Status report on transformational and major Crown projects

Project name ARCTIC AND OFFSHORE PATROL SHIPS
Description

The objective of the Arctic and Offshore Patrol Ships (AOPS) project is to deliver six ice-capable offshore patrol ships that will be used by the Royal Canadian Navy to conduct sovereignty and surveillance operations in Canada’s waters, including the Arctic, as well as to conduct a wide variety of operations abroad.

Project outcomes

This project currently contributes to Program Inventory 5.1 Maritime Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Maritime equipment projects remain in approved scope, schedule and expenditure authority.

The AOPS project has the following project outcomes:

  • Acquire six Arctic and Offshore Patrol Ships;
  • Deliver associated jetty infrastructures in Halifax;
  • Contribute funding to associated jetty infrastructure project in Esquimalt;
  • Deliver a berthing and fueling facility at Nanisivik, Nunavut; and
  • Acquire associated integrated logistics support products.

Once the vessels are introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Navy:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Maritime Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleets are available as planned to meet training and operational readiness requirements.
Industrial benefits Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for the AOPS implementation. In-Service Support of the vessels is managed separately under the AJISS (Arctic and Offshore Patrol Ships and Joint Support Ship) In-Service Support Contract which was awarded in 2017.
Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Department of Fisheries and Oceans (DFO), for two ships for the Canadian Coast Guard

Prime contractor

Acquisition:
Irving Shipbuilding Inc. – Halifax, Nova Scotia, Canada

In-Service Support: Thales Canada Inc. and Thales Australia Inc. – Ottawa, Ontario, Canada. A single long-term In-Service Support Contract to support the AOPS and Joint Support Ship (JSS) vessels is in place.

Major subcontractors

Gibbs & Cox – Arlington, Virginia, USA
Lockheed Martin – Ottawa, Ontario, Canada
General Electric – Peterborough, Ontario, Canada
Fleetway Inc. – Ottawa, Ontario, Canada
Lloyds Register – Toronto, Ontario, Canada
BAE Systems – Ottawa, Ontario, Canada
L-3 MAPPS – St Laurent, Quebec, Canada

Project phase

Implementation December 2014
Closeout (expected) 2026

Major milestones

Preliminary Project Approval May 2007
Design Engineering Logistics Maintenance and Support
Contract Awarded May 2008
Revised Project Approval (Definition) IOctober 2011
Ancillary Contract Awarded June 2012
Revised Project Approval (Definition) II December 2012
Definition Contract AwardedMarch 2013
Project Approval (Implementation) December 2014
Award of Implementation ContractJanuary 2015
Revised Project Approval (Implementation)November 2018
Delivery of First Ship 2020
Initial Operational Capability 2020
Full Operational Capability 2025
Project Closeout 2026

Progress report and explanation of variances

The AOPS project is achieving project objectives, notably:

  • In accordance with the 2012 approved budget, the Definition Contract was completed in November 2015;
  • With the official cutting of steel, the first four ships have entered full production on the following dates:
    • HMCS Harry DeWolf - September 2015
    • HMCS Margaret Brooke – August 2016
    • HMCS Max Bernays – December 2017
    • HMCS William Hall – May 2019
  • Jetty infrastructure projects in Esquimalt, Halifax and Nanisivik are progressing and are on track to be in place when required;
  • In May 2019, with the official cutting of steel, the fourth ship in the class, the future HMCS William Hall, entered full production;
  • In November 2019, launch of the second ship, the future HMCS Margaret Brooke; and
  • In early 2020, delivery to Canada of the first ship, HMCS Harry DeWolf.

Scope: In November 2018, the Government of Canada approved the construction of a sixth ship. The project is on track to deliver its 2018 approved scope.

In May 2019, the Government of Canada announced the construction of two additional Arctic and Offshore Patrol Ships for the Canadian Coast Guard (CCG), which will also be built by Irving Shipbuilding Inc. in Halifax. DND and the DFO are currently working together to update project plans and contracts to execute this procurement.

Cost: In November 2018, the Government of Canada approved the increased budget to build a sixth ship and to extend the production schedule. The project is currently within the 2018 approved budget.

Schedule: In November 2018, the Government of Canada approved the extension of the production schedule by 18 months, thereby mitigating the production gap between the AOPS and Canadian Surface Combatant construction. Four ships are currently in full production, and production of the fifth ship will start in early 2020.  Ship 1 delivery is expected in early 2020.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • In early 2020, with the official cutting of steel, the fifth ship in the class, the future HMCS Frédérick Rolette will enter full production;
  • Delivery of the second ship, the future HMCS Margaret Brooke; and
  • The sixth ship in the class (not yet officially named) will enter full production in late 2020, with the official cutting of steel.
Project name ARMOURED COMBAT SUPPORT VEHICLES
Description The Armoured Combat Support Vehicles (ACSV) Project will deliver an armoured combat support capability to provide Command Support, Combat Support and Combat Service Support to the forward elements of a Brigade Group. These capabilities include, but are not limited to, command vehicles, ambulances, and mobile repair teams.
Project outcomes

This project currently contributes to Program Inventory 5.2 Land Equipment Acquisition of the Departmental Results Framework, its outcome is to deliver the ACSV while remaining within approved scope, schedule and expenditure authority.

The ACSV Project will procure 360 Armoured Combat Support Vehicles.

Once complete, the project will be contributing to various Program Inventories under Operations and Ready Forces. The ACSV project will deliver the following capabilities and outcomes to the Canadian Armed Forces, specifically the Canadian Army:

  • Provide a modernized, armoured combat support fleet which will contribute towards ensuring effective operations within Canada, North America, and internationally;  
  • Ensure Land Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleet is available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy was applied to the ACSV Implementation Contract. Total ITB obligation is $1,775(M).

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

General Dynamics Land Systems - Canada – London, Ontario, Canada

Major subcontractors

N/A

Project phase

Implementation August 2019

Major milestones

PROJECT APPROVAL:
Project Approval (Implementation) August 2019
Contract Award (Implementation) September 2019
Initial Operational Capability  2023
Full Operational Capability 2024
Project Closeout 2025

Progress report and explanation of variances

The ACSV project has achieved project objectives, notably:

  • Project Approval for Implementation in August 2019, followed by the Contract Award for Implementation in September 2019; and
  • The project entered Implementation phase, and awarded contract.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • First vehicle delivery milestone.
Project name CANADIAN CRYPTOGRAPHIC MODERNIZATION PROGRAM
Description

The objective of the Canadian Cryptographic Modernization Program (CCMP) is to modernize the Government of Canada’s aging cryptographic equipment and infrastructure in order to safeguard classified information and maintain Canada’s ability to establish secure communications both nationally and internationally.

CCMP is an Omnibus Project that includes multiple sub-projects for modernizing cryptographic equipment and a cyclical project for modernizing the key management infrastructure.

Project outcomes

This project currently contributes to Program Inventory 5.4 Defence Information Technology Systems Acquisition, Design and Delivery of the Departmental Results Framework, its outcome is to ensure Information Technology capabilities address a capability gap or deficiency.

The CCMP Omnibus Project will deliver affordable information protection to departments and agencies in the Government of Canada by means of the following sub-projects:

  • Classified Security Management Infrastructure (CSMI);
  • Secure Voice / Telephone Family;
  • Link Encryption Family;
  • Secure Mobile Environment;
  • Network Encryption Family;
  • Combat Identification Family (Identification Friend or Foe (IFF)); and
  • Secure Radio Family:
    • Secure Radio Sub-Project; and
    • Combat Net Radio Enhancement (CNRE) – this project received funding toward cryptography from CCMP but it is not a Defence CCMP sub-project.

Once the project is complete, it will be contributing to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces:

  • Protect and defend critical military platforms and network from electronic warfare and cyber-attack; and
  • Exploit vulnerabilities of an adversary through cyberspace.
Industrial benefits

N/A

Sponsoring department

Communications Security Establishment (CSE)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Departments and agencies of the Government of Canada using cryptographic equipment to protect classified information

Prime contractor

N/A

Major subcontractors

Various allied manufacturers of cryptographic equipment

Project phase

Close-Out of the first implemented
CCMP sub-projectSeptember 2009
Closeout of the CCMP Omnibus Project (expected) 2022

Major milestones

PROJECT APPROVAL:
CCMP Omnibus Project ApprovalMarch 2005
Amended CCMP Omnibus Project Approval February 2017
Amended CCMP Omnibus Project ApprovalNovember 2017

CSMI Project Approval November 2006
Amended CSMI Project ApprovalNovember 2017

CCMP SUB-PROJECT DATES:
Secure Voice / Telephone Family
– Implementation November 2004
Secure Voice / Telephone Family
– Completion December 2011

Re-Key Infrastructure – Implementation November 2004
Re-key Infrastructure – Completion September 2009

CSMI – Phase 1A – Implementation November 2006
Amended CSMI – Phase 1A – Implementation November 2017
CSMI – Phase 1A – Completion September 2018

CSMI – Phase 1B – Definition November 2006
CSMI – Phase 1B – Implementation February 2008
CSMI – Phase 1B – Completion March 2012

CSMI – Phase 2 – Definition February 2008
Amended CSMI – Phase 2 – Definition June 2011
CSMI – Phase 2 Definition – Completion March 2013

CSMI – Phase 2A – Implementation November 2012
CSMI – Phase 2A – Completion March 2019

CSMI – Phase 2B – Implementation November 2017
CSMI – Phase 2B – Completion 2022
CSMI – Phase 3 (Cancelled) capability will be
delivered under CSMI Phase 2B

Link Encryption Project (DND) – Implementation November 2006
Link Encryption Project (DND) – CompletionMarch 2013

Network Encryption Project (DND) – Implementation June 2011
Network Encryption Project (DND) – Completion 2020

Amended Network Encryption Project (DND) February 2017
Network Encryption Family –Completion 2020
Link Encryption Family – Completion 2020

Combat Identification (IFF Mode 5) –
Definition November 2011
Combat Identification (IFF Mode 5) –
Implementation March 2014
Combat Identification (IFF Mode 5) –
Completion 2020

CNRE – Definition August 2011
CNRE – Implementation January 2013
CNRE – Completion 2020

Secure Radio Project – Implementation February 2017
Secure Radio Project (DND) – Completion 2021

Secure Mobile Environment (Cancelled) N/A

Progress report and explanation of variances

The CCMP Omnibus project is achieving project objectives, notably:

  • The Secure Voice / Telephone Re-key Infrastructure sub-project was completed in September 2009:  under budget, within scope, schedule extended;

 

  • The CSMI Phase 1B sub-project was completed in March 2012:  under budget, within scope, schedule extended;

 

  • The Secure Voice / Telephone Family sub-project was completed in December 2011:  under budget, within scope, schedule extended;

 

  • The DND Link Encryption Project was completed in March 2013:  under budget, within scope, schedule extended;

 

  • The CSMI Phase 1A sub-project was completed in September 2018, under budget, within scope, schedule extended; and

 

  • The CSMI Phase 2A sub-project was completed in March 2019 under budget, within scope, schedule extended.
 

Scope: The CCMP Omnibus Project is at risk of not delivering its 2005 approved scope within the approved cost envelope and schedule. Options for a change of approach have been developed and will be presented to the CCMP Senior Project Advisory Committee.

Schedule: The schedule is dependent on the United States (U.S.) Cryptographic Modernization Initiative and the Key Management Infrastructure Program. Canada’s collaboration with the United States of America allows Canada to leverage U.S. research and development and maintain interoperability with its Allies. Completion dates for the sub-projects are regularly reviewed for alignment with the U.S. initiative/program.

The CCMP Omnibus Project originated as a 12-year program ending in 2016 but it has been extended to FY 2022-23 due to increased complexity, schedule delays in the CSMI project and delays in U.S. development of cryptographic solutions and implementations on ships, submarines and aircraft.

CSMI Phase 2B – The CSMI Phase 2B sub-project is currently scheduled for completion in 2022; milestones and completion dates are under review.

DND Network Encryption Family (NEF) Sub-project – Completed Link, Network and Fleet Broadcast encryptor implementation on Halifax-class ships. Having completed all land based installations in 2016 and with only one Kingston Class ship remaining, the project is in a good position to reach FOC as planned in March 2020.

DND Combat Identification (IFF Mode 5) – Completed the delivery of all encryptors required for the modernization of land, air and sea based IFF Mode 5 systems. The project will continue to support IFF Mode 5 training and system certifications until its FOC in March 2020.

DND Secure Radio – Completed the delivery and fielding of selected backpack and handheld secure radios and received initial quantities of required end cryptographic units to start engineering, integration, and testing with legacy communication systems.

CNRE – Full rate production is proceeding on schedule. Project close-out is scheduled for the end of 2020.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • DND NEF and DND IFF Mode 5 Sub-projects – FOC – 1 April 2020;
  • DND NEF Sub-project – Close-out – June 2020;
  • DND IFF Mode 5 Sub-project – Close-out – August 2020;
  • DND Secure Radio Sub-project – IOC – August 2020;
  • CNRE Project – Close-out – December 2020;
  • DND Secure Radio Sub-project – Begin fielding end cryptographic units; and
  • CSMI Phase 2B and DND Secure Radio Sub-projects – Milestones and completion dates are under review.
Project name CANADIAN SURFACE COMBATANT PROJECT
Description

The objective of the Canadian Surface Combatant (CSC) project is to acquire a new surface combatant capability that will replace the Iroquois Class destroyers and the Halifax-class frigates. This acquisition will provide the capability to monitor and defend Canadian waters and to make contributions to international naval operations.

Project outcomes

This project currently contributes to Program Inventory 5.1 Maritime Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Maritime equipment projects remain in approved scope, schedule and expenditure authority.

The CSC project has the following project outcomes:

  • Recapitalize the capability currently found in Canada’s frigates and recently retired destroyers;
  • Acquire associated Integrated Logistics Support;
  • Deliver associated infrastructure; and
  • Define and award In-Service Support contract(s).

Once the vessels are introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The CSC project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Navy:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Maritime Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to the selection of an existing warship design and design team to design the Canadian Surface Combatant. As such, the DPS value proposition was a weighted and rated aspect of the evaluation to select the bidder and design that provides the best overall value for Canadians. Canada will receive equivalent to 100% of the contracted value for both the acquisition and the In-Service Support contracts.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI), and its regional development agencies

Prime contractor

Irving Shipbuilding Inc., Halifax, Nova Scotia, Canada

Major subcontractors

Lockheed Martin Canada

Project phase

Definition June 2012

Major milestones

Project Approval (Definition Phase 1) June 2012
Revised Project Approval (Definition Phase 1) December 2014
Request for Proposal Release October 2016
Project Approval (Definition Phase 2) June 2017
Contract Award (Definition Phase 2) February 2019
Project Approval (Implementation) Early 2020s
Implementation Contract - Awarded Early 2020s
First Delivery Mid 2020s

Progress report and explanation of variances

The CSC project is achieving project objectives, notably:

  • Government officials announced in January 2015 that Irving Shipbuilding Inc. will be the Prime contractor for the CSC project;
  • Government officials announced the initial procurement strategy on 1 May 2015;
  • Prequalification of bidders was completed in October 2015;
  • An initial reconciliation of requirements was completed in October 2015;
  • The refined procurement strategy was announced in June 2016;
  • Over the summer of 2016, Canadian Industry and the pre-qualified short listed respondents were engaged on the draft Request for Proposal. Irving Shipbuilding Inc. released the Request for Proposal on 27 October 2016;
  • Canada’s Defence Policy, Strong, Secure, Engaged, was released on 7 June 2017, citing the procurement of 15 Canadian Surface Combatants with an updated overall project budget;
  • November 30, 2017: CSC Request for Proposal closed and initial bids received;
  • December 4, 2017: Bid evaluation process commenced;
  • October 16, 2018: Bid evaluation completed; Lockheed Martin identified as the preferred bidder and conditions precedent period of due diligence and negotiations commenced; and
  • February 07, 2019: Canada awarded a Definition Contract to Irving Shipbuilding Inc., and Irving Shipbuilding Inc. in turn, awarded a Definition Subcontract to Lockheed Martin Canada for work to finalize the CSC design.

Scope: Industry was engaged in early 2016 on a potential refinement to the procurement strategy to competitively select an existing warship design to modify rather than to develop a new design. Informed by this engagement, Government announced the approval of this refinement on 13 June 2016. The project remains on track to achieve the scope as approved in May 2016.

Cost: The Definition Phase 2 will initially focus on further requirements reconciliation and then the ship design phases. Completion of the design phases will inform the costing of the project. This activity will be jointly undertaken by project staff, Irving Shipbuilding Inc. and its sub-contractors.

Schedule: Definition Phase 1 is complete and Definition Phase 2 started 7 February 2019. It is estimated the project will be in Definition Phase 2 for three to four years to develop the CSC design prior to the award of an implementation contract for the build of CSC in the early 2020s. Delivery of the first ship is expected in the mid-2020s.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • Canada and Irving Shipbuilding Inc. will continue to progress the CSC design and should complete the ship preliminary design; and
  • Refinements to the design will continue for another two to three years following this achievement.
Project name CORMORANT MID-LIFE UPGRADE
Description Cormorant Mid-Life Upgrade (CMLU) project will extend the estimated life expectancy of the CH-149 Cormorant to at least 2042, address obsolescence issues, ensure compliance with emerging regulations, and address a search and rescue capability deficiency at the Trenton Main Operating Base.
Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

Once the aircraft have been modernized, they will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Air Force:

  • Provide modernized aerospace fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces Elements are meeting Force Posture and Readiness requirements remain ready; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits Policy, including Value Proposition, applies to this acquisition. The industrial analysis conducted to date reveals that this project is related to a number of areas of strategic interest to Canada, including rotary wing maintenance, repair and overhaul, systems upgrade, and training and simulation. The potential to leverage economic benefits will be a consideration in finalizing the procurement strategy.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Department of National Defence (DND), Public Services and Procurement Canada (PSPC), Innovation, Science and Industry (ISI)

Prime contractor Leonardo Helicopters Division
Major subcontractors

IMP Aerospace & Defence, CAE, GE Canada, Rockwell Collins, Ottawa, Ontario, Canada

Project phase

Definition February 2019

Major milestones Project Approval (Definition) 7 February 2019
Project Approval (Implementation) Fall 2020
Contract Award (Implementation) Fall 2020
First Delivery 2022
Initial Operational Capability 2024
Final Delivery 2027
Full Operational Capability 2028
Effective Project Closeout 2028
Progress report and explanation of variances

The CMLU project is achieving project objectives, notably:

  • Project Approval (Definition) was achieved in February 2019; and
  • Release of Request for Proposal to Prime Contractor is targeted for late 2019.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • Project Approval (Implementation) is targeted for fall 2020; and
  • Contract Award (Implementation) is targeted for fall 2020.
Project name CP-140 - AURORA INCREMENTAL MODERNIZATION / STRUCTURAL LIFE EXTENSION PROJECTS
Description

The combined objective of the CP-140 Aurora Incremental Modernization Project (AIMP) and the Aurora Structural Life Extension Project (ASLEP) is to modernize and extend the life of 14 of Canada’s 18 CP-140 Aurora aircraft in order to maintain the fleet’s operational capabilities until the fleet’s planned retirement date of 2030. This work will provide the capability to conduct Intelligence, Surveillance and Reconnaissance in order to detect threats to Canadian security as early as possible.

AIMP was originally an omnibus project consisting of 23 sub-projects. As of October 2013, the remaining on-going AIMP projects were consolidated under one project.

Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

AIMP has the following project outcomes:

  • Deliver Block I upgrades, which includes replacement/upgrade of high frequency radio gear, cockpit voice recorder and flight data recorder;
  • Deliver Block II upgrades, which includes navigation and communications upgrades;
  • Deliver Block III upgrades, which includes mission computer and sensor upgrades; and
  • Deliver Block IV upgrades, which will add three new capabilities (Beyond Line of Sight Satcom, Link 16 and self-defence).

ASLEP has the following project outcome:

  • Deliver structural upgrade on 14 of the 18 CP-140 Aurora aircraft.

Once the aircraft have been modernized they will be contributing to various Program Inventories under Operations and Ready Forces. The CP-140 Aurora Incremental Modernization/Structural Life Extension Projects will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Air Force:

  • Provide modernized aerospace fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces Elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy applies to this project. Canada will receive ITBs equivalent to 100% of the contracted value of the General Dynamics Mission Systems - Canada acquisitions contract.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

General Dynamics Mission Systems - Canada – Ottawa, Ontario, Canada
Lockheed Martin Aeronautics – Marietta, Georgia, USA

Major subcontractors

IMP Aerospace – Halifax, Nova Scotia, Canada

Project phase

Implementation (AIMP Block IV)June 2015

Major milestones

AIMP:
Block I Full Operational Capability July 2007
Block II Full Operational Capability March 2012
Block III Full Operational Capability April 2019
Block IV Project Approval (Definition) October 2013
Block IV Project Approval (Implementation) June 2015
Contract Award to General Dynamic Mission
Systems-Canada October 2015
Block IV Initial Operational Capability June 2020
Block IV Full Operational Capability (FOC)Fall 2022
Project Closeout 2025

ASLEP:

Project Approval (Implementation) May 2008
Initial Operational Capability April 2012
Amended Project Approval (Implementation) October 2013
Full Operational Capability January 2020
Project Closeout December 2020

 

Progress report and explanation of variances

The AIMP and ASLEP projects are achieving project objectives, notably:

  • AIMP Block III FOC achieved with delivery of last aircraft in June 2019.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • Signature of FOC certificate for Block III and ASLEP;
  • Integration testing of AIMP Block IV prototype aircraft; and
  • Preparation for production modification of the remaining aircrafts.
Project name FIXED-WING SEARCH AND RESCUE AIRCRAFT REPLACEMENT PROJECT
Description

The Government of Canada is acquiring 16 CC-295 aircraft equipped with advanced technology systems to support Canada’s search and rescue operations, replacing the current Buffalo and Hercules. The aircraft will be based where search and rescue squadrons are currently located, in Comox, British Columbia; Winnipeg, Manitoba; Trenton, Ontario; and Greenwood, Nova Scotia. 

Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

The Fixed-Wing Search and Rescue Aircraft Replacement (FWSAR) project has the following project outcomes:

  • Acquire 16 new, sensor-equipped aircraft to replace the Search and Rescue fleets of CC-115 Buffalo and CC-130H Hercules;
  • Acquire long-term In-Service Support;
  • Deliver associated infrastructure; and
  • Reduce search times across Canada’s area of responsibility.

Once the aircraft have been introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The FWSAR project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Air Force:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces Elements contributing to Force Posture and Readiness requirements remain ready; and
  • Ensure the fleet is available as planned to meet training and operational readiness requirements.

The primary beneficiary is the Canadian population who require Search and Rescue Services.

Industrial benefits

The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy applies to this project. Canada will receive ITBs equivalent to 100% of the contracted value for both acquisition and the in-service support.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Airbus Defence and Space S.A. – Madrid, Spain

Major subcontractors

AirPro – Ottawa, Ontario Canada - Canadian In-Service Support Integrator responsible for the delivery of In-Service Support Set-up, Transition and Steady State.

CAE – Montreal, Quebec, Canada - Lead for training systems development, the Operational Training Unit delivery and provision of all training services.

PAL Aerospace – St. John’s, Newfoundland, Canada: Lead for all aircraft support.

Pratt & Whitney Canada – Longueil, Quebec, Canada: Engines.

Lockheed Martin Canada Inc. – Ottawa, Ontario, Canada: Surveillance Radar Subsystem and the associated In-Service Support.

L-3 WESCAM – Burlington, Ontario, Canada: Electro-Optical / Infra-Red sensor for the CC-295.

Accenture Inc. Canada – Ottawa, Ontario, Canada: Electronic Information Environment.

Project phase

Implementation December 2016

Major milestones

Expenditure Authority – Definition phase March 2012
Project Approval (Definition) March 2015
Project Approval (Implementation) December 2016
Contract Award December 2016
First Aircraft Delivery (in Spain) December 2019
Initial Operational Capability 2020
Final Aircraft Delivery 2022
Full Operational Capability 2022
Effective Project Closeout 2023

Progress report and explanation of variances

The FWSAR project is achieving project objectives, notably:

  • The Request for Proposal was released on 31 March 2015;
  • A contract was awarded to Airbus Defence and Space on 1 December 2016;
  • Ground breaking ceremony for the Comox Training Center occurred in January 2018;
  • First aircraft rolled off the production line and commenced contractor ground testing in Spain in March 2019; and
  • First aircraft commenced contractor-led flight testing in Spain in July 2019.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • Project is expected to achieve Initial Operational Capability in 2020.
Project name FUTURE FIGHTER CAPABILITY PROJECT
Description

The objective of the Future Fighter Capability Project (FFCP) is to successfully acquire and transition into service 88 advanced fighter aircraft along with the associated equipment, weapons and sustainment capability that leverages Canadian capabilities and contributes to economic growth and jobs.

Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework; its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

The FFCP has the following project outcomes:

  • Deliver a fighter capability to execute the roles and missions asked by the Government of Canada.

Once the aircraft have been introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The FFCP project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Air Force:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits Economic benefits for Canadian industry will be maximized by seeking Value Propositions where industrial targets are equal to the value of the Contracts. Canada will seek, through negotiations, commitments from industry that align with the Value Proposition strategic objectives, promoting innovation, ensuring best value and supporting Canada’s defence priorities.
Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

To be determined (TBD)

Major subcontractors

TBD

Project phase Definition November 2017
Major milestones

Project Approval (Definition) November 2017
Project Approval (Implementation) 2022
Contract Award 2022
Delivery First Aircraft Mid 2020s
Initial Operational Capability Mid 2020s
Full Operational Capability Early 2030s
Project Closeout Early 2030s

Progress report and explanation of variances

The FFCP is achieving project objectives, notably:

  • January to May 2019: Partial updates to the Draft Request for Proposal (RFP) were released to Supplier Teams for comments and feedback;
  • Completed extensive options analysis and definition work, including requirements definition and a business case analyses, to define options for the infrastructure solution for FFCP;
  • 20 June 2019: A second Draft RFP was released to Supplier Teams;
  • 23 July 2019: RFP released to Supplier Teams; and
  • 4 October 2019: Bidders submitted their Preliminary security Offers for assessment by Canada.

Scope: DND is working with PSPC and ISI to replace the fighter fleet with an advanced fighter capability that matches Canada’s defence needs.

Cost: An acquisition budget of $15B-$19B Canadian was announced as part of Canada’s Defence Policy, Strong, Secure, Engaged. The project’s implementation budget will be informed by the outcome of the competitive process and ongoing project definition work, and is contingent on approval as part of the Project Approval process for Implementation.

Schedule: While the schedule remains aggressive, the project remains on track to receive Bidder’s Offers in spring 2020, and begin the formal evaluation of submissions.

Work Plan: In the Fiscal Year 2020-21 the project will achieve the following:

  • Conduct the initial evaluation of Bidder offers;
  • Conduct Bidder Down-Select and dialogue with the Down-Selected Bidders; and
  • Commence infrastructure design and site preparation activities.
Project name HALIFAX CLASS POINT DEFENCE MISSILE SYSTEM UPGRADE
Description

The objective of the Halifax-class Point Defence Missile System Upgrade (PDMSU) project is to develop and acquire an evolution to the current Evolved SeaSparrow Missile (ESSM) Point Defence Missile System, fitted in the Halifax-class ships. This work will sustain the Royal Canadian Navy’s Halifax-class ships’ ability to defend against current and future threats originating from surface, sub-surface, air and land-based platforms.

Project outcomes

This project currently contributes to Program Inventory 5.1 Maritime Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Maritime equipment projects remain in approved scope, schedule and expenditure authority. 

The PDMSU project has the following outcomes:

  • Develop an improved point defence missile as part of a 12-country initiative;
  • Acquire and integrate an upgraded Point Defence Missile System for the Halifax-class ships; and
  • Acquire stock of the ESSM Block 2.

Once introduced into service, the system will be contributing to various Program Inventories under Operations and Ready Forces. The PDMSU project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Navy:

  • Provide improved capabilities which will contribute towards ensuring operations within Canada, North America, and internationally are effective; and
  • Acquire new capabilities to ensure Canada and North America are defended against threats and attacks.
Industrial benefits

The development work, performed under the ESSM Block 2 Engineering and Manufacturing Development Memorandum of Understanding (MOU), consists of Government work and industrial work. While the Government work will be performed primarily by the U.S. Government, the industrial work is shared among the contributing participants in accordance with their cost share percentages.

Work share for Implementation Phase is governed by the MOU for the Production of the ESSM Block 2, with work share based on the country’s percentage of total missiles acquired. As a result, the work share is 100% of the value associated with the production of the contracted missiles.

Canada’s Integrated Regional Benefits Policy does not apply to this project.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

NATO SeaSparrow Surface Missile System Project

Major subcontractors

Raytheon Missile Systems Company – Tucson, Arizona, USA

Project phase

Implementation March 2017

Major milestones

Project Approval (Definition) November 2014
Initial ESSM Block 2 Engineering and Manufacturing
Development MOU Payment November 2014
Project Approval (Implementation) March 2017
First Missile Delivery Late 2020
Initial Operational Capability December 2021
Full Operational CapabilityDecember 2025
Project Closeout March 2028

Progress report and explanation of variances

The PDMSU project is achieving project objectives, notably:

  • Canada signed the ESSM Block 2 Engineering and Manufacturing Development MOU on 12 November 2014; and
  • Canada signed the ESSM Block 2 Production MOU on 29 March 2017.

Scope: The project delivered on its 2019-20 approved scope.

Cost: The project is within its 2019-20 approved budget. All payments for Low Rate Initial Production phase of the ESSM Block missiles have been made to the NATO SeaSparrow Consortium, including a related payment of approx. $135M during the last fiscal year.

Schedule: The PDMSU project is on track to deliver the project milestones in accordance with its 2017 approved schedule.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • First Missile delivery is expected in late 2020.
Project name HORNET EXTENSION PROJECT
Description

The Hornet Extension Project (HEP) will ensure that the Royal Canadian Air Forces (RCAF) Hornet fighter fleet is able to meet operational commitments, including to the North American Aerospace Defence Command (NORAD) and the North Atlantic Treaty Organization (NATO), until 2032 when the permanent replacement fleet is expected to be fully operational.

Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework; its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

The HEP project has the following project outcomes:

  • Phase 1 of the project, which is currently in Definition, will deliver upgrades to the avionics and mission support systems for up to 94 aircraft of the RCAF Hornet fighter fleet to ensure compliance with regulatory requirements and interoperability standards; and
  • Phase 2 of the project, which is associated with combat capability upgrades, is currently in Options Analysis and will upgrade up to 36 aircraft.

Once the aircraft have been re-introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The HEP project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the RCAF:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits

Industrial Technological Benefits will be considered for all acquisitions in excess of $20M.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Department of National Defence (DND), Public Services and Procurement Canada (PSPC), Innovation, Science and Industry (ISI)

Prime contractor

The Procurement Strategy is not fully developed, nor approved yet, however, it is anticipated that the equipment will be procured through a combination of competitive, non-competitive (Original Equipment Manufacturers, Foreign Military Sales) contracts and Standing Offers. The Project will purchase Military Off-The-Shelf and Commercial Off-The-Shelf equipment that is currently in use by Canada or its Allies, to the maximum extent possible, to minimize risks, costs, and schedule.

Major subcontractors

L3 Harris Technologies, Inc. (formerly L-3 Technologies MAS, Inc.) Mirabel, Quebec
Peraton, Herndon, Virginia, USA

Project phase

Phase 1 : Definition
Phase 2: Option Analysis

Major milestones

Amended Project Approval (Definition): Phase 2 April 2020
Project Approval (Implementation) May 2021
Initial Operational Capability December 2023
Full Operational Capability June 2025
Effective Project Closeout September 2025

Progress report and explanation of variances

The HEP Project is achieving project objectives, notably:

  • 6 June 2019: Project Approval (Definition) with Expenditure Authority received for Phase 1;
  • 27 September 2019: Defence Procurement Strategy (DPS) Governance Board Gate #1, Director and Director General Level for Phase 2 completed; and
  • 29 November 2019: DPS Governance Board Gate #2 and #3, Director General Level for selected items completed.

Work Plan: In the Fiscal Year 2020-21, the project will achieve the following:

  • Expenditure Authority (Definition) for Phase 2 scheduled for Spring 2020; and
  • Progress work towards achieving Expenditure Authority and Contracting Authority for Implementation.
Project name INTERIM FIGHTER CAPABILITY PROJECT
Description

The Interim Fighter Capability Project (IFCP) will acquire 18 surplus Australian F/A-18A/B aircraft, spares and equipment to supplement Canada’s existing CF-18 fleet to address the fighter capability gap.  A secondary objective includes relocation of the Aerospace Engineering Test Establishment (AETE) from Cold Lake to the Ottawa Airport, including hanger renovations in Ottawa and the relocation of current occupants.

Project outcomes

This project currently contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

The IFCP has the following project outcomes:

  • Successful acquisition of F/A18-A/B aircraft and integration into the CF-18 fighter fleet; and
  • Help address the capability gap by having sufficient operational aircraft to support execution of the roles and missions asked by the Government of Canada.

Once the fleet have been introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The FFCP project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Air Force:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Air and Space forces Elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy does not apply to the purchase of military equipment from a foreign government where a prime contractor is not involved.  ITBs for the Canadian aerospace sector will be realized through opportunities for Canadian industry to provide additional In-Service Support to the surplus F/A-18A/B aircraft.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Department of National Defence (DND), Public Services and Procurement Canada (PSPC), Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Acquired from the Australian Government through a Government to Government Purchasing Arrangement

Major subcontractors

CF-18 Prime Air Vehicle (PAV) Optimized Weapons System Management Contractor (L3 Harris Technologies, Inc. formerly L-3 MAS), Avionics (AVS) Optimized Weapons System Management Contractor (Peraton), Propulsion Group System (PGS) Optimized Weapons System Management Contractor (Magellan)

Project phase

ImplementationNovember 2018

Major milestones

Project Approval (Definition) February 2017
Project Approval (Definition amendment) December 2017
Project Approval (Implementation) November 2018
Purchasing Agreement Signed November 2018
First Aircraft made available to Canada February 2019
Introduction to Service June 2019
Aircraft and parts deliveries November 2019
to February 2022
Full Operational Capability December 2022
Project Closeout 2024

Progress report and explanation of variances

The IFCP project is achieving project objectives, notably:

  • First two aircraft delivered to Canada February 2019;
  • Initial Operational Capability declared June 28 2019; and
  • Next two aircraft are on track to be delivered by end 2019.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Establish a contract for commercial airlift for RAAF F/A-18s (Spring 2020);
  • Transfer eight aircraft from Australia to Canada;
  • Deliver four IFCP aircraft to the RCAF to support operations; and
  • Transfer lead element of AETE personnel to temporary accommodations in the National Capital Region.
Project name JOINT SUPPORT SHIP
Description

The objective of the Joint Support Ship (JSS) project is to deliver two new support ships to replace the Royal Canadian Navy’s Auxiliary Oiler Replenishment vessels that have reached the end of their service. The capabilities required of the Joint Support Ships are crucial to the Royal Canadian Navy. These new Protecteur-class ships will enable a Naval Task Group to remain at sea for extended periods of time. These vessels will provide core replenishment capabilities, plus added capacity for limited sealift and limited support to operations ashore.

Project outcomes

This project currently contributes to Program Inventory 5.1 Maritime Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Maritime equipment projects remain in approved scope, schedule and expenditure authority. 

The JSS project will deliver two Joint Support Ships, plus sea to shore connectors.

Once the vessels are introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The JSS project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Navy:

  • Introduce a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally; 
  • Ensure Maritime Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleet are available as planned, to meet training and operational readiness requirements.
Industrial benefits

Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for the acquisition. In-Service Support of the vessels is managed separately under the AJISS (Arctic and Offshore Patrol Ship and Joint Support Ship) In-Service Support contract which was awarded in 2017.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Acquisition: Vancouver Shipyards Co. – North Vancouver, British Columbia, Canada

In-Service Support: Thales Canada Inc. and Thales Australia Inc. – Ottawa, Ontario, Canada. A single long-term In-Service Support Contract (ISSC) to support the Arctic and Offshore Patrol Ship (AOPS) and Joint Support Ship (JSS) vessels is in place.

Major subcontractors

Alion Science and Technology (Canada) Corporation – Ottawa, Ontario, Canada
Thales Canada Inc. – Ottawa, Ontario, Canada
Computer Sciences Canada Inc. – Ottawa, Ontario, Canada
Det Norske Veritas - Germanischer Lloyd Canada (DNV-GL) – Montreal, Quebec, Canada
ThyssenKrupp Marine Systems Canada Inc. – Ottawa, Ontario, Canada
VARD Electro – Tennfjord, Norway
VARD Electro Canada Inc. – Vancouver, British Columbia, Canada
Trident Maritime Systems – Crozet, Virginia, USA
L-3 Communications MAPPS Inc. – St. Laurent, Quebec, Canada
Hepburn Engineering Inc. – Toronto, Ontario, Canada (expected under contract in Summer 2018)
MAN Diesel and Turbo, Augsburg, Germany (expected under contract Summer in 2018)
Lockheed Martin Canada, Ottawa, Canada (expected under contract in 2018)

Project phase

Definition November 2004
Implementation (expected) February 2020

Major milestones

Revised Project Approval (Definition) 1 June 2010
Revised Project Approval (Definition) 2 April 2014
Revised Project Approval (Definition) 3 December 2014
Revised Project Approval (Definition) 4 June 2015
Revised Project Approval (Definition) 5 August 2016
Revised Project Approval (Definition) 6 April 2018
Project Approval (Implementation) February 2020
Award of Implementation Contract Spring 2020
Delivery of first ship 2023
Initial Operational Capability 2024
Full Operational Capability 2025
Project Closeout Under Review

Progress report and explanation of variances

The JSS project is achieving project objectives, notably:

  • Early construction is well underway and the projected ship delivery dates have remained consistent in the October 2019 build proposal submission from Vancouver Shipyards Ltd (VSY); and
  • Of note, these ship delivery milestones are dependent on achieving build contract implementation in spring 2020.

Work Plan:  In the fiscal year 2020-21, the project will achieve the following:

  • Following implementation of the build contract with VSY in spring 2020, construction will be advanced on JSS1 blocks above those completed under the Early Block Build (EBB) contract (i.e. blocks 53-127). JSS and VSY will achieve the Critical and Functional Design review in mid-2020.
Project name LIGHT ARMOURED VEHICLE III UPGRADE PROJECT
Description

The objective of the Light Armoured Vehicle (LAV) III upgrade project is to upgrade a significant portion of the LAV III fleet. The LAV III upgrade project will capitalize on existing and evolving technology to provide a highly protected, yet highly mobile Light Armoured Vehicle capability which will protect the soldiers and equipment of the Canadian Armed Forces in current and future operations.

Project outcomes

This project currently contributes to Program Inventory 5.2 Land Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Land equipment projects remain in approved scope, schedule and expenditure authority. 

The LAV III upgrade project has the following project outcomes:

  • Deliver 550 LAV III vehicles upgraded in the areas of mobility, protection and lethality.

Once these vehicles are re-introduced into service they will be contributing to various Program Inventories under Operations and Ready Forces. The LAV II upgrade project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Canadian Army:

  • Provide modernized land fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensure Land Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleet are available as planned to meet training and operational readiness requirements.
Industrial benefits Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value from General Dynamics Land Systems-Canada for both the acquisitions and In-Service Support.
Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

General Dynamics Land Systems - Canada – London, Ontario, Canada

Major subcontractors

N/A

Project phase

Implementation October 2011

Major milestones

Project Approval (Definition) June 2009
Project Approval (Implementation) October 2011
Contract Award October 2011
First Vehicle Delivery December 2012
Initial Operational Capability June 2014
Revised Project Approval (Implementation) November 2016
Final Vehicle Delivery July 2019
Full Operational Capability July 2019
Effective Project Closeout July 2020
Project Closeout Summer 2021

Progress report and explanation of variances

The LAV III upgrade project is achieving project objectives, notably:

  • All 550 vehicles have been upgraded and delivered in July 2019, including the Light Armoured Vehicle Operational Requirement Integration Task; and
  • Full Operational Capability was achieved following delivery of the last upgraded vehicle.

Work Plan: In fiscal year 2020-21, the project will achieve the following:

  • Effective Project Closeout will be declared.
Project name LOGISTICS VEHICLE MODERNIZATION PROJECT
Description

The Logistics Vehicle Modernization (LVM) project will acquire a new fleet of light trucks of a 4 to 5 tonne cargo capacity, trailers and modules to mount on the trucks and trailers that will provide accommodation space to conduct various tasks (such as office space and workshops). The project will also acquire Heavy trucks and trailers with a 16.5 tonne cargo capacity, trailers for engineering construction equipment and to transport a main battle tank, modules for accommodation and specialized cargo (such as fuel) and an armoured protection kit for the cab.  The project will also fund new infrastructure and upgrades to existing infrastructure required to support the new fleets.

Project outcomes

This project contributes to Program Inventory 5.2 Land Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Land equipment projects remain in approved scope, schedule and expenditure authority. 

Once the fleets have been modernized, they will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically to the Canadian Army:

  • Ensure fleet available as planned to meet training and operational readiness requirements; and
  • Provide modernized fleet which will contribute towards ensuring operations in Canada, North America and internationally are effective.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy including the Value Proposition will apply to the LVM Project. The ITB obligation will be equal to the value of the contract.  Economic impact assessment may apply.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

To be determined

Major subcontractors

To be determined

Project phase

Definition 7 February 2019

Major milestones

Project Approval (Definition) 7 February 2019
Request for Proposal released Summer 2021
Bid Evaluation Complete 2021-22
Project Approval (Implementation) 2022-23
Contract Award (Implementation) 2022-23
First Delivery 2025-26
Initial Operational Capability (IOC) 2026-27
Full Operational Capability (FOC) 2029-30
Project Closeout 2029-30

Progress report and explanation of variances

The LVM Project is achieving Definition phase project objectives, notably:

  • In April 2019, Canada published the formal invitation to qualify (ITQ). The process resulted in seven Qualified Suppliers; and
  • Engagement with Qualified Suppliers commenced August 2019 and will inform requirements finalization and solicitation documents.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Period of significant engagement with Qualified Suppliers will continue over the next year, which will factor into a formal Request For Proposal to be released in summer 2021.
Project name MARITIME HELICOPTER PROJECT
Description

The objective of the Maritime Helicopter Project (MHP) is to acquire a new maritime helicopter capability to replace the CH-124 Sea King. This acquisition will address the operational deficiencies of the current CH-124, eliminate the supportability difficulties of the older helicopter, and provide 28 state-of-the-art multi-purpose shipborne Maritime Helicopters for operations well into the 21st century.

Project outcomes

This project contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority.

The MHP has the following project outcomes:

  • Acquire 28 fully equipped Maritime Helicopters;
  • Deliver long-term In-Service Support;
  • Modify the Halifax-class ships to accommodate the new Maritime Helicopters; and
  • Construction of new training facility.

Once the fleet are introduced into service, they will be contributing to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically being delivered to the Royal Canadian Air Force, and will support the Royal Canadian Navy:

  • Ensure Maritime Forces and Air and Space Forces Elements remain ready and are deployable in support of Force Posture and Readiness;
  • Ensure fleet available as planned to meet training and operational readiness requirements; and
  • Contribute towards ensuring operations in Canada, North America and internationally are effective.
Industrial benefits

Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project.

Canada will receive IRBs equivalent to 100% of the contracted value for the acquisitions and 80% of the contracted value for the In-Service Support portion from Sikorsky Aircraft.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Sikorsky International Operations Incorporated – Stratford, Connecticut, USA

Major subcontractors

General Dynamics Mission Systems - Canada – Ottawa, Ontario, Canada
L3 Harris Technologies, Inc., formerly L-3 MAS – Mirabel, Quebec, Canada

Project phase

Implementation November 2004

Major milestones

Project Approval (Definition) June 2003
Project Approval (Implementation) November 2004
Contract Award November 2004
Revised Project Approval (Implementation) June 2014
First Delivery (Block 1 Maritime Helicopters) June 2015
First Delivery (Block 2 Maritime Helicopters) April 2018
Initial Operational Capability May 2018
Final Delivery 2021
Full Operational Capability 2022
Effective Project Closeout 2022

Progress report and explanation of variances

The MHP is achieving project objectives, notably:

  • 19 CH-148 Cyclone helicopters have been delivered, 13 of which are in the Block 2 configuration;
  • The new Maritime Helicopter Training Centre has been built and handed over to Canada;
  • 10 out of 12 Halifax-class frigates have been converted and can support sustained embarked CH-148 operations, with the remaining 2 conversions to be completed early in FY 2020-21;
  • The CH-148 fleet is in service and supports domestic and international operations; and
  • The Commander of the RCAF declared Initial Operational Capability in July 2018.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Deliver up to seven additional helicopters in Block 2 configuration;
  • Deliver up to 12 Capability Release 2.1 modification kits; starting in October 2020;
  • Support conversion of two remaining Halifax-class frigates to Cyclone decks; and
  • Convert training system to the Capability Release 2.1 configuration.
Project name MEDIUM SUPPORT VEHICLE SYSTEM PROJECT
Description

The objective of the Medium Support Vehicle System (MSVS) project is to acquire a new medium-weight truck capability that will replace the Medium Logistic Vehicle Wheeled (MLVW) fleet. The acquisition will provide the capability to transport troops, cargo, and equipment and to perform Unit level and combat services support functions. The MSVS project will replace the 36 year old MLVW fleet. The capability provided by the MLVW is no longer supportable nor effective.

Project outcomes

This project contributes to Program Inventory 5.2 Land Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Land equipment projects remain in approved scope, schedule and expenditure authority.

The MSVS project has the following project outcomes, divided in phases:

  • Phase 1
    • Acquire 1,300 Militarized Commercial-Off-The-Shelf (MilCOTS) trucks.
  • Phase 2
    • Acquire 994 Specially Equipped Vehicle (SEV) baseline shelters (26 are funded by the Medium-to-Heavy Lift Helicopters (MHLH) project and seven by the Land Forces Intelligence, Surveillance, Target Acquisition and Reconnaissance (LFISTAR) project, Family of Unmanned Aerial Vehicles (FUAV)s sub-project (LF ISTAR FUAV).
  • Phase 3
    • Modify 846 baseline shelters (also referred to as “Shelter Kitting”).
  • Phase 4
    • Acquire 1,500 Standard Military Pattern (SMP) Trucks in five variants: Cargo; Cargo with Material Handling Crane; Load Handling System; Mobile Repair Team; and Gun Tractor. Plus 37 funded by the Lightweight Towed Howitzer (LWTH) project, 36 trucks funded by the MHLH project, and 14 trucks funded by the Air Force Expeditionary Capability (AFEC) Project;
    • Acquire 150 integrated Armour Protection Systems. Plus seven funded by LWTH, and four funded by MHLH;
    • Acquire 300 Load Handling System trailers. Plus 14 funded by MHLH, and four funded by Air Force Expeditionary Capability; and
    • Acquire In-Service Support.
  • Phase 5
    • Deliver associated Infrastructure.

Once the fleet are introduced into service, they will be contributing to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically to the Canadian Army:

  • Ensures Land Forces Elements are deployable in support of Force Posture and Readiness;
  • Ensures fleet available as planned to meet training and operational readiness requirements; and
  • Contributes towards ensuring operations in Canada, North America and internationally are effective.
Industrial benefits

Canada’s Industrial and Regional Benefits (IRB) applies to Phase 1, Phase 2 and Phase 4 of this project. Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisitions and In-Service Support. The IRB Policy did not apply to Phase 3, the “Shelter Kitting” contract as the procurement was subject to international trade agreements.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

MilCOTS:
Navistar Defence LLC, Warrenville, Illinois, USA
Baseline Shelters:
DEW Engineering and Development ULC, Ottawa, Ontario, Canada
Kitting:
DEW Engineering and Development ULC, Ottawa, Ontario, Canada
SMP:
Mack Defence LLC, Allentown, Pennsylvania, USA

Major subcontractors

N/A

Project phase

Implementation May 2015

Major milestones

Project Approval (Definition) June 2006
MilCOTS – Revised Project Approval (Definition) December 2008
MilCOTS – Contract Award January 2009
MilCOTS – First Delivery June 2009
MilCOTS – Delivery Complete March 2011
Baseline Shelter – Revised Project Approval (Definition) June 2009
Baseline Shelter – Contract Award July 2009
Baseline Shelter – First Delivery May 2012
Baseline Shelter – Delivery Complete February 2015
Kitting – Revised Project Approval (Definition) November 2012
Kitting – Contract Award December 2012
Kitting – First Delivery January 2014
Kitting – Delivery Complete November 2016
Project Approval (Implementation) May 2015
SMP – Contract Award (Acquisition and
In-Service Support) June 2015
SMP – First Delivery April 2018
SMP - Delivery Complete Fall 2020
Infrastructure – Project Approval (Implementation) May 2015
Project Closeout Fall 2021

Progress report and explanation of variances

The MSVS project is achieving project objectives, notably:

  • Trailer fleet scheduled to complete delivery late 2019;
  • October 2019:
    • Initial Operating Capability (IOC) requirements achieved; and
    • MSVS equipment undergoing preparation activities for Operation REASSURANCE.
  • Equipment delivered November 2019:
    • 1193 / 1587 trucks
    • 319 / 322 trailers
    • 79 / 161 APS

Work Plan: In the fiscal year 2020-21,the project will achieve the following:

  • Project closeout in 2021.
Project name MERCURY GLOBAL
Description

The objective of the Mercury Global (MG) project is to acquire assured access to global wideband satellite communications (SATCOM) capabilities (between 70º North to 70º South), which will provide the Canadian Armed Forces with secure, reliable and high availability Beyond Line of Sight communications, enabling SATCOM connectivity for command and control of domestic and international operations.

Project outcomes

This project contributes to Program Inventory 5.4 Defence Information Technology Systems Acquisition, Design and Delivery of the Departmental Results Framework, its outcome is to ensure Information Technology capabilities address a capability gap or deficiency.

The MG project has the following project outcomes:

  • Phase 1
    • Acquire access to the Wideband Global SATCOM (WGS) satellite constellation via a Memorandum of Understanding (MOU) with the United States (US) Department of Defence (DoD) and other international partners (Denmark, the Netherlands, Luxembourg, and New Zealand). The MOU is the vehicle used to fund the construction and launch of the ninth WGS satellite and, thereby, provide access to the US DoD WGS constellation to the Department of National Defence and other international partners to at least the year 2031; and
    • Acquire early access terminals.
  • Phase 2
    • Design, build and support seven permanent antennas at three sites across Canada.
  • Phase 3
    • Acquire deployable terminals for strategic use to operate specifically with the WGS constellation.

Once this new system is in place, it will be contributing to various Program Inventories under Operations, and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces:

  • Ensure fleet available as planned to meet training and operational readiness requirements; and
  • Ensure Operations in Canada, North America and internationally are effective.
Industrial benefits

Canada’s Industrial and Regional Benefits (IRB) Policy applies to the first two phases of this project. In Phase 1, Canada will receive IRBs equivalent to 100% of the contracted value on a separate agreement between Boeing and Public Services and Procurement Canada (PSPC) for the ninth WGS space vehicle (satellite). In Phase 2, Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisition and the In-Service Support.

In Phase 3, Canada will receive ITBs equivalent to 100% of the contracted value for both the capital acquisition and the In-Service Support as part of the Defense Procurement Strategy (DPS).

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Space segment:
United States Department of Defense via a Memorandum of Understanding

Anchor Segment:
General Dynamics Mission Systems – Canada; Ottawa, Ontario, Canada

Strategic Deployment Terminals:
General Dynamics Mission Systems – Canada; Ottawa, Ontario, Canada

Early Access Terminals:
Telesat Canada – Ottawa, Ontario, Canada

Major subcontractors
  • Satellite Manufacturer – Boeing, St. Louis, Missouri, USA
  • Deployable SATCOM Terminal Manufacturer – Ultra Electronics, London, United Kingdom

Anchor Station Development – General Dynamics Mission Systems, Fairfax, Virginia, USA

Project phase

Implementation October 2014
Closeout (expected) December 2020

Major milestones

Project Approval (Definition) October 2011
Initial Operational Capability May 2013
Project Approval (Implementation) October 2014
Project Approval (Terminal Segment Implementation) January 2018
Anchor Segment Acceptance January 2020
Terminal Implementation Complete August 2020
Full Operational Capability November 2020
Project Closeout December 2020

Progress report and explanation of variances

The MG project is achieving project objectives, notably:

  • Anchor Sites underwent operational exercises in October 2019 to ensure their readiness for declaring the sites operational in January 2020; and
  • DND is working with the contractor to ensure delivery of the majority of the Strategic Deployable Terminals in FY 1920-20. Military light kits will be delivered upon certification. Final delivery is expected in FY 2020-21.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Final Delivery of MIL Light Kits once certification is complete; and
  • Declaration of Full Operational Capacity in late 2020.
Project name PROTECTED MILITARY SATELLITE COMMUNICATIONS
Description

The Protected Military Satellite Communications (PMSC) project utilizes the United States (US) Department of Defense (DoD) Advanced Extremely High Frequency (AEHF) Military Satellite Communications (MILSATCOM) System to deliver worldwide (65ºN - 65ºS), assured, protected, secure, survivable, jam-resistant beyond long of sight communications between the national command authority and deployed forces in support of Canadian Armed Forces (CAF) missions. The PMSC project is providing the CAF with a protected, global MILSATCOM capability as well as interoperability with some of our principal allies; the United States, United Kingdom, and the Netherlands. The project includes MILSATCOM terminals for deployed land, sea and air forces.

Project outcomes

This project contributes Program Inventory 5.4 Defence Information Technology Systems Acquisition, Design and Delivery of the Departmental Results Framework, its outcome is to ensure Information Technology capabilities address a capability gap or deficiency.

The PMSC project has the following project outcomes:

  • Phase 1 – Definition (Complete)
    • Procure access to the US DoD AEHF Military Satellite Communications System via a Memorandum of Understanding (MOU); signed in November 1999.
  • Phase 2 – Implementation
    • Acquire AEHF satellite terminals in multiple variants: ground stations, naval, land transportable, and deployable;
    • Install AEHF (advanced extremely high frequency) satellite terminals, where necessary; and
    • Deliver associated Infrastructure.

Once this new system is in place, it will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces:

  • Ensure fleet available as planned to meet training and operational readiness requirements; and
  • Ensure Operations in Canada, North America and internationally are effective.
Industrial benefits

The US DoD committed to a work share with Canadian Industry under the completed Phase 1 portion. Canada’s Industrial and Benefits (IRB) Policy was applied to Phase 2 of this project and an IRB agreement was negotiated with Raytheon. Innovation, Science and Industry will seek IRBs equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

United States Department of Defense via Foreign Military Sales (FMS)

Major subcontractors

Raytheon – Waltham, Massachusetts, USA

Project phase

Implementation November 2003

Major milestones

Project Approval (Definition) August 1999
Project Approval (Implementation) November 2003
First Terminal Delivery November 2011
Initial Operational Capability November 2013
Final Terminal Delivery January 2022
PMSC System Full Operational Capability June 2026
Project Closeout September 2026

Progress report and explanation of variances

The PMSC project is achieving project objectives, notably:

  • Phase 1 – Definition (Complete)
    • Preliminary Project Approval was provided in August 1999; and
    • System access was procured via a Military Satellite Communications MOU with the US DoD for development and fielding, signed in November 1999.
  • Phase 2 – Implementation
    • Project Approval (Implementation) was received in November 2003;
    • An Operations and Sustainment MOU with the US DoD for continued access to 2024 was signed in November 2009;
    • FMS cases were established starting in March 2006 for procurements of terminal equipment; and
    • The PMSC Initial Operational Capability was achieved 12 November 2013.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Effective Project Closure is scheduled for 2021-22 – This variance is directly attributable to the delay to the installation schedule of the Victoria Class Submarines (VCS); and
  • Cornerbrook Navigation Communication Technicians training will be provided in 2021. 
Project name REMOTELY PILOTED AIRCRAFT SYSTEM
Description

The project will deliver a Remotely Piloted Aircraft System (RPAS) capability to provide Intelligence, Surveillance, Target Acquisition and Reconnaissance (ISTAR) information and deliver precision strike effects to Canadian Armed Forces (CAF) commanders. The RPAS Project’s long-range, long-endurance ISTAR and precision strike capabilities will be integrated as part of a networked, joint system-of-systems, in support of the Canada’s Defence Policy, Strong, Secure, Engaged (SSE) strategic vision and primary missions.

Project outcomes

This project contributes to Program Inventory 5.3 Aerospace Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Aerospace equipment projects remain in approved scope, schedule and expenditure authority. 

The RPAS project has the following project outcome:

  • Deliver a mature long range, long endurance RPAS capability that meets the requirements of the CAF.

Once this new system is in place, it will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically to the Royal Canadian Air Force, and will support the Canadian Army, the Royal Canadian Navy, and the Commanders of the Special Operations Forces and Joint Operational Commands.

  • Ensure fleet are available as planned to meet training and operational readiness requirements; and
  • Ensure operations in Canada, North America and internationally are effective.
Industrial benefits

The Defence Procurement Strategy applies to this project and DND is collaborating with Innovation, Science and Industry to define its implementation.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

To be determined

Major subcontractors

To be determined

Project phase

Definition2019

Major milestones

Project Approval (Implementation) 2022-23
Contract Award 2022-23
First aircraft delivery 2024-25
Initial Operational Capability 2025-26
Full Operational Capability 2029-30
Project Closeout 2030-31

Progress report and explanation of variances

The RPAS project is achieving project objectives, notably:

  • In May 2019, Canada published the formal invitation to qualify. The process resulted in two qualified suppliers; and
  • Engagement with Qualified Suppliers commenced July 2019 and will inform requirements finalization and solicitation documents.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • The Request for Proposal is expected in FY 2020-21.
Project name TACTICAL ARMOURED PATROL VEHICLE
Description

The objective of the Tactical Armoured Patrol Vehicle (TAPV) project is to procure a modern fleet of tactical vehicles for use in domestic and expeditionary operations that are highly mobile and provide a very high degree of protection. Replaces part of the Coyote fleet and complements the G-Wagon fleet.

Project outcomes

This project contributes to Program Inventory 5.2 Land Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Land equipment projects remain in approved scope, schedule and expenditure authority. 

The TAPV project has the following project outcomes:

  • Procurement and delivery of essential Integrated Logistics Support (ILS) to sustain the fleet for the first two years;
  • An initial purchase of 500 TAPV with an option for 100 more;
  • Acquisition of an operational stock and two years of training stocks of ammunition;
  • Construction of required infrastructure at bases; and
  • Implementation of a long-term (25-year) through life In-Service Support Contract to be funded through Army National Procurement funds.

Once this modern fleet has been acquired, it will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically to the Canadian Army:

  • Ensure Land Forces Elements are deployable in support of Force Posture and Readiness;
  • Ensure fleet available as planned to meet training and operational readiness requirements; and
  • Ensure operations in Canada, North America and internationally are effective.
Industrial benefits

Canada’s Industrial and Regional Benefits (IRB) Policy applies to the acquisition and support contracts, with requirements for IRB equal to 100% of the contract value.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Industry (ISI) and its regional agencies

Prime contractor

Textron Systems Canada Incorporated – Ottawa, Ontario, Canada

Major subcontractors

Textron Marine and Land Systems – Louisiana, USA
Kongsberg Protech Systems Canada – London, Ontario, Canada
Rheinmetall Canada – Ottawa, Ontario, Canada
Engineering Office Deisenroth Canada – Ottawa, Ontario, Canada

Project phase

Implementation June 2012

Major milestones

Project Approval (Definition) June 2009
Project Approval (Implementation) June 2012
Contracts awarded June 2012
First Vehicle Delivery August 2016
Initial Operational Capability August 2017
Final Vehicle Delivery December 2018
Full Operational Capability December 2018
Project Closeout Winter 2021

Progress report and explanation of variances

The TAPV project is achieving project objectives, notably:

  • Final deliveries of all 500 vehicles occurred on 18 December 2018 concurrently with the transfer of Technical Authority to the in-service organization.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • All 500 vehicles have been accepted by DND. Related equipment (weapons, simulators) and logistics products will be received, and infrastructure completed before project closeout in winter 2021.
Project name UNDERWATER WARFARE SUITE UPGRADE
Description

The objective of the Underwater Warfare Suite Upgrade (UWSU) project is to modernize the underwater warfare sensor suite currently installed in the Halifax-class frigates. The work will address deficiencies, improve ship underwater sensor performance in the challenging littoral environment and provide a system design to enable continual improvement in a cost-effective manner. The UWSU project will improve the performance of the underwater sensors through the upgrade and/or replacement of the components of the underwater warfare sensor suite. The UWSU In-Service Support Contract will provide long-term, full-spectrum support to the UWSU systems. 

Project outcomes

This project contributes to Program Inventory 5.1 Maritime Equipment Acquisition of the Departmental Results Framework, its outcome is to ensure Maritime equipment projects remain in approved scope, schedule and expenditure authority.

The UWSU project has the following project outcomes:

  • Acquire six full-up ship-sets that will include a new passive array and low frequency active towed sonar, a new sonobuoy processing system, an upgrade to the hull mounted sonar and a new active intercept capability; and
  • Fit all twelve Halifax-class ships with the required infrastructure to allow for the transfer of equipment and sensors between ships as required for operational requirements if all equipment upgrades are not permanently fitted on all ships.

Once vessels are outfitted with the required upgrades, they will contribute to various Program Inventories under Operations and Ready Forces. The project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically to the Royal Canadian Navy:

  • Ensure Maritime Forces elements are deployable in support of Force Posture and Readiness; and
  • Ensure fleets are available as planned to meet training and operational readiness requirements.
Industrial benefits

The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy applies to this project. Canada will receive ITBs equivalent of 100% of the contracted value for both the acquisition and In-Service Support. 

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments Innovation, Science and Industry (ISI) and its regional agencies
Prime contractor

General Dynamics Mission Systems – Canada: Ottawa, Ontario and Dartmouth, Nova Scotia, Canada

Major subcontractors

Ultra-Electronics Marine Systems – Canada: Dartmouth, Nova Scotia, Canada
Nautel – Canada: Hackett’s Cove, Nova Scotia and Cornwall, Ontario, Canada
Jasco Research – Canada: Halifax, Nova Scotia and Victoria, British Columbia, Canada
Omnitech – Canada: Dartmouth, Nova Scotia, Canada

Prime contractor
(In-Service Support)

General Dynamics Mission Systems- Canada: Ottawa, Ontario and Dartmouth, Nova Scotia

Project phase

Implementation June 2018

Major milestones

Project Approval (Definition) May 2015
Project Approval (Implementation) June 2018
Contract Award June 2018
Initial Operational Capability 2022
Full Operational Capability 2027
Project Closeout 2027

Progress report and explanation of variances

The UWSU project is achieving project objectives, notably:

  • Treasury Board implementation approval was received in June 2018; and
  • Contract Award occurred 28 June 2018.

Scope: The project is on track to deliver the implementation phase approved scope of six full up and six fitted for but not with. If additional funding is made available, flexible contract options can allow for all twelve ships to be fully fitted.

Schedule: Key milestones towards critical design and Initial Operating Capability are being actively managed against technical and schedule challenges. Docking work period and trials readiness program schedules may influence Initial and Final Operational Capability achievement.

Cost: The implementation phase expenditures remain within the authorized budget.

Work Plan: In the fiscal year 2020-21, the project will achieve the following:

  • Completion of shipboard installation design and specifications.
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