Use of fairness monitors

Use of fairness monitors means engaging an independent, third-party fairness monitor to observe all or part of a procurement activity. The monitor provides an unbiased, impartial opinion on whether the activity was conducted fairly, openly and transparently. The CanadaBuys Supply Manual lists the use of fairness monitors as part of the evaluation and contractor-selection process (Supply Manual, Chapter 5).

The practice is part of Canadian public procurement oversight. It is most closely tied to Public Services and Procurement Canada (PSPC) and its Fairness Monitoring Program. A monitor is an oversight and mitigation measure. It gives client departments, suppliers, Parliament and the public added assurance about how a procurement was run.

What a fairness monitor does during a procurement

The Supply Manual describes the monitor's work in practical terms. A fairness monitor observes or monitors departmental activities and processes during procurement. The monitor can review draft solicitation documents before industry engagement and review communications with industry. The monitor can also attend and monitor meetings with industry. When a potential fairness, openness or transparency issue arises, the monitor raises it with the contracting authority (Supply Manual, Chapter 5).

Monitors can be involved in all of a procurement or only part of it. PSPC has published material on a defence-related example, the Logistics Vehicle Modernization procurement. There the stated objective was independent monitoring while requirements were reviewed and refined, ending with an assurance statement (PSPC fairness monitoring: Logistics Vehicle Modernization).

The PSPC Fairness Monitoring Program

PSPC retains independent fairness monitors as objective third parties to observe all or part of a departmental activity. The program covers procurements and real-property transactions. Its purpose is to give independent assurance that PSPC activities are conducted fairly, openly and transparently.

Fairness monitor reports contain observations, impartial opinions and a professional attestation about fairness, openness and transparency. PSPC explains the program on its fairness monitoring page.

When federal guidance calls for a monitor

Federal guidance sets out when a monitor should be considered. For certain competitive procurements, including those requiring Treasury Board approval and those of high complexity or high risk, the use of an independent third-party fairness monitor must be considered. A monitor may also be used for other procurements when appropriate (Treasury Board Secretariat publication BT22-276-2023).

The Treasury Board Secretariat's guide on mitigating conflicts of interest in procurement also lists engaging a fairness monitor as a possible mitigation measure. It points to PSPC's program as the source of independent third-party fairness monitor services (Guide to Mitigating Conflicts of Interest in Procurement).

Responsibility stays with the contracting authority

Appointing a monitor does not transfer responsibility for the procurement. The contracting authority remains responsible for ensuring fairness, openness and transparency, even when a monitor is involved (Office of the Auditor General report). The monitor observes and reports. The contracting authority manages the process and decides how to act on any issue raised.

What it means for a supplier

• Expect to meet the monitor indirectly, through monitored communications, industry engagement sessions, meetings and solicitation-related activities.
• The sources reviewed set no separate application or certification requirement for suppliers because a monitor is in use. Participate in the process as instructed.
• Keep communications with the contracting authority within the channels the solicitation sets out, since the monitor can review industry communications.
• Treat a monitored procurement as one where the documents and meetings are subject to independent review. Draft solicitation documents may be reviewed before industry sees them.