Quarterly Financial Report for the Quarter Ended September 30, 2020

Table of contents

  1. Introduction
  2. Highlights of Fiscal Quarter and Fiscal Year to Date (YTD) Results
  3. Risks and Uncertainties
  4. Significant Changes in Relation to Operations, Personnel and Programs
  5. Approval by Senior Officials
  6. Appendix A - Statement of Authorities (unaudited)
  7. 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. 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) 2020‑21. 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 second quarter by $216,003; a result of receiving our operating budget carry‑forward.

The total authorities available for use this fiscal year is $56,000 more than last fiscal year. This variance can be found in the 2020­21 Main Estimates, where the MPCC received compensation allocations.

The Statement of Authorities below shows that the MPCC spent approximately 23% of its authorities in the second quarter of 2020‑21 compared to 23% in 2019‑20. Year to date, the MPCC has spent 42% of its total authorities, compared to 41% after two quarters last fiscal year.

The MPCC’s total budgetary expenditures increased by $24,000 in the second quarter of 2020‑21, compared to the same period in 2019‑20. The major variances are as follows:

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

The Full Supply has been delayed this fiscal year, and as a result, the MPCC received 3/12ths of its Main Estimates in March (supply bill 1) and an additional 6/12ths in June (supply bill 2). The MPCC anticipates receiving the remaining 3/12ths in December. In order to ensure compliance with these allocations, the MPCC has put in place additional internal controls to track its purchasing and spending and will be reporting results to the Executive Committee on a bi-monthly basis.

5. Approval by Senior Officials

This section is to provide the approval of Senior Officials, as required by the Policy on Financial Management.


Original signed by
________________________
Hilary McCormack
Chairperson

Original signed by
________________________
Richard Roulx
Senior Director of Corporate Services

Ottawa, Canada
November 10, 2020

Appendix A - Statement of Authorities (unaudited)

Statement of Authorities (unaudited) for Fiscal Year 2020‑21 (in thousands of dollars)
Authority
Vote/Statutory		 Total available for use for the year ended March 31, 2021Note * Used during the quarter ended September 30, 2020 Year to date used at quarter-end
Vote 1 - Net operating expenditures 4,588 1,034 1,888
Budgetary statutory authorities - Contributions to employee benefit plans 430 108 215
Total Authorities 5,018 1,142 2,103
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, 2020Note * Used during the quarter ended September 30, 2019 Year to date used at quarter-end
Vote 1 - Net operating expenditures 4,525 1,009 1,834
Budgetary statutory authorities - Contributions to employee benefit plans 437 109 218
Total Authorities 4,962 1,118 2,052

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

Departmental Budgetary Expenditures by Standard Object (unaudited) for Fiscal Year 2020‑21 (in thousands of dollars)
Expenditures Planned expenditures for the year ending March 31, 2021 Expended during the quarter ended September 30, 2020 Year to date used at quarter-end
Personnel 3,338 808 1,650
Transportation and communications 136 7 12
Information 66 10 11
Professional and special services 940 111 187
Rentals 390 166 189
Repair and maintenance 5 0 0
Utilities, materials and supplies 21 6 7
Acquisition of land, buildings and works 20 14 14
Acquisition of machinery and equipment 102 20 33
Other subsidies and payments 0 0 0
Total net budgetary expenditures 5,018 1,142 2,103
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, 2020 Expended during the quarter ended September 30, 2019 Year to date used at quarter-end
Personnel 3,341 769 1,505
Transportation and communications 167 30 50
Information 67 9 16
Professional and special services 895 140 274
Rentals 351 155 185
Repair and maintenance 1 0 0
Utilities, materials and supplies 31 2 7
Acquisition of land, buildings and works 13 0 0
Acquisition of machinery and equipment 96 13 15
Other subsidies and payments 0 0 0
Total net budgetary expenditures 4,962 1,118 2,052
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