

Currently, Contractors/Consultants on any construction project being undertaken with the City of Vaughan with values over $500,000 must be registered with an approved Occupational Health and Safety Management System (OHSMS).

 

Effective September 1, 2022, the City will enter the 2nd phase of the OHSMS implementation process.
 

All Contractors/Consultants must be certified with an approved OHSMS to be awarded projects of value greater than $10M with the City.

 

As part of an ongoing commitment to health and safety, the City of Vaughan is introducing an Occupational Health and Safety Management System (OHSMS) requirement as part of its construction procurement and contract management processes.

 

The City’s OHSMS requirement will be a phased implementation based upon construction contract value (described below). This phased-in approach will provide contractors with sufficient time to include any necessary elements into their existing health and safety plans. The City of Vaughan will continue to work in collaboration with the construction industry on the implementation of this new requirement.

 

What is an OHSMS?


An OHSMS is a framework put in place by employers to manage risks, establish controls, and minimize the incidence of injury and illness to their workers. This is accomplished through identifying, assessing, and controlling risks associated with construction work.

 

Why is the City of Vaughan introducing the requirement for an OHSMS?


Introducing an OHSMS, validated by an external third party, will result in continued attention to occupational health and safety best practices to reduce the potential for injuries, illnesses and fatalities.

 

What is going to change?


The Contractor, when requested, will be required to provide the City of Vaughan with a copy of its health and safety policy and program and is required to respond promptly to requests from the City for confirmation that its methods and procedures for carrying out the work comply with the OHSA and associated regulations.

 

A Contractor is already responsible for construction safety and for compliance with the rules, regulations and practices required by the Occupational Health and Safety Act (OHSA).

 

With the added requirement of an OHSMS, as part of the procurement process and before awarding a contract, a Contractor will be required to provide proof to the City that it has a valid OHSMS that has been certified and independently audited by a third party on programs, procedures and policies.

 

Which OHSMS will the City accept?

 

The City does not specify which OHSMS the Contractor should adopt. Certification programs will evolve, but the City will currently accept the following, on the basis they have been independently certified and audited:

 

  • COR™, and
  • ISO 45001:2018 (covering construction activities of the organization).

 

The City will also accept:

 

  • CSA Z45001:19, and
  • OHSAS 45001:2018

 

When will the new requirement take effect?

 

Timelines for certification are as follows:

  • September 1, 2023 – construction contracts valued over $500,000


Is there any requirement of registration or enrolment for one of the OHSMS program for bidding on construction contracts?

 

While the timelines to achieve certifications are outlined above, the City’s expectation effective March 30, 2020 is to receive proof of registration with one of the recognized programs in order to award construction contracts.

 

Will the new requirements apply to subcontractors?


While initially subcontractors (trades) to Contractors will not be expected to hold a certified OHSMS, they will be expected to adhere to the general Contractor’s health and safety program. Through this process, the objective is to ensure safe work sites and promote safe work practices for everyone. The date on which subcontractors will be required to have a certified OHSMS (and subcontract value threshold) is still under review by City, in consultation with the industry experts.

 

What will be done to support contractors through this implementation?


The City has and will continue to work in collaboration with the construction industry on the implementation of this new requirement. This will include holding joint awareness and information sessions in the upcoming years as contractors work towards achieving their certification, and additional information is gained on health and safety requirements from the Province of Ontario.

 

For more information and feedback, contractors are encouraged to contact the City’s Procurement Services department at 905-832-8555.

 

Notice to contractors: Bidding on City of Vaughan Construction Bids

 

Certificate of Recognition (COR™) requirement effective March 1, 2020

 

Under the City of Vaughan Council's endorsement in December 2019, and consistent with the City's COR™ roll-out strategy found on the City's website and in all tender documents, commencing March 2020, successful bidders on all City construction contracts must possess, at the minimum, registration and secure and maintain a valid COR™ or an Equivalent Occupational Health and Safety (OHS) Certification for the duration of the contract by effective dates as per various contract thresholds. The successful bidder shall be required to provide a copy of a valid COR™ or Equivalent OHS Certification to the City as a condition of award by the program implementation date.

 

"Certificate of Recognition (COR™)" means the nationally recognized occupational health and safety certification granted to qualifying firms by the Infrastructure Health and Safety Association (IHSA) of Ontario or its successor.

 

"Equivalent OHS Certification" means an occupational health and safety certification issued to qualifying firms by an independent third-party organization and accepted by the City (in the City's sole discretion) as equivalent to the COR ™.

 

The Corporation of the City of Vaughan Notice of Participation with Collaborative Purchasing Organizations i.e., Buying Groups, under CFTA Article 504

 

The Corporation of the City of Vaughan intends to participate in one or more procurements conducted by any of the following Collaborative Purchasing Organizations (CPO):