Quarterly Financial Report For the Quarter Ended December 31, 2020

Introduction

This quarterly financial 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 Treasury Board. It should be read in conjunction with the Main Estimates. This quarterly report has not been subject to an external audit or review.

Mandate and programs

The Office of the Commissioner of Official Languages (OCOL) supports the Commissioner of Official Languages in fulfilling his mandate, which consists of taking all actions and measures within his authority to ensure recognition of the status of each of the official languages and compliance with the spirit and intent of the Official Languages Act in the administration of the affairs of federal institutions, including any of their activities relating to the advancement of English and French in Canadian society.

Further information about OCOL’s programs can be found in the 2020-2021 Departmental Plan and in the Main Estimates.

Basis of presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes OCOL’s spending authorities granted by Parliament and used by OCOL, consistent with the Main Estimates for the 2020-2021 fiscal year. This quarterly report has also 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.

OCOL uses the full accrual method of accounting to prepare and present its annual financial statements, which are part of the organization's results reporting process. However, the spending authorities voted by Parliament are prepared on an expenditure basis.

Highlights of Fiscal Quarter and Fiscal Year to Date

Statement of Authorities

At the third quarter, the Statement of Authorities below shows an increase of $1.3 million or 5.8% over the previous year in the authorities available for use which is mainly due to salary increases negotiated by Treasury Board. This also includes an increase of the budgetary statutory authorities related to the employee benefit plan.

This statement also indicates that OCOL spent $14.7 million of its available authorities for the current fiscal year 2020-21, of which 88.6% ($12.9 million) relates to personnel expenditures.

Statement of Department Budgetary Expenditures by Standard Object

As per the Budgetary Expenditures by Standard Object, the OCOL’s total year to date budgetary expenditures decreased by an amount of 0.5 million or 3.1% as per December 31, 2020 when compared to the expenditures reported at the same period in 2019-20. This decrease is mainly explained by:

  • an increase of $246,000 in personnel costs mainly due to pay increases following the signature of new collective agreements;
  • an increase of $125,000 in professional services, mainly in counseling services;
  • a decrease of $309,000 in transportation, communication and information costs related to cancellation and postponement of travel and events as a result of COVID-19 pandemic;
  • a decrease of $122,000 in repair and maintenance, materiel acquisition and supplies, major purchases having been made in 2019-20; and
  • a decrease of $423,000 in machinery and equipment costs, major purchases for the renewal of computer equipment having been made in 2019-20.

Risks and Uncertainties

The risks OCOL has considered are caused by factors related to its operating environment. Risks related to OCOL’s capacity to meet strategic and operational priorities as well as its reputation to support its mandate could be considered not only as threats but also as opportunities.

As part of the integrated planning process, the response to corporate risks was integrated into the Integrated Operational Plan and monitored periodically by the Executive Committee.

Capacity to meet strategic and operational priorities

OCOL continues to implement activities to meet the priorities of its 2019-2025 strategic plan, which includes Vision 2025.

OCOL is conducting an ongoing review of its budget so that it can reallocate resources, as needed, to meet its priorities. For example, the organization has developed a strategic human resources management plan in which it has identified specific areas of intervention relating to its current and future human resources challenges.

OCOL also continue to assess the impact of changes in operational priorities, processes and objectives, particularly through the implementation of the Integrated Operational Plan and change management strategies in order to address potential changes to the organizations’ priorities stemming from the implementation of Vision 2025 and proposals from external stakeholders, including federal institutions’ implementation of the 2018-23 Action Plan for Official Languages prepared by Canadian Heritage and the modernization of the Act by the Government.

OCOL’s reputation to support its mandate

OCOL is focusing efforts on reviewing its processes to achieve cost savings, to carry out a transformation and innovation, where possible with audit advisory projects and continuous improvement projects. For example, OCOL conducted an in-depth analysis of the stages of the implementation of its investigations program in order to prepare an action plan aimed at improving performance. OCOL anticipates that this will increase its understanding of the environment and allow it to become more agile and efficient.

Furthermore, OCOL developed intervention strategies that will reach various stakeholders, such as federal institutions and official languages minority communities (OLMC), in order to better manage expectations and establish constructive relationships. Such is the case with the implementation of the Official Languages Maturity Model and the stakeholder management project.

OCOL continues also to improve communications in its activities in order to promote the Commissioner’s position on important official languages issues in the public space.

That said, given that OCOL does not have control over external factors influencing the future of its activities, especially in the context of the COVID-19 pandemic. The organization will ensure the flexibility of the strategic planning process to adapt to organizational changes and, if required, will realign resources and/or work. The Office has reviewed the 2020-21 priorities based on the context of the pandemic and monitors their progress on a quarterly basis.

Significant Changes in Relation to Operations, Personnel and Programs

The number of human resources action requests has significantly decreased this year compared to the third quarter of last year (60 vs. 85). However, the most common action requests remain acting appointment (less than 4 months), casual employees and students.

Approval by Senior Officials

The original version was approved and signed by:

Raymond Théberge
Commissioner of Official Languages

Eric Trépanier, CPA, CGA
Chief Financial Officer

Gatineau, Canada
February 26, 2021

Statement of Authorities (unaudited)

Statement of Authorities (unaudited) (in thousands of dollars)
Authorities Fiscal year 2020–21:
Total available for use for the year ending March 31, 2021Table note *
Fiscal year 2020–21:
Used during the quarter ended December 31, 2020
Fiscal year 2020–21:
Year to date used at quarter end
Fiscal year 2019–20:
Total available for use for the year ending March 31, 2020Table note *
Fiscal year 2019–20:
Used during the quarter ended December 31, 2019
Fiscal year 2019–20:
Year to date used at quarter end
Vote 1 - Program expenditures 21,659 5,078 12,985 20,459 4,457 13,388
Budgetary statutory authorities 2,425 555 1,665 2,306 577 1,730
Total budgetary authorities 24,084 5,633 14,650 22,765 5,034 15,118
Total authorities 24,084 5,633 14,650 22,765 5,034 15,118

Table note

Table note *

Table note * Includes only Authorities available for use and granted by Parliament at quarter end.

Return to table note * referrer

 

Departmental budgetary expenditures by Standard Object (unaudited)

Departmental budgetary expenditures by Standard Object (unaudited) (in thousands of dollars)
Expenditures Fiscal year 2020–21:
Planned expenditures for the year ending March 31, 2021
Fiscal year 2020–21:
Expended during the quarter ended December 31, 2020
Fiscal year 2020–21:
Year to date used at quarter end
Fiscal year 2019–20:
Planned expenditures for the year ending March 31, 2020
Fiscal year 2019–20:
Expended during the quarter ended December 31, 2019
Fiscal year 2019–20:
Year to date used at quarter end
Personnel 19,070 5,011 12,924 17,764 4,230 12,678
Transportation and communications 753 49 152 750 194 395
Information 301 5 38 300 37 104
Professional and special services 2,807 489 1,183 2,801 403 1,058
Rentals 401 24 133 400 19 120
Repair and maintenance 200 4 17 200 46 88
Utilities, materials and supplies 150 36 53 150 59 105
Acquisition of machinery and equipment 402 15 147 400 46 570
Other subsidies and payments - - 3 - - -
Total gross budgetary expenditures 24,084 5,633 14,650 22,765 5,034 15,118
Total net budgetary expenditures 24,084 5,633 14,650 22,765 5,034 15,118
Date modified:
2021-03-01