Procurement Ombudsman Review

A Procurement Ombudsman Review is a review carried out by Canada's Office of the Procurement Ombudsman (OPO). It looks at either the procurement practices of a federal organization or a supplier's complaint about how a federal contract was awarded or administered. The review assesses fairness, openness and transparency, and it can lead to recommendations or to dispute-resolution support.

The OPO's mandate comes from the Department of Public Works and Government Services Act and the Procurement Ombudsman Regulations. The office operates at arm's length from the federal organizations it reviews. The CanadaBuys Supply Manual describes the Procurement Ombudsman's role within the federal procurement framework.

What the Office of the Procurement Ombudsman examines

The Procurement Ombudsman reviews the procurement practices of federal departments for fairness, openness and transparency, and may make recommendations to the department concerned, as set out in the Supply Manual, chapter 1. The office also reviews supplier complaints and helps resolve contract disputes.

The Treasury Board policy framework sets out these functions. In practice, a Procurement Ombudsman Review can take one of three forms: a review of an organization's practices, a review of a supplier complaint, or an alternative dispute-resolution process.

Supplier complaints about contract award and administration

Suppliers can ask the OPO to review a complaint about the award of a federal contract for goods or services below the monetary thresholds specified in the applicable framework. The Treasury Board policy and the Supply Manual both describe this part of the mandate.

Complaints about contract administration are treated differently. The OPO can review a complaint about the administration of a federal contract for materiel or services regardless of the contract's dollar value. Public Services and Procurement Canada documents reflect this. A CanadaBuys tender notice states that the Procurement Ombudsman may review a complaint about contract administration where the requirements of the Department of Public Works and Government Services Act and the Procurement Ombudsman Regulations have been met.

The OPO reviews supplier complaints with the objective of resolving them quickly and efficiently, as described on the Public Services and Procurement Canada supplier conduct page.

Procurement practice reviews of federal departments

Separate from individual complaints, the OPO reviews how federal organizations run their competitive procurements. These practice reviews have covered solicitation processes, evaluation criteria, selection plans, bid evaluation and contract award.

The OPO's 2024 summary of its procurement practice reviews reports that the office reviewed 631 competitive files across 17 federal departments over a five-year period. The findings give suppliers a view of how departments apply their own rules.

Alternative dispute resolution and Crown corporations

The OPO provides or ensures access to an alternative dispute-resolution process for disputes about the interpretation or application of contract terms and conditions. This process applies when the parties agree to take part. The Treasury Board policy describes this function.

Treasury Board guidance also addresses when the Procurement Ombudsman's mandate applies to Crown corporations. The guidance on the applicability of the Procurement Ombudsman's mandate covers reviews of procurement practices, supplier complaints and contract disputes.

What a Procurement Ombudsman Review means for a supplier

A supplier with a concern should first work out three things. Does the issue involve a federal organization? Does it relate to contract award or to contract administration? Are the statutory and regulatory conditions for a review met?

• Keep the solicitation documents, your bid, and any evaluation or award correspondence.
• Keep the contract documents and a record of communications with the contracting authority.
• Check the contract and solicitation wording, since federal documents can state when the Procurement Ombudsman may review a complaint.
• Consider alternative dispute resolution when a disagreement concerns contract terms and the other party is willing to take part.