Directive on awarding of contracts and real property agreements in emergency situations
1. Effective date
The directive takes effect on July 20, 2016.
2. Application
This directive applies to all government departments and agencies that have a signed Memorandum of Understanding (MOU) to implement the Ineligibility and Suspension Policy and Integrity Clauses. It applies to all contracts and real property agreements covered by the Integrity Regime.
3. Context
The Ineligibility and Suspension Policy enables Public Works and Government Services Canada (PWGSC) to issue Directives with respect to any aspect of the policy. Directives are used for such purposes as elaborating on or clarifying aspects of the policy, such as establishing monetary thresholds for, or identifying classes of contracts and real property agreements excluded from, application of the policy.
4. Directive statement
4.1 Objective
To provide clear instructions on Integrity Regime related processes and the responsibilities of those awarding contracts/real property agreements in emergency situations.
4.2 Expected results
The Integrity Regime continues to be applied to contracts and real property agreements awarded in emergency situations.
5. Definitions
5.1 Emergency situation
An emergency situation is an event that can occur during any time frame where there is a requirement to award a contract or real property agreement without first receiving an integrity check from Integrity Verification Services.
For requests marked urgent, Integrity Verification Services can provide a response within two hours. Where it is not possible to wait two hours, the contract or real property agreement may be awarded without first receiving an integrity check if:
- There is an actual or imminent life threatening situation.
- A disaster endangers quality of life, or has resulted in the loss of life, or reasonably be expected to result in loss of life.
- There is a disaster that may result in significant loss or damage to Crown property.
- There are unforeseen circumstances.
- Time sensitive requirement(s) do not allow for an integrity check.
5.2 Public interest exception in emergency situations
In the event that the potential supplier is on the public Ineligibility and Suspension List, contracts and real property agreements may be awarded if it is an emergency situation and if it is in the public interest to do so. A Public interest exception (PIE) may be invoked based on a procurement/real property authority's expertise and knowledge of the realm of procurement or real property agreement in question. (Refer to the Information Bulletin on Public interest exceptions).
Criteria for a Public interest exception:
In an emergency situation, the reasons for invoking a PIE include, but are not limited to:
- An emergency
Example: Need for procuring goods, services or space accommodation is pressing and any delay would be injurious to the public interests, such as in the event of a natural disaster. - No other supplier is capable of performing the contract or providing the real property agreement
Example: Patent or copyright requirements or technical compatibility factors and technical compatibility factors and technological expertise suggest that only a debarred supplier could undertake the work. - Emergency stocks
Example: The contract is essential to maintain sufficient emergency stocks in order to safeguard against possible shortages. - Health, National Security, Safety, Public Security or Economic or Financial well-being
Example: Not entering into a contract or real property agreement with supplier would have a significant adverse impact on the people of Canada.
6. Requirements
- Prior to awarding a contract or real property agreement, conduct a verification of the relevant supplier against the public Ineligibility and Suspension List.
- If the supplier is not on the Ineligibility and Suspension List, award the contract or real property agreement.
- On the first business day following the issuance of the contract or real property agreement, submit an integrity verification request to Integrity Database Services using the portal.
- If the supplier is on the Ineligibility and Suspension List, if necessary, invoke a Public Interest Exception as per the process required by your department or agency, and award the contract or real property agreement. To invoke a PIE, the situation must meet one of the criteria of a PIE. (Refer to the Information Bulletin on PIE).
- If a PIE is invoked, consult the Public Works and Government Services Canada website to confirm if the supplier has an Administrative Agreement in place. If an Administrative Agreement is not in place, inform the supplier that one will be required, and PWGSC will negotiate the terms of the agreement after the fact.
On the first business day following the issuance of the contract or real property agreement:
- Notify the Director General Of the Integrity Framework/Forensic Accounting Management Group at pwgsc.o.integrity-tpsgc.o.integrite@pwgsc-tpsgc.gc.ca that a PIE was invoked and provide PIE endorsement documentation that includes the following information:
- Client department
- Total estimated value
- Anticipated award and delivery date
- Supplier
- File or transaction number and name
- Issue
- Type of PIE being requested
- Rationale for the PIE
As the central administrator of the Integrity Regime, PWGSC will retain all documentation for record keeping purposes and to identify any trends related to PIEs.
- Notify the Director General Of the Integrity Framework/Forensic Accounting Management Group at pwgsc.o.integrity-tpsgc.o.integrite@pwgsc-tpsgc.gc.ca that a PIE was invoked and provide PIE endorsement documentation that includes the following information:
7. Monitoring and reporting
All departments and agencies are required to track and report on all cases of after-hours/PIE situations where integrity verification was not done prior to awarding of contract/real property agreement.
8. Inquiries
If you have questions related to this directive, please contact the Integrity Regime Team:
- Toll free:
- 1-844-705-2084
- Email:
- pwgsc.o.integrity-tpsgc.o.integrite@pwgsc-tpsgc.gc.ca
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