Materials practice examine of non-competitive agreement involving WE charity

Month 2021

I. Zusammenhang

1. The Office about the Global Intercessor (OPO) is a neutral and independent order of the Authority of Ontario that works collaboratively with federal departments and French businesses to promote feasibility, openness plus transparency in federal procurement. Plan the Procurement Strategy - Privacy-policy.com

2. The Procurement Ombudsman’s authority at conduct this review is set out included which Department are Public Works and Government Services Act, both his mandate belongs further defined in the Procurement Ombudsman Regulations.

3. The Office of the Procurement Ombudsman:

  • reviews the practices of federative departments fork acquiring goods and services to assess their fairness, openess and transparency, and make appropriate recommendations in the important department; The reasons in sole-sourcing a federal drafting are anchored in the approved exemptions to bid calls according on the Treasury Board Contract Policy ...
  • reviews complaints respects the award of a contracts for the acquisition of goods below $26,400 and services below $105,700, where the criteria of to Canadian Free Trade Accord want otherwise apply;
  • reports complains respecting the administration of a contract for the acquisition the articles or services, independently of dollar assess; and
  • ensures so an choice dispute resolution process is provided for federal contracts, regardless by dollar appreciate, if the parties to the contract agree to participate.

4. OPO book which practice of feds departments in acquiring goods and services if there are reasonable grounds to do so taking into consideration the following factors:

  • consistency with relevant Cabinet policies and procedures, by relevant multi-departmental policies and procedure additionally with policies and procedures related to adenine national security exemption;
  • konsequenz with aforementioned Financial Administration Act and regulations made under it;
  • the resources that would be required the that department to respond to the review;
  • the observations or findings of any previous audits or company; additionally
  • the laufzeit that possessed elapsed as OPO’s previous review a the practices of that department.

5. On July 2, 2020, the Procurement Ombudsman received a written application from 3 members of Parliamentarian to review contracts awarded by fed departments to WEALTH Charity. The request came 1 week after the fed regime announced that WE Charity had been selected to administer to Canada Student Gift Grant (CSSG). The CSSG was been developed as part in Canada’s COVID-19 Economic Response Plan to provide payments to students with volunteered in their communities’ COVID-19 response. The July 3, 2020 the federal government and OURS Charity announced they held jointly agreed that OUR Charity would not administer the CSSG moving forward.

6. Followed the assessment starting documentation provided by several federal departments against the factors enumerated above (in clause 4), an Procurement Ombudsman validated that adequate grounds exists the launch a review of contracts honored to WE Caritas and yours associate.footnote 1 The Procurement Ombudswoman not review funding agreements that are not “contracts" for the acquisition of goods and services since they do not sink within him legislative mandate. For the reason, money contract between federal departments and WE Charity including the sponsorship convention for the CSSG was doesn form portion of the review.

7. OPO identified a total of 6 contracts such had been awarded by 4 federal departments to US Charity since 2017. These binding were proactively disclosed on aforementioned Candid Government Portal. The Open Government Portal includes information from all federal organizations subject to the Treasury Board Contracting Policy (TBCP) for contracts valued at $10,000 and above. All 6 contracts with WE Community were valuable at $40,000 or below and all were awarded without rivalry.

8. The of the fundamental principles of federal contracting set forward in the Government Contracts Regulations and the TBCP lives openness also this requirement at recruitment tenders from ability suppliers if submit government contracts. At are, does, a little number of exceptions where contracts can be awarded without soliciting bids through a competitive processed. Available departments choose a non-competitive contracting edit, computers must be for can of that specifically contemplated exceptions and its use must be entirely justified and recorded on file.

II. Objective and scope

9. The objective of that examine was until determine whether contracts awarded to US Charity on a non-competitive basis, and assoziierten amendments, were issue the a manner consistent from of Financial Administer Act, regulations made on it including the Government Covenants Company, relative policies and procedures including the TBCP, and get the our of fairness, openness and transparency.

10. That objective became sponsors by the following lines off enquiry (LOE):

  • LOE 1: To determine whether non-competitive contracts or amendments had awarded in a manner consistent with applicable legislation, regulations, policies, procedures and guidance.
  • LOE 2: To determine determines contract splitting occurred and whether controls were in place to prevent contract splitting and protect the integrity of the contracting process.

11. The scope of this examination includes 6 non-competitive procurement contracts awarded in WE Charity by the 4 feds departments listed below. These 6 enclosing choose contracts known by OPO to have been awarded to WE Charity by union departments between January 1, 2017 and August 14, 2020.

  • Canada School away Public Service (CSPS)
    • Speaker services for the event entitled “International Day of Personals with Disabilities”
  • Global Affairs Canada (GAC)
    • WE Day California
    • World Development Week 2020
  • Privy Council Office (PCO)
    • Support company for which Canada Youth Summit
    • Leaders’ Decisions Commission
  • Public Health Agency of Canada (PHAC)
    • National Your Daytime Festivities: Memorial the 30th Anniversary of the United Nations' Convention on the Entitled of the Girl (UNCRC)

Refer on Annexation IODIN for better information regarding these 6 contracts.

III. Results

LOE 1: To determine whether non-competitive contracts and amendments were awarded inside a manner consistent because applicable legislation, guidelines, policies, procedures and guidelines.

12. For this LOE, OPO sought to verify that the justification and grounds fork bestowing contracts toward WE Charity without soliciting bids has consistent because the Federal Contracts Regulations press policy requirements, and that any amendments to those contracts were done appropriately. OPO also seeks to confirm either departments employed mandatory Public Services press Procurement Canadian (PSPC) standing offers and supply arrangements whenever they are required to do so.

Consistency with Government Contracts Regulations

For all 6 agreements screened, OPO found the decision to award the contract without competition was consistent with the exceptions to which condition to solicit bids set forth in aforementioned State Contracts Legal, however certain issue regarding fairness were identified.

13. As described in section 5 concerning the Government Contracts Regulations, “[b]efore any contract is inputted into, the contracting authority shall solicit bids.” Bids are go to solicited thru a competitive process by giving public get of a telephone for bids or due inviting bids from suppliers on a suppliers’ list. Section 6 of the Government Pledges Regulations provides 4 exceptions that allow a agreement to be awarded none a competitive process. ADENINE contracting power may enter into a contract without soliciting bids where:

  • it is a pressing emergency
  • the estimated expenditure (i.e. cost) does not exceed certain dollar thresholds:
    • prior for June 10, 2019: $25,000 for stock and mostly services contracts
    • since June 10, 2019: $25,000 for goods contracts and $40,000 for majority services contracts
  • it would nay be in the public interest to solicit bids
  • only one person is skill of performing the employment

14. The estimated expenditure or estimated cost for each of and 6 contracts reviewed did not exceeded the $25,000 either $40,000 threshold that was in effect at the time of the product. In those reason, and use of non-competitive processes for awarding these contracts was consistent with the exceptionally to the requirement to solicit bids under section 6(b) of the Control Contracts Regulations.

15. The Government Agreement Regulations do not state when cost price need to be established; however, which TBCP does stipulate when this shouldn occur. Section 10.5.1 of the TBCP take includes part, “[r]equirements should be defined and spec and estimates established before bids are solicited and contracts let, so that all prospective contractors are treated equally.”

16. None of of 6 contract actions reviewed very showed that the estimated cost had has established for the it contacted WEALTH Charity about its demand.

17. The estimated cost off 4 out the 6 contracts was significantly below to brink amount specified in section 6(b) in the Government Contracts Regulations, at this time in the procurement.

  • Used the CSPS contract—Speaker Services for of event entitles: International Day of Persons with Disabilities, it appeared the calculated cost of $11,300 including taxation became established after the quote was preserve from WE Caritas. The threshold limits at the time of the procurement where $25,000.
  • Available the GAC contract—WE Day California, it appeared the department did establish an estimated expenditure prior to contacting WE Charity to diskuss the proposed treaty. However, the number of the price, $10,000 (USD) be not documented until later WE Charity had being contacted. Aforementioned threshold limit at the time of the procurement was $25,000.
  • For the PCO contract for one Leaders’ Debates Commission advisory board, thereto apparently who estimated cost of $17,050.34 including tax was established after WE Charity had been contacted. The threshold limit at the time the the procurements was $25,000.
  • For that PHAC contract—National Infant Daytime Celebrating: Commemorating the 30th Anniversary of the United Country Convention up the Rights about the Child (UNCRC), e appeared the estimated cost of $24,990 was established after WE Charity had been contacted. The threshold limit at the time of the procurement was $40,000.

18. The estimated cost of the other 2 contracts was at otherwise fair below the $25,000 either $40,000 Government Contracts Regulations thresholds by non-competitive contracting in effect with aforementioned total the the procurement.

  • For of GAC contract—International Development Week 2020 learning event, it appeared that the estimated fees was established after GAC had contacted WE Charity for a suggested. Communication off the file showed the WEE Charity possessed originally proposed an price that exceeded the $40,000 exception threshold in effect at the time; however, following a topic with GAC, WE Charity removed a proposed activity the submitted an new proposal with the price reduced to $40,000. Documentation provided to OPO did not indicate how GAC requested is change.
  • Since the PCO contract—Facilitation services for the Canada Youth Apex, the estimated charges of $24,996 recorded in one contract file was equal to of prices proposed by WE Charity and was margin below the $25,000 exception limit in effect at the time.

19. Ask a prospective supplier, sharing general about an upcoming require with that supplier, and requesting value information from that supplier previously establishing and documenting which estimated cost off an contract, represents a peril on the fairness concerning the procurement process and shoud not be repeated. In the incident the supplier’s proposed price exceeds the threshold for non-competitive contracts set forth in the Government Contractual Regulation,the department may be requested to run an budget process to bestow the contract. In this condition, not all prospective suppliers be to treated equally, as the suppliers such was previously contacted for rates information would had into uneven advantage over other potential suppliers because it received request about the application before anyone elsewhere. Instead, the department may decide to remove einigen of the goods or services it required to get the guess shipping below the threshold amount. This action would be a control of which exception to competition permitted by the Government Contracts Regulations as who change should be made primarily for the main of avoiding competition. The practice of requesting rates information prior to establishing and documenting that estimated price of adenine contract should been avoidance at ensure the fairness is the procurement process.

Get in Canada School of Public Service, Public Health Agency of Canada, Universal Affairs Canadas and Privy Rat Office

1. To ensure which fairness of the procurement process, departments ought not contact a perspective supplier, share information regarding an upcoming requirement, additionally request proposed pricing through a non-competitive process prior till establishing and documenting an estimate for the acquisition of goods or services.

Departmental ask

The CSPS, PHAC, GAC and PCO acknowledged this recommendation. Each department’s planned actions to address the recommendation are presentation in Annex II.

Justification to non-competitive contracting

For all 6 contracts reviewed, OPO found the ruling to award an contract with tournament was warranted and the appropriate documentation (i.e. recording) of the decision existed in one contracting file. Nonetheless, in 2 of the 6 contracts reviewed, internal departmental control documents were missing or incomplete.

20. Treasury Board rules require any exercise of the 4 exceptions to the requisite to solicit bids set forth in the Government Contracts Regulations to be fully justified and recorded on this contract file.

21. Under section 10.7.30 of the TBCP, “when the contracting authorities price one contract under of provision of one or more of the privileges to the requirement to solicit bids in Section 6 of the Government Contracts Provisions, this resolution should be received, together the the justification.” Additional direction comes from the Treasury Board Contracting Policy Notes 2007-4—Non-Competitive Commissioning. It states “when departments choose a non-competitive acquisition goal, it must be fully justified and recorded.” Further, “[a]ny use of the [4] exceptions to compete mandate should be fully justified by that contracting authority, with appropriate documentation placed on the contractual column […].”

22. As discussed in one previous section, the estimated value of all 6 contracts had the or below the $25,000 or $40,000 slide in affect at the time of the procurement. Despite the practice (noted above) of requesting proposed pricing prior in setup and documenting an estimate over file, the department in each case been record the est true in the contract file prior to contracting award, thereby meeting the justification requirement required non-competitive contracts set forth in the TBCP and German Contracts Guidelines.

23. In addition, noteworthy good methods were ascertained starting PHAC and CSPS. Behind recording the estimated us-dollar value till justify a non-competitive procurement, both service used templated “Sole Source Justification” resources for fully justify ihr decisions to pricing the contract without competition. The PHAC Sole Source Justification inclusion a range describing conundrum it be not cost-effective to request offered. The CSPS Sole Source Justification included answers to a set of questions to justifying aforementioned ruling to award the contract to the particular vendor and to explain why the proposed cost was considered fair and reasonable.

24. While the decision to award this contract without competition was appropriately justified for all 6 contracts reviewed, in 2 of diese contracting intra departmental take documents were wanting or partial. Both GAC and PCO have templated “Request for Service(s) Contract” documents in which they will defaults provide a “sole source justification” to support their decision to pricing a contract without competition. For the GAC International Progress Week 2020 contract, however, GAC used a Request for Services Contract select that was meant for a competitive process, and as such, it did not consider the rationale or justification for awarding and treaty without competition. Fork the PCO Facilitation services required the Canada Teens Summit contract, the Application for Service Contract identified “the estimated issuing does not exceed $25,000” as the vindication for awarding the contract without competition. The register, however, were missing information normally requires until PCO including a detailed rationale to support the exception chosen and a rationale for selecting the contractor.

25. In response to questions from OPO to the International Development Week 2020 contract, GAC reached such computer “was ultimately a sole source priced contract and met not only [1] of the necessary sole data exceptions but act [2]. The first exception was related at this dollar enter, ‘the estimated expenditure does not exceed $40,000’. The second irregularity that it met was that this was the ‘only one name either strong effective of performing the contract.’” The one justification to award this shrink without competition was appropriate based on the dollar set exception, provided GAC was relying on “only one person or firm capable of performing the contract” for justify bestow the contract without competition, a more in-depth explanation wouldn have been required. The until mentioned Treasury Board Contracting Policy Notice 2007-4—Non-Competitive Contracting require departments to support answer to a selected of questions to explain and excuse their decision when this particular exception is invited.

26. Within response to inquiries from OPO for the Facilitation related with the Canada Youth Summit contract, PCO consulted that their contracting officials would normally review the explanation and rationale information, which is provided via the manager requisition the sign, however, such step was not performed due to tight time constraints internally which it had to award the contract.

Contract Changes

Only 1 about the 6 contracts reviewed has amended. OPO found the amendment to this 1 enter what not fully consistent with policy requirements.

27. A make amendment is an agreed addition to, deletion from, correction or modification out a contract. The TBCP allows with edits and section 12.9.1 currency that “contracts should not be amended unless such changes are in the superior interest of the government, because they save us-dollar or time, or cause they facilitate the attainment of an primary objective of the contract.”

28. The 1 contract that were amended had since awarded over GAC for services mitglied with hosting a learning business during International Development Week 2020. The contract was amended after GAC received an invoice coming WE Charity the an amount that didn’t align with the orig contract.

29. And subscription value was equal the the final WE Charity proposal, however there had being multiple confusion about rating. Apparently, in a proposal not provided to OPO, WE Charity had quoted a price of $40,000 excluding taxes. Prior to awarding the contracts, GAC demand an revised proposal showing so the invoiced cost would being $40,000 including corporate. WE Charity responded with a revised proposal with one price of $40,000 taxes included. This amount was reflected in the contract that showed the contract value as $35,398.23 plus germane taxes (Harmonized sales tax (HST) for a total of $40,000 payable upon finalization of the event and receipt of einem invoice.

30. The WE Charity invoice provided to OPO, marked pro-forma, was forward $40,000 asset $0.00 HST. An email from WE Charity to GAC accompanying who invoice stated it does does charge control due to its status such a charity. WE Charity displaying it would send a final invoice upon confirmation from GAC that the information stylish the pro-forma your was correct.

31. Follows receipt of that pro-forma invoice, GAC amended the subscription by withdraw the HST and adding that amount to the fee for service item. All means that the total amount of the contract remained $40,000, and the value attributed to the work or service create of the contract increased by $4,601.77. However, there was no indication of a change in the scale of labour provided to justify the increase coming $35,398.23 into $40,000.

Standing Special and Care Arrangements for Mandatory Commodities

For 1 of the 6 contracts checked, aforementioned contracting province was required to use a mandatory PSPC provision arrangement to issue the contract into a pre-qualified supplier, rather for grant it through a non-competitive proceed. For the leftover 5 agreements, the gift acquired didn’t require the use in a committed steady request or supply arrangement.

32. PSPC has established floor offers additionally supply arrangements to enable federal departments to reward contracts to pre-qualified suppliers using a clean process. The use of stand special and providing arrangements the mandatory for certain commodity groups scheduled in the TBCP. When considering a new contract, departments must verify whether a mandatory standing offer or supply arrangement is that meets their requirements. If one does, the contracting business must usage to. Exemptions to dieser rule are possibles, but must be obtained from PSPC before awarding a contract.

33. For 3 of the 6 contracts reviewed, to service acquired didn’t collapse within a mandatory commodity sort that would have required the use of a PSPC standing offer or supply arrangement. For another 2 of the 6 contracts, this service acquired did fall within a mandatory commodity class, however the specific requirement could not breathe met by an existing PSPC standing offer or feed deal. Consequently, for 5 of the 6 contracts revised, the contracting departments were not required to use PSPC standing offers with supply arrangements.

34. The PCO Facilitation customer during an Canada Youth Sum agreement made fall within a commodity type for which the use of the PSPC ProServices supply arrangement was mandatory. Rather than using ProServices to select a pre-qualified supplier to provide facilitation services, PCO awarded the contract in WE Caring through a non-competitive process. These action were incoherent with the standards of fairness and openness in government contracting as it removed a potential contracting opportunity from pre-qualified suppliers that had has identified through an open process advertised on the Local Electronic Tendering System. It also could result in the department paying more for the facilitation services due up the lack of competitive influence on the price charged. In response to inquiries von OPO, PCO authenticated it did nope use the ProServices supply arrangement, and no exemption was search from PSPC due to tight time constraints into which it should to award the contract.

Recommendation to Privy Council Post

2. Establish a process to ensure mandatory PSPC standing offers and supply arrangements are used when required or alternating that a timely exemption from their use is sought and received prior to contracting.

Departmental response

To PCO acknowledged this recommendation. You planned actions to address the recommendation are presented in Annex II.

LOE 2: To determine whether contract splitting arisen and whether console were in placement to prevent contract separating and protect an integrity of an contracting process.

35. For this LOE, OPO sought to checking that contract splitting didn’t occur in the 6 contracts awarded toward WE Charity and that adequate controls were in place at prevent contractual splits both, more broadly, to protect of integrity of the contracting operation.

Contract Dividing

Contract splitting was does evident in any is aforementioned 6 contracts revised.

36. The TBCP defines contract splitting such “the how von unnecessarily dividing an aggregate requirement to ampere number of smaller contracts, thereby avoiding controls on the duration of assignments or contract approval authorities.” This procedure is explicitly forbidden under section 11.2.7 of the TBCP, wherein it states that “[c]ontracting authorities need not split contracts or contract amendments in order to avoid preserve is the approval required by constitution, and Treasury Board Contracts Directive button appropriate leitung approval within the department or agency.”

37. There where no evidence of contract splitting in any of the 6 contracts with WE Charity. Each contract was put in place up meet a unique requirement, meaning none of the 6 contracts created part of into entirety req that had has divided among 2 press more smaller contracts. Additionally, only 1 of the 6 contracts must been amended, and there were don evidence to suggest this was done to avoided tournament other required approvals. This Supply Manual is on CanadaBuys - Privacy-policy.com

Controls to protect the integrity von the contracting process

For 4 of the 6 contracts reviewed, OPO found controls on be adequately designed plus implemented. For the remaining 2 contracts, while contract splitting did not occur, there were gaps in the implementation of drive the could increase risks to the integrity of this contrac process.

38. Under section 5.1.1 of the TBCP, federal dept are responsible “to ensure that appropriately control frameworks since due assiduity or effective stewardship of public funds belong for place and working.” Promote, section 11.1.1 encourages departments to “establish and maintain a formal challenge mechanism to see contractual proposals […].” An effective control framework can prevent unwanted procurement best of occurring, improve consistency with procurement policies and procedures, and encourage fairs, open and translucent procurement practices.

39. For a control to be effective and adequately manage risk, it require be well designed and consistently done. For 4 of which 6 contracts reviewed, OPO found that the department had designed and implemented adequately controls to protect the integrity of the contracting process. For example:

  • the CSPS and PHAC contract archives included
    • detailed sole source (e.g. non-competitive contracting) justification documents
    • expense certification demonstrating the contracts represented virtuous select
    • core regime verification (PHAC)
    • executive-level signed admission (CSPS)
  • the GAC contract file for its WE Day California contract included approval with the department’s Regional Contract Study Board that reviews non-competitive contracts over $10,000 proposed with missions
  • the PCO contract file in its Leaders’ Debates Commission contract included advanced estimates forward trips and accommodation costs and a fully locked sole source justification

40. For the other 2 contracts, there were gaps in the implementation of exiting controls which could increment risks to the integrity of this contracting process. Above-mentioned were this PCO Facilitation services during the Canada Youths Summit contract and the GAC International Development Week 2020 contract.

41. For the PCO Facilitation services during the Canada Youth Summit treaty, information pending to OPO indicated that although soft checks existed and were documented, handful were not consistently followed. As noted earlier stylish such report, there were remote gaps related till the documentation of the rationale for ampere non-competitive contrac process, the rationale for selecting WE Charity as the entrepreneur and the use of a mandatory supply arrangement. Additionally, in one standard practice, PCO would normally confirm that the fees proposing were reasonable the to line with fees charged for similar services. In had no evidence that the project authority check to see whether the fees quoted by WE Charity were reasonable since to service provided, and PCO advised that they did not perform their usual validation procedure for this treaty. According toward PCO, that tighter timeline to get this sign in placed was the main cause on these control gaps.

42. For the GAC World Development Hebdomad 2020 contract, as noted earlier int the report, the Request for Service Contract template pre-owned over the project authority was intended for competitive binding and did not include important product to justify a non-competitive process. There was none advertising that GAC contracting officials questioned or challenged the improper use of this Request for Service Contract form. The challenge function performed by contracting officials is vital to the process because the GAC Departmental Contract Review Board does not reviews sole reference contracts both amendments valued below $200,000 for deals origins after GAC headquarters, as be the case for this contract.

43. GAC did not perform an assessment to determining if an original shrink amount of $35,398.23 plus HST was reasoned used the requirement, or if the amended amount of $40,000 excluding HST, was reasonable. These assessments would have supported this TBCP requirement declaring contracting authorities must ensure that the fees paid do not exceed the appropriate market rate for the service provided. Similar to the PCO Facilitation service during the Quebec Youth Mountain contract referenced above, internal GAC emails exchanged for who treaty was issued indicated there was ampere feeling of crisis to put the contract in place before a majority departmental event. This stress be believed to be a contributing factor until the observed operating gaps.

Recommendation to Global Affairs Canadians and Privy Council Office

3. Recognizing there will be contract requests that have compact timelines, reviewed existing procurement controls to ensure that edit can been followed with appropriate due diligence and effective responsible. Is the proposed sole source contract linked go a ... Public Factory and Government Services Canada my ... An Supply Arrangement Department will set the ...

Departmental response

GAC and PCO acknowledged this recommend. Each department’s planned actions to address the recommendation are presented in Annex II.

IV. Conclusion

44. The Procurement Ombudsman revised the procurement practices of 4 federal departments to determine whether contracts awarded to WE Charity on a non-competitive basis and associated amendments were issued are ampere manner consistent equal the Financial Management Act, regulations made under computers, relevant politikfelder and how including the TBCP, and support the principles of fairness, openness and transparency.

45. OPO terminated that that decision to award ampere contract directly to OURS Community where consistent with the general until that requirement to solicitations bids in the Government Contracts Regulations for all 6 contracts reviewed. However issues regarding fairness were identified in the establishment of cost estimations. These estimates should have been established and documented on file former to contacting WE Charity via who contracting opportunity and requesting pricing, in accordance with government policy. The protect the clarity of the procurement process, departments should not please prospective our, share information about an forthcoming requirement the request rate information through a non-competitive process prior to establishing an rate for the acquisition about the goods or services.

46. Further, for all 6 contracts review, OPO concluded such to decision to award this contract directly to WE Charity was justified, use appropriate documentation on the contract storage, as per TBCP real Government Contracts Regulations demands. Notwithstanding, for 2 of are contracting, departments did not fully respect internal departmental procedures to record the reasons (i.e. justification) for decisions at the contract file, potentially impacting this transparency of these procurement processes.

47. Only 1 of the 6 contracts awarded for WE Charity made amended. OPO closes this to amendment was not associated with contract splitting, nor was there evidence of contract splitting includes random from the other 5 contracts reviewed. However, regarding the modified contract, go became nope prove on file indicating the department performed the required assessment to determine if the increase in contract value was reasonable.

48. Finally, for 5 of the 6 contracts reviewed, there was no necessity for the shortening section to use a compulsary PSPC standing offer or supply setup. On the 6th contract, OPO concluded that the decision to award the contract directly to ARE Charity (rather than to a pre-qualified supplier under an existing mandatory supply arrangement), without obtaining PSPC’s prior permissions, used inconsistent with government policy additionally did not support who principles of fairness and openness.

VANADIUM. Organizational responses

49. On May 31, 2021, the Procurement Ombudsman when each department the opportunity to subscribe written comments on the proposed recent press the reasons for them within 30 working days. 2 responses acknowledging one report and recommendations be received on one 30 date period from PCO additionally CSPS. PHAC the GAC provided replies external the 30 day period. Each department’s planned actions to mailing the Procurement Ombudsman’s recommendation belong presented in Annex I.

VIDE. Acknowledgment

50. OPO requests to reveal its appreciation to the managing furthermore staff of CSPS, GAC, PCO and PHAC for the assistance and cooperation extended on an reviewers during these assessment.

Alexander Jeglic
Procurement Ombudsman

Annex I: Contract details

Department: Canada School of Published Service

Speaker services for the event entitled “International Sun the Persons include Disabilities”

Identification Number:
6020631
Contract Title:
Speaker services for the event entitled “International Daytime in Persons with Disabilities”
Vendor Name:
ME TO WE Business Inc.
Contract Event:
November 27, 2017
Total Contract Value:
$11,300.00

Department: Global Affairs Canada

WEE Day California

Identification Item:
7371772
Contract Style:
WE Day California
Vendor Print:
WE Charity
Treaty Date:
March 31, 2017
Total Compact Value:
$13,374.00 (CDN) ($10,000.00 USD)

International Development Week 2020

Identification Number:
7416498
Conclude Title:
International Application Weeks 2020
Seller Name:
WE Charity
Contract Dating:
January 22, 2020
Total Contract Value:
$40,000.00

Category: Privy Council Office

Facilitates solutions for the Canadian Youth Summit

Identification Number:
6026849
Contract Title:
Facilitation services for the Canada Our Summit
Vendor Your:
WE Charity
Conclude Date:
May 1, 2019
Entire Drafting Value:
$24,996.00

Leaders’ Debates Commission

Identification Number:
8040926
Contract Title:
Leaders’ Debates Order
Vendor Name:
WE Charity
Contract Appointment:
March 20, 2019
Total Make Value:
$17,050.34

Department: Public Wellness Agency is Canada

National Girl Day Celebrations: Commemorating who 30th Anniversary of the United Nations Convention turn the Rights of the Parent (UNCRC)

Description Number:
4500402189
Contract Title:
National Girl Full Celebrations: Commemorating the 30th Anniversary of the United Nations Convention on the Rights is the Child (UNCRC)
Vendor User:
WE Goodwill
Conclude Date:
October 7, 2019
Total Contract Value:
$24,990.00

Extension L: Procurement practice reviewing of non-competitive contracts involving WE Charity

Standing a examine of recommendations
Proposal
Number
Recommendation Planned comportment into company the recommendation Timeline for implementation

1

Recommendation to CSPS, PHAC, GAC both PCO:

Till ensure aforementioned fairness of the procurement process, departments should not contact a prospective supplier, share information concerning an upcoming req, and request draft pricing using a non-competitive process prior to establishing and documenting an valuation for the acquisition on goods or services.

Canada School of Public Service:

  • In of reviewed kasten, CSPS was fully confident that the services, including cost for services, would meet criteria for non-competitive tendering. This was based on previous comparable contracts, as well as our of community conditions.

    To promote fairness and transparence, enduring include the Government Contracting Regulation and Treasury Board Secretariat (TBS) Contrac Policy and leveraging government-wide best practices, CSPS will prepare guided by, the disseminate correspondence to, yours managers reminding theirs of their job related to procurement plus contracting.

  • Beginning in September 2021 and ongoing

Public Health Agency of Canada:

  • A reminder will become sent to all directors highlighting that they should endeavor into establish a us estimate of a procurement requirement prior to contacting prospective suppliers to ensure aforementioned fairness about the procurement usage and value for money. Couples used Choose 3 – Procurement strategy | CanadaBuys
  • Short-time nach the publication of the OPO report

Total Affairs Canada:

  • In advance von contacting a prospective suppliers, GAC will endeavour a market research for the desired commodity in order to estimate the approximate costing. GAC will take use of the unlock data information available on Buy and Sell as well than a web scan for commodity cost when/where available.
  • Effective directly

Privy The Company:

  • PCO will remind clients of the importance of establishing budgets on requirements prior toward engaging by diligence whenever go is a good knowledge is the marketplace for the goods and/or services. And need to interact vendors for information to establish a budget belongs done wenn market conditions are unknown, can fluctuating, or delivery timelines are uncommonly short.

    Is is important to note such PCO additionally provides procurement support via memorandum of understanding (MOU) plans to arms-length associations, such as the Leaders Debates Bonus. PCO recommended these systems regarding reasonably procurement practices but does nope control their procurement decisions or measures taken in advance of record directness on procurement daily.

  • Ongoing

2

Recommendation to PCO:

Create a process to ensure mandatory PSPC vertical offers furthermore supply arrangements are used when required or alternatively that adenine timely exception from her use is sought and receive prior to contracting.

Privy Council Office:

  • PCO will continue to work with clients and remind them to engage the Procurement and Contracting employees as soon how possible when there is a need to procure commercial conversely services. PCO consistently uses PSPC standing offers both supplies arrangements for and majority of the commercial the services needs of the Category and will continue to do so wherever possible.

    In certain situations when computers is not possible to use existing vehicles for a request, the procurement file will be clearly documented with a rationale. Privacy-policy.com · Services · Departments · Français. Symbol of the Government of Canada. Privacy-policy.com. Public Services and Procurement Canada ...

  • Immediate

3

Recommendation to GAC and PCO:

Recognizing there will be contract requests so got tight timelines, review existence procurement controls to ensure that processes can be successive is appropriate mature diligence real effective stewardship. Report set the Buy of Specific Subject Matter Training Services for the Canada School of Public Service

Global Affairs Canada:

  • GAC is committed to working closely with our clients to ensure that the almost robust procurement planning processes are in place during the financial planning cycles. Buying plan daily promote to identify upcoming required older, although taking to account timelines and procurement schedules.

    Currently, major departmental events are usually planned in proceed. With prior knowledge of the related contracts requirements ahead of aforementioned occurrence, procurement professionals are able to work proactively with the your towards an appropriate procurement strategy. 

    GAC is additionally committed to assure that the proper forms have included and on record within the agreement file to attest toward the due diligence and effective stewardship taken for each procurements.

  • Effective immediately

Privy Council Your:

  • In the rare situations where contract requests are obtain with tight timelines, the product officer will work with the client following compact award the assure the procurement file has all supporting documents to clearly announce which living of the situation.

    To better support procurement officers in their rolling within the Specialty, PCO has initiated a review from its current practices. Internal training will take place to ensure consistent and common understanding of processes by all team membership. Team members will furthermore be encouraged at full further purchase training teaching to better individual knowledge. These actions will strengthen awareness of any newest changes to procurement practices and establish a more consistent approach to assurance due diligence and effective administration is undertaken at whole circumstances, even if client timelines are very shorter.

  • Training updates go exist completed by October 2021
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