CIMM - Summary of 2021-2022 Main Estimates – Mar 8, 2021

Key messages

• Immigration, Refugees and Citizenship Canada’s Main Estimates for 2021-2022 total $3.253B. This represents a net increase of $412.2M in financial resources compared to 2020-2021 Main Estimates.
• The net increase is mostly comprised of increases in funding for: the Interim Federal Health Program ($169.7M), multi-year immigration levels plans ($127.7M), the Canada-Quebec Accord ($58.6M), stabilization of the Global Case Management System for future digital platform transformation ($40.2M), the Passport Program (increase of $30.4M in spending authority), the compensation adjustment to cover salary increases arising from all newly signed collective agreements ($25.4M), and enhancing Canada's asylum system announced in the Economic and Fiscal Snapshot 2020 ($13.6M).
• The above-noted increases were partially offset by decreases related to Budget 2019 measures such as the sunset of funding for improving immigration client service ($22.9M), a net decrease in the funding profile for enhancing the integrity of Canada’s borders and asylum system ($22.0M), as well as the sunset of funding for helping travelers visit Canada ($20.5M).

Supporting facts and figures

The most significant year-over-year variances that contributed to the net increase of $412.2M to Immigration, Refugees and Citizenship Canada’s resources mainly consist of the following items:

1. Funding to provide health care to refugees and asylum seekers – $169.7M

   This funding is to address incremental program costs related to the provision of health care coverage to refugees and asylum seekers through the Interim Federal Health Program. A total amount of $414.3M is available for this program in 2021-2022.

2. Funding from cumulative immigration levels plans – $127.7M

   This incremental funding of $127.7M is being included in the Main Estimates for a cumulative in-year funding of $564.5M in 2021-2022 for the implementation of multi-year immigration levels plans compared to $436.8M in the previous fiscal year. Funding will help sustain a baseline of immigration levels, as well as increase immigration levels to 351,000 in 2021.

   Funding mainly consist of transfer payments to Service Provider Organizations in order to support the resettlement and settlement of accepted applicants so they can better integrate into the Canadian society while contributing to economic development.

   Funding for 2021-2023 Level Plans, tabled in Parliament on October 30, 2020, will be sought in the new fiscal year via the Supplementary Estimates process.

3. Funding for the Canada-Quebec Accord on Immigration – $58.6M

   The incremental funding is to provide an updated amount for the annual grant to support settlement and integration services in the province of Quebec under the Canada-Quebec Accord.

   The amount to be paid to Quebec under the terms of the accord is calculated annually using a year-over-year escalator that is dependent on the percentage of change in total federal expenditures (excluding debt charges) and the number of non-Francophone immigrants that settle in Quebec.

   This amount will bring the funding for this accord to a new baseline of $650.2M in 2021-2022.

4. Funding to stabilize the Global Cases Management Systems for future digital platform transformation – $40.2M

   This funding was announced in the Economic and Fiscal Snapshot 2020 to stabilize and standardize the Department’s information technology system, and build the foundation for a new digital platform. This will support a world-class immigration system through enhanced client service, operational efficiency and program integrity.

5. Passport Program – $30.4M

   The Passport Program operates on a cost recovery basis and finances activities through the fees charged for its services. Program funds are placed in a revolving fund which has a continuing non-lapsing authority from Parliament.

   This variance is mainly attributable to the Passport Program forecasted volume for 2021-22, which at the time of preparing the Main Estimates, was anticipated to decrease by 186,000 in comparison to the previous fiscal year, thus resulting in a decrease in passport revenues. As such, the Department anticipates a draw-down of $30.4M from the accumulated surplus associated with this revolving fund in order to meet financial requirements to support program delivery.

6. Compensation adjustment to cover salary increases – $25.4M

   This funding addresses negotiated salary increases arising from all newly signed collective agreements and other compensation-related adjustments for agreements.

7. Funding to Enhance Canada’s Asylum System through the Economic and Fiscal Snapshot 2020 – $13.6M

   This funding was announced in the Economic and Fiscal Snapshot 2020 to enable the asylum system to process 50,000 asylum claims annually until March 2023. This aims to maintain the Department’s processing capacity up to the Refugee Appeal Division at 50,000 claims for two years (2021-2022 and 2022-2023) with one additional year of post-Refugee Appeal Division processing (2023-2024).

8. Budget 2019 – Sunset of funding to improve immigration client services – ($22.9M)

   This decrease is due to the sunset of funding announced in Budget 2019 to enable client service improvements to address escalating demand for client support in the face of rising volumes and changes in client service behavior.

   Funding was to help the Department cope with the increased demand for client support related to increases in application and admission volumes across virtually all lines of business.

9. Budget 2019 – Enhancing the Integrity of Canada’s Borders and Asylum System (including Asylum Interoperability, Security Screening Automation, Migration Cooperation and Engagement Envelope) – ($22.0M)

   Budget 2019 announced funding to support the implementation of the Border Enforcement Strategy and to respond to pressures facing the in-Canada asylum system, including processing capacity.

   The net decrease of $22.0M is comprised of a reduction of $22.7M in the funding profile for Enhancing the Integrity of Canada’s Borders and Asylum System, the sunset of $9.6M for the interim lodging sites, and $6.3M for the re-profile of funding to future years for the Migration Cooperation and Engagement Envelope.

   These decreases were offset by funding received in the amount of $14.9M for the systems interoperability to enhance the asylum information technologies and $1.7M for the Security Screening Automation Project led by CBSA.

10. Budget 2019 – Funding to help travelers visit Canada – ($20.5M)

    This decrease is due to the sunset of funding announced in Budget 2019 to help address increased volumes in the temporary resident program. The Department required resources for direct application processing, as well as for operational support to deliver the temporary resident program and to limit increases in temporary resident visa application processing time.

Background

• The 2021-2022 Main Estimates provide a listing of resources required by individual departments and agencies for the upcoming fiscal year in order to deliver the programs for which they are responsible.
• The Main Estimates capture Immigration, Refugees and Citizenship Canada’s spending authority decisions that were approved by Treasury Board and therefore exclude anticipated upcoming Federal 2021 Budget items.
• The President of the Treasury Board is expected to table these estimates in Parliament in February 2021.
• Before full supply is granted by end of June, Interim Supply will likely be voted during the second half of March, and usually at the same time as the last set of Supplementary Estimates.
• Interim Supply will provide the Department with anticipated financial requirements for the first three months of the new fiscal year for Operating and Capital votes and for the first five months for the Grants and Contributions vote, starting April 1, 2021, until full supply can be obtained in June.