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2006-2007
Departmental Performance Report
Canadian Environmental Assessment Agency
The Honourable John Baird
Minister of the Environment and Minister responsible for the Canadian Environmental Assessment Agency
Table of Contents
- Minister's Message
- Management Representation Statement
- Summary Information
- Agency Operating Environment and Challenges
- Stakeholders and Partners
- Link to the Government of Canada Outcome Areas
Analysis of Program Activities by Strategic Outcome
- Analysis by Program Activity
- Key Program: Coordination and Cooperation
- Key Program: Guidance and Operations
- Key Program: Continuous Improvement
- Agency Organization
- Statistical Summaries of Environmental Assessments
- Contacts for Further Information
List of Tables
- Table 1: Comparison of Planned to Actual Spending (including FTEs)
- Table 2: Resources by Program Activity
- Table 3: Voted and Statutory Items
- Table 4: Services Received Without Charge
- Table 5: Sources of Respendable and Non-Respendable Revenue
- Table 6-A: User Fees Act
- Table 6-B: Policy on Service Standards for External Fees
- Table 7: Progress against the Agency's Regulatory Plan
- Table 8: Response to Parliamentary Committees, and Audits and Evaluations
- Table 9: Sustainable Development Strategy
- Table 10: Financial Statements
Overview
In this section:
- Minister's Message
- Management Representation Statement
- Summary Information
- Agency Operating Environment and Challenges
- Stakeholders and Partners
- Link to the Government of Canada Outcome Areas
Minister's Message
I am pleased to present the Performance Report of the Canadian Environmental Assessment Agency for the period ending March 31, 2007. This report outlines the Agency's key accomplishments for the 2006-2007 fiscal year.
The Agency's overall mandate is to support high-quality environmental assessments that contribute to informed decision making. During this reporting period, the Agency's priorities were improving integration of the environmental assessment process; assuming a more active leadership role in federal environmental assessment; and building capacity to deliver on its responsibilities.
The Agency operates in an increasingly complex environment. Environmental assessment must continually adapt to emerging trends, new scientific methods and insights, and evolving public expectations. During 2006-2007, the Agency focused its efforts on activities that contribute to more effective, efficient environmental assessments and better coordination of activities within the federal government and with other jurisdictions.
The federal environmental assessment process plays an important role in safeguarding our environment while allowing for a strong and growing Canadian economy. The Canadian Environmental Assessment Agency will continue to provide leadership to improve this process and support informed decision making.
It gives me great pleasure, therefore, to submit the 2006-2007 Performance Report for the Agency.
_____________________________________________
John Baird, P.C., M.P.
Minister of the Environment and Minister responsible for the
Canadian Environmental Assessment Agency
Management Representation Statement
I submit for tabling in Parliament, the 2006-2007 Departmental Performance Report for the Canadian Environmental Assessment Agency.
This document has been prepared based on the reporting principles contained in the Guide for the Preparation of Part III of the 2006-2007 Estimates: Reports on Plans and Priorities and Departmental Performance Reports.
- It adheres to the specific reporting requirements outlined in the Treasury Board Secretariat guidance.
- It is based on the Department's Strategic Outcome and Program Activity Architecture that were approved by the Treasury Board.
- It presents consistent, comprehensive, balanced and reliable information.
- It provides a basis of accountability for the results achieved with the resources and authorities entrusted to it.
- It reports finances based on approved numbers from the Estimates and the Public Accounts of Canada.
______________________________
Jean-Claude Bouchard
President
Summary Information
Reason for Existence
The Canadian Environmental Assessment Agency (the Agency) provides leadership and serves as the centre of expertise for the federal environmental assessment process. The Agency's mandate is to provide Canadians with high-quality environmental assessments that contribute to informed decision making in support of sustainable development.
A strategic outcome defines the work of the Agency: "Environmental assessment is an integral part of program and policy decision making." The Agency's program activity is "efficient and effective environmental assessment." This work is achieved through three key programs: coordination and cooperation, guidance and operation, and continuous improvement.
Led by the President, who reports directly to the Minister of the Environment, the Agency delivers its mandate within the framework of the following instruments:
- the Canadian Environmental Assessment Act (the Act) and its accompanying regulations;
- the Canada-Wide Accord on Environmental Harmonization and bilateral agreements with provincial governments that establish arrangements for cooperative environmental assessments; and
- international agreements containing environmental assessment provisions to which Canada is a party, principally the United Nations Economic Commission for Europe Convention on Environmental Impact Assessment in a Transboundary Context.
The Agency also assists the Minister of the Environment in implementing the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals by providing guidance to federal authorities on environmental assessment considerations and requirements with respect to proposed policies, plans and programs. Moreover, the Cabinet Directive on Implementing the Canadian Environmental Assessment Act reinforces the key facilitation role of the Agency in the administration of the Act and in encouraging the application of federal environmental assessments in a manner that supports the timely, predictable and efficient preparation of high-quality environmental assessments.
The President of the Agency has been designated by order-in-council as the federal administrator of the environmental and social protection regimes set out in chapters 22 and 23 of the 1975 James Bay and Northern Quebec Agreement.
Financial Resources ($000s)
| Planned Spending | Total Authorities | Actual Spending |
|---|---|---|
| 18,033 | 19,525 | 18,372 |
Human Resources
| Planned | Total Authorities | Actual |
|---|---|---|
| 149 | 148 | 148 |
Status on Performance
|
Strategic Outcome
Environmental assessment is an integral part of program and policy decision making. |
||||
|
Program Activity
Efficient and effective environmental assessment. |
||||
|
Expected Results Environmental assessment:
|
||||
| Priority | Type | Performance Status | Planned Spending ($000s) | Actual Spending ($000s) |
|---|---|---|---|---|
|
No. 1
Build a framework for more integrated environmental assessments. |
New | Ongoing | 4,508 | 4,593 |
|
No. 2
Assume a more active leadership role in federal environmental assessment. |
New | Met | 9,017 | 9,186 |
|
No. 3
Build the capacity to deliver on existing and new responsibilities. |
Ongoing | Partially Met | 4,508 | 4,593 |
| Total | 18,033 | 18,372 | ||
Note: 2006-2007 is a transition year to implementation of the November 2005 Cabinet Directive on Implementing the Canadian Environmental Assessment Act.
Priority No. 1: Build a framework for more integrated environmental assessments
Since its introduction in the early 1970s, the federal environmental assessment process has evolved in response to continuous changes in policy, law and increasing public expectations that the environment will be considered when the Government of Canada makes decisions. An ongoing challenge has been to ensure that federal environmental assessments are well integrated with other federal regulatory requirements as well as provincial reviews of proposed projects. Successful integration can reduce costly delays for proponents and improve the quality and effectiveness of environmental assessments.
Throughout the past year, the Agency worked on measures to improve integration within the context of the current legislative framework. For example, delays sometimes occur when several departments responsible for the assessment of the same project struggle with the question of what components of a project should be assessed. To facilitate these "scoping" decisions, the Agency developed the Interim Approach for Determining Scope of Project for Major Development Proposals with Specific Regulatory Triggers under the Canadian Environmental Assessment Act. The Agency has also worked with Natural Resources Canada and other federal authorities on the creation of the Major Projects Management Office and other measures to improve the overall environmental regulatory system for major resource projects (e.g., large metal mines).
Provinces and territories are important partners in environmental assessment. Bilateral agreements and project-specific arrangements prevent duplication by allowing a single environmental assessment to meet the legal requirements of both jurisdictions. To build on these arrangements, the Agency, along with its counterparts in Manitoba and British Columbia, is leading an initiative of the Canadian Council of Ministers of the Environment to identify options for improving the timeliness and predictability of the delivery of environmental assessment.
Over the longer term, this priority may result in new or revised legislation. To this end, the Agency initiated discussions with the Minister of the Environment's multi-stakeholder Regulatory Advisory Committee on issues, such as the adequacy of the current self-assessment approach. The results of these discussions and the ongoing Quality Assurance Program will help to ensure that the Agency is well positioned to support the 2010 review of the Act by Parliamentary Committee.
Priority No. 2: Assume a more active leadership role in federal environmental assessment
In early 2006, the Agency focused its work on the activities that have maximum influence on effective and efficient environmental assessment. This was done through an action plan based on the aforementioned three priorities. Through the action plan, the majority of the Agency's efforts centred on coordinating federal environmental assessment of projects on a priority basis, based on the significance of their potential environmental effects and level of public concern.
One focus of the Agency's efforts has been the need for coordination of federal government departments in the context of Aboriginal consultation. The Agency has developed an internal policy that sets out the conditions which must be met for the Agency to take on this coordination role.
The Agency formed and chairs an interdepartmental committee that established the Environmental Assessment Recruitment and Development Program. The goal is to address the workforce shortage of environmental assessment practitioners by recruiting and training post-secondary graduates. The Agency recognizes the need for specialized knowledge and skills, and the requirement for trained and experienced staff to deliver its own leadership role in ensuring high-quality environmental assessments.
In support of the Cabinet Directive on Implementing the Canadian Environmental Assessment Act, the Environmental Assessment Projects Committee introduced the Interim Approach for Determining Scope of Project for Major Development Proposals with Specific Regulatory Triggers under the Canadian Environmental Assessment Act in December 2006. The Interim Approach provides guidance for a specific category of development proposals. It aims at fostering consistency and timeliness in decision making regarding the scope of project that, historically, has tended to be difficult and time consuming. The Interim Approach includes structured processes for identifying components of a development proposal for inclusion in the project scope, obtaining the information required to support federal environmental assessment decisions, and ensuring implementation of mitigation measures and follow-up programs.
To ensure that the Interim Approach was well understood and implemented, the Agency hosted a national workshop on December 13, 2006 for representatives from the key federal departments that conduct environmental assessments. The Agency then conducted similar workshops across the country to ensure that regional staff members in key departments were provided with the same understanding of the Interim Approach.
In pursuit of the goal of assuming a more active leadership role in federal environmental assessment, the Agency undertook a pilot project in the evaluation of the Galore Creek Mine comprehensive study in British Columbia (Galore Pilot). For this pilot, the Agency took on an enhanced leadership role by, for example, developing process documents and facilitating public and First Nations participation during the environmental assessment. The comprehensive study report of the Galore Pilot was completed on January 23, 2007. Currently, the Agency is leading negotiations on behalf of the Government of Canada with the proponent on a follow-up program to verify the accuracy of the environmental assessment and determine the effectiveness of mitigation measures. The Agency envisages this level of involvement as its role in the future for major natural resource development proposals.
Priority No. 3: Build the capacity to deliver on existing and new responsibilities
To move ahead on the first two priorities while meeting existing responsibilities for coordination, guidance and support for environmental assessments, the Agency has worked actively to develop its internal capacity and manage its talent. In keeping with its Human Resources Plan, this means supporting current staff through learning and career development. It also means recruiting and integrating new people with needed skills into the Agency.
With the implementation of the Public Service Modernization Act (PSMA) — a far-reaching renewal of Government of Canada human resources management — the Agency created new internal policies. Implementing these policies enabled the Agency to make effective and efficient staffing decisions and take advantage of the flexibilities available under the new regime.
The Agency invested in building a sustainable workforce by improving skills and knowledge, which increases capacity among existing employees and supports retention and recruitment of new employees. Despite its relatively small size, the Agency delivered two orientation sessions in 2006-2007 to integrate new employees into the organization. The new Treasury Board Policy on Learning, Training and Development was also successfully implemented to support employees, managers and the Agency as a whole. The Agency recognizes that learning and career development are valuable incentives and that commitment and productivity are enhanced when employee and Agency objectives are aligned. The Agency worked to achieve this alignment through the implementation of Human Resources Plan elements including an effective performance management program, personal learning plans, mentoring, succession planning and knowledge transfer. As a result of its efforts to retain a skilled workforce, the overall staff turnover rate at the Agency decreased by 2.4 percent from the previous reporting period.
The Agency recruited three executives to its leadership team during the 2006-2007 fiscal year. Candidates were assessed against the Leadership Competencies as developed by the Canada Public Service Agency. Through these recruitment efforts, the Agency increased the representation of women in the executive group, addressing an employment equity gap identified in its Human Resources Plan.
The Environmental Assessment Recruitment and Development Program, established during this reporting period, created a pool of 30 candidates, 11 of whom were appointed to positions. This initiative contributed to building overall capacity among federal government departments responsible for environmental assessment.
The Agency's culture of bilingualism is well established and it has a proven record of support to individuals who must meet the linguistic requirements of their jobs. It boasts one of the most comprehensive second language support programs to be found in any small agency. Specifically, the Agency's objectives are to actively promote and support official languages, provide internal language training to staff and give special attention to the inclusion of language training in individual learning plans. A pilot project provided many staff members with access to a full-time language teacher for a three month period, allowing them to meet the requirements of their positions or improve their language skills while remaining involved in their jobs. As well, an Official Languages Framework was developed and approved to identify and promote official languages support to staff in two categories: statutory requirements, and second language maintenance and improvement. Employees enjoy a comprehensive list of options on the Agency's Intranet site as well as the support of Human Resources Advisors and an Official Languages Champion and Co-Champion.
The Agency continues to invest in building the capacity to deliver on its priorities and develop and maintain a skilled workforce. The efforts made in 2006-2007 form a solid foundation to meet existing and new responsibilities going forward.
Agency Operating Environment and Challenges
Protecting the environment, while building a strong economy and improving the quality of life for Canadians, is a daily challenge. Environmental assessment responds to this challenge by ensuring that environmental effects are considered before decisions are taken that allow projects to proceed.
Under the Canadian Environmental Assessment Act (the Act), federal departments and agencies must undertake an environmental assessment (EA) before they carry out a project; provide financial assistance to enable a project to be carried out; sell, lease or otherwise transfer control or administration of land to enable a project to be undertaken; or issue certain permits or authorizations to enable a project to go forward. Historically, each year between 6,000 and 7,000 environmental assessments are initiated under the Act. In June 2006, lending Crown corporations also came under the requirements of the Act, which added 1,950 screenings during the reporting period. Since 1995 (the year the Act came into effect), over 70,000 projects have been assessed.
Projects subject to environmental assessment or policies subject to strategic environmental assessment often raise important issues associated with socio-economic development, environmental protection, Aboriginal interests and federal-provincial/territorial relations. Environmental assessment must continually adapt to emerging trends, new scientific methods and insights, and evolving public expectations.
The following provides a sense of the issues and challenges the Agency faces in delivering its key programs.
Shared Environmental Management Responsibility
Under the Constitution of Canada, responsibility for environmental management is an area of shared jurisdiction among various orders of government. To minimize duplication and delays, the Agency works with its provincial and territorial counterparts to bring about greater cooperation in environmental assessment, and promote the consistent and predictable application of environmental assessment across Canada. This shared environmental management responsibility is realized by implementing or renewing bilateral agreements, and working with other jurisdictions on initiatives that serve to improve the coordinated delivery of environmental assessment processes. This cooperation is intended to ensure that a single environmental assessment of a proposed project is able to meet the needs of both the federal and a provincial or territorial government.
Integrating Competing Interests
Projects subject to environmental assessment often give rise to many sensitive issues related to development, environmental protection, Aboriginal interests and federal-provincial/territorial relations. Projects being assessed can often be complex, with competing stakeholder interests. Integrating these interests while maintaining productive relationships and delivering high-quality assessments that meet the expectations of Canadians is an ongoing challenge.
Aboriginal Peoples
Environmental assessment provisions are negotiated under comprehensive land claims and self-government agreements, including sectoral arrangements. The Agency continues to work with Aboriginal groups and Indian and Northern Affairs Canada to ensure that environmental assessment regimes developed under these agreements and arrangements meet key environmental assessment requirements and take into account specific Aboriginal interests. The Agency also continues to participate in senior-level interdepartmental working groups in support of an action plan to assist departments and agencies in fulfilling Canada's legal duty to consult and, where appropriate, accommodate Aboriginal peoples.
The Agency has recognized that it is well-positioned to assist with building linkages between the environmental assessment and the Aboriginal Crown consultation processes to enhance overall effectiveness, efficiency and lead to more informed federal decision making.
Improved Federal Policy Development
The Agency is a strong advocate for the application of strategic environmental assessment (SEA) as a tool to support improved decision making. Since the implementation of the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, federal departments have increasingly recognized the role of this valuable tool in helping to promote sustainable development.
Over the last year, the Agency continued to support the work of a multi-stakeholder subcommittee of the Minister's Regulatory Advisory Committee (RAC) established in March 2006 to make recommendations on how to improve SEA. The Committee is undertaking work to define the broader context for SEA, explore the linkages between SEA and project environmental assessment, and examine the role of the public and Aboriginal groups in SEA.
In terms of broad policy directions, the Agency has been involved in the conceptualization of regional (strategic) environmental assessment (RSEA) in Canada, a useful construct to help bridge the higher-order, often conceptual-level assessment of broad policy and program initiatives with the more detailed and technically oriented assessment of individual projects on a local scale. A number of important RSEA-like initiatives are emerging across Canada, including regional environmental studies or assessments associated with major resource planning and management exercises, offshore renewable power generation and integrated management in the marine environment. These initiatives will significantly inform thinking about environmental assessment on a regional scale and the evolution of SEA policy. The Agency is engaged in many of these RSEA discussions, and in facilitating collaboration and the establishment of common tools and principles and will continue to monitor, participate in or lead these initiatives as they develop.
International Community
As a party to the United Nations Economic Commission for Europe (UNECE) Convention on Environmental Impact Assessment in a Transboundary Context (Espoo Convention), Canada is required to meet the obligations that it subscribed to under the Espoo Convention. To this end, the Agency represented Canada at the UNECE for the Espoo Convention and provided funding in support of activities under the Convention. The Agency also sponsored and participated in environmental assessment and strategic environmental assessment conferences, such as the International Association of Impact Assessment (IAIA) held in Seoul, South Korea and the Secrétariat international francophone pour l'évaluation environnementale (SIFEE) held in Geneva, Switzerland.
In addition, the Agency continued informal discussions for negotiating a transboundary environmental impact agreement with Mexico and the United States.
Stakeholders and Partners
The Agency works with a wide range of stakeholders and develops partnerships to promote sound environmental assessment practices in Canada and abroad. In support of this work, the Agency maintains and supports several mechanisms for receiving advice and consulting with stakeholders and partners, notably the Minister's multi-stakeholder Regulatory Advisory Committee, the federal Senior Management Committee on Environmental Assessment and the federal-provincial/territorial Environmental Assessment Administrators Committee. As well, it is developing consultation approaches for engaging Aboriginal peoples.
Central to the Agency's mandate is providing all proponents with a timely and predictable process, and access to both the tools and the information they need to comply with the Act. In accordance with the general thrust of the Cabinet Directive on Implementing the Canadian Environmental Assessment Act, the Agency, with the help of federal departments and agencies, will ensure that adequate guidance is available to proponents on the preparation of project descriptions that contain sufficient information to determine the need for a federal environmental assessment and, when required, to initiate efficient conduct of the assessment.
The Agency includes the following among its stakeholders and partners.
Federal Departments, Agencies and Crown Corporations
The Agency assisted federal departments, agencies and Crown corporations in meeting their obligations under the Act and relevant regulations, as well as the Cabinet Directive on Implementing the Canadian Environmental Assessment Act and the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals. In particular, a three-year effort of analysis, support and guidance culminated on June 11, 2006 when federal parent Crown corporations became subject to the Act. Through its operational policies, guidance and training, the Agency improved the way in which environmental assessment is conducted at the federal level. In addition, the Agency worked closely with federal departments and agencies on comprehensive studies and in providing administrative and technical support to review panels.
Provincial and Territorial Governments
Constitutionally, environmental management is an area of jurisdiction shared between various levels of government. The Agency worked cooperatively with provincial, territorial and Aboriginal governments to minimize duplication and delays by bringing about greater cooperation in EAs of major projects. It also negotiated federal-provincial EA cooperation agreements, and worked with provincial and territorial governments on a broad range of EA issues.
Industry/Proponents
Central to the Agency's mandate is providing all proponents, including the federal government, with access to the tools and the guidance they need to provide complete information on their projects and the potential adverse environmental effects in order to support the timely and predictable administration of the Act. The Agency's core training courses were attended by 726 participants of whom 147 were EA consultants or industry representatives, and 395 were from federal departments.
Public and Non-Governmental Organizations
The Agency encouraged public participation and worked with stakeholders to reconcile these interests while maintaining productive relationships and promoting high-quality environmental assessments to meet the expectations of Canadians. The Agency provided participant funding to individuals and non-profit organizations, including Aboriginal peoples and groups, which enabled them to take part in the public consultation process associated with review panels and comprehensive studies. The Agency also worked with multi-stakeholder groups, including non-governmental organizations, to further develop guidance on meaningful public participation in the federal environmental assessment process.
Link to the Government of Canada Outcome Areas
The whole of government framework provides a structured logic model for the Agency to map its contribution to a set of high-level Government of Canada strategic outcomes. These outcomes promote long-term benefits to Canadians and are grouped in three broad policy areas (see chart below).
The central role for the Government of Canada is to improve the well-being of its citizens, and a sustainable economy is essential in attaining that outcome. Success depends on the reconciliation of environmental considerations with economic growth. The Agency has played a pivotal role in providing Canadians with high-quality environmental assessments, which have contributed to informed decision making in support of the Government of Canada's role in promoting and fostering sustainable economic growth.
Analysis of Program Activities by Strategic Outcome
In this section:
- Analysis by Program Activity
- Key Program: Coordination and Cooperation
- Key Program: Guidance and Operations
- Key Program: Continuous Improvement
Analysis by Program Activity
The Agency has one strategic outcome: "Environmental assessment is an integral part of program and policy decision making." This strategic outcome is accomplished through one program activity: efficient and effective environmental assessment.
Financial Resources ($000s)
| Planned Spending | Authorities | Actual Spending |
|---|---|---|
| 18,033 | 19,525 | 18,372 |
Human Resources (FTEs)
| Planned | Actual | Difference |
|---|---|---|
| 149 | 148 | 1 |
The Agency plays an important role in providing leadership, guidance, training and recommendations to federal departments and agencies. This helps ensure that environmental assessment decisions comply with the Act, reflect effective and efficient practices, and consider public values. Promoting high-quality environmental assessments contributes to better decisions that protect the environment and support sustainable development. The Agency also promotes consistent approaches to environmental assessments across Canada and with its international partners. The Agency works with provincial, territorial and local partners to develop cooperative approaches wherever possible. It also fosters engagement with Aboriginal communities.
This section provides details on the Agency's program activity and its three key programs: coordination and cooperation, guidance and operations, and continuous improvement.
The activities identified in the above table support stakeholders and decision makers by providing informed advice, guidance and support for the environmental assessment of projects and policies. Establishment of bilateral agreements strengthens jurisdictional relationships through coordinated assessment processes. Providing guidance on environmental assessment provisions in self-government and land claim agreements engages Aboriginal stakeholders and supports federal negotiators.
By providing guidance on the environmental assessment process, assisting federal government departments in meeting their obligations under the Act, and maintaining the CEAR Internet site, the Agency has strengthened its role as a centre of expertise on environmental assessment. Through the development and use of a more timely and efficient environmental process (in accordance with the Cabinet Directive on Implementing the Canadian Environmental Assessment Act) the Agency demonstrated continued effective leadership in the environmental assessment process.
Financial Tables
In this section:
- Table 1: Comparison of Planned to Actual Spending (including FTEs)
- Table 2: Resources by Program Activity
- Table 3: Voted and Statutory Items
- Table 4: Services Received Without Charge
- Table 5: Sources of Respendable and Non-Respendable Revenue
- Table 6-A: User Fees Act
- Table 6-B: Policy on Service Standards for External Fees
- Table 7: Progress against the Agency's Regulatory Plan
- Table 8: Response to Parliamentary Committees, and Audits and Evaluations
- Table 9: Sustainable Development Strategy
- Table 10: Financial Statements
Table 1: Comparison of Planned to Actual Spending (including FTEs)
| ($000s) | 2004-2005 Actual | 2005-2006 Actual | 2006-2007 | |||
|---|---|---|---|---|---|---|
| Main Estimates | Planned Spending | Total Authorities | Total Actuals | |||
| Effective and Efficient Environmental Assessment | 18,272.6 | 17,578.5 | 17,383.0 | 18,033.0 | 19,524.8 | 18,372.1 |
| Less: Non-respendable revenue | 3.8 | 18.4 | — | — | 261.8 | 261.8 |
| Plus: Cost of services received without charge | 3,464.4 | 2,886.7 | 3,276.0 | 3,276.0 | 3,179.5 | 3,179.5 |
| Total Agency Spending | 21,733.2 | 20,446.8 | 20,659.0 | 21,309.0 | 22,442.5 | 21,289.8 |
| Full-Time Equivalents | 135.0 | 135.0 | 149.0 | 149.0 | 148.0 | 148.0 |
This table provides a summary of resource levels for the last three years, as well as the evolution of the 2006-2007 resources. The fluctuation in total resources over the years is the result of funding changes in various initiatives, such as the Canadian Environmental Assessment Act, the Northern Gas Pipeline Project, collective bargaining and cost of services received without charge. The variance between the Total Authorities and the Actual Spending mainly consists of an approved reprofile of $500K to 2007-2008 for the Participant Funding Program and resources to cover legal services of $535K received from the Department of Justice.
Table 2: Resources by Program Activity
| 2006-2007 | |||||
|---|---|---|---|---|---|
| Budgetary ($000s) | |||||
| Program Activity | Operating | Contributions | Total: Gross Budgetary Expenditures | Less: Respendable Revenue | Total |
| Effective and Efficient Environmental Assessment | |||||
| Main Estimates | 18,941.0 | 1,943.0 | 20,884.0 | -3,501.0 | 17,383.0 |
| Planned Spending | 18,941.0 | 2,593.0 | 21,534.0 | -3,501.0 | 18,033.0 |
| Total Authorities | 25,879.1 | 2,646.7 | 28,525.8 | -9,001.0 | 19,524.8 |
| Actual Spending | 22,915.1 | 2,049.4 | 24,964.5 | -6,592.4 | 18,372.1 |
Table 3: Voted and Statutory Items
| Vote or Statutory Item | Truncated Vote or Statutory Wording |
2006-2007 ($000s) | |||
|---|---|---|---|---|---|
| Main Estimates | Planned Spending | Total Authorities | Total Actuals | ||
| 20 | Program expenditures | 15,609.0 | 16,259.0 | 17,614.7 | 16,462.1 |
| (S) | Contributions to employee benefit plans | 1,774.0 | 1,774.0 | 1,909.9 | 1,909.9 |
| (S) | Spending of proceeds from the disposal of surplus Crown assets | — | — | 0.2 | — |
| Total | 17,383.0 | 18,033.0 | 19,524.8 | 18,372.1 | |
This table presents resources that have been voted to the Agency by Parliament. It should be noted that Parliament approves the voted funding whereas the statutory information is provided for information purposes. Explanation of variance in resource levels can be found in tables 1 and 2.
Table 4: Services Received Without Charge
| 2006-2007 ($000s) | |
|---|---|
| Accommodation provided by Public Works and Government Services Canada | 1,554.3 |
| Contributions covering employers' share of employees' insurance premiums and expenditures paid by Treasury Board of Canada Secretariat (excluding revolving funds) | 824.4 |
| Salary and associated expenditures of legal services provided by the Department of Justice Canada | 800.8 |
| Total 2006-2007 Services Received Without Charge | 3,179.5 |
This table reflects the services received without charge from other government departments. For 2006-2007, the actual expenditures were slightly lower than the planned spending reflected in the 2006-2007 Report on Plans and Priorities, mostly because of lower costs than expected for legal services provided by Justice Canada.
Table 5: Sources of Respendable and Non-Respendable Revenue
| Respendable Revenue | ||||||
|---|---|---|---|---|---|---|
| ($000s) | Actual 2004-2005 | Actual 2005-2006 | 2006-2007 | |||
| Main Estimates | Planned Revenue | Total Authorities | Actual | |||
| Effective and Efficient Environmental Assessment | ||||||
| Cost recovery for environmental assessment services | 877.9 | 4,167.7 | 3,351.0 | 3,351.0 | 8,851.0 | 6,305.1 |
| Cost recovery for publications, training and education materials (federal) | 105.2 | 85.8 | 75.0 | 75.0 | 90.0 | 120.6 |
| Cost recovery for publications, training and education materials (external) | 108.0 | 153.3 | 75.0 | 75.0 | 60.0 | 166.7 |
| Total Respendable Revenue |
1,091.1 | 4,406.8 | 3,501.0 | 3,501.0 | 9,001.0 | 6,592.4 |
| Non-Respendable Revenue | ||||||
| ($000s) | Actual 2004-2005 | Actual 2005-2006 | 2006-2007 | |||
| Main Estimates | Planned Revenue | Total Authorities | Actual | |||
| Effective and Efficient Environmental Assessment | 3.8 | 18.4 | — | — | 261.8 | 261.8 |
| Total Non-Respendable Revenue | 3.8 | 18.4 | — | — | 261.8 | 261.8 |
| Total Revenues | 1,094.9 | 4,425.2 | 3,501.0 | 3,501.0 | 9,262.8 | 6,854.2 |
The Agency has authority to recover costs for environmental assessment services, publications, training and education materials. However, it should be noted that the use of this authority depends on the level of review panel activity that is eligible for cost recovery. As such, the level of revenue tends to fluctuate from year to year.
Table 6-A: User Fees Act
| User Fee | Fee Type | Fee-Setting Authority | Date Last Modified | 2006-2007 ($000s) | Planning Years | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Forecast Revenue ($000s) | Actual Revenue ($000s) | Full Cost ($000s) | Performance Standard | Performance Results | Fiscal Year | Forecast Revenue ($000s) | Estimated Full Cost ($000s) | ||||
| Environmental assessment services | R | Environmental Assessment Review Panel Services Charges Order | 2002 | 3,351.0 | 6,305.1 | 9,129.8 | The Agency has identified shortcomings with the existing performance standards, specifically with regards to the sufficiency of the Cost Recovery Order. The Agency has developed and is piloting a Participant Satisfaction Survey to establish indicators (such as fairness, accessibility, timeliness, efficiency and value for investment) to allow for qualitative performance evaluation. | The Agency will use these measures in the 2007-2008 DPR. | 2007-2008 2008-2009 2009-2010 |
3,351.0 3,351.0 3,351.0 |
4,926.0 4,926.0 4,926.0 |
| Fees charged for the processing of access requests filed under the Access to Information Act | O | Access to Information Act | 1992 | — | 0.1 | 122.5 | Service standards are in the Access to Information Act, section 7: http://laws.justice.gc.ca/en/a-1/218072.html | Statutory deadlines were met 83% of the time | 2007-2008 2008-2009 2009-2010 |
0.3 0.3 0.3 |
129.7 147.3 164.9 |
| Sub-total (R) |
3,351.0 | 6,305.1 | 9,129.8 | Total 2007-2008 | 3,351.3 | 5,055.7 | |||||
| Sub-total (O) |
— | 0.1 | 122.5 | Total 2008-2009 | 3,351.3 | 5,073.3 | |||||
| Total | 3,351.0 | 6,305.2 | 9,252.3 | Total 2009-2010 | 3,351.3 | 5,090.9 | |||||
For 2006-2007, environmental assessment services constitute the main source of revenues of the Agency. This amount is subject to variation depending on the level of review panel activity that is eligible for cost recovery. Reflected forecasted revenues of $3,351K are based on authorities. As review panel activity increases additional authorities will be sought. Full costs of environmental assessment services are based on actual revenues for 2006-2007 and forecasted revenues for 2007-2008, 2008-2009 and 2009-2010 adjusted for an estimated portion of the cost provided without charge1 and other costs that can not be recovered under the current authorities.
Actual and forecasted revenues for Access to Information and Privacy ( ATIP ) are based on a set fee per request as prescribed in the Access to Information Act. Full costs are based on actual costs related to generating the required information adjusted by an estimated portion of the cost provided without charge.
Table 6-B: Policy on Service Standards for External Fees
Supplementary information on Service Standards for External Fees can be found at:
http://www.tbs-sct.gc.ca/rma/dpr3/06-07/index_e.asp
Table 7: Progress against the Agency's Regulatory Plan
| Regulatory Initiatives | Expected Results | Results Achieved |
|---|---|---|
|
Development of Crown Corporation Regulations
Crown corporations will come under the Act in June 2006. The Agency will help these organizations meet their new obligations. New regulations will vary the assessment process for Crown corporations involved in the provision of commercial loans. The Exclusion List Regulations will be reviewed and amended to ensure that it takes into account the needs of Crown corporations. |
|
39 of 41 parent Crown Corporations came under the Act in June 2006 with no need for a regulatory variation modifying the environmental assessment process. A regulation varying the environmental assessment process for two Crown corporations that provide commercial loans came into force on June 11, 2006. The regulation allows them to implement their new responsibilities under the Act while maintaining their ability to deliver their services in a competitive environment. Proposed changes to the Exclusion List Regulations were developed by interested Crown corporations in collaboration with the Agency. The Minister's multi-stakeholder Regulatory Advisory Committee, the federal Senior Management Committee on Environmental Assessment, and other Crown corporations were consulted on the proposed changes. |
|
Amendments to the Exclusion List Regulations
New entries will be added to these regulations to prescribe new classes of projects to be excluded from environmental assessment and to modify thresholds of certain existing entries. |
|
A new version of the regulations was prepared for final approvals, with a target date for coming into force in the late spring of 2007. |
|
Amendments to Federal Coordination Regulations
Federal Coordination Regulations will be amended to take into account changes brought about in 2003 by the renewed Act. |
|
In response to comments received on the previous proposals, and in light of the new Cabinet Directive on Implementing the Canadian Environmental Assessment Act, a new approach to amending the Federal Coordination Regulations was developed. Federal departments and agencies were consulted on the approach and a draft plain language version of the proposed regulations was prepared. |
|
Amendments to Canada Port Authority Environmental Assessment Regulations
In accordance with changes brought about by the renewed Act in 2003, amendments to these regulations are needed to ensure the comprehensiveness, consistency, transparency and overall quality of port authorities' environmental assessment processes. |
|
Port authorities, federal departments and the Regulatory Advisory Committee were consulted on a final unofficial draft of a new version of the Canada Port Authority Environmental Assessment Regulations. Drafting the final new regulation is in progress. |
|
Airport Authority Regulations
In accordance with changes brought about by the renewed Act, these regulations will close a gap in the Act by requiring airport authorities to conduct an assessment of the environmental effects of projects located on the federal land over which those authorities have administration, management or other specified rights or interests. |
|
Consultation and discussions with the airport authorities and Transport Canada have been ongoing, and new draft airport authority regulations are expected to follow shortly after completion of the new port authority regulations. |
|
Review of Four Key Regulations Under the Act
In accordance with changes brought about in 2003 by the renewed Act, the Inclusion List Regulations, Law List Regulations, Comprehensive Study List Regulations and Exclusion List Regulations will be reviewed to ensure they remain relevant to government programs and priorities. |
|
A major revision of the Exclusion List Regulations was prepared with a target date for coming into force by the late spring of 2007. Projects were undertaken toward amendments of the other four key regulations. A discussion paper was made available to the public on proposed amendments that would add the International Boundary Waters Treaty Act to the
Law List Regulations and the Inclusion List Regulations. A review of section 10 of the Comprehensive Study List Regulations was initiated with Infrastructure Canada.
A Crown corporation-focused review of the Exclusion List Regulations was initiated. |
Table 8: Response to Parliamentary Committees, and Audits and Evaluations
| Response to Parliamentary Committees |
|---|
| During the reporting period, the Agency did not table any responses to Parliamentary Committee reports. |
| Response to the Auditor General including to the Commissioner of the Environment and Sustainable Development (CESD) |
| During the reporting period, no recommendation of the Auditor General was addressed specifically to the Agency. |
| External Audits (Note: These refer to other external audits conducted by the Public Service Commission of Canada (PSC) or the Office of the Commissioner of Official Languages.) |
| During 2006-2007, two audits (Hospitality and Travel Claims) were conducted by a central agency (Treasury Board Secretariat). The results of these audits will be reported in the next Departmental Performance Report. |
| Internal Audits or Evaluations |
| During the reporting period, the Agency did not undertake any audits or evaluations. |
Table 9: Sustainable Development Strategy
| Points to Address | Input |
|---|---|
| 1. What are the key goals, objectives, and/or long-term targets of the Sustainable Development Strategy? |
The 2007-2009 Sustainable Development Strategy (SDS) 20-year vision frames the goals, objectives and long-term targets for the Agency. The long-term vision of the SDS is to take into account environmental considerations, alongside economic and social ones, in all federal government decisions respecting policies, plans, programs and projects in a way that supports balanced,
integrated decision making and progress toward sustainable development.
The Agency recognizes that to achieve its vision, it must shift from leading a process-oriented federal environmental assessment framework to a results-oriented one, viewing the success of its initiatives through improvement in process as well as through improvements in the results it influences. The long-term goal of the 2007-2009 Sustainable Development Strategy is therefore to promote the full and meaningful application of a results-oriented federal environmental assessment framework. As such, the following three main objectives have been identified:
The SDS states that the Agency will begin the research phase of its long-term plan, which includes specific targets, to ensure that it can achieve this broad goal. The goals and objectives of the SDS are supported by 14 specific commitments. |
| 2. How do your key goals, objectives, and/or long-term targets help achieve your department's strategic outcomes? | The vision and goal of the 2007-2009 SDS directly supports the Agency's identified strategic outcomes to build the framework for more integrated environmental assessment, assume a more active leadership role in federal environmental assessment and build capacity to deliver existing and new responsibilities by striving to acquire the knowledge needed to strengthen the role of environmental assessment in advancing sustainable development in Canada. |
| 3. What were your targets for the reporting period? |
Of the 46 commitments identified in the previous 2004-2006 SDS, the Agency fulfilled 25 commitments. Several initiatives were put on hold or were no longer considered priority items for the Agency.
The 2007-2009 SDS is a new strategy for the Agency, introduced recently as of January 2007, and includes revised targets that differ from the previous 2004-2006 SDS. Specific targets that support long-term outcomes or objectives for the SDS include supporting research and development, and fostering open dialogue, with a view to advancing the science and practice of environmental assessment, and sharing these findings with our stakeholders. It includes learning by doing: putting theory into practice and taking on new roles and responsibilities. Most importantly, it is about increasing our knowledge of the outcomes influenced by our federal environmental assessment framework, so that within the opportunities that lie ahead, the Agency is positioned to provide sound and forward-looking advice to Parliament regarding the role of the Agency, and the future of the federal environmental assessment framework. |
| 4. What is your progress to date? | The 2007-2009 SDS Action Framework sets out to address the main challenges the Agency faces in leading an environmental assessment framework that supports Canadians achieving and maintaining sustainable development. Progress to date has not yet been measured as the strategy was only recently implemented, however the SDS will shortly undergo its first evaluation of progress using the Agency's Monitoring and Tracking System (MATS). |
| 5. What adjustments have you made, if any? | The need to make adjustments to the 2007-2009 SDS has not yet been identified. Should adjustments be required following the first evaluation of progress, these will be documented and reported in the next Departmental Performance Report. |
Table 10: Financial Statements
Canadian Environmental Assessment Agency
Financial Statements
For the Year Ended March 31, 2007
(Unaudited)
Canadian Environmental Assessment Agency
Statement of Management Responsibility
Responsibility for the integrity and objectivity of the accompanying financial statements of the Canadian Environmental Assessment Agency for the year ended March 31, 2007 and all information contained in this report rests with the Agency's management. These financial statements have been prepared by management in accordance with Treasury Board accounting policies which are consistent with Canadian generally accepted accounting principles for the public sector.
Management is responsible for the integrity and objectivity of the information in these financial statements. Some of the information in the financial statements is based on management's best estimates and judgment and gives due consideration to materiality. To fulfil its accounting and reporting responsibilities, management maintains a set of accounts that provides a centralized record of the Agency's financial transactions. Financial information submitted to the Public Accounts of Canada and included in the Agency's Departmental Performance Report is consistent with these financial statements.
Management maintains a system of financial management and internal control designed to provide reasonable assurance that financial information is reliable, that assets are safeguarded and that transactions are in accordance with the Financial Administration Act, are executed in accordance with prescribed regulations, within Parliamentary authorities, and are properly recorded to maintain accountability of Government funds. Management also seeks to ensure the objectivity and integrity of data in its financial statements by careful selection, training and development of qualified staff, by organizational arrangements that provide appropriate divisions of responsibility, and by communication programs aimed at ensuring that regulations, policies, standards and managerial authorities are understood throughout the department.
The financial statements of the Agency have not been audited.
| ____________________ | ____________________ |
|---|---|
| Jean-Claude Bouchard | Daniel Nadeau |
| President | Acting Senior Financial Officer |
| Ottawa, Canada | |
| August 10, 2007 | |
Canadian Environmental Assessment Agency
Statement of Financial Position (Unaudited)
At March 31
(in dollars)
| 2007 | 2006 | |
|---|---|---|
|
|
||
| ASSETS | ||
| Financial assets | ||
| Accounts receivable and advances (Note 4) | 1,685,469 | 1,036,663 |
|
|
||
| Total financial assets | 1,685,469 | 1,036,663 |
| Non-financial assets | ||
| Tangible capital assets (Note 5) | 11,247 | 12,653 |
|
|
||
| Total non-financial assets | 11,247 | 12,653 |
| TOTAL | 1,696,716 | 1,049,316 |
|
|
||
| Liabilities | ||
| Accounts payable and accrued liabilities (Note 6) | 2,838,598 | 2,984,157 |
| Vacation pay and compensatory leave | 616,707 | 412,076 |
| Employee severance benefits (Note 7) | 2,335,215 | 2,087,903 |
|
|
||
| Total liabilities | 5,790,520 | 5,484,136 |
|
|
||
| Equity of Canada | (4,093,804) | (4,434,820) |
|
|
||
| TOTAL | 1,696,716 | 1,049,316 |
|
|
||
Contingent liabilities (Note 8)
Contracted obligations (Note 9)
The accompanying notes and schedules form an integral part of these statements.
Canadian Environmental Assessment Agency
Statement of Operations (Unaudited)
For the Year Ended March 31
(in dollars)
| 2007 | 2006 | |
|---|---|---|
|
|
||
| Transfer payments | ||
| First Nations | 814,192 | 549,916 |
| Non-profit organizations | 729,694 | 398,530 |
| Other levels of government | 195,500 | 245,500 |
| Industry | 70,000 | 13,500 |
| Other countries and international organizations | 5,000 | 5,000 |
| Individuals | 407 | 5,000 |
|
|
||
| Total transfer payments | 1,814,793 | 1,217,446 |
|
|
||
| Operating Expenses | ||
| Salaries and employee benefits | 14,763,557 | 13,794,906 |
| Professional and special services | 6,191,270 | 6,191,397 |
| Rentals | 2,418,018 | 1,901,967 |
| Travel and relocation | 2,332,312 | 1,680,726 |
| Information | 339,476 | 333,472 |
| Telecommunications | 287,906 | 199,302 |
| Utilities, materials and supplies | 188,832 | 171,864 |
| Furniture and equipment | 142,478 | 413,335 |
| Postage | 51,869 | 58,339 |
| Repairs and maintenance | 11,330 | 9,649 |
| Other | 6,258 | 3,659 |
| Amortization | 1,406 | 1,406 |
|
|
||
| Total operating expenses | 26,734,712 | 24,760,022 |
|
|
||
| Total Expenses | 28,549,505 | 25,977,468 |
|
|
||
| Revenues | ||
| Environmental assessment and training services | 7,230,419 | 5,343,257 |
| Miscellaneous revenues | 345 | 207 |
|
|
||
| Total Revenues | 7,230,764 | 5,343,464 |
|
|
||
| Net Cost of Operations | 21,318,741 | 20,634,004 |
|
|
||
The accompanying notes and schedules form an integral part of these statements.
Canadian Environmental Assessment Agency
Statement of Cash Flow (Unaudited)
For the Year Ended March 31
(in dollars)
| 2007 | 2006 | |
|---|---|---|
|
|
||
| Operating Activities | ||
| Net cost of operations | 21,318,741 | 20,634,004 |
| Non-cash items: | ||
| Services provided without charge (Note 10) | (3,179,502) | (3,106,219) |
| Amortization of tangible capital assets (Note 5) | (1,406) | (1,406) |
| Variations in Statement of Financial Position: | ||
| Increase (decrease) in accounts receivable and advances (Note 4) | 648,806 | 982,218 |
| Decrease (increase) in liabilities | (306,384) | (828,556) |
|
|
||
| Cash used by Operating Activities | 18,480,255 | 17,680,041 |
| Financing Activities | ||
|
|
||
| Net cash provided by Government of Canada | 18,480,255 | 17,680,041 |
|
|
||
The accompanying notes and schedules form an integral part of these statements.
Canadian Environmental Assessment Agency
Statement of Equity of Canada (Unaudited)
At March 31
(in dollars)
| 2007 | 2006 | |
|---|---|---|
|
|
||
| Equity of Canada, beginning of year | (4,434,820) | (4,587,076) |
| Net cost of operations | (21,318,741) | (20,634,004) |
| Current year appropriations used (Note 3) | 18,372,079 | 17,578,452 |
| Revenue not available for spending | (924,311) | (948,750) |
| Change in net position in the Consolidated Revenue Fund (Note 3) | 1,032,487 | 1,050,339 |
| Services received without charge (Note 10) | 3,179,502 | 3,106,219 |
|
|
||
| Equity of Canada, end of year | (4,093,804) | (4,434,820) |
|
|
||
The accompanying notes and schedules form an integral part of these statements.
Canadian Environmental Assessment Agency
Notes to the Financial Statements (Unaudited)
For the Year Ended March 31, 2007
1. Authority and Objectives
The Canadian Environmental Assessment Agency was established in 1995 under the Canadian Environmental Assessment Act. The Agency is mandated to provide high-quality federal environmental assessments that promote sustainable development. The Agency achieves this objective by:
(a) providing administrative and advisory support for environmental assessment review panels;
(b) promoting uniformity and harmonization of environmental assessment activities across Canada at all levels of government;
(c) providing opportunities for meaningful public participation in the federal environmental assessment process.
The Agency has one core program activity which is "effective and efficient environmental assessment" which serves as the basis for its mission. This core program activity is supported by Corporate Services which provides modern, timely and responsive services.
In addition, the Agency has obligations under the Canada-Wide Accord on Environmental Harmonization and bilateral agreements with the provincial governments as well as international agreements covering environmental assessments.
The Agency is listed in Schedule I.1 of the Financial Administration Act and reports to Parliament through the Minister of the Environment.
2. Summary of Significant Accounting Policies
The financial statements have been prepared in accordance with Treasury Board accounting policies which are consistent with Canadian generally accepted accounting principles for the public sector
(a) Parliamentary appropriations - The Canadian Environmental Assessment Agency is primarily financed by the Government of Canada through Parliamentary appropriations. Appropriations provided to the Agency do not parallel financial reporting according to generally accepted accounting principles since appropriations are primarily based on cash flow requirements. Consequently, items recognized in the statement of operations and the statement of financial position are not necessarily the same as those provided through appropriations from Parliament. Note 3 provides a high level reconciliation between the bases of reporting.
(b) Net Cash Provided by Government - The Agency operates within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by the Agency is deposited to the CRF and all cash disbursements made by the Agency are paid from the CRF. The net cash provided by Government is the difference between all cash receipts and all cash disbursements including transactions between the Agency and other federal government departments.
(c) Change in net position in the Consolidated Revenue Fund is the difference between the net cash provided by Government and appropriations used in a year, excluding the amount of non-respendable revenue recorded by the Agency. It results from timing differences between when a transaction affects appropriations and when it is processed through the CRF.
(d) Revenues:
- Revenues from regulatory fees are recognized in the accounts based on the services provided in the year.
- Revenues are accounted for in the period in which the underlying transaction or event occurred that gave rise to the revenues.
(e) Expenses - Expenses are recorded on an accrual basis:
- Contributions are recognized in the year in which the recipient has met the eligibility criteria or fulfilled the terms of a contractual transfer agreement.
- Vacation pay and compensatory leave are expensed as the benefits accrue to employees under their respective terms of employment.
- Services provided without charge by other government departments are recorded as operating expenses at their estimated cost.
(f) Employee future benefits
- Pension benefits: Eligible employees participate in the Public Service Pension Plan, a multiemployer plan administered by the Government of Canada. The Agency's contributions to the Plan are charged to expenses in the year incurred and represent the total Agency obligation to the Plan. Current legislation does not require the Agency to make contributions for any actuarial deficiencies of the Plan.
- Severance benefits: Employees are entitled to severance benefits under labour contracts or conditions of employment. These benefits are accrued as employees render the services necessary to earn them. The obligation relating to the benefits earned by employees is calculated using information derived from the results of the actuarially determined liability for employee severance benefits for the Government as a whole.
(g) Accounts receivables are stated at amounts expected to be ultimately realized; a provision is made for receivables where recovery is considered uncertain.
(h) Contingent liabilities - Contingent liabilities are potential liabilities which may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded. If the likelihood is not determinable or an amount cannot be reasonably estimated, the contingency is disclosed in the notes to the financial statements.
(i) Foreign currency transactions - Transactions involving foreign currencies are translated into Canadian dollar equivalents using rates of exchange in effect at the time of those transactions. Monetary assets and liabilities denominated in foreign currencies are translated into Canadian dollars using the rate of exchange in effect on March 31.
(j) Tangible capital assets - All tangible capital assets and leasehold improvements having an initial cost of $10,000 or more are recorded at their acquisition cost. Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the capital asset as follows:
| Asset class | Sub-asset class | Amortization period |
|---|---|---|
| Machinery and equipment | Furniture and fixtures | 10 years |
(k) Measurement uncertainty - The preparation of financial statements in accordance with Treasury Board accounting policies which are consistent with Canadian generally accepted accounting principles for the public sector requires management to make estimates and assumptions that could affect the reported amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these financial statements, management believes the estimates and assumptions to be reasonable. The most significant estimated items are employee severance benefits, allowances for employee vacation and compensatory benefits and the useful life of tangible capital assets. Actual results could significantly differ from those estimated. Management's estimates are reviewed periodically and, as adjustments become necessary, they are recorded in the financial statements in the year they become known.
3. Parliamentary Appropriations
The Agency receives most of its funding through annual Parliamentary appropriations. Items recognized in the statement of operations and the statement of financial position in one year may be funded through Parliamentary appropriations in prior, current or future years. Accordingly, the Agency has different net results of operations for the year on a government funding basis than on an accrual accounting basis. The differences are reconciled in the following tables:
a) Reconciliation of net cost of operations to current year appropriations used:
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Net cost of operations | 21,318,741 | 20,634,004 |
| Adjustments for items affecting net cost of operations but not affecting appropriations |
||
| Add (Less): | ||
| Services provided without charge (Note 10) | (3,179,502) | (3,106,219) |
| Amortization of tangible capital assets (Note 5) | (1,406) | (1,406) |
| Revenue not available for spending | 924,311 | 948,750 |
| Vacation pay and compensatory leave | (154,663) | (248,096) |
| Legal expenses charged by Justice Canada | (535,402) | (655,841) |
| Other | 0 | 7,260 |
|
|
||
| Current year appropriations used | 18,372,079 | 17,578,452 |
|
|
||
(b) Appropriations provided and used
| Appropriations Provided | ||
|---|---|---|
| 2007 | 2006 | |
|
|
||
| (in dollars) | ||
| Vote 20 - Program expenditures | 17,614,665 | 17,466,946 |
| Statutory amounts | 1,909,930 | 1,991,890 |
| Less: | ||
| Lapsed appropriations | (1,152,516) | (1,880,384) |
|
|
||
| Current year appropriations used | 18,372,079 | 17,578,452 |
|
|
||
(c) Reconciliation of net cash provided by Government to current year appropriations used
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Net cash provided by Government | 18,480,255 | 17,680,041 |
| Revenue not available for spending | 924,311 | 948,750 |
| Change in net position in the Consolidated Revenue Fund | ||
| Variation in accounts receivable and advances | (648,806) | (982,218) |
| Variation in accounts payable and accrued liabilities | (145,559) | 679,771 |
| Variation in employee severance benefits | 247,312 | 0 |
| Legal expenses charged by Justice Canada | (535,402) | (655,841) |
| Other adjustments | 49,968 | (92,051) |
|
|
||
| (1,032,487) | (1,050,339) | |
|
|
||
| Current year appropriations used | 18,372,079 | 17,578,452 |
|
|
||
4. Accounts Receivable and Advances
The following table presents details of accounts receivable and advances:
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Receivables from other Federal Government departments and agencies | 39,482 | 81,497 |
| Receivables from external parties | 1,643,187 | 952,366 |
| Employee advances | 2,800 | 2,800 |
|
|
||
| Total | 1,685,469 | 1,036,663 |
|
|
||
5. Tangible Capital Assets
(in dollars)
| Cost | Accumulated amortization | |||||||||
| Capital asset class | Opening balance | Acquisitions | Disposals and write-offs | Closing balance | Opening balance | Amortization | Disposals and write-offs | Closing balance | 2007 Net book value | 2006 Net book value |
|---|---|---|---|---|---|---|---|---|---|---|
| Machinery and equipment | 14,059 | - | - | 14,059 | 1,406 | 1,406 | - | 2,812 | 11,247 | 12,653 |
| Total | 14,059 | - | - | 14,059 | 1,406 | 1,406 | - | 2,812 | 11,247 | 12,653 |
Amortization estimated expense for the year ended March 31, 2007 is $1,406 (2006 - $1,406).
6. Accounts Payable and Accrued Liabilities
The following table presents details of accounts payable and accrued liabilities:
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Payables to other Federal Government departments and agencies | 341,249 | 352,181 |
| Payables to external parties | 2,003,023 | 2,259,583 |
| Accrued salaries | 494,326 | 372,393 |
|
|
||
| Total | 2,838,598 | 2,984,157 |
|
|
||
7. Employee Benefits
(a) Pension benefits: The Agency's employees participate in the Public Service Pension Plan, which is sponsored and administered by the Government of Canada. Pension benefits accrue up to a maximum period of 35 years at a rate of 2 percent per year of pensionable service, times the average of the best five consecutive years of earnings. The benefits are integrated with Canada/Québec Pension Plans benefits and they are indexed to inflation.
Both the employees and the Agency contribute to the cost of the Plan. The 2006-07 expense amounts to $1,407,619 ($1,473,276 in 2005-06), which represents approximately 2.2 times (2.6 in 2005-06) the contributions by employees.
The Agency's responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan's sponsor.
(b) Severance benefits: The Agency provides severance benefits to its employees based on eligibility, years of service and final salary. These severance benefits are not pre-funded. Benefits will be paid from future appropriations. Information about the severance benefits, measured as at March 31, is as follows:
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Accrued benefit obligation, beginning of year | 2,087,903 | 1,767,148 |
| Expense for the year | 364,768 | 399,576 |
| Benefits paid during the year | (117,456) | (78,821) |
|
|
||
| Accrued benefit obligation, end of year | 2,335,215 | 2,087,903 |
|
|
||
8. Contingent Liabilities - Claims and Litigation
In the normal course of its operations, the Agency becomes involved in various legal actions. Some of these potential liabilities may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded on the Government's consolidated financial statements. These estimated liabilities are not recognized on the Agency's financial statement as a liability until the amount of the liability is firmly established. At March 31, 2007, no actual liabilities exist and insufficient information is available to determine if any of the potential liabilities will become actual liabilities.
9. Contractual Obligations
The nature of the Agency's activities can result in some multi-year contracts and obligations whereby the Agency will be obligated to make future payments when the services/goods are received. Significant contractual obligations that can be reasonably estimated are summarized as follows:
| (in dollars) | 2008 | 2009 | 2010 | 2011 | 2012 | Total |
|---|---|---|---|---|---|---|
|
|
||||||
| Transfer payments | 514,220 | - | - | - | - | 514,220 |
| Professional services | 333,603 | 42,538 | 27,987 | 12,300 | - | 416,428 |
| Operating leases | 166,645 | 73,298 | 7,474 | 7,474 | 7,474 | 262,365 |
|
|
||||||
| Total | 1,014,468 | 115,836 | 35,461 | 19,774 | 7,474 | 1,193,013 |
|
|
||||||
10. Related Party Transactions
The Agency is related as a result of common ownership to all Government of Canada departments, agencies, and Crown corporations. The Agency enters into transactions with these entities in the normal course of business and on normal trade terms. Also, during the year, the Agency received services which were obtained without charge from other Government departments as presented below.
During the year the Agency received without charge from other departments, accommodation, legal fees and employer's contribution to the health and dental insurance plans. These services without charge have been recognized in the Agency's Statement of Operations as follows:
| 2007 | 2006 | |
|---|---|---|
|
|
||
| (in dollars) | ||
| Accommodation | 1,554,311 | 1,539,563 |
| Employer's contribution to the health and dental insurance plans | 824,373 | 802,296 |
| Legal services provided by the Department of Justice | 800,818 | 764,360 |
|
|
||
| Total | 3,179,502 | 3,106,219 |
|
|
||
The Agency also obtains selected financial services, materiel management, informatics and compensation and benefits services under a shared services agreement with Environment Canada. A portion of the cost of these services is paid annually and is reflected in the net cost of the program while a further portion is non-reimbursing and represents the commitment to shared services which was made at the time of the Agency's creation.
In addition, the Government has structured some of its administrative activities for efficiency and cost-effectiveness purposes so that one department performs these on behalf of all without charge. The costs of these services, which include payroll and cheque issuance services provided by Public Works and Government Services Canada and audit services provided by the Office of the Auditor General, are not included as an expense in the Agency's Statement of Operations.
Other Items of Interest
In this section:
- Agency Organization
- Statistical Summaries of Environmental Assessments
- Contacts for Further Information
Agency Organization
The reporting structure to the Minister of the Environment is shown in the figure below.
Actual Spending: $18,372K with 148 FTEs.
Statistical Summaries of Environmental Assessments
The table below provides a statistical summary of environmental assessments conducted by responsible and regulated authorities. It outlines the total number of projects that underwent an environmental assessment under the Canadian Environmental Assessment Act during the 2006-2007 reporting period.
| Fiscal Year 2006-2007 | EA Decisions Taken this Fiscal Year | Follow-up Program | ||||||
|---|---|---|---|---|---|---|---|---|
| EA Type | Ongoing on April 1, 2006 | Initiated this fiscal year | Not likely to cause significant adverse environmental effects | Likely to cause significant adverse environmental effects | Terminated | Ongoing follow-up program on April 1, 2006 | Follow-up program initiated this fiscal year | Follow-up program completed this fiscal year |
| Screening | 2,543 | 5,352 | 4,227 | 0 | 303 | 128 | 75 | 73 |
| Class Screening | n/a | n/a | 946 | n/a | n/a | n/a | n/a | n/a |
| Comprehensive Study | 29 | 12 | 4 | 0 | 3 | 13 | 1 | 0 |
| Review Panel | 11 | 4 | 1 | 0 | 0 | 0 | 0 | 0 |
| Panel Substitution | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 |
Note: In addition, within the 2006-2007 reporting period, a total of 1,950 screenings were completed by the Business Development Bank of Canada and Farm Credit Canada. Effective June 11, 2006 these Crown corporations were required to conduct environmental assessments of their projects subject to the requirements of the Canadian Environmental Assessment Act, but with a modified process with respect to reporting on the Registry Internet site.
Screenings
A screening is the most common type of environmental assessment. It is a systematic approach to identifying and documenting the environmental effects of a proposed project and determining the need to eliminate or minimize (mitigate) the adverse effects, to modify the project plan or to recommend further assessment through mediation or an assessment by a review panel.
Screenings are used to assess a wide range of projects. Screenings will vary in time, length and depth of analysis, depending on the circumstances of the proposed project, the existing environment and the likely environmental effects. Some screenings may require only a brief analysis of the available information and a brief report while others may need new background studies and will be more thorough and rigorous.
The responsible authority must ensure that the screening of the project is carried out and must prepare or ensure the preparation of a report which summarizes the findings of the screening.
For a summary of environmental assessments undertaken by each responsible or regulated authority consult the Canadian Environmental Assessment Agency's website at www.ceaa-acee.gc.ca.
Comprehensive Studies
Certain projects, by their very nature and size, may have the potential to cause significant adverse environmental effects. These types of projects have been identified and listed in the Comprehensive Study List Regulations.
As a result of revisions to the Canadian Environmental Assessment Act (the Act), proclaimed through Bill C-9 on October 30, 2003, the responsible authority must consult the public on its proposed approach and recommend to the Minister of the Environment whether the project should continue by means of a comprehensive study environmental assessment or be referred to a mediator or a review panel. At the end of the comprehensive study process, the Minister is required to issue a decision statement as to whether the project is likely to cause significant adverse environmental effects.
The Agency's role in the comprehensive study process is to provide advice to responsible authorities, project proponents and the public; ensure that the comprehensive study report complies with the requirements of the Act; manage the public comment period; and provide advice to the Minister of the Environment in support of the Minister's track decision on the environmental assessment and the determination of potential adverse environmental effects. Public participation is facilitated by the Participant Funding Program, which provides financial assistance to eligible individuals and public organizations with legitimate interests in the project.
The Minister concluded that the comprehensive studies described below were not likely to cause significant adverse environmental effects and referred them back to the responsible authority:
- Deltaport Third Berth Project (www.ceaa.gc.ca/050/viewer_e.cfm?cear_id=3734)
- Kitimat Liquefied Natural Gas Terminal (www.ceaa.gc.ca/050/viewer_e.cfm?cear_id=10430)
- Project to Implement a Processing Plant for Spent Potlining (www.ceaa.gc.ca/050/viewer_e.cfm?cear_id=9911)
- Wuskwatim Hydro Generating Station (www.ceaa.gc.ca/010/0003/0016/index_e.htm)
Review Panels
Distinguished by extensive public participation, review panels and joint review panels with other jurisdictions are the most visible and public type of environmental assessment. Review panels are independent from government, with members appointed by the Minister of the Environment.
The review panel conducts its assessment in an open and public manner, with individuals and groups presenting information and views through public comment periods and public hearings. Public participation is facilitated by the Participant Funding Program, which provides financial assistance to eligible individuals and public organizations with legitimate interests in the project.
At the completion of the review process, the review panel's report, including conclusions and recommendations, is submitted to the Minister of the Environment. The recommendations are advisory, and the responsible authority, with the approval of the federal Cabinet considers and responds publicly to all recommendations.
The Agency's primary roles in a review panel process are to provide advice and coordination to federal expert authorities and responsible authorities; maintain the public registry; manage the review process and provide technical and administrative support to the review panel; administer the Participant Funding Program; and design and implement a public information program with the review panel.
During this reporting period, the Agency provided support and advice to the following panel reviews. To locate these environmental assessments on the Canadian Environmental Assessment Registry website:
- Go to: http://www.ceaa.gc.ca/050/index_e.cfm
- Select All in the Status drop-down menu
- Type the Reference Number in the Keyword(s) / Reference Number box
- Press Enter
| Projects Being Assessed | Reference Number |
|---|---|
| Cacouna Energy | 04-07-7440 |
| Construction of 4 Hydroelectric Dams, Romaine River | 04-05-2613 |
| Deep Geologic Repository for Low and Intermediate Level Radioactive Wastes | 06-05-17520 |
| Emera Brunswick Pipeline Company Ltd. Brunswick Pipeline | 06-08-17667 |
| EnCana Shallow Gas Infill Development Project in the Suffield National Wildlife Area | 05-07-15620 |
| Kearl Oil Sands - Mine Development | 05-07-16237 |
| Kemess North Gold-Copper Mine | 04-07-3394 |
| Lower Churchill Hydroelectric Generation | 07-05-26178 |
| Muskeg River Mine Expansion (MRME) - Albian Oil Sand Project | 05-07-16259 |
Two other environmental assessments are available only on the CEAA web site:
- Eastmain-1-A and Rupert Diversion: www.ceaa-acee.gc.ca/010/0001/0001/0017/index_e.htm
- Mackenzie Gas Pipeline: www.ceaa-acee.gc.ca/010/0001/0001/0020/index_e.htm
Contacts for Further Information
Director of Communications
Canadian Environmental Assessment Agency
160 Elgin Street, 22nd Floor
Ottawa, ON K1A 0H3
Tel: 613-957-0712
Fax: 613-957-0946
E-mail: info@ceaa-acee.gc.ca
The Canadian Environmental Assessment Agency's Web Site
Treasury Board Secretariat's Web Site
Footnote:
1Accommodation provided by Public Works and Government Services Canada. Contributions covering employer's share of employees' insurance premiums and expenditures paid by the Treasury Board Secretariat. Salary and associated expenditures of legal services provided by Justice Canada.
| External Fee | Service Standard | Performance Result | Stakeholder Consultation |
|---|---|---|---|
| Fees charged for the processing of access requests filed under the Access to Information Act (ATIP) | Service standards are in the Access to Information Act, section 7: http://laws.justice.gc.ca/en/a-1/218072.html | Statutory deadlines were met 83% of the time | The service standard is established by the Access to Information Act and the Access to Information Regulation. Consultations with stakeholders were undertaken for amendments made in 1986 and 1992. |
| Environmental Assessment Fees | Environmental Assessment Review Panel Service Charges Order | Individual service level agreements are signed between the Agency and project proponents in support of the environmental assessments conducted by review panels in accordance with the Canadian Environmental Assessment Act. | Prior to the development of the Order, public comments were solicited at stakeholder meetings held across Canada, and consultations were held over the course of several meetings with the Minister's multi stakeholder Regulatory Advisory Committee. All the comments received were considered and, where appropriate, incorporated into the design of the Order. |