CIMM - Summary of 2020-2021 Main Estimates - Nov 25, 2020

Key messages

• IRCC’s Main Estimates for 2020-21 total $2.841B. This represents a net decrease of $7.3M in financial resources compared to the 2019-2020 Main Estimates.
• The net decrease is mostly comprised of decreases related to the sunset of funding for the Interim Housing Assistance Program ($324M) and Operation Syrian Refugees ($32.6M), as well as the decreased draw down on the accumulated surplus for the Passport Program revolving fund ($41.8M).
• The above noted decreases were mainly offset by new funding received in 2020-2021 through Budget 2019 for items such as providing health care to refugees and asylum seekers ($158M), enhancing the integrity of Canada’s borders and asylum system ($91.2M), improving immigration client services ($22.9M), and helping travellers visit Canada ($20.5M).
• Other significant increases consist of funding for the 2019-2021 Immigration Levels Plan ($73.4M) and the annual grant of the Canada-Quebec Accord on Immigration ($32.2M).

Supporting facts and figures

• The most significant year-over-year variances that contributed to the net decrease of $7.3M to IRCC’s resources mainly consist of the following:

  1. Funding to provide health care to refugees and asylum seekers - $158.0M increase

     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. This amount of $158M is in addition to the $83.9M currently available in 2020-2021, for a total of $241.9M.

  2. Funding to enhance the integrity of Canada’s borders and asylum system - $91.2M increase

     This funding is to support the implementation of the Border Enforcement Strategy and to respond to pressures facing the in-Canada asylum system, including processing capacity. Funding will ensure operational readiness to efficiently process irregular migrants.

  3. Funding for 2019-2021 Immigration Levels Plan - $73.4M increase

     As per the multi-year levels plan, immigration levels have increased from 330,800 in 2019 to 341,000 in 2020 as per the 2019-2021 Immigration Levels Plan. Funding has increased to $435.6M in 2020-2021 compared to $362.2M in 2019-2020.

     Funding mainly consists of transfer payments to service provider organizations in order to support the resettlement and settlement of accepted applicants so they can better integrate into Canadian society while contributing to economic development.

     The 2020-2022 Immigration Levels Plan was tabled in March 2020, after the completion of the Main Estimates, and includes an increase of 1,000 admissions in 2021 for a new total of 351,000 admissions and an additional increase of 10,000 in 2022 for a new total of 361,000 admissions. Resources associated with these new levels are being sought in the 2020-2021 Department’s Supplementary Estimates B.

  4. Funding for the Canada-Quebec Accord on Immigration - $32.2M increase

     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 has two variables: the percentage year-over-year of change of total federal expenditures (excluding debt charges), and the percentage year-over-year increase of non-Francophone immigrants that settle in Quebec.

     These variables will bring the funding for the Accord to a new baseline of $591.6M at the beginning of 2020-2021.

  5. Funding to improve immigration client services - $22.9M increase

     This funding is to enable client service improvements to address escalating demand for client support in the face of rising volumes and changes in client behaviour. Funding helps the Department cope with higher demand for client support related to increases in application and admission volumes across all lines of business.

  6. Funding to help travellers visit Canada - $20.5M increase

     This funding is to help address planned increases in volumes in the temporary resident program that had been anticipated for 2020-2021. The Department requires resources for direct application processing, as well as for operation support to deliver the temporary resident program and to limit increases in temporary resident visa application processing times.

  7. Sunset of funding for the Interim Housing Assistance Program - $324.0M decrease

     This funding was to address the financial compensation requested from provinces and municipalities for costs associated with the provision of temporary housing to asylum claimants through 2019.

     An amount of $474M ($150M in 2018-2019 and $324M in 2019-2020) was approved through past Estimates. The Department has issued payments to provinces and municipalities in the amount of $371.5M out of this funding envelope ($29.0M in 2018-2019 and $342.5M in 2019-2020). The remaining balance of $102.5M was re-profiled into 2020-2021 and was accessed through Supplementary Estimates (A).

     An additional amount of $242M is being sought through 2020-2021 Supplementary Estimates (B) for the Program to enable partners to address current pressures and ensure that asylum claimants can be temporarily housed until permanent housing can be secured. In total, IRCC’s funding for the Program in 2020-2021 would be $344.5M.

  8. Decreased drawdowns from the accumulated surplus for the Passport Program - $41.8M decrease

     The Passport Program operates on a cost recovery basis and finances operational activities through collected passport fees charged to applicants.

     Program funds are placed in a Revolving Fund which has a continuing non-lapsing authority from Parliament.

     A net decrease of $41.8M was anticipated in 2020-2021 for the Passport Program. This is mainly due to a decreased drawdown from the Revolving Fund which is attributable to a forecasted increase in revenues due to increases in volume projections from 2.4 million applications in 2019-2020 to 2.8 million in 2020-2021.

  9. Sunset of funding for the Government’s response to the Syrian refugee crisis - $32.6M decrease

     Dedicated funding to respond to the Syrian refugee crisis that began in 2015-2016 with the arrival of 25,000 Syrian refugees and another 10,000 in 2016-2017 ended on March 31, 2020. In past years, funding was mostly related to transfer payments to organizations to support the settlement of these refugees.

  10. Net transfer to Global Affairs Canada to support departmental staff located at missions abroad - $11.3M decrease

      The net transfer to Global Affairs Canada over the years is to support departmental staff located at missions abroad.

Background

• The 2020-2021 Main Estimates were initially tabled on February 27, 2020 and were referred to various standing committees for review by May 2020.
• To provide for ongoing operations while the Main Estimates are under review, the Treasury Board Secretariat prepares an Interim Supply Bill (generally referred to as Appropriation Act No. 1). As such, an interim supply equal to almost 4/12ths of IRCC’s Main Estimates was granted in March 2020.
• Due to the impacts of the COVID-19 pandemic and the limited sessions in the spring for Parliament to study supply, the Standing Orders of the House of Commons were amended to extend the study period into the fall, and therefore, delaying full supply for the 2020-2021 Main Estimates until December 2020.
• Ultimately, a second interim supply was granted in June 2020. In total, both first and second interim supplies equal around 11/12ths of the Main Estimates for IRCC’s Votes 1 and 10 and a total supply of 9/12ths was granted for Vote 5.
• Full supply for 2020-2021 is anticipated for December 2020.