Policy on Investment Planning – Assets and Acquired Services

Introduction

Each year, the Government of Canada outlines its planned spending in the Main Estimates. How these expenditures are planned varies widely across the Government of Canada and within departments. The planning information provided to deputy heads and Treasury Board also varies greatly.

The new Policy on Investment Planning – Assets and Acquired Services supports the move to strengthen accountability and balance oversight in government operations and provide a basis for better management through a clear commitment to sound stewardship and the establishment of a management control regime for all aspects of investment planning.

Under the Policy Framework for the Management of Assets and Acquired Services the policy supports the principles of sound asset and acquired services management and seeks to ensure the appropriate discipline is applied to the planning and proposal of investments at the departmental level.

Then and Now

While the existing Policy on Long-term Capital Plans applies to all departments and agencies only a small number of departments and agencies are required to submit their plan to Treasury Board ministers. Ensuring a standard approach to planning investments, both assets and acquired services, across the Government of Canada, by April 1, 2011 the new Policy on Investment Planning will apply to all departments and agencies.

Under the new policy, deputy heads must have an effective investment planning mechanism in their organization to ensure that the highest priorities and areas of greatest risks are addressed in their Investment Plan. Investment Plans will have a minimum five-year horizon and will be submitted for Treasury Board approval at least every three years.

Implementation

As this represents a significant change in policy direction for investment planning across the Government of Canada, TBS has adopted a four-year phased implementation approach, coupled with the phased implementation of the policy on the Management of Projects, beginning with an 18-month pilot in order to ease the transition to the new policy.

There are four departments currently piloting these policies and developing a departmental investment plan for all assets and acquired services.

Following this pilot, groups of departments will be phased in so that by April 1, 2011, all departments and agencies will have the appropriate systems and processes in place to meet the policy requirements.

Policy on Investment Planning – Assets and Acquired Services Implementation Strategy