Quarterly Financial Report for the Quarter ended December 31, 2020

From: Parole Board of Canada

Statement outlining results, risks and significant changes in operations, personnel and program

Introduction

This quarterly report has been prepared by management as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Directive on Accounting Standards, GC 4400 Departmental Quarterly Financial Report. This quarterly report should be read in conjunction with the Main Estimates and Supplementary Estimates. 

A summary description of the Parole Board of Canada (PBC), raison d’être and core responsibilities can be found in Part II of the Main Estimates.

This Quarterly Report has not been subject to an external audit or review.

Basis of Presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the PBC’s spending authorities granted by Parliament and those used by the department, and those used by the department consistent with the Main Estimates and Supplementary Estimates (as applicable) for the 2020-21 fiscal year and any respendable revenue earned and available for use to quarter end. 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 money 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 PBC uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental results reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

Highlights of the fiscal quarter and the fiscal year-to-date (YTD) results

Total authorities available for fiscal year 2020-21 are $52.8 million compared to $50.2 million as of December 31, 2019. The increase of $2.6 million, or 5%, is explained mainly by:

As illustrated in Figure 1, the PBC has spent approximately 72% of its authorities at the end of the  third quarter, compared to 71% last year at the same period.

Overall, the PBC’s total net budgetary expenditures has increased by 7% over 2020-21.  While Personnel expenditures increased, a significant reduction in respendable revenues and reductions in all other categories, except Rentals and Acquisitions of Machinery and Equipment, are attributed to impacts of the pandemic.

Figure 1 - Third Quarter Expenditures Compared to Annual Authorities

Figure 1 - Third Quarter Expenditures Compared to Annual Authorities
Text equivalent of Figure 1 - Third quarter expenditures compared to annual authorities 
(in thousands of dollars) Fiscal year 2020-21 Fiscal year 2019-20
Authorities 52,777 50,175
Expenditures to date 37,749 35,371
Expenditures Q3 13,908 11,802

Risks and Uncertainties

The PBC operates in a dynamic and complex environment that requires it to be efficient, adaptive and innovative. It uses integrated risk management, including a Corporate Risk Profile that is updated annually, to identify and respond to challenges and opportunities. The PBC’s key risks and uncertainties are:

The pandemic has temporarily brought a major shift to how we do our work, and that has required some quick thinking from our policy and operations to adapt PBC policies, write instructional guidance to staff and Board members and align our new operational realities as best as possible to legislative imperatives while still keeping Canadians safe.

Significant changes in relation to operations, personnel and programs

In March 2020, the World Health Organization declared a global pandemic following the outbreak of COVID-19. For the protection of personnel and that of communities’ right across the country, efforts were made to take all public health precautions to prevent the further spread of COVID-19. As a result of COVID-19, the following significant changes occurred in relation to operations, personnel and programs:3

Additionally in 2017, the Service Fees Act came into force and replaced the User Fees Act. It imposed new requirements on Departments’ charging user fees, which include a requirement to increase fees on an annual basis according to the Consumer Price Index (CPI). The first annual CPI increases were due to start in 2019-20, on an anniversary date selected by the program. The PBC selected March 31, 2020 as the implementation date to increase the user fee for record suspensions to $644.88 from $631.00.

Approval by Senior Officials


Approved by,



                                                                                                                       
Jennifer Oades                                                Anik Lapointe CPA CGA
Chairperson                                                    Chief Financial Officer

Statement of Authorities (unaudited)

Fiscal year 2020-21 (in thousands of dollars)

Total available for use for the year ending
March 31, 20211
Used during the quarter ended
December 31, 2020
Year-to-date used at quarter-end

Vote 1 – Program expenditures

49,321

13,838

36,598

Vote-netted revenues2

(2,663)

(1,291)

(1,571)

Net program expenditures

 46,658

12,547

35,027

Budgetary statutory authority – Contributions to employee benefit plan

 6,119

1,361

2,722

Total Budgetary authorities

 52,777

 13,908

 37,749

Fiscal year 2019-20 (in thousands of dollars)

Total available for use for the year ending
March 31, 20201
Used during the quarter ended
December 31, 2019
Year-to-date used at quarter-end

Vote 1 – Program expenditures

50,207

11,599

34,456

Vote-netted revenues3

 (5,645)

(1,200)

(3,295)

Net program expenditures

44,562

10,399

31,161

Budgetary statutory authority – Contributions to employee benefit plan

5,613

1,403

4,210

Total Budgetary authorities

50,175

11,802

35,371

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

2 The amount of revenues netted against expenditures reported in the Main Estimates is based on an estimated amount of 11,663 accepted applications multiplied by the portion of the $644.88 user fee that is respendable by PBC ($484).

3 The amount of revenues netted against expenditures reported in the Main Estimates is based on an estimated amount of 12,000 accepted applications multiplied by the portion of the $631.00 user fee that is respendable by PBC ($470).

Departmental budgetary expenditures by Standard Object (unaudited)

Fiscal year 2020-21 (in thousands of dollars)

Planned expenditures for the year ending
March 31, 2021
Expended during the quarter ended
December 31, 2020
Year-to-date used at quarter-end

Expenditures

  Personnel

47,124

13,757

36,521

  Transportation and communications

 807

251

481

  Information

21

2

6

  Professional and special services

6,061

832

1,624

  Rentals

297

183

237

  Repair and maintenance

 89

11

20

Utilities, materials and supplies

173

34

77

Acquisition of land, building and works

19

4

4

  Acquisition of machinery and equipment

839

107

305

  Other subsidies and payments

 10

18

45

Total gross budgetary expenditures

 55,440

15,199

39,320

Less Revenues netted against expenditures:

Vote-netted revenues

2,663

1,291

1,571

Total net budgetary expenditures

52,777

13,908

37,749

Fiscal year 2019-20 (in thousands of dollars)

Planned expenditures for the year ending
March 31, 2020
Used during the quarter ended
December 31, 2019
Year-to-date used at quarter-end

Expenditures

 Personnel

49,475

11,566

34,495

  Transportation and communications

2,856

560

1,913

  Information

98

3

53

  Professional and special services

1,996

593

1,595

  Rentals

286

44

195

  Repair and maintenance

51

13

26

  Utilities, materials and supplies

179

48

103

  Acquisition of Land, Buildings & Works

33

19

28

  Acquisition of machinery and equipment

752

164

243

  Other subsidies and payments

94

(8)

15

Total gross budgetary expenditures

55,820

13,002

38,666

Less Revenues netted against expenditures:

Vote-netted revenues

5,645

1,200

3,295

Total net budgetary expenditures

50,175

11,802

35,371

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: