Quarterly Financial Report (unaudited) - 1st Quarter 2017-2018

For the quarter ended June 30, 2017

1.0 Introduction

This quarterly financial report has been prepared by management as required by section 65.1 of the Financial Administration Act, in the form and manner prescribed by the Treasury Board. This quarterly report should be read in conjunction with the Main Estimates.

This quarterly report has not been subject to an external audit or review.

1.1 Mandate

The Civilian Review and Complaints Commission for the RCMP (CRCC)'s fundamental role is to provide civilian review of the conduct of the RCMP members in carrying out their policing duties, thereby holding the RCMP accountable to the public. The CRCC ensures that complaints about the conduct of RCMP members are examined fairly and impartially. Its findings and recommendations help identify and remedy policing problems which stem from the conduct of individual RCMP members or from deficiencies in RCMP policies or practices.

A summary description of the CRCC program activities can be found in Part II of the Main Estimates.

1.2 Basis of Presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes CRCC's spending authorities granted by Parliament and those used by the agency consistent with the Main Estimates for the 2017-2018 fiscal year. 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.

The CRCC 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.

2.0 Highlights of fiscal quarter and fiscal year-to-date (YTD) results

By the end of the first quarter of 2017-18, the CRCC spent approximately 19% of its authorities compared to 20% for the same period in 2016-17.

Personnel represented 68% of CRCC's total planned expenditures for 2016-17 and remains the same in 2017-18. The CRCC is anticipating that spending on personnel will remain high throughout the year as it continues its transition to its new mandate.

3.0 Risks and uncertainties

The CRCC's ongoing outreach and stakeholder engagement initiatives and its development of specialized services to Indigenous communities have contributed to greater awareness and expectations from Indigenous leaders and the communities they represent. Inherent in this emerging dynamic is the risk that the CRCC's current appropriations and resources are not sufficient to meet these expectations.

While the CRCC's operating budget and in-house resources are sufficient to manage current public complaint levels, it has minimal surge capacity. By tracking complaints and monitoring trends, the CRCC can respond to priority areas and files providing some mitigation of this risk. The CRCC also maintains a strategic reserve in the event of a surge in demand for services and has a procurement strategy in place to call up additional investigative resources to meet short-term surge requirements.

4.0 Significant changes in relation to operations, personnel and programs

The CRCC has established an office in British Columbia with the objective of enhancing its visibility and role in relation to processing and investigating public complaints about the RCMP in the northern regions of the province. The initiative will build more effective and collaborative relationships with Indigenous leaders and the communities they represent, provincial and municipal authorities responsible for public safety and law enforcement oversight, as well as stakeholders and interest groups implicated in police/community relationships. The initiative is funded through the reallocation of existing CRCC resources. Four FTE positions have been assigned to the office and will be supported, when needed, by investigative resources drawn from the CRCC's existing supply arrangement for contract investigators.

5.0 Approved by Senior Officials

_____________________
Ian McPhail, Q.C.
Chairperson
Ottawa, Canada
August 24, 2017
_____________________
Marcel Gaudet
Deputy Chief Financial Officer and
Manager, Planning, Finance and
Administration
Ottawa, Canada
August 24, 2017

6.0 Statement of authorities (unaudited)

Fiscal year 2017-2018 (in dollars)
  Total available for use for the year ending March 31, 2018Note * Expended during the quarter ended June 30, 2017 Year to date used at quarter-end

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

Vote 1 – Program expenditures 9,020,809 1,673,230 1,673,230
Statutory authorities– Employee Benefit Plans 915,080 228,770 228,770
Total authorities 9,935,889 1,902,000 1,902.000
Fiscal year 2016-2017 (in dollars)
  Total available for use for the year ending March 31, 2017Note * Expended during the quarter ended June 30, 2016 Year to date used at quarter-end

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

Vote 1 – Program expenditures 9,025,809 1,738,974 1,738,974
Statutory authorities– Employee Benefit Plans 1,002,508 250,627 250,627
Total authorities 10,028,317 1,989,601 1,989,601

7.0 Departmental budgetary expenditures by Standard Object (unaudited)

Fiscal year 2017-2018 (in dollars)
Expenditures
By Standard Object (SO)
Planned expenditures for the year ending March 31, 2018 Expensed during the quarter ended June 30, 2017 Year to date used at quarter-end
Personnel 6,743,616 1,667,583 1,667,583
Transportation and communications 686,496 38,194 38,194
Information 146,364 3,616 3,616
Professional and special services 1,562,794 104,515 104,515
Rentals 79,320 48,123 48,123
Repair and maintenance 113,314 5,041 5,041
Utilities, material and supplies 198,300 5,417 5,417
Acquisition of land, buildings and works 118,036 - -
Acquisition of machinery and equipment 114,259 24,479 24,479
Transfer payments - - -
Public debt charges - - -
Other subsidies and payments 173,390 5,032 5,032
Total net budgetary expenditures 9,935,889 1,902,000 $1,902,000
Fiscal year 2016-17 (in dollars)
Expenditures
By Standard Object (SO)
Planned expenditures for the year ending March 31, 2017 Expensed during the quarter ended June 30, 2016 Year to date used at quarter-end
Personnel 6,831,044 1,678,622 1,678,622
Transportation and communications 727,325 54,821 54,821
Information 154,900 8,217 8,217
Professional and special services 1,655,000 220,274 220,274
Rentals 83,800 4,455 4,455
Repair and maintenance 120,000 - -
Utilities, material and supplies 210,000 12,707 12,707
Acquisition of land, buildings and works 125,500 - -
Acquisition of machinery and equipment 120,748 10,505 10,505
Transfer payments - - -
Public debt charges - - -
Other subsidies and payments - - -
Total net budgetary expenditures 10,028,317 1,989,601 1,989,601
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