Notes to the Financial Statements
Year ended March 31, 2011
The Agency is related as a result of common ownership to all Government of Canada departments, agencies, and Crown corporations. The Agency enters into transactions with these entities in the normal course of business and on normal trade terms.
a) Services provided without charge by other government departments
During the year, the Agency received without charge from other departments, the employer's contribution to the health and dental insurance plans, accommodation, and legal services. These services without charge have been recognized in the Agency's statement of operations as follows:
| (in thousands of dollars) | 2011 | 2010 |
|---|---|---|
| Employer's contribution to the health and dental insurance plans | $40,884 | $40,567 |
| Accommodation | 22,980 | 33,433 |
| Legal services | 1,957 | 1,988 |
| $65,821 | $75,988 |
b) Other transactions with related parties
| (in thousands of dollars) | 2011 | 2010 |
|---|---|---|
| Accounts receivable from other government departments and agencies | $3,394 | $1,684 |
| Accounts payable to other government departments and agencies | 19,817 | 21,498 |
| Expenses – Other Government departments and agencies | 123,070 | 120,590 |
| Revenues – Other Government departments and agencies 262 583 | 262 | 583 |
The presentation of the net debt indicator and a statement of change in net debt is required under Canadian generally accepted accounting principles.
Net debt is the difference between a government's liabilities and its financial assets and is meant to provide a measure of the future revenues required to pay for past transactions and events. A statement of change in net debt would show changes during the period in components such as tangible capital assets, prepaid expenses and inventories. Departments are financed by the Government of Canada through appropriations and operate within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by departments is deposited to the CRF and all cash disbursements made by departments are paid by the CRF. Under this government business model, assets reflected on the departmental financial statements, with the exception of the Due from the CRF, are not available to use for the purpose of discharging the existing liabilities of the department. Future appropriations and any respendable revenues generated by the department's operations would be used to discharge existing liabilities.
| (in thousands of dollars) | 2011 | 2010 |
|---|---|---|
| Liabilities | ||
| Accounts payable and accrued liabilities | $83,785 | $70,527 |
| Vacation pay | 29,275 | 29,383 |
| Deferred revenue | 2,242 | 2,014 |
| Employee severance benefits | 106,036 | 97,591 |
| Total Financial Liabilities | 221,338 | 199,515 |
| Financial assets | ||
| Due from the Consolidated Revenue Fund | 73,809 | 68,227 |
| Accounts receivable and advances | 10,095 | |
| Total Financial Assets | 83,904 | 75,744 |
| Net Debt Indicator | $137,434 | $123,771s |