This annex describes the internal approval and signing authorities and exceptions to the internal approval authorities. It also addresses additional signing authorities such as for progress payments, certifications, etc.
1. Approval Authorities
- Internal approval and signing authorities are in accordance with Annex 6.4.2: Contracting Limits including Exceptional Authorities.
- Treasury Board (TB) approval is required for submissions exceeding the authority found in Annex 6.4.2.
- Exceptions to Annex 6.4.2 are described in 1.1 below.
1.1 Exceptions to Internal Approval Authorities
1.1.1 Former Public Servants
- Contracting limits in Annex 6.4.2 apply to submissions granting approval to enter into a contract including amendments for the services of former public servants in receipt of a pension when the contract value, including amendments, exceeds $200,000 (non-competitive).
- Ministerial approval is required for submissions granting approval to enter into a non-competitive contract including amendments for the services of former public servants in receipt of a pension under the Public Service Superannuation Act (PSSA) when the contract value, including amendments, exceeds $200,000 (non-competitive).
- Minister approval is required prior to entering into a non-competitive service contract with a former public servant in receipt of a pension under the PSSA, when the annualized rate of remuneration exceeds $200,000 and the contract term exceed ninety (90) working days; The fee component in any non-competitive contract can be abated if the individual has been retired for less than one year and is in receipt of a pension. See section 3.90 Contracting with former public servants, subsections g and h. The use of the fee abatement formula is not mandatory, but remains an optional cost control measure that can be applied as needed for non-competitive contracts.
- Ministerial approval is required for submissions granting approval to enter into or amend a non-competitive service contract with former public servants in receipt of a lump sum payment when the total fees payable will exceed $5,000 during the lump sum payment period as provided in the Workforce Reduction Directive (WRD) made pursuant to the Public Sector Compensation Act, or former members of the Canadian Armed Forces or the Royal Canadian Mounted Police in receipt of lump sum payments through corresponding force reduction programs, regardless of whether one or more than contract is involved. See section 3.90, subsection i.
Note: For more information on the definition of former public servants and pension, see section 3.90, subsection b.
1.1.2 Confirming Orders
Submissions granting approval to issue a confirming order must be approved at the Director level or higher in accordance with the non-competitive contract approval authority limits in Annex 6.4.2: Contracting Limits including Exceptional Authorities. The limitation to non-competitive contract approval authority limits apply to all positions below Assistant Deputy Minister. (See 6.30.10 Confirming Orders and Contracts Involving Pre-contractual Work.)
1.1.3 Royalty Payments
- For contracts subject to the Defence Production Act (DPA), when royalty payments exceed five percent, Deputy Minister approval is required before entering into a contract. (Approval of the Deputy Minister is not sought to enter into contract, but to permit Canada to pay the royalty.)
- If there is an increase in the amount of the royalty to be paid or if further items become subject to royalty payments during the life of a contract, the same guidelines for approval apply.
- To obtain the approval of the Deputy Minister for royalties exceeding five percent, the following information is to be provided on Part 1 of the contract request:
- details of the royalties;
- a forecast of anticipated future purchases beyond the requirement in the present submission;
- the comments of Legal Services.
1.1.4 National Security Exception
- The Assistant Deputy Minister, Acquisitions Branch (ADM/AB) must have approved the National Security Exception (NSE) pursuant to a letter from the client ADM requesting the NSE before the document approval process takes place.
- Following NSE approval by the ADM/AB, the normal document approval process and authority apply.
- For complete details of the NSE process, see 3.105 National Security Exceptions.
1.1.5 Integrity Provisions
- Public Interest Exception (PIE): A PIE must be invoked prior to entering into a contract, supply arrangement or standing offer with a bidder, offeror or supplier, or assigning a contract to proposed assignee who has been determined to be ineligible or suspended under the Ineligibility and Suspension Policy. A request for a PIE must be escalated to the Assistant Deputy Minister (ADM) of Acquisitions Branch (AB) through the Acquisitions Program Integrity Secretariat (APIS), by e-mail at TPSGC.DGAIntegrite-ABIntegrity.PWGSC@tpsgc-pwgsc.gc.ca.
- Integrity verification: When a response of “Caution Due Diligence Should be Applied” is received, approval must be sought at the level indicated on the response (i.e. ADM or Director General (DG) level).
- All requests for ADM approval must be sent to APIS for processing, by e-mail at TPSGC.DGAIntegrite-ABIntegrity.PWGSC@tpsgc-pwgsc.gc.ca.
- All requests for DG approval must be sent through the established processes within the sector or region. Contracting officers may seek assistance from APIS by e-mail at TPSGC.DGAIntegrite-ABIntegrity.PWGSC@tpsgc-pwgsc.gc.ca if required.
- Heightened integrity approval is not required when issuing:
- an amendment where the Integrity Provisions were not modified;
- a call-up;
- a contract subsequent to a supply arrangement; or
- a task authorization.
- Contracting officers may proceed with obtaining approval at the level determined for the contract through the Procurement Risk Assessment.
- If a contractor wishes to enter into a first tier subcontract with an ineligible or suspended subcontractor, contracting officers are to escalate this request to the ADM/AB through APIS, by email at TPSGC.DGAIntegrite-ABIntegrity.PWGSC@tpsgc-pwgsc.gc.ca.
2. Additional Signing Authorities
Signing authorities for purchase orders, contracts, standing offers, supply arrangements, formal agreements and arrangements, stores and supply transfer orders, written direction to the Agency of Record, assignments, go-ahead letters and messages, letters of intent, consents to subcontract, termination for convenience notices, and amendments to any of the above, are as follows:
- in accordance with Annex 6.4.2: Contracting Limits including Exceptional Authorities;
- and if under departmental seal, together with the Corporate Secretary.
2.1 Advance, Milestone and Progress Payments
The authority for certification of advance, milestone and progress payment claims (form PWGSC-TPSGC 1111, Claim for Progress Payment), as a prerequisite for client certification pursuant to section 34 of the Financial Administration Actis as follows:
- For incumbents of positions listed in Annex 6.4.2, with the exception of Intern Officers/Trainees, Senior Purchasing Assistants and Procurement Assistants, unlimited certification authority applies;
- For Senior Purchasing Assistants:
- for contracts beyond their approval authority: certification authority for claims up to $40,000, with the exception of a final claim or of a release of a holdback;
- for contracts within approval authority: certification for all claims.
2.2 Settlement and Release Documents
- The authority to sign release and settlement documents (form PWGSC-TPSGC 9223-2, Settlement and Release) for terminations on behalf of the Minister is delegated as follows:
- Arising from termination for convenience:
- Director General, Policy, Risk, Integrity and Strategic Management Sector, Acquisitions Branch (PRISM/AB)
- Director, Acquisition Program Integrity Secretariat, PRISM/AB
- Chairman, Contracts Settlement Board
- Other than for termination of convenience, authority is one of the following in the order listed:
- Chief Risk Officer
- Chairman, Contracts Settlement Board.
- Arising from termination for convenience:
- For assistance, contracting officers may consult the Specialized Support Services for Procurement Division, at 819-934-1382.
2.3 Contract Security
The Contract Security Program (CSP), has the authority to provide instructions to contractors concerning compliance with contract security requirements.
2.4 Certificates under departmental seal
The Assistant Deputy Minister, Corporate Services, Policy and Communications Branch, has the authority for certifying that documents under departmental seal are true copies.