Treasury Board of Canada Secretariat
Symbol of the Government of Canada

ARCHIVED - Citizenship and Immigration Canada


Warning This page has been archived.

Archived Content

Information identified as archived on the Web is for reference, research or recordkeeping purposes. It has not been altered or updated after the date of archiving. Web pages that are archived on the Web are not subject to the Government of Canada Web Standards. As per the Communications Policy of the Government of Canada, you can request alternate formats on the "Contact Us" page.

Section 3: Supplementary Information

Departmental Links to the Government of Canada Outcomes


 

 

Actual Spending 2007–2008

 

($ Millions)

Expected Results

Budgetary

Non-Budgetary

Total

Alignment to Government of Canada Outcome Area

Strategic Outcome 1: Maximum contribution to Canada’s economic, social and cultural development from migration
1. Immigration Program Contribution, through the Immigration Program, to
Canada’s economic, social
and cultural development

208.6

Nil

208.6

Economic
Strong economic growth
2. Temporary Resident Program Contribution, through the Temporary Resident Program, to
Canada’s economic, social
and cultural development

73.4

Nil

73.4

Economic
Strong economic growth
Strategic Outcome 2: Reflection of Canadian values and interests in the management of international migration, including refugee protection
3. Canada’s Role in International Migration and Protection Canada influences the international agenda on migration and protection

1.6

Nil

1.6

International
A safe and secure world through international cooperation
4. Refugee Program Maintenance of Canada’s humanitarian tradition with respect to refugees and persons in need of protection

94.8

Nil

94.8

International
A safe and secure world through international cooperation
Strategic Outcome 3: Successful integration of newcomers and promotion of Canadian citizenship
5. Integration Program Successful integration of newcomers into Canadian society within a reasonable time frame; newcomers contribute to the economic, social and cultural development needs of Canada

667.9

Nil

667.9

Social
Diverse society that promotes linguistic duality and social inclusion
6. Citizenship Program Accordance of full participation in Canadian society to eligible permanent residents; contribution to Canada’s economic, social and cultural development

73.2

Nil

73.2

Social
Diverse society that promotes linguistic duality and social inclusion

Contribution of CIC’s Program Activities to Government of Canada Outcomes

1. The Immigration Program contributes to strong economic growth through the design, development and implementation of policies and programs to facilitate the entry of permanent residents in a way that contributes to the economic, social and cultural development of Canada while protecting the health, safety and security of Canadians.

2. The Temporary Resident Program contributes to strong economic growth through the design, development and implementation of policies and programs to facilitate the entry of temporary workers, students and visitors in a way that contributes to Canada’s economic, social and cultural development while protecting the health, safety and security of Canadians.

3. Canada’s Role in International Migration and Protection contributes to a safe and secure world by asserting Canada’s position in the context of international migration in order to protect Canada’s right to set its citizenship, immigration and refugee policy; to meet legal and international obligations; to steer the international agenda on migration management issues, including its linkages with other public policy sectors; to contribute to managing migration internationally; and to support development of Canada’s image abroad.

4. The Refugee Program contributes to a safe and secure world through the fulfilment of Canada’s international obligations by coming to the aid of persons in need of protection in Canada and maintaining its humanitarian tradition by protecting refugees abroad and resettling them to Canada.

5. The Integration Program contributes to a diverse society that promotes linguistic duality and social inclusion through the design, development and implementation of policies and programs to support the settlement, resettlement and longer-term integration of newcomers in Canada.

6. The Citizenship Program contributes to a diverse society that promotes linguistic duality and social inclusion through the design, development and implementation of policies and programs to administer the acquisition of Canadian citizenship and to enhance the values and promote the rights and responsibilities of Canadian citizenship.

Comparison of Planned to Actual Spending (including FTEs)

This table offers a comparison of the Main Estimates, planned spending, total authorities, and actual spending for the most recently completed fiscal year, as well as historical figures for actual spending.


Program Activity
($ Millions)

Actual
2005–2006

Actual
2006–2007

2007–2008

Main
Estimates

Planned
Spending

Total
Authorities

Actual
[a]

Immigration Program

191.1

[b] 244.8

183.8

184.0

212.4

208.6

Temporary Resident Program

101.5

[c] 104.9

59.7

59.8

74.9

73.4

Canada’s Role in International
Migration and Protection

2.6

2.8

4.0

4.0

3.1

1.6

Refugee Program

80.3

84.1

97.5

97.5

96.0

94.8

Integration Program

445.0

[d] 550.6

783.1

783.2

774.1

667.9

Citizenship Program

61.2

71.4

59.2

59.3

75.3

73.2

Revitalization of the Toronto
Waterfront [e]

0.8

0.0

0.0

0.0

0.0

0.0

Total [f]

882.5

1,058.6

1,187.3

1,187.8

1,235.8

1,119.5

Less: Non-Respendable Revenue

(500.8)

(451.6)

(460.7)

(460.7)

(460.7)

(483.1)

Plus: Cost of Services Received
Without Charge [g]

231.6

237.1

232.0

232.0

235.3

235.3

Total Departmental Spending

613.3

844.1

958.6

959.1

1,010.4

871.7

Full-Time Equivalents      

3,708

   

[a] For an explanation of variances, see Section II: Analysis of Program Activities by Strategic Outcome.

[b] 2006-2007 actuals include one-time charge of approximately $50 million for refunds related to the Right of Permanent Residence Fee.

[c] The method of allocation of corporate costs was revised after 2006-2007, resulting in lower allocations to the Temporary Resident program in future years.

[d] Spending in 2006-2007 and future years reflects increasing payments for settlement and integration services across Canada.

[e] Responsibility for the Toronto Waterfront Revitalization Initiative was transferred to the TBS through an Order in Council dated February 6, 2006.

[f] Total authorities included planned spending of $1,187.8 million plus $48.0 million provided through Supplementary Estimates and additional statutory requirements–including employee benefit plans–for a total of $1,235.8 million. Actual expenditures were lower than total authorities by $116.3 million–including $106.2 million in grants and contributions. This is mostly attributable to the Canada-Ontario Immigration Agreement and other settlement programs. The balance of the reduced requirements ($10.1 million) was mainly due to other general operating lapses.

[g] Services received without charge include accommodation provided by Public Works and Government Services Canada, the employer’s share of employees’ insurance premiums paid by the TBS, legal services received from the Department of Justice, and international immigration services provided by DFAIT.

Voted and Statutory Items

This table identifies the way in which Parliament votes resources to the Department in the Main Estimates (Votes 1, 2 and 5) and provides statutory details (denoted by “S”) for information purposes.


 

Vote
($ Millions)

2007–2008

Main
Estimates

Planned
Spending
[a]

Total
Authorities
[b]

Actual
[c]

1 Operating expenditures

413.6

414.1

445.4

435.3

2 Debt write-off

0.0

0.0

1.6

1.6

5 Grants and contributions

732.2

732.2

732.2

626.0

(S) Salary and motor car allowance

0.1

0.1

0.1

0.1

(S) Contributions to employee benefit plans

41.4

41.4

41.4

41.4

(S) Refund of amounts credited to
revenues in previous years

0.0

0.0

15.0

15.0

(S) Court awards

0.0

0.0

0.1

0.1

  Total [d]

1,187.3

1,187.8

1,235.8

1,119.5


[a] Total Planned Spending from the 2007-2008 Report on Plans and Priorities.

[b] Total Authorities from the 2007-2008 Public Accounts, which include Main Estimates plus Supplementary Estimates.

[c] Total Actual Spending from the 2007-2008 Public Accounts. For an explanation of variances by program activity, see Section II: Analysis of Program Activities by Strategic Outcome.

[d] Total authorities included planned spending of $1,187.8 million plus $48.0 million provided through Supplementary Estimates and additional statutory requirements–including employee benefit plans–for a total of $1,235.8 million. Actual expenditures were lower than total authorities by $116.3 million, including $106.2 million in grants and contributions. This is mostly attributable to the Canada-Ontario Immigration Agreement and other settlement programs. The balance of the reduced requirements ($10.1 million) was mainly due to other general operating lapses.

Electronic Tables

The following tables can be found on the TBS website at www.tbs-sct.gc.ca/dpr-rmr/st-ts-eng.asp.

  • Loans
  • Sources of Non-Respendable Revenue
  • User Fees
  • Policy on Service Standards for External Fees
  • Status Report on Major Crown Projects
  • Details on Transfer Payment Programs
  • Response to Parliamentary Committees and External Audits
  • Internal Audits and Evaluations
  • Sustainable Development
  • Travel Policies

Financial Statements

Statement of Management Responsibility

Responsibility for the integrity and objectivity of the accompanying financial statements for the year ended March 31, 2008, and all information contained in these statements rests with departmental management. These financial statements have been prepared by management in accordance with Treasury Board accounting policies, which are consistent with Canadian generally accepted accounting principles for the public sector.

Management is responsible for the integrity and objectivity of the information in these financial statements. Some of the information in the financial statements is based on management’s best estimates and judgment and gives due consideration to materiality. To fulfil its accounting and reporting responsibilities, management maintains a set of accounts that provides a centralized record of the Department’s financial transactions. Financial information submitted to the Public Accounts of Canada and included in the Department’s Departmental Performance Report is consistent with these financial statements.

Management maintains a system of financial management and internal control designed to provide reasonable assurance that financial information is reliable, that assets are safeguarded and that transactions are in accordance with the Financial Administration Act, are executed in accordance with prescribed regulations, within Parliamentary authorities, and are properly recorded to maintain accountability of Government funds. Management also seeks to ensure the objectivity and integrity of data in its financial statements by careful selection, training and development of qualified staff, by organizational arrangements that provide appropriate divisions of responsibility, and by communication programs aimed at ensuring that regulations, policies, standards and managerial authorities are understood throughout the Department.

The Audit Committee ensures that the Deputy has independent objective advice and assurance on the adequacy of CIC’s internal control and accountability processes. It ensures that there are effective arrangements in place to monitor and follow-up on management action plans responding to recommendations from internal audits, the OAG, or other sources. It reviews CIC corporate risk profile. It also reviews the arrangements established by management to promote public service values and to ensure compliance with laws, regulations, policies, and standards of ethical conduct.

The financial statements of the Department have not been audited.

Original version signed by:
            Richard B. Fadden
            Deputy Minister


            Wayne Ganim
            Senior Financial Officer

Citizenship & Immigration Canada
Statement of Operations (Unaudited)

For the Year Ended March 31
(in thousands of dollars)


 

2008

2007

Expenses (Note 4)
Integration program

683,694

568,236

Immigration program

294,664

272,603

Temporary resident program

117,252

145,439

Refugee program

108,101

94,241

Citizenship program

103,907

118,299

Canada’s role in international migration and protection

2,765

4,039

Total Expenses

1,310,383

1,202,857

Revenues (Note 5)
Immigration program

243,119

216,909

Temporary resident program

163,596

153,927

Citizenship program

37,178

46,306

Refugee program

12,148

14,581

Integration program

663

734

Total Revenues

456,704

432,457

Net Cost of Operations

853,679

770,400


The accompanying notes form an integral part of these statements.

Citizenship & Immigration Canada
Statement of Financial Position (Unaudited)
At March 31
(in thousands of dollars)


 

2008

2007

ASSETS
Financial Assets
Accounts receivable and advances (Note 6)

45,732

22,617

Loans (Note 7)

31,174

34,407

Total financial assets

76,906

57,024

Non-financial assets
Prepayments

1,682

1,341

Inventory

5,291

8,010

Tangible capital assets (Note 8)

243,208

224,294

Total non-financial assets

250,181

233,645

TOTAL ASSETS

327,087

290,669

 
LIABILITIES
Deferred revenues (Note 9)

347,424

235,045

Accounts payable and accrued liabilities

151,101

123,020

Other liabilities (Note 10)

44,800

24,000

Vacation pay and compensatory leave

15,107

14,487

Employee severance benefits (Note 11)

55,434

51,634

TOTAL LIABILITIES

613,866

448,186

 
EQUITY OF CANADA

(286,779)

(157,517)

TOTAL

327,087

290,669


Contingent Liabilities (Note 12)
Contractual Obligations (Note 13)
The accompanying notes form an integral part of these statements.

Citizenship & Immigration Canada
Statement of Equity of Canada (Unaudited)
At March 31
(in thousands of dollars)


 

2008

2007

Equity of Canada, beginning of year

(157,517)

(245,424)

Net cost of operations

(853,679)

(770,400)

Current year appropriation used (Note 3)

1,115,816

1,056,436

Revenue not available for spending

(456,704)

(432,457)

Change in net position in the Consolidated Revenue Fund (Note 3c)

(56,108)

(2,832)

Services provided without charge by other government departments (Note 14)

235,281

237,160

Change in approach related to Deferred Revenues (Note 9)

(113,868)

Equity of Canada, end of year

(286,779)

(157,517)


The accompanying notes form an integral part of these statements.

Citizenship & Immigration Canada
Statement of Cash Flow (Unaudited)
For the Year Ended March 31
(in thousands of dollars)


 

2008

2007

OPERATING ACTIVITIES
Net cost of operations

853,679

770,400

Non-cash items:    
Services provided without charge by other government departments

(235,281)

(237,160)

Amortization of tangible capital assets

(6,518)

(8,207)

Loss on disposal of tangible capital assets

(5)

(61)

Statement of financial position adjustments    
Decrease (increase) in liabilities

(165,680)

38,517

Increase in accounts receivable and advances

23,115

9,111

Decrease in loans

(3,233)

(1,577)

Increase in inventories and prepayments

(2,378)

2,378

Change in approach related to deferred revenue

113,868

Cash used by operating activities

577,567

573,401

CAPITAL INVESTMENT ACTIVITIES
Acquisitions of tangible capital assets

25,437

47,746

Cash used by capital investment activities

25,437

47,746

FINANCING ACTIVITIES
Net cash provided by Government of Canada

(603,004)

(621,147)


Citizenship & Immigration Canada
Notes to the Financial Statements (Unaudited)

1. Authority and Objectives

Citizenship and Immigration Canada (CIC) was established on June 23, 1994, by the Department of Citizenship and Immigration Act. It is a Department named in Schedule I of the Financial Administration Act and currently reports to Parliament through the Minister of Citizenship and Immigration Canada.

The Department’s key strategic outcomes are:

  • maximum contribution to Canada’s economic, social and cultural development from migration;
  • reflection of Canadian values and interests in the management of international migration, including refugee protection; and
  • successful integration of newcomers and promotion of Canadian citizenship.

These three strategic outcomes are reflected with the following key activities.

  • Immigration Program: Design, develop and implement policies and programs to facilitate the entry of permanent residents in a way which maximizes their economic, social and cultural contribution to Canada while protecting the health, safety and security of Canadians.
  • Temporary Resident Program: Design, develop and implement policies and programs to facilitate the entry of temporary workers, students and visitors in a way that maximizes their contribution to Canada’s economic, social and cultural development while protecting the health, safety and security of Canadians.
  • Canada’s Role in International Migration and Protection: Assert Canada’s position in the context of international migration to influence the international agenda on migration and protection.
  • Refugee Program: Maintain Canada’s humanitarian tradition by protecting refugees and persons in need of protection in Canada and abroad.
  • Integration Program: Develop policies and programs to support the settlement, resettlement, adaptation and integration of newcomers into Canadian society by delivering the orientation, adaptation and language programs for newcomers.
  • Citizenship Program: Design, develop and implement policies and programs to administer the acquisition of Canadian citizenship and to enhance the values and promote the rights and responsibilities of Canadian citizenship.

CIC administers the Citizenship Act and the Immigration and Refugee Protection Act.

CIC is funded by a budgetary lapsing authority. Revenues, including fees and rights, are deposited to the Consolidated Revenue Fund and are not available for use by the Department. Fees and rights are collected through the Immigration and Refugee Protection Regulations as well as through the Citizenship Regulations. Employee benefits are authorized by a statutory authority. CIC issues immigration loans through a non-budgetary non-lapsing authority.

2. Summary of Significant Accounting Policies

These financial statements have been prepared in accordance with Treasury Board accounting policies, which are consistent with Canadian generally accepted accounting principles for the public sector.

Significant accounting policies are as follows:

(a) Parliamentary Appropriations – The Department is financed by the Government of Canada through Parliamentary appropriations. Appropriations provided to the Department do not parallel financial reporting according to Canadian generally accepted accounting principles since appropriations are primarily based on cash-flow requirements. Consequently, items recognized in the statement of operations and the statement of financial position are not necessarily the same as those provided through appropriations from Parliament. Note 3 provides a high level reconciliation between the bases of reporting.

(b) Net Cash Provided by Government – The Department operates within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by the Department is deposited to the CRF and all cash disbursements made by the Department are paid from the CRF. The net cash provided by Government is the difference between all cash receipts and all cash disbursements including transactions between departments of the federal government.

(c) Change in net position in the Consolidated Revenue Fund is the difference between the net cash provided by Government and appropriations used in a year, excluding the amount of non-respendable revenue recorded by the Department. It results from timing differences between when a transaction affects appropriations and when it is processed through the CRF.

(d) Revenues

  • Revenues from regulatory fees are recognized in the accounts based on the services provided in the year.
  • Other revenues are accounted for in the period in which the underlying transaction or event occurred that gave rise to the revenues.
  • Revenues that have been received but not yet earned are recorded as deferred revenues. The recognition of revenues from fees is considered deferred until the application is processed, while the recognition of revenues from rights (right of citizenship and right of permanent residence) is deferred until the right is granted.

(e) Expenses – Expenses are recorded on the accrual basis

  • Grants are recognized in the year in which the conditions for payment are met.
  • Contributions are recognized in the year in which the recipient has met the eligibility criteria or fulfilled the terms of a contractual transfer agreement.
  • Vacation pay and compensatory leave are expensed as the benefits accrue to employees under their respective terms of employment.
  • Services provided without charge by other government departments for accommodation, the employer’s contribution to the health and dental insurance plans, workers’ compensation costs, legal services and international immigration services are recorded as operating expenses at their estimated cost.

(f) Employee Future Benefits

  1. Pension Benefits: Eligible employees participate in the Public Service Pension Plan, a multiemployer plan administered by the Government of Canada. The Department’s contributions to the Plan are charged to expenses in the year incurred and represent the total departmental obligation to the Plan. Current legislation does not require the Department to make contributions for any actuarial deficiencies of the Plan.
  2. Severance Benefits: Employees are entitled to severance benefits under labour contracts or conditions of employment. These benefits are accrued as employees render the services necessary to earn them. The obligation relating to the benefits earned by employees is calculated using information derived from the results of the actuarially determined liability for employee severance benefits for the Government as a whole.

(g) Accounts and loans receivables are stated at amounts expected to be ultimately realized. They are valuated at cost. Interest revenue is recognized on a receivable when earned. A provision is made for receivables where recovery is considered uncertain. Loans that cannot be recovered are written off after receiving Parliamentary approval in accordance with the Debt Write-off Regulations.

(h) Contingent Liabilities – Contingent liabilities are potential liabilities which may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded. If the likelihood is not determinable or an amount cannot be reasonably estimated, the contingency is disclosed in the notes to the financial statements.

(i) Inventories – Inventories consist of forms and equipment held for future program delivery and not intended for resale. They are valued at cost.

(j) Foreign Currency Transactions – Transactions involving foreign currencies are translated into Canadian dollar equivalents using rates of exchange in effect at the time of those transactions. Monetary assets and liabilities denominated in a foreign currency are translated into Canadian dollars using the rate of exchange in effect on March 31. Gains and losses resulting from foreign currency transactions are included in other revenues and other expenses in Notes 4 and 5.

(k) Tangible Capital Assets – All tangible capital assets and leasehold improvements having an initial cost of $10,000 or more are recorded at their acquisition cost.

Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the asset as follows:


Asset Class

 

Amortization Period

Machinery and equipment   15 years
Informatics hardware 5 years
Purchased software 7 years
Furniture and other 10 years
Motor vehicles 8 years
Leasehold
improvements
Lesser of remaining term of the lease or
useful life of the improvement
Asset under construction Once in service, in accordance with asset type

(l) Measurement Uncertainty – The preparation of these financial statements in accordance with Treasury Board accounting policies, which are consistent with Canadian generally accepted accounting principles for the public sector, requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these statements, management believes the estimates and assumptions to be reasonable. The most significant items where estimates are used are contingent liabilities, the liability for employee severance benefits, the useful life of tangible capital assets and deferred revenues. Actual results could significantly differ from those estimated. Management’s estimates are reviewed periodically and, as adjustments become necessary, they are recorded in the financial statements in the year they become known.

3. Parliamentary Appropriations

The Department of Citizenship and Immigration receives all of its funding through annual Parliamentary appropriations. Items recognized in the statement of operations and the statement of financial position in one year may be funded through Parliamentary appropriations in prior, current or future years. Accordingly, the Department has different net results 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 current year appropriations used


 

2008

2007

 

(in thousands of dollars)

Net cost of operations

853,679

770,400

Adjustments for items affecting net cost of operations
but not affecting appropriations
   
Add (Less) :    
Revenue not available for spending

456,704

432,457

Services provided without charge by
other government departments

(235,281)

(237,160)

Refunds of previous year’s revenues

14,968

53,895

Amortization of tangible capital assets

(6,518)

(8,207)

Employee severance benefits

(3,799

(5,079)

Inventory consumed in operations

(5,715)

(1,678)

Vacation pay and compensatory leave

(619)

(1,182)

Other

17,654

3,217

 
Adjustments for items not affecting net cost of operations
but affecting appropriations
   
Add (Less):    
Acquisition of tangible capital assets

25,437

47,746

Inventory purchased and prepayments

2,996

4,283

Non-budgetary loans

(3,690)

(2,191)

Other

(65)

Current year appropriations used

1,115,816

1,056,436


(b) Appropriations provided and used


 

Appropriations provided

 

2008

2007

 

(in thousands of dollars)

Vote 1 – Operating expenditures

445,338

489,636

Vote 2a – Write-off of loans

1,620

987

Vote 5 – Grants and Contributions

732,224

598,704

Statutory amounts

56,644

94,607

Less:
Lapsed Vote 1: Operating expenditures

(10,063)

(49,377)

Lapsed Vote 2a: Write-off of loans

(23)

(9)

Lapsed Vote 5: Grants and Contributions

(106,228)

(75,898)

Lapsed: Proceeds from disposal of Crown assets

(8)

Non-budgetary item

(3,690)

(2,191)

Appropriations available for future years

(6)

(15)

Current year appropriations used

1,115,816

1,056,436


c) Reconciliation of net cash provided by Government to current year appropriations used


 

2008

2007

 

(in thousands of dollars)

Net cash provided by Government

603,004

621,147

Revenue not available for spending

456,704

432,457

 
Change in net position in the Consolidated Revenue Fund
Refunds of previous years’ revenues

14,968

53,895

Variation in accounts receivable and advances

(23,115)

(9,111)

Variation in accounts payable and accrued liabilities

48,881

3,053

Increase (decrease) in deferred revenue

112,379

(47,831)

Change in approach related to deferred revenues

(113,868)

Other

16,863

2,826

Subtotal

56,108

2,832

Current year appropriations used

1,115,816

1,056,436


4. Expenses

The following table presents details of expenses by category.


 

2008

2007

 

(in thousands of dollars)
Transfer payments
Other level of governments within Canada

295,776

276,722

Non-profit organizations

288,580

211,483

Individuals

40,210

33,164

Other countries and international organizations

1,430

1,436

Refund of previous years’ transfer payments

(10,256)

(2,474)

Total transfer payments

615,740

520,331

 
Operating expenses
Salaries and employee benefits

458,501

459,195

Professional and special services

132,254

124,938

Accommodation

30,073

29,998

Transportation and communications

26,851

25,372

Utilities, materials and supplies

12,047

16,037

Rentals of equipment

8,919

6,779

Repairs and maintenance

7,385

6,421

Amortization of tangible capital assets

6,518

8,207

Information services

6,084

3,832

Other

6,011

1,747

Total operating expenses

694,643

682,526

Total expenses

1,310,383

1,202,857

 
Detail of transfer payments
Grant for the Canada-Quebec Accord on Immigration

198,194

193,893

Language instruction for newcomers to Canada

152,658

122,288

Immigrant settlement and adaptation

115,118

70,208

Contributions to provinces

97,582

82,829

Resettlement assistance

52,906

44,128

Host program

8,108

5,023

International Organization for Migration

1,109

1,075

Migration policy development

321

361

Grant for the Institute for Canadian Citizenship

3,000

Refund of previous year transfer payments

(10,256)

(2,474)

Total

615,740

520,331


5. Revenues

The following table presents details of revenues by category.


 

2008

2007

 

(in thousands of dollars)
Immigration service fees

348,250

315,066

Right of permanent residence

70,156

70,266

Citizenship service fees

22,275

27,249

Right of citizenship

14,863

19,011

Interest on loans

663

734

Other

497

131

Total Revenues

456,704

432,457


6. Accounts Receivable and Advances

The following table presents details of accounts receivable and advances.


 

2008

2007

 

(in thousands of dollars)

Receivables from other federal government departments and agencies

24,949

17,887

Receivables from external parties

20,891

4,746

Advances to employees

68

161

Less: allowance for doubtful accounts on external receivables

(176)

(177)

Total

45,732

22,617


7. Loans Receivable

In accordance with the Immigration and Refugee Protection Act, CIC can issue immigration loans up to a maximum of $110,000 000. Since February 28, 1995, all immigration loans bear interest at a rate determined by the Minister of Finance at the beginning of each calendar year. Regulations provide for a period of up to seven (7) years for the repayment of the loans. The interest rate on outstanding interest-bearing loans varies between 3.56% to 10.718%. Allowance for doubtful accounts is made for loans when recovery is considered uncertain.


 

2008

2007

 

(in thousands of dollars)
Immigration loans

34,390

38,080

Less: Allowance for doubtful collection

(3,216)

(3,673)

Total

31,174

34,407


 


 

(in thousands of dollars)

Aging

Number of loans

Capital

Interest

Total

0 to 1 year

4,335

11,012

11,012

1 to 2 years

3,457

7,006

2

7,008

2 to 3 years

2,405

4,454

8

4,462

3 to 4 years

1,636

2,567

31

2,598

4 to 5 years

1,366

2,121

52

2,173

5 to 6 years

661

1,089

50

1,139

6 to 7 years

475

1,039

93

1,132

7 years and over

1,732

4,131

735

4,866

TOTAL

16,067

33,419

971

34,390


 


 

2008

2007

 

(in thousands of dollars)

Immigration Loans – Opening balance

38,080

40,271

Issuance (including accrued interest)

12,834

13,049

Repayments

(14,928)

(14,270)

Write-offs

(1,596)

(970)

Immigration Loans – Closing balance

34,390

38,080


8. Tangible Capital Assets


(in thousands of dollars)

COST

ACCUMULATED AMORTIZATION

 

Capital asset class

Opening Balance

Acquisitions

Disposals
and write-offs

Adjustments

Closing balance

Opening
balance

Amortization

Disposals
and write-offs

Adjustments

Closing
balance

Net book value 2007

Net book value 2008

Machinery and equipment

1,934

14

1,948

741

129

1

871

1,077

1,193

Informatics hardware

28,605

1,840

1,097

1

29,349

22,452

2,851

1,090

1

24,214

5,135

6,153

Purchased software

20,177

22

99

20,100

6,660

1,983

92

8,551

11,549

13,517

Furniture and other

1,120

49

25

1,144

311

112

18

405

739

809

Motor vehicles

988

88

98

25

1,003

523

106

92

16

553

450

465

Leasehold improvements

13,367

13,367

3,350

1,337

4,687

8,680

10,017

Assets under construction

192,140

23,438

215,578

215,578

192,140

Total

258,331

25,437

1,319

40

282,489

34,037

6,518

1,292

18

39,281

243,208

224,294


Amortization expenses for the year ended March 31, 2008, is $6,518 (2007, $8,207).

9. Deferred revenue

The deferred revenue account was established to record fees and rights derived from the Citizenship Act and Regulations and the Immigration and Refugees Protection Act and Regulations where the service has yet to be provided or the right granted. For the year ended March 31, 2008, there was a change in approach to establish the deferred revenue account which resulted in a more accurate estimate of the deferred revenue.


 

2008

2007

 

(in thousands of dollars)

Opening balance

235,045

282,876

Payments received and Impact of Change in Approach

320,823

180,345

Revenue recognized

(202,103)

(184,507)

Remissions – reduction of the right of permament residence

(6,341)

(43,669)

Closing balance

347,424

235,045


10. Other Liabilities

The Immigrant Investor Program allows qualified immigrants to gain permanent residence in Canada by making an investment of $400,000 in the Canadian economy. The investment is returned to the investor, without interest, five years and two months after payment.

After meeting other immigration requirements, applicants are then required to pay their $400,000 investment to the Receiver General for Canada. CIC acts as an agent for the approved provincial funds by collecting the investments and distributing them to the approved funds according to a prescribed allocation formula (50 percent divided equally and 50 percent distributed according to provincial gross domestic product). The investment is distributed to the participating provinces and territories (Ontario, British Columbia, Prince Edward Island, Northwest Territories, Manitoba, Newfoundland and Labrador and Nova Scotia) on the first day of the second month following receipt from the investor.

The participating provinces and territories are responsible for investing their allocations to strengthen their economies and to create or continue employment. They report to CIC quarterly, and after the five-year holding period, remit the $400,000 investment back to CIC. Within 30 days of receipt of the $400,000 from the participating funds, CIC returns the $400,000 investment to the investor (without interest).

The value of financial transactions processed during the year is as follows.


 

(in thousands of dollars)

 

April 1, 2007

Receipts and other credits

Payments and other charges

March 31, 2008

Immigrant Investor Program

24,000

552,800

532,000

44,800


11. Employee Benefits

(a) Pension Benefits: The Department’s employees participate in the Public Service Pension Plan, which is sponsored and administered by the Government of Canada. Pension benefits accrue up to a maximum period of 35 years at a rate of two (2) percent per year of pensionable service, times the average of the best five consecutive years of earnings. The benefits are integrated with Canada/Quebec Pension Plans’ benefits and they are indexed to inflation.

Both the employees and the Department contribute to the cost of the Plan. The 2007‑2008 expense amounts to $30,178,712 ($29,867,771 in 2006‑2007), which represents approximately 2.1 times the contributions by employees (2.2 in 2006 2007).

The Department’s responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan’s sponsor.

(b) Severance Benefits: The Department provides severance benefits to its employees based on eligibility, years of service and final salary. These severance benefits are not prefunded. Benefits will be paid from future appropriations. Information about the severance benefits, measured at March 31, is as follows:


 

2008

2007

 

(in thousands of dollars)

Accrued benefit obligation, beginning of year

51,634

46,555

Expense for the year

7,072

9,461

Benefits paid during the year

(3,272)

(4,382)

Accrued benefit obligation, end of year

55,434

51,634


12. Contingent Liabilities

Claims and Litigation

Claims have been made against the Department in the normal course of operations. Some of these potential liabilities may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded in the financial statements. Based on the Department’s legal assessment of potential liability, $40,000 was recorded on March 31, 2008.

13. Contractual Obligations

The nature of the Department’s activities can result in some large multi-year contracts and obligations whereby the Department will be obligated to make future payments when the services/goods are received. Significant contractual obligations that can be reasonably estimated are summarized as follows:


 

(in millions of dollars)

Fiscal year

2009

2010

2011

2012

2013
and after

Total

Transfer payments

356

374

394

394

394

1,912


14. Related party transactions

The Department is related as a result of common ownership to all Government of Canada departments, agencies, and Crown corporations. The Department enters into transactions with these entities in the normal course of business and on normal trade terms. Also, during the year, the Department received services that were obtained without charge from other government departments as presented in part (a).

(a) Services provided without charge by other government departments
During the year, the Department received, without charge from other departments, accommodation, legal fees, the employer’s contribution to the health and dental insurance plans and the workers’ compensation costs. Additionally, the Department received international immigration services from the Department of Foreign Affairs and International Trade, staff and facilities at missions abroad. These services without charge have been recognized in the Department’s Statement of Operations as follows.


 

2008

2007

 

(in thousands of dollars)

Accommodation

30,073

29,998

Employer’s contribution to health and dental insurance plans

18,129

20,316

Workers’ compensation costs

182

143

Legal services

38,897

38,703

International immigration services

148,000

148,000

Total

235,281

237,160


The Government has structured some of its administrative activities for efficiency and cost effectiveness purposes so that one department performs these on behalf of all without charge. The costs of these services, which include payroll and cheque issuance services provided by Public Works and Government Services Canada and audit services provided by the Office of the Auditor General, are not included as an expense in the Department’s Statement of Operations.

(b) Payables and receivables outstanding at year-end with related parties


 

2008

2007

 

(in thousands of dollars)

Accounts receivable – other government departments and agencies

23,892

11,361

Accounts payable – other government departments and agencies

4,422

5,960


____________

Footnotes

1. For more information on CIC’s programs, see www.cic.gc.ca.

2. For more information on the CBSA, see www.cbsa-asfc.gc.ca.

3. CIC’s PAA was modified in 2007-2008 for implementation in 2008-2009.

4. For more information, see the 2006 Census of Canada at www12.statcan.ca/english/census/index.cfm.

5. For more information, see the 2006 Census of Canada at www12.statcan.ca/english/census/index.cfm.

6. For more information, see the Critical Partnerships section of this report.

7. For more information, see www.fin.gc.ca/ec2006/plan/pltoce.html.

8. For more information on the MAF, see www.tbs-sct.gc.ca/maf-crg/index_e.asp.

9. For more detailed information on the agreements, see CIC’s 2007 Annual Report to Parliament on Immigration at www.cic.gc.ca/english/resources/publications/annual-report2007/section2.asp. All current agreements can be found at www.cic.gc.ca/english/department/laws-policy/agreements/index.asp.

10. For further details, see www.irb-cisr.gc.ca/en/index_e.htm.

11. Source: Labour Force Survey at www40.statcan.ca/l01/cst01/other/lfs/lfsintro.htm.

12. Source: Citizenship and Immigration Canada, Facts & Figures 2007 (www.cic.gc.ca/english/resources/statistics/menu-fact.asp).

13. Admissions under the humanitarian and compassionate provision have been fairly consistent over the past few years; the increase in admissions in 2007 is a reflection of the 5,060 foreign nationals who were granted permanent resident status under the Public Policy for the Spouse or Common-law Partner in Canada Class, which also falls under section 25 of IRPA.

14. For more information, see www.cic.gc.ca/english/resources/publications/annual-report2007/index.asp.

15. Additional information on these changes can be found at www.cic.gc.ca/english/department/laws-policy/irpa.asp.

16. For more information, see www.cic.gc.ca/english/resources/publications/settlement/plan-minorities.asp.

17. This year’s Facts and Figures uses a new methodology for estimating and presenting the number of temporary residents who have entered the country. To give a more accurate and complete picture, it reports separately on those arriving for the first time as temporary residents (Initial entries), and those who have been temporary residents before but are re-entering with a new permit issued abroad (Re-entries).

18. This year, CIC introduces a new method for calculating the number of foreign students entering the country. Included are temporary residents entering the country mainly for study whether for the first time or as a subsequent re-entry. In 2007, 64,636 foreign students entered for the first time and 9,373 were subject to a re-entry for a total 74,009 persons.

19. For more information see www.cic.gc.ca/english/visit/visas.asp.

20. For more information, see www.iom.int/jahia/webdav/shared/shared/mainsite/about_iom/docs/res1150_en.pdf.

21. For more information, see http://cmte.parl.gc.ca/Content/HOC/committee/391/cimm/reports/rp2969755/cimmrp15/cimmrp15-e.pdf.

22. For more information, see www.cic.gc.ca/english/resources/evaluation/psrp/psrp-summary.asp.

23. For more information, see the Labour Force Survey at www40.statcan.ca/01/cst01/other/lfs/lfsintro.htm.

24. For more information, see www.cic.gc.ca/english/resources/publications/settlement/coia-plan.asp.

25. Report is available at http://atwork.settlement.org/sys/atwork_library_detail.asp?passed_lang=EN&doc_id=1004346.

26. Source: 2006 Census of Canada.

27. Rate is for all foreign-born individuals, rather than documented immigrants who were granted permanent resident status.

28. Source: Statistics Canada (www.statcan.ca/english/freepub/11-008-XIE/2004004/articles/7775.pdf).

29. Source: Statistics Canada’s Ethnic Diversity Survey at www.statcan.ca/Daily/English/030929/d030929a.htm and General Social Survey at www.statcan.ca/english/Dli/Data/Ftp/gss/gssc1703.htm.

30. Source: CICAnnual Tracking Survey (May 2007) at http://epe.lac-bac.gc.ca/100/200/301/pwgsc-tpsgc/por-ef/citizenship_immigration/2007/140-06-e/report.doc.

31. The publication can be found at www.cic.gc.ca/english/resources/statistics/facts2006/index.asp.

32. More information on the Metropolis Project can be found at: http://metropolis.net/.

33. More information can be found at www.cic.gc.ca/english/resources/publications/annual-report2007/section6.asp.