Quarterly Financial Report for the Quarter Ended December 31, 2019

Introduction
Highlights of Fiscal Quarter and Fiscal Year to Date (YTD) Results
Risks and Uncertainties
Significant Changes in Relation to Operations, Personnel and Programs
Approval by Senior Officials
Appendix A - Statement of Authorities (unaudited)
Appendix B - Departmental Budgetary Expenditures by Standard Object (unaudited)

Statement outlining results, risks and significant changes in operations, personnel and program

1. Introduction

This quarterly 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. This quarterly report should be read in conjunction with the Main Estimates and Supplementary Estimates. This report has not been subject to an external audit or review.

The Military Police Complaints Commission of Canada (MPCC) reviews and investigates complaints concerning Military Police (MP) conduct and investigates allegations of interference in MP investigations. It reports its findings and makes recommendations directly to the MP and national defence leadership.

1.1 Basis of presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the MPCC’s spending authorities granted by Parliament and those used by the department, consistent with the Main Estimates for the fiscal year (FY) 2019‑20. This quarterly report has 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 moneys 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.

When Parliament is dissolved for the purposes of a general election, section 30 of the Financial Administration Act authorizes the Governor General, under certain conditions, to issue a special warrant authorizing the Government to withdraw funds from the Consolidated Revenue Fund. A special warrant is deemed to be an appropriation for the fiscal year in which it is issued.

The MPCC uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental performance reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

2. Highlights of Fiscal Quarter and Fiscal Year to Date (YTD) Results

The total authorities increased during the third quarter by $55,000 as a result of compensation allocations.

The total authorities available for use this fiscal year is $2,000 more than last fiscal year.

The Statement of Authorities below shows that the MPCC spent approximately 23% of its authorities in the third quarter of 2019‑20 compared to 25% in 2018‑19. Year to date, the MPCC has spent 64% of its total authorities, compared to 63% after three quarters last fiscal year.

The MPCC’s total budgetary expenditures increased by $101,000 in the third quarter of 2019‑20, compared to the same period in 2018‑19. The major variances are as follows:

There was a decrease of $34,000 in transportation and communications expenditures in the third quarter in comparison to the same period the previous year. The significant decrease results from a decrease in data transmission services, travel by non-public servants for operational activities and training;
The decrease of $58,000 in Professional and Special Services is mainly attributable to an decrease in investigative services this quarter compared to the same quarter in 2018‑19.

Additional Financial Information: Additional financial information on the MPCC’s financial and expenditure management can be found in the Departmental Plans, the Annual Reports, the Departmental Results Reports, the Future-oriented Financial Statements, the Quarterly Financial Reports and the Annual Financial Statements.

3. Risks and Uncertainties

An unavoidable risk the MPCC will always face is the uncertainty regarding the number and complexity of complaints it must monitor and/or investigate each year. The MPCC cannot control the time it takes a complaint to be resolved. It must depend upon the efficiency of its investigative partners and the speed with which the Provost Marshal responds to the MPCC’s interim reports.

4. Significant Changes in Relation to Operations, Personnel and Programs

There were no significant changes in relation to operations, personnel and programs in the third quarter of FY 2019-20.

5. Approval by Senior Officials

This section is to provide the approval of Senior Officials, as required by the Policy on Financial Resource Management, Information and Reporting as follows:

Approved by:

Original signed by
________________________
Hilary McCormack
Chairperson

Original signed by
________________________
Richard Roulx
Senior Director of Corporate Services

Ottawa, Canada
February 14, 2020

Appendix A - Statement of Authorities (unaudited)

Statement of Authorities (unaudited) for **Fiscal Year 2019-20** (in thousands of dollars)
Authority Vote/Statutory	Total available for use for the year ended March 31, 2020^{Note *}	Used during the quarter ended December 31, 2019	Year to date used at quarter-end
Vote 1 - Net operating expenditures	4,580	1,054	2,887
Budgetary statutory authorities - Contributions to employee benefit plans	437	109	328
Total Authorities	5,017	1,163	3,215

Statement of Authorities (unaudited) for **Fiscal Year 2018-19** (in thousands of dollars)
Authority Vote/Statutory	Total available for use for the year ended March 31, 2019^{Note *}	Used during the quarter ended December 31, 2018	Year to date used at quarter-end
Vote 1 - Net operating expenditures	4,586	1,157	2,851
Budgetary statutory authorities - Contributions to employee benefit plans	429	107	322
Total Authorities	5,015	1,264	3,173

Appendix B - Departmental Budgetary Expenditures by Standard Object (unaudited)

Departmental Budgetary Expenditures by Standard Object (unaudited) for **Fiscal Year 2019-20** (in thousands of dollars)
Expenditures	Planned expenditures for the year ending March 31, 2020	Expended during the quarter ended December 31, 2019	Year to date used at quarter-end
Personnel	3,396	909	2,415
Transportation and communications	167	13	63
Information	67	6	22
Professional and special services	895	141	415
Rentals	351	87	272
Repair and maintenance	1	0	0
Utilities, materials and supplies	31	2	9
Acquisition of land, buildings and works	13	0	0
Acquisition of machinery and equipment	96	6	21
Other subsidies and payments	0	-1	-2
Total net budgetary expenditures	5,017	1,163	3,215

Departmental Budgetary Expenditures by Standard Object (unaudited) for **Fiscal Year 2018-19** (in thousands of dollars)
Expenditures	Planned expenditures for the year ending March 31, 2019	Expended during the quarter ended December 31, 2018	Year to date used at quarter-end
Personnel	3,338	900	2,245
Transportation and communications	187	46	109
Information	79	15	40
Professional and special services	854	199	471
Rentals	371	85	264
Repair and maintenance	7	5	5
Utilities, materials and supplies	66	4	13
Acquisition of land, buildings and works	0	0	0
Acquisition of machinery and equipment	113	10	27
Other subsidies and payments	0	0	-1
Total net budgetary expenditures	5,015	1,264	3,173

Date modified:: 2020-02-28