Contracting Policy Notice 2026-2: Amendments to the Department of Public Works and Government Services Act to provide Ministerial Procurement Authority for Services and Construction Services and consequential amendments to the Directive on the Management of Procurement 

Overview

The Department of Public Works and Government Services Act was amended to provide the Minister responsible for Public Services and Procurement Canada (PSPC) with exclusive authority over services and construction procurements for the Government of Canada, effective June 9, 2025. These authorities are in addition to the Minister’s pre-existing exclusive authority for procurement of goods. Further details can be found in the Canada Gazette.

In alignment with the legislative change, the Directive on the Management of Procurement has been amended to reflect PSPC’s role as the exclusive authority for procurement and to support the implementation of PSPC’s procurement policies across departments. In situations where a department is procuring under a delegated authority from the Minister responsible for PSPC, the directive:

• requires that departmental procurement management frameworks incorporate practices and procedures to comply with any terms and conditions that may be established by PSPC and that they reflect direction, systems, policies, tools, templates, procedures and guidance prescribed by PSPC for use by departments (section 4.1.2.17)
• clarifies that PSPC’s role is to:
  • oversee the development of standardized direction, systems, policies, tools, templates, procedures and guidance for use by departments, as PSPC deems appropriate (section 5.6.6)
  • determine and monitor any appropriate compliance measures associated with terms and conditions imposed on departments, if PSPC deems necessary (section 5.6.7)

Application

With exclusive authority over goods, services and construction, the Minister responsible for PSPC can set conditions departments must meet to procure under delegated procurement authorities. These authorities may be revoked by the Minister if there is reason to believe that procurement rules have not been followed.

Treasury Board policy, notably the Directive on the Management of Procurement and the contracting limits outlined in it, continue to apply.

Departments that do not procure under a delegation from the Minister responsible for PSPC are expected to leverage and adopt, as appropriate, PSPC’s standardized procurement tools, templates, guidance and best practices.

Enquiries

Questions about this policy notice or the directive should be directed to Treasury Board of Canada Secretariat Public Enquiries at questions@tbs-sct.gc.ca.

For questions about PSPC’s exclusive authority for goods, services and construction, contact PSPC’s Strategic Policy Sector at PAPolitiques.APPolicy@tpsgc-pwgsc.gc.ca.