The Procurement Ombud’s 2023-24 annual report stresses the need for immediate action

News release

Ottawa, Ontario – October 21, 2024 – Federal Procurement Ombud Alexander Jeglic released his Annual Report for 2023-24, which was tabled in Parliament by the Minister of Public Services and Procurement, the Honourable Jean-Yves Duclos on October 7, 2024.

The report, which summarizes the Office of the Procurement Ombud’s activities from April 1, 2023, to March 31, 2024, highlighted long-standing procurement issues including favouritism towards specific bidders, the complexity of federal procurement, overly restrictive evaluation criteria, the lack of documentation and gaping holes in the quality of contract information made public by departments.

Furthermore, the report details two suggestions intended to address these issues directly. The first is the creation of a Government Wide Vendor Performance Management Program to track and share information on supplier performance across federal departments and regions, and take past performance into account in the award of future contracts. The second is the creation of a Federal Chief Procurement Officer position to lead the creation, interpretation and implementation of procurement policies, and to lead a capacity building and professionalization initiative.

The Procurement Ombud has requested three key regulatory changes to enhance his ability to perform his duties more effectively. These proposed changes include the authority to recommend compensation to suppliers exceeding 10% of a contract's value, the ability to review complaints related to contracts awarded under the Procurement Strategy for Indigenous Businesses (PSIB) set-asides program, and the power to compel (rather than request) federal departments to provide the documentation necessary to conduct reviews and investigations. The latter request was supported in the Standing Committee on National Defence’s recent report on defence procurement.

Quotes

“There is no sugarcoating the fact that changes are needed. This year the need for change was further recognized by Parliamentarians and Canadian taxpayers. Recent reviews on government procurement practices have further exposed many of the long-standing problems my Office has been highlighting year after year. It is time to start to address these issues directly to make sure they do not impact our future the way they have impacted our past.”

-Alexander Jeglic
Procurement Ombud

Quick facts

  • The total number of procurement-related cases was 582, compared to 474 in 2022-23.

  • OPO received 62 written complaints and launched 5 reviews of formal complaints from Canadian suppliers about the award of certain federal contracts. 3 of these reviews were completed within the fiscal year and 2 will be completed in 2024-25.

  • OPO completed 5 Procurement Practice Reviews including 3 planned reviews and 2 ad hoc reviews related to the ArriveCan application, and Contracts Awarded to McKinsey & Company.

  • OPO received 11 requests for Alternative Dispute Resolution services.

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Contacts

Media@opo-boa.gc.ca
613‑947‑9755

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