Estimates |
2006-07 Departmental Performance Reports |
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Statement of Management Responsibility
Responsibility for the integrity and objectivity of the accompanying financial statements for the year ended March 31, 2007, and all information contained in these statements rest with departmental management. These statements have been prepared by management in accordance with Treasury Board accounting policies, which are consistent with Canadian generally accepted accounting principles for the public sector.
Management is responsible for the integrity and objectivity of the information in these financial statements. Some of the information in the financial statements is based on management’s best estimates and judgment and gives due consideration to materiality. To fulfill its accounting and reporting responsibilities, management maintains a set of accounts that provides a centralized record of the department’s financial transactions. Financial information submitted to the Public Accounts of Canada and included in the department’s Departmental Performance Report is consistent with these financial statements.
Management maintains a system of financial management and internal control designed to provide reasonable assurance that financial information is reliable; that assets are safeguarded; and that transactions are in accordance with the Financial Administration Act, are executed in accordance with prescribed regulations, within Parliamentary authorities, and are properly recorded to maintain accountability of Government funds. Management also seeks to ensure the objectivity and integrity of data in its financial statements by careful selection, training and development of qualified staff, by organizational arrangements that provide appropriate divisions of responsibility, and by communication programs aimed at ensuring that regulations, policies, standards and managerial authorities are understood throughout the department.
The financial statements of the department have not been audited.
Kevin G. Lynch Clerk of the Privy Council and Secretary to the Cabinet |
Marilyn MacPherson Assistant Deputy Minister Corporate Services |
Ottawa, Ontario
August 10, 2007
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Privy Council Office
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for the year ended March 31, 2007 | |||
Expenses (Note 4) | 2007 | 2006 | |
(Note 13) | |||
(in thousands of dollars) | |||
Support for Cabinet decision making and the legislative agenda | 6,989 | 7,133 | |
Advice to the Prime Minister and ministers on issues, policies, machinery and appointments | 64,806 | 77,091 | |
Provide Cabinet with sound advice on the development, coordination and implementation of the policy agenda | 30,788 | 35,375 | |
As its head, the Clerk leads the Public Service in effectively supporting Cabinet and serving Canadians | 7,305 | 10,091 | |
Provide the Prime Minister's Office and the offices of the portfolio ministers with financial and administrative support | 33,284 | 42,349 | |
Provide Commissions of Inquiry with appropriate administrative support | 13,538 | 16,334 | |
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Total Expenses | 156,710 | 188,373 | |
Revenues (Note 5) | |||
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Support for Cabinet decision making and the legislative agenda | 1 | 1 | |
Advice to the Prime Minister and ministers on issues, policies, machinery and appointments | 10 | 13 | |
Provide Cabinet with sound advice on the development, coordination and implementation of the policy agenda | 4 | 8 | |
As its head, the Clerk leads the Public Service in effectively supporting Cabinet and serving Canadians | 10 | 6 | |
Provide the Prime Minister's Office and the offices of the portfolio ministers with financial and administrative support | 7 | 9 | |
Provide Commissions of Inquiry with appropriate administrative support | 0 | 0 | |
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Total Revenues | 32 | 37 | |
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Net Cost of Operations | 156,678 | 188,336 | |
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The accompanying notes form an integral part of these financial statements. |
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Privy Council Office
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at March 31, 2007 | |||
Assets | 2007 | 2006 | |
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(in thousands of dollars) | |||
Financial assets | |||
Accounts receivable and advances (Note 6) | 6,481 | 1,917 | |
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Total financial assets | 6,481 | 1,917 | |
Non-financial assets | |||
Prepaid expenses | 696 | 209 | |
Tangible capital assets (Note 7) | 9,376 | 9,727 | |
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Total non-financial assets | 10,072 | 9,936 | |
Total | 16,553 | 11,853 | |
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Liabilities and Equity of Canada | |||
Liabilities | |||
Accounts payable and other liabilities (Note 8) | 20,120 | 19,540 | |
Vacation pay and compensatory leave | 7,864 | 5,328 | |
Employee severance benefits (Note 9) | 14,679 | 12,895 | |
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Total liabilities | 42,663 | 37,763 | |
Equity of Canada | (26,110) | (25,910) | |
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Total | 16,553 | 11,853 | |
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Contingent liabilities (Note 10) | |||
Contractual obligations (Note 11) | |||
The accompanying notes form an integral part of these financial statements. |
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Privy Council Office
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at March 31, 2007 | |||
2007 | 2006 | ||
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(in thousands of dollars) | |||
Equity of Canada, beginning of year | (25,910) | (26,452) | |
Net cost of operations | (156,678) | (188,336) | |
Refund and adjustment of previous year expenditures | (1,548) | (1,297) | |
Revenue not available for spending | (32) | 41 | |
Services provided without charge by other government departments (Note 12) | 18,097 | 22,427 | |
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(140,161) | (167,165) | ||
Current year appropriations used (Note 3) | 135,561 | 162,317 | |
Change in net position in the Consolidated Revenue Fund (Note 3c) | 4,400 | 5,390 | |
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Equity of Canada, end of year | (26,110) | (25,910) | |
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The accompanying notes form an integral part of these financial statements. |
Privy Council Office
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for the year ended March 31, 2007 | ||||
2007 | 2006 | |||
(in thousands of dollars) | ||||
Operating Activities | ||||
Net cost of operations | 156,678 | 188,336 | ||
Non-cash items: | ||||
Amortization of tangible capital assets (note 7) | (3,401) | (3,032) | ||
(Loss) gain on disposal of tangible capital assets | 0 | (16) | ||
Services provided without charge by other government departments (Note 12) | (18,097) | (22,427) | ||
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(21,498) | (25,475) | |||
Variation in Statement of Financial Position: | ||||
Increase (decrease) in accounts receivable and advances | 4,564 | (1,498) | ||
Increase (decrease) in prepaid expenses | 487 | (563) | ||
(Increase) decrease in liabilities: | ||||
Accounts payable and accrued liabilities | (580) | 5,472 | ||
Vacation pay and compensatory leave | (2,536) | (147) | ||
Employee severance benefits | (1,784) | (1,784) | ||
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151 | 1,480 | |||
Cash used by operating activities | 135,331 | 164,341 | ||
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Capital Investment Activities | ||||
Acquisition of tangible capital assets (Note 7) | 3,337 | 1,930 | ||
Net cost of tangible capital asset transfers | (120) | 0 | ||
Work in Progress | (167) | 180 | ||
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Cash used by capital investment activities | 3,050 | 2,110 | ||
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Financing Activities | ||||
Net cash provided by Government of Canada | 138,381 | 166,451 | ||
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The accompanying notes form an integral part of these financial statements. |
7. Tangible Capital Assets | |||||||||||||||||||
Cost | Accumulated amortization | ||||||||||||||||||
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Opening Balance | Acquisitions1 | Disposals and write-offs | Closing Balance | Opening Balance | Amortization2 | Disposals and write-offs | Closing Balance | Net Book Value 2007 | Net Book Value 2006 | ||||||||||
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(in thousands of dollars) | |||||||||||||||||||
Machinery and equipment | 40 | 0 | 0 | 40 | 26 | 2 | 0 | 28 | 12 | 14 | |||||||||
Informatics hardware | 9,445 | 1,947 | (150) | 11,242 | 6,286 | 1,729 | (17) | 7,998 | 3,244 | 3,159 | |||||||||
Informatics software | 3,830 | 510 | 0 | 4,340 | 2,327 | 1,006 | 0 | 3,333 | 1,007 | 1,503 | |||||||||
Other equipment | 4,967 | 2,377 | 0 | 7,344 | 1,966 | 602 | 0 | 2,568 | 4,776 | 3,001 | |||||||||
Motor vehicles | 318 | 97 | 0 | 415 | 198 | 62 | 12 | 272 | 143 | 120 | |||||||||
Work-in-progress - Software | 67 | 95 | (148) | 14 | 0 | 0 | 0 | 0 | 14 | 67 | |||||||||
Work-in-progress - Other | 1,863 | 181 | (1,864) | 180 | 0 | 0 | 0 | 0 | 180 | 1,863 | |||||||||
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20,530 | 5,207 | (2,162) | 23,575 | 10,803 | 3,401 | (5) | 14,199 | 9,376 | 9,727 | ||||||||||
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(1) Total acquisitions of $5,207K is comprised of regular acquisitions of capital assets ($3,337), capitalization and creation of new work-in-progress (WIP) ($1,845K), and a transfer from another department ($25K). | |||||||||||||||||||
(2) Amortization expense for the year ended March 31, 2007 is $3,401K (2006 - $3,032K). |
8. Accounts payable and other liabilities | ||||||||
The following table presents details of accounts payable and other liabilities: | ||||||||
2007 | 2006 | |||||||
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(in thousands of dollars) | ||||||||
Accounts payable to external parties | 12,890 | 14,978 | ||||||
Accounts payable to other federal government departments and agencies | 5,960 | 3,421 | ||||||
Other liabilities | 920 | 776 | ||||||
Contingent liabilities (Note 10) | 350 | 365 | ||||||
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Total | 20,120 | 19,540 | ||||||
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9. Employee Benefits | ||||||||
a) Pension benefits: The Privy Council Office’s employees participate in the Public Service Pension Plan, which is sponsored and administered by the Government of Canada. Pension benefits accrue up to a maximum period of 35 years at a rate of 2 percent per year of pensionable service, times the average of the best five consecutive years of earnings. The benefits are integrated with Canada/Québec Pension Plans benefits and are indexed to inflation. | ||||||||
Both the employees and the department contribute to the cost of the Public Service Pension Plan. The 2006-07 expense amounts to $9,079,000 ($10,800,000 in 2005-06), which represents approximately 2.2 times (2.6 in 2005-06) the contributions by employee. | ||||||||
The Department’s responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan’s sponsor. | ||||||||
b) Severance benefits: The Privy Council Office provides severance benefits to its employees based on eligibility, years of service and final salary. These severance benefits are not pre-funded. Benefits will be paid from future appropriations. Information about the severance benefits, measured as at March 31, is as follows: | ||||||||
2007 | 2006 | |||||||
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(in thousands of dollars) | ||||||||
Accrued benefits obligation, beginning of year | 12,895 | 11,111 | ||||||
Expenses for the year | 2,923 | 3,612 | ||||||
Benefits paid during the year | (1,139) | (1,828) | ||||||
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Accrued benefits obligation, end of year | 14,679 | 12,895 | ||||||
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10. Contingent Liabilities | ||||||||
Claims and litigations | ||||||||
Claims have been made against the Privy Council Office in the normal course of operations. Legal proceedings for claims totaling approximately $350,000 were still pending at March 31, 2007 ($365,000 in 2005-2006). Some of these potential liabilities may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded in the financial statements. |
Annual Report to the Prime Minister on the Public Service
Pursuant to section 47.1 of the Public Service Employment Act, the Clerk of the Privy Council, as Head of the Public Service, shall submit a report on the state of the Public Service each fiscal year to the Prime Minister. This report is then tabled in the House of Commons by the Prime Minister.
The Clerk’s current Annual Report to the Prime Minister on the Public Service of Canada is available online at http://www.pco-bcp.gc.ca/default.asp?Language=E&Page=clerk&Sub=AnnualReports
Annual Report to Parliament on the Access to Information Act
PCO submitted its annual report to Parliament on the administration of the Access to Information Act in the Privy Council Office. This report is required by section 72(1) of the Act.
Annual Report to Parliament on the Privacy Act
PCO submitted its annual report to Parliament on the administration of the Privacy Act in the Privy Council Office. This report is required by section 72(1) of the Act.
Constitution Acts | |
Conflict of Interest Act | 2006, c.9, s.2 |
Governor General’s Act | R.S. 1985, c.G-9, as amended |
Inquiries Act | R.S. 1985, c.I-11, as amended |
Ministries and Ministers of State Act | R.S. 1985, c.M-8 |
Public Service Rearrangement and Transfer of Duties Act | R.S. 1985, c.P-34 |
Royal Style and Titles Act | R.S. 1985, c.R-12 |
Royal Style and Titles (Canada) Act | 1947, c.72 (see also R.S.C. 1970, c.12) |
Salaries Act | R.S. 1985, c.S-3, as amended |
Canadian Transportation Accident Investigation and Safety Board Act | 1989, c.3, as amended |
Oaths of Allegiance Act | R.S. 1985, c.O-1 |
Royal Assent Act | 2002, c.15 |
Canada Elections Act | 2000, c.9, as amended |
Electoral Boundaries Readjustment Act | R.S. 1985, c.E-3, as amended |
Parliament of Canada Act | R.S., 1985, c.P-1, as amended |
Referendum Act | 1992, c.30, as amended |
An Act to amend the Canada Elections Act and the Income Tax Act | 2004, c. 24, as amended. |
Federal Law-Civil Law Harmonization Act, No.2 | 2004, c.21 |
Highway 30 Completion Bridges Act | 2005, c. 37 |
General Inquiries and Publications | 613-957-5153 |
Telephone device for the hearing impaired | 613-957-5741 |
PCO Public Inquiries (email) | info@pco-bcp.gc.ca |
Prime Minister | http://pm.gc.ca/ |
Leader of the Government in the House of Commons | www.pco-bcp.gc.ca/lgc/ |
President of the Queen’s Privy Council and Minister of Intergovernmental Affairs |
www.pco-bcp.gc.ca/aia/ |
Leader of the Government in the Senate | www.pco-bcp.gc.ca/lgs/ |
Privy Council Office | http://www.pco-bcp.gc.ca/ |
Speech from the Throne | http://www.sft-ddt.gc.ca/ |
Orders-in-Council | www.pco-bcp.gc.ca/oic-ddc |
Governor-in-Council Appointments | http://www.appointments-nominations.gc.ca/ |
Commission of Inquiry into the Actions of Canadian Officials in Relation to Maher Arar |
http://www.ararcommission.ca/ |
Commission of Inquiry into the Investigation of the Bombing of Air India Flight 182 |
http://www.majorcomm.ca/ |
Internal Inquiry into the Actions of Canadian Officials in Relation to Abdullah Almalki, Ahmad Abou-Elmaati and Muayyed Nureddin |
http://www.iacobucciinquiry.ca/ |
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