2016-17 Departmental Results Report

I am pleased to report progress made on making Canada a world-leading centre for science and innovation, helping create good, well-paying jobs, and strengthening and growing the middle class.

The work of the Innovation, Science and Economic Development Portfolio includes promoting science and innovation; supporting the commercialization of more research and ideas; providing more Canadians with the skills to participate in a global and digital economy; helping small businesses grow through innovation, access to capital and trade; promoting increased tourism in Canada; and supporting scientific research and the integration of scientific considerations in our investment and policy choices.

This year, the Portfolio organizations continued their work to deliver on the Government’s Budget 2017 commitment to develop an Innovation and Skills Plan. The plan’s focus on people and addressing the changing nature of the economy is a focus for the Portfolio’s programs.

Implementing its renewed vision for the economic development of Quebec regions, Canada Economic Development for Quebec Regions has made a significant contribution to achieving the Portfolio’s objectives by helping businesses and communities grow, innovate and export their products so they can create quality jobs and ensure the prosperity of Canadians.

It is my pleasure to present the 2016–17 Departmental Results Report for Canada Economic Development for Quebec Regions.

The Honourable Navdeep Bains
Minister of Innovation, Science and
Economic Development

The Departmental Results Report (DRR) for Canada Economic Development for Quebec Regions (CED) looks at how far we have come in one year and reviews progress against expected outcomes in the 2016–2017 Report on Plans and Priorities (RPP).

The reader will find that CED’s priorities are based on economic challenges facing the Quebec regions and that they are aligned with those of the Government of Canada, notably with respect to innovation, clean technology and opportunities for Indigenous peoples. CED will also actively participate in the delivery of the Government of Canada’s Innovation and Skills Plan.

In its 2016–2017 RPP, CED focused on three innovation-related priorities: supporting business expansion, innovation and exports; supporting the economic diversification and transition of communities by building on their competitive advantages; and building on CED’s culture of innovation to enhance its performance. The departmental results in this report demonstrate the efforts that have been made in this regard.

Through its programs, initiatives and field interventions, CED is the key federal player in the economic development of the Quebec regions. In May 2017, following a year-long process of consultation and engagement with experts and stakeholders from various backgrounds and from all regions, CED launched its Strategic Plan 2021, which seeks a more innovative, clean and inclusive Quebec economy.

The Plan, which has contributed to creating intervention strategies tailored to Quebec’s various regions, is based on four primary areas: innovation, clean growth, economic diversification and Indigenous peoples. CED is prioritizing and pursuing projects and interventions to implement this vision.

The report illustrates CED’s support for the government’s commitment to provide Parliament and Canadians with simplified and transparent accountability tools. The DRR has therefore replaced the Departmental Performance Report (DPR) while the RPP has been replaced with the Departmental Plan (DP). This DRR, which covers the period ending March 31, 2017, clearly and concisely lays out CED’s objectives as well as progress made over the previous fiscal year.

Manon Brassard
Deputy Minister / President of the Economic Development Agency of Canada for the Regions of Quebec

Key results in 2016–2017

• CED aligned itself with the Government of Canada’s priorities with its Strategic Plan 2021: For a more innovative, clean and inclusive Quebec economy. It invested $ 274.4 million in grants and contributions to support 1,254 projects in all regions of Quebec. A good number of them aimed, for example, at helping business innovate, export or increase productivity, notably by supporting the adoption of digital technologies. Several projects also focused on the development, production or adoption of clean technologies, while others sought to diversify and strengthen the entrepreneurial or industrial fabric of a devitalized community, or to foster the economic participation of Indigenous communities.
• CED reached its targets and notably accomplished the following: 1) actively took part in the Accelerated Growth Service Initiative, which provides high-potential businesses with tailored and coordinated services to facilitate and foster growth. With 28 companies recruited, DEC has surpassed its target of having 25 new clients registered as of March 31, 2017; 2) invested $ 44 million–well above the annual target of $ 25 million–to support ecological growth of businesses and regions; and 3) delivered phase 2 of the Canada 150 Community Infrastructure Program for Quebec, one of the measures listed in the 2016 budget. Most of the disbursements will be made in 2017–2018 given the nature of the projects, namely involve the rehabilitation and improvement of existing community infrastructure.
• More than 11,000 businesses and organizations, established in every region of Quebec, received financial support directly from CED or through non-profit organizations (NPOs). This financial support had a significant leverage effect: every dollar granted generated an average investment of $3.20 from other sources, an increase over 2015–2016 ($3.10).

For more information on the department’s plans, priorities and results achieved, see the “Results: what we achieved” section of this report.

Raison d’être

Canada Economic Development for Quebec Regions (CED)’s mission is to “promote the long-term economic development of the regions of Quebec by giving special attention to those where slow economic growth is prevalent or opportunities for productive employment are inadequate”^{Footnote i}.

Mandate and role

CED is one of the regional development agencies (RDA) that make up the Innovation, Science and Economic Development Portfolio. Quebec communities and SMEs are at the very heart of its activities. Through the projects it funds and its networking and integration role, CED is the key federal actor in the Quebec entrepreneurial ecosystem.

Project funding

With its business development knowledge and experience, CED maintains client relations with businesses and supports them in their projects. It makes strategic investments that promote competitive regional advantages and support the transition and modernization of communities. Aiming to position Quebec businesses at the leading edge of tomorrow’s economy, CED focuses on business growth, innovation, clean technologies, the growth of an inclusive economy and the participation of Indigenous peoples.

Networking

Well rooted in the regions thanks to its 12 business offices, CED builds on collaboration and creating synergies with businesses, communities, supporting organizations and other levels of government to increase the quality and impact of its programs. For example, it forms partnerships to foster a concerted action by regional economic development actors and ensures a better exchange of information between federal organizations.

CED provides a regional strategic perspective that supports national priorities and works with other departments to ensure coordination of government policies and programs. Its action has a significant impact on Quebec communities and businesses, not only through its direct investments, but also because it contributes to understanding the economic development needs of the regions.

Grants and contributions programs and initiatives in effect in 2016–2017

CED’s main grants and contributions program, the QEDP, came into effect on April 1, 2012. The program’s main beneficiaries are SMEs, business groups or associations and non-profit organizations (NPOs) whose principal mission is to support businesses or economic development.

For more general information about the department, see the “Supplementary information” section of this report. For more information on the department’s organizational mandate letter commitments, see the Minister’s mandate letter.^{Footnote ii}

Operating context

Economic context

Economic growth in Canada only picked up slightly in 2016, but strengthened in Quebec. This economic uptick–propelled by the vitality of metropolitan Montréal–can be explained in part by an increase in infrastructure investment, strong job creation and increased household spending, stimulated by a historically low unemployment rate.^{Footnote iii}In its annual report, the Institut du Québec (IDQ) also points out that 2016 has proved to be one of the best in the past 10 years with over 89,500 jobs created, mainly full-time and in the private sector^{Footnote iv}.

Despite Quebec’s relatively good performance, the province is still lagging in terms of per capita disposable income, and the gap with other provinces has grown wider in recent years. Other issues and challenges arise in Quebec’s economy: declining exports of goods and services; low productivity growth; entrepreneurial deficit; new e-commerce paradigms and importance to accelerate the digital shift for many businesses; and limited growth opportunities in some remote communities.

Indeed, many communities located far from urban centres have insufficiently diversified economies and rely on a single sector, whether it be natural resource development or tourism. These communities are therefore more sensitive to economic fluctuations.

Government context

Several changes were made to the federal administration to reflect new government priorities. CED is actively contributing to the delivery of several of them, including Canada’s Innovation and Skills Plan. CED is also adapting to several new Treasury Board Secretariat policies, including the Policy on Results and the financial management policies, designed to improve communication to Canadians and reduce the administrative burden.

CED has also implemented several internal changes in the perspective of modernization, optimization of processes and improvement of customer experience. For example, the organization is actively contributing to the development of a new government-wide grants and contributions management system. It is also planning the renewal of several leases and relocation of a number of its offices. This significant wave of change has exerted some pressure on CED’s financial and human resources.

Key risks

The following table outlines the external risk that CED faced as well as the mitigation strategies implemented in 2016–2017.

Effective mitigation measures allowed CED to adapt its actions to an evolving economic context and to further government priorities and achieve targeted outcomes.

Key risks

Programs

Program 1.1 – Business Development

Description

This program is designed to support the development of Quebec businesses throughout their life cycle. Businesses–particularly SMEs–, drive economic development and are known for generating significant economic activity and for creating jobs in communities.

CED contributes to the renewal of the Quebec business pool by supporting business succession and the emergence of new businesses. It also helps to enhance the competitiveness of existing businesses and to support their sustainability by improving their performance through the development of their production, innovation, marketing and export capabilities.

In this program, CED mainly targets businesses directly or through NPOs that support them. It promotes business development through its grants and contributions program: the Quebec Economic Development Program (QEDP).

Results

As the Results Achieved table below shows, CED met the expected outcomes and contributed to the renewal of Quebec’s pool of businesses and to improving the competitiveness of existing ones.

During the period under review, CED funded 125 projects aiming to Support entrepreneurship ($18M) and 636 to Enhance the performance of Existing Enterprises ($143M). On the whole, the results were satisfactory:

• 46% of businesses that received entrepreneurship support survived past the startup phase, an increase of approximately 10% over the previous year. This means that nearly half of these businesses had been operating for at least one year and had generated revenue representing at least 80% of their expenses.
• 75% of businesses that received support to enhance their performance increased their sales figures.

Most SMEs supported by CED work in the manufacturing sector, which faces ongoing challenges. Funded projects specifically focus on increasing SMEs’ innovation, competitiveness and productivity, especially as the context of a weak Canadian dollar reduces their purchasing power abroad. CED’s financial support is thus intended to position these SMEs at the forefront of tomorrow’s economy, for example by assisting them in making the shift to digital.

The impact of CED’s intervention in this program is significant. According to a telephone survey conducted in 2016,^Footnotevi the majority of respondents (58%) who participated in the Business Development Program stated that they would not have been able to carry out their project without CED’s assistance. Of those who would have completed their project, only 10% stated that they would have done so on the same scale and within the same timeframe.

With respect to budgetary financial resources, CED reallocated resources among its various programs—in compliance with departmental authorities—in order to adjust to the realities of Quebec businesses and regions. As a result, a one-time increase in actual versus planned spending was reported for the Business Development Program.

Information on CED’s lower-level programs is available on CED’s website and in the TBS InfoBase.^{Footnote vii}

Program 1.2 – Regional Economic Development

Description

This program is intended to strengthen the regions’ economic base so as to sustain Quebec’s economic growth. Quebec’s regions differ in, among other things, their industrial structure, and some are more sensitive to economic fluctuations than others. Quebec’s prosperity depends on the different regions participating in the economy to their full potential. CED contributes to building strong, competitive regions, and does so by supporting local communities as they take charge of their economic development and by stimulating investment in all Quebec regions.

Under this program, CED intervenes primarily through NPOs active in economic development and through the QEDP.

Results

CED exceeded the targets set for two of the three performance indicators for strengthening the economic base of Quebec’s regions. Only the investments generated in regions that have completed implementation of a development project are below the target, the three projects completed under the component “prepare a development strategy” having generated total investments of $2.5 million in Montreal and Sept-Îles. The small difference for this indicator may be attributed to delays in implementing projects aiming to “equip the region with a community economic facility”. Indeed, several large-scale projects under way will see their end date–and results–reported next fiscal year.

Without CED’s assistance, most of the economic development projects in the regions could not have been carried out. That is what stated 84% of clients funded in this program and who responded to the telephone survey mentioned above. Only 2% of them would have carried out their projects in the same time and to the same extent.

The majority of respondents also stated that their project enabled implementation of structuring projects and engaged key stakeholders. Some of the results mentioned include establishing networks outside the region and in the U.S., creating businesses and jobs in the region, or revitalizing a city and diversifying its economy through the creation of new businesses and permanent jobs and significant infrastructure investments.

With respect to budgetary financial resources, CED reallocated resources among its various programs—in compliance with departmental authorities—in order to adjust to the realities of Quebec businesses and regions. As a result, a one-time increase in actual versus planned spending was reported for the Regional Economic Development Program.

Information on CED’s lower-level programs is available on CED’s website and in the TBS InfoBase.^{Footnote viii.}

Program 1.3 – Strengthening Community Economies

Description

In addition to its regular programs, CED develops, administers and implements Canada-wide programs or temporary and/or targeted initiatives. The common objective throughout is to strengthen community economies in order to increase Quebec’s economic growth. CED thus supports communities’ economic development. CED also supports economic activity in Quebec communities that are undergoing economic shocks, experiencing significant development challenges or gasping long-term business opportunities.

This program targets businesses and non-profit organizations. CED uses dedicated temporary or permanent additional funding from the Government of Canada, or specific funds which it allocates via the QEDP. It also intervenes by means of a permanent fund dedicated to the Community Futures Program (CFP).

Results

Results for the survival rate of CFP-assisted businesses are satisfactory. Targets were surpassed, survival rates for businesses that received support rising up to 80%, compared with 52% for the comparison group. CED also provided financial support for 57 Community Futures Development Corporations (CFDCs) located in designated rural regions and 10 Business Development Centres (BDCs) in peri-urban regions.

The six temporary and/or targeted initiatives delivered^{Footnote ix} through the QDEP supported 314 projects in 92 individual communities out of 104 communities in Quebec. However, results for total investments generated in the communities were less satisfactory, as some projects experienced implementation delays. CED relies on promoters’ efforts to implement their projects, and some promoters who are responsible for large-scale projects will finalize their projects in 2017–2018 rather than 2016–2017, which explains some of the discrepancies in the anticipated results.

Mid-term evaluations of the Economic Recovery Initiative for Lac-Mégantic and the Canadian Initiative for the Economic Diversification of Communities Reliant on Chrysotile confirm the need for intervention as well as the relevance of these initiatives, their alignment with priorities and their complementarity with programs of other stakeholders. Few projects supported by CED were completed at the time of the evaluations, but the preliminary results are positive. The presence of a dedicated team for these two initiatives has resulted in a positive partnership which partners described as “excellent”.

In 2016–2017, CED carried out an evaluation of the Temporary Initiative for the Strengthening of Quebec’s Forest Economies (TISQFE). Two key findings emerge from this evaluation. The first finding points to the need for CED’s assistance in communities affected by an economic crisis. In vulnerable and often mono-industrial communities, lack of funding leads to significant job losses, and CED’s funding helped to stabilize the situation. The second finding highlights that economic diversification takes time to materialize. CED should therefore seek to establish a sufficiently long period for new initiatives to reflect the long-term nature of some expected deliverables.

With respect to budgetary financial resources, CED reallocated resources among its various programs—in compliance with departmental authorities—in order to adjust to the realities of Quebec businesses and regions. As a result, a one-time increase in actual versus planned spending was reported for the Strengthening Community Economies Program.

Information on CED’s lower-level programs is available on CED’s website and in the TBS InfoBase^{Footnote xi}.

Internal Services

Description

Internal Services refer to the activities and resources of 10 distinct service categories that support program delivery in the organization, regardless of the Internal Services delivery model of the department. The 10 service categories are: Management and Oversight Services; Communications Services; Legal Services; Human Resources Management Services; Financial Management Services; Information Management Services; Information Technology Services; Real Property Management Services; Materiel Services; and Acquisition Services.

Results

CED continued its efforts to modernize its procedures, improve the client experience and provide a stimulating workplace based on mental health. As the following examples show, Internal Services were particularly involved with this priority during this period.

In partnership with the five RDAs and FedNor, CED developed a common system for grants and contributions which places clients’ concerns at the forefront of its actions. This new government-wide system, which is scheduled to be rolled out in 2019, will provide RDA clients with modern tools, including a transactional portal.

CED also invested resources to plan for the relocation of its headquarters, which is scheduled for 2018, under the Workplace 2.0 initiative of Public Services and Procurement Canada (PSPC). The initiative is much more than a simple relocation, as CED will create a modern, greener and better workplace and propose solutions to its aging infrastructure.

CED is continuously adapting to an ever changing environment. Operational necessities related to various priorities and initiatives, including those mentioned above, account for the difference between actual and planned FTEs.

Actual spending

Departmental spending trend graph

The graph below shows CED’s actual and planned spending trends. The dark grey bars correspond to G&C expenditures and operating expenditures while the light grey bars show statutory expenditures associated with employee benefits plan.

• Between 2014–2015 and 2016–2017, CED’s spending increased by 24%, from $253.9 to $316 million. The increase can be explained by the implementation of temporary initiatives under the Strengthening Community Economies program, including the Economic Recovery Initiative for Lac-Mégantic, the Initiative for the Economic Diversification of Communities Reliant on Chrysotile and the Canada 150 Community Infrastructure Program (Components I and II).
• Between now and 2020, the decrease in planned spending against actual spending for the previous year is attributable to the end of temporary initiatives and to the reinvestment of repayable contributions by clients, which had not been approved at the time of writing.

• For 2016–2017, CED spent 316 million out of a possible 319.5 million, or 99% of its authorities. This variance is partly due to lower costs of the Bellechasse Gas Project and to a decrease in operating expenses in order to carry forward unused funds to finance the move of the central administration and of some business offices in the next fiscal year.
• CED received 15.6 million in additional funding during the year, on top of the 303 million initially available for the implementation of the Canada 150 Community Infrastructure Program – Component II.

Actual human resources

CED used 7 FTEs more than planned in order to support all of its activities and to intensify its efforts in line with its new priorities as well as those of the government, including: to support the Innovation and Skills Plan; develop the new common system for managing G&C, deliver the five-year Open Government Plan, and support the sectors in the planning, implementation and integration of various modernization and transformation initiatives.

Expenditures by vote

For information on CED’s organizational voted and statutory expenditures, consult the Public Accounts of Canada 2017.^{Footnote xii}

Alignment of spending with the Whole-of-Government Framework

Financial statements and financial statements highlights

Financial statements

CED’s unaudited financial statements for the year ended March 31, 2017 are available on the CED website.

Financial statements highlights

The financial highlights presented below provide an overview of CED’s financial position and operations. The unaudited financial statements are drawn up in accordance with government accounting policies, which are based on Canadian Generally Accepted Accounting Principles for the public sector.

Note that the spending presented in the tables in other sections of the Report were prepared on a cash basis, while the financial highlights that follow were prepared on an accrual basis. Tables reconciling these two accounting methods are presented in the Notes to CED’s Financial Statements.

A more detailed statement of operations and associated notes, including a reconciliation of the net costs of operations with the requested authorities, are available on the CED website.

Expenses

• In 2016–2017, CED’s total expenses stood at $196.1 million, up $28.5 million from the previous year. The 17% increase is primarily attributable to the increase in non-repayable contributions.
• Transfer payment expenses, totalling $149.7 million, rose by 22.5% between 2015–2016 and 2016–2017. Operating expenses stood at $47.1 million, an increase of 2.2% compared with the previous year.
• The $2.5 million variance (1.2%) with projected net expenses is attributable to non-repayable contributions that were lower than projected.

Revenue

• CED’s revenue, returned to the Consolidated Revenue Fund, is declared in its financial statements as having been earned on behalf of the government. As a result, the organization’s total net revenue is zero. In 2016–2017, CED’s total gross revenue stood at $462,288, an increase of 256.8% from the previous year. Revenue consists mainly of interest charges on payments in default.

Liabilities

• As at March 31, 2017, CED’s net liabilities stood at $22.5 million, down 17.1% from 2015–2016. This decrease is largely attributable to the decline in net accounts payable and accrued liabilities.
• Accounts payable and accrued liabilities represented the largest component of liabilities, at 85.5% ($19.3 million) of total net liabilities. Future fringe benefits, along with vacation pay and compensatory leave, accounted for 6.8% ($1.5 million) and 7.7% ($1.7 million) of the organization’s net liabilities, respectively.

Assets

• As at March 31, 2017, net financial assets stood at $19.3 million, down 19.2% from the previous years total. This decrease is attributable to the decline in amounts due from the Consolidated Revenue Fund to discharge liabilities (fringe benefits and accrued liabilities), which were also down.
• CED’s non-financial assets stood at $1.0 million as at March 31, 2017, down 9.9% from the previous year. This decrease is primarily attributable to the decline in prepaid expenses and tangible capital assets.
• CED’s loans, held entirely on behalf of the government, totalled $371.6 million as at March 31, 2017, up 11.7% from 2015–2016, owing to the increase in repayable contributions paid by the organization.

Corporate information

Organizational profile

Appropriate Minister:

The Honourable Navdeep Bains, P.C., M.P.
Minister of Innovation, Science and Economic Development and Minister responsible for the Economic Development Agency of Canada for the Regions of Quebec

Deputy Head: Manon Brassard

Ministerial Portfolio: Innovation, Science and Economic Development

Enabling Instruments: Economic Development Agency of Canada for the Regions of Quebec Act (S.C. 2005, c. 26)^{Footnote xiv}

Year of Incorporation / Commencement: 2005

Reporting framework

The CED Strategic Outcome and Program Alignment Architecture (PAA) of record for 2016–2017 are shown below:

• 1. Strategic Outcome – Quebec’s Regions Have a Growing Economy
• Program 1.1 – Business Development
  • Sub-program 1.1.1 – Support for Entrepreneurship
  • Sub-program 1.1.2 - Business Performance
• Program 1.2 - Regional Economic Development
  • Sub-Program 1.2.1 – Regional Engagement
  • Sub-Program 1.2.2 – Regional Investment
• Program 1.3 – Strengthening Community Economies
  • Sub-program 1.3.1 – Community Futures Program
  • Sub-Program 1.3.2 – Infrastructure Modernization
  • Sub-Program 1.3.3 – Temporary and/or Targeted Support
• Internal Services

Supporting information on lower-level programs

Supporting information on results, financial and human resources relating to CED’s lower-level programs is available on TBS InfoBase.^{Footnote xv}

Supplementary information tables

The following supplementary information tables are available on CED’s website:

• Departmental Sustainable Development Strategy
• Details on Transfer Payment Programs of $5 Million or More
• Internal Audits and Evaluations
• Response to Parliamentary Committees and External Audits
• User Fees, Regulatory Charges and External Fees

Federal tax expenditures

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 each year in the Report on Federal Tax Expenditures.^{Footnote xvi} This report also provides detailed background information on tax expenditures, including descriptions, objectives, historical information and references to related federal spending programs. The tax measures presented in this report are the responsibility of the Minister of Finance.

Organizational contact information

Canada Economic Development for Quebec Regions

Dominion Square Building
1255 Peel Street, Suite 900
Montreal, Quebec
H3B 2T9

Telephone: 514-283-6412
Fax: 514-283-3302
www.dec-ced.gc.ca

appropriation (crédit)
Any authority of Parliament to pay money out of the Consolidated Revenue Fund.

budgetary expenditures (dépenses budgétaires)
Operating and capital expenditures; transfer payments to other levels of government, organizations or individuals; and payments to Crown corporations.

core responsibility (responsabilité essentielle)
Any enduring function or role performed by a department. The intentions of the department with respect to a core responsibility are reflected in one or more related departmental results that the department seeks to contribute to or influence.

Departmental Plan (Plan ministériel)
Provides information on the plans and expected performance of appropriated departments over a three-year period. Departmental Plans are tabled in Parliament each spring.

departmental result (résultat ministériel)
A departmental result represents the change or changes that the department seeks to influence. A departmental result is often outside departments’ immediate control, but it should be influenced by program-level outcomes.

departmental result indicator (indicateur de résultat ministériel)
A factor or variable that provides a valid and reliable means to measure or describe progress on a departmental result.

Departmental Results Framework (cadre ministériel des résultats)
Consists of the department’s core responsibilities, departmental results and departmental result indicators.

Departmental Results Report (Rapport sur les résultats ministériels)
Provides information on the actual accomplishments against the plans, priorities and expected results set out in the corresponding Departmental Plan.

evaluation (évaluation)
In the Government of Canada, evaluation is the systematic and neutral collection and analysis of evidence to judge merit, worth or value. Evaluation informs decision making, improvements, innovation and accountability. Evaluations typically focus on programs, policies and priorities and examine questions related to relevance, effectiveness and efficiency. Depending on user needs, however, evaluations can also examine other units, themes and issues including alternatives to existing interventions. Evaluations generally employ social science research methods.

full-time equivalent (équivalent temps plein)
A measure of the extent to which an employee represents a full person-year charge against a departmental budget. Full-time equivalents are calculated as a ratio of assigned hours of work to scheduled hours of work. Scheduled hours of work are set out in collective agreements.

government-wide priorities (priorités pangouvernementales)
For the purpose of the 2017 to 2018 Departmental Plan, government-wide priorities refers to those high-level themes outlining the government’s agenda in the 2015 Speech from the Throne, namely: growth for the middle class; open and transparent government; a clean environment and strong economy; diversity is Canada’s strength; and security and opportunity.

horizontal initiatives (initiative horizontale)
A horizontal initiative is one in which two or more federal organizations, through an approved funding agreement, work toward achieving clearly defined shared outcomes, and which has been designated (e.g. by Cabinet, a central agency, etc.) as a horizontal initiative for managing and reporting purposes.

Management, Resources and Results Structure (Structure de la gestion, des ressources et des résultats)
A comprehensive framework that consists of an organization’s inventory of programs, resources, results, performance indicators and governance information. Programs and results are depicted in their hierarchical relationship to each other and to the strategic outcome(s) to which they contribute. The management, resources and results structure is developed from the program alignment architecture.

non-budgetary expenditures (dépenses non budgétaires)
Net outlays and receipts related to loans, investments and advances, which change the composition of the financial assets of the Government of Canada.

performance (rendement)
What an organization did with its resources to achieve its results, how well those results compare to what the organization intended to achieve, and how well lessons learned have been identified.

performance indicator (indicateur de rendement)
A qualitative or quantitative means of measuring an output or outcome, with the intention of gauging the performance of an organization, program, policy or initiative respecting expected results.

performance reporting (production de rapports sur le rendement)
The process of communicating evidence-based performance information. Performance reporting supports decision making, accountability and transparency.

plan (plan)
The articulation of strategic choices, which provides information on how an organization intends to achieve its priorities and associated results. Generally a plan will explain the logic behind the strategies chosen and tend to focus on actions that lead up to the expected result.

planned spending (dépenses prévues)
For Departmental Plans and Departmental Results Reports, planned spending refers to those amounts that receive Treasury Board approval by February 1. Therefore, planned spending may include amounts incremental to planned expenditures presented in the Main Estimates.

A department is expected to be aware of the authorities that it has sought and received. The determination of planned spending is a departmental responsibility, and departments must be able to defend the expenditure and accrual numbers presented in their Departmental Plans and Departmental Results Reports.

priority (priorité)
Plans or projects that an organization has chosen to focus and report on during the planning period. Priorities represent the things that are most important or what must be done first to support the achievement of the desired strategic outcome(s).

program (programme)
A group of related resource inputs and activities that are managed to meet specific needs and to achieve intended results and that are treated as a budgetary unit.

Program Alignment Architecture (architecture d’alignement des programmes)
A structured inventory of an organization’s programs depicting the hierarchical relationship between programs and the Strategic Outcome(s) to which they contribute.

result (résultat)
An external consequence attributed, in part, to an organization, policy, program or initiative. Results are not within the control of a single organization, policy, program or initiative; instead they are within the area of the organization’s influence.

statutory expenditures (dépenses législatives)
Expenditures that Parliament has approved through legislation other than appropriation acts. The legislation sets out the purpose of the expenditures and the terms and conditions under which they may be made.

strategic outcome (résultat stratégique)
A long-term and enduring benefit to Canadians that is linked to the organization’s mandate, vision and core functions.

sunset program (programme temporisé)
A time-limited program that does not have an ongoing funding and policy authority. When the program is set to expire, a decision must be made whether to continue the program. In the case of a renewal, the decision specifies the scope, funding level and duration.

target (cible)
A measurable performance or success level that an organization, program or initiative plans to achieve within a specified time period. Targets can be either quantitative or qualitative.

voted expenditures (dépenses votées)
Expenditures that Parliament approves annually through an Appropriation Act. The Vote wording becomes the governing conditions under which these expenditures may be made.