ARCHIVED - Year-End Reporting Handbook - Funding Agreements Covering Fiscal Year Period 2011-2012

Archived information

This Web page has been archived on the Web. Archived information is provided for reference, research or record keeping purposes. It is not subject to the Government of Canada Web Standards and has not been altered or updated since it was archived. Please contact us to request a format other than those available.

NOTE: (May 25, 2012) Effective immediately, a new mandatory consistent format is required for all recipients who are required to submit Audited Consolidated Financial Statements (due July 2012).


Date: February 2011

PDF Version   (273 Kb, 49 Pages)

 


Table of Contents


Main Changes in The Handbook for Year-End 2011/2012

This document is now known as the Year End Reporting Handbook (YERH) as opposed to the previous version, which was called the Year-End Financial Reporting Handbook (YEFRH).

This handbook addresses the requirement of fulfilling the needs of all INAC Recipients including recipients Other than First Nations, Tribal Councils and First Nation Political Organizations. In the past, the YEFRH was designated solely for the First Nations, Tribal Councils and First Nation Political Organizations. INAC aims to standardize recipient reporting requirements to reduce administrative burden where possible while maintaining its accountability to Parliament as per Treasury Board Secretariat's policy and directives on transfer payments.

This handbook is designed to be used in conjunction with INAC funding agreements as it relates to financial reporting requirements. The handbook reflects the changes in the various Canadian Accounting Standards, known as Generally Accepted Accounting Principles (GAAP). In order to be consistent with the Canadian Institute of Chartered Accountants (CICA) handbook, GAAP will be referred to as the "Canadian Accounting Standards".

Key changes:


1.0 Context and Background

Indian and Northern Affairs Canada (INAC) receives and reviews financial information in conjunction with non-financial information and undertakes compliance activities at least annually. This activity is undertaken to gather information on whether funds provided are expended for the purposes intended, that terms and conditions of funding agreements are met, and that the recipient's financial situation is sufficiently stable in order to assure continued delivery of funded programs/services. Reporting on the use of public funds to community members and to Canadians remains an essential element of the management control framework for transfer payments. All governing bodies are ultimately accountable to their stakeholders. As such, INAC must demonstrate to the Canadian public, through the Minister, Parliament and the Auditor General of Canada that all funds, including those transferred to First Nations and other Recipients are spent in accordance with the terms of funding agreements.

The YERH is a supporting document of INAC funding agreements. It outlines and provides complementary information on the reporting requirements mentioned in Schedule "DIAND 4" Schedule of Reporting Requirements and Due Dates of the funding agreements. The handbook must be read in conjunction with the Recipient's funding agreement.

This handbook replaces the Year-end Financial Reporting Handbook for First Nations, Tribal Councils and First Nation Political Organizations dated February 2010. All recipients of funding agreements for fiscal year starting April 1st, 2011 to March 31st, 2012 must comply with reporting requirements outlined in this handbook.

Other stakeholders may be part of the management of contribution funding such as a recipient's auditor or Agencies receiving part of the funding provided to a recipient. Where this is the case, it is strongly recommended that recipients provide the YERH to their auditors and to any Agencies to which they have transferred contribution funding in order to assist them in understanding the Recipient's and their funded Agencies' annual financial reporting requirements.

1.1 General Assessment (GA) - Risk Assessment of the recipient

The spirit of the Treasury Board Secretariat Policy on Transfer Payments is for departments to manage their transfer payment agreements based on risk assessment and to allow the flexibility to departments to request reports based on the level of risk while reducing administrative burden when possible. In the same spirit, INAC aims to overtime align its reporting requirements to reduce them based on the General Assessment.

The General Assessment (GA) is a new tool that supports the management of transfer payments and recipient funding agreements. The tool was designed, in part, to respond to the requirement in the government-wide Policy on Transfer Payments that there be a more citizen-focused, risk-based approach to how we manage transfer payments.

The GA tool works by taking an annual "snapshot" of the recipient's past funding performance and assesses strengths and emerging risks that may have an impact on its future performance. In the GA process each funding recipient is assessed on an annual basis, at a minimum, and is rated as having either a "low", "medium" or "high" level of risk.

Once through the process, each recipient receives a rating along with reasons for the rating and recommendations, where needed, for managing significant risk. All recipients go through the GA process, including new applicants.

1.2 Unexpended Funding

Starting April 1st, 2011, new INAC funding agreements will include a requirement to provide the department with an Unexpended Funding Plan in order for recipients to be able to use unexpended funding in specific circumstances as per TBS Policy on Transfer Payments.

Where such plan is required under a funding agreement, it must be prepared in accordance with section 7.9 of this handbook. Reporting requirements against this plan are also defined in the same section.

As part of INAC's reduction in reporting burden to Recipients, the handbook requirements reflect the minimum / essential requirements using a risk based approach and respecting accountability.

Return to Table of Contents 

2.0 Scope of Handbook

This handbook applies to all recipients receiving transfer payment funding from INAC.

Return to Table of Contents 

3.0 Accounting Standards

The Public Sector Accounting Board (PSAB) has eliminated local government standards in the Public Sector Accounting Handbook and this affect First Nations, Tribal Councils and First Nations Political Organizations. As a result, there is now one common reporting model for local, territorial, provincial and federal governments (Common Government Reporting Model). This change, effective for fiscal years beginning on or after January 1, 2009, applies to First Nations with fiscal years beginning April 1, 2009.

The YERH does not detail public sector Canadian Accounting Standards requirements. It details specific annual financial reporting requirements for purposes of accountability for Federal Transfer Payments. Audited financial statements are required to be submitted in accordance with PSAB standards which is a consistent standard used by all governments in Canada. This standard requires that each First Nation provide a Statement of Financial Position, a Statement of Operations, a Statement of Cash Flow and a Statement of Net Assets. While each First Nation statement of financial position may have greater detailed information that reflects the nature of the First Nation's structure and activities, each of them will, in accordance to PSAB standards, be providing consistent consolidated financial information that at a minimum includes the following major line items or its equivalent (where applicable):

By requiring submission of audited financial statements as prescribed by PSAB, the Department promotes consistent reporting from not only First Nations, but also from all governments. It also limits the reporting burden on Recipients by having general purpose financial statements prepared under PSAB rules along with special purpose detailed reporting (Program/Service/Activity Revenues and Expenditures Schedules; Schedule of Federal Government Funding; Statements of Receipt and Expenditure of Indian Moneys; Schedules of Salaries, Honoraria, Travel Expenses and Other Remuneration) suffice for the annual reporting requirements of the Department rather than the Department requiring a second financial report be prepared and reinforces the concept of good governance through consistent accountability to members and the public.

3.1 First Nations

The CICA Public Sector Accounting Handbook (PSA Handbook) applies to all forms of governments in Canada and as such, First Nations are considered governments from an accounting perspective.

The CICA Financial Reporting by First Nations Study Group discussed, researched and consulted on the appropriate Canadian Accounting Standards for First Nations. The Financial Reporting by First Nations Report    has been published. This report recommends that First Nations adopt full accrual accounting and the Common Government Reporting Model as prescribed by the PSAB.

3.2 Tribal Councils and First Nation Political Organizations

Tribal Councils and First Nation Political Organizations must adhere to the PSA Handbook accounting recommendations of the Common Government Reporting Model unless Canadian Accounting Standards definitions and recommendations deem them to be profit-oriented enterprises or not-for-profit organizations. It is the Recipients' responsibility, with the help of its auditor, to determine which of the CICA recommendations are relevant to their organization.

3.3 Agencies

In some instances, INAC may provide transfer payments to a Recipient that in turn further distributes payments to an Agency for the delivery of programs and services funded under the terms and conditions of a funding agreement. Where the Recipient has transferred funding to an Agency, the Recipient remains accountable to INAC for the performance of its obligations as set out in the funding agreement.

Therefore, where the Recipient has transferred funding to an Agency, the Recipient must require the Agency to its financial statements to the Recipient. Also, upon written request from INAC to the Recipient, a copy of the Agency's financial statements must be made available to INAC.

Return to Table of Contents 

4.0 References

Please note: These links will open in a new browser window or tab.

Return to Table of Contents 

5.0  Definitions

For purposes of this handbook:

"Agency" means an authority, board, committee or other entity authorized to act on behalf of the Council where the Council is a First Nation OR an authority, board, committee, Member First Nation or other entity authorized to act on behalf of the Council where the Council is a Tribal Council OR an authority, board, committee or other entity authorized to act on behalf of the Recipient.

"Block contribution funding" means a Contribution for a group of programs, services and/or activities for which funding is provided under a funding agreement and for which any unexpended funding may be retained by the Recipient if conditions specified in the funding agreement are met.

"Common Government Reporting Model" means the reporting model to be used for local, provincial, territorial and federal governments as defined by the Canadian Institute of Chartered Accountants / Public Sector Accounting Board (CICA/PSAB) standards. This model replaced and harmonized all previous government reporting models such as the Local Government standards and Senior Government Standards.

"Contribution" means funding provided under a funding agreement for programs, services or activities for which expenditures must be accounted, ineligible expenditures must be reimbursed to Canada, and unexpended funding must be reimbursed to Canada unless otherwise specified in the funding agreement.

"First Nation" means a "band" within the meaning of the Indian Act.

"First Nation Political Organization" means an organization established by a number of First Nations with common interests who voluntarily join together with a view to carrying on political or related activities. These organizations are typically led by the Chiefs of member First Nations and/or by individuals chosen by member First Nations to represent their community in the organization.

"Fixed Contribution Funding" means a Contribution for a program, service or activity for which any unexpended balances may be retained by the Recipient if conditions specified in the funding agreement are met.

"Flexible contribution funding" means a Contribution for a program, service or activity for which any unexpended balances may be retained by the Recipient, if conditions specified in the funding agreement are met, until the earliest of the end of that program, service or activity, the expiry of the funding agreement, and the early termination of the funding agreement.

"General Reporting Model" means the reporting model to be used for Profit-Oriented Organizations and Not-for-Profit Organizations, as defined by the Canadian Institute of Chartered Accountants / Generally Accepted Accounting Principles.

"Program/Service/Activity" means a program, service, activity or project for which funding is provided under a funding agreement.

"Recipient" means an entity that has received a transfer payment under a funding agreement through which INAC transfer funding.

"Set Contribution Funding" means a Contribution for a program, service or activity for which any unexpended funding or any ineligible expenditure must be reimbursed to Canada.

"Transfer Payments" means a monetary payment, or a transfer of goods, services or assets made, on the basis of an appropriation, to a third party, including a Crown corporation, that does not result in the acquisition by the Government of Canada of any goods, services or assets. Transfer payments are categorized as grants, contributions and other transfer payments. Transfer payments do not include investments, loans or loan guarantees.

"Tribal Council" means an organization established by a number of First Nations with common interests who voluntarily join together to provide advisory and/or program services to Member First Nations.

"Unexpended funding (surplus)" means the amount by which total funds allocated by the program exceed the amount of funds expended by the Recipient in the delivery of the program obligations and objectives as set out in the funding agreement.

Return to Table of Contents 

6.0  Financial Reporting Requirements

This section details the components of the financial reports, identified in the funding agreement Schedule "DIAND 4" Schedule of Reporting Requirements and Due Dates, the Recipient must provide to INAC. The number in brackets (7.X) refers to the section of this handbook where details on how the document must be presented can be found. Where the word "AUDITED" follows the description of the component, that component must be independently audited according to the requirement set our in the funding agreement.

6.1  First Nations, Tribal Council and First Nation Political Organizations (using the Common Government Reporting Model)

The Recipient shall provide INAC with the financial reports package listed below that applies to the Recipient as indicated in Schedule "DIAND 4" Schedule of Reporting Requirements and Due Dates of the funding agreement.

F-0080 - Annual Audited Financial Statements package, comprised of:

General Purpose Financial Statements:

Special Purpose Reporting:

OR

F-0081 - Annual Unaudited Schedule of Revenue and Expenditure package, comprised of:

6.2 Recipients Other than First Nations, Tribal Councils and First Nation Political Organizations (using the General Reporting Model)

The Recipient shall provide INAC with the financial reports package listed below that applies to the Recipient as indicated in Schedule "DIAND 4" Schedule of Reporting Requirements and Due Dates of the funding agreement.

F-0190 - Annual Audited Financial Statements package, comprised of:

General Purpose Financial Statements:

Special Purpose Reporting:

OR

F-0191 - Annual Audited Schedule of Revenue and Expenditure package, comprised of:

OR

F-0192 - Annual Unaudited Schedule of Revenue and Expenditure, comprised of:

Return to Table of Contents 

7.0  Financial Reporting Description

7.1   Annual Audited Financial Statements

a) First Nations, Tribal Councils and First Nation Political Organizations (using the Common Government Reporting Model)

The Recipient shall provide INAC with consolidated Audited Financial Statements in accordance with Canadian Accounting Standards, using the Common Government Reporting Model. They will be audited in accordance with Canadian Auditing Standards.

The Annual Audited Financial Statements must at least include the following:

b) Recipients using the General Reporting Model (other than First Nations)

The Recipient shall provide INAC with consolidated Audited Financial Statements in accordance with Canadian Accounting Standards and CICA Handbook. They shall be audited in accordance with Canadian Auditing Standards.

The Audited Financial Statement must at least include the following:

7.2 Program/Service/Activity Revenues and Expenditures Schedules (see Annex A for examples)

Important information: These individual schedules are not required to be audited unless identified in section 6.

A separate schedule of Revenues and Expenditures must be provided for each Program/Service/Activity for which funding is provided through a funding agreement. More specifically, the Program/Service/Activity Revenues and Expenditures Schedules must:

7.3 Funding Reconciliation

INAC must be able to reconcile funds from the Government of Canada provided to the Recipient. The following reconciliation must be submitted as part of the Audited Financial Statement package:

INAC funding per Financial Statement
$ x
less: prior year deferred revenue - detailed by
Program/Service/Activity
($ x )
add: current year deferred revenue - detailed by Program/Service/Activity
$ x
INAC funding per funding confirmation
$ x

In addition, the following information must be included in the funding reconciliation:

Annex G provides a best practice example of a more informative reconciliation which details the amounts for clarification to users.

7.4 Schedule of Federal Government Funding (Annexes H, I, J and K)

a) Scope and Background

All Recipients that are First Nations, Tribal Councils and First Nation Political Organizations must provide INAC with a Schedule of Federal Government Funding and INAC will publicly disclose this information. This public disclosure will inform Canadians of the many programs and services delivered by the Recipient that are supported by federal funds.

The following funds are to be included in the Schedule:

The amounts transferred to recipients for Comprehensive, Specific and other claims settlements are not to be included in the Schedule.

All Recipients that are First Nations, Tribal Councils and First Nation Political Organizations must report on and report on their use of federal government funding in the format described in sections 7.4 b). The option described in Section 7.4 c) is considered the minimum level of disclosure respecting the use of public funds.

b) Disclosure with Consolidated Financial Statements

If a Recipient prefers full disclosure to the public of its consolidated financial statements prepared in accordance with the YERH (F-0080 and F-0081) instead of preparing a separate schedule of Federal Government Funding, then the Recipient must accompany its financial statements with, in the case of a First Nation, a Band Council Resolution approved and signed at a duly convened meeting of Council giving consent to the Government of Canada to publicly disclose its consolidated financial statements.

The information requirements set out in Sections 7.2.2, 7.5 and 7.6 are not mandatory for public disclosure using this option. The choice to omit this information must be identified, in the case of a First Nation, through a Band Council Resolution approved and signed at duly convened meeting of Council.

c) Instructions for Preparing the Schedule

The schedule contained in Annex H must be prepared in the following manner:

  1. Amounts must be broken down by each individual federal government department that funds the Recipient.
  2. For the purposes of this Schedule, amounts relating to each of the federal government departments may be presented using the federal government program and service categories set out in Annexes I through K. A similar level of detailed program reporting framework may also be used if it is considered a more accurate description of the Recipient's activities.
  3. For federal government departments that are not detailed in Annexes I through K, only the total amounts relating to that federal government department need to be presented. Recipients who wish to expand on the detail or explanation of the funding and related expenditures may do so. This expanded detail may include reporting by types of expenditures under each program area or explanatory notes to the Schedule.
  4. The Schedule must contain all of the following categories:
    • Column A - Federal Funding Received: Total federal government funding received in the current year for that specific program or service category. In instances where funding is provided to a Recipient under a Block Contribution Funding, the amount should be presented in the program or service area where it has been budgeted/allocated by the Recipient.
    • Column B - Unexpended Federal Funding - Beginning of Year: Total of unexpended amounts of federal government funding received in prior years. This amount may include surplus amounts retained by Recipients, amounts due to the federal government that have not yet been reimbursed at the beginning of the year or deferred revenue at the beginning of the year, where permitted under the funding agreement.
    • Column C - Adjustments/Transfers: Amounts of funding received that have been transferred from/to eligible programs and services where permitted under the funding agreement. This column may also include amounts that have been reimbursed to / by the federal government.
    • Column D - Total Funding Available: Total of "Federal Funding Received", "Unexpended Federal Funding - Beginning of Year" and "Adjustments/Transfers".
    • Column E - Expenditures are to be presented using either the "Federal Funding Expended" or the "Total Expenditures from All Sources" options detailed below. This presentation must be consistently applied to all programs and the option should be clearly identified.
      • Option 1 - When using the "Federal Funding Expended" option to present expenditures, the "Federal Funding Expended" must be equivalent to the total federal government funding spent in the program or service area. When using this option, the total amount of "Federal Funding Expended" must never exceed the "Total Federal Funding Available".
      • Option 2 - When using the "Total Expenditures from All Sources" option to present expenditures, the "Total Expenditures from All Sources" must be equivalent to the Recipient's total yearly expenditures for each program and service area in which federal government funding was received. When using this option, there are instances where the "Total Expenditures from All Sources" will exceed the "Total Federal Funding Available" since some own-source revenue may have been used to fund the program or service.
    • Column F - Unexpended Federal Funding - End of Year: Total of unexpended amounts of federal government funding at the end of the year i.e. "Total Federal Funding Available" minus "Federal Funding Expended". This amount must include any surplus amounts retained by Recipients, any amounts due to the federal government at the end of the fiscal year and any deferred revenue. When using the option of "Total expenditures from All Sources" detailed above, this column is not required.
  5. The Schedule must be accompanied by one of the following auditor's attestations:
    • a separate auditor's report; or
    • an auditor's review engagement report.

Note that the inclusion of an auditor's attestation does not limit in any way the Government of Canada's capacity to publicly disclose the Schedule of Federal Government Funding.

7.5 Statements of Receipt and Expenditure of Indian Moneys (Funds Held in Trust) (Annexes B and C)

There are two categories of Funds Held In Trust (FHIT) - 1) those held by INAC in the Government of Canada's Consolidated Revenue Fund (CRF); 2) those held in private trusts outside of the CRF. These two types of trusts should be disclosed separately in the Recipient's financial statements. Payroll deductions and employer's share for employee benefits should be held in private trusts and be disclosed separately in the Recipient's financial statements.

FHIT withdrawn from the CRF in accordance with sections 64, 66 and 69 of the Indian Act must be accounted for and reported on in the financial statements. A "Statement of Receipt and Expenditure of Indian Moneys - Capital Trust Moneys" (see Annex B) or a "Statement of Receipt and Expenditure of Indian Moneys - Revenue Trust Moneys" (see Annex C) must be completed. This requirement is based on the Indian Bands Revenue Moneys Regulations.

FHIT withdrawn from the CRF can only be withdrawn based on the Indian Act and the Indian Bands Revenue Moneys Regulations by way of a Band Council Resolution (BCR). First Nations submit BCRs to INAC requesting the release of their Band Capital and Revenue Trust funds. These funds are to be expended for the purposes outlined in the BCR. The BCR should be used as the source document to ensure the expenditures reported in Annexes B and C have been expended for the purposes intended and in the appropriate program/service/activity area. Where First Nation Trust Funds have been released to a First Nation, the level of detail contained in the audited financial statements must be sufficient to enable the reader to confirm that these moneys were used for the purpose for which they were authorized.

Therefore, withdrawals from Trust funds must be separately identified as being a source of revenue within the particular program/service/activity schedule (see Annex A). It should be noted that INAC provides recipients with a monthly statement of accounts detailing the transactions of their FHIT in the CRF.

These schedules (Annexes B and C) must be audited by the auditor and where applicable, form part of the audited financial statements submitted to INAC.

7.6 Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration (Annexes D - E - F)

7.6.1 Auditor's Attestation

The schedules described in this section (Annexes D-E-F) must be accompanied by one of the following auditor's attestations:

7.6.2 Requirement for Schedules of Salaries, Honoraria, Travel and Other Remuneration

At a minimum, the schedules must include the information described below in the Elected or Appointed Officials (Annex D) and Unelected Senior Officials (Annexes E - F) sections.

7.6.3 Elected or Appointed Officials (Annex D)

A "Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration" must be prepared in accordance with Annex D.

The amounts to be disclosed must be from all sources within the Recipient's financial reporting entity including amounts from, but not limited to, economic development and other types of business corporations.

The amounts included in this schedule must have been paid on behalf of, earned or accrued by elected or appointed officials and could include amounts such as travel expenses, debt write-offs, salaries and benefits from other employment in the reporting entity, and dividends or other such amounts received from businesses included in the recipient's reporting entity.

For the purposes of this section, the elected or appointed officials are:

7.6.4 Unelected Senior Officials (Annexes E - F)

A "Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration", must be prepared in accordance with either Annex E or Annex F.

NOTE: Those annexes shall NOT include information on elected or appointed officials as required in subsection 7.6.2.

Option 1 - Annex E
The schedule in Annex E must disclose salary, honoraria, travel and other remuneration that have been earned or accrued by the Recipient's unelected officials such as Executive Directors, Band Managers, Senior Program Directors and Managers by virtue of the position held.

Option 2 - Annex F
This option may only be used when approved salary ranges are in place. The schedule in Annex F requires disclosure for each position of the approved salary range and the actual expenses for honoraria, travel and other remuneration that have been paid on behalf of, earned or accrued by the Recipient's unelected officials such as Executive Directors, Band Managers, Senior Program Directors and Managers by virtue of the position held.

7.7 Auditor's Management Letter

The CICA Handbook recommends that the auditor must present to the audit committee or a similar governing body, any identified internal control shortcomings during the financial statement audit (Ref. 5220.07 – CICA Handbook). This communication is either referred to as an "Auditor's Management Letter" or an "Internal Control Letter". These letters and the recommendations contained therein are valuable management tools to help build recipient financial and administrative capacity.

It is strongly recommended that the "Auditor's Management Letter" or "Internal Control Letter" be provided to INAC in all instances. However, this becomes a mandatory reporting requirement in the following cases:

  1. Where, under default provisions of a funding agreement, the Recipient has been required to provide a Management Action Plan or where a Third Party funding agreement Manager has been appointed;
  2. When a Recipient is in default of its funding agreement and INAC has notified the Recipient that a Management Action Plan is required. INAC will request the "Auditor's Management Letter" or "Internal Control Letter" upon notification to the Recipient or the requirement for the Management Action Plan.

7.8 Auditor's report

An auditor's report is a formal opinion, or disclaimer thereof, issued by an independent external auditor as a result of an external audit or evaluation performed on financial information of a Recipient. The report is subsequently provided to a "user" (such as an individual, a group of persons, a company, a government, or even the general public, among others) as an assurance service in order for the user to make decisions based on the results of the audit.

There are four common types of auditor's reports, each one presenting a different situation encountered during the auditor's work. The four reports are as follows:

7.9 Unexpended Funding - Plans and reports (Annexes L and M)

New requirement for funding agreements covering fiscal year period 2011-2012 (April 1st, 2011 to March 31st, 2012)

Where a funding agreement allows for retention by the Recipient of Unexpended Funding, the following instructions must be followed:

Return to Table of Contents 

Annex A - Examples of Program and Service Revenues and Expenditures Schedules

Example 1 - Revenues and Expenditures Schedule (Unaudited)

Sample First Nation
Revenues and Expenditures Schedule
Program/Service/Activity XXX
For the Year Ended March 31, 2012
  Budget 2011-12
$
2011-12
$
2010-11
$
Revenues      
       
Government of Canada      
INAC      
Other Departments      
Band Trust Funds Released      
Revenue Trust Moneys      
Capital Trust Moneys      
Province      
User Fees      
Plus: Deferred Revenue Beginning of Year      
Less: Deferred Revenue End of Year      
       
Total Revenues      
       
Expenditures      
       
Wages and Salaries      
Hydro      
Maintenance and Repairs      
Materials and Supplies      
Professional Fees      
Telephone      
       
Total Expenditures      
       
Unexpended Funding (Deficit)      
Cumulative Unexpended Funding
- Beginning of Year
     
Cumulative Unexpended Funding
- End of Year
     


Example 2 - Suggested format for the Social Development Program Revenues and Expenditures schedule. Please note the separate accounts for the revenues/funding (by source) and the expenditures (by object). Each program NCBR, Assisted Living, Income Assistance, Child and Family Services and Family Violence Prevention Program require individual schedules.

Example 2
Recipient's Name
Revenue and Expenditure Schedule
Income Assistance
For the Year Ended March 31, 2012
  Budget 2011-12
$
2011-12
$
2010-11
$
Revenues      
       
INAC Funding      
Social Services - Basic Needs      
Social Services - Special Needs      
Social Services   Service Delivery      
Plus: Deferred Revenue Beginning of Year      
Less: Deferred Revenue End of Year      
Total INAC Funding      
       
Other Funding      
Band trust funds released      
Revenue trust moneys      
Capital trust moneys      
Province      
User fees      
Plus: Deferred Revenue Beginning of Year      
Less: Deferred Revenue End of Year      
Total Other Funding      
       
Total Funding      
       
Expenditures      
       
Income Support Assistance      
Basic Needs      
Special Needs      
Children out of Parental Homes (non-child in care)      
Income Support Expenditures      
Total Maintenance Expenditures      
       
Administration      
Salaries and wages      
Travel      
Office Supplies      
Utilities      
Other (specify)      
Total Administration Expenditures      
       
Total Expenditures      
       
Operating Unexpended Funding (Deficit)      
       
Cumulative Unexpended Funding
- Beginning of Year
     
       
Cumulative Unexpended Funding
- End of Year
     


Example 3 - Suggested format for the Education Program Revenues and Expenditures schedule. Please note the separate accounts for the revenues (by source) and the expenditures (by object).

Example 3
Recipient's Name
Revenue and Expenditure Schedule
Program/Service - Education
For the Year Ended March 31, 2012
  Budget 2011-12
$
2011-12
$
2010-11
$
Revenue      
Government of Canada      
INAC Funding      
Education - Band Operated Schools      
Education - Minor Capital Program      
Education - Provincial Tuition      
Education - Special Education      
Education - Transportation      
Education - Post Secondary Education      
Other Departments      
Band Trust Funds Released      
Revenue Trust Moneys      
Capital Trust Moneys      
Province      
User fees      
Plus: Deferred Revenue Beginning of Year      
Less: Deferred Revenue End of Year      
       
Total Revenues      
       
Expenditures      
       
Band Operated Schools      
Certified Teacher's Salaries & Benefits      
Support Staff Salaries & Benefits      
Materials/Supplies      
Minor Capital      
Other (specify)      
Band Operated School      
       
Provincial Tuition      
Tuition Payments      
Other (specify)      
Provincial Tuition Expenditures      
       
Special Education      
Special Education Expeditures      
Other (specify)      
Special Education Expenditures      
       
Transportation      
Transportation Expenditures      
Other (specify)      
Transportation Expenditures      
       
Post Secondary      
Tuition      
Supplies      
Living Allowances      
Salaries and wages      
Travel      
Office Supplies      
Other (specify)      
Post Secondary Expenditures      
       
Total Expenditures      
       
Operating Unexpended Funding (Deficit)      
       
Cumulative Unexpended Funding - Beginning of Year      
       
Cumulative Unexpended Funding - End of Year      


Example 4 - Suggested format for project funding.

Example 4
Recipient's Name
Revenue and Expenditure Schedule
Project
For the Year Ended March 31, 2012

  Budget 2011-12
$
2011-12
$
2010-11
$
Project Funding      
Government of Canada      
INAC Funding      
Other Departments      
Own Source Funding      
User Fees      
Plus: Deferred Funding Beginning of Year      
Less: Deferred Funding End of Year      
Total Project Funding      
       
Project Costs Incurred      
       
Wages and Salaries      
Hydro      
Maintenance and Repairs      
Materials and Supplies      
Professional Fees      
Total Project Costs Incurred      
       
Operating Unexpended Funding (Deficit)      
       
Cumulative Unexpended Funding - Beginning of Year      
       
Cumulative Unexpended Funding - End of Year      
Return to Table of Contents 

Annex B - Statement of Receipt and Expenditure of Indian Moneys Capital Trust Moneys (Audited)

_______________ First Nation
For the Year Ended _________________

BCRReceipt and Expenditure of Funds
Date and No. of BCRDate Funds Released to FNPurpose for Release of Funds per BCRUnexpended Prior Years Withdrawals from Trust Funds - Beginning of YearAmount Received from Trust FundsActual Amount SpentUnexpended Withdrawals from Trust Funds - End of Year
             
             
             
             
             
             
             
             
             
             
             

The format identified above is the minimum standard for reporting. First Nations who wish to expand on the detail or explanation of funding and related expenditures may do so. This expanded detail may include reporting by type(s) of expenditures and/or providing notes to the schedule. The intent of this clarification is not intended to limit the presentation options but rather to clarify that the minimum requirements may be expanded upon.

Return to Table of Contents 

Annex C - Statement of Receipt and Expenditure of Indian Moneys - Revenue Trust Moneys (Audited)

____________ First Nation
For the Year Ended ________

BCRReceipt and Expenditure of Funds
Date and No. of BCRDate Funds Released to FNPurpose for Release of Funds per BCRUnexpended Prior Years Withdrawals from Trust Funds - Beginning of YearAmount Received from Trust FundsActual Amount SpentUnexpended Withdrawals from Trust Funds - End of Year
             
             
             
             
             
             
             
             
             
             
             

The format identified above is the minimum standard for reporting.  First Nations who wish to expand on the detail or explanation of funding and related expenditures may do so.  This expanded detail may include reporting by type(s) of expenditures and/or providing notes to the schedule.  The intent of this clarification is not intended to limit the presentation options but rather to clarify that the minimum requirements may be expanded upon.

Return to Table of Contents 

Annex D - Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration - Elected or Appointed Officials

Recipient's Name ___________________
For the Year Ended _____

Name of IndividualPosition TitleNumber of Months *Salary
[Note 1]
Honoraria
[Note 2]
Other Re-muneration
[Note 3]
TotalTravel Expenses
               
               
               
               
               
               
               
               
               
               
               
               
               

* The number of months during the fiscal year that the individual was an elected or appointed official.

1 - Salary is a fixed amount of money agreed every year as pay for an employee.

2 - Honoraria are ex gratia payments made to a person for their services in a volunteer capacity or for services for which fees are not traditionally required.

3 - Other remuneration represents any amount paid for remuneration that is a benefit but not part of a salary or an honorarium like bonus, the personal use of a vehicle supplied by the recipient, pension contributions, health benefits, etc.

Return to Table of Contents 

Annex E - Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration - Unelected Senior Officials (Option 1)

Recipient's Name ___________________
For the Year Ended ___________________

Name of Individual
(Optional)
Position TitleNumber of Months *Annual Salary
[Note 1]
Honoraria
[Note 2]
Other Remuneration
[Note 3]
TotalTravel Expenses
               
               
               
               
               
               
               
               
               
               
               
               
               

* The number of months during the fiscal year that the individual was on staff.

1 - Salary is a fixed amount of money agreed every year as pay for an employee.

2 - Honoraria are ex gratia payments made to a person for their services in a volunteer capacity or for services for which fees are not traditionally required.

3 - Other remuneration represents any amount paid for remuneration that is a benefit but not part of a salary or an honorarium like bonus, the personal use of a vehicle supplied by the recipient, pension contributions, health benefits, etc.

Return to Table of Contents 

Annex F - Schedule of Salaries, Honoraria, Travel Expenses and Other Remuneration - Unelected Senior Officials (Option 2)

Recipient's Name ________________
For the Year Ended ___________________

Name of IndividualPosition TitleNumber of Months *Approved Salary Salary
[Note 1] Range
Honoraria
[Note 2] Expense
Other Remuneration
[Note 3]
Travel Expenses
      FromTo      
               
               
               
               
               
               
               
               
               
               

* The number of months during the fiscal year that the individual was on staff

This option may only be used when approved salary ranges are in place.

1 - Salary is a fixed amount of money agreed every year as pay for an employee.

2 - Honoraria are ex gratia payments made to a person for their services in a volunteer capacity or for services for which fees are not traditionally required.

3 - Other remuneration represents any amount paid for remuneration that is a benefit but not part of a salary or an honorarium like bonus, the personal use of a vehicle supplied by the recipient, pension contributions, health benefits, etc.

Return to Table of Contents 

Annex G - Examples of Funding Reconciliation (Summary and detailed)

Recipient's Name
Funding Reconciliation Detail
For the Year Ended March 31, 2012

INAC FundingFirst Nation's Programs  
DescriptionSchedule NameINAC *
Amount
Stmt.
Amount
Teacher Salaries Community School XXXX XXXX
Tuition Agreements Provincial Tuition XXXX XXXX
  Education Admin   XXXX
New Paths Projects Community School XXXX XXXX
Basic Needs Social Services XXXX XXXX
Children out of Parental Homes Social Services XXXX XXXX
Special Needs Social Services XXXX XXXX
In Home Care Social Services XXXX XXXX
National Child Benefit Reinvestment Social Services XXXX XXXX
Band Operated Special Education Community School XXXX XXXX
Instructional Services Community School XXXX XXXX
Student Transport Community School XXXX XXXX
Advice & Assistance Education Admin XXXX XXXX
Service Delivery Social Services XXXX XXXX
Roads & Bridges Ops & Maintenance XXXX XXXX
Water Systems Ops & Maintenance XXXX XXXX
Community Buildings Ops & Maintenance XXXX XXXX
  Community School   XXXX
    XXXX XXXX
Reconciling Statement Amount     XXXX
Reconciling INAC Amount   XXXX  
Reconciled Funding Totals   XXXX XXXX

* Funding per the INAC Funding Confirmation

Return to Table of Contents 

Annex H - Schedule of Federal Government Funding - Format

Federally Funded Programs and Services Directly / Indirectly Funded by the Government of CanadaFederal Funding Received
A
Unexpended Federal Funding Beginning of Year
B
Adjustments/ Transfers
C
Total Federal Funding Available
A + B + C = D
Federal Funding Expended
E
 (OPTION 1)
Unexpended Federal Funding End of Year
D - E = F (OPTION 1)
Total Expenditures from All Sources (OPTION 2) N/A
 (OPTION 2) 
Indian and Northern Affairs Canada            
             
Claims and Indian Government            
Community Development            
Economic Development            
Education            
Indian Government Support            
Land Management            
Social Development            
Indian Registration            
Governance and Institutions of Government            
Northern Affairs            
Other            
Sub-total for INAC            
             
Health Canada            
             
Children and Youth            
Mental Health and Addictions            
Chronic Disease and Injury Prevention            
Communicable Disease Control            
Environmental Health and Research Component            
Primary Care            
Non-Insured Health Benefits            
Health Governance and Infrastructure            
Capital            
Treatment Centre            
Aboriginal Health Transition Fund            
Headquarter projects            
Sub-total for Health Canada            
             
Canada Mortgage and Housing Corporation            
             
Non-Profit On-Reserve Housing            
Residential Rehabilitation Assistance Program (RRAP) Homeowner and Persons with Disabilities Programs            
RRAP Rental (including Secondary and Garden Suites)            
RRAP Conversions            
Home Adaptations for Seniors Independence Program            
Shelter Enhancement Program            
Housing Internship Initiative for FN and Inuit Youth            
Sub-total for CMHC            
             
Human Resources and Skills Development            
Fisheries and Oceans Canada            
Canadian Heritage            
Public Safety Canada            
Industry Canada            
Natural Resources Canada            
Department of Justice Canada            
Privy Council Office            
National Defence            
Canada Revenue Agency            
Other            
             
Grand Total            
Return to Table of Contents 

Annex I - Schedule of Federal Government Funding - INAC Programs and Services Categories

The following eleven program and service categories may be used to account for the INAC funding provided to recipients. These categories are based on the accountability structure in INAC's Recipient Reporting Guide 2011-2012. These categories are to be used by all recipients regardless of the type of funding agreement.

1- Claims and Indian Government: Costs associated with the negotiation, settlement and implementation of specific claims and comprehensive land claim agreements as well as special claims and self-government agreements. This category includes:

2- Community Development: Costs to acquire, construct, operate and maintain basic community facilities and services such as water and sewage, roads, electrification, schools, community buildings and fire protection. Also costs associated with ensuring that these facilities and community services meet recognized standards and are comparable to the services provided to nearby communities by provincial and municipal governments. This category includes:

3 - Economic Development: Costs associated with economic development planning, proposal development, and planning and implementation of ongoing activities and one-time projects. Also costs to pursue economic objectives in areas such as the employment of community members, the development of community-owned and community member businesses, the development of land and resources under community control, access to economic opportunities on land and resources beyond community control, investment promotion, and research and advocacy. This category includes:

4 - Education: Costs to support First Nation and Inuit communities in expressing, preserving, developing and promoting their cultural heritage, through the establishment and operation of First Nation and Inuit cultural education centres and programs. Costs to provide eligible students living on reserve and eligible Inuit with elementary/secondary education programs and services including instructional services in federal, provincial, band-operated schools, or a private/independent school (recognized by the province in which the school is located as an elementary/secondary institution), and student support services such as transportation, accommodation, guidance and counseling services. Costs associated with INAC's First Nations and Inuit Youth Employment Strategy to develop and enhance essential employability skills, such as communication, problem solving, and working with others, expose youth to a variety of career options, and promote the benefits of education as being key to labor market participation. Also, costs to support eligible First Nation and Inuit students to access education opportunities at the post-secondary level and supports the development and delivery of college and university level courses for First Nation and Inuit students, and research and development on First Nation and Inuit education. Costs for the provision of special education services and programs and costs to provide internet access, information technology equipment, technical support and training to students and school staff. This category includes:

5 - Indian Government Support: Costs to support the further development of competent, stable, legitimate, and accountable community governments by strengthening First Nations and Inuit governance and by funding initiatives which address needs in the areas of professional and institutional development at the local level and at the level of emerging regional and national organizations. Also, costs to enable tribal councils to provide advisory services such as financial management, band government, economic development, community planning, technical services to the member First Nations and to defray the costs of administering programs on behalf of member communities and to provide funding for equivalent advisory services to large First Nations which are not affiliated with a tribal council. This category includes:

6 - Land Management: Costs associated to the administration of land transactions on designated and non-designated lands under sections 53 and 60 of the Indian Act. This category includes:

7- Social Development: First Nations people, like other Canadian citizens, are responsible for managing their own affairs and maintaining themselves to the extent that their resources permit. Some individuals and families are unable to provide for themselves and their dependents. Situations therefore exist in which assistance must be available to community members in need. Income Assistance is one type of income supplement available to eligible persons. Other income supports include Old Age Security, Child Tax Benefits, etc. This category includes:

8- Indian Registration: Costs associated with the maintenance of the Indian Register, a record of everyone who is registered as an Indian under the Indian Act. This category includes:

9- Governance and Institutions of Government: Costs associated with Governance and Institution of Government activities. This category includes:

10- Northern Affairs: Costs associated with supporting northern political and economic development through the management of federal interests and promoting sustainable development of the North's natural resources and northern communities. This category includes:

11- Other: All other programs and services that are not described in above categories.

Return to Table of Contents 

Annex J - Schedule of Federal Government Funding - Health Canada First Nations and Inuit Health Programs and Services Categories

The following twelve program and service categories may be used to account for the Health Canada First Nations and Inuit Health programs funding provided to recipients.

1- Children and Youth:

2- Mental Health and Addictions

3- Chronic Disease and Injury Prevention

4- Communicable Disease Control

5- Environmental Health and Research Component

6- Primary Care

7- Non-Insured Health Benefits

8- Health Governance and Infrastructure

9- Capital

10- Treatment Centre

11- Aboriginal Health Transition Fund

12- Headquarter projects

Return to Table of Contents 

Annex K - Schedule of Federal Government Funding - Canada Mortgage and Housing Corporation Programs and Services Categories

The following seven program and service categories may be used to account for the Canada Mortgage and Housing Corporation funding provided to recipients.

1- Non-Profit On-Reserve Housing Program (Section 95): Any funding received for the on-going operations of on-reserve rental housing projects committed under the National Housing Act (NHA) Section 95.

2- Residential Rehabilitation Assistance Program (RRAP) - Homeowner and Persons with Disabilities Programs: Any contributions received in the form of a forgivable loan by a First Nation for the repair or rehabilitation of existing substandard housing to a minimum level of health and safety and to build special access for persons with disabilities.

3- Residential Rehabilitation Assistance Program (RRAP) - Rental: Any contributions received in the form of a forgivable loan by a private landlord for the repair or rehabilitation of existing substandard rental housing units to a minimum level of health and safety. The program also assists in the creation of secondary or garden suites by converting/developing existing residential properties to accommodate a secondary self-contained unit for low-income seniors or adults with a disability.

4- Residential Rehabilitation Assistance Program (RRAP) - Conversions: Any contributions received in the form of a forgivable loan by a First Nation for the conversion of non-residential properties into self-contained rental housing units or beds.

5- Home Adaptations for Seniors' Independence Program (HASI): Any contributions received by a First Nation to adapt housing to make it easier for seniors to continue living in their home.

6- Shelter Enhancement Program: Any contributions received in the form of a forgivable loan by a First Nation for the repair and upgrade of existing shelters for victims of family violence or the construction of new units.

7- Housing Internship Initiative for First Nations and Inuit Youth: Any funding received by a First Nation for the financial support of wages of a First Nations or Inuit youth employed on housing related projects.

Return to Table of Contents 

Annex L - Example - Unexpended Funding Plan

Sample First Nation
Unexpended Funding Plan
For the fiscal years 20(XX) to 20(XX)

Planned programs/services/activities

Summer Camp

School Breakfast Program

Textbook Program

Financial Training

Return to Table of Contents 

Annex M - Example Report (Financial) on Unexpended Funding Plan

Sample First Nation
Report on Unexpended Funding Plan
For the Year Ended March 31, 20XX

  20(XX)
$
20(XX-1)
$
Unexpended Funding    
Land Management
(Fixed - 20XX-20XX)
   
Family Violence Prevention
(Fixed - 20XX-20XX)
   
Low Cost Special Education
(Fixed - 20XX-20XX)
   
Block Funding - 20XX-20XX    
Other _____________
(Fixed - 20XX-20XX)
   
Total Unexpended Funding    
     
Expenditures
(list programs/projects/activities as per the plan)
   
Summer Camp    
School Breakfast Program    
Textbook Program    
Financial Training    
Total Expenditures    
Unexpended Funding Less Expenditures    

Example
Report (Narrative) on Unexpended Funding Plan

Sample First Nation
Report on Unexpended Funding Plan
For the Year Ended March 31, 20XX

Program/Service/Activity X in the amount of $XXX

For each program/project/activity included in the Unexpended Funding Plan, provide narrative details on how funds were spent outlining achieved results, description of the activities undertaken and deliverables completed in the reporting period as compared with the submitted unexpended funding plan.

The information to be provided may include the following but is not limited to:

Objectives for the program/service/activity

  1. Briefly list and describe your objectives for the activity/project.
  2. What measures and indicators did you use to determine whether your objectives have been met?
  3. What were your targets and timelines?

Activities Undertaken and Results Achieved

  1. Provide a description of each activity/project undertaken for the funding period.
  2. Using established indicators, how did this/these program(s)/activity(ies)/project(s) meet your objectives?
  3. Describe the outcomes.
  4. Did you meet your targets?
  5. Provide a copy of any action plan or document/report, if one was developed during the funding period.
Date modified: