PWGSC's Integrity Framework

The Integrity Framework applies only to PWGSC managed contracts and real property transactions. This includes:

• construction contracts;
• goods and services contracts (from office supplies, to military ships, to security systems, and everything in between); and
• real property transactions (leasing agreements, letting of space and the acquisition and disposal of Crown-owned properties).

There is no dollar threshold. The Integrity Framework applies to all PWGSC-managed contracts and real property transactions.

A bidder¹ would be ineligible to do business with PWGSC following a conviction² under any of the following offence:

• frauds against the government under the Criminal Code of Canada;
• frauds under the Financial Administration Act;
• payment of a contingency fee to a person to whom the Lobbying Act applies;
• corruption, collusion, bid-rigging or any other anti-competitive activity under the Competition Act;
• money laundering;
• participation in activities of criminal organizations;
• income and excise tax evasion;
• bribing a foreign public official; and
• offences in relation to drug trafficking.

PWGSC's Integrity Framework is conviction-based and does not include discretionary provisions.

PWGSC does not apply its integrity framework to sub-contractors. Its relationship is with the prime contractor.

However, some contracts stipulate that the contractor agrees to bind the subcontractor by the same conditions by which the contractor is bound under the contract.

There is no time limit on the ineligibility of convicted bidders.

Convicted bidders will remain ineligible unless:

• they have received a pardon (record suspension); or
• their capacities were restored by the Governor in Council.

The Public Interest Exception

• applies in circumstances in which it is necessary to the public interest to enter into business with a bidder that has one of the convictions listed under PWGSC's integrity framework.

Possible circumstances necessary to the public interest could include:

• only one person or company is capable of performing the contract;
• emergency;
• national security;
• health and safety; and
• economic harm.

The exception is applied on a case-by case basis by PWGSC.

In such cases, PWGSC would also impose additional stringent controls, administrative measures, and monitoring in the contract or real property agreement.

PWGSC may terminate a contract or real property agreement for default if a conviction occurs post contract award, or may continue with the option and impose enhanced oversight and monitoring measures.

PWGSC does not maintain a list of ineligible bidders.

• With the submission of their bid, the bidders certify that they do not have any of the convictions listed under PWGSC's Integrity Framework.
• PWGSC verifies the eligibility of the winning bidder and authorizes it for the specific competitive process.
• Certification and verification are done for each bid.