Security Clearance

A security clearance is a security screening authorization that permits an organization or individual with a valid need-to-know to access protected or classified information, assets, or work sites. In Canadian federal contracting, the Contract Security Program (CSP) conducts these screenings according to the security requirements identified for a contract, as described in the Public Services and Procurement Canada (PSPC) guidance on types of security clearance.

The requirement does not come from the supplier. Federal departments and agencies identify it when a contract involves sensitive information, assets, secure sites, or government systems. The CSP then screens the trusted organizations and individuals who need that access. A clearance can apply to the company, to its personnel, or to both, and the contract's security requirements determine which.

Organization screening: DOS and FSC

Organization-level clearance depends on the sensitivity of the work. A designated organization screening (DOS) is required for an organization to obtain contracts at the protected level. A facility security clearance (FSC) is required for contracts at the classified level. PSPC sets out both routes on its page on obtaining organization security screening.

A supplier generally needs government sponsorship to begin. A federal procurement officer may sponsor an organization for DOS or FSC screening during bid evaluation when performing the contract requires access to secure sites or to protected or classified information or assets. The sponsorship process explains this step. Once sponsored, the organization completes the CSP process. Its Company Security Officer (CSO) or Alternate Company Security Officer (ACSO) and its personnel complete the required forms and personnel security screening.

The SRCL in solicitation documents

The Security Requirements Check List (SRCL) records the security requirements of a contract. The project authority completes it at the beginning of the procurement process, according to the Contract Security Manual. The SRCL is included with the solicitation or contract documentation, and the solicitation must state the required security level and the applicable timelines.

Provisional clearance during the solicitation

Security status can matter before a contract exists. An offeror or its personnel may need clearance to attend a site visit, take part in an offerors' conference, or access protected or classified information while preparing a bid. The CSP may issue a provisional security clearance for these activities. A provisional clearance is valid only for the solicitation stage. The CanadaBuys guidance on security in solicitations covers this.

Verification before award and during the contract

Before award, the buyer must verify the offeror's security status with the CSP. When the offeror holds the required clearance, the buyer includes the signed SRCL in the contract documentation, as set out in the CanadaBuys award guidance.

The obligation continues after award. When the SRCL specifies a security requirement, the contractor and relevant personnel must maintain valid security statuses throughout the contract. Clients must ensure that contractor and subcontractor personnel have verified status when they need access to sensitive information, assets, sites, government systems, or cloud service portals. See the CanadaBuys guidance on security during contract management.

What it means for a supplier bidding on Canadian public contracts

• Read the SRCL and the solicitation for the required security level and timelines before deciding to bid.
• Expect to need DOS for protected-level work and FSC for classified-level work, and expect sponsorship to start the process.
• Identify a CSO or ACSO and the personnel who will need screening.
• Ensure subcontractors meet the security requirements that apply to the contract.
• Keep all security statuses valid for the full contract term.

PSPC also provides international contract security requirements for Canadian suppliers contracting with foreign governments and for foreign suppliers bidding on Government of Canada contracts.