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Supplementary Information (Tables)
Program Activity |
Actual 2007–08 |
Actual 2008–09 |
2009–10 | |||
---|---|---|---|---|---|---|
Main Estimates |
Planned Revenue |
Total Authorities |
Actual | |||
Internal Services | ||||||
Sale of departmental documents | 0.06 | 0.08 | 0.40 | 0.40 | 0.40 | 0.00 |
Total Respendable Revenue | 0.06 | 0.08 | 0.40 | 0.40 | 0.40 | 0.00 |
Program Activity |
Actual 2007–08 |
Actual 2008–09 |
2009–10 | |||
---|---|---|---|---|---|---|
Main Estimates |
Planned Revenue |
Total Authorities |
Actual | |||
Economic and Fiscal Policy Framework | ||||||
Loans, Investments, and Advances | ||||||
Federal-provincial fiscal arrangements |
0.06 | 0.06 | 0.00 | 0.00 | 0.00 | 0.06 |
Other Accounts | ||||||
Refunds of previous years' expenditures—Refund of salaries, goods, and services | 0.09 | 0.16 | 0.00 | 0.07 | 0.00 | 0.37 |
Adjustments to prior year's payables |
0.85 | 0.69 | 0.00 | 0.68 | 0.00 | 0.56 |
Sales of goods and services—Sale of other publications | 0.06 | 0.07 | 0.00 | 0.07 | 0.00 | 0.72 |
Miscellaneous Non-Tax Revenues | ||||||
Sundries | 0.01 | 0.10 | 0.00 | 0.48 | 0.00 | 0.00 |
1.07 | 1.08 | 0.00 | 1.30 | 0.00 | 1.71 | |
Transfer and Taxation Payment Program | ||||||
Loans, Investments, and Advances | ||||||
Canada Development Investment Corporation—Dividend1 | 234.00 | 217.00 | 0.00 | 212.14 | 0.00 | 100.70 |
Financial Consumer Agency of Canada |
0.13 | 0.07 | 0.00 | 0.00 | 0.00 | 0.02 |
Public Works and Government Services Canada—Consulting and Audit Canada Revolving Fund | 0.20 | 0.07 | 0.00 | 0.00 | 0.00 | 0.20 |
International Monetary Fund—Poverty Reduction and Growth Facility | 14.10 | 11.30 | 0.00 | 14.18 | 0.00 | 3.80 |
International Finance Corporation —Global Trade Liquidity Program |
0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.20 |
Miscellaneous Non-Tax Revenues | ||||||
Sale of real property to Canada Lands Company Limited |
5.20 | 2.90 | 0.00 | 2.50 | 0.00 | 1.80 |
Guarantee fees | 13.90 | 21.30 | 0.00 | 11.82 | 0.00 | 28.70 |
267.53 | 252.64 | 0.00 | 240.64 | 0.00 | 135.42 | |
Treasury and Financial Affairs | ||||||
Cash and Accounts Receivable—Cash | ||||||
Chartered banks | 60.00 | 34.00 | 0.00 | 36.76 | 0.00 | 9.10 |
Short-term deposits2 | 225.80 | 147.50 | 0.00 | 187.63 | 0.00 | 11.40 |
Receiver General balance at the Bank of Canada3 |
74.80 | 165.20 | 0.00 | 67.92 | 0.00 | 62.40 |
Foreign Exchange Accounts | ||||||
International reserves held in the Exchange Fund Account—Transfer of profit4 | 1,828.10 | 1,852.80 | 0.00 | 1,698.80 | 0.00 | 1,455.50 |
International Monetary Fund subscriptions—Transfer of profit | 9.30 | 8.40 | 0.00 | 32.11 | 0.00 | 4.50 |
International Monetary Fund—General Resources Account | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.50 |
Loans, Investments, and Advances | ||||||
Bank of Canada—Transfer of profit5 |
1,921.00 | 1,757.10 | 0.00 | 1,834.12 | 0.00 | 1,251.90 |
Interest revenue—CMHC loan6 | 0.00 | 525.60 | 0.00 | 143.81 | 0.00 | 1,744.00 |
Interest revenue—FCC loan7 | 20.00 | 168.50 | 0.00 | 98.96 | 0.00 | 89.70 |
Interest revenue—BDC loan7 | 1.90 | 105.80 | 0.00 | 62.83 | 0.00 | 34.10 |
Other Fees and Charges—Fines, Penalties, and Forfeitures | ||||||
Domestic coinage8 | 203.60 | 171.20 | 0.00 | 0.24 | 0.00 | 115.50 |
Net gain on exchange9 | 44.40 | 179.30 | 0.00 | 69.34 | 0.00 | 359.80 |
Miscellaneous Non-Tax Revenues | ||||||
Transfer from the following accounts, which were unclaimed or outstanding for ten years or more—Outstanding interest account, unclaimed cheques | 30.10 | 30.10 | 0.00 | 30.00 | 0.00 | 33.70 |
Unclaimed balances received from Bank of Canada in respect of chartered banks | 1.40 | 0.17 | 0.00 | 3.23 | 0.00 | 0.20 |
Transfer from matured debt outstanding |
5.40 | 2.70 | 0.00 | 4.37 | 0.00 | 1.00 |
4,425.80 | 5,148.37 | 0.00 | 4,270.12 | 0.00 | 5,173.30 | |
Total Non-Respendable Revenue | 4,694.40 | 5,402.09 | 0.00 | 4,512.06 | 0.00 | 5,310.43 |
1. Variance between 2008–09 and 2009–10 is attributable to lower value of declared dividends.
2. Variance between 2008–09 and 2009–10 is attributable to lower interest rates.
3. Variance between 2008–09 and 2009–10 is attributable to lower interest rates.
4. Variance between 2008–09 and 2009–10 is attributable to lower interest rates and a stronger Canadian dollar.
5. Variance between 2008–09 and 2009–10 is attributable to lower yields on Government of Canada Treasury Bills and, to a certain extent, a smaller average Treasury Bill portfolio over the fiscal year.
6. Variance between 2008–09 and 2009–10 is attributable to a higher loan principal amount being outstanding for the full year.
7. Variance between 2008–09 and 2009–10 is attributable to lower interest rates.
8. Variance between 2008–09 and 2009–10 is attributable to a significant portion of 2009–10 production remaining in inventory at the end of 2009–10. This inventory represents coins that were paid for by the Department of Finance Canada but were not yet sold to financial institutions. These coins will be included in revenue in 2010–11.
9. Increase in gain resulting from revaluation of assets and liabilities denominated in foreign currencies to the Canadian dollar.
Debt Payments to International Organizations on Behalf of Poor Countries
Toronto Waterfront Revitalization Initiative
Harbourfront Centre Funding Program
Payments to the International Development Association
Fiscal Equalization (Part I—Federal-Provincial Fiscal Arrangements Act)
Territorial Formula Financing (Part I.1—Federal-Provincial Fiscal Arrangements Act)
Canada Health Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Canada Social Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Wait Times Reduction Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Statutory Subsidies (Constitution Acts, 1867–1982, and Other Statutory Authorities)
Youth Allowances Recovery (Federal-Provincial Fiscal Revision Act, 1964)
Alternative Payments for Standing Programs (Part VI—Federal-Provincial Fiscal Arrangements Act)
Payment to Nova Scotia for Offshore Petroleum Resources
Transitional Adjustment Payment to Nova Scotia (Budget Implementation Act, 2009)
Name of transfer payment program: Debt Payments to International Organizations on Behalf of Poor Countries
Start date: 2005–06
End date: Ongoing
Description: Payments for Canada's commitment to the G8-led Multilateral Debt Relief Initiative
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Responsible administration of financial obligations under the Multilateral Debt Relief Initiative
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 50,490 | 149,280 | 51,200 | 51,200 | 51,200 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 0 | 0 | 0 |
Total Program Activity | 50,490 | 149,280 | 51,200 | 51,200 | 51,200 | 0 |
Comment on variance: Not applicable
Audit/evaluation completed or planned: Evaluation completed. The Department's Audit and Evaluation Committee approved the report of the Evaluation of Canada's International Debt Relief Initiatives on March 25, 2010. Multilateral debt-relief initiatives and their related transfer payments were found to be functioning well and no major changes to the design or delivery were required.
Name of transfer payment program: Compensation to Canadian Agencies or Entities Established by an Act of Parliament for Reduction of Debts of Debtor Countries
Start date: 1991–92
End date: Ongoing
Description: Compensation to Export Development Canada (EDC) and the Canadian Wheat Board (CWB) for reduction of debts of debtor countries
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments to the EDC and the CWB to compensate for debt relief to debtor countries
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 231 | 172,111 | 148,200 | 178,517 | 53,404 | 125,103 |
Total Contributions | 42,646 | 16,152 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 0 | 0 | 0 |
Total Program Activity | 42,877 | 188,263 | 148,200 | 178,517 | 53,404 | 125,103 |
Comment on variance: Variance between actual and planned spending in 2009–10 is attributable to three countries (Republic of Congo, the Democratic Republic of Congo, and the Ivory Coast) not receiving anticipated debt relief because of delays in their achieving required debt-relief targets, which has consequently delayed the timing of debt-relief payments. The variance in actual spending between years results from the fact that debt-relief payments are determined by the number of countries completing the debt-relief process and the amount they owe to Canada and Canadian agencies. Both of these factors fluctuate from year to year as countries move at their own pace through the debt-relief process.
Audit/evaluation completed or planned: Evaluation completed. The Department's Audit and Evaluation Committee approved the report of the Evaluation of Canada's International Debt Relief Initiatives on March 25, 2010. Bilateral debt-relief initiatives and their related transfer payments were found to be functioning well and no major changes to the design or delivery were required.
Name of transfer payment program: Toronto Waterfront Revitalization Initiative
Start date: April 2001
End date: March 31, 2011
Description: The Toronto Waterfront Revitalization Initiative (TWRI) is both an infrastructure and an urban renewal investment. The goals of the initiative include positioning Canada, Ontario, and Toronto in the new economy and thus ensuring Canada's continued success in the global economy. This includes increasing economic growth and development opportunities; recognizing the intrinsic links between economic, social, and environmental health; enhancing the quality of life in Toronto; and encouraging sustainable urban development.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Five TWRI projects receiving federal funding were completed and closed during 2009–10. Most of these completed projects involved preliminary design; the bulk of the construction is expected to occur during the remainder of the TWRI program, currently slated to sunset on March 31, 2011. Projects that were completed and opened for public use during 2009–10 include the Rees and Simcoe WaveDecks, which enhance pedestrian access to the Lake Ontario waterfront. In addition, work was carried out on several projects that are scheduled to open in the summer of 2010. Capital work is ongoing on a number of other projects receiving federal funding.
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | – | 0 | 0 | 0 | 0 | 0 |
Total Contributions | – | 0 | 127,486 | 127,486 | 107,724 | 19,762 |
Total Other types of transfer payments | – | 0 | 0 | 0 | 0 | 0 |
Total Program Activity | – | 0 | 127,486 | 127,486 | 107,724 | 19,762 |
Comment on variance: Due to the nature and environment of the TWRI (e.g., construction delays due to labour disputes and bad weather, challenges of getting all three levels of government to approve and sign certain contribution agreements), the entire budget was not spent within the fiscal year. The variance of $19.76 million between planned spending and actual spending has been carried forward as funding for 2010–11.
Audit/evaluation completed or planned: The Department's Internal Audit and Evaluation carried out a follow-up audit of the 2005 audit of the TWRI that was conducted while responsibility for the program was housed at Human Resources and Skills Development Canada (HRSDC). The Department's follow-up audit concluded that all twelve recommendations in the HRSDC audit had been fully implemented by the federal TWRI Secretariat. As per the Tri-Governmental Audit Plan, project audits were carried out by the federal TWRI Secretariat in 2009–10 on the Contribution Agreements for the Transitional Sports Fields, the Don River Park Design, and the Harbourfront Centre Canada Square Feasibility Study. Two project audits are planned for 2010–11.
Name of transfer payment program: Harbourfront Centre Funding Program
Start date: March 2006
End date: March 31, 2011
Description: The Harbourfront Centre Funding Program (HCFP) provides operational funding support to Harbourfront Centre until March 31, 2011. Such support assists Harbourfront Centre in covering its fixed operational costs. It also facilitates Harbourfront Centre's ability to leverage funding from other levels of government and to pursue other revenue-generating strategies that allow the organization to provide the general public with continued access to cultural, recreational, and educational programs and activities on the Toronto waterfront.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: The program provided a stable foundation for Harbourfront Centre's administration and operations and ongoing community access to the site and capital facilities. The federal contribution allowed Harbourfront Centre to remain open, providing community and cultural programming for the general public on the Toronto waterfront.
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 5,000 | 5,000 | 5,000 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 0 | 0 | 0 |
Total Program Activity | 0 | 0 | 5,000 | 5,000 | 5,000 | 0 |
Comment on variance: Not applicable
Audit/evaluation completed or planned: A federal desk audit of the HCFP concluded that the funds were being spent according to the Terms and Conditions of the program. Work on a summative evaluation of the HCFP began in January 2010 and another federal desk audit will take place in 2010–11.
Name of transfer payment program: Payments to the International Development Association
Start date: 1960–61
End date: Ongoing
Description: Encashment of demand notes to allow the International Development Association (IDA) to disburse concessional financing for development projects and programs in the world's poorest countries
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Financial obligations to the IDA were responsibly administrated. The results of IDA operations are detailed in the Report on Operations Under the Breton Woods and Related Agreements Act that is tabled annually in Parliament.
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 318,270 | 318,280 | 384,280 | 384,280 | 384,280 | 0 |
Total Program Activity | 318,270 | 318,280 | 384,280 | 384,280 | 384,280 | 0 |
Comment on variance: Not applicable
Audit/evaluation completed or planned: None
Name of transfer payment program: Fiscal Equalization (Part I—Federal-Provincial Fiscal Arrangements Act)
Start date: 1957
End date: Ongoing
Description: Equalization payments are made to provincial governments in fulfillment of the constitutional commitment to ensure provincial governments have sufficient revenues to provide reasonably comparable levels of public services at reasonably comparable levels of taxation. Equalization payments are unconditional. In 2009–10, six provinces received payments under this program.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to provinces
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 12,924,677 | 13,462,236 | 16,086,136 | 14,185,000 | 14,185,000 | 1,901,136 |
Total Program Activity | 12,924,677 | 13,462,236 | 16,086,136 | 14,185,000 | 14,185,000 | 1,901,136 |
Comments on variance: The variance between planned spending and actual spending in 2009–10 is due to the Minister of Finance's November 2008 announcement of a sustainable growth path for the Equalization program, based on a three-year moving average of nominal GDP growth, and an Equalization level for 2009–10 of $14.185 billion. This was legislated in Budget 2009. The planned spending figure of $16.086 billion was based on the formula that was in place prior to the 2009 budget.
The changes in actual expenditures between 2009–10 and 2008–09 reflect the increase in the size of the program based on the sustainable growth path legislated in Budget 2009, which grows the program envelope at the three-year moving average of nominal GDP growth.
Audit/evaluation completed or planned: The Department's Internal Audit and Evaluation is conducting an audit. Annual audit by the Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Territorial Formula Financing (Part I.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 1985
End date: Ongoing
Description: Territorial Formula Financing payments are made to all territorial governments to provide the resources they need to deliver services comparable to those delivered by provincial governments, taking into account the high costs and unique challenges in the North.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to territories
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 2,221,297 | 2,312,939 | 2,497,926 | 2,497,926 | 2,497,926 | 0 |
Total Program Activity | 2,221,297 | 2,312,939 | 2,497,926 | 2,497,926 | 2,497,926 | 0 |
Comment on variance: Not applicable
Audit/evaluation completed or planned: The Department's Internal Audit and Evaluation is conducting an audit. Annual audit by the Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Canada Health Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 2004
End date: Ongoing
Description: The Canada Health Transfer (CHT) provides equal per capita support for health care, a shared national priority, through cash and tax point transfers to provincial and territorial governments. The CHT supports the government's commitment to maintain the national criteria and conditions of the Canada Health Act (comprehensiveness, universality, portability, accessibility, and public administration), the prohibitions against user fees and extra-billing, as well as the 2000, 2003, and 2004 Health Accords.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to provinces and territories in support of the principles of the Canada Health Act
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 21,474,272 | 22,759,015 | 23,987,062 | 24,081,039 | 24,081,039 | (93,977) |
Total Program Activity | 21,474,272 | 22,759,015 | 23,987,062 | 24,081,039 | 24,081,039 | (93,977) |
Comments on variance: The variance between planned spending and actual spending is due to the fact that planned spending does not include the amounts added as a result of the fall 2009 re-estimates of prior years. Budget 2007 legislated additional funding to provinces and territories to ensure that their CHT payments were not lower than the 2007–08 amounts they would have received prior to the introduction of other changes in Budget 2007. These amounts are recomputed on a regular basis. In addition, the planned spending did not include March 2010 deductions under the Canada Health Act.
The variance in actual spending between 2008–09 and 2009–10 is due to the CHT increasing
by 6 per cent each year. Added to this amount each year is the funding from Budget 2007,
noted above, to ensure that CHT payments to provinces and territories were not lower than the 2007–08 amounts they would otherwise have received. In addition, the actual expenditures for each fiscal year include (different) amounts for deductions under the Canada Health Act.
Audit/evaluation completed or planned: The Department's Internal Audit and Evaluation is conducting an audit. Annual audit by the Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Canada Social Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 2004
End date: Ongoing
Description: The Canada Social Transfer (CST) provides equal per capita cash as well as tax point transfers to provincial and territorial governments to assist them in financing shared national priorities—social programs, post‑secondary education, and programs for children. The CST gives provinces and territories the flexibility to allocate payments among supported areas according to their own priorities and supports the government's commitment to prohibit minimum residency requirements for social assistance.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to provinces and territories
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 9,590,219 | 10,567,868 | 10,860,781 | 10,857,853 | 10,857,853 | 2,928 |
Total Program Activity | 9,590,219 | 10,567,868 | 10,860,781 | 10,857,853 | 10,857,853 | 2,928 |
Comments on variance: The variance between planned spending and actual spending is due to the fact that planned spending does not include the changes resulting from the fall 2009 re-estimates of the current and prior years. Budget 2007 legislated additional funding to provinces and territories to ensure that their CST payments were not lower than the 2007–08 amounts they would have received prior to the introduction of other changes in Budget 2007. These amounts are recomputed on a regular basis.
The variance in actual spending between 2008–09 and 2009–10 is due to the CST increasing by 3 per cent each year. Added to this amount each year is the funding from Budget 2007, noted above, to ensure that CST payments to provinces and territories were not lower than the 2007–08 amounts they would otherwise have received.Audit/evaluation completed or planned: The Department's Internal Audit and Evaluation is conducting an audit. Annual audit by the Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Wait Times Reduction Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 2009–10
End date: 2013–14
Description: Per capita support to provinces and territories to help reduce wait times in the health care system, primarily in support of human resources and tools to manage wait times
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to provinces and territories
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 250,000 | 250,000 | 250,000 | 0 |
Total Program Activity | 0 | 0 | 250,000 | 250,000 | 250,000 | 0 |
Comment on variance: Not applicable
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Statutory Subsidies (Constitution Acts, 1867–1982, and Other Statutory Authorities)
Start date: 1867
End date: Ongoing
Description: The statutory subsidies provide a source of funding to provinces in accordance with terms of entry into Confederation.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payments that met all legislative requirements for financial support to provinces
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 31,822 | 31,968 | 32,000 | 32,157 | 32,157 | (157) |
Total Program Activity | 31,822 | 31,968 | 32,000 | 32,157 | 32,157 | (157) |
Comment on variance: The variance between planned spending and actual spending is due to the fact that the planned spending amount was an estimate. These payments are computed twice per fiscal year and are based on population.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Youth Allowances Recovery (Federal-Provincial Fiscal Revision Act, 1964)
Start date: 1964
End date: Ongoing
Description: The Youth Allowances Recovery is a recovery from the Province of Quebec for an additional tax point transfer (three points) above and beyond the Canada Health Transfer and Canada Social Transfer tax point transfers. In the 1960s, Quebec chose to use the federal government's contracting-out arrangements for certain federal-provincial programs. Quebec continues to receive the value of these tax points through its own income tax system and reimburses the Government of Canada for the discontinued programs for which it had received a tax point transfer. Taken together, the Alternative Payments for Standing Programs and the Youth Allowances Recovery are known as the "Quebec Abatement" and ensure that all provinces are treated similarly.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate recoveries that met all legislative requirements
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | (943,805) | (332,659) | (688,935) | (596,259) | (596,259) | (92,676) |
Total Program Activity | (943,805) | (332,659) | (688,935) | (596,259) | (596,259) | (92,676) |
Comments on variance: The variance between the planned and actual spending amounts is a result of prior year adjustments as well as a revised estimate of the 2009–10 recovery made in March 2010.
The variance between 2008–09 and 2009–10 arose because the recovery in 2009–10 was much greater than that for 2008–09 as a result of Quebec making a payment in 2007–08 toward its 2008–09 obligation as well as changes in the value of tax points used to calculate the recovery.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Alternative Payments for Standing Programs (Part VI—Federal-Provincial Fiscal Arrangements Act)
Start date: 1977
End date: Ongoing
Description: The Alternative Payments for Standing Programs is a recovery from the Province of Quebec for an additional tax point transfer (13.5 points) above and beyond the Canada Health Transfer (CHT) and Canada Social Transfer (CST) tax point transfers. In the 1960s, Quebec chose to use the federal government's contracting-out arrangements for certain federal-provincial programs. Since, like other provinces, Quebec receives its full cash entitlement under the CHT and CST, the value of these tax points is reimbursed to the Government of Canada each year. Taken together, the Alternative Payments for Standing Programs and the Youth Allowances Recovery are known as the "Quebec Abatement" and ensure that all provinces are treated similarly.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate recoveries that met all legislative requirements
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | (2,719,889) | (2,973,912) | (3,124,006) | (2,702,590) | (2,702,590) | (421,416) |
Total Program Activity | (2,719,889) | (2,973,912) | (3,124,006) | (2,702,590) | (2,702,590) | (421,416) |
Comments on variance: The variance between planned spending and actual spending is a result of prior year adjustments arising from the Estimates cycle as well as a revised estimate of 2009–10 recoveries made in February 2010.
The recovery for 2009–10 was lower than that for 2008–09 because the value of the estimated tax points was lower in that year.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Incentive for Provinces to Eliminate Taxes on Capital (Part IV—Federal-Provincial Fiscal Arrangements Act)
Start date: 2008–09
End date: 2012–13
Description: Financial incentive to encourage provinces to accelerate the elimination of provincial capital taxes or restructure an existing capital tax on financial institutions into a minimum tax
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Increased competitiveness of Canadian businesses by strengthening Canada's business tax advantage
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 170,000 | 123,000 | 163,400 | 163,400 | (40,400) |
Total Program Activity | 0 | 170,000 | 123,000 | 163,400 | 163,400 | (40,400) |
Comments on variance: The difference between planned and actual spending for 2009–10 is due to the fact that payment of certain amounts originally planned for 2008–09 did not occur and was instead carried over to 2009–10, as provincial information was not provided in time for a payment in 2008–09.
The variance in actual spending between 2008–09 and 2009–10 is attributable to the change in the amount of forgone provincial capital tax revenue that is eligible for the incentive payment.Audit/evaluation completed or planned: None
Name of transfer payment program: Payment to Ontario related to the Canada Health Transfer (Part V.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 2009–10
End date: 2010–11
Description: Part V.1 of the Federal-Provincial Fiscal Arrangements Act provides separate payments to Ontario outside of the Canada Health Transfer (CHT) cash envelope for 2009–10 and 2010–11 to ensure that its per capita cash entitlements in relation to the CHT are the same as for other Equalization-receiving provinces.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payment that met all legislative requirements for financial support to Ontario
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 489,058 | 489,058 | 0 |
Total Program Activity | 0 | 0 | 0 | 489,058 | 489,058 | 0 |
Comment on variance: The difference between planned and actual spending reflects the fact that legislation was not passed in time to meet publication deadlines for the 2009–10 Main Estimates.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Payment to Nova Scotia for Offshore Petroleum Resources
Start date: 2009–10End date: 2009–10
Description: Crown Share Adjustment Payments are paid to the Province of Nova Scotia to compensate it for the monies it would have hypothetically received if it had exercised the option of acquiring a portion of the federal Crown share as previously specified under the National Energy Program (NEP). In September 2008, Nova Scotia received $234.4 million for past payments up to March 31, 2008. In March 2010, Nova Scotia received an additional $174.5 million as payment for the 2008–09 and 2009–10 fiscal years.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payment that met all legislative requirements for financial support to Nova Scotia
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 174,500 | 174,500 | 0 |
Total Program Activity | 0 | 0 | 0 | 174,500 | 174,500 | 0 |
Comment on variance: The difference between planned and actual spending reflects the fact that legislation was not passed in time to meet publication deadlines for the 2009–10 Main Estimates.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of transfer payment program: Transitional assistance to provinces entering into the harmonized value-added tax framework (Part III.1—Federal-Provincial Fiscal Arrangements Act)
Start date: 2009–10
End date: 2011–12
Description: In accordance with the November 2009 Canada–British Columbia Comprehensive Integrated Tax Coordination Agreement (CITCA), British Columbia is entitled to receive a total of $1.599 billion in payments for transitional assistance in respect of sales tax harmonization. The $250 million paid to British Columbia in 2009–10 was the first of three instalments. On July 1, 2010, the province became eligible for the second instalment, a $769 million payment, and on July 1, 2011, the province will receive a final instalment of $580 million.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payment made to British Columbia in accordance with the terms of the Canada–British Columbia CITCA
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 250,000 | 250,000 | 0 |
Total Program Activity | 0 | 0 | 0 | 250,000 | 250,000 | 0 |
Comment on variance: The schedule for transitional assistance payments to British Columbia in respect of sales tax harmonization was established in the November 2009 CITCA and further refined in March 2010 through an exchange of letters between the federal and British Columbia Ministers of Finance. This information was not available in early 2009 at the time of production of the 2009–10 Report on Plans and Priorities.
Audit/evaluation completed or planned: None
Name of transfer payment program: Transitional Adjustment Payment to Nova Scotia (Budget Implementation Act, 2009)
Start date: 2009–10
End date: 2009–10
Description: The Budget Implementation Act, 2009 allowed for a transitional adjustment payment to Nova Scotia to ensure full protection from a decline in its Equalization payment for 2009–10 relative to 2008–09 without consideration of its additional fiscal equalization offset payments under the Nova Scotia and Newfoundland and Labrador Additional Fiscal Equalization Offset Payments Act.
Strategic outcome: A strong and sustainable economy, resulting in increasing standards of living and improved quality of life for Canadians
Results achieved: Timely and accurate payment that met all legislative requirements for financial support to Nova Scotia
Actual Spending 2007–08 |
Actual Spending 2008–09 |
Planned Spending 2009–10 |
Total Authorities 2009–10 |
Actual Spending 2009–10 |
Variance | |
---|---|---|---|---|---|---|
Total Grants | 0 | 0 | 0 | 0 | 0 | 0 |
Total Contributions | 0 | 0 | 0 | 0 | 0 | 0 |
Total Other types of transfer payments | 0 | 0 | 0 | 74,188 | 74,188 | 0 |
Total Program Activity | 0 | 0 | 0 | 74,188 | 74,188 | 0 |
Comment on variance: The difference between planned and actual spending reflects the fact that legislation was not passed in time to meet publication deadlines for the 2009–10 Main Estimates.
Audit/evaluation completed or planned: Annual audit by Office of the Auditor General of Canada was completed and no issues were identified.
Name of horizontal initiative: Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime—formerly the National Initiative to Combat Money Laundering (NICML)
Name of lead department: Department of Finance Canada
Lead department program activity: Economic and Fiscal Policy Framework
Start date of the horizontal initiative: June 2000
End date of the horizontal initiative: 2009–10
Total federal funding allocation (start to end date): $455,408 (thousands)
Description of the horizontal initiative (including funding agreement): The National Initiative to Combat Money Laundering (NICML) was formally established in 2000 as part of the government’s ongoing effort to combat money laundering in Canada. Legislation adopted that year, the Proceeds of Crime (Money Laundering) Act (PCMLA), created a mandatory reporting system for suspicious financial transactions, large cross-border currency transfers, and certain prescribed transactions. The legislation also established the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) to collect and analyze these financial transaction reports and to disclose pertinent information to law enforcement and intelligence agencies. In December 2001, the PCMLA was amended to include measures to fight terrorist financing activities and renamed the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA).
The NICML was expanded and is now known as Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime. In December 2006, Bill C-25 amended the PCMLTFA to ensure Canada’s legislation remains consistent with international anti–money laundering and anti–terrorist financing standards as set out by the Financial Action Task Force (FATF) and is responsive to areas of domestic risk. Amendments included enhanced client identification requirements, the creation of a registration regime for money services businesses, and the establishment of an administrative and monetary penalties regime to deal with lesser infractions of the Act.Shared outcomes: To detect and deter money laundering and the financing of terrorist activities and to facilitate the investigation and prosecution of money laundering and terrorist financing offences.
Governance structure: Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime is a horizontal initiative comprised of both funded and non-funded partners. The funded partners include the Department of Finance Canada, the Department of Justice Canada, the Public Prosecution Service of Canada (PPSC), FINTRAC, the Canada Border Services Agency (CBSA), the Canada Revenue Agency (CRA), the Canadian Security Intelligence Service (CSIS), and the Royal Canadian Mounted Police (RCMP); non-funded partners include Public Safety Canada (PS), the Office of the Superintendent of Financial Institutions (OSFI), and Foreign Affairs and International Trade Canada. An interdepartmental ADM-level group and working group, consisting of all partners and led by the Department of Finance Canada, has been established to direct and coordinate the government’s efforts to combat money laundering and terrorist financing activities. In addition, the Department of Finance Canada also chairs a Public/Private Sector Advisory Committee. This is a broad-based advisory committee that includes both public and private sector representatives to provide general guidance for Canada’s Anti–Money Laundering and Anti–Terrorist Financing policy.
Federal Partner | Federal Partner Program Activity | Name of Federal Partner's Program | Total Allocation (from Start to End Date) | Planned Spending for 2009–10 |
Actual Spending for 2009–10 |
Expected Results for 2009–10 |
Results Achieved in 2009–10 |
---|---|---|---|---|---|---|---|
Department of Finance Canada | Financial Sector Policy | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime |
2,700 | 300 | 295 | Effective oversight of Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime (the Regime). | The Department of Finance Canada continued to address policy and operational issues to ensure Canada has an effective Anti–Money Laundering and Anti–Terrorist Financing Regime. The Department also hosted a spring and fall meeting of the Public/Private Sector Advisory Committee and one ADM-level meeting. |
Undertake a 10-year Treasury Board–mandated evaluation of the Regime to assess effectiveness and access to continued funding. | Initiated the 10-Year Evaluation of the Regime and led the interdepartmental working group for the evaluation. The evaluation will be completed in 2010–11. | ||||||
Monitor the financial sector for money laundering and terrorist financing risks and other emerging illicit financing risks. | Developed and tabled amendments to the PCMLTFA related to counter-measures to tackle illicit financing and making tax evasion a predicate offence for money laundering. Final publication of new regulations on Credit Union Centrals was also completed. | ||||||
Participate in international forums related to combating money laundering and terrorist financing, in particular the G7 Financial Experts meetings, the Financial Action Task Force (FATF), the Caribbean Financial Action Task Force (CFATF), and the Asia Pacific Group (APG) on Money Laundering. | The Department actively participated and undertook a leadership role at the FATF, CFATF, and APG plenary and intercessional meetings and the G7 Financial Experts meetings. As the head of Canada’s delegation at international anti–money laundering and combating the financing of terrorism (AML/CFT) forums, the Department: – coordinated federal partners’ contributions; – played a challenge function in the FATF, APG, and CFATF mutual evaluation processes, a comprehensive peer review process that is the cornerstone of the global implementation of FATF Standards (the 40 + 9 Recommendations); – contributed to the development of FATF policy and standards and the analysis of new AML/CFT trends and typologies; – engaged in the FATF International Co-operation Review Group (ICRG) to identify and monitor high-risk jurisdictions, including chairing the Americas Regional Review group; – identified and leveraged funds to support capacity building and technical assistance for the APG and CFATF as well as training for their individual members; and – provided advice and guidance to CFATF member countries on the implementation of the FATF 40 + 9 Recommendations and on governance and capacity issues. |
||||||
Department of Justice Canada | The National Initiative to Combat Money Laundering | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 7,000 | 100 | 100 | The Criminal Division of the Department of Justice Canada plays a significant role in the Regime. For 2009–10, it is anticipated that the Criminal Division will use the resources it receives to carry out work related to the FATF, including attending FATF-related international meetings. Resources will also be allocated to ensure the Criminal Division’s continued involvement in policy development relating to money laundering and terrorist financing. Finally, the Human Rights Law Section will receive money to deal with any ancillary constitutional issue raised during the prosecutions. | In 2009–10, the Department of Justice Canada contributed to domestic policy development related to money laundering by regularly providing legal advice in this area and through its participation on departmental committees addressing terrorist financing. Justice Canada also contributed to FATF-related policy issues through extensive input on FATF evaluations and reports as well as its attendance and active participation at FATF plenary meetings and participation in the FATF project on confiscation. |
Public Prosecution Service of Canada (PPSC) | Addressing criminal issues to contribute to a safer world for Canada | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 9,200 | 2,300 | 3,028 | PPSC plays a significant role in the Regime. For 2009–10, it is anticipated that information provided to law enforcement by FINTRAC will result in more prosecutorial legal advice being provided to law enforcement. It will also result in additional charges being laid for money laundering and terrorist financing offences and, consequently, an increased workload for prosecutors. PPSC also has responsibilities related to the PCMLTFA. The planned work includes applications for Production Orders, increases in border seizure and forfeiture work associated with suspected proceeds of crime, and prosecutions related to infractions of the Act. In addition, resources will be used to provide training to law enforcement personnel and prosecutors and for the development and coordination of policy as it relates to money laundering and terrorist financing. Finally, PPSC resources will be used to carry out work related to the FATF, including attending the FATF international meeting. | New Regime-related charges laid over the course of 2009–10 included 5,910 charges for the possession of proceeds of crime, 40 money laundering charges under the provisions of the Criminal Code, and 47 charges under the PCMLTFA. (There were no charges laid related to the terrorist financing provisions of the Criminal Code
during this period.) For these new Regime-related charges, provision of legal advice was recorded by in-house counsel against 54% of the possession of proceeds of crime files, 47% of the money laundering files, and 28% of the PCMLTFA files. Contrary to previous years, PPSC did not obtain any production orders under section 60 of the PCMLTFA. Finally, over the course of 2009–10, PPSC counsel provided both formal and ad hoc training to law enforcement personnel over the course of investigations. Resources were also dedicated to policy development and coordination to ensure consistency across all regions. |
Financial Transactions Reports Analysis Centre of Canada (FINTRAC) | Collection, analysis, and dissemination of financial information | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 269,085 | 37,500 | 40,315 | FINTRAC produces technology-driven financial intelligence analysis and case disclosures, which are widely used by law enforcement and intelligence agencies, with a program that fosters compliance by the reporting entities. | In 2009–10, FINTRAC disclosed 579 cases of suspected money laundering, terrorist financing, and threats to the security of Canada to law enforcement and security partners. This represents a continued increase in the number of cases—a slight increase compared to the 556 cases disclosed in 2008–09 and a significant increase over the
210 cases disclosed in 2007–08. In 2009–10, the average timeliness of case analysis improved by 17%, going from 82 days to 68 days. This was achieved with increasingly positive feedback from law enforcement and security partners on the usefulness, relevance, and timeliness of case disclosures. FINTRAC also continued to fulfill the needs of various partners and stakeholders in producing and disseminating a wide range of strategic financial intelligence assessments, briefs, and reports. These products served to inform government policy and decision makers as well as reporting entities about money laundering and terrorist financing issues, methods, indicators, and case studies, which enabled them to better combat money laundering and terrorist financing. In order to increase the coverage rate of compliance assessments, FINTRAC began conducting desk examinations in tandem with onsite examinations of reporting entities’ level of compliance with their obligations under the PCMLTFA. As a result, FINTRAC completed 691 examinations by fiscal year end, an increase of 52% over the previous year, of which 327 (47%) were onsite examinations and 364 (53%) were desk examinations. In 2009–10, FINTRAC completed the successful implementation of the administrative monetary penalties (AMP) regime. In its first year, 14 AMPs have been issued, and of these, 7 were publicly named on the FINTRAC website. The 2009–10 fiscal year was also the first full year of operation for the money services businesses (MSB) registry. During the fiscal year, an additional 223 MSBs registered with FINTRAC, bringing the total entities registered to 954. |
Canada Border Services Agency (CBSA) | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 57,008 | 7,727 | 7,745 | CBSA Border Services Officers are responsible for the enforcement of the cross-border currency reporting program, which includes conducting searches, questioning individuals, and seizing non-reported or falsely reported currency and suspected proceeds of crime. In addition, FINTRAC discloses information to CBSA Immigration, which plays a key role
in denying the use of Canadian territory to criminals and persons who pose security threats to Canada. CBSA is responsible for administering Part 2 of the PCMLTFA, “Reporting of Currency and Monetary Instruments.” The Cross-Border Currency Reporting (CBCR) Program requires that travellers report the importation and exportation of currency and monetary instruments equal to or greater than CAD$10,000. Part 2 also provides for the enforcement element of the CBCR Program, which includes conducting searches, questioning individuals, and seizing non-reported or falsely reported currency and suspected proceeds of crime. |
During 2009–10, CBSA performed more than 2,480 seizures under the PCMLTFA, totalling over $40 million. Approximately $8 million of this total was forfeited to the Crown and penalties have been assessed in excess of $1 million. Over 200 seizures have resulted in forfeiture as suspected proceeds of crime or funds for the use of terrorist activities. | |
Canada Revenue Agency (CRA) | Charities Directorate | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 7,429 | 4,976 | 3,631 | CRA has responsibility for administering the registration system for charities under the Income Tax Act. This recognizes that the existence of a strong regulatory deterrence against terrorist abuse of charities contributes to suppressing the financing of terrorism in Canada and to protecting and preserving the social cohesion and
well-being of Canadians. CRA’s regulatory oversight of charities has been strengthened by the enactment of complementary measures under the Charities Registration (Security Information) Act and the PCMLTFA and by changes to the Income Tax Act authorizing broader information sharing between Regime agencies. Under these authorities, intelligence provided to CRA assists in its mandate to protect the integrity of the registration system for charities, and information disclosed by the CRA can be used for investigative purposes. For 2009–10, it is anticipated that CRA will use the resources it receives to strengthen capacity to identify and respond to cases involving possible links to terrorism through investments in facilities, IT development, and an increase in ongoing, direct program full-time equivalents (FTEs). |
Results delivered in 2009–10 focused on the following: – facilities development (projects delivered on time and on budget); – procuring and implementing technological tools and systems to enhance analytical and enforcement capabilities; – redesigning our organizational structure; – staffing for skill sets needed to respond to current and future operational needs and to attract seasoned, job-ready intelligence officers and newly graduated professionals in intelligence; and – staff training. The normal business of reviewing applications for charitable registration, monitoring of registered charities, and exchanging information under legal authorities with Regime partners, in relation to risks of support for terrorist activities, continued throughout. The Charities Directorate also continued to develop and enhance relationships and training with Regime partners, improve access to intelligence information, and provide a strong CRA presence in interdepartmental committees addressing cross-cutting policy and review activities relevant to Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime. |
Canada Revenue Agency (CRA) | Special Enforcement Program | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 21,568 | 2,200 | 2,413 | CRA is focusing on the following four pillars: – participating in committees and initiatives to manage and enhance the Regime; – enhancing our operational relationship with FINTRAC and other partners in the Regime; – conducting research and analysis; and – contributing to the work of international organizations to enhance cooperation between tax administrations and anti–money laundering and anti–terrorist financing authorities by participating in the Organisation for Economic Co-operation and Development’s Sub-Group on Tax Crime and Money Laundering. All disclosures received from FINTRAC are thoroughly reviewed and those with potential are selected for audit by the Special Enforcement Program. The projected number of audits is 90, with a projected federal tax recovery of $7,000,000. |
Total number of audits completed: 108 Total earned by tax audits: $16,812,471 Cases referred for investigation: 8 Cases accepted by investigation: 3 |
Royal Canadian Mounted Police (RCMP), Money Laundering Units | Money Laundering Units | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 55,898 | 6,872 | 3,657 | Enhanced national and international opportunities for the detection and investigation of money laundering activities. | Project Mercury was a joint anti–cash smuggling operation that took place from April 19 to 22, 2010. Participants in the operation included CBSA, members of the RCMP Integrated Proceeds of Crime (IPOC) Units, RCMP Integrated National Security Enforcement Teams (INSET), and FINTRAC. Both inbound and outbound flights were targeted at five international airports: Ottawa, Montréal, Toronto, Vancouver, and Calgary. |
Development of FINTRAC disclosures, as well as other intelligence, to a point where resources from Integrated Proceeds of Crime Units or elsewhere in the RCMP could then be directed toward investigations in an effort to increase seizures. | There have been 25 seizures linked to FINTRAC disclosures in 2009, with a value of $4,997,754. | ||||||
The resource level in Canada’s three major urban centres (Vancouver, Toronto, and Montréal) was increased in 2007 and continues to positively impact the investigative capacity in those centres to conduct investigations on leads related to Canada’s anti–money laundering regime. | The “Big Three” (Vancouver, Toronto, and Montréal) currently have six major money laundering investigations open in 2009. | ||||||
RCMP, Anti–Terrorist Financing Team) | Special Initiatives | Canada’s Anti–Money Laundering and Anti–Terrorist Financing Regime | 22,937 | 5,158 | 5,579 | Through the gathering and analysis of financial intelligence, the Anti–Terrorist Financing Team (ATFT) will focus on converting that intelligence into proactive investigations, thus enhancing its ability to detect and deter terrorist financing activities. | ATFT continues to provide support to six project status investigations of terrorist financing across Canada, has initiated two new investigations, and continues to assist in a number of requests for information received from domestic and international agencies. ATFT, in conjunction with CBSA, CSIS, FINTRAC, and RCMP Proceeds of Crime took part in two proactive law enforcement efforts code-named Atlas and Mercury. Proceeds of crime, money laundering, and terrorist financing enforcement agencies from the RCMP and CBSA took part in these three-day cash courier interdiction actions held concurrently at selected international airports. An investigation in British Columbia by the National Security Financial Investigation Unit led to the conviction of a subject for terrorist financing. Project Needle nears completion with the disruption of a Liberation Tigers of Tamil Eelam (LTTE) terrorist financing and procurement cell. The US has convicted and sentenced three of the six Canadians for terrorist financing and procurement charges. Two other Canadians have been ordered extradited and one other subject awaits extradition to the US to face the same charges. In November 2009, a major project investigation concluded with the arrest of 30 individuals in Montréal for credit card fraud, counterfeiting government identification such as passports and visas, and facilitating illegal immigration. ATFT members formed part of the investigation team because of national security concerns and links to terrorism, movement of terrorists across international borders, and terrorist financing. No charges were laid pursuant to section 83 of the Criminal Code. Forfeiture hearings are ongoing regarding money and property seized pursuant to two investigations of the World Tamil Movement. ATFT continues to provide training to the RCMP and partner agencies. Financial investigative members from the various INSETs and selected partner agency representatives from CSIS, CRA, FINTRAC, and the UK attended and presented at the fall 2009 course and the February 2010 course. The next course is slated for the fall of 2010 in Vancouver. ATFT continues to support FATF, the APG, and the Middle East and North Africa Financial Action Task Force (MENAFATF). ATFT members joined the Canadian delegation to MENAFATF for the first time this past year. ATFT members assisted in training provided to the Royal Malaysian Police and to the African Union. ATFT continues its membership in the Bi-Lateral Working Group on Terrorist Financing with the FBI and CSIS, meeting each quarter. ATFT is also a founding member of the International Working Group on Terrorist Financing, which meets yearly. Two members of ATFT attended the annual conference in Australia in May 2010. ATFT is now tasked with providing due diligence checks for prospective foreign investors under the revised Investment Canada Act, which now includes national security provisions. |
Totals | 453,1251 | 67,133 | 66,763 | ||||
1. Certain partners in the Anti–Money Laundering and Anti–Terrorist Financing Regime are exempt from reporting; therefore, the figures presented in the table may not sum to the total amount allocated. |
Comments on variance:
PPSC: Actual spending exceeds planned spending by approximately $0.7 million. Variance is due to the significant increase in the number of charges related to proceeds of crime.
FINTRAC: The planned spending amount did not include the additional Treasury Board–approved funding that was received over the 2009–10 fiscal year. Among the additional resources received are the Strategic Review Reinvestments, NICML re-profiled funds from 2008–09, Treasury Board adjustments for Paylist Requirements (Vote 30), and Employee Benefits Plan year-end adjustments.
CRA, Charities Directorate: Variance is due to classification and staffing processes that have taken longer than anticipated and are continuing in 2010–11.
RCMP, Money Laundering Units: Variance is due to reduced budget allocation and vacancy rates across the program. Similar constraints are expected for 2010–11.
Results to be achieved by non-federal partners: Not applicable
Contact information:
Rachel Grasham
Chief, Financial Crimes Section
Phone: 613-943-2883
Has the department incorporated environmental performance considerations in its procurement decision-making processes?
Yes |
Summary of initiatives to incorporate environmental performance considerations in procurement decision-making processes:
1. The Department of Finance Canada is procuring, whenever possible, from the mandatory Public Works and Government Services Canada (PWGSC) consolidated procurement instruments that have environmental considerations built into them.
2. The Department is quantifying its green procurement through the use of a mandatory "Green Procurement" field that is incorporated into its Integrated Financial and Materiel System (SAP).
3. The Department has trained its procurement personnel in green procurement.
4. The Department has taken on the additional task of training the Administrative Services (AS) community (acquisition cardholders) in green procurement.
5. The Department has established a Green Citizenship Network to help in greening its operations.
Results achieved:
1. Departments with SAP as a core for financial transactions can now effectively track their green procurement purchases.
2. The Department of Finance Canada has developed innovative waste management strategies, and PWGSC has responded by implementing strategies such as adding paper hand towels to its Paper Save Recycling Program.
3. The Department has nurtured a vibrant Green Citizenship Network.
Contributions to facilitate government-wide implementation of green procurement:
1. The Department of Finance Canada led the development of the "Green Procurement" field for SAP.
2. The Department initiated one of the first composting programs (paper hand towels) in a federal building.
3. The Department showed leadership in having one of the best waste diversion rates in a federal facility.
4. The Department developed and implemented an environmentally responsible nameplate that has been integrated into the Federal Identity Program.
5. The Department led the development and implementation of recycling signage that was subsequently adopted by PWGSC for use in federal facilities.
Has the department established green procurement targets?
Yes |
Summary of green procurement targets:
The Department of Finance Canada has:
Results achieved:
The Department of Finance Canada has achieved the following:
Response to Parliamentary Committees |
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Response to the Auditor General (including to the Commissioner of the Environment and Sustainable Development) |
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Response to Chapter 1—Gender-Based Analysis of the 2009 Spring Report of the Auditor General of Canada (May 2009). Detailed responses follow each recommendation throughout the chapter. Response to Chapter 3—Income Tax Legislation of the 2009 Fall Report of the Auditor General of Canada (November 2009). Detailed responses follow each recommendation throughout the chapter. |
External Audits |
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None noted for the period. |
Name of Internal Audit | Audit Type | Status | Completion Date |
---|---|---|---|
Audit of the Security of Information | Assurance | Completed | June 2009 |
Follow-Up Audit of the Toronto Waterfront Revitalization Initiative | Assurance | Completed | November 2009 |
Audit of Risk Management | Assurance | Completed | March 2010 |
Audit of the Economic Action Plan | Assurance | Completed | May 2010 |
Audit of Values and Ethics | Assurance | In progress | December 2010 |
Audit of the Transfer Payment Process | Assurance | In progress | December 2010 |
Audit of Circulating Coins | Assurance | In progress | December 2010 |
Audit of the Debt Management Process | Assurance | In progress | March 2011 |
Evaluation Title | Program Type | Status | Completion Date |
---|---|---|---|
Research and Policy Initiatives Assistance Program | Grants and Contributions | Completed | June 2009 |
Canada’s International Debt Relief Initiatives | Grants and Contributions | Completed | March 2010 |
Integrated Market Enforcement Teams (IMET) Initiative | Direct Spending (Interdepartmental) | Completed | May 2010 |
Auctions of Bonds and Treasury Bills | Treasury Evaluation | In progress | September 2010 |
Harbourfront Centre Funding Program | Grants and Contributions | In progress | December 2010 |
Anti–Money Laundering and Anti–Terrorist Financing Initiative | Direct Spending (Interdepartmental) |
In progress | December 2010 |
Economic Studies and Policy Analysis Division | Direct Spending | In progress | March 2011 |
Federal-Provincial Relations Division | Direct Spending | In progress | March 2011 |
Asset Allocation Framework | Treasury Evaluation | In progress | March 2011 |