Question Period Note: Rapid COVID-19 testing

About

Reference number:
PSPC-2021-QP-00033
Date received:
Dec 16, 2021
Organization:
Public Services and Procurement Canada
Name of Minister:
Tassi, Filomena (Hon.)
Title of Minister:
Minister of Public Services and Procurement

Issue/Question:

Increasing national testing and screening capacity is instrumental to the multi-layered strategy to reopen the Canadian economy while protecting Canadians and containing future outbreaks.

On behalf of the Public Health Agency of Canada (PHAC), Public Services and Procurement Canada (PSPC) continues to explore procurement strategies to support the two testing initiatives: rapid-testing and border testing. In support of the rapid-testing initiative, PSPC is pursuing additional agreements to secure access to a variety of rapid tests.

Suggested Response:

  • The health and safety of Canadians is our number one priority
    • Public Services and Procurement Canada supports testing strategies and initiatives by procuring testing supplies, test kits, testing services, and warehousing and logistics services
    • The Department also processes rapid-testing requests from federal organizations and the private sector to support the return to work
    • Since March 2020, we have procured approximately 149 million rapid tests, 101 million of which have been received and almost 89 million distributed to provinces and territories
    • In addition, since March 2020, we have awarded more than 100 contracts for swabs, equipment, reagents and consumables to support conventional test sampling and laboratory processing across Canada in support of provincial and territorial testing programs
    • We have put in place procurement mechanisms to ensure that health authorities have access to new tests and instruments as become available, receive regulatory approvals and are considered effective

If pressed on Spartan:

  • We are grateful for all Canadian companies that have answered the Government of Canada’s call to action and continue to support our pandemic response
  • Public Services and Procurement Canada worked diligently with Spartan to support them in fulfilling their contractual obligations and address testing performance issues
  • On September 13, 2021, the Court approved the sale of all of Spartan assets to a new purchaser and ordered the extension of the “stay of proceedings” protecting the company

On November 23, 2021, given that no written proposal offering remedial action was delivered as had been requested, the Government of Canada exercised its contractual right to terminate the contract due to the default of the company

Background:

PSPC supports testing by procuring testing supplies, test kits, testing services, and warehousing and logistics services. The Department also processes testing requests from federal organizations and the private sector to support the return to work. As of December 15, 2021 PSPC has awarded over 140 contracts totaling approximately $2.3 billion. Rapid tests are not used for border testing initiative they are solely for diagnostics within the general population.

The tests procured to date fall in three categories:

Nucleic Acid / Molecular

Also called molecular testing (and is often called PCR). Molecular tests detect the virus' genetic material (nucleic acids). Best and most accurate test for diagnosing active COVID-19 infection in patients with symptoms. Mostly used in a lab, but some are also for use in a point of care setting. All tests used for border testing program and for entry to Canada are molecular/PCR tests.

Tests procured: bMx BioFire, Abbott ID Now, Cepheid, Lucira

Antigen

Antigen-based tests detect specific proteins on the surface of the virus. They're often called rapid tests, as they typically provide results in less than an hour. In general, antigen tests are designed to be used at point of care by a health care professional or trained operator, but lab-based antigen tests also exist.

Tests procured: BD Veritor, Abbott Panbio, Quidel Sofia, BTNX Rapid Response, Quidel QuickVue, Roche SD Biosensor

Serological (antibody)

These tests do not detect the virus itself. Instead, they detect the antibodies produced in response to an infection. These tests are not appropriate for diagnosing COVID-19. However, Health Canada (HC) is authorizing the sale in Canada of serological testing devices used for the detection of antibodies.

Tests Procured: PSPC awarded a contract to Abbott for this type of test, which was used by the labs associated with the COVID-19 Immunity Task Force

The tests can be used in three different settings: conventional sample collection by a trained professional and sent to a laboratory for analysis and reporting; various points-of-care (ex. pharmacy or doctor’s office) sampled or observed by a trained professional and results are provided on-site; or at home through self-testing without the supervision of a health care professional and results appear on the device.

Test Kits

In support of HC’s role to provide test kits to provinces and territories, PSPC has procured over 149 million of rapid tests of which 1.6 million are molecular/lab tests, 140.6 million are rapid antigen for point-of-care and at-home use; and 6.8 million are molecular lab, point-of-care and at home tests. To date, provinces and territories have received over 88.8 million tests to enable the reopening of the economy, schools and other industries.

None of the tests kits procured are for use in border testing initiative.

Testing Supplies

PSPC has also been supporting provinces and territories and Indigenous Services Canada by procuring laboratory supplies for the general population testing programs: swabs, reagents, lab equipment as well as testing devices that can be used for northern remote and isolated communities. Examples of these devices are Cepheid tests used on GenXpert machine, bMx Biofire.

Warehousing and Logistics

PSPC has created an “Amazon” type model to support the delivery of tests. Federal organization and pre-approved private sector companies can visit an online catalogue to directly order tests. Once approved by PHAC or HC, orders are processed and ship directly to the requestor.

For the private sector requests, PSPC has contracted SCI Group Inc. to house inventory and support order fulfillment for all testing programs at five warehouses across Canada: GTA (3), Calgary, Vancouver. Purolator, Day & Ross, and Hellmann

With respect to the testing of federal employees, PSPC is leveraging a competitive contract with a third party service provider, Metro Logistic Inc. to support the storage and distribution of test kits on behalf of HC since October 2021. Prior to October 2021, the SCI contract was used for the warehousing and distribution of tests to federal employees.

Reception Testing Requests

HC has bilateral discussions with each province and territory to determine their needs for rapid testing to enable HC to recommend quantities to procure to the Deputy Minister Committee of DM TRP. Once endorsement received, HC forward their recommendation to PHAC for the President’s approval. Once approval (including financial commitment) is signed by PHAC’s President, HC/PHAC prepares the required documents to be sent to PSPC for processing of the procurement of the tests.

New products

Public Services and Procurement Canada published a Request for Standing Offer (RFSO) on March 16th, 2021 for the purchase of additional antigen and molecular rapid tests (PCR), which will be extended to February 28, 2022 so that suppliers can submit an offer as soon as their test obtains approval from HC. Canada is looking at options for new RFSOs to ensure we are able to respond to emerging needs with the latest technology and wide range of options.

Public Services and Procurement Canada has engaged our Request for Standing Offer suppliers with an eye to potentially put in place longer-term contracts for the months of January, February and March 2022, with optional contract period. As for January, suppliers have indicated they can provide up to 200 million rapid antigen tests with an extra option up to 80 million.

Additional Information:

None