Backgrounder: Exploring the procurement process for Newcomer Reception Centres

We are in the midst of a housing crisis in Ottawa and many people can’t find a home, be it market housing or an affordable unit.

The housing and homelessness system in our city is facing a surge in demand. Many who are precariously housed need a place to stay, especially during these colder months. Concurrently, asylum claimants account for 60 per cent of clients in the single adult shelter system.

With this ongoing crisis, an urgent need to build more housing exists and solutions are needed to alleviate the pressures on the different aspects of the housing system.

In response to the increase in asylum claimants, the City is building a sustainable, federally funded newcomer reception system, a decision that has been in the making since November 2023(link is external). This model will include reception centres, which are a crucial link in the system, allowing claimants a dignified place to begin their journey in Ottawa while removing the added pressure on our emergency shelter system.

Transparent, fair and efficient procurement approach

Recognizing that there is an urgent need, staff have studied the best path forward in establishing reception centres since early 2024. Following an extensive review, and a report from an independent consultant, pre-fabricated buildings (or tensile membrane structures) were the building type identified which would best suit the project’s needs.

These structures were selected because they are:

• High quality, providing safe and dignified temporary living accommodations.
• Cost effective and easily converted, disassembled or relocated.
• Proven to be built within 12 months, addressing the urgent need to free up space in community centres and the shelter system.

The City identified a single vendor that had the ability and experience to meet the specialized and detailed needs to build the structures within the City’s desired timeframe. Recognizing this, and the need to be transparent, a procurement process that could be both efficient and fair was chosen, the Advance Contract Award Notice (ACAN).

This process is the quickest way for the City to determine if other vendors are available and to engage with them on the proposed project.

An ACAN is a standard procurement tool used by governments in Canada when it’s determined that a project requires specialized services that aren’t widely available in the given industry. It also allows a supplier to submit a brief statement of capabilities to show they have the ability and experience to meet the specialized and detailed skills to build the structures within the desired timeframe.

A vendor’s submission does not need to include details such as financial offers, their proposed level of effort, work plans, methodologies, or approaches, which expedites the open, fair and transparent procurement process.

Interested vendors have until Friday, January 31 to submit their statement of capabilities. After the deadline, a team of qualified evaluators will carefully review any submissions received to determine the next steps. An update on the process will be posted to the Engage Ottawa project page once the review is complete and a decision has been made.

The need is urgent, and the City needs to act now to build much-needed capacity in the housing system as soon as possible. Everyone in Ottawa deserves to find a place where they can find shelter, be it on a permanent, temporary, or emergency basis.

Together, we can continue the tradition of being a welcoming city.