National Round Table on the Environment and the Economy - Statement of Financial Position As at March 31

National Round Table on the Environment and the Economy - Statement of Operations 

For the Year ended March 31

	2003	2002
	$	$
REVENUES Funding from other government departments (Note 3) Donations and cost-sharing revenue  Sale of publications	82,636 7,500 3,857	1,289,000   283,155 9,184
TOTAL REVENUES	93,993	1,581,339
EXPENSES Operating Salaries and employee benefits Professional and special services Rentals Transportation and communication Publications Amortization Furniture and equipment Utilities, materials and supplies Repairs and maintenance	2,263,240   1,706,469 410,209 405,914 374,752 109,680 59,530 42,800 26,975	2,002,706   2,493,589 325,552 861,078 764,076 47,056 106,300 51,236 22,242
	5,399,569	6,673,835
Executive Committee     Travel and living expenses Honoraria	5,978   5,146	14,650   3,970
	11,124	18,620
Other Committees Travel and living expenses Honoraria	204,360   140,440	189,800 130,405
	344,800	320,205
TOTAL EXPENSES	5,755,493	7,012,660
NET COST OF OPERATIONS	5,661,500	5,431,321

The accompanying notes form an integral part of these statements.

 

  The accompanying notes form an integral part of these statements.

 For the Year ended March 31

	2003	2002
Operating Activities Net Cost of Operations Non-Cash items included in cost of operations: Less: Amortization of capital assets Services provided without charge Statement of Financial Position adjustments: Decrease in deferred revenue Decrease in accounts payable and accrued liabilities Decrease in receivables Decrease in publication inventory for resale Increase in prepayments	$     5,661,500     (109,680) (309,000)     — 624,195(42,490)   (12,624) 5,773	$   5,431,321 (47,056) (227,000)   73,774   190,397 18,345 (4,368) 8,015
Cash used in operating activities	5,817,674	5,443,428
Investing Activities Acquisitions of capital assets	114,608	311,603
Cash used in investing activities	114,608	311,603
Net Cash Provided by Government	5,932,282	5,755,031

The accompanying notes form an integral part of these statements.

National Round Table on the Environment and the Economy - Notes to the Financial Statements

For the Year ended March 31, 2003 Authority and Purpose The National Round Table on the Environment and the Economy (Round Table) was established in 1994 under the National Round Table on the Environment and the Economy Act and is a departmental corporation named in Schedule II of the Financial Administration Act. The Round Table fulfils its objective of promoting sustainable development, and the integration of the environment and economy in decision making in all sectors, by conducting studies, organizing multistakeholder “dialogues” on specific issues and economic sectors, providing advice, carrying out educational and communication activities, and by acting as a catalyst for change. Its operating expenditures are funded mainly by a budgetary lapsing authority and, to a lesser extent, from cost recovery and cost sharing for specific activities. Employee benefits are in accordance with the related statutory authorities. Summary of Significant Accounting Policies These financial statements have been prepared on an accrual basis of accounting in accordance with Treasury Board of Canada standards based on Canadian generally accepted accounting principles. Significant accounting policies are as follows: Parliamentary Appropriations The Round Table is financed mainly by the Government of Canada through Parliamentary appropriations. Parliamentary appropriations are disclosed in the Statement of Equity of Canada. Appropriations provided to the Round Table do not parallel financial reporting according to Canadian generally accepted accounting principles, as they are based in a large part on cash flow requirements. Consequently, items recognized in the Statement of Equity of Canada are not necessarily the same as those provided through appropriations from Parliament. Due from Consolidated Revenue Fund (CRF) The Round Table operates within the Consolidated Revenue Fund (CRF). The CRF is administered by the Receiver General for Canada. All cash received by the Round Table is deposited to the CRF and all cash disbursements made by the Round Table are paid from the CRF. Due from the CRF represents the amount of cash that the Round Table is entitled to draw from the Consolidated Revenue Fund, without further Parliamentary appropriations, in order to discharge its liabilities. Pension Plan The Round Table’s employees participate in the Public Service  Superannuation Plan administered by the Government of Canada. The employees and the Round Table contribute equally to the cost of the Plan. The contributions represent the total obligations of the Round Table and are recognized in the accounts in the period that the contributions are made. Receivables These are stated at amounts ultimately expected to be realized. An allowance is made for receivables where recovery is considered uncertain. Publication Inventory for Resale An independent distributor sells the Round Table’s publication inventory for resale. The distributor is entitled to a 50-percent commission fee on the sale price of each publication sold. Inventory for resale is valued at net realizable value, which is always less than cost. Capital Assets Capital assets with an acquisition cost of $2,000 or more are capitalized at cost and amortized over their estimated useful lives on a straight-line basis. The estimated useful life of each capital asset class is as follows:

Asset Class	Useful Life
Informatics Equipment and Purchased Software	3 years
Furniture and Equipment	10 years
Leasehold Improvements	lower of lease term and 10 years

 

Services Provided Without Charge by Other Government Departments Services provided without charge by other government departments are recorded as expenditures at their estimated cost. A corresponding amount is credited directly to the Equity of Canada. Measurement Uncertainty The preparation of financial statements requires management to make estimates and assumptions that affect amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these statements, management believes the estimates and assumptions to be reasonable. The most significant items where estimates are used are amortization of capital assets and write-down and write-offs of inventory of publications for resale. Related Party Transactions The Round Table is related in terms of common ownership to all Government of Canada departments and Crown corporations. The Round Table enters into transactions with these entities in the normal course of business and on normal trade terms. During the year, the Round Table received funding in the amount of $82,636 (2002 — $1,289,000) from other government departments for specific projects. The Round Table also incurred expenses of $1,458,289 (2002 — $1,055,853), including $309,000 (2002 — $227,000) for services provided without charge. Services provided without charge include $269,000 (2002 — $185,000) for the rental of space, $38,000 (2002 — $40,000)  for audit services and $2,000 (2002 — $2,000) for payroll administration services.

Receivables	2003	2002
Other government departments	8,076	34,991
External parties	669	16,244
Total receivables	8,745	51,235

Capital Assets	Cost as at April 1, 2002	Acquisitions	Cost as at March 31, 2003
Leasehold improvements	182,521	65,011	247,532
Informatics and purchased software	217,751	17,630	235,381
Furniture and equipment	142,226	31,967	174,193
	542,498	114,608	657,106

 

	Accumulated Amortization	Net Book Value at March 31, 2003	Net Book Value at April 1, 2002
Leasehold improvements  Informatics and purchased software Furniture and equipment	44,283 146,297 63,422	203,249 89,084 110,771	179,491 124,034 94,651
	254,002	403,104	398,176

 

Amortization expense for the year ended March 31, 2003 is $109,680 (2002 — $47,056).

	2003		2002
Trade Other government departments	318,284 36,165		782,454 196,190
Total accounts payable and accrued liabilities	354,449	978,644

 Accounts Payable and Accrued Liabilities Pension Plan The Round Table and its employees contribute equally to the Public Service Superannuation Plan. The Round Table’s contribution during the year was $248,061 (2002 — $208,516).

Commitments

The Round Table entered into a long-term lease for an office photocopier with a remaining value of $47,390. The future minimum payments are as follows:

2003/04 2004/05 2005/06 2006/07

$12,100 $12,100 $12,100 $11,090

Parliamentary Appropriations The Round Table receives the majority of its funding through parliamentary appropriations, which are based primarily on cash flow requirements. Items recognized in the Statement of Operations and Statement of Equity of Canada in one year may be funded through parliamentary appropriations in prior and future years. Accordingly, the Round Table has different results of operations for the year on a government funding basis than on an accrual basis of accounting. These differences are reconciled below. a) Reconciliation of net results of operations to total parliamentary appropriations used:

	2003	2002
Net cost of operations  Adjustments for items not affecting appropriations: Less:  Amortization Services provided without charge Vacation pay and compensatory time Inventory used Add:   Increase in prepayments	5,661,500 (109,680) (309,000) (13,622) (12,624) 5,773	5,431,321 (47,056) (227,000) (35,021) (4,368) 8,015
	5,222,347	5,125,891
Adjustments for items affecting appropriations:  Add:  Capital acquisitions Expenses to produce publications for resale	114,608 3,857	311,603 9,184
	118,465	320,787
Total parliamentary appropriations used	5,340,812	5,446,678

b) Reconciliation of parliamentary appropriations voted to parliamentary appropriations used:

	2003	2002
Parliamentary appropriation — voted:  Vote 40 and 40(b) — Operating expenditures Statutory appropriation — voted: Contributions to employee benefit plans Publication revenue in accordance with section 29.1(1) of the Financial Administration Act	5,064,600 352,861 3,857	5,331,500 308,000 9,184
Less: Lapsed appropriations — operations	5,421,318 (80,506)	5,648,684 (202,006)
Total parliamentary appropriations used	5,340,812	5,446,678