Future-Oriented Statement of Operations (Unaudited) 2018-19

Future-Oriented Statement of Operations (Unaudited)

For the Year Ending March 31
(in dollars)
Expenses  Forecast Results 2017-18 Planned Results 2018-19
Protection of Rights Related to Official Languages 8,941,663 8,709,767
Advancement of Official Languages 8,401,290 8,126,508
Internal Services 8,078,734 7,696,001
Total expenses 25,421,687 24,532,276
Net cost of operations before government funding and transfers 25,421,687 24,532,276

The accompanying notes form an integral part of this Future-Oriented Statement of Operations.

Notes to the Future-Oriented Statement of Operations (Unaudited)

1. Methodology and significant assumptions

The Future-Oriented Statement of Operations has been prepared on the basis of the government priorities and the Office of the Commissioner of Official Languages (OCOL)’ plans as described in the Departmental Plan.

The information in the forecast results for fiscal year 2017-18 is based on actual results as at January 31, 2018 and forecasts for the remainder of the fiscal year. Forecasts have been made for the planned results for fiscal year 2018-19 .

The main assumptions underlying the forecasts are as follows:

  1. OCOL's activities will remain substantially the same as for the previous year;
  2. Expenses, including the determination of amounts internal and external to the government, are based on past experience. The general historical pattern is expected to continue.

These assumptions are made as at February 26, 2018.

2. Variations and changes to the forecast financial information

Although every attempt has been made to forecast final results for the remainder of 2017-18 and for 2018-19, actual results achieved for both years are likely to differ from the forecast information presented, and this variation could be material.

In preparing this Future-Oriented Statement of Operations, OCOL has made estimates and assumptions concerning the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are based on past experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances, and are continually evaluated.

Factors that could lead to material differences between the Future-Oriented Statement of Operations and the historical statement of operations include:

  1. The timing and amounts of acquisitions and disposals of tangible capital assets may affect gains/losses and amortization expense.
  2. The implementation of new collective agreements.
  3. Other changes to the operating budget, through additional new initiatives or technical adjustments later in the fiscal year.

After the Departmental Plan is tabled in Parliament, OCOL will not be updating the forecasts for any changes in financial resources made in ensuing supplementary estimates. Variances will be explained in the Departmental Results Report.

3. Summary of significant accounting policies

The Future-Oriented Statement of Operations has been prepared using Government of Canada's accounting policies in effect for Fiscal year 2017-18 , and is based on Canadian public sector accounting standards. The presentation and results using the stated accounting policies do not result in any significant differences from Canadian public sector accounting standards.

Significant accounting policies are as follows:

  • (a) Expenses
    • Expenses are recorded on an accrual basis. Expenses for OCOL's operations are recorded when goods are received or services are rendered including services provided without charges for accommodation, employer contributions to health and dental insurance plans, and worker’s compensation which are recorded as expenses at their estimated cost. Vacation pay and compensatory leave are accrued, and expenses are recorded as the benefits are earned by employees under their respective terms of employment.
    • Expenses also include provisions to reflect changes in the value of assets, including contingent liabilities to the extent the future event is likely to occur and a reasonable estimate can be made.
    • Expenses also include amortization of tangible capital assets which are capitalized at their acquisition cost. Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the asset.

4. Parliamentary authorities

OCOL is financed by the Government of Canada through parliamentary authorities. Financial reporting of authorities provided OCOL do not parallel financial reporting according to generally accepted accounting principles since authorities are primarily based on cash flow requirements. Consequently, items recognized in the Future-Oriented Statement of Operations are not necessarily the same as those provided through authorities from parliament. Items recognized in the Future-Oriented Statement of Operations in one year may be funded through parliamentary authorities in prior, current, or future years. The differences are reconciled in the following tables:

(a) Reconciliation of net cost of operations to requested authorities
(in dollars)
Reconciliations Forecast Results 2017-18 Planned Results 2018-19
Net cost of operations before government funding and transfers 25,421,687 24,532,276
Adjustments for items affecting net cost of operations but not affecting authorities:
Services provided without charge by other government departments
(2,987,963) (3,024,210)
Adjustments for items affecting net cost of operations but not affecting authorities: Amortization of tangible capital assets (315,895) (303,258)
Adjustments for items affecting net cost of operations but not affecting authorities:
Decrease in employee future benefits
87,203 73,660
Adjustments for items affecting net cost of operations but not affecting authorities:
Decrease (increase) in vacation pay and compensatory leave
80,633 (25,880)
Total items affecting net cost of operations but not affecting authorities (3,136,022) (3,279,688)
Adjustments for items not affecting net cost of operations but affecting authorities:
Acquisitions of tangible capital assets
30,000 30,000
Adjustments for items not affecting net cost of operations but affecting authorities:
Decrease in prepaid expenses
(22,557) -  
Total items not affecting net cost of operations but affecting authorities 7,443 30,000
Requested authorities 22,293,108 21,282,588
(b) Authorities requested
(in dollars)
Authorities requested Forecast Results 2017-18 Planned Results 2018-19
Vote 1 - Program expenditures 20,072,428 19,101,205
Statutory - Contributions to employees benefit plans 2,220,680 2,181,383
Total authorities requested 22,293,108 21,282,588
Date modified:
2018-04-16