Mediation Services for the Farm Debt Mediation Service (FDMS) in the province of Manitoba

Status Awarded

Contract number 01B68-23-0045

Solicitation number 01B68-23-0045

Publication date

Contract award date

Contract value

CAD 127,500.00

    Description

    This contract was awarded to:

    Signature Mediation

    1.2 Summary
    1.2.1 The Farm Debt Mediation Act (FDMA) received Royal Assent on April 25, 1997 and came into force
    on April 1,1998. The Farm Debt Mediation Service (FDMS) was established to deliver the FDMA. The
    service provides a streamlined process of mediation to assist insolvent farmers and their creditors to
    negotiate settlement arrangements, rather than have those disputes result in costly legal proceedings for
    all parties.
    A Mediator is assigned to assist the farmer and creditors explore options for the successful resolution of
    the case.
    To apply for assistance under the FDMA, an individual, corporation, partnership, cooperative or other
    association of persons must be "engaged in farming for commercial purposes", meaning that the
    production from their crops, livestock, or other eligible commodities is commercially available for sale as
    opposed to being grown for the personal use of the farmer or for a person related to the farmer as defined
    in the regulations. The applicant must also be "insolvent”, which is defined in article 6 of the FDMA as
    follows:
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    Only farmers:
    • who are for any reason unable to meet their obligations as they generally become due;
    • who have ceased paying their current obligations in the ordinary course of business as they generally
    become due; or
    • the aggregate of whose property is not, at a fair valuation, sufficient, or if disposed of at a fairly
    conducted sale under legal process would not be sufficient, to enable payment of all their obligations, due
    and accruing due.
    Under the FDMA, farmers can apply for review and mediation only or for a Stay of Proceedings, review
    and mediation. There are several factors to consider in deciding how to apply.
    Secured creditors are obliged by the Act to serve the farmer with a Notice of Intent to Realize on Security
    before undertaking any action to recover debts. In this case, the farmer would usually choose the FDMS
    application which includes a Stay of Proceedings to prevent further action by the creditor during
    mediation. The farmer would also apply for a Stay when being sued for a debt by an unsecured creditor.
    Though unsecured creditors are not required to provide a Notice of Intent, the Stay still protects the
    farmer's assets during mediation. If a Notice of Intent has not been served and legal action has not been
    taken, the farmer may prefer to apply for review and mediation only, without applying for a Stay.
    Once the review and recovery plan are prepared an unbiased mediator is appointed by the Manager to
    meet with the farmer and their creditors to try and facilitate a comprehensive solution between the parties.
    Mediators must be free from any conflict of interest in the matters between the farmer and creditors and
    are expressly forbidden under the FDMA from providing advice to either the farmer or any of the creditors.
    During the mediation the farmer presents the recovery plan to the creditors and seeks their agreement to
    a course of action to resolve the current financial difficulties. If the farmer has applied with a Stay, the
    meeting would involve all creditors. If without a Stay, then the meeting would involve all secured creditors
    and any other creditors who need to be involved in reaching a settlement. There may be cases where a
    recovery plan would not be required, such as those situations where the farmer wants to negotiate an
    agreement for an orderly sale of assets and an exit from farming. At the conclusion of the negotiation it is
    critical for the parties to obtain either a signed, binding agreement or an agreement-in-principle with a
    well-defined plan of action for having a final agreement drawn up and signed.
    An assessment will be conducted by the FDMS office after completion of the mediation. The assessment
    will evaluate the participants' satisfaction with the FDMS office, and the mediation services and help to
    determine possible program changes or enhancements that may be initiated.
    You can find more information about the FDMS on AAFC web site:
    https://agriculture.canada.ca/en/programs/farm-debt-mediation-service
    1.2.2 One method of supply used by Agriculture and Agri-Food Canada (AAFC) to satisfy the
    requirements of our programs is to invite suppliers (by way of a Request for Standing Offer (RFSO) to
    submit an offer for the provision of services during a specified period. With the completed RFSO process,
    AAFC is authorized to make call-ups against the resulting SO’s detailing the exact level of services they
    wish to order at a particular time during the effective period of the SO, in accordance with the
    predetermined conditions.
    A RFSO does not commit AAFC to authorize the utilization of an SO or to obtain services or issue a
    subsequent Contract to this effect.
    A standing offer is not a contract and that the issuance of an SO and Call-up Authority does not oblige or
    commit Canada to procure or contract for any services listed in the SO. The Offeror understands and
    agrees that Canada has the right to procure the services specified in the SO by means of any other
    contract, SO or contracting method.
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    1.2.3 The purpose of this Request for Standing Offers (RFSO) is to select Offerors to enter into
    negotiations with AAFC to issue Departmental Individual Standing Offers (SO) to obtain the services
    described in the Statement of Work for Manitoba.
    The total budget for the SO will be approximately $510,000.00 based on a maximum of four (4) standing
    offers.
    Services are required for a period of four (4) years, starting at date of issuance of standing offers.

    Business address

    7 Kingswood Crescent

    La Salle, Manitoba, R0G 0A1
    Canada
    Notice type
    Request for Standing Offer
    Procurement method
    Competitive – Open Bidding
    Language(s)
    English
    ,
    French
    Selection criteria
    Highest Technical Merit within a Stipulated Maximum Budget
    Region(s) of delivery
    Manitoba

    Contract duration

    The contract will be for a period of 51 month(s), from 2024/01/01 to 2028/03/31.

    Commodity - UNSPSC

    • 80122001 - Independent dispute mediation or arbitration service

    Trade agreements

    • North American Free Trade Agreement (NAFTA)
    • World Trade Organization Agreement on Government Procurement (WTO GPA)
    • Canada-Chile Free Trade Agreement (CCFTA)
    • Canada-Peru Free Trade Agreement (CPFTA)
    • Canada-Colombia Free Trade Agreement
    • Canada-Panama Free Trade Agreement
    • Canada-Honduras Free Trade Agreement
    • Canada-Korea Free Trade Agreement (CKFTA)
    • Canadian Free Trade Agreement (CFTA)
    • Canada-European Union Comprehensive Economic and Trade Agreement (CETA)
    • Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)
    • Canada-Ukraine Free Trade Agreement (CUFTA)

    Reason for limited tendering

    A contracting officer can use limited tendering for specific reasons outlined in the applicable trade agreements. The reason for this contract is described below:

    • None
    Contact information

    Contracting organization

    Organization
    Agriculture and Agri-Food Canada
    Address

    1305 Rue Baseline

    Ottawa, Ontario, K1A 0C5
    Canada
    Contracting authority
    Kyle Harrington
    Phone
    5555555
    Email
    kyle.harrington@agr.gc.ca
    Address

    1305 Rue Baseline

    Ottawa, Ontario, K1A 0C5
    Canada