Backgrounder on the new government-wide integrity regime

Up until now, the Government of Canada rendered anyone convicted of frauds against the government under the Criminal Code and the Financial Administration Act and anyone found making a payment of a contingency fee to a person to whom the Lobbying Act applies as ineligible to receive a contract.

As the government's principal contracting arm and manager of real property portfolio, Public Works and Government Services Canada (PWGSC) has implemented a number of additional measures under its own authority to further strengthen the integrity of its procurement and real property transactions and those it manages on behalf of its clients.

In the 2015 Economic Action Plan, the Government of Canada committed to introduce a new government-wide integrity regime for its procurement and real property transactions to ensure that it does business with ethical suppliers in Canada and abroad.

On July 3, 2015, the Government implemented a new government-wide Integrity Regime for procurement and real property transactions to help foster ethical business practices, ensure due process and uphold the public trust. It is transparent, rigorous and consistent with best practices in Canada and abroad, while supporting transparent competition and an ethical Canadian marketplace. The key features of the regime are:

• A supplier convicted of a listed offence in Canada or abroad will remain ineligible for a period of ten years to enter into contract with the Government.
• A supplier can apply to have their ineligibility period reduced by up to five years if they address the causes of the conduct that lead to ineligibility.
• A supplier will no longer be automatically penalized for the actions of an affiliate in which they had no involvement.
• Provides new tools such as independent expert third-party assessments, and administrative agreements that will specify required corrective actions and ensure their effectiveness.
• Provides the Government the ability to suspend a supplier up to 18 months if they have been charged of a listed offence or have admitted guilt.