RFI-Changes to Producer Payment Protection

Trade Agreement: NONE
Tendering Procedures: All interested suppliers may submit a bid
Attachment: YES (MERX) Electronic
Competitive Procurement Strategy: N/A - P&A/LOI Only
Comprehensive Land Claim Agreement: No
Nature of Requirements: 
THIS IS NOT A SOLICITATION DOCUMENT
THIS IS A REQUEST FOR INFORMATION (RFI) FROM INDUSTRY

The intent of this Request for Information (RFI) is to solicit
feedback on all aspects detailed herein so as to enable Canada
to evaluate the strategy to be taken, if any, regarding further
related activities.  

More specifically, feedback is sought regarding: 

to obtain feedback from the industry on the efficiency and
effectiveness of the proposed program;
to determine the degree of interest within the insurance
industry for participating in the proposed program, and if any
changes are required in order to facilitate a robust bidding
process;
to obtain concurrence that the quantification estimates are
reasonable;
to obtain responses from the insurance industry to our specific
questions in order to assist us in developing a Request for
Proposal (RFP) with sufficient information for a underwriters to
prepare high quality proposals.

Overview

The Canadian Grain Commission (CGC) is a federal government
agency that administers the provisions of the Canada Grain Act
(CGA). The CGC's mandate as set out in the CGA is to, "in the
interests of the grain producers, establish and maintain
standards of quality for Canadian grain and regulate grain
handling in Canada, to ensure a dependable commodity for
domestic and export markets." The CGC's vision is to be "a
leader in delivering excellence and innovation in grain quality
and quantity assurance, research, and producer protection." The
CGC reports to Parliament through the Minister of Agriculture
and Agri-Food.

The CGC regulates the handling of 21 grains  grown in Canada to
ensure Canada's grain is safe, reliable and marketable, and
Canadian grain producers are protected. The CGC regulates
Canada's grain industry and is the official certifier of
Canadian grain. Through its activities, the CGC supports a
competitive, efficient grain sector and upholds Canada's
international reputation for consistent and reliable grain
quality. To achieve its mandate, the CGC:

regulates grain handling in Canada through the grain quality and
quantity assurance programs.
carries out scientific research to understand all aspects of
grain quality and grain safety and to support the grain grading
system, and
has implemented a number of producer protection programs and
safeguards to ensure the fair treatment of Canadian grain
producers when they deliver their grain to licensed grain
elevators and grain dealers. This includes the licensing and
security program, the producer car allocation program and the
producer support program.

The Licensing Program includes a producer payment protection
(also known as producer security) function that requires all
licensed companies to tender financial security to cover
eligible outstanding liabilities to producers for qualifying
grain deliveries. If a licensee is unable or unwilling to pay
producers for their deliveries, producers have the right to
submit a claim to the CGC for compensation, and the CGC may draw
upon that licensee's posted security to fulfill their producer
payment obligations.

5K002-133712/A
Jocelyne C Gagnon
Telephone No. - (819) 956-0575
Fax No. - (819) 956-2675
E-mail: jocelyne.c.gagnon@tpsgc-pwgsc.gc.ca
Delivery Date: Above-mentioned

The Crown retains the right to negotiate with suppliers on any
procurement.

Documents may be submitted in either official language of Canada.