Iqaluit (June 16/03) - The city of Iqaluit is moving quickly towards enacting a local purchase policy for goods and services.

A proposed bylaw now before council rewrites the city's approach to purchasing, contracts and tendering and local incentives.

It also imposes strict new guidelines for department spending procedures and limits.

Chief administrative officer Ian Freemantle said the initiative reflects city council's belief in a local incentive purchase policy.

The intent is "to make sure that there is consistency and fairness and a special consideration given to local purchase and local companies," he said.

In the draft bylaw, locally owned and operated firms would have a 20 per cent adjustment advantage on tenders and procurement contracts.

Local companies with absentee owners would qualify for a 15 per cent adjustment.

Council is still debating the definition of what is and isn't a local company.

The definition favoured for a "true" Northern firm is one in which "the company is in Iqaluit and the principal resides in Iqaluit," said Freemantle.

The proposed bylaw has had little opposition either from council or the business community.

Steve Cook, president of the Iqaluit Chamber of Commerce, said members were asked for input during the draft phase of the bylaw.

"Our members have no problem at all with it and we duly reported that to the city," he said.

The city's economic development officer sent notices to some 400 Iqaluit businesses and organizations inviting responses.

By the deadline last week only two had replied, said EDO Cheri Kemp-Kinnear.