Operational procedure: Procedures for cancelling a Safe Food for Canadians licence

1. Purpose

The purpose of this document is to provide guidance to the Canadian Food Inspection Agency (CFIA) inspectorate on the procedures respecting cancelling a licence issued under subsection 20(1) of the Safe Food for Canadians Act (SFCA) and its regulations.

This document is intended to be used in conjunction with other guidance documents as referenced in section 3.0 including the Standard regulatory response process (SRRP) and the Operational guideline: Food regulatory response guideline.

Although this guidance document speaks solely to cancellation of a Safe Food for Canadians (SFC) licence, the CFIA has the necessary powers and authorities to address non–compliance through the use of a variety of control and enforcement actions. These actions can be used independently or concurrently as the situation warrants.

2. Authorities

The inspection powers, control actions and enforcement actions provided under the above legislation are identified and explained in the Operational guideline: Food regulatory response guidelines.

3. Reference documents

4. Definitions

Definitions are located in either the:

5. Acronyms

Acronyms are spelled out the first time they are used in this document and are consolidated in the Food business line acronyms list.

6. Operational procedure

6.1 Verify that grounds for cancellation are met

Before recommending to the Minister's delegate that they cancel a licence, verify that at least 1 of the grounds for cancellation identified in SFCR 39 has been met. Refer to the Operational guideline: Food regulatory response guidelines for a summary of the grounds for cancellation of a licence.

6.2 Evaluate if cancellation is an appropriate regulatory response to the non-compliance

Review all relevant facts and consider all available regulatory response options prior to recommending cancellation of a licence. Evaluate if cancellation may be an appropriate response to the non-compliance by referring to the Standard regulatory response process (SRRP) to review available responses to non-compliance to regulatory requirements.

6.3 Prepare a recommendation for cancellation of a licence

The recommendation and supporting documentation should provide the information about the specific case that must be assessed by the Minister's delegate when deciding whether or not to proceed with a licence cancellation action. Table 1 below provides the operational division of duties when preparing a recommendation for cancellation.

Table 1: Operational division of the roles of preparing a recommendation for cancellation of a licence
Responsible position	Roles	Description
Inspection staff	1. Complete a Recommendation for an SFC Licence Action Form (Action Form) (accessible only on the Government of Canada network – RDIMS 10461441) 2. Submit the Action Form (accessible only on the Government of Canada network – RDIMS 10461441) and supporting documentation (recommendation package) to supervisor	Include all information as set out on the Action Form. In particular: sections of the SFCA, SFCR and or Food and Drugs Act (FDA), Food and Drug Regulations (FDR) that are not complied with the compliance and licence history (as described in the SRRP) of the licence holder attach supporting documentation such as previous letters of non compliance information on the real or potential harm (as described in the SRRP) that has or may arise from the non-compliance(s) that led to the recommendation to cancel the licence information that indicates intent on the part of the licence holder information concerning the events that led to the inspection by CFIA and inspection findings and facts that support the recommendations made attach any supporting documentation, such as inspection reports recommendation for the cancellation of the licence rationale for recommending cancellation and any alternative or complementary responses that could be considered along with or in the place of a decision to cancel (such as administrative monetary penalties, Enforcement and Investigation Services investigation, meeting with the regulated party)
Supervisor	3. Review the recommendation package for completion, verify that the grounds for cancellation have been met 4. Sign the Action Form (accessible only on the Government of Canada network – RDIMS 10461441) and submit to the Inspection Manager (IM)	Ensure the recommendation is consistent with the Operational guideline: Food regulatory response guidelines
Inspection Manager (IM)	5. Review the recommendation package 6. Sign the Action Form (accessible only on the Government of Canada network – RDIMS 10461441) and submit recommendation package to the Director of Operations (DO) to whom they report

At any point during the process, the Supervisor or IM may follow established communication pathways to consult with subject matter experts including the Area's Operational Specialist Unit, Operational Guidance and Expertise (OGE) Division or Legal Services.

Note: as per section 6.4 of the Supplemental guidance for Safe Food for Canadians licence action decision makers, consultation with Legal Services is required when licence cancellation is being considered (at the direction from the President).

6.4 Responsibilities of the Minister's delegate

When a recommendation package is received by a DO from the IM, that DO must consult the Supplemental guidance for Safe Food for Canadians licence action decision makers to determine the most appropriate Minister's delegate to perform the tasks identified below. The Supplemental guidance for Safe Food for Canadians licence action decision makers also provides guidance to the Minister's delegate when deciding whether to cancel a licence and the tasks to be performed to carry out that decision.

Note: the positions delegated the authorities of the Minister as they relate to the cancelling of an SFC licence are found in the Chart summarizing delegation of Ministerial authorities (accessible only on the Government of Canada network – RDIMS 9366193).

6.4.1 Minister's delegate decides if licence cancellation should be considered

The Minister's delegate making the decision reviews the recommendation package including the information related to the factors of harm, history and intent in determining whether cancellation may be the appropriate regulatory response. If the Minister's delegate decides to consider cancellation, they must proceed to offering the licence holder an opportunity to be heard prior to deciding on the cancellation. This is a requirement of SFCR 40.

6.4.2 Opportunity to be heard

As per the Supplemental guidance for Safe Food for Canadians licence action decision makers, if the licence holder accepts the invitation for an opportunity to be heard, the Minister's delegate provides an opportunity be heard in 1 or both of the following ways:

chairs a meeting (in person, on the phone or video) with the licence holder to discuss the grounds for cancellation and to receive any information the licence holder would like to share with the Minister's delegate
receives written submissions

The format of the opportunity to be heard is at the discretion of the licence holder.

The Minister's delegate documents and keeps records of all communications with the licence holder in accordance with the established protocols and as directed in the Guide to the Transmission, Storage and Destruction of Protected and Classified Information (accessible only on the Government of Canada network – RDIMS 3707409).

6.4.3 Minister's delegate decides whether or not to cancel the SFC licence

The Minister's delegate consults the Supplemental guidance for Safe Food for Canadians licence action decision makers for guidance when deciding whether to cancel a licence and the tasks to be performed to carry out that decision. They consider and weigh all information related to the issue, including information provided by the licence holder (as applicable), to determine if the facts support the ground(s) for cancellation. The Minister's delegate documents their decision on the provided Action Form (accessible only on the Government of Canada network – RDIMS 10461441). The completed and signed Action Form is returned to the inspection staff.

6.5 Implementation of the Minister's delegate decision

Upon receiving the completed and signed Action Form, proceed as per Table 2.

Table 2: Actions to be taken by the inspection staff
If	Then
The Minister's delegate decided to cancel the licence	Proceed to Section 6.6.
The Minister's delegate decided not to cancel the licence	As described in section 6.8 of the Supplemental guidance for Safe Food for Canadians licence action decision makers, the Minister's delegate will send a letter to inform the licence holder of the decision not to cancel the licence. Consult the SRRP to determine if alternative responses should be considered. Stop this procedure.

6.6 Draft a cancellation notice

If the Minister's delegate decides to cancel the licence:

use the Notification of Cancellation of an SFC Licence (accessible only on the Government of Canada network – RDIMS 10476635) template in the Appendix 1 to draft a cancellation notice
refer to the completed Action Form (accessible only on the Government of Canada network – RDIMS 10461441) for rationale of the Minister's delegate which is necessary to demonstrate sound decision making and must not be modified when drafting the cancellation notice
provide the draft Notification of Cancellation of an SFC Licence (accessible only on the Government of Canada network – RDIMS 10476635) to the Minister's delegate using the established communication pathway for review, revision, as needed, and signature.

Note: The Minister's delegate is responsible for reviewing, editing, as required, and signing the Notification of Cancellation of an SFC Licence (accessible only on the Government of Canada network – RDIMS 10476635). Only the Minister or a person occupying a position to whom the Minister has delegated the duties and functions of the Minister to cancel a licence under section 39 of the SFCR may make the decision to cancel a licence.

6.7 Notify the licence holder of the CFIA decision to cancel their licence

The Minister's delegate will return the signed Notification of Cancellation of an SFC Licence (accessible only on the Government of Canada network – RDIMS 10476635) to inspection staff for delivery to the licence holder. Upon receiving the signed notification:

send the Notification of Cancellation of an SFC licence signed by the Minister's delegate to the licence holder by registered mail or hand deliver to the licence holder (if digitally signed, send the notice by email)
follow up with the licence holder by telephone or in person, if it was delivered by registered mail or email, to ensure they received the notice and understand it
maintain a copy of the signed notice and corresponding Action Form (accessible only on the Government of Canada network – RDIMS 10461441) in file
for inspections documented in the Digital Service Delivery Platform (DSDP):
- a) enter the details of the licence cancellation in the DSDP by referring to SIP section A.5.5.2 Capture regulatory response actions and DSDP SOP Managing a Non-Compliance Record (accessible only on the Government of Canada network – RDIMS 9906406)
- b) in the Non-compliance Response Details tab add a new Regulatory Response and select the Regulatory Response Type: Action against a permission – cancel
- c) since, at this step in the cancellation process, the details are being entered after the decision to cancel the licence has been made, select the Response Status: Issued
- d) at a minimum, add copies of the Action Form, the Notification of grounds to cancel an SFC licence and opportunity to be heard and the Notification of cancellation of an SFC Licence to the Documents sub-grid within the new regulatory response record

Note: if the licence holder continues to conduct an activity that was identified in their licence after the licence is cancelled, refer to the Standard regulatory response process to determine appropriate enforcement and control actions.

6.8 Confirm the licence holder's status on registries and lists maintained by the National Centre for Permissions

The Minister's delegate is responsible to ensure the National Centre for Permissions (NCP) is notified of the decision to cancel an SFC licence. As per Section 6.10 of the Supplemental guidance for Safe Food for Canadians licence action decision makers, the Minister's delegate will include the inspection staff responsible for verifying compliance of the licence holder on the email to the NCP.

The NCP will update the applicable registries based on the date and time the licence action takes effect. After the licence action has taken effect, inspection staff confirms that the licence holder's status has been updated on the:

Safe Food for Canadians Licence Registry
Export registries (as applicable) – the Canadian fish and seafood establishments approved for export, the Search the list of Federally registered meat establishments and their licensed operators, the list of Processed egg stations registered for export and the list of Shell egg stations registered for export

It should be noted that after the NCP amends the status of the licence on the Safe Food for Canadians Licence Registry it may take up to 4 hours for the change to take effect.

6.9 Notify the Food Import / Export Division (FIED) of the decision to cancel a licence

Determine if the licence holder needs to be removed from any Country specific export eligibility lists. These lists are found in the Export registers and lists – Information by country and are maintained by the FIED or by Foreign Competent Authorities of the importing country.

Notify FIED the licence holder no longer meets export eligibility requirements, as a result of cancellation, by applying the Operational procedure: Procedures for maintaining food export eligibility lists.

7. Appendices

Appendix 1 – Forms and templates

For general inquiries related to this operational guidance document, please follow established communication channels, including submitting an electronic Request for Action Form (e-RAF) (accessible only on the Government of Canada network).

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