Chapter 1: Procurement Challenge and Oversight Function - Descriptions

Table 1: Summary of Findings - Senior Procurement Review Committee Terms of Reference (TOR)

A table summarizing the results of OPO review of the senior procurement review committee terms of reference. Nine departments and agencies are included in our review, they are: Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA)- (note-1), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC)- (note-2), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC)-(note-3).

Our findings indicate that concerning:

• The authority of the committee is indicated:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC),Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

  Criterion was not satisfied by Industry Canada (IC).

• The committee's mandate is specified:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

• The roles and responsibilities of the committee members are specified:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

  Criterion was not satisfied by Canadian International Development Agency (CIDA)

• Membership is specified:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

• The frequency or occurrence of meetings is specified:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

• All ACAN procurements over a specified threshold are required to be presented for review:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), the Canada Revenue Agency (CRA), Environment Canada (EC) and Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

  Criterion was not satisfied by Canadian International Development Agency (CIDA), Department of Justice (DOJ), Public Safety and Emergency Preparedness Canada (PSEPC)

• No results available for The Canadian Institutes of Health Research (CIHR).

Note1: The information in this table is based on a review of the CIDA senior procurement review committee terms of reference and additional information that is provided in the Contracting Guide for Managers in CIDA.

Note2: The information in this table is based on a review of the IC senior procurement review committee terms of reference in effect during the period under review. A new TOR for the CR-PSB was being drafted but was not ready for dissemination.

Note3: At the time of our review, PWGSC was merging its Procurement Oversight Committee (POC) and its Strategic Review Committee into the Business Operations Committee (BOC). The mandate and ToR of POC was also under review. The information in this table is based on a review of the POC terms of reference that were in effect during the period under review.

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Table 2: Summary of Findings - Senior Procurement Review Committee Membership

A table summarizing the results of our review of the senior procurement review committee membership. Nine departments and agencies included in our review, they are: Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC)- (note-1), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC)-(note-2).

Our findings indicate that concerning:

• Evidence that committee members occupy positions in the department/agency at a senior level

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

• Evidence that the CFO or Senior Financial Official is a member of the committee

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

• Evidence that the committee includes a senior representative from Legal

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

  Criterion was not satisfied by The Canadian Institutes of Health Research (CIHR) and the Canada Revenue Agency (CRA).

• Evidence that the committee includes a senior representative from Procurement, IT, HR, Risk Management or other relevant sections

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), The Canadian Institutes of Health Research (CIHR), the Canada Revenue Agency (CRA), Department of Justice (DOJ), Environment Canada (EC), Industry Canada (IC), Public Safety and Emergency Preparedness Canada (PSEPC) and Public Works and Government Services Canada (PWGSC).

Note1: The information in this table is based on a review of the IC senior procurement review committee terms of reference in effect during the period under review. A new TOR for the CR-PSB was being drafted but was not ready for dissemination.

Note2: At the time of our review, PWGSC was merging its Procurement Oversight Committee (POC) and its Strategic Review Committee into the Business Operations Committee (BOC). The mandate and TOR of the POC were also under review. The information in this table is based on a review of the POC terms of reference that were in effect during the period under review.

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Table 3: Summary of Findings - Senior Procurement Review Committee Effectiveness

A table summarizing the results of our reviewing of senior procurement review committee effectiveness (monitoring). Six departments and agencies included in our review, they are: Agriculture and Agri-Food Canada (AAFC)-(note-1), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC) and Public Works and Government Services Canada (PWGSC)-(note-2).

Our findings indicate that concerning:

• Evidence that the committee is reviewing the appropriate information:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

• Evidence of the use of a "checklist" or other means to ensure the committee's review is comprehensive in terms of addressing key risk issues within the procurement submission:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC), and Public Works and Government Services Canada (PWGSC).

• Evidence of a system to ensure that the committee is receiving all procurement submissions within its mandate

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian Environment Canada (EC), Industry Canada (IC), and Public Works and Government Services Canada (PWGSC).

• Evidence that the Record of Decisions is maintained by the committee to provide a basis for the decisions reached, i.e. approved, approved with conditions and/or restriction, or rejected:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC), and Public Works and Government Services Canada (PWGSC).

• Evidence of a manual or computerized system that provides the committee with a tracking function to determine the status of decisions it makes, particularly with respect to those approved with restrictions and/or conditions:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC), and Public Works and Government Services Canada (PWGSC).

• Evidence of the existence of a system to flag contracts coming up for renewal to ensure renewals are not "automatic" and options are not exercised without due diligence in regard to competition:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC) and Industry Canada (IC).

  Criterion was not satisfied by Public Works and Government Services Canada (PWGSC).

• Evidence that the committee ensures itself that the decisions it makes are in fact carried out/respected by the appropriate authorities within the department/agency contracting activities:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC) and Industry Canada (IC).

  Criterion was not satisfied by Public Works and Government Services Canada (PWGSC).

• Evidence that the committee utilizes performance measures to determine through its actions whether any improvement or deterioration is occurring in the department/agency contracting activities:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), the Canada Revenue Agency (CRA), and Environment Canada (EC).

  Criterion was not satisfied by Canadian International Development Agency (CIDA), Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

• Evidence that the committee measures the satisfaction of the program officers with respect to the procurement and contracting activities that support their programs:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC) and the Canada Revenue Agency (CRA).

  Criterion was not satisfied by Canadian International Development Agency (CIDA), Environment Canada (EC).Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

• Evidence from samples provided that actual attendance at committee meetings was consistent with that specified in the terms of reference:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

• Evidence that the terms of reference are well communicated throughout the organization:

  Criterion was satisfied by Agriculture and Agri-Food Canada (AAFC), Canadian International Development Agency (CIDA), the Canada Revenue Agency (CRA), Environment Canada (EC), Industry Canada (IC) and Public Works and Government Services Canada (PWGSC).

Note1: AAFC has a Policy, Analysis and Reporting Section that monitors the health of the materiel management including procurement. Various report are produced to monitor contracting trends, procurement vehicle use, spending trends, vendor use etc. The Asset Management Team holds annual presentations on key areas such as overall activity, activity by commodity, performance indicators relative to level of competiveness, multiple contracts to the same supplier and amendment activity. These presentations are provided to the Corporate Services Systems Board and subsequently to the Executive Council of the Department. AAFC will consider holding biannual presentations to PRB.

Note2: At the time of our review, PWGSC was merging its Procurement Oversight Committee (POC) and its Strategic Review Committee into the Business Operations Committee (BOC), and the mandate of POC including the TOR was under review. The above table reflects findings of POC effectiveness during the review period.

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