6. ArriveCAN & GCStrategies

ArriveCAN information regarding the Main Estimates 2024-25 and Supplementary Estimates (C) 2023-24 at the Transport, Infrastructure, and Communities Committee

Location: Transport, Infrastructure, and Communities Committee

Issue/Source: Procurement Activities regarding companies associated with ArriveCAN

Date: March 2024

Suggested Responses:

• Transport Canada is committed to ensuring that the management of contracts and public funds upholds integrity, fairness, competitiveness, and value for money through its system of controls that operate in accordance with Treasury Board and Public Services and Procurement Canada direction.
• Transport Canada has taken note of the recent reviews by the Procurement Ombudsman and the Auditor General and will look at opportunities to further strengthen the departmental system of controls.

If pressed:

• Transport Canada uses mandatory standing offers and leverages Public Services and Procurement Canada as the contracting authority when the value exceeds the department’s authorities.
• Before a contract is paid, Transport Canada managers must certify under the Financial Administration Act that the work was performed and that payments are accurate and in accordance with contract terms.
• All contracts include standard conflict of interest provisions.
• Transport Canada ensures that vendors are registered under Indigenous Services Canada’s Indigenous Business Directory for any Indigenous procurement. 

Background Information:

• Allegations were raised by the firm Botler as part of the Government’s ongoing study of ArriveCAN.
• An investigation has been launched by the Royal Canadian Mounted Police.
• Along with other departments, Transport Canada provided contract information to the Standing Committee on Government Operations and Estimates for GC Strategies, Dalian Entreprises, Coradix Technology Consulting and the Dalian Enterprises and Coradix Technology Joint Venture as part of the ongoing study of ArriveCAN.
• Additional documents were recently requested by the Standing Committee on Public Accounts for similar information for all other companies incorporated by the co-founders of GC Strategies, namely, Coredal Systems Consulting. Transport Canada is currently in the process of responding.
• Transport Canada’s lone active contract with the Dalian and Coradix Joint Venture was recently suspended in accordance with direction from Public Services and Procurement Canada. 

Summary of TC Contracts: