ITAC and Osler present AFP/P3 model to IT vendors

30.10.2009

Discenza also announced the shortlisted proponents for the provincial diabetes registry: CGI Information Systems and Management Consultants Inc., TELUS Health Solutions GP and xwave, a Division of Bell Aliant Regional Communications LP.

While IO plans to use the AFP model, which includes Design Build Finance & Maintain (DBFM) and Build Finance (BF) streams, the details of its approach for IT infrastructure projects haven't been announced.

The conference presented an important opportunity for the vendor community to interact with IO in respect of the planned DBFM for IT projects, according to Watts. "No one spoke to the specifics of the IO IT DBFM precedent agreement at the conference because they still have not been released."

DBFM are used for large-scale bricks-and-mortar projects valued over $300 million, with the private sector designing, building, financing and maintaining the projects for a 20- to 30-year period, Watts explained.

Builders often seek financing to provide the cash flow for large projects because they don't get paid until substantial completion, which could be one to three years down the road, according to Watts. But the big players in IT have the funds to finance the design and build of infrastructure IT projects, he pointed out.