Kawartha Lakes aligns purchasing policy with developing trade laws

DARRYL KNIGHT Local Journalism Initiative Reporter for The Standard

KAWARTHA LAKES: A proposed overhaul of purchasing rules, in the City of Kawartha Lakes, is aiming to strike a balance between supporting Canadian businesses and complying with complex trade laws.

At a Committee of the Whole meeting, on Tuesday, March 10th, Launa Macey, Supervisor of Financial Services, Procurement, presented a Procurement Policy Update report, co-authored with, City Solicitor, Robyn Carlson. The report recommends adopting a new, consolidated procurement policy and rescinding the City’s separate sustainable procurement policy.

“This update is about making our policy clearer, more streamlined, and responsive to today’s economic and legislative environment,” said Ms. Macey. “We’ve taken the opportunity to bring multiple policies together, while also addressing Council’s direction on supporting Canadian and Ontario suppliers.”

The review was prompted by a March 2025 Council resolution which requested staff examine the impacts of trade tariffs and identify options, to prioritize local and domestic vendors.

While the intent to “buy local” is strong, Ms. Macey emphasized, municipalities must operate within strict legal frameworks.

“We cannot simply choose a Kawartha Lakes supplier over another, based on geography alone,” she said. “There are trade agreements and provincial legislation which require fairness and open competition, especially above certain dollar thresholds.”

Those constraints include agreements, such as: the Canadian Free Trade Agreement, the Comprehensive Economic and Trade Agreement, as well as Ontario’s Discriminatory Business Practices Act.

The updated policy introduces new language, tied to the Buy Ontario Act, 2025, which received Royal Assent in late 2025. The Act may eventually allow municipalities to give preference to Ontario or Canadian suppliers, through provincial directives, though those details are still forthcoming.

“As it stands today, we are limited,” Ms. Macey explained. “However, the new policy positions the City to respond quickly, if and when the province provides direction, allowing for Ontario or Canadian preference.”

Under the proposed changes, the City could apply preference for Ontario suppliers, below certain thresholds, and Canadian suppliers within a defined range, provided it remains compliant with all applicable laws and agreements. The report also recommends folding the City’s 2020 Sustainable Procurement Policy into the broader procurement framework. Ms. Macey said, this move will simplify processes without weakening environmental considerations.

“There are no changes to the intent of our sustainable purchasing practices,” she noted. “This is about integration and making sure those principles are embedded in everything we do.”

In the report, City Staff acknowledged, implementing supplier preferences, if permitted, could create additional administrative work. Determining whether a vendor qualifies as “Ontario” or “Canadian” is not always straightforward, due to complex supply chains.

“There are practical challenges,” said Ms. Macey. “For example, where a company’s head office is located, where payments are processed, and how goods are sourced can all factor into that determination.”

Despite those challenges, the policy update aligns with the City’s broader strategic priorities, including supporting a vibrant local economy and improving internal processes.

If approved, the changes would position Kawartha Lakes to better navigate changing trade conditions, while maintaining compliance with national and international obligations.

“This policy gives us flexibility,” added Ms. Macey. “It ensures we are ready to support Ontario and Canadian businesses, where we can, while still playing by the rules we’re required to follow.”