Regulation - LGIC
Proposed Approach for Regulations under the Building Ontario Businesses Initiative Act, 2022
Regulation Number(s):
Not Applicable
Instrument Type:
Regulation - LGIC
Bill or Act:
Building Ontario Businesses Initiative Act, 2022
Summary of Proposal:
The government is committed to supporting Ontario businesses and intends to create a level playing field that reduces barriers and provides them with greater access to procurement opportunities with public sector entities, contributing to their growth to build their competitiveness for the global market.
Under the Building Ontario Businesses Initiative Act, 2022, public sector entities are required to give preference to Ontario businesses, in accordance with the regulations, when conducting procurement processes for prescribed goods and services at the value of which are under the prescribed threshold amounts.
The government of Ontario is considering making regulations to prescribe the circumstances in which public sector entities are required to give preference to Ontario businesses:
• governing when a business is considered to be an "Ontario business" for the purpose of the Act.
• prescribing the types of goods and services
• prescribing the threshold amounts
• specifying the manner in which preference is to be given to Ontario businesses
See attached for the proposed approach and inputs sought.
Under the Building Ontario Businesses Initiative Act, 2022, public sector entities are required to give preference to Ontario businesses, in accordance with the regulations, when conducting procurement processes for prescribed goods and services at the value of which are under the prescribed threshold amounts.
The government of Ontario is considering making regulations to prescribe the circumstances in which public sector entities are required to give preference to Ontario businesses:
• governing when a business is considered to be an "Ontario business" for the purpose of the Act.
• prescribing the types of goods and services
• prescribing the threshold amounts
• specifying the manner in which preference is to be given to Ontario businesses
See attached for the proposed approach and inputs sought.
Analysis of Regulatory Impact:
The potential regulations, if approved, would provide for the circumstances for which public sector entities, are required to give preference to Ontario business when conducting procurement processes in accordance with the requirements of the regulations under the Building Ontario Businesses Initiative Act, 2022.
Anticipated Costs
The potential regulations are in the development stage and may be refined based on feedback from stakeholders. It is anticipated that impacted public sector entities may incur some direct compliance costs including administrative costs of learning and applying the regulations in the procurement processes to ensure compliance. The total direct compliance costs will be determined once the proposal is finalized.
Anticipated Benefits
It is the intention that the potential regulations will support the creation of a level playing field for Ontario Businesses, will reduce barriers and provide Ontario businesses with greater access to public procurement opportunities, helping them sell more goods and services to drive economic recover.
Anticipated Costs
The potential regulations are in the development stage and may be refined based on feedback from stakeholders. It is anticipated that impacted public sector entities may incur some direct compliance costs including administrative costs of learning and applying the regulations in the procurement processes to ensure compliance. The total direct compliance costs will be determined once the proposal is finalized.
Anticipated Benefits
It is the intention that the potential regulations will support the creation of a level playing field for Ontario Businesses, will reduce barriers and provide Ontario businesses with greater access to public procurement opportunities, helping them sell more goods and services to drive economic recover.
Further Information:
Broader Public Sector Accountability Act, 2010, S.O. 2010, c. 25 (ontario.ca)
Building Ontario Businesses Initiative Act, 2022, S.O. 2022, c. 2, Sched. 2
Supply Chain Management Act (Government, Broader Public Sector and Health Sector Entities), 2019, S.
Proposed Approach for Regulations under the Building Ontario Businesses Initiative Act, 2022
Proposal Number:
23-TBS002
Posting Date:
June 23, 2023
Comments Due Date:
August 8, 2023
Contact Address:
222 Jarvis Street, 8th floor,
Toronto ON M7A 0B6
Toronto ON M7A 0B6