Future-Oriented Statement of Operations (Unaudited) 2022-23

Future-Oriented Statement of Operations (Unaudited)

For the Year Ending March 31
(in dollars)
Expenses Forecast Results
2021-22
Planned Results
2022-23
Protection of rights related to official languages 9,190,147 8,991,506
Advancement of English and French in Canadian Society 8,664,996 8,477,629
Internal Services 8,137,378 8,242,881
Total expenses 25,992,521 25,712,017
Net cost of operations before government funding 25,992,521 25,712,017

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 based on 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 2021-2022 is based on actual results as at December 9, 2021 and on forecasts for the remainder of the fiscal year. Forecasts have been made for planned results for 2022-2023 fiscal year.

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 experience. The general historical pattern is expected to continue.
  3. Estimated year end information for 2021-22 is used as the opening position for the 2022-23 planned results.

These assumptions are made as at December 9, 2021.

2. Variations and changes to the forecast financial information

Although every attempt has been made to forecast final results for the remainder of 2021-22 and for 2022-23, 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 about the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are based on 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 amount of acquisitions and disposals of tangible capital assets, which may affect gains, losses and amortization expenses;
  2. The implementation of new collective agreements; and
  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 the Government of Canada’s accounting policies in effect for fiscal year 2021-2022, 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 generally recorded when goods are received or services are rendered and include expenses related to personnel, professional and special services, repair and maintenance, utilities, materials and supplies, as well as amortization of tangible capital assets. Provisions to reflect changes in the value of assets or liabilities, such as provisions for bad debts, loans, investments and advances and inventory obsolescence, as well as utilization of inventories and prepaid expenses, and other are also included in other expenses.

4. Parliamentary authorities

OCOL is financed by the Government of Canada through parliamentary authorities. Financial reporting of authorities provided to OCOL differs from financial reporting according to generally accepted accounting principles because authorities are based mainly on cash flow requirements. 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. Accordingly, OCOL has different net cost of operations for the year on a government funding basis than on an accrual accounting basis. The differences are reconciled in the following tables:

(a) Reconciliation of net cost of operations to requested authorities
(in dollars)
Reconciliations Forecast Results
2021-22
Planned Results
2022-23
Net cost of operations before government funding 25,992,521 25,712,017
Adjustments for items affecting net cost of operations but not affecting authorities:    
Services provided without charge from common service organizations (3,289,165) (3,370,515)
Amortization of tangible capital assets (365,852) (379,497)
Decrease in employee future benefits 26,797 45,506
Decrease in vacation pay and compensatory leave 376,606 9,464
Total items affecting net cost of operations but not affecting authorities (3,248,614) (3,695,042)
Adjustment for items not affecting net cost of operations but affecting authorities:    
Acquisition of tangible capital assets 485,041 200,000
Increase (decrease) in prepaid expenses 54,227 (7,668)
Total items not affecting net cost of operations but affecting authorities 539,268 192,332
Requested authorities forecasted to be used 23,283,175 22,209,307
(b) Authorities requested
(in dollars)
Expence Forecast Results
2021-22
Planned Results
2022-23
Authorities requested:    
Vote 1 - Program expenditures 20,974,706 19,904,554
Statutory - Contributions to employee benefit plans 2,308,469 2,304,753
Total authorities requested 23,283,175 22,209,307
Date modified:
2022-03-03