The Irving Shipbuilding facility is seen in Halifax on June 14, 2018. The $60-billion effort to build new warships for Canada’s navy is facing another delay after a trade tribunal ordered the federal government to postpone awarding a final contract for the vessels’ design.

Feds didn’t fully assess requirements in towing vessel contract, tribunal says

The vessels are to be used on contract by the Canadian Coast Guard to tow away broken-down vessels in B.C. waters

Canada’s International Trade Tribunal says the federal government should reassess its decision to award a contract for two emergency towing vessels off the coast of British Columbia.

The $67-million contract was awarded by Public Services and Procurement Canada in August to Atlantic Towing Ltd. and the boats are now in operation.

They are to be used on contract by the Canadian Coast Guard to tow away broken-down vessels in B.C. waters before they become hazards to other boats and marine life.

In September a complaint was made to the trade tribunal by Horizon Maritime Services and the Heiltsuk Nation, which had formed a partnership to bid on the contract together.

Horizon and Heiltsuk allege Public Services didn’t properly assess all the requirements it set out for the boats.

The tribunal agrees and recommends the department take a fresh look at one of the specific safety requirements to ensure the towing vessels can safely pull the required weight.

The tribunal recommends the contract continue during the reassessment but says if another bid actually was stronger than Atlantic Towing’s, the contract should be terminated.

If the best bid is determined to have come from Horizon and Heiltsuk, they should be compensated for any money they lost out on in the process, the tribunal’s ruling says.

Heiltsuk Chief Councillor Marilyn Slett says winning the contract would be a huge economic help to her community.

A spokesman for Public Services said the department is still reviewing the tribunal’s decision, and won’t comment further. Pierre-Alain Bujold said in an email that the vessels will continue operating pending a decision on how to proceed. He noted one of the boats has already been used in an emergency.

The towing vessels are one of the key elements of the federal government’s Oceans Protection Plan. The $1.5-billion plan is critical to the government’s hope to convince Canadians it can expand the economy, including by building new oil and gas pipelines, and still protect the environment.

RELATED: Tribunal orders feds to postpone contract in $60B warship project

RELATED: Feds aiming to select preferred design for $60B warships by end of month

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

The Trail Smoke Eaters win in a shootout over Wenatchee Wild

The Trail Smoke Eaters split its two-game series against the Wenatchee Wild on weekend

River rising in Trail

For up-to-date reservoir elevation and river flow information, visit BC Hydro’s website bchydro.com

Former ski champ and MLA’s son hope to open Castlegar cannabis store next month

Felix Belczyk and Ben Conroy are in the approval process for local Spiritleaf outlet

Victorian-era magnate, con artist had Rossland connections

New book explores fascinating history of Whitaker Wright

Snowed In Comedy Tour returns to B.C.

Show comes to Trail on Jan. 30

2-for-1: Total lunar eclipse comes with supermoon bonus

On Sunday night, the moon, Earth and sun lined up to create the eclipse, which was visible throughout North and South America

Trial starts for man accused of killing Winnipeg bus driver

The Winnipeg bus driver was stabbed multiple times back in 2017

Giuliani clarifies comments about Trump Tower Moscow project

Trump’s lawyer Rudy Giuliani clarifies comments he made

Teen in confrontation with Native American: I didn’t provoke

Nick Sandmann of Covington Catholic High School said he was trying to defuse the situation

New military armoury opens in Cranbrook

Military presence in the Key City a part of the 44th Engineer Squadron

Speaker brings report on allegations to B.C. legislature committee

Report describes Darryl Plecas’ suspicions about senior staff

B.C. man charged in 2014 snake venom death of toddler

Henry Thomas was taking care of the North Vancouver girl the day before she died

Parole granted for drunk driver that killed BC RCMP officer

Kenneth Jacob Fenton will be able to attend alcohol abuse treatment, nearly three years after crash that killed Const. Sarah Beckett

Doug Ford says the Liberals’ carbon tax will plunge Canada into recession

The Ontario premier said there are already warning signs of difficult economic times ahead

Most Read