Supplementary Information - 2015–16 Report on Plans and Priorities - Treasury Board of Canada Secretariat

Future-Oriented Statement of Operations

The future-oriented condensed statement of operations provides a general overview of the Treasury Board of Canada Secretariat's (the Secretariat's) operations. The forecast of financial information on expenses and revenues is prepared on an accrual accounting basis to strengthen accountability and to improve transparency and financial management. As such, the forecast and planned spending amounts presented in other sections of the report differ, as they are prepared on an expenditure basis.

A more detailed Future-Oriented Statement of Operations and associated notes, including a reconciliation of the net cost of operations to the requested authorities, can be found on the Secretariat's website.

Total expenses are forecasted to decrease by $339.6 million (10.3 per cent). The decrease is mainly due to one-time funding requirements in 2014–15 related to public service employer payments ($246.1 million) and an out of court settlement ($74.9 million). It also has to do with a reduction in 2015–16 expenses due to the implementation of Strategic Review decisions related to public service employer payments ($10.2 million). Total net revenues are forecasted to decrease by $0.9 million (6.3 per cent) in 2015–16 mainly due to a decrease related to the provision of internal support services to other departments. As a result, the net cost of operations is forecasted to decrease by $338.7 million (10.3 per cent) in 2015–16 from 2014–15 net costs.

Expenses include approximately $2.9 billion in 2014–15 and $2.7 billion in 2015–16 that are largely related to public service employer payments. These funds are used for government-wide programs such as the employer's share of the Public Service Health Care Plan, the Public Service Dental Care Plan, other insurance and pension programs, as well as contributions to the Public Service Pension Plan and Retirement Compensation Arrangement in respect of actuarial deficits. The balance of the expenses relates to departmental expenses including salary costs and payments for goods and services. Revenues of approximately $13 million to $14 million per year consist of the provision of internal support services to other departments, and the recovery of costs related to pension administration services provided to the Public Service Pension Plan.

Supplementary Information Tables

The supplementary information tables listed in the 2015–16 Report on Plans and Priorities can be found on the Treasury Board of Canada Secretariat's website:

• Disclosure of Transfer Payment Programs Under $5 Million;
• Greening Government Operations;
• Horizontal Initiatives; and
• Upcoming Internal Audits and Evaluations Over the Next Three Fiscal Years.

Tax Expenditures and Evaluations

The tax system can be used to achieve public policy objectives through the application of special measures such as low tax rates, exemptions, deductions, deferrals and credits. The Department of Finance Canada publishes cost estimates and projections for these measures annually in the Tax Expenditures and Evaluations publication. The tax measures presented in the Tax Expenditures and Evaluations publication are the responsibility of the Minister of Finance.