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The Public / Private Partnership

The Public / Private Partnership. The government realized the private sector was better placed to keep technology current, finance expansion and market / develop new products 1 May 1999, MacDonald, Dettwiler & Associates (MDA) was granted a ten year license BC OnLine remains a government asset.

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The Public / Private Partnership

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  1. The Public / Private Partnership • The government realized the private sector was better placed to keep technology current, finance expansion and market / develop new products • 1 May 1999, MacDonald, Dettwiler & Associates (MDA) was granted a ten year license • BC OnLine remains a government asset

  2. BC OnLine Data Partners: • Land Titles • Personal Property Registry • Corporate Registry • BC Assessment Authority • Manufactured Homes Registry • Site Registry • Real Property Taxation • Wills Registry (access limited to lawyers & notaries) • Gas & Electrical Safety Branch (access limited to registered contractors)

  3. BC OnLine Reseller Products • Home Replacement Value Estimator – used by insurance industry to estimate the cost to rebuild a house • E-conveyance –facilitates online sharing of land title transaction documents • Tax Certificates Online – online request and delivery of municipal tax certificates • Datawitness – a virtual notary public service

  4. BC OnLine Customers • Last fiscal year : > 8 million e-business transactions, and > CAD$99 million revenue • Currently : ~ 15,000 customer accounts, with > 54,000 individual registered customers • Customer groups : a variety of businesses, law firms, realtors, car dealers, electrical & gas contractors, banks, accounting firms, notary publics, etc. • Annual customer survey

  5. BC OnLine Operating Agreement • The agreement was negotiated between August 1998 and April 1999 and took effect on 1 May 1999 • Actually a set of related agreements covering: • General Terms • Definitions • Exclusivity • Fee Schedules • Product Schedules and Attachments • Customer Accounts • Record Custody • Security and Privacy • Change Management • Service Level Agreement • Secondment Agreement

  6. Arrangement on new products/ information • Shared economic incentives to create new products • right granted to MDA to develop new government information products • province retained the sole right to approve the addition of new products, services and resellers • province’s approval required for all news releases, advertising materials, and promotional materials containing references to BC OnLine, the province, or the Operating Agreement

  7. Financial Arrangement • CAD$55M received from MDA as a business acquisition fee • province retains revenue stream • province pays MDA a performance, transaction-based development fee • MDA collects CAD$1.5 from end-users per existing transaction products, slightly lower fee for new products • risk-sharing provision

  8. Benefits • Transfer of risks • Additional revenue sources • Private sector innovation and efficiency

  9. Looking Ahead The BC Province indicates that the PPP approach will be continued upon expiry of the current agreement.

  10. Thank You !

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