Contribution Agreements Government Canada



-September 15, 2021-

Contribution Agreements Government Canada

Mike Burroughs

6.21 The range of departmental requirements for accountability and performance measurement cannot always be met by grants or contributions as defined in the directive. In the absence of choice, some programs have established their own transfer payment methods, which contain both grants and contributions. For example, while the Social Sciences and Humanities Research Council of Canada (SSHRC) uses grants to fund its indirect research program, it uses a risk-based audit framework to monitor its recipients and requires them to report on results within the SSHRC`s results-based management and accountability framework. Note: These terms and conditions apply to all agreements/arrangements signed for the financial year beginning on 1 April 2013 and beyond. All agreements signed prior to April 1, 2013 will remain eligible under the terms and conditions of the transaction program until such agreements expire. The full cost of the contribution is paid to the beneficiary only if 100% of the planned benefit forecasts are reached. Contribution agreements have a sufficient duration to meet all performance expectations and allow a 100% refund of the beneficiary. A contribution is a conditional transfer of funds to an individual, organization or other level of government to reimburse a portion of the costs of carrying out a worthy project that the Government of Canada wishes to support: 6.16 The Board of Directors sets government-wide guidelines, such as. ╬ĺ the Transfers Directive. As part of this directive, the Treasury Board approves the conditions applicable to all grant and contribution programs.

The Treasury Board Secretariat shall be responsible for providing guidance to departments on the implementation of this Directive and for monitoring the application of the Directive. 6.50 Service capacity. Since our audit in 2001, all of the departments we studied have developed automated grants and contributions management systems. Some systems are broader and have a higher level of control than others. For example, HRSDC has built-in functions and controls to ensure that programs responsible for grant and contribution projects follow rigorous management procedures. In 2004, INAC began developing a new grants and contributions management system to replace its current system, designed solely to support cash management. The current system has not automated all controls to reduce risk and promote sound management. INAC`s main objectives in developing a new system are to ensure that a consistent business process for grants and contributions is followed and that significant controls are carried out at appropriate times. We support this initiative. 8.1 Payment of contributions is generally made in reimbursement of the recipient`s eligible costs or expenses and is based on the submission of acceptable applications and progress reports, in accordance with the terms of the contribution agreement. Key programs are long-term and are generally delivered by the same recipients who, year after year, receive grants and contributions to provide services to Canadians.

(Return) 6.28 In 2001, the Secretariat recommended strengthening the monitoring of departmental grants and contributions management procedures. The Standing Committee on Accounts made a similar recommendation. The Secretariat has responded in part to these recommendations. 6.62 Monitoring and reporting obligations are often redundant. An organization that receives funding from one or more departments for different programs may be required, in accordance with the terms of the contribution agreement, to submit an audited financial statement to the person in charge of each program. . . .


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