Canada-Honduras Free Trade Agreement

Annex 17

Annex 17.1: Central Level Entities

Schedule of Canada

Thresholds:   

CAD$76,600 –  Goods covered in Annex 17.3
CAD$76,600 –  Services covered in Annex 17.4
CAD$8,500,000 –  Construction Services covered in Annex 17.5

List of Entities:
  1. Atlantic Canada Opportunities Agency (on its own account)
  2. Canada Border Services Agency
  3. Canada Employment Insurance Commission
  4. Canada Industrial Relations Board
  5. Canada Revenue Agency
  6. Canada School of Public Service
  7. Canadian Centre for Occupational Health and Safety
  8. Canadian Food Inspection Agency
  9. Canadian Human Rights Commission
  10. Canadian Institutes of Health Research
  11. Canadian Intergovernmental Conference Secretariat
  12. Canadian International Trade Tribunal
  13. Canadian Nuclear Safety Commission
  14. Canadian Radio-television and Telecommunications Commission (on its own account)
  15. Canadian Transportation Accident Investigation and Safety Board
  16. Canadian Transportation Agency (on its own account)
  17. Copyright Board
  18. Correctional Service of Canada
  19. Courts Administration Service
  20. Department of Aboriginal Affairs and Northern Development
  21. Department of Agriculture and Agri-Food
  22. Department of Canadian Heritage
  23. Department of Citizenship and Immigration
  24. Department of Finance
  25. Department of Fisheries and Oceans
  26. Department of Foreign Affairs, Trade and Development
  27. Department of Health
  28. Department of Human Resources and Skills Development
  29. Department of Industry
  30. Department of Justice
  31. Department of National Defence
  32. Department of Natural Resources
  33. Department of Public Safety and Emergency Preparedness
  34. Department of Public Works and Government Services (on its own account)
  35. Department of the Environment
  36. Department of Transport
  37. Department of Veterans Affairs
  38. Department of Western Economic Diversification (on its own account)
  39. Director of Soldier Settlement
  40. Director, The Veterans’ Land Act
  41. Economic Development Agency of Canada for the Regions of Quebec
  42. Hazardous Materials Information Review Commission
  43. Immigration and Refugee Board
  44. Library and Archives of Canada
  45. Municipal Development and Loan Board
  46. National Battlefields Commission
  47. National Energy Board
  48. National Farm Products Council
  49. National Parole Board
  50. National Research Council of Canada
  51. Natural Sciences and Engineering Research Council of Canada
  52. Northern Pipeline Agency (on its own account)
  53. Office of Infrastructure Canada
  54. Office of the Auditor General
  55. Office of the Chief Electoral Officer
  56. Office of the Commissioner for Federal Judicial Affairs
  57. Office of the Commissioner of Official Languages
  58. Office of the Coordinator, Status of Women
  59. Office of the Governor General’s Secretary
  60. Office of the Superintendent of Financial Institutions
  61. Offices of the Information and Privacy Commissioners of Canada
  62. Parks Canada Agency
  63. Patented Medicine Prices Review Board
  64. Privy Council Office
  65. Public Health Agency of Canada
  66. Public Service Commission
  67. Public Service Labour Relations Board
  68. Registrar of the Supreme Court of Canada
  69. Registry of the Competition Tribunal
  70. Royal Canadian Mounted Police
  71. Royal Canadian Mounted Police External Review Committee
  72. Royal Canadian Mounted Police Public Complaints Commission
  73. Shared Services Canada
  74. Social Sciences and Humanities Research Council
  75. Statistics Canada
  76. Statute Revision Commission
  77. Transportation Appeal Tribunal of Canada
  78. Treasury Board Secretariat

Schedule of Honduras

Thresholds: 

US$70,079  –  Goods covered in Annex 17.3
US$70,079 –  Services covered in Annex 17.4
US$7,804,000 –  Construction Services covered in Annex 17.5

List of Entities:
  1. Secretaría de Estado en los Despachos del Interior y Población (Secretary of State of Interior and Population)
  2. Secretaría de Estado en el Despacho de Educación (Note 1) (Secretary of State of Education)
  3. Secretaría de Estado en el Despacho de Salud (Secretary of State of Health)
  4. Secretaría de Estado en el Despacho de Seguridad (Note 2) (Secretary of State of Security)
  5. Secretaría de Estado en el Despacho Presidencial (Note 1) (Secretary of State of Presidential Affairs)
  6. Secretaría de Estado en el Despacho de Relaciones Exteriores (Secretary of State of Foreign Affairs)
  7. Secretaría de Estado en el Despacho de Defensa Nacional (Note 3) (Secretary of State of National Defence)
  8. Secretaría de Estado en el Despacho de Finanzas (Secretary of State of Finance)
  9. Secretaría de Estado en los Despachos de Industria y Comercio (Secretary of State of Industry and Commerce)
  10. Secretaría de Estado en los Despachos de Obras Públicas, Transporte y Vivienda (Secretary of State of Public Works, Transport and Housing)
  11. Secretaría de Estado en los Despachos de Trabajo y Seguridad Social (Secretary of State of Labour and Social Security)
  12. Secretaría de Estado en los Despachos de Agricultura y Ganadería (Secretary of State of Agriculture and Livestock Farming)
  13. Secretaría de Estado en los Despachos de Recursos Naturales y Ambiente (Secretary of State of Natural Resources and Atmosphere)
  14. Secretaría de Estado en los Despachos de Cultura, Artes y Deportes (Secretary of State of Culture, Arts and Sports)
  15. Secretaría de Estado en el Despacho de Turismo (Secretary of State of Tourism)
  16. Secretaría Técnica de Planificación y Cooperación Externa (Secretary of Planning and External Cooperation)

Note 1 to Schedule of Honduras

Secretary of State of Education and Secretary of State of Presidential Affairs ( Secretaría de Estado en el Despacho de Educación y Secretaría de Estado en el Despacho Presidencial): Chapter Seventeen does not cover a procurement made in furtherance of a school feeding program.

Note 2 to Schedule of Honduras

Secretary of State of Security (Secretaría de Estado en el Despacho de Seguridad): Chapter Seventeen does not cover procurement of uniforms, shoes, food, or tobacco for the National Police (Policía Nacional).

Note 3 to Schedule of Honduras

Secretary of State of National Defence (Secretaría de Estado en el Despacho de Defensa Nacional): Chapter Seventeen does not cover the procurement of a good classified under Section 2 (food products, beverages, and tobacco; textiles, apparel, and leather products) of the United Nations Central Product Classification 1.0 (CPC version 1.0) for the Armed Forces of Honduras(Fuerzas Armadas de Honduras). Chapter Seventeen does not cover the procurement of uniforms of the Armed Forces of Honduras (Fuerzas Armadas de Honduras) and the National Police (Policía Nacional) or the procurement of the following goods:

  1. Ammunition
  2. Military Airplanes
  3. Military rifles
  4. Pistols and guns, 41 caliber or more
  5. Honduran army regulation pistols
  6. Silencers for any type of firearm
  7. Firearms
  8. Accessories and ammunition
  9. Cartridges for firearms
  10. Equipment and other accessories essential for cartridge loading
  11. Gunpowder, explosives, primers and fuses
  12. Masks for protection against asphyxiating gases
  13. Air guns

Annex 17.2: Other Covered Entities

Schedule of Canada

Thresholds: 

CAD$383,300 –  Goods covered in Annex 17.3
CAD$383,300  – Services covered in Annex 17.4
CAD$12,200,000  – Construction Services covered in Annex 17.5

List of Entities:

  1. Canada Post Corporation
  2. Canadian Museum of Civilization
  3. Canadian Museum of Nature
  4. Canadian Tourism Commission
  5. Defence Construction (1951) Ltd.
  6. National Capital Commission
  7. National Gallery of Canada
  8. Canada Science and Technology Museum
  9. Royal Canadian Mint (Notes 2 and 3)
  10. Via Rail Canada Inc. (Note 2)

Notes to Schedule of Canada

1. For greater certainty, Article 17.14 applies to a procurement by Via Rail Canada Inc. or the Royal Canadian Mint regarding the protection of the confidentiality of commercial information provided.

2. Chapter Seventeen does not cover procurement, by or on behalf of the Royal Canadian Mint, of direct inputs for use in minting anything other than Canadian legal tender.

Schedule of Honduras

Thresholds:  

US$350,396   – Goods covered in Annex 17.3
US$350,396 –  Services covered in Annex 17.4
US$11,213,223  –  Construction Services covered in Annex 17.5

List of Entities:

  1. Instituto Nacional de Conservación y Desarrollo Forestal, Áreas Protegidas y Vida Silvestre (ICF) National Institute of Conservation and Forest Development, Protected Areas and Wild Life)
  2. Instituto Hondureño de Mercadeo Agrícola (IHMA) (Honduran Institute of Agricultural Trade)
  3. Instituto Hondureño para la Prevención del Alcoholismo, Drogadicción y Farmacodependencia (IHADFA) (Honduran Institute for the Prevention of Alcoholism, Drug Addiction and Medicine Dependency)
  4. Instituto Hondureño de Turismo (IHT) (Honduran Institute of Tourism)
  5. Instituto Nacional de Jubilaciones y Pensiones de los Funcionarios y Empleados del Poder Ejecutivo (INJUPEMP) (National Institute of Retirement and Pensions of the Civil Servants and Employees of the Executive Branch)
  6. Comisión Nacional Pro-Instalaciones Deportivas y Mejoramiento del Deporte (CONAPID) (National Commission of Sport Facilities and Sports Improvement)
  7. Comité Permanente de Contingencias (COPECO) (Standing Committee on Contingencies)
  8. Instituto Nacional Agrario (INA) (Institute of Agriculture)
  9. Empresa Nacional Portuaria (ENP) (Harbour National Company) 
  10. Banco Central de Honduras (BCH) (Note 1) (Central Bank of Honduras)

Note to Schedule of Honduras

1.  Central Bank of Honduras (Banco Central de Honduras) (BCH): Chapter Seventeen does not cover the issuance or the circulation of currency.

Annex 17.3: Goods

Schedule of Canada

1. Subject to paragraph 2 all goods are covered by Chapter Seventeen.

2. Subject to paragraph 1 of Article 17.3, for procurement by the Department of National Defence, the Royal Canadian Mounted Police, or the Department of Fisheries and Oceans for the Canadian Coast Guard, Chapter Seventeen covers only the goods listed below:

(Numbers refer to the Federal Supply Classification document dated May 2005.)

22. Railway Equipment

23. Ground Effect Vehicles, Motor Vehicles, Trailers and Cycles (except buses in 2310; except military trucks and trailers in 2320 and 2330 and tracked combat, assault and tactical vehicles in 2350; and, except wheeled combat, assault and tactical vehicles in 2355 formerly classified in 2320)

24. Tractors

25. Vehicular Equipment Components

26. Tires and Tubes

29. Engine Accessories

30. Mechanical Power Transmission Equipment

32. Woodworking Machinery and Equipment

34. Metal Working Machinery

35. Service and Trade Equipment

36. Special Industry Machinery

37. Agricultural Machinery and Equipment

38. Construction, Mining, Excavating and Highway Maintenance Equipment

39. Materials Handling Equipment

40. Rope, Cable, Chain and Fittings

41. Refrigeration, Air Conditioning, and Air Circulating Equipment

42. Fire Fighting, Rescue and Safety Equipment (except 4220: Marine Lifesaving and Diving Equipment; and 4230: Decontaminating nd Impregnating Equipment)

43. Pumps and Compressors

44. Furnace, Steam Plant, and Drying Equipment; Nuclear Reactors

45. Plumbing, Heating and Waste Disposal Equipment

46. Water Purification and Sewage Treatment Equipment

47. Pipe, Tubing, Hose and Fittings

48. Valves

49. Maintenance and Repair Shop Equipment

52. Measuring Tools

53. Hardware and Abrasives

54. Prefabricated Structures and Scaffolding

55. Lumber, Millwork, Plywood and Veneer

56. Construction and Building Materials

61. Electric Wire and Power and Distribution Equipment

62. Lighting Fixtures and Lamps

63. Alarm, Signal and Security Detection Systems

65. Medical, Dental and Veterinary Equipment and Supplies

66. Instruments and Laboratory Equipment (except 6615: Automatic Pilot Mechanisms and Airborne Gyro Components; and 6665 hazard-Detecting Instruments and Apparatus)

67. Photographic Equipment

68. Chemicals and Chemical Products

69. Training Aids and Devices

70. General Purpose Automatic Data Processing Equipment (including Firmware), Software, Supplies and Support Equipment (except 7010: Automatic Data Processing Equipment (ADPE) configuration)

71. Furniture

72. Household and Commercial Furnishings and Appliances

73. Food Preparation and Serving Equipment

74. Office Machines, Text Processing System and Visible Record Equipment

75. Office Supplies and Devices

76. Books, Maps and Other Publications (except 7650: drawings and specifications)

77. Musical Instruments, Phonographs and Home-Type Radios

78. Recreational and Athletic Equipment

79. Cleaning Equipment and Supplies

80. Brushes, Paints, Sealers and Adhesives

81. Containers, Packaging and Packing Supplies

85. Toiletries

87. Agricultural Supplies

88. Live Animals

91. Fuels, Lubricants, Oils and Waxes 

93. Nonmetallic Fabricated Materials

94. Nonmetallic Crude Materials

96. Ores, Minerals and Their Primary Products

99. Miscellaneous

Schedule of Honduras

Chapter Seventeen applies to all goods procured by the entities listed in Annex 17.1 and Annex 17.2, subject to the Notes to the respective Schedules and the General Notes.

Annex 17.4: Services

Schedule of Canada

Section A – General Provisions

1. Subject to paragraph 3 and Section B of this Annex, all services that are procured by the entities in Annex 17.1 and Annex 17.2 are covered by Chapter Seventeen.

2. Services are identified in accordance with the Common Classification System.

3. Annex 17.5 applies to the procurement of construction services.

Section B – Excluded Coverage

Part I – Service Exclusions by Major Service Category

A. Research and Development

All classes

B. Studies and Analysis - not R&D

B002 Animal and Fisheries Studies 

B003 Grazing and Range Studies 

B400 Aeronautic/Space Studies 

B503 Medical and Health Studies 

B507 Legal Studies (except advisory services on foreign law)

C. Architecture and Engineering Services

C112  Airfield, Communication and Missile Facilities 

C216  Marine Architect and Engineering Services

D. Information Processing and Related Telecommunications Services

D304  ADP Telecommunications and Transmission Services (except those classified as “enhanced or value-added services.”) Enhanced or value-added services means those telecommunications services employing computer processing applications that:

For the purposes of this provision, the procurement of “ADP Telecommunications and Transmission services” does not include the ownership or furnishing of facilities for the transmission of voice or data services. This provision only extends to providers of enhanced or value-added services whose underlying telecommunications transmission facilities are leased from providers of public telecommunications transport networks.

D305  ADP Teleprocessing and Timesharing Services

D309  Information and Data Broadcasting or Data Distribution Services (except enhanced/value-added facsimile services, including store and forward, and store and retrieve; code and protocol conversion)

D316  Telecommunications Network Management Services (except enhanced/value-added electronic data interchange (EDI) services) 

D317 Automated News Services, Data Services, or Other Information Services. Buying data (the electronic equivalent of books, periodicals, newspapers, etc.) (except enhanced/value-added electronic mail services; telecommunications – voice messaging; information retrieval services, database and automated news services) 

D399  Other ADP and Telecommunications Services (except enhanced/value-added CD-ROM services and micrographic services)

F. Natural Resources and Conservation Services

F004  Land Treatment Practices Services (plowing/clearing, etc).  

F005  Range Seeding Services (ground equipment) 

F006  Crop Services (including Seed Collection and Production Services) 

F011  Pesticides/Insecticides Support Services (except forestry and logging) 

F021  Veterinary/Animal Care Services (including Livestock Services) 

F029  Other Animal Care/Control Services 

F030  Fisheries Resources Management Services 

F031  Fish Hatchery Services 

F050  Recreation Site Maintenance Services (non-construction) 

F059  Other Natural Resource and Conservation Services

G. Health and Social Services

 All classes

H. Quality Control, Testing and Inspection and Technical Representative Services

Services for the departments and functions listed in Note 1(e) to Canada’s schedule to Annex 17.6 regarding FSC 36 (Special Industry Machinery), FSC 70 (Automatic Data Processing Equipment, software supplies and support equipment) and FSC 74 (Office machines, text processing systems and visible record equipment)

FSC 58 (Communications, Detection, and Coherent Radiation Equipment) 

Services with reference to transportation equipment

J. Maintenance, Repair, Modification, Rebuilding and Installation of Equipment

Services for the departments and functions listed in Note 1(e) to Canada’s schedule to Annex 17.6 regarding FSC 36 (Special Industry Machinery), FSC 70 (Automatic Data Processing Equipment, software supplies and support equipment) and FSC 74 (Office machines, text processing systems and visible record equipment)  

FSC 58 (Communications, Detection, and Coherent Radiation Equipment)

Services with reference to transportation equipment 

J019 Maintenance, Repair, Modification, Rebuilding and Installation of Equipment related to Ships 

J998  Non-nuclear Ship Repair

K. Custodial Operations and Related Services

K0 Personal Care Services 

K105  Guard Services 

K109  Surveillance Services 

K115  Preparation and Disposal of Excess and Surplus Property

L. Financial and Related Services

All classes

M. Operation of Government Owned Facilities

 All facilities operated by:  

 The Department of Defence 

 The Department of Transport 

 The Department of Natural Resources 

and for all Departments: M180 and M140 

  
R. Professional, Administrative and Management Support Services

R003  Legal Services (except advisory services on foreign law) 

R004  Certifications and accreditations for products and institutions other than Educational Institutions 

R007  Systems Engineering Services (with reference to transportation systems) 

R012  Patent and Trade Mark Services 

R101 Expert Witness 

R102 Weather Reporting/Observation Services 

R104  Transcription Services 

R106 Post Office Services 

R109  Translation and Interpreting Services (including Sign Language) 

R114 Logistics Support Services (with respect to transportation and defence) 

R116  Court Reporting Services 

R117  Paper Shredding Services 

R201 Civilian Personnel Recruitment (including Services of Employment Agencies) 

S. Utilities

 All classes

T. Communications, Photographic, Mapping, Printing and Publications Services

 All classes

U. Education and Training Services

U010  Certifications and accreditations for Educational Institutions

V. Transportation, Travel and Relocation Services

 All classes (except V503 Travel Agent Services, but including Tour Guides)

W. Lease or Rental of Equipment

 Services for the departments and functions listed in Note 1(e) to Canada’s schedule to Annex 17.6 regarding FSC 36 (Special Industry Machinery), FSC 70 (Automatic Data Processing Equipment (including Firmware), Software Supplies and Support Equipment) and FSC 74 (Office machines, Text Processing Systems and Visible Record Equipment)

 FSC 58 (Communications, Detection, and Coherent Radiation Equipment)

 Services with reference to transportation equipment 

Part II

The following services contracts are excluded by entities listed in Annex 17.2:

D. Information Processing and Related Telecommunications Services

D309 Information and Data Broadcasting or Data Distribution Services

D316 Telecommunications Network Management Services

D317 Automated News Service, Data Services, or Other Information Services. Buying data (the electronic equivalent of books, periodicals, newspapers, etc.)

D399 Other ADP and Telecommunications Services (including data storage on tapes, Compact Disk (CD), etc.)

F.  Natural Resources and Conservation Services

F007  Seedling Production/Transplanting Services

F010 Other Range/Forest Improvements Services (non-construction)

R. Professional, Administrative and Management Support Services

R113 Data Collection Services

Notes to Schedule of Canada

1. A service relating to a good not listed in Annex 17.3 purchased by the Department of National Defence, the Royal Canadian Mounted Police, or the Department of Fisheries and Oceans for the Canadian Coast Guard is not covered by Chapter Seventeen.

2. The procurement of a service in support of military forces located overseas is not covered by Chapter Seventeen.

Schedule of Honduras

1. A service procured by the entities listed in Annex 17.1 and Annex 17.2, subject to the Notes to the respective Schedules and the General Notes, is covered by Chapter Seventeen, except for a service excluded in the Schedules of a Party.

2. A service covered by this Section is subject to the existing measures listed in a Party’s Schedule to Annex II.

3. The following services, as classified in CPC version 1.0 are not covered by Chapter Seventeen:

CPC 64 Land transport services

CPC 66 Air transport services

CPC 69 Electricity distribution services; gas and water distribution services through mains

Annex 17.5: Construction Services

Schedule of Canada

Section A – General Provisions

 A construction service set out in the Common Classification System is covered by Chapter Seventeen, except for construction services listed in Section B of this Annex.

Section B – Excluded Coverage

1. Dredging services

2. Construction services procured by or on behalf of the Department of Transport

3. Construction services of CPC 5115 mining of oil and gas which are classified under CCS F042.

Schedule of Honduras

1. A construction service procured by the entities listed in Annex 17.1 and Annex 17.2 is covered by Chapter Seventeen, subject to the Notes to the respective Schedules and the General Notes.

2. A construction service covered by this Schedule is subject to the existing measures listed in a Party’s Schedule to Annex II.

Annex 17.6: General Notes

Schedule of Canada

1. Chapter Seventeen does not apply to a procurement in respect of:

2, Chapter Seventeen does not apply to the procurement of a transportation service that is a part of, or  is incidental to, a procurement.

3. Pursuant to Article 17.3, the national security exception applies to a procurement:

4. The procurement process is the process that begins after a procuring entity has decided on its requirement and continues until the contract is awarded. 

5. Chapter Seventeen does not apply to procurement by a Canadian entity or state enterprise from another Canadian entity or state enterprise.

Schedule of Honduras

Chapter Seventeen does not apply to procurement by one Honduran entity of a good or service obtained or acquired from another Honduran entity.

Annex 17.7: Threshold Adjustment Formulas

1. Thresholds shall be adjusted at 2 year intervals with each adjustment taking effect on January 1, beginning the second year after the entry into force of this Agreement.

2. For Canada, the thresholds for:

3. For Honduras, the thresholds:

4. Canada shall notify Honduras in writing of Canada’s adjusted thresholds in its domestic currency by January 15 of the year in which the adjusted threshold takes effect.

5. If, during any year, a major change in the applicable currency of either Party creates a significant problem with regard to the application of Chapter Seventeen, the Parties shall discuss to determine whether an interim adjustment is appropriate.

6. The Parties shall agree on a suitable alternate threshold adjustment formula if:

Date Modified: