Governance Benchmark: A reference document to assess the cost of proposals

Preface

In the past number of years, the government has reduced departmental spending to help pave the way to balancing its budget. All departments have been and continue to be asked to review their funding approach and increase accountability. In 2002, Treasury Board Secretariat introduced performance reporting, and committed the government to excel in four areas, including results, values, responsible spending and accountability. This benchmarkingFootnote 1 exercise deals with the areas of responsible spending and accountability.

Today's fiscal reality is such that, as a department, we not only need to make strategic investments but we need a decision-making framework which can assist and inform departmental program managers when negotiating and reviewing funding agreements. The department needs the necessary management tools to improve responsible spending, and continue to exercise due diligence when making resourcing decisions.

Over the years, it has been noted that in many cases, there is a lack of comparability in the amount of funding provided to organizations for certain activities. For example, one organization could be provided with 23% of the total amount of its funding agreement in administrative / overhead costs, while another one could have been provided with 7%. One of the ways to assist in addressing these inconsistencies is to develop a benchmark to help program managers in their negotiations and evaluations of funding proposals. The benchmark would be reflective of the local labour market and serve to ultimately reveal any funding inconsistencies.

Benchmarking "is a management tool that can help organizations improve the efficiency and effectiveness of their procedures and processes"Footnote 2. It is also a tool that is highly promoted by the Treasury Board Secretariat. Benchmarking is a demonstration of continuous learning and can provide meaningful performance information. For instance, all levels of government need reliable ways of assessing the relative performance of its programs in order to be able to set overall priorities and strategies. Benchmarking can assist program managers improve the quality of their performance information. Such improvements can, in turn, help the organization better meet external and internal accountability requirements. From that perspective, benchmarking is seen as a key strategic planning practice as well as a tool that can assist in fostering efficiency in the use of resources.

For many years, benchmarking has been used by private industry as an improvement tool. The public sector, however, has been slower to do so. Nevertheless, interest is mounting in the benefits of benchmarking and more and more, government departments are embracing benchmarking exercises. Treasury Board, in collaboration with organizations such as the Society of Management Accountants of Canada and the Australian Department of Finance and Administration has produced a guide to assist government departments to develop benchmarking exercises.

Initiated in the Fall 2004, the Governance Branch of Lands and Trusts Services (LTS) undertook to review its management process in respect of funding agreements. It reviewed all of the funding agreement processes within the Governance Branch and those of some of the other LTS Branches for the fiscal year of 2004/2005. In total, 20 funding agreements were reviewed. This review exercise was undertaken in collaboration and consultation with departmental representatives, as well as other government departments, namely Public Works and Government Services Canada (PWGSC), as well as private industry. For instance, contacts were made with a graphic firm, specializing in web site development, as well as an Accounting firm to determine costs associated with the preparation of audits.

The benchmark is intended for LTS program managers as a reference guide / tool to better inform the management of their funding agreements; support their discussions, negotiations with national and regional Aboriginal organizations; and assist them in evaluating funding proposals and making recommendation on appropriate levels of resourcing. It is also intended to provide LTS senior management with a better basis upon which to make funding decisions and address the lack of comparability in the funding-level for certain activities.

The Governance Branch continually seek to improve this tool by adding new information and periodically update the costing of the activities. Your suggestions for improvement will continue to play an important part in ensuring that the benchmark meets your needs.

Any queries, clarifications or feedback concerning the benchmark should be directed to:

Partnership, Coordination and Legislation
Governance Branch
Lands and Trust Services
10 Wellington St., 9th floor
Ottawa, ON
K1A 0H4

Table of contents

Governance Benchmark

Travel
Activities Proposed Benchmark Rationale
FlightFootnote 3

NIL – project based

Depending on a number of factors (i.e. time of the year, number of travellers, length of the trip, etc.) flight costs will vary. For example, an economy ticket from Vancouver to Ottawa could range from $570 to $1,043 per person; from Halifax to Ottawa could range from $520 to $857 per person and from Edmonton to Ottawa could range from $537 to $980 per person. As such, it is virtually impossible to establish a benchmark level.

It should also be noted that when preparing a comprehensive funding arrangement (CFA), consideration should be made to include, as part of the Terms and Conditions of the CFA for the recipient to follow the Treasury Board Secretariat Travel guidelines.

More information on Treasury Board's Travel Directive

Accommodation

Hotel Accommodation:
2008 Accommodation and Car Rental Directory

Private Accommodation:
Treasury Board Travel Directive, Appendix C

According to Treasury Board Travel Directives, the standard for accommodation is a single room, in a safe environment, conveniently located and comfortably equipped. Generally these include hotels, motels, corporate residences, apartments, private non-commercial accommodation, and government and institutional accommodation.

With respect to private accommodation, it is recommended that a traveler who chooses private non-commercial accommodation be reimbursed at the rate specified in Appendix C (Allowances, Modules 1, 2 and 3) - of Treasury Board Travel Directive

It should also be noted that when preparing a comprehensive funding arrangement (CFA), consideration should be made to include, as part of the Terms and Conditions of the CFA for the recipient to follow the Treasury Board Secretariat Travel guidelines.

Meals & Allowances

Based on the Treasury Board Travel Directive

Information on meals and allowances contained in the Treasury Board Travel Directive is to ensure fair treatment of employees required to travel on business. The proposed costs provide for the reimbursement of reasonable expenses necessarily incurred while traveling on business and to ensure employees are not out-of-pocket.

For all information related to the Treasury Board Travel Directive, see Appendix C.

For meals and allowances costs-related information for international travel, see Appendix D (Allowances - Module 4 - International Travel) – of the Treasury Board Travel Directive.

The Directive related to meals and allowances is updated twice a year – on April 1st and October 1st.

It should also be noted that when preparing a comprehensive funding arrangement (CFA), consideration should be made to include, as part of the Terms and Conditions of the CFA for the recipient to follow the Treasury Board Secretariat Travel guidelines.

Business expenses

Based on the Treasury Board Travel Directive

Any other related business expenses while on travel status should be reimbursed based on Treasury Board Travel Directive. For example, an employee could be reimbursed for such business expenses as, photocopies, word processing service, faxes, internet connections, rental and transportation of necessary office equipment and transportation of required personal effects. It should, however, complete and submit travel expense claims with necessary supporting documents.

In addition, employees whose schedules have been altered for reasons outside their control should be reimbursed reasonable telephone costs to attend to situations related to the employee's altered schedule.

Transportation

Private mode of transportation:
Treasury Board Travel Directive

Car Rental:
2008 Accommodation and Car Rental Directory

While on travel status, the use of a privately owned vehicle should be reimbursed based on the Treasury Board Travel Directive and the selection of the mode of transportation should be based on cost, duration, convenience, safety and practicality. Expenses associated with the selected mode of transportation such as ferries, tolls, docking fees, should be reimbursed, based on the necessary supporting documents.

For all information on rates payable in cents per kilometer for the use of privately owned vehicles, see Appendix B (Kilometric Rates) of the Treasury Board Travel Directive.

Noteworthy, there are no resources available to determine market costs information related to car rental, the 2008 Accommodation and Car Rental Directory should serve as the basis to determine market costs information.

The kilometric rates are published/updated four times a year – on January 1st, April 1st, July 1st and October 1st.

Insurance coverage
(employees on government travel business)

Based on the Treasury Board Travel Directive

Insurance coverage varies based upon an employee's profile and specific travel requirements.

The insurance guide is updated periodically.

Salaries & wages
Rates of Pay Based on the Public Service of CanadaFootnote 4
Activities Proposed Benchmark Rationale
Researcher

$51,718 to $61,047 / yearFootnote 5

A researcher's salary should be equivalent to a PM-03 / PM-04. Consequently, according to the rates of pay in the public service, the salary ranges from $51,718 to $61,047.

Documentalist

$51,718 to $61,047 / yearFootnote 5

While unclear as to the role and responsibility of a documentalist, our finding show that it should be equivalent to a researcher. Consequently its salary should be considered a PM-03 / PM-04, and according to the rates of pay of the public service, the salary ranges from $51,718 to $61,047.

Administrative Support

$40,101 to $55,724 / yearFootnote 5

An administrative support staff's salary should be equivalent to a CR-04 to AS-03, depending on the role and responsibility of the employee. Consequently, according to the rates of pay of the public service, the salary of an administrative support staff ranges from $40,101 to $55,724.

Project Coordinator

$48,252 to $55,724 / yearFootnote 5

A project coordinator should be equivalent to a PM-02 / PM-03. Consequently, according to the rates of pay of the public service, the salary ranges of a project coordinator ranges from $48,252 to $55,724.

Program Manager

$56,496 to $90,420 / yearFootnote 5

A project manager should be equivalent to a PM-04 to PM-06. Consequently, according to the rates of pay of the public service, the salary ranges of a project coordinator ranges from $56,496 to $90,420.

Web Master / Programmer

Web Master: $45,711 to $62,471 / yearFootnote 5

Programmer: $45,109 to $66,300 / yearFootnote 5

In discussing with DIAND INET Services a web master is equivalent to a SI (Economics and Social Science Services), namely to a SI-02 / SI-04. According to the rates of pay of the public service, the salary ranges from $45,711 to $62,471.

A programmer on the other hand, is equivalent to the Computer System Group, namely to a CS-01 / CS-02. Consequently, according to the rates of pay of the public service, the salary ranges from $45,109 to $66,300.

It should be noted, however, that these costs are usually included in the web development costs proposal.

System Engineer

$45,109 to $66,300 / yearFootnote 5

A System Engineer should be equivalent to the Computer System Group, namely to a CS-01 / CS-02. Consequently, according to the rates of pay of the public service, the salary ranges from $45,109 to $66,300.

Executive positions

$89,000 to $135,500 / yearFootnote 5

Executive positions should be equivalent to a Director and / or Director General (Executive Director). The classification of these positions ranges between EX-01 and EX-03. According to the rates of pay in the public service, its salary ranges from $89,000 to $135,500. It should also be noted according to Treasury Board policies, EXs are excluded from any overtime payment.

Middle Management positions

$67,446 to $102,379 / yearFootnote 5

Depending on the roles and responsibilities, middle management positions should be equivalent to a PM-05 / PM-06 and / or to an ES-06 / ES-07. According to the rates of pay of the public service, the salary ranges of a middle management position ranges from $67,446 to $102,379.

Legal Services

Legal support: $43,826 to $47,447 / yearFootnote 5

Lawyer: $54,580 to $119,975 / yearFootnote 5

The provisions of legal services vary on the need of an organization. Accordingly, the costs of being provided with legal services is difficult to predict. "The Law Society of Canada has no authority to control what lawyers charge and there is no fee schedule for legal services, other than setting maximum percentage for contingency fees."

However, based on departmental MOUs with the Department of Justice, funds provided for legal services, may include fees too support a legal administrative assistant as well as lawyers. A legal support is normally equivalent to a CR-05. According to the rates of pay of the public service, the salary ranges of a legal support should range from $43,826 to $47,447.

A lawyer's salary on the other hand, should range from a LA-1 to a LA-2B, depending on the services required by an organization. According to the rates of pay of the public service, the salary range of a lawyer ranges from $54,580 to $119,975.

Note taker / Transcriber

Stenographer: $30,539 to $37,346 / yearFootnote 5

Typist: $31,706 to $34,848 / yearFootnote 5

Secretary: $29,695 to $46,040 / yearFootnote 5

A note taker / transcriber position should be equivalent to a stenographer (ST-SNT), a typist (ST-TYP), or a secretary (ST-SCY).

According to the rates of pay of the public service, the salary ranges of the positions range from $30,539 to $46,040.

Benefits
Activities Proposed Benchmark Rationale
Benefits

20.45%

For comparability with Federal / Provincial / Private Sector, 20.45% benefits should be provided. The 20.45% includes: 4.95% - Canada / Quebec pension plan; 5.5% - private pension plan; and 2% - non-statutory plans; and 8% for Worker's Compensation Employment Insurance Vacation Pay. This is consistent with the BEB Program.

Pay increment

Approximately 3.5% to 4.0% annually

With the information taken from the pay rates posted on the Treasury Board Secretariat web site, yearly pay increment for employees of the public service may vary from on group to another – e.g. PM's usually obtain a 3.0% pay increment, while ES' may obtain a 3.4% increment. As such, when issues of yearly pay increment are raised during discussion / negotiations, it is essential that they be dealt on an individual basis.

The issue of pay increment should only be considered by the department when a long-term and ongoing funding relationship / partnership exist with a recipient, and where the funding is based on a three to five year business plan.

Rates of Pay Based on HRSDC Local Labour Market Costs
Activities Proposed Benchmark Rationale
Management occupations

The national average wage is $58,617 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

The Management occupation is a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. senior government managers and officials, financial managers, etc.]. For more information see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Business, finance and administrative occupations

The national average wage is $35,393 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Business, finance and administrative occupations are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. financial auditors and accountant, property administrators, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Technical services

Salaries and wages for technical occupations are found within each of the other occupations.

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Technical services includes planning, designing, managing, operating and maintaining community facilities and infrastructures; developing plans; applying policies, standards, codes and regulations, for technical services; capacity building with professional associations and governments; coordinating, training and development programs, staff selection and recruitment; and providing risk management, engineering services, special programs and inspection services. Salaries and wages for technical occupations are found within each of the other occupations.

Natural and applied sciences and related occupations.

The national average wage is $52,494 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Natural and applied sciences and related occupations is a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. physicists and astronomers, computer engineer, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Health Occupations

The national average wage is $43,505 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Health occupations are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. specialist physicians, occupational therapists, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Occupations in social science, education and religion

The national average wage is $47,970 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Occupations in social science, education, government service and religion are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. judges, educational counsellors, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Occupations in art, culture, recreation and sport

The national average wage is $39,254 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Occupations in art, culture, recreation and sport are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. librarians, broadcast technicians]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Sales and service occupations

The national average wage is $25,019 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Sales and service occupations are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. retail trade supervisors, pursers and flight attendants, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Trades, transport and equipment operators and related occupations

The national average wage is $37,245 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Trades, transport and equipment operators and related occupations are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. contractors and supervisors – carpentry trades, plumbers]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Occupations unique to primary industry

The national average wage is $30,284 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of Categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Occupations unique to primary industry are a broad occupational group used by Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. supervisors – minors and quarrying, farm supervisors and specialized livestock workers]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Occupations unique to processing, manufacturing and utilities

The national average wage is $32,994 per yearFootnote 6

HRSDC Labour Market Information is also another reliable source for local market costs related to salaries & wages across Canada. It provides information on wages paid to workers in a variety of categories and assists communities, organizations and other service providers to understand local market costs in their local area.

Occupations unique to processing, manufacturing and utilities are a broad occupational group used Human Resources and Social Development Canada under which a variety of occupations are listed [e.g. supervisors – mineral and metal processing, pulp mill machine operators, etc.]. For more information, see the following web sites: Human Resources and Social Development Canada - and Labour Market Information.

Other Salaries and Wages
Activities Proposed Benchmark Rationale
Chairperson remuneration

Full-time basis: $89,000 to $135,500 per year - equivalent to an EX in the public service.

Part-time basis: Annual Retainer Fee: $5,100 to $20,500 per year.

Per Diem Fee - to attend a board meeting (inclusive of travel fees): from $300 to $1,300 per day.

A Chairperson provides strategic leadership and guidance to an organization, a Board and participates in decision-making processes. Generally, its roles and responsibilities are to develop and promote the vision of the organization; to ensure that appropriate financial and management objectives are established and that systems are in place to protect assets and maintain effective control of operations.

The Chairperson is regularly required to present at conferences. The incumbent is required to assimilate, interpret and make decisions on large volumes of complex and conflicting information across a broad range of disciplines and bodies. It is the "deputy head" of its organization.

Consequently, as a full time job, the salary-level of a Chairperson should be comparable to an EX-01- EX-03, and according to the pay of EXs in the public service, its salary ranges from $89,000 to $135,500. It should also be noted that according to Treasury Board policies, EXs are excluded from any overtime payment.

However, on a part-time basis, the annual retaining fees should be comparable to the remuneration guidelines for part-time Governor-in-Council appointees in Crown CorporationsFootnote 7 which suggest that a Chairperson annual fees should range from $5,100 to $20,500 per year, and with a per diem fees for attending board meetings, ranging from $300 and $800. Considerations could also be made with the private sector which suggests that yearly fees should be approximately $19,000 / year, with a per diem fee of $1,300 / day for attending each board meetingFootnote 8.

Board of Directors and Commissioners Remuneration

Part-time basis: Annual Retaining Fee: $2,600 to $19,000 per year.

Per Diem Fee - to attend a board meeting (inclusive of travel fees): $200 to $550 per day.

According the Auditor General of Canada report on Governance of Crown Corporations, as well as the remuneration guidelines for part-time Governor-in-Council Appointees in Crown CorporationsFootnote 9, the annual retaining fees for Board of Directors ranges from $2,600 to $10,300 per year, and the per diem fee for attending board meetings, ranges is between $200 and $550.

Considerations could also be made with the private sectors which suggest that yearly fees should be approximately $19,000 / year, with a per diem fee of $1,300 for attending each board meetingFootnote 8.

Certified General Accountants The average annual salaries for the positions listed in the survey vary from $54,924 / year to $143,133 / year.
  • Assistant accountant: $54,924 / year
  • Accountant: $58,673 / year
  • Analyst: $65,789 / year
  • Supervisor: $67,242 / year
  • Auditor: $69,910 / year
  • Professor/Instructor/Lecturer: $80,415 / year
  • Manager: $80,699 / year
  • Controller: $82,060 / year
  • Sole proprietor: $84,456 / year
  • Treasurer: $89,155 / year
  • Consultant: $93,438 / year
  • Principal: $116,914 / year
  • Vice-President/Director: $124,466 / year
  • Partner: $130,849 / year
  • Chief Financial Officer: $134,783 / year
  • President/Chief Executive Officer: $143,133 / year

References taken from the 2005 salary survey Certified General Accountants of OntarioFootnote 10.

The survey took account of a number of sectors/fields of activities, such as:

  • Primary industry;
  • Transportation/communication;
  • Commerce [i.e. wholesale/retail trade, banking, insurance, etc.];
  • Government [i.e. federal, provincial, municipal and crown corporation];
  • Education; and
  • Not-for-profit organizations.
Professional Services / Consulting Fees
Activities Proposed Benchmark Rationale
Consultants

National Capital Region (NCR):

The NCR average business consulting feesFootnote 11 are:

  • Principal Consultant: $1,391 per day
  • Senior Consultant: $1,104 per day
  • Consultant: $808 per day
  • Associate: $636 per day

Regional Offices:
The Regional average business consulting fees are $500 to $1,000 per day.

According to DIAND's contracting services (NCR), the department pays between $636 and $1,391 per day for business consultant fees, which include activities, such as policy development, consultations, etc.

Based on information provided by some Regional offices, regions pay between $500 and $1,000 per day for business consultant fees. It should be noted, however, that the consultants fees can be more expensive if they are for specific activities, such as legal research or any financial related work.

Facilitators / Public speaker

National Capital Region (NCR):
The NCR average fees are $850 to $1,000 per day.

Regional Offices:
The Regional average fees are $500 to $1,000 per day.

According to DIAND's contracting services, the department pays between $850 and $1,000 per day for a facilitator.

Based on information provided by some Regional offices, regions pay between $500 and $1,000 per day for a facilitator.

Event / Planning Manager

The average fees to plan and/or organize a meeting are between $96 per day to $1,320 per dayFootnote 12.

  • Senior Event Manager: $320 to $1,320 per day
  • Event Manager: $240 to $1,040 per day
  • Financial Manager: $275 to $1,000 per day
  • Event Coordinator: $200 to $640 per day
  • Event Assistant: $96 to $440 per day

The average fees are based on the 11 Standing Offers posted on the Public Works and Government Services Canada. The department pays between $96 and $1,320 per day for an event management service.

Head Hunter

NIL – project based

Based on the information provided from a Human Resources firm from Toronto, it is difficult to propose a benchmark level for this kind of activity. The cost associated with this activity vary based on such variables as: the field required, the proposed level of the position, the required level of experience of the candidate, the proposed wage, the location of the position, the requirements of the position, the required qualifications of the position, etc.

Administrative and Operational costs
Activities Proposed Benchmark Rationale
Administration / Overhead fees

Between 10-15%

The department has no policy or clear definition of what constitute administrative / overhead fees. As a general rule, however, administrative / overhead fees include all administrative expenses associated with the project activity. As a general guideline, INAC-Finance, suggests that it should be inclusive of the following activities:

  • Rental of office equipment, maintenance and repairs;
  • Telecommunications expenses;
  • Supplies;
  • Printing;
  • Photocopying;
  • Room rental;
  • Equipment rental;
  • Internet services;
  • Insurance;**
  • Bank Charges;**
  • Property Taxes;**
  • Energy costs;**
  • Postage / courier services;
  • Translation fees;
  • Interpretation fees; and
  • Subscriptions / publication fees, etc.

**It is important to note that in order for these activities to be allowable expenditures, they should be noted as eligible expenditures within departmental program authorities.

Temporary Help

NIL – should be included in the 10-15 % administrative / overhead costsFootnote 13.

Costs associated with temporary help are considered to be administrative expenses associated with the project. They should therefore be included in the 10-15 % administration / overhead costs.

As a reference, however, most positions filled by temporary help are administrative in nature and an administrative support staff's salary is equivalent to a CR-4 to AS-1. According to the rates of pay of the public service, the salary of an administrative support staff ranges from $40,101 to $48,430.

Staff Professional Development

2% of employees gross income

According to INAC - HR, there is no longer any specific policy guiding the allowable / acceptable level of expenditures to support staff professional training development. A few years ago, however, a Treasury Board Secretariat policy on staff professional training development stated that 2% of the employee's gross income should be directed to support this activity.

In the absence of such policy, many departmental managers / directors continue to use the 2% benchmark. The private sector, on the other hand, supports staff professional development training on an ad hoc basis. However, for the purpose of this benchmarking exercise, 2% should be use to guide the review of proposals.

Financial and Payroll Services

$43,302 to $55,724 / year (for one person)

According to INAC-Finance, these costs should be equivalent to Professional fees (see above - suggested costs of professional fees).

However, if an organization has a requirement to provide such services on an annual basis, it is suggested that the costs be consistent with governmental services. On an average, department have one to two administration staff in the AS-01 to AS-03 category to provide for such services.

Consequently, according to the rates of pay of the public service, the salary of an administrative support staff ranges from $43,302 to $55,724.

Office Rental

Atlantic RegionFootnote 14

  • Junior Officer $1,647.39
  • Middle Manager $3,116.68
  • Director $4,118.47
  • Director General $5,120.26
  • ADM equivalent $6,233.36

Quebec Region

  • Junior Officer $1,202.57
  • Middle Manager $2,275.14
  • Director $3,006.44
  • Director General $3,737.73
  • ADM equivalent $4,550.28

National Capital Region

  • Junior Officer $1,744.48
  • Middle Manager $3,300.36
  • Director $4,361.19
  • Director General $5,422.02
  • ADM equivalent $6,600.72

Ontario Region

  • Junior Officer $1,893.96
  • Middle Manager $3,583.16
  • Director $4,734.89
  • Director General $5,886.62
  • ADM equivalent $7,166.32

Western Region

  • Junior Officer $1,515.45
  • Middle Manager $2,867.06
  • Director $3,788.62
  • Director General $4,710.17
  • ADM equivalent $5,734.12

Pacific Region*

  • Junior Officer $2,128.76
  • Middle Manager $4,027.38
  • Director $5,321.90
  • Director General $6,616.41
  • ADM equivalent $8,054.76

*Pacific region includes N.W.T. and Yukon.

According to PWGSCFootnote 15, the costs of renting an office space / premise in urban centres across the country ranges from approximately $163.05 a square metre to $285.64 a square metre. The breakdown is as follows:

  • Atlantic - $222.62 a square metre
  • Quebec - $162.51 a square metre
  • NCR - $235.74 a square metre
  • Ontario - $255.94 a square metre
  • Western - $204.79 a square metre
  • Pacific - $287.67 a square metre

In addition, based on information taken from the PWGSC's Technical Reference Manual - December 2004, depending on its level, a governmental employee would be entitled to a space of:

  • 7.4 square metre - Junior Officer
  • 14 square metre - Middle Manager
  • 18.5 square metre - Director
  • 23 square metre - Director General
  • 28 square metre - ADM
Energy costs [e.g. electricity, natural gas]

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, energy costs should be included in the 10 to 15% of administrative / overhead costs.

Supplies

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with the purchase of supplies should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that the costs of office supplies will vary from one organization to another, depending on the number of employee. For information, an organization of five people will spend an average of $5,451 / year while an organization of 30 to 40 people will spend an average of $16,000 / year.

Accounting and audit services

1% or $2,000, plus 0.5% of the total funds provided per yearFootnote 16.

The department has no policy on how much funding should be included in a contribution agreement for accounting and audit services. It is therefore suggested that the service fees be based on the formula developed in the Tribal Council Funding Analysis (May 27, 2004). The analysis notes that audit fees should represent 1% of the total funds provided in a contribution agreement, or $2,000, plus 0.5%.

As a reference, some information on the costs of preparing an audit was sought from a private accounting firm in the NCRFootnote 17. The information revealed that depending on the size and the annual revenues / expenses of an organization, audit reports / fees will vary significantly.

In the case of an organization with significant revenues and expenditures, the preparation of the audit will be more complex, costly, and in most cases, will be performed by a senior accountant whose hourly fees may be up to $200/hour. For organizations with smaller revenues and expenditures, the audit will likely be performed by a junior accountant, whose hourly fees may range from $100 to $150/hour.

It should also be noted that in the case of a Crown Corporation, the private firm advised that the AG's office will play a role in the review of the audits before being submitted to a private firm to finalize. In this case, the AG's office will charge the Crown Corporate certain fees. To determine these costs, however, more research is required.

Printing Services

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, printing services costs should be included in the 10 to 15% of administrative / overhead costs.

As a reference, however, you should note that printing costs will vary from one organization to another, depending on its business needs. However, if we consider the printing requirements of an organization of 30 to 40 people, up to $15,000 may be spent each year. This would give an average of $375 to $500 / per year, per employee.

Photocopying

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with the renting of a photocopier and its photocopying needs, should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that the costs of renting a photocopier and the photocopying needs of an organization will vary depending on its business needs. However, according to DIAND's Material Management group, the rental fee of an average size photocopier is approx. $3,896 / year, and an organization of 30 to 40 people will spend approximately $10,000 / year.

Postal and courier services, including shipment costs

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with the postage / courier services, should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that the yearly costs of postage and courier fees of an organization will vary depending on its business needs. But if we consider that DIAND-HQ spends between $240,000 to $396,000 / year in postage / courier services for an organization of more than 3,500 employees, we can assume that it spends an average of $69.00 to 114.00 / year, per employee.

Insurance (i.e. buildings and houses)Footnote 18

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with insurance should be included in the 10-15% administrative / overhead costs. It is important to note that in order for these activities to be allowable expenditures, they should be noted as eligible expenditures within departmental program authorities.

As a reference, it should be noted that based on information provided by Insurance Canada, the cost of insuring a building and/or a house will vary considerably depending on a number of factor. These factors include the location, the type of construction, the value of the building, the occupancy, the heating system and the distance between the building and/or the fire station and/or fire hydrant, etc. As such, it is virtually impossible to propose a benchmark level.

Property taxesFootnote 18

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with property taxes should be included in the 10-15% administrative / overhead costs. However, it is important to note that in order for these activities to be allowable expenditures, they should be noted as eligible expenditures within departmental program authorities.

Contingency

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, these costs should be included in the 10-15% Administration / Overhead costs and not as a separate activity.

Visa interests / fees NIL

According the INAC-Finance, the department should not pay for these kinds of fees.

In addition, these costs are not acceptable expenditures, as noted under the transfer payment program authority.

Line-of-credit charges / interests NIL

According the INAC-Finance, the department should not pay for these kinds of fees. In addition, these costs are not acceptable expenditures, as noted under the transfer payment program authority.

Bank chargesFootnote 18

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with property taxes should be included in the 10-15% administrative / overhead costs. However, it is important to note that in order for these activities to be allowable expenditures, they should be noted as eligible expenditures within departmental program authorities.

Translation

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with translation services should be included in the 10-15% administrative / overhead costs.

As a reference, however, PWGSC's Translation services charges $79.00 / hour for translating documents. Private companies on the other hand, may charge between $0.21 to $0.30 / words depending on the urgency of the request, as well as the number of words within a document. They may also charge between $55 to $65 / hour if the number of word is less than 200 words. In addition, the translation need of an organization on a yearly basis is likely to vary.

Interpretation services

NIL – should be included in the 10-15 % administrative / overhead costsFootnote 13.

According to INAC- Finance, costs associated with interpretation services, should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that to rent interpretation equipment (microphones, head sets, etc.) and the services of technicians – usually 2 (to set up for interpretation services), an audiovisual company charges between $1,500 and $1,800 / day.

Training

NIL – project based

Resources to carry out this activity can only be determined on a case-by-case basis.

Subscriptions

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, these costs should be included in the 10-15% administration / overhead costs.

Periodicals

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, these costs should be included in the 10-15% administration / overhead costs.

Internet services

NIL – should be included in the 10-15 % administrative / overhead costsFootnote 13.

Based on the information from a number of independent Internet service providers, the cost for personal Internet services (basic Internet connection) vary from $4.95 / month to $29.99 / month.

With respect to the business Internet services, the cost may vary from $39.95 / month to $99.95 / month. The service speed, as well as a number of other Internet option, is responsible for the monthly price variation.

Tuition feesFootnote 19

$3,216 to $11,733 per year

In 2003-2004, the average undergraduate tuition fees for full-time students, by disciplines, were between $3,216 (education) and $11,733 (dentistry).

All information on tuition fees for full-time students is available, by province and/or discipline, on the Statistics Canada web site.

Minor machinery and equipment
Activities Proposed Benchmark Rationale
Office equipment purchasing

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, equipment purchase should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that for equipment purchase / rental, the government of Canada has to follow the Policy on the Acquisition of Information Technology (IT) Products, as well as the National Master Standing Offer (Treasury Board Secretariat), which provides standards and requirements for government departments to follow.

In 1998, the department undertook a study called "Total Cost of Ownership (TCO) Analysis@. It compared departmental costs with industry standards. It noted that INAC spends an average of $15,602 per employee, per year and that these costs are slightly above the industry standards of $15,153 per employee, per year. In this study, hardware, software, operational support, labour costs, maintenance and development costs were referenced.

Office and non-standards software

NIL – project based

Based on consultations with departmental officials providing funding for this kind of activity, there is no clear understanding on the kind of office and non-standard software bought, for what purpose, etc. It is therefore virtually impossible to determine a benchmark level.

Telecommunication services
Activities Proposed Benchmark Rationale
Telephones (telephone lines, long distances, fax, etc.)

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, telecommunications costs should be included in the 10-15% administration / overhead costs.

As a reference, however, you should note that telecommunications costs will vary depending on the number of employees, its business needs and many other factors. National phone companies offer base rates for long distance calls but also offers a variety of long distance plans depending on the needs of the customer. It is therefore impossible to establish a fixed cost for telephones. However, if we consider that DIAND's spends approx. $1,000,000 / year in telecommunications costs (i.e. telephone line, long distance calls and faxes); we can assume that it spends approx. $280.00 / year, per employee ($1M divided by 3,500).

1-800 telephone lines

NIL – project based

According to a national phone company, there are no costs associated with requesting a 1-800 number. A customer only pays for the number of calls received per day / month, etc. However, to operate a 1-800 telephone line, an organization may need to set up an office and hire people to operate the 1-800 number. In this case, set up costs, HR costs, as well as long distance charges will be required.

As a reference, however, in the case of the Call Centre which was operated from April 2001 to November 2003 during the FNG initiative, the department spent a total off $791,105.42. Of this amount, $44,098 was incurred to set-up (e-mails connections, shipping of material, purchase of telephones, additional telephone lines and other administrative costs associated with the set up), while the remaining $747,007 was spent for its operation (i.e. salaries of staff, office rent, supplies, telecommunications costs and other administrative expenses).

Teleconferences

NIL – should be included in the 10-15 % administrative / overhead costsFootnote 13.

According to INAC- Finance, costs associated with telecommunications activities, should be included in the 10-15% administrative / overhead costs.

As a reference, however, you should note that depending on the number of long distance and how the teleconference is set up, i.e. with the help of an operator or not, the cost of hosting a teleconference may vary.

Communications services
Activities Proposed Benchmark Rationale
Development of communications material

NIL – project based

In consultation with departmental officials managing this authority is intended to provide funding for the development of communications material. However, no specific examples of the type of expenditures for this activity were provided. It is our understanding that the proposed expenditures are very general, i.e. publications and conference display materials, brochures, pamphlets, booklets, posters, videos, photographs, advertising and conference display material). Consequently, under the publications conference display materials activity, costing information is available.

Design and formatting of reports

NIL – project based

In consultation with departmental officials managing this authority, there is no clear understanding on the kind of activities that are being funded to support the design and formatting of reports. It is therefore virtually impossible to determine a benchmark level.

PublicationsFootnote 20 and conference display materials (brochures, pamphlets and booklets)

NIL – project based

The costs associated with the development of a publication may vary depending on the intent of the work plan / project, on the products required, color, quantity, etc. Consequently, it is virtually impossible to propose a benchmark level.

As a reference, however, in November 2002, Communications Branch did a market costs study on communications products and has come up with the following:

Brochures:

  • Printing costs from $335 to $3,940
  • Design and pre-press costs from $1,800 to $9,500.

Variables: number of panels (3, 5 or 7), color and number of brochure required, etc.

8 2 X 11(booklets):

  • Printing costs from $380 to $18,225
  • Design and pre-press costs from $795 to $24,900.

Variables: number of pages, color of the publication (i.e. black and white versus lots of color) and number of publications required, etc.

5 2 X 8 2 (pamphlets):

  • Printing costs from $228 to $10,935
  • Design and pre-press costs from $650 to $22,300.

Variables: number of pages, color and number of publication required, etc.

Kit Folders:

  • Printing costs from $2,500 to $26,500
  • Design and pre-press costs from $1,500 to $5,500.

Variables: regular cut or specialty cut, color and number of kit folders required, etc.

Other display materials:

  • Generic Pop-up (includes: hardware and banner), $4,200.
  • Custom look Pop-up (includes: hardware and skin), $11,000.
  • Semi-custom with design (includes: hardware leasing and design) from $60,000 to $70,000.
  • Custom booth from $90,000 to $200,000.
PostersFootnote 20

NIL – project based

The costs associated with the development of posters may vary depending on the intent of the work plan / project, on the products required, color, quantity, etc.

As a reference, however, in November 2002, Communications Branch did a market costs study on communications products and has come up with the following:

  • Printing costs from $235 to $3,815 - variables: size, color and number of posters required.
  • Design and pre-press costs from $850 to $8,700.
VideosFootnote 20

NIL – project based

The costs associated with the production of video may vary depending on the intent of the work plan / project, on the video required, on the quality and length required, etc. The proposed benchmark should therefore only be used as a reference / guide.

As a reference, however, in November 2002, Communications Branch did a market costs study on communications products and has come up with the following:

Video production (including footage)

  • From $44,000 to $55,000 - variables: length of the video production.
Photographs

NIL – project based

There is no clear understanding on the kind of activities that are being funded for the photographs. It is therefore virtually impossible to determine a benchmark level.

AdvertisingFootnote 20

NIL – project based

The costs associated with advertising may vary depending where you want to advertise, the length of the ads, etc.

As a reference, however, in November 2002, Communications Branch did a market costs study on communications products and has come up with the following:

Stationary (i.e. letterhead, bookmark & announcement card)

  • Printing costs from $300 to $2,970 - variables: stationary requirement, color and number required
  • Design and pre-press costs from $450 to $2,695

Aboriginal media

  • Radio - 3 weeks, 3 times / day, $55,000.
  • Print - 1 hit, $58,000.
  • TV (APTN) - approx. 3 week, $50,000.

Mainstream media

  • Radio - National (200 grps per week) adults 18+, $410,000 / week.
  • Print - National (does not include magazines) 1 hit, $1,000,000.
  • TV - National (250 grps per week) $660,000 / week.

Internet banners

  • Approx. $10,700.

Exhibit Booths

  • Generic "pop-up" (includes: hardware and banner) - $4,200
  • Custom Look "pop-up" (includes: hardware & skin) - $11,000
  • Semi-custom with design (includes: hardware leasing and design) from $60,000 to $70,000
  • Custom booth from $90,000 to $200,000
Web creation and / or development of a portal

NIL – project based

The developmental costs of a web site / portal will vary depending how elaborate and detailed the web site is, and how interactive it needs to be. However, based on the costs provided by a private Communications / Graphic Artists firm, as well as discussions with INAC INET services, planning, architectural development, and consultation costs are approximately - $100 / hour.

The coding and construction costs, however, are approximately - $150 / hour. On an average, it takes approximately 20 days to create and develop a web site / portal. It is therefore fair to estimate that the creation and development of a web site may cost up to $25,000 / year.

Web enhancement & maintenance

NIL – project based

Web enhancement and maintenance means ongoing improvements and addition of new functions and / or new material. The process requires that a web master / programmer input the new information and ensure that users have no technical difficulty in accessing.

Based on the work related to the LTS web site, as well as discussion with INAC INET Services, an average of two hours of work per week is usually necessary to maintain an updated web site. Its costs usually range at approximately $150 / hour. (2 hours x $150/hour x 52 weeks = $15,600). It is therefore fair to estimate that the web enhancement and maintenance may cost up to $15,600 / year.

Conferences / Workshops / Meetings
Activities Proposed Benchmark Rationale
Room Rental

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC-Finance, costs associated with the renting of a meeting room should be included in the 10-15% administrative / overhead costs.

As a reference, however, it should be noted that the costs of a conference room / room rental depend on many variables. For instance, the location of the meeting, the size of the room, local market competitive costs and seasonal demand premiums. For information, based on discussions / consultations with various hotels across the country, renting a meeting room ranges from $175 to $2,400 / per day. A breakdown is as follows:

Approximate price range of room rental costsFootnote 21:

  • Alberta - Calgary: from $240 to $845 / day.
  • Alberta - Edmonton: from $400 to $1,000 / day.
  • British Columbia - Vancouver: from $300 to $800 / day.
  • Manitoba - Winnipeg: from $175 to $2,400 / day.
  • Nova Scotia - Halifax: from $250 to $1,050 / day.
  • Ontario - Ottawa: from $375 to $1,800 / day.
  • Ontario - Toronto: from $450 / day (25 to 70 individuals) to $1,500 / day (70 to 200 individuals).
  • Quebec - Montreal: from $275 to $525 / day for about 20 people and from $950 to $2,200 / day for 200 people.
  • Quebec - Quebec: from $275 to $1,000 / day.
  • Saskatchewan - Regina: from $175 to $2,400 / day.
Hospitality (food and beverages)

Based on the Treasury Board Hospitality Directive

Hospitality costs may be necessary when an organization host a meeting / conference. However, as a general rule, costs associated with hospitality for one person should be based on the rates that are established by the Treasury Board Hospitality Directive.

The hospitality rates are updated twice a year – on April 1st and on October 1st.

These rates may vary for the provincial governments and in the private sector.

It should also be noted that when preparing a comprehensive funding arrangement (CFA), consideration should be made to include, as part of the Terms and Conditions of the CFA for the recipient to follow the Treasury Board Secretariat Travel guidelines.

Equipment Rental

NIL – should be included in the 10-15% of administrative / overhead costsFootnote 13.

According to INAC- Finance, costs associated with the rental of equipment should be included in the 10-15% administrative / overhead costs.

As a reference, however, according to an audiovisual company, the prices associated with such equipment are approximately $1,250 / day. Details are as followFootnote 22:

  • 4 Channel Mixer (required for microphones): $40 each.
  • Wireless microphone kit: $100 each.
  • Microphone: $25 each.
  • 96 X 96 Tripod screen: $35 each.
  • Projector: $400 each.
  • Audio visual cart with skirt (required for projectors): $20 each.
  • Extension cable (required for projector): $15 each.
  • Televisions: $60 each.
  • Laptops: $250 each.
Other Activities
Activities Proposed Benchmark Rationale
Policy Development

NIL – project based

Resources to carry out this activity can only be determined on a case-by-case basis. However, a quick case study was developed, see Annex A.

Human resources management policy development

Project based – between $13,674 to $40,339 per project

In November 2006, INAC mandated a consulting firm to research and scope out elements of a human resource management policy, identify example of existing policies and benchmark the cost of developing such policy.

Based on its researched and findings, the firm came to the conclusion that developing a human resources management policy may take from 21.5 to 29 days and cost between $13,674 to $40,339.

Financial management policy development

Project based – between $13,674 to $45,903 per project

In November 2006, INAC has mandated a consulting firm to research and scope out elements of a financial management policy, identify example of existing policies and benchmark the cost of developing such policy.

Based on its researched and findings, the firm came to the conclusion that developing a financial management policy may take from 21.5 to 33 days and cost between $13,674 to $45,903.

By-law development

NIL – project based

No benchmark can be proposed for the development of by-law. Each proposal has to be entertained on its own merit. Developing a by-law on dog control for example, for a First Nation of about 50 people will be different than developing a housing by-law for a larger community.

First Nations Gazette / publication of regulations

First Nations Gazette: $0
Canada Gazette: $300 / page

Based on the information received from the First Nations Gazette, the publication of regulations is free of charge for First Nations.

On the other hand, the Canada Gazette charges First Nations $300 per page for publishing their regulations.

Consultation activities:

  • Public forums
  • Discussion
  • Expert panel sessions
  • Meetings
  • Information sessions
  • Presentations
  • Liaising

NIL – project based

The activities surrounding a consultation process and / or consultation activities will vary depending on the level of the consultations and its strategy. It is therefore recommended that resources to carry out consultative activities be determined on a case-by-case basis.

Resource centre

NIL – project based

Resources to carry out this activity can only determined on a case-by-case basis. As a reference, however, you should note that the department's resource centre - Kiosk operates with an annual budget of $559,077.00 / year. Of this amount, $259,077.00 is for the salary of one LS-03 and four SI-01 and while the $300,000.00 covers all administrative expenses, i.e. travel, training, temp help, translation, supplies, contracting costs, etc. There roles and responsibilities are to serve as the first point of contact for any inquiries from the general public on departmental programs and services. The information is provided in both official languages and comes from various sources, including private citizens, public institutions, other government departments, members of Parliament and the news media. Inquiries are received by phone, e-mail, regular mail, fax or in person are available from 7:30 a.m. to 8:00 p.m. EST, Monday to Friday. It also has a responsibility of distributing any departmental information / publications.

Proposed Benchmark for Support to Policy Development - Case Study

Policy Development involves research, analysis and discussions which evolve into a series of processes that eventually sets a legislative, regulatory and organizational direction. The financial and human resources to support policy development will vary depending on the level of policy development required, i.e. the government's policy agenda, and on the roles and responsibilities of the policy team.

However, for planning purposes, we may, be able to draw some linkages to existing policy development organizations, both within the public sector and the private sector. Within the public sector, if we look at the Governance policy directorate within the Governance Branch of LTS, it is to lead the development of policies and legislation for advancing the department's vision for First Nations self-governance. Overall, the directorate is responsible to conduct strategic policy research and analysis and engages First Nations in policy forums to guide policy formulation.

To support this work, the team has one Director, four policy analysts, one junior analyst and one administrative assistant. Its operational budget, however, while based on other factors, should have been calculated based on the formula:

Salary Costs

  • Director, Governance Policy (EX-01) - $108,000
  • Senior Advisor (SI-08) - $102,379
  • Senior Policy Analyst (ES-06) - two positions - $94,581 / each
  • Senior Policy Analyst (PM-06) - $90,420
  • Junior Policy Officer (PM-04) - $61,047
  • Administrative Assistant (AS-01) - $48,430

Sub-Total: $599,438Footnote 23

Operational Costs

People

Based on a formula (to support employee requirements) developed by the Lands and Trust Services (LTS), an additional $6,000 per employees should be added. These costs, includes such expenditures as training, HR related contracts, cell phones, temp help, travel, supplies, I.T., etc.

Sub-Total: $42,000

Space / rent

  • Director (EX-01) - $4,378.77 ($4,378.77)
  • Middle Managers (SI-08, ES-06, PM-06) - $3,313.66 ($13,254.64)
  • Junior Officers (PM-04, AS-01) - $1,751.51 ($3,503.01)

Sub-Total: $21,136.42Footnote 24

Total Operations & Salary: $662,574.42

Overheads

  • Commonly known as administrative / overhead costs, these include costs associated with such activities as translation, teleconferences, rooms rental, printing, photocopying, telecommunications, etc. Those should be calculated based on departmental standards within contribution agreements, i.e. 10-15% of the total amount and added to the overall annual budget. In this case, an additional $99,386.00 should be added to the operational and salary costs.

Overall Costs

Overall, the annual operating costs of a policy development group of seven staff members are approximately of $761,960.42.

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