Home / 2011-12 Quarterly Financial Report for the quarter ended December 2011

2011-12 Quarterly Financial Report for the quarter ended December 2011

Management Statement for the Quarter Ending December 31, 2011

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 Treasury Board. This quarterly report should be read in conjunction with the Main Estimates and Supplementary Estimates.

The raison d’être, or purpose, of the National Round Table on the Environment and the Economy (NRT or Round Table) is to play the role of catalyst in identifying, explaining, and promoting, in all sectors of Canadian society and in all regions of Canada, principles and practices of sustainable development.

The NRT interprets this broad mandate through a strategic focus on issues of national interest at the intersection of the environment and the economy. It examines the environmental and economic implications of priority issues and offers independent advice on how to address them.

Further information on the mandate, roles, responsibilities and programs of the NRT can be found in the NRT’s 2011-2012 Main Estimates, available on the following website: http://www.tbs-sct.gc.ca/est-pre/20112012/me-bpd/docs/me-bpd-eng.pdf

Basis of Presentation:

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the NRT’s spending authorities granted by Parliament and those used by the Round Table, consistent with the Main Estimates and Supplementary Estimates for the 2011-12 fiscal year. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.

The authority of Parliament is required before monies 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.

As part of the departmental performance reporting process, the NRT prepares its annual financial statements on a full accrual basis in accordance with Treasury Board accounting policies, which are based on Canadian generally accepted accounting principles for the public sector. However, the spending authorities voted by Parliament remain on an expenditure basis.

The quarterly report has not been subject to an external audit or review.

Highlights of Fiscal Quarter and Fiscal Year to Date Results:

The NRT’s quarterly and year-to-date spending are slightly higher than that of the previous year. Spending in the third quarter of 2011-12 was 19.6% higher than the third quarter of the previous year, and the overall year-to-date spending is up by 3.7%. The main variances in expenditures between years are due to increases of $82.5K, $84.1K and $97.4K on Standard Objects Personnel, Information, and Professional and Special Services respectively and decreases of $27.1K and $17.2K on Standard Objects Transportation and communications, and Rentals respectively. The increase on Personnel relates to the payout of severance for which an allotment allocation was received from TBS. The $84.1K increase on Information relates to the design work and printing of two publications in the third quarter of 2011-12, as well as, design and printing costs associated with new NRT communications materials. The redesign of the NRT website and an increase in professional services, as a result of two ministerial references, account of the increase in the Professional and Special Services this quarter.

As can be seen in Figure 1, the NRT has spent approximately 68.9% of its authorities in the first three quarters of 2011-12.

Figure 1 – Year to date Expenditures Compared to Annual Authorities

Risks and Uncertainties:

The NRT is funded through voted annual appropriations. As a result, its operations are impacted by any changes in funding approved through Parliament. Budget 2010 announced that departments and agencies would not be funded for the 2010-11 to 2012-13 wage and salary increases resulting from collective agreements. As departments and agencies must pay the salary increase to employees, organizations are expected to find efficiencies within their operating vote to fund these increases. The Round Table can accommodate this funding pressure in 2011-12 without significantly impacting its operations. Management continues to explore options to address this issue for 2012-13.

The NRT is also a knowledge-based organization and as such, relies on maintaining its talented and committed workforce to continue delivering operations and programs.

Significant Changes in Relation to Operations, Personnel and Programs:

There have been no significant changes in relation to operations and programs over the last year. During the third quarter there has been no staff turnover.

Approved by,

Ottawa, Canada
January 24, 2012