Thank you, Mr. Speaker. Mr. Speaker, I rise today to address the need for the government to support our small businesses and entrepreneurs in the Northwest Territories. We have spoken at length in this Assembly about the need to diversify the economy, to support Northern entrepreneurs, and to make sure our government's spending supports our growing private sector.
To that end, we have business incentive programs to support Northern businesses which face higher costs, and we have policies and regulations that make sure that our businesses and entrepreneurs can compete fairly for government jobs and contracts.
Similar to my colleague, I am concerned with some recent changes in the government's policy on sole-source. Mr. Speaker, in the interests of timing and efficiency, some contracts are allowed to be offered without tender or negotiation processes, in other words, sole-sourced. In the interests of fairness to all potential bidders, those contracts are limited and conditions are applied.
Mr. Speaker, the Financial Administration Manual sets conditions under which sole-source contracts can be awarded. They are allowed only if delay in purchasing would be harmful to the public interest, or if only one supplier is available. Recently, Mr. Speaker, the Minister changed the conditions and brought in major increases in the allowable amounts for sole source contracts. The maximum value of sole-sourced contracts for goods and nonprofessional services was increased from $5,000 to $25,000, the limit for professional services was increased from $25,000 to $50,000, and the limit for architectural and engineering professional services was increased from $25,000 to $100,000.
Mr. Speaker, yesterday I received an email from a small business constituent who seems to have been directly affected by this change in policy. The company was awarded a contract with a value of $10,000 in 2012. This year, a similar contract was sole-sourced to another agency, which was not even a business. This change in sole-source practice without consultation does not fit our commitment to transparency, Mr. Speaker. The awarding of such a contract does not fit with our support of the small business sector, and the sole source of a contract for which there is more than one local supplier does not seemingly meet with the conditions of the sole-source policy. Mr. Speaker, it may already be time for change of the sole-source policy. Mr. Speaker, at the appropriate time, I'll have questions for the Minister of MACA. Thank you.