Certificate of Indigenous Business

A Certificate of Indigenous Business is a certification or attestation that a business meets the definition and eligibility requirements of an Indigenous-business procurement program. Suppliers submit it with a bid, offer or arrangement so the buyer can confirm the business qualifies for a set-aside or for Indigenous participation requirements.

The term is Canadian procurement terminology. Programs word it differently: the federal government commonly refers to Indigenous Business Certification, PSIB Certification, or the Certification Requirements for the Set-aside Program for Indigenous Business, while Manitoba uses Indigenous Business Certificate. In every case it is a procurement eligibility document. It is not a military qualification, a NATO standard or a product specification.

How the federal PSIB uses the certification

The federal Procurement Strategy for Indigenous Business (PSIB) is the program behind most federal certifications. Under the PSIB requirements published by the Office of the Procurement Ombud, a business generally must be at least 51% owned and controlled by Indigenous peoples, meaning First Nations, Inuit or Métis people ordinarily resident in Canada.

Bidders attest that they meet the definition when they submit a bid, offer or arrangement. They also commit to continuing to meet it throughout the contract. Certifications are subject to audit before or after contract award and on a random basis.

Solicitations set aside for Indigenous businesses carry the certification as a form to complete and sign. An Indigenous Services Canada request for proposal requires bidders to complete the Certification Requirements for the Set-aside Program for Indigenous Business.

What happens when the certification is missing

Leaving out the certification has a direct effect on evaluation. In a Canadian Food Inspection Agency request for proposal, an entity is treated as an Indigenous business only if it has completed and submitted the PSIB certification. If it does not provide the certification, the bid is evaluated as a bid from a non-Indigenous business.

Warranty, records and audit duties

Providing the certification creates continuing obligations. In the task-based supply arrangement issued by Public Services and Procurement Canada, a supplier that provides an Indigenous Business Certification warrants that it is accurate and complete under the PSIB requirements.

• The supplier must keep records that support the certification.
• Those records must be preserved for the required retention period, which is six years after final payment, or longer where claims or disputes remain outstanding.
• The records must be made available for audit.

Similar wording appears in other federal supply arrangements, including temporary help and solutions-based arrangements.

Manitoba's Indigenous Business Certificate

Manitoba defines the Indigenous Business Certificate as a form used to self-declare ownership and control of a business by Indigenous persons. The definition is set out in the province's Indigenous Procurement Policy, and the certification form is published by the province.

Under the Indigenous Procurement Initiative, certification is required to register in the Indigenous Business Directory. According to the program FAQ, an Indigenous business bidding on a Manitoba tender must also certify its status at that time and confirm that its status will not change during the contract.

What it means for a supplier bidding on Canadian public contracts

Check the solicitation for the exact certification wording, because the form and the deadline for providing it differ by buyer and program. Complete it at bid submission, and treat it as a statement you will be held to for the life of the contract.

• Confirm ownership and control against the program definition before you sign.
• Keep supporting records organized so they are ready for an audit.
• Do not assume a late or missing certification can be fixed after closing, since the bid may be scored as non-Indigenous.
• Track whether your status could change during the contract term.