Guidelines 350-3
Contracting

Authorities

• Financial Administration Act
• Government Contracts Regulations
• Treasury Board Directive on the Management of Procurement
• Correctional Service of Canada Delegation of Spending and Financial Authorities Instrument

Purpose

To set out roles and responsibilities for the Correctional Service of Canada (CSC) staff regarding contracting activities

To establish standard contracting procedures to ensure procurement is conducted in a manner that enhances access, competition, fairness, and results in the optimal balance of overall benefits

Applications

Applies to CSC staff involved in and/or accountable for contracting activities and to delegated contracting authorities

Responsibilities

1. The Assistant Commissioner, Corporate Services, and Chief Financial Officer will promote value for money, sound stewardship, and transparency in the management of contracts, which will be achieved through:
1. delegations of authority based on need, risk, capacity, and an effective governance regime of accountabilities and responsibilities, as outlined in the CSC Contracting Delegation Restriction Instrument
2. compliance with legislation, policies, and financial limits related to contracting
3. providing clarification of responsibilities to facilitate scrutiny over the procurement process.
2. The National Comptroller will:
1. ensure policies and procedures that uphold due diligence, effective stewardship of public funds, and protect the integrity of the procurement process are in place to support employees in their contracting responsibilities
2. ensure formal challenge mechanisms for contracting proposals and requirements are established and maintained
3. ensure the Contracting Delegation Restriction Instrument includes the differentiation of authority levels.
3. Assistant Deputy Commissioners, Integrated Services, will act as the chair of Regional Contract Review Boards.
4. Regional Comptrollers will:
1. oversee the execution of regional contracting activities
2. implement and monitor compliance with contracting and procurement policies and guidelines disseminated by National Headquarters (NHQ)
3. provide a challenge role to regional managers and provide advice and expertise to management to explain the financial risks and benefits associated with contracts
4. promote innovative solutions to address high-risk contract issues
5. enable and support the ongoing application of contract monitoring measures and initiatives to enhance probity and use of sound contracting practices
6. participate as members of Contract Review Boards, as appropriate.
5. The Director, Contracting and Materiel Services, will:
1. exercise delegated contracting authorities with prudence and probity pursuant to the Contracting Delegation Restriction Instrument and the Delegation of Spending and Financial Authorities (DSFA) Instrument
2. ensure internal and central agencies’ policies and requirements are communicated to Contracting and Materiel Services employees and stakeholders
3. provide functional advice in procurement and contracting matters at departmental and inter-departmental committees
4. act in an advisory role for senior management and functional authorities on contracting matters
5. provide a challenge role to departmental executives and provide advice and expertise to management to explain the financial risks and benefits associated with contracts
6. identify and develop innovative solutions to address high-risk contract issues
7. ensure that standard commodity specific procurement templates are developed with terms and conditions for entering into contracts with suppliers, that promote sound risk management and are consistent with policies
8. collect and provide applicable contract data required to comply with CSC and central agencies’ reporting requirements
9. ensure the ongoing application of contract monitoring measures and initiatives to enhance compliance, probity, and use of sound contracting practices
10. monitor decisions on ownership of foreground intellectual property made by CSC employees, ensure compliance with the Policy on Title to Intellectual Property Arising Under Crown Procurement Contracts, and take corrective action as needed
11. ensure budget managers and Contracting and Materiel Services employees complete all applicable mandatory procurement training, as outlined in the Training section of this directive
12. act as chair and/or participate as a member of Contract Review Boards, as appropriate.
6. The National Manager, Contracting Operations, will:
1. exercise delegated contracting authorities with prudence and probity pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
2. oversee the planning and delivery of all contracting and procurement activities and strategies at NHQ and of those involving more than one region
3. provide authoritative and expert advice to departmental executives and stakeholders on all aspects of national contracting and procurement
4. act in an advisory role for management, business owners, and Contracting and Materiel Services employees on contracting matters
5. implement contracting and procurement policies and guidelines disseminated by NHQ
6. ensure compliance with CSC practices, including the use of appropriate standard procurement templates when entering into contracts with suppliers
7. enable and support the ongoing application of contract monitoring measures and initiatives to enhance probity and use of sound contracting practices
8. ensure procurement data in the Integrated Financial and Materiel Management System (IFMMS) related to Contracting/Procurement Officers’ contract files is entered in a timely manner and is accurate and complete
9. act as chair and/or participate as a member of Contract Review Boards, as appropriate.
7. The National Manager, National Depot and Regional Contracting Operations, will:
1. exercise delegated contracting authorities with prudence and probity pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
2. review and authorize contracts above the delegated contracting authorities of Regional Managers, Contracting and Materiel Services, pursuant to the Contracting Delegation Restriction Instrument
3. provide authoritative and expert advice to regional Contracting and Materiel Services on all aspects of contracting and procurement.
8. The Manager, Contract Reporting and Monitoring, will:
1. establish and maintain adequate control frameworks for due diligence and effective stewardship of public funds
2. actively monitor management practices against controls and take early and effective remedial action in areas where significant deficiencies are identified or improvements are needed
3. ensure that legislative, regulatory, and policy requirements on government-wide contracting reporting are met pursuant to Appendix C of the Treasury Board Directive on the Management of Procurement
4. proactively disclose information related to contracts in accordance with Part 2 of the Access to Information Act and the Treasury Board Guidelines on the Proactive Disclosure of Contracts
5. develop, maintain, and disseminate to appropriate CSC employees standard commodity specific procurement templates with terms and conditions that are risk-based and consistent with policies
6. establish and implement contracting and procurement quality assurance measures
7. prepare responses on behalf of CSC for the Office of the Procurement Ombudsman, Canadian International Trade Tribunal, and contract-related ministerial correspondence.
9. Regional Managers, Contracting and Materiel Services, will:
1. exercise delegated contracting authorities with prudence and probity pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
2. provide a challenge role and regional subject matter expertise to Contracting/Procurement Officers and budget managers, and liaise with NHQ employees for all matters dealing with Contracting and Materiel Services functions
3. obtain approval from the National Manager, National Depot and Regional Contracting Operations, for contracts above their delegated contracting authorities
4. implement policies and guidelines disseminated by NHQ
5. ensure compliance with CSC practices, including the use of appropriate standard procurement templates when entering into contracts with suppliers
6. monitor and ensure that their staff enter in an accurate manner in IFMMS all relevant procurement data related to their contract files, within three business days after the contract has been issued
7. ensure all applicable mandatory procurement training is completed by their employees, as outlined in the Training section of this directive
8. act as chair and/or participate as members of Contract Review Boards, as appropriate.
10. Contracting/Procurement Officers will:
1. exercise delegated contracting authorities with prudence and probity pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
2. respect the provisions of all laws, regulations, policies, and trade agreements as they apply to each procurement activity and take appropriate measures to protect the integrity of the contracting process
3. issue all contracts in a manner that enhances access, competition and fairness and results in best value for CSC
4. provide contracting and procurement subject matter guidance to clients
5. adhere to established service level standards, as outlined in CMS-INST-2014-004 – CMS’ Service Level Standards Instructions
6. use and adapt CSC standard procurement templates according to the type of commodity, circumstances specific to each contract, and template instructions
7. adhere to and implement guidance and recommendations provided by NHQ Contract Reporting and Monitoring
8. provide CORCAN with the right of first refusal for goods, construction services, and other services that CORCAN may provide and keep all written documentation relating to CORCAN on file
9. negotiate mutually acceptable agreements, formalize the terms and conditions for non-competitive contracts, and request legal review if required
10. substantiate and document all exceptions to competition on the contract file
11. ensure the criteria included in solicitation documents do not unnecessarily restrict competition and access to CSC procurement opportunities
12. ensure all tender notices and related procurement documents are available in both official languages when they are posted on www.buyandsell.gc.ca pursuant to the Official Languages Act
13. comply with the provisions of the Treasury Board Policy on Government Security
14. liaise and communicate with Public Services and Procurement Canada (PSPC) and suppliers on behalf of budget managers and business owners
15. raise with senior management any procurement issue that deviates from standard policies and procedures and/or increases risks to CSC, and routinely engage their supervisor for guidance to identify innovative solutions which meet both procurement and client requirements
16. ensure that contract files are properly documented
17. input all relevant procurement data related to their contract files in IFMMS in an accurate manner, within three business days after the contract has been issued
18. participate as members of Contract Review Boards, as appropriate.
11. Budget managers and business owners will:
1. exercise delegated transaction and signing authorities pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
2. submit any requirement above their delegation to Contracting and Materiel Services with a completed Request for Contract or Standing Offer (SO)/Contract or SO Amendment/Exercise of Option Period (CSC/SCC 0286), and applicable documents, for review and approval, allowing sufficient lead time to complete the procurement process pursuant to the Contracting Delegation Restriction Instrument
3. engage Contracting and Materiel Services in a timely manner once a contracting requirement has been identified as part of the planning process, ensure all procurement decisions support operational requirements, and seek functional contracting and procurement advice from Contracting and Materiel Services employees
4. consider value for money and complete a cost-effectiveness analysis as required
5. exercise delegated authority for expenditure initiation and commitment control pursuant to FOps-DIR-2019-340 – Expenditure Initiation and Commitment Control
6. utilize approved Contracting and Materiel Services contracting templates as appropriate and in accordance with delegated contracting authorities
7. provide CORCAN with the right of first refusal for goods, construction services, and other services that CORCAN may provide and ensure all written documentation is kept on file
8. produce all approved procurement documents under their responsibility (e.g., statement of work, evaluation criteria) in both official languages when they are posted on www.buyandsell.gc.ca by Contracting and Materiel Services, pursuant to the Official Languages Act
9. utilize Shared Services Canada procurement instruments where authorized and ensure that all requirements under the delegation of Shared Services Canada are submitted to the applicable Contract Review Board for review and processing, pursuant to the Contracting Delegation Restriction Instrument
10. utilize standing offers when PSPC has issued and identified them as mandatory (consult Contracting and Materiel Services or the PSPC Standing Offers and Supply Arrangements search tool for more information) and applicable requests are submitted to the applicable Contract Review Board for review and processing, pursuant to the Contracting Delegation Restriction Instrument
11. request the use of supply arrangements when PSPC has issued and identified them as mandatory (consult Contracting and Materiel Services or the PSPC Standing Offers and Supply Arrangements search tool for more information), which must be submitted to the applicable Contract Review Board for review and processing, pursuant to the Contracting Delegation Restriction Instrument
12. encourage the use of an acquisition card for the procurement of goods and/or services when permitted, pursuant to Financial Directive 350-4 – Acquisition Cards
13. ensure purchase orders and call-ups created in iProcurement and service contracts issued under their delegation are approved by the section 32 delegated authority and are accurate, inputted in a timely manner, and updated as necessary prior to services commencing
14. enter all relevant procurement data related to their contract files in IFMMS in an accurate manner, within three business days after the contract has been issued
15. document contract files pursuant to CMS-INST-2014-007 – Contract File Documentation Requirements Instructions
16. adhere to the national data integrity standards for contracting data pursuant to CMS-INST-2016-023 – National Monitoring of Budget Manager Purchasing Data Instructions
17. work collaboratively with Contracting/Procurement Officers to ensure criteria for supplier selection is supported by the requirements of the statement of work, do not unnecessarily restrict competition, and are finalized and documented prior to the publication of the tender documentation
18. fairly evaluate supplier bids or proposals using the criteria set out in the tender documentation in accordance with the contents of each solicitation
19. manage the contract and monitor deliverables against established requirements, including contract terms and conditions, statement of work and specifications, contract timelines, and avoiding the creation of employer-employee relationships
20. document any supplier performance issues, include the Contracting/Procurement Officer on all correspondence with the supplier regarding performance issues, and advise the Contracting/ Procurement Officer of any deviations from the terms and conditions or statement of work, and any other issue which could affect contract performance
21. evaluate the completed work against the service contract using the Contract/Contractor Evaluation form (CSC/SCC 0996).

Procedures

Governance

Contract Review Boards

12. Contract Review Boards will:
1. review and approve submissions within the applicable Contract Review Board’s authority, pursuant to the Contracting Delegation Restriction Instrument, to ensure compliance with government contracting and procurement legislation, policies, and financial limits
2. ensure contractual proposals and contractual arrangements are planned in a manner to achieve the best value for money.
13. Contract Review Board members will meet to review contract requests (with the exception of the NHQ Express Lane) pursuant to CMS-INST-2015-017 – Contract Review Board Terms of Reference Instructions.
14. Budget managers and business owners must submit contract requests authorized by the applicable level of management within the established deadlines outlined in CMS-INST-2015-017 – Contract Review Board Terms of Reference Instructions.

Legal Services

15. For CORCAN-related contracting matters, the CORCAN Chief Executive Officer and CORCAN directors will consult directly with Legal Services where there are legal issues raised.
16. For CSC-related contracting matters, the Director, Contracting and Materiel Services, will consult Legal Services where there are legal issues raised, including the following circumstances:
1. prior to changing CSC’s procurement policies and practices
2. contract termination
3. when standard contract terms and conditions need to be changed
4. on behalf of CORCAN, as required or upon request
5. in the context of contractual arrangements between federal departments and agencies or with provinces and territories, where novel issues are raised, where there is a high legal risk or where it is authorized by the CSC Commissioner.
17. For CSC-related contracting matters, budget managers and business owners will submit all procurement and/or contracting issues requiring consultation with Legal Services to Gen-NHQ Contracting and Materiel Services.

Contractual Arrangements

18. Budget managers and business owners must submit requests for contractual arrangements to the applicable Contract Review Board with a completed Request for Contract or Standing Offer (SO)/ Contract or SO Amendment/Exercise of Option Period (CSC/SCC 0286) and other applicable documentation pursuant to the Contracting Delegation Restriction Instrument, for review and approval.
19. For CSC contractual arrangements, the Director, Contracting and Materiel Services, will coordinate the review and authorization of all contractual arrangements by relevant subject matter experts within CSC, where appropriate.
20. For CORCAN contractual arrangements, the CORCAN Chief Executive Officer and CORCAN directors will coordinate the review and authorization of all contractual arrangements by relevant subject matter experts within CSC/CORCAN, prior to their submission to the applicable Contract Review Board.

Treasury Board Submissions

21. Budget managers and business owners must send all requests for Treasury Board submissions containing contracting-related information to the applicable Contract Review Board for review.
22. The applicable Regional Contract Review Board will forward regional Treasury Board submissions to the National Contract Review Board for review and approval.

Socio-Economic and Environmental Considerations

23. Budget managers and business owners will ensure considerations for procurement:
1. examine opportunities to advance stated socio-economic and environmental objectives in the management of government assets and acquired services
2. examine socio-economic and environmental benefits in the planning and development of the procurement strategies
3. examine government-wide priorities (e.g., accessibility, green procurement, Indigenous contracting) when specifying requirements
4. are achievable and measurable.
24. Budget managers and business owners will document all socio-economic and environmental considerations and keep all written documentation on file.

Accessibility

25. Budget managers and business owners will:
1. adhere to accessibility requirements as set out in the Treasury Board Directive on the Management of Procurement
2. consider accessibility in all government procurement decisions, both at the planning and execution phases
3. include accessibility criteria when specifying requirements and ensure deliverables incorporate accessibility features, where appropriate.
26. Budget managers and business owners will ensure that a clear justification is on file if it has been determined that it is not appropriate to include accessibility criteria as part of commodity specifications, or goods or services that comply to the criteria are unable to be obtained.

Environmental and Green Procurement

27. Budget managers and business owners will incorporate environmental and green procurement decision-making criteria as part of the planning stage of the life cycle management of materiel, prior to the procurement of goods, construction services, and/or other services, when operationally feasible.
28. Budget managers and business owners will include environmental and green procurement criteria when specifying procurement requirements, where appropriate, as outlined in CMS-INST-2014‑001 – Green Procurement Instructions and the Treasury Board Policy on Green Procurement.

Indigenous Considerations

29. Contracting/Procurement Officers will ensure Comprehensive Land Claims Agreements procurement obligations are applied to a procurement, or portion thereof, if that procurement or portion includes the final delivery of goods, construction services, and/or other services to settlement area(s) covered by the applicable Comprehensive Land Claims Agreements.
30. Contracting/Procurement Officers will document decisions related to setting aside or not setting aside procurement for Indigenous business under the Procurement Strategy for Indigenous Business.

Security in Contracts

31. Budget managers and business owners will complete a Security Requirements Check List (SRCL) (TBS/SCT 350-103) for all contracts (excluding call-ups against CSC-issued standing offers) where security requirements have been identified on the Request for Contract or Standing Offer (SO)/Contract or SO Amendment/Exercise of Option Period (CSC/SCC 0286).
32. Budget manager and business owners will ensure procedural requirements for security clauses in contractual arrangements are followed, as outlined in CMS-INST-2015-015 – Security Clauses in Contractual Arrangements Instructions.
33. Budget managers and business owners will submit all contract requirements (excluding call-ups against CSC-issued standing offers), regardless of value or type, that have security requirements to the applicable Contract Review Board for review and processing, pursuant to the Contracting Delegation Restriction Instrument.

Personal Information in Contracts

34. The Access to Information and Privacy (ATIP) Policy and Governance Unit will review all contract and contractual arrangements requests, including those within a budget manager’s delegation, that contain personal information to ensure the proper privacy protocols have been adhered to and the appropriate privacy clauses have been incorporated in the resulting contract or contractual arrangement.
35. Budget managers must send all requests for a review by the ATIP Policy and Governance Unit of a contract containing personal information to the applicable regional Contracting and Materiel Services.
36. Contracting and Materiel Services employees will consult directly with the ATIP Policy and Governance Unit on these types of requests on behalf of budget managers and business owners.

Employer-Employee Relationship

37. Budget managers, business owners, and Contracting/Procurement Officers will ensure that an employer-employee relationship will not result when contracting for services of individuals, in accordance with criteria established by the Canada Revenue Agency, and as outlined in Employee or Self-employed? (RC4110) and CMS-INST-2016-021 – Employer-Employee Relationships Instructions.

Intellectual Property

38. Budget managers and business owners will:
1. make a determination whenever any intellectual property conceived, developed, produced, or reduced to practice as part of the work under a contract can be commercialized, pursuant to the Policy on Title to Intellectual Property Arising Under Crown Procurement Contracts
2. ensure that CSC is given the right to use and to have used on its behalf materiel developed by the contractor/consultant, for future in-house modification by CSC or by a third party contracted by CSC, in the case of any contract or contractual arrangement that involves the use or creation of intellectual property rights
3. in consultation with Contracting/Procurement Officers during the planning stage of any procurement activity, determine whether there are any intellectual property issues, and whether the requisition includes instructions concerning the treatment of any intellectual property that may result from the procurement
4. give consideration to whether there are unrestricted rights to the use of intellectual property or whether royalty payments are involved.
39. Budget managers will complete and sign the Contracts with Intellectual Property form (CSC/SCC 1621) for contracts generating intellectual property.
40. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for intellectual property are adhered to, as per CMS-INST-2016-022 – Intellectual Property and Contracting Instructions.

Contracting with Current and Former Public Servants

41. Budget managers will ensure contracts with current public servants and former public servants in receipt of a pension or of a lump sum payment bear the closest public scrutiny and reflect fairness in the spending of public funds.
42. Contracting/Procurement Officers will exercise discretion to ensure that the public perception is not one of favouritism to current and former public servants.
43. Budget managers and business owners will:
1. ensure contracts with current public servants are consistent with the provisions of the Treasury Board Directive on Conflict of Interest
2. submit all requests for service contracts with current public servants, former public servants in receipt of a Public Service Superannuation Act(PSSA) pension, and former public servants not in receipt of a PSSA pension to the appropriate Contract Review Board for approval, pursuant to the Contracting Delegation Restriction Instrument and the DSFA Instrument
3. provide a detailed justification with all requests for service contracts with current or former public servants, outlining why it is in the public interest to award the contract
4. provide a detailed justification with requests for non-competitive service contracts with current or former public servants, including why no other supplier could provide the needed services, and why it is not cost efficient/effective to solicit bids.
44. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for contracting with current and former public servants are adhered to, as outlined in CMS-INST-2014-002 – Contracts with Current Public Servants Instructions and CMS‑INST‑2014‑003 – Contracts with Former Public Servants in Receipt of a Pension under the PSSA Instructions.

Inmate Purchasing

45. Business owners will ensure contracts are subject to all current contracting policies and delegations when CSC will be responsible for paying part of the cost without being paid by inmates.
46. The Senior Director, Technical Services, will ensure goods and services purchased on behalf of inmates at no cost to the Crown must promote competition, obtain best value for inmates, and meet fairness and transparency requirements.
47. All contract requests for inmate purchases must adhere to the Contracting Delegation Restriction Instrument and be submitted to the applicable Contract Review Board for approval.
48. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for goods or service contracts entered into on behalf of inmates are adhered to, as outlined in CMS-INST-2014-010 – Goods and Services Purchased by CSC on Behalf of Inmates.
49. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for all inmate personal property purchased are adhered to, as outlined in TSF-SS-INST-2017-001 – Inmate Purchasing.

Bidder Integrity Regime

50. Contracting and Materiel Services employees will request an integrity verification of proposed suppliers, when applicable.
51. Contracting/Procurement Officers delegated to enter into contracts will adhere to the PSPC Ineligibility and Suspension Policy.
52. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for the Bidder Integrity Regime are adhered to, as outlined in CMS-INST-2016-016 – Bidder Integrity Regime Verification Process Instructions.

Contract Termination

53. The National Comptroller and the Director, Contracting and Materiel Services, can authorize, in consultation with Legal Services, any contract termination.
54. Budget managers and business owners will submit requests for contract terminations to their regional Contracting and Materiel Services.
55. Contracting/Procurement Officers can terminate contracts, once authorized by the National Comptroller or Director, Contracting and Materiel Services.
56. Budget managers and Contracting/Procurement Officers will ensure the process requirements and responsibilities for contract terminations are adhered to, as outlined in CMS-INST-2014-008 – Requesting Contract Termination.

Non-Compliance with Contracting Processes and Delegations

57. Budget managers and employees are responsible and accountable for ensuring their procurement activities comply with applicable legislation and policies, and must:
1. comply with the contract review processes that have been established at CSC
2. abide by the delegated contracting authorities framework
3. exercise appropriate contract management of their contract files.
58. Employees non-compliant with contracting processes or delegations will follow the process for non-compliance and take the recommended corrective actions, as outlined in Annex B.
59. Regional Managers, Contracting and Materiel Services, and the Manager, Contract Reporting and Monitoring, will identify and keep records of all non-compliance incidents, as well as follow-up actions, for their respective regions.

Training

60. Contracting/Procurement Officers and NHQ Contract Reporting and Monitoring employees will successfully complete the following training:
1. Contracting Orientation for Managers and Administrative Officers (CONTRA2), e-Learning module
2. Service Contract Delegation for Budget Managers (CONTRA3), e-Learning module
3. Green Procurement (COR405), Canada School of Public Service (CSPS) online course
4. Aboriginal Considerations in Procurement (COR409), CSPS online course
5. Overview of Materiel Management (COR418), CSPS online course
6. Overview of Procurement (COR403), CSPS online course
7. Intellectual Property and Crown Procurement Contracts (COR406), CSPS online course
8. Procurement Fundamentals (COR401), CSPS online course
9. The Procurement Process (COR402), CSPS virtual classroom
10. training identified in the Treasury Board Directive on Mandatory Training.
61. Prior to issuing purchase orders and contracts for goods, construction services, and/or other services, budget managers will complete the following training to receive delegated contracting authority:
1. Contracting Orientation for Managers and Administrative Officers (CONTRA2), e-Learning module
2. Service Contract Delegation for Budget Managers (CONTRA3), e-Learning module
3. Green Procurement (COR405), CSPS online course.
62. Budget managers who have been delegated contracting authority are required to retake and successfully complete the following training every five years:
1. Contracting Orientation for Managers and Administrative Officers (CONTRA2), e-Learning module
2. Service Contract Delegation for Budget Managers (CONTRA3), e-Learning module.
63. Managers and administrative employees are encouraged to complete the following training:
1. Overview of Procurement (COR403), CSPS online course
2. Indigenous Considerations in Procurement (COR409), CSPS online course
3. Procurement Fundamentals (COR401), CSPS online course.
64. Contracting/Procurement Officers are encouraged to enroll in and complete the Treasury Board government-wide Procurement, Materiel Management, and Real Property (PMMRP) certification program, as outlined in CMS-INST-2015-020 – PMMRP Certification Guidelines.
65. Contracting/Procurement Officers will provide contract training (guidelines, processes, and policies) to Contract Review Board members, administrative employees, budget managers, and senior managers, as required.

Annex A Cross-References and Definitions

Cross-References

CSC’s Delegation Signing Financial Authorities Instrument
CSC’s Contracting Delegation Restriction Instrument
Commissioner’s Directive 228 – Information Management
Financial Directive 350-1 – Asset Management
Financial Directive 350-4 – Acquisition Cards
Financial Directive FOps-DIR-2019-340 – Expenditure Initiation and Commitment Control

CMS-INST-2014-001 – Green Procurement
CMS-INST-2014-002 – Contracts with Current Public Servants
CMS-INST-2014-003 – Contracts with Former Public Servants in Receipt of a Pension under the PSSA
CMS-INST-2014-004 – Contracting and Materiel Services' Service Level Standards
CMS-INST-2014-007 – Contract File Documentation Requirements
CMS-INST-2014-008 – Requesting Contract Termination
CMS-INST-2014-009 – Agreements with Hotel and Conference Centers
CMS-INST-2014-010 – Goods and Services Purchased by CSC on Behalf of Inmates
CMS-INST-2015-014 – Obligations to Contractors during Government Building Closures
CMS-INST-2015-015 – Security Clauses in Contractual Arrangements
CMS-INST-2016-016 – Bidder Integrity Regime Verification Process
CMS-INST-2015-017 – Contract Review Board Terms of Reference
CMS-INST-2015-020 – PMMRP Certification Guidelines
CMS-INST-2016-021 – Employer-Employee Relationships
CMS-INST-2016-022 – Intellectual Property and Contracting
CMS-INST-2016-023 – National Monitoring of Budget Manager Purchasing Data

TSF-SS-INST-2017-001 – Inmate Purchasing

Official Languages Act
Public Service Superannuation Act

Public Services and Procurement Canada Ineligibility and Suspension Policy
Treasury Board Directive on Conflict of Interest
Treasury Board Directive on Security Management – Appendix F: Mandatory Procedures for Security in Contracts and Other Arrangements Control
Treasury Board Directive on the Management of Procurement
Treasury Board Policy Notices and TB Circulars – Contracting
Treasury Board Policy on Green Procurement

Definitions

Accessibility: the degree to which a product, service, program, or environment is available to be accessed or used by all.

Award: the notification to a bidder or tenderer that their bid or tender has been accepted, which brings a contract into existence.

Best value: achieving optimal value, not necessarily lowest price, from the use of public funds to deliver goods and services based on a combination of price, technical merit, and any additional socio-economic and environmental criteria. Best value considerations should be applied throughout the life cycle of the procurement, from procurement planning to contract close-out.

Bidder Integrity Regime: a procurement regime to ensure that the Government conducts business with ethical suppliers in Canada and abroad. The Bidder Integrity Regime is run by PSPC and is governed by a Memorandum of Understanding between CSC (including other federal departments) and PSPC.

Business owner: the technical authority, project authority, or sponsor responsible for providing information, guidance, and advice on the contracted goods, construction services, and/or other services.

Construction services: the work performed or to be performed under a construction contract.

Contract: an agreement between a contracting authority and a person or firm to provide a good, perform a service, or construct a work.

Contract Review Board: the formal review and challenge mechanism for all CSC contractual proposals to establish adequate control frameworks and ensure due diligence and effective stewardship of public funds, consistent with the Treasury Board Directive on the Management of Procurement. There are four levels of Contract Review Boards: National Contract Review Board, NHQ Express Lane, Regional Contract Review Board, and Regional Auxiliary Contract Review Board.

Contractual arrangement: a non-legally binding agreement between a contracting authority and an entity of the Crown (e.g., Crown corporations, provinces, territories, municipalities), other international organizations (e.g., allied states, United Nations, NATO), or other public entities (e.g., hospitals, colleges, universities), to procure goods, construction services, or other services for payment or other appropriate consideration, that is subject to Treasury Board contracting limits. Contractual arrangements do not apply to agreements with CORCAN, with the exception of agreements that include the expenditure of funds by CORCAN.

CORCAN: a special operating agency within CSC that is responsible for offender employment and employability programs. Acquiring goods, construction services, and other services from CORCAN contributes to offender reintegration, is considered a reinvestment in the offender reintegration program and is not a contract. These acquisitions are facilitated through the use of internal sales orders or stores transfer orders.

Cost-effectiveness analysis: a tool used to assess quality and performance levels in relation to intended use.

Deliverables: any measurable, tangible, verifiable outcome, result, or item that must be produced as part of established terms and conditions of a contract.

Former public servant: any former member of a department as defined in the Financial Administration Act, a former member of the Canadian Armed Forces or a former member of the Royal Canadian Mounted Police.

Goods: articles, commodities, equipment, goods, materials, supplies, printing, or the reproduction of printed matter, and the construction or repair of a vessel.

Indigenous: an inclusive term referring to the descendants of the original inhabitants of Canada – First Nations, Métis, and Inuit – three separate peoples with unique heritages, languages, cultural practices, and spiritual beliefs. The term can also be used to reference any one of the three groups.

Inmate personal property: personal items that are retained by inmates following intake, as outlined in CD 566-12 – Personal Property of Offenders. All orders for personal property are submitted through one national supplier under the CSC National Mandatory Standing Offer. All inmates across Canada have access to a catalogue with the same list of approved items at the same prices, regardless of location.

Intellectual property: any rights resulting from intellectual activity in the industrial, scientific, literary, or artistic fields, including all intellectual creation legally protected through patents, copyright, industrial design, integrated circuit topography, and plant breeders' rights, or subject to protection under the law as trade secrets and confidential information. Intellectual Property does not include prototypes or any other physical embodiments of intellectual creation when such physical embodiments are deliverables of a Crown procurement contract. For more information, refer to the Implementation Guide – Policy on Title to Intellectual Property Arising Under Crown Procurement Contracts.

Lump sum payment: price agreed upon between the supplier and the purchaser for a group of items without breakdown of individual values (i.e. a lot price). In regards to a former public servant in receipt of a lump sum payment, it is a sum that is paid in one single payment instead of broken up into installments.

Non-competitive contract: a contract that is entered into without soliciting bids.

Procurement: the process related to obtaining goods, construction services, or other services from the initial concept of a requirement to the completion of post-contracting actions.

Procurement Strategy for Indigenous Business: a Government of Canada initiative led by Indigenous Services Canada that aims to increase federal contracting opportunities and to gain access to the overall federal procurement process for Indigenous businesses.

Project authority: an employee with authority to make decisions with regard to the project.

Proposal: a tender, bid, or offer, submitted in response to an invitation from a contracting authority, which constitutes a solution to a problem, requirement, or objective. A proposal is usually requested when a supplier is to be chosen on the basis of the performance offered rather than on price alone and may require details such as the firm’s qualifications and experience, and the identification of problems and proposed solutions.

Socio-economic procurement: procurement to simultaneous maximize environment, social, and economic benefits and government objectives (best value).

Solicitation: an invitation, verbal or written, to suppliers to submit a bid, quotation, or offer.

Standing offer: an offer from a supplier to provide goods and/or services to clients at prearranged prices or pricing basis, and under set terms and conditions for a specified period on an as-and-when requested basis. When a call-up is made against a standing offer, it indicates Canada’s acceptance of the supplier’s offer and creates a contract unilaterally. A separate contract is entered into each time a call-up is made against a standing offer. Canada's liability to pay the supplier is limited to the actual value of the call-ups made within the period specified in the standing offer.

Statement of work: the specification of the work a supplier is required to do.

Supply arrangement: a non-binding agreement between a department and a supplier who is pre-qualified to provide goods or services to the Government of Canada.

Technical authority: an individual responsible for providing information, guidance, and advice on the technical/scientific aspect of a product.

Trade agreements: agreements entered into between the Government of Canada and applicable countries for the provision of a range of goods, construction services, and/or other services that will benefit from the reduction or elimination of tariff and non-tariff barriers to trade, such as quotas or technical barriers.

Value for money: the best combination of quality, service (including maintenance and repair), and time considerations, at the most economical/effective/efficient total cost, over the useful life of the acquisition. Value for money is not confined to the contractual process or the initial or contractual cost.

Annex B Process for Non-Compliance with Contracting Processes and Delegations

This process applies to employees found to be non-compliant with contracting processes and delegated contracting authorities.

First incident – Coaching

Second incident – Memo to employee’s superior

Third incident – Suspension of both financial and contract signing authorities, with recommendations for corrective action if warranted

A description of such incidents and recommendations for corrective action will be sent by the Regional or National Comptroller to the Regional Deputy Commissioner or Assistant Commissioner, Corporate Services, as applicable, for action. Should regional authorities become aware of a transfer of a budget manager/employee with a non-compliance issue, action will be taken to inform the receiving NHQ or regional authorities accordingly.

Note: The above steps do not preclude that incidents may be immediately elevated to the second or third step depending on the severity. Additionally, each incident is reviewed individually and all factors are taken into consideration when recommending corrective action(s) (e.g., time between incidents, risks, severity, etc.).

First Incident – Coaching

• The employee will be provided an opportunity for learning, coaching, and training.
• The coaching method will be determined by the applicable Regional Manager, Contracting and Materiel Services, for regional employees, or the Manager, Contract Reporting and Monitoring, for NHQ employees (e.g., verbal, email, memo).
• A copy of the documentation on the non-compliance is to be kept on a permanent file and tracked by the applicable Regional Manager, Contracting and Materiel Services, for regional employees, or the Manager, Contract Reporting and Monitoring, for NHQ employees.

Second Incident – Memo to Employee’s Superior

• A memo describing the circumstances will be sent from the Director, Contracting and Materiel Services, for NHQ employees, or the applicable Regional Manager, Contracting and Materiel Services, for regional employees, to the employee’s superior, with a copy to the employee.
• The employee’s superior is to submit a memo, supporting documentation if required, and an action plan outlining corrective actions to the Director, Contracting and Materiel Services, for NHQ employees, or the applicable Regional Manager, Contracting and Materiel Services, for regional employees.
• A copy of the written documentation will be kept on a permanent file by the applicable Regional Manager, Contracting and Materiel Services, for regional employees, or the Manager, Contract Reporting and Monitoring, for NHQ employees, and follow-up action will be taken to ensure the incident is properly addressed.

Third Incident – Suspension of Signing Authority

• The incident with recommendations for action are presented to the chair of the applicable Contract Review Board, along with the specifics of all incidents where suspension of authorities is warranted.
• The applicable Regional Deputy Commissioner, for regional employees, or the Assistant Commissioner, Corporate Services, and the Director, Contracting and Materiel Services, for NHQ employees, are informed of the incident and provided the recommendation as to the length of any suspension and the circumstances under which a suspension should be lifted.
• NHQ Financial Operations and Financial Policies, Practices and Systems will process the suspension of delegation(s).
• Once appropriate corrective action has been taken and the period of suspension has elapsed, as monitored by the originating chair of the applicable Contract Review Board, a memo re-instating signing authorities will be sent to the employee and their superior.
• A copy of all related written documentation will be kept on a permanent file and tracked by the applicable Regional Manager, Contracting and Materiel Services, for regional employees, or by the Manager, Contract Reporting and Monitoring, for NHQ employees.
• The applicable Regional Manager, Contracting and Materiel Services, or the Manager, Contract Reporting and Monitoring, will inform the Director, Contracting and Materiel Services, of all incidents where suspension of authorities is warranted.