Contracting Policy Notice 2025-4: Amendments to the Directive on the Management of Procurement to add a risk-based exceptional limit

Overview

The Directive on the Management of Procurement was amended to add a new risk-based exceptional limit for Public Services and Procurement Canada (PSPC) in Appendix A.2, effective December 12, 2024.

Namely, Treasury Board approval is not required, subject to concurrence by the Treasury Board of Canada Secretariat (TBS) and the appropriate Defence Procurement Strategy governance committee, for contracts and contractual arrangements that PSPC undertakes on behalf of Department of National Defence and Department of Fisheries and Oceans (for the Canadian Coast Guard) that:

1. have a low or medium complexity and a low risk according to a risk analysis undertaken by a departmental official who is not otherwise involved in the procurement
2. are structured to allow for future competition for the good or service, where possible
3. demonstrate that sufficient planning was undertaken, to the extent possible, to avoid the need for urgent approval

Application

TBS is responsible for reviewing PSPC’s assessment of risk and complexity levels for contracts and contractual arrangements that are identified as candidates for the risk-based exceptional limit.

TBS may request that any procurement be brought to the Treasury Board at any time.

An Assistant Deputy Minister, to whom the Minister of Public Services and Procurement has delegated decision-making authority, may decide whether or not to exercise the risk-based exceptional limit.

An interdepartmental working group, which includes PSPC and TBS, reviews operational procedures for exercising the risk-based exceptional limit.

Questions about this policy notice or the directive should be directed to TBS Public Enquiries at questions@tbs-sct.gc.ca.

Samantha Tattersall
Assistant Comptroller General, Investment Management Sector
Treasury Board of Canada Secretariat