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2007-08
Departmental Performance Report

Canadian Heritage

The original version was signed by
The Honourable James Moore, P.C., M.P.
Minister of Canadian Heritage and Official Languages

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Table of Contents

Section 1: Departmental Overview

• Minister's Message
• Management Representation Statement
• Program Activity Architecture
• Summary Information
  • Department's Reason for Existence
  • Financial Resources
  • Human Resources
  • List of Departmental Priorities and Performance Status
  • Program Activities by Strategic Outcome
  • Context and Operating Environment

Section 2: Analysis of Program Activities by Strategic Outcome

• Strategic Outcome 1: Canadians express and share their diverse cultural experiences with each other and with the world
  • Program Activity 1: Creation of Canadian content and performance excellence
  • Program Activity 2: Sustainability of cultural expression and participation
  • Program Activity 3: Preservation of Canada's heritage
  • Program Activity 4: Access and participation in Canada's cultural life
• Strategic Outcome 2: Canadians live in an inclusive society built on inter-cultural understanding and citizen participation
  • Program Activity 5: Promotion of inter-cultural understanding
  • Program Activity 6: Community development and capacity building
  • Program Activity 7: Participation in community and civic life

Section 3: Supplementary Information

• Departmental Link to Government of Canada Outcome Areas
• Financial and Non–Financial Tables
  • Table 1: Comparison of Planned to Actual Spending ($millions) (including FTEs)
  • Table 2: Voted and Statutory Items
  • Table 3: Financial Statements of the Department
  • Table 4: Source of Respendable and Non-Respendable Revenue
  • Table 5: User Fees and External Fees
  • Table 6: Details on Transfer Payments Programs
  • Table 7: Fondations (Conditional Grants)
  • Table 8: Horizontal Initiatives
  • Table 9: Sustainable Development Strategy
  • Table 10: Response to Parliamentary Committees and External Audits
  • Table 11: Audits
  • Table 12: Evaluations

Section 4: Other Items of Interest

• Organizational Information
  • Mandate, Roles and Responsibilities
  • Organizational Structure
  • Accountability Structure
• Governance of the Department of Canadian Heritage
• Departmental Support to Portfolio Management
• Role of Regions
• Internal Services

Conclusion

• Lessons learned

Appendices

• Appendix A: Statutes Administered, in Whole or in Part, By the Canadian Heritage Portfolio
• Appendix B: Canadian Heritage Portfolio Overview
• Appendix C: Departmental Points of Services Across Canada
• Appendix D: Contacts for Further Information

Section 1 : Departmental Overview

Ministers' Message

I am pleased to present the Department of Canadian Heritage's Departmental PerformanceReportfor the fiscal year 2007–2008.

The mission of Canadian Heritage is to promote the creation of Canadian cultural content in order to provide Canadians with access to cultural experiences, foster their participation in civic life, and strengthen their connection with one another. By assisting people and groups devoted to culture, we help ensure that all Canadians have access to high‑quality Canadian works and enriching cultural experiences. We support the teaching of Canada's two official languages and the promotion of our linguistic duality. We encourage the preservation of Aboriginal languages and cultures and the celebration of pluralism in Canada and the world. We seek to connect Canadians to one another and their communities. In addition, we encourage people of all ages to practise sport, and we provide Canadian athletes the means to pursue their quest for excellence.

The Department of Canadian Heritage was responsible for multiculturalism for the 2007-2008 fiscal year; therefore, this report includes multiculturalism activities related to the promotion of intercultural understanding and participation in community and civic life. I am very proud of the results achieved by a very dedicated staff and committed partners. At the same time, I would like to note that as of October 30, 2008, this responsibility became part of the mandate of the Minister of Citizenship, Immigration and Multiculturalism.

One of the highlights of the last year was undoubtedly the 400th anniversary of the founding of Québec City. It was in 1608, when Québec City was founded, that we truly began our journey to become what we are today. The city's foundation also marks the foundation of Canada. We provided $40 million toward the festivities and supported many activities that gave Canadians the opportunity to take part in celebrations in their region.

As well, legislation was passed to establish a new national museum, the first one in more than 40 years and the first to be located outside the National Capital Region. The Canadian Museum for Human Rights will help promote respect for others and encourage reflection and dialogue.

In the area of culture, we created the Building Communities Through Arts and Heritage program. Under this program, a yearly amount of $30 million is being provided for community arts and heritage activities. In addition, through the Arts Presentation Canada program, we have supported professional arts festivals that foster community involvement.

We met our commitment to propose to Parliament updates to the Copyright Act that would adapt the legislation to advances in technology and bring it into line with current international standards. We proposed amendments to the Act to balance the interests of Canadians who use digital technology and those who create protected work.

We also continued our efforts to promote the UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions. Last December, we hosted the first session of the Intergovernmental Committee for the Protection and Promotion of the Diversity of Cultural Expressions. Moreover, we contribute to UNESCO's International Fund for Cultural Diversity, which assists with implementation of the Convention.

An enormous amount of work has been done in the area of official languages and linguistic duality. Following consultations held across Canada, we carried out the preparatory work for the Roadmap for Canada's Linguistic Duality 2008–2013: Acting for the Future. Our efforts also resulted in the creation of the Program to Support Linguistic Rights, which stresses better understanding of language rights and focuses on mediation and consensus-based justice.

Last February, the countdown began—two years to the opening of the 2010 Olympic and Paralympic Winter Games in Vancouver and Whistler. The Government of Canada is working tirelessly to make these truly Canada's Games. We are also supporting our summer‑sport athletes and are very proud of all of our athletes for their achievements and success at the 2008 Olympic and Paralympic Summer Games in Beijing. They competed against the best in the world and represented Canada with distinction. Through the Road to Excellence initiative, enhanced summer-sport funding is being provided to targeted athletes and sports having the greatest potential to achieve podium results and add to Canada's future Summer Olympic and Paralympic success.

These achievements have been made possible by the Department's employees, by Canadian Heritage Portfolio organizations, and by all those who are committed to supporting our heritage, our two official languages, our diversity, and the vitality of communities throughout our country. As Minister of Canadian Heritage and Official Languages, I look forward to ensuring that this remarkable work continues in the coming year.

1.2 Management Representation Statement

I submit for tabling in Parliament, the 2007–2008 Departmental Performance Report for the Department of Canadian Heritage. This document has been prepared based on the reporting principles contained in the Guide for the Preparation of Part III of the 2007–2008 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 approved Strategic Outcome(s) 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; and, it reports finances based on approved numbers from the Estimates and the Public Accounts of Canada.

Original Signed by Judith A. LaRocque Deputy Minister Department of Canadian Heritage

September 17, 2008 Date

1.3. Program Activity Architecture

The Program Activity Architecture (PAA) is a structured inventory of the Department of Canadian Heritage's programs. These programs are arranged hierarchically to show the logical relationship between each program activity, its sub- and sub-sub-program activity levels and the Department's Strategic Outcomes to which they contribute. The PAA provides an overview of how the Department's programs and activities are linked and how their expected results help fulfill the Department's mandate and achieve its Strategic Outcomes. The PAA provides a skeleton structure to which financial and non-financial performance information are linked.

The Department of Canadian Heritage's PAA (that was effective from April 1, 2007 to March 31, 2008) was anchored by two Strategic Outcomes:

• Canadians express and share their diverse cultural experiences with each other and the world.
  
  
• Canadians live in an inclusive society built on intercultural understanding and citizen participation.

These Strategic Outcomes and related Program Activities are aligned with Government of Canada priorities as expressed in a number of key Government of Canada documents, such as the Speech from the Throne, the Budget, and Canada's Performance Report, an annual report to Parliament prepared by Treasury Board Secretariat. Out of the 13 Government of Canada's Strategic Outcomes identified in Canada's Performance Report 2006–2007, two are specifically related to Canadian Heritage:

• A vibrant Canadian culture and heritage, and
  
  
• A diverse society that promotes linguistic duality and social inclusion.

A table in Section III illustrates how the Department's two Strategic Outcomes and related Program Activities align with these government-wide outcome areas over and above the ongoing delivery of its various programs and services.

Canadian Heritage's Strategic Outcomes were supported by seven Program Activities:

1. Creation of Canadian content and performance excellence.
2. Sustainability of cultural expression and participation.
3. Preservation of Canada's heritage.
4. Access and participation to Canada's cultural life.
5. Promotion of inter-cultural understanding.
6. Community development and capacity-building.
7. Participation in community and civic life.

In addition, Program Activity 8 describes Internal Services.

The following diagram depicts the Program Activity Architecture effective in 2007–2008.

1.4 Summary Information

1.4.1 Department's Reason for Existence

The Department of Canadian Heritage is responsible for formulating policies and delivering programs that help all Canadians to participate in their shared cultural and civic life. It was created in 1993 from components of former departments responsible for communications, national health and welfare, multiculturalism and citizenship, and the environment, as well as the Secretary of State.
The Department's legislative mandate is set out in the Department of Canadian Heritage Act, which offers an extensive but not exhaustive list of responsibilities for the Minister under the heading of "Canadian identity and values, cultural development, and heritage." The Department oversees the administration of a large set of governing legislation, notably: the Broadcasting Act, the Copyright Act (shared with Industry Canada), the Canadian Multiculturalism Act, the Official Languages Act (Part VII), the Museums Act, the Cultural Property Export and Import Act, the Status of the Artist Act, and the Physical Activity and Sport Act (shared with Health Canada). The Department of Canadian Heritage is specifically responsible for formulating and implementing policy related to multiculturalism, official languages, state ceremonial and protocol, Canadian symbols, and the formulating cultural policy related to copyright, foreign investment, and broadcasting.

The Department's main activities involve funding community and other third-party organizations to promote the benefits of culture, identity, and sport for Canadians. In pursuing its mission "toward a more cohesive and creative Canada," the Department works within a framework headed by two strategic outcomes:

• Strategic Outcome 1: Canadians express and share their diverse cultural experiences with each other and the world. The Department helps to ensure that Canadians can express their creativity, showcase their talents, and share their diverse experiences through the arts, heritage institutions, cultural industries, and sport activities, both professional and amateur. To achieve this outcome, the Department enacts policies and programs that seek to create an environment in which Canada's diverse voices and distinctive accent on democratic values can be strengthened and shared, both at home and abroad.
  
  
• Strategic Outcome 2: Canadians live in an inclusive society built on intercultural understanding and citizen participation. The Department seeks to respond both to certain challenges to cohesion and to the many creative opportunities that come with an increasingly diverse social fabric. To achieve this outcome, the Department provides programming in support of socio-economic inclusion for disadvantaged groups such as off-reserve Aboriginal people and official-language minority communities, but also exchange and dialogue on shared citizenship values among Canadians of all origins and backgrounds.

The Department of Canadian Heritage's two strategic outcomes are linked to the Government of Canada's overall strategic framework in the spending area "Social Affairs." (For more information, see Canada's Performance Report at http://www.tbs-sct.gc.ca/reports-rapports/cp-rc/index-eng.asp).

• Strategic Outcome 1 is linked to a sub-area of Government spending described as "A vibrant Canadian culture and heritage." Its performance indicator is participation in cultural and heritage activities.
  
  
• Strategic Outcome 2 is linked to the sub-area "Diverse society that promotes linguistic duality and social inclusion." Its four performance indicators are: attitudes toward diversity, attitudes toward linguistic duality, volunteerism, and political participation.

More broadly, the Department of Canadian Heritage makes a strong contribution to Government of Canada social, economic, and international policy through its activities in support of dynamic cultural industries, world-class cultural institutions, and healthy communities. The Department's outcomes do much to create value and quality of life for Canadians, while attracting talent, investment, and tourism to Canada from around the world.

1.4.2 Financial Resources ($ millions)

2007–08
Planned Spending	Total Authorities	Actual Spending
1,382.0	1,457.6	1,391.5

1.4.3 Human Resources (FTEs)

2007–08
Planned	Total Authorities	Actual
2 299	2 406	2 384

1.4.4 List of Departmental Priorities and Performance Status

Name	Type	Performance Status1
1. Audio-Visual Policy Framework	Ongoing	Mostly met
2. Focused Arts and Cultural Policies	Previously committed	Mostly met
3. Canada's Heritage	Previously committed	Met
4. An Inclusive and Participatory Society	Previously committed	Mostly met
5. Canada's Cultural Interests Abroad	Previously committed	Met
6. Aboriginal Languages and Cultures	Previously committed	Mostly met
7. Sport Development	Previously committed	Mostly met
8. 2010 Olympic and Paralympic Winter Games	Previously committed	Met

Priority 1: Audio-Visual Policy Framework

For the Audio-Visual Policy Framework, the primary objective continues to be making high-quality Canadian content available on radio, on television, and online. Activities in 2007–2008 focused on strengthening the Canadian audio-visual framework by improving the management and efficiency of federal institutions and policies.

The Department reviewed the December 2006 report of the Canadian Radio-television and Telecommunications Commission on the impact of evolving technologies on the broadcasting industry and consumer behaviour. The Minister articulated new broadcasting policy priorities in November 2007. Additional information on these priorities is included under the relevant key initiative in Section II.

The Department is continuing to work with Telefilm Canada and industry stakeholders to review and adjust the Canadian Feature Film Policy. To that end, an action plan was developed to establish an effective means of tracking and analyzing audience data.
Work continues on policy development related to international audio-visual co‑productions and is expected to be completed in 2008–2009.

Following analysis on how to centralize the certification of Canadian content, it was concluded that centralizing all certification in one organization should not proceed for strategic and operational reasons. Further, the review and modernization of the legislation for Telefilm Canada and the National Film Board was postponed.

Priority 2: Focused Arts and Cultural Policies

As technological advances open the way for innovation and renewed creativity, the Department continued to address the opportunities and the challenges amidst this rapid change. The Department carried on refining its arts and cultural policies, funding programs, and legislation to foster an environment in which Canadians, as creators and consumers, can enjoy the ongoing creation of and access to Canadian cultural content.

As set out in the Speech from the Throne (October 16, 2007) copyright reform continues to be a government priority. A bill amending the Copyright Act was drafted in 2007–2008 and introduced in June 2008, to bring the Act in line with advances in technology and with current international standards.

Public consultations were undertaken to inform the Department's review of its Canadian periodical support framework.

Priority 3: Canada's Heritage

Canadians expect that their heritage will be safeguarded for future generations and value the role that heritage institutions play in preserving and presenting Canada's history and works of art. The Department of Canadian Heritage also plays an important role in helping to support celebrations and commemorations that mark key events in Canada's history.

In 2007–2008, a new vision for national museums was inaugurated that is anchored in two key principles: that national institutions can be located anywhere in Canada and that their activities can be enhanced through public-private collaboration. In Budget 2008, the Government reinvested in the four existing national museums to address operating and infrastructure pressures. In March 2008, Royal Assent was given to legislation amending the Museums Act to establish the Canadian Museum for Human Rights, which will be the first national museum to be located outside the National Capital Region and which will benefit from significant contributions from the private sector and other orders of government. In keeping with this new vision, the Government also launched a Request for Proposals to establish Library and Archives Canada's Portrait Gallery in one of nine cities across the country.

The Government also placed new emphasis on small and mid-sized museums with the announcement in Budget 2007 of $5 million in new annual investment in summer internships for young people. The Department was able to make these funds available to museums in time to benefit their summer 2008 activities. Other grants and contributions programs in the Department for which museums of all sizes are eligible continued to enable institutions to carry out projects such as developing and circulating travelling exhibits, and enhancing their excellence in caring for collections. The Government also supports museums through measures other than direct funding, such as special tax incentives designed to encourage donations and sales of outstanding heritage to public institutions and the indemnification of major travelling exhibitions.

The two national centers of excellence located in the Department, the Canadian Conservation Institute (CCI) and the Canadian Heritage Information Network (CHIN), provided leadership, expert services and training to museums and heritage volunteers and professionals across the country.

CHIN uses advanced technologies to support both professional learning in digital content and public access to the rich and diverse online content created by its 1 300 member museums across the country. The CCI laboratories returned to full function in 2007–2008 and CCI implemented a new comprehensive service framework. Its highly successful Symposium 2007: Preserving Aboriginal Heritage drew almost 400 participants from around the world. It became the basis for a report on best practices which will be published in 2008–2009.

The Department is reviewing the Cultural Property Export and Import Act to identify areas in which it may need to be modernized. Consultations with stakeholders took place in 2007–2008.

The Department also coordinated the federal contribution to the celebration of the 400^th Anniversary of Québec City. Celebrations and commemorations were held in Québec and across the country.

Priority 4: An Inclusive and Participatory Society

Canada's ability to leverage the benefits of diversity depends on its success at ensuring that all citizens have the opportunity to participate economically, socially, politically and culturally in Canada. The Department aims to identify the barriers to full participation in Canadian society and work towards addressing them through targeted interventions.

With respect to second-language learning and minority-language education, the Department continues to implement the agreements signed with the Council of Ministers of Education, Canada, and with the provinces and territories. The Department also continued to develop new tools to support federal institutions in implementing the obligations under Part VII of the Official Languages Act.

The Department continues to encourage greater participation by cultural communities through targeted and effective partnerships with federal institutions. New priorities for the Multiculturalism Program were defined that focus on promoting economic, social and cultural integration, mentorship, leadership and civic education; and inter-cultural understanding and Canadian values. A performance-reporting framework was established to monitor the implementation of Canada's Action Plan against Racism.

The details and preparation for the implementation of the Community Historical Recognition Program and the National Historical Recognition Program were completed, and both programs were launched in May 2008.

The Department of Canadian Heritage continues to collaborate with the National Association of Friendship Centres (NAFC) to address the challenges facing the network of Friendship Centres and to ensure their long-term sustainability. The NAFC has begun implementing a four-point plan that focuses on securing sustainable core funding, increased private-sector partnerships and investments, innovative approaches to working with government, and more effective partnerships with national Aboriginal organizations.

Priority 5: Canada's Cultural Interests Abroad

The Department of Canadian Heritage is committed to working in close collaboration with Foreign Affairs and International Trade Canada to lead initiatives that will support its key international objectives, showcase Canadian excellence abroad, to expand foreign opportunities for Canadian cultural trade and expertise, ensure effective representation of Canadian cultural interests and policy in international trade negotiations, promote the importance of the diversity of cultural expressions, and foster democracy and pluralism by sharing Canadian experiences and best practices in the areas of culture, sport, identity, and governance.

Changes were made to the Trade Routes Contributions Program (TRCP) to speed up the application processing and reduce client response times. Clients are now better able to plan their activities and arrange project funding. Through the TRCP market development component, the Department also provided support that enabled Canadian arts and cultural businesses to pursue business opportunities in international markets.

Canada continues to play a leadership role in promoting the UNESCO Convention on the Protection and the Promotion of the Diversity of Cultural Expressions. Canada was elected to the Intergovernmental Committee established by the Convention and hosted the first session of the Committee in Ottawa in December 2007.

The Department is preparing for Canada's participation in Expo 2010 in Shanghai. A collaborative agreement was secured with the Cirque du Soleil for the creative design and public presentation aspects of the Canada Pavilion.

Priority 6: Aboriginal Languages and Cultures

The Aboriginal Languages and Cultures priority seeks to develop long-term strategies for preserving and promoting Aboriginal languages and cultures. The development of strategic language plans by national First Nation, Inuit and Métis organizations was initiated. Once completed, these plans will inform federal strategies and options in support of Aboriginal languages.

Priority 7: Sport Development

The Department seeks to enhance opportunities for Canadians to participate and excel in sport through program support to the national sport community and through collaborative efforts with the provinces and territories. Staging the Canada Games and hosting international sport events in Canada also help provide such opportunities.

A new Hosting Policy came into effect on January 1, 2008, with additional funds. By 2011–2012, these funds will reach $13.9 million annually in available contributions for hosting international sport events in Canada.

Priority 8: 2010 Olympic and Paralympic Winter Games

In 2010, Canada will welcome the world to Vancouver and Whistler, British Columbia, for the Olympic and Paralympic Winter Games. Working with a broad spectrum of partners and with other government departments, the Department of Canadian Heritage contributes to the success of the 2010 Winter Games, by enhancing Canada's profile, advancing federal policies, and delivering essential federal services, so that these games will bring credit to Canada internationally and make Canadians proud.

The 2010 Federal Secretariat continued to provide leadership and coordination support to federal departments and partners to support and contribute to these objectives.

1.4.5 Program Activities by Strategic Outcome

Program Activities	Expected Results	Performance Status	2007–2008 ($ millions)		Contributes to the Following Priorities
			Planned Spending	Actual Spending
Strategic Outcome 1: Canadians express and share their diverse cultural experiences with each other and the world.
1. Creation of Canadian content and performance excellence.	Canadian content reflective of Canada's diverse society is created and produced for domestic and international markets. Canadians excel domestically and internationally in culture and sport.	Mostly met	342.6	342.8	Priorities 1 and  7
2. Sustainability of cultural expression and participation.	Vibrant cultural and sport sectors in which Canadian cultural expression and participation can thrive and remain relevant at home and abroad.	Mostly met	217.2	245.5	Priorities 1, 2, 3, 5, 8
3. Preservation of Canada's heritage.	Canada's diverse heritage is preserved.	Mostly met	43.0	43.8	Priorities 3 and 6
4. Access and participation in Canada's cultural life.	Canadians have access to and participate in a diverse range of Canadian cultural experiences.	Mostly met	185.4	167.3	Priorities 2 and 3
Strategic Outcome 2: Canadians live in an inclusive society built on intercultural understanding and citizen participation
5. Promotion of inter-cultural understanding.	By promoting inter-cultural understanding, the Department fosters a society where Canadians interact across diverse communities and value the diversity and linguistic duality of Canadian society.	Mostly met	121.6	136.7	Priority 4
6. Community development and capacity-building.	The cultural vitality of Canada's official-languages minority communities and Aboriginal communities is advanced.	Met	250.1	247.9	Priority 4
7. Participation in community and civic life.	Canadians become more engaged in Canada's communities and civic life.	Mostly met	222.1	207.5	Priorities  3, 4, 5, 7, 8

The following table demonstrates how each of the eight priorities link to the Department's key initiatives as described in Section II.

Departmental Priorities, Program Activities and Key Initiatives at a Glance
Priority	Program Activity	Key Initiatives
1. Audio-Visual Policy Framework	Creation of Canadian Content and Performance Excellence Sustainability of Cultural Expression and Participation	1, 4, 5, 6, 13
2. Focused Arts and Cultural Policies	Sustainability of Cultural Expression and Participation Access and Participation in Canada's Cultural Life	11, 18, 19
3. Canada's Heritage	Sustainability of Cultural Expression and Participation Preservation of Canada's Heritage Access and Participation in Canada's Cultural Life Participation in Community and Civic Life	7, 8, 14, 15, 16, 20, 27
4. An Inclusive and Participatory Society	Promotion of Inter-cultural Understanding Community Development and Capacity-Building Participation in Community and Civic Life	21, 22, 23, 24, 25, 26
5. Canada's Cultural Interests Abroad	Sustainability of Cultural Expression and Participation Participation in Community and Civic Life	10, 12, 28
6. Aboriginal Languages and Cultures	Preservation of Canada's Heritage	17
7. Sport Development	Creation of Canadian Content and Performance Excellence Participation in Community and Civic Life	2, 3
8. 2010 Games	Sustainability of Cultural Expression and Participation Participation in Community and Civic Life	29 (or 9)

1.4.6 Context and Operating Environment

Context

Canadian Heritage finds itself at the confluence of several important phenomena that include rapidly changing demographics, transformative digital technologies, and unprecedented opportunities to showcase Canada internationally.

Canadians, whether newcomers or born in Canada, contribute to the diverse linguistic, cultural and religious fabric of our society. Although our diversity can challenge Canadian society with the risk of polarization and fragmentation between and among communities, it holds tremendous potential for boosting Canada's economic competitiveness, cultural wealth, and international image.

The facts tell the story. Demographically, Canadians continue to age, diversify, and urbanize. In 2006, approximately 80% of Canadians lived in urban areas². A record 13.7% of Canadians were aged 65 or over, and a record low of 17.7% were under 15 years of age.³

Immigration is regarded as an important component for maintaining a healthy population growth and meeting anticipated labour shortages. Newcomers accounted for about two-thirds of the population growth between 2001 and 2006.⁴ At these rates, newcomers could account for virtually all net labour force growth by 2011.⁵

Canada 's Aboriginal population is growing faster than the general population, increasing by 20.1% from 2001 to 2006, comprising 3.8% of the Canadian population. Urban Aboriginal communities are growing at an advanced pace and currently 54% of Aboriginal Canadians live in urban areas.⁶

Canada is also becoming much more multilingual, with over 200 languages spoken and 20% of Canadians identifying their mother tongue as being other than English or French. It remains that more than 98% of Canadians can speak either English or French, or both.⁷

Today's pluralistic Canada presents new citizenship and identity challenges. While many members of Canada's diverse communities fully participate in all aspects of Canadian life, others encounter barriers to their full social, economic and cultural participation. Indeed, Canadians today are asking whether living side-by-side is enough and if there should not be greater emphasis on living together and affirming what we share in common as Canadians.

One way in which we share in our diversity is through our consumption of cultural content and participation in cultural activities. Over the last 10 years Canadian household spending on culture has grown from $13.6 billion to an estimated $18.9 billion.⁸

Average household spending on culture has increased 20% from $1,243 to $1,495 over this same period. In 2007, this expenditure was widely distributed across numerous cultural goods and services including broadcasting (32%), written media (26%), film and music (21%), and visual and performing arts (12%).⁹

Canadian attendance of at least one type of arts or cultural event or activity has also increased from 78% in 2001 to 86% in 2007. Furthermore in 2007, 69% of Canadians attended a live performance (compared to 65% in 2001) while 53% of Canadians attended a festival. In light of growing attendance, it is not surprising that 94% of Canadians agree that arts and culture make a community a better place to live.¹⁰ The Department of Canadian Heritage programs supporting live performing arts and festivals further access to cultural activities that enrich the lives of Canadians.

Rapid technological changes are transforming the dissemination of cultural products while they provide opportunities for Canadians to consume and participate in culture online. Today, three in four adult Canadians are online. This percentage has increased from 72% in 2004¹¹ to 76% in 2007¹². The average amount of time spent online has increased from 13 hours per week in 2004 to 17 hours per week in 2007.¹³

Canadian youth are leading the consumption of online culture and communications products. The variety of applications that youth use to support their communication, research and entertainment has grown significantly. For instance, Internet use is almost universal among Canadian youth, with 96% of 12 to 17 year-olds online.¹⁴

Overall, the cultural sector plays an important multi-faceted role in creating cultural content, promoting social cohesion and contributing to the Canadian economy. The cultural sector and its related industries continue to play a significant role in our economy contributing over $46 billion to the Canadian economy in 2007 (roughly 3.8 percent of total GDP) and employing more than 1.1 million Canadians.

Canada's athletes, artists and creators are international ambassadors who showcase Canada to the world. Today's globally integrated economy is providing an increasing number of opportunities for greater international engagement, allowing the Government to achieve domestic objectives while promoting the interests of Canada abroad.

Hosting international sport events is one such opportunity. Hosting these events provides Canadian athletes access to upgraded facilities, modern equipment and a higher level of competition. Also, hosting events such as the 2010 Winter Games in Vancouver and Whistler yields significant, economic, social, sport and cultural benefits to Canadians.

Internal Context

The Department of Canadian Heritage encourages access to and participation in our country's cultural and civic life. The Department delivers over 60 programs. These programs support Canadians in sharing their cultural experiences with each other and with the world, and in living in an inclusive society based on intercultural understanding and citizen participation.

The Department provides financial assistance through grants and contributions, directly or indirectly, to individuals, institutions, community organizations, not-for-profit organizations, and other orders of government. The Department has established and closely adheres to a Grants and Contributions Management Policy, in accordance with Treasury Board policies, founded on principles of sound justification, reasonable analysis, and accountability. Programs are managed in accordance with a legislative and strategic framework that encompasses the Financial Administration Act, the Official Languages Act, and Treasury Board Secretariat policies such as the Policy on Transfer Payments, the Policy on Payables at Year-End, and the Official Languages Policy Framework.

The Minister of Canadian Heritage and Status of Women and Minister for La Francophonie is accountable to Parliament for the department and 19 other organizations (see Appendix B) that make up the Canadian Heritage Portfolio.

The portfolio organizations involve these policy areas: museums and heritage, audio-visual, arts, human rights, and human resources. The Minister is accountable to Parliament for the overall policies and priorities that guide the Portfolio and for the resources allocated to all organizations. In this context, the Minister is responsible for providing general direction to achieve good governance, coherent coordination of policy, legislation, and the Government's programs. The relationship between the Minister and the organizations is generally "arm's length", relative to their day-to-day operations and programming decisions, albeit this relationship differs depending on the nature of the organization.

The Department and its Portfolio continue to operate in a context of enhanced accountability, with an emphasis on value-for-money that is consistent with significant new Government measures to ensure financial responsibility and public sector integrity.

To this end, the Department of Canadian Heritage has taken an integrated approach to risk management across the organization by working to identify, detail and mitigate key risk areas identified within its Corporate Risk Profile. To address corporate risks, the Department made the strengthening of management practices one of the five priorities outlined in its 2008–2009 Report on Plans and Priorities.

In 2007–2008, the Department did significant work to review its current activities and renew its Program Activity Architecture (PAA). The new PAA for 2009–2010 is designed to address the need for financial and non-financial information in compliance with the new legislation, with the Management, Resources, and Results Structure (MRRS) Policy, and with results-based management. It will also provide the Department with improved performance-based data and information in support of program evaluations, especially in relation to programs' success, cost-effectiveness, and value for money.

To support its new PAA, the Department also began to develop its Performance Management Framework (PMF) for 2009–2010. The PMF is a management tool that provides an objective basis for collecting information supporting the intended results. The PMF links program results to the departmental Strategic Outcomes outlined in the PAA. Performance measures are developed for each level of the PAA.

To support implementation of the PAA/PMF, the Department's results-based management agenda required the development of a robust integrated planning and reporting infrastructure, including committees, processes, systems, tools, training and communication. To respond effectively to the pending information requirements of the PAA/PMF, the Department proactively began to develop its Integrated Business Planning Strategy (IBP). The IBP is a process by which the Department will continue to synchronize its business activities, resources and support functions for effective and efficient delivery of expected results.

Government Announcements

A number of announcements in Budget 2008 have impacted the Department, such as:

• Official Languages: The Budget reaffirms the commitment made in the last Speech from the Throne regarding the renewal of the Action Plan for Official Languages. Building on this commitment, the Government of Canada announced in June 2008 the Roadmap for Canada's Linguistic Duality 2008–2013: Acting for the Future, which invests $1.1 billion to strengthen, adapt and modernize a variety of existing initiatives aimed at promoting the country's linguistic duality.
  
  
• Summer Sport Excellence: Budget 2008 provides funding of $24 million over the next two years and $24 million per year ongoing to support the Road to Excellence program for summer sport athletes.
  
  
• 2010 Torch Relays: Budget 2008 provides $25 million in fiscal year 2009–2010 to make Torch Relays the centrepiece of the Government's outreach to communities across the country as part of the 2010 Olympic and Paralympic Games, through relay-related celebrations and other activities to build community and national pride.
  
  
• Initiatives related to Canadian Heritage presented in the Budget are expected to be funded with monies reallocated from the Strategic Review proposals made by departments and agencies or by other funding.

Strategic Review

As part of the government-wide Strategic Review exercise, the Department of Canadian Heritage was asked to conduct an in-depth review of the relevance and performance of all its programs. The results of the Strategic Review were submitted to the Treasury Board and to Cabinet in proposal form.

Many of the decisions made by the Treasury Board were announced in Budget 2008. Programs that have fulfilled their original objectives have been discontinued, and others have been eliminated or reduced to ensure value for money. Reporting on all decisions will be part of the Department's usual reporting cycles.

¹The performance status "mostly met" is used to indicate that significant progress has been made towards achieving the expected results under a Departmental Priority or a Program Activity. It takes into consideration the results achieved under the key initiatives described in Section II.

² Human Resources and Social Development Canada. Indicators of Well-being in Canada (Geographic Distribution)

http://www4.hrsdc.gc.ca/indicator.jsp?lang=en&indicatorid=34#MOREON_2

³Statistics Canada. Portraitof the Canadian Population in 2006, by Age and Sex: National portrait. http://www12.statcan.ca/english/census06/analysis/agesex/NatlPortrait2.cfm

⁴ Statistics Canada. Immigration in Canada: A Portrait of the Foreign-born Population, 2006 Census: Immigration: Driver of population growth.

http://www12.statcan.ca/english/census06/analysis/immcit/foreign_born.cfm

⁵ Statistics Canada. The Daily - Study: Canada's immigrant labour market, September 10, 2007, http://www.statcan.ca/Daily/English/070910/d070910a.htm

⁶ Human Resources and Social Development Canada. Indicators of Well-being in Canada (Aboriginal Population)http://www4.hrsdc.gc.ca/indicator.jsp?lang=en&indicatorid=36

⁷ Statistics Canada. The Evolving Linguistic Portrait, 2006 Census:Highlightshttp://www12.statcan.ca/english/census06/analysis/language/highlights.cfm

⁸ These figures are stated in constant 2002 dollars. The Conference Board of Canada. Valuing Culture: Measuring and Understanding Canada's Creative Economy,2008, p. 26.

⁹ The Conference Board of Canada. Valuing Culture: Measuring and Understanding Canada's Creative Economy,2008

¹⁰ Phoenix Strategic Perspectives. A Report for the Department of Canadian Heritage: The Arts and Heritage in Canada - Access and Availability 2007.

¹¹ Canadian Internet Project. Canada Online – A comparative analysis of Internet users and non-users in Canada and the world: Behaviour, attitudes and trends, 2004, p. 5. http://www.cipic.ca/en/documents/Canada%20Online%20Final%20English%20Version%2010302005.pdf

¹² Canadian Internet Project II 2007, "Canada Online! The Internet, media and emerging technologies: Users, attitudes, trends and international comparisons", section 3, p. 2.

¹³ Ibid., p. 1.

¹⁴ Ibid., p. 1.

Section 2 : Analysis of Program Activities by Strategic Outcome

Strategic Outcome 1: Canadians express and share their diverse cultural experiences with each other and the world

Four program activities (PA) are related to this strategic outcome:

• Program Activity 1: Creation of Canadian content and performance excellence
• Program Activity 2: Sustainability of cultural expression and participation
• Program Activity 3: Preservation of Canada's Heritage
• Program Activity 4: Access and participation in Canada's cultural l ife

For each PA, there is a short description of financial and human resources, the planned results as reported in the Department of Canadian Heritage’s 2007–2008 Report on Plans and Priorities, and the results achieved compared to the planned results. (The 2007–2008 Report on Plans and Priorities is available at: http://www.tbs-sct.gc.ca/rpp/0708/PCH/PCH-eng.asp)

A number of key initiatives are related to departmental priorities, strategic outcomes and program activities. They are presented here according to their relationship with program activities.

Program Activity 1: Creation of Canadian Content and Performance Excellence

Expression of culture starts with the creation of works and performance. Although excellence is what professional artists and high performance athletes strive for, its achievement requires a sufficiently supportive structure both domestically and internationally, at all levels of cultural and sport development. The Department of Canadian Heritage focuses on enabling creators to produce and athletes to perform by supporting the structure and cultural industries needed for high quality works and performances.

The Department expects two results by pursuing this first program activity: Canadian content is reflective of Canada's diverse society is created and produced for domestic and international markets; and Canadians excel domestically and internationally in culture and sport.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
342.6	350.7	342.8

Human Resources (FTE)

Planned	Total Authorities	Actual
396	410	375

Key Initiative 1: Responding to the Evolving Canadian Broadcasting Environment

A) CRTC Report on the Impacts of Technological Change on Canadian Broadcasting

In an era of rapid technological change, Canada's broadcasting and cultural industries face both challenges and opportunities. They need to explore evolving technologies and ways of attracting audiences, while ensuring that Canadians have the choices and services they demand. In response to the Government's request (pursuant to Section 15 of the Broadcasting Act) to report on the impacts of technological change on Canadian broadcasting as a whole, the Canadian Radio-television and Telecommunications Commission (CRTC) submitted, on December 14, 2006, a report entitled The Future Environment Facing the Canadian Broadcasting System. (This report is available at: http://www.crtc.gc.ca/eng/publications/reports/broadcast/rep061214.pdf).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The CRTC's 150-page report (2006) provides a factual synthesis of research and comments from the public and broadcasting stakeholders. It addresses issues of the evolution of audio-visual technologies, their use by Canadians, and the impact of new platforms and technologies on the Canadian broadcasting system. The report will serve as an environmental scan to inform broadcasting policy decisions regarding the future of the broadcasting system.

Results achieved

Planned results for 2007–2008 were achieved. A number of actions were taken to ensure that the Canadian broadcasting system remains relevant in the global digital environment. In October 2007, in support of Canadian content in the new digital environment, the Government referred back for re-examination the CRTC decision to modify the licence of Avis de Recherche, a service approved for mandatory digital carriage.

In November 2007, the Minister articulated new broadcasting policy priorities. The new priorities are: increasing reliance on competition and market forces, and a willingness to address market failure to ensure the availability of quality Canadian choices; seizing opportunities to showcase and promote our made-in-Canada successes around the world; supporting the objectives of the UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions which recognizes that culture, including broadcasting, is a public good; improving coordination between Industry Canada, Canadian Heritage and the CRTC; and ensuring the long-term viability of funding for Canadian content.

In February 2008, to not foreclose any options for the Government leading to the reform of the Canadian Television Fund (CTF), the Governor-in-Council directed the CRTC to issue a report, providing recommendations on the CTF to the Minister of Canadian Heritage.

B) Stabilizing Support for the Production of Canadian Content

Both public and private funds flow through the CTF to the production sector with the objective of assisting in the creation and broadcast of high-quality, culturally significant Canadian television programs in both official languages during peak viewing hours and to build audiences for these programs. The CTF's annual revenues come from two sources: cable and satellite distributors and the federal government. The Government’s objective is to ensure the long-term sustainability of Canadian content production. (More information on the Canadian Television Fund is available at:  http://www.pch.gc.ca/pgm/fct-ctf/index-eng.cfm)

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Productions of high-quality, distinctly Canadian television programming will be measured by calculating the number of hours of new Canadian programming developed and produced with CTF support and the number and nature of awards and critical acclaim for CTF-supported productions. The CTF will also report on the success of CTF-supported productions with Canadian audiences, by language and by genre.

Results achieved

Planned results for 2007–2008 were achieved. In 2007–2008, the CTF invested over $252 million in Canadian productions, which generated over 2 000 new hours of Canadian television programming. CTF-supported productions generated $869 million of production activity for the Canadian industry (a 2.4:1 leverage) and ensured Canadian programming choices in peak viewing hours. As well, the Government exercised its leadership in requesting, under section 15 of the Broadcasting Act, that the CRTC issue a report providing recommendations on the CTF.

Key Initiative 2: Response to the Road to Excellence Plan

The Department, through Sport Canada, has built strong partnerships in the sport community and across governments to deliver on the objectives of the Canadian Sport Policy. Once the 2010 Olympic and Paralympic Games had been awarded to Vancouver, Canada's winter sport community united to develop a plan with the goal of making Canada the number one nation at the 2010 Olympic Games and a top three nation at the 2010 Paralympic Games. The Own the Podium initiative was created to fulfill this vision. Building on the successful Own the Podium initiative, the summer sport community collaboratively developed the Road to Excellence (RtE) plan to provide a common vision for Canada's future Summer Olympic and Paralympic success. Through its response to the RtE, the Department addresses that segment of the sport system focused on podium results at Summer Olympic and Paralympic Games. These results are essential for defining Canada as a leading sport nation. The main element of this initiative includes enhanced investment targeted to athletes and sports having the greatest potential to achieve podium results. (More information is available at: http://www.pch.gc.ca/pgm/sc/init/podm-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The key goal of these efforts is to have systematic achievements of podium performances by Canadian athletes at future Olympic and Paralympic Games and World Championships.

Results achieved

Planned results for 2007–2008 were partially achieved. Twenty Olympic and twelve Paralympic sports were targeted for Enhanced Excellence funding for the 2008 Olympic and Paralympic Games. A planned November 2008 evaluation process will result in a revised list of targeted sports for the 2012 Olympic and Paralympic Games. As a funding source for summer sport excellence was announced in Budget 2008, the Road to Excellence funding partners (Sport Canada, Canadian Olympic Committee, and the Canadian Paralympic Committee) expect to complete defining the appropriate targets for summer Olympic and Paralympic sports by fall 2008.

The enhancement of the level and efficiency of services to Canadian Sport Centres is ongoing. Determining professional coaching needs and funding of coaching positions for each sport is ongoing and will be enhanced with new funding from Budget 2008.

Sport Canada worked to improve performance by Canadian athletes at the highest levels of competition. In summer sports, Canada ranked 19 th in the world based on 53 medals won during the rolling four-year period of 2004–2007. This compares with 63 medals won during the 2003–2006 period, also a 19 th place ranking.¹⁵

Key Initiative 3: Federal Policy for Hosting International Sport Events

The Department, through Sport Canada, works to implement a strategic approach to bidding for and hosting international sport events in Canada . Hosting international sport events in Canada brings significant sport development, social, cultural, economic, and community benefits to Canada. The Department recognizes that, by working with stakeholders and exercising strategic leadership, Sport Canada is well positioned to build capacity in the sport system and maximize the accrued sport, social, cultural, community and economic benefits of sport event hosting. More information is available at: http://www.pch.gc.ca/pgm/sc/pol/index-fra.cfm
http://www.pch.gc.ca/pc-ch/sujct/sport/prog/index-eng.cfm.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Sport Canada will initially focus on the implementation of a national hosting policy. Following implementation, Sport Canada will establish an International Sport Event Coordination Group Secretariat to implement a planned and coordinated approach to bidding and hosting in Canada, resulting in enhanced sport development impacts and maximize the benefits of hosting international sport events in Canada.

Results achieved

Planned results for 2007–2008 have been partially achieved. A new Hosting Policy came into effect on January 1, 2008, with additional funds. By 2011–2012, these funds will reach $13.9 million annually in available contributions for hosting international sport events in Canada.

With the new Hosting Policy coming into effect, the implementation of the Hosting Policy and the establishment of the Secretariat for the International Sport Event Coordinating Group have been initiated and will continue in 2008–2009.

Program Activity 2 : Sustainability of Cultural Expression and Participation

Cultural life rests on the continued existence of an intricate network of institutions, not-for-profit organizations, corporations, volunteers, professionals and audiences. This network is both resilient - it relies on considerable dedication, experience and talent - and fragile - some crucial elements of the chain are vulnerable to investment patterns, market failures, foreign competition, technological changes, labour strains and international trade rules and agreements. As an integral part of the network, Canadian Heritage fosters the sustainability of the many organizations, cultural industries, entrepreneurs, and artistic and athletic performance events comprising this rich ecosystem. It does so by assisting them to increase their ability to attract investment, achieve adequate copyright protection, present to Canadian audiences, pursue international opportunities and build organizational partnerships.

The result of this program activity is vibrant cultural and sport sectors in which Canadian cultural expression and participation can thrive at home and abroad.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
217.2	259.2	245.5

Human Resources (FTE)

Planned	Total Authorities	Actual
598	620	571

Key Initiative 4: Canadian Feature Film Policy

In 2000, the Department of Canadian Heritage established a policy to support Canadian feature films, entitled From Script to Screen. An independent evaluation of the policy, public opinion polling and the report on the Canadian film industry by the Standing Committee on Canadian Heritage concluded that the majority of objectives and targets set in the policy were met. However, the success of Canadian feature films has been mixed: French-language films have achieved audience success while English-language films have not achieved the same results. It is clear that French and English feature film markets face different challenges and realities. The Department continues to work on these issues through consultations.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

A plan will be developed to identify factors contributing to the differences in audience success between French and English films and to build subsequent changes to existing policy for the coming years.

Results achieved

Planned results for 2007–2008 were partially achieved. An action plan was developed to establish an effective means of tracking and analyzing audience data in existing and emerging markets. The Department worked with Telefilm Canada and industry stakeholders to examine targets for the Canadian Feature Film Policy that reflect the differences between the English- and French-language markets. Work is continuing between the Department and Telefilm Canada to finalize new audience targets in 2008–2009.

Key Initiative 5: Audio-Visual Institutional Renewal: Telefilm Canada and National Film Board

Recent studies, such as those from the Standing Committee on Canadian Heritage, have recommended that the mandate of Telefilm Canada, the National Film Board (NFB) and other federal cultural agencies be better aligned toward common objectives, while clearly delineating their roles and responsibilities.

Telefilm Canada was created in 1967 to foster and promote the development of a feature film industry in Canada. Over the years, Telefilm Canada's responsibilities were expanded to include television and new media. The NFB's mandate, as set forth in the National Film Act , 1950, is to produce, distribute and promote the production and distribution of films designed to interpret Canada to Canadians and to other nations.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

This initiative will result in proposed legislation that would establish modern governance and accountability structures and the appropriate powers to respond to the realities of the Canadian audiovisual industry in the 21 st century.

Results achieved

Planned results for 2007–2008 were modified. The review and modernization of the legislation for an audiovisual institutional renewal of Telefilm Canada and the National Film Board was postponed because of other priority and resource considerations.

Key Initiative 6 : Centralization of Canadian Content Certification

A number of reports, including the Standing Committee on Canadian Heritage's 2003 Report on Broadcasting, called for centralizing Canadian content certification processes. Four federal audio-visual support partners currently assess the Canadian status of productions for their respective programs and responsibilities: the Canadian Audio-Visual Certification Office (CAVCO), the Canadian Television Fund (CTF), Telefilm Canada, and the Canadian Radio-television and Telecommunications Commission (CRTC).

The centralization initiative is led by the System Council, an inter-departmental group of senior representatives from the Department of Canadian Heritage, CRTC, CTF, Telefilm  Canada and the Canada Revenue Agency. The Department is working with these partners to simplify and improve the coherence, accountability and transparency of Canadian content certification.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Centralizing the certification of Canadian content will provide Canadian producers with a simpler and more coordinated process to reduce the administrative burden for producers. It will bring greater coordination and consistency in certificate decisions at the federal level and create a more efficient certification process.

Results achieved

Planned results for 2007–2008 were cancelled. In 2007, following analysis on how to centralize the certification of Canadian content, it was concluded that centralizing all certification in one organization (CAVCO) should not proceed for strategic and operational reasons. While the project itself was cancelled, various initiatives are being implemented to promote streamlining, harmonization and information sharing, which were the main objectives of centralizing certification. These include the development of a harmonized glossary of terminology used by CAVCO, the CRTC, the CTF and Telefilm and an initiative to offer CAVCO's services online, targeted for launch in spring 2009. The System Council is also examining the feasibility of a system-wide audit plan.

Key Initiative 7: Virtual Museum of Canada: Strategies for Enhancement and Increased Participation

Since its creation in 2001, the Virtual Museum of Canada has worked with museums across the country to develop significant digital content attracting millions of domestic and international online visitors. In 2007–2008, responding to the rapid evolution of the Internet and the needs of users, the Canadian Heritage Information Network (CHIN), which manages the Virtual Museum, researched and developed approaches to introduce new interactive tools to increase visitor participation and to increase the accessibility of the Virtual Museum on platforms such as wireless and handheld devices. To enhance the use of museum content in educational settings, a pilot project will be undertaken to improve the Virtual Museum's Learning Centre with the addition of collaborative tools and content specifically designed for use in this context. More information on the Virtual Museum of Canada is available at: http://www.virtualmuseum.ca/English/index_flash.htmlhttp://www.virtualmuseum.ca/

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

These strategies will increase use and provide greater accessibility to the Virtual Museum of Canada, with a particular focus on connecting with youth via popularly formatted, downloadable content.

Results achieved

Planned results for 2007–2008 were achieved. Canadian and international audiences gained access to an increased selection of digital heritage content created by Canadian museums. Fifty-nine online exhibits and 103 digital learning resources were launched. In the meantime, virtualmuseum.ca attracted nearly 13.3 million visits, its highest annual record.

CHIN initiated work on a major renewal of the Virtual Museum of Canada site to incorporate up-to-date standards and approaches. The new version will be launched in 2009–2010. Using the Agora Research Initiative as a point of departure, interactive and collaborative tools were implemented and evaluated by more than 200 teachers and 80 youth. Potential enhancements were identified, and the usefulness of the tools and resources was confirmed. (Sample comment: "This is a place where I can Wiki, Blog, Chat and get videos and lessons all under one roof–that's great.")

These efforts are ensuring that Canadians benefit from increasingly accessible digital heritage content that meets their particular needs.

Key Initiative 8 : Knowledge Exchange: Strategies for Enhancement and Growth

The Canadian Heritage Information Network (CHIN) is a national centre of expertise dedicated to fostering excellence in developing, presenting and managing digital heritage content. Approximately 1 200 museums across the country belong to the Network. In May 2006, CHIN launched the Knowledge Exchange, a new online space for museum professionals and volunteers that use advanced technologies to support professional learning. More information on the Knowledge Exchange is available at: (http://www.chin.gc.ca).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The increasing range of content and tools available through the Knowledge Network will enable research, collaboration and professional development among heritage professionals. By participating in the Knowledge Exchange, heritage professionals will be able to leverage this collective expertise to strengthen their skills in managing digital heritage.

Results achieved

Planned results for 2007–2008 were achieved. The CHIN website for heritage professionals and volunteers received more than 4.4 million visits in 2007–2008. During this period, the Knowledge Exchange component of the site more than doubled the number of visits it received, while expanding the number of resources it offers to enable the creation, presentation, management and preservation of digital heritage content.

After undertaking an inventory and analysis of existing skills-development resources, CHIN added a range of complementary content, frequently in collaboration with heritage community members. New content includes interviews with experts, seven panel presentations, an online course on digitization standards, and case studies.

In an effort to provide a more interactive and responsive experience, CHIN began working on redesigning site to incorporate the latest standards and approaches (e.g. collaborative Web 2.0 technologies). In addition to drawing from ongoing e-mail feedback, CHIN consulted stakeholders using various techniques designed to gain a better understanding of how content can best be organized for the benefit of users.

Key Initiative 9: 2010 Games: Strategic Opportunities Initiative

This key initiative contributes to both Program Activity 1 and Program Activity 7; it is reported under the latter as Key Initiative 29.

Key Initiative 10: Strengthening the Cultural Sector Internationally through Increased Cultural Exports

The Department's responsibility to ensure the sustainability of the cultural sector involves playing an active role in the conduct of Canadian trade policy and in the delivery of targeted international market support, services and tools. Through the departmental cultural trade strategy's two-pronged approach, Canada seeks to maintain the flexibility of our domestic cultural policies in trade and investment rules and provides support to Canadian arts and cultural exporters so they can reach and succeed in key foreign markets. The Department's primary instrument for supporting cultural exports is a cultural trade program. The program provides international business development and export preparedness services and assistance to Canadian arts and culture industries and sector associations.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The Department will be engaged in a number of activities in support of this two-pronged approach, through cultural trade policy work and through the delivery of cultural trade programs and services. The Department will also continue to support arts and cultural exporters through its network of trade commissioners for the cultural industries in Canada and abroad to take full advantage of and promote trade opportunities with the established markets of the United States and Europe, while continuing its work in targeted emerging markets such as South America and the Pacific Rim. In addition, the Department will maintain its involvement in cultural trade fairs, incoming buyers missions, and outgoing trade missions through the activities of the Trade Routes Program.

More information on the Department's activities to support this initiative is available at:

• Trade Routes website: (http://www.pch.gc.ca/pgm/route/pcrc-trcp/index-eng.cfm) and
• Trade Policy and Negotiations section on the Canadian Heritage website: (http://www.pch.gc.ca/pc-ch/sujct/inter/invest/index-fra.cfmhttp://www.pch.gc.ca/pgm/route/dpci-tipd/index-eng.cfm).

Results achieved

Planned results for 2007–2008 were partially achieved. Significant changes were made to improve the delivery of the Trade Routes Contributions Program, which improved and sped up the application processing and reduced the program's response time to clients. This has allowed clients to better plan their activities and arrange project funding. These achievements involved creating new tools to simplify the application process, forming review committees to improve project assessments, and developing a new template for the final activity report, which helps compile and analyze results.

The contributions program and market development services supported 2 747 clients, enabling small and medium-sized cultural businesses across Canada to do business in international markets.

International Trade action plans, which include objectives and priorities, were developed by working groups and implemented in order to help Canadian cultural business better target specific geographical markets when promoting their products and services abroad. Action plans with appropriate strategies were developed for each of the following cultural sub-sectors: craft, design, film and television, music and sound recording, new media, performing arts, publishing and visual arts.

Trade Policy and Negotiations' involvement in a wide range of initiatives aimed at reaching bilateral trade agreements and other agreements within the World Trade Organizations will maintain the flexibility needed to develop Canadian cultural policies in keeping with our international trade obligations and the spirit of the UNESCO Convention on the Promotion and Protection of the Diversity of Cultural Expressions.

The update of the Cultural Trade Strategy was postponed until next fiscal year, since it cannot be undertaken until the client satisfaction survey is finalized and the final report of the Summative Evaluation of the Trade Routes Program is submitted.

Key Initiative 11 : Copyright Reform

Copyright protection provides the fundamental legal underpinning for fostering the creation and dissemination of cultural products. Cultural industries relying on copyright protection, such as the music, film and software industries, contribute significantly to Canada's economy and growth. The Canadian Copyright Act seeks to achieve a balance, in the public interest, between recognizing the rights of the creators and owners of copyright works, and the needs of users. Technological advances, the development of new business models, and virtually unlimited access to creative works, have revealed challenges for the Act. More information is available at: http://www.pch.gc.ca/pc-ch/org/sectr/ac-ca/pda-cpb/qdn-wn/index-eng.cfmhttp://www.pch.gc.ca/pgm/ac-ca/pgm/pda-cpb/reform/index-eng.cfm

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Proposed legislative changes will be designed to provide adequate copyright protection and fair compensation for rights holders and allow reasonable access to the public, in line with international standards.

Results achieved

Planned results for 2007–2008 were achieved. As part of the government's anti-piracy agenda, Bill C-59, introduced by the Minister of Justice in collaboration with the Minister of Canadian Heritage was passed, amending the Criminal Code to prohibit the unauthorized recording of a movie in a movie theatre.

A bill amending the Copyright Act was drafted and Parliament was put on notice regarding a forthcoming bill; however, the bill was not introduced in 2007–2008, but in June 2008 (additional information is available online at: http://www.pch.gc.ca/pc-ch/infoCntr/cdm-mc/index-eng.cfm?action=doc&DocIDCd=CR20080612 http://www.pch.gc.ca/newsroom/index-eng.cfm?fuseaction=displayDocument&DocIDCd=CR20080612). Research papers and meetings with stakeholders were undertaken to develop policy approaches to address current challenges and opportunities facing the cultural sector due to evolving markets, technological changes, international pressures and court decisions.

Key Initiative 12: Implementation of UNESCO Convention on the Protection and the Promotion of the Diversity of Cultural Expressions

The UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions is an international legal instrument that reaffirms the right of countries to take measures in support of culture, while recognizing the dual social and economic nature of cultural goods and services. It was adopted by UNESCO Member States at its General Conference in October 2005. In November 2005, Canada became the first country to present its instrument of acceptance of the Convention at UNESCO. As of February 21, 2007, 48 states had ratified the Convention. The Convention came into force on March 18, 2007.

(More information on the Department's activities in support of this initiative is available at: http://portal.unesco.org/culture and http://www.pch.gc.ca/pc-ch/infoCntr/cdm-mc/index-eng.cfm?action=doc&DocIDCd=CBO061819 http://www.pch.gc.ca/newsroom/index-eng.cfm?fuseaction=displayDocument&DocIDCd=CBO061295).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The Department will continue its efforts to persuade the largest number of UNESCO Member States possible to ratify the Convention to ensure its geographic representativeness and political weight. Through its activities, the Department will help position Canada in such a way as to enable its full participation in the Convention's bodies, namely Canada's election to the Intergovernmental Committee and its contribution to the Committee's work. The Department will also continue to discuss the Convention's implementation in Canada with its national partners.

Results achieved

Planned results for 2007–2008 were achieved. In partnership with Foreign Affairs and International Trade Canada, the Department of Canadian Heritage continues to encourage the greatest number of countries to ratify the Convention, which successfully entered into force on March 18, 2007. As of March 31, 2008, 80 countries accross five continents were parties to the Convention.

Canada has continued to promote the timely and widespread ratification of the Convention bilaterally and in a variety of international forums including the Organization of American States, the Organization internationale de la Francophonie, the International Network on Cultural Policy, and UNESCO.

Canada was elected to the Intergovernmental Committee of the UNESCO Convention and is currently the Chair. This Committee is mandated to ensure implementation of the Convention. Canada hosted the first session of this Committee in Ottawa from December 10 to 13, 2007. During this session, Canada worked closely with other member states to prepare operational guidelines for the implementation and application of the provisions of the Convention.

The Department of Canadian Heritage continued to discuss with national stakeholders Canada's efforts to promote the ratification and implementation of this Convention. In accordance with the Canada–Quebec Agreement on UNESCO, the Department regularly engages with Quebec, as well as working with the other provinces and territories through existing forums. The Department also meets with Canadian civil society and non-governmental partners.

In December 2007, the Minister of Canadian Heritage and Status of Women and Minister for La Francophonie announced a $500,000 contribution for 2008–2009 to the International Fund for Cultural Diversity, which was established under the Convention.

Key Initiative 13: International Audio-Visual Co-Production Framework

Canadian audio-visual producers operate within the international audio-visual production community to finance and sell their productions. Given the importance of international audio-visual co-production to Canada's objectives for this sector, the continued demand from countries wishing to enter into agreements with Canada, and changes in other countries' (notably in the European Union) co-production approaches and practices, a review of the framework has been undertaken.

The review intends to examine and refine the objectives of co-production, and ensure that they are properly aligned with other federal audio-visual policies and programs, as well as with overall government objectives.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Over time, the review will result in clearer objectives for official co-production between Canada and foreign partners, selection criteria for new partners, and an integrated performance measurement framework.

Results achieved

Planned results for 2007–2008 have been partially achieved. The policy development work related to international audiovisual co-productions was largely completed this year and should be finalized in 2008–2009. Discussions with industry stakeholders will commence in 2008–2009 and continue in 2009–2010.

Program Activity 3:  Preservation of Canada's Heritage

Canadians want their stories and history to be safeguarded for future generations. The Department of Canadian Heritage plays a leading role in facilitating the preservation of and access to cultural works and practices, including film, music, Aboriginal languages, Aboriginal stories and national cultural artefacts and archives. The ultimate goal of this program activity is that Canada's diverse heritage is preserved.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
43.0	42.0	43.8

Human Resources (FTE)

Planned	Total Authorities	Actual
216	226	216

Key Initiative 14: Canada's Museums

In communities large and small, Canada's museums and archives serve to protect, preserve, and present heritage for this and future generations. The Government of Canada's first responsibility is to ensure that the national museums, as well as Library and Archives Canada, are able to play their intended role.

Other museums across Canada reflect the history of regions and communities that make up the fabric of the country. The Government of Canada supports these institutions in a number of ways: by sharing the research and expertise of its two national centres of excellence–the Canadian Conservation Institute and the Canadian Heritage Information Network; by indemnifying travelling exhibitions; by encouraging donations of outstanding objects through tax incentives; and by providing support through the Museums Assistance Program.

Planned Results(as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The planned result is to enhance accessibility to Canada's rich and diverse heritage now and in the future. A key result for 2007–2008 is a more focused definition of the federal role in achieving this objective. Specific milestones for 2007–2008 include: develop a renewed federal vision for museums in the 21st century and develop criteria for identifying collections of national significance.

Results achieved

Planned results for 2007–2008 were achieved. The first priority was national museums. With the announcement in April 2007 that the proposed Canadian Museum for Human Rights (CMHR) would become a national museum, the Government inaugurated a new vision for national museums. This new vision is anchored in two principles: that national cultural institutions can be established anywhere in Canada and that the activities of national institutions can be enhanced through public/private collaboration. The CMHR is the first national museum to be located outside the National Capital Region. Its building project will benefit from significant contributions from the private sector, the Province of Manitoba and the City of Winnipeg. Legislation to establish the CMHR under the Museums Act received Royal Assent on March 13, 2008. The Advisory Committee appointed to develop recommendations on the planning of the museum submitted its report to the Minister of Canadian Heritage on March 31 (http://www.pch.gc.ca/pgm/bcm-mcp/index-eng.cfmhttp://www.pch.gc.ca/pc-ch/conslttn/dp-hr/index-eng.cfm).

In November 2007, the Government launched a Request for Proposals to locate the Portrait Gallery of Canada in one of nine major cities across the country. The process was designed to encourage private-sector support and expertise in enhancing the Portrait Gallery's ability to reach all Canadians.

In keeping with this emphasis on the importance of national museums, Budget 2008 announced reinvestment in the existing national museums to address operating and infrastructure pressures. The Budget indicated that "these investments will assist in strengthening Canada's cultural institutions."

A new emphasis was also placed on small- and medium-sized museums across the country through $5 million in new investment in summer internships for young people through the Young Canada Works in Heritage program. As a result, more than 850 additional opportunities were created for youth to complement their education and contribute to the valuable ongoing work of these museums.Canada's Cultural Property Export and Import Act contains general criteria for recognizing objects/collections of "outstanding significance and national importance." In 2007–2008 with support by the Department, the Canadian Cultural Property Export Review Board initiated a review of its interpretive guidelines with respect to these criteria. The review will clarify requirements for institutions. It will also enhance the Board's decision processes with respect to its tax-related certifications of donations/sales of outstanding cultural property and its review of appeals of denied export permits.

Key Initiative 15: Strengthening Protection of Cultural Heritage through the Cultural Property Export and Import Act

Through implementation of the Cultural Property Export and Import Act, the Movable Cultural Property Program (MCPP) ensures that nationally significant heritage property is preserved in public collections and made accessible to the public. By regulating export through permits, the MCPP protects objects of cultural significance to Canada and upholds Canada's treaty obligations in the fight against the illicit traffic of cultural property. The MCCP also provides grants to assist designated institutions to acquire significant cultural property that is threatened with export or that is available in international markets. It also offers tax incentives to encourage the donation and sale of cultural property to designated institutions.

(More information on the Movable Cultural Property Program is available at: http://www.pch.gc.ca/pgm/bcm-mcp/index-eng.cfmhttp://www.pch.gc.ca/pgm/bcm-mcp/cebc-cperb/source-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The planned result of this initiative is to modernize the Act, to create a more effective tool for preserving Canada's cultural heritage, and for supporting countries that are losing their heritage through illicit traffic in cultural property.

Results achieved

Planned results for 2007–2008 were partially achieved. The MCPP developed training and reference materials for export/import stakeholders to minimize unnecessary delays. For example, it updated the Permit Issuing Manual distributed to Canada Border Services Agency officers and created an information sheet for Expert Examiners. In terms of investigations for possible cultural property import violations, the MCPP has implemented an Action for Recovery checklist to verify information and evidence required to assess cultural property import violations in a timely manner.

The public/stakeholder consultation phase of the review of the Cultural Property Export and Import Act has been largely completed. It consisted of web-based consultation supplemented by stakeholder discussion groups. Consultations will be completed in 2008–2009.

The following 2007–2008 activities demonstrate the impact of the legislative measures in protecting outstanding heritage. In administering the tax incentives designed to encourage the donation or sale of outstanding heritage to public institutions, the Canadian Cultural Property Export Review Board dealt with approximately 850 applications resulting in the certification of more than 11 000 objects with a total fair market value of $171 million that passed from private to public collections. The Minister of Canadian Heritage awarded 15 grants totalling $1.7 million to assist institutions to purchase outstanding objects that were threatened with export or that were available internationally. Approximately 350 cultural property export permits were issued and 39 new cases were opened regarding potential illegal imports.

Key Initiative 16: Canadian Conservation Institute: New Approaches to Service Delivery

The Canadian Conservation Institute (CCI) is a national centre of excellence in preservation that supports the heritage community in preserving Canada's heritage collections for access by current and future generations. This mission is accomplished through conservation research and development, expert services, and knowledge dissemination (training and publications). CCI also contributes to activities undertaken by the Department and the Government of Canada on the world stage through international collaborative research projects, technical symposia, and publications in research journals.

With renovations to its main facility completed, CCI will resume research and development projects, treatments, and scientific analytical services that were on hold during the renovation. Its management focus will be on ensuring transparency and accountability, and promoting more cost-effective service delivery. The Institute will also make more information available online, improve communications with clients, and implement an e-services portal.

(More information on the CCI's services is available at: http://www.cci-icc.gc.ca and http://www.preservation.gc.ca)

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The key goal of CCI is to ensure the heritage community in Canada and internationally has access to the Institute's research, publications, expert services, and training on the preservation of material cultural heritage. CCI's performance will be assessed through measures such as the number of people trained and the percentage of clients who indicate their satisfaction with expert services and training opportunities through client surveys.

Results achieved

The planned results for 2007–2008 were achieved. The laboratories are functional and comply with all occupational health and safety standards. The e‑service portal, launched on April 4, 2007, set in motion the comprehensive service framework developed in 2006–2007, allowing for greater accessibility to CCI services. There are 753 Canadian clients registered for e‑services. (http://www.cci-icc.gc.ca/services/index_e.aspx)

There are 5 283 heritage and professional organizations registered in the e‑mail broadcast system, and there were 14 324 visits to CCI Notes online on the care of collections. (http://www.cci-icc.gc.ca/publications/index_e.aspx)

Of the 385 participants to the 2007 Symposium, Preserving Aboriginal Heritage: Technical and Traditional Approaches, 95 percent said that conference information about and strategies for preserving Aboriginal heritage met their expectations. Thirty-eight percent of the participants and fifty percent of the speakers were Aboriginal people.

The CCI hosted six professional interns and a postdoctoral fellow and launched the process for the unpaid internship program. The first group of unpaid interns is expected in September 2008.

A new CCI technical bulletin was published, and eight journal articles written by five of the staff members were published in scientific journals.

Key Initiative 17: First Nations, Inuit and Métis Languages

Today, over 50 languages are spoken by Canada's First Nations, Inuit, and Métis people, and among these languages, only three (Cree, Ojibway, and Inuktitut) - are considered viable and relatively secure from extinction in the short term. The remaining languages are in varying states of decline. The first step for preserving languages at risk is to support communities in recording, documenting, and archiving their languages most at risk. The Department of Canadian Heritage works with First Nations, Inuit and Métis people to support the development of longer term approaches for Aboriginal languages, including the establishment of frameworks and tools in support of monitoring language viability.

More information on Aboriginal programming is available at: (http://www.pch.gc.ca/pgm/pa-app/index-eng.cfmhttp://www.pch.gc.ca/aboriginal)

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The planned result for this initiative will be to develop in consultation with Canada's Aboriginal peoples a realistic and effective approach to preserving Aboriginal languages.

Results achieved

Planned results for 2007–2008 were partially achieved. The development of an effective approach to preserving Aboriginal languages was advanced through PCH support of key Aboriginal organizations to undertake national consultations with their respective communities and develop long term strategic language plans. The First Nations strategic language plan has been completed; Inuit and Métis strategic plans are still being finalized and, when completed in 2008–2009, all plans will inform an effective horizontal federal approach. Liaison with the Truth and Reconciliation Commission Secretariat continues to utilize its research, testimony and reports to inform such an approach, and initial discussions held with Indian and Northern Affairs Canada and Health Canada have established the basis of a coordinated federal consideration of both on-reserve and urban language strategies.

Program Activity 4:  Access and Participation in Canada's Cultural Life

In addition to being part of the creative process, participation in Canada's cultural life can take a considerable variety of forms: reading, attending exhibitions or performances, learning through the Internet, listening to radio, watching films or television, visiting heritage sites, etc. Canadian Heritage helps to create the conditions for a wide access to and participation in the various modes of cultural exchange. The Department focuses on exposing individuals and communities to the wide array of cultural experiences, bridging challenges such as distance, community size, language and ethno-cultural diversity. The primary vehicles for engaging Canadians in cultural participation are arts activities, mass media, and heritage site and events.

The Department's efforts in this regard will yield an important result: Canadians have access to and participate in a diverse range of Canadian cultural experiences.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
185.4	190.5	167.3

Human Resources (FTE)

Planned	Total Authorities	Actual
381	396	416

Key Initiative 18: Canadian Periodical Policy

The Department of Canadian Heritage supports the creation and dissemination of Canadian magazines, periodicals and community newspapers through different programs and policies, including the Canada Magazine Fund (CMF) and the Publications Assistance Program (PAP). Canada Post, a Crown corporation, also participates in funding and administering the PAP.

hile recent evaluations of the PAP and the CMF were positive, a review of federal funding initiatives is required, particularly in light of the changing business environment for the periodical industry, constant increases in distribution costs, and questions about the future role of Canada Post in the PAP.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The Department's review of its Canadian periodical support framework will lead to changes to ensure that the programs remain relevant and that the program funding is as effectively targeted as possible. Some of these changes will reflect the challenges faced by the industry in creating content and distribution, and the partnership with Canada Post.

Results achieved

Planned results for 2007–2008 were partially achieved. Public consultations were launched, which included a presentation of a proposal for new program design, a discussion document, and key questions for consideration. Materials were posted on the Department's public consultation website. Roundtable discussions were held with stakeholders in Vancouver, Calgary, Winnipeg, Montreal, Toronto and Halifax in February and March. (For more information please see: http://www.pch.gc.ca/pc-ch/conslttn/rfppi/index-eng.cfmhttp://www.pch.gc.ca/pc-ch/consultations/fcm-cmf/index-eng.cfm.)

The stakeholder consultation phase was mostly completed in 2007–2008, with an April 2008 deadline for submissions. Analysis of the comments will take place in 2008–2009.

Key Initiative 19: Canadian Content Online

Since 2001, the Canadian Culture Online (CCO) Strategy has been a primary instrument to help ensure that Canadians can access Canadian cultural content in both English and French through the Internet and, increasingly, through other delivery vehicles such as cell phones and MP3 players. A review of the CCO Strategy was initiated by an evaluation of the Canada New Media Fund (CNMF), the support program for the new media sector. This review, which was completed in 2006, is being followed by an evaluation of the overall strategy. (More information about the CCO Strategy and the CNMF is available at: http://www.pch.gc.ca/pgm/pcce-ccop/index-eng.cfm; and http://www.telefilm.gc.ca/03/311.asp?lang=en&fond_id=3http://www.telefilm.gc.ca/03/311.asp?fond_id=3).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The goal of this initiative is to revise the CCO Strategy with a view to clarifying the role of the federal government with respect to the interactive media industry, and the best means of pursuing federal objectives for consideration by the government by end of March 2008.

Results achieved

Planned results for 2007–2008 were partially achieved. Following its evaluation, the CNMF was renewed in 2007 for two years with modifications to improve its efficiency and effectiveness. As part of CCO's ongoing policy development activities, the Department, in collaboration with Telefilm Canada, held stakeholder focus groups to discuss challenges and opportunities for the digital interactive media industry.

In 2007–2008, funded initiatives in research and development brought together 60 research and interactive media organizations to develop 35 innovative digital cultural tools.

The CCO Strategy continued to foster a Canadian presence online, with over $51.1 million supporting 293 projects that provided a diverse choice of digital cultural content. A broad range of projects reached varying audience sizes, from community-developed projects to larger scale projects such as the CBC/Radio-Canada Archives project that received 3.9 million visits in a year. The Virtual Museum of Canada continued to be a popular destination, generating nearly 13.3 million visits in 2007–2008.

Key Initiative 20: Exhibits and Collections

This activity supports heritage organizations in preserving, collecting and presenting diverse Canadian heritage in order to encourage public participation in, increase public access to, and foster greater appreciation of our heritage. The Museums Assistance Program (MAP) provides support through grants and contributions to heritage institutions to develop exhibitions, strengthen collections management, and preserve and present Aboriginal cultural heritage. The Canada Travelling Exhibitions Indemnification Program broadens Canadians' access to Canadian and international heritage by allowing the Government of Canada to assume the financial risk for loss of or damage to items in major travelling exhibitions.

(More information on the Canada Travelling Exhibitions Indemnification Program is available at: http://www.pch.gc.ca/pgm/pei-trx/index-eng.cfm and on the Museums Assistance Program at: http://www.pch.gc.ca/pgm/pam-map/index-eng.cfm).

Planned Results(as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The key result for this activity is to enhance access to Canadian and international heritage. Other planned results include the production and circulation of domestic travelling exhibitions and associated interpretive material; projects to ensure the preservation and presentation of Aboriginal cultural heritage; increased adoption of sound professional policies and practices by museums; and increased number of resources or services offered to multiple museums by heritage service organizations.

Results achieved

Planned results for 2007–2008 were achieved. In 2007–2008, the MAP provided $6 million to heritage organizations. These funds help support 62 projects to produce and circulate domestic travelling exhibitions; 22 projects to receive exhibitions created by other institutions; 21 projects for the preservation and presentation of Aboriginal heritage; and 70 projects to enhance professional knowledge, skills and practices.

Some 1 650 summer students and graduate interns found work in 2007–2008 through Young Canada Works in Heritage Organizations. Through an additional $5 million funding in support of summer internships in small- and medium-sized museums, the program was able to create 857 more summer jobs this year than in the preceding fiscal year. This more than doubled the number of jobs for Canadian youth in this field.

In 2007–2008, ten exhibitions indemnified through the Canada Travelling Exhibitions Indemnification Program (INDEM) were presented to the public in Canada. These exhibitions circulated to thirteen venues. The indemnification saved Canadian museum and galleries approximately $4 million in insurance costs. A post-exhibition survey tool, including the number of visitors, was implemented during the year. Attendance figures will be available and reported in 2009–2010.

In February 2007, the Standing Committee on Canadian Heritage recommended that INDEM maintain its $1.5 billion annual liability limit established in the Canada Travelling Exhibitions Indemnification Act. As a result, changes to the legislation were not implemented. Minor modifications to INDEM Regulations for the Standing Joint Committee on the Scrutiny of Regulations are currently in the regulatory approval process.

Consultations with INDEM clients were undertaken to refine the application process. New guidelines will be published in 2008–2009. A new reporting tool was developed to improve the measurement of program results.

Strategic Outcome 2: Canadians live in an inclusive society built on intercultural understanding and citizen participation

Three program activities (PA) are related to this strategic outcome:

• Program Activity 5: Promotion of inter-cultural understanding
• Program Activity 6: Community development and capacity-building
• Program Activity 7: Participation in community and civic life.

For each PA, there is a short description of financial and human resources, the planned results as reported in the Department of Canadian Heritage's 2007–2008 Report on Plans and Priorities, and the results achieved compared to the planned results. (The 2007–2008 Report on Plans and Priorities is available at: http://www.tbs-sct.gc.ca/rpp/0708/PCH/PCH-eng.asp
http://www.pch.gc.ca/pc-ch/pubs/2007_rpp/index-eng.cfm).

Program Activity 5: Promotion of Inter-cultural Understanding

The Department of Canadian Heritage fosters inter-cultural understanding by generating opportunities for Canadians to share experiences and learn about each other's cultures. One of the ways this is done is through the promotion of linguistic duality and of learning Canada's two official languages. The Department also supports initiatives that promote cross-cultural understanding within and between communities. With attention to the unique opportunities generated by sport activities in Canada, the Department promotes diversity as a means of enhancing inter-cultural experiences and understanding.

By promoting inter-cultural understanding, the Department expects to foster a society in which Canadians interact across diverse communities and value the diversity and linguistic duality of Canadian society.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
121.6	132.8	136.7

Human Resources (FTE)

Planned	Total Authorities	Actual
106	110	111

Key Initiative 21: Second Language Learning Agreements

Over the past 35 years, the Government of Canada has provided financial assistance to the provinces and territories to help them offer second-language learning programs. Learning the second official language provides Canadians, whether French- or English-speaking, the opportunity to live in an inclusive society and to appreciate the other group's reality, thereby enhancing Canada's linguistic duality. Through its Enhancement of Official Languages Program, the Department continues to work with the provinces and territories to support the instruction of English and French as second official languages, while pursuing the objective of doubling, by 2013, the proportion of Canadian youth between 15 and 19 years old who have a working knowledge of both official languages.

(More information on the Enhancement of Official Languages Program is available at: http://www.pch.gc.ca/pgm/lo-ol/pgm/mev-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The planned result of this initiative is to increase the proportion of Canadians who have a working knowledge of both official languages and a greater understanding and appreciation of the benefits of linguistic duality in the short term.

Results achieved

Planned results for 2007–2008 were achieved. The Department of Canadian Heritage is continuing to implement the agreements signed with the Council of Ministers of Education, Canada, and with the provinces and territories. It has also signed complementary agreements to support second-language learning.

Information on intergovernmental agreements continues to be made available. The agreements are posted on the Official Languages Support Programs (OLSP) website ( http://www.pch.gc.ca/pgm/lo-ol/entente-agreement/education/index-eng.cfm.
http://www.pch.gc.ca/pgm/lo-ol/entente-agreement/services/index-eng.cfm  
http://www.pch.gc.ca/pgm/lo-ol/entente-agreement/comm/index-eng.cfm), and the achievements of these agreements are described in volume 1 of the Official Languages Annual Report, which is tabled in Parliament each year (http://www.pch.gc.ca/pgm/lo-ol/pubs/index-eng.cfm).

Enrolment rates in programs teaching English as a second language and French as a second language in majority school systems have remained relatively stable, making up 48.8% of total school enrolments in 2005–2006, compared to 48.7% in 2003–2004. In 2005–2006, over 2.4 million young Canadians were learning English or French as a second language. Data is not yet available for 2007–2008¹⁶.

Bilingualism (English-French) by Age Group, Canada, 1996–2006
	Under 5 years			5-9 years			10-14 years			15-19 years
	Total Population	Bilingual Population	% of Bi­lingual Popu­lation	Total Population	Bilingual Popu­lation	% of Bi­lingual Popu­lation	Total Population	Bilingual Population	% of Bi­lingual Popu­lation	Total Population	Bilingual Population	% of Bilingual Population
1996	1 929 708	65 664	3.4%	2 006 100	176 184	8.8%	2 011 860	334 764	16.6%	1 966 140	480 924	24.5%
2001	1 701 485	65 365	3.8%	1 980 610	183 445	9.3%	2 055 580	336 260	16.4%	2 044 350	487 800	23.9%
2006	1 690 395	64 895	3.8%	1 808 280	188 355	10.4%	2 078 130	354 455	17.1%	2 135 915	477 260	22.3%
Source: Official Languages Support Programs, Canadian Heritage, February 2008, chart based on 1996, 2001, 2006 Census data, Statistics Canada, 20% sample.

The chart describes bilingualism rates by age group, including two notable cohorts: those who entered the school system during the years covered by the renewal of the Protocol of Agreements with the Council of Ministers of Education, Canada and the bilateral agreements with the provinces and territories. While it is still too early to look at the results from 2006 cohort, in 2001, the 5-9 year old cohort appears to have increased from 3.4% being able to hold a conversation in both languages before entering the school system to 9.3%. When this cohort reached 10-14 years in 2006, its rate of bilingualism rose to 17.1%. Incidentally, this cohort went from 65 664 children being able to hold a conversation before entering the school system to 354 455 in 2006, 18 000 more than the previous cohort.

Key Initiative 22: Enhanced Multiculturalism Initiatives to Address Barriers and Increase Participation

Research indicates that some members of ethno-cultural/racial communities continue to face barriers to full participation in Canada's economic, political, social and cultural life. As Canada's population becomes increasingly diverse, the need to address barriers and challenges becomes ever more important. The Multiculturalism Program provides support to civil society through targeted civic engagement and institutional change projects. In particular, the Multiculturalism Program supports initiatives that help identify barriers faced by marginalized women and youth in vulnerable ethno-cultural/racial communities.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

By increasing support to marginalized and vulnerable ethno-cultural/racial communities through targeted interventions and effective partnerships towards achieving fuller participation of these communities in all aspects of Canadian society, the Department will help create a cohesive society.

Results achieved

Planned results for 2007–2008 were partially achieved. New priorities were developed with the Secretary of State (Multiculturalism and Canadian Identity) for the grants and contributions program, and new funding application guidelines were published in March 2008. The new priorities focus on supporting initiatives that promote economic, social and cultural integration of new Canadians and cultural communities; mentorship, volunteerism, leadership and civic education among at risk cultural youth; and inter-cultural understanding and Canadian values. The new guidelines can be found at http://www.cic.gc.ca/multi/pgm/index-eng.asp
http://www.pch.gc.ca/progs/multi/program/index_e.cfm.

The program continued to reach out to over 3 500 youth across the country through events related to Black History Month, the Mathieu Da Costa Challenge, the Racism. Stop It! National Video Competition and Asian Heritage Month. In addition, film screenings and discussion forums provided over 3 000 youth across the country, both within and outside the formal school system, the opportunity to discuss issues related to multiculturalism, discrimination and integration.

In 2008, the Government of Canada commemorated the 175th anniversary of the Act for the Abolition of Slavery in the British Empire. As part of the commemoration activities, the Follow the North Star presentation created public awareness about the significance of the abolition of slavery by bringing together approximately 1 000 youth, community leaders, and performing artists in four cities across Canada.

Program Activity 6: Community Development and Capacity-Building

Aboriginal and official languages communities play a uniquely important role in Canada as part of the fabric that has shaped Canadian society since its beginning. The Department of Canadian Heritage supports the development of Aboriginal organizations with programs that build on the cultural strengths of Aboriginal peoples and help Aboriginal communities and networks to thrive. Canadian Heritage also supports the development of official-language minority communities by enhancing their participation in different sectors of society and by working to ensure their vitality in all parts of the country.

This program activity seeks to advance the cultural vitality of Canada's official languages minority and Aboriginal communities.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
250.1	251.7	247.9

Human Resources (FTE)

Planned	Total Authorities	Actual
150	156	145

Key Initiative 23: Development of Official Language Minority Communities

The Government of Canada supports the development of official-language minority communities by promoting their participation in various sectors of society and by contributing to enhancing their vitality across Canada. Canadian Heritage provides financial assistance to the provinces and territories to offer quality minority-language education programs, from junior kindergarten through to university. The Department encourages provincial and territorial governments and other federal agencies to provide communities with enhanced programs and services in areas deemed to be a priority for their development (health, social services and economic development). The Department has also provided direct assistance to official-language minority communities' organizations and institutions so that they can offer their members cultural and community activities in their language (radio, theatre, print media, community centres, etc).

(More information on the development of official-language minority communities is available at: http://www.pch.gc.ca/pgm/lo-ol/pgm/dclo-vc-eng.cfm ).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The planned result of this initiative is to provide Canadians living in official-language minority communities with greater access to programs and services in their language through various community and government bodies.

Results achieved

Planned results for 2007–2008 were achieved. The Department of Canadian Heritage continued to implement the agreements signed with the Council of Ministers of Education, Canada, and with the provinces and territories, and signed complementary agreements to support minority-language education. It also continued to implement service agreements with the provinces and territories as well as cooperation agreements with community organizations. Funding was injected to support cultural, extracurricular and community centre initiatives for official-language communities.

The Department continued to develop new tools to support federal institutions in implementing the obligations set out under Part VII of the Official Languages Act. Results continue to be achieved following the launch of the Guide for Federal Institutions—Official Languages Act–Part VII, Promotion of English and French (http://www.pch.gc.ca/pgm/lo-ol/outils-tools/guide-eng.cfm). The Guide was downloaded 7 120 times between May and December 2007.

Access to information regarding intergovernmental agreements continues to be granted. The agreements are posted on the Official Languages Support Programs (OLSP) website (http://www.pch.gc.ca/pgm/lo-ol/qns-wwa/index-eng.cfmhttp://www.pch.gc.ca/pgm/lo-ol/index-eng.cfm) and achievements under these agreements are also described in Volume 1 of the Official Languages Annual Report, which is tabled in Parliament each year (http://www.pch.gc.ca/pgm/lo-ol/annual_reports-eng.cfm).http://www.pch.gc.ca/pgm/lo-ol/annual_reports-eng.cfm).

During the program cycle, the Department established an inventory of available data, which it regularly updates and analyzes. It is currently conducting the summative evaluation of the OLSP, which will be released in 2008–2009.

Enrolment rates in minority-language education programs appear to be stable, with 249 974 students enrolled in 2004–2005 and 248 559 in 2005–2006 (Statistics Canada, Centre for Education Statistics). However, challenges remain. The Survey of the Vitality of Official-Language Minorities shows that, outside Quebec, only 56% of children of eligible parents are enrolled in French elementary schools and 47% in French secondary schools.¹⁷

Program Activity 7: Participation in Community and Civic Life

An inclusive society means that all Canadians feel that they have a stake in their communities and their country; they can participate and feel that their contribution matters. The Department of Canadian Heritage programs and activities contribute to this goal by helping to address some of the key impediments to community and civic participation. This is done through initiatives that educate Canadians about their country and their citizenship, both at home and abroad, while helping to educate the rest of the world about Canada. It is also achieved through the development of sport participation. Youth programs generate opportunities and encourage participation. Targeted measures for ethno-cultural and ethno-racial communities assist these groups to more effectively participate in all aspects of Canadian life. Targeted measures for Aboriginal communities, including Aboriginal

As a result of the activities that foster participation, Canadians will become more engaged in Canada's communities and civic life.

Financial Resources ($ millions)

Planned Spending	Total Authorities	Actual Spending
222.1	230.7	207.5

Human Resources (FTE)

Planned	Total Authorities	Actual
452	488	550

Key Initiative 24: Canada's Action Plan Against Racism

The Department of Canadian Heritage and key federal partners are working to implement initiatives announced in A Canada for All: Canada's Action Plan Against Racism and to coordinate reporting on performance measurement. These initiatives aim to help Canadian families and communities by addressing gaps in federal programs and by eliminating systemic barriers. They focus on the settlement of new citizens and on the promotion of institutional change within public institutions.

(More information on the Action Plan is available at: http://www.cic.gc.ca/multi/pln/index-eng.asphttp://www.pch.gc.ca/multi/plan_action_plan/index-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The key result for the Action Plan is that all Canadians are able to participate in and contribute to Canadian society. To measure the Action Plan's impact, the Department will develop indicators and consult Canadians to solicit their feedback. Progress will be reported in the Annual Report on the Operation of the Canadian Multiculturalism Act.

Results achieved

Planned results for 2007–2008 were partially achieved. The Department reviewed the availability of baseline information and related indicators, and collected baseline and performance information for the Annual Report on the Operation of the Canadian Multiculturalism Act. To report on progress, the Department in collaboration with partners implemented a performance-reporting framework.

The implementation of a strategy for consulting with Canadians was delayed due to competing priorities.

With respect to hate crime data collection, Statistics Canada continued to provide support and training to police services while undertaking a supplemental survey of hate crime in 2006. A major data release in June 2008 is meeting the research need for hate crime information.

Eight projects have been implemented under the Inclusive Institutions Initiative. Projects include support to institutions to: improve cultural competency, address over-representation of Black offenders, test better ways to communicate about healthy eating with ethno-cultural communities, and address homelessness issues among newcomer women.

The Law Enforcement and Aboriginal Diversity Initiative was cancelled because planned results were not being met.

Key Initiative 25: Historical Recognition

This initiative responds to the Government of Canada's commitment to recognize the historical experiences of ethno-cultural communities affected by wartime measures and/or immigration restrictions that are not consistent with the values held by Canadians today. It also relates to the government's commitment to the Chinese-Canadian community and all Canadians to provide appropriate acknowledgment and symbolic payments related to the Chinese Head Tax. (More information on the Chinese Head Tax is available at: http://www.cic.gc.ca/multi/rdrss/hrp-eng.asp). http://www.pch.gc.ca/pgm/multi/redress-redressement/index-eng.cfm

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The key planned result for the initiative will be to increase public awareness about multiculturalism and diversity by undertaking activities that recognize the experiences of ethno-cultural communities affected by historical wartime measures and/or historical immigration restrictions. This will be achieved by providing symbolic ex gratia payments to those who were required to pay the Chinese Head Tax and to the conjugal partners of deceased Head Tax payers, by establishing a fund for community-based projects aimed at acknowledging these affected communities and their contribution to Canadian society; and by developing a national historical recognition program to fund federal initiatives that will help to educate all Canadians, and particularly youth, about the historical experiences of these ethno-cultural communities.

Results achieved

Planned results for 2007–2008 were partially achieved. This initiative has continued to deliver on the commitment to the Chinese-Canadian community by making symbolic ex gratia payments to Chinese Head Tax payers and to the conjugal partners of deceased Head Tax payers. In 2007–2008, 510 payments were paid for a total of $10,200.00.

However, the Community Historical Recognition Program (CHRP) and the National Historical Recognition Program (NHRP) were not implemented in 2007–2008. Discussions with affected communities revealed that community expectations could not be met under the existing CHRP funding allocation and program design. Negotiations with the Ukrainian-Canadian community in particular, as required by Bill C-331, informed subsequent revisions to the CHRP and NHRP approach, which have been approved. The details and preparation for implementing of the CHRP and the NHRP were completed in 2007–2008. This made it possible to officially launch both programs in May 2008.

Key Initiative 26: Sustainability of Aboriginal Friendship Centres

According to the 2006 Canadian Census, there was a total of 1 172 785 Aboriginal people in Canada. Up to 70 percent of Aboriginal Canadians live off-reserve and half of the Aboriginal population lives in urban areas. Aboriginal people do not share the same quality of life as other Canadians living in urban communities. Socio-economic indicators show that Aboriginal youth living in urban settings face more serious issues than those faced by non-Aboriginal youth living in urban settings in areas such as educational attainment; labour force activity; income levels and rates of substance abuse; crime and incarceration.

For over 50 years, Friendship Centres have supported the transition of Aboriginal Canadians to urban communities. Friendship Centres have evolved from serving as gathering places in urban areas and simple referral agencies, to service delivery organizations that offer a wide range of programs and services to Aboriginal people living in towns and cities across Canada. Friendship Centres do this in collaboration with federal, provincial, territorial and municipal governments; and with the non-governmental sector. Today, over 100 community-based and community-directed Friendship Centres play a key role in community development.

(More information on Aboriginal programming is available at: http://www.pch.gc.ca/pgm/pa-app/index-eng.cfmhttp://www.pch.gc.ca/aboriginal).

Planned Results (as outlined in Canadian Heritage's 2007–2008Report on Plans and Priorities)

The Department of Canadian Heritage will work with the National Association of Friendship Centres to develop and implement a plan to address the challenges facing the network of Friendship Centres and to ensure the long-term sustainability of Friendship Centres. The plan will address: sustainable core funding; increased private sector partnerships and investments; innovative approaches to working with government; and more effective partnerships with National Aboriginal organizations. Also, incentives will be created to assist Friendship Centres in developing a balance of both public and private financing, and in reinforcing good governance. Working with the National Association of Friendship Centres to assess community-needs, examine own-source revenue generation, and plan for sustainable growth will be important elements of this strategy.

Results achieved

Planned results for 2007–2008 were partially achieved. The National Association of Friendship Centres (NAFC) is carrying out community needs assessments. The NAFC has begun to implement its four-point plan, focusing on: sustainable core funding, increased private sector partnerships and investments, innovative approaches to working with government, and more effective partnerships with National Aboriginal organizations

The Department has undertaken a governance study of third-party funding relationships. The NAFC was a key informant on this study, and will be measured as a third-party delivery organization against the findings of the study. The Department has also supported the NAFC in its development of a National Reporting Database, which will enable the NAFC to collect key data, demonstrate results, and provide data for program evaluations.

Work on a development plan to ensure long-term sustainability of Friendship Centres is ongoing. The NAFC plays a critical role in community and economic development for urban Aboriginal people by providing effective access to programs and services designed to address their needs. Enabling urban Aboriginal youth to access leadership development, stay-in-school, and positive lifestyles programming gives them alternatives to negative options and promotes full, positive participation in Canadian society.

Key Initiative 27: 400^th Anniversary of Québec City in 2008

In response to Canadians' ever-growing interest in celebrating great people and defining moments that have shaped Canada's history, Canadians will be celebrating the 400^th anniversary of the founding of Québec City in 1608, Canada's oldest city, as a key commemorative event. (More information on the celebrations is available at: http://www.quebec400.gc.ca/bienvenue-welcome-eng.cfmhttp://www.pch.gc.ca/pc-ch/org/sect/publi/celeb-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

As a result of this key initiative, Canadians will have increased opportunities to learn about and celebrate Canada's first city and permanent settlement of la Francophonie in North America.

Results achieved

Planned results for 2007–2008 were achieved. Activities for the 400th Anniversary of Québec City were launched; celebrations and commemorations were held in Québec and across Canada. The Department signed a contribution agreement for $40 million to the Société du 400e anniversaire de Québec. The Department also coordinated the contribution of federal institutions to the 400th Anniversary activities.

In partnerships with the Celebration and Commemoration Program, the Official Languages Program and Exchanges Canada, the Department increased pan-Canadian outreach. Communication products and promotional material were designed, produced, and distributed to create awareness of the 400th anniversary celebrations among Canadians.

Key Initiative 28: Shanghai 2010 and Canada's Participation in International Expositions

International expositions provide a valuable opportunity for Canadians to showcase their country to the world. To ensure that Canada's cultural and regional diversity is fully reflected, the Department of Canadian Heritage plans and manages Canada's participation in expositions held abroad in close collaboration with other federal departments, provinces and territories, and key partners in the private sector. Expo 2010 in Shanghai is the next international exposition in which Canada will participate.

The Department will review the Policy Framework on International Expositions (1995) concerning Canada's participation in future expositions as well as the hosting of international expositions in Canada.

(More information is available at: http://www.expo2010canada.gc.ca/index-eng.cfmhttp://www.pch.gc.ca/pgm/expo/index-eng.cfm).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

This initiative was expected to achieve two results: Canada's interests abroad are broadened and asserted through its participation at international expositions sanctioned by the International Bureau of Expositions; and Canadians participate in projecting Canada's interests in the world through international expositions.

Results achieved

Planned results for 2007–2008 were achieved. Through a collaborative agreement with the Department, the Cirque du Soleil was engaged to develop a Pavilion presentation and cultural program that will promote Canadian government cultural and business priorities and relationships during Expo 2010 in Shanghai, China. By launching Canada's new Expo 2010 Shanghai website (http://www.expo2010canada.gc.ca/index-eng.cfm) and signing the official participation contract with Expo 2010 organizers, as well as through actively representing Canada at the Bureau of International Expositions, the Department of Canadian Heritage promoted Canada's interests abroad.

A review of the policy framework on International Expositions is underway and includes the development of a Results-based Management and Accountability Framework and a Risk-based Audit Framework (RMAF/RBAF).

Key Initiative 29: 2010 Games: Strategic Opportunities Initiative

The Government of Canada is a key partner in planning the 2010 Winter Games. The 2010 Federal Secretariat, situated within the Department of Canadian Heritage, works closely with the Vancouver Organizing Committee (VANOC), other Games partners and other government departments to contribute to the success of the 2010 Winter Games. (More information is available at: http://www.canada2010.gc.ca and http://www.vancouver2010.com).

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Planned results will include positive exposure and heightened recognition of the Government of Canada as a key partner in the 2010 Winter Games; increased pan-Canadian engagement; increased awareness of public policy objectives and inclusion of targeted audiences; and support for capital and legacy projects and essential federal services commitments delivered to VANOC.

Results achieved

Planned results for 2007–2008 were achieved. The 2010 Federal Secretariat continued to provide leadership and coordination to federal departments and partners in preparing to deliver essential federal services at the games. This included planning and coordinating federal participation in the International Olympic Committee Observer Program and bilateral meetings with officials of the Beijing Organizing Committee for the Games of the XXIX Olympiad, on the margins of the Olympic and Paralympic Games in Beijing, China.

To support pan-Canadian engagement a public celebration was held in the Ottawa for the two-year countdown of the opening of the Olympic Games. The 2010 Federal Secretariat is also supporting the Department's activities on the planning of the Opening Ceremony of the Olympic Winter Games, Live Sites in Vancouver and Whistler, and the Torch Relays. These initiatives will support federal presence and participation at the 2010 Winter Games.

The 2010 Federal Secretariat also provided key support to facilitate the China Central Television event, China-Canada Hand in Hand – Celebration of the Olympics. This program, aired to as many as 20 million viewers around the world, celebrated the fact that China and Canada will host back-to-back Olympic and Paralympic Games. The program showcased Canadian artists and a Witnessing Ceremony, which was organized by the Four Host First Nations Society.

The 2010 Federal Secretariat also continued to protect Canadian investments by monitoring progress and performing due diligence on the venue construction program. The environmental assessments for all Olympic and Paralympic venues have been completed. Five venues are now in use for testing and training, thereby providing Canadian athletes with a competitive advantage in their preparation for the 2010 Winter Games.

---

¹⁵ Data based on the Sport Canada's Annual Olympic Ranking Index of Nations. The Index is based on results per nation across all Olympic events at Olympic Games and World Championships, over a four-year timeframe. The Indexis produced annually – at the end of each calendar year, once the Olympic Games and/or World Championships of that year have been completed. The results are aggregated with the results of the three previous years to produce a comprehensive four-year cycle of results across all Olympic events. For summer sports, this represents approximately 1 000 events over a four-year period; for Winter sports, almost 300 events.

¹⁶ Statistics Canada, Centre for Education Statistics

¹⁷Statistics Canada, 2007, Minorities Speak Up: Results of the Survey of the Vitality of Official-Language Minorities, No 91-548‑X, p.55

Section 3 : Supplementary Information

3.1  Departmental Link to Government of Canada Outcome Areas

The Departmental Performance Report (DPR) links to the "Whole-of-Government Framework" used in Canada's Performance report. (For more information, see: http://www.tbs-sct.gc.ca/reports-rapports/cp-rc/index-eng.asp)

Strategic Outcome 1:Canadians express and share their diverse cultural experiences with each other and the world.
Program Activity Title	Actual Spending 2007-08 ($ millions)			Alignment to Government of Canada Outcome Area
	Budgetary	Non-budgetary	Total
1. Creation of Canadian content and performance excellence	342.8	n/a	342.8	A vibrant Canadian culture and heritage
2. Sustainability of cultural expression and participation.	245.5	n/a	245.5
3. Preservation of Canada's heritage.	43.8	n/a	43.8
4. Access and participation to Canada's cultural life.	167.3	n/a	167.3
Strategic Outcome 2: Canadians live in an inclusive society built on intercultural understanding and citizen participation
Program Activity Title	Actual Spending 2007-08 ($ millions)			Alignment to Government of Canada Outcome Area
	Budgetary	Non-budgetary	Total
5. Promotion of inter-cultural understanding.	136.7	n/a	136.7	A diverse society that promotes linguistic duality and social inclusion
6. Community development and capacity-building.	247.9	n/a	247.9
7. Participation in community and civic life.	207.5	n/a	207.5

Government of Canada Outcome areas and linkages with Canadian Heritage Strategic Outcomes and Program Activities

3.2 Financial Tables

Table 1: Comparison of Planned to Actual Spending

($ millions) (including FTEs)

($ millions)	2005–2006 Actual	2006–2007 Actual	2007–2008
			Main Estimates	Planned Spending	Total Authorities	Actual
1. Creation of Canadian content and performance excellence	330.5	353.3	341.1	342.6	350.7	342.8
2. Sustainability of cultural expression and participation.	169.3	246.2	210.6	217.2	259.2	245.5
3. Preservation of Canada's heritage.	52.3	45.6	38.1	43.0	42.0	43.8
4. Access and participation in Canada's cultural life.	156.8	163.1	187.7	185.4	190.5	167.3
5. Promotion of inter-cultural understanding.	122.5	146.2	121.6	121.6	132.8	136.7
6. Community development and capacity-building	272.4	244.1	260.0	250.1	251.7	247.9
7. Participation in community and civic life.	175.3	204.9	203.9	222.1	230.7	207.5
Total	1,279.1	1,403.4	1,363.0	1,382.0	1,457.6	1,391.5
Less: Non–respendable revenue	62.1	62.8	N/A	62.1	N/A	63.8
Plus: Cost of services received without charge *	28.3	29.8	N/A	28.9	N/A	30.1
Total Departmental Spending	1,245.3	1,370.4	1,363.0	1,348.8	1,457.6	1,357.8
Full-time Equivalents	2 206	2 376	2 239	2 299	2 406	2 384

* Services received without charge include accommodations provided by Public Works and Government Services Canada, the employer's share of employees' insurance premiums, and expenditures paid by Treasury Board Secretariat (excluding revolving funds), Workers' Compensation coverage provided by Social Development Canada, and services received from the Department of Justice Canada.

Table 2: Voted and Statutory Items

Vote or Statutory Item	Truncated Vote or Statutory Wording	2007–2008 ($ millions)
		Main Estimates	Planned Spending	Total Authorities	Actual
1	Operating expenditures	252.1	254.4	272.5	246.0
5	Grants and contributions	1,080.6	1,097.3	1,156.6	1,117.0
(S)	Contributions to employee benefit plans	28.3	28.3	26.4	26.4
(S)	Minister of Canadian Heritage and Status of Women and Minister for La Francophonie—Salary and motor car allowance	0.1	0.1	0.1	0.1
(S)	Salaries of the Lieutenant-Governors	1.1	1.1	1.1	1.1
(S)	Payments under the Lieutenant-Governors Superannuation Act	0.6	0.6	0.7	0.7
(S)	Supplementary Retirement Benefits – Former Lieutenant-Governors	0.2	0.2	0.2	0.2
	Total	1,363.0	1,382.0	1,457.6	1,391.5

 

Table 3: Financial Statements of the Department

Canadian Heritage Statement of Management Responsibility Responsibility for the integrity and objectivity of the accompanying financial statements for the year ended March 31, 2008 and all information contained in these statements rests with the management of Canadian Heritage. 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 fulfill its accounting and reporting responsibilities, management maintains a set of accounts that provides a centralized record of Canadian Heritage's financial transactions. Financial information submitted to the Public Accounts of Canada and included in Canadian Heritage'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 Canadian Heritage. The Departmental Audit Committee, made up of external members, provides the Deputy Minister with independent, objective advice and guidance on the adequacy of the department's risk management, control, and accountability processes. The committee exercises oversight over the core areas of departmental control and accountability within its mandate.The financial statements of Canadian Heritage have not been audited. Judith A. LaRocque Deputy Minister Pablo Sobrino pour Tom Scrimger A/Senior Financial Officer Gatineau, Canada Date : July 30, 2008

Canadian Heritage Statement of Financial Position
(unaudited) as at March 31, 2008

(in thousands of dollars)	2008		2007
ASSETS
Financial assets
Accounts receivable and advances (Note 4)	12,502		5,768
Investment in Canadian Broadcasting Corporation	33,000		33,000
Total financial assets	45,502		38,768
Non-financial assets
Prepaid expenses	357		1,498
Inventory	2,944		2,004
Tangible capital assets (Note 5)	16,674		16,962
Total non-financial assets	19,975		20,464
TOTAL ASSETS	65,477		59,232
LIABILITIES AND EQUITY OF CANADA
Liabilities
Accounts payable and accrued liabilities (Note 6)	530,080		579,978
Vacation pay	8,774		8,723
Deferred revenue (Note 7)	321		332
Employee benefits (Note 8)	34,669		30,484
Other liabilities	332		244
Total liabilities	574,176		619,761
Equity of Canada	(508,699)		(560,529)
TOTAL LIABILITIES AND EQUITY OF CANADA	65,477		59,232

Contingent liabilities (Note 9)
Contractual obligations (Note 10)

The accompanying notes form an integral part of these financial statements.

Canadian Heritage
Statement of Operations
(unaudited)
for the year ended March 31, 2008

(in thousands of dollars)	2008		2007
Expenses (Note 11)
Creation of Canadian Content and Performance Excellence	344,394		354,756
Sustainability of Cultural Expression and Participation	252,965		252,256
Community Development and Capacity Building	249,920		245,869
Participation in Community and Civic Life	211,822		210,004
Access and Participation in Canada's Cultural Life	175,179		170,811
Promotion on Inter-Cultural Understanding	137,841		147,574
Preservation of Canada's Heritage	45,748		45,826
Total expenses	1,417,869		1,427,096
Revenues
Revenue from the 1979 Federal-provincial Lottery-
agreement	63,808		62,653
Sale of goods and services	5,122		4,993
Miscellaneous revenues	80		333
Total revenues	69,010		67,979
Net Cost of Operations	1,348,859		1,359,117

The accompanying notes form an integral part of these financial statements.

Canadian Heritage Statement of Equity of Canada
(unaudited) for the year ended March 31, 2008

(in thousands of dollars)	2008		2007
Equity of Canada, beginning of year	(560,529)		(544,203)
Net cost of operations	(1,348,859)		(1,359,117)
Current year appropriations used (Note 3)	1,391,565		1,403,442
Revenue not available for spending (Note 3)	(63,876)		(62,806)
Change in net position in the Consolidated Revenue
Fund (Note 3)	44,535		(27,615)
Services received without charge from other federal
government departments (Note 12)	28,465		29,770
Equity of Canada, end of year	(508,699)		(560,529)

The accompanying notes form an integral part of these financial statements.

Canadian Heritage Statement of Cash Flow
(unaudited) for the year ended March 31, 2008

(in thousands of dollars)	2008		2007
Operating activities
Net cost of operations	1,348,859		1,359,117
Non-cash items
Amortization of tangible capital assets	(2,064)		(2,153)
Loss on disposal of tangible capital assets	(84)		(63)
Services received without charge (Note 12)	(28,465)		(29,770)
Adjustment to tangible capital assets			171
Variations in Statement of Financial Position
Increase in accounts receivable and advances	6,734		3,932
Increase (decrease) in prepaid expenses	(1,141)		1,060
Increase in inventory	940		344
Decrease (increase) in liabilities	45,585		(22,729)
Cash used by operating activities	1,370,364		1,309,909
Capital investment activities
Acquisition of tangible capital assets	1,860		3,122
Proceeds from disposal of tangible capital assets			(10)
Cash used by capital investment activities	1,860		3,112
Financing activities
Net cash provided by Government of Canada (Note 3)	(1,372,224)		(1,313,021)

The accompanying notes form an integral part of these financial statements.

1. Authority and Objective
   
   The Department of Canadian Heritage was established in 1995 under the Department of Canadian Heritage Act.
   
   The Department of Canadian Heritage seeks to contribute to a cohesive and creative Canada in which all Canadians have opportunities to participate in Canada's cultural and civic life. The two strategic outcomes of the Department are:
   
   
   • Canadians express and share their diverse cultural experiences with each other and the world; and
   • Canadians live in an inclusive society built on intercultural understanding and citizen participation.

   These strategic outcomes help give shape to policies, programs and services offered to Canadians related to broadcasting, cultural industries, arts, heritage, official languages, Aboriginal cultures and languages, Canadian identity, citizens' participation, youth, multiculturalism and sport. Expenses of these programs are reported in the Statement of Operations through the following seven program activities:
   

   • Creation of Canadian Content and Performance Excellence
   • Sustainability of Cultural Expression and Participation
   • Community Development and Capacity Building
   • Participation in Community and Civic Life
   • Access and Participation in Canada's Cultural Life
   • Promotion of Inter-Cultural Understanding
   • Preservation of Canada's Heritage
     
     
2. Summary of Significant Accounting Policies
   
   These 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. Significant accounting policies are as follows:
   
   

   Significant accounting policies are as follows:

   1. Parliamentary appropriations—The Department of Canadian Heritage is financed by the Government of Canada through Parliamentary appropriations. Appropriations provided to the Department 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 two bases of reporting.
      
      
   2. Net Cash Provided by Government of Canada—The Department of Canadian Heritage operates within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by the Department is deposited to the CRF and all cash disbursements made by the Department 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 departments of the federal government.
      
      
   3. Change in net position in the Consolidated Revenue Fund—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 Department of Canadian Heritage. It results from timing differences between when a transaction affects appropriations and when it is processed through the CRF.
      
      
   4. Accounts receivable—Accounts receivable are stated at amounts expected to be ultimately realized; a provision is made for receivables where recovery is considered uncertain.
      
      
   5. Investment in Canadian Broadcasting Corporation—The Department's investment in Canadian Broadcasting Corporation is recorded at cost. The net results of this Crown Corporation are not accounted for in the departmental financial statements, as the Department is not deemed to control this Crown Corporation.
      
      
   6. Inventory—Inventory consists of material and supplies held for future program delivery and not intended for re-sale. They are valued at cost. If they no longer have service potential, they are valued at the lower of cost or net realizable value.
      
      
   7. 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. The Department of Canadian Heritage does not capitalize intangibles, works of art and historical treasures that have cultural, aesthetic or historical value, assets located on Indian Reserves and museum collections. Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the asset as follows:
      
      

      Asset class	Amortization period
      Machinery and equipment	5 and 10 years
      Informatics hardware	5 years
      Informatics software	3 and 5 years
      Motor vehicles	7, 10 and 15 years
      Leasehold improvements	Lesser of the remaining term of the lease or useful life of the improvement
      Assets under construction	Once in service, in accordance with asset type

   8. Employee benefits:
      
      
      • Pension benefits: Eligible employees participate in the Public Service Pension Plan administered by the Government of Canada. The Department of Canadian Heritage contributions to the Plan are charged to expenses in the year incurred and represent the total departmental obligation to the Plan. Current legislation does not require the Department to make contributions for any actuarial deficiencies of the Plan.
        
        
      • Severance benefits: Employees are entitled to severance benefits, as provided for 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.
        
        
   9. 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.
      
      
   10. Revenues:
       
       
       • Revenues are recognized in the year in which the underlying transaction or event occurred that gave rise to the revenues.
         
         
       • Funds received from third parties for specified purposes are recorded upon receipt as deferred revenues and are recognized in the period in which the related expenses are incurred.
         
         
   11. Expenses—Expenses are recorded on an accrual basis:
       
       
       • Grants are recognized in the year in which the conditions for payment are met. In the case of grants which do not form part of an existing program, the expense is recognized when the Government announces a decision to make a non-recurring transfer, provided the enabling legislation or authorization for payment receives parliamentary approval prior to the completion of the financial statements;
         
         
       • 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 is expensed as the benefits accrue to employees under their respective terms of employment;
         
         
       • Services provided without charge by other government departments for accommodation, the employer's contribution to the health and dental insurance plans and legal services are recorded as operating expenses at their estimated cost.
         
         
   12. 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 a foreign currency are translated into Canadian dollars using the rate of exchange in effect on March 31. Gains and losses resulting from the foreign currency transactions are presented under miscellaneous revenues and other operating expenses in the Statement of Operations and note 11 respectively.
       
       
   13. Measurement uncertainty—The preparation of these 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 affect the reported amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these statements, management believes the estimates and assumptions to be reasonable. The most significant items where estimates are used are contingent liabilities, the liability for employee severance 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.
       
       
   14. Financial instruments—The carrying amounts of the Department's accounts receivable, accounts payable and accrued liabilities approximate their fair value due to their short term maturity
3. Parliamentary Appropriations
   
   

   The Department of Canadian Heritage 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 Department 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:

   
   

   (in thousands of dollars)	2008		2007
   Net cost of operations	1,348,859		1,359,117
   Adjustments for items affecting net cost of operations but
   not affecting appropriations
   Add (less):
   Revenue not available for spending	63,876		62,806
   Refund of prior year expenses	12,617		12,867
   Inventory	940		344
   Adjustments to tangible capital assets	32		171
   Disposal of non-capital assets	13		9
   Services received without charge	(28,465)		(29,770)
   Employee severance benefits	(4,185)		(2,315)
   Amortization of tangible capital assets	(2,064)		(2,153)
   Prepaid expenses	(1,141)		1,060
   Bad debt	(323)		(62)
   Outstanding respendable revenue	(199)		249
   Advances	(120)		5
   Loss on disposal of tangible capital assets	(84)		(63)
   Vacation pay	(51)		(763)
   Department of Justice legal fees			(1,187)
   	1,389,705		1,400,315
   Adjustments for items not affecting net cost of operations
   but affecting appropriations
   Add:
   Acquisitions of tangible capital assets	1,860		3,122
   Adjustment to tangible capital assets			5
   	1,860		3,127
   Current year appropriations used	1,391,565		1,403,442

   
   

   b) Appropriations provided and used

   	Appropriations provided
   (in thousands of dollars)	2008		2007
   Vote 1 - Operating expenditures	272,469		252,600
   Vote 5 - Transfer payments	1,156,583		1,179,044
   Statutory amounts	28,525		27,343
   Loans - Cultural Property			10
   Less:
   Appropriation available for the future years			(19)
   Lapsed appropriations	(66,012)		(55,536)
   Current year appropriations used	1,391,565		1,403,442

   
   

   c) Reconciliation of net cash provided by Government of Canada to current year appropriations used:

   (in thousands of dollars)	2008		2007
   Net cash provided by Government of Canada	1,372,224		1,313,021
   Revenue not available for spending	63,876		62,806
   Changes in net position in the Consolidated Revenue Fund
   Increase in accounts receivable and
   advances	(6,734)		(3,932)
   Increase (decrease) in liabilities	(45,585)		22,729
   Receipts and expenditures not affecting appropriations	7,784		8,818
   	(44,535)		27,615
   Current year appropriations used	1,391,565		1,403,442

   
   
4. Accounts Receivable and Advances
   

   The following table presents details of accounts receivable and advances:

   (in thousands of dollars)	2008		2007
   Accounts receivable from external parties	10,740		1,972
   Accounts receivable from other federal government departments and agencies	2,831		4,419
   Employee advances	23		26
   Other advances			120
   	13,594		6,537
   Less: allowance for doubtful accounts on receivables from external parties	(1,092)		(769)
   Total	12,502		5,768

   
   
5. Tangible Capital Assets (in thousands of dollars)
   
   

   Capital asset class	Opening balance	Acquisitions	Disposals	Transfers	Closing balance	Opening balance	Amortization	Disposals	Closing balance	2008 Net book value	2007 Net book value
   Machinery & equipment	7,692	309			8,001	4,297	600		4,897	3,104	3,395
   Informatics hardware	7,571	454	36		7,989	5,451	703		6,154	1,835	2,120
   Informatics software	3,790	172	209		3,753	3,062	288	179	3,171	582	728
   Motor vehicles	2,089	77	23		2,143	1,345	125	5	1,465	678	744
   Leasehold improvements	2,780	794		8,297	11,871	1,102	348		1,450	10,421	1,678
   Assets under construction	8,297	54		(8,297)	54					54	8,297
   Total	32,219	1,860	268		33,811	15,257	2,064	184	17,137	16,674	16,962

   
   
   
6. Accounts Payable and Accrued Liabilities
   
   

   (in thousands of dollars)	2008		2007
   Payable to external parties	516,344		565,649
   Payable to other federal government departments and agencies	8,926		10,044
   Accrued salaries, wages and employee benefits	4,796		4,268
   Sales tax payable	14		17
   Total	530,080		579,978

   
   
   
7. Deferred Revenue
   
   Deferred revenue represents the balance at year-end of unearned revenues stemming from cost-sharing agreements, which are restricted to fund the expenditures related to the projects. Revenue is recognized each year in the amount of the expenditures incurred. Details of the transactions related to this account are as follows:
   
   

   (in thousands of dollars)	2008		2007
   Balance, beginning of year	332		277
   Funds received	624		504
   Revenue recognized	(635)		(449)
   Balance, end of year	321		332

   
   
8. Employee Benefits
   
   

   (a) Pension benefits: The Department'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 or earning. The benefits are integrated with Canada/Québec Pension Plans benefits and they are indexed to inflation.
   
   Both the employees and the Department contribute to the cost of the Plan. The 2008 expense amounts to $26,353 million ($24,954 million in 2007), which represents approximately 2.1 times (2.2 times in 2007) the contributions by employees.
   
   The Department'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 Department 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:

   (in thousands of dollars)	2008		2007
   Accrued benefit obligation, beginning of year	30,484		28,169
   Expenses for the year	6,689		3,982
   Benefits paid during the year	(2,504)		(1,667)
   Accrued benefit obligation, end of year	34,669		30,484

   
   
9. Contingent Liabilities
   
   Claims have been made against the Department in the normal course of operation. However, legal proceedings for claims are not determinable as of March 31, 2008. 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 in the financial statements.
   
   
10. Contractual Obligations
    
    The nature of the Department's activities can result in some large multi-year contracts and obligations whereby the Department will be obligated to make future payments. Significant contractual obligations that can be reasonably estimated are summarized as follows:
    
    

    (in thousands of dollars)	2009	2010	2011	2012		Total
    Transfer payments	381,000	40,000	3,000	1,000		425,000
    Operating	4,000	5,000	3,000			12,000
    	385,000	45,000	6,000	1,000		437,000

    
    
11. Expenses
    
    

    The following table presents details of expenses by category:

    (in thousands of dollars)	2008		2007
    Transfer payments
    Non-profit organizations	661,864		707,623
    Other levels of government within Canada	310,925		299,292
    Industry	100,695		100,291
    Individuals	26,826		27,084
    Other countries and international organizations	7,444		6,505
    Total transfer payments	1,107,754		1,140,795
    Salaries and employee benefits	201,189		192,559
    Professional services	38,471		33,677
    Accommodation	16,272		15,939
    Information	10,455		8,132
    Utilities, materials and supplies	10,004		13,591
    Travel and relocation	9,569		8,085
    Freight and communications	5,016		4,595
    Amortization	2,064		2,153
    Repairs and maintenance	1,968		1,897
    Rentals	1,965		1,784
    Loss on disposal of capital assets	84		63
    Other operating expenses	13,058		3,826
    Total operating expenses	310,115		286,301
    Total Expenses	1,417,869		1,427,096

    
    
12. Related party transactions
    
    

    The Department is related as a result of common ownership to all Government of Canada departments, agencies and crown corporations. The Department enters into transactions with these entities in the normal course of business and on normal trade terms. Also, during the year, the Department received services which were obtained without charge from other federal government departments.
    
    Services provided without charge:

    During the year the Department received without charge from other departments, accommodation, legal fees and the employer's contribution to the health and dental insurance plans. These services without charge have been recognized in the Department's Statement of Operation as follows:
    
    

    (in thousands of dollars)	2008		2007
    Accommodation	16,272		15,939
    Employer's contribution to the health and dental insurance plans	10,809		11,845
    Legal services	1,384		1,986
    Total	28,465		29,770

    
    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 cost of these services, which include payroll and cheque issuance services provided by Publics Works and Government Services Canada, are not included as an expense in the Department's Statement of Operations.

List of all other tables

The following tables are only available online at:
http://www.tbs-sct.gc.ca/dpr-rmr/2007-2008/index-eng.asp?acr=15

Table 4: Sources of Respendable and Non-Respendable Revenue

Table 5: User Fees / External Fees

Table 6: Details on Transfer Payment Programs (TPPs)*

Table 7: Foundations (Conditional Grants)

Table 8: Horizontal Initiatives

Table 9: Sustainable Development Strategy

Table 10: Response to Parliamentary Committees and External Audits

Table 11: Audits

Table 12: Evaluations

Travel Policy: The Department of Canadian Heritage follows and uses Treasury Board travel policy parameters.

* For convenience, below is a summary table of Table 6, Details of Transfer Payments Programs (TPPs).

Summary of Table 6: Canadian Heritage, List of Transfer Payments Programs of more than $5 million dollars, 2007–2008 — Actual Spending

Name of Transfer Payment Programs (above $5 million)	Amount of Grants ($ millions)	Amount of Contributions ($ millions)	Total ($ millions)
Aboriginal Peoples' Program (including Young Canada Works)	0.5	59.1	59.6
Community Historical Recognition Program (formerly Acknowledgement, Commemoration and Education)	0	0	0
Arts Presentation Canada Program	3.1	20.2	23.3
Athlete Assistance Program	25.3	0	25.3
Book Publishing Industry Development Program	0	36.9	36.9
Canada Magazine Fund	0	14.6	14.6
Canada Music Fund	0	23.7	23.7
Canada New Media Fund	0	11.5	11.5
Canadian Arts and Heritage Sustainability Program	16.3	9.5	25.8
Canadian Television Fund	0	120.0	120.0
Celebration, Commemoration and Learning Program	2.2	19.3	21.5
Contribution in support of the Canadian Culture Online Program	0	11.1	11.1
Cultural Spaces Canada	0.4	22.9	23.3
Development of Official-Language Communities Program	7.2	226.7	233.9
Enhancement of Official Languages Program (including Young Canada Works)	0.5	121.3	121.8
Exchanges Canada Program	0	17.4	17.4
Grants/Contributions to TV5 Program	4.7	3.0	7.7
Hosting Program	0	118.8	118.8
Katimavik Program	0	18.0	18.0
Multiculturalism Program	0.3	6.8	7.1
Museum Assistance Program (including Young Canada Works)	1.2	11.4	12.6
National Arts Training Contribution Program	0	19.4	19.4
Publication Assistance Program	45.4	0	45.4
Sport Support Program	0	103.2	103.2
Total	107.1	994.8	1,101.9

Section 4 : Other Items of Interest

4.1 Organizational Information

4.1.1 Mandate, Roles and Responsibilities (in 2007-2008)

The Department of Canadian Heritage is responsible for the Government of Canada's role with respect to arts, culture, sport, heritage, and citizen participation.

The Department of Canadian Heritage Act clearly sets out the Minister's powers, duties and functions with respect to "Canadian identity and values, cultural development and heritage." These responsibilities explicitly include:

• the arts, including cultural aspects of the status of the artist;
• cultural heritage and industries, including performing arts, visual and audio-visual arts, publishing, sound recording, film, video and literature;
• broadcasting, except in respect of spectrum management and the technical aspects of broadcasting;
• the formulation of cultural policy, including the formulation of cultural policy as it relates to foreign investment and copyright;
• the conservation, exportation and importation of cultural property;
• national museums, archives and libraries;
• national battlefields;
• the encouragement, promotion and development of sport;
• the advancement of the equality of status and use of English and French and the enhancement and development of the English and French linguistic minority communities in Canada;
• the promotion of a greater understanding of human rights, fundamental freedoms and related values;
• multiculturalism; and
• state ceremonial and Canadian symbols.

The Department of Canadian Heritage Act also states that in exercising the powers and performing the duties and functions assigned to the Minister, the Minister shall initiate, recommend, coordinate, implement and promote national policies, projects and programs with respect to Canadian identity and values, cultural development and heritage. The Minister may enter into agreements with the government of any province or any agency thereof.

Other statutes, listed in Appendix A, also fall under the Department's responsibility in whole or in part.

4.1.2 Organizational Structure (in 2007-2008)

The Minister of Canadian Heritage and Status of Women and Minister for La Francophonie is responsible before Parliament for the Department. The Minister is assisted by the Secretary of State (Asia–Pacific Gateway) (2010 Olympics) (Official Languages), the Secretary of State (Foreign Affairs and International Trade) (Sport) and the Secretary of State (Multiculturalism and Canadian Identity).

The Deputy Minister and Associate Deputy Minister are jointly responsible for achieving the Department's strategic outcomes with the support of the Assistant Deputy Ministers and other departmental staff, who are located in the National Capital region, throughout Canada, and in few locations outside the country.

Within the Department, seven core functions report to the Deputy Minister:

• Human Resources and Workplace Management is responsible for getting the right people in the right jobs at the right time by promoting a culture that supports performance, learning and innovation, and ensuring that employees feel valued, safe, and engaged. It also provides critical infrastructure to the entire Department.
  
  
• The Corporate Secretariat is responsible for: Access to Information and Privacy Secretariat; Executive Services Secretariat; Ministerial Liaison Office; Parliamentary and Regulatory Affairs; Office of the Corporate Secretary; and Planning and Resource Management (which includes Minister, Secretaries of State and Executive Offices).
  
  
• Portfolio Affairs integrates policy, planning, reporting, financial management, central agencies coordination, appointments, governance, and communications issues relative to the Canadian Heritage Portfolio organizations.
  
  
• Legal Services is the principal source of legal services and advice for the Department.
  
  
• The Ombudsman is a neutral party who provides all employees at all levels with confidential, informal, and impartial support.
  
  
• The Office of the Chief Audit and Evaluation Executive provides the Department with independent and neutral evaluation, audit and assurance services, and recipient compliance audit services. It is also the focal point for integrated risk management expertise and provides secretariat support to the newly established Strategic Policy, Planning and Evaluation Committee (SPPEC) and to the external members of the Departmental Audit Committee (DAC).
  
  
• The Communications Branch delivers professional and strategic services to ensure that communications across the Department are timely, well coordinated, effectively managed, and responsive to the diverse needs of the public that the organization serves.

It should be noted that in 2007, Public Affairs and Communications Sector became Public and Regional Affairs Sector as the Communications Branch now reports directly to the Deputy Minister. Also as of 2007, the Corporate Review Branch was repositioned to report directly to the Deputy Minister, in accordance with the new Internal Audit Policy and the forthcoming Evaluation Policy. In 2008, its name was changed to the Office of the Chief Audit and Evaluation Executive.

The Department has five sectors each headed by an Assistant Deputy Minister (ADM). These sectors develop and implement policies, programs and initiatives aimed at achieving the Department's strategic outcomes.

The Department's five sectors are:

• Cultural Affairs,
• International and Intergovernmental Affairs and Sport,
• Public Affairs and Communications,
• Citizenship and Heritage, and
• Planning and Corporate Affairs.

Organizational Structure of the Department of Canadian Heritage
(as of March 31, 2008)

(ADM=Assistant Deputy Minister)

4.1.3 Accountability Structure

The Ministers, the Secretaries of State, the Deputy Minister and the Department's senior management team are accountable for the Department's progress toward the two strategic outcomes.

Accountability for the Strategic Outcomes (effective in 2007–2008)
Minister of Canadian Heritage, Status of Women and Official Languages	The Honourable Josée Verner
Minister of International Trade and Minister for the Pacific Gateway and the Vancouver-Whistler Olympics	The Honourable David Emerson
Secretary of State (Foreign Affairs and International Trade) (Sport)	The Honourable Helena Guergis
Secretary of State (Multiculturalism and Canadian Identity)	The Honourable Jason Kenney
Deputy Minister	Judith A. LaRocque
Associate Deputy Minister	Susan Peterson
Executive Committee	Decision-making body chaired by the Deputy Minister; the Associate Deputy Minister, Assistant Deputy Ministers and Corporate Secretary are members.

Accountabilities for the Program Activity Architecture
Assistant Deputy Minister, Cultural Affairs	Jean-Pierre Blais
Assistant Deputy Minister, Citizenship and Heritage	Diane Fulford
Assistant Deputy Minister, International and Intergovernmental Affairs and Sport	Marie-Geneviève Mounier
Assistant Deputy Minister, Public and Regional Affairs	Nicole Bourget
Assistant Deputy Minister, Planning and Corporate Affairs	Bruce Manion / Tom Scrimger18

Each Assistant Deputy Minister is accountable for managing his or her Sector and shares accountability for the delivery of results associated with the seven departmental program activities as set out in the Program Activity Architecture. This model fosters collaboration among sectors. Directors General, Regional Executive Directors, Directors and Managers are accountable for program sub-activities, and sub-sub-activities and report to their respective Assistant Deputy Minister.

4.2 Governance of the Department of Canadian Heritage

Departmental governance is an important element of the Management Accountability Framework which sets out expectations for good management. An overview of the Department of Canadian Heritage's internal governance structure is therefore provided in this report. The Department's internal governance structure consists of three levels (see the following figure).

Management Level 1: The Decision-making Committees

The Executive Committee is the Department's senior decision-making committee. It acts as a "board of directors", responsible for overall governance, strategic direction and decision-making in support of the Deputy Minister.

The Departmental Audit Committee, created as part of the implementation of the new Internal Audit Policy, reports directly to the Deputy Minister since July 11, 2007 and provides the Deputy Minister with independent, neutral and objective advice on the state of risk management, internal controls and governance processes.

Management Level 2: The Operational Committees (Chaired by the Deputy Minister or by the Associate Deputy Minister)

The Communications and Coordination Committee is a forum for discussion on future communications and departmental events programming.

The new Strategic Policy, Planning and Evaluation Committee, chaired by the Deputy Minister will be operational in early 2008–2009. This Committee will act as a catalyst in developing a strategic vision by linking policies, programs and evaluations, to achieve the Department's strategic outcomes. The Operations and Management Committee is responsible for reviewing processes and deciding how to implement operational and management strategies.

Management Level 3: The Advisory Committees

The Policy Committee provides advice on policy development and reports to the Strategic Policy, Planning and Evaluation Committee.

A new Integrated Planning Committee, created in April 2007, provides advice to senior level committees with respect to the efficient delivery of the Department's mandate. A risk management dimension has been integrated into the Committee's work to ensure that risk management is integrated into the planning and resource allocation processes.

The Human Resources Advisory Committee, the Finance Committee, the Information Management and Information Technology (IM/IT) Committee, the Program Management and Service Delivery Committee and the Legal Services Planning and Priorities Committee provide advice on their respective areas of responsibility to the Operations and Management Committee.

4.3 Departmental Support for Portfolio Management

The Portfolio Affairs Office assists the Minister and Deputy Minister in carrying out their Portfolio responsibilities and supporting the Government's agenda. It provides a "single window" on the Portfolio to integrate policy, planning, reporting, renewal of financial resources, central agencies coordination, appointments, governance and communications issues relative to the Canadian Heritage Portfolio organizations. The Portfolio Affairs Office reports directly to the Deputy Minister of Canadian Heritage through an Executive Director.

More specifically, the Portfolio Affairs Office:

• Supports and advises the Minister and the Deputy Minister in the establishment of priorities and broad objectives within which the portfolio organizations carry out their activities.
  
  
• Provides strategic analysis and advice to Minister, senior Departmental and Portfolio officials on issues such as policy, programs, strategic planning, performance management, resource allocation, accountability and legislative requirements affecting portfolio organizations.
  
  
• Fosters portfolio organizations' involvement in the Government's agenda and actively seeks opportunities for collaboration.
  
  
• Advises the Minister and Deputy Minister on all issues relating to Governor-in-Council appointments within the portfolio and coordinates the appointment process for boards of directors.
  
  
• Advances and promotes open governance practices among Porfolio organizations and provides logistical and secretariat services for regular portfolio governance meetings.
  
  
• The Office works closely with Portfolio organizations, the Department and central agencies on issues such as the adoption of best governance and reporting practices, the infrastructure needs of federal cultural institutions, the development and updating of policies involving the Portfolio organizations, funding the operations of these organizations, or the preparation of Treasury Board submissions and memorandums to Cabinet.

4.4 Role of the Regions

In addition to its headquarters in Gatineau, Quebec, the Department connects with Canadians through 5 regional offices and 20 points of service across Canada, as well as through its website. These offices served a wide range of client organizations at the community-level by managing certain grants and contributions programs.

In 2007–2008, grants and contributions again represented more than 80 percent of total departmental spending. Regions played an important role in delivering programs with 48 percent of files processed in the regions.

While the management and delivery of these grants and contributions programs form the core of regional work, regional employees also provided many more services. For instance, they provide outreach and communications support for regional visits of Ministers and Secretaries of State and for major events and thematic days (e.g. Canada Games, local Canada Day events, activities for the March 21 Anti-Racism Day). They also provide strategic analysis and advice for the development of policies and programs, and help build partnerships with other federal departments, other orders of government, and public institutions.

Regional offices help the Department ensure that its programs and services are effective and locally relevant, that its policies respond to the needs and concerns of Canadians, and that communications efforts are well-targeted and the ministers well-supported.

Grant and Contributions Programs and Components of
Canadian Heritage Programs Delivered Primarily in Regions in 2007–2008

Areas	Grant and Contributions Programs and Components of Programs Delivered Primarily in Regions	G & Cs % of Files Processed Regionally
Official Languages	Development of Official Languages Communities; Enhancement of Official Languages	69%
Heritage	Museums Assistance Program; Canadian Arts and Heritage Sustainability Program (Heritage component)	81%
Multiculturalism	Multiculturalism Program	81%
Aboriginal Affairs	Representative Organizations; Friendship Centres; Aboriginal Women; Northern Native Broadcast Access; Aboriginal Languages; Urban Multipurpose Aboriginal Youth Centres	73%
Arts Policy	Cultural Spaces; Arts Presentation; Capacity Building; Cultural Capital of Canada; Endowment Incentive	82%
Major Events and Celebrations	Celebrate Canada!	99%
Citizen Participation	Canadian Studies; Exchange; Youth Engagement; Katimavik; Community Participation; Building Communities through Arts and Heritage	82%

4.5 Internal Services

Internal (corporate) Services support all Strategic Outcomes and are considered a special program activity.

Internal Services include:

• Legal Services;
• Informatics Services;
• Financial and Administrative Services;
• Human Resources and Workplace Management Services;
• Communications;
• Audit and Evaluation Services;
• Integrated Risk Management Services;
• Recipient Compliance Audit Services;
• Corporate and Regional Management; and
• Deputy Minister's Office, Associate Deputy Minister's Office, Ombudsman and Corporate Secretary.

This program activity includes those corporate services and strategic governance functions that support the Department's capacity to develop policies, and to deliver programs and services to Canadians as the Department progresses toward the realization of its two strategic outcomes.

Corporate Services are shared functions, with service provided to all sectors, branches and directorates of the Department, in the areas of human resources, financial management, corporate and regional management, communications and ministerial affairs, audit and evaluation functions, legal services, facilities, informatics, information and materiel management.

Management Accountability Framework

The Management Accountability Framework (MAF) is a set of ten statements summarizing the Treasury Board Secretariat (TBS) expectations for modern public service management. TBS and the Canada Public Service Agency (CPSA) have also developed MAF indicators and measures, which are used to perform an annual MAF assessment to measure the management performance of government organizations.

In May 2007, TBS and CPSA provided the Department of Canadian Heritage with the final results of the Round IV assessment. These results are a snapshot of the Department's performance against a specific set of indicators as of March 31, 2007. They do not reflect the efforts made towards improving the indicators and strengthening management performance since then.

Following the 2006 MAF assessment, Canadian Heritage implemented a MAF Action Plan to strengthen management practices. While the Department is committed to continuous improvement in all areas of management, it has been focusing its efforts in four areas identified as Opportunity for Improvement: Results-Based Management, Integrated-Risk Management; Implementing the new Treasury Board Policy on Internal Audit, and Shared Services and Information Management (IM)/Information Technology (IT).

(More information is available at :http://www.tbs-sct.gc.ca/maf-crg/assessments-evaluations/2006/pch/pch_e.asp).

Blue Ribbon Panel on Grant and Contribution Programs

The Department of Canadian Heritage played a key role in the Government response to the report of the Independent Blue Ribbon Panel. As one of six departments with an important role in the delivery of transfer payment programs, or "Vanguard" departments, Canadian Heritage contributed to the formulation of the Government Action Plan to Reform the Administration of Grants and Contributions, which was announced by the President of the Treasury Board of Canada on May 27, 2008. The Department of Canadian Heritage Blue Ribbon Panel Action Plan, along with those of other Vanguards, forms one key element of the Government Action Plan.

The Department's Blue Ribbon Panel Action Plan was approved by Executive Committee in September 2007. It contains 22 initiatives, which include a series of best practices already being put into place (e.g. Department of Canadian Heritage Standard Contribution Agreement and Program Officer Learning Strategy) and new initiatives under development (such as the Project Risk Assessment Tool and the Recipient Compliance Audit Strategy). In keeping with the recommendations of the Panel itself and the Government's response, the Department's Plan aims to reduce the administrative and reporting burden while maintaining or enhancing accountability, and to do this by basing controls on materiality of risk.

The Department of Canadian Heritage has made significant progress in more effectively managing grants and contributions and treating recipients more consistently in all its programs. This has been accomplished by creating, in 2003, a Centre of Expertise for Grants and Contributions. The Centre supports programs and encourages horizontality by bringing together in one organization policy advice, systems, quality control, compliance monitoring, tools and training.

In 2007–2008:

• The Department implemented a mandatory program officer learning strategy designed to improve capacity, compliance and client service and respond to expected employee turnover. Most existing officers were trained during 2007–2008.
  
  
• A Program Managers' Conference held in February 2008 updated managers on developments flowing from the Report of the Blue Ribbon Panel and prepared them for the changes required for the reform of grants and contributions administration.
  
  
• The Department contributed to the planning and has participated in all recipient engagement events organized to date by TBS in June 2007, in February 2008, and most recently on June 26, 2008.
  
  
• The Department's programs introduced many initiatives to reduce administrative burden, including: the simplifying and integrating of terms and conditions at program renewal; simplifying application and reporting requirements and processes, in some cases by using technology; introducing multi-year, multi-program element agreements; and reviewing their audit procedures for contribution recipients.

Key Initiative 30 : Internal Services: Performance Measurement

The Department of Canadian Heritage remains committed to the integration of performance information in operational and corporate decision-making. To strengthen the information presented in its Report on Plans and Priorities and Departmental Performance Report, the Department of Canadian Heritage planned to provide additional corporate support to improve performance management throughout the organization. In support of the implementation of the Management, Resources and Results Structure (MRRS), the Department of Canadian Heritage is strengthening its performance measurement approach, working horizontally with programs to support reliable and systematic decision-making.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The Department plans to measure the success of its overall performance in accordance with the Management, Resources and Results Structure (MRRS) and the Program Activity Architecture (PAA), which clearly reflect how the Department uses its resources to achieve measurable results; and strategic documents, such as business plans, Reports on Plans and Priorities and Departmental Performance Reports based on measurable results.

Results achieved

Planned results for 2007–2008 were achieved. The Department fulfilled its commitments by developing a strategy to enhance its performance measurement framework based on a new PAA (effective April 1, 2009). First, the Department reviewed the existing PAA and its irregularities, and took stock once again of all departmental programs and activities according to criteria based on TBS guidelines. This development phase was carried out through consultations with all decision-making and operational levels of the Department. This resulted in a redefining of the Department's strategic outcomes, which allowed the realignment of all program activities. The departmental performance measurement framework was also developed at the same time as the PAA using the expected results for each level of program activities taken from logic models and results-based management and accountability frameworks. As a result, at the end of 2007–2008, the Department was able to submit the new PAA and performance measurement framework on time to the TBS for Treasury Board approval, which was obtained on May 29, 2008.

Continuing with the application of the MRRS Policy, the Department also began implementing its new PAA and performance measurement framework, primarily by using these management tools in specific initiatives and management processes. For example, the 2009–2010 PAA played a decisive role in the strategic review, the adoption of departmental priorities and planning and the development of a five-year evaluation plan for Canadian Heritage, while the performance measurement framework has become the key component of the organizational and operational transition strategy, which was initiated to achieve forecasted results. This strategy will be continued throughout 2008–2009. Better connections were created because these tools will serve as the basis for planning and reporting documents for Parliament and within the Department during the years they will officially be in use.

Key Initiative 31 : Internal Services: Risk-Based Decision Making

The Department of Canadian Heritage is committed to identifying and responding to risks effectively and integrating risk management into key decision-making. The Department has taken a more coherent and integrated view of risk management-related initiatives at all levels: governance, corporate, program and project. In doing so, it is better positioned to take a more systematic and evidence-based approach to identifying, analyzing/assessing and reporting on its risks (at the corporate level) and to developing management improvement strategies for the overall management and administration of grants and contributions. This is done primarily through the annual Departmental business planning process and the Corporate Risk Profile. The development of an enterprise-wide approach to integrated risk management permits greater information sharing and learning across program and corporate areas and better equips senior management with the appropriate tools to improve planning and informed decision-making.

The plan to implement risk management will advance five identified priorities: establish a departmental focal point for integrated risk management; prepare the corporate risk profile; prepare a risk-based audit and evaluation plan; integrate risk management into business and reporting processes; and build organizational and governance capacity.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

A risk-smart culture will result in enhanced management rigour in Canadian Heritage.

Results achieved

Planned results for 2007–2008 were partially achieved. Solid progress has been made with respect to most of the indicators. Risk management is practiced across all corporate areas, programs and regions and integrated into planning. Also, a Corporate Risk Profile was approved and communicated to the organization and the monitoring of risks in the profile gave strong support to an improved risk-management culture and impetus for action. Risk-based audit and evaluation planning was firmly in place and practiced which supported strategic and effective monitoring and accountability efforts, making risk management an element of governance in the Department.

In addition, partial progress was made on a few other indicators. A focal point was established for risk management within the Office of the Chief Audit and Evaluation Executive, although adequate resourcing is still in progress. Explicit risk management has not yet been fully integrated into priority-setting and key decision-making, resource-allocation or reporting, although implicitly present throughout these management functions.

Overall, extensive consultations and discussions, as well as communications with staff led by the Deputy Minister, have advanced the Department's goal of creating a risk-smart workforce and environment.

Key Initiative 32 : Internal Services: Service Improvement

Through participation in the Treasury Board's Service Improvement Initiative, and in alignment with other initiatives under the larger Government of Canada service reform agenda, the Department of Canadian Heritage is striving for excellence in delivering its programs and services to citizens, businesses, and international clients. (More information is available at: http://www.tbs-sct.gc.ca/si-as/index_e.asp).

The Department of Canadian Heritage is actively involved in ensuring that the requirements of the forthcoming Treasury Board Policy on Service for the Government of Canada will be fully met by the Department. Canadian Heritage has participated throughout the development of this new policy and has proactively initiated several projects to ensure not only ongoing policy compliance, but also ongoing service delivery improvement. The Department works to ensure that the recommendations of the Independent Blue Ribbon Panel on Grant and Contribution Programs are integrated within service improvement plans and projects.

To realize the vision of more client-centred, timely and cost-effective services and build on the service improvements accomplished to date, the Department commissioned the development of a multi-channel Service Improvement Roadmap (SIR). The purpose of the SIR is to examine current departmental systems and processes of service delivery to clients and map them in order to leverage best practices and to recommend possible improvements.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

Implementation of the multi-channel SIR will allow Canadians to access departmental programs and services more efficiently. Part of the SIR exercise will include the development of assessment tools using key elements and indicators of the Management Accountability Framework, to measure the Department's success with this initiative.

Results achieved

Planned results for 2007–2008 were partially achieved. The Department continued to implement a number of projects stemming from the SIR, including:

• Service improvement plans were aligned with departmental priorities and governance structure for service improvement planning and monitoring was also formalized.
  
• Service standards for the majority (5 of 9) of jointly-delivered regional–Headquarters programs were successfully piloted and will be published fall 2008.
  
• A detailed listing of all departmental external-facing services was compiled – approval was obtained to automate the list into a program and service system.
  
• Detailed business plans were developed in advance of a departmental program and service inventory system.
  
• An online transaction system within a multi-channel delivery environment was further developed for the Canadian Audio-Visual Certification Office.
  
• Two e-form pilot projects leveraging whole-of-government Shared Services were advanced to beta stage.
  
• A Service Delivery Performance Management Framework was developed.
  
• Performance metrics for all service channels and associated management reports for the telephone and Internet channels were implemented.
  
• A call activity tracking tool that captures and reports client feedback and requests was implemented for the Enquiry Centre (PCH toll-free service).
  
• Client satisfaction indicators and Common Measurement Tool-based survey questions were developed for use by all departmental programs and services.
  
• Service charter and service standards for internally provided services were successfully piloted by the Evaluation Directorate.
  
• A representative sample of current-state process maps of departmental funding support programs and an environmental scan analysis identifying process improvement opportunities were created.

Key Initiative 33: Internal Services: Human Resources Initiatives

In 2007–2008, the Department of Canadian Heritage planned to continue to focus on integrating business and human resources planning to align with the Department's business pressures. Human resources planning continues to be driven by organizational planning dashboards that provide managers with key demographic and survey data to assist them to chart the best course for their organizations. An important element of the dashboards has been three indices drawn from employee survey data: a Learning Culture Index, a Business Health Culture Index and a Fairness Perception Index. For 2007–2008, serious consideration is being given to introducing two new indices: an Engagement Index and a Values and Ethics Index. All of these will provide snapshots of areas of strength and weakness to help focus on planning, organizational development and performance review.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

• A fair, enabling, healthy and safe workplace that exhibits:
  • fair employment and workplace practices and effective labour relations;
  • clear direction, collaboration, respect and support for employees' linguistic rights, diversity and personal circumstances; and,
  • a healthy and safe physical and psychological environment.
    
• A productive, principled, sustainable and adaptable workforce that is:
  • committed with the size, mix of skills and diversity of backgrounds to competently perform its duties;
  • reflective of Canada's population, respectful of Canada's official languages and that performs its duties guided by the values and ethics of the Public Service;
  • renewable and affordable over time; and
  • versatile, innovative and engaged in continuous learning.

Results achieved

Planned results for 2007–2008 were achieved. It was determined that the Department's Resourcing Strategy and Action Plan (2005–2008) remained appropriate. In 2007–2008, the focus was placed on developing a Renewal Plan linked to developmental programs with a view to enhancing intake, development and retention and to meet the Clerk of the Privy Council's expectations. Efforts in this regard led to the recruitment of 61 post-secondary recruits.

Efforts were deployed to develop a corporate approach to collective staffing. As a result, over a quarter of staffing activities in 2007–2008 were collective.

In an effort to boost employee engagement, learning and retention, a departmental Employee Development Plan (strengthening strategy) was developed and approved. As a result, the Department implemented an orientation program for new employees and a separate managing session for all managers and supervisors. Existing developmental programs were updated and communities of practices were launched and/or strengthened.

A retention model was also developed including drivers such as leadership, talent management, performance management, learning, developmental programs, recognition, and communities of practices.

The Human Resources Branch Management Committee identified and implemented human resources priorities for 2007–2008. They include staffing, retention, office space and the review of client service delivery.

Key Initiative 34 : Internal Services: Official Languages Secretariat

In 2006, following a reorganization, the Official Languages Secretariat, previously under the Privy Council Office, became part of the Department of Canadian Heritage. The Secretariat is responsible for supporting the Minister of Canadian Heritage and Status of Women and Minister for La Francophonie in her role to provide leadership and coordinate measures to ensure compliance with the spirit and the intent of the Official Languages Act and with Government of Canada commitments. Since June 2008, the Secretariat is supporting the Secretary of State for Official Languages.

In 2007–2008, the Official Languages Secretariat coordinated the collection of information on the Action Plan for Official Languages, launched in March 2003, in order to report to the Government. In addition, the Secretariat continued its work on the strategic coordination of federal official languages initiatives and responsibilities by focussing on discussions with communities and with all Canadians, as well as on the development of new strategies for the future such as the Roadmap for Canada's Linguistic Duality 2008-2013: Acting for the Future.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The Official Languages Secretariat is working towards better horizontal communication among federal institutions; better communication among federal institutions, official languages minority communities and groups promoting linguistic duality; better communication and improved coordination between the federal government and the provinces and territories; and better scientific and empirical understanding of linguistic duality in Canada.

Results achieved

The evaluation of the results of the Action Plan for Official Languages 2003–2008 is currently underway. Evaluation reports on individual initiatives will be made public by each department.

In January 2008, over 165 participants participated in a symposium in Ottawa that aimed to clarify research issues related to official languages. The Official Languages Secretariat contributed to the preparations of the 2007 Ministerial Conference on Canadian Francophonie and organized, in December 2007 and January 2008, the public consultations on linguistic duality and official languages (led by Bernard Lord).

The Secretariat brought a significant contribution to the success of the Roadmap for Canada's Linguistic Duality 2008–2013: Acting for the Future, including by collecting information, by coordinating the efforts of federal partner, and by providing advice.

Key Initiative 35 : Internal Services: Departmental Steering Committee on Multiculturalism

The Departmental Steering Committee on Multiculturalism supports the work of the Multiculturalism Champion as an agent of change in building awareness and understanding throughout the Department of the importance of multiculturalism so that its policies and programs better reflect Canada's growing diversity. The Departmental Steering Committee is distinct from the Multiculturalism Program, as it focuses on the Department's internal operations.

Planned Results (as outlined in Canadian Heritage's 2007–2008 Report on Plans and Priorities)

The objective of the Steering Committee is to mainstream multiculturalism into the day-to-day operations of the Department, particularly in the development and implementation of policies, programs and practices, and to meet the obligations set out in the Canadian Multiculturalism Act.

The Steering Committee will oversee the development and implementation of a rolling three-year Action Plan on Multiculturalism that sets out on an annual basis clear objectives, priority action areas and outcomes to be pursued by the Department.

Results achieved

Planned results for 2007–2008 were achieved. The Departmental Steering Committee on Multiculturalism has elaborated its Action Plan based on three priority areas: Building Awareness, Building Understanding, and Building Competency to better integrate multiculturalism into the Department.

The Action Plan provides guidance for senior management in its approach to diversity and multiculturalism in day-to-day operations, decision-making and policy and program development and allows the Department to meet its obligations set out in the Canadian Multiculturalism Act.

The Committee has developed performance indicators for monitor the Action Plan results to ensure clear accountability for internal partners in objectives, priorities and expected results.

Events hosted by the Multiculturalism Champion contribute to building awareness and understanding of multiculturalism issues, enabling employees and management to incorporate these lessons learned into their day-to-day operations.

¹⁸ In April 2008, Tom Scrimger succeeded to Bruce Manion as Assistant Deputy Minister, Planning and Corporate Affairs.

Conclusion

Lessons Learned

The Department of Canadian Heritage continues to take measures to address the challenges raised by changes in the economic, social and cultural environment including through adapting its legislation, policies and programs. Strategic and operational planning is an essential tool in ensuring that the ever changing environment is considered and reflected in program delivery and in monitoring policy implementation.

The analysis against the planned results indicated in the Department's Report on Plans and Priorities for 2007–2008 shows that the Department achieved or partially achieved almost all of its key initiatives. Only one key initiative was modified and one cancelled. The following table provides a breakdown of the status of the Key Initiative by Strategic Outcome and Program Activity.

List of SOs, PAs and KI, Performance Status Table *

Program Activities	Key Initiatives	Achieved	Partially achieved	Modified	Cancelled	Total
Strategic Objective 1
PA1, 2, 3, 4	KI 1 to KI 20	8	9	1	1	19
Strategic Objective 2
PA5, 6, 7	KI 21 to KI 29	5	4			9
Internal Services
Blue Ribbon Panel	G & Cs	1				1
	MAF	1				1
	KI 30 to KI 35	4	2			6
Total		19	15	1	1	36
		52.78%	41.67%	2.78%	2.78%	100%

* Notes: SOs = Strategic Outcomes; PAs = Program Activities; KI = Key Initiatives; MAF = Management Accountability Framework; G&Cs = Grants and Contributions.

The numbers show that the Department has achieved most of its planned results for 2007–2008. However, it should be noted that all initiatives need to be looked at through the lens of an environment in constant evolution. The ranking of an initiative as partially achieved, not achieved, modified, or cancelled may be justified for strategic reasons.

Performance Status of Key Initiatives of Canadian Heritage, 2007–2008

Another lesson learned is that a deep understanding of the external and internal environment is essential to a flexible, progressive and collaborative approach to adapt policies, legislation and programs.

The Department is continuing its effort towards a more results-oriented management culture. The new Program Activity Architecture of the Department, which will become effective on April 1, 2009, and the new Performance Measurement Framework will strengthen a more realistic and consistent use of performance indicators. This is not an easy task. Innovation, vision, realism, time, training, and resources are essential tools for the ongoing improvement of the overall performance of the Department.

Appendices

Appendix A: Statutes Administered, in Whole or in Part,by the Canadian Heritage Portfolio

An Act to Incorporate the Jules et Paul-Emile Léger Foundation, S.C. 1980-81-82-83, c. 85

An Act to acknowledge that persons of Ukrainian origin were interned in Canada during the First World War and to provide for recognition of this event S.C. 2005, c. 52

Broadcasting Act S.C. 1991, c. 11

Canada Council for the Arts Act R.S.C. 1985, c. C-2

Canada Traveling Exhibitions Indemnification Act S.C. 1999, c. 29

Canadian Heritage Languages Institute Act (not in force) S.C. 1991, c. 7

Canadian Multiculturalism Act R.S.C. 1985, c. 24 4^th Supp.)

Canadian Race Relations Foundation Act S.C. 1991, c. 8

Canadian Radio-television and Telecommunications R.S.C. 1985, c. C-22 Commission Act

Copyright Act (formulation of cultural policy) R.S.C. 1985, c. C-42

Cultural Property Export and Import Act R.S.C. 1985, c. C-51

Department of Canadian Heritage Act S.C. 1995, c. 11

Foreign Publishers Advertising Services Act S.C. 1999, c. 23

Holidays Act R.S.C. 1985, c. H-5

Income Tax Act (Tax credits, National Arts, Organizations and cultural property) R.S.C. 1985 (5^th Service as amended Supp.),

Investment Canada Act (Cultural Foreign Investment) R.S.C. 1985, c. 28 (1 st Supp.)

Library and Archives of Canada Act S.C. 2004, c.11

Lieutenant-Governors Superannuation Act (in part) R.S.C. 1985, c. L-8

Museums Act S.C. 1990, c. 3

National Acadian Day Act S.C. 2003, c.11

National Anthem Act R.S.C. 1985, c. N-2

National Arts Centre Act R.S.C. 1985, c. N-3

National Battlefields at Québec Act S.C. 1907-08, c. 57-58

National Film Act R.S.C. 1985, c. N-8

National Horse of Canada Act S.C. 2002, c. 11

National Sports of Canada Act S.C. 1994, c.16

National Symbol of Canada Act R.S.C. 1985, c. N-17

Official Languages Act (Part VII) R.S.C. 1985, c. 31 (4^th Supp.)

Parliamentary Employment and Staff Relations Act R.S.C. 1985, c. 33 (2 nd Supp.)

Physical Activity and Sport Act S.C. 2003, ch.2

Public Servants Disclosure Protection Act S.C. 2005, ch. 46

Public Service Employment Act (Report to Parliament) 2003, c. 22, ss.12, 13

Public Service Labour Relation Act S.C. 2003, c.22

Salaries Act (Lieutenant-Governors) R.S.C. 1985, c. S-3

Sir John A. Macdonald and Sir Wilfrid Laurier Day Act S.C. 2002, c.12

Status of the Artist Act (Part 1) S.C. 1992, c.33

Telefilm Canada Act R.S.C. 1985, c. C-16

Trade-marks Act (Use of National Symbols) R.S.C. 1985, c. T-13

Appendix B: Canadian Heritage Portfolio Overview

The Canadian Heritage Portfolio includes the Department of Canadian Heritage and 19 organizations.

• Five departmental agencies: the Canadian Radio-television and Telecommunications Commission, Library and Archives of Canada, the National Battlefields Commission, the National Film Board of Canada and Status of Women Canada;
  
  
• Nine Crown Corporations: the Canada Council for the Arts, the Canada Science and Technology Museum, the Canadian Broadcasting Corporation, Telefilm Canada, the Canadian Museum of Civilization, the Canadian Museum of Nature, the Canadian Race Relations Foundation, the National Arts Centre and the National Gallery of Canada;
  
  
• Four independent organizations: the Public Service Commission, the Public Service Labour Relations Board, the Public Service Staffing Tribunal, the Public Servants Disclosure Protection Tribunal; and
  
  
• The Canadian Cultural Property Export Review Board, an administrative tribunal.

Departmental Agencies

Canadian Radio-television and Telecommunications Commission (CRTC)

Within the context of policy and legislation created by the government, the CRTC regulates Canada 's broadcasting and telecommunications industries.

Library and Archives Canada

Library and Archives Canada (LAC) preserves Canada 's documentary heritage for the benefit of present and future generations, and is a source of knowledge accessible to all. The LAC facilitates cooperation among Canadian communities involved in the acquisition, preservation and dissemination of knowledge and serves as the continuing memory of the Government of Canada and its institutions.

National Battlefields Commission

The mandate of the National Battlefields Commission is to conserve, administer and develop the National Battlefields Park in Qu ébec City, better known as the Plains of Abraham.

National Film Board of Canada

The National Film Board of Canada (NFB) produces and distributes documentary films and other audiovisual works which provide a uniquely Canadian perspective, including diverse cultural and regional perspectives, recognized across Canada and around the world.

Status of Women Canada

Status of Women Canada (SWC) promotes the full participation of women in the economic, social and democratic life of Canada . SWC focuses on advancing equality for women, improving women's economic autonomy and well-being, eliminating systemic violence against women and children, and advancing women's human rights.

Crown Corporations

Canada Council for the Arts

The Canada Council for the Arts was created to foster and promote the arts. The Council provides a wide range of grants and services to professional Canadian artists and arts organizations in music, writing, publishing, dance, theatre, visual arts and media arts.

Canada Science and Technology Museum Corporation

The Canada Science and Technology Museum Corporation is responsible for preserving and protecting Canada 's scientific and technological heritage, and for promoting and sharing knowledge about that heritage. The Corporation has three museums: the Canada Agriculture Museum, the Canada Aviation Museum and the Canada Science and Technology Museum.

Canadian Museum of Civilization Corporation

As part of their core mandate, the Canadian Museum of Civilization and the Canadian War Museum function as centres for collections, research and public information on the social, military and human history of the country.

Canadian Museum of Nature

The core mandate of the Canadian Museum of Nature is to help people understand the constant and inescapable intersections of human society and nature. It manages a collection of natural history objects, with special but not exclusive reference to Canada, and uses it, the knowledge derived from it and the understanding it represents, to increase interest, knowledge, appreciation and respect for the natural world.

Canadian Broadcasting Corporation

The Canadian Broadcasting Corporation (CBC) is Canada 's public broadcasting service, providing radio and television programming nation-wide in both official languages, as well as online-services and satellite radio. It is also responsible for Radio Canada International which broadcasts around the world in nine languages.

Telefilm Canada

Telefilm Canada is mandated to support Canada's audio-visual industry. It has one primary goal: to finance audiovisual productions that reach Canadian audiences and reflect Canada's linguistic duality, cultural diversity, and regional character. Telefilm finances original, diverse and high quality films, television programs and new media products.

Canadian Race Relations Foundation

The Canadian Race Relations Foundation aims to facilitate the development, sharing and application of knowledge and expertise in order to contribute to the elimination of racism and all forms of racial discrimination in Canada.

National Arts Centre

The National Arts Centre (NAC) is a national showcase for the very best in the performing arts. The NAC is the only multidisciplinary, bilingual performing arts centre in North America . It co-produces with other organizations throughout the country. It also hosts festival and, through its tours, reaches out to audiences across Canada and around the world.

National Gallery of Canada

The National Gallery of Canada (NGC) is home to the world's largest collection of Canadian art. The Canadian Museum of Contemporary Photography is an affiliate of the NGC and pursues a mandate to collect, interpret, and disseminate Canadian contemporary photography.

Independent Organizations

Public Service Commission of Canada

The Public Service Commission of Canada is an independent agency, directly accountable to Parliament, which is responsible for the interpretation and application of merit in staffing public service positions and for the application of the Public Service Employment Act.

Public Service Labour Relations Board

The Public Service Labour Relations Board is an independent, quasi-judicial statutory tribunal responsible for administering the collective bargaining and grievance adjudication systems in the federal public and parliamentary service. The Board also provides mediation and conflict resolution services, compensation analysis, and research services in accordance with the Public Service Labour Relations Act.

Public Service Staffing Tribunal

The Public Service Staffing Tribunal is an independent and quasi-judicial body established pursuant to the Public Service Employment Act to deal with complaints related to internal appointments and lay-offs in the federal public service. The Tribunal conducts hearings and provides mediation services in order to resolve complaints.

Public Servants Disclosure Protection Tribunal

The Public Servants Disclosure Protection Tribunal has been established following the coming into force in April 2007 of amendments made to the Public Servants Disclosure Protection Act (PSDPA) enacted by the Federal Accountability Act. This legislation is designed to protect public servants and Canadians who report wrongdoings in the federal government from reprisals. The Registry of the Public Servants Disclosure Protection Tribunal, which also falls under the responsibilities of the Minister, has been created to support the Tribunal in carrying out its responsibilities under the PSDPA.

Canadian Cultural Property Export Review Board

The Canadian Cultural Property Export Review Board operates as an administrative tribunal which determines if cultural property is of "outstanding significance and national importance" pursuant to the Cultural Property Export and Import Act. It also determines, for income tax purposes, the fair market value of objects donated to custodial institutions such as museums, art galleries, libraries and archives. The Department of Canadian Heritage provides the Secretariat to the Board.

Appendix C: Departmental Points of Service Across Canada

Appendix D: Contacts for Further Information

For one-stop access to information about programs and services of the
Government of Canada, visit http://www.canada.gc.ca
or call
1 800 O-Canada (1 800 622-6232)
TTY/TDD 1 800 465-7735

Department of Canadian Heritage Web site
http://www.canadianheritage.gc.ca

A-Z Index of Canadian Heritage Web site
http://www.pch.gc.ca/pc-ch/a-z/index-eng.cfm