Thank you, Madam Chair.
May I introduce two of my colleagues who are with me: George Butts, director general, and Scott Leslie, a senior director who has been actively involved with this file in working with the Canada Firearms Centre.
I do have a short opening address, Madam Chair, and I want to thank you for this opportunity to discuss federal contracting services in relation to chapter 4 of the Auditor General's report.
To deliver the best value procurement services, Public Works and Government Services Canada works as a strategy partner with our customer departments. We help them throughout the procurement process from defining requirements and procurement approaches; managing the bidding process; and supporting them in ensuring accountability throughout the contract.
Public Works and Government Services Canada has supported the Canada Firearms Centre since its inception, through the provision of contracting services, including those related to information technology. The department has awarded two principal contracts, both awarded competitively, to support the Canadian Firearms Information System, referred to as CFIS I and CFIS II. These contracts are highlighted in the Auditor General's chapter 4 report.
Managing the two CFIS contracts in an uncertain operating and legislative environment has proven to be a significant challenge. Numerous changes to both contracts have been required over the years to accommodate these realities. We do acknowledge, however, that lessons learned from CFIS I experiences could have been better applied to CFIS II procurement, which has proven to be a particular challenge. Many of the assumptions upon which it was to be based have had to be adjusted as the environment, particularly the firearms legislation, has evolved.
With the assistance of third party analysis, Public Works and Government Services Canada, the Canada Firearms Centre, and the CFIS II contractor have recently agreed to halt work to ensure that no further expenses are incurred while we are assessing the situation. The Auditor General cited cases that dated from 1997 to 2004, where the Firearms Centre retained a number of contractors for years, using the Public Works and Government Services database, referred to as Informatics Professional Services, a tool that allows federal departments to search for consultants based on skills and experience. The Auditor General reports that in many cases, searches of the IPS data base would yield only the name of the incumbent contract. Public Works and Government Services concurs that these contacts should not have been justified as competitive, and we note that we ceased this practice in 2004.
The Auditor General recommends that Public Works and Government Services reviews how client departments use our contracting tools, and that it be able to provide assurance that these are not being used to circumvent contracting policies and procedures. We take this recommendation very seriously and are taking appropriate corrective measures to address the issues highlighted in the chapter. Such measures include training of users on accountabilities, policies, and processes; increased monitoring and reporting of usage; and where appropriate, Madam Chair, restricting the use of these tools. As of December last year, Public Works and Government Services Canada has improved, rebranded, and expanded the professional services online database to allow better monitoring of usage.
In conclusion, we recognize that we must continue to find ways to improve our services to organizations, while continuing to exercise a vigorous check and balance in the role of protecting the interests of Canadians. Public Works and Government Services Canada is in the midst of transforming the way we do business, seeking innovative ways to deliver services smarter, faster, and at reduced costs, all the while ensuring that the Government of Canada improves how it does business. We are committed to fair, open, transparent, competitive procurement strategies that meet the government's needs, while ensuring equal access to business that will pass the test of public scrutiny.
Thank you, Madam Chair. I look forward to the questions.