Overview of supplier integrity and compliance 

Learn how the Office of Supplier Integrity and Compliance (OSIC) helps foster ethical business practices, ensures due process for suppliers and upholds the public trust in the procurement process. Explore the basics of the Ineligibility and Suspension Policy including what may lead to suspension or ineligibility, how OSIC and federal institutions administer the policy and when administrative agreements may be used.

On this page

• Role of the Office of Supplier Integrity and Compliance
• Integrity requirements for suppliers
  • Determination of ineligibility and suspension
• Administering the Ineligibility and Suspension Policy
• Administrative agreements

Role of the Office of Supplier Integrity and Compliance

The Office of Supplier Integrity and Compliance (OSIC) replaces the previous Integrity Regime. It enables Public Services and Procurement Canada (PSPC) to identify suppliers of concern, take appropriate action to mitigate the risk they pose, and promote ethical business practices in the marketplace.

OSIC aims to:

• reduce the risk of the Government of Canada entering into contracts or real property agreements with unethical suppliers
• foster ethical business practices
• ensure due process for suppliers
• uphold public trust in the procurement and real property processes

Integrity requirements for suppliers

The Ineligibility and Suspension Policy sets out when and how a supplier may be declared ineligible or suspended from doing business with the Government of Canada. The policy is incorporated into solicitations, resulting contracts, and real property agreements through the use of Ineligibility and Suspension Policy clauses.

Additional directives may be issued to elaborate on or clarify aspects of the policy. Once issued, these directives form a binding part of the policy.

Determination of ineligibility and suspension

Under the policy, a supplier may be suspended or declared ineligible for contracts or real property agreements with the Government of Canada.

A supplier may be suspended or declared ineligible on the basis of:

• charges
• convictions
• additional circumstances listed in Appendix 2 of the policy

A determination of ineligibility or suspension is made by the Registrar of Ineligibility and Suspension.

Administering the Ineligibility and Suspension Policy

The policy is administered centrally by the Office of Supplier Integrity and Compliance (OSIC), and is governed by memoranda of understanding between Public Services and Procurement Canada (PSPC) and other federal institutions.

OSIC works actively with federal procurement and real property officers to verify supplier compliance with the policy and assist departments with any issues that arise throughout the verification process. Supplier compliance with the policy is verified prior to contract or real property agreement award through integrity verification requests. In specific cases or urgent situations, emergency verifications can be conducted which allows for a temporary fast-track process for events that require contracts be put in place quickly.

OSIC also works with suppliers, including providing information and answering questions to help them understand the requirements and processes they must follow to contract with the Government of Canada in accordance with the policy.

Administrative agreements

An administrative agreement is an arrangement between a supplier and the government that is used in appropriate circumstances when the Registrar determines that additional caution is required, and that such an agreement would successfully mitigate risks of contracting with a particular supplier.