Quarterly Financial Report: For the quarter ended June 30, 2021

Statement outlining results, risks and significant changes in operations, personnel and programs

Introduction

This quarterly report has been prepared by management as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Directive on Accounting Standards: GC 4400 Departmental Quarterly Financial Report. This quarterly financial report should be read in conjunction with the 2021-22 Main Estimates. This quarterly report has not been subject to an external audit or review.

Established by Order in Council P.C. 2018-1322, the Leaders' Debates Commission ("Commission") is mandated to:

• Select and establish a seven-member Advisory Board;
• Enter into a contract for the production of the debates;
• Ensure the debates are broadcast and distributed widely and free of charge;
• Ensure the debates reach as many Canadians as possible, including those living in remote areas, those living in official language minority communities and those living with disabilities;
• Engage with political parties and ensure that the criteria for participation of political parties in the debates be applied fairly and in full transparency;
• Engage with Canadians to raise awareness about debates;
• Ensure the debates are conducted under high journalistic standards; and
• Following the general election (and no later than five months after the day on which a general election is held), provide a report to Parliament outlining findings, lessons learned, and recommendations.

Amended by Order in Council P.C. 2020-0871 of November 5, 2020, the Leaders' Debates Commission is mandated to:

• Set participation criteria for the leaders' debates and ensure that the leader of each political party that meets those criteria is invited to participate in the debates and make them public;
• Endeavour to ensure that the leaders' debates are available in languages other than French and English, and, in doing so, pay special attention to Canada's Indigenous languages; and
• Provide final approval of the format and production of the leaders' debates, while respecting journalistic independence.

Basis of Presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the department's spending authorities granted by Parliament and those used by the department, consistent with the 2021-22 Main Estimates. This quarterly report has been prepared using a special purpose financial reporting framework (cash basis) designed to meet financial information needs with respect to the use of spending authorities.

The authority of Parliament is required before money can be spent by the Government. Approvals are given in the form of annually approved limits through appropriation acts or through legislation in the form of statutory spending authority for specific purposes.

The Commission uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental performance reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

Highlights of Fiscal Quarter and Fiscal Year to Date Results

Given that this is the start of the first full year of existence of the Commission's amended second mandate, no trend comparisons are available for actual expenditures nor for planned expenditures when compared to the same period in the preceding fiscal year.

The Commission spent approximately 2% of its authorities by the end of the first quarter, mainly on salary and wages and professional and special services mostly related to administrative support. Over the first quarter, the Commission has been paving the way for the delivery of its amended second mandate, with the majority of its anticipated spending to occur in the last quarter. Please refer to Annex B for a breakdown of spending by Standard Object.

Risks and Uncertainties

The key risks for the Commission in starting the full year of its amended second mandate are:

• Implementation – the Commission may be challenged to execute its work in the time available prior to the next election. The Commission has responded to this risk by working with existing departments for the provision of back office support (e.g., administration, finance, legal, procurement, security, and information technology) to allow the Commission to benefit from the targeted expertise of an existing department for specific services.
• Fund management and fiduciary oversight – poor management and oversight of funds could lead to the misuse of taxpayer dollars. The Commission has responded to this risk by ensuring that financial capacity for debate production is assessed, by benefiting from the expertise of an existing department for financial management, and by ensuring that principle of cost-effectiveness is applied to all Commission decisions on the fulfilment of its mandate.

Significant Changes in Relation to Operations, Personnel and Programs

As this is the start of the first full year of operation of the Commission's amended second mandate, there are no changes to report in relation to Operation, Personnel and Programs. The Commission has established its organizational and governance structure to support the delivery of its mandate.

Approval by Senior Officials:

Annex A – Statement of Authorities (unaudited) (see notes)

Fiscal Year 2021-2022

(in dollars)	Total available for use for the year ending March 31, 2022	Used during the quarter ended June 30, 2021	Year to date used at quarter-end
Vote 1 – Net Operating expenditures	4,695,655	106,637	106,637
Budgetary Statutory authorities	139,370	34,843	34,843
Total Budgetary authorities	4,835,025	141,480	141,480
Total authorities	4,835,025	141,480	141,480

Fiscal Year 2020-2021

(in dollars)	Total available for use for the year ending March 31, 2021	Used during the quarter ended June 30, 2020	Year to date used at quarter-end
Vote 1 – Net Operating expenditures	-	-	-
Budgetary Statutory authorities	-	-	-
Total Budgetary authorities	-	-	-
Total authorities	-	-	-

Note 1: Includes authorities available for use and granted by Parliament at quarter-end for each respective fiscal year (including Frozen Allotments). 
Note 2: Details may not add to totals due to rounding

Annex B – Departmental Budgetary Expenditures by Standard Object (unaudited) (see notes)

Fiscal Year 2021-2022

(in dollars)	Planned expenditures for the year ending March 31, 2022	Expended during the quarter ended June 30, 2021	Year to date used at quarter-end
Expenditures:
Personnel	1,081,061	141,479	141,479
Transportation and communications	107,684	1	1
Information	2,201,814	-	-
Professional and special services	1,380,145	-	-
Rentals	-	-	-
Repair and maintenance	-	-	-
Utilities, materials and supplies	923	-	-
Acquisition of machinery and equipment	-	-	-
Other subsidies and payments	63,398	-	-
Total net budgetary expenditures	4,835,025	141,480	141,480

Fiscal Year 2020-2021

(in dollars)	Planned expenditures for the year ending March 31, 2021	Expended during the quarter ended June 30, 2020	Year to date used at quarter-end
Expenditures:
Personnel	-	-	-
Transportation and communications	-	-	-
Information	-	-	-
Professional and special services	-	-	-
Rentals	-	-	-
Repair and maintenance	-	-	-
Utilities, materials and supplies	-	-	-
Acquisition of machinery and equipment	-	-	-
Other subsidies and payments	-	-	-
Total net budgetary expenditures	-	-	-

Note 1: Includes authorities available for use and granted by Parliament at quarter-end for each respective fiscal year (including Frozen Allotments). 
Note 2: Details may not add to totals due to rounding