Quarterly Financial Report for the quarter ended September 30, 2016 – Revised

   Quarterly Financial Report for the quarter ended September 30, 2016 (PDF)

Statement Outlining Results, Risks and Significant Changes in Operations, Personnel and Programs

ERRATUM


Date:

December 23, 2016

Location:

Departmental budgetary expenditures by Standard Object Table for Acquisition of machinery and equipment (in the Planned expenditures for the year ending March 31, 2016 column).

Departmental budgetary expenditures by Standard Object Table for Other subsidies and payments (in the Expended during the quarter ended September 30, 2016 column).

Revision:

Acquisition of machinery and equipment (in the Planned expenditures for the year ending March 31, 2016 column) $1,454,889 replaces $776,544.

Other subsidies and payments (in the Expended during the quarter ended September 30, 2016 column) ($210,114) replaces $210,114.

Rationale for revision:

Difference between the signed version of the report and the web version

Introduction

This quarterly financial report has been prepared as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Treasury Board. This report should be read in conjunction with the 2016-17 Main Estimates and Supplementary Estimates (A). This quarterly report has not been subject to an external audit or review.

The Administrative Tribunals Support Service of Canada (ATSSC) is responsible for providing support services and facilities to 11 federal administrative tribunals by way of a single, integrated organization.

These services include the specialized services required by each tribunal (e.g. registry, research and analysis, legal and other mandate or case activities specific to each tribunal), as well as internal services (e.g., human resources, financial services, information management and technology, accommodations, security and communications).

Further information on the mandate, roles, responsibilities and programs of the ATSSC can be found by accessing 2016-17 Main Estimates.

Basis of Presentation

This quarterly report has been prepared using an expenditure basis of accounting. The accompanying Statement of Authorities includes the ATSSC's spending authorities granted by Parliament and those used by the ATSSC, consistent with the Main Estimates and the Supplementary Estimates (A) for the 2016-17 fiscal year. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.

The authority of Parliament is required before moneys can be spent by the Government. Approvals are given in the form of annually approved limits through appropriation acts or through legislation in the form of statutory spending authority for specific purposes.

When Parliament is dissolved for the purposes of a general election, section 30 of the Financial Administration Act authorizes the Governor General, under certain conditions, to issue a special warrant authorizing the Government to withdraw funds from the Consolidated Revenue Fund. A special warrant is deemed to be an appropriation for the fiscal year in which it is issued.

The ATSSC uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental performance reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

Highlights of Fiscal Quarter and Fiscal Year to Date (YTD) Results

The ATSSC’s financial structure is mainly composed of voted budgetary authorities namely, Vote 1—Program expenditures and vote-netted revenue authority, as well as statutory authorities for contributions to employee benefit plans.

For the period ending September 30, 2016, the ATSSC totalled authorities of $82.1 million, including budgetary authorities of $64.4 million and vote-netted revenue (VNR) of $17.7 million. Budgetary authorities include an amount of $58 million from the Main Estimates, $2.9 million from the Supplementary Estimates (A) and $3.5 million from Treasury Board Central Votes (Operating Budget Carry Forward). The VNR gives the department the authority to make recoverable expenditures on behalf of the Canada Pension Plan and the Employment Insurance Operating Account. Presented in Graph 1 below are the gross and net budgetary authorities and expenditures for the second quarter of 2016-17. For more details, refer to the Statement of Authorities.

Graph 1: Comparison of budgetary authorities and expenditures for the quarter ended September 30, 2016, and September 30, 2015.

Comparison of budgetary authorities and expenditures for the quarter ended September 30, 2016, and September 30, 2015

The ATSSC collected $4.4 million in revenues and incurred a total of $36.6 million in expenditures in the first two quarters of 2016-17 for a total of $32.2 million in net budgetary expenditures. This represents 50% of the total budgetary authorities. The majority of the expenditures relates to personnel ($31.5 million), or 86% of the gross expenditures. The remaining 14% primarily comprises professional and special services (mainly legal services and translation costs), transportation and communications (mainly travel costs), and rentals (mainly meeting rooms, software licences and network maintenance costs).

Significant Changes to Authorities

(Please refer to the Statement of Authorities table)

As of September 30, 2016, the total authorities available for use for the year increased by $1.1 million compared to the same quarter last year. This change is primarily due to an increase of $1 million from Treasury Board Central Votes (Operating Budget Carry Forward). For both respective quarters ended September 30 of 2015-16 and 2016-17, the ATSSC’s VNR authority remained unchanged at $17.7 million.

Significant Changes to Revenues Collected

(Please refer to the Statement of Authorities table)

The revenues collected in the second quarter ending September 30, 2016 increased by $4.4 million. The increase can be attributed to a timing difference in the accounting of financial transactions.

Significant Changes to Expenditures

(Please refer to the Departmental Budgetary Expenditures by Standard Object table)

Second quarter gross budgetary expenditures decreased from $25.2 million in 2015-16 to $18.1 million in 2016-17. This decrease of $7.1 million consists of variances associated with the following:

  • a decrease of $6.5 million in other subsidies and payments expenditures which is related to a decrease in the advance payment compared to the same quarter last year issued to Employment and Social Development Canada (ESDC) for the administration of the Social Security Tribunal; and
  • a decrease of $0.6 million relating to various other expenditures.

Risks and Uncertainties

The ATSSC has identified three key risks and responses for 2016-17.

As the caseload depends on external factors, it is often challenging for tribunals to predict their operational demands from year to year. There is a risk that caseload surges or other unexpected tribunal-specific operational demands could challenge the ATSSC’s ability to provide the support services the tribunals require to fulfill their mandates. While the caseload is beyond the tribunals’ control, strategies will be developed to address circumstances where tribunals face higher than expected demands. Emerging trends are being monitored to determine the potential impact on caseloads, legislative changes are being monitored to assess the impact on ATSSC resources, and budgets and allocations are monitored closely to appropriately reallocate resources if and where required.

There is also a risk that the ongoing change agenda both within the ATSSC and across government will challenge the organization’s resiliency. Senior management will champion change, foster a culture of leadership at all levels and promote employee well-being. As well, the ATSSC will work closely with its partners, including tribunals, central agencies and departments, to synchronize the changes ahead so that resources are well positioned to implement and support change initiatives.

Lastly, the ATSSC must maintain appropriate delivery capacity to meet the mandates and the evolving needs and priorities of the tribunals it serves. The ATSSC is in the process of developing a corporate policy framework and a multi-year implementation strategy taking into account identified gaps, risks and priorities.

The ATSSC supports 11 tribunals with different mandates, each operating under different statutes, regulations and policies. The risks identified are in keeping with those of a recently formed organization that is tasked with delivering existing support services while also seeking to improve its service delivery model. As the ATSSC continues to evolve and build organizational capacity, it will strive to meet its goal of being recognized as a centre of excellence for service delivery; innovative, efficient and effective operations; and improved access to justice.

Significant Changes in Relation to Operations, Personnel and Programs

There has been no significant change to the programs or structure since the ATSSC was established on November 1, 2014. The Social Security Tribunal continues to be partially supported by ESDC as its transition to the ATSSC is still ongoing.

Approval by Senior Officials

Approved by:

Original signed by

________________________
Marie-France Pelletier, Chief Administrator
Ottawa, Canada
November 24, 2016

Original signed by

________________________
Luc Robitaille, Director General and Chief Financial Officer
Corporate Services


Statement of Authorities (unaudited)

(in dollars)

  Fiscal year 2016-17   Fiscal year 2015-16
  Total available for use for the year ending
March 31, 2017 *
Used during the quarter ended
September 30, 2016
Year to date used
at quarter-end
  Total available for use for the year ending
March 31, 2016 *
Used during the quarter ended
September 30, 2015
Year to date used
at quarter-end
Vote 1 - Program expenditures 72,717,766 15,858,499 32,004,446   72,367,755 23,001,167 37,120,230
Less: Revenues netted against expenditures (17,690,600) (4,422,650) (4,422,650)   (17,690,600)    
Net Program expenditures 55,027,166 11,435,849 27,581,796   54,677,155 23,001,167 37,120,230
Budgetary statutory authorities 9,413,110 2,286,293 4,572,586   8,598,993 2,149,748 4,299,497
Total Budgetary authorities 64,440,276 13,722,142 32,154,382   63,276,148 25,150,915 41,419,727

*Includes only Authorities available for use and granted by Parliament at quarter-end


Departmental Budgetary Expenditures by Standard Object (unaudited)

(in dollars)

  Fiscal year 2016-17   Fiscal year 2015-16
  Planned expenditures for the year ending
March 31, 2017
Expended during the quarter ended
September 30, 2016
Year to date used
at quarter-end
  Planned expenditures for the year ending
March 31, 2016
Expended during the quarter ended
September 30, 2015
Year to date used
at quarter-end
Expenditures:
Personnel 63,922,400 15,645,252 31,534,874   60,021,569 16,233,021 30,476,273
Transportation and communications 3,735,799 651,868 1,129,871   4,898,123 621,608 1,068,002
Information 624,823 218,531 264,570   522,824 84,209 224,873
Professional and special services 8,897,182 1,356,635 2,175,961   10,310,518 1,307,225 2,004,842
Rentals 2,094,126 164,174 556,817   2,204,562 298,487 427,652
Purchased repair and maintenance 579,380 29,552 30,135   395,194 14,105 31,930
Utilities, materials and supplies 529,340 115,058 208,369   776,544 149,157 217,848
Acquisition of machinery and equipment 1,747,826 173,836 219,535   1,454,889 119,532 183,744
Other subsidies and payments   (210,114) 456,900   382,524 6,323,571 6,784,563
Total gross budgetary expenditures 82,130,876 18,144,792 36,577,032   80,966,748 25,150,915 41,419,727
Less Revenues netted against expenditures:
Revenues (17,690,600) (4,422,650) (4,422,650)   (17,690,600)    
Total Revenues netted against expenditures: (17,690,600) (4,422,650) (4,422,650)   (17,690,600)    
Total net budgetary expenditures 64,440,276 13,722,142 32,154,382   63,276,148 25,150,915 41,419,727
Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: