Policy on the Planning and Management of Investments

The policy ensures that the Government of Canada has the necessary assets and services in place to support program delivery to Canadians.
Date modified: 2021-06-30

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The requirements in the amended Policy on the Planning and Management of Investments take effect on May 13, 2021 and replace the following instruments:

Appendix C: Definitions

access (accès)
With respect to controlled goods, the capacity to examine, possess or transfer controlled goods.
acquisition (acquisition)
A transaction that adds assets or services to a department’s or Government of Canada’s program or service delivery capabilities by: purchase; lease; acceptance of a surrender or resiliation of a lease; licence; exchange; acceptance of a gift, devise, or legacy; easement; acceptance of a relinquishment of an easement or by abandonment of a servitude; expropriation; transfer of administration from another department or agent Crown Corporation; or a transfer of administration and control from the provincial Crown.
advance contract award notice (préavis d’adjudication de contrat)
A notice posted on the Government of Canada–approved electronic tendering system for a minimum of 15 calendar days to notify suppliers that a department intends to award a good, service or construction contract to a pre-identified supplier and that the department is willing to consider an alternative, qualified supplier.
appointment letter (lettre de nomination)
A letter that sets out responsibilities of the project or programme sponsor, including:
  • Delivering an output that respects the identified and agreed to capabilities of the project or programme;
  • Making decisions so as not to disadvantage the realization of intended outcomes and benefits of the project or programme;
  • Exercising effective governance, including comprehensive engagement of stakeholders, timely decisions, and appropriate escalation of issues; and
  • Honest and transparent reporting of project status, issues and risks.
appraisal (évaluation)
An adequately supported written opinion of the market value of the real property as of a specific date that evaluates the real property rights, interests or benefits involved according to accepted appraisal practices, undertaken by a recognized professional.
archaeological site (site archéologique)
A place or area where the significance of the tangible evidence of past human activity is located in situ on, below or above ground or on lands under water as determined by a qualified archaeologist using archaeological research methods.
assets (actifs)
Tangible and intangible items of value, excluding money or records, that have an expected life beyond one year, whether they are Crown-owned, leased or accessed through other arrangements.
benefit (avantage)
A measurable improvement that contributes to departmental objectives, including strategic objectives.
best value (optimisation des ressources)
The extent to which a solution or investment achieves the optimal balance of resource expenditure and realization of outcomes, including socio-economic and environmental returns, throughout the asset or service life cycle. For acquisitions, the lowest price is not always representative of best value.
bid (soumission)
A proposal, quotation or tender submitted in response to a solicitation.
bidder (soumissionnaire)
A legal entity, person, joint venture or company that has submitted a bid in response to a solicitation.
business owner (propriétaire fonctionnel)
An individual who is responsible for the business or program area for which the project, procurement or programme is established. The business owner is responsible for:
  • Defining the required capabilities, intended business outcomes, and benefits of a project, procurement or programme at its outset; and
  • The achievement of the business outcomes and benefits following implementation.
climate resiliency (résilience climatique)
The capacity of structures to support operations in the context of climate change.
commercial vehicle (véhicule commercial)
On-road passenger and cargo-carrying vehicles with a gross vehicle weight rating (GVWR) of 4,536 kg (10,001 lb.) and above, including but not limited to, straight trucks (such as van body trucks, dump trucks and flatbed trucks), highway tractors (semis) and buses used to transport more than 15 passengers, including the driver.
commodity grouping (groupe de produits)
A collection of frequently bought commodities, each of which is managed as a standard group with its associated risk assessment, financial caps and clauses.
common service provider (fournisseur de services communs)
A department or organization, including a special operating agency, designated by Cabinet decisions, law or policy as a central supplier of designated services to support the requirements of other departments.
competitive contract (contrat concurrentiel)
A contract that is entered into by soliciting more than one bid.
competitive procurement (approvisionnement concurrentiel)
The solicitation of bids from more than one supplier.
complex procurement (approvisionnement complexe)
A procurement that involves some level of complexity, such as:
  • being a component of a project;
  • being meant for government-wide or enterprise usage or having horizontal implications;
  • including components that are public-facing, transformational, or that have a high level of uncertainty.
concept case (cas conceptuel)
An examination of a business problem or opportunity for which a digitally enabled project may be established and that includes a description of the conceptual future state and intended outcome or outcomes that are expected to result from the investment.
conservation (conservation)
Any action or process that is aimed at safeguarding the character-defining elements of a property so as to retain its heritage value and extend its physical life. This may involve preservation, rehabilitation, restoration or a combination of these actions or processes.
contaminated site (site contaminé)
A site at which substances occur in the environment at concentrations that: (1) are above background levels and pose, or are likely to pose, an immediate or long-term hazard to human health or the environment; or (2) exceed the levels specified in policies and regulations. A real property may have more than one contaminated site.
contract (contrat)
A binding agreement entered into by a contracting authority and a contractor to procure a good, service or construction.
contract value (valeur du contrat)
The total amount in Canadian dollars to be paid under a contract or contractual arrangement, including:
  • the price of the goods, services or construction to be delivered over the term, including all options and amendments;
  • all disbursements and other related costs charged by a contractor or entity (including travel, shipping, overhead, profit, administration, tools and materials, fees, etc.); and
  • all applicable taxes (including any non-recoverable tax paid to a foreign government and any value added tax paid to a government in Canada).
contracting authority (autorité contractante)
A person who has delegated contracting authority to enter into a contract or contractual arrangement on behalf of a department or agency.
contractor (entrepreneur)
A legal entity, person, joint venture or company that has entered into a contract to provide goods, services or construction.
contractual arrangement (entente contractuelle)
A written arrangement to procure goods, services, or construction, for payment or other appropriate consideration, that is subject to Treasury Board contracting limits, and that is signed by a contracting authority and a representative of one or more government entities, countries or international organizations, or other public entities.
controlled goods (marchandises contrôlées)
Goods, including components and their associated technologies (for example, blueprints, technical specifications), that primarily have a military or national security significance, including “defense articles” that are controlled by the United States International Traffic in Arms Regulations (ITAR). The Controlled Goods List contained in the Schedule to the Defence Production Act details the specific controlled goods that are domestically controlled.
custodian (gardien)
A department whose minister has responsibility for the administration of real property for the purposes of that department.
digitally enabled project (projet numérique)
A set of business change activities that result in the transformation of business processes and/or new or revised models of operation or service, and for which the use of information or digital technologies is critical to obtaining the business outcome.
disposal (disposition)
The removal of an asset from a department’s holdings.
In the context of real property, a transaction that alienates real property from a department’s inventory by sale, lease, surrender or resiliation of a lease, licence, exchange, gift, easement, relinquishment of an easement, abandonment of servitude, transfer of administration to another department or an agent Crown corporation, or transfer of administration and control to the provincial Crown.
divestment (dessaisissement)
Also called divestiture, divestment is the disposal of materiel, including controlled goods, in any of a variety of ways through transfer, donation, trade-in, sale, recycling, full demilitarization, or conversion to waste.
donation (don)
The provision by contribution, gift or bequest by a person, group or organization of funds, goods, facilities or services without cost to the recipient. The contribution is made without expectation of any benefit in return (other than public acknowledgement, if agreed to by both parties, and a tax receipt if applicable). Recipients may include other levels of government, Indigenous organizations, other national governments, or charitable organizations.
enterprise project or programme (projet ou programme de projets organisationnel)
A project or programme where the output is a common solution that is to be adopted by multiple departments.
environmental performance (rendement environnemental)
A measure that assesses the environmental condition, the presence of pollutants and hazardous materials on or in the real property, and the potential for the real property to emit pollutants, including greenhouse gases.
estimate (estimation)
An opinion, judgment or calculation of the market value of real property, in writing as of a specific date that evaluates the real property right, interests or benefits involved and provides sufficient information and analysis to support the conclusion. An estimate must be undertaken by a person who is experienced in real estate, established in a real estate-related business (such as appraisal, brokerage or, banking), or employed in the federal public service with appropriate competencies.
evaluation criteria (critères d’évaluation)
In the context of procurement, a benchmark, standard or yardstick against which the accomplishment, conformance, performance and suitability of a person, alternative, activity, product or plan is measured to select the best supplier. Criteria may be qualitative or quantitative in nature.
examine (examiner)
For the purposes of this policy and its associated directives, for controlled goods, to consider in detail or make subject to an analysis in order to discover essential features or meaning.
expected life (durée de vie prévue)
The estimated time that an asset can be expected to contribute to operations once it is installed or in use and assuming routine maintenance is practised.
fair (équitable)
In real or potential transactions, treating all parties without discrimination or favouritism while conforming to established rules.
federal heritage property (bien patrimonial fédéral)
Property that is a UNESCO World Heritage site, national historic site, federal heritage building, heritage lighthouse, or heritage railway station on federal lands. It can include an Indigenous heritage site, a cultural landscape, an archaeological site, an engineering work or other place that has been formally recognized for its heritage value.
financial cap (plafond financier)
In the context of limitation of liability, the maximum amount or amounts specified in the contract for which a contractor can be liable to the Crown.
financial performance (rendement financière)
A performance measure that assesses the cost of operating and maintaining an asset relative to established financial standards or targets.
first party (première partie)
In the context of limitation of liability, in a contract, the party that is the Crown or the contractor.
fleet (parc automobile)
For the purposes of this policy and its associated directives, a group of vehicles owned or leased by a department, agency or other government organization.
fleet card (carte de parc automobile)
A card provided by a private sector contractor for fleet management support services to be used for the purchase of fuel, operation and maintenance expenses related to government vehicles, including charging batteries in electric vehicles, where feasible.
former public servant (ancien fonctionnaire)
A former employee of a department or agency as defined in the Financial Administration Act, a former member of the Canadian Armed Forces or a former member of the Royal Canadian Mounted Police.
full demilitarization (demilitarisation complète)
For controlled goods, means an action that permanently prevents materiel from being repaired, restored or reverse-engineered.
functionality (fonctionnalité)
A performance measure that assesses how effectively an asset meets defined program and service requirements.
goods (biens)
Items delivered or to be delivered under a contract.
governance (gouvernance)
The way in which departments organize themselves to collaboratively conduct and implement a policy, project, programme, framework or horizontal initiative, including the planning, development and implementation of process and control structures for decision-making, reporting and evaluation.
government electronic tendering system (service électronique d’appels d’offres du gouvernement)
A computer-based system that provides suppliers with information related to procurements.
government vehicle (véhicule gouvernemental)
Crown-owned vehicles used in support of ongoing departmental operations and program delivery.
heritage value (valeur patrimoniale)
A value determined by assessing the aesthetic, historic, scientific, cultural, social or spiritual importance or significance for past, present and future generations.
In the context of real property, heritage value is embodied in character-defining materials, forms, location, spatial configurations, uses, and cultural associations or meanings.
In the context of materiel, heritage value is the value assigned to a resource derived from its association with an aspect or aspects of human history, including historical associations, aesthetic and functional qualities or significance, environmental associations, scientific significance, and spiritual or cultural associations. Heritage value can reflect both physical (tangible) as well as symbolic (intangible) attributes. It can be derived from an association with many periods in history, a single episode, or from the interaction of nature and human activities. The heritage value of a resource is determined through evaluation using established criteria that set out which items are to be considered heritage resources and what constitutes their heritage value.
hybrid-electric vehicle (HEV) (véhicule hybride électrique)
A hybrid-electric vehicle is propelled by both an internal combustion engine and an electric drivetrain that draws power from on-board batteries that cannot be recharged by plugging into the grid. A hybrid-electric vehicle uses a gasoline engine, regenerative braking and the energy produced from coasting to operate.
indemnification (indemnisation)
A legally binding promise whereby one first party undertakes to accept any responsibility for losses or damages that another party may suffer or be liable for. The term usually refers to the obligation to pay money to compensate for damages suffered by a first or third party.
Indigenous group (groupe autochtone)
A First Nations, Inuit or Métis group, community or people that holds rights recognized and affirmed by section 35 of the Constitution Act, 1982 and represented by a council, government or other entity that is authorized to act on their behalf.
investment (investissement)
The use of resources for assets and services required to support program delivery with the expectation of receiving future benefits.
investment planning (planification des investissements)
The process of allocating and reallocating resources, from all sources available to a department, to both existing and new investments, in a diligent and rational manner to support program outcomes and government priorities.
joint project or programme (projet ou programme de projets conjoint)
A project or programme sponsored by one department, the output or outputs of which are for the use of a second department, or a project or programme undertaken by a group of departments, the output or outputs of which are for the use of one or more partner departments.
land vehicle (véhicule terrestre)
A self-propelled piece of equipment used primarily for transporting passengers or cargo on land. Land vehicles include:
  • Light-duty vehicles, including executive vehicles
  • Commercial vehicles, medium and heavy trucks, buses
  • Industrial, construction, and farm vehicles and equipment
  • Snowmobiles, motorcycles and off-road vehicles

For the purpose of this policy and its associated directives, Canadian Military Pattern trucks and equipment, and armoured vehicles, are excluded from this category.

liability (responsabilité)
The legal obligation to do something or refrain from doing something including the responsibility of associated costs.
life-cycle costs (coûts du cycle de vie)
The total cost of ownership over the life of an investment.
life-cycle management (gestion du cycle de vie)
The management of investments along the entire continuum, including planning, acquisition, use and maintenance, and disposal or divestment or close-out.
light-duty vehicle (véhicule léger)
Consists of on-road passenger and cargo carrying vehicles with a gross vehicle weight rating (GVWR) up to 4,535 kg (10,000 lb.), including, but not limited to, sedans, hatchbacks, station wagons, vans, pick-up trucks, multi-purpose vehicles, sport utility vehicles, light-duty cube vans and motorcycles.
limitation of contractor liability (limitation de la responsabilité de l’entrepreneur)
The establishment by contract of a predetermined financial cap to limit the responsibility of the contractor.
limited market (marché restreint)
A market that can take only a specified amount or type of asset that artificially restricts the number of individuals who are potential buyers of an asset.
limited tendering (appel d’offres limité)
A procurement method where, in specific circumstances, a contracting authority may deviate from certain procedural obligations of the applicable trade agreements in a particular procurement.
lump-sum payment (paiement forfaitaire)
A sum that is paid in one single payment instead of instalments.
lump-sum payment period (période d’application du paiement forfaitaire)
In procurement, the period measured in weeks of salary, for which payment has been made to facilitate the transition to retirement or to other employment for public servants whose employment is terminated under an initiative to adjust government spending. The lump-sum payment period does not include the period of severance pay.
market rent (loyer selon le marché)
The most probable rent that a property should bring in a competitive and open market reflecting all conditions and restrictions of the lease (licence) agreement, including permitted uses, use restrictions, expense obligations, terms, concessions, renewal and purchase options, and tenant improvements. (Source: Dictionary of Real Estate Appraisals, Fifth edition)
market value (valeur marchande)
The most probable price that an asset should bring in a competitive and open market as of the specified date under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus.
materiel (matériel)
All movable assets (excluding money, records and seized assets) acquired by Her Majesty in right of Canada.
non-competitive contract (contrat non concurrentiel)
A contract that is entered into without soliciting bids.
open (ouvert)
Providing parties with opportunities for their input into a real or potential transaction.
outcomes-based procurement (approvisionnement axé sur les résultats)
A procurement strategy that ties remuneration to a contractor’s ability to meet, or exceed, defined program outcomes in a meaningful and measurable way.
personal use (usage personnel)
Consists of any use of government materiel, including land vehicles, by a Government of Canada employee for purposes not related to their employment.
physical condition (état physique)
A performance measure that identifies the physical state of repair and environmental condition of an asset relative to its current and long-term service delivery requirements.
physical performance (rendement physique)
The performance of an asset based on its physical state of repair and operating efficiency relative to its current and long-term service delivery requirements.
possess (possession)
For controlled goods, means either actual possession, where the person has direct physical control over a controlled good at a given time, or constructive possession, where the person has the power and the intention at a given time to exercise control over a controlled good, either directly or through another person or persons.
procurement (approvisionnement)
The process related to obtaining goods, services or construction from the planning to the completion of the procurement life cycle.
procurement life cycle (cycle de vie de l’approvisionnement)
The continuum of effective and efficient management of procurement phases including planning, acquisition and execution, use and maintenance, and disposal and close-out.
procurement strategy (stratégie d’approvisionnement)
A strategy that defines, in general terms, how a good, service or construction will:
  • be procured to obtain best value;
  • include, at the highest level, the determination to proceed competitively or non-competitively; and
  • include applicable approaches in support of sustainable benefits or other national objectives, priorities or programs.
program (programme)
Individual or groups of services, activities or combinations thereof that are managed together within the department and that focus on a specific set of outputs, outcomes or service levels.
programme (programme de projets)
A group of related projects and change management activities that together achieve beneficial results for a department.
programme management (gestion des programmes de projets)
The coordinated management of projects and change management activities to achieve beneficial results.
project (projet)
An activity or series of activities that has a beginning and an end. A project is required to produce defined outputs and realize specific outcomes in support of a public policy objective, within a clear schedule and resource plan. A project is undertaken within specific parameters for time, cost and performance.
project management (gestion de projet)
The systematic planning, organizing and control of allocated resources to accomplish identified project objectives and outcomes. Project management is normally reserved for focused, non-repetitive, and time-limited activities that have some degree of risk, and for activities beyond the usual scope of program (operational) activities.
project or programme sponsor (promoteur de projet ou de programme de projets)
An executive who is accountable for the successful planning, definition, implementation, transition and close-out of a project or programme, and who represents the interests of the business owner.
public purpose (fins publiques)
For federal departments and agent Crown corporations, “public purpose” means program need; for provinces and municipalities, “public purpose” generally refers to infrastructure and public amenities. Other public purposes could be considered if they are non-commercial and are for the common good. For Indigenous groups, “public purpose” can refer to uses that provide socio economic benefits.
real property (biens immobiliers)
Any right, interest or benefit in land, which includes mines and minerals, and buildings, structures, improvements and other fixtures on, above or below the surface of the land or water (submerged land). Federal real property is any real property belonging to Her Majesty, including any real property of which Her Majesty has the power to dispose.
real property transaction (transaction liée à des biens immobiliers)
An acquisition or disposal of real property as defined in this policy.
related persons (personnes apparentées)
Persons related to the authorized user by a blood relationship, by marriage, by common-law partnership, or by adoption, and who reside within the same household as the authorized user.
remediation (assainissement)
Improving a contaminated site to prevent, minimize or mitigate damage to human health or the environment. Remediation involves developing and applying a planned approach that monitors, removes, destroys, contains, or otherwise reduces the exposure of contaminants to receptors of concern.
request for expression of interest (demande d’expression d’intérêt)
A document used to gather information on supplier interest in an opportunity or information on supplier capabilities and qualifications.
request for information (demande de renseignements)
A document issued to potential suppliers to gather general supplier, service or product information.
request for proposal (demande de proposition)
A document used to request suppliers to supply solutions for the delivery of goods or services or to provide alternative options or solutions.
risk (risque)
The uncertainty that can create exposure to undesired future events and outcomes. Risk is the expression of the likelihood and impact of an event that has the potential to affect the achievement of a department’s objectives.
risk management for contaminated sites (gestion du risque des sites contaminés)
In the context of contaminated sites, the selection and implementation of a strategy of control for risk to human health or the environment, followed by monitoring and evaluation of the effectiveness of that strategy. This may include direct remedial actions or other strategies that reduce the probability, intensity, frequency or duration of the exposure to contamination.
security breach (atteinte à la sécurité)
For controlled goods, the unauthorized examination, possession or transfer of goods identified in the Export Control List and the Controlled Goods List contained in the Schedule of the Defence Production Act. A security breach includes, among other things:
  • Loss of controlled goods, such as by theft or disappearance, including through a breach of controlled technical data as a result of computer hacking or cyber attack;
  • Unauthorized examination, possession or transfer of controlled goods, including their technical data, by anyone, including unauthorized employees; and
  • Appearance of wilful damage to or tampering with controlled goods.
seized asset (actif saisis)
Any property seized under the authority of any act of Parliament or pursuant to any warrant of any rule of law in connection with any designated offence.
senior designated official (cadre supérieur désigné)
A person responsible for supporting the deputy head in fulfilling their function-specific policy requirements.
serious fire (incendie majeur)
A fire that meets any of the following criteria:
  • Involves death or serious injury;
  • Results in a $250,000 loss or greater in direct costs;
  • Causes a significant interruption of essential federal services;
  • Requires the suppression services of a local fire department;
  • Necessitates immediate action to prevent reoccurrence; or
  • Impacts the heritage value of one or more federal heritage properties.
service (service)
For the purposes of this policy and its associated directives, a service is obtained through formal arrangements such as contracts, memoranda of understanding, and letters of agreement, to support the realization of specific outcomes.
sound stewardship (intendance judicieuse)
The demonstration of diligence in managing and controlling the administration of public funds to achieve best value through:
  • Management processes that are clearly defined, transparent, regularly tested and validated;
  • Financial and non-financial performance measurement; and
  • Reporting at the transaction and business process levels.
special purpose real property (biens immobiliers à vocation particulière)
Real property other than general purpose office space administered by Public Services and Procurement Canada (for example, laboratories and penitentiaries).
standing offer (offres à commandes)
A standing offer is an offer from a potential supplier to provide goods and/or services at pre-arranged prices, under set terms and conditions, when and if required. It is not a contract until the government issues a “call-up” against the standing offer.
stock-taking (prise d’inventaire)
The procedure of counting and reconciling actual holdings against physical or digital records for stocking accounts. The aim is to resolve discrepancies and update physical and digital records regarding the balance of stock on hand, identification, condition and location of materiel.
substantive transfer of risk (transfert substantiel des risques)
Where the limitation of liability of the contractor to be included in the contract is significantly less than the potential financial liability that might reasonably be expected, based on the circumstances and potential losses that might arise from specified risks, taking into account their probability.
supplier (fournisseur)
A person or legal entity that provides or could provide goods, services or construction.
supply arrangements (arrangements en matière d’approvisionnement)
A supply arrangement is a method of supply used by departments to procure goods and services. Many supply arrangements include ceiling prices that allow client departments to negotiate the price downward based on the specific requirement.
surplus real property (biens immobiliers excédentaires)
Real property that is no longer required in support of a department’s programs.
third party (tierce partie)
Any party other than those entering into the contract or contractual arrangement.
third-party valuation (évaluation par un tiers)
The valuation of materiel by a person deemed to have expertise in the sale of materiel of that type who is not employed by the divesting department.
transfer (transfert)
The conveyance of materiel from one department to another. When used in the context of controlled goods, includes divestment of materiel and disclosure of the content of controlled goods in any manner, including outside the federal domain.
transparent (transparent)
Information is provided in a manner that facilitates decision-making and public scrutiny.
utilization (utilisation)
A performance measure that assesses the intensity of use of an asset relative to its capacity or potential.
zero-emission vehicle (ZEV) (véhicule à émission zéro)
  • Plug-in hybrid electric vehicle: A plug-in hybrid electric vehicle is propelled by both an internal combustion engine and an electric drivetrain that draws power from on-board batteries that are recharged by plugging into the grid or by the gasoline engine. Compared with hybrid-electric vehicles, these vehicles offer a much greater electric-only range.
  • Battery-electric vehicle: A battery-electric vehicle is propelled entirely by an electric drivetrain that draws power from on-board batteries that must be recharged by plugging into the electricity grid.
  • Hydrogen internal combustion engine vehicle: A hydrogen internal combustion engine vehicle is propelled entirely by an internal combustion engine that burns hydrogen.
  • Fuel-cell electric vehicle: A fuel-cell electric vehicle is propelled entirely by an electric drivetrain that draws power at least in part from on-board conversion of hydrogen to electricity in a fuel cell.
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