Status report on transformational and major Crown projects

Project name ARCTIC AND OFFSHORE PATROL SHIP
Description

The objective of the Arctic and Offshore Patrol Ship (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.

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:

  • Introduces a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Maritime Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensures 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 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 Economic Development Canada (ISED) and its regional agencies

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) I October 2011

Ancillary Contract AwardedJune 2012

Revised Project Approval (Definition) II December 2012

Definition Contract AwardedMarch 2013

Project Approval (Implementation)December 2014

Award of Implementation Contract January 2015

Revised Project Approval (Implementation) November 2018

Delivery of First Ship2020

Initial Operational Capability 2020

Full Operational Capability 2025

Project Closeout2026

Progress report and explanation of variances

The AOPS project has achieved project objectives, notably:

  • In accordance with the 2012 approved budget, the Definition Contract was completed in November 2015 under budget;
  • With the official cutting of steel, the lead ship in the class, the future HMCS Harry DeWolf, entered full production in September 2015;
  • With the official cutting of steel, the second ship in the class, the future HMCS Margaret Brooke, entered full production in August 2016;
  • With the official cutting of steel, the third ship in the class, the future HMCS Max Bernays, entered full production in December 2017;
  • In September 2018, the future HMCS Harry DeWolf was launched at Halifax Shipyard in Nova Scotia;
  • The future HMCS Harry DeWolf was named at an official naming ceremony by Mme. Sophie Grégoire Trudeau at the Halifax shipyard in October 2018;
  • The jetty infrastructure project in Halifax was completed in July 2019 and is ready to berth the AOPS and other ships of the fleet;
  • The jetty infrastructure project in Esquimalt is progressing and is on track to be in place when required; and
  • The berthing and fueling facility in Nanisivik is progressing and scheduled to be operational in summer 2021.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.

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.

Cost:  In November 2018, the Government of Canada approved the increased budget to build a sixth Arctic and Offshore Patrol 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 Arctic and Offshore Patrol Ship and Canadian Surface Combatant construction. Production activities are underway, with Ship 1 delivery expected in summer 2020.

Year-End Results: In the Fiscal Year 2019-20, the construction of the first four ships progressed. Harbour trials and a first round of sea trials were progressed on the first ship, the future HMCS Harry DeWolf. The second ship, the future HMCS Margaret Brooke, was launched. Mega-block assembly for the third ship continued inside the Assembly Hall while construction of the fourth ship commenced. The jetty infrastructure project in Halifax was completed and the Nanisivik Refuelling Station demonstrated successful berth of HCMS Ville de Québec and deployment of the Spanwire Supported Fuelling system.

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 delivers 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.Note:  The Secure Mobile Environment sub-project was cancelled.

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

Implementation of the first CCMP sub-project September 2009

Major milestones

PROJECT APPROVAL:

CCMP Omnibus Project Approval March 2005

Amended CCMP Omnibus Project Approval February 2017

Amended CCMP Omnibus Project Approval November 2017


CSMI Project Approval November 2006

Amended CSMI Project ApprovalNovember 2017


CCMP SUB-PROJECT DATES:

Secure Voice / Telephone Family –

ImplementationNovember 2004

Secure Voice / Telephone Family – CompletionDecember 2011


Re-Key Infrastructure – ImplementationNovember 2004

Re-key Infrastructure – CompletionSeptember 2009


CSMI – Phase 1A – Implementation November 2006

Amended CSMI – Phase 1A – ImplementationNovember 2017

CSMI – Phase 1A – CompletionSeptember 2018


CSMI – Phase 1B – DefinitionNovember 2006

CSMI – Phase 1B – ImplementationFebruary 2008

CSMI – Phase 1B – CompletionMarch 2012


CSMI – Phase 2 – DefinitionFebruary 2008

Amended CSMI – Phase 2 – DefinitionJune 2011

CSMI – Phase 2 Definition – CompletionMarch 2013


CSMI – Phase 2A – ImplementationNovember 2012

CSMI – Phase 2A – Completion2019


CSMI – Phase 2B – ImplementationNovember 2017

CSMI – Phase 2B – CompletionUnder Review

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) – ImplementationJune 2011

Network Encryption Project (DND) – CompletionJune 2020


Amended Network Encryption Project (DND)February 2017

Network Encryption Family – CompletionJune 2020

Link Encryption Family – CompletionJune 2020


Combat Identification (IFF Mode 5) – DefinitionNovember 2011

Combat Identification (IFF Mode 5) – ImplementationMarch 2014

Combat Identification (IFF Mode 5) – CompletionAugust 2020


CNRE – Definition August 2011

CNRE – Implementation January 2013

CNRE – Completion2020


Secure Radio Project – Implementation February 2017

Secure Radio Project (DND) – CompletionUnder review


Secure Mobile Environment (Cancelled) N/A

Progress report and explanation of variances

The CCMP Omnibus Project has achieved 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 on track to deliver its 2005 approved scope.

Scope: The CCMP Omnibus Project is on track to deliver its 2005 approved scope.

Schedule: The schedule is dependent on the U.S. Cryptographic Modernization Initiative and the Key Management Infrastructure Program. Canada’s collaboration with the United States of America (U.S.A.) 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 was extended to FY 2022-23 due to increased complexity, delays in the CSMI Project that relies on input from the United States Key Management Infrastructure (KMI) Program, and delays in US development of solutions and implementation into weapon platforms such as ships, submarines and aircrafts. Closure dates for the CCMP Omnibus Project are under review to accommodate changes to the CSMI Phase 2B schedule.

Year-End Results: In the Fiscal Year 2019-20, CCMP achieved the following:

CSMI Phase 2B – The CSMI Phase 2B sub-project schedule is currently under review; milestones and completion dates have been proposed and will be submitted to the Treasury Board.

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 all ships in 2020, the project reached Full Operational Capability (FOC) as planned in March 2020 and closed in June 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 continued to support IFF Mode 5 training and system certifications until its FOC in March 2020. The project will close in August 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. This sub-project is currently scheduled for completion in 2025; milestones and completion dates are under review.

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

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 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:

  • Introduces a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Maritime Forces Elements are deployable in support of Force Posture and Readiness; and

Ensures 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, DPS value proposition was a weighted and rated aspect of the evaluation to select the bidder and design for the CSC to provide 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 Economic Development Canada (ISEDC) and its regional development agencies

Prime contractor Irving Shipbuilding Inc., Halifax, Nova Scotia, Canada
Major subcontractors Lockheed Martin Canada
Project phase

DefinitionJune 2012

Implementation (expected)Early 2020s

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

Revised Project Approval (Definition Phase 2)May 2019

Project Approval (Implementation)Early 2020s

Implementation Contract - AwardedEarly 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 Canadian Surface Combatant 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 Proposals. Irving Shipbuilding Inc. released the Request for Proposals 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;
  • 30 November 2017: Canadian Surface Combatant Request for Proposal closed and initial bids received;
  • 4 December 2017: Bid evaluation process commenced;
  • 19 October 2018: A preferred bidder was identified following completion of bid evaluation, and the preferred bidder was invited to participate in the next step of the competitive process, consisting of a negotiations and due diligence period;
  • 7 February 2019: Lockheed Martin Canada was identified as the Selected Bidder to provide the design and design team for the Canadian Surface Combatant, with a design based on the United Kingdom’s Type 26. Canada awarded a Definition Contract to Irving Shipbuilding Inc., who in turn awarded a Definition Subcontract to Lockheed Martin Canada; and
  • 5 November 2019: the project substantially completed the Requirements Reconciliation Phase and commenced Preliminary Design.

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

Cost: The current Definition Phase initially focused on requirements reconciliation and has now progressed to Preliminary Design to evolve the ship design.  Completion of the individual design phases will progressively inform the costing of the project. This activity is being jointly undertaken by project staff, Irving Shipbuilding Inc. and its sub-contractors.

Schedule: With Definition Contract award in February 2019, the current Definition Phase is expected to take four years to evolve the CSC design in preparation for ship construction which is expected to start in 2023. A build schedule is still under development in collaboration with Canada’s prime contractor, Irving Shipbuilding Inc.

Year-End Results: In the Fiscal Year 2019-20, the CSC project substantially completed Requirements Reconciliation in November 2019, and commenced Preliminary Design.

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 (ISR) 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:

  • Provides modernized aerospace fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Air and Space forces Elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensures 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 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 Economic Development Canada (ISED) 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

ImplementationJune 2015

Major milestones

AIMP

Block I Full Operational CapabilityJuly 2007

Block II Full Operational Capability March 2012

Block III Full Operational CapabilityApril 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 November 2020

Block IV Full Operational CapabilityNovember 2022

Project CloseoutDecember 2024


ASLEP

Project Approval (Implementation)May 2008

Initial Operational CapabilityApril 2012

Amended Project Approval (Implementation)October 2013

Full Operational CapabilityApril 2020

Project Closeout December 2020

Progress report and explanation of variances

The AIMP and ASLEP projects have achieved project objectives, notably:

  • AIMP:
    • Blocks I and II are complete and have delivered a modernized CP-140 navigation and communication capability to the RCAF;
    • As of 26 June 2019, all 14 aircraft have received updated mission computer and sensors under Block III; and
    • Block IV achieved prototype aircraft power-on for testing in November 2018 and first flight in February 2020. The proof-of-fit aircraft modification is complete and ready for formal ground and flight test in June 2020.
  • ASLEP:
    • As of 24 April 2020, all 14 aircraft have received structural life extension.

Scope:  Both projects are on track to deliver their implementation approved scope (AIMP: 2015, ASLEP: 2013), though AIMP Block IV is at risk due to the contractor’s capacity to meet modification schedule for all aircraft for planned Full Operational Capability. The Block-III modernized Aurora aircraft has restored Canada’s airborne maritime surveillance capabilities while providing significant enhancements to its overland surveillance capabilities with its world-class integrated mission systems capabilities as demonstrated during domestic and international surveillance missions.  

Cost: ASLEP is on track to deliver within the 2015 approved budget. Increased estimates for modification kits and aircraft modifications, and liability for retroactive contractor rate increases are likely to require all available contingency for AIMP.

Schedule: As a result of delays in engineering and aircraft modification capacity, FOC dates for AIMP and ASLEP have been delayed from the 2015 approved schedule.

Year-End Results: In the Fiscal Year 2019-20, the final AIMP Block III Aircraft was delivered, providing Full Operational Capability (FOC) for this block of the project. AIMP Block IV had its first Initial Flight Test of the prototype aircraft, leading to relocation to 14 Wing for preparations for a full flight-test program. The proof-of-fit aircraft was completed and prepared for Flight Test Instrumentation installation, and the first Production aircraft was inducted for modifications. ASLEP modifications were completed on the final two aircraft, but aircraft serviceability led to the return of the last aircraft to operational status, and therefore FOC of the project to early in the FY 2020-21.

Project name FIXED-WING SEARCH AND RESCUE AIRCRAFT REPLACEMENT PROJECT
Description The objective of the Fixed-Wing Search and Rescue Aircraft Replacement (FWSAR) project is to replace the capability provided by the current fixed-wing Search and Rescue (SAR) fleets of CC-115 Buffalo and CC-130H Hercules aircraft. This will be accomplished by acquiring new, sensor-equipped aircraft with long-term In-Service Support (ISS), to ensure the Canadian Armed Forces can continue to provide an acceptable response to SAR incidents anywhere in the Canadian Area of Responsibility (AoR).
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 FWSAR project has the following objectives:

  • To acquire 16 new, sensor-equipped aircraft to replace the SAR fleets of CC-115 Buffalo and CC-130H Hercules;
  • To acquire the long-term In-Service Support for these aircraft;
  • To deliver the associated infrastructure; and
  • To reduce search times across Canada’s AoR.

The FWSAR project will deliver against the following core responsibilities of the Department of National Defence and the Canadian Armed Forces; specifically, for the Royal Canadian Air Force:

  • Introduce a new fleet that will contribute towards ensuring operations within Canada, North America, and internationally remain effective; 
  • Ensure that the Air and Space forces elements for Force Posture and Readiness requirements remain ready; and
  • Ensure that the fleets available are 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 (DPS) applies to this project. Canada will receive ITBs equivalent to 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor Airbus Defence and Space S.A. – Madrid, Spain
Major subcontractors

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

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

Pratt & Whitney Canada – Longueuil, Quebec, Canada: Engines and engine maintenance, repair and overhaul.

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

Project phase

ImplementationDecember 2016

Project Closeout (expected)2023

Major milestones

Expenditure Authority – Definition phaseMarch 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 Delivery2022

Full Operational Capability 2022

Effective Project Closeout2023

* Please note the comment on schedule in the section below.

Progress report and explanation of variances

The FWSAR project is achieving project objectives, notably:

  • The FWSAR project received Project Approval for the Definition Phase in the spring of 2015;
  • The Request for Proposal was released on 31 March 2015;
  • The bid evaluation was completed during the summer of 2016;
  • A contract was awarded to Airbus Defence and Space on 1 December 2016;
  • The ground breaking for the Comox Training Center occurred in January 2018;
  • The assembly of the first CC-295 aircraft began in September 2018;
  • During fiscal year 2018-19, the critical design reviews were completed for aircraft, training devices and the in-service support solution; and
  • The first aircraft was accepted by the Government of Canada in Spain on 18 December 2019.

Scope: The project is on track to deliver the 2016 approved scope.

Cost: The project is currently within the 2016 approved budget.

Schedule: The world-wide COVID-19 crisis is having an impact on activities within the project. The schedule baseline is being reassessed as a consequence.

Year-End Results: In the Fiscal Year 2019-20, the first aircraft was accepted in Spain on 18 December 2019 and the aircraft maintenance trainer arrived in Comox, British Columbia on 4 February 2020. Flight testing was also started in support of the aircraft’s certification and qualification program.

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 and associated equipment, weapons, infrastructure, information technology, and sustainment, including training and software support. This project will leverage Canadian capabilities and support the growth of Canada’s aerospace and defence industries.
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:

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

The Industrial and Technological Benefits Policy, including Value Proposition (VP), applies to the Future Fighter Capability Project to ensure that long term, high-quality economic benefits are leveraged for Canadian industry.  As part of their bid package, FFCP eligible Suppliers are required to submit a proposal to make investments in Canadian industry that align with Canada’s VP objectives.

More specifically, Canada has implemented a VP that seeks to motivate generational investments in Canada’s aerospace and defence industries over the coming decades, and that drives innovation, exports and skills development in Canada’s Key Industrial Capabilities including in such areas as In-Service Support, Aerospace Systems and Components and Space Systems.

Sponsoring department

Department of National Defence (DND)

Contracting authority

Public Services and Procurement Canada (PSPC)

Participating departments

Innovation, Science and Economic Development Canada (ISED) and its regional agencies

Prime contractor To be determined (TBD)
Major subcontractors TBD
Project phase

DefinitionNovember 2017

Implementation 2022

Major milestones

Project Approval (Definition) - Phase 1November 2017

Project Approval (Implementation)2022

Contract Award 2022

Delivery First Aircraft Mid 2020s

Initial Operational Capability Mid 2020s

Full Operational Capability Early 2030s

Project CloseoutEarly 2030s

Progress report and explanation of variances

Scope: DND is collaborating with PSPC and ISED to replace the fighter fleet, focusing on options that match 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 ongoing project definition work including engagement with governments and industry, and is contingent on approval as part of the Project Approval process for Implementation.

Schedule: While the schedule remains aggressive, the project has met its important milestones in 2019. In 2020, notwithstanding the impact of the COVID-19 pandemic and associated work restrictions, project activities continue to progress.  The next major milestone is for bidders to submit their proposals by 31 July 2020.

Year-End Results: In the Fiscal Year 2019-20, the FFCP has achieved the following:

  • June 2019: A second draft of the Request for Proposal (RFP) was released to eligible Suppliers for their final review and feedback;
  • 23 July 2019: The RFP was released to eligible Suppliers;
  • 4 October 2019: Eligible Suppliers submitted their Preliminary Security Offers describing how they would meet Canada’s security and interoperability requirements;
  • 5 to 10 December 2019: Eligible Suppliers visited Royal Canadian Air Force facilities in Cold Lake and Bagotville to familiarize themselves with Canadian fighter operations and support; and
  • 31 January 2020: Canada provided feedback to the Bidders on their Preliminary Security Offers.
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 project 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, they will be contributing to various Program Inventories under Operations and Ready Forces objectives. The PDMSU project will deliver the following capabilities to the Department of National Defence and the Canadian Armed Forces, specifically the Royal Canadian Navy:

  • Provides improved capabilities which will contribute towards ensuring operations within Canada, North America, and internationally are effective; and
  • Acquires 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 (IRB) 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor NATO SeaSparrow Surface Missile System Project
Major subcontractors Raytheon Missile Systems Company – Tucson, Arizona, USA
Project phase

ImplementationMarch 2017

Closeout (expected)March 2028

Major milestones

Project Approval (Definition) November 2014

 

Initial ESSM Block 2 Engineering and Manufacturing

Development MOU PaymentNovember 2014

Project Approval (Implementation) March 2017

First Missile DeliveryLate 2020

Initial Operational Capability (IOC) December 2021

Full Operational Capability (FOC) December 2025

Project Closeout March 2028

Progress report and explanation of variances

Year-End Results: In the Fiscal Year 2019-20, the PDMSU project continued the development of Combat Systems software upgrade to support the ESSM Block 2 capabilities, ensured development of revised test tools, and performed simulations to support Packaging, Handling, Storage and Transportation (PHS&T) testing.

The PDMSU project has achieved project objectives, notably:

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

Scope: The project is on track to deliver its 2017 approved scope.

Cost: The project is currently within its 2017 approved budget.

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

Work Plan for Fiscal Year (FY) 2020-21:

  • Complete development of the Combat Systems software suite first release;
  • Update missile test tools;
  • Initiate shipboard testing of Block 2 solution; and
  • Start vibration testing to qualify the Packaging, Handling, Storage and Transportation (PHS&T) approach.
Project name INTERIM FIGHTER CAPABILITY PROJECT
Description The objective of the Interim Fighter Capability Project (IFCP) is to 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.
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/A-18A/B aircraft and integration into the CF-18 fighter fleet;
  • Help address the capability gap by having sufficient operational aircraft to support execution of the roles and missions asked by the Government of Canada; and
  • Relocation of Aerospace Engineering Test Establishment (AETE) from Cold Lake to Ottawa Airport.

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

  • Increases number of available F/A-18 aircraft which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Air and Space forces Elements meeting Force Posture and Readiness requirements remain ready; and
  • Ensures 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) 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

Innovation, Science and Economic Development Canada (ISED) 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 (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 the Government of Canada Spring 2019

Introduction to Service Summer 2019

Project Closeout 2023

Progress report and explanation of variances

The IFCP project is achieving project objectives, notably:

  1. In the Fiscal Year 2018-19, IFCP achieved the following:
    • On 1 November 2018, the project received Expenditure Authority and Contract Approval for Implementation;
    • On 9 November 2018, PSPC signed Government to Government Purchasing Arrangement with the Government of Australia for the purchase of aircraft, spare parts and support equipment; and
    • On 23 February 2019, Canada took delivery of the first two supplementary F/A-18 aircraft.
  2. In the Fiscal Year 2019-20, IFCP achieved the following:
    • Completed acceptance, modifications, and testing required to obtain airworthiness clearances on the first two aircraft, to support RCAF declaration of Initial Operational Capability on 28 June 2019;
    • Established a three person detachment in Australia to coordinate the acceptance of aircraft, spare parts and equipment; and
    • Received third (17 November 2019) and fourth (13 February 2020) aircraft from Australia.

Cost: The project is currently within its approved budget.

Schedule: The project is currently on its approved schedule.

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 in support of the Canada’s Defence Policy Strong, Secure, Engaged (SSE) strategic vision and primary missions (SSE initiative 29).

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:

  • Introduces a new fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Maritime Forces Elements are deployable in support of Force Posture and Readiness; and
  • Ensures 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 Economic Development Canada (ISED) 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 Serco Canada Marine Corporation – Ottawa, Ontario, Canada
Thales 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
MAN Diesel and Turbo, Augsburg, Germany
Lockheed Martin Canada, Ottawa, Canada
Navamar Inc., Montreal, Quebec, Canada
OSI, Burnaby, British Columbia, Canada
Indal Technologies, Mississauga, Ontario, Canada
DRS Technologies, Kanata, Ontario, Canada
Hawbolt Industries, Chester, Nova Scotia, Canada
Federal Equipment, Ohio, USA
Ultra Electronics, Dartmouth, Nova Scotia, Canada
Jastram Engineering, North Vancouver, British Columbia, Canada

 

Project phase

DefinitionJune 2010

Major milestones

Revised Project Approval (Definition) 1June 2010

Revised Project Approval (Definition) 2 April 2014

Revised Project Approval (Definition) 3 Decemeber 2014

Revised Project Approval (Definition) 4 June 2015

Revised Project Approval (Definition) 5 August 2016

Revised Project Approval (Definition) 6April 2018

Project Approval (Implementation) February 2020

Award of Implementation Contract Spring 2020

Delivery of first ship 2023

Initial Operational Capability 2024

Delivery of second ship 2024

Full Operational Capability 2026*

Project Closeout 2026*

Progress report and explanation of variances

The JSS project is achieving project objectives, notably:      

  • Following the decision to allow early construction of blocks for JSS, which started in June 2018, there were 25 JSS blocks substantially completed and another 29 under construction as of the end of March 2020. Also, three “grand-blocks” were been substantially completed with three others being consolidated.
  • Early in 2019, a re-sequencing program was agreed to alter the National Shipbuilding Strategy Ship Construction sequence at Vancouver Shipyards to privilege the full construction of the first JSS, followed by the Offshore Oceanographic Science Vessel and then by the second JSS.
  • The Design and Production Engineering (D&PE) schedule was compressed to adapt to the sooner-than-anticipated construction schedule.
  • Progress of the D&PE activities was achieved through the successful conduct of the Critical Design Review (CDR) meeting in March 2020. CDR is the second of three major design milestones.
  • Under the Long Lead Items (LLI) contract and through the competitive procurement process of the contractor, all remaining LLI material, equipment and system supply contracts were established with industry for the sourcing and securing of production slots aligning with the timely construction of both JSS.
  • The LLI commitments have resulted in the shipyard establishing a comprehensive supply chain involving a significant number of Canadian companies from Coast to Coast.
  • With the shipyard construction activities for JSS initiated, Canada’s own detachment in Vancouver successfully established and conducted the necessary client inspections on constructed JSS blocks. Collaboration with the Canadian Coast Guard partners was leveraged to find efficiencies where possible and as part of shipyard schedule mitigations.
  • The shipyard’s response to Canada’s Request for Proposals was received in October 2019. Canada completed its review of the proposal and proceeded with the finalization of contract negotiations to enable a Build Contract award for the full construction of both JSS.
  • The Royal Canadian Navy (RCN) celebrated a construction milestone for its future HMCS Protecteur with a keel laying ceremony held 16 January 2020 at Seaspan Vancouver Shipyards.
  • The project team worked with stakeholders to compile the vast project information to proceed with a submission in February 2020 and received project approval for the full implementation phase and the associated project budget.
  • Following project implementation approval, all existing contracts were amended and prepared for transition to the upcoming full Build Contract. Contract award and the commencement of full rate construction will mark the transition from the definition project phase to implementation activities.
  • Separate from JSS design and construction contracts, a contract was competitively awarded to Navamar Inc. for a Sea-to-Shore connector system.

Scope: Mandate to deliver two Joint Support Ships remains unchanged.

Cost: The Project budget was reviewed and updated as part of the February 2020 project implementation approval. The project has all financial and contractual authorities necessary to realize the mandate of the project.

Schedule: The Project schedule was reviewed and updated as part of the February 2020 project implementation approval.

Year-End Results: In Fiscal Year 2019-20, the JSS project progressed both definition and pre-implementation phase activities. Early construction of blocks for the first JSS, which started in June 2018, advanced during the year, resulting in 25 JSS blocks substantially completed and another 29 under construction as of the end of March 2020. The Royal Canadian Navy celebrated a keel laying ceremony for the first ship on 16 January 2020 at Seaspan Vancouver Shipyards. In February 2020, JSS received approval for its full project implementation.

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 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:

  • Provides modernized land fleet which will contribute towards ensuring operations within Canada, North America, and internationally are effective; 
  • Ensures Land Forces Elements are deployable in support of Force Posture and Readiness; and

Ensures 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor General Dynamics Land Systems - Canada – London, Ontario, Canada
Major subcontractors N/A
Project phase

ImplementationOctober 2011

Closeout (expected)June 2021

Major milestones

Project Approval (Definition) June 2009

Project Approval (Implementation) October 2011

Contract Award October 2011

First Vehicle Delivery December 2012

Initial Operational CapabilityJune 2014

Revised Project Approval (Implementation) November 2016

Final Vehicle Delivery July 2019

Full Operational Capability July 2019

Project Closeout 2021

Progress report and explanation of variances

The LAV III upgrade project has achieved project objectives, notably:

  • Initial Operational Capability (IOC) occurred in June 2014;
  • As of 1 July 2016, the Commander of the Canadian Army accepted the upgraded LAV III as the Canadian Army deployable LAV fleet. Exercise "Maple Resolve 16", held in Wainwright in May 2016 successfully tested more than 110 upgraded LAV III; and
  • The last of the 550 vehicles was delivered in July 2019.

Scope: In November 2016, the project received the additional authority to deliver the full upgrade to the 141 LAV III Operational Requirements Integration Task vehicles which were originally only to receive a partial upgrade under the scope of the project approved in October 2011.

Cost: The project is within the budget established in November 2016 as part of the amended scope approval.

Schedule: The project remains on schedule as established in November 2016 as part of the amended scope approval.

Year-End Results: In the Fiscal Year 2019-20, the LAV III Upgrade project achieved the following:

  • The delivery of the last vehicle to be upgraded as part of this project, in July 2019; and
  • Following the last vehicle delivery, the project office focused on achieving the activities leading to Project Closeout.

Work Plan: In the Fiscal Year 2020-21, the LAV III Upgrade project will focus on activities leading to Effective Project Closure and subsequently activities leading to Project Closeout.

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 a sufficient fleet size of 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; and
  • Modify the HALIFAX class ships to accommodate the new Maritime Helicopters.

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:

  • Ensures Maritime Forces and Air and Space Forces Elements remain ready and 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) Policy applies to this project.
Canada will receive IRBs equivalent to 106% 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor Sikorsky International Operations Incorporated – Stratford, Connecticut, USA
Major subcontractors General Dynamics Mission Systems - Canada – Ottawa, Ontario, Canada
L-3 MAS – Mirabel, Quebec, Canada
Project phase

Implementation November 2004

Closeout (expected) 2022

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 CapabilityMay 2018

Final Delivery 2021

Effective Project Closeout2022

Full Operational Capability2025

Full Project Closeout 2025

Progress report and explanation of variances

The MHP is achieving project objectives, notably as of 31 March 2020:

  • A total of 20 CH-148 Cyclone helicopters have been delivered, 14 of which are in the Block 2 configuration;
  • 11 helicopters are currently based at 12 Wing Shearwater and four are at Patricia Bay. The remaining five helicopters are undergoing upgrades at Sikorsky; and
  • Since IOC declaration in 2018, Cyclones have continuously supported domestic and international operations.

Scope: On 18 June 2014, following a revised Project Approval (Implementation), the Government of Canada and Sikorsky International Operations Incorporated signed a contract amendment. This amendment extended the In-Service Support Agreement out to 2038 and re-baselined the project schedule.

Cost: The MHP is currently within the 2004 approved budget.

Schedule: The MHP is on track to deliver the project milestones in accordance with its approved schedule, as re-baselined in the revised Project Approval (Implementation) in June 2014.

Year-End Results: In fiscal year 2019-20, the Maritime Helicopter Project accepted 5 helicopters, bringing the total of in-service Block 2 Cyclones to 14. COVID-19 related travel restrictions prevented the acceptance of a planned 6th helicopter in March. Flight Test Readiness review was completed for the capability release 2.1 configuration in April, three months behind baseline schedule.

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 (APS). (Plus 7 funded by LWTH, and 4 funded by MHLH);
    • Acquire 300 Load Handling System trailers (Plus 14 funded by MHLH, and 8 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor

MilCOTS :           
Navistar Defence LLC, Warrenville, Illinois, USA

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

Closeout (expected)2021

Major milestones

Project Approval (Definition)June 2006

MilCOTS – Revised Project Approval (Definition)December 2008

MilCOTS – Contract AwardJanuary 2009

MilCOTS – First DeliveryJune 2009

MilCOTS – Delivery CompleteMarch 2011

Shelter – Revised Project Approval (Definition)June 2009

Shelter – Contract AwardJuly 2009

Shelter – First DeliveryMay 2012

Shelter – Delivery CompleteFebruary 2015

Kitting – Revised Project Approval (Definition)November 2012

Kitting – Contract AwardDecember 2012

Kitting – First DeliveryJanuary 2014

Kitting – Delivery CompleteNovember 2016

Project Approval (Implementation)May 2015

Standard Military Pattern (SMP) – Contract Award

(Acquisition and In-Service Support)June 2015

SMP – First Delivery April 2018

SMP - Delivery CompleteSummer 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:

  • Phase 1 – The MilCOTS trucks are in-service;
  • Phase 2 – The last delivery of the Baseline Shelters was completed in February 2015;
  • Phase 3 – Shelter Kitting delivery was completed in November 2016; and
  • Phase 4 – SMP Trucks, trailers and APS:
    • SMP truck, trailer, and APS deliveries commenced in Fiscal Year 2018-19.
  • Phase 5 – Infrastructure work is in progress.

Scope: The project is on track to deliver its 2015 approved scope for Phase 4 and Phase 5.

Cost: The project is currently within the 2015 approved budget.

Schedule:  The project achieved Initial Operational Capability in October 2019.  All SMP trucks and trailers have been delivered.  The APS delivery is expected to complete Summer 2020.

Year-End Results: In the Fiscal Year 2019-20, the MSVS project completed delivery of all 1587 SMP trucks and 322 trailers to units across Canada. In Fall 2019, twelve SMP trucks equipped with Armoured Protection Systems were deployed to support Operation REASSURANCE (Latvia). By March 2020, 129/161 Armoured Protection Systems were received.

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 (CAF) 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 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:

  • Ensures fleet available as planned to meet training and operational readiness requirements; and
  • Ensures 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor

Space segment:
United States Department of Defense (DoD) 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
Project phase

ImplementationOctober 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 September 2019

Terminal Implementation Complete August 2020

Full Operational Capability November 2020

Project Closeout December 2020

Progress report and explanation of variances

The MG project has achieved project objectives, notably:

  • Phase 1 – Definition
    • Preliminary Project Approval was attained in October 2011; and
    • The WGS SATCOM MOU was signed in January 2012.
  • Phase 2 – Implementation
    • Expenditure and Contract Authority for Phase 2 was achieved in October 2014;
    • General Dynamics Mission Systems - Canada was awarded contracts for both the installation of the anchor stations and In-Service Support of the system for a period of seven (7) years, with options for support up to an additional ten (10) years;
    • Construction, installation, and integration at all 3 MG Anchor Segment sites are complete. WGS certification was completed in August 2018. Acceptance testing was completed in March 2019; and
    • All three Anchor Segment sites were operationally accepted as of November 2019. Implementation of anchor segments is expected to be completed in June 2020.
  • Phase 3 – Implementation
    • A request for proposal for 67 Strategic Deployable Terminals (SDTs) closed on 31 January 2017;
    • Treasury Board (TB) approval for Expenditure Authority was achieved 10 January 2018;
    • Contract Award for the Terminal segment, i.e. 67 SDTs, took place 22 February 2018;
    • Factory Acceptance Testing and System Acceptance Testing were completed in September 2018 and November 2018 respectively; and
    • Full delivery of all SDTs is expected to be complete by October 2020.
  • MG project has directly supported Operation IMPACT, Operation UNIFIER, Operation CARIBBE, Operation NANOOK, Operation REASSURANCE, and Operation RENNAISSANCE 15-1.

Scope: The project is on track to deliver the 2014 and 2018 TB approved scope. In addition, WGS satellites eight (8) and nine (9) have completed the Wideband Digital Channelizer upgrade, which will almost double their current bandwidth. This satellite modification was undertaken by the U.S. DoD; International Partners will not share the cost, in part or in total, for this upgrade. These satellites have been launched and are currently operational.

Cost: The project is currently within the 2014 and 2018 TB approved budgets.

Schedule: The project experienced a delay against the 2014 approved schedule. The schedule was re-baselined in the approved 2018 TB submission. Delivery of the light SDTs was extended to 2020 (due to certification requirements).  This revision to the schedule was presented to, and endorsed by, the MG Senior Review Board on 12 October 2018.

While the impact of COVID-19 on the schedule is not yet clear, the project management team still expects to achieve Full Operational Capability this fiscal year. Broader impacts, such as supply chain challenges, will be monitored and assessed.

Year-End Results:  In the Fiscal Year (FY) 2019-20, for the MG project:

  • Phase 2 – Implementation
    • Completed initial operational acceptance all three Anchor Segment sites in November 2019.
    • Full acceptance of Anchor Segment sites was delayed from FY2019-20 and completed in June 2020.
  • Phase 3 – Implementation
    • Accepted delivery of all medium and heavy strategic deployable terminals;
    • Accepted delivery of commercial Ka-band light strategic deployable terminals; and
    • Delivery of military X-band Light strategic deployable terminals is expected to be complete by February 2021 due to delays in obtaining ARSTRAT certification.
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:

  • Ensures fleet available as planned to meet training and operational readiness requirements; and
  • Ensures 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 Economic Development Canada 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor United States Department of Defense (DoD) via Foreign Military Sales (FMS)
Major subcontractors Raytheon – Waltham, Massachusetts, USA
Project phase

ImplementationNovember 2003

Major milestones

Project Approval (Definition) August 1999

Project Approval (Implementation)November 2003

First Terminal Delivery November 2011

Initial Operational CapabilityNovember 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 has achieved 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.

Scope: The project is on track to deliver the 2003 approved scope.

Cost: The project is currently within the 2003 approved budget. Risk mitigation strategies have been identified to minimize future costs due to installations that exceeded budgeted estimates. These strategies included, awarding installation activities to the supplier with the lowest overall cost structure, and the feasibility of proceeding with firm-fixed price contracts was explored and implemented.

Schedule: Installation of the PMSC system on Halifax-class frigates is complete with the 12th ship completed in March 2018.  

Due to slippages in the US DoD overall satellite launch schedule and Victoria Class Submarine (VCS) installations, the PMSC System Full Operational Capability, has moved to March 2029 from the original (2003 approved) expected date of November 2017.

Year-End Results: In the Fiscal Year 2019-20

  • The installation of the terminals on the Canadian Patrol Frigates (CPF) were completed in March 2018;
  • The launch of the sixth and final satellite in the constellation was achieved in March 2020;
  • The Project Closeout date is two years after the Full Operational Capability to finalize and close the FMS procurement case; and
  • The Installation and test of the PMSC system on the HMCS Cornerbrook (COR) Victoria Class Submarine is scheduled to complete in Q4 FY 2021-22.
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.

  • Ensures fleet are available as planned to meet training and operational readiness requirements; and
  • Ensures operations in Canada, North America and internationally are effective.
Industrial benefits Canada will continue to engage with stakeholders on advancing industrial and technological benefits for companies in Canada and on 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor TBD
Major subcontractors TBD
Project phase

Definition April 2019

Implementation 2022-23

Major milestones

Project Approval (Definition) April 2019

Project Approval (Implementation)2022-23

Contract Award2022-23

First aircraft delivery2024-25

Initial Operational Capability2025-26

Full Operational Capability 2030

Project Closeout 2030-31

Progress report and explanation of variances

The project RPAS is achieving project objectives, notably:

  • April 2019: Project entered the definition phase;
  • May 2019: Invitation to Qualify (ITQ) and Qualified Suppliers List was posted on buyandsell.gc.ca;
  • October 2019: Qualified Suppliers information session was held on Airworthiness Certification and Cyber Security; and
  • February 2020: Qualified Suppliers information session was held on Sustainment and Technical requirements.

Scope: The project is on track to deliver the 2019 approved scope.

Cost: The project is currently within the 2019 approved budget.

Schedule: While the schedule remains aggressive, the project met its 2019-20 milestones and is on track to issue solicitation documents in Fiscal Year 2020-21.

Year-End Results: In Fiscal Year 2019-20, the RPAS project entered the definition phase in April 2019 after receiving project approval. An Invitation to Qualify (ITQ) process resulted in the publication of a Qualified Suppliers list in May 2019. Since May 2019, the project team has conducted multiple engagements with the Qualified Suppliers as part of the Review and Refine Requirements process to develop the Request for Proposal. These engagements have included site visits to production facilities, focused in-person and virtual meetings, and ongoing exchange of written questions and answers.

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:

  • 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
  • Ensures 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 Economic Development Canada (ISED) 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

Closeout (expected)2021

Major milestones

Project Approval (Definition) June 2009

Project Approval (Implementation)June 2012

Contracts AwardedJune 2012

First Vehicle DeliveryAugust 2016

Initial Operational CapabilityAugust 2017

Final Vehicle DeliveryDecember 2018

Full Operational Capability Fall 2020

Effective Project CompletionFall 2020

Project Closeout 2021

Progress report and explanation of variances

The TAPV project has achieved project objectives, notably:

  • As of December 2018, all 500 vehicles were delivered;
  • Initial Operational Capability achieved in August 2017; and
  • In 2017 and 2019, TAPVs were effectively used to respond to flooding in Quebec as part of Operation LENTUS.

Scope: The project is on track to deliver the 2012 approved scope.

Cost: The project is within its 2012 approved budget.  

Schedule: In August 2014, a first round of testing identified design challenges associated with reliability. The project returned to the contract design phase in order to allow the complex, inter-related designs for the vehicle’s structure, suspension and steering to be improved. A second round of reliability testing was successful, and qualification activities were completed by June 2016.

The project has experienced a delay against the 2012 approved schedule, primarily as a result of the need to return to the design phase following identification of the design challenges and as a result of production and quality issues.

In Fiscal Year 2018-19, the final vehicle delivery occurred together with the transition of the fleet to in-service.

Year-End Results: In the Fiscal Year 2019-20, the project is continuing with deliveries of equipment in support of the vehicle and completion of infrastructure activities in CFB Valcartier.

Work Plan: In the Fiscal Year 2020-21, the TAPV project will achieve Effective Project Closure.

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 (ISSC) 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:

  • Ensures Maritime Forces elements are deployable in support of Force Posture and Readiness; and
  • Ensures 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 (DPS) 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 Economic Development Canada (ISED) and its regional agencies

Prime contractor
General Dynamics Mission Systems-Canada
Major subcontractors

Ultra-Electronics Marine Systems
-Nautel, Nova Scotia Canada
-Jasco Research, Nova Scotia Canada
-Omnitech, Nova Scotia Canada

Prime contractor (In-Service Support) General Dynamics Mission Systems-Canada
Project phase

Implementation June 2018

Major milestones

Project Approval (Definition) May 2015

Project Approval (Implementation) June 2018

Contract Award June 2018

Initial Operational Capability2023

Full Operational Capability 2028

Project Closeout 2029

Progress report and explanation of variances

Year-End Results: In FY 2019-20, the project achieved the following:

  • Completion of preliminary design review in July 2019;
  • Progress towards the critical design; and
  • Progress towards the ship installation specification.

The UWSU project achieved the following objectives, notably:

  • Treasury Board implementation approval was received 14 June 2018;
  • Contract Award occurred 28 June 2018;
  • Project Kick-off occurred in September 2018; and
  • System Requirements Review occurred in November 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.

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

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 have impacted Initial and Final Operational Capability achievement.

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

  • Completion of Critical Design Review;
  • Progress towards pre-production build and integration;
  • Completion of shipboard installation design and specifications;
  • Progress against factory acceptance testing; and
  • Progress towards initial installation preparations.
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