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3 Analysis of Program Activities by Strategic Outcome

This section presents the Agency's overall intervention on the basis of its program activity architecture (PAA).

The PAA is the basic structure which enables the Agency to allocate its resources to its different programs and activities, then to manage them in order to obtain the targeted outcomes.

To be in a position to meet the current and future challenges of Quebec's regions, the Agency has set up a PAA, whereby it will be able to fulfil its object and mandate on the basis of its strategic outcomes. The Agency intervenes with respect to three strategic outcomes:

• Vitality of communities
• Competitiveness of small- and medium-sized enterprises (SMEs) and regions
• Policy, representation and cooperation.

The guideline described in subsection Organizational context (see 2.1.3) could mean that, in some cases, depending on NPOs' ad hoc projects that will be supported or those which may eventually be funded when monies are freed up, results could be harder to attain, while other projects may benefit.

3.1 Strategic outcome #1: Vitality of communities

A community's vitality depends on its ability to develop, grow and thrive by building on its own assets. It is associated with improving Canadians' quality of life. It enables Quebec communities to be dynamic so as to enjoy better socio-economic prospects and maintain and develop their economic activity base.

Three program activities support this strategic outcome:

• Development of communities: developing a community with regard to its capabilities in terms of socio-economic adjustment, support for emergence of new entrepreneurs and creation of small enterprises, attraction of tourists and retention of skilled individuals.
• Infrastructure: renewing and building quality public infrastructure in Quebec's rural and urban communities.
• Special intervention measures: supporting communities facing major economic shocks.

3.1.1 Program activity: Development of communities

This program activity enables Quebec's regions and communities to maintain and develop their economic activity base. The Agency pursues three objectives under this program activity in order to achieve tangible, measurable results:

• Community mobilization (social capital): fostering community capacity-building to ensure communities are better equipped to take charge of their own development.
• Development of the local milieu: encouraging entrepreneurship and increasing the number of sustainable enterprises created.
• Attractive milieus: increasing communities' drawing power to help them attract and retain tourists and skilled work force.

Grant and Contribution Programs

Note:
1 Since operating expenditures originate from several sources, they are not broken down by programs.

3.1.2 Program activity: Infrastructure

Improving the quality of life in cities and communities is one of the Government of Canada's main priorities. In conjunction with the provinces, territories and municipalities, as well as First Nations and the private sector, the Government of Canada has implemented different joint infrastructure programs. The Department of Transport, Infrastructure and Communities has Canada-wide responsibility for these programs.

During 2008-2009, the Agency will continue to manage and administer the Canada-Quebec Agreement with respect to the Infrastructure Canada Program (ICP) and the Municipal Rural Infrastructure Fund (MRIF), whose envelopes are $515.5 million and $234.8 million, respectively. These two programs are managed in partnership with the Government of Quebec.

Added to these two programs is the management of the Canada Strategic Infrastructure Fund (CSIF), a program that provides funding for projects with minimum eligible costs of $75 million. In that regard, the Agency is responsible for managing all aspects of the project agreement for the Development of Versant Soleil and Versant Nord at Mont Tremblant Resort, for which the federal contribution is $47.5 million. Two other projects will be added during the fiscal year, namely, the Remedial action plan for the St. Charles River and revitalization of the waterfront in Québec, for which the federal contribution is $36.5 million, and the Upgrade of City of Montréal potable water production plants at Atwater and Charles-J.-Des Baillets, for which the federal contribution is $58.5 million.

Furthermore, in its 2007 budget, the Government of Canada unveiled its Building Canada infrastructure plan, with $33 billion in funding to build a stronger, safer and better Canada. In that perspective, the new Building Canada Fund includes Canada-wide investments worth $8.8 billion over seven years in such infrastructure categories as the national highway network, public transit, cleaner water and wastewater treatment infrastructure. This investment will help support major strategic projects as well as smaller-scale municipal projects. During 2008-2009, the Agency's role under this program will be clarified to have a better idea of its level of intervention with respect to this new program that represents a priority for the Government of Canada.

The Infrastructure program activity has three objectives:

• Water quality: fostering the availability of drinking water and better wastewater management systems.
• Highways and public transit: facilitating the safe, efficient movement of individuals and goods, and combating congestion and reducing pollution.
• Assets with urban or regional economic impact: fostering the development of tourism infrastructure and communities' cultural and recreational facilities.

Grant and Contribution Programs

Note: The number of FTEs and planned operating expenditures concern management of the MRIF as well as CSIF projects. The Agency acts as the agent for the Department of Transport, Infrastructure and Communities, which is responsible for the program.

3.1.3 Program activity: Special intervention measures

The Agency does not have funds dedicated to this program activity. This activity would enable the Agency to come to the assistance of communities or regions facing significant economic shocks, such as the closing of plants in an industrial sector, or natural disasters (flooding in the Saguenay, ice storm in Montréal and the Montérégie).

3.2 Strategic outcome #2: Competitiveness of small- and medium-sized enterprises (SMEs) and regions

This second strategic outcome reinforces conditions conducive to the sustainable growth of regions and SMEs. The Agency pursues three objectives with respect to this strategic outcome in order to achieve tangible, measurable results:

• helping enterprises improve their performance, become more competitive and engage in more innovation to facilitate their sustainable development
• supporting the transfer of technology and research outputs to enterprises
• creating the right conditions to attract foreign investment and international organizations.

Two program activities support this strategic outcome:

• Competitiveness of enterprises (SMEs): fostering the competitiveness of SMEs by increasing their capacity to innovate, adopt leading-edge technologies and develop markets.
• Competitive positioning of regions: fostering regions' competitive positioning by developing and consolidating recognized competitiveness poles in Quebec and Canada and attracting foreign investment and international organizations.

3.2.1 Program activity: Competitiveness of enterprises (SMEs)

This program activity enables enterprises to be high-performance and competitive by increasing productivity, earned income and the number of jobs in the regions. This helps generate conditions conducive to sustainable growth. Two objectives support this program activity:

• Development of the skills of potentially innovative or highly innovative enterprises (SMEs): fostering an increase in strategic skills with respect to management, innovation, adoption of advanced technology, market development and integration with globalized production chains; fostering support for organizations dedicated to improving SMEs' strategic skills; and facilitating the structuring of clusters in order to enhance SMEs' performance and facilitate their adjustment.
• Development of strategic enterprises: supporting the establishment and initial expansion phases of enterprises in economic activities deemed strategic for a region's development.

Definitions

Grant and Contribution Programs

Note:
1 Since operating expenditures originate from several sources, they are not broken down by programs.

3.2.2 Program activity: Competitive positioning of regions

Concerning this program activity, the Agency intends to improve the regions' international competitiveness by enhancing their knowledge and competitive advantages on the international stage. It has two objectives:

• Competitiveness poles: developing and consolidating regional competitiveness poles and national- and international-calibre poles of excellence. To achieve this, the Agency intends to foster innovation and networking of knowledge players, sustain development of a critical mass of knowledge and support technology enhancement and transfer.
• International promotion: enhancing the international competitiveness of Quebec regions. To that end, the Agency plans to favour the integrated promotion of locational factors, attraction of foreign direct investment and reinvestment by foreign enterprises already established in Quebec.

Grant and Contribution Programs

Note:
1 Since operating expenditures originate from several sources, they are not broken down by programs.

3.3 Strategic outcome #3: Policy, representation and cooperation

The Agency's efforts in policy development, representation and cooperation will enable Quebec's regions and communities to benefit from federal policies, programs and initiatives that reinforce the economic development of Quebec's regions by reflecting government priorities and the realities of Quebec's regions and reinforcing the added value of federal action regarding regional development.

A single program activity supports this strategic outcome:

• Policies, programs and initiatives: strengthening the Agency's ability to develop or help formulate policies, programs and initiatives to meet more effectively the needs of Quebec's regions and reinforce the timeliness of federal regional development activities in Quebec.

3.3.1 Program activity: Policies, programs and initiatives

This program activity enables Quebec's regions and communities to benefit from adapted, coherent and effective federal action that generates socio-economic spinoffs, notably by producing and disseminating regional economic development knowledge that is helpful for development stakeholders and by grasping business and development opportunities.

Three objectives underpin this program activity:

• Research and strategic analysis: reinforcing research and analysis capabilities which enable organizations and development stakeholders to have helpful knowledge available to them concerning new trends, issues and challenges in development. The Regional Development Research program supports this objective.
• Representation and influence: representing the Agency proactively on regional development issues so that the realities of Quebec's regions are taken into account in the government decision-making process, and influencing other federal institutions so that their policies, programs and initiatives have positive economic spinoffs in Quebec.
• Cooperation and collaboration: exploring cooperative action with non-federal government organizations and development stakeholders and developing collaborative action with federal government bodies.

Grant and Contribution Programs

Note: The number of FTEs and planned operating expenditures include, in addition to management of grant and contribution projects, activities involving consultation, guidance, and transfer and sharing of knowledge generated by research, representation and influence activities, and cooperative and collaborative activities.

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