Overview
- The Procurement Ombud, in a report released Thursday, found systemic failures in the Procurement Strategy for Indigenous Business across multiple federal departments.
- In a sample of recent contracts, 20 of 27 files lacked proof that officials checked the Indigenous Business Directory, and some awards went to firms not listed.
- Departments failed to conduct mandatory pre-award audits on contracts worth $2 million or more and reported never asking for post-award audits to confirm Indigenous content.
- Because set-asides fall outside trade agreements, Indigenous suppliers cannot use standard complaint bodies, and the Ombud urged a permanent impartial forum that PSPC rejected as ISC develops an Indigenous-led recourse mechanism targeted for April 2028.
- ISC accepted the findings and plans new policy guidance later in 2026, Indigenous leaders called for Indigenous control of verification of the business directory, and the Ombud said he will track reform progress every six months.