Effective April 1, 2024, the University is required to comply with the Building Ontario Businesses Initiative Act. BOBIA requires the University to give preference to Ontario businesses in certain procurements. An Ontario business is defined under BOBIA as any supplier, manufacturer, or distributor that conducts its activities on a permanent basis in Ontario; and, at the time of procurement, has its headquarters or main office in Ontario or has at least 250 full-time employees in Ontario. Purchases from non-Ontario businesses will be permitted with appropriate justification; new evaluation processes, documentation requirements, and reporting obligations will apply.
For purchases exceeding $121,200 (pre-tax), Strategic Procurement Services will work with departments during the RFP process to ensure compliance with existing trade agreements, and to appropriately document any approved exemptions. For purchases under $121,200, departments will be required to collect additional information from vendors at the point of obtaining quotes and to submit that additional information to SmartBuy alongside the Vendor Quote Solicitation Form.
For additional support, please see the Vendor Quote Solicitation Package and the Ontario Business Attestation Directory. We are available to assist and address any questions you may have. Questions may be sent directly to Strategic Procurement Services at purchase@yorku.ca.
How to Comply with BOBIA
When purchasing goods or services under $121,200, departments will be required to comply with BOBIA via one of the following methods. Where possible, we have aligned these new requirements with existing processes to minimize the administrative burden of compliance with the new regulations.
- Option 1: Award to an Ontario Business
- Option 2: Give Ontario Businesses Preference in Evaluation
- Option 3: Document an Approved Exemption
Determine if one or more Ontario businesses are available to meet your business requirements. You do not need to independently validate the status of an Ontario business; rather, you must ask the vendor to attest whether they are an Ontario business. This can be documented on the Vendor Quote Solicitation template.
If both Ontario businesses and non-Ontario businesses are invited to quote, include a 10% preference for Ontario businesses in your evaluation criteria. Document your decision criteria and evaluation using the Invitation to Quote Evaluation Template and the Vendor Quote Solicitation form and complete a Non-Ontario Business Justification (NOBJ) form if a non-Ontario business is selected.
If the goods or services fall into an exempt category or are unavailable from an Ontario business, you must document the exemption on the Non-Ontario Business Justification form. Specific categories of exemption include:
- Procurement of Legal Services or Treasury Services (related to the management of financial assets and liabilities, such as debt management, risk management, cash management, banking, or investing);
- Goods or Services procured for commercial sale or resale or for use in the production of a good or service intended for commercial sale or resale;
- Purchases made using an existing Vendor of Record;
- Emergency Circumstances (defined as a situation or impending situation that could result in serious harm to persons or substantial damage to property); or
- Procurement of goods or services which are not available from an Ontario Business, or if the goods or services provided by Ontario Businesses do not meet the University’s needs.
Records and Reporting
For small dollar value (<$25,000 pre-tax) purchases using a University Purchasing Card you will not need to submit accompanying documentation through SmartBuy but you must keep a record of all purchases to Ontario and non-Ontario businesses using the Ontario Business Attestation form and, if applicable, the Non-Ontario Business Justification (NOBJ) form. For all other purchases under $121,200, purchasers must submit documentation regarding the vendor’s status in Ontario, and any evaluation criteria supporting award to a non-Ontario business, in SmartBuy for non-Catalogue Purchase Requisition.
Compliance Requirements
| THRESHOLD | HOW TO APPLY BOBIA | DOCUMENTATION REQUIRED |
|---|---|---|
| Under $25,000 Procurement Method: PCard Minimum 1 Written Supplier Quote Required | You must purchase from an Ontario business unless a valid exemption applies. If you purchase from a non-Ontario business, keep the justification for your records. | If you purchase from a non-Ontario business, you must record your justification and keep a record of it |
| Under $25,000 Procurement Method: Invoice Minimum 1 Written Supplier Quote Required | Determine if one or more Ontario businesses are available to meet your business requirements and award to an Ontario business. Collect a written attestation from Ontario suppliers. If an Ontario business is not selected, complete the Non-Ontario Business Justification Form (NOBJ) and select your rationale for the reason you did not award to an Ontario business | Submit vendor attestation, evaluation criteria, NOBJ and quote solicitation to SmartBuy non-PO invoice transaction |
| $25,000 - $121,200 Procurement Method: Non-Catalogue Purchase Requisition Minimum 3 Written Supplier Quotes Required | Determine if one or more Ontario businesses are available to meet your business requirements and award to an Ontario business. Collect a written attestation from Ontario suppliers. If an Ontario business is not selected, complete the Non-Ontario Business Justification Form (NOBJ) and select your rationale for the reason you did not award to an Ontario business. If the goods or services fall into an exempt category, or are unavailable from an Ontario business, you may proceed to purchase from a Non-Ontario Business and document the exemption on the Non-Ontario Business Justification (NOBJ). When inviting both Ontario businesses and non-Ontario businesses are invited to quote as part of the three-quote requirement, give a 10% preference (on price or other criteria) to the Ontario businesses. | Submit vendor attestation, evaluation criteria, NOBJ and quote solicitation to Smartbuy when creating a Non Catalogue Purchase Requisition |
Exemptions
BOBIA does not apply in the following circumstances:
- Purchase of External Legal Services or Treasury Services (related to the management of financial assets and liabilities, such as debt, risk management, cash management, banking, investing).
- Vendor of Record (VOR) arrangements.
- Emergency Circumstances (defined as a situation that could result in serious harm to persons or substantial damage to property).
- Goods or Services procured for commercial sale or resale or for use in the production of a good or service intended for commercial sale or resale.
- Goods or Services which are not available from an Ontario business, or the Ontario business does not meet the University’s needs.
Evaluation Criteria
When there are BOTH Ontario businesses and non-Ontario businesses quoting for goods or services, departments must include at least 10% preference for Ontario businesses in the rated criteria.
- Rated Criteria are established to evaluate quotations by assigning a score to each criterion. These criteria will vary depending on the nature of the purchase, but common factors might include price, delivery time, technical requirements, warranty terms, etc.
NEW WITH BOBIA: include “Ontario Business Preference” as one of the rated criteria. - Once Rated Criteria have been identified, assign a weight to each criterion based on its relative importance. The weight assigned to each criterion will indicate its importance to the purchase.
NEW WITH BOBIA: Ontario Business Preference should be assigned a weight of at least 10% of the total.
Effective March 4, 2025, the University is required to comply with the Provincial Government’s new Procurement Restriction Policy (US Businesses).The US Procurement Restriction Policy is designed to restrict US businesses as defined by the Province, from accessing public sector procurements in Ontario, except for specific exemptions.
“A US-based business is defined under the Policy as any supplier, manufacturer, or distributor of any business structure (includes a sole proprietorship, partnership, corporation or other business structure) that: has its headquarters or main office located in the United States and employs fewer than 250 full-time employees at the time of the applicable procurement process.”
Both conditions must be met in order to classify a business as US-based. If only one condition is met, for example, a US business with more than 250 employees in Canada, this business would not be considered a US business, and the reporting requirements are not required.
Community members are only permitted to purchase from US-based Businesses if the following two exemptions are met:
- The US-based business is the only viable option; and
- The procurement cannot be delayed
The purchasers must complete the US Business Exemption Form found in the Vendor Quote Solicitation Package detailing the rationale for the exemption. The form must also be signed by the appropriate Approval Authority based on the procurement value as outlined in the Signing Authority Register (Article 10).
What’s Excluded:
Any purchases procured under the following conditions are excluded from this Provincial Government Procurement Restriction Policy:
- Any procurement already in progress
- The use of an existing vendor of record arrangement
- Contract extensions that are included in the original procurement
- Emergency procurements
Reporting Requirements
| Procurement Value | What To Submit |
|---|---|
| < $25,000 | There is no requirement to submit accompanying documentation through SmartBuy however purchasers must keep a record of all non-Ontario and US businesses purchases using the Business Attestation Form and, if selecting a US vendor, the US Business Exemption Form. |
| $25,000 - $121,200 (pre-tax) | Purchasers must submit documentation regarding the vendor’s eligibility based on the Business Attestation Form, and any evaluation criteria supporting award to a non-Ontario or US business, in SmartBuy for a non-Catalogue Purchase Requisition. |
| Over $121,200 (pre-tax) | Strategic Procurement Services will ensure compliance with the Procurement Restriction Policy. |
Building Ontario Business Initiative Act (BOBIA) and US Procurement Restriction Policy FAQs
If you have any questions relating to the Building Ontario Businesses Initiative Act (BOBIA) or the US Procurement Restriction Policy, please reach out to purchase@yorku.ca.
This is legislation enacted by the Province of Ontario. As the University is in receipt of public funds and falls within the Broader Public Sector, we are duty bound to enact these changes.
The Non-Ontario Business Justification (NOBJ) is a form that identifies exemptions, as determined by the Province, to the BOBIA requirements. If you are not using an Ontario business for your procurement, you must complete an NOBJ form each time you purchase from the vendor.
No. Vendors of Record are exempt from BOBIA requirements. You do not need to submit BOBIA documentation when purchasing from Vendors of Record. Strategic Procurement strongly recommends that you use Vendors of Record wherever possible. To see a list of Vendors of Record, please see the Overview of Vendors of Record on the Strategic Procurement Website.
This legislation does not stipulate how long you are to spend trying to research market availabilities for Ontario-based businesses. Strategic Procurement is recommending that you devote the time you think reasonable for your purchase and no more. To help, Strategic Procurement strongly recommends that you source from a Vendor of Record (VOR) as they provide great value to the University. If a VOR is not available, consider consulting the Ontario business database to see if there are vendors listed who might be able to assist.
The BOBIA database is an initiative created by Strategic Procurement to minimize the administrative requirements of requesting Ontario Business Attestation (OBA) forms for repeat vendors. As a vendor is created, we will catalogue the Attestation form and add the vendor to the Ontario list or non-Ontario list. If you see the vendor listed on either of the pages, you do not need to send an additional attestation form. Please note, if the business is a non-Ontario business, you are required at each purchase to submit the Non-Ontario Business Justification (NOBJ) form.
As this situation is rapidly evolving, please check Strategic Procurement’s website for additional tools as they are launched. In the meantime, please refer to the instructions in the Vendor Quote Solicitation Form package for support. If you have additional questions or concerns, please email purchase@yorku.ca and a member of our team will be happy to assist.
Please submit a Competitive Bid Request Form and Strategic Procurement will advise on any potential BOBIA implications.
The main objective of BOBIA is to give preference to Ontario businesses in the procurement process. If your invited vendors are all Ontario-based - as determined by the Attestation form, or by appearing on York's Ontario Business Vendor Directory - there is no need to apply the 10% weighted preference. Bids can be low bid or evaluative without the 10% weighted preference.
The Ontario Government instituted a policy restricting the Ontario Public Service and Broader Public Service from procuring from US businesses.
The Ontario Government defines a US business as: “A supplier, manufacturer or distributor of any business structure (includes a sole proprietorship, partnership, corporation or other relevant business structure) that:
- Has its headquarters or main office located in the U.S., and
- Has fewer than 250 full-time employees in Canada at the time of the applicable procurement process
Similar to the Non Ontario Business Justification Form (NOBJ) the US Business Exemption Form is to be used when you purchase from a US-based business. There are two exemption criteria that must be satisfied in order to make your purchase. Please note that you must get authorization in line with Article 10 of the Signing Authority Register, prior to authorizing a purchase.
This policy does not apply to:
- Any procurement already in progress or awarded
- When using a Vendor of Record (VOR) arrangement
- Emergency circumstances
The US Procurement Restriction does not affect the progression of BOBIA. If a valid exemption exists, the US business would not enjoy the 10% weighted criteria afforded to the Ontario business. The main difference is that if you have a valid exemption to procure from a US business, you would complete the US Business Exemption form (and get approval in accordance with Article 10 of the Signing Authority Register) rather than the NOBJ. You will need to submit your documentation if you require a Purchase Order.
If a US business is the successful proponent and meets the procurement exemptions as indicated on the US Business Exemption Form, you must complete the US Business Exemption Form. The form must be signed by the appropriate approval authority identified in the Signing Authority Register and be submitted with your paperwork. You would not fill out the Non-Ontario Business Justification Form (NOBJ). For procurements valued over $121,200, Strategic Procurement Services will work with you to ensure compliance with this new policy alongside other procurement legislative requirements.
The Non-Ontario Business Justification Form is to be used when awarding a contract to a non-Ontario business that does not meet the definition of a US Business, as outlined by the Province. Some examples are: Canadian businesses not based in Ontario (i.e. Quebec, Alberta, etc.) or non-US international businesses located in Mexico, Australia, France, etc. For US businesses only, please use the US Business Exemption Form.
For a further breakdown please see the chart below:
| Location of Business: | Form to be Used: |
| Ontario Business | None required |
| US Business | US Business Exemption Form |
| Other Canadian and Non-US international businesses | Non-Ontario Business Justification Form |
Ready to Quote?
All the forms and template you need to complete the quote process are available in one place! If you have any questions, please reach out to purchase@yorku.ca